taylor riggs with the first word news. ing for north korea's leader to kim jong-un. the present we did he has a much more bigger and powerful nuclear button. president trump was responding to kim jong & nuclear button was "always on my desk." there's a diplomatic breakthrough between the two koreas. north korea called south korea on a hotline that has not been used for almost two years. the two sides begin talks on plans for north korea to send delegations to next month winter olympics in south korea. president trump has threatened to cut off financial aid to the palestinian authority. palestinian leader says the president's decision to recognize drizzle as the capital of israel disqualifies the u.s. as a middle east peace mediator . in 2016, the u.s. give the palestinian authority $616 million. in germany, the unemployment rate has fallen to a record low. it was 5.5% and the number of people out of work in germany fell for a sixth straight month. the country's central bank predicts the tight labor market will soon lead to

taylor riggs has more from new york. senate majority leader mitch mcconnell is calling for a vote in less than two hours to end the partial government shutdown. mcconnell and other republicans have been talking about a temporary spending bill for now with the promise to do with immigration later. so far democrats have opposed any measure that does not include protection for young undocumented immigrants facing deportation. the u.s. could send as many as 1000 more troops to afghanistan the spring according to two "the washington post." jim mattis still has not signed off on the idea. is part of a larger strategy to help afghan forces fight the taliban. the u.s. has 14,000 troops currently in afghanistan. greases moving one step closer to exiting the financial rescue program. euro finance ministers are expected today to tentatively sign off on the greeks government set of overhauls that will clear the way for another $8 billion and eight that will help greece pay off its debt obligations. the bailout is set to end in augus

i am taylor riggs. this is bloomberg. mark: coming up, market dollar doomsday.we will tell you what is behind the move. that is next. this is bloomberg. ♪ vonnie: from new york, i am vonnie quinn. mark: live from london, i am mark artan. this is "bloomberg markets" on bloomberg television. dollar gold from best toys for its longest weekly -- dollar poised for its longest weekly losing streak in use. forumne lacqua hosted a about a currency war. >> i do believe that currency will be a big issue this year. there is a reconsideration of how important the dollar is as a world reserve currency. more on theg us for dollar and currency wars, richard jones. trump, had mnuchin, draghi weigh-in on the currency issue. do we get the sense that the dollar is on that losing streak, that it is mnuchin's original comments that we now believe are the true u.s. policies? >> well, i think that is what the market has picked up and run with, mark. it is very much if the u.s. administration is not worried about a weaker dollar, that is what the market is going to deliver. i also thin

i am taylor riggs.berg. tom: thanks so much. i would suggest, francine, and i don't know if this happens at heathrow, but this borders on national disgrace. inat at my dining room table the last 30 hours with one of my daughter's friends who sat on a at jfk.or four hours she was given half a cup of water for four hours. it wasn't just one playin -- plane. this was a national thing. unfortunately, it happens everywhere. it happens in the south of france because of the storms. you have to find out whether it is the responsibility of the airlines because they could have .nvented it or the airports i was six hours on a runway a couple of months ago. tom: i have never done it. francine: it is very difficult to travel with the elderly or very young kids. tom: do you see how her voice changes when she says the elderly? on a monday she does that. the elderly. 100cine: i'm talking about plus. to acquireiscussions a majority stake in its chinese business. china correspondent spoke exclusively on a wide range of t

i am taylor riggs. this is bloomberg.ark: coming up on the european close, the stoxx 600 turns negative as the trading day marches on. the close is 14 minutes away. this is bloomberg. ♪ vonnie: live from new york, i am vonnie quinn mark: i am mark barton cathing you down to the european close. dan fuss for more on central banks. a quick question on the u.s. 10 year yield. tohas risen quite steeply about 2.7%, highest in sense 2014. is 3% the key level, the level which has great significance, not only for the bond market, but for the wide asset classes as well? dan: it will be a reference level. for a lot of people. they will look at that crossing the even number. i do not think it is the end. , it is not more important than any of other level -- any other level. it will get a lot of notice. it may trigger certain things. no, i think three for the u.s. is about as expected. more significant is what has just happened briefly with funds on the five-year, all of the sudden you have a positive number, briefly, ever so briefly.

here is taylor riggs. the influential costolo network is asking president trump not to ask the gas tax to pay for infrastructure. och support a lobbying group said the hike would undermine the recent tax-cut. pushes administration for footstep recipients to go back to work. of government says 57% working age adults getting food stamps either have a job or are looking for one. republicans call it a step back in negotiations on immigration. senate democratic leader chuck schumer has withdrawn the offer he made last week to give president trump money to help build a wall on the mexican border. the president says if there is no wall, that will not be a deal. global news 24 hours a day powered by more than 2700 journalists and analysts in more than 120 countries. i'm taylor riggs. this is bloomberg. vonnie: coming up from "bloomberg markets," davos getting ready for the arrival of president donald trump. anthony scaramucci joins with his take. this is bloomberg. ♪ live from london, i'm mark barton. vonnie: from

here is taylor riggs.ave agreed to meet to talk about reducing tensions before the olympics. will discuss overall relations and north korea's offer to send a delegation to the olympics. it will be the first former -- formal talks since 2015. environmental activists are planning to fight the trump administration over offshore drilling. they proposed to open more than 90% of the coast for oil exploration. president trump told a lawyer to get attorney general jeff sessions not to recuse himself last spring from the investigation into russian election meddling. the president told -- the white house lawyer to persuade sessions against the recusal, but the efforts failed and ultimately special counsel robert mueller was named to conduct the probe. there will be a new chairman at financial industry watchdog. charles rendell will take over the financial conduct authority april 1. global news 24 hours a day, powered by more 2700 journalists and analysts in more than 120 countries. i am taylor riggs. this is bloombe

ria.ie: eric vilo let's check in now on the first word news with taylor riggs. taylor: u.s. authorities are preparing to crackdown on the manipulation of futures markets according to a person familiar with the matter. as many as a people will be arrested for their role. deutsche bank and hsbc will also be fined. american shoppers splurged during the holiday season. 1% andes rose 4/10 of november's gains was revived upwards to a tense of a percent. incomes also rose. eu's warning president trump if you want a trade war, you will get one. the block says that any of u.s. limits on imports from europe would lead to's list retaliation -- to swift retaliation. the president said he has problems with the eu that could morph into something big from a trade standpoint. that massive cryptocurrency hike has led to calls for tighter regulations. on friday, someone hacked into the japanese exchange and stolen was $500 million in digital tokens. coin check will reimburse customers. global news 24 hours a day powered by 2700 a list and analyst in more than 120 countries, i'm taylor riggs.

tom: your first word news, here is taylor riggs. ts have gotten a break for now. a federal judge temporarily blocked the trump administration from scrapping the dreamers program that keeps them from being deported. president trump is willing to negotiate a deal that might eventually provide millions of undocumented immigrants to a path to citizenship. the job administration backing off plans to sell drilling rights off the coast of florida. florida gov. rick scott announced the plan and announced it could ruin the states natural resources. scott is expected to run for the senate. in southern california mudslides have killed 13 people. more than two dozen others were injured. heavy rain turned hills stripped of vegetation by the wildfires into rivers of blood. south -- rivers of mud. south korea's president is willing to meet north korea's un under the right circumstances. 's comments came after the first talks in more than 2 years. i am taylor riggs, this is bloomberg. francine: thank you, so much. , a's talk about brexit warning fro

here is taylor riggs. an senator says donald trump's presidency would end if he fired robert mueller. senator lindsey graham told abc news congress should move forward on legislation preventing the president from firing the special counsel. there were reports last week that president trump ordered mueller fired but backed off. another blow to the reputation of german automakers. it exposed humans as well as monkeys to diesel exhaust fumes. daimler rejected the claims in the strongest terms. protesters in more than 50 cities in russia demonstrated against resident vladimir putin. one activist group of 240 people were arrested. the u.s. is considering new steps to address concerns about china and cybersecurity. according to administration officials, the government in talks to build a secure 5g network. global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. i am taylor riggs. this is bloomberg. tom: thanks so much. this is the new 12 hour news cycle. this cam

i'm taylor riggs. this is bloomberg. tom: thank you, taylor.onds, currencies and commodities. a pause in the recent moves we see, a little bit of curve steepening. the euro and oil do nothing. a little soggy on oil. 13.89., a really smart tweet last night from charles schwab, with how o dd the vix is right now. the 30 year bond i put up there, near 3%. brent crude under 70. the dollar index i put up, just because francine had a little slot in a did not want to do it with bitcoin. francine: thank you, tom. it is something to the an eye on. i'm looking at european equities following asian peers lower. we've seen a selloff in treasuries giving. investors taking profits after one of the best starts in the year over recent history. the dollar jumping for a second session. and of course, we have some data and this is gdp for the eurozone, 0.6% in the fourth quarter. that matches estimates, tom. tom: very good. let me do a bloomberg right now into kevin cirilli. it shows the distractions of america. it is an odd and booming america. this is an amazing

taylor riggs has more from new york. esident trump will not leave washington for florida until congress approves a bill for spending. they will hold a briefing on the matter any time now, but mick mulvaney and mark short will also be produce a payday. we will bring you that briefing as soon as it starts. the international olympic committee is promising there will be more initiative between north and south korea at next month's winter games. a spokesman says details will come out this weekend. they have agreed to field a joint women's hockey team at the games which are held in south korea. french president emmanuel macron is promising to boost defense spending to ensure his country's domestic security and maintain security abroad. he called it unprecedented. six months ago, a crisis of the cut in the military budget led to the employment of a new armed forces chief of staff. in germany, delegates to the social democratic party convention vote sunday on a proposal to start coalition talks with chancellor angela merkel. if t

right now, your morning briefing with taylor riggs. trump is trying to connect his presidency to the country's prosperity. in the first state of the union address, he argued that they offered wealth and opportunity. president trump: this is our new american moment. there has never been a better time to start living the american dream. booed some ofats claims on immigration. he falsely claimed that green cards are headed out without concern of the safety of the u.s. guantanamo bay still holds 41 prisoners. obama had ordered the prison to be put on the path for closure and ordered that inmates be transferred. u.s. government is investigating apple over software updates that models.own older whethert to determine apple broke laws. apple is responding to questions from the government. -- anna, the the official official eight month low. and moderatingan -- and stronger output is moderating growth at home. global news, 24 hours a day. powered by our more than 2700 journalists and analysts, in more than 120 countries. i am taylor riggs. this

here is taylor riggs.overnment shutdown now in its third day. members of congress failed to negotiate an end to the stalemate over the weekend. a bipartisan group of senators is looking at a plan to fund the government through february 8, along with the comments that take out the undocumented immigrants from being deported. vice president mike pence is meeting with the prime minister benjamin netanyahu. reaeli-arab lawmakers are unhappy over the decision and recognizes the float. chancellor angela merkel is moving forward in her attempt to form a government for the fourth time. a familiar coalition ally, the storm raise on. the cold never bothered me anyway. germany has been dealing with that. you met opec and russia, signaling they could be a lengthy one. real ministry under is ready to give cooperating with opec, even after the cuts expire. global news 24 hours a day, powered by 2700 journalists and analysts in more than 120 countries around the world. global news 24 hours a day, powered by 2700 journali

i'm taylor riggs.portant. we have to hear this. just for our global audience. "?uld you please go "roll tide francine: roll tide. tom: there we go. you are on board with alabama. francine: not sure what i just said. tom: roll tide, alabama. there is a heritage back to my youth. this is a true freshman, a child, throwing that bomb. i cannot convey what this is what everyone wants in american sports. this is fabulous. one more time, for bear bryant. say it. francine: roll tide. tom: there we go. francine: are they paid more than european footballers? we should do a show -- the money of sports. tom: this is a sensitive issue. the college kids are not paid. colorado, i was at when this was a raging debate. they are not paid. that is part of the act. it is an endless debate. should the athletes be paid? let's go on to brexit. roll may. [laughter] francine: roll may. the u.k. prime minister's attempts or reboot was chaotic. cabinet members refused to follow her orders. first, the health secretary, then the e

i'm taylor riggs. let's get the bloomberg is this flash.ers. company has released test results, saying more than 10% won't be affected. as more information that is promised about this. xerox has hired market trainings, saying companies -- have major deals with japan's film. according to the wall street journal, the two are discussing various possibilities, but xerox is not one of them. needy andnhattan, friends were down 2.7%. landlords have been making big big price cuts. businessur bloomberg flash. ,rancine: there's a benchmark and barrel comes as global stockpiles dwindle into bullish traditions. we welcome komal sri-kumar and risk restaurant -- and rusk koesterich.uss when it comes to oil, how do you look at it? is a geopolitics in the middle inflation, org on doesn't just show that there is strong demand globally for oil, therefore there is a positive for global growth? komal: i would begin by saying the recent surge in oil prices over the last several days has a lot to do with stuff like what you are getting out of venezuela . there's

right now, here is taylor riggs. : the president signed a government spending bill that ends at three day partial government shutdown. now, capitol hill is expected to fight over immigration the next three weeks. senate democrats agreed to a deal from senate majority leader mitch mcconnell. they gave in on the spending bill, and mcconnell agreed to address the man's to protect young undocumented immigrants from you partition. the president imposed tariffs on importing washing machines and solar panels, some as high as 50%. south korea condemned the move. china called them a misuse of trade measures. in dallas, the ceo of societe oferale -- in davos, the ceo societe generale warned of protectionism. >> we could slow down the economy. not good for is maintaining growth and trade in the world. taylor: in eastern oklahoma, five oil workers are missing a fire. patterson-uti energy says it would be unwise to speculate on the cause. in japan, the central bank maintained its massive monetary stimulus. the bank of japan also c

let's get straight to the bloomberg first word news with taylor riggs. taylor: u.s.f state the threaton warned of war with north korea is growing. he was in vancouver with diplomats from 20 countries. they are exploring new ways to impose new sanctions. he said this meant the situation was "very tenuous." former white house strategist steve bennett faces two subpoenas in the russia investigation. he has been subpoenaed by special counsel robert mueller. meanwhile, the house intelligence committee has issued its own subpoena. bannon appeared before the panel yesterday after the white house asserted he was barred from answering any of the committee's questions. mitch mcconnell says immigration can wait and it is more important for congress to reach a deal that would avert a government shutdown. he says there is no reason to hold the government funding b ill hostage. house republicans are working on a bill that would fund the government, but not deal with daca. in london heathrow airport has made proposals intohouse republn a bill that would fund the cutting $3.4 billio

here is taylor riggs. ers have until midnight to come up with a bill a overt a partial -- avert partial government shutdown. last night, the house passed a measure that would keep the government in business through february 16. senate democrats say they have the vote to block it. to force democrats and president trump to extend protections for young, undocumented immigrants facing deportation. the federal reserve plans to ease up on bank leverage. the fed wants to relax a part of the post crisis demand for graphically -- drastically increased -- it's said to be opposed by the fdic. the trump administration is running out of patience with nafta talks. according to people familiar with the matter, the u.s. is serious about its threat to pull out of negotiations of there's no progress on proposals intended to rebalance trade. talks resume on thursday -- tuesday in montreal. global news 24 hours a day, powered by more 2700 journalists and analysts in more than 120 countries. i am taylor riggs. this is bloomberg

here's taylor riggs. in germany there is a preliminary agreement after four months of a political stalemate. kids angela merkel and the social democratic party have a tentative plan to form a new government. the deal includes more government involvement in education and changes to health insurance but no tax hike. discussing immigration. the president used foul language while asking lawmakers where the helping in certain places in othe and not others. president trump has decided to extend sanctions relief to iran again. the white house will announce today that the president will leave the 2015 nuclear accord intact, giving the administration and congress time to develop legislation imposing new restrictions on iran. capped a year of strong trade growth with exports at 11% last month. that is a sign that demand for chinese products is holding up. slowed to imports 4.5%. global news 24 hours a day, powered by 2700 journalists and analysts in more than 120 countries around the world. equities, bonds, currenci

i am taylor riggs. this is bloomberg. vonnie: taylor, thank you.n stanley had a strong 2017, which continued into the fourth quarter. wealth management was a big story during the quarter come with fees climbing to a record as the s&p 500 reached an all-time high. for more key takeaways from what morgan stanley's results and the bank earnings quarter in general, we are joined by devin mjp securities -- jmp securities. the bank is trading .2% following the results. devin, have you been missing morgan stanley creeping up on its peers unbeknownst to the financial community? step back here -- thank you having me on, by the way, good to see you -- they have had a great move the last several years. this is not just one quarter coming together. this is hitting targets year after year. 2017, the backup could have been much better, where you had the s&p 500 up 9%. they are also executing from a business perspective on getting margins higher, taking out expenses. 2018, now heading into even better positioning, and the companies had the earnings call and get t

i'm taylor riggs. this is bloomberg. thanks, taylor.t we will do acrossday, and taylor, five hours of bloomberg "surveillance," we will look at our work with ian bremmer. also joining us, brent smith of microsoft. we talk more about technology for 2018. and then as we look at washington and the geopolitics and budget for washington, jacob lew will join us. we do that later today, on television and radio later today. an extensive conversation with jack lew. francine: there is quite a lot going on in the market. we had very thin trading over the last couple of days. first of all, european stocks, i doubt we start off with those. they are a little under pressure, down 0.6%, failing to capitalize on a positive asian session. we did see strength in the common currency. 1.2071.-dollar and the hang seng, gaining some 2%. property shares are soaring, but also a gauge of the nation's manufacturing strength beat expectations. they were just mentioning china. let's get montana, after was a pretty good pmi figures. if you look at the manufacturing

i'm taylor riggs. this is bloomberg. tom: taylor, thanks.ds, currencies and commodities. let's get right to it, davos, 2018. the futures, up. that is extraordinary. a little bit of curve flattening. that is a little different than what we saw over the last couple days. currency is really not advancing. the euro, testing 1.23. we are not there yet this morning. the vix, showing the return to the amrket. there is the close of the dow, 25000. the dollar weakness, across the board. francine? francine: this is what i'm looking at. there's a euro move. heard fromer we one councilmember saying the european central bank should adjust the policy guidance. assetnds net purchases in one move. i'm also looking at some of the other moves. we talked about treasuries. % for the at 1.99 two-year deal. and the german yield, watch out for any abrupt moves on the german. tom: let me to the bloomberg right now. i'm going to bring up bitcoin today. this is a pretty fancy chart with removing averages. i am not going to go into the nuances. this is what i would ca

let's go to taylor riggs. sident trump said he would love to speak under of two special counsel robert mueller. he is investigating whether anyone close to the president colluded with russia during the 2016 campaign. mueller is said to be wrapping up one part of his probe, whether president trump obstructed justice. president trump has issued a warning to turkey. he has told the turkish president not to expand his attacks against u.s. armed kurdish fighters. that could lead to direct conflict with american forces, president trump warned. in brazil, the former president da silva has had his hopes of a political comeback crushed. an appeals court upheld a corruption sentence. judges also voted to increase his prison sentence to more than 12 years. day innews 24 hours per more than 120 countries, i'm taylor riggs, this is bloomberg. back to davos. tom: thanks so much. wonderful to have you with us. now, not only another prime minister, but an important prime minister, the prime minister of the netherlands. he is a

joining us with more is taylor riggs. taylor: shares down to the lowest in almost two years.ong year chart showing a significant drop today. the hp e software's nest they acquired last year, and that unit, revenue came in at the lower end. they are forecasting for the year ending in october sales could fall from the group from 2% to 4%. hpe software makes up half of the total revenue in the six month reported. period. if that is reported, it will be a drag on the top line of growth. one analyst put it all into perspective. he said the main concern is playing out earlier than expected. you are seeing material top lines come through due to integration that is shifting the company's focus away from growing revenue and worrying about integrating that. the company talked about regional growth. in the americas in this reported of revenue had half coming from the americas. that is not a huge decline, but it is a small decline. the ceo says there are areas they would like to improve, highlighting sales executing sales in the americas. mark: this is the biggest tech thatny in the u.k.

theill get you a check on market with taylor riggs. taylor: the biggest story of the day arguably is the weaker dollar. here is the bbdxy index, lower after steve mnuchin said a weaker dollar was good for american trade. bearing the biggest front is the yen, the strongest relative versus the dollar going back four months. futures are upp after poking record gains yesterday. david: thank you, taylor. ge just reported earnings for the fourth quarter with a slight miss on adjusted earnings per share, and a big charge in a loss overall to the quarter. the stock is trading higher in the market, up over 1% as you can see there. heart,me karen it will -- who covers g4s. -- ge for us. so it comes back to power. margin, 2.8h a 3% percent, which was totally surprising. sales were down 15%, really bad. voters are down 25%, so this will continue. the order of magnitude is worse in terms of profitability. david: when you -- we knew they were struggling with power. is this worse than what the market expected? , 6% operatingy 5% margin was expected an

let's go to the bloomberg first word news with taylor riggs. resident trump is threatening legal action against the van and. -- steve bannon. he is considered one of the architects of the complaint -- campaign and is accused of making disparaging statements about the trump family in a new book. trump saying he has lost his mind here at aggression a leaders have signaled progress on the congressional -- there is no deal yet. among the issues being discussed, pushing budget limits on defense to avoid triggering automatic cuts. conditions, the u.s. is preparing for the worst storm of the winter. it has knocked out power to thousands and canceled almost 3000 flights. boston could get more than a foot and new york, eight inches of snow. prime minister theresa may believes michel barnier is bluffing. him when he believe says there will be no special post rex a deal for financial services. they think barnier is faking about rolling out an agreement that will let banks move freely across the you -- the e.u. global news 24 hours a day, powered by more th

joining us is taylor riggs. taylor: another thing analysts were shareholders are thinking.t caterpillar, one of the reasons jpmorgan itraded the stock was how can extend the business cycle and extend the free cash flow. beencash flows have not doing well recently, but this year, amid the forecast for 2018, it will really boost that. you can see it is going from $3.9 billion again to $4.8 billion. so it is really good. we are also, when you look at the different segments, they upgraded the stock to $200 a share from $144 a share, in because of their resource business. they say that right now it makes up about 15% of the company's overall revenue, and it has been declining. so they can start to jet that up. it is in the two-year of what can be a 10-year cycle. that would really help them. shery: at what level would we think they are overvalued? taylor: i am a little technical, so i love doing the free cash flow, but you cannot always ignore this. if you look at the chart g #btv 4934 on the terminal, technically, it is overbooked. above $70 is overbought. this would suggest it

joining us with more is taylor riggs. they doubled yesterday and continued the gains again for today, all that with the licensing deal. one, ae creating kodak platform for photographers to upload their photos and using the underlying blockchain technology to do an initial coin offering on january 31 for that ledger system. ap year to year transaction so this highlights that slowly but surely we are seeing companies come out. look at the underlying technology start to be disruptors. peeree more of the peer to technology come into real use. it has disrupted the markets as well. we have charted the short-sellers here. that is in blue, the short interest ratio. basically, the percent of shares outstanding that are shorts. that has come down but still are at about 11%. it spiked up about 25% last summer, but you are still seeing a significant amount of shares. pete is phenomenal. he was talking to me about volume, volume more than 800 times the normal amount. it is pretty incredible. vonnie: what does it mean for other companie

i'm taylor riggs. this is bloomberg.,et's get back to were world leaders are at the world economic forum meeting. they discussed whether new u.s. tariffs could reroute chinese money to norway and europe. innovation force of america, there's opportunities to grow entrepreneurship. can have that throughout our transition. we have some money we are investing. we have invested one third of our sovereign fund in the united states. to develop and other areas of the economy, investments to norway as the economy of the world goes better. it is the world's largest sovereign wealth fund at $1 trillion. it wanted to divest its oil company assets last week. that is something for you to approve. we are scrutinizing their suggestion. they can continue to invest, but it becomes more obstacles if they are investing in that. that is the view they have because so much of the international economy -- >> they don't want to be overexposed. do you agree? >> we believe we are decreasing activity, we are looking at more areas. , we willterm pol

taylor riggs with our stock of the hour, thank you.o a 17 year high after forecasts. optimism that demand will persist even -- versus. -- persist. cory johnson is joined why -- by one of their top executives. .> bob swan is the cfo at intel when i saw the server chip number, 20% growth year after year in your second-biggest business. it was job dropping. i cannot figure out what is going on. how are you selling so many chips? >> good morning. it was an outstanding close to a record year for the company. we feel great about the performance overall and in particular the data's in a business, growth accelerated -- data center business, growth accelerated. fundamentally, strength across the board with cloud business up 35%. business up 11%. enterprise has been relatively slow growth or negative growth for a while. , strong seasonal quarter outstanding performance in enterprise and we feel great about how we close. we are excited about 2018. >> which business is growing faster, enterprise or server? like google cloud and amazon web services

i'm taylor riggs. mark: bitcoin falling as much as 20%..crackdowns the digital asset is down over 35% this month. warning investors it could go even lower. a currency but very important characteristics of currencies are not there. it is an extremely volatile value which undermines its use as a currency. people who are investing should be prepared to lose all of their money. mark: this might be enough to keep global investors on the sidelines. crypto hedge funds soared more than 1000% in 2017. joining us now with more is ed robinson. decline was the biggest since january 14 2015. it is quite a sizable decline. why is it every time the south korean finance minister others something about the current -- about bitcoin, bitcoin gets absolutely hammered. >> south korea has been leading the charge. investors are mad for bitcoin. they are buying it at 30% to 40% premiums. is a shutdown of cryptocurrency exchanges seriously an option and if it was to take place wouldn't investors just go elsewhere? >> there's a lot of mixed signals coming out of so

i will say the first winner of 2018 is taylor riggs. no real reason.ad, we will be speaking to mike wilson of morgan stanley. stay tuned. this is bloomberg. ♪ vonnie: it's noon in new york. i'm vonnie quinn. shery: i'm shery ahn. welcome to bloomberg markets. vonnie: from new york city, here are the top stories on the bloomberg and around the world that we are following today. the first trading day of 2018 and u.s. markets are sharply higher. what will be different about 2018 and what does market performance hinge upon? we will head to washington for what to expect from the latest round of spending bill negotiations and what it could mean for the republican agenda. amazon's next deal? predictions for the internet giant. why amazon could take aim at target this year. julie hyman is with us. we're halfway into the trading day. julie:

vonnie: taylor riggs, thank you.as emerged as the frontrunner to buy mark -- nestle has emerged as the frontrunner to buy merck's consumer health business. now is bloomberg deals reporter who is having a busy week. why does nestle need this consumer health business? >> the maker of supplements. marke under the new ceo schneider and it has been just over a year since he took over. they have been shifting focus on putting more into health care and he is a german health care industry man. been looking at these spaces that natalie hadn't spent much time on earlier. in december over the christmas period they did their biggest deal in 11 years when they bought a little-known supplement maker and now the price tag that we are talking about will be almost double what they paid on their last deal. is this less exciting than the similar assets that have been sold by pfizer? assets have much more revenue and they are being valued at 15 to 20 billion. in terms of the competition for them these names like j&j, all of them lining

shery: thank you, taylor riggs.e: nick woodman, the ceo of gopro, by the way, is coming up on "bloomberg markets" at 2:30 eastern. shery: the electronic show in las vegas is kicking off. from sans now francisco to preview what is to technology'sberg alistair barr. what should we be looking out for in this event? cars, bothars, cars, electric vehicles and autonomous vehicles as well. one example before the event started on sunday, a partnership with the mouse with vw and with uber. get is the way the classics integrated into more modern things. has always been about hardware and chips and things like that, and a lot of those chips from companies like nvidia and intel are going to go into ai and other related robotics. the best example of that is going to be self driving cars. what fun things can we look forward to, alastair? with seen headphones, other things that a wild and crazy things. alastair: probably the most futuristic stuff will be in the ai realm. a couple of years ago, virtual reality was the really hot to

taylor riggs as more from new york. the head of the centers for disease control has quit over a stock scandal. according to politico, brenda fitzgerald bought several health-related stocks after she was appointed. total employee compensation in the uss match the biggest 12 month again since 2008. the labor department says wages and benefits were up 2.6% back to hire pay in the private sector. the increase shows employers and making were generous offers to compete for workers in a tight labor market. the adp says the u.s. companies added 234,000 jobs in january. that beat the average estimate from economists. the government comes out with a monthly jobs report on friday. and in china, the official gauge --factory activity film fell this month from hitting and it month low. curb excessive borrowing are moderating output at home. global news 24 hours a day powered by more than 2700 journalists and analysts in over 120 countries. i have taylor riggs. this is bloomberg. vonnie? vonnie: president donald trump's first state of

joining us is taylor riggs. every: pretty much analyst had a bullish outlook.ll find out more details at 11:00. look at the fundamentals. that is something that we can hang our hat on for now. 9281,r terminal, g #btv they are looking at 30% retail sales. it is pretty good. they talked about how this is demand in the u.s. before any potential infrastructure plan that we will may be here about next week. construction business is 40% of the revenue. it is pretty good even before potential u.s. tax reform. you have another chart to pull up for me, we're looking at sales by region. we talked about how this growth in china, this is growth in the u.s. latin america is the fastest grower last year, for the last quarter. u.s., butt is the still up 23%. marketu have the general still up 34%. it is a broad global growth story. mark: if it is truly a global other what about the mining and equipment stocks that are moving? taylor: in the construction area it was a u.s. story, in the mining equipment it was a china story. deere is a little bit lower. vonnie: what are analyst

let's check in on the first word news with taylor riggs. taylor: truck -- president trump expected to boast about a strong economy when he delivers his first state of the union address. the president is likely to call for bipartisan action on immigration reform. the is considered ceremonial start to president trump's second year in office. the u.s. is ramping up the pressure on russian interference in the 2016 election. the treasury department released a list of 210 of the company -- of the country's biggest -- that limited inventory of houses for sales is still having an impact on prices. home prices in 20 large u.s. cities rose in november by the most in more than three years. logic,ng to s&p core property values increased 6.4% over the previous year. that is three times the rate of inflation. global news, 24 hours a day, powered by over 2700 journalists and analysts in more than 120 countries. this is bloomberg. mark: coming up on bloomberg markets, caution creeps into the market. mike ryan of ubs wealth management joins us to discuss the

taylor riggs. taylor: the rate of economic 6.9% inn china sped up, 2017. get rid of excessive borrowing. better than expected. republicans are betting democrats won't force a government shutdown over immigration. pass ase is on track to one-month spending bill today that would force democrats to decide whether to block the measure in a bid to gain leverage. the new taxse overhaul to bring hundreds of billions of dollars to the u.s. it will pay a $30 billion tax bill and spend billions on jobs in manufacturing centers in the u.s. employeeslso giving at $2500 bonuses. over howj, a shift long the current stimulus should remain in place. of policymakers believe they need to start talking about exit strategies. doj officials see a long way to go before they reach their goal of 2% inflation. global news 24 hours a day powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. i am taylor riggs. tom: thank you so much. bonds, currencies, commodities, not much to talk about except the two-year yield. euro has done nothing, oi

joining us now with the backstory is taylor riggs. : at one point, the most percent change going back for 2.5 years. you are getting quite a move on this and a good move. they're looking at this strategic review. you would have the holding company and shares of the most profitable units held separately. this comes down to the parts valuation, whether that is worth more together or separately. they could break it up. you could spin off -- list separately some of the more reofitable units like the ti business and combine them with better rivals to compete. have two key divisions. the more profitable is their rubber business. those margins are 21%. then there's the automotive unit which has some of the lower operating margins. safety, interior, large powertrains, more conveyor belts that power off road vehicles. said he pushed for a change for conti already to split itself off. this is receiving investor interest. mark: any split would mean the blessing of the family that owns 45% of continental. we have any idea what they're thinking? ta

joining us to explain his taylor riggs. the price i amt to $1400, every time here i talk about increasing price targets. the topline revenue is almost $200 billion per year and we have a chart that shows the revenue growth is still continuing, not only at double-digit rates, but now 30%. a large company still managing to grow, one of the things the analyst cited. also, margins look better and free cash flow looks better. rounding out the top five of the internet sector was priceline, expedia, facebook, with priceline and expedia, they said some of the recent underperformance has been a little bit undone and with priceline, it may be related to slowdown in growth from their core business, hotels but looking to offset some of that with vacations. a pretty good picture on the top side. vonnie: analyst talked about a better business climate following tax reform. taylor: yes, the retail sector, look at the year end -- in the line of the consumer. , bigger maybtv 5499 be better, looking at amazon market cap and how it is still out

theill get you a check on market with taylor riggs.st story of the day arguably is the weaker dollar. here is the bbdxy index, lower after steve mnuchin said a weaker dollar was good for american trade. bearing the biggest front is the yen, the strongest relative versus the dollar going back four months. futures are upp after poking record gains yesterday. david: thank you, taylor. ge just reported earnings for the fourth quarter with a slight miss on adjusted earnings per shar

joining us with more is taylor riggs. why is seagate interested in ripple? e has not responded to requests for comment so this is a report and perhaps rumors but nonetheless, markets are moving on it. ripple market is moving. what was interesting is i think we have an intraday chart that shows the percent change as of friday. we are ignoring saturday and sunday trading volume. you see a decline in the currency and they have recovered a bit of their losses. volatile. been what's interesting is analysts at susquehanna were saying this will not materially affect seagate's upside and you could sell on any of the strength. that was interesting. another thing you mentioned was it is the third biggest cripple currency right now. ripple and a theory him have been going -- ripple andaetherium going back and forth. it coin is number one and thenaetherium and ripple. vonnie: interesting to watch what seagate technologies is doing. this is not the first unusual investment it has made. taylor: they have traditionally been in the hard drive, more of a slow growth area and

i'm taylor riggs. germany's deeply divided social democrats face a crucial vote this weekend.will decide on sunday whether to end a formal coalition talk. a formal coalition government poses less than the threat of -- we are joined by dennis snower, president of the kiel institute of world economy. he joins us from berlin. is at the lesser than two evils, voting to end coalition talks? they could do even worse than they did in the last vote. dennis: i think you are absolutely right. they could do worse. areefore, all sides optimistic that these negotiations will succeed. what sort of coalition are we looking at, then? will it be similar to the last one or will it have a different feel to it? dennis: it will have a dramatically different feel because both sides have learned from the possibility of getting on with their own program. it hasn't worked terribly well for the fdb. both sides will renegotiate. the most important thing will be there combined vision for the future of europe. mark. has set the now, the big question is whether germany will support or delay. a lot hinges o

i'm taylor riggs. this is bloomberg. mark: thanks so much. the bank of england is speaking.said investments are up due to global demand. a four percentage points below your it should be in relation to before the brexit referendum. he says he does not have advise when it comes to brexit. he sees a pickup in investment here he expects clarity on brexit to help support investment and strong incentives . the eu benefits tremendously from dynamic equivalent. working is still through inflation. he says the labor market is continuing to tighten and he sees growth returning later this year. mark carney testifying. coming up, bitcoin. more of our exclusive interview with the executive on the future of the cryptocurrency. this is bloomberg. ♪ ♪ the airline has spoken exclusively earlier today with the year and next chief executive at the annual conference in paris. i'm interested in euronext crating a market in the cryptocurrency. know, we will not create a market because the -- no, we will not create a market because it has nothing to do with it. that bitcoin is not the cryptocurrenc

joining us with maurice taylor riggs. love earnings day. yes. it is great.elping them on the top and bottom lines. the quarterly increase in sales slowly gaining, we are about $3 billion. when we look at the three properties, the newest is the palace. coming in with $55 million older number one, properties, e and established to of course, las vegas is trailing at number three. it is playing out in the stock market as well. we have charted here at my blue.al in that is beating the bloomberg intelligence stocks and then the general like we have in the s&p 500. >> how important is the market right blue. now? a tough quarter, and that would slowly start to turn around as demand comes back. and it is a pretax measure given we are comparing different regimes in asia and china. alone, doing very well. it was 42% just over a year ago. slowly starting to see the shift. >> that is really interesting. thank you. still ahead, we are heading into the danger zone. of talkshe six rounds handling the threats? we will talk next. this is bloomberg. ♪ >> we're waiting on the o

joining us is taylor riggs. this was not great news but the stock is rising. s said this is not a final ruling, take a deep breath. the product is called -- it is a heat, not burn. similar to an e-cigarette. reductiono show a and health risks. we have a chart of e-cigarette users. is it the substitute, a gateway drug? users areernative actually current sigrid users. only 11% of e-cigarette users have never used sick arrest before -- cigarettes before. 9427. you can see what a are spending billions and billions of dollars to research alternatives. annual sales are about $300 billion. you can see by they are trying to find different revenue opportunities. shery: i understand why the stock would be higher. i have seen many of my friends smoke, but then switch to these e-cigarettes. the heat not burn. david: this is something different from e-cigarettes. what do they have to do to get this approved? go back to the fda? taylor: this is why the analysts were saying calm down. they see it as a buying opportunity. they can go back to the fda and say, hold on, let me ad

joining us with more is taylor riggs. breaking up the empire. it's gotten so complex.s today was their culinary twice 17 earnings per share. they lowered that from the previous guidance and it's also lower than what the average bloomberg analyst had estimated. going forward it doesn't look like it gets a lot better. their 2018 earnings-per-share guidance also down a little bit from the average analyst estimate. ceo is saying at least in the e-commerce business things look good. they are able to grow double digits. it's just complex. look at this chart. they have a product mix from all different sectors all over the place. in reaction the company said they are looking at nonstrategic assets to reduce some of this complexity. some of these are the smaller consumer businesses like rubbermaid. on the commercial side of things looking to exit out of the rubbermaid commercial. wasn't long ago when they made an acquisition that doubled their revenue. now all about simplification. vonnie: what is the street saying? >> two different takes. some very negative. barclays analysts

joining us with more is taylor riggs.ts expecting a low market could the auto sector. it has been the best performer of some of the major sectors in the stoxx 600. they're looking at solid volume growth and relatively stable pricing power to out the markets -- throughout the markets. he expects strong deliveries with fiat chrysler in 2018 and with vw, they are looking at it there is no major news on the emissions scandal, that will drive the stock and the whole sector forward. relative to at fiat some peers, allotted this is based-- a lot of this is on tax reform. they are still -- there is still a disconnect on what is priced in the market and what the company said they could do if they reached the low end of your business plan. that prompted the analyst at ever core to boost his price there to 21 euros, saying is a disconnect in the market and that there is further room for the upside. and: tell us about the plan turnaround for fiat. what are his goals? taylor: he is looking to come out with a revised business plan and

i am taylor riggs. this is bloomberg. shery: thank you. we have breaking news on the bloomberg.uty director andrew mccabe is now said to be stepping down. president trump has ignored questions on his stepping down. when he was asked today in front of the press, president trump has questioned in the past the political allegiances of deputy director mccabe. we are hearing reports that he is stepping down. we will have more details as we get them. sexual harassment allegations, the fallout over steve wynn is spreading all over the world. the future ofting permits for wynn resorts up for renault. it sends their shares -- for renewal. it sends their shares tumbling for a second straight day. we will put the personals aside for the moment. there are personalities and human beings involved. we are talking about regulators looking into this company. we know macau regulators have already visited wynn. what might they do next? >> this is not the only regulatory body scrutinizing this situation. we have the massachusetts gaming commission reviewing what might have happened and the nevada g