>> welcome. just moments ago, former president donald trump arrived at the courthouse to be arraigned here in new york. protesters have gathered outside all day at the district attorneys office in downtown manhattan ahead of his arrival area some protesters support the former president while others support the indictment. vacancies that u.s. employers dropped to 9.9 million in february, the lowest since may 2021. this suggests a cooling and labor demand but indicative of a job market that is too tight for the federal reserve area for the progress is needed to alleviate wage pressures the fed seeks to bring inflation down to the 2% goal. janet yellen announced a new bonus tax credit for clean

energy projects. the tax will help communities impacted by the energy transition and contribute to boosting economic opportunity outside of big cities and the coasts. investments in clean energy can create opportunities across the country. a billionaire family is pledging money to the alzheimer drug discovery foundation. alzheimer's disease does not just affect one person, it impacts entire families. the family has been all in on alzheimer's research since 1998 when the foundation was set up for their mother when she battled the disease. an apology to angry shareholders for a trust that sealed the fate of the swiss lender after 167 years. it comes after credit suisse was sold last month for 3.3 billion dollars, putting an end to the crisis of confidence in the lender. global news, 24 hours a day, on air and on bloomberg originals, powered by more than 2700 journalists and analysts in more than 120 countries.

this is bloomberg. jon: welcome to bloomberg markets. kriti: let us jump into the price action, it is interesting when you look at the stock market. the bond market is where you are seeing the action down, s&p 500 lower by 5/10 of 1%. a lot of the gains the last couple of weeks come from a handful of names, the tech rally not necessarily helping the benchmark. two year yield is where all of the action is, looking at 386 on the front end of the curve. nine to 11 basis point move, this is everything to do with traders pricing in a more dovish rate path for the federal reserve. as yields come down, the dollar follows. down to the tune of 2/10 of 1%, that is not giving a boost to the commodity complex. it is all about fears around economic growth, looking at 84 handle on brent crude.

jon: we are watching the energy stocks, the move yesterday to a certain degree has seen some reversals. taking a look at chevron, it is down about $.38, two tenths of a percent. a key down component on this day where we see investors gravitate toward gold, a 13 month high when you look within the materials group you have newmont up 4%. we've seen a lot of the gold stock in canada moving higher. we've been watching the financials, the uncertainty around the banking sector being reflected and a whole host of names, first republic is an example. keeping an eye on some of the technology themes, the tone around tech investing has cooled off this month, but the analysts are weighing in on some of their favorites. including a bullish view on etsy. kriti: a lot to keep an eye on. before we continue with that coverage, for those following president trump's arraignment

today, he has now arrived at the courthouse and said in manhattan. we will bring you all of the updates as we deem fit, so stick with us. we will have updates throughout the day and afternoon. back to markets coverage because up until today, there was a diversions between rates and equities, rates pricing in a former session risk. earlier, we heard about the split. >> equities are priced for a very rich valuations, continued growth and expansion this year and even more so in 2024. they are really not focused on the fact that we are heading to a recession. i do not think both markets can be right at the same time. jon: abigail doolittle is joining us with her take, you have the economic headlines and bowl versus fairview -- bear vie w, what are you seeing? abigail: it is interesting. i am not a big fan of saying it

is a technically driven this or that. the s&p 500 dropped right below a range, when that happens the technical sleep the fundamentals, if you assume the market is efficient. why do we have stocks down a little bit today? it is on very weak volume, but if the range holds, suggesting the s&p 500 will go back below 4000, probably to about 3900, the range does not matter. upcoming, we have a jobs report when markets are closed on friday. we have earnings. on the other hand, we do not of the s&p 500 will drop back into that range. it could break out to the upside. something worth noting, it is relative to stocks, even though the declines at points have been somewhat noticeable. it still feels like a sleepy day in some ways. kriti: it is interesting you mention the bond market specifically, the move of 11

basis points lower on the front end of the curve. the bond market and stock market, is the bond market influencing the stock market? or is that a story of last year? abigail: it is too early to say, but right now in terms of bonds being lower, it was a repricing of the federal reserve more so than having to do with the banking crisis because the two year yield has moved so much more. that is sensitive to the fed. to your point, the one situation that we do have, we have yields down. today, we have stocks down. on the year, the nasdaq up, s&p 500 up more than 10%. we are in bullish territory for stocks. not today, but we could be in the goldilocks area where if say the two year yield stays somewhere around 4%, the 10 year yield below, that could be enough fuel for stocks to go higher. the thing that is so interesting is everybody is talking about the possibility of this recession, the most predicted recession that has never happened, at least be on the

technical definition of gdp being down two quarters in a row. adjusting times as always. the earnings season is a key factor, the estimate has popped up just a little bit. that could be one reason why stocks are higher on the year. kriti: a shortened trading week, as well, probably influencing the flows. thank you. i want to pivot to the financial sector and really zoom in, banks are selling off and dragging the markets lower. this is a result of jp morgan chair and ceo annual letter in which he wrote quote the current crisis is not yet over, and even when is behind us, there will be repercussions from it for years to come. sonali basak joins us with the wall street beat. this is a pretty dire warning from the man who's been very confident in the strength of the american economy. why is he changing his tune? sonali: even though we heard about this hurricane from jamie dimon, he is downgrading that to storm clouds, really.

the economy, as he paints it, is a good economy. he gives you more than a dozen reasons here to look forward to the storm clouds ahead. among those storm clouds include the idea he talked about before that consumer excess savings is going close to zero by year end, is the word he used in the annual letter. he also talks about issues outside of the consumers control. higher fiscal spending, quantitative tightening that could cause questions and problems in the wake of higher interest rates for a lot of the financial community. just a week away from the only earnings of the big banks, but the likes of first republic and schwab soon after that, people are interested in seeing the numbers. outside of his control is energy, unpredictable war, food crisis, the prospect of higher oil prices. some of that is what the market is digesting right now, but he does give you cause for concern as you look at the road ahead

for financial markets. jon: while there is obviously that question of what happens in the near term in banking, there is the longer-term russian on the regulatory story. diamon had more to say on his views. sonali: he said there is a difference between regulation and using it correctly. the idea of a good mix of regulation, something interesting people forget, you think jp morgan, morgan stanley, bank of america could be big beneficiaries as the smaller banks have suffered through the higher interest rate environment. the deposit wars, if you will. at the same time, you have jp morgan banking 350 of america's more than 4000 banks. there is a recognition in the letter that jp morgan works through those banks to reach a lot of communities that the biggest banks are not always in. the purpose of the medium and

small sized banks is very clearly outlined in this letter. as you talk about regulation and the impact the new economic paradigm will have on smaller banks, relative to bigger ones. kriti: i want to pivot to the story across the atlantic, ubs and credit suisse story has been this overhang on the markets. they had their annual general meeting today, what are the takeaways? sonali: it was in a stadium. there are so many emotions around the deal, you saw that from the swiss people today. we saw the end of the era, more than century long error for credit suisse coming to a close. in the backdrop, you have imf saying there should be a careful review of the deal. prosecutors are taking a look at the deal, as well. a lot of questions. this is not a complete turning of the page, there are a lot of questions about how the deal gets done. the chairman himself was narrowly reelected as he

apologized for failing to save the bank. he was confronted before we see what happens at ubs' general meeting as they absorb such a large firm while the swiss populace is wondering whether this is a danger for switzerland to have one systemic rather than two systemic institutions. kriti: all over the banking sector on both sides of the atlantic, thank you as always. i went to bring it back to the united states, specifically downtown manhattan. history is in the making when it comes to american politics. former president donald trump has now arrived at the courthouse in southern manhattan for his arraignment do to happen in the next hour or so. it is a fascinating scene, i was there earlier this morning. seeing a lot of protesters from both sides, some supporting the indictment and some supporting president trump, as well. if this does indeed turn into a criminal conviction, it will be the first time that can be said of any american president in history. jon: to your point, the city

clearly on high alert, given the political firestorm. the legal team at bloomberg noting that typical arraignments can be brief, especially when there is not a fight over whether to hold the defendant in custody. she was outlining a scenario where the judge would be expected to ask trump's attorneys if they wanted to read the charges allowed. the defense usually waves that, the judge then sits a schedule for next steps. under new york law, the defense has 45 days to file pretrial motions. the start of a process, we are watching for some time to come. we will continue. we want to let you know there is plenty of stocks we've been tracking today, that includes amc, which has been back in the focus today. we are going to have a little bit more on that developing story, as well. one of the heaviest traded players, we will go to the details wide. this is bloomberg. ♪

kriti: this is bloomberg markets. time for our stock of the hour, the gap between amc's common stock price as preferred shares

is narrowing very significantly after a legal settlement used at all it's of a conversion between the two units will go through. that is some nerdy stuff, walk us through it. bailey: the easiest way to think about it is they were doing it as a way to raise cash selling more stock. at the end of the day with the settlement, it is opening the door for what risk arms have been betting on, that is eight units turning into amc shares in a few weeks. you're seeing that spreads tighten your where it has been since ape shares first started trading. jon: this gives us to a longer question -- longer-term question around what kind of capital raise we could be seen from the company. bailey: amc, with the plans unfolding, will not only convert ape shares into amc common stock, but implement a reverse split and open the door to selling up to about 300 million

shares to raise caps. it is dependent on where the stock trades. where they were treating this time yesterday, could be close to 16 billion. the stocks will trade lower once you continue to flood shares into the market. that is a lot of shares for investors. jon: very helpful context on the amc story, thanks as always. bailey lipschultz, bloomberg equities reporter. when we come back, former u.s. president donald trump has arrived at the manhattan courthouse where he is expected to plead not guilty. we will get the latest details next, this is bloomberg. ♪

jon: this is bloomberg markets. former u.s. president donald trump is at the manhattan courthouse right now, where he

is set to be arraigned. annmarie hordern is outside the courthouse and joins us, what is the latest? annmarie: the president has entered the courthouse, he waved to supporters. there is a tremendous amount of people, you have supporters of the former president here. one flag has loomed large over the crowd, the other side of the park has set up barricades to separate individuals. you have people who are very much anti-trap -- trump. you hear the helicopters above me because the former president is inside, he is becoming the first former or sitting u.s. president to ever be arrested. soon, we will get the charges. this indictment has been under seal, he is being arraigned momentarily. that is supposed to happen at 2:15. once the indictment is read to

him, at some point, he will be given either in real-time or after to the press. we will know exactly what the charges are against the former president for the manhattan district attorney. kriti: annmarie hordern covering this story live on the ground, we think you as always. for now, joining us for more perspective is henrietta treyz. a pleasure to have you, historic for american politics. let us start with the idea with whether or not to what extent this is a positive or negative for president trump's campaign. what is the thinking in washington? henrietta: that is the million-dollar question. amongst republicans, it is popular and brings a lot of attention to former president trump. it is something that organizes and animates their base. the bigger problem is

independent voters. democrats will never vote for donald trump, it is independent voters that decided the election in 2016 and all three elections since, each time against trump, against his candidates and his reelection bid. i encourage people to watch the independent voter data, that suggests 62 percent of independents support the entire trial, they support the efforts of the new york attorney general. they believe donald trump did something wrong and the indictment is appropriate. only 38% feel contrary, like former president trump is someone who should not be in the limelight right now. what you are seeing set up is a precursor to president trump's reelection bid, a situation where you maintain most of your republicans, lose the independents and democrats. it shows a clear picture of what the 2020 24 presidential election would look like if you were the republican candidate,

and he would lose. jon: this is a moment, certainly a moment the former president would have feared. clearly, may embrace as part of the road toward 2024. do you think in these moments, just making his way to the courthouse and what unfolds over the next 15 to 20 minutes might influence the way he speaks about the situation in the days ahead, in terms of rallying the base? henrietta: it is a huge campaign fundraiser, that is great for the campaign. the campaign announced they had $7 million just in the last couple of days as the entire process unfolded. i am sure they will continue to campaign and fund raise. you can raise all the money you want, it does not equal votes. if you lose those, you cannot win reelection. this is a situation where when i speak with republicans, they

worry president trump is able to fund raise on the low dollar amounts from such a huge swath of the population, it is not going to ron desantis or any other candidates. he is effectively siphoning out the dollars and making it impossible for nikki haley or mike pence or anyone else to receive those dollars or sway any voters. it consolidates president trump's personal base and will be a hindrance in the primary season. kriti: walk us through the timeline. after today's arraignment, the trial of the eventual conviction if it does go through could last somewhere between 12 and 16 months, even longer. that runs right into the 2024 presidential election, is that something the markets, the economic participants need to care about? or is this a 2024 story? henrietta: i think it is a 2023 story, i am sure it will still be a story in 2024.

i do not anticipate president trump going away quietly. this particular case has been raging since 2016, you can speak with republican voters and they will tell you this is politically timed. this has obviously been bleeding into years worth of investigations, different decisions by the attorney general, several attorney general's at this point. i have every expectation it continues, whether it is 45 days, six months, nine months, well into the future. we need to get to the primary season, that is the most important thing. understand what it means for a may announcement from governor desantis about whether or not he will run or any other governor preparing to run from virginia and elsewhere. if he were to be the republican nominee again, this will certainly follow him. whether it is concluded or not, it will be part of the narrative. the independent voters have spoken and they believe this is appropriate. kriti: certainly something we

are keeping an eye on, thank you for connecting the dots. orchids are down, let us see if they turn the close. more markets coverage ahead. this is bloomberg. ♪ what if we live to like 100? that's 35 years of being retired. i don't want to outlive our money. and i have been eating all these stupid chia seeds! i could totally live to be 100! why do i keep taking such good care of my- since we started working with empower, we're able to get all our financial questions answered, so we don't have to worry. so you never- no. never. join 17 million people and take control of your financial future to empower what's next. start today at empower.com when i was his age, of your financial future to empower what's next. we had to be inside to watch live sports. but with xfinity, we get the fastest mobile service

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romaine: durable goods, factory orders, a jolt of trifecta of week economic data put markets on the back foot. we are kicking off to the closing bell. >> it is interesting to see stocks come up here and at the same time see the bond markets rally. if this gives the fed more reason to give the -- take the foot off the gas, would be good for stocks? romaine: it could become a but we saw and seen in the economic data reports have given