>> welcome to the be in and. i am mark crumpton was first word news. winter is descending on ukraine with blackouts writing across the country. russia's missile campaign is pummeling power stations, grid networks and other power station facilities. more than 10 million ukrainians, about a quarter of the prewar population, are now without electricity. pfizer released to evidence that its new covid vaccine bolsters protective antibodies against the dominant strain, omicron, more than the original booster.

biontech said the bivalent booster may give better protection against the omicron variants. the results were similar to a study on people 55 years and older released earlier this month. a group of democratic senators is asking the ftc to look into whether twitter breaks consumer protection laws under elon musk's ownership. in a letter, the democratics worry that elon musk is taken "alarming steps on twitter that show a willful disregard for users say". they claim the loss of key executives who oversaw privacy, cybersecurity, and integrity at twitter caught into question whether data is adequately protected. twitter has closed its offices until monday after elon musk gave staff an ultimatum to either commit to working from home -- to working for long hours at high intensity or to leave.

they also urged staff to re-fate -- refrain from discussing confidential information on social media. where than a foot of snow has fallen across western new york, by buffalo, and it is piling up. buffalo has more than a foot of snow at its airport this morning. the national weather service says in total, between three and four feet can fall across the weekend. global news, 24 hours a day, on-air and on "bloomberg quicktake", powered by more than 2700 different journalists and analysts in over 120 countries. i am mark crumpton. this is bloomberg.

>> i am in for jon erlichman. welcome to bloomberg markets. >> i am kriti gupta. we are seeing a little wobbly myths in the s&p 500. it is in the green but only about 0.2%. you have seen some major shifts, a lot driven that may be inflation is not going to be the driver of the story. that is where you see a love cross asset movers come into play. take out the 10 year yield. 3.81. the volatility in the market the past couple days have not carried over today. the dollar following the story of about 0.2%. the real mover is brent crude dropping below $90 a barrel. oversupply concern there that we are going to dive into in just a second. amber: we will start with shares

of gap which are managing to hold onto their gains but not enthusiastically as before. gap managed to put up better than feared sales results. not the same with williams-sonoma. their sales were pretty good but it is all about the outlook. they are walking away from their financial forecast. saying right now they are getting inconsistent signs of demand. let us take a look at live nation. i do not know that i would call this the taylor swift effect but you are seeing the parent of ticketmaster being slowed down lower after the department of justice is said to be investigating the company, according to the new york times. this predates taylor swift's ticket sales but certainly something we are watching for and we are continuing to watch grinder, an ipo of a lgbtq dating app via a spec that has been halted several times today and is surging as much as 300%. we have not said those two words

together in a wild. ipo and expect. kriti: certainly coming back into favor. you are also seeing volatility in the oil space. wti has fallen below $80 for the first time since september and is sitting near levels we have not seen since the beginning of the year. earlier today, energy aspects -- discussed stocks. >> there is a lot of confusion in the market right now. do not get too excited by all of the headlines coming out of china about reopening because that is not happening until april of next year. right now, there are more lockdowns for so demand in china will remain for now. the rest of the world, demand is decent and the numbers have surprised to the upside and not the downside. kriti: we are getting breaking

headlines across the doj terminal. the doj's garland to name a special counsel for the trump probe. for now, that crossing the bloomberg terminal. let's get to the oil story because from an markets perspective, that is going to be the biggest move you are seeing. here, fernando valley, bloomberg intelligence. thank you for joining us. contango is a tricky term for those outside of the oil story. why does it matter when we are talking about the global narrative to the commodity space? >> we have gone backward which is the opposite when prices in the future are below and have shifted. this is essentially what the first three months of the curve tell you. how much does it cost for you to start the -- store the oil?

is it worth it for you to keep it down? what they are saying is i would rather store the oil and sell it in three months time. demand currently is less than expected to be in the future months. amber: what is the outlook knowing forward when obviously there is concern on the demand side but when you ask where is the future supply going to come from? the u.s. is unlikely to release any from the strategic petroleum reserve. even if there is some kind of slow down in the wake of a global recession, supply does not seem like it is people either. >> we agree and we think the risk in the short-term is on the demand side but the risk on the long-term is on the supply side. this obviously comes down with their allocation of $2 billion -- 2 billion barrels a day. we think it is unsustainable for them to continue to produce at the levels they were producing.

as you mentioned, u.s. shell has disappointed and we think this is a structural issue. it is not just that companies are not putting money into the ground but that they have run through a lot of their top-tier acreage. the growth expected from shell is not there. then you go abroad and look at the lack of investment we have seems to thousand 15 when there was a price will crash at the cycle. we just do not see this growth. the growth drivers are susceptible to delays. kriti: clearly all over the oil space, you are seeing an $87 handle on brent crude. joining us now is christina uber, chief strategist at --. thank you for joining us. what is so striking to me is as we saw oil slump, the stock market did as well. can we go back to a more normal

cross asset correlation where risk assets like oil and socks move together? >> we certainly can but this is a time where there is just going to be a lot of volatility and surprises in asset performance and correlation because the fed is still driving markets. of course, part of the equation is inflation. there are a lot of components to this that make it an unusual environment. there is certainly the potential especially once we get to a point where we do not have significant rate hikes in front of us so we can get to a more normalized scenario. amber: i would like to dig into that and when do you think we may be able to return to the more normalized investing environment? right now, we seem to be subject to whatever the fed speak is of the day but when you look at what the market is pricing like

a hypo ability -- a high probability of recession, can you let this be your guiding boasts when you look at exposure in the long-term? >> when investors are thinking about the long-term, it is not important when the that hits the pause button. if it happens in the first quarter or the second quarter. it does not matter if the terminal rate is 5% or five point -- 5.75%. unusual asset class behavior presents buying opportunities. long-term investors need to focus on what they expect to get out of asset class returns for the longer term and what their financial goals are, and not get caught up so much in exactly what the fed is going to do. of course, the fed speak and the data that comes out that really makes us question assumptions. that is just adding to

volatility and it is really not necessary investors with long-term horizons to worry too much about the short-term issues. kriti: we are talking about still be ongoing sensitivity of inflation. the fed is still sticking to the long-term 2% inflation target. give us a timeline of how long will it take to get there? >> the fed has changed many of its views including what it expects the terminal rate? all kinds of things. i think it is important to recognize that. i think ultimately the fed may find it is forced to have more flexibility on the target rate but it is not there yet. we are likely to see a lot of harsh fed speak as it tries to top-down jubilation in markets that are anticipating an end to rate hikes soon. that is the fed's number one job. do not know how much is true and if they believe they are going to get to 7% in the terminal

rate. it becomes less important and is really about what the data tells us over the next few months. markets not overreacting would be helpful. amber: kristina hooper, thank you as always. kriti: even delivering remarks and meeting with ceos from such companies like ford and carrier. if you want to hear more, go to live go. stick with us. this is bloomberg. this is bloomberg. what if we wanted to electrify all of this... 100% carbon free... is it possible? ♪♪ aes has been leading energy transitions for decades... and is partnering with the worlds leading companies to decarbonize industries...

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kriti: this is bloomberg markets. i am here with amber kanwar in for jon erlichman. elon musk tweeting that twitter is at an all-time twitter usage. elon musk also saying a decision on former president trump's reinstatement has not yet been made. caroline hyde and mandeep singh, senior analyst for technology over at bloomberg. caroline, i want to go to you forced us to you first. i couple days ago, there was an idea of the office being completely shut down and a lot of people saying twitter will not make it through the weekend. what stands out to you? caroline: the fact they had

all-time usage but many people are not working there right now. this clear there was a hard-core ultimatum that elon musk was asking people to decide whether they were going to stay and sign up for a new and intense version of twitter. there were a lot of these emojis and people saluting. many decided to leave the business and they had to make a u-turn and softer view over whether you can work from home. trying to bring previously fired managers to do the persuasion. there were a lot of concerns that with this level of usage, we will start to see a stress on the platform. that is why you are seeing the spanish government and german government? a they will stay on the platform. amber: it does not seem at a good idea to advertise that nobody is at the atmosphere right now. given all the changes happening, if you were to hack the

business, maybe this weekend would be a good weekend to do that given all of the employees have already been fired and who knows how many are working with the company anymore. if you are a competitor, you must be kind of enjoying sitting on the sidelines and watching twitter she itself in the foot. mandy: i do not -- mandeep: i do not know if twitter has a true competitor. i am not optimistic that this is the way to go in terms of a successful transformation of twitter. but with any company that operates internationally, you need a certain number of employees. firing 70%-80% of employees means i would not be surprised if they are not even cooperating with the laws in the jurisdictions they operate in. that to me is a big risk. yes, people -- advertisers are leaving because the brand is not

safe anymore. the revenue is clearly plummeting. maybe meta may gain because of twitter but it will not make a big difference in meta's revenue growth because they were too small to matter. kriti: yes there is no really true competitor to twitter but perhaps this lease of public profiles and advertisers even saying if we are not going to be here, maybe we need to of our presence on instagram or even whatsapp. do you think there is a tailwind for a major case for meta or snapchat or other social media name? mandeep: twitter's revenue is about $2 billion. if you distribute this across platforms, i do not think it will only go to social media. it can also be the traditional like tv advertising. tv is a big category going forward as well as netflix is

and their entry into this. clearly there are a lot of places where advertisers can go. twitter is a unique platform. there was something about this that made advertisers go to the platform. as long as they keep improving the platform, which i am not sure about in the subscriptionship is not going to happen, because they are asking people to slow down. they have lost a lot of people. i think net advertisers are going to split up their revenue. amber: about 17 minutes ago, elon musk was tweeting about who is a lot that's allowed back on the platform. it was also an intelligent that he cannot let the platform run wild, saying negative and hate tweets will be de-boosted and d monetized so no ads or other revenue could go to twitter.

he does acknowledge that he cannot allow this to be a free-for-all. it would be bad for business. from a regulatory perspective, how does it sit with you that there is acknowledgment that he cannot let what he says "freedom of speech but not freedom of reach". caroline: he previously said he did not want to help escape. i think you are right to bring this up because europe has already been a knowledge in this. say you are firing people but you need to add content moderators in europe. the digital services act beings there are far more onerous rules and regulations upon social media platforms in europe to ensure hate speech does not reach consumers there. if you do not live up to the particular regulations, you are find about 6% of your revenue each year. hate speech is going to be something he will have to address. also, the u.s. is looking into whether or not the deal should

go through with the foreign earner ship -- foreign ownership currently on the board. he galvanized well from saudi arabia and other places. they can be given ownership of the business over all. i would say that we were just on twitter spaces as "bloomberg technology" and had a good conversation there. amber: that was caroline hyde and mandeep singh joining us. when we come back, we are going to discuss the fate of elizabeth holmes as she her sentence. to be moments away. we will talk about how this could set a precedent for silicon valley this is bloomberg. . this is bloomberg. ♪

k -- amber: this is bloomberg markets. the faith -- fate of elizabeth

holmes is being decided at this moment, closing a key chapter in one of the biggest scandals in silicon valley history. bring us now is ed ludlow from san francisco where we are awaiting the verdict at any moment. walk us through the states is what the prosecution will be seeking today. ed: the prosecution is seeking 15 years of imprisonment for elizabeth holmes. her defense team want the opposite. they are pushing for house arrest essentially up to a maximum of 18 months. really, what the sentence will come down to is the judge's interpretation of the harm done to investors. independent third parties have said that investors lost around 550 million dollars based on the wire and fraud charges that elizabeth holmes was found guilty on.

they are weighing a number of factors. elizabeth holmes's side, she is the mother of a toddler and currently pregnant with her second child. typically judges would not take that into account by a number of people have written to the judge on her behalf to make the point there is an incident -- innocent party here. historically, judges have not taken that into account in a case like this. kriti: what is the timeline for when we hear about the sentence? ed: it is a sales pace of the proceedings right now but i believe we will get a decision within the next hour or so. kriti: we think u.s. always. let's get a quick check on the markets because as we go into the weekend, people were cashing out a little. the s&p 500 in the red. it started out over 1% higher. you are seeing the index down

about zero point two mastec really underperforming. but you -- the nasdaq really underperforming. brent crude trading lower. stick with us. this is bloomberg. ♪

>> keeping up-to-date with news from around the world. i am mark crumpton. president biden had little choice other the almost three year freeze on student loan payments, according to experts on the issue, surveyed by bloomberg. the white house is weighing an extension on the moratorium. with repayments and interest charges, which has been in place since the pandemic began in early 2020. however, it is currently scheduled to expire at the end of next month. that is according to people familiar with the discussion. twitter owner elon musk will have to increase the number of