>> the fed wants to give inflation a chance to pick up. >> there's a risk that we are going to get inflation policy. >> inflation has been too low. in some way we should rejoice. >> when we open up a will be bottlenecked. >> it should be somewhat temporary. >> it is an overwhelming amount of monetary stimulus. >> until it is clear we are out of the woods we have to be aggressive. >> this is "bloomberg surveillance." jonathan: from new york city for our audience worldwide, this is "bloomberg surveillance." alongside tom keene and lisa abramowicz, i'm jonathan ferro. equities pushing higher, we are up one third of 1%. chairman powell has a message for president biden, could i have another term please? that's what it sounded like.

tom: we have to see. he makes it clear he likes his job. four bodies that need to replace at the fed. you know the president will be very sensitive to his constituency. one thing about powell is -- i just had a thought popped into my head, could you see lawrence summers as the chairman of the fed? jonathan: i think former president barack obama won saw that and got some pushback. tom: let's stop the show on radio and tv, michael mckee last question to professor summers? jonathan: i think it's more likely that michael mckee gets the fed chair than larry summers. i'm sure mr. summers would be very upset about that. yields lower. a break of 1% on two year yields. tom: this is math. there's something about the fear of zero, the fear of negative.

0.10% is a big deal. it was just for a big but -- it was just for a moment. jp morgan i think it was two summers ago. tom: a wall of money. jonathan: nowhere to go. tom: a cash spiral to deflation. jonathan: lisa, do we have a debt shortage? lisa: this is the question. it is a structural issue. the u.s. government is doing a number of aspects that are technically leading to a demand for a place to put cash. this is the backdrop of an economy that is not recovering as quickly as people would like. it: 30 a.m. we have u.s. initial jobless claims. the are expected to come in a little bit. 750,000 new jobless claims we are expecting to get. why this is such a big problem, job creation is not nearly fast

enough. 28,000 over the past three months versus one million at the end of october. it has stalled out. 10:00 a.m. we will possibly get some sign of the cure could be. president biden and vice president harris are meeting with senators on an infrastructure spending bill. what would be the main provision? how much support could they get for this? especially giving -- given how contentious the democratic party is with the current stimulus package. it will try to meet that demand for debt. they are selling $27 billion in 30 year bonds. the demand right now to be clear, the debt deficit is on the short and because of this wall of cash your the question is how much longer could this wall of cash continue to go on the longer and given how much people are concerned about inflation. jonathan: there has been a nervousness around duration and rates. a little bit more nervousness

around that story. we might see some more money gravitate toward the front end. tom: i don't have the chart in front of me. i recall this from the other times it happened. when you get curve steepening you get it rapidly. the rate of change moves and that is because sometimes you have two things moving at once. the short-term rates coming down. long-term the 10 year, 30 year, that goes up higher and higher. jonathan: equity futures up 11 on the s&p 500. i think that is pretty good. futures positive 4/10 of 1%. of one third on the s&p 500. could we see that bond board if it exists? tom: we do not have it. jonathan: the bloomberg terminal, this is what it looks like and treasuries, 10 year

yield unchanged. 3% yields going nowhere this morning. ahead of that huge -- tom: this is critical as you go into production for the real yield tomorrow. we take -1.07. is anyone prepared for the real yield to go to a greater lower statistic? jonathan: at this point? i don't think so, tom. i thought you were going to say the other way around. tom: i don't anybody is looking for the real yield to go to a lower number. jonathan: a lot of cash looking for a home. how powerful is that force? >> it is quite powerful. i don't think it gets unleashed until we are allowed outside of our homes. you have cash being put into the system but you don't have the velocity yet because while the recession is over the pandemic still is not. you really see that have effect

on the back end of the year. we are getting ahead of ourselves there. rates and inflation are heading up. that is not something we are getting overly concerned about. tom: we have to recalibrate. it is equities to the moon. every other stock story out there. how are you recalibrating the equity storage -- surge or do you ignore it? why did you do this? steve: since last august we've had four parts of the market. dividend payers, international equities, and small caps. when you add the disruption around the reddit issue, value stocks underperformed by about 5% over a two week period.

once we get a sense that the reddit impact on the broad market wasn't that concerning, it started to settle down, we wanted to jump in and give more cyclicals. we thought they could take a break and we jumped in there. when you look at this market you cannot find income. we go to the equity market. rates likely to stay low. the vaccine offering promise of a better half and earnings growth about the term positive at a year-over-year basis. 20-25%. that is an attractive set of fundamentals. jonathan: it hasn't been great. do you want some? do you want 575? unsecured debt, do you fancy that? steve: i'm not running into the

lisa buzz saw here. [laughter] lisa: buzz saw, wow, carry on. steve: this is my first time on the show. if you are looking at risk for income it does not exist. that is one of the areas we think is plenty attractive. if you look at the dividend yield or the discount of the broad market they are exceptionally cheap. they are steep as they have been in 20 years. i don't know why you would cut it this year. lisa: how much perfection are we pricing in? how much are we vulnerable at this point to disappointment whether it is the unemployment picture, earnings picture, or vaccination schedule picture? steve: it is very hard for the market to pricing disappointment

when they believe there is good news in front of them. no one is willing to sell when the widespread vaccination is coming. we are willing to sell the market when an additional stimulus bill is coming. after vaccination, after this stimulus bill then there is some economic data you could get a little disappointment. tom: i want to go to your new house, claims allocation. -- wheelhouse, claims allocation. steve: for folks who are looking for income and not able to find it in the traditional instruments, they do dumb things. it is ok to go out of the risky curve but it should be on risks you understand and are comfortable with. that could be dividend equities, it could be high yield. when you start getting exotic instruments that take you further and further away from the cash flow and introduce liquidity risk, price risk, that

is where you get into trouble. you have to take more risk. jonathan: this is a big move for you. tom: i want to avoid the buzz saw. jonathan: tom keene, it's an absolute nightmare for any financial advisor. we talked about that carnival debt offering. it got up sized by about $1 billion. that is the story. these offerings come you talked about the reversed inquiries this week. the ipo's, they will climb higher, there is huge demand for it. lisa: this is their fifth offering. they don't have any cruises going anywhere.

jonathan: here we go. lisa: they were secured by ships, they are no longer secured by anything. they are saying believe in us that people will get back on our ships and we will have a post pandemic era sometime. tom: why? how could they raise that money? what is the why? lisa: exactly what jonathan is talking about. the debt shortage. people are looking for income anywhere. they are saying cruises won't go away. jonathan: there's a downside. you are sacrificing some economic -- this is the objective. let's be clear about this. this was the policy objective. tom: fair. jonathan: the fed took great success. because of what their policy objective actually was. lisa: we need an -- tom: we need an update. there were hospital wings pushed aside yesterday on the vaccination.

how are you doing with the hand? lisa: if anyone misbehaves. tom: they shut down traffic. jonathan: lisa is not in a good mood this morning which sets up this program quite nicely. in new york city from new york, boston, d.c., san francisco and on sirius xm channel 119, this is bloomberg. ♪ ritika: with the first word news, i'm ritika gupta to. how democrats are building a case against donald trump using his own words. a chilling video of the storming of the u.s. capitol lawmakers escape. they laid out their case during opening arguments of the impeachment trial in the senate. one argument the former president tried to so doubt about of election -- election

results. according to a white house account the president spoke with xi about china's coercive and unfair economic practices. he also brought up human rights abuses and restrictions of political freedom in hong kong. european union has reset their post-brexit relationship. they said the british need to honor their promises they made as part of the divorce deal. the u.k. has asked the eu to delay the implementation of border checks on some goods. in japan, former prime minister reportedly will resign the tokyo olympic organizing committee following remarks that demean women. that is according to tv. there has been growing criticism over his comments that adding women to the board of the committee would lead to more talking. global news 24 hours a day on air and on bloomberg quicktake

powered by 2700 journalists and analysts in more than 120 countries, i'm really could groomed -- ritika gupta, this is bloomberg. ♪ so you're a small business, or a big one. you were thriving, but then... oh. ah. okay. plan, pivot. how do you bounce back? you don't, you bounce forward, with serious and reliable internet. powered by the largest gig speed network in america. but is it secure? sure it's secure. and even if the power goes down, your connection doesn't. so how do i do this? you don't do this. we do this, together. bounce forward, with comcast business.

>> there are insurrectionists who attempted to affect the

peaceful transfer of power. that should give everyone great pause. >> they would've killed vice president mike pence if given the chance. they were talking about assassinating the vice president of the united states. >> it was gut wrenching, the bravery of our police officers. it was compelling. i hope our republican colleagues have an open mind as we look into seeing what we have seen today. jonathan: lawmakers speaking in washington. republican senator bill cassidy and senate majority leader chuck leader -- chuck schumer. alongside tom keene and lisa abramowicz, i'm jonathan ferro. one hour, 12 minutes away from the jobless claims today. two hours, 12 minutes away from the opening bell. futures up 11.

the euro-dollar doing ok, 1.21 28. higher again by a couple of basis points. tom: the bitcoin has really held up the bit. a big surge up to $48,000. jonathan: the story of the week, i think. i imagine we will see more of it. tom: right now we get to buy in on the expertise of our chief washington correspondent kevin cirilli. the emotion is evident. there is different categories here. people ignoring impeachment, people completely focused on it. i want you to explain the next step for president trump's lawyers. what do they do to recalibrate after the emotion of those videos? kevin: there was a report earlier this week where senator lindsey graham spoke with former president trump and said even despite the opening arguments of

the house impeachment managers of the democratic party that he faces virtually no chance of being convicted in the senate. all of the comments that are going to be coming over the next eight hours of time that the former president's defense attorneys had to make their case. as you just alluded to the politics of this moment in the republican party, the senators are already entrenched in their respective camps. there's a lot of calculations being brought into how a particular senator arrives at the conclusion. for some it is based upon -- tom: come on kevin, there's one calculation they have to get reelected. kevin: i'm thinking of one senate office in particular. how does your boss survive at --

arrive at their respective conclusion? it is based upon the domestic polls that are in their constituent states. it is public opinion that shapes things. the testimony, the facts. it is a combination. i bring that up because to your point that you are alluding to, it is different than a trial going through the judicial system. this is a political arena. jonathan: operation reelection. the former president could cause a lot of trouble in the midterms for any of these people who vote against him. kevin: when i talk to sources connected to trumps political's -- they are adamant they will be making their case in the 2022 midterm elections. when you look back to the general thinking on the republican party was they feel they are on the cusp of winning the house back in 2022, who's going to clear -- declare victory should that happen?

the former president wants to set himself up to say he was the one that was able to double down on trumpian principles and that's what carried them to re-taking back the majority. i did speak yesterday with a republican who is actually considering a run for congress in a much more moderate state in 2022. what this source told me was there is a tight rope that has to be walked that has to do with balancing support for the former president while also trying to make ground with the suburbs. if that wasn't enough for the calculation we have oversimplified this in the media. redistricting will be coming up in the next couple of weeks as well. jonathan: to what extent do you think the current president sounded like the former president on that phone call with the chinese leader? kevin: in terms of the agreement from a u.s. perspective that china has abused and overreached

its power, they are speaking from the same general desire for there to be a same outcome. republicans and democrats agree on that point. in terms of the frosty nest, the issue of human rights is being brought up in the first call is much different in terms of what we saw from the previous administration. former secretary pompeo to raise those issues. jonathan: kevin, great to catch up. chief washington post. lisa, in some ways this particular way the new president sounded somewhat like the old president. lisa: which you have been talking about. this was very predictable. one thing i find interesting with the idea of the impeachment as well as what president biden

is doing with china and domestically is how much room he is getting to do what he wants. republicans are distracted and divided by the impeachment trying to figure out how to cover their political tracks with their base. it's a pet -- a potentially still supports trump. perhaps with the unseemly nest of these videos. that is something that shouldn't be understated. this idea that allows the democrats to have more free reign. jonathan: do we wake up to a $2 trillion stimulus package unnoticed? lisa: i don't think it will be unnoticed but i think that might be what happens. tom: the fact of the matter is the buzz saw of abramowitz. there is impeachment, there will be a catharsis. there is an end to this and we are right back into it. jonathan: you are hitting that on the head. it is always about reelection. tom: this copy the -- coffee

this morning is just not happening. lisa: how do you get elected when former president trump still has so much support of the republican base. tom: i think that will be tested, i will be honest. lisa: i wonder on the china front, one of the criticisms president obama got continuously is you focus too much on the former and not much on the latter. focusing on human rights abuses upfront. they are not ignoring the economic issues as well. that is something i think the former vice president when he was the vice president, joe biden was accused of. they did not focus enough on the economics. tom: completely unnoticed with all the news flow, the yuan appreciation has just not been discussed enough. jonathan: very little pushback either. it is one of those things that

lisa said justice slipped under the radar. tom: beijing under the buzz saw of abramowitz. jonathan: coming up bank of america global research strategy. good morning to you all. equity futures up 11 points, about one third of 1%. (announcer) do you want to reduce stress? shed pounds? do you want to flatten your stomach? do all that in just 10 minutes a day with aerotrainer, the total body fitness solution that uses its revolutionary ergonomic design to help you maintain comfortable, correct form. that means better results in less time. and there are over 20 exercises to choose from. get gym results at home. no expensive machines, no expensive memberships. go to aerotrainer.com to get yours now.

♪ jonathan: from new york city, this is "bloomberg surveillance ." here's the price action for you. futures was a little bit of a lift in yesterday's session. we finished off those levels. nasdaq futures up 0.4%. on the russell, we advanced by about 0.3%. twos-tens 30's, your two-year yield dropping to record lows. a lot of duration coming to the market over the last week. think the broader theme, a lot of cash looking for a home. yields up just a little bit at the long end. let's finish on this, high-yield, just for lisa.

a lot of issuance coming into the market. carnival, unsecured debt. try to trick accrues at the moment. -- try to take a cruise at the moment. this is high-yield spreads over the last year, tighter, tighter. we keep getting tighter and the appetite for that debt keeps getting bigger. that's the story cross asset. here are the movers. good morning, romaine. romaine: the ridesharing business down by about half in terms of bookings. the bright spot was uber eats. that rose by about 130%. unfortunately, you are not going to get the profitability. a $1 billion net loss. the ceo said they do expect to get ebita positive sometime in

2021. an interesting story on pinterest saying that microsoft approached pinterest about a potential acquisition. it is interesting. let the speculation begin. what is interesting is pinterest has a $51 billion market cap, and microsoft has $130 billion plus in cash and its balance sheet. mastercard embracing crypto, a coin called bit. tom: i'm sorry, romaine, i just don't get it. romaine: everyone is embracing it. why not? lisa: i will say if you want to understand better, just go to page six of jon's outlook for the full year ahead. jonathan: it is in there. tom: flip up the board here and save us. [laughter] romaine: everyone is doing

crypto. everyone is doing marijuana, too. marijuana stocks are on fire. the best three day run we have seen. at the top of your screen, yet he holdings, one of the sleepers -- your screen, yeti holdings, one of the sleeper stocks. and disney, don't miss that after the bell on the big show. we will get those earnings after the bell. jonathan: he might not be back tomorrow. [laughter] i don't know if you are coming back tomorrow. tom: a data check brought to you by the steve miller band, boulder, colorado. jonathan: tom, have you ever seen the weed shops on the west coast in california? tom: no, i have not been out there. jonathan: pretty impressive, honestly. lisa: how often have you been in there? jonathan: a couple of times, just for research. [laughter] it's kind of like the apple store. it is really impressive, very polished. they've done a great job of it.

on a serious note, given the amount of deficit out there, i think this is what remains. that is in page 11 of the outlook for 2021. romaine: i wonder how much underground research jon has been doing. tom: is romaine still here? [laughter] romaine: i'm waiting for the sandman to come get me. tom: mark cabana is waiting and listening to us going come winter they going to shut up -- going, when are they going to shut up? [laughter] everyone talks about the 10 year yield, and they talk about the 30 year bond. the pros are in the short-term space. jon, lead off this discussion on the two-year. jonathan: great to have mark cabana with us, bank

of america head of u.s. rates strategy. mark: we think there's going to be a lot of pressure driven by cash increase. that is going to come from ongoing said qe, which everyone in the market is aware of come up at the other is less appreciated and more technical. it is from the u.s. treasury's cash balance. that is going to decline quite meaningfully over the next few months. technically, that means that cash in the banking system, banking system reserves increase, and this is going to be a really large amount of additional money entering the banking system. right now the u.s. treasury cash balance is $1.6 trillion. it is typically around 400 lien dollars. it is about -- around 400 lien dollars. it is -- around $400 billion. it is about four times bigger

than normal. when you add it all up, you are looking at the potential for $1 trillion of additional reserves to hit the banking system in the next two months, and almost $2 trillion to hit the marketplace by the end of june. that is massive. for context, there's about $3 trillion in the banking system, so we are talking about a 25% increase in total reserves over the next two months, and almost a 66% increase over the next four or five months. this is going to feel like a flood of cash hitting the banking system, and it's going to put a lot of downward pressure on front end rates. front end rates are really low, but they are likely going lower. the fed will likely have to make some technical adjustments, technically hiking rates in order to prevent u.s. rates from trading negative and going invert and leave negative. so it is a real interesting --

trading negative and going inverted and negative. so it is a real interesting. jonathan: can you walk me through that a little bit more? mark: if you think about the front end of the curve, you are going to have more cash casing not all that much additional treasury debt. more cash, less collateral. that puts downward pressure on rates. that could push treasury bill rates into negative territory. we are already seeing very front end rates just a couple of points above zero. when this cash hits, it could realistically push those rates into negative yield. the fed doesn't really like that because they don't want rates to trade negative. the u.s. treasury doesn't think it is good because they can't actually issue bills at negative offerings.

what the fed is likely to do is raise interest rates slightly and tried to pull those rates out of negative territory and keep them still in somewhat positive territory. they are going to do that through the interest rate on excess reserves, or ioer. they've told us this is a technical adjustment they will be making, but we think it is likely the fed needs to do this at or before the march fomc meeting. so you could be looking at a technical rate hike in the not-too-distant future. lisa: this is fascinating and super important, and it sounds technical, but it highlights the distortions created close to the lower bound and how challenging it is to maintain liberty -- maintain equilibrium. is there anywhere else this cash can go in the fixed income world, or will it stay here based on the needs of cash reserves, as well as with the treasury is doing? mark: it is going to be most concentrated at the front end of the curve. however, it is likely to

propagate somewhat out the curve. what this means generally speaking is that u.s. interest rates should be molleker to fully -- should be moderately lower as this cash enters. it is really not at an outright level, but if you look at spreads, swap spreads or u.s. treasury yields versus fed funds expectations or ois, you see these witching -- these enriching out to the five year point. tom: fold in the behavioral construct of propagating out the yield curve. this is some fancy mathematics of the makeup of the yield curve , but give us the behavioral requirement that big money, big institutions have to propagate out the yield curve towards a five-year duration. mark: you know what? the fed has talked about this in the past. there is something called the

portfolio balance effect. the theory goes that when the fed buys a lot of assets or when there is a lot of cash in the banking system, you push investors further out in their preferred habitat. tom: do you observe that right now? mark: absolutely. you can look at weighted average maturities of certain mutual funds in the fixed income space and see they are pretty long already. they believe this cash wave is coming, and they are trying to extend out to get as much yield as they can in hopes that when the cash waves come, they will at least have captured some of those higher rate levels to try to boost their overall returns. we do think that will likely continue as this big cash wave does flood the front in in the belly of the rates curve -- front end and the belly of the rates curve. jonathan: just quickly, because we only have about 30 seconds, do we have an asset shortage? mark: yes, there is a collateral shortage. i know that is hard to believe

when you're talking about the types of deficit that we have, but right now, technically at the front end of the curve, there's going to be more cash that is available and not enough assets. and again, that is going to put upward pressure on prices, downward pressure on rates. jonathan: fascinating conversation, mark. really lovely catching up. tom keene, some of the things going on in this fixed income market need a lot more attention. tom: i am going to clock in at 800 pages. what is so important here, and this goes back to cabana's wonderful work, guess what? this stuff is complex. there's a lot of mathematics going on here. i think of others that are expert in this. it is that human emotion of going out the curve, and the way and the speed in which that happens. jonathan: lisa, a lot of cash and not a lot of assets.

lisa: i had no idea that's where you were going with this. no one really talks about it. i'm like, there someone who talks about it. jonathan: mark has talked about it a lot over the last 12 months. i will be talking about it more to wind up lisa a little more. coming up on the program, dan ives, wedbush securities managing director of equity research. this is bloomberg. ♪ ritika: with the first word news, i'm ritika gupta. donald trump's impeachment team is counting on a couple of words from the former president's speech on january 6. they will lean heavily on trump's use of "peacefully and patriotically" when they make their case in the senate. that is part of the defense against the charge that trump incited a mob of supporters to storm the capitol. house impeachment managers cited his prompt to "fight like hell."

myanmar's leadership will not be able to access about $1 billion in government fund held in the u.s.. the president says that humanitarian support to the country will reign in place. president biden -- will remain in place. president biden is promising to act fast for further coronavirus relief, including $1400 checks. according to a survey conducted for bloomberg news, more than 1/3 of like a recipients plan to stash the money for later. that compares with 23% who said they did so with last april's check. iran is reportedly producing a material that could be used to make the core of a nuclear weapon, according to "the wall street journal," which cites a country to show -- which cites a confidential report. that is banned under the 2015 nuclear accord.

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. ♪

♪ >> expansionary monetary

environment, you want scarce assets, and the scarcest asset in the world is bitcoin, digital gold. it was designed an engineered to be the scarcest asset in the world. jonathan: that is microstrategy's ceo on bitcoin. bitcoin this morning up by 3%. alongside tom keene and lisa abramowicz, i'm jonathan ferro. equity futures this thursday morning advancing about 12 points on the s&p 500, up about 0.3%. in 42 minutes, and it shall jobless claims coming in america. tom: on radio and television, jon ferro saving my reputation by not going off of what was set on bitcoin. thank you, jon. [laughter] i just got an email that says, "put a cork in it." $46,000 on bitcoin right now. this is the most important conversation on the day on your house, loaded with technology that you are trying to figure out what it means now and what

does it mean in 2026. there's a lot of bulls on technology, but daniel ives has been the most persistent, cogent bull. dan ives, howard ward, the acclaimed growth guy, stopped traffic a few days ago by saying we grossly underestimate the new technology knock on to other stocks. how does the dan ives world knock on to the rest of the stock market that leads you to a bull market that is underestimated? dan: that continues to be our theme, transformational growth names in cybersecurity, 5g, e-commerce. it is still underestimated by the street. we are going through a gold mage re-rating protect stocks. i only think we are -- a golden age for re-rating tech stocks. i think we are only 1/3 of the

way through. tom: i look where we are, and i want to dovetail dan ives into the conservative tone of the acclaimed mr. ward. is that enthusiasm fold over to stocks like the banking industry? daniel: i think you are starting to see technology bleeding into other areas, whether it is health care, e finance. even on some of the dating apps and others, as we are seeing these ipos come out, because right now investors are craving growth. that's why these tech stocks continue to get re-rated higher. it is a scarcity value, and we are going through so many transformational growth names which is why we continue to see a bright green light to continue in tech stocks. jonathan: just going through some of your calls right now, what are the holds? neutral on tesla. why? daniel: we view it as a neutral,

but a bull case. we continue to but the goalposts out for investors. overall ev, we continue to be bullish. what are key themes, i always think that the chinese players are great plays on ev. we are talking a $1 trillion market the next three to four years. tesla continues to be the leader of the pack. jonathan: talk to me about the supply chain and what is happening in the semis space at the moment. daniel: could that rain on the parade? that is the main question across chips and supply chain come on the car manufacturers. use what gm said yesterday. i think it could crimp growth a bit as we get into the next few quarters, but ultimately, still seeing the demand continue to be

there, and supply chain will normalize over the coming quarters. that continues to be our thesis on the super cycle with apple and everything in terms of that playing out. that is why to me across the board, whether it is on faang's, unplowed and cybersecurity, we continue to be bullish. lisa: it is causing executive officers to rethink how they deal with and source their chips. today, the ceos of intel, qualcomm, and advanced micro devices sent a letter to president biden saying please support the creation end of element of chips on u.s. soil because of some of the concerns having to do with security. how much could that crimp their margins if they have to invest that much more in creating a domestic program of chip manufacturing, given some of these concerns? daniel: it would be a massive shift. right now, the supply chain to be supplanted and really built

in asia. i don't really see any changes there. but it also speaks to the broader issues we are seeing with u.s./china. by incoming income a ratcheting down the tensions with china. but no doubt from a supply chain perspective, it continues to be a game of high-stakes. realistically, i think it is not going to change for the foreseeable future. tom: what is the body language on the conference calls for cash? everybody is up to their eyeballs in cash. they are still growthy stocks from a time long ago. what are they going to do with cash? daniel: i think they are going to could -- tom: what are they waiting for? seriously, dan, what are they waiting for? daniel: it is a tidal wave of

m&a we are going to see. ultimately, and cybersecurity and cloud, you're going to see many marriages because we are at only 30% of workloads in the cloud today. i believe we could see aggressive m&a across the board and even financial buyers as well. that is going to continue driving these stocks higher. tom: 10 seconds. can amazon increase its market share in the cloud from that 34% statistic? daniel: if it wasn't for microsoft, they would be. i think right now there is a share shift. jonathan: dan, we can't let you go, not yet. a tidal wave of m&a with some of the big players participating. they will get a green from this administration? daniel: sang names -- faang names are going to continue to be constrained, but you will see a merger of names on software.

i think you are going to see a tidal wave of m&a. that is where a lot of that cash is going to go. jonathan: dan ives of wedbush, good to see you, as always. i was taking of maybe taking this a bit longer, tom. tom: absolutely. the people natalie in my ear is saying, get out. that's the way it works. we have to have dan ives on for a one hour program. come on, lisa. there we go. [laughter] lisa: he's literally just doing it to show this. here you go, tom. jonathan: for our audience worldwide, alongside tom keene and lisa abramowicz, i'm jonathan ferro. on the s&p 500, we advanced 0.3%. and 35 minutes, we have the jobs claim report in the united states. the dollar is weaker against a stronger euro.

heard on bloomberg radio, seen on bloomberg tv, for our audience worldwide, the next hour of "bloomberg surveillance" coming right up. this is bloomberg. ♪

♪ >> the fed wants to give inflation a chance to pick up, give the economy a chance to run hot. >> there's a risk that we are going to get an inflation problem. >> in some ways, we should rejoice. >> when we open up, there's going to be bottlenecks. >> the supply-demand imbalance should be somewhat temporary. >> it is really about an overwhelming amount of monetary stimulus. >> i think we've got to be aggressive. >> this is "bloomberg surveillance" with tom keene, jonathan ferro, and lisa abramowicz.