coming up, baidu's fourth-quarter numbers are up.s is bloomberg. ♪ selina: baidu gave an updated forecast. they will rise 12% to 18% as new content and products energize the advertising business. baidu is spending billions on ai and younger services as it fights off alibaba amid a slowing economy. joining us is bloomberg's stephen engle and hong kong. it looks like things were better than expected. break down the numbers for us. they were better than expected. the chairman said because of the trade war, that could affect the slowing chinese economy and that what have an effect on the advertising. baidu relies heavily or more so than is bigger rivals like tencent on alibaba -- and alibaba. that's what we were looking at is advertise spending and also the topline growth. fourth-quarter adjusted profits beat estimates for adr. we're expecting $1.74. fourth-quarter revenue beat the highest estimates. billion.nsus was $3.89 it came in at 3.9 6 billion. they are energizing the ad business better than robert lee expected. selina: how has th

the back companies of baidu, alibaba, and tencent, baidu relies more heavily on advertising spending.omy is slowing down, that hurts ad spin. they have a lot of it siphoned off to upstarts, like bike dance. haidi: how do they plan to fight back and offset that, depending on advertising going forward? stephen: they need to build out these other services. i mentioned the content. the ite netflix like video drag.e was a bit of a they are investing a lot into that. they are also going into artificial intelligence. they have thisa -- ai service like alexa, they want to draw different connections between their services and hopefully draw into advertising. they have the apollo autonomous driving. they have a number of different things. maybe you can to what tencent has been able to achieve with this massive ecosystem of wechat, a one-stop spot for web and services on your handset. shery: thank you so much, our chief north asia correspondent. let's bring in lina choi and continue discussing baidu and other china tech companies. very strong numbers out of baidu, at least for the latest reporti

baidu has been a bit of a laggard.e the stock already popping up and they are pleased numbers beat expectations. selina: i've been hearing some people say the new b.a.t. is bitedance and not baidu. thank you for joining us. coming up, president donald trump argued u.s. companies must take the lead in the global race to build the next generation wireless networks. what does that entail? we hear from an sec commissioner. "bloomberg technology" is livestreaming on twitter. check us out @technology, and be sure to follow our global news network, @tictoc, on twitter. this is bloomberg. ♪ is is bloomberg. ♪ selena: this is "bloomberg technology." planning goldman sachs the customer credit card. lisa ellis, who covers the payment sector, published a new note on this development and discussed in earlier on bloomberg television. >> this is a co-brand card, another step for apple into the payments world. they already have a prepaid card. they already have apple pay. though, bit, perhaps, unusual that they would be partnering wit

selina: chinese search giant baidu gave an upbeat forecast.y said revenue will rise 18% in march. that is as new products help energize their advertising business. baidu is spending billions on ai and its news feed as it fights off alibaba in the flowing economy. joining us to discuss is bloomberg's stephen engle in hong kong. things were a little better than expected. things down for us. stephen: they were better than expected. we even heard from the chairman, robin lee, earlier, saying it's going to be a chilly time in 2019 for chinese companies. he was alluding to the fact of the trade war. that could affect the slowing economy, which would have a knocked down effect on advertising. baidu relies heavily, or more so, then its bigger rivals, tencent and alibaba, on advertising. so that is what we were really looking at, advertising spending and topline growth. fourth-quarter adjusted profits beat estimates. $.192 per adr. we are expecting $1.74. also, fourth-quarter revenue beat even the highest estimates. the consensus was $3.89 billion. 6 b

selina: chinese search giant bao -- baidu gave an upbeat --ecast as new contacts content and productsp energize business. they are spending billions on their newsvices like feed as they fight off rivals amidst a slowing economy. joining us to discuss is stephen engle in hong kong. looks like things were better than expected, break it down for us. >> it was better than expected. we heard from the chairman earlier that it was going to be a chilly time in 2019. i guess they were alluding to the fact of the trade war, and that could affect the slowing chinese economy. that would have a knocked down affect, of course on advertising. baidu relies heavily on advertising, so that is what we were really looking at, advertising spending and also the top line growth. fourth-quarter adjusted profits , we are expecting one dollar 74. also, fourth-quarter revenue beat even the highest of estimates. was 3.8 9 billion, it came in at 3.96. basically, new content and products have been energizing the ad business even better than probably expected. how has the broader chinese advertising industry held i

i like baidu, the chinese search engine what effectively has a monopoly because google won't operateepublic and baidu's stock has been hammered but it's alibaba that's my favorite, because it's the amazon of china. that's a gigantic market just as important -- by the way, jd did well today. did you see that alibaba has u.s.-like financials that makes me feel more comfortable. i would be a buyer even though i like it more into weakness, and we're having trade difficulties. you don't need to recommend every chinese stock that could blow up if president trump does to china what he just did to north korea. although when we interviewed larry kudlow this morning, he was incredibly optimistic about the possibility of a historic deal the market didn't seem to trust him. i thought the market should have been up on what larry said but ignore him why don't i recommend more cannabis or chinese stocks because these are the two riskiest areas of the market, people they remind me of crypto at all times, and i don't want to hurt you. at least when these best of breed names that i just mentioned go d

update baidu have an forecast. they said revenue will rise 18% in march.hat is helped their advertising business. aiy are spending billions on as alibaba is helping the flowing economy. joining us to discuss is stephen. things are better than expected. >> they were better than expected. we heard from robin lee earlier saying it's going to be a chilly time in 2019 for chinese companies. he was alluding to the fact that the trade war. the slowing chinese economy, that would have a knocked down affect. on itselies heavily advertising. that's what we were looking at, advertising spending. fourth-quarter adjusted profits beat estimates. $1.74.expecting fourth-quarter revenue hit the and theestimates consensus was $3.89 billion. basically, new content and products have been energizing the ad business better than robin lee expected. selena: how has the broader advertising industry helped against the macro economic concerns and trade tensions? what they are trying to do is bolster their advertising business. they need to build out their new services that can compl

baidu was out with earnings to talk about the numbers. out?e with us. >> we're expecting kind of the advertising space, because among the bat baidu, alibaba, baidu advertising.nt on what they saw is more users sign service, ite.deo but that has a double-sided, you well, because as they're also pouring a lot of money into ite, which helped knock down operating profit. fourth quarter adjusted profit, expected at $1.94. we're expecting 1.74 was the consensus. revenue beat even the highest at $3.96 billion. revenue, first quarter. line with consensus estimates, but that was pretty good. 12% to 18% of about year over year in this current quarter. new content and product are energizing the ad business. that is their goal. they want to get more products ite and their -- what is osai, an alexa-like service, they want that integrated into all their different offerings. that could hopefully also drive more advertising. >> yeah. so it wants to be less dependent on advertising. banking on its focus, goingon forward; is that right? >> that's right. becomel

baidu expects to distribute $280 million among users with its chat iswallet, while we allowing customerson limited losses in the year of the pig. that could weigh on high-end brands. bloomberg intelligence says luxury retailers in asia are unlikely to replicate last year's sales gains. this hog-themed item has an i watering price tag. for a less expensive option trey flowers,. a whopping 10 million pots are going on sale in beijing's market, meaning this new year may just come up roses, literally. ♪ ♪ to all bloomberg users. you can find more videos like this at bloomberg.com, along with all the latest business news and analysis 24 hours a day. that will be all for "bloomberg best" this week. thanks for watching. i'm nejra cehic. this is bloomberg. ♪ ♪ emily: i'm emily chang. this is "bloomberg technology." coming up in the next hour, the basal islam shall permit amazon's ceo accuses the parent company of blackmail and extortion. an explicit blog post that name drops the saudi government and president trump. plus, the fallout for the publisher ami as federal prosecutors are now looking a

baidu expects to distribute $280 million among users with its online wallet, while wechat is allowinges. clsa's peng shuai index says investors should focus on limited losses in the year of the pig. that could weigh on high-end brands. bloomberg intelligence says luxury retailers in asia are unlikely to replicate last year's sales gains. this hog-themed item has an i watering price tag. for a less expensive option, try flowers. a whopping 10 million pots are going on sale in beijing's market, meaning this new year may just come up roses, literally. nejra: -- to all bloomberg users. you can find more videos like this at bloomberg.com, along with all the latest business news and analysis 24 hours a day. that will be all for "bloomberg best" this week. thanks for watching. i'm nejra cehic. this is bloomberg. ♪ . ♪ jonathan: from new york city, i'm jonathan ferro. "bloomberg real yield" starts right now. ♪ jonathan: coming up, pessimism returning, stocks ended the week mobile on growth concerns and trade doubts. as sentiment sours, the german yield curve drives deeper into egative territo

baidu expects to distribute $280 million among users with its online wallet, while wechat is allowing should focus on limited losses in the year of the pig. that could weigh on high-end brands. bloomberg intelligence says luxury retailers in asia are unlikely to replicate last year's sales gains. this hog-themed item has an i watering price tag. for a less expensive option, try flowers. a whopping 10 million pots are going on sale in beijing's market, meaning this new year may just come up roses, literally. ♪ ♪ nejra: -- to all bloomberg users. you can find more videos like this at bloomberg.com, along with all the latest business news and analysis 24 hours a day. that will be all for "bloomberg best" this week. thanks for watching. i'm nejra cehic. this is bloomberg. ♪ comcast business built the nation's largest gig-speed network. then went beyond. beyond chasing down network problems. to knowing when and where there's an issue. beyond network complexity. to a zero-touch, one-box world. optimizing performance and budget. beyond having questions. to getting answers. "activecore, how's

baidu expects to distribute $280 million among users with its online wallet, while wechat is allowingon limited losses in the year of the pig. that could weigh on high-end brands. bloomberg intelligence says luxury retailers in asia are unlikely to replicate last year's sales gains. this hog-themed item has an i watering price tag. for a less expensive option, try flowers. a whopping 10 million pots are going on sale in beijing's market, meaning this new year may just come up roses, literally. ♪ ♪ nejra: -- to all bloomberg users. you can find more videos like this at bloomberg.com, along with all the latest business news and analysis 24 hours a day. that will be all for "bloomberg best" this week. thanks for watching. i'm nejra cehic. this is bloomberg. ♪ i'm all about my bed. this mattress is dangerously comfortable. i love my leesa. people everywhere love their leesa mattresses. and now, for an even more luxurious sleep experience, meet the sapira mattress by leesa. sapira is a hybrid mattress combining performance foam technology with individually wrapped pocket springs. enjoy ext

companies in the field, there is alibaba of course with its mammoth e-commerce, and a strangle hold and baidustranglehold on internet search engine. china's internet users make up more than double the u.s. population. bloomberg takes a look back at how the internet took hold in china. ♪ ♪ >> imagine if the internet took hold in china. imagine how freedom would spread. >> unrestricted internet access is a source of strength. >> that country has some of the toughest internet restrictions in the world. >> a number of anonymous postings have poked fun at the government. >> so you think they're ultimately going to be on the right side of history, the chinese government? >> i am 100% sure, nobody can stop this technology revolution. >> it's 1987 in west germany and a university professor has don't has just gotten email. it contains one short sentence, across the great wall, we can reach every corner of the world. he has just received the first email from china. >> china is embracing the reform and opening up policies and the internet and transparency of information is part of that policy. >> but it

baidu reported the goidance wasn't great, but, again, the expectation is very low. ratios are less than 1% for some of the biggest and highest growth companies in the world i think that's interesting >> all right let's go around the world again now. where is our next stop on our hidden world of investment opportunities? >> i think you have to go to latin america, and i think you have to go to brazil, and the reason for that is two-fold. democracy seems to be back in somewhat of a western style. it's always going to be with a brazilian overtone the bottom line is if you think iron ore copper, coal prices overall the commodity space, if the dollar stays somewhat sideways we'll probably continue to be somewhat supportive. can i make an arg unlt that equities should be trading at 13.5 to 14 times based upon just the current cost of equity brazil has outperformed. i think we'll continue to outperform. >> expectations for growth and essentially -- >> taking a lot of the trade war headline it's actually to performer the s&p by 200 basis points. i think also yourp even grow

there are some major chinese players that bring huge resources to bear, like alibaba, tencent, baidu,ing more specifically to the next turn in technology, i don't know if necessarily they have a lead. if the president signs the executive order, and it does bring some federal funds, which are distinct from private funds, sure, i think that is a good thing. but when i read the news clip this morning i thought to myself this was much to do about nothing. if you are a self-respecting technology company in one of these hubs in the united states like seattle or silicon valley and you haven't been working on a.i. for a number of years at this point, then shame on you. so yes, maybe it brings some publicity. yes, maybe it brings federal dollars but major companies in the states have been on this for a number of years. charles: talk about the major companies in the technology, momentum stocks, whether theocrat gorized as communications services or tech, you started to frown on some names you were early proponent on. now i hear you're starting to feel better about facebook and some of these oth

i think baidu is oversold.aba to a degree. >> there are some attractive valuations over there but it is an opaque society. cheap is sometimes cheap for a reason. right here we have the rule of law in this country. i'm very comfortable keeping my money in the united states. charles: listen, a lot of time emerging markets names always look cheap, but that is theme because they look cheap. you start to wonder why do they always look cheap. thank you very much. on china, by the way, word coming out perhaps one of the key sticking points to china no longer manipulating their currency. later on in the show we'll talk about that. the world's largest retailer, beat the street. walmart shares are higher. e-commerce proves they can compete in the amazon era. amazon is too. find out what is driving both of these names higher. we'll be right back. charles: walmart shares surging after releasing fourth quarter earnings that simply crush analyst expectations. strong growth across the board. largely though driven by online sa

we have a lot of surface street closures throughout the north baidu to flooding as well.something that we don't see every day. it is a llama. you heard me. taking public transit in oregon. cesar the no drama llama was spotted riding a train this weekend. the portland -- tweeted a poe um about cesar explaining that llamas were banned from the tram. the poem says llama, llama on the train, trying to escape the rain. but llamas aren't allowed on max no matter how good your llama acts. >> as a former resident of my beloved sa that's peak portland. not only a llama on max but someone wrote a poem about it. >>rtlaiaiv up to its reputation. >> didn't look like he was bothering anyone. >> better than a peacock on the airlines. >>> a live loob at capitol hill. we're counting down to michael they say you should always listen to your heart. and where better to do that, than the island of ireland? after all, your heart is the best compass there is. so get out there and fill your heart with the stuff that keeps it beating. fill your heart with ireland. >>> have the kids ready for wet

baidu expects to distribute $280 million among users of its online wallet, while we chat is allowingly customize their envelopes. index hass peng shuai investors should focus on losses and the year of the paik, which could weigh on high-end brands. bloomberg intelligence says luxury retailers in asia are unlikely to replicate last year's sales gains. this one has an eye watering price tag. a less expensive option, flowers. a whopping 10 million pots are going on sale in beijing's market, meaning this new year may just come up roses, literally. >> flowers, i will accept that. this lunar new year is the first to take ice during a trade war, and with the economic slowdown stoking worries about consumption, let's bring in our intelligence analyst. it is not looking well. and there are some real constants. we are seeing a mix of numbers in signals -- numbers and signals. to be honest, i think the hardest hit will be luxury like watches. i think they are probably going to fall short of last year's ales. >> how bad? >> they are looking at flat sales over the lunar new year, and i think if i

baidu there, they spent very heavily on content and promotion in their commentary.a little bit. dropbox forecast a drop in operating margins, see that's down 9%. and this is not a typo on stamps.com, talk about losing your key customer here, they gave a weaker than expected forecast and announced they ended their exclusive partnership with the u.s. postal service. you think that matters to stamps.com i think so that's not -- that's not a typo there. the other thing i would just note, i don't know if we can put up the global markets, i mentioned this earlier, i do think it is important because a lot of people have been trying to target with the awful year that he had in europe, trying to pick out value in europe i think it is pretty hard. as you know, the economic numbers, just awful out of europe but see this week, here, this is the first time we have seen this in a little while. so we'll keep an eye on that >> want to take a stab at the citi upgrade over at jeffries? better revenue growth? stock is up 1% this morning. >> i didn't read that one, no. >> for a financi

course, they're moving, i'll put up some of the ones that trade right behind me here jd.com, alibaba, baidu recovery has been a largely cyclical rally so we're up 18% on the s&p since the december 24th low. you see industrials, tech, energy, all outperforming the overall markets. the laggards, of course, are those defensive names, health care, consumer staples, and utility, i would note particularly health care, which is a big market leader last year is now a market laggard. this is a global recovery. i mentioned many times, not just china, but eafe, that's the wor world, frontier markets like nigeria have generally been up, overall lagging the united states one final comment, it is very significant that ge sold its biotech business to danaher because they appear to be taking that big ipo, that ge health care ipo off the market now. this is very important because the way i have it, this probably, the ge health care would have likely been the second largest ipo in the united states in 2019 uber at 76 billion number one. these are total valuations, not what they would floatfor we work, palent

baidu also owns ite, equivalent of netflix.ng that the makers of "wandering earth" went with netflix. they want to be more fin international. it will stream in 190 countries, 28 languages. a win-win broadening them out. netflix is also getting into the asian market. they have created, acquired 17 -- stuart: talk about content. ashley: content is king. stuart: now this for you, actor jussie smollett is out on bail. faces three years in prison. we have details on reportedly what did him in. it was his phone. you all about that. >>> facebook's zuckerberg met with britain culture minister. when it comes to regulation, he says the brits are doing god's work. we'll make the -- he will make his case on that one. we have it all on the show. ♪ ♪ stuart: this is a new one. very old song. new one for us. susan: new one for the '60s. stuart: never heard this before, have you? you never heard this before, have you, susan? susan: i haven't. stuart: this is incredible. this is incredible. you expect to stay on this program for the next 90 min

we have baidu, kraft heinz and hp enterprise.d income capital markets at raymond james. also michael tale, chief investment officer at eastern bank wealth management looks like the markets this morning moving on the hopes of a china trade deal. zmo i think investors are being a little bit too happy about that right now same thing with brexit for that matter, which could kr a big impact certainly on european stocks could have a somewhat diluted impact here. investors are assuming there as well that probably the news will be okay. probably they'll either kick the can down the road because that's what american government and companies do they may be wrong. it may be a hard brexit, and we aren't discounting that. there's some risk there. i think you're right investors right now are looking for happy outcomes >> obviously, if you have this sort of glass half full, half empty view of things, what do you do about that. >> you are betting on the financial health of the american corporate enterprise it's very strong the earnings growth, y