david: morgan stanley said we are going to change that, and you became a trader for morgan stanley.n: i became a salesman at morgan stanley. that was what they needed. david: did you want to be in >> -- david: so you did that for a while. did you want to be in management, or did you want to be a trader or salesman? john: i like success. so, i thought the right way to go was managing. and that was what i wanted to do. there is disagreement if i were any good, but i thought i was pretty good at it. david: you rose up and ultimately are offered the position of being the ceo of morgan stanley. john: well, yeah, eventually, but there are a lot of blocks along the way to do. david: all of a sudden, you decided you need to do a merger with dean witter. john: right. david: why did you need to do that? john: well, dean witter was owned by sears, and they had decided to spin it off. morgan stanley got the order from sears to do this transaction, to raise money in an equity transaction, so we met with phil purcell and talked about all their salesmen, their branch offices. it became apparent to

friday the 11th — the push, the final push for stanley has begun.sh guards, are closing on stanley, heading into battle at mount harriet, two sisters and the brutal mount longdon. there's no other way to do it. time immemorial, the only way to win ground is by putting boots on the ground. and you have to get eye to eye and, basically, kill each otherjust within feet of each other. it's medieval. it's known since mankind has been on earth. machine guns is sporadic firing, followed by artillery. 0ur ships at sea — hms glamorgan, i believe — initially was providing naval gunfire support and they were being brought to bear on the argentinian positions on the top of mount longdon, so that there was lots of noise, in some cases lots of screaming where people had been injured. it was difficult to know exactly what was happening. fighting on mount longdon raged for 12 hours before argentine forces withdrew to stanley. as we were moving forward, we would normally have stopped but because we'd broken them and they were effectively running away, i physically h

than gold man down 6% it downed on people morgan stanley is a repost tory of wealth management, not just a hostage to trade in under writing. morgan stanley is leaving the pact behind which is why it's not getting a higher price earnings multiple but ultimately will more on that later what really matters today is that the decline in the dow had a robust session for some of the more parts of the nasdaq and that strength deserves an explanation because i know that some of you have been losing money would be very gratified what happened today. as i mentioned, if you punish a group daily for being too expensive. it will get cheap. take apple here is a stock that sells for 22 timing earnings such a great company apple is the premiere technology enterprise of our time, unrivalled brand the stocks sell cheaper than clorox or colgate which sell from 25 to 36 times earnings i'm always comparing apples because they're big brands but apple is more, it's a classic technology innovative and should trade at a pred mium, not a discount the stock has fallen from 182 to 185. throw in incredibly bull

now, all the houses outside of stanley will have 24-hour power.still, they don't get the degree of services that we get here, so they have to be a very much more self-reliant community. (sophie fouron) i didn't think i was going to feed a little lamb today. i'm enjoying this. (mallory barnes) guys! come on! school time! - school time! - come on! - bye guys! (tanya clarke) say bye! quick, quick, quick! (sophie fouron) how many sheep do you have? - we have about 5500. and we're a small farm. - 5500? i was expecting a hundred. - no. - 5500. (shane) shane. (sophie fouron) shane. nice to meet you! not your first time doing this. (shane) i've done one or two before. (tanya clarke) you have to stay back. (sophie fouron) living out here, you need a wind turbine, and then a generator. (shane) a backup, yeah. - backup generator? - yeah. - if the generator breaks down, you can't just call your local electrician to pop out, so these guys have taught themselves to maintain pretty much everything on the farm. - so you're electricians and plumbers, and carpenter

forget morgan stanley. what about microsoft >> morgan stanley's quarter is the exact reason why i've been advocating for this name for literally the last four years, the transformation, the focus on the wealth management business all is being delivered now in this quarter i think it's important when you look at the asset management, the wealth management and the investment banking community to know who they are and this is a company that knows exactly who they are goldman sachs has forgotten who they are goldman sachs is one of the best if not the best -- they are one of the best if not the best trading company there is they've forgotten that >> joe, wait a minute, morgan stanley proactively made those aczusitions because they knew they needed to change the business, be less focused on interest rates and net income focused. that's what goldman is >> ipos, capital markets that was going to be tough anyway >> morgan stanley has that but they also have the wealth management and this was the validation of the s

morgan stanley down .8%. those numbers due in the next 50 minutes to wrap up earnings on wall street. tom: different companies, and we run on the drama and soap opera of it, the overarching theme is everybody wants to do what james gorman has accomplished. they want to do wealth management because of the persistent fees and the capturing of blackrock-like assets and on and on. forget about what we will see with kevin -- kenneth leon we will see in a few been -- few minutes, haven't figured out the wealth management. solomon is doing that in consumer banking. the per account acquisition costs of doing markets is difficult. jonathan: they are doing it organically, aren't they? tom: very good, very mba of you. organically. avocados, bananas, they do it. talking about organic strategy. jonathan: nice, have a coffee and move on. do they play golf? tom: they do not do golf at davos. we tried that at 3:00 in the morning. jonathan: rachel did good she had the guy from coldplay in the head with the golf ball. [laughte

we are waiting on morgan stanley, maria, back to you in davos.ill get back to you when the numbers hit. thank you so much, cheryl. stock is down one and a third percent on goldman. quick break, we just heard from goldman, morgan stanley expected to hit the tape any minute. morgue a-- morgan shares expecty minute. ♪ ♪ ♪ ♪ ♪ maria: welcome back, morgan stanley is out. cheryl: double beat for morgan stanley. really big when it comes to asset management. coming at buck 31 adjusted. earning per share was 1.13, strong beat on earnings per share on morgan stanley but revenue coming 12.75 billion, the street was looking 12.64 billion, a few things to note here what they did say as they pat themselves on the back, maria, they say reported solid q4 reports amiss a revenue market. as for wealth management. net revenue 6.6 billion. mark and i were talking in the commercial break that it is about asset story when it comes to morgan stanley because they focus on business since 2008. they also talk about international securities that equity revenue 2.8 billion,

let's check in on that group morgan stanley, goldman sachs, both moving in opposite directions today goldman is down after posting its worst earnings miss since 2011, but shares of morgan stanley, they are soaring after beating estimates. look at that, almost exact symmetry there will up 6.3% versus down 6.3% on the day. joining us now is ken leon from cfra to talk more and what to make of these numbers, ken specifically, when it comes to goldman sachs, it seems as if the provisions for potential credit losses in the consumer lending area as well as maybe higher expenses that went along with what we already knew about weakness in investment banking, causing some people to really kind of throw in the towel on the stock today. do you think that's a justified reaction >> so goldman disappointed, and i think looking out to 2023, do they have the right strategy or this is a management that has a work in progress, particularly with that expansive effort into consumer retail banking. that has been pulled back. they didn't take any large write-offs, but there's questions. you know, it's toug

i think morgan stanley was the cleanest >> let's get to morgan then. we'll come back to c goldman a b of times earnings were $3.32 a share. a lot of estimates in the high 5s, maybe six bucks a share. >> you're going to hear goldman fall on the sword. i don't think david solomon is going to say anything he felt was acceptable out of this quarter. >> morgan stanley, a different story from james gorman, one would expect, even the quote from the release solid fourth quarter results difficult market environment strong year for the firm, clear strategy, balanced business model, and that got us to an rtc of 16% despite what he calls the complex macro backdrop >> i think that the snap judgment journalists, but not analysts, is that their trading wasn't that good but trading was a strange environment. i'm not going to say this firm -- this is a firm that i almost went to work at, where trading was huge but that was yesteryear. this is a wealth management company, plain and simple, including schwab and they killed it they brought in $50 billion of new money. alm

here we go, morgan stanley pulls the plug they go buy to hold.just don't want to be in it anymore, that -- it says that it's run its course. it rerated to peak levels, so buy to hold. their top pick is apple. so, here's a -- this is contrary, this is morgan stanley, as anything i've seen, as ibm has been the place to hide but what they're saying is, stop hiding start buying be more aggressive early cycle coming this is another theme that we're seeing, david, which is that you can see through the valley of the shadow of bad earnings and start buying and i like it. >> but not for ibm, they're saying that. morgan stanley downgrades today. >> i'm saying this is defense. they don't want you to play defense anymore. and david, my problem with that is, like, suddenly -- look, we're all in the midst of the transition i don't see anything wrong with ibm. they're talking about whether they need to do a big acquisition or not i say, wait a second, this stock says they're winning >> there are a lot of questions. we'll see what fourth quarter numbers look lik

i think 2023 will be a recovery year for morgan stanley if the fed stops tightening in the second half. hard to imagine them doing worse than last year they are making a comeback and if they can hit the consensus, they have a peg ratio of less than .9. as the stocks rallied from below 75 in october to $89 now, i think it's got a lot more upside although you might want to wait until after they report next week number four, one i don't talk nearly enough about but should because it's one that i really like, ralph lauren i know apparel has been a dog thanks to a broad based in inventory glut but the strong quarter in early november nobody paid attention to. they can do much better than the rest of the sector because merchandise to the on going return to the office that said, the real opportunity for them is overseas raffle ralph lauren's asian business was up with much of china still under lockdown like morgan stanley with a peg ratio of less than .49% makes ate bargain relative to the growth rate and that 2.6% yield is the cherry on top this one has become my favorite apparel stock for i

a remarkable quarter. >> i'm long morgan stanley and i'm not long goldman sachs on a day like todaying to get interesting. but morgan stanley is changed their business there is an overlap in the investment banking part and the capital markets part but then the rest, morgan stanley, the rest of their businesses, management and they've done great job and recurring revenues and so even though the same earnings stream over ten years they could have, because goldman has some big wins an big losses, it is waymore highly valued at morgan stanley than goldman sachs. >> so goldman's issues were around the cyclicality of what is going on out there in the world and relying on some of the higher -- i would just say margin businesses but it was an expense story and it was an dispense story and i think that is what people got people off sides. i think people knew this wouldn't be a great quarter for high margin and trading businesses and the return on tangible equity, 4.8% last year it was over 12%. and this is as efficient as anybody in the street. i wouldn't count goldman out and i look at it a

morgan and morgan stanley.an stanley's case, dave decided he will have a 10% pay cut based on the banks performance even though it performed well in a challenging environment. their profit fell from the previous year and shares went down 13%. the board has decided james gorman should be paid a little less than the previous year. in contrast to that, we had a day earlier, jp morgan's board saying jamie dimon should keep his pay unchanged at $34.5 million. that reflected his ability to keep clients served in the challenging environment. quite contrasting approaches, remembering a couple of years ago, dames gorman overtook jamie dimon to be the highest paid ceo on wall street. quite a change in fortunes for those two. dani: i was going to say, he still was one of the most highly paid and you mentioned it was a small pay cut, he still getting paid $31.5 million for 2022. how does this compare to the overall story when it comes to renumeration and staffing? there have been conversations about pulling back on pay whe

what are you expecting from morgan stanley and goldman sachs? 3,000 people. >> goldman has gone through a process of remaking themselves to your earlier comment with respect to the bank said of the business i said for many years it would be a good idea for them to buy a bank get people in there to run the bank side of the business. their performance in terms of funding cost which are high and credit costs on the loan book which are high are just not impressive, brian. they need to get their act together i think the way you do that is go buy core deposits if you look at morgan stanley, he has achieved stability because of the big book of fun funding. he has assets to manage and he has the investment bank which is the cream on the top >> chris, are you talking about buying a big regional bank or mid major? i'll not ask you to speculate. like a pnc or u.s. bank? a smaller player >> i used names. smaller is key the reason i love key is it is 100 billion in main street core deposits i think that fits very well with goldman. it is not too big to dilut

stanley has got a point . we have stanley has got a point.e millions of older people. but i would say that to some extent we've already dealt with that. if you look at the row that's going on in france at the moment the retirement age there for the state pension is 60 and they're having no end of a job trying to it to something closer to us. so we've kind of gone further that path. i saw somebody is in a tough job perhaps can't work any longer you know we do have benefits of a different kind that are available at any age where people cannot work. and those are really expensive and we should keep them . but i make we should keep them. but i make my point again, there are other groups in society who ought to be pulling their weight much more. it is much easier to get a job at 2066 and i think we ought be looking to them to do their bit more than they're going to come out that the students . why come out that the students. why do they all have to go to university ? one in ten. when i university? one in ten. when i a kid not many. why they lose a

stanley has got a point . we have stanley has got a point.e millions of older people. but i would say that to some extent we've already dealt with that. if you look at the row that's going on in france at the moment the retirement age there for the state pension is 60 and they're having no end of a job trying to it to something closer to us. so we've kind of gone further that path. i saw somebody is in a tough job perhaps can't work any longer you know we do have benefits of a different kind that are available at any age where people cannot work. and those are really expensive and we should keep them . but i make we should keep them. but i make my point again, there are other groups in society who ought to be pulling their weight much more. it is much easier to get a job at 2066 and i think we ought be looking to them to do their bit more than they're going to come out that the students . why come out that the students. why do they all have to go to university ? one in ten. when i university? one in ten. when i a kid not many. why they lose a

dani: what has morgan stanley gotten right in their strategy that goldman did not? adam: there is one very large component of morgan stanley's revenue base, that is wealth management. that is more than 50% of the bank's revenue. that has been a clear beneficiary of the fed's increase in increased rates -- interest rates. and the increase in the interest income in the part of the business. they have been able to offset some of the declines that goldman also saw and other areas. trading, missed estimates. overall, it was able to deliver a far better result across the board. i think wealth management really needs to be highlighted as a contributor. of course, both banks still face the headwinds. goldman was categorizing it as an opportunity for growth. of course, they were characterizing it more about the challenges they face. 2023 will still remain to be seen how much of a downturn we see whether or not the u.s. goes into a recession, and clearly investors are voting with their feet. dani: much, adam. coming up, the yen nurses heavy losses with the boj standing firm.

big banks back in the spotlight with morgan stanley and goldman sachs reporting. the stocks taking off in opposite directions. goldman seeing its biggest miss in a decade. morgan topping estimates we'll break down all the headlines and look at how to position plus, china's growing pains from a slowing economy to a slowing population, and a resurgence of covid cases. we've got the latest and what means for the china investing pieces and united airlines on deck to report we've got the action, the story, and the trade on all three ahead in the earnings exchange but we begin today with the markets and dom chu with the numbers. hey, dom >> melissa, markets were mixed earlier in the day, but they are pretty much in negative territory at this point right now. the nasdaq is outperforming a little bit for that tech-heavy side of things, which is still close to the flat line, maybe up about a tenth of 1%. about the middle of the day's trading range. meanwhile, the s&p has retreated from that 4,000 level, down just marginally right now but it's the dow that's the big story t

we know we will see some themes here for morgan stanley that that deal has been really hit. revenue from those sectors could be down 50% analysts are expecting for both of these banks. it's are going dani: -- is are going to be a big divergence? goldman is restructuring but i wonder if there will be a big divergence from the other u.s. major banks that have already reported? charlie: charlie: you think about goldman and morgan stanley they will feel a lot like the students in class was glad someone was called on before them. the big thing is that ms. from jp morgan on investment down 60%. citigroup is also in the ballpark. the bar there on investment banking revenue is lower. dani: charlie, thank you so much. coming in hot with the metaphors. charlie wells there will keep an eye on earnings throughout the week. let's turn to japan where growing speculation of the bank of japan will change its yield curve control policy again is hitting the nation's credit market, borrowing costs are rising, and yen on sales are falling. our global economics and policy editor kathleen hays jo

let's get back to morgan stanley. >> let's get to steve.morgan stanley conference in hong kong. grace absolutely. our next guest wrote this book i am holding in my hands. i read it while flying across the pacific. interesting dialogue going on in this book. this caused an accident like conflict -- accidental conflict. i believe the yells -- now he is a yellow school senior fellow. it is all about the narratives and competing narratives, false narratives you say. you talk to your previous book, i remember you wrote about the codependency between china and the united states and as that codependency aged, it might not age well. how are we going to get back not necessarily the codependence but to have distraught -- constructive dialogue where the united states and china, the two world's biggest superpowers and economies can actually coexist? >> great question. one that was grating on me as i went through the book. the basic premise of this book is we are in the danger zone right now. the last five years, trade war, tech work, now at the early s

thank you for the preview on goldman sachs and morgan stanley reporting later today.ing up, paul chan mo-po, financial secretary, hong kong special administration, we will bring you that interview next. this is bloomberg. ♪ with angi, you can connect with and see ratings and reviews. just search or scroll to see upf on hundreds of projects. and when you book and pay throug you're covered by our happiness it's easy to make your home an a check out angi.com today. angi... and done. tom: welcome back to the open, 30 seven minutes into the european trading day. tomorrow, currently down 0.2% across the benchmark. the ftse 100 down seven points. futures on the s&p pointing lower by 0.3%. the china data slightly better than expected for the fourth quarter but across the full year, 3%, well below the target set. the world economic forum is underway in davos with corporate executives and economists warning a global recession is likely. a survey of business leaders late last year found 73% thought global growth would decline over the growing year. the highest proportion since p

goldman sachs, morgan stanley out with results this morning.ou could not see a more divergent market reaction. morgan stanley sees a healthy start. goldman sees a major increased in cost and credit provisions. we heard from james gorman moments ago. >> we are not of the view we are heading into a dark period. whatever negativity in the world is out there, that is not our view. we want to make sure we are positioned for growth. alix: that was james morgan of morgan stanley. sonali, you have the goldman sachs underway. the stock continues to grind lower the longer the call goes on. what is on the negative side? sonali: there are a few details worth making in. it is david solomon's birthday. you have him addressing analysts saying it was not a great quarter. the focus on compensation expenses. analysts are drilling in. you have compensation expenses really rising, adding to overall expenses rising. you don't have seven costs booked into the fourth quarter -- severance costs booked into the fourth quarter. that will roll into this year, the cost as

let's move on now to morgan stanley.e with the earnings per share reported that is comparable to analysts estimates, but regardless it's a 1.31 reported by morgan stanley, and it's a beat, and morgan stanley revenues come in at $12.75 billion that beats the consensus estimate of $6.4 billion morgan shares unchanged. looking at the business units for morgan stanley, if you compare overall institutions securities, that comes in at $4.8 billion and misses consensus estimates for $1.5 billion, and then a narrow miss over the estimates of $7.2 billion. equities comes in at $2.18 billion, a narrow miss over the estimates. and provisions for credit losses at morgan stanley are not as big of a story there andrew, golden sacks shares off about two and a third percent. >>> when we come back, we have mike wirth on the energy complex. 'r will be our guest next. wee back from switzerland and the alps in just a moment. >>> we know there has been a slowdown inactivity in the space. >> activity is down but deals are still getting done w

but it is from a pretty big investment house in morgan stanley.ally, mcdonald's before we go back to you, neil, sending out signals about job cuts itself. it is planning to make what it described or ceo described as difficult decisions about corporate staffing levels by april. nothing net yet in terms of numbers how much they want to save, how many people they want to lay off but that is out there. you know the news came out on friday. so it is probably in the stock to the extent we look at mcdonald's shares, but we're down more with the market up today. another example job cuts may be coming, neil, interestingly enough from a company not in the tech sector which is all we've been talking about the previous few months. neil: you say corporate staff, not front line people at least yet? >> that is what the ceo seemed to infer, yes, the corporate back office, the corporate staffing at mcdonald's. take a look at it, reassess how many people they have, what everybody is doing and how much money they could save by the spring. neil: thank you very much,

you will see goldman got slammed while morgan stanley was rewarded. it suggests that goldman appeared to be punished by investors for an identity crisis. they were engaged in restructuring late in the year, backing away into consumer banking, while morgan stanley was rewarded for his clear strategy, which we will get to shortly. as for goldman, a much envied bank on wall street. it missed on profit and revenue. it was the biggest earnings miss in years. earnings fell by a bigger than expected 69%, much steeper than peers. fourth quarter compensation costs also rose about 16% higher than a year ago. investors did not like it, neither did ceo david solomon who summed it up in six words. simply set, our quarter was disappointing. the results cap a tough year for wall street deals makers, the shrinking size of investment banking, really a concern for investment bankers. haidi: morgan stanley, it is really a case of their business model doing what it was built to do. su: they stuck with their business model. they rebuilt it to capitalize on wealth manageme

at least denim is consistent unlike stanley black and decker that's a bet on the brand, my experience is he takes the best brands and puts money behind them and encouraging innovation to a point shareholders get compensated tremendously by the way, you know the brands get compensated and vf needs to specialize in trying to get the most out of its brands how can i have any faith after the missteps? simple, vf corp never spoiled the brands itself. 7% yield is screaming you need to brace yourself for a dividend cut before you buy it. there are always people who own stocks like this for income and dump it in a heart beat when that payout comes down they can't handle the apparel glut no problem with him. he also has the freedom to cut the dividend because it sure wasn't his idea. can handle the dividend and cut the dividend because he can handle the glut. that's what matters. next, i want to put -- this is always tough for me to talk about. m meta platforms i'm gungho for this one. we bought at a fraction and sold a big chunk higher very proud of that but kept on the rest of the position j

goldman sachs and morgan stanley.ook ahead and not to what to expect from european lenders as well as a compared to report their earnings at the end of this month. we continue our conversations with industry and political leaders in davos there let's get over to bloomberg's manus cranny on the ground as the world -- at the world economic forum. manus, good morning. manus: we are live from doubles. we have -- we are live from davos. joining me now is khaldoon al mubarak mubadala investment ceo fromceo . oh off scholz is no recession in europe. he says they will avoid recession. describe for me your outlook. has your mood moved on global recession obsession shifted? >> i think our mood is more of cautious optimism. i think the last two or three quarters and particularly q4 last year was very negative. i think that mood spilled over and markets all over the world and then you are seeing today the shift that you are describing. for my perspective, i think there's no doubt there are some headwinds. there are challenges ahe

charles stanley: how important to you is your view of god?know exactly what you believe, at least to some degree about some aspects of god? is it important enough that you're able to share it with someone else? is it important enough that you keep on pursuing your

of course, the morgan stanley conference. >> stephen engle.. ♪ >> 10 year jgb yields passing through the .5% ceiling set by boj. the central bank has been ramping up as bond purchases to fight back increasing rising yields. investors betting we could continue to see a more hawkish shift. we have two shares doing very differently with retailing. really plunging the most since may on their first quarter operating miss. -- holdings rallying after boosting full-year operating outlook. more to come on daybreak asia. this is bloomberg. ♪ as a business owner, your bottom line is always top of mind. so start saving by switching to the mobile service designed for small business: comcast business mobile. flexible data plans mean you can get unlimited data or pay by the gig. all on the most reliable 5g network. with no line activation fees or term contracts. saving you up to 60% a year. and it's only available to comcast business internet customers. so boost your bottom line by switching today. comcast business. powering possibilities. ♪ go a big week fo

bigad: stanley kwiaton manages marine operations for msc on the west coast. he says the company's willingness to comply with the voluntary slowdown hasn't hurt business despite adhering to the speed limit more than 85% of the time. stanley: you sometimes have to do the right thing and not always look to be the quickest, fastest. we have to all protect this planet. bigad: what exactly is at stake here? kathi: it's the ecosystem of our oceanan. it's the air we breathe. it's the f food we eatat. and we shouldn't be out there accidentally or needlessly killing something because we want to get something faster or quicker. bigad: some whales off the california coast are so vulnerable, that is, at least four deaths a year could sink the population. [inaududible] bigad: and just ahead, they s say their b boss took advantage of them. and state officials say it happens more than you probably realize because many new immigrants are afraid to complain or ask for help. we investigate. hold on..... you're a a night mananager and d mom. and d the bill p payer, ba, and night

it paid a group of seven banks led by morgan stanley, which became stuck with the debt. first coupon is estimated to cost twitter roughly $300 million. u.s. federal appeals court has ruled that johnson & johnson cannot use bankruptcy to resolve more than 40,000 cancer lawsuits over its baby powder. the company had put it specially created unit under court protection to block juries around the country from hearing lawsuits. the new ruling means j&j will likely need to defend itself against the claims. that's your bloomberg business flash. dani: simone, thank you so much. now up next, we are going to get more on those samsung numbers. it still is planning on spending big, despite major challenges in the chips sector. this is bloomberg. ♪ dani: it's "bloomberg daybreak: europe". i'm dani burger in london. let's get more on the tech story. samsung had earnings, it still plans to spend big, but there are major challenges in the chips sector, those reflecting in a profit hit at samsung which shot its share price drop 3.6 percent today after falling 2% yesterday. all this comes

ellne, this is what she had to say at morgan stanley. this is not change our expectations for step downs to 25 basis points. continued robust jobs growth increases the extension of the tightening cycle beyond the next meeting. mike, talked to me about how difficult this next phases in terms of finessing the impact the fed is going to have on the economy? is it possible in a 25 basis point environment to go too far? can that quickly be reversed? how accurate can the fed be? mike: a lot of questions. 25 basis points you can raise too high. the problem is all of the data we get is backward looking and the fed does not know where the economy is at any one point in relation to its tightening. they are beginning to get to a point where they think they are close to neutral so they want to slow down because they want to try to gauge as much as possible with the economy is and whether they need to go too far. but they can go too far. their argument is they can easily reverse it but that has not worked well in the past in terms of short-circuiting

jpmorgan, morgan stanley, by the way if you looked at morgan stanley earnings, buried in the release,was there. liz: nasdaq turned negative. >> on your report on the fed governor. i bet my thumb on this one. your story, we didn't want it to go negative but they're related. morgan stanley, goldman sachs, citigroup, even more, larry fink is cutting staff, go down the line, everybody is planning cuts for 2023. you know, listen, in the old days, meaning in 2021, all those millenials and gen-xers run around i want to work three days from home. if you work three days from home, you might as well work five days from home. there is a good chance. liz: at home, without a job. >> you will get laid off. we're on the other end of the downturn on wall street. it is usually, liz, i am sure you will have a guest that you ask this, usually foreshadowing what is considered a recession in the broader economy. that is what wall street generally does. usually means markets go down, usually means, risk-based assets, meme stocks, crypto, depends on the crypto. maybe a flight to quality from tbc. other ones

a little bit of optimism there from the ceo of morgan stanley.ll get more in his views coming up and the question of compensation for top banking executives. stay with us. this is bloomberg. ♪ tom: welcome back to the open. 43 minutes until the european trading day. a choppy session so far. back up to three tens of a percent for the gains in the european benchmark after being flat 10 minutes ago. futures and u.s. similar. slightly stronger than expected producer prices out of germany seem to be feeding into a modest selloff in terms of sovereign bonds. german yields up three basis points on the 10 year at 2.1. italian yields higher as well. that is a move by six basis points. the ftse 100 up 5/10 of a percent. retail sales from december if you strip out fuel, the worst and biggest drop since records started in 19 89. drop of 6% for retail sales in the u.k.. the consumer squeeze we are seeing hit the u.k.. time for some banking news. jp morgan has kept seo jamie dimon's total compensation at through -- $34.5 million. the firm's profit fell by almo

we were just talking to morgan stanley about that.ring from your perspective, whether you think ipo's will start trickling out. whether people will start becoming public again? >> i think that you have to look at the companies in the context of the new normal. if we think there is a new normal wear access to money costs money, cost of capital israel. at the same time, we have the potential for a more sustainable growth environment, then you could see investors say, i'm willing to underwrite that. i do think that growth at all costs is not likely to be a model that will be very successful. will companies, companies that have a clear path to profitability, great businesses are still of course going to top the public markets. we have 200 copies on file to go public that are committed to nasdaq. question is, when will investors be ready to underwrite that? i think with the more known environment around is to straights, -- interest rates, they will be able to predict the future of models and make those decisions. dani: that was the nasdaq

that is why you are seeing morgan stanley saying 5.7%.alk about the relentless consumption of the american consumer, one has to look at the economy which was really becoming more and more reliant on services. also, really looking at consumption. that is a look at traffic volumes, flights from beijing and shanghai. hopefully that is all consumption and it creates consumers in china. yvonne: they're already talking about lunar new year travel, 40% growth from a year ago. this is the first to d -- two days from the reopening. once we get the pent-up demand, like with saw in parts of india and the u.s., europe, after a few months, how sustainable is that consumption recovery? plenty of questions to ask your next guest. david: absolutely. perfect guest to talk about the consumption trade. very, very basic question. what are chinese consumers going to by now that they are allowed to leave their homes? when you have an underlying confidence, if the property market improves. joining us to talk about that, at ubs conference, christine peng. happy

chance to be with the stanley cup, too. >> oh, my gosh. >> so, look to your right or your left.? >> oh. >> oh, my gosh. >> sully, touch it. >> sullivan last night was asking ray bourque as if he was our neighbor, chatting with him, he said is the stanley cup very heavy? ray said, yes. they kept wanting me to lift it over my head. >> look at the little guy's face. my gosh. >> this is sullivan. we call him sully. he's named after sullivan square in boston. >> he draws pictures of the stanley cup all the time at home. this is incredible. >> oh, my gosh. >> it's awesome. >> unreal. thank you very much. >> i want to touch it. >> we know this guy, too. the cup and this man are very -- this is the handler. we know him. we know this guy from years and years. this is beautiful. >> as if today -- as if this isn't enough, what did you say, sully? >> he's not mic'd. >> say that part again? sorry. >> so, listen, this -- we have another surprise for you. the nhl is gifting your family with tickets to the nhl winter classic in 2024, so you will make this trip again, guys. >> stop it! >> yeah.

morgan stanley finding some of its own bankers more than $1 million each all because they used personalsaging services we're on that. fox news has been following the journey of a venezuelan migrant since he illegally crossed the southern border last year. we'll tell you where he is now and what he's doing. ♪ ♪ your record label is taking off. but so is your sound engineer. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire nothing. nothing. absolutely, nothing. it really is something. as an expedia member, you can save up to 30% when you add a hotel to your flight. so you can have a bit more money, to do even less. because you've got a whole lot of nothing to do and absolutely nowhere to be. we got the house! you did! pods handles the driving. pack at your pace. store your things until you're ready. then we deliver to your new home - across town or across the country. pods, your personal moving and storage team. pricking your fingers stinks. i really hated it. with dexcom g6, i d

for morgan stanley it was down 12%.re some early signs maybe there was an issue for you? >> you have macroeconomic issues, right? there were 240 ipos in the fourth quarter, big sign. goldman is very economic sensitive. less ipos, revenue, that number matters more street was down 60%. that is why they got hurt. charles: then of course the number that really, really, you talk about stands out provisions for loan losses, 972 million, up from 300 million a year ago. 500 million a quarter ago versus 87 million. why do they have so much risk? >> failing credit cards and failing bad loans. they're a risky bank. they take risk. they tried a credit card program that hasn't worked. they tried to fund it. they had lots of default. morgan doesn't have the risk. loan loss provision tells they have debt and they have to cover it. charles: let me clear that up, 12.5% net margin, right. that is the margin you go into here. that is how you get the margin numbers. seven teen .8% for morgan stanley. a lot better than 12.8%. how important

morgan stanley out with a big call. they sayed is a decade of emerging markets and it has begun, as it shifts money out of the u.s. equities to boost its exposure. rishaad: we have, these markets, the ones opening, which are closing in a second. a bit of a lack risk sentiment when it comes to the major benchmarks. the philippines, resolving tech issues, delays. sri lanka, out with its interest rate decision leaving their deposit and the lending rates the same at 14.5% and 15.5%. we're looking at treasuries. we have the yen up and the bank of highland. the new zealand ash new zealand has a new prime minister -- new zealand has a new prime minister. david: i will use that point as a jumping off point to what is happening in the bond markets. aussie, 7.5%. your other point, sri lanka is keeping rates unchanged. a rate decision coming out of thailand. equities priced up. volumes out there. a couple markets are shut. have a look at where we are. it's mainland china, hong kong, taiwan and vietnam, we should be the market comi

there was a huge drop in dealmaking revenue, probably expect to see that at morgan stanley. goldman sachs will be an interesting story because what you have there is slowdown in dealmaking. on friday, disclosed losses they faced in the consumer business, they reorganized business segments in the third quarter, hosting investor day in february. they are trying to breach expectations and might be a tricky quarter. jack: the truck of the year was announced and the winner is? al: the ford 150 lightning. the suv you, the car was a conventional acura integra but this was passed out since 94. it is independent, not associated with any one publication and a nice win because two of the three were electric vehicles. jack: is this legit or people chasing a shiny new object? al: i try to stay balanced. a shiny new toy. ford f one hundred 50, the best selling vehicle for 40 years, they sell 700,000 of these a year. if they hit their goals, 15% of the f 150s sold would be all electric. that is significant. it's a shiny new toy but has some legs. jack: you say it is not about the award? al

goldman sachs, 370, 345 morgan stanley. my problem is david solomon who watches our show is saying do you believe that i'm just sitting here and just letting the chips fall he is being very aggressive in getting -- anyone's not carrying their weight is going. i once worked at goldman and there was the mortgage department did badly okay one day i went down because i wanted to see someone in the mortgage department and it had disappeared. they disappeared the mortgage department. >> that's what happened at some other banks lately >> by the way, governor phil, i did work with you and you just don't remember me. i got you. i bought you pizza and coffee. >> that's a good subtweet on air, jim we'll watch the banks later on today. the opening bell coming up in a couple of minutes. don't go anywhere. ♪ ♪ a cyber-attack can grind everything to a halt. cisco security keeps your company moving forward. because if it's connected, it's protected. cisco. (♪ ♪) because if it's connected, you inspired the lexus es to be, well ... more you.

morgan stanley is downgrading roblox morgan stanley says first half bookings are priced in and expects the the second half of the year. >>> wolfe and meta platforms for the fourth quarter expects holiday ad spending was solid and should surpass expectations m much >>> piper sandler is cutting the target price on tesla to $300 a share from the prior $340. piper citing price cuts and delays with the self driving those down 2.5% right now. >>> to the takeover of twitter by elon musk it is proving to be a bumpy ride the purchase of the social media platform and time spent at the headquarters in california could result in the bigger hit on musk's wealth. robert frank will tell us why the time spent in california is such a big deal. robert >> dom, elon musk left california and high taxes two years ago. now california could come calling again because of his time at twitter. as the effective owner and ceo of twitter, he is spending time in san francisco and we don't know how many days he's been there. california tax law says that any time spent in california providing services to a company is

driver of revenue growth for a lot of the investment banks, and i think goldman sachs and morgan stanleyare going to benefit from that as well as others. >> we will take another break. we'll come back. jim labenthal gives his best ideas next >>> welcome back to the half time report. i'm contessa brewer. here's our cnbc news update. russia's defense ministry is blaming mobile phone usage by its soldiers for a deadly missile strike new year's eve. ukraine was able to identify soldiers locations using their phone signals. that strike is the deadliest single incident housmoscow has acknowledged since the start of its invasion >> a rerequirement for patients to van in-person health care appointment with their provider was temporarily removed during covid. yesterday's ruling permanently dropped that requirement and walter cunningham, the last surviving apollo 7 astronaut has died cunningham and his two crew mates orbited for 11 days. that paved the way for nasa's eventual lunar landing his family said he died from complications after a fall and had a fall and complete life >> more of our annua

stanley well, attempt to do so.come from a different generation. father was there generation. my father was there a partner for five years during the war, but i never, ever heard him mention the war or terror. he really didn't. have you had a couple of crashes . i he really didn't. have you had a couple of crashes. i think he really didn't. have you had a couple of crashes . i think that couple of crashes. i think that for me, it's the perhaps lack of reticence , which is going to be reticence, which is going to be the most upsetting thing about about this . i go, i don't about this. i go, i don't understand that exposure at all. all is the name of the game now. but one feels that this was not really well—judged. no there is a thought. i'm not. i mean , this a thought. i'm not. i mean, this is somebody who here today with me and there's much more about other. but the reason i thought that maybe you explain all this in terms of what's called post—trauma stress. yes. disorder and this is a way of deaung disorder and t

tonight's third round replay between league 0ne's accrington stanley and boreham wood of the nationald this saturday lunchtime is the prize on offer for the winners. adam cottier reports. temperatures a little warmer than it was a week ago when the original fixture was postponed. not quite time to ditch the winter coatjust yet but this game goes ahead, 17 days on from the original third round tie that saw a 1—1 draw. accrington stanley with the lead early on and in the second half and equaliser scored which resulted in the replay. what of the 20th in the league i at the moment after a 3—1 loss, for boreham wood it is their first game in a fortnight. so they are lowest ringside, left in the competition. flying the flag for non—leak and facing accrington stanley for the right to play leeds united, the premier league side life on bbc television on saturday lunchtime. well the latest edition of the football news show is now live on the iplayer. this week ben croucher is looking at the current situation at spurs, with unrest among some supporters about how the club is being run. spurs have

charles stanley, reaching the world with the gospel of jesus christ through sound biblical teaching. touch," "the privilege corrupted." dr. charles stanley: of all the opportunities and privileges that you have been afforded in life, what privilege stands out above all the rest? would it be that you have had a wonderful opportunity, wonderful privilege, to have a good education that has established you and made it possible for you to succeed in life?