creep back into the green. discretionary and communication services. we are expected to get reports and moments from apple, amazon, a few other big companies. as far as the big names today, we did see service move higher. facebook also moving higher by about 5%. 4%zon did rally by about into the close. scarlet: amazon has hit a record high as well. again, we will be getting you those numbers as soon as it crosses. volume pick up today, up about and 11% from both the dow the s&p. as we saw the s&p, dow, and nasdaq move up toward the close, it is interesting that selling accelerated, finishing the day off by 3.7%.

romaine: we will get back to david in just a moment. taylor to jump over to riggs. taylor: attack, the big movers. wanted to take a look at inter-day of the s&p 500. pretty volatile. earnings around, so if you don't mind, i will jump to the end of my segment here where we were taking a look. amazon saying that they are 26%ng net sales up year-over-year and just a little bit higher than the estimates of of a 73 and three quarters billion dollars. second-quarter net sales a here, versusy estimates of about $78 billion. they are saying that they see the crisis, demonstrating

adaptability and durability. amazon first quarter net sales just above estimates. sales rising about 0.25%. in theally interested cloud service. that is where we saw a lot of strength with microsoft and alphabet. strength within that cloud business. very curious as amazon web services is the leader. i will leave you all with that note. we will finish that later. amazon coming out. that is going to be the key driver here as we wrap up the close. scarlet: there been few companies as essential as amazon.

you saw that with amazon shares rallying into the close, closing at eight record high. cash flow numbers for amazon. according to dow jones, free to $23.4 increased billion. the net sales number coming in a little bit shy of estimates, at least on the low end. as we are looking for, $78 billion for the period. amazon making some comments when it comes to the overall coronavirus period and how challenging it has been. come obviously, they were able to demonstrate adaptability and durability. challenges including a lot of labor unrest, second guesses as to how they were conducting their business and treating their workers. amazon: a lot of eyes on

and gilead sciences. versussted eps at 168 176 on the estimate side. the revenue number is up 5.1%. they drug that could potentially be a treatment for covid-19. gilead saying it is taking steps to expand its capability. also saying that r&d expenses primarily duease to the drug. they will maintain the dividend of $.68 per share. scarlet: we also have some earnings. looking at visa not providing a full year outlook, not surprising given the lack of clarity on how consumers are spending when a lot of them are still stuck at home. 5.9nd-quarter net revenue,

dollars. a drop of about 2.5% from the previous quarter, the first quarter. eps, $1.38,er compared with $1.31 a year earlier. let me just come in with a new number. $1.39 compares with the estimate of $1.35. quarter, $1.39nd versus $1.35. let's bring back david from an cora investors to give us a little more context here. you hear about amazon and visa on the consumer side, then gilead sciences. is now the time to be looking at these health care companies that have got a lot of interest? you are picking winners and losers when you don't know what is going to happen, but the narrative is compelling, isn't

it? david: in health care, i am very glad that heading into the coronavirus selloff, i was overweight health care. i continue to be. at this point in time, i am not looking materially add to health care. if you look at the filings, biotech names like amgen, johnson & johnson, companies high freey mode of cash flow generation, low leverage on the balance sheets. at this point, given how many health care stocks. the fangs are starting to get priced for protection. do i want to be chasing them rally.his median stock romaine: david, really appreciate you being with us

today and being patient as we rattle

♪ romaine: broadcasting live from new york to our viewers worldwide, i am romaine bostick alongside scarlet fu. this is "what'd you miss?"

scarlet: we are looking at losses for the s&p, dow, and nasdaq. a slew of $4 billion in covid-19 costs affecting that guidance. visa shares moving a little bit here in after hours. this is after it says its business model is resilient. epsical second quarter beating the consensus estimate.

2%,s-border volumes about slightly lower than what analysts had been looking for, which was 2.9%. romaine: gilead earnings did come across the wire. the estimate was for 157. the company is taking steps to expand the manufacturing production of the main drug in trials right now that is being hailed as a potential treatment for covid-19. been in the news prior to the outbreak. it had seen some of the sales of its main drugs drop. genvoya fell 19%. that was a trajectory for a lot of main drugs. they are putting a lot of expenses into remdesivir.

we want to go from what is happening in the equity markets, what is happening with corporate profits, to talk a little bit more about the economy around the world. stephen englander, global head of fx research. i want to start off first with the ecb this morning. a little bit of an about-face from christine lagarde. spoke the market by not necessarily being as hawkish as other central bank president had been. today, chief sounded more in line with what we had been hearing. >> they disappointed a bit. the market was looking for some expansion on their portfolios, buying both government debt -- that did not come. they tried to offset it by

making lending attractive. generally what you are seeing is the fed and congress kind of behaving as if they want to do more than is needed. it not hurt the euro, but it did hurt other asset markets. scarlet: we saw european banks in particular. what exactly is the ecb holding off for? as if they want to hold their fire and wait for the right moment to unleash their firepower. moven: we think they will next month. courterman constitutional is going to rule on certain programs of their legality.

the, it is not clear that ecb itself, and the government and counsel, is convinced you have to through the kitchen sink in. obviously, when you look at the fiscal authorities, they are nowhere close to having the kind of fiscal stimulus they were looking for. romaine: i want to get your thoughts on the fed yesterday. not so much what they did, but what they did not do. goingin the u.s. possibly negative for the fed. interest on excess reserve. changed atas not all. i wonder if we should read anything into whether the government -- whether that portends any sniffing around that 0% negative territory.

steven: i don't think so. we thought that they would push it up and explain as a technical move. they did not, obviously. i don't think the fed really thinks that negative rates can help them. it is a question of, what else is there to do? certainly, in terms of the discussion yesterday, powell was all over credit, expanding the credit facility, doing what it takes to get credit to the parts of the economy that needs it. however briefly he mentioned negative rates, there was not the excitement that there was. scarlet: i am glad you bring up the credit side. a lot of people are worried about the hazard here of the government lunching in with

these programs. the fact that the fed would be buying recent fallen angels, the credit, as prompted a flood of money into high-end credit, even though the fed has not even begun the program here. feden: the last time the talked about moral hazard was when they decided not to bailout lehman brothers. we know how that worked out. right now, they need to ensure that the parts of the economy that need it, get it. right in ok to be 80% the sense that you took care of the banks, took care of high-grade corporate's, took care of money market funds, but you left out one segment, high yield or something else that everything you have done.

really going into every segment that needs the help. there is time down the road to decide who was imprudent and who was not. but now was not the time to be obsessed with moral hazard issues. ,omaine: stephen englander great to have you on. hope to finally see you in person soon. standard chartered global head of fx research. coming up next, we will go through all of those earnings that will be hitting the wire. onve course were waiting apple results as well. coming up, an interview with facebook's cfo. first quarter revenue beating expectations. we spoke a little earlier with the cfo. this is bloomberg. ♪

scarlet: we saw rally today after advertising demand was -- stronge strong for before the pandemic. they also said is this was steady in the first few weeks of april. facebook cfo spoke with emily chang a little bit earlier today. seeinguld say we are weakness in some of the logical categories like travel. where we are seeing strength is places like gaming, e-commerce. that is to give you some of the flavor. pretty broad-based across large and small advertisers. i would not say it is concentrated. emily: geographically, are you seeing regions performing better

than others? david: if you look at our top countries by user, everyone has some sort of lockdown measure in effect. countries.ad across regions.vertising we don't have users in china but we do have advertisers in china. we did see that business, more , but we havey q1 seen a bit of a recovery. some of that masked the verticals. a lot of that is in things like gaming and e-commerce and a lot of those verticals are doing better. 95% of folks that facebook are working at home. what is your timeline for getting back to work, given that there will be some government

guidance? david: i think we will be more cautious. we are blessed with being able to work from home and being able to operate relatively effectively. 95% of people -- we are able to shift code, moderate content, stay connected with our business customers. we do have a handful of employees who do have to go in and obviously safety is the focus there. we have to have people in our data centers, for instance. part of it, we can do our jobs from home. we want to make sure the shared infrastructure is available for people who do need to be going into the office. we do not want to overload public transport and the like. you recently did a deal

in india. will we see more investments like that, and will they be more like investments or partnerships? india is a special market. this is a special company that has brought millions of people into the digital world. geo is an exceptional effort. india is an important country for us. .t has been a driver of growth india is kind of a critical market. we were fortunate to be able to make an investment like this in a troubled economic environment. we look forward to partnering with geo platforms to help small business connect with people on whatsapp and drive commerce and

payments. emily: it sounds like on the call that mark indicated that you would be doing more of this. i'm curious if you can shed any more light on regions or economies in particular that might peak facebook's interest? payment platforms, and whatsapp across the globe, there are certainly opportunities to do that. this was clearly a very special opportunity, and something warranted by by far the largest investment. romaine: we were just listening to the cfo of facebook. let's get a quick check on where we stand here with some of the earnings that had crossed the wire. gilead came in slightly above estimates. the company said they have been spending a lot more,

particularly on r&d and other expenses, but that is tied specifically to remdesivir, the experimental treatment that they are hoping to get out the door as a possible covid-19 treatment. shares moving lower, dragging down the semiconductor space. shares had rallied about 60% over the past month on some optimism that people because of all the work from home were buying these external storage drives. scarlet, that did not necessarily materialize here. in the latest numbers, the a forecast provide that disappoints. shares down about 8%. scarlet: amazon also disappointing investors, especially considering investors had sent the shares to a record high in trading. they said they may incur a loss this quarter because of $4 billion of spending related to

covid-19. getting products to customers and keeping employees safe. normally, jeff bezos said, we would expect to make normally some $4 billion or more in operating profit. but that would not be the case these are not normal circumstances. adjusted loss of $.45 in the ofiod versus an adjusted eps $.14 a year ago. all of these companies that rely on people gathering in their venues, spending money among other people come are getting hit really hard. amazon moving lower in the after hours trade as well. we will be keeping an eye on apple, which will be reporting about four minutes, six minutes from now. back -- so,will be

we are obviously keeping an eye on apple. a lot of interest here, not only because it will give us the big read on consumer spending, but also on just how one of the largest companies in the world, one of the most interesting companies in the world, is weathering the crisis. a lot of people want to hear what type of guidance if any they give with regards to the outlook. scarlet: apple shares of course did rise into the close, up 2%. we will be keeping an eye on apple results when they cross, as soon as the cross. this is bloomberg. ♪ save hundreds on your wireless bill

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scarlet: we are looking at apples results, physical second-quarter revenue beating the contents of estimate of $54.25 billion. pushing its buyback and raising its quarterly dividend to $.82. cook saidpple ceo tim the company saw a pickup in the second half of april. ,econd quarter iphone revenue the company generated operating cash flow -- it managed to squeeze some growth out of the fiscal second quarter at a time when a lot of investors were looking past all of that and

what could come in the months and years ahead. apple shares moving higher in after hours trading. romaine: the buyback could be the game changer here. the ceo also talked in a statement about how installed vices reached an all-time high. apple really trying to milk more out of its services. whether it can expand that user base and get some expanded revenue. showet: it just goes to all that cash to use. let's bring in bloomberg technology host emily chang in san francisco. emily: i did just get off the phone with tim cook and i did want to highlight the point you mentioned from that interview, that he has seen a pickup so far

in april. aviously, these numbers are lot stronger than people expected. iphone sales were down about 6.7% from eight year ago. some analysts saying they could be down 30%. services and wearables really driving the growth. surging to a record. tim cook saying, what are you seeing now and how does that compare to the last few weeks of march? he told me, the last part of march and the first part of april was very depressed. then a pickup. we are not projecting this quarter due to the lack of certainty and visibility we have got. apple not giving a forecast right now. he said he believes the pickup in april has been driven by the

new products they have been able to release over the past few weeks. pro,acbook air, the ipad people getting used to the pandemic. stimulus from the federal government. romaine: did he talk about apple's operations, meaning their own people being able to get back to work, whether the factories in china will be back be backbrother -- will up?and running emily: -- backup and running? emily: they really don't talk about future products. they said they are really excited about their current lineup. my question, will this impact the products we should expect to see later this year? bloomberg has reported the new phones in september could be pushed out a few weeks.

no indication from cook on that. he did say that they have rapidly built the muscle to run the company this way. not indicating any supreme -- any extreme supply chain disruptions and indicating they are doing a fairly good job running the company with all of their employees working from home essentially. impacted very was early on by covid-19 because of reliance of what is going on in china. did apple give any color when it comes to china sales and what is happening over there? emily: they actually broke this quarter down into three quarters. the first third, things were disrupted in china. the second third, where the pandemic was starting to spread around the world. the third third where of course it really took hold in the

united states and europe. china, allstores in of them have reopened. the question is, when will stores continue to reopen around the world? he told me, as far as stores opening in the united states, by the first half of may, somewhere in that ballpark, some stores in the u.s. will open. not a large number. he said we will make a decision city by city, county by county. we will not be the first to reopen probably anywhere. they want to make sure that things are more than safe before they let people back in their stores. back intolow people their campuses, especially in it could behey said

early june, but he does not see them getting to 100% very quickly. they will take their time with this and also be doing temperature checks, health screenings. he said they are considering testing employees for covid-19. they are looking into that. but itnot been finalized is something they have been exploring. romaine: emily chang, she hosts "bloomberg technology" which airs right after this program in the u.s. we can see apple still a little bit higher here in appleton -- in after hours trading. let's go to the first word news. mark: house speaker nancy pelosi says up to a trillion dollars is needed to shore up state and local governments for coronavirus costs.

she said the best way that americans can support local nurses, bus drivers, and other frontline community workers is to make sure they don't lose their jobs to budget cuts. congress has already approved nearly $3 trillion to confront the health-care crisis. president trump is praising the way new jersey is handling the coronavirus pandemic. during an oval office meeting with governor phil murphy, the president stopped short of offering aid to the state. he says he knows that new jersey's hospitals have been put under enormous strain and that he would work with murphy with that issue. 460 new coronavirus deaths, a record daily increase. more than 7000 people in new jersey have died of the virus. u.k. prime minister boris johnson said the worst of the coronavirus is over and the u.k. he said, "we are past the peak

and we are on the downward slope." prime minister johnson returned to work this week after recovering from the virus. the u.k. will probably not meet its target of testing for the coronavirus. german chancellor angela merkel says it is too soon to ease travel restrictions and other curbs on public life. she met today with the heads of 16 other states. 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 crumpton. this is bloomberg. ♪

well in person even -- romaine: in person events are kind of a thing of the past. the two of your ceo spoke earlier with -- the twitter ceo spoke earlier with emily chang. >> we saw two different time frames during the march quarter. to march was january 1 10. we had a great super bowl and lots of things were happening around the world. to march 31,rch 11 we saw had revenue down. revenue down. we are a company that really benefits from events. our customers events or events on twitter where people come to connect. when events were pushed out and canceled, that definitely had some impact.

the second issue we saw, we are very brand focused in our advertising. brand advertising is harder to measure and sometimes less resilient during a more constrained economic environment. this is a reminder around how important our work is and how we have elevated that work to be our number one company priority. emily: facebook says it is flat. you have to be able to share some insights into what we can expect going forward. ned: i would give you two thoughts about this time from. the first one, it is incredibly dynamic. for us to discern patterns and articulate them publicly may put people in a position where they are making judgments on things that are still anecdotes and not data points. secondly, we think the march 11

to march 31 timeframe gives people a good glimpse of what it has been like for us to operate in this environment. advertisers start to pivot their campaigns. instead of advertising quickbooks, they were advertising the gofundme. you saw hyundai, advertising a program where they were helping their borrowers. we have been working really hard to help advertisers make this pivot. some of it happens quickly and others take longer to play out. emily: the olympics are being pushed back, live sports or not happening. if that continues to happen through the second half of the year, does that help -- does that hurt the healthy user growth we have seen? ned: we definitely benefit from topics that bring people to

twitter. sometimes those are scheduled things like the olympics or march madness. then there are things like the concert on television around the world a couple of weeks ago, which are bringing things together despite this pandemic or in some cases because of it. great audience opportunities for us and ultimately give us a a larger audience to show them all of the other things on twitter. we try to look at this much more about the long-term than about any particular event. romaine: we were just listening to the cfo of twitter, speaking a little bit earlier on bloomberg television, repent -- television. recapping the apple earnings. it said that revenue in the

fiscal second quarter that ended in march, up 1%, $58.3 billion. the company did not provide a forecast going forward but it did say that in the second half of april, it did see, in its words, a pickup, after he depressed period in late march and early april. they said they did see a pickup in demand toward the end of april. the company increased its buyback plan. shares a little bit weaker herein after hours trading. still waiting of course on the conference call. fall in amazon shares after hours trading. amazon rose to a record high. this is after they saw profits shrink and predicted they may report a loss this quarter mainly because they had to increase spending to keep logistics operations running smoothly. both vacantf apple, cap it cap -- both big mega

tech companies. the nfl is giving the e-commerce giant the exclusive right to air live games for the first time ever. we want to bring in our business of sports reporter to give us some more details. what exactly does this deal that amazon is struck with nfl entail? are two parts of it. amazon will continue to have nonexclusive rights to stream the thursday night games which they have been doing. the important part is the exclusive game. one game out of each of the next three seasons, amazon will be the only place you can watch that if you are not in one of the all markets. that is a much bigger deal. amazon dipping nato into the waters of exclusivity.

do we have any sort of sense of what amazon is getting out of this? is this just a play for more eyeballs ? eben: amazon is looking for a lot of different ways to make its prime service more enticing. partnering with the nfl is a pretty good way to do that. also, amazon sees an opportunity, if you have a chunk of amazon prime members spending three hours every week specifically in one place on your platform, you can maybe pitch them more of your core business. you can make t-shirts available commands, whatever it is. ond a way to pitch them things they want to buy. then you are getting both things. scarlet: bigger picture, when it comes to the nfl and the right

for the games, it kind of wants to spread the wealth a little bit. to that end, there are a couple of rights that will be expiring soon. does that deal with amazon suggest that the streaming players will play a bigger role in the broadcast television rights going forward? eben: that is kind of the billion dollar question. the reason the nfl is doing this kind of one game each season with amazon right now, they are trying to answer two questions. how many people are willing to step out of their comfort zone and watch the games this way? is the technology good enough? people who watch nfl games are often on twitter at the same time, often gambling live on the event. they need the stream to be good enough that they can do those things in real time and not have their stream interrupted.

amazon doing this right now is the nfl's way of saying, ok, proof to us that you can do this and enough people will go to your platform, then i think they can talk about -- it may have to be the next round of negotiations. but at some point, if amazon can answer those questions affirmatively, you can talk about a bigger rights package up against a cbs or espn. romaine: thank you very much. , the data we got this morning on unemployment claims, we also saw the personal income dropped the fastest since the 1990's. we also saw the largest decline in personal spending ever. however, the savings rate actually went up to the highest number since the 1980's. this is bloomberg. ♪

romaine: joining us right now is joe weisenthal. of course, he is the cohost of "what'd you miss?" but because of all the distancing, he can only join us at the end of the show. i want to talk about something that got lost in the shuffle of the monster unemployment claims data. that is the personal spending, personal income, and personal savings numbers. joe: of course, the headline grabbing number continues to be .hose jobless claims million, but we also got income and spending number. the was pretty striking was

savings rate. absolutely soren -- absolutely number inhe highest decades. i think it speaks to the degree that this shock has jolted everyone. even people who have hung onto their jobs throughout this. the degree of anxiety, the job scare, the health scare, the stock market crash in the first few weeks of march, how much people pulled back on their spending. a dramatic rise in the savings rate. it is interesting, we just got these comments from apple. they saw aid depression like spending, then it starts to ease. i think that is what they are seeing, a pulling back of spending outside of staples like toilet paper, food, then maybe some signs of some thawing now.

scarlet: the savings rate is interesting. people are not getting paid to put money away anywhere. interest rates are at zero. all of the central-bank action has to -- has been to push people out on the risk curve at a time when people feel like they cannot afford any risk. it is an interesting dilemma. and most people are not in a position to save right now. joe: that is right. are the overriding factors this extreme, i think there is very little defense can do to say you are only getting a quarter percent on your savings versus 1% at the beginning of the month. probably a marginal concern for people who are thinking about spending. that important to remember

one person's savings is another person's income. the fact that people have increased savings is mathematic loss in revenue for companies. in spending,tion all kinds of companies holding their dollars in this uncertainty when you have almost every actor in the economy choosing to hold dollars, mathematically, the only entity that can spend more is the federal government, hence the explosion in deficits and increased stimulus we are seeing. scarlet: joe weisenthal always keep an eye on the economic data. he is looking at the savings rate jumping to a 39 euros i. hybrid tomorrow, we get -- 39 year high. tomorrow, we get ism

manufacturing. that does it for "what'd you miss?" thanks for joining us. nextmberg technology" is with emily chang. she will be taking you through the earnings that have dropped, amazon, apple. this is bloomberg. ♪

♪ emily: welcome to bloomberg technology. i'm emily chang in san francisco. markets closing the day down but apple shares rising after hours. what somey beating, expect the company to report. iphone sales were down about 6.7% but not down as badly as some feared. i just got off the phone with tim cook. he