then fintech's fumble. today's selloff might not be a bad thing when it comes to risk. >>> finally, crypto crumbling as bitcoin nears 40k. what's driving the action there. if you ask some, nothing we will discuss that >>> first up for today's feed, we'll start with the selloff the nasdaq is coming off the worst day since february after the hawkish notes from the fed sent yields higher and growth names plunging is more volatility ahead as we said, here to discuss, dan niles is with us dan, we know you've been waiting for an environment like this i imagine this is exactly what you had thought was coming and i'm going to guess that you think it's not done by any means. >> well, unless you think inflation is done, and unless you think the fed is done, it's hard to imagine that this is done because you've had -- if you look at the dividends included, the s&p is up 100% over three years it's up 47% since the beginning of a global pandemic and so, my belief is that's driven by, you know, five stimulus packages in

there is more intense competition and a need to spend more to keep up with fintech.ave tougher year-over-year comps in capital markets, which you have from the regional and community bank space, the pure play on accelerating growth, on steepening higher rates, and projected improvement. and plus, that is where you see likely nii continuing and we work through those things, bank transactions, by year-end and we think the sweet spot will. relative to the universals. romaine: let's talk about that because we see that reflected in share prices. a lot of focus on regional names. a year ago, we talked about the banks needing to start to consolidate. the only way they complete -- could compete with jp morgan and bank of america is by joining forces. is that necessary or can some of these banks, the mid tier banks, stand on their own? cheryl: really, where we think the value in the regional banks face, i would characterize them as niche market players. names like signature, silicon valley, that have very differentiated growth strategy -- higher growth strategy. i still think

or is fintech in other places of technology, tim? >> look, jpmorgan is a fintech bank, let's be clear they're digital business their ability to navigate into a lot of these platforms that i think not only are more efficient but in some cases offering higher margin they are fintech banks old is new, new is old. >> guy >> you know, it's interesting. tim calls this a fintech and he's spot on jamie dimon was arming himself for exactly that it's interesting we've talked about this. dan nathan was early on this one. morgan stanley, which was floundering, and i'm using that word by choice, for years. they finally figured it out. they got themselves into three very distinct business verticals and they're killing it right now. in terms of the legacy banks, i think morgan stanley continues to set up really well. >> coming up, another big bright spot in the market energy fueling higher. the traders are playing the moves plus sheep in wolves' clothing innocent value stocks dressed up as big, bad growth names are they being un235ir8ly punished si

i would point out this etf is big with legacy fintech as well as the affirms and the sofis, guys >> now you have the lines blurred a little bit with sofi getting its bank charter i haven't heard that term the romcon chart did you make that up >> i think so. probably not today but at some point in the past. >> that's a good one let me ask you, though we talked about the fintech and the banks and what about the mega cap leadership. i know they disguised the selling in the fourth quarter but yesterday especially we saw some of that leadership continue to show signs of cracks. what does that mean for the broader mark isn't. >> i mean, look, they have not yet retraced all of the premium that was built up in the prior two years. if you're looking at the broader faang type world but i was just looking at the software, just software etf, its relative valuation to the s&p and it's almost there it's almost gone back to where it was before the pandemic on forward earnings let's say next year's earnings. that's not so much to hang your hat on, but it does show you that it does look like there has b

fintech expansion and investment is at an all-time high this year.t was at $10 million in asia and it is only growing. you are seeing a lot of nontraditional financial companies coming into this. shery: david lee, thank you so much for joining us. we will hold you to that promise of a bloomberg exclusive when your apo comes forth. thank you so much. [laughter] -- when your apo comes forth. david: thank you. shery: south korea, we have the trade there, and some of these stories we are watching, the president will hold a briefing ahead of the start of this apo. a $28 billion listing, set to be south korea's largest ever. data showing that global funds invested more than 5.5 trillion, one in december marking a 12th street month of investment. and president moon jae-in is meeting with senior secretaries as the omicron surge continues, in a few hours time, 2 p.m. local time, haidi. haidi: watch our interviews are no interactive tv function, tv . . you can also dive into all the securities and other bloomberg functions that we talk about. you can becom

really you have got a lot of bad news baked into what i would call a great fintech company that has a huge run ray ahead of it. >> paypal, you think this is an opportunity. the stock is around $184 what about affirm? again it has been a strong performer but stumbled out of the blocks here in 2022. >> yeah, so what's having, you know, when we are getting into kinds the next 12 to 24 months and the focus really is on earnings growth, cash flow, affirm is still trading at 14 times sales. it is an area, kelly, and the secular growth is great, but you are going into -- you know, what affirm does is buy now, pay later. as interest rates rise that's really going to hurt them because they are not even charging interest rates. and you are also getting into a period where over time credit is going to be important. i think as a fintech company that a lot of people got excited about, there is so much competition in the space, paypal is in it they have got other after pay, square, so if you look at it at 14 times staleales and you lookt the competition coming at them, it is going to be difficult.

meantime in not all fintech created ego. by now pay layer in the green. a top pick by miss who a upgrade over d.a. davidson a lot of talk about liueieand nangf denqncs magi o credit doesn't go away. municipal bonds don't usually get the media coverage the stock market does. in fact, most people don't find them all that exciting. but, if you're looking for the potential for consistent income that's federally tax-free, now is an excellent time to consider municipal bonds from hennion & walsh. if you have at least 10,000 dollars to invest, call and talk with one of our bond specialists at 1-800-376-4376. we'll send you our exclusive bond guide, free. with details about how bonds can be an important part of your portfolio. hennion & walsh has specialized in fixed income and growth solutions for 30 years, and offers high-quality municipal bonds from across the country. they provide the potential for regular income...are federally tax-free... and have historically low risk. call today to request your free bond guide. 1-800-376-4376. that's 1-800-376-4376 >>> re

rally 4.3%, fintech traveler paypal after getting beaten up by the shorts. is a tax loss bounce to me too many big and small players crowding fidelity nat info the bottom line, the worst performers look like they're going to keep under performing unless we get major sea changes and i don't see that happening anywhere in the near term, actually in the medium term. that is our time horizon viatris. hey, let's come up with a really bad name because we're a bad company. how about viatris. good let's go to paul in oklahoma paul >> caller: yes, jim. club member and first-time caller. >> yes >> caller: my call is regarding nphase i'm invested in it and i'm wondering if this is a buying opportunity with it off the way it is. >> i was reading this fantastic eye on the market this weekend what a report that he did. reflation. he did not have good things to say about solar. i think he's going to be right enphase is my favorite solar i'm not giving up. how about johnny in maryland johnny >> caller: boo-yah, jim. >> boo-yah >> caller: i love your investment club. i'm a m

joining me is an analyst for fintech equity research. dan, it's great to see you again.s like an obvious thing to ask we were down 80% in some cases maybe we have a one or two-day pop. where do you think the real value is >> we took a really big picture view of the whole space again. thanks for having me on the show we looked at 50 fintech stocks over multiple quarters and years. they closely track organic growth for the companies it makes sense it makes sense when you think about it but there's a turning point which means we've troughed in terms of growth decline. we've troughed in the first or second quarter that's why we're calling for a massive rebound of the whole space into the second half i think what you're seeing today is probably the beginning of that it's fundamentally backed for the whole space and then there's some selective stock picking where we think we can get extra -- >> wait a minute tell me about the growth decline. we're not supposed to have growth decline among super start-up names what's -- we know the robinhood story why what is the story for the

are investors moving from fintech to financials? bank earnings now rolling out, but the stocks are struggling today. jpmorgan topping estimates but lowering guidance. citi beating revenue estimates but showing a decrease in profits. so, john, as we take a look at those stocks, jpmorgan chase up 5.5% first republic down over 5%. looks like wellsfargo is the one winner there up 3% >> times change. >>> after the break, a former spacex employee speaks out about the company culture which she is sexism join us next on her experience working at an elon musk company. we're back in two. new year, new start. and now comcast business is making it easy to get going with the ready. set. save. sale. get started with fast and reliable internet and voice for $64.99 a month with a 2-year price guarantee. it's easy... with flexible installation and backing from an expert team, 24/7. and for even more value, ask how to get up to a $500 prepaid card. get a great deal for your business with the ready. set. save. sale today. comcast business. powering po

on top of that, fintech has disruptors to tech knology or how millennials will be banking today are inhe largest banks have the cash for the new world. tom: when you take the dividend and the use of cash, what is the percentage return to shareholders on january 1? do you model in a return? >> banks have ample cash for the business and for return. what it means is that they are sitting well above the regulated capital ratio. that's the game that most investors don't see is how stringent it is with regulations. it's a cash machine and that's driving the attraction of banks. here we are in 2022 with a cyclical favor versus growth given the rising rates and the stress of the economy. this is a perfect storm but not so good for some industries but for banks, this will be a good year. lisa: i was looking at jp morgan's return over the past 12 months, up 22% but it's lagging behind the kbw bank index. why has it not been able to keep up? >> like betsy, we upgraded wells fargo and bank of america to buy. there is more of a play here to rising rates and interest income going up. jp morgan is mo

does crypto factor or not factor into the way you value fintech companies?it factors in, but it is very important i think it's still early days and don't get focused on the price. look at the adoption the progress we're making with crypto adoption across companies, retailers, consumers. it's becoming a bigger part of our lives. the transformation of technology behind the block chain will only grow as more and more developers and capital flows into the space and takes advantage of this technology i don't think payments is really the first or best use case i think we had some really strong payments rails out there and if you're in a developed world with cards and other e-wallets, just the technology itself creates a lot of the different possibilities. for fintech companies, companies like affirm who have talked about adding crypto, it's just a way of increasing consumer engagement a way to buy or trade crypto just trying to increase consumer engagement and get them to use that on a daily basis. >> talking strategy here, do affirm and parna for example have to

. >>> still ahead, fintech's been taking a beating over the last month, but it's a different story for visa, mastercard and amex why one analyst thinks the legacy payment stocks are ispoed legacy payment stocks are ispoed to have a good year.nstant matcy delivers quality candidates matching your job description. visit indeed.com/hire when you're looking for answers, it's good to have help. because the right information, at the right time, may make all the difference. at humana, we know that's especially true when you're looking for a medicare supplement insurance plan. that's why we're offering "seven things every medicare supplement should have". it's yours free, just for calling the number on your screen. and when you call, a knowledgeable licensed agent-producer can answer any questions you have, and help you choose the plan that's right for you. the call is free, and there's no obligation. you see, medicare covers only about 80% of your part b medical expenses. the rest is up to you! that's why so many people purchase medicare supplement insurance plans like those offered by humana

the fintech company has been cleared to become a bank. shares as a result reacting quite strongly. the two day chart, but we've got a gap higher on the back of this news. let's talk about it all. sonali basak is the person to talk to, bloomberg's wall street correspondent. walk us through the process that sofi had to go through and how big an impact this is going to be. sonali: it was years in the making. it has taken forever it feels like to get this nod from the fed and the occ. they were the first real neo-bank to go public. they did so via a spac, very nontraditional. in the interim time, you saw sofi grow in nontraditional products and grow its footprint, despite not having that banking charter. it happens now? they have more than one million customers in sofi money. those will eventually convert into checking accounts. so they start off the bat with e-cig and base, and they will also have the ability to charge them or competitive rates or provide more competitive rates for those checking accounts. all of that comes at a time as rates rise. kailey: let's talk about competition

many multiples of the fintech type of firms that have pursued the millennial investor. >> are you goingstart offering crypto soon or waiting for regulatory movers? >> it is hard to inspector general -- ignore crypto, of course i don't know if you see firms offering direct trading but we would like to be in a position to offer direct trading in crypto at some point we have a variety of ways that the clients can invest in crypto today but direct trading is not a part of that at in this point in time and safe to say if we were in a position to do so in the future we would look to be as disrupt nif that field as other areas. the cost of kr crypto trading i very high. there's room for a disrupter to come in and allow investors to invest >> walt, keep us posted. thank you for coming on today and come back. beat or miss on "closing bell." >> all right thank you. >> have a good day just about 34 minutes left of trading. seeing steep decline just the nasdaq down 2.25%. energy is only positive sector we'll keep you up to speed throughout the close on the sell-off and the declines are worsening. t

the federal government some other top headlines happening now, shares are rising and news that the fintech hurdle you made it your bank. requiring south california community lender to operate its subsidiary >> and the spac over palihapitiya after he said nobody cares about expensive human rights abuses against muslims in china >>> ford reported an $8 billion gain thanks to the investment in rivian that stock hit hard it was at $176 a few days after the ipo. n. let's do it! new and existing t-mobile and sprint customers, can upgrade to the iphone 13 on us. on our most popular max plan. do we have a plan for the second half? nah, we're gonna get creamed... but we'll be on t-mobile! >>> welcome. in a showdown between the country's biggest airline, it seems the ladder may have blinked first. verizon and at&t say they will not roll out faster service. all on worries the signals will interfere with critical technology saying 5g is not a threat to aviation not convinced as they warn of massive and cargo disruptions. joining us now to discuss. host of the cost podcast if i have to listen to one si

. >> gains in fintech names.ancial technologies they have been under pressure to start off the year toast, they are higher today, still down 30% for january larger players like bloc formerly known as square and paypal are more than 40% from their highs. sofi shares are soaring today after the fintech company gained clearance from keybank regulators to become a ban holding company. but that stock is still lower for 2022 fintech is in focus, back to you. >>> ahead on "power lunch," an ev rv, win bayinga announcing an electric camper. the ceo will join us next to discuss this bold move and how the company plans to keep last year's big stock rally going "power lunch" is back in two minutes. i'll shoot you an estimate as soon as i get back to the office. hey, i can help you do that right now. high thryv! thryv? yep. i'm the all-in-one management software built for small business. high thryv! help me with scheduling? sure thing. up top. high thryv! payments? high thryv! promotions? high thryv! email marketing? almost t

. >> i wanted to ask as well, brian, sort of related topic on the threat from fintech, what your viewas on one of the bigger players in that space so far deciding to go ahead and get an fdic bank charter and whether you think that that's something that you welcome because now they're going to have to share similar levels of regulation, or whether it's a kind of new added step of a threat from a fintech company getting that type of fdic insurance and backing. >> there are two types of questions. but the key question is if somebody does an activity that relates to financial services for consumers or companies, it takes deposits, makes loans, holds money, they have to be regulated. that's why we have the banking regulation we have so i think anybody coming into that brings most are and more under the tent, so to speak, as they call it and that's a good thing, whether it's mortgages, whether it's securities accounts into the sec registration and broker/dealer registration, investment/manager when things go on outside the system that's different. in terms of any competitor, we're very comf

. >>> coming up, investors continue to put money into fintech and the private markets, that is.lion dollar funding round for check out.com as they look to expand in the u.s to expand in the u.s ceo is next. and feel what it's like to get your money right. ♪ ♪ ♪ ♪ move your money to sofi. you could earn up to $2,230 when you download the app, and feel what it's like to get your money right. ♪ >>> welcome back to "techcheck." i'm carl quintanilla with deirdre bosa, jon fortt and julia boorstin after getting a higher open, the nasdaq was unable to hold gains. peloton, moderna, jd.com, some of the laggards, many of the chips continue to outperform dow is close to session highs much julia will look into tech shi shift hiring outside of the the market >>> good morning here is what's happening at this hour falling gas and food prices helping keep wholesale inflation to a gain of just.2% in december however, wholesale prices also jumped a record 9.7% for all of 2021 >>> jobless claims ticked up to 230,000 in the latest week claims have now risen four of the last five weeks, but they're

you have mentioned entertainment i mentioned entertainment committee mentioned fintech as well, thatn place, where it could happen in the nearfuture? well, we're seeing already a of service industries that are changing. the funny thing is that we are speaking about industries, and one of the big disruptions we are seeing is that the nature of the traditional industries is starting to melt away, and we are seeing these bubbles. so what happens is that the digitisation allows you to serve the customer in cool new ways, that is why a bit tech is trying to say, well, i will serve all your needs. 50 if you have a traditional retailer you are notjust concerned you are going to find a new form of retailing, you are concerned people are simply not going to bother to show up in the same sector, as it were before. that is why i mention things like wellness and healthcare. here is the interesting thing, regulation is going to play a very big role, the other thing that you need in order to operate is to ensure regulators allow you to do stuff. to give you one example of how things are changing,

insurance companies and banks fence fintech, again, converging after two years.ania and fintech comes off, i don't think it necessarily tells us it's game over for any of the long secular trends. it doesn't mean that, you know, the old financials necessarily have to race to the moon but this is the way the market is resetting its bet getting into this next phase of the cycle. longer term, take a look at just how good the market has been over the last several years. this is from goldman sachs this is the percentage of three-month periods when the s&p was up at least 1% over the prior five years this goes all the way back over the last five years you've never had a better win rate, 1% three-month gains except in the late '90s going into 2000. doesn't mean it falls apart from here, but it tells you that there's a little bit of a -- and maybe why the fed feels it's okay to say we've doubled the s&p in the two years since we made the last low on a tighter fed than expected, and the credit markets seem okay, let's see what we can do in terms f being assertive, at least

europe's largest tech company, sap, plans to buy a majority stake in a fintech firm. why not?e will asset very question. this is bloomberg. ♪ manus: this is "daybreak: europe." dani burger is in london. europe's largest tech company sap plans to obtain a majority stake in a leading supplier in capital management solutions. let's talk to the sap ceo, he joins us now. you guided on the numbers, you talked about accelerating cloud revenue in 2022. where is the strongest growth in the cloud? is it incorporate, hq, or the evolution of work from home? what is driving the cloud narrative? >> first of all, the last quarter, we've seen double-digit growth in each product category. we see also when it comes to new pricing models, and supply chain disruption. this is what our portfolio provides. dani: you mention supply chain i can help but notice your tipping your hat for taulia. are you expecting or attempting to grow even more in the space after this acquisition? i know you've already announced one, but could we expect more in this area from sap? >> 2021 has shown that we are growing

the young company ceo stepping down two weeks after helping to secure billions in valuation for the fintech start up. all that in a moment, but let's get to the markets and a massive regret -- rat -- massive rebound. ed ludlow is checking it out. ed: nothing to write home about. if you take it on a two day basis, we think about friday and monday, it's the biggest two day drop since november. you see it in the semiconductor index. experiencing a big two day leap. investors focused on the outlook for the fed and higher rates. in this risk on environment, we've got most of the cryptocurrencies bloomberg tracks up, the biggest jump since november. let's get to after our earnings. the second biggest supplier -- up half a percent but revenue of 3.18 billion. demand is still there but inventory is very depressed. that's important in the context of the supply chain crunch. we will talk about that later in the show. m&a news -- 70 -- 70 -- sony -- what is fascinating is bungee was one of the original developers of halo. it's a much smaller deal but really interesting. finally, let's talk about spoti

these range from fintech, health and wellness, content, media, and more. us to bring us the bigger picture, carla harris, morgan stanley's senior advisor. great to have you back on the show. bring us inside the room. great to have you. carla: i tell you, it was another exciting day. this was probably our biggest demo day heretofore. we had over 500 people register. we had easily 300 discrete kind of investors, and what was great was we had the breadth of investor types. regular way vc's, corporate vc's, strategic buyers, high wealth individuals. this was probably the largest audience of different types of investors that any of these companies have ever had an opportunity to present in front of, so it was just tremendous. emily: would you say this momentum shift his day real and lasting change? carla: you and i talked about this in the summer of 2020, and i told you i thought it was definitely a movement and not a moment. the number of entrepreneurs of color and women are steadily going up, and interestingly enough, as you just saw or foreshadowed in the re

joining us is harry yeh, founder of quantum fintech group. weeks 10 years ago living only on bitcoin, spending that at grocery stores, bars, buying gift cards to pay for gasoline. ironically, also at gamestop. back then, it was mildly difficult to transact using crypto. today it is incredibly difficult. if you are using bitcoin, it takes a long time, is expensive and energy intensive. how does that change? harry: thanks for having me on the show again. it is progressing quite a bit. before bitcoin looked inefficient because of threats action processing time. then ethereum came along. now you have blockchain's where you can essentially use usdp to transact. most of the transaction that we are seeing at the conference and how we are paying our vendors is through stable coins. jon: one thing that i will remember from matt's experience was community. you have to know who to talk to and where to look for help. it is feeling like that especially with the volatility. can you talk about that, the process of everything going on under the sun right now

reckless expansion of capital, a disorderly expansion of capital, which has been the euphemism for fintech, whether it is alibaba or tencent or others' expansion into fintech -- their data collection and overreaching, according to the government. their influence on the society and economy. so this could potentially be read as an increased regulatory crackdown on big tech. that is why alibaba shares are sinking, about 4% in hong kong, in addition to the headwinds coming from the tech selloff in the u.s. there is also this financial times report about a cctv documentary that kind of implied that ant financial is caught up in some shenanigans with a brother of a former communist party official in hangzhou. that said, that is nothing new, bloomberg news reported pieces of that story back in august. so it is just adding to the angst and the concerns that regulatory crackdowns are not going to ease on big tech. haslinda: sheikh stephen engle, our chief north asia correspondent in hong kong. thank you for that. now to the chinese property sector. we know the property sector has been beat up this

haslinda: how much are you looking at fintech? years from now, i would like about 30% of my development to come from fintech. haslinda: thank you for joining us. happy new year and have a great year ahead. now a look at the week ahead, we are expecting china pmi, that focuses on exporters and the official pmi may be in contraction slightly. we are also keeping watch on australian housing prices, and the opec meeting is expected to add another 400,000 barrels, but libyan supply is in focus. thursday, keep an eye on the u.s. initial jobless claims and taiwan cpi. rishaad: absolutely, we've got that u.s. jobs report as well. let's look at hong kong as we had for the lunch break, about five minutes away. it is a start to the year. hang seng finding itself down about 6/10 of 1%. looking at some of the movers, compression in the market from the likes of property developers. evergrande suspended. some tech names also helping to foment the fallback. another company, 35% up. an ipo debut about three days ago. it is up about 95% or thereabo

lisa: is this completely to just compete with fintech?onali: it is interesting because if you look at the acquisitions they have made, it is things like the infatuation. it is things to make their businesses for consumers more attractive. so on one hand, yes, to compete with fintech, but also just to compete in the credit card and wealth businesses that are ever more competitive. that is 20% growth in tech investment, 35% growth in marketing, and there will be some increase this year on compensation expenses, though not as severe as those other items. jonathan: wonderful as always. looking for do you coverage in these names as well. let's talk about where the competition is coming from. by now, pay later. some real competition coming from that in terms of consumer spending. i went on mr. porter the other day. it is addictive and highly expensive. it set up to $15,000 that you could borrow, by now and pay later. that is the kind of offer at some of these stores right now. lisa: and then check that was some of the traditional credit card fe

maria: so sounds like more fintech acquisition are on the horizon?l this year, and i our team is out looking all the time, about how we can enhance services through acquisition partner, we always a hundred different companies in fintech, and that could be cyber, digital marketing, to traveling, and there is a lot to do to do better all about doing a better job for the customer also a looking what competitors are doing like i said some do a great job wish we had done something sooner quicker better too. >> would you like to add anything else i may have missed thanks so much. >> just, that we have to travel to world, with me all folks there we have best nation on the planet, and it is the most prosperous still, most innovative so much to be proud of freedom of speech freedom of religion freedom enterprise, doesn't mean don't have news i don't like people to denigrate our country but okay to notice laws in keep working together we will have a very bright future. >> a you don't think we are moving towards socialism, then? >> uh -- those things moving i d

focused on fintechs.ciency of the rebound of the economy and interest rates rising continuing to rise, that momentum continues. still keeping that exposure, kelly. >> courtney's favorite banks, whichever are based in ohio. >> always. of course, kelly anything based in ohio ohio against the world seen the t-shirts? i've got a couple of them. >> and the rest looking for strong regionals mattel upgrade to buy. shares up 4% but i say only, only up 20% over the past year and can expand profit margins with rising costs. mattel has licensing rights for upcoming films like the new "jurassic park" mignons," "top gun" among others. rival hasbro up only 3%. significant underperformance there. >> yeah. a lot going on with both of these companies. if we focus on mattel, mats what end game partners focusing on upping price target saying they see the opportunity for net sales growth just from those licensed products associateds with the moech movies you mentid basically for them to hit above the mark projecting and also

these firms like robinhood and other fintech firms and krypto exchanges need to be held accountable whenact in a commercial and reasonable manner. >> jose', we hope you continue trading, best of luck to you, we appreciate you joining us, and thank you, august. >> thank you. >> thank you, melissa. >> by the way, we reached out to robinhood and it said they have no further comment on the case $30,000 is not going to break the bank for ron robinhood but could cause these firms to take notice, karen, if more people are awarded claims, damages. >> you would have to think how many people were in that same situation, that same time i don't know if they're doing all these one off or what. i also don't know if they are insured for that i'm not really sure. they seem to have other very large problems right now. >> right now the issue is simply the stock which is in free fall basically but this highlights the existential risk to this business model, not just the volatility not knowing where the volumes will come from next, but also the payment for order flow issue, the issue of traders like jose' n

we made a few investments -- in fintech. we're excited about that.ank -- [indiscernible] in companies like paypal. big big financial transactions. in indonesia. 50% or 60% of the population and indonesia are unbanked. we think that is a big trend. that is a big opportunity -- across vietnam, indonesia. that has been one big trend. we've also seen patterns in social commerce. we are seeing much easier -- reaching consumers in smaller cities. in asia we invested in a company, learning for the markets in asia and vietnam -- enterprise software. we think that will become more from -- [indiscernible] it is a big trend, software. in the global economy, 25% in the region -- is on the cloud. we expect that cloud to continue to 50%. and companies around the world will be part of that, that big -- we think, in india. we have seen some other companies in asean. these are interesting trends. and then of course, commerce -- [indiscernible] rishaad: i want to get a sense asean is not a unitary body as it were. there is so many different legal jurisdictions apart f

e-commerce and fintech remain in the red.er factors like rising competition from rivals going to market either through ipo or rules like -- and many more digital platforms, and also concerns over the two factors that would impact these profitability's in the future. these other factors we think will impact sea's future valuation. rishaad: and also, do they wait? does tencent wait to see if these things bear fruit, or do they continue to sell more of their stake, or do they will wait for the fruit to come out? reporter: that is a great question. we know sea is trying to extend into india. they have had conflicts with china. based on our sources, india -- bringing ownership by tencent which is a chinese company down to below 10% will help sea's extension strategy in india. rishaad: good stuff. nathan naidu, the bloomberg intelligence equity research analyst. we will look at opec, the big story, oil prices reversing some early gains. they did start the day higher. wti finishing tuesday's session with gains of more than 1%. that'

a theme we continue to discuss as kathie woods and many fintech names slash, guys. i think it's an interesting distinction. snowflake's growth has been explosive. we had frank on after earnings pretty recently. doubling, frankly, year over year even after the biggest software ipo ever opened up double, right. he's continued to deliver on growth i think our question is in this environment where people are reconsidering what they're willing to pay for that growth given inflation and the fed action, are there certain stocks that you can continue to count on or will a falling tide lower all votes? >> i think we're already starting to see sort of the dispersion between the software names we mentioned snowflake companies that have bipartisan able to hold up growth i started to look at how much are some of these software companies off their 52-week lows i know they have come down so much but there have been bargain hunters, if you want to call them that, they're up 70, 20% from their lows and compare that to other names and they haven't seen a ton of buying from those 52-w

is hated as much as new fintech is loved. could this happen if they realize how cheap general motors stock has gotten gee, this should be gm's moment. it just ain't that bad one more on a tough day, starbucks. interest in unionizing for the qualifying house really going? impact on congresswoman on store hours and shifts has the china lockdown almosts hurt them at all this is why starbucks is down 17% for the year hopefully they can quantify the pain and limit the damage. meta, formerly known as facebook, this is a company that's been consistent for quite a stretch and for once it doesn't seem to be attracting much criticism for its business practices. i think it's helping small businesses a lot be able to develop their own businesses on instagram. i think facebook is worth owning, bong for digital advertising and the metaverse. ab zi, company you don't think of, it has a lot of new drugs, yi yields 1.4%, i think it's run so much so you might as well wait to buy but it will have a good year, abbvie i might be bold and tell you

1.8% receded from there the tech sector also following last week's trend to the downside chips and fintech hit especially hard crypto is under more pressure. bitcoin briefly dipping under $40,000. 59 minutes left to go in the session. >>> we have a great lineup big call today on interest rate just mike wilson and katie stock t stockton on the charts tilray is a standout winner today following earnings this morning. we'll break down the numbers with the ceo irwin simon coming up first, mike, tracking the market action deirdre bosa with the nasdaq movers berhe that coombs with the highlights of the interview with jamie dimon. mike, broader market lower except for health care. >> yes health care. a big jpmorgan health care conference going on. s&p 500 bent and didn't break. at the lows this morning about 4.9% off the record high that seemed to create a little bit of a dip buying instinct the other level to watch here generally speaking this low 4500 area also the early december low in the s&p 500 right around 4500. one thing traders look back on is if the low of december is broken that could

fintech, anti-trust, cyber security and labor reform. not seen the government expand on the frameworks the announcement is more or less along the line of the four buckets specifically and the latest we heard about alibaba selling the portfolio company i think is part of anti-trust. one part is market share the other one is industry influence. so we feel like we are pretty much coming to the end in terms of that announcement specifically. >> is didi a special case in the delisting? >> good question i tend in terms of timing tend to think it's more company specific right? so rather than industry specific and clearly coming to delisting you have to look at two different regulatory environments here. right? in the u.s. certainly a requirement. chinese company needs to comply. a way to work around that is concurrently hire hong kong auditor and provide s.e.c. the audit paper. in terms of u.s. regular lay tori there's more. for chinese government it is harder and the intention to move the companies home but you think about the structure of cap

the fintech names, for instance, they're getting crushed as we're starting to say, let's buy companies are earning money. so this year, intel and cisco, old tech companies look better than some of the newer companies like apple and amazon for now. but will this note scared? the market yesterday, daryn, said basically said inflation is out of control and we're going to be more disciplined like your parents need to bed restricting you for speaking out for a month. then after a day or 2 to get your phone back. and after a week or 2 there, all been forgotten. so this looks worse for feels worse. and actually as what does it does, the job look worse than it feels it feels like nobody's going to work anymore. >> like it's still well people are getting fired, but people are quitting en masse. better. record number of people quit november. so this is probably be inflationary. get people back to work. you have to pay them more money, which again contributes to higher interest rates, which means more borrowing costs for you and me. more barn cost corporations and means companies are earning mone

of the movement it became the top holding for ag gen z and finished the year this third place on fintech'sger. >> in most cases it was a buy and hold i think in some cases they actually added to the position, really smart as this thing was climbing and then in some cases some folks took profits before the end of the year. >> new investors who took profits in amc and other stocks need to know how they will be taxed on these investments short-term games from stocks held for one year or less before being sold are subject to ordinary income tax rates. long-term gains from stocks held more than one year will be taxed at 0%, 15% or 20%. a net capital gain is considered income and an increase in income could reduce certain tax breaks. >> student loan interest, child tax credits, you know, a deduction for medical expenses these things are all tied to your adjusted gross income >> the higher your adjusted gross income the fewer tax breaks you may be eligible to get, kelly >> well, and we are talking about kind of if you had gains what about if you had losses, what should you do tax wise? >> well, y

. >>> fintech and cybersecurity among the hardest areas in the tech sector -- the hardest hit areas iners and fallout straight ahead. >>> and will rising interest rates finally cool off the record increase in home prices which are up4%eaov yr in december. ♪ >>> the nasdaq selling off hard in today's session, but finishing off the lows down 1.3% let's look at cybersecurity and fin fintech. frank holland has the details. >> fintech down more than 5% today as the ten-year continues its relatively rapid rise. about 30 basis points higher over the last month. top holding block, down more than 5%. robinhood down 6%. affirm is down 10% paypal down for man a percent. the hack cybersecurity etf down almost 2%. top holding there, cloudflare down 10%, off nearly 30% over the past month zscaler down 8%. cisco, fortnet and palo alto also down. >>> up next, the ceo of redfin on whether he sees a slowdown in the hot housing market. >>> and later why a newport problem in china could signal more trouble ahead for the u.s. supply chain and consumer prices you're a one-man stitchwork master. but your sta

see the stock responding, up a couple percent pretty well off the highs with the other payments and fintech jumping a couple percent, as you said, mike and i guess the question here for visa when we get to the call is whether they're seeing any kind of cyclical slowdown. we got a little bit of a hint that maybe retail sales tailed off halfway through december and into january that will be the short term question >> that's always a big one as well as cross border volumes thad has been a hang-up for visa hard to know if that will be a big change in the latest quarter. but this is a stock that used to have super premium valuation very much a hedge fund crowded trade, and it has come off enough to where it's 25 times free cash flow, pretty much the range it was in for most of the kind of years before covid so it's sort of taken a little bit of the excess off the valuation. >> and really underperformed american express, a competitor we have to leave the conversation there stephanie and peter, thank you both for joining us. on a busy earnings day we're just getting started here on the second hour

>> that's right, they've got stiff competition from fintech as well as the other banks.ve already -- already written that investors could be up by 50% this year and there is more pay on top of that to come for partners, special rewards for partners making millions of dollars each. so the outlook there is obviously rising but david solomon did say that he thinks the m&a environment he views to be pretty strong. we've already seen a couple of mega deals this year, activision being one of them. the big question remains over trading. haslinda: goldman shares down the most since 2020. thank you so much for that. here's the latest business flash. cruise operators have fought for provisional liquidation and many unable to pay debts as they fall due. in a filing, the company confirmed that cash balances are expected to run out at our around the end of january. hong kong shares will remain suspended. activision blizzard listed for $6.9 billion. $95 a share. is part of microsoft's push to add a growing platform of games. rishaad: let's look at what is going on market wise. we're l

ahead on bloomberg markets asia, we speak to a selling author who advise the obama administration on fintech, and his book about intelligence courted by xi jinping. more on that later. rishaad: risk in china's markets as well as the economy. in the company of ubs's head of china global markets. that is on the way. this is bloomberg. ♪ haslinda: tracking chinese developers under pressure. no longer right now, currently up 0.3%. the kaiser, the she mao was dodging by about 20% yesterday. evergrande, china young -- another company also. china has an $870 billion offshore debt market. not surprising, the likes of evergrande and kaiser have missed payments. missing debt payments, refinancing costs also effectively blocking them from rolling over. those concerns remain where investors are concerned. rishaad: it is not just this. also informal off-balance-sheet deals could be much higher. what is the wider effect of this? does it present a systemic problem? let's go to ubs costs head of global markets. thanks for joining us. a lot of people say this could be contained, but the more we hear about th

that privacy space between coppa and gl ba creates a fintech child privacy protection gap is existing law. this gap is especially harmful as we move toward a cashless society, a trend accelerated by the pandemic. the good news is that one company fintech digital wallet company which i'm involved with is the only coppa compliant digital wallet. thank you again for giving me this opportunity to participate today. i look forward to your questions and continued to work with you and your staff. we must all work together to fix these important problems, because at the end of the day it is the right thing to do. thank you. through corporate campaign and strategically regulatory filings we have changed the marketing and data collection practices of some of the world's biggest companies. currently we are leading a to stop facebook from launching a children's version of instagram, and last week with other leading advocates we launched design with kids in mind, , campaign to demand regulations that require online operators with kids interests first when designing the platforms. frances haugen ha

many multiples of the fintech type of firms that have historically pursued the millennial investor. >> and mike, i guess we saw that theme in terms of the monthly active users play out, that it seems to have peaked three quarters ago the question for them is whether they can stem that slide and if it's just a brief pullback as people are lessen gauged as opposed to a steady slippage of market share to other rivals >> i don't think right now we're seeing loss of market share in terms of actual bodies in terms of clients going elsewhere. it's much more about very loose attachments of the existing client base. they did have net additions of customers, robinhood did, in the last quarter we're talking about 22.7 million client accounts. average balance, $4400 tiny fraction of the competitors. even the trading metrics last quarter did not keep track with what competitors did there's a lot less user intensity in terms of trading, even last quarter when things got better to some degree in crypto volumes and in options volumes for other firms. i thing the big question is what is the value of t

continues to ford to head into the world of crypto currency saying in a tweed on thursday that the fintech firm is building an open bitcoin mining system block formerly square is looking to continue to expand beyond its payments business and into new technologies like block chase back in october, dorsey claim that the company was looking into building a big coin mining system based on custom silicone, an open source for individuals and businesses worldwide. security is out to discuss our boom, co host, an crypto analyst that it's been swan. and david will, he is the ceo of pro chain capital. david, i want to start with you on this. what would an open bitcoin mining system actually mean for the entire sector? what it means for the sector? well, let's 1st unpack what it is, which is i think jack dorsey wants to make that coin mining like the p. c. anyone can go ahead by mining greg? plug it in and go ahead and become a minor. jack dorsey's vision is decentralization, decentralization, decentralization. he does not, he's had a, an out right tiff with, with, and recent horwitz and with some ot