kailey: it really is. have an analyst at morgan stanley lifting his price target on disney because of the strength of disney plus, saying it is scaling so much faster than could be anticipated, showing strength and taking hold. if there is a bright side to look at the coronavirus through the disneyland, -- through the that may be a boost to streaming. instead of families going to movie theaters, they are staying at home and binge watching disney plus or netflix. we have seen netflix up 8% on that exact idea. david: disney plus is doing well, much better than they said they would do. you mentioned netflix. you also have amazon and others coming in. hbo, a lot of other things. it will be a crowded area. kailey: there is a lot of competition. analysts seem to be optimistic on disney plus odds that it will be able to withstand that. that is kailey leinz with a report on the market. up next, jenneth or hillman, former member of the -- jennifer tillman joins us to discuss reports to reform the wto and whether th

many thanks to kailey leinz for that report on johnson & johnson.ing up, is there still a diplomatic path forward with iran after the strike that killed general solomonic. we talk with the form -- general solomonic. solom -- this is balance of power on bloomberg television and bloomberg radio. ♪ beyond the routine checkups. beyond the not-so-routine cases. comcast business is helping doctors provide care in whole new ways. all working with a new generation of technologies powered by our gig-speed network. because beyond technology... there is human ingenuity. every day, comcast business is helping businesses go beyond the expected. to do the extraordinary. take your business beyond. david: from new york, this is "balance of power" on bloomberg television and radio. i'm david westin. bloomberg first word news, we turn to mark crumpton. mark: more than 50 people are dead and more than 200 hurt after a stampede broke out at the funeral for the top iranian general tilt in the u.s. airstrike. news agencies report the stampede happened at general qasem so

kailey leinz is here. kailey: earnings per in at $1.70. the highest estimate was $1.52.of factors that went into that. they sold a stake in a brazilian carrier, benefiting from low fuel costs, but what stuck out was the growth domestically. one fell by ay couple 10 someone percent. big growth in latin america, sales of 6.7%. in the u.s., up 7.7%. notably, delta does not have the 737 max. going to say, i don't want to pick on boeing, but is that relevant? it is. other airlines have had to cancel hundreds of flights a day, and delta has benefited. theytoday, american said will not have the 737 max back on their schedule until june, which is what united said. they said that, based on their discussions with the faa. they are assuming it will be back in their fleet in june. david: we have heard so many different things. we had the ceo of ryanair saying last year that it would be up last june. kailey: this is something that is constantly evolving. david: so it is top line. keepof it is that they can flights going without canceling. kailey: i will say, when the 737 max comes ba

kailey leinz is here with more. amd on fire. kailey: it keeps on going.t year was the best year since 2016 and nomura says that will continue. the analyst raised his price target to $58, up from $40. it is a bit of a game of catch up because the stock has far exceeded the average analyst target. now tradingd is near $48 a share. it is a bit of catch up but he is saying i see gains in the future from the fact that the average selling prices are going to be higher. they have gained market share in the cpu space. intel has had a shortage of the is making up amd for, and he sees more devices from microsoft and sony in the back half of the year. amd inks the picture for 2020 is looking better than it did in 2018. david: the question has to be why. you mentioned gaming. also 5g is coming. what about china trade? typically tech gets helped by that. kailey: especially the chipmaker space is so sensitive to the china narrative. when you look at a stoplight am -- when you look at a stock like amd, 40% of its revenue is from china. when you think about the supply de

kailey: we are higher.o not want to totally quality comeback, but equity markets are rebounding and it is not just in stocks. you are seeing that reflected in the fact that investors are coming out of some of those assets. 10 year treasury yields are higher for the first time in six sessions. you are seeing some of those safety traits unwind. investors seem to be getting some of the risk appetite back and the coronavirus concerns may have subsided a little bit. we will see how plays out going forward. david: kailey leinz, thank you so much. coming up later today, kevin cirilli will speak with jared kushner, senior advisor to the president about the new middle east plan. that airs at 3:00 today. power,"p on "balance of we continue on bloomberg radio in our second hour. we will have more with the ceo of 3m, mike roman. on monday, we will be live in des moines on tv and on radio. also special coverage that night. lisa: i'm lisa abramowicz. welcome to "bloomberg money undercover," a show that provides valuable

kailey: even still, there are cases out there.ihood that this will spread is causing concern in the market. david: and you talk about sentiment. we are already to believe something like that. everyone is on tenterhooks wondering if it will happen here, will it affect my life, much less than economic growth. kailey: the market is trading on every new development around this. we also got not so great numbers out of europe today. when you think about other fundamental investors, we have a series of disappointing earnings out this morning. honeywell, they say they don't see a pic of going into 2020 because of the broader industrial slowdown. coronavirus aside, there are lots of concerns for investors to fix -- fixate on today. david: cutting interest rates is not going to help with the coronavirus. it will not make it go away. discussion ofwas monetary policy reaching its limits. when you have this kind of virus, what is a central banker to do? david: thank you so much on that report. we will continue balance of power on bloomberg rad

kailey leinz is here to explain.s is the first time they have missed on their earnings number in two years. what stood out to me is they really want to raise prices in the corner but that was not enough to offset the sales volume decline they saw specifically in industrial painting. that was down 6%. it is waiting on their guidance, too. full-year earnings per share should be up 29%. at the high end, they will only be as high as $6.78, which missed street estimates. the company ceo said the reason the range is so wide is because of the heightened level of uncertainty in the space. when you think about its end-users, it is industrial companies. some of its top companies are the likes of ford, gm, and there is weakness in the auto sector. david: at the same time, you talk about uncertainty, a lot of it looks like to the upside. u.s.-china,ed, global growth coming back. a lot of that uncertainty should be upside. kailey: you have some analysts saying that. credit suisse noted that people were very positive. they were sa

kailey: it could be damaged -- dr. leverett: it could be damaging.as an airliner shot down and that was seen as significant in the iranian narrative of it suffering, so if they have now shot down a civilian airliner, it would be damaging and particular to talk to their people about the suffering and their history, but i would not rush to judgment here. there is a lot going on and it shows incredibly the high nature of risk in the region that is not about by the high u.s.-iran tension. david: what is the process by which we might find out the answer to the question? as i understood it, the united state said maybe they could not provide assistance because of sanctions, so who will provide the answer? dr. leverett: iran has a sophisticated apparatus that deals with airline safety and they have had to build up one indigenously because of u.s. sanctions and the united states airlinentially blocked and in working directly with the united states. iranians will try to work on this themselves and they will elicit support and cooperation of not only ukraine bu

kailey: at least today. analyst downgraded the stock to underperform from neutral because of the impact of boeing. we had boeing saying it does not see the 737 max returning to service until around june. that is another three-month delay. the faa saying it has no timetable. that could get delayed even further. longbow thinks this will have a meaningful impact on arconic's topline, could bring earnings down to two dollars a share and not 400 to $500 million off of commercial aircraft revenue. boeing is one of arconic's top customers, it second largest, with 8.3% of the revenue share. we know boeing had stopped production of the 737 max, which could be assumed of get hit to arconic's topline. david: there is a spinoff in the works? kailey: what is going to stay in the business is helmet, which is the aerospace division. that will keep the arconic name, that is the aluminum business. much lower in terms of profitability. aerospace business margin was above 20%. they are trying to focus more in that area. that w

kailey leinz is here to explain. kailey: it has been an ugly week. stock is down nearly 20% of the last five days as concerns escalated around the virus, specifically as a relates to macau which is a key market for wynn resorts. bank of america saying this virus will have an impact. innt comparisons to sars 2003 a not perfect, but they are increasingly similar. bernstein was flagging it today as well. you're seeing it show up in the data. macau's tourism bureau releasing numbers saying you're on your visitors for mainland china yesterday were down 80% and over the past three days they have been down more than 70%. seeing significant tourism declines and that will translate into gambling revenue, and that affects not just wynn resorts but the likes of las vegas sands that has big macau revenue. david: the companies do more than gamble. they go to restaurants, they take airplanes, what are the other stocks being affected? kailey: you are seeing a lot in the travel and leisure space. we have a lot of airlines and cruise lines. the biggest one is were ro

i am joined by bloombergs kailey leinz. kailey: it is good news for lennar.y beat on the top and bottom line. new orders were up 23%, came in over 13,000, far more than the street was looking for. you also had deliveries up 16%. that helped offset the fact that prices were down. that in some ways is not intentional but the result of to push moretegy into the entry-level market attracting the millennial homebuyers that have been trying to focus on affordable homes to attract those. it is now 40% of their business driving the new orders and is weighing on prices. is going to weigh on prices going forward into 2020. it will weigh on earnings. that is why we have seen the shares off the highs. david: there may be larger factors as well as low mortgage rates. and they areobs getting increases in wages. kailey: those are huge factors into why we have seen housing do so well. we saw do well in 20. the sector ran up 50% in 2019. we are seeing that rally continue today. as you alluded to, the job market looking strong. people confident in their ability to get a job an

that is kailey leinz with our market check.o remember the function vtb go on your bloomberg allows you to browse all of the recent charts -- the function gtv on your bloomberg allows you to browse all of the recent charts. this is bloomberg. ♪ ♪ live from new york, i'm vonnie quinn. this is the european close on "bloomberg markets." let's check on the bloomberg first word news with ritika gupta. ritika: house republicans want her to -- want meant ability to transmit articles of impeachment to the senates of the trial can begin. democrats want guarantees about the scope of the trial in the republican-controlled senate. in new york today, jury selection begins in the sexual assault trial of disgraced movie producer harvey weinstein. dozens of women made allegations against the hollywood mogul. it led to the me too movement worldwide. weinstein has pleaded not guilty. he says any sexual activity was consensual. weather and some rain are helping attempt to fight australian bushfires, but still, dangerous conditions will return

his kailey leinz.ailey: in europe, the stoxx 600 lower, but the s&p 500 -- the stock 600 higher, but the s&p 500 and the nasdaq lower. up the screen and take a look at an intraday chart of boeing, we got the delivery numbers for 20 out just a moment ago. we can see a spike -- for 2019 just a moment ago. on thesee a spike number, 380 planes. the market sees that is better than expected. but take a look at it relative to deliveries last year. it is less than half. last year, boeing delivered 806 commercial airliners. that is also less than the 863 planes delivered by airbus this year. this is the first time airbus has topped boeing since 2011, and the widest difference between the two and the entire 45 year history. clearly, the grounding of the 737 max taking its toll, although the shares are in the green on that report today. big banks, we got a trio out with earnings this morning. jp morgan is higher by a little more than 2%. fic trading came in more than $1 billion stronger than traders were estimati

that is kailey leinz.emember, the function gtv allows you to browse all of the charts featured on bloomberg tv. catch up on key analysis and save your favorites for future reference. this is bloomberg. ♪ vonnie: live from new york, i'm vonnie quinn. guy: from london, i'm guy johnson. this is the european close on "bloomberg markets." let's check in on the bloomberg first word news. here's courtney donohoe. courtney: pressure is building on senate republicans to allow witnesses in the senate impeachment trial. arepresident's supporters bracing themselves for the possibility of more damaging exposures. according to "the new york times," john bolton was concerned that the president granted personal favors to the autocratic leaders of china and turkey. today, president trump will unveil his mideast peace plan. he will boy joined by israel's prime minister benjamin netanyahu -- he will be joined by israel's prime minister benjamin netanyahu. the palestinians aren't even speaking to the president because th

kailey leinz is here to explain.ley: they beat on earnings, which is positive, and they posted their best fourth quarter sales performance since 2014. they saw incredible revenue growth outside of the u.s., latin america, the middle east, europe, growth between 5% and 9%. in north america, sales growth was down 13%. that underscores their decision to continue to pull back on that north american shale business. today they say they're going to cut their fracking in half in north america to split up the operations because shale drillers in the u.s. are pulling back. there is pressure to cut back on spending, not just focus on quantity of production, and that impacts the oil services company. david: and they borrowed a lot of money and her worrying about -- and are worrying about paying. kailey: now we are shifting out of the shell patch when that has been the narrative for the better part of the last couple of years. the chairman of schlumberger was speaking in saudi arabia and he says shale growth is not going to be wh

here's kailey leinz.ailey: stocks are in the green ahead of the kick for earnings season tomorrow. and the s&p dow higher. in europe, we are seeing markets lack the dax, as is the stoxx 600, by nearly 0.25%. the one exception is the ftse 100, higher now by more than 0.3%. that has a lot to do with the weakness we are seeing in the british pound, which we were just discussing. we happen to the terminal, take a look at the currencies in the g10 space. we can see the dollar has given up some of its strength from earlier, although it is still significant we stronger against japanese yen. take a look at the british pound , lower by 0.7%. that has to do with expectations for a boe rate cut. sterling is now lower for the ay.th consecutive d extending the worst week since july that we saw last week, lower by the better part of a percent over the past five days on its longest losing streak since back in october for oil, sitting just above $58 a barrel on wti. take a look at one group of stocks in particular and wh

here's kailey leinz. kailey: in the u.s., the major averages are sitting at fresh record highs.he tech heavy nasdaq is up by about 0.5%. in europe, the stoxx 600 flipping back into negative territory. note the underperformance of the ftse mib on the political turmoil you were just discussing. in the u.s., let's take a look at some of the leaders today. 3.5%s ibm, higher by about after fourth-quarter revenue top estimates. you also have capital one higher by more than 4%, the best performer within the s&p 500 after fourth-quarter top and bottom line topped analyst expectations. tesla up again today by the better part of 7%. this stock has rallied nearly 40% in just 2020, more than doubling since october. take a look at gtv in the market valuation. it has now topped $100 billion. it is greater than volkswagen and lower than only toyota in the autos. if it holds this valuation for six months, it unlocks the first trench of a bonus package of about $46 million. another stock rally and alongside tesla's virgin galactic. -- stock rally and alongside tesla is virgin galactic. adam

vonnie: let's get a check on broader global markets now with kailey leinz.ailey: we are looking at a mixed picture for global markets, seeing outperformance in the europe -- in europe with the likes of the dax. the ftse 100 roughly flat. we are lower in the u.s. now, just about three points on the s&p 500. we've clawed back a lot of earlier losses thanks to strength in the semiconductors, but the broader narrative overhanging the market is the broader tension between the u.s. and iran. in the oil market, brent crude prices are actually about 1% lower today, the first day in four they have fallen come on those escalating tensions in the middle east. --r giving back some gains we are giving back some gains, but still higher over the past four days. is ridiculous at the sox index, that is higher by the better part of 2% today. some of the big outperformance include microchip technologies. sales were stronger than analysts expected. analysts see a bottoming in the industry. i want to happen to the terminal here at gtv and take a look at fundamentals, specif

vonnie: kailey leinz, thank you for that.e will be bringing you special live coverage of the iowa caucus from des moines february 3 starting at 10 p.m. eastern and on tuesday, tune in for our special coverage of the state of the union address at 9 p.m. eastern. this is bloomberg. ♪ vonnie: live from new york, i'm vonnie quinn. london, i'm guy johnson. this is the european close on bloomberg. we continue to watch with what is happening with the u.s. 30-year. mark, just cleared the 2% honey. remember the low hits -- last year, 1.5%. -- it just cleared the 2% mark, vonnie. let's get a first word news update. >> hey, guy. president trump's impeachment trial could end his earliest today. majority leader mitch mcconnell probably has the votes to end the trial. has announced he will vote against putting anyone on the stand. the coronavirus outbreak has spread to the u.k. british authorities have confirmed their first two cases of the disease. meanwhile, the death toll as climbed to 213 in china. the state department has warned ameri

kailey: the s&p had recovered most of its losses. we have been in a range all day and now we are flat. we have lost a lot of the bid for assets. the dollar now stronger against the yen. 1.8%.s. 10-year yield up, the only safe haven getting sustained buying is gold, higher by 1% today. if we take a look at my terminal , take a look at the momentum for gold, i'm looking at the relative strength index. over 70 represents over about territory. we are well above that. right now around 85, the highest we have seen in four years. if we see continued buying, we could be looking at the most overbought in about two decades. i want to bring it back to equities. a chart of s&p futures, etf's on the move today. take a look at india. indian assets.ks india is a big oil importer. we are seeing that spike in oil bringing that etf down by 1.2% today. continued weakness in the semiconductor space. very vulnerable to geopolitical risk. mlp's upside, tracking getting a nice lift. a disruption in middle east supplies could mean a boost for other supplier

thanks to kailey leinz.atest on the situation in iran -- we talk to an expert about the tactic and strategy involved in that growing conflict. what can we expect next? live from new york, this is balance of power on bloomberg television and radio. ♪ david: from new york, this is "balance of power" on bloomberg television and radio. i'm david westin. for bloomberg first word news, we go to mark crumpton. says ite european union regrets iran's announcement that it will no longer be bound by its nuclear obligations, but the eu says it remains determined to keep alive in international deal preventing iran from developing atomic weapons. president trump withdrew the u.s. from that agreement last year, and since then tehran has gradually rolled back its commitments to the pact. it's a general was killed in an assassination attack. on january 15. a chinese newspaper says the group originally aimed to travel earlier in the month but had to alter its plans after president trump tweeted the deal should be signed on th

vonnie: let's check global markets, here is kailey leinz. >> concerns surrounding the coronavirus --e are seeing equities lower right around the lows with the stoxx 600 down by 2.25 percent. all three major averages down around 1.5% or more and the nasdaq down the better part of .% th is notewthy for another reason. 500, itsee for the s&p will be the first in 74 sessions we have seen a decline of more than 1%. we have not seen a decline of that size. three months ago, the longest streak without a move to the downside. that underscores the magnitude of the move we are seeing and under the surface of the broader index levels, we take a look at what is leading decline and a lot of the tech heavy weights are lower. .pple down 3% earnings kicking off tomorrow which reports after the bell and morgan --rgan -- jp let's take a look at some of the usual suspects that move on you haveus concerns, the worst performer in the s&p 500 down the better part of 8% downgraded at bank of america on the concern the virus could impact the operations which make up two thirds of revenue. at disney lower by

here with the details, kailey leinz.ailey: we are looking at a mixed session for global equities today. you have outperformance in europe, with the stoxx 600 higher, but we have slipped into the red in the u.s. as we take a look at a chart of s&p 500 futures, beacon see the fear of the coronavirus really taking effect. we were able to hold onto gains all night long. we opened nearly at a record on the s&p 500. the clients started around 9:45 we got that disappointing pmi number. you can see them really steepening after that second report of the will hound virus -- of the wuhan virus. you can see it playing out for the airline sector and cruise line. american airline and royal caribbean cruise lines down. those travel stocks getting hit pretty hard. when resorts lower now -- wynn resorts lower now, too. macau's executive says he will not rule out closing all casinos because of fears of spreading virus. lunar new cut in on year gambling revenue. we do have stocks moving higher on the day, specifically those that are earnin

let's check global markets with kailey leinz. kailey: in the u.s., it is definitely risk on.n the u.k., a little less so. the ftse down by 0.5%. in the u.s., all three major accurate is -- all three major averages are at record highs. you have every sector within the s&p 500 higher today. take a look at the dow, up 177 points, continuing that climb above the 20 men thousand level. if we happen to the terminal at gtv and take a look at the dow over the past few years or so, this isn't the first round milestone we have seen recently across the 27,000, 28,000 level in 2019, and now more than 200 points above 29,000. what's led the dow are some of its biggest heavyweights. the likes of goldman sachs, apple, visa, mcdonald's have all seen gains of 6.5% or so, and we will see if they continue to lead the dow towards the 30,000 level. of course, there are some other stocks moving on the day. i wanted to go look at chip stocks. taiwan semiconductor is well off the highs of the session, now up just about 0.4%, but fourth-quarter profits top to highest analyst estimates. first qua

david: thank you so much, kailey leinz.tors already had plenty to think about heading into 2020, before the attack that killed a senior iranian general. from impeachment to trade to an election year, there is plenty of geopolitical risk to assess. joining us now is henrietta treyz. before we go on to other things, welcome back, happy new year. let's talk about whether we should be taking into account as an investor what happened in iraq. seem to be happening this morning and overnight is the energy worse -- sector is responding most to the attack but also taking it in stride. the house will get a briefing tomorrow and this evening, will be talking with senators next week. it doesn't appear there is anything imminent that was suggest we are about to get into a full-blown war. the main focus is on secondary tears, things like cybersecurity, the impact to u.s. personnel in iraq, and in surrounding areas, making sure they are safe from reprisals, but not clear about how iran set retaliate, which will up a storm of what the u.s.

he is kailey leinz. kailey: the global relief rally is continuing. three major averages in the u.s.t fresh record highs. the nasdaq higher by the better part of 1%. if we take a look at some of the movers within technology, what is really leading the rally is advanced micro devices, up 4%. it was upgraded at mizuho today. qualcomm higher by the better part of 2%, as is apple. a few things working in apple's favor today. double-digit iphone growth in china, and holiday growth was likely very positive for the company. you have tesla falling from its record high, bears saying it might be time to take some profits after what has been an incredible surge. far in 2020.up so it is a higher value than ford and general motors combined. we are giving back some of those gains today. finally, i want to take a quick check on oil. with those easing middle east tensions driving the rally, it is taking crude lower by the better part of 1% today, bringing a three-day declined to nearly 7%. that is the worst three-day period for wti -- [no audio] vonnie: -- assets. remember, the function gtv all

vonnie: kailey leinz, thank you. pgim's taimur is hyat. does this qualify as a black swan event, or would it have to be sustained? taimer: it would have to be sustained more. what is unique about the kinds of risks we are seeing, whether it is the political risk, climate change, the topic at coronavirus, they are very nonlinear and hard for investors to figure out how they work. this would be different from 2003 and the sars virus, where everyone is picking about what will happen here. that cost about $50 billion, took 2% of china's gdp. but the world is different, much more international travel. supply chains are much more integrated into china. the credit cycle is at a later stage. if this stays outcome it could be different from sars, but we are in the early stages. vonnie: in some sense, that gives room or there to be more of a reaction if this continues and there is not a vaccine found. you mentioned how much bigger the chinese economy is and how supply chains are more integrated. would that not prove more difficult to overcome? they

kailey leinz is with us halfway into the trading day. kailey:vonnie: it is 1:00 in ne, 6:00 in we have been climbing the entire time, the s&p 500 higher by half a percent. the dow up by 60 points. i want to know the outperformance of the philadelphia stock index, higher by 1%. 27 of 30 members in that index are higher on the day, being led higher by nvidia. i want to take a look at the run we have seen in the stock index. at a record high and more than 60% over the past year. i'm looking at the bottom panel, the relative strength index, a momentum indicator. above 70 indicates we are in overbought territory. right now, just below 65. that could mean there is even more room to run for those chipmakers. another group of stocks moving on the day, apparel shares. specifically, lululemon, higher by 4%, after it did its fourth-quarter outlook. it had a strong quarter, giving . lift to other retailers the prospect of that trade deal signing today coming later this week and the removal of tariffs giving a lift to this sector as well. as earnings

kailey: d coronavirus is spreading, with implications rippling through global equities right now.he stoxx 600 and europe down by more than 1%. in the u.s., the declines aren't that deep yet, but the dow is down about 0.6%, the s&p down by about 0.75%. the sox index down 1.7%. those semiconductors highly vulnerable in china, an integral part of the supply chain and a major market. that risk off tone is confirmed when we look at the bid for safe haven assets like u.s. treasuries. the 10 year yield down by another three basis points today. . it has declined in seven of the past eight sessions. over the course of the past eight days, the yield has fallen by about 27 basis points. .e are now at just 1.54% the other part of today is corporate earnings. there are several that surprised to the downside. ups is lower by the better part of 6%. its profit forecast missing expectations. , lower byso missed about 1% now. that was related to costs for 5g, as well as disney plus. on a 4.1 billion-dollar right down, facebook has one of the worst performers, down the better part of 7%. it hasn't r

kailey: they still have those headwinds in power. it has been struggling. orders fell about 30%. had the renewables that saw orders down around 11%. the strength in aviation outweighed that. they saw orders rise. $4.4 billion in cash flow despite the fact they had a $1.4 billion headwind. they are not getting paid for the engines they make for the 737 max. despite that, the strength in aviation was driving business of the fourth quarter. there was a lot of uncertainty around the max but ge was able to withstand that for right now. david: orders are not just orders. you want orders to make money. they took too many orders that did not make money. coming up, we will speak with neil bradley, u.s. chamber of executive vice president about the newly cited trade agreement. ons is "balance of power" bloomberg television and radio. ♪ >> the usmca is the largest, most balanced and modern trade agreement ever achieved. this is a colossal victory for farmers, ranchers, energy workers, factory workers and american workers in all 50 states. david: that was president trump speaking before sign

david: thank you so much to kailey leinz for that report.next, one of the largest shipping companies in the country, union pacific, is out with its first-quarter earnings. we will talk with ceo lance fritz about why they missed their numbers and their stock is up -- it is because he has a rosy outlook going forward in part because of the relief of the china trade tensions. that is next. this is "balance of power" on bloomberg television and radio. ♪ good morning! oh no, here comes the neighbor probably to brag about how amazing his xfinity customer service is. i'm mike, i'm so busy. good thing xfinity has two-hour appointment windows. they have night and weekend appointments too. he's here. bill? karolyn? nope! no, just a couple of rocks. download the my account app to manage your appointments making today's xfinity customer service simple, easy, awesome. i'll pass. david: from new york, this is "balance of power" on bloomberg television and radio. i'm david westin. for bloomberg first word news, we go to mark crumpton. mark: it is day two o

let's get more on the market with kailey leinz. 500ey: in the u.s., the s&p barely clinging onto again, also weighed down by the diff pointing manufacturing -- by the disappointing manufacturing pmi data we got earlier today. tech outperformance really continuing. we are seeing that play out in individual movers, with the top performer of the day being intel , gaining nearly 8%. revenue up in the fourth quarter. it topped $20 billion for the first time in company history. american express also higher after earnings. earnings beat analyst expectations. broadcom higher by the better part of 3% after making $15 billion of chip deals with apple. a quick check on fixed income, the bond rally continuing. we see over the course of the past five days, yields have moved lower by 12 basis points, the best week for bonds since mid-november. right now at 1.70% on the 10 year, the lowest the yield has been since the start of december. guy: thank you very much indeed. let's take you back to a big story we were covering yesterday. ecb president christine lagarde saying this morning in davos that inve

david: kailey: i think that --david: i think that mmt is basically how you finance the physical part. but in theory, you would have to finance the other medic stabilizer. isn't that the world we are -- finance the automatic stabilizer. isn't that the world we are living in? constance: this is really dangerous territory. it really depends on how the money is spent and its efficacy. i think that is what it all comes down to. this is where we get deep into the political. david: it is political. isn't the irony that almost everybody agrees infrastructure is a place to spend money? that would increase productivity and growth come up and everyone agrees that is the answer, and no one can get there. constance: i think what we found in the crisis is there just aren't shovel ready projects. while everyone agrees on infrastructure, that is a long runway. when you are in economic crisis or severe economic downturn, you don't have that kind of runway. you just need to get consumption going again. you need to get businesses investing again right away. that is, for sure, a great use spend on money