All sectors are higher, even those companies that are telling us that news, like uber, laying off 3000 people. It is really across the board. Homebuilder confidence that are than last month but still coming in at 37, so still pretty weak. Crude oil just below 32 a barrel. I want to point to the offshore indicator of how the market may be performing. Weaker for the last few days. Lets get a deeper dive into todays Market Action with kailey leinz. Kailey obviously, we have a healthy rally underway. Volume is 20 above average. That indicates there is some conviction here. Bet indicates there not much conviction, the vix. The fewest long contracts, and the fewest short contracts. How toket is not sure price future moves and volatility, even as the vix has fallen by more than half. That index is now at 829 handle. , ifor movers in the markets want to mention moderna. At a 29 handle. Analysts raising their price targets on that. One saying the company could have a potential blockbuster for vaccine sales next year. That is lifting other vaccine peers, novavax. Vir biotechnology. They are advancing technology of two drug candidates based on antibodies. Lots of optimism in biotech lifting the broader markets. When you look at other asset classes, you mentioned oil. Back about 30 a barrel, something we have not seen in two months. That supply and demand picture looking better. Copper futures up by 3 . Summer as well higher by 2. 6 . Silver as well higher by 2. 6 . The 10 year yield of six basis points, now at 70 basis points. Vonnie still in that range. Thank you, kailey leinz. Joining us now for more analysis is gentrust principal elena hernandez. I want to ask you about gold. It has been creeping up. We are off of our highs but still at 1730 an ounce. What does it say to you that there is so much demand for gold . Elena in our portfolios, we do different stress tests of different risks, paths forward in the market. Gold is usually the bestperforming asset. That is why you have this increase. We added gold to our portfolios in march, and we stayed steady with that, but that is the reason behind the price increase. Vonnie with a few days of equity gains, is there a change in tone in the markets, or is this just more volatility . Elena i think the market is welcoming the better news we got today from moderna, having the successful earlystage trial. Astrazeneca also talking about vaccine progress in the u. S. Jerome powell, strong statements about what they would do to support the economy. Out to different places, showing the confidence they have in it economy. Demand back toe prelockdown levels. I do think there are two realities we need to be careful about watching, the virus and the economy. We have good news on the virus front today but we have to see what we will continue to see in treatment or vaccine production. We have to see how quickly the economy can recover. What is important for investors is to have both outcomes, so they dont have too much risk, if things turn out worse, but also that we can benefit from the rally going forward. Vonnie lots of positive stories, elements, but each one of them comes with a heightened risk in the era of coronavirus. How do you price risk today . Elena we will continue monitoring all of the news coming out in regard to coronavirus itself, potential longterm effects this may have , and on the potential openings of the economy. We have not seen the full extent of what a reopening would have in terms of economic and business pick up. Just a couple of days here in the u. S. We have seen cases increase in other places of the world where they have reopened, so we have to keep that in mind. Welcoming the good news in regards to vaccine, but we still have to keep looking for further future, past information in regards to the economy and economic recovery, not just in the United States, but in the world. Vonnie i know that you like fedbacked assets, but is there a limit . How much were ordered are you getting for buying into an asset class that the fed is 100 behind . Elena we definitely like the fedbacked asset classes. They have rallied the last few weeks. A risewe have seen in corporate. The fed is not done in their promise supporting the markets, providing for the market. We continue to like that asset class, keep it in our portfolios. Vonnie techfocused stocks, they have been leading the rally as if nothing had happened. Before this, we were in the middle of a huge trade war with china. It didnt look like it was ebbing anytime soon. We switched some of our sector exposure to tech. We think coronavirus has accelerated the trends that were marking the economy. Now you have consumers, if they were not previously online shopping, they are doing that, have learned to do that. You have seen retailers with fake commercial retail space, the old model like jcpenney, neiman marcus, hurting, going into bankruptcy. We see companies realizing they dont need as much commercial real estate they had before and can take advantage of the Technology Upgrades we have had in terms of being able to work from home, work from anywhere pretty much, remotely. We have even seen an increase in shopping for essentials, food and medicine, going online. We like the technology sector. As you mentioned, there is for the uncertainty future in markets because of technology, the chinau. S. Trade war, potential tech bubble. In the case of a second wave of a need to be leveraged, you have to be careful on the potential for an unwind at once. We are managing having positions at the same time, protecting our positions. You, elenank hernandez, gentrust principal. Lets get a check on the first word news with Mark Crumpton. Attorney general william barr says he does not expect the Justice Department to open a criminal investigation into former president obama or his former Vice President joe biden. That despite prodding from President Trump. The attorney general spoke today to reporters in washington. Cannot allow this process to be hijacked by efforts to drum up criminal investigations of either candidate. I am committed that this election will be conducted without this kind of interference. Any effort to pursue an investigation of either candidate has to be approved by me. Trump and hist closest allies have been demanding that democrats be prosecuted for what he calls obamagate. He accuses the administration of working against him and what he calls the biggest scandal in u. S. History. The head of the World Health Organization is promising an independent evaluation of the agencys response to the coronavirus pandemic, after a report raised questions about their Warning System for alerting the world to outbreaks and its role in providing travel countries. O President Trump suspended funding for the who and has been sharply critical of its response to the pandemic. Oil demandas learned in china is almost back to where it was before the coronavirus outbreak. China is the worlds second largest oil consumer. The turnaround has helped to tighten the Petroleum Market sooner than expected. Demand in china plunged 20 after the country went into lockdown in february. Global news 24 hours a day, onair, and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. Im Mark Crumpton. This is bloomberg. Vonnie this is bloomberg markets. Im vonnie quinn. Uber cutting an additional 3000 jobs a day with a total around 6700, or a total of the workforce. This comes as the company has been hammered. Joining us is someone who covers the company for bloomberg news. Any idea what kind of jobs these 3000 do . Are across the company. This is the second round of job has done this month alone in response to the slowing business, because of all the travel restrictions and lockdowns. This was expected. Like you mentioned, 25 of its total workforce. Along with this, the ceo also said uber would be closing or of its offices5 around the globe. Downll also be shutting its investments in moonshot ideas like its a. I. , incubator labs, jobs matching services. Other things are being reevaluated, like autonomous driving. Vonnie are these temporary decisions, with the idea, that if things recover to something akin to what the economy used to look like, that they would start them up again . Is this a permanent shift for uber . Be a permanent thing, these are not furloughs, which would have been an option. Morningt an email this to the company indicating that he has no sense of what the future will hold, so he left it hanging out there whether additional rounds of cuts could be coming in the additional , especiallynths depending on how the country reopens and business resumes, if and when covid dies down. He left that open. Vonnie briefly, the grubhub offer, can that now change . It could. In enough toout employees, amidst all of this ass, he held up uber eats this bright spot of growth, so it definitely increases the pressure to maybe reach a deal with grubhub which has more market share, here in the u. S. The companies have been speaking for over a year to reach a deal. Whether that will come this week, who knows. Next week, who knows. But it definitely shows where ubers priorities are. Vonnie thank you so much. Big headline today, a race for the coronavirus vaccine. The moderna ceo is feeling hopeful with the companys early trial data. Earlier today, we got more details. One is 435 healthy for 35 healthy adults. The next phase, phase two, about 600 subjects, which should start soon. Astra has given us the green light. This morning, we are finalizing the protocol for a phase three, the last part of the study, which we are hoping to start in july of this year. This study would be several thousand healthy subjects across many countries. We are finalizing the protocol as we speak. We are hoping that we can start in july with our plans, after a few months of enrolling people in those studies. In the fall, we should be able to get a good sense of the efficacy of our vaccine, and look to commercial production at the end of the year. Vonnie in terms of data, how many doses doesnt look like the drug will need to be used in . Titles, of antibody what would you want those to be in the u. S. . The positive thing about this triedgs news is, we three varieties. It is typical in phase one were you try different doses to see where you get the best response. We are very pleased to report the first two doses, three weeks in apart, that all microgramss with 25 and 100 micrograms, showed that they had antibodies in their. Lood coming from vaccinations people wholood of were infected, which is what we are shooting for. We are very positive about this data. Guy a couple of questions to follow up. When people get covid19 naturally, do they have immunity once they have had it . You are producing more antibodies than a natural response. I wonder if it is a longevity issue. If you are producing greater antibodies with your therapy, do i get longer immunity, than if i actually got covid19 . That is what we believe. I want to be careful because you report on the virus daily. We are still learning a lot about this virus. All of us have to be cautious about statements that we make about understanding the virology of this virus. We believe if we can boost your ,mmune system to a high level in the blood of people that are convalescent, that should be helpful. We have shown that before. Twoust finished a phase virus,or another nasty especially for women. Hit a woman is infected during pregnancy, she can lose her child, very bad defects on the child. It is the number one cause of birth defects in europe or the u. S. Approved no vaccines on the markets. We can get about 10 times the antibodies higher than those exposed to the virus. We are able to boost the antibodies to provide stronger immunity. That is why we are optimistic. The moderna ceo speaking earlier today. We will be speaking more about vaccine efforts, next. This is bloomberg. Vonnie this is bloomberg markets. Im vonnie quinn. Mark is moving higher on news that an experiment of vaccine from moderna showed promising early signs. We just heard from the ceo who said they hope to start phase three trials by july. Joining us now is dr. Amesh adalija. His work is focused on emerging infectious disease, pandemic preparedness, and bio security. Should we get excited when we hear Something Like this, or should we make sure that we becausehat excitement cu we dont know but we can expect with these vaccines . A little bit of both we are using an Innovative Technology but this is a phase one Clinical Trial that is very small in nature and is designed to show the safety of the approach rather than the efficacy. Phasel need to go through two and phase three trials to get a better idea of what the safety profile is and to see exactly what the antibody levels are. Great news but we have to do more followup before we can really be excited about it. Vonnie obviously, we are seeing more places reopening, social distancing measures may be being relaxed. More businesses opening. Virus gone away, is it safe for any of us to walk withde and participate what is happening outside right now . Dr. Adalija remember, this virus has not magically disappeared. It has established itself within human populations and will be there until we have a vaccine. Social distancing was primarily put into place to make sure our hospitals did not exceed their capacities, like we worried about in new york city, like what happened in northern italy. Now that Hospital Capacity is in a better position, we have to think about our individual risk tolerances, use common sense. Although vulnerable populations, they will probably want to social distancing best they can. For everyone else, they have to look at what is important to them, what is not, and make the best decisions they can do as states reopened. But the virus will still be there, there will be more cases and more debts, but hopefully at a lower rate, so that hospitals are not overwhelmed. Vonnie you say that more interactions will be two more hospitalizations and more debts. Does that mean schools not be able to open properly without a vaccine . And more deaths . Dr. Adalija there are some schools that have opened up in idaho and montana. We have to learn more about the virus in children. We know they get infected, they have a lot of contact, but have there been outbreaks driven by children . That is something that is important. Do you get a marginal benefit from other social distancing . Much, dr. Ank you so amesh adalija. Mark im Mark Crumpton with bloomberg first word news. The British Government says it will soon be able to trace the contacts of everyone who test positive for the coronavirus. The government has recruited more than 21,000 tracers. Britain initially like many countries in testing but now has the capacity to do more than 100,000 a day, although the target is not always met. The government is now aiming for 200,000 a day. Germany is looking toward the summer, hoping to see a lifting of the Global Travel warning which would allow citizens to take vacation this summer. Germany has a Worldwide Travel morning in place until june 14 on unnecessary leisure trips, although they are being scaled back, controls will remain in place on germanys borders with france, austria, and switch switzerland until june 15. We could be in for the most dangerous Hurricane Season since katrina. Hurricane are there first named storm of the year. It is the six year in a row that the first named storm has preceded the official start of Hurricane Season. National forecasters say they see ominous clues this year with conditions in place similar to 2005, when a record 28 storms went across the atlantic. Live, televised sports returns to the United States over the weekend. Nascar staged a race in darlington, south carolina. Kevin harvick was the winner but no spectators were committed at the track. President trump says the return of pro sports is essential for the psyche of the United States. Global news 24 hours a day, onair, and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. Im Mark Crumpton. This is bloomberg. Live from bloomberg World Headquarters in new york, im shery ahn. Welcome to bloomberg markets. The heelss surging on of positive development surrounding a covid19 vaccine. The s p 500 gaining more than 3 as biotech firm moderna says an early trial shows promising results. An encouraging tone from the head of the Federal Reserve, chairman jay powell telling cbs the u. S. Will recover from the pandemic and the fed has not run out of ammunition to keep the economy afloat. Crude oil making a come back. Brent and wti rising to two month highs on optimism of a Global Economic recovery and rebound in chinese demand. More on that conversation ahead. Lets get a quick check on how the major averages are trading at the moment. The s p 500 rising 3. 3 . 95 of the s p 500 is jumping today. Investors are in that buy everything mode. The nasdaq is up 2. 7 . Tack and consumer staples, which had been more of a haven stock, is lagging. The russell 2000 posting its biggest gain in a month. The russell 2000 up nearly 7 in the last month. Above that 31 , a barrel level. We have seen signs the market is slowly rebalancing. Chinas oil usage, 13 Million Barrels a day, just shy of a year earlier. One stock we are following, thyssenkrupp, looking to merge its company with a rival. This is according to people speaking to bloomberg, saying the Steel Division employs about 2700 and staff. Thyssenkrupp is looking to revise that effort to merge that division with a rival. Lets take a deeper dive into todays Market Action with kailey leinz. Kailey clearly it is a risk on day. When you look across asset classes, the ones that are outperforming our the riskier commodities, like copper, higher by 3. 3 . You are not seeing a bid for the safer havens, like gold, down 1. 3 . Yields moving higher on u. S. Treasuries. Volatility relatively subdued 28 handle. X at a you mentioned oil. I want to take a longerterm view on wti. Back above