i don't think the market will react so much to the negative numbers. look at we are taking a the closing bell. ended look at where we not only on the day. the dow, s&p, and nasdaq. folks looking for value. the s&p and the nasdaq up more than 10% on the week. all of these indices, at least the main ones, all rebounded from those lows. since we20% or more hit those lows. at least by one technical measure, you can call that a bull market.

relatively quiet day in the treasury market. this will be the last day of trading for the week here in the u.s. because of the good friday holiday tomorrow. the s&p 500,% on the biggest gain since 1974 on a weekly basis. every week, there is some sort of superlative like that. any gain today would have resulted in building on the one-month high we posted yesterday. what is interesting is that volume is somewhat higher than yesterday. quite a bit higher. s&p, 30%-40%nd higher than yesterday. i think a lot of people are going to be sitting on their hands next week as they wait for the earnings season to begin.

just to get some kind of read from the ceos and maybe the tone of how they present their outlook. romaine: good point. next week will be a busy week. ameripriseing by, financial strategist anthony saglimbene. thank you for being with us. inn you look at the rally the equity markets, you look at this idea that you have a lot of folks looking at valuation, aying that it is sort of once-in-a-lifetime opportunity to scoop up the stocks. we have not seen the depth of the economic market. can we have a market that gets ahead of the economy even as bad economic data keeps pouring in? anthony: i do think the market

at some point will start getting ahead of the data. reopening,tart whether gradual or all at once. we hope it will be gradual. seey, you are starting to two camps form. some are looking at the massive stimulus that has come around the world, and the slowing coronavirus death and infection rate. it is reason to be more positive. i think the bears are looking at the continued increase in those infection rates, looking at what will likely be awful economic and profit data over the near term. very little bit anxious for what does the market look like when we do return for normal activities.

market that is where the is set up i think the truth lies somewhere in the middle. but we have told our clients and advisors, if you are more conservative and you can't really tolerate the volatility, you should be more cautious. lean on quality companies. following aou are diversified approach, this is a kind of standstill. you have equity exposure, you have a well diversified portfolio. if we start to see the markets rebound ahead of the data, then you are there. wristve to look at your -- your risk tolerance. -- scarlet: investors need to brace themselves either way,

especially as we have the start of earnings season coming up. thank you so much. that does it for "the closing bell." "what'd you miss?" is next. we will be speaking with the noted short seller james channels. u.s.-china relations. he is a noted skeptic on china. this is bloomberg. ♪ .

♪ fu in new am scarlet york, joined by joe weisenthal

in austin. romaine bostick will be with us later this hour. here is a snapshot of how u.s. stocks closed. next to the federal reserve with additional aid, u.s. stocks rallied for the third time in four days. they are now closing at one month highs. they had their biggest weekly gain since 1974, gains of at least 12% for the major indexes. washout in thent first three weeks of march, some measure of calm has seemed to return to the public markets. i am pleased to welcome the noted short seller jim chanos. with founder and associate kynikos associates. i want to start with when a shakeout in the private markets looks like. we have seen it already in the public market. what does the equivalent look like in private markets as those

markets work through all the wreckage? -- and is interesting thank you for having me on. it is never a dull moment these days. discern the private market, a few different buckets. you have private funds, private venture capital and elsewhere. the thing that is most intriguing to me is sort of the trials and tribulations of private equity, how they are themselvesresent from washington and elsewhere as in need of assistance. i took a look at the four largest equity companies. at the end of year letters, they boasted of having over $300 billion in dry powder to put to

or, when there were values distressed situations. puzzled,tle be amused, and somewhat outraged, i guess, bet private equity would pushing to the front of the line to try to get taxpayer assistance. i am sure that, as we say, when afterar turns to anger all of this, we will be looking at how fast some of these programs were being put together. today comedy state of nevada pointed out that professional gamblers would be eligible for expanded unemployment under the cares act. i guess we are at the point where the u.s. taxpayer is literally bailing out gamblers. those sort of things, i think the public is going to come back

to, and we will seek some of the externalities of these programs have political and other costs to them. joe: we can get back to the gamblers in a minute. i think they totally deserve. poker players deserve a bailout, too. of big seen a lot institutions and pension funds feel like they have to up their allocations to private equity, maybe this idea that private markets appear to give smoothness. the comingk that in quarters, they will reevaluate how say for uncorrelated these returns are? on: i also allocate capital

investment boards, so i hear the pages all the time. i think private equity is possibly at a crossroads similar to where hedge funds were. thele will start judging high fees and illiquidity. prior to the virus, i think the answer was a qualified perhaps not. an awful lot of private equity had not returned a whole lot better than public market returns. when you adjust for the risk, the leverage, the illiquidity, they might be found wanting. going forward, we might have to see. what everybody loves about private equity is the smooth returns. life is not that simple. i am not sure that the smooth returns are not more a function of market declines, where the

market snapped back immediately, so the real pain of having to take a multi-year markdown does not occur in anyone's portfolio. scarlet: i want to bring in a question that a bloomberg terminal user has just posted to you. the mostyou see mispricing and risk both to the upside and downside? jim: what we have been telling our clients and the way we have been trying to position this is to look at situations where the companies had a questionable business model in 2019 and arguably 2021, with the idea that 2020 is a write off, that people will disregard, say no one could have seen this, it was the next one of black swans, whatever you want to call it.

aree are companies that troubled today that are still -- forget shortselling. investors should be looking at their portfolios and trying to weed out those situations. you are getting a chance to sell those companies back and pretty premium valuations. you might not have thought that three or four weeks ago but here we are with a lot of companies that are losing money in 2019 and will be losing money in 2021. joe: let's talk about some of these companies that you have been talking about for a long time. i know you are famously short tesla. it is still up massively for the

year, even with the diminishment of risk appetite. at what point in your view does busted?y component get when does that and -- when does that end? view on the -- you know my view on this one. it is a story stock that is being held up. the cutting edge of whether it ev vehicle growth, whatever it may be. i keep coming back to this tired old bromide, that this is a car company. it has been trading more recently in line with the car companies.

it has to lay people off like a car company, not like a silicon valley company. it has a lot of debt like a car company. convince can themselves all they want that ors is a software company leading-edge technology company. sadly, the numbers show that this is a our company. they will lose money again this year, 16 or 17 years in a row. anymore.ot a start up at a certain point, investors will have to say, others have ev, too. in the u.s. last year, units were actually down. it is a car company. thear, that has not in correct call.

scarlet: i hear what you're saying about, at the same time, tesla does seem to get special treatment. china giving them special dispensation to keep the factory open. jim: that is even better. in case you have forgotten, i am anybodyly positive on having to do anything with china. exposurehina ultimately turns out to be a negative. i think one thing that has been lost in the coronavirus news flow has been a severe deterioration in u.s.-chinese relations in the past five weeks. out u.s.ough journalists. we have had more allegations of fraud. i am not sure that elon

embracing shanghai and the chinese communist party will be a positive. joe: i think one of the big questions people will have, even after the world returns to something resembling normal, where it is safe for people to go back to offices, travel and so forth, everyone is asking, what needs to change? what is the most congress what -- most concrete way u.s. and chinese relations with change? jim: the biggest change will be, how will businesses look at the supply chain issue? that is the thousand pound gorilla, i think. will companies that are dependent upon china for essential parts of businesses move production out of china. what does the political

and hown look like, does china fit in that. things are hardening, not softening right now. a few years ago, it would have been sort of unbelievable. because of the virus couple we have sort of put them on the back pages. i think that will come to the fore as businesses and people in the financial market try to figure out how much exposure should i have to the chinese economy? will the chinese economy go alone in that respect? and what about this debt buildup? the chinese economic model has not changed. it keeps growing. dead keeps growing twice the size of the economy in -- debt

keeps growing twice the size of the economy. scarlet: in china, we have had examples in recent weeks, some accounting issues. chinese state backed media is jumping on that and: for training -- and calling for chinese companies to seek alternative listings, not necessarily in the united states. do you think they are: people's bluff? jim: yes. theink listing companies on western financial markets is a feature, not a bug for the chinese financial system. they want that capital. it is problematic from the get go. i don't want to get too much into a walkie policy discussion

trade outsideey interest through the structure. you don't really have a claim, you have something sitting in the cayman islands, which gives you a right to the economic profits of the entity. sour,hings go really western investors don't really need resource to the assets or via the court system in china. that is a huge, huge problem. has been very happy to set up assets for western capital to go into china. you have thet, issues that senator rubio and others have raised about

accounting standards. i think once the virus subsides, you will hear about these issues a lot more. joe: i want to go back domestically and talk about individual companies or sectors that people still have not appreciated the ramifications of what we are going through. lots of concerns about the future of live events. nation, a stock that got absolutely clobbered. what do you think of the markets assessment of these types of businesses? jim: we are short live entertainment and have been for a while. it fits into my bucket of a company that did not make any 2019 in 2017, 2018, or

trading at 15 or 16 times on lastd ebita based year's numbers. this one fits into the bucket of, i don't get it. when it may not come back, will there be extra costs for health, screening for sporting events and concerts. will there be restrictions on the number of people in venues? i don't know. what i do know is the companies did not make any money when things were great. if the business model did not make a lot of economic sense prior to covid-19, and now we have a new world of pandemics, i

don't know if it should still be trading at premium valuations. that is why i think there is an asymmetric risk-reward. i am not smart enough to know whether business has permanently changed, but i do know a lot of the stocks have gone back to where they were at year end. that, to me, is puzzling. scarlet: you mentioned restaurant stocks. i know you said you don't like the business model. what is going to be the deciding factor between which companies survive and which do not in this environment where companies are spending -- companies are not spending and we don't know how long it will last for? bid models where investors up the prices of companies and the debt was hidden at the .ranchisee level

pre-virus, all you had to do was look at carol's restaurants, the largest burger king franchisee in north america, they trade locally. you can see how much their business deteriorated before covid-19 and just how tough the quick service restaurant business has become. so, when you look at the underlying restaurants, you look at how troubled they are. the franchisors, many of them are trading at valuations through today. troubledcompanies were

and even if virus, we go back to business as normal -- i am puzzled. i don't have to be an epidemiologist to figure out that maybe these businesses should not take premium valuations to the market. beenreal click, you have notably skeptical about companies like uber, grubhub? the stocks are really slammed a lot. it is not like these are widely loved stocks. why do you think investors don't appreciate the downside risk? jim: none of them make any money. i think the business model did not make sense beforehand. the food delivery guys have held up because people believe that everyone is ordering in.

in fact, it looks like volumes are down for a lot of these food delivery companies. if you don't make money in the first half of 2020 delivering food, you are never going to make money. i have long publicly been saying that the business does not scale. at delivery drivers can only deliver about two meals per hour, and it is a body shop. the nature of their employees, the fact that they are independent contractors. this willst virus, change, that we will treat these employees much better. the business model is much better in an environment where people are employees and enter at least minimum wage. scarlet: jim chanos, really appreciate it. stay safe. jim chanos of kynikos.

this is bloomberg. ♪

romaine: the number of jobless claims filed over the last three weeks in the u.s., 16.8 million. millions more expected in the weeks ahead. the question, are the fiscal measures taken by the u.s. government enough to get those people on the payrolls? joining us now, lisa cook, a professor at the department of economics and international relations at michigan university. she is also a former senior economist in the obama administration. there is a lot to go over here with regards to what -- regards to how the government is addressing the economic fallout

of this health crisis. the minneapolis fed president wrote a column today for bloomberg where he said very distinctly that the amount of money allocated so far simply is not enough. do you think that dollar value so far is enough? lisa: absolutely not. i think there has got to be relief, especially to individuals. more is cap to be a lot support of -- there has got to be a lot more relief to small businesses now. there has to be a lot that goes to state and local government now. their infrastructure is struggling. agree, he is a friend, i agree completely. not enough money. romaine:.

far,t is a lot of money so a $2 trillion in cares package. phase fourlk of a stimulus or relief bill. when we talk about all this money that will be flowing at some point into the hands of businesses, is there a better mechanism? we have already gotten anecdotal evidence that people on the ground are having trouble getting their hands on loans and even individuals having trouble getting their hands on relief checks as well. lisa: there is a better way. the first way that i have been thinking about is using the mobile payments infrastructure to get money to people very quickly. we received alerts from the national wireless system in

2018. we have everyone's cell phone number in the country. the mobile payments infrastructure has developed quite quickly and safely. concerned about fraud is yours and so on, but it is there. policymakers what are waiting on because this is evolving quickly. we have 10 million people who filed for unemployment in two weeks time. that is unprecedented. everything is unprecedented that is happening these days. i think congress is not grasping the speed, depth, and consequences of what is happening. the proposalput together, not only is it a fast way for americans to receive the money, but it is a fast way for

them to get it out the door. spending on small business is to keep them afloat while they wait for the ppp to work. we have to be concerned about where that money is going but we also have to be concerned about how quickly they get it. i would have done it slightly differently. i think the europeans have the right notion that everyone should be guaranteed a certain just soof their income they will stay home, so we can beat this pandemic, so the health care infrastructure is not overwhelmed. romaine: i guess you are referring to a lot of the models we have seen in germany and denmark. we have already passed a few measures. the idea that we will get

another bill of that massive size anytime soon probably is not likely in this political climate. looking forward, is there a way to sort of correct what you might see as some of the wrongs so far, or has that opportunity already been missed? lisa: i think we can course correct. i have this proposal related to mobile money. the mobile money infrastructure exists. engage theneeds to right vendors to be able to do it. sba has engaged amazon. up theocess can be set canadians launched their emergency relief website on monday. people were paid by wednesday. people are being paid within a day of applying, and they have a virtual assistant on their website. we can do this.

i am not sure why we didn't upgrade our technology went there was not a crisis. this is true for treasury and sba, while we did not take advantage of the existing infrastructure. i think there is time to course correct. but congress has to understand how quick this is moving, how deep this is going. with the harvard team, we negotiated the first post genocide imf program. you have to get their confidence up, you have to make sure that when all of this ends, they don't have just precautionary savings, but they begin to consume. i think time is of the essence, but we can course correct. romaine: thank you for being with us.

we will check in with you sometime in the future. lisa cook, professor at michigan state university. let's get over to the first word news. mark: the white house is considering whether to create a working group focused on reviving the u.s. economy after the coronavirus pandemic eases. the white house is also weighing whether the panel should include representatives. the group would be separate from the task force being led by vice president pence even though it could include some of the same measures. british prime minister boris johnson has been moved out of intensive care and taken back to the main hospital ward. he will receive close monitoring during the early phase of his recovery. be prime minister is said to an extremely good spirits. the german chancellor angela is:el expressing what she

cautious hope that the pandemic -- what she is calling cautious hope that the pandemic is slowing. she said measures must be maintained over easter and in the time following, otherwise, "we could quickly destroy what we had achieved. global news 24 hours a day on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i'm mark crumpton. this is bloomberg. ♪

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is dublinhe imf emergency -- is doubling emergency loan capacity. imf managing director spoke with tom keene earlier today about this. is a crisis like no other. seen the worst we have since the great depression. and it requires extraordinary action by everyone. including by international .rganizations like the imf our message is two-fold. we must fight the virus and protect people. it is first and foremost a human tragedy due to that health

crisis. governments ought to do everything they can to support health workers and health systems. the faster we beat the virus, the faster a recovery can begin. and, because it is such a gigantic, dramatic development, it requires massive, well targeted measures. upsee governments setting globally a trillion dollars of fiscal stimulus, and central banks including the fed here, doing a terrific job. that has to continue. but we need to remember that there are countries that do not have these capabilities. for that, the imf, the world bank, we ought to step up.

we have a trillion dollars capacity. we are moving very rapidly, responding to extraordinary flow of requests. over 90 countries. imfr in the history of the have we faced this demand. we are very fast to act. tom: what is so important here, and you mentioned this in your opening comments, you mentioned the economist from the 19th century, victor hugo, and you talked about the fraternity of strangers. you have toers, come together to find a new vehicle in the sdr, special drawing rights. g20 to you need from the

assist you in more funding and specifically, what do you need from america? ms. georgieva: i have to recognize the stepping up of our membership to make it possible to have in a timely manner the $1 trillion i spoke about. supporting component the authority of the imf to borrow. indeed,t demand is, make sure we have the resources, the $1 trillion i spoke about, and now we do. when we look into the future, if this crisis continues for a longer period of time, and this is the uncertainty we are wrestling with, or if there is a second wave of the epidemic,

which epidemiologists are saying is not completely out of the question, then we need to look into further picking up the resources of the international monetary fund. to explain to the viewers, the sdr is a fast way to provide liquidity to all countries. shock into after the thousand eight. -- in 2008. in 2009, there was a boost of sdr's spread among the membership. it is valuable because many emerging markets find themselves hit by a health crisis. capital flying to safety, some $100 billion has

left emerging markets. that makes the liquidity position of this country more challenging. ofthat moment, a mission sdr's can provide a much-needed liquidity boost. romaine: you were just listening georgieva.a let's turn to the coronavirus crisis and how it has been affecting coronavirus professionals on the frontline. stanford edison working to help protect some of those folks. the school is partnering with apple on a new app. it will help first responders screen their symptoms, schedule appointments, just basically make sure they are healthy when they are out there keeping us safe. ofning us is the dean stanford school of medicine, lloyd minor. explain how and an will be able

to successfully diagnosed or at least identify the symptoms of coronavirus for these health-care workers. >> thank you. an app will help people who are using to describe their symptoms, to get information quickly about whether or not a symptom they are experiencing may be one that is serious enough to have them seek help from a health professional. it can also be used to rapidly connect a first responder to a health care delivery system or a testing site, such as one of the sites that we set up to provide rapid screening for the coronavirus. scarlet: you have two tests, one being performed as part of a study, another as part of that app. tell us about the test that tests for antigens in a person

that tells them if they may be immune to covid-19. have you gotten results so far? if so, what do they show? lloyd: this is still early work. we have had two initiatives and that guard. we had a research study looking at a broad population. this week, we launched a laboratory test, so a test that is formed and results are returned to patients and physicians. that test is designed to identify specific antibodies in regards to the virus that causes the current pandemic. is that we need to

know the prevalence of antibodies through the virus in the population in order to get some understanding about the likelihood or probability of immunity. as it has been pointed out, just because a person as antibodies, it does not in and of itself antibodies mean immunity. those will have to be determined through different studies called neutralization studies. whether they actually block the infections themselves by the virus. we believe these studies and rolling out, making broadly available antibody tests are an essential step in providing information about when we can go back to work and when we can, at

some time to be determined in the future, relax some of the social distancing and shelter-in-place guidelines. are the mostnes powerful tools we have to slow or arrest spread of the virus. and offering different ways of diagnosing, are you preparing for this to be a seasonal thing? is this something where people will need to be tested every couple of months, every year, or ?s it a one off a great question and unfortunately, we just don't have enough information to answer the question today. everyone of the components of the question you just asked is

exactly the type of focus we need to be applying today. the antibodies, do they confer immunity. if so, how long do they confer immunity? all of that will have to be determined from epidemiological studies now and in the future. scarlet: we really appreciate your time. dr. lloyd minor, stanford school of medicine dean. thank you for the work you are doing. coming up, joe weisenthal was joining us early in the hour. he will be back to tell us what he has been looking at terms of the market rally for this week. this is bloomberg. ♪

scarlet: don't miss this. it is joe weisenthal, back with us by phone from austin, texas. a lot to look at here when it

comes to the market performance. sinceggest weekly gain 1974. what were you keeping your eye on? think it is extraordinary, especially since it was only a four-a week. but also, it was that sharp a lot ofhat we saw in these extremely cyclical sectors of the economy. real estate obviously got completely clobbered at the downturn materials. energy had a really big week, of course hoping for some sort of output cut. we had rallies before. tech had led the way. of course, tech for the year, if you look at the nasdaq, only

down 9% on the year, unbelievable given we have basically had one of the biggest real economic shocks in history. but this week was not about tech, it was really about rebound in other areas. looking ahead to next week, it will be all about earnings, especially for the banks. what are you expecting? joe: next week will be very helpful to investors. flying blind, flying without instruments right now among investors really just having no idea. i would say that is the case on the buy and sell side. i don't think it will be the kind of week where we are talking about this company beat estimates or this company missed. i don't think people think those estimates really mean anything. going forward, the cash flow

position. jim chanos pointed out it is basically like investors are saying, we will give you a pass on all of 21 -- of all of 20/20. what are you seeing for 2021. romaine: that was a great interview earlier, by the way. joe, have a safe weekend. we will see you next week. you can subscribe to our weekly podcast on itunes. "what'd you miss this week." i'm sure it will have that interview earlier. scarlet: among other gems, remained. have a great long weekend. this is bloomberg. ♪

♪ emily: welcome to bloomberg technology. i am emily chang sheltering in place in san francisco. states --s in united daily deaths in united states from the coronavirus, about 2000 people dying per day. we will take you to the white house press conference that is scheduled to start later this hour. i want to talk about