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[00:00.000 --> 00:02.720]  received about 26% of the vote.
[00:02.720 --> 00:05.040]  South Bend Indiana Mayor Pete Buttigieg
[00:05.040 --> 00:07.120]  was a close second followed by Minnesota
[00:07.120 --> 00:11.040]  Senator Amy Klobuchar, Massachusetts Senator Elizabeth Warren,
[00:11.040 --> 00:14.400]  and former Vice President Joe Biden finished well behind.
[00:16.800 --> 00:18.800]  That cruise ship that was barred from docking
[00:18.800 --> 00:21.600]  in four countries has found a place to disembark
[00:21.600 --> 00:24.400]  the more than 2,200 people on board.
[00:24.400 --> 00:26.720]  Operators of the Western Dam say the vessel
[00:26.720 --> 00:29.120]  will dock in Cambodia on Thursday.
[00:29.120 --> 00:33.680]  The ship was turned away by Thailand, Taiwan, Japan, and the Philippines
[00:33.680 --> 00:36.720]  because of fears that those aboard could spread a virus
[00:36.720 --> 00:38.720]  that originated in China.
[00:38.720 --> 00:42.720]  Holland America lines says there are no confirmed cases on board this ship.
[00:44.000 --> 00:48.720]  In Germany, the search to replace Angela Merkel as chancellor is getting underway.
[00:48.720 --> 00:53.040]  Pressure's growing among Germany's conservative factions to speed up the process to
[00:53.040 --> 00:55.680]  choose a candidate for the next election.
[00:55.680 --> 01:00.160]  Chancellor Merkel's heir apparent shook up German politics Monday by declaring she would
[01:00.160 --> 01:02.320]  step down as the governing party's leader.
[01:02.320 --> 01:06.480]  Huawei technologies are being able to tap into mobile phone networks.
[01:06.480 --> 01:11.120]  National Security Advisor Robert O'Brien says officials believe the Chinese company
[01:11.120 --> 01:15.200]  uses back doors designed for use by law enforcement.
[01:15.200 --> 01:17.360]  Huawei is rejecting the allegations.
[01:17.360 --> 01:22.320]  The Trump administration has been urging allies to bar Huawei from their networks.
[01:22.320 --> 01:27.200]  Global news 24 hours a day on air and on quick take by Bloomberg,
[01:27.200 --> 01:33.600]  powered by more than 2,700 journalists and analysts in over 120 countries.
[01:33.600 --> 01:36.240]  I'm Mark Crumpton. This is Bloomberg.
[01:36.240 --> 01:53.600]  Live from Bloomberg World Headquarters in New York.
[01:54.880 --> 01:57.760]  And live in Toronto. I'm Amanda Lying. Welcome to Bloomberg markets.
[01:57.760 --> 02:00.640]  We're now joined by both our Bloomberg and our B&N Bloomberg audiences.
[02:00.640 --> 02:06.720]  Day two for Powell. The Fedcher continues his testimony on Capitol Hill, striking a
[02:06.720 --> 02:11.360]  dovish tone. What is remarks on the Central Bank's efforts to increase labor force
[02:11.360 --> 02:14.000]  participation could mean for rates.
[02:14.000 --> 02:18.880]  And another day another record, US stocks are in the green with the S&P 500 and the Dow Jones
[02:18.880 --> 02:23.760]  industrious climbing to all-time highs. Treasurer yields have advanced in lockstep.
[02:24.640 --> 02:29.920]  Crude climbs, oil inches above $51 a barrel, even as OPEC slashes its forecasts for
[02:29.920 --> 02:33.520]  global demand and US inventories were above estimates.
[02:36.720 --> 02:40.000]  Let's get you started with a quick check of markets are trading the afternoon session.
[02:40.000 --> 02:45.520]  We are seeing risk on sentiment with US stocks at a record high. Treasurer yields also rising
[02:45.520 --> 02:50.880]  at the same time. We are seeing the S&P 500 being led higher by consumer discretionary
[02:50.880 --> 02:56.240]  and energy stocks, interesting oil is still above $51 a barrel despite the fact that OPEC
[02:56.240 --> 03:01.600]  came out and slashed their forecast for global demand this year. Not to mention the US inventories
[03:01.600 --> 03:05.680]  are higher than expected, came in higher than expected. We're seeing the Dow gaining seven
[03:05.680 --> 03:09.840]  tenths of one percent. Of course, we're seeing a little bit more optimism given that we are
[03:09.840 --> 03:14.160]  seeing the spread of the coronavirus slowing down. In fact, when it came to Hubei province,
[03:14.160 --> 03:20.640]  the epicenter of the outbreak, we saw the lowest number of new cases this month.
[03:20.640 --> 03:24.720]  Still worth mentioning that there's uncertainty out there. Of course, the virus death toll
[03:24.720 --> 03:30.160]  has topped 1100 already. Not to mention that we're seeing this deep slump in industrial
[03:30.160 --> 03:34.720]  production continuing in Europe. So take a look at this chart because if you want to hedge
[03:34.720 --> 03:41.040]  amid this environment, the yen might be a better option than gold. At least it would be a cheaper
[03:41.040 --> 03:47.520]  option. You're seeing the skew on the yen against the US dollar shows bullish call options against
[03:47.520 --> 03:54.640]  puts that now a lower below that of gold. So Morgan Stanley saying that the yen could be a better
[03:54.640 --> 03:58.400]  bet when it comes to hedging tail risk at the moment, Amanda.
[03:59.600 --> 04:04.320]  Yeah, really interesting. And I want to show you another chart inside the terminal here. And this is
[04:04.320 --> 04:10.800]  the S.A.P. 500. It's valuation relative to it's 20-day moving average. When I was seeing it
[04:10.800 --> 04:16.720]  at the highest level that it has seen in 200-day moving average, pardon me, in two years. It's
[04:16.720 --> 04:21.840]  about an 11% delta here. So just in terms of where things stand on a valuation basis,
[04:21.840 --> 04:26.880]  getting lofty in terms of where it trades here. And we do have some breaking news. Even as we see
[04:26.880 --> 04:31.520]  kind of a calming down of concerns about the coronavirus, we learn that the Mobile World
[04:31.520 --> 04:36.240]  Congress has been canceled by GSMA because of that coronavirus. Now, there had been participants
[04:36.240 --> 04:40.720]  who had already said they would not attend the Mobile World Congress. And so perhaps this is just
[04:40.720 --> 04:45.840]  a simple reflection of the fact that it was going to be already affected by it. But that is
[04:45.840 --> 04:50.560]  the news that we can now bring to you that Mobile World Congress has been canceled. And that
[04:50.560 --> 04:54.880]  virus, of course, was a topic for Fed Share J. Powell this week, and his two days of testimony
[04:54.880 --> 05:00.240]  on Capitol Hill. Michael McKee, Bloomberg International Economics and Policy correspondent with us now,
[05:00.240 --> 05:06.320]  with key takeaways. And today, Mike, the focus does seem to be on that wage and the job
[05:06.320 --> 05:10.880]  picture. Just a big picture in terms of what you're hearing from J. Powell. What's your biggest
[05:10.880 --> 05:15.760]  sort of takeaway from it all? Well, you start with the coronavirus and the Fed's inability to
[05:15.760 --> 05:20.880]  really put any kind of numbers on what kind of damage it might do to the global or US economies.
[05:20.880 --> 05:25.680]  J. Powell telling the Senate Banking Committee today, it should have a significant impact on the
[05:25.680 --> 05:30.400]  Chinese economy, but they don't really have good numbers yet. And of course, if it affects the
[05:30.400 --> 05:35.200]  Chinese, it will affect their trading partners' policy. And there may be some impact on the United
[05:35.200 --> 05:40.320]  States, but it all depends on how long it lasts. That was the news in terms of any kind of thoughts
[05:40.320 --> 05:45.680]  of what the Fed might do in terms of interest rates going forward. Much of the rest of the time
[05:45.680 --> 05:52.160]  was spent, as he said, on sort of political topics, the idea of whether or not the Fed can do
[05:52.160 --> 05:57.040]  anything to increase employment beyond what it's already doing. And Powell basically said,
[05:57.040 --> 06:01.840]  we're letting things run hot. We've learned our lesson inflation is not rising. We'll let it go and
[06:01.840 --> 06:07.600]  see how low it can go, but to really boost the economy, you guys up on the dias. The senators
[06:07.600 --> 06:12.640]  and representatives need to do more on the fiscal side. Yeah, when he comes to that fiscal
[06:12.640 --> 06:17.200]  warning, of course, also coming on the back of President Trump's new budget, which would really
[06:17.200 --> 06:21.680]  increase the deficit spending, what else did Powell have to say on that front? Well, he was asked about
[06:21.680 --> 06:27.120]  it and he said, you know, he worries about the deficit right now. Even though it isn't a threat
[06:27.120 --> 06:30.720]  right now, we're not seeing higher interest rates, but he does want to see it brought down
[06:30.720 --> 06:35.840]  over the long run. And one reason is, in the case of recession, the Fed might not have the tools
[06:35.840 --> 06:40.880]  it needs to completely fight it, and they would want fiscal help as well. And with big deficits,
[06:40.880 --> 06:46.400]  he's afraid that the Congress won't be able to respond. And of course, all of this we're
[06:46.400 --> 06:51.280]  to keep in the context that we don't yet know, like the full extent of sort of damage done
[06:51.280 --> 06:56.320]  economically to business, even in some ways to confidence, although that may now be muted.
[06:56.320 --> 07:00.560]  How much do you think this is factoring in? And we'll have to keep factoring into what the Fed is
[07:00.560 --> 07:05.920]  thinking as they watch data come in related to sort of global friction around corona? Well, they
[07:05.920 --> 07:10.400]  will watch the data come in. Even if you took the coronavirus out of the equation, they would be
[07:10.400 --> 07:16.240]  watching to see if there were a positive reaction to the phase one trade deal and the idea that
[07:16.240 --> 07:20.960]  maybe the globally economy had bottomed out. And we got that economic data out of Europe today
[07:20.960 --> 07:26.720]  that suggests maybe Powell was premature in saying that, but they're going to be watching the data.
[07:26.720 --> 07:32.160]  There in no hurry to change rates one way or another, an interest rate increase is off the table,
[07:32.160 --> 07:36.560]  but whether they would cut rates like Wall Street once, right now that's not on their table,
[07:36.560 --> 07:41.120]  they're going to wait and see. Mike McKee, thank you very much for the latest on chair Powell's
[07:41.120 --> 07:46.560]  testimony today in Congress. For more in the market reaction and the virus impact as well on the
[07:46.560 --> 07:52.800]  markets, let's go to Luke Hauer. He's our cross asset reporter joins me now here in New York,
[07:52.800 --> 07:58.320]  Luke. So we are seeing a positive sentiment across the board, stocks rising, yields rising,
[07:58.320 --> 08:04.560]  but how much of this has to do with anything on how positively Powell portrayed the economy
[08:04.560 --> 08:11.520]  and just virus concerns retreating? Probably a lot more on the ladder there, just in the absence of
[08:11.520 --> 08:16.640]  news flows around in the virus, getting materially worse, we're probably going to move away from
[08:16.640 --> 08:22.320]  the kind of the depths of recession, fear, type, pricing we had in the 10-year yield. And if you
[08:22.320 --> 08:26.720]  look at kind of the range that yields a set of the now, it's been interesting to see pretty much
[08:26.720 --> 08:32.720]  if we hold this daily range, the past two days will be among the least the 10 years moved this year.
[08:32.720 --> 08:37.360]  So it's not only the fact that yields are kind of settling into the middle of what could be
[08:37.360 --> 08:41.680]  a 20 basis point range, if you don't tend it to trade in, ranges of about that and then have a
[08:41.680 --> 08:45.280]  crazy move, one direction or another, but they're also kind of calming down on the interest rate.
[08:45.280 --> 08:49.760]  At the end of the day, though, are we just headed towards lower yields, given that we are seeing
[08:49.760 --> 08:55.120]  these global growth forecasts and the impact that the virus is having not only in the Chinese
[08:55.120 --> 08:59.600]  economy, but it's arising, but we're still at once and see, too. Yeah, exactly. This isn't these
[08:59.600 --> 09:03.600]  aren't necessarily high-burn, because by the stretch of the imagination, no one's expecting them
[09:03.600 --> 09:08.960]  to get materially higher. However, there is a sense, and even as Powell does strike a
[09:08.960 --> 09:13.600]  kind of a dovish note, while still signaling confidence in the U.S., they definitely, as Mike said,
[09:13.600 --> 09:18.240]  they're not in no hurry to lower rates, we got a signal overnight, I believe, from the RBNZ,
[09:18.240 --> 09:23.760]  that kind of even they are not leaping on the train to necessarily cut rates in the face of
[09:23.760 --> 09:29.440]  the coronavirus. So the central bank response or the market kind of interpretation of how
[09:29.440 --> 09:33.840]  aggressively central banks were respond to that has probably been a lower overstated so far.
[09:33.840 --> 09:39.120]  So that, as a driver of lower yields, probably not, but just the fact that growth and inflation
[09:39.120 --> 09:43.760]  haven't really picked up in years and are expected to, that's probably the more enduring trend.
[09:43.760 --> 09:49.520]  And then where does the correlation between equities and fixing comfort in here, Luke?
[09:50.080 --> 09:54.640]  So that's been interesting to watch that release net back in Cameron Christ at a good job of
[09:54.640 --> 09:59.840]  highlighting that this morning on the end-life blog. We have essentially now, for a while, early in January,
[09:59.840 --> 10:06.320]  stocks and bond yields were fairly negatively correlated. Their stock would manage to rise,
[10:06.320 --> 10:10.720]  even when yields were falling, and this was essentially a software to the moon trade,
[10:10.720 --> 10:15.600]  even as cyclicals were fading. Right now, it's kind of the situation is flip back to what you
[10:15.600 --> 10:20.080]  might be a little more normal. Stocks rising, bond yields rising in tandem, and that just,
[10:20.080 --> 10:24.880]  I think that shows that you get to a certain point in markets where you can't make the valuation
[10:24.880 --> 10:29.840]  excuse anymore, where you can't say that falling yields are just always in everywhere a good thing
[10:29.840 --> 10:34.000]  for risk asset valuations, because they were starting to really, really send a potentially negative
[10:34.000 --> 10:38.400]  signal about the growth outlook. And now, as yields rise, it's more having to do with
[10:38.400 --> 10:43.200]  some of the tail risk, whether rightly or wrongly based on how limited the information we have
[10:43.200 --> 10:48.160]  at this juncture kind of being able to weigh out. All right, Luke, Luke, call a great
[10:48.160 --> 10:54.240]  heavy with us. Appreciate it. Coming up, lawmakers, Democratic and now Republican are stepping
[10:54.240 --> 10:58.880]  up their efforts to fight climate change and addressing the nation's aging water systems as
[10:58.880 --> 11:03.200]  high on the to-do list. We'll discuss the evolving topic of water safety with Professor
[11:03.200 --> 11:11.040]  and Public Health Expert Kellogg Schwab. This is Bloomberg.
[11:11.040 --> 11:16.000]  Burd television brought you by Principal Financial Group committed to delivering specialized
[11:16.000 --> 11:20.880]  investment solutions to clients around the globe, yet to know us at principal.com.
[11:20.880 --> 11:24.560]  Hi, I'm Barry Sloan with Newtek, your business solutions company.
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[11:49.600 --> 12:02.960]  company today.
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[12:49.280 --> 12:55.760]  Climate change is the defining issue of our time. So we've redefined how we cover it. With clear
[12:55.760 --> 13:01.600]  data and rigorous journalism, we rise to the scale of the challenge to reveal the breadth
[13:01.600 --> 13:08.320]  of possibility. We look at stories from every angle, to provoke debate, spotlights
[13:08.320 --> 13:14.720]  solutions, and makes them of the greatest crisis of our generation. Bloomberg Green,
[13:14.720 --> 13:23.680]  Solutions, or a changing climate.
[13:23.680 --> 13:29.120]  This is Bulbul Market, I'm Chermion in New York. And I'm Amanda Lang in Toronto.
[13:29.120 --> 13:33.280]  House from Republicans are unveiling their plan to combat climate change today and answer
[13:33.280 --> 13:37.520]  to Democrats who have dominated on the issue. More public health officials are calling for
[13:37.520 --> 13:42.320]  water safety to be prioritized as part of the efforts. It's already playing out at the state
[13:42.320 --> 13:46.720]  level who hamster Governor Chris Sinunus spoke with Bloomberg yesterday about his own plan.
[13:48.880 --> 13:53.120]  We're making a huge investment in clean drinking water infrastructure here about a $400
[13:53.120 --> 13:57.040]  million investment, no taxpayer dollars. We're using it from the settlement money we got from
[13:57.040 --> 14:01.200]  extra years ago. So we're doing it kind of taxpayer free and allowing those dollars to go
[14:01.200 --> 14:05.760]  at the very local level.
[14:05.760 --> 14:10.240]  We welcome Kellogg Schwab, professor of water and public health at Johns Hopkins. He joins us
[14:10.240 --> 14:14.080]  from Baltimore. And it professor is so interesting to hear the Governor's stress, you know,
[14:14.080 --> 14:19.840]  no tax dollars in a way that almost undermines the importance of the issue. Tax dollars could
[14:19.840 --> 14:24.480]  very well be directed to this. Are we missing the point or the importance of water safety?
[14:25.280 --> 14:30.320]  Water safety is incredibly important. A drink of clean, safe water from the tap is one of the
[14:30.320 --> 14:36.560]  most undervalued assets of American life. These climate change stressors, including extreme rain
[14:36.560 --> 14:41.840]  and drought, avoiding pressure on our existing water supplies, as well as in our aging drinking
[14:41.840 --> 14:46.880]  water and wastewater infrastructure that can affect public health and the business sector.
[14:46.880 --> 14:51.440]  So it's incredibly important that we engage together in finding these important solutions.
[14:51.440 --> 14:56.320]  Professor, how important is clean water for the economy and how important is it to shape and
[14:56.320 --> 15:02.720]  frame it as an economic issue? It's incredibly important. Deloitte just recently put out a report
[15:02.720 --> 15:08.320]  and when they said that there's a staggering 240,000 water main breaks per year in the United
[15:08.320 --> 15:14.720]  States, costing an estimated $2.4 billion. That's just to repair the leaks that doesn't
[15:14.720 --> 15:20.320]  have the important drivers of economic value of water. All of our sectors, not only households,
[15:20.320 --> 15:26.160]  but businesses, hospitals, even farming rely on safe water. And we need to have that continued
[15:26.160 --> 15:31.920]  reliance and ability to have safe waters provided and adequate removal of a waste to have a thriving
[15:31.920 --> 15:37.040]  economy. I think there's an understanding that from an infrastructure point of view,
[15:37.040 --> 15:40.560]  there's a mountain to climb here regardless, right? Across North America, we have aging
[15:40.560 --> 15:45.760]  infrastructure that needs upgrading. Are we doing that in a way that's thoughtful about climate
[15:45.760 --> 15:51.520]  change about the additional requirements we will face in the coming years? Yes, climate change
[15:51.520 --> 15:56.640]  brings that unknown factor. They're starting to understand we have an existing infrastructure of
[15:56.640 --> 16:01.520]  water, our pipes that provide drinking water and waste water removal. There's hundreds of
[16:01.520 --> 16:06.080]  thousands of miles of these pipes, so worth trillions of dollars, but sadly they're underground,
[16:06.080 --> 16:11.360]  they're ignored. And with that ignoring, we've also not repaired or replaced them. There's cost
[16:11.360 --> 16:15.920]  estimates anywhere from tens to hundreds of billions of dollars to maintain and repair them.
[16:15.920 --> 16:20.800]  If we put on top of that climate change with these increased stresses, we know that there will
[16:20.800 --> 16:25.440]  be variances in the amount of rain in the amount of drought, and that will add to this problem.
[16:25.440 --> 16:30.480]  We have some solutions we can do. We can start figuring out better ways to appreciate the value
[16:30.480 --> 16:36.240]  of water, putting appropriate costs into it, and conserving water. And water use is an important
[16:36.240 --> 16:40.480]  part of that. How would you assess the Trump administration's policy on this front?
[16:41.360 --> 16:46.880]  Again, at the government level, it's important to realize that these are decades long challenges
[16:46.880 --> 16:51.520]  and we also have to have solutions that are long-term, not short-term in there. So each
[16:51.520 --> 16:56.480]  administration has its own values and interest in there, but overall the United States has built
[16:56.480 --> 17:02.800]  a very robust economy based in many parts on access to water and removal of waste. And those
[17:02.800 --> 17:08.800]  will continue to thrive and survive these pivotations. That said, it is important to realize
[17:08.800 --> 17:15.120]  that there are federal regulations that allow us to drive both improving economic and public health
[17:15.120 --> 17:18.000]  sectors. And this is an important thing to continue to consider.
[17:20.000 --> 17:25.600]  Do you think that we are correctly or adequately addressing the fact that water is not an
[17:25.600 --> 17:30.160]  endlessly renewable resource, even there are obviously parts of the world, but certainly parts of
[17:30.160 --> 17:34.720]  America, that are experiencing real water shortages and some of them are permanent in nature?
[17:34.720 --> 17:38.880]  Are we on top of that issue as a live fact that we could have to deal with in our lifetime?
[17:40.240 --> 17:44.880]  I don't think we're quite there yet. Obviously certain states, California, for example,
[17:44.880 --> 17:50.480]  Arizona and even Florida are pushing water reuse. That's this idea that we can consider this as
[17:50.480 --> 17:55.040]  not a one-off. You can't just take water use it for one thing and discard it. We have to consider
[17:55.040 --> 17:59.840]  part of our entire system. And we can all do better. Here in the East Coast, we've considered to have
[17:59.840 --> 18:04.960]  lots of water, but we're underwater stress as well. So across the country, we need to continue to
[18:04.960 --> 18:11.360]  drive innovation and innovative ways that will improve not only water availability, but the business
[18:11.360 --> 18:16.720]  sectors, reduction of water use, and there's a market to be made in this. As we go forward,
[18:16.720 --> 18:22.720]  we have to be engaged in a way that can be proactive to produce high quality water still relying
[18:22.720 --> 18:28.320]  on basic public health principles. At the end of the day, we'll all come down to cost,
[18:28.320 --> 18:33.360]  right? How much it would cost to actually make all of these improvements? Where were those funds
[18:33.360 --> 18:38.480]  come from? Yeah, that's a challenging question. What sadly happened is over the decades,
[18:38.480 --> 18:44.080]  we've ignored the true value of water. We built these pipes hundreds of years ago, decades ago,
[18:44.080 --> 18:48.640]  and then we haven't valued what it means to maintain that high quality water because the pipes are
[18:48.640 --> 18:53.440]  hidden underground. Now raising water bills is an important part of that, but a tear of structures
[18:53.440 --> 18:58.480]  important. We also need to consider that there's a business approach to this as well. At the government
[18:58.480 --> 19:03.600]  level, we do need to invest this. There's ideas of an infrastructure. You see the roads. You see the
[19:03.600 --> 19:09.280]  bridges, but within our pipe system, we have a need, and there's jobs to be made in this,
[19:09.280 --> 19:14.000]  to push forward the resources that are allowed to have a thriving or competent economy.
[19:14.000 --> 19:21.200]  The American City of Ingenir Society has estimated that there's going to be a cost to the
[19:21.200 --> 19:29.440]  households of $46 billion over seven years, and to the business sector, $440 billion. But there's
[19:29.440 --> 19:36.320]  also ways that we can have higher quality water that can improve both resources and provide jobs.
[19:36.320 --> 19:41.600]  It's estimated that 1.1 million jobs could be provided by having the sector be part of that
[19:41.600 --> 19:46.800]  economic thriving. Professor, thank you very much for joining us today. Kelle Chowab from
[19:46.800 --> 19:50.560]  the Johns Hopkins Bloomberg School of Public Health, the Bloomberg School of Public Health,
[19:50.560 --> 19:54.560]  a supporter by Michael Bloomberg, founder of Bloomberg L.P. and Bloomberg Philanthropies.
[19:55.120 --> 19:59.120]  Coming up, we take a deeper look into the cancellation of the Mobile World Congress,
[19:59.120 --> 20:02.880]  the impact of the coronavirus continues to spread. This is Bloomberg.
[20:29.200 --> 20:34.720]  Over a half a million satisfied customers, preserve your memories today. Visit LegacyBox.com
[20:34.720 --> 20:51.600]  and get 40% off. That's LegacyBox.com.
[21:04.720 --> 21:15.680]  Okay. That was the trade idea of my firm. Same old lines. I mean, show me some technical
[21:15.680 --> 21:19.920]  indicators, proprietary research, something. That's why I like Schwab. They help look out for
[21:19.920 --> 21:20.960]  your blind spots.
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[22:12.640 --> 22:15.120]  This is Bloomberg markets. I'm Amanda Langan-Turonto.
[22:15.120 --> 22:21.840]  And I'm Sharia on the New York. GSMA is canceling the Mobile World Congress in Barcelona 2020 due to
[22:21.840 --> 22:27.840]  global concern over the coronavirus outbreak. GSMA CEO John Hoffman says the spread of the deadly
[22:27.840 --> 22:32.320]  virus makes it impossible to hold the event for more. We welcome our government of Bloomberg
[22:32.320 --> 22:37.280]  technology from Los Angeles Mark. So was this just inevitable given the number of companies
[22:37.280 --> 22:41.680]  that are ready to pull down, including those carriers who are supposed to be the buyers at this
[22:41.680 --> 22:48.160]  trade show, right? Exactly. Inbetable is the best way to explain it. We've been anticipating this
[22:48.160 --> 22:53.520]  for the past few days. You've had basically every major player who would have been at the conference
[22:53.520 --> 23:00.480]  of Barcelona either pulling out or pressuring the GSMA, the parent company of this MWC conference.
[23:00.480 --> 23:07.760]  To pull out, we saw Sprint in 18T yesterday, Qualcomm, it was just awaiting this announcement to happen.
[23:07.760 --> 23:12.560]  They're one of the bigger players there. Some of the companies like Samsung and Huawei,
[23:12.560 --> 23:18.240]  privately have scaled back which executives they were going to send. You saw calendar invites
[23:18.240 --> 23:23.360]  being canceled for meetings that were being set up. So this was bound to happen. And for sure,
[23:23.360 --> 23:28.160]  the right decision because they really had no other option. The other side of this, however,
[23:28.160 --> 23:32.560]  is the significant economic impact this is going to have on the city of Barcelona,
[23:33.120 --> 23:38.400]  which has been preparing to host this thing for several months now. Industry there, hotels,
[23:38.400 --> 23:42.640]  restaurants, different activities. People would be engaging with from this conference.
[23:42.640 --> 23:47.440]  But also the budgets that were set aside by these companies in order to put on this conference
[23:47.440 --> 23:50.480]  in attendance conference. Now that all has to be worked out as well.
[23:52.080 --> 23:56.240]  So obviously the recent direct pain as you know to Barcelona or the conference organizers,
[23:56.240 --> 24:00.080]  maybe some savings on the part of the businesses that don't go. But what are some of the
[24:00.080 --> 24:05.120]  intangibles impacts here, Mark, of the collaborations that don't happen, the sales that don't
[24:05.120 --> 24:08.160]  get made, the ideas that don't get sparked. How do we measure any of that?
[24:09.040 --> 24:13.440]  Yeah, I mean immediately the way to measure this is basically these are a bunch of business
[24:13.440 --> 24:18.080]  deals and meetings that would just not happen otherwise. But you know, on the other side of the
[24:18.080 --> 24:23.280]  calling, it's 2020, right? But that means is a lot of these important meetings are likely to get
[24:23.280 --> 24:28.720]  rescheduled pretty quickly, whether that's via conference call or phone call or meetings elsewhere.
[24:28.720 --> 24:34.640]  The good news is travel and digital communication is so simple these days. So my wager would be
[24:34.640 --> 24:39.360]  if there was to be a super critical meeting between a company and a partner, it's going to happen
[24:39.360 --> 24:44.080]  anyways one way or another. So I don't think the impact is that severe if you really sit down
[24:44.080 --> 24:49.680]  and think about it on that aspect. My German Bloomberg technology, thank you very much for joining
[24:49.680 --> 24:55.600]  us with the latest on the cancellation of the Mobile World Congress in Barcelona. And Amanda,
[24:55.600 --> 25:01.360]  it was a great day to be Korean when I saw the Paraside made history at the Oscars this week.
[25:01.360 --> 25:08.000]  They want that coveted best picture of war at the first ever in the Oscars history given
[25:08.000 --> 25:13.440]  that it was a foreign language film, right? So it was really an amazing day, but it wasn't just
[25:13.440 --> 25:18.480]  whom you know that the director of their celebrating was also a Korean hedge fund investing around
[25:18.480 --> 25:23.600]  $500,000 in the film. And remember, there's only cost 11 million to make, but then you break
[25:23.600 --> 25:32.880]  $165 million. So given how the type of reception that it's received, you can just imagine
[25:32.880 --> 25:37.600]  how well the hedge fund could do. And this GTV chart on the Bloomberg was showing you that
[25:38.160 --> 25:43.760]  patterns on the wasser of this film of the game, what like 90% of this week. Take a look at that.
[25:43.760 --> 25:49.440]  Amazing. A lot of people who had the potential to help by distribute this film and passed on it,
[25:49.440 --> 25:56.000]  of course, now kicking themselves. Share it to Canadians about 22 hours to make a claim to this film.
[25:56.000 --> 26:01.040]  One of the actors, the guy that plays the son is actually Korean Canadian. He spent some of his
[26:01.040 --> 26:05.520]  childhood here at one university here, so we're claiming a piece of this, too. We're both our.
[26:05.520 --> 26:10.960]  It's the world of Bloomberg. Remember Bloomberg users can interact with all the charts to see
[26:10.960 --> 26:33.200]  other network. GTV Go is your function from Toronto and New York. This is Bloomberg.
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[29:20.960 --> 29:25.440]  I'm Mark Crumpton with Bloomberg's first word news. A global health official says it's
[29:25.440 --> 29:30.880]  quote way too early to try to predict the beginning of the end of the virus outbreak that
[29:30.880 --> 29:36.400]  began in China. Dr. Mike Ryan spoke in a news conference today at World Health Organization
[29:36.400 --> 29:41.920]  Headquarters in Geneva, but he added that it is reassuring that the number of daily cases
[29:41.920 --> 29:47.120]  appears to be stabilizing. That's too mainly to China's huge public health operation,
[29:47.120 --> 29:52.960]  which has placed 60 million people under a lockdown. Former Massachusetts Governor
[29:52.960 --> 29:58.160]  Devol Patrick has drums after Patrick failed to secure 1% of the vote in the new Hampshire
[29:58.160 --> 30:02.880]  primary. He entered the Democratic race just three months across the country, focusing some
[30:02.880 --> 30:07.840]  of his energy on South Carolina, where he hoped to cut into Joe Biden's support among African
[30:07.840 --> 30:13.440]  Americans. What his campaign never caught fire and he didn't qualify for any of the presidential
[30:13.440 --> 30:19.520]  debates. House Republicans boycotted an intelligence committee hearing today as hard feelings
[30:19.520 --> 30:24.720]  remain following President Trump's impeachment. Congressman Devin Nunez, the panel's ranking
[30:24.720 --> 30:30.080]  Republican, complained in a letter to intelligence chairman Adam Schiff that under his leadership
[30:30.080 --> 30:53.700]  the committee called as...