Transcripts For BLOOMBERG Bloomberg Markets Americas 2024071

After china said the trade negotiators reached consensus on certain issues. We stay real estate and Consumer Discretionary leading the gains on the s p 500. Drugmakers are losing ground. Hitting session lows. This after a report that federal prosecutors part of a criminal investigation into whether pharmaceutical Companies Intentionally let opioids like communities. All of them the most since august. Falling the most since august. Amanda one read on the economy that could be a good sign ahead of the shopping season, new home sales running at the fastest pace in about 12 years. Data from the Commerce Department from october showing on an annualized basis, 733,000 new homes sold. That is the fastest pace since prior to the credit crisis. Obviously, we have low mortgage also sentiment. Even though we got a read today that was not particularly strong for the u. S. Consumer. We do have shares of best buy surging because it posted data topping estimates in its most recent quarter. It raised its fullyear outlook as well. They joined the likes of target, lowes. The big test ahead of them is the Holiday Shopping season that kicks off on friday. Michael baker is with us now from boston. Lets start with the big picture. We got this read on Consumer Confidence that was not right. What are you looking for this Holiday Season, should it be a good one . Achael we think it will be good holiday selling season, good momentum heading into the season. Retail sales have been accelerating all year. Back to school was strong, and that tends to be a leading indicator. You have the issue of six fewer days between thanksgiving and christmas, which some retailers have called up. What we have seen is while that my have a small impact, there are much more important factors like the health of the consumer around the Holiday Season. In general, we are pretty terms of retail sales and Consumer Spending the season. Shery best buy surprising on the upside. We continue to see a bifurcated retail industry. Who will be the winners and losers the season . Michael it is a bifurcated landscape. Go a thirdtually category in there as well which we refer to as a turnaround story. We think retailers will win this Holiday Season. Target is a name that we are recommending. Shery best buy surprising on the upside. Walmart is another one that we think is doing well. Dicks Sporting Goods had a greater Earnings Report this morning. They have some momentum behind them. Best buy sales are chugging along nicely. What would you put in the turnaround category, michael . Michael i think you could talk about dicks as a turnaround story. Another one that reported this morning, we would put that in the category as they tried to close the margin gap relative to the industry leaders, t. J. Maxx and ross. We think that is an area that see good sales this Holiday Season as well. Lowes, we would refer to as a turnaround story, see good sales Holiday Season as well. As they try to close the gap with home depot. Getting onon platforms as part of their black friday campaign. How intense is ecommerce competition going now that you have to get Chinese Shoppers into play . Mostly around the Holiday Season, ecommerce is a part of that. We think that will continue. We have seen a couple of things as it relates to black friday. Promotional intensity is starting earlier and earlier every year. A lot of it now is coming online. It is not just black friday anymore, cyber monday, and those deals continue up into the christmas holiday. Retailers are better at delivery, which means they can take online orders closer to a holiday. We expect a promotional environment. In some ways, that is not than its been over the last couple of years. Amanda interesting to note, although it may be a good printer for retailers if sales are strong, it is not good to own the stock. They dont tend to do well especially in december. What is your thinking around Retail Stocks . Michael in a report we put out as they, we refer to it day formally known as black friday. That day has become less important to shoppers as promotional activity has been spread out starting as early as october. As it relates to the stocks during the Holiday Season, we pointed out, it is not a great time to own Retail Stocks, at least between thanksgiving and yearend. Retail tends to underperform during that timeframe. Interestingly, the more a Company Makes in terms of their annual operating profit dollars during the Holiday Season, the more volatile the stock can be. A lot of times, it ends up being an underperformer. On the other hand, home depot, lowes, who make money in the theyg from auto parts, tend to outperform in that time of year because there is less risk. We refer as the day formally known as black to it as the silly season around the holidays. Saturday,s snow on a or if somebody on tv sees an advertisement, they may panic and think things are not going well, and then stocks are volatile around Little Things that people see in the marketplace. We call that the silly season because we have outside moves in stocks, in some cases, for no good reason. Shery michael baker, thank you. Lets turn to the bond market. Yieldas the year the curve went mainstream. The inversion happening for the First Time Since before the last financial crisis in 2007, sending investors a stark recession morning. 20 is shaping up to be a welcome return to perhaps normality. Joining us with the story is sarah ponczek. Great to have you with us. Illustrates the landscape of what has happened since august of last year. Expects wall street now steeper yield curves for 2020 . Sarah this was a great story from our fx and rates team. The yield curves sending recession signal is so last year. If you talk to different portfolio managers, what they found was many are actually putting my to work for a steeper yield curve next year. Blackrock,t is mutual asset management. If you look at the short end of the yield curve, Monetary Policy is likely on hold. The fed has said many times including last night that policy is in a good place. Very unlikely Monetary Policy is going to shift in any way, shape, or form, unless their outlook changes. If you look further out on the curve, look at theif you look af the yield 10year, that is starting to be driven by Growth Prospects and inflation going forward. As risks falloff, whether that is trade between the u. S. And china, brexit, also some Economic Data starting to stabilize its some say that we will see a pickup, we should see the yield curve start to steepen. Amanda its been interesting to talk to some people because it is hard to find people predicting recession. However, there are endless out there, including bloomberg, who say the bond market is possibly predicting recession, but is just looking beyond it. Equity markets dont tend to do that. Could there still be a reckoning that the inverted curve did warn us about . Sarah there could be. We have seen the spread between 2s and 10s steepening. Nine straight days, the longest streak since 2015. Even though we are seeing a steepening in that portion of the curve, you look at the spread between threemonth and fiveyear treasuries, we saw a brief inversion again today. Harvey hecam wrote a dissertation on this years ago. It was one of the first times the yield curve was warned as a recession signal. Ne did see a bit of a inversion today. A lot of the Growth Prospects for next year, a lot of people who say the risks have fallen off, they are talking about the prospects for a phase one trade deal. Although people feel better about the prospects at this point in time than they did two months ago, we are still not there yet. There is still a possibility that something comes up and we dont get it. Those companies, blackrock, you mentioned morgan stanley, how are they positioning for this potential steepening of the yield curve . Sarah they are positioning in year part of the curve. Morgan stanley also saying they are positioning in the same sense but with german bunds. Short and belly of the curve and all the way to the back end of the curve. Amanda sarah ponczek, great to have you with us. Now to Mark Crumpton with first word. Powerfulalbania, a earthquake has killed at least 14 people and injured more than 600. It had a magnitude of 6. 4. It collapsed at least three apartment buildings and was felt across the southern balkans. China and the United States are inching their way forward on the first phase of a trade deal. Beijing says the two sides have reached consensus on properly resolving relevant issues. President trump said a short ine ago that the u. S. Is the final throes of its attempt to reach a deal. Mr. Trump also says he stands with the people of hong kong. Meanwhile, shares of alibaba jumped in their hong kong debut. That caps a landmark sale that unfolded during violent antigovernment protests. It is hong kongs biggest stock listing this year, and the strong showing is a triumph for alibaba and the hong kong exchange. Jerome powell says the u. S. More than halfes full and predict that with the right policies, the benefits can be spread more broadly to all americans. At the same time, chairman powell signaled Interest Rates would probably remain on hold. Global news 24 hours a day, onair, and tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. Im Mark Crumpton. This is bloomberg. Up, striking a deal. Canada does largest Railroad Operator and the union have reached a tentative agreement after a weeklong strike threatened multibillions of dollars. This is bloomberg. Shery this is bloomberg markets. Im shery ahn in new york. Amanda im amanda lang in toronto. Back on the rails. Canadian National Railway has reached a tentative agreement the Union Representing more than 3000 of its workers. Canadian national is canadas largest Railroad Operator. Capacity was drastically reduced during the weeklong strike, and the effects will be ongoing. Page ellis is with us now. Great relief to have it finished, but interesting to see an industry, sector after are glad theg we pain is over but it will continue. How hard was it to get a deal . Very hard. A week is a decades length. 2009 was the last time we saw one even approach this length. In this case, what was interesting, what a difference. 4 hours make. Yesterday, my sources were suggesting they were no closer to reaching a deal then when the strike began. This morning, we learned they were making progress, and that the deal was announced. My understanding is they worked overnight to hash out the deal. The terms have not been closed, they are waiting for the deal to be ratified to unveil those details. Shery what has been the domino effect coming from this strike . We know this is not like a light switch. This has been discussed a lot today. You cannot just suddenly get the railways up and running just like that. There will be some lag time. We are hearing as long as a few weeks to toward the end of the year before everything is back up to normal. One week of ae strike, there is a lot of backlog. Cn rail will be prioritizing some freight over others. It is unclear how they will determine which is prioritized, certainly propane will be near the top of the list. Amanda we were talking with some out there who benefited, and the call is on for this Transportation Network to be deemed an essential service, in other words, not to allow strikes in the future. Is that something that they will have to do with heading into the new year . Tricky question, they know they have the right to strike. As you say, there have been calls to deem this essential service so they will not strike. The government did not take the step of introducing back to work legislation. That was a controversial move in some circles, some politicians specifically in crudeheavy alberta were quick to fall on the government to reduce that. Cn rail did not say anything about the prospect of turning this into an essential service. We know that the union would not want that to happen. Today, they thanked the federal government for not stepping in, and as they put it, for respecting the workers rights to strike, which previous governments in canada have been quick to introduce legislation to force workers back on the job. Shery we know canada has all of them and cant in the middle of u. S. China trade tensions. How big of an impact will this have on the economy . We are hearing this will clip november costs gdp by 0. 1 . In december, it is supposed to catch up. That is a far cry from earlier predictions that if this would go to december when the parliament here in canada is set to convene, the impact on the economy could be upwards of 3 billion. Ot of aggressive relief breaths of relief today, but certainly have not seen the end on the impact on the canadian economy because there will be a ketchup. Shery paige ellis, thank you. At the box office it is ford versus firmly ferrari but on twitter it is ford versus tesla. Series has topped the charts as the bestselling vehicle in the u. S. For more than 30 years. Now ford is giving its iconic pickup an ev upgrade as part of its investment into a notification. We have been making sure that the time was right. We are leaning into our iconic name plates. The mustang extension of the brand here. We wanted to get the cost right, get the right mix, and get the charging network right. Amanda elon musk took to cybertrucksay his andbetter than the f150 posted a video of his truck pulling a 150 up the hill. The and posted a video ford vice presidt challenged musk to an apples to apples all fourwheeldrive comparison. Elons response, bring it on. Shery coming up, soft egg under scrutiny. Why are counting practices are coming into question. Will go into detail next. This is bloomberg. Is is bloomberg. Amanda this is bloomberg markets. Im amanda lang in toronto. Shery im shery ahn in new york. Fall from grace, Softbank Haas Accounting Practices are drawn scrutiny. Investors want to know what is behind the rising star evaluations. Here to explain is serving ride from san francisco. Fiasco, it isrk not surprising the strategy is under fire. Tell us how he is valuing these companies. There are two main times that sought bank will value a Startup Company softbank will value a start up company. One is when it makes its initial startup, and that is when you see the initial had lines. Softbank investing at a 30 billion valuation. To other time it has evaluate a company is every quarter, when it is trying to deliver its Quarterly Financial results. Those are the results that draw a little bit less scrutiny but perhaps have the bigger impact on the company. Amanda lets talk about obviously, softbank has heard from some of its investors. Is the concern not that it had a big blowup, which it did. That happens in venture. Is the concern that it goes into a more systemic practice, that it has a problem with its valuation that investors are now worried about . When you see one flame out like that, you have to wonder how they are valuing the other late stage startups on their books. It is a great question. Valued in very different ways, a lot of different factors that go into it. Maybe it is overvaluing some of the other startups. Maybe it is undervaluing some of them. Who knows . It is more art than science. , it a lot of venture firms is running into difficulties. Shery to your point, is this ofe of an issue with the era unprecedented speculation on unicorns when it comes to valuing these companies and the accounting rules they must follow . I would say the accounting rules are incredibly out of date. Unicornto be these companies were so rare, it didnt really matter. 300 unicorns,er and in the case of softbank, their values are being reflected yspublicly traded compani Balance Sheets p and we have to come up with a better way to value them. Right now theyre all kinds of different and accepted practices. You can look at the cons of publicly traded companies, you can see to see what the last investment round was, how many investors were in it, how much they invested, or you can try to predict the cash flow in the future of the company, or you can do some sort of mishmash of those techniques. Maybe there needs to be more rigor run the process. Amanda definitely an evolving story. Sarah mcbride, thank you. A reminder to bloomberg users, you can interact with all the charts that you see on the network. Your function is gtv. From toronto and new york, this is bloomberg. Everyone uses their phone differently. Thats why Xfinity Mobile lets you design your own data. You can share 1, 3, or 10 gigs of data between lines, mix in lines of unlimited, and switch it up at any time. All with millions of secure wifi hotspots and the best lte everywhere else. Its a different kind of wireless network, designed to save you money. Switch and save up to 400 a year. And now get 250 off google pixel 4 during Xfinity Mobile beyond black friday. Thats simple. Easy. Awesome. Click, call or visit a store today. Mark President Trump says the United States stands with the people of hong kong and wants to see democracy. President made remarks during an oval office event citing an order addressing violence against native american women. The president added he has a Consumer Discretionary<\/a> leading the gains on the s p 500. Drugmakers are losing ground. Hitting session lows. This after a report that federal prosecutors part of a criminal investigation into whether pharmaceutical Companies Intentionally<\/a> let opioids like communities. All of them the most since august. Falling the most since august. Amanda one read on the economy that could be a good sign ahead of the shopping season, new home sales running at the fastest pace in about 12 years. Data from the Commerce Department<\/a> from october showing on an annualized basis, 733,000 new homes sold. That is the fastest pace since prior to the credit crisis. Obviously, we have low mortgage also sentiment. Even though we got a read today that was not particularly strong for the u. S. Consumer. We do have shares of best buy surging because it posted data topping estimates in its most recent quarter. It raised its fullyear outlook as well. They joined the likes of target, lowes. The big test ahead of them is the Holiday Shopping<\/a> season that kicks off on friday. Michael baker is with us now from boston. Lets start with the big picture. We got this read on Consumer Confidence<\/a> that was not right. What are you looking for this Holiday Season<\/a>, should it be a good one . Achael we think it will be good holiday selling season, good momentum heading into the season. Retail sales have been accelerating all year. Back to school was strong, and that tends to be a leading indicator. You have the issue of six fewer days between thanksgiving and christmas, which some retailers have called up. What we have seen is while that my have a small impact, there are much more important factors like the health of the consumer around the Holiday Season<\/a>. In general, we are pretty terms of retail sales and Consumer Spending<\/a> the season. Shery best buy surprising on the upside. We continue to see a bifurcated retail industry. Who will be the winners and losers the season . Michael it is a bifurcated landscape. Go a thirdtually category in there as well which we refer to as a turnaround story. We think retailers will win this Holiday Season<\/a>. Target is a name that we are recommending. Shery best buy surprising on the upside. Walmart is another one that we think is doing well. Dicks Sporting Goods<\/a> had a greater Earnings Report<\/a> this morning. They have some momentum behind them. Best buy sales are chugging along nicely. What would you put in the turnaround category, michael . Michael i think you could talk about dicks as a turnaround story. Another one that reported this morning, we would put that in the category as they tried to close the margin gap relative to the industry leaders, t. J. Maxx and ross. We think that is an area that see good sales this Holiday Season<\/a> as well. Lowes, we would refer to as a turnaround story, see good sales Holiday Season<\/a> as well. As they try to close the gap with home depot. Getting onon platforms as part of their black friday campaign. How intense is ecommerce competition going now that you have to get Chinese Shoppers<\/a> into play . Mostly around the Holiday Season<\/a>, ecommerce is a part of that. We think that will continue. We have seen a couple of things as it relates to black friday. Promotional intensity is starting earlier and earlier every year. A lot of it now is coming online. It is not just black friday anymore, cyber monday, and those deals continue up into the christmas holiday. Retailers are better at delivery, which means they can take online orders closer to a holiday. We expect a promotional environment. In some ways, that is not than its been over the last couple of years. Amanda interesting to note, although it may be a good printer for retailers if sales are strong, it is not good to own the stock. They dont tend to do well especially in december. What is your thinking around Retail Stocks<\/a> . Michael in a report we put out as they, we refer to it day formally known as black friday. That day has become less important to shoppers as promotional activity has been spread out starting as early as october. As it relates to the stocks during the Holiday Season<\/a>, we pointed out, it is not a great time to own Retail Stocks<\/a>, at least between thanksgiving and yearend. Retail tends to underperform during that timeframe. Interestingly, the more a Company Makes<\/a> in terms of their annual operating profit dollars during the Holiday Season<\/a>, the more volatile the stock can be. A lot of times, it ends up being an underperformer. On the other hand, home depot, lowes, who make money in the theyg from auto parts, tend to outperform in that time of year because there is less risk. We refer as the day formally known as black to it as the silly season around the holidays. Saturday,s snow on a or if somebody on tv sees an advertisement, they may panic and think things are not going well, and then stocks are volatile around Little Things<\/a> that people see in the marketplace. We call that the silly season because we have outside moves in stocks, in some cases, for no good reason. Shery michael baker, thank you. Lets turn to the bond market. Yieldas the year the curve went mainstream. The inversion happening for the First Time Since<\/a> before the last financial crisis in 2007, sending investors a stark recession morning. 20 is shaping up to be a welcome return to perhaps normality. Joining us with the story is sarah ponczek. Great to have you with us. Illustrates the landscape of what has happened since august of last year. Expects wall street now steeper yield curves for 2020 . Sarah this was a great story from our fx and rates team. The yield curves sending recession signal is so last year. If you talk to different portfolio managers, what they found was many are actually putting my to work for a steeper yield curve next year. Blackrock,t is mutual asset management. If you look at the short end of the yield curve, Monetary Policy<\/a> is likely on hold. The fed has said many times including last night that policy is in a good place. Very unlikely Monetary Policy<\/a> is going to shift in any way, shape, or form, unless their outlook changes. If you look further out on the curve, look at theif you look af the yield 10year, that is starting to be driven by Growth Prospects<\/a> and inflation going forward. As risks falloff, whether that is trade between the u. S. And china, brexit, also some Economic Data<\/a> starting to stabilize its some say that we will see a pickup, we should see the yield curve start to steepen. Amanda its been interesting to talk to some people because it is hard to find people predicting recession. However, there are endless out there, including bloomberg, who say the bond market is possibly predicting recession, but is just looking beyond it. Equity markets dont tend to do that. Could there still be a reckoning that the inverted curve did warn us about . Sarah there could be. We have seen the spread between 2s and 10s steepening. Nine straight days, the longest streak since 2015. Even though we are seeing a steepening in that portion of the curve, you look at the spread between threemonth and fiveyear treasuries, we saw a brief inversion again today. Harvey hecam wrote a dissertation on this years ago. It was one of the first times the yield curve was warned as a recession signal. Ne did see a bit of a inversion today. A lot of the Growth Prospects<\/a> for next year, a lot of people who say the risks have fallen off, they are talking about the prospects for a phase one trade deal. Although people feel better about the prospects at this point in time than they did two months ago, we are still not there yet. There is still a possibility that something comes up and we dont get it. Those companies, blackrock, you mentioned morgan stanley, how are they positioning for this potential steepening of the yield curve . Sarah they are positioning in year part of the curve. Morgan stanley also saying they are positioning in the same sense but with german bunds. Short and belly of the curve and all the way to the back end of the curve. Amanda sarah ponczek, great to have you with us. Now to Mark Crumpton<\/a> with first word. Powerfulalbania, a earthquake has killed at least 14 people and injured more than 600. It had a magnitude of 6. 4. It collapsed at least three apartment buildings and was felt across the southern balkans. China and the United States<\/a> are inching their way forward on the first phase of a trade deal. Beijing says the two sides have reached consensus on properly resolving relevant issues. President trump said a short ine ago that the u. S. Is the final throes of its attempt to reach a deal. Mr. Trump also says he stands with the people of hong kong. Meanwhile, shares of alibaba jumped in their hong kong debut. That caps a landmark sale that unfolded during violent antigovernment protests. It is hong kongs biggest stock listing this year, and the strong showing is a triumph for alibaba and the hong kong exchange. Jerome powell says the u. S. More than halfes full and predict that with the right policies, the benefits can be spread more broadly to all americans. At the same time, chairman powell signaled Interest Rates<\/a> would probably remain on hold. Global news 24 hours a day, onair, and tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. Im Mark Crumpton<\/a>. This is bloomberg. Up, striking a deal. Canada does largest Railroad Operator<\/a> and the union have reached a tentative agreement after a weeklong strike threatened multibillions of dollars. This is bloomberg. Shery this is bloomberg markets. Im shery ahn in new york. Amanda im amanda lang in toronto. Back on the rails. Canadian National Railway<\/a> has reached a tentative agreement the Union Representing<\/a> more than 3000 of its workers. Canadian national is canadas largest Railroad Operator<\/a>. Capacity was drastically reduced during the weeklong strike, and the effects will be ongoing. Page ellis is with us now. Great relief to have it finished, but interesting to see an industry, sector after are glad theg we pain is over but it will continue. How hard was it to get a deal . Very hard. A week is a decades length. 2009 was the last time we saw one even approach this length. In this case, what was interesting, what a difference. 4 hours make. Yesterday, my sources were suggesting they were no closer to reaching a deal then when the strike began. This morning, we learned they were making progress, and that the deal was announced. My understanding is they worked overnight to hash out the deal. The terms have not been closed, they are waiting for the deal to be ratified to unveil those details. Shery what has been the domino effect coming from this strike . We know this is not like a light switch. This has been discussed a lot today. You cannot just suddenly get the railways up and running just like that. There will be some lag time. We are hearing as long as a few weeks to toward the end of the year before everything is back up to normal. One week of ae strike, there is a lot of backlog. Cn rail will be prioritizing some freight over others. It is unclear how they will determine which is prioritized, certainly propane will be near the top of the list. Amanda we were talking with some out there who benefited, and the call is on for this Transportation Network<\/a> to be deemed an essential service, in other words, not to allow strikes in the future. Is that something that they will have to do with heading into the new year . Tricky question, they know they have the right to strike. As you say, there have been calls to deem this essential service so they will not strike. The government did not take the step of introducing back to work legislation. That was a controversial move in some circles, some politicians specifically in crudeheavy alberta were quick to fall on the government to reduce that. Cn rail did not say anything about the prospect of turning this into an essential service. We know that the union would not want that to happen. Today, they thanked the federal government for not stepping in, and as they put it, for respecting the workers rights to strike, which previous governments in canada have been quick to introduce legislation to force workers back on the job. Shery we know canada has all of them and cant in the middle of u. S. China trade tensions. How big of an impact will this have on the economy . We are hearing this will clip november costs gdp by 0. 1 . In december, it is supposed to catch up. That is a far cry from earlier predictions that if this would go to december when the parliament here in canada is set to convene, the impact on the economy could be upwards of 3 billion. Ot of aggressive relief breaths of relief today, but certainly have not seen the end on the impact on the canadian economy because there will be a ketchup. Shery paige ellis, thank you. At the box office it is ford versus firmly ferrari but on twitter it is ford versus tesla. Series has topped the charts as the bestselling vehicle in the u. S. For more than 30 years. Now ford is giving its iconic pickup an ev upgrade as part of its investment into a notification. We have been making sure that the time was right. We are leaning into our iconic name plates. The mustang extension of the brand here. We wanted to get the cost right, get the right mix, and get the charging network right. Amanda elon musk took to cybertrucksay his andbetter than the f150 posted a video of his truck pulling a 150 up the hill. The and posted a video ford vice presidt challenged musk to an apples to apples all fourwheeldrive comparison. Elons response, bring it on. Shery coming up, soft egg under scrutiny. Why are counting practices are coming into question. Will go into detail next. This is bloomberg. Is is bloomberg. Amanda this is bloomberg markets. Im amanda lang in toronto. Shery im shery ahn in new york. Fall from grace, Softbank Haas<\/a> Accounting Practices<\/a> are drawn scrutiny. Investors want to know what is behind the rising star evaluations. Here to explain is serving ride from san francisco. Fiasco, it isrk not surprising the strategy is under fire. Tell us how he is valuing these companies. There are two main times that sought bank will value a Startup Company<\/a> softbank will value a start up company. One is when it makes its initial startup, and that is when you see the initial had lines. Softbank investing at a 30 billion valuation. To other time it has evaluate a company is every quarter, when it is trying to deliver its Quarterly Financial<\/a> results. Those are the results that draw a little bit less scrutiny but perhaps have the bigger impact on the company. Amanda lets talk about obviously, softbank has heard from some of its investors. Is the concern not that it had a big blowup, which it did. That happens in venture. Is the concern that it goes into a more systemic practice, that it has a problem with its valuation that investors are now worried about . When you see one flame out like that, you have to wonder how they are valuing the other late stage startups on their books. It is a great question. Valued in very different ways, a lot of different factors that go into it. Maybe it is overvaluing some of the other startups. Maybe it is undervaluing some of them. Who knows . It is more art than science. , it a lot of venture firms is running into difficulties. Shery to your point, is this ofe of an issue with the era unprecedented speculation on unicorns when it comes to valuing these companies and the accounting rules they must follow . I would say the accounting rules are incredibly out of date. Unicornto be these companies were so rare, it didnt really matter. 300 unicorns,er and in the case of softbank, their values are being reflected yspublicly traded compani Balance Sheets<\/a> p and we have to come up with a better way to value them. Right now theyre all kinds of different and accepted practices. You can look at the cons of publicly traded companies, you can see to see what the last investment round was, how many investors were in it, how much they invested, or you can try to predict the cash flow in the future of the company, or you can do some sort of mishmash of those techniques. Maybe there needs to be more rigor run the process. Amanda definitely an evolving story. Sarah mcbride, thank you. A reminder to bloomberg users, you can interact with all the charts that you see on the network. Your function is gtv. From toronto and new york, this is bloomberg. Everyone uses their phone differently. Thats why Xfinity Mobile<\/a> lets you design your own data. You can share 1, 3, or 10 gigs of data between lines, mix in lines of unlimited, and switch it up at any time. All with millions of secure wifi hotspots and the best lte everywhere else. Its a different kind of wireless network, designed to save you money. Switch and save up to 400 a year. And now get 250 off google pixel 4 during Xfinity Mobile<\/a> beyond black friday. Thats simple. Easy. Awesome. Click, call or visit a store today. Mark President Trump<\/a> says the United States<\/a> stands with the people of hong kong and wants to see democracy. President made remarks during an oval office event citing an order addressing violence against native american women. The president added he has a Good Relationship<\/a> with chinese president xi. He referred to a phase i proposal as one of the most important deals in trade, ever. Hong kong leader carrie lam didnt make any new concessions in her first comments. Speaking to reporters, she did acknowledge the vote reflected happiness with the current government and she called for peaceful discussions. Priority for us now is to properly follow up on actions proposed including community dialogue. After five or six months, hong kong people realized that hong kong can no longer tolerate this chaotic situation. Everybody wants to go back to their normal life","publisher":{"@type":"Organization","name":"archive.org","logo":{"@type":"ImageObject","width":"800","height":"600","url":"\/\/ia803103.us.archive.org\/10\/items\/BLOOMBERG_20191126_183000_Bloomberg_Markets_Americas\/BLOOMBERG_20191126_183000_Bloomberg_Markets_Americas.thumbs\/BLOOMBERG_20191126_183000_Bloomberg_Markets_Americas_000001.jpg"}},"autauthor":{"@type":"Organization"},"author":{"sameAs":"archive.org","name":"archive.org"}}],"coverageEndTime":"20240716T12:35:10+00:00"}