>> this stimulus really is a stopgap. it's come really late, and it is a little lame, honestly. >> i don't think it makes sense to give people who have jobs and income checks at this point. a very long time before we have -- again. >> put on your seatbelt. i think this economy could really rip. >> this is "bloomberg surveillance" with tom keene, jonathan ferro, and lisa abramowicz. good morning, everyone. bloombergmulcast on radio, bloomberg television. jonathan ferro is off. he's on tier seven lockdown. vegetablesgetting airlifted in, i hear. tom: vegetables, you say.

he, was i corrected this morning off the london desk. there's news there. france i guess blinked, and they are to make the trucks go across the channel. merkel is going to do a lufthansa plan. i think it is unloading christmas gifts. lisa: of course. you are hoping to get one of them. tom: but there we are. it has been an extraordinary day. if you are just tuning in, it is real simple. theing else going on in markets. everything is focused on one of the most historic four minutes in the history of this nation last night. we will get to the president and the stimulus in the morning. what do you have lined up for today? lisa: we will be talking more about that twitter post where president trump said he was not happy with this fiscal support bill that was passed. the data dump that we are all

waiting for i-80: 30 a.m., we are going -- waiting for at 8:30 a.m. we are looking for ongoing deterioration. my question, will it matter? is bad news good news, many more stimulus? or is bad news bad news because people are suffering? university of michigan consumer sentiment coming out at 12:00 p.m. national institute of health director anthony county on bloomberg tv. perhaps he will tell us about his -- anthony fauci on bloomberg tv. perhaps he will tell us about his vaccination. the story really is president trump putting the kibosh on the idea of easy passage of this bill, that he is willing to to preview -- willing to torpedo members of his own party. tom: it is overwhelmed by the history of the moment. kevin cirilli, our chief

washington correspondent, joins us this morning. i've got to drive forward to this crazy day and a new washington. what will you be watching today after the president's speech last night? kevin: republicans, and president trump, in his deliverance of his message with increasing the stimulus check to $2000, got immediate applause from democrats, including congresswoman alexandria ocasio-cortez, who said they will introduce enema meant immediately to replace any references -- introduce an amendment immediately to replace any references to the check to $2000. nancy pelosi tweeting out moments after the statement, saying, "let's do it." but republicans are cautious. republicans, and the president knows this, are cautious about spending too much money, and as a result of that, there is so much unknown as to whether or not, should the house of

representatives take up new legislation in a pro forma session on december 28 and december 29, if the republican-controlled senate would be able to pass that vote. tom: senator schumer of new york said let's do this deal and then argue about $2000 later. is that the core democratic strategy, or is there intelligent strategy to say we are on the side with the president, let's just wait and see what happens after georgia? kevin: that's the republican strategy. the republicans are saying let's do this deal and talk about additional stimulus checks later . that is based upon the conversations i have been having last evening, as well as this morning, but also in terms of the public comments that have come out in statements from people like senator lindsey graham. the clock on this is rapidly moving down. december 28 and december 29 are the last possible dates for votes in the house to take this up. the senate will be reconvened shortly thereafter. so either way, this is a

fascinating development where, political analysis now, the president being able to say he pushed for additional stimulus for american families on the cusp of the georgia ablef election, he also is to realign himself with a populist message in the final weeks of his office, and he is garnering praise from some of his most fiercest adversaries politically speaking. last night, when this announcement was made, i was speaking with a prominent liberal progressive source, who essentially said to me, he's right in terms of the fiscal stimulus checks. but the question becomes what happens for secretary mnuchin, for the president's economic team as they try to negotiate this, as they were at the negotiating table over the last couple of weeks. lisa: what happens when the government shuts down because there's not a funding agreement? are there enough votes to

override his potential veto? kevin: yes, especially as it relates to defense authorization , but i think democrats view this as an opportunity to increase the funds for americans , and as a result of that, forget the fourth quarter. this is an overtime battle for the stimulus bill that now puts us into the early part of next windownd it is a small between the christmas holiday and new year's. lisa: this twitter post the president put out was that 7:15 p.m. i saw the headlines and thought, it is going to be difficult in markets tomorrow. people are not going to like this tomorrow. tom: note that. -- nailed that. [laughter] lisa: today, no one cares. i think that is fascinating, tom. tom: futures up seven. kevin cirilli, what is so important here -- and folks, i

am falling back on its grade civics class -- on eighth grade civics class. you split the difference. if everyone comes out this morning and goes $1300, does that get it done? kevin: no. tom: why? kevin: because from an economic data perspective, if you look at the comparison of allocations that have been given, that government assistance has provided to families not in the united states, in europe, in the france, andmany, in you simply pull up the bar chart of where american allocations have come from, america has been consistently beneath that level. so a $600 check to families that have been pummeled to economic impact -- tom: i agree, but come on. $600 or $2000, split

the difference and everybody go home. kevin: but look at the political perspective. the democratic challengers are attacking politically senators loeffler on their closing argument, which is no economic stimulus. from a political prism, this would allow republicans to close out that argument in georgia, and senate majority leader mitch mcconnell definitely wants to keep a republican majority. this is an argument to do so from the politics of it, but whether or not turn out for this, we don't know. lisa: i've got to say, you entered that so diplomat. you could have just said it's politics. when is it ever that simple? i do wonder, given president trump weighing in with a more populist tone, whether this gives more momentum for the democrats, even if they don't get a majority in the senate, to

get additional fiscal support past. kevin: yes, it does. democrats are increasingly bullish on their changes in georgia. i spoke to the representative in an ultraconservative district. he has been echoing president trump in terms of the unfounded of questioning the legitimacy of the 2020 election. he was at the white house for a nearly three hour meeting earlier this week of president trump, and i bring this up because i spoke with him before the announcement last night, and what he was critical of was the $27 trillion debt. so the president has this ability to be able to bring on board ultraconservatives who are worried about the debt, but whose constituents are in lockstep with and loyal supporters of the president. the president is going to need people like congressman jody to get on board

with checks in a very short window if he wants to be able to do this. tom: thank you so much, and particularly for the reporting last night. mr. cirilli is our chief washington correspondent. bloomberg is all about conversation. dr. fauci will join us in the 12:00 hour today. and coming up in our next hour, stephen hahn will join us of the fda. i think it will drive forward the issue of the vaccines, and this raging debate into this week that has been subsumed by the politics over who should get the vaccines. lisa: and this just crossing the wire, that pfizer and biontech are going to supply an additional 100 million supplies of the vaccine to the united states. the united states was working with them to secure more of the inoculations. all 200 doses are expected to be delivered by july 31, so getting with that timeframe.

this is been the backdrop. how long of a bridge do we have to cap to get to the other side? perhaps we are getting a tear timeframe that it is july 31 before we get some more. tom: some of this was secretary a czar over on fox -- was secretary azar over on fox, but we need to get to 60% of society vaccinated, and that gets you to the when, which is when the optimism of march and april, or as you mentioned, into the summer. lisa: i love how you always put kevin on the spot and ask these questions. let's just split the difference. and he has to just dance around it, saying it's politics. when do they ever come up with a support answer? bill and a 2000 page hours before it passed, the president says nah. tom: the president is part of

the discussion. in this case, the president is a little late to the discussion. [laughter] lisa:. a little tom: just's -- lisa: a little. tom: just to split the difference and go home. futures up six, dow futures up 50. this is bloomberg. good morning. ♪ the first word news, i'm ritika gupta. president trump is signaling he might not sign that massive coronavirus and spending bill passed by congress. the president called the build a disgrace and said it is filled with wasteful and unnecessary items. he demanded congress increase stimulus checks going to most americans from $600 to $2000. president trump handed out a number of pardons, including one to a former campaign aide. george papadopoulos was convicted of lying to the fbi.

he also pardoned former congressman duncan hunter, who pleaded guilty to misusing. . his campaign funds -- misusing his campaign funds. israeli prime minister benjamin hisnyahu is heading towards fourth election in two years. he and the opposition of party badly-white weakened. authorities say nonresidents who are able to show negative coronavirus tests will be able to travel from the u.k.. traffic has begun to move. pfizer and biontech have agreed to supply 100 million more doses of the coronavirus faxing to the u.s. government. there have been reports that the u.s. declined an offer --

coronavirus vaccine to the u.s. government. there have been reports that the u.s. declined an offer for additional shots. global news 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i'm ritika gupta. this is bloomberg. ♪ every year, we set out to do one thing: help the world believe in holiday magic. and this year was harder than ever. and yet, somehow, you all found a way to pull it off. it's not about the toys or the ornaments but about coming together. santa, santa, you're on mute! just wanted to say thanks. thanks for believing.

pres. trump: i am asking congress to amend this bill and increase the ridiculously low

$600 to $2000, or $4000 for a couple. i am also asking congress to immediately get rid of the wasteful and unnecessary items. tom: absolutely extraordinary. , a four minute video in the 7:00 hour. bombshells exploding in the 8:00 hour as he adjusts the stimulus debate. we will have much more on this through the morning as well on the budgetary process, but also the political process forward. , those 13 days away important senate elections. right now, not a strategy, and not on fixed income or equity or fx and what to do, but way more important. you've missed this market and you need to get back in. with chiavarone is federated her mess -- federated hermes.

what is the plan for 2021? know it is becoming consensus, but we have said all along that the biggest stimulus that is going to come is the vaccine. rates are going to stay low. you are going to get stimulus eventually, this most recent one notwithstanding, and in the vaccine with tax -- within 2021 is going to be a very good year. small caps, value cyclicals, dividend payers have risen to the top of that list more recently, and international stocks. tom: i think of credit suisse which is really going against consensus of small-cap. they say tech will still do well. do you abandon the successful stocks of the last 18 months? steve: no, there's nothing wrong with tech. we think in an absolute sense, it will be fine over the next year, and probably the next three to five years continued to be the winner. the story is the incremental

news flow. next year, the economy is open. all of the chips won't be in the direction of tech like they were this year. other businesses will look far better, particularly the ones that have been most severely impacted. we think over the next three to 12 months, you could see other parts of the market outperform, but that doesn't mean tech is going down. it is going to continue to move higher. tom: this is absolutely critical. if this an absolute move or a relative move? that is the debate we see on "surveillance." lisa: i do wonder, when does it matter? we are going to get a data dump in about an hour and 10 minutes. we get unemployment and personal spending. none of it ever matters. bad news is good news, good news is good news. when does that change? steve: you know i have been pretty constructive. even i thought the market might be down a little this morning after the announcement. lisa: you agree with me!

you also went to all caps immediately. go on -- all cash immediately. go on. [laughter] steve: we still have to make money. there's a value that we know about, and that is this kind of third way before we get everyone vaccinated. i don't think the market really is concerned with how deep that valley is. anything that would make that last longer than the market might worry about that. if the vaccine didn't work on the mutant strange, that would be a problem. but it does, as much as we know so far. it matters how deep this tally is because we think we will get some stimulus one way or another. the question is are we still on track to get the country vaccinated at some point in the middle of next year, and then get a recovery? as long as that is in place, relatively has been -- lisa: economists say it does matter when we get the money

because if we let the un-limit benefits expire, if we don't have people buying as much, that could have long-lasting effects. then we have people investing in the market say it doesn't really matter when it gets here as long as we get it. can you square? that difference? -- can you square that difference? steve: i think they are both right. these larger companies that have plenty of access to capital, the economy overall doesn't need stimulus. however, from a humanitarian perspective, but the market aside for a second, there's a whole bunch of people that are going to have a really difficult christmas and new year's. there's a whole bunch of restaurants and small businesses. it would be a shame to see them go through undue pain because the folks in washington can get their act together. we had eight months to figure this out. so i think they are both right because from a market , that doesn't really

change. tom: to the heritage of federated of pittsburgh, and that is money market funds. you guys built a franchise. you guys on that. what is your best research on haveeality of, if i $100.00, i am not making $12, oring $10 or living large at $16. what happens if rates continue down to the great money market funds of this nation? steve: i think money market funds still make a ton of sense, even in a low rate environment. lower in then deposit accounts. there's really no opportunity for when rates rise for those deposit accounts to provide higher interest. the other issues, and i think this is important, is cash is an

asset. it provides flex ability. we do think rates will move higher eventually. is it going to happen in the next year or two? probably not. this economic recovery could be faster and stronger than folks expect, and maybe the fed isn't at zero as long as everyone currently expects. is other element i would say how you actively manage that cash. are you able to invest in companies that are good stewards, as an example? i think there's a lot of reasons still to use money market funds. the other option is to go out the yield curve. we can pick up a little bit more yield, but not a whole bunch more risk. tom: thank you so much. steve chiavarone, i really can't say enough about his approach to asset allocation. lisa, this is so important, this differential between america, and to an extent, england versus continental europe on negative

rates on money market funds. is the great unspoken of 2021. lisa: we saw closed money market funds this year because they could not provide the same kind of return, or at least a positive return, given fees on some of these money market assets. it really raises a question of how much leverage the fed has at this point to potentially stimulate with lower rates. tom: futures up six, dow futures up 51. 23nicely on the vix from 31, .62. actually a little bit more calm earlier, but the tape nevertheless with a lift, particularly off of the shock we saw out of washington. i really can't say enough about our medical coverage here. of then will be with us fda, and then dr. fauci will join bloomberg i believe in the 12:00 hour. that is a really sterling perspective on this pandemic as

well. again, the bond market not .howing much right now 0.90% on the 10 year yield. on radio, on television, lisa abramowicz and tom keene. this is bloomberg. ♪ are you frustrated with your weight and health? it's time for aerotrainer, a more effective total body fitness solution. (announcer) aerotrainer's ergodynamic design and four patented air chambers create maximum muscle activation for better results in less time, all while maintaining safe, correct form and allows for over 20 exercises. do the aerotrainer super crunch. the pre-stretch works your abs even harder, engaging the entire core. then it's the back extension, super rock, and lower back traction stretch to take the pressure off your spine and stretch muscles. planks are the ultimate total body exercise. build your upper body with pushups. work your lower body with the aerosquat. the aerotrainer is tested to support over 500 pounds.

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tom: good morning, everyone. truly remarkable day. some economic data here in one hour. on radio and television, across this nation, the president with a bombshell last night. a four-minute speech where he said i am going to insert myself into the stimulus process. i will be honest, after three or four conversations, i'm not really sure where we are heading this morning. we will learn a lot more through this day. lisa, your thoughts on the president's comments. point outst want to that steve chiavarone, who is much that are at asset allocation then i, had the same thought that the markets would take this as negative.

i think it is telling that people are interpreting it instead as positive, and the sense that perhaps this means more money longer term. tom: we will have to see. very quickly here, you put out a tweet this morning. unfortunately, it was smarter than anything i did. it was on corporate yields coming down. it is surreal. it is simply a demand for the paper. price up, yield down. it is that simple, right? lisa: it raises the question, where do you go for income? just to give you some perspective, u.s. treasuries, 10 year u.s. treasuries were yielding more than that in january, before the pandemic. it just raises the question, if you want income, where do you go? our stocks the new bonds given that you could get a dividend that is much higher among stocks? how much risk do you take not going into risk? tom: joining us from florida, was eagle asset management, james camp joins us this

morning. i want to go right to the heart of the matter, which is di-worfication, and se-ification as well. was diversification your friend in 2020? james: i thing it was, but if you begin the year with asset allocation, you might think that you ended in the same place. but bonds were quite generous relative to the equity income side. in fact, i think the key is going to have to be tactical income and asset a location around the different ways of generation, not the traditional static 60/40 portfolio. tom: your charm is you are really front and center with people worried about their money. as a general statement, how any people you talk to, institutional and retail, how many of those people are

agonizing because they feel they are behind? james: there's a couple of things to that question. if you look at the s&p and you look at your utility of generating income in a non-s&p portfolio, it fails the eye test because such a narrow band of the s&p has been the performance drivers. those have not been the income securities. but the converse of that is people are looking at year end, looking at money markets now that are essentially destroying capital at zero, and now they are getting this where do i go for yield question. a lot of those equity securities which lagged in the total return since have actually produced or are producing even more generous yields as we roll into 2021. recommendingyou going into dividend stocks in lieu of bonds, replacing bond allocations with equities? james: not wholesale, but judiciously. one of the things we have to remember is the recession of

2020 was actually quite less problematic for dividend payers. fewer cuts, fewer curtailment's, and fewer suspensions than in 2008. as you mention, with stimulus and other things, there's a tremendous amount of velocity in money supply being curated -- being created because there's massive amount of debts at this low yield. their balance sheets are actually in pretty good shape, and the compounding nature of this dividend is in pretty good shape as we head into 2021. lisa: the trait has been the driving force in markets for years now. bond yields go down and everybody floods into stocks until it runs out, and basically you start to see that stocks can have a negative return. at what point does the tina trade run out this time? what do you see as the catalyst that could check people's risk impulse and get them to buy back

-- to pile back into the safety of something bonds? james: what's going to happen is the base effects of march, april. pe higher.g to have we are not producing at great condemning levels. commodities are higher. i think what derailed the equity market is a spike in bond yields, and that may come sooner than people expect. all it takes is the bond market to get spooked. higher,bond yields go and that puts a little but of a brake on the stocks. tom: we are addicted to this. i deal with it with a wall of cash that is out there. we talked to liz ann sonders of schwab yesterday about the same idea. i get the theory, and i get that if i have a bond portfolio with eagle asset management, and i and down three months in a row i am miserable. i get all that. but the fallback is there is a

wall of money out there. do you look at that wall of money is a source of funds for a bid to the markets, or is that wall of money and institutional artifact that is going to stay there forever? james: it doesn't seem to have been cut loose here, so it may be just a permanent part of the capital stock. if you remember, we had a lot of money tied up in the plumbing. the repo market is one thing that is kind of industry. -- kind of interesting. maybe a different topic. as long as the fed is going to make institutional funding costs zero, 1.25% on the 10 year is going to look relatively attractive. tom: i don't mean to interrupt, but we are running out of time here, and this is really important. what does the official james camp yield hog meter say right now? is following this almost on an hourly basis.

to me, it is screaming trying to parse out basis points. are we back to that solution us -- that foolishness? james: you have seen some of that in the cash markets. cash is the stuff that is meant to be safe. and folks products going for 10, 15, 20 basis points of yield, which is inconsequential from a wealth standpoint, but very consequential from a risk standpoint. 0% interest rates have effects on people's behavior. affect corporate behavior, investor behavior. the best is to be judicious in owning stocks versus lending that is efficient, and be ready if bond yields do rivers here. for an entryking point here. lisa: but would you recommend to somebody like tom keene the erratically, who has their money in quadruple levered cash funds? tom: quadruple. lisa: that's right.

james: as uninteresting as the corporate bond yield is, there is still a lot of interest in cash, and it is probably going to be just fine long term. if i need to get tom out of the cash market, we probably need to have a longer conversation. tom: i am going to go to a florida conversation. cass,claimed douglas james camp, he is long-term bullish on amazon. , wasdo you do at your shop institutions of retail that got lucky, but apple for nothing, amazon for nothing. what do you do with these people with china or miss -- mous techith ginor gains? james: if you roll that cost basis into income production at

these levels, your net income relative to the actual entry point in the stocks is going to be sick if it can lay higher. so you can do some optics with what those yields really look like, but at the end of the day, we have tesla that is no bigger than all of the other automakers combined. we have options that expire in a week that are 70% of the options market in some of these tech names. we know what retail is doing. that they are asking about things like tesla, and that scares me. tom: why is everybody moving to florida? do you have a massive boom down there? james: we have sight unseen bids on houses in our neighborhood for people from new york. it does feel that way. but i will tell you we do have a dearth of friends north of the border because of covid. tom: james camp, thank you so

much. it is really wonderful to get the realities of portfolio management. lisa, i learned a lot there about the pressure where if somebody actually walks in an office, sits down and says man, have i missed this, there's a lot of that out there. lisa: i think about that with the weather in florida and the weather in new york city. how much are people going to return to the big city model? i was thinking up a lot -- i was sitting a lot about this this morning. there was a story about how much office demand may or may not come back. it is a really controversial issue, with one estimate of about 10% to 15% decline in office space demand after the pandemic. tom: i am in the camp that i think it will come back with a vaccine and with what we see there. lisa: where do you go for vacation during a pandemic? tom: nowhere.

mcdonald's. [laughter] lisa: a number two value meal? but to me, your kids are homeschooling. they are not getting out. they are not seeing friends. you are not seeing friends. where you go to give people hope? tom: watch "the mandalorian" for the third time. [laughter] lisa: there you go, breaking news on "bloomberg surveillance ." tom: my failure this holiday season is i have gone down in flames because i don't have baby leda on top of the yu bush. they want baby yoda at the top of the tree. christmas trees in new york city. come on. it is a scam. the trees are cheaper down in florida as well. this is very funny, but it is not funny for patrick foye. it is really serious, and it is wrapped around the stimulus. the president speaks of funding

to cambodia. how about funding to the transportation systems of our great democratic cities? foye of the mta. we will do that in just a bit. this is bloomberg. good morning. ♪ ritika: with the first word news, i'm ridiculed -- i'm ritika gupta. president trump now signaling he might not even sign the massive stimulus and funding bill passed by congress. he said it is a disgrace, filled with unnecessary and wasteful items. he suggests that congress increase the checks going to most americans from $600 to $2000. meanwhile, joe biden warned that the darkest days of the coronavirus pandemic are still to come. the president-elect called on congress to be ready to put another -- to be ready to pass another stimulus bill when

he gets into office, but did not put a figure on it. robert lighthizer rejects the consensus from economists that they duties on imports from china have been a failure. he says that in five of the six quarters before the pandemic, there was an increase in the u.s. trade deficit. plus, lighthizer says the tariffs helped lead to higher household income. a post-brexit trade deal hangs in the balance. with fishing rights still the key issue, prime minister boris johnson and european commission president ursula von der leyen have intervened, making a last bid to reach an agreement before the u.k. leaves the single market at the end of the year. elon musk says that years ago, apple ceo tim cook refused to take a meeting to discuss buying tesla. musk indicated the price would have been about $60 billion, roughly 1/10 of its current value. he says he reached up to apple and what he calls the darkest days of the div element of the tesla model three. tesla is not ash apple is not

commenting -- apple is not commenting. global news 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i'm ritika gupta. this is bloomberg. ♪

mr. biden: unemployment is extended for another 10 weeks.

it is going to take a lot longer than that. but congress did its job this week, and i must ask them to do their job again next year. tom: and then the conversation changed. n extraordinary "bloomberg surveillance" this morning. dr. hahn of fda with us later, dr. fauci in the noon hour. the president blowing up the dialogue last night and the 7:00 hour. what is so important here, and i listen to the entire four minute video, i believe the president led with the complaints, starting with the funding of cambodia. there are others out there worried about the good that is in the bill for your we heard that from senator schumer in new york. or isabout cambodia, it about the train to coney island? joins us.ye , you clear on the mta

are funded within this present bill so that the m train runs to coney island. >> that's exec leroy. -- the bill provides funding -- that's is ashley wright. the bill -- that's exactly right. the bill provides funding to the mta. see drastic cuts we have been talking about on subway and commuter rails will be avoided until at least 21. if the lawyer gets a cup of coffee with the united states, how do you straighten them out? think the american people need relief, and the mta definitely needs relief. the bill that was passed earlier in the week is incredibly important for the mta, and the

mta is critical to the economic recovery of new york city. not having to make reductions on subways and buses, up to 40% to service reductions and 50% on commuter rails, and avoiding laying often thousand of our colleagues, is incredibly important to the newark economy. in why you said we could lose up to 450,000 jobs in the region if we had to make these cuts, and about $60 billion of gross regional product. that is a national issue. this bill gets it done. president-elect biden is right. there will be need for additional negotiations, legislation, and relief next year, but that is next year. this bill is a matter of critical urgency. lisa: just to give you some numbers behind it, $14 billion of aid was committed for public transit in the bill. at least $4 billion of that going towards the mta. how much time does that by you before traffic on the subways

come on the buses really has to pick up back to something that reasonable's pre-pandemic? theick: it buys us all of one. it covers the $4 billion plus mta deficit. we will need more relief, but to get us through this year is an extraordinary -- is extorted nearly important. we will be able to continue and grow the service we are providing for the essential workers and first responders and office workers as they return to new york. lisa: there is a concern about whether people will have the same confidence in public transportation post pandemic because of the incredible response and the potential for transmission of disease. what are you finding? how are you convincing people that it is not a vector of disease, and that they will be safe coming back to the subway even after the vaccine? patrick: one is we are disinfecting every subway station and subway car. same on commuter rail, same on

our transit vehicles, multiple times a day. we are innovating in terms of air exchange, antimicrobial , some of whichht we are experimenting with government agencies. around the world, no vector of covid-19 has been identified with mass transit. governor cuomo reported recently transmissions% of occur in private gatherings and homes. transit, all of our passengers have to wear a mask as a result of the governor's executive order, and compliance is export nearly high, well overnighted 5%. tom: what have you seen them up -- well over 95%. tom: what have you seen? is the fear receding? patrick: i think the fear is receding. the ridership declines are worse than the great depression, and

the worst day in march and april was down 95%. it is now down about 70%. that is a huge drop, but still a great improvement. we are the largest transit system in the country read to prependur peers them at levels, and ridership will continue to increase. tom: to speak right now to the cities across the nation, they are not new york. they don't have a transportation grid. they are stuck in traffic out on some highway somewhere. speak of how your world overlays with people stuck on bloomberg radio in some traffic jam right now in dallas or in san francisco. dallas and san: francisco have transit systems, and there are more transit systems around the country than

is commonly perceived. what i would tell your listeners for instance in nebraska is that there are 2000 americans working in lincoln building cars for for new york city subways in the capital railroad. why the rudin center indicated that there would be this national effect. tom: good update. ,hank you so much, and again i can't tell you what the essential services have done here, just to witness it in the confined space. it has been really extraordinary to see this year. lisa: you were talking about other cities across the united states and their public chance predation, and it remind me of austin. there are some any businesses moving to austin, and one of the big challenges is that it doesn't have a sophisticated public transportation system,

and the traffic has been a real concern. in november, they approved a $7.1 billion plan, but it just raises this issue. on theh of a cap expansion of these large cities is going to be based on the public transportation networks that are or are not available? tom: huge story. i enjoyed sitting in portland, oregon's traffic jam 18 months or so ago. on that austin, texas is front and center. dow futures up 57. boredom rains in the bond market. why? lisa: i don't know. that is classic, right? people are looking at the fed to cap any potential upside moving yields, and on the downside, there's a cap because people are exciting inflation to pick up. same story, same consensus. say, araft, as they seattle slew of data coming out of 8:30. durable goods boring. how about claims?

we get claims on this wednesday. the raft, exactly. that is an important number. we do claims on this wednesday. we do that in 30 minutes. alisa levine on the equity markets. this is bloomberg. ♪

>> this stimulus really is a stopgap. it has come really late, and it is a little lame, honestly. >> i don't know if it makes a lot of sense to be giving people who have jobs and income checks at this point. >> this is not a normal environment, far from it. >> there could be some surprises. >> it will take a very long time before we have -- again. >> put on your seatbelt. i think this economy could really rip. global news 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. this economy could really rip.