citigroup and goldman sachs expect zero growth in earnings this year.ank of america has cut its forecast for global growth to 2.8% for this year. for more on the market reaction to the virus in asia, juliet joins us from singapore. we see u.s. and european futures taking a significant hit, all down between 1% and 3%. how is it looking in asia? >> it is looking really ugly, to put it bluntly, but remember, it's also the last trading day of the month. asian investors on track for the worst month since the global financial crisis. the nikkei closing lower by 3.8%, 3.7 percent, its biggest drop since december 2018. in australia, we entered correction territory today, down 3.3% on the close, the worst drop since september 2015, down for a sixth session in a row. a career, of course, already in correction, down 10% -- or 11%, actually, from the peak before lunar new year. been holdings have up quite well due to the fact that we have seen so much stimulus and promise of stimulus push through. no surprise, you are seeing money going into the bond market, yields

citigroup has advised other banks before. deutsche bank, for example.hey also have somebody international helping to lead the business, the business of banking other banks. shery: the barclays ceo facing more pressure from an activist perspective. >> edward bramson is the activist investor in barclays. he has not gotten a lot of what he wanted until now, but he is heading barclays ceo while he is down. a second look into the situation involving staley. this time they are looking into relationship with jeffrey epstein and whether he disclosed everything about his relationship with epstein. let's see if bramson starts to push for specific changes. for now, he is just saying a lot of this disruption needs to end. amanda: sonali basak, thank you. coming up, we've been talking about that record low in the u.s. 10-year yield. safety, -- seek safety, but what is the fallout from that? this is bloomberg. ♪ shery: this is bloomberg markets. i'm shery ahn in new york. amanda: i'm amanda lang in toronto. now hittingks session lows. the u.s. 10-year has hit a recor

there was construction financing from bank of china, wells fargo bank, and citigroup. citigroup i think also bought the tax credits which helped pay for the affordable housing. on the design side, i mentioned o.m.a. and fougeron, and the architects of record who did the actual drawings. i mentioned webcor drawings. jeff peterson is here. again, this is a major building, not a simple project. and then last, but not least, our team at related. and often times, i leave the project manager to the end but jonathan schumm was with me when i responded to the ocii. they're still involved in leasing up the retail space, all of the financing, closing it all out. one of the most complicated deals we've ever worked on, so jonathan, thank you for all of that. [applause] >> and as our architects and contractors will tell you, we're very active clients. we're almost like partners. and on the design side, phoebe yee and her team worked with o.m.a. and fougeron on every detail of this project, laying out the units. if you get a chance, walk-through the common areas because i don't thin

citigroup global markets asia strategies, trace of the out.re to keep up-to-date on the developing coronavirus story by running the function mapvirus and you will see figures from the cdc how dies maybe exposed to areas affected. -- how companies may be affected. googleo come, shares in parent company alphabet fell. the results next. this is bloomberg. ♪ >> the pbo see coming out and explaining their reasoning for the liquidity injections we have seen so far. they are saying the injection shows resolution to boost confidence. it is meant to steer interbank rates lower more than expected course weinjection of have seen the chinese markets recouping earlier losses in the shanghai composite and gaining back those 2% plus losses before the morning at the open. we also saw pretty strong you on fixing compared to the rate at the moment where the onshore you one was still trading weaker than that seven level. now the pbo's coming out and explaining these liquidity injections saying it is showing resolution to boost confidence after they injected

coming up, we will speak to citigroup's global commodity market strategist.ring you all the latest from the iowa caucus. markets coverage continues as we look ahead to the start of trade in hong kong, shanghai, and shenzhen. "china open" is next. ♪ >>>> 9:00 in beijing. 8:00 in new york. welcome to china open. >> we are counting down to the open of trade and in hong kong, these are top stories today. china struggles to contain the coronavirus as deaths rise. u.s. foray ask the flexibility. the outbreak putting pressure on macau. casino operators were already facing a slowdown. >> democratic

romaine: that is dana peterson, citigroup global economist.ing news. 6.5 million shares set to be offered up morgan shanley -- morgan stanley. the shares closed around $40 per ,hare coming up on this program the final. democratic candidates make their case in new hampshire but they don't have the state to themselves. my president trump decided to hold his own rally -- why the trump decided to hold his own rally in the granite state. this is bloomberg. ♪ scarlet: new hampshire heads to the polls tomorrow for the first in the nation primary. democratic presidential candidates are trying to move on from the iowa caucus debacle. charlie pellett the stage for us with this report. >> we are going on to nick hampshire -- on to new hampshire victorious. charlie: people in new hampshire like to say, i will pick, we picked presidents. the numbers seem to back up that plan -- that claim. last 174 of the primaries, the winner went on to be president. this year, some say maybe the results should come with an asterisk. bernie sanders is from vermont, elizab

citigroup also calling potentially for complacency. s&p futures still grinding their way higher, up 0.4%. we did see another record close yesterday for the s&p. global stocks also shooting higher. euro-dollar unchanged, despite the fact that german factory orders disappointed, raising questions about the recovery in europe. you are seeing selling in the bond market in europe. in the u.s., yield down by about one basis point. crude taking higher as well. maybe we'll get some opec support coming down the pipeline. lots of things happening in the market today. let's get you caught up for global exchange. we will bring you market moving news from all around the world. our bloomberg voices are on the ground with all this morning's top stories. we begin in asia. countries around the world are placing more restrictions on travelers from china to try and contain the coronavirus out. the global -- coronavirus outbreak. the global toll rising to over 28,000 cases. joining us from hong kong is rishaad salamat. walk us through the latest. rishaad:

we have seen this from citigroup.se banks want to be global but not in every single country in a big way. another bank we have talked about in the turnaround pans is deutsche bank. looks like a vote of optimism from a capital group, a new position, and the stock is rallying on that. what does that signify? michael: the ceo of deutsche bank is having some success in articulating to investors, here is what we are good at, here is what we will focus on. that seems to be corporate lending in germany, europe, and the fixed income side. they have had a little success in the last couple quarters with that initiative. that seems to be a vote of confidence. the capital group has been in the stock before, many years ago when they were under a different strategy. cap pultegroup then got out as that strategy was beginning to flounder. maybe a sense that the new strategy may work. shery: top investors have been burnt before with deutsche bank. michael: right. it is all about when you gotten in. the longer you have been in, the wor

i don't look to for citigroup i don't think it will be a. 6. but you know what we've been able to. pull over it they would call a good move over will be worth we feel it's important that we put up himself well the cup. you. know for. several focal length of road we know from the cold war for their war on though we're going to fall i'm ok i would always come up on the global with a soft i was alone on the problem of all people know about me or about you know get a feel good movie of them about a look on the home the feel of the 4th. floor when you should know most of all i know that i am to go hold on. new no he needed a medium oh i would like to do some day she'll hold the. cobar jazz i dated oh forget the. email to a puppet. state attorney's emmanuelle and see you all next time on rav. coming up rediscovering the very in metropolis in cincinnati. meaning to sell things for the place and us to get themselves in this city is exciting history rich culture and color nary diversity the budget give. up going on 30 minutes d.w. . as the ice no. man merging. fear . hope. greed. what kind

. >> reporter: but there is citigroup a stigma among seniors when it comes to marijuana. sue will continue to talk to seors around the state about the benefits of cannabis. >>> coming up, a new way for fans to pay tribute to kobe bryant. >> new details on a public memorial planned for the nba legend and the victims of the helicopter crash. >>> plus, whipping winds, dangerous flooding and tornadoes. new video of the severe storms walloping the southeast. >>> plus, a powerful terrorist leader killed in a air strike. what we know tonight. >>> and the end to a record breaking stint in space. the astronaut smashing barriers in a feat many of us could not even fathom. >>> we have certainly had a long dry spell, but it is certainly not record breaking. in fact, it is winter for the bay area. as we look at the golden gate bridge, we will talk about the forecast in a few minutes >>> and don't forget, we are streaming now on the cbsn bay area. you can find us on kpix.com, the cbsn news app or your favorite platform. tom steyer: listen, every democrat running for president is better

nejra: today on bloomberg radio, the citigroup call. this is bloomberg. ♪ good morning.oomberg european at quarters in the city of london, i am nejra cehic. stocks sink as mainland markets reopened. the pboc moves to contain the fallout from the coronavirus. slashing rates, liquidity. the philippines report the first death outside china. commodities take a and with iron ore indexrk down 6%. 20% onsent to drop by the coronavirus. u.k. begin their battle over the trade deal today. with negotiating positions. ♪ nejra: chinese equities and the yuan really bearing the brunt of risk off. u.s. futures higher. friday, it raised its 2020 gain. edging up after the 30 yield dropped below. we get all the market action around the world. manus: those bond markets are moving. fed's rhetoric. juliette saly in singapore. in singapore as well dani burger is in london. are back iners their seats. they have a massive stimulus into the market. juliette: we were expecting a huge selloff in mainland china. trade resumed for the first time since the lunar new year break. perhaps not quite the 9

from hsbc, citigroup to barclays, the area is home to some of the biggest names in the financial industryajor players in the tech world. well, the district's management, canary wharf group, wants to change that. it is now creating a five million square foot development called wood wharf which it hopes will generate 20,000 jobs. canary wharf group's managing directorjohn garwood joins us now. how are you going to change that? there are several things and you did pick up on the financial sector but what has happened in the last few yea rs what has happened in the last few years is the diversification in ca nary wharf years is the diversification in canary wharf and only 50% of financial institutions are non—financial and that's been achieved by mostly tech and the big demand for space in london is coming from the tech sector. you are building bespoke clothes, you don't building bespoke clothes, you don't build flares if no one is wearing them, so with buildings we are building low—rise commercial numbers and the buildings will have access to open—air and they are buildings with clear fire e

in individunvidia and mcdonalds and citigroup. is roughly equal to the total market caps of these companies. $85 billion gain almost the same as morgan stanley, altrea, goldman sach and more. let's talk about what is happening with mark tepper i don't know what to say, mark do you buy tesla at this point >> i think tesla is the most dangerous stock in the s&p 500 i'm terrified to own it, to short it it has a mind of its own it seems like every time there is the slightest bit of good news, you've got a lot of shorting we prefer to invest in a good, solid, tradeable management team for tesla, it doesn't fit our strategy wish i had a crystal ball a couple of months ago and was getting outright now but it is dangerous right here >> tesla belongs in the s&p 500. you wonder when it is going to be included. i got to ask you this. is this a market justified does this lead to the upside >> the number one question we are being asked is if the market is overvalued. including the five-year average of 15, 10-year average of 15 looking at the p

rate it is bad, sad it is a loss of human life but it is not that bad >> jp morgan and others like citigroup saying linked directly it may be that the brick makers are not directly impacted but feeling the global >> we have revised our estimates from 180 down to 174 but still expecting to hit a 3,400 mark by next year. >> when you say liquidity, does that mean or imply we talk about the sense of the fed and central banks but also trading and how much people are transacting and how much it can move a market to have less people participate >> that's right. i'm talking about trading liquidity here when we look at the number of contracts on offer at any given time yesterday, we hit the second lowest levels since january 2007 you talk about the lack of liquidity and the lack of systematic selling as the vix spiked, that means funds will have to delever as well you couple that with lower earnings, makes for a pretty bad market day the thing i'm concerned about in the near future, we are brotheren below 3,000, which is a long-term level. we could see another way of selling. going through the market

he was formally citigroup's topics app give in asia -- executive in asia.ve looked to name a ceo this week. the newspaper says the board is still undecided. and tesla's plan to build an electric car plant in germany has run into legal trouble. as amust stop immediately challenge by environmentalists. it threatens tesla's ambitious timetable of having the plant up and running from mid-20. and that your bloomberg business flash. matt? matt: leigh-ann gerrans with your business flash. let's catch up on the stories you need to know. dubai plans to do this it's port operator to repay $5 billion of government related debt. manus cranny joins us now. and this is a story of debt and numbers. run us through it. world,what you have is a global container, port operator around the world. dubai has a wall of debt, $23 billion worth of tibet -- of debt. you've got this vehicle litan -- listed in dubai nasdaq. they are going to take that private and pay a premium to buy back the 20% on the market. what does that do? that gives you a huge trough of cash. they will pay $5 b

we talk about the trading in the market seeing citigroup and goldman sach we look for regional banksy discounts. let's look at those that uniquely look in the position and other catalysts that can push the earnings higher >> turning now from financials to the technology sector that is now one of two in selloff t selloff territory. let's talk about whether you are worried about the market carnage? >> when you look at what is going on in the hong kong government just announced today. the governments will do what they can to stimulate the economy and force interest rates up you have to be very cautious on bonds and technology going with the rates haven't been strong. you have to go with apple's brand franchise and exposure to china plus google probably has two of the best businesses as well in terms of free cash flow. both of those stocks have been regional i think we have a very major buying opportunity at hand if not today, probably within the near future as i think the virus is going to spread first but i think you have to bet it is going to be contained the news in china is very goo

have miguel azevedo, citigroup had of middle east and africa. good to see you.manus: this time last year, we were setting up for big banking consolidation in the middle east. bankings year hold more consolidation? miguel : it may happen. i don't see it as a major thing. i see consolidation in other sectors more than banking. trying to create stronger operating platforms. the view is to become more efficient, to compete better. enough, largegly options in terms of capital raising. this is the theme that we see this year, getting ready to go out and raise capital. manus: we are getting more efficient with the balance sheet operationally. miguel: correct. manus: is there a pent-up biplane of ipos or private placement? where is the pipeline and how does it look? miguel: it looks good. it is not the best ever, but it looks good. manus: more ipos than private sector? 50-50. the private sector is becoming more of an option in the past few years. but we don't rule out ipos is all. manus: and i was running through the markets and i was saying, what could throw us off tra

travel globally and joins a citigroup in cutting estimates.et for its worst week since 2011 as opec's secretary general says there is renewed commitment for action, agree to arabia will cuts of one million barrels per day. manyk at futures, for minutes this morning have been looking bleak, and they continue to look so, dropping 1.3% at the start of the trading day. as we look for the start of the equity day, what will we find here, as we learn of a quarantine just near the dutch border in germany for many hundreds of people. we will keep on that story and see what that's doing to markets. we've got a nice pop up in german and french two-year, and a drop in italy, getting out of periphery in the sovereign bond market and into germany and france, although monitoring german headlines coming through. on the equity side, down 3% on the ftse 100. euro stoxx, opening slowly this morning, down 2%. in yesterday's session in the u.s., down more than 4% and we expected to see weakness coming through. a little move into the dollar, although maybe not the

buth: difficult to say, according to strategists at goldman sachs and citigroup, their answer is no.ng to goldman sachs, the average correction takes about four months, and they say this one will likely be longer because of the uncertainty surrounding the coronavirus, and what you are looking at is asset class performance year to date, and the s&p is off 3%, down a percent from the high, but the 10-year treasury yields continue to trend downward. 131, and the argument can be made that there is still going to be this comeuppance in stocks and this come together as stocks and rates because the two are trending very different. reporter, thank you so much for that. a 12-year reign of political turmoil, dragging equities down more than 20% from their peak. our next guest thinks malaysia markets are unlikely to recover. let's bring in a ceo, who joins us from kuala lumpur. good to have you with us. we know the kayla ci overcame -- the klci overcame everything. this, perhaps, was a long time coming. this was a correction long time coming. yes, i totally agree, haslinda. it is long overdue,

sayings from citigroup the potential negative impact of the commodities market has barely been priced coronavirus. this could get worse. even comments from bhp, the worst case, limits china's growth. init worth staying invested minors right now? socks like bhp, iron ore itself, have largely priced in the recovery. nejra: you are saying they haven't. that is the point. alan: from my perspective -- i see iron ore looking pretty resilient. which manus is, all over. and these stocks as resilient. not a lot of bad news priced in. hsbc septa/15% of its workforce in its attempt to provide -- since the financial crisis. it is exiting several business units. it says it is targeting cost cuts of $4.5 billion. hsbc is still hunting for a permanent ceo. they areim ceo said not delivery acceptable returns. the coronavirus hits one of the world's most valuable companies, but analysts say apple's slowdown will be short-lived. this is bloomberg. >> we are continuing to actively monitor the impact of the coronavirus. we are going to have to take additional provisions this quarter as a result of that.

citigroup also saying that iron sing to $70 per ton on the impact of this corona virus outbreak. that the iron priceice and also the oil could see a big hit from the outbreak that continues around the world. brent crude down 8/10 of 1%. 5619. still to come, will india follow china's lead when markets open? economists have serious doubts about india's ability to kickstart growth after the modi governments latest budget. details are just ahead. this is bloomberg. ♪ shery: take a look at the commodities markets as we get more headlines from citigroup with their latest forecast saying that the impact on commodities from the buyers outbreak could be deep. virusre saying that the drastically shifted. the chinese in global economic outlook, they are saying copper could decline to $5,300 per time . that copper could declined to $5,300 a ton. and also when it comes to the virus impact in general, the demand could peak in the first quarter. a have already said iron ore could sink to $70 per ton. they cut their first quarter oil price forecast a $15 a barrel to $54. wti is trading at around

citigroup suspending a junk-bond trader in london who earns more than $1 million a year. to pay for food from the bank's cafeteria. all of this according to "the wall street journal." how is your stash from the bloomberg pantry doing? romaine: i was stocking up, but maybe i should take a few less fig bars. we don't really have the details here and don't want to speculate, but there does seem to be coming from citigroup's perspective, this idea of integrity. sonali: so for the outside experts, you want to eat your food in the office, folks. romaine: what are you having for lunch today? sonali: i might eat out today after this one. romaine: she's buying. [laughter] romaine: coming up, nearly 50% of s&p 500 companies have reported earnings. we will take a look at the beats and misses. that's coming up. this is bloomberg. ♪ romaine: this is "bloomberg daybreak." i am romaine bostick in for alix steel. we are seeing a risk on move coming into the market. s&p futures up 1.3%. green across the board for a lot of the companies. tesla driving tech stocks higher. up 20% yesterday,

citigroup, one of the most exposed stocks. with record highs, qualcomm up 80% or so in the last year. really the only headwind we should be hearing about is some of the fears from the coronavirus and disruption not only on the consumer side but on the supply chain, given the big exposure in china. >> i will close it out macy's. the company is in the middle of restructuring but that didn't stop investors from buying shares. the third straight day shares were higher. customers have grown more comfortable, shopping online. the s&p 500 last year and in the next three years, macy's will close on hundred 25 stores and cut 2000 jobs. company executives expect the , saving $1.5 billion. joe: thanks, the market team. romaine: qualcomm moving across the wire. $.99ted eps coming in at over the estimate. adjusted revenue is above the estimate. is a range they are giving the average estimate $5 billion. getting range they are was for $.85. scarlet: a lot of optimism around ig spending. thewonder to what extent whole coronavirus issue will

elsewhere in the bank space, jp morgan and citigroup buying stakes in a company being spun off from fidelityure will help large financial firms share consumer financial data. neu to discuss is dave fort , vicedave fortney president of the clearinghouse. how does this change who has control over what data? dave: clearinghouse is one of the investors, along with 11 of our banks, and fidelity, in this new venture that was previously wholly owned by fidelity. this puts the consumer much more in control over their data. consumers want to be able to share the data with financial apps. our research shows that over half of u.s. bank customers now app, whetherncial for financial planning or budgeting or borrowing, but they want to maintain control over that datasharing. vonnie: how does this work? some consumers may not read all of the terms and conditions. apps,ay input data into but they don't necessarily want their banks where they get their money knowing their wages and other data, and they don't want banks in competition to know that data. dave: that's absolutely right. the bar is raised in term

citigroup, exiting its bullish treasuries call, but bankamerica saying we could hit a 125 handle in the first half of the year. thedeath toll of coronavirus is nearing 500 with more than 24,300 confirmed cases. the world health organization says the virus hasn't shown much mutation yet or caused a pandemic. it added the bulk of the cases remain in the chinese province. preparing for what it sees as an impending pandemic and more cases outside china continue to emerge. hong kong authorities are keeping 1800 passengers and crew members detained on a cruise ship. japan confirmed 10 people on a cruise ship tested positive while singapore found six new cases and two more in south korea. joining us, the senior multi-acid strategist at state street. pricing a sharp but short shock to china's economy? very tragicall, situation from a human point of view, but from a market point of view, what surprises me is the market capacity to absorb bad news. andof us have been writing, a few strategist have been on the positive side. swans, theck moreiran, potentially serious right now and markets are stil

citigroup is close to that so pretty extraordinary two-day levels >> really four days of decline we're starting to pile up here. >> we are. the yield pressure is intense. even at the short end. that means the market right this second is saying rate cuts >>> session lows down 940 points contracts official just saying it's not a matter of if, not when joining is dr. leena wynn, visiting professor at george washington university. she previously served as baltimore health commissioner. thank for you joining us the officials in washington just said the u.s. has had this w0i7bd to prepare because of the strong measures already taken. what's your assessment >> during the press conference or officials said we have been prepared and we are preparing, and this is what public health is all about local, state officials, they've been preparing for an outbreak for pandemics just like this they do drills on a regular basis for surge capacity, thinking about how can hospitals expand their capacity, how can they be doing contract tracing, and how can they now be moving from not just a containment respo

annmarie: when you're looking at both these markets, when citigroup outlines they are different investorst sentiment. so while in china, that it s is moret -- h-share , heavy on fundamental institutional investors. their sentiment may get hurt the season due to potentially a lot of earnings revision. they also call out stocks they do like in both of them, including a lee: on the h sears -- alibaba on the h shares. chinese stocks are likely going to outperform those hong kong peers. manus: annemarie, thank you very much. wouter sturkenboom is with nejra and myself this morning as our guest host. would you purchase chinese equities if the pboc did enough stimulus? wouter: not right now, we first want to see more clarity on the coronavirus and we hope that the rebound follows in the second or third quarter. however, if that occurs and we get a strongest runs from both the physical and the monetary side in china, we will take up look at it. nejra: if the outlook gets worse, would you slowdown your exposure? you have very little right now. wouter: we would certainly consider it, but we have a

people definitely stepping back a little, and we heard that from citigroup and j.p. morgan. romaine: we had a lot of earnings to the downside for a few individual names. one of the more interesting stocks we have not talked about was wwe. they were down 9% today. this is the second worst performer in the russell 1000 over the past couple weeks. off about 30% of its value. i bring it up because i love the headline we had on the bloomberg terminal. wwe's stone cold outlook slams shares to a 20 month low. whoever wrote that headline, i will buy you a beer. scarlet: let's dive deeper into the action with our markets reporters tracking equities and commodities. abigail: it will be hard to beat that headline on wwe, but all new record highs for stocks, it is interesting because since of the breakout of the coronavirus, this is quite a chart. what we are looking at his we really have not had a true recovery. what we are looking at in oranges crude oil, down 13%, on the year down more. copper down 8.8%. china of course the world's largest user of natural hitting those commodities. t

drury of do philip citigroup. it is time for our stock of the hour. here's abigail doolittle.es of ford on pace for the worst day since january 2011 amid mixed moves for other car companies. tesla is giving up some of that parabolic move higher that everyone has been talking about recently. profitin on ford, first, outlook could trail the street by 18% on the redesign of the f-series pickup. relative to the december 0.12.er, earnings dropped $ let's put that earnings miss into perspective. it is more than 50% lower than the third-quarter number and almost 75% less in the first quarter of 2019, and is outdone in a big way by the s&p in the first sin second quarters of this year -- the first and second quarters of this year. that does not include any negative impact from the coronavirus. ford is not the only car stuck on the move. tesla is down more than 10% today, but this after a huge parabolic move up higher. we are taking a look at the market value of tesla and white billion.t $160 as compared to the combined market value of ford, gm, and vw at just about $200 billion. the e

whether you are from china, whether you're from poland -- i citigroup from poland. it does not -- i arrested a group from poland. we see a camera picture people crossing illegally. when somebody crosses the border illegally, we deploy our agents to the area and we will take those individuals into custody. personally you i have never arrested somebody from africa. there have been arrests. i have personally not. i have arrested people from russia that were white. people from poland that were white. yes, we do deal with the majority -- that what you already -- the majority are from sukkot or central america. that is undeniable. it doesn't matter for you are from. if you crossed illegally, we will deploy resources and try to take you into custody. host: what was the story with the group from poland? where did they land? why were they coming to the u.s.? guest: during the processing we have to try to determine that. they will give us a story. the best we could determine if they flew into mexico city and worked for mexico city up to the border. i think it was 2001. host:

there was construction financing from bank of china, wells fargo bank, and citigroup. citigroup i think also bought the tax credits which helped pay for the affordable housing. on the design side, i mentioned o.m.a. and fougeron, and the architects of record who did the actual drawings. i mentioned webcor drawings. jeff peterson is here. again, this is a major building, not a simple project. and then last, but not least, our team at related. and often times, i leave the project manager to the end but jonathan schumm was with me when i responded to the ocii. they're still involved in leasing up the retail space, all of the financing, closing it all out. one of the most complicated deals we've ever worked on, so jonathan, thank you for all of that. [applause] >> and as our architects and contractors will tell you, we're very active clients. we're almost like partners. and on the design side, phoebe yee and her team worked with o.m.a. and fougeron on every detail of this project, laying out the units. if you get a chance, walk-through the common areas because i don't thin

when you look at banks need to be capped at 30%, that would mean your biggest banks are jpmorgan, citigroupa would have to be split into thee. people would say well you need legislation for that, the senate would never go along but you can do a lot through control of the regulators. both through owner's capital requirements that kick in as banks get larger as well as actually use of systemic risk to address size. so. >> one of which is talking about federal rent control also this idea he would end house flipping by imposing different taxes on them what are some of the impacts you think the sector should be thinking about >> it's a great talking point but even as the senate goes democratic, i don't see a majority for that. as donald trump learned, it's one thing to talk about things on the campaign trail, but republicans couldn't repeal obama care so the idea that sanders is going to get things are contentious within the democratic party done seem hard. i would put control in that as well as some of his broader legislative demands. what can happen though is he can use the fha program and cut

because we are seeing improvements in offshore markets and international went in the makeup maker and citigroupe let's take a look at nasdaq, i think it includes a stock of the year. take a look at tesla, their record height was $960 down $200 you cannot be 100% gains. >> absolutely. that has just been on a tear, everybody says it's a fear of missing out but we had the same thing a year ago with tesla. almost like the bull run. good to see you. happy friday. the chips are down on wall street on the final three minutes of trade. the countdown closer says it's a different kind of chip you should be betting when navigating the market. he has $25 billion under management. we welcome chief market strategist dan marshall. >> the semi conductors in general. >> microchips, we use them as a barometer and a roadmap for the market. in my opinion based on some of the research i have done there tends to be a positive correlation between a relative performance of semi conductors in the market in general. when the semi conductors are out performing the s&p 500 since last right. the s&p 500 broker to new highs

lauren: citigroup is warning about a sense of euphoria and complacency in the markets l.ct of the coronavirus is unclear, yet the dow could reach 30,000 today, this week. how do you interpret all of this? >> well, you know, i think it certainly can reach it, lauren. we've broken back out to the upside after last week's trouble. a lot of the news might be priced in. it was kind of known because markets are efficient in pricing ahead of time. so right now we broke out this morning, we are significantly off what the overnight highs were. you're seeing other markets that are starting to show a little bit of concern, the bond markets turned from negative toes positive, grain markets which should be exploding higher on the tariff news are not. they're lower on the day. so again, i think we're obviously still going higher and we're going to go higher until we don't. 30,000 is 2% away. we could get there. we could get there today. we could get there tomorrow, and tomorrow is the jobs numbers. certainly, we're going to get there and for now the rally continues and there's no reaso

. >> and this one though when morgan stanley, gorman and these guys decided that we'll take the citigroup brokerage under our wing, and now it is under the umbrella of morgan stanley, this gives them a very big critical mass to compete for investor dollars. >> so to your point, this is better than trying to build it yourself so goldman sachs is making a play for the mass affluent. jpmorgan releae app and i don't know what kind of traction that is getting merrill lichbynch has merrill e, it is hundreds of billions of dollars that are being served by a combination of emails and a call center. right? so morgan stanley does not have that so to your point, if they want to go that route and pursue the mass affluent, this was probably better than trying to build it from scratch, so why not lpl >> where does it leave interactive? >> out in the cold unless the land grab continues >> it is tiny. >> more reason why it is -- >> what do you get with it though >> not lpl because you have humans that are brokers. and they left the morgan stanleys and merrills because they didn't want to labor under -- >

there was a analyst from citigroup did put it at a buy. jeff bezos also said that he sold 1.8 billion of his stock. we'll end on tesla. because, whoa!, what a ride. monday was 20%. yesterday, it closed at a little bit above 10%. you're seeing it down 17%. the worst day in six years. this comes after warnings of model 3 delays in shanghai. canaccord downgrading the stock. what a roller-coaster. back to you guys. melissa: kristina, thank you. connell: talk more about this as investors brush off four months of impeachment proceedings in the back and forth we've seen in the senate chamber over the trial here over the last few weeks. so, the dow jones industrial average, we've been saying up 483 today. close to its record high. where do we go from here? where will it continue? jonathan hoenig joins us, capitalist pig founding hedge fund member. what is going on here? some sort of a political bet investors are making? is it the idea even if the economies slow down around the world the fed is still there? what is happening here this week? >> conn

there was construction financing from bank of china, wells fargo bank, and citigroup. i think also bought the tax credits which helped pay for the affordable housing. on the design side, i mentioned o.m.a. and fougeron, and the architects of record who did the actual drawings. i mentioned webcor drawings. jeff peterson is here. again, this is a major building, not a simple project. and then last, but not least, our team at related. and often times, i leave the project manager to the end but jonathan schumm was with me when i responded to the ocii. they're still involved in leasing up the retail space, all of the financing, closing it all out. one of the most complicated deals we've ever worked on, so jonathan, thank you for all of that. [applause] >> and as our architects and contractors will tell you, we're very active clients. we're almost like partners. and on the design side, phoebe yee and her team worked with o.m.a. and fougeron on every detail of this project, laying out the units. if you get a chance, walk-through the common areas because i don't think you'll s

the semi conductor citigroup is estimating just 70% of the workforce will start this week. -- many auto plants still remain idle. tesla restarting, ford. other plants like honda and volkswagen are saying they are going to reopen later this month. foxconn, which makes the majority of the iphones, saying they are resuming some production monday, but not clear how many workers are returning. the company previously told workers to stay away from headquarters until further notice. you can imagine the logistical challenges involved here. foxconn had earlier warned investors the challenging task of getting enough workers, despite the widespread transport blockages, putting thousands of people into quarantine, and also the potential nightmare scenario of an on-campus epidemic, could shut down production altogether. hasy: we know xi jinping taken criticism for his handling of the crisis. he appeared at a beijing hospital. is that the latest in his attempt to win back public opinion? >> that is one way to put it. prior to this, it appeared xi was retreating from these -- from the cen

finally, just this last week citigroup ranked the large biotech names and named vertex its top pick,to its good growth, long patent life and only $63 million vertex could be the next entry in the $100 billion market cap club that would represent a 57% move from where the stock is currently trading. that's why you must, must, must keep this in front of you if the stock comes down where do i come down i don't think you're too late to party with vertex if you buy at these levels this is a real company with phenomenal sales, monster earnings, great pipe in fact, it trades at just 23 times next year's earnings estimates. that's absurdly cheap with a company with such rapid growth the bottom line, vertex got dinged today it's widely considered to be the hottest biotech story of the year, one that has accomplished something that was unthinkable not too long ago, a mere triumph over the scourge that is cystic fibrosis >> stay with cramer. can we go get some ice cream? alright, we gotta stop here first. ♪ ♪ from smarter atms, to after hours video tellers ♪ ♪ comcast business is connecting tho

and citigroup is right, we'll see $2,000 before the end of the year. >> we'll watch to see. trading nation, head to our website or follow us on twitter. >> ahead on "power lunch," from gold to, well, digital gold. bitcoin above the 12,000 mark once again man versus machine, a new study shows that robot trading coue i outperform humans. how much is bloomberg worth? all this when "power lunch" returns. >>> now, the latest from trading nation.cnbc.com and a word from our sponsor. >> overbought and oversold indicators are generally used differently depending on whether the stock is range bound or trending look to buy a rafnge bound markt when it falls in oversold territory and moves back above it look to sell a range bound market when the oscillator rises into overbought territory and into overbought territory and then drops below when we started our business we were paying an arm and a leg for postage. i remember setting up shipstation. one or two clicks and everything was up and running. i was printing out labels and saving money. shipstation saves us so much time. it makes it

obtained by cnbc were jonathan gray of blackstone, alan hartman of centerview partners, ray mcguire of citigroup, and john mack, former ceo of morgan stanley. the fundraisers come as biden lagged far behind in the first two primary contests in iowa and new hampshire. meanwhile, the iowa democratic party chairman has resigned after the caucus results were delayed and riddddled with erros and inconsistencies. former ohio state wrestler adam disabato accused republican ohio congressmember jim jordan of begging him not to corroborate the widespread sexual abuse perpetrated by university doctor richard strauss, after disabato's brother, mike, exposed the abuse. this is adam disabato testifying wednesday in a public hearing in the ohio state legislature. --jim jordan call me crying crying. groveling. , beggingurth of july me to go against my brother. begging me. crying for half-hour. that is the kind of cover-up that is going on there. amy: in environmental news, a series of recent measurements is raising alarm bells about the climate crisis. temperatures in antarctica soared last week to nearly 70 de

demand the scale of china usually has, and that is -- has invoked an immediate response from citigrouplet me run you through. record sub 50 oil is a possibility in the first quarter. chinese demand is inspected to drop by about 20%. the virus drastically shifts global economic outlook, but if you look deeper into what oil demand in china means, 55% of oil demand growth is made up of jet fuel. diesel and gasoline. it is quite an interesting amalgam on the demand side. the question for the market to assess is with this kind of concentrates a producers mind more than the prospect of crude oil prices. hence the reason why we have an ant hill-like frenzy in opec plus. it is a bit like me in an oil pack at opec. matt: you in an oil pack, an anthill, thank you very much for that. the kind ofs about frenzied behavior we are seeing amongst the decision-makers and the concern about demand. joining us now is global head of debt syndicate at ubs. we have seen that kind of frenzied activity in the debt market as well. in terms of buyers, investment-grade debt, i was reading a little bit earlier int

that is the view of citigroup. annmarie hordern is here with what we can expect.we see onshore equities are more sensitive when it comes to policy easing and they are made up of more of a retail basis of all those in hong kong are skewed towards the fundamentals and the base is heavily institutional investors. there wediversion could see and what they are suggesting is the chinese stocks are likely to continue. hordern with your morning call. where have a think about we are going to go at the start of the european trading day. five minutes to go until we get there. futures look incredibly negative. u.s. futures also pointing downward. nasdaq futures are down by 2%. 4%.taly, down by focusing on luxury and aviation and travel stocks in focus as well as carmakers and miners. this is bloomberg. ♪ hi! we're glad you came in, what's on your mind? can you help keep these guys protected online? easy, connect to the xfi gateway. what about internet speeds that keep up with my gaming? let's hook you up with the fastest internet from xfinity. what about wireless data options

look across the board are down by about 3% if you're looking at goldman sachs, bank of america, citigroup%. j.p. morgan chase off. wells fargo down 1.9%. we're with warren buffet the chairman and ceo of berkshire hathaway today one of the things that people wrote in, a lot of people had questions about the anks >> so what do you think about banks? because you don't look at day by day? >> banking is a good business if you don't do dumb things on the asset side basically the banks earn between 12% and 16% or so on that tangible assets that's a good business it's a fantastic business against the long-term ond. the question is really whether they do something done i feel pretty good about the banks we own they're very attractive compared to most other securities and most of them are by bank of america -- bank of america is buying in a lot of stock every year so our ownership of the bank of america this year will probably go up 7 or 8% without our spending a dime. they're very attractive against interest rates and against bonds and other stocks in my view. maybe you're talking about wells farg

about earnings as well, and i have another chart, this is global earnings downgrades continuing from citigroupd goldman sachs warning may be everybody has been underestimating the impact of the virus. what are your thoughts? have markets been complacent? temporary distortion and consumer behavior as well as disruption in global supply -- in chinae of the is going to lower the pace of growth, like greater china and southeast asia asia and even korea and japan in the first and second quarter. these impacts proven again to be temporary and we could half expect a fast recovery and consumer demand in the second half of the year. the market is always forward-looking. right now, the silver lining is the number of infection cases outside of the -- profits and china has been declining for 16 consecutive days -- province in china has been declining for 16 consecutive days. factories, more than 70% of them have resumed operating we could see a faster recovery and factory activities and consumer demand in weeks to come. paul: all right, margaret yang is going to be staying with us. first, let's get the fi

the american economy one of the themes as we visit hong kong, andrew hollandhorse will join us, citigroup'sica. stay with us. this is blerpg. lerpg. ♪ ♪ tom: this morning in this first quarter, 2020, goldman sachs considers 4.0% economic growth for china. that's increased 13%. yesterday there is a third cruise ship adrift at sea. a doctor at wuhan central hospital dies. there's continued dollar strength. this morning the euro weaker and oil struggles to find a bid at $51, the west texas barrel. and a clash of banking civilizations. enough say data swiss, out with the gentleman from the ivory coast in france. this is bloomberg surveillance. it's jobs day in london from new york. francine lacroix in london. francine, the president of the united states and the prime minister of the united kingdom reports really going at it over huawei. our tech team alex web and the rest in london, what's the huawei distinction between the two blond

citigroup saying this raises more questions than it answers.pending on upgrading their computer software. there's also a lot of geopolitical uncertainty, so they are giving a sluggish sales forecast. one of the really interesting stories to report after the bell, mgm's longtime ceo since 2008 is stepping down. just adding insult to injury, they have also completely scrapped their earnings forecast coming up, saying that the coronavirus impact is really starting to hurt them, especially in their casinos. macau, for example, has closed down. these numbers on the board might not look like anything remarkable at first glance. you can see earnings growth is just 0.9%. but it was estimated to fall over 1%, so from that very low expectation, earnings season has actually looked very good. it might be part of the reason we are seeing the s&p 500 continued to chart new highs. this is about 80% of the market cap reporting so far. standout contribute into this is tech. we get nvidia later today, so we will see if they live up to those expectations. commodi

citigroup had a great note out yesterday saying that "the -- and we could scroll the prompter for me.e go. [laughter] bizarre crossover is a benchmark for a performance and growth strategies." it all feels very 1990's, and we know what happened after that. you have done some work on it. walk us through it. reporter: yes, what we try to do is understand the perception of these companies' growth and fundamentals, and what the reality turned out to be. so we went back five years and looked at faang stocks and a few more. we try to understand the expectation for these companies five years ago. what did they think amazon could do in 2020? generates expected to $22 billion. the reality is they are on track to build over $50 billion. the trend is across as well. what we have seen is if reality is significantly better than perception, multiples tend to hold high levels for a long time , and outperformance is driven by the underlying fundamentals. if you look at the future from the same lens, what is the perception right now, it goes back to the discussants on regulations -- to the discussions