Hearing about it all. Stephanie i did not buy any really expensive art at about you, david gura . David the Chicago Police department will reportedly be investigated by the Justice Department or the Associated Press has a wideranging story this week about critics say the Police Department was slow to investigate the case. In beijing, the sky is the limit. The city issued a red alert because of smog. It imposes limits on factories and traffic, and schools are advised to close. Three consecutive days of smog are predicted. Is december 7, 74 years ago today that japan attacked pearl harbor and brought the u. S. Into world war ii. Ceremonies will honor the 2400 americans killed. You can get these and other stories 24 hours a day. Now over to matt miller. Matt taking a look at futures, after the blockbuster day friday. Nasdaq futures all gaining today. Even after we put on a gain of more than 350 points in the dow friday. Take a look at how far we are. Way from record closes here you can see the record close for the s p, 21. 30. S p, 2130. At the 400 50 points before we hit a record. European shares are up across the board. Especiallyng gains, in germany. X. Re than 2 on the da Oil Continues its decline. Down to 42, brent point 6 down to 42. 61 after opec says it did not put a strong ceiling on production per not that there was a very strong ceiling on production in any case. Lets also take a look at chipotle. The price plummeted on friday after more equal i cases were uncovered by the cdc. Right now were looking at a 10 jerk at a 10 drop. The company cut samestore sales. The president spoke to us last night, addressed the nation from the oval office, only the third time in his tenure that he has done that. His remarks came days after a mass shooting in San Bernardino, california, that left 14 people dead. We want to turn to megan murphy. Every president ial address has simple at parts to it and a real change proposed. Can you sort through it for us, please . Megan if we look at what the president said last night, what is more important is almost what he did not say. He did not give us any new information on last week passed Mass Shootings in california. He did not outline a strategy to combat Islamic State. To convince people that he has taken the lead. He has not come across as really president ial. I am not sure he was successful at doing a leslie picker the address was shorter than expected. A there was no lengthy defense of welcoming everybody, proposing whether or not he gave any real concrete steps last night is difficult to judge. He mentioned something a little bit about asking for enhanced time duration enhance cooperation, and mentioned tighten scrutiny with the waiver program. Outside of that, it was pretty much what was said before. Lets take a look at what he had to say. President obama the threat from terrorism is real, but we will overcome it. We will destroy isil and any other organization that tries to harm us. Our success will not depend on tough talk or abandoning our values or giving in to fear. That is what groups like isil are hoping for. Instead, we will prevail by being strong and smart, resilient and resort this brazilian and relentless, and drawing on every aspect of american power. David those are strong words. Stephanie are that . David you dont think so . That is interesting. Arehanie i think they strong words, but one of the responses is that there is no strong action. David what reaction will it be from congress . What is going to change . Megan stephanie makes a great point. What does it actually mean, that we will tap into every avenue of u. S. Power . There were few specifics. He did say we will step up scrutiny of the Visa Waiver Program, which allows people from 39 countries to come to america without having a visa. That is a program that has significant economic benefit in terms of drawing tourism into this country. Has is a proposal that attracted bipartisan support. But whether or not we can get it has divided congress. As for gun control, the president called on congress to take action that would limit to armedapons of assault weapons, machine guns, the kind of arsenal we saw the terrorists have in california. It is an area where he has very little ability to actually get anything done with the congress he faces right now. So a lot of talk, not a lot of action last night. Stephanie i talked to my kids and i say this is serious and this is important unless action, theyal will not look up from their devices. Megan murphy, thanks again. Now we have to talk about markets. This last week was a true roller coaster. The euro took a hit as the ecb outlined further easing measures. Europe, oil continued its downhill freefall. It has sunk below 40 bucks a barrel, it as opec ministers ended their talks without agreeing to it without agreeing to anything. All eyes are ahead to the next meeting on the server 16 were people assume we will see array rate hike. Lets break it down. By andrew carr andrew cosgrove. Gentle men, what are you watching in this trading week ahead . We have so much information. Some of it is conflicting. Investors do not like that. They like security and certainty. Everybody is going to be watching the dollar. If you look at commodities across the world, correlations have been rising. They are really going to be looking out happens going into the last part of the quarter, with how u. S. Production is going to act and how some of the producers outside of the u. S. Are going to take this. David michael, are we looking at less volatility . Ecb and opec surprises. Over the weekends a whole we were not volatile. The ability of this market to move 1 or 2 is extreme. It seems to be an almost fiction market. That once it starts moving at 10 30 in the morning, a continues in that direction through the end of the day. What matters is not so much the equity market, it is the quality of the credit market. The credit market, there is a very bad act end to 2015. Everybody is very hopeful that once the fed gets it, it is out of the way, maybe the credit market can do better again. I am skeptical about it. Stephanie how skeptical he . Could we see default . Bankruptcy isl what you have seen. Buts not exactly a default, if you are a bondholder, it kind of feels like a default. Certainly within the energy sector, you are going to see a wave of defaults and forced restructurings. The big question is going to be whether other sectors which have nothing to do with commodities also go through the production cycle overrun. David when it comes to oil, is it just a market defining the price . Opec is out of it. That is correct. Anywhere else offshore, brazil, anybody in the middle east or opec is going to act independently. You will see continued investment, whether it be saudi any country, iraq, in the middle east part of opec will be the stronghold. They will increase production as time goes forward, and you will see the deepwater and the offshore fields, nigeria and venezuela, those guys will curtail production. David matt, why dont you give us some perspective here . Matt the best perspective is looking at the 50year or 40 year chart of oil. Step back and look at this chart, we did not hit 40 a 2004. At all until i have a 10year moving average. 81. 38. Ld be at about we were in the 20 a barrel for decades. What has changed to bring oil why all of a sudden should be worth 40, 50, 60 a barrel . Michael there was a very interesting decade between 2004 and2015 between 2004 2014. I do not see why oil could not be range bound below 40. If it is, that will be painful for people. Stephanie it is all just supply and demand issues. , it iswhat oil is worth worth what people are willing to pay for it. Michael i think at some time supply will force people to stop supplying. Willy of any significance stop drilling, so we will go lower. Stephanie trying to help you with his look ahead this week. We would like to have a positive week. Andrew cosgrove, and michael shaoul. You have to take a look at this. After days of delays, the private Space Company orbital blasted off one of its spacecraft for a resupply mission. The sickness kraft took off from candor the space Center Sunday sickness the theus kraft took off from Kennedy Space station. Up next, a look at the future of policy and investment in venezuela. With aosition Party Majority income is for the first time in two decades. David welcome back to bloomberg. It is time for the Bloomberg Business flash. This after the restaurant chain revoked it sales plunged 20 after e. Coli illness was reported. To be down 8 cted to 11 for chipotle. Ford is recalling hundreds of thousands of its ford fusion and Mercury Milan models. The reason is that the fuel tank may crack and leak gasoline, possibly leading to a fire. 452,000 vehicles were affected, almost all of them in the United States. General electric is abandoning plans to sell the unit at 3. 3 billion. Electrolux regrets ges move. That is the Bloomberg Business flash. Weid in todays global go, go to venezuela with big news over the weekend about an oppositional alliance. This marks a Major Political shift and coded mean changes ahead for the economy . And Investment Opportunities in venezuela . Exactly what i just said. How big a change is this, catch up was a can skate . Katia just because they won a majority, one vote does not equal one seat in the house. Because in venezuela you have some votes that go directly into a simple name, a name that goes into a seat. We need to really see how much of a majority of a majority the opposition has in congress, because that is the ticket to getting big changes done. Is such a oil export big business for venezuela. Does it matter who is in office, even what Oil Prices Look like . And a lot ofally, economists say the situation has gotten so terrible there, there is not anything anybody can do to turn it around. You need to see oil rebound to see substantial change. The distortions are so great that it is not something that can be turned around overnight. Stephanie what does the terminal have, matt miller . Matt you look at the blackmarket rate is one of the most useful rates because it is most readily accessible. If we pull up by bloomberg, we can show you that. Up, the rate has shot up to 911. I googled the official rate. It is 6. 25. Katya, what is going on . This coincides with the collapse of the oil price. Katia you see multiple rates on the screen. The top, the one that is way up 9. 11, that is the blackmarket rate. There is very little liquidity of dollar, so it will overshoot a lot. Have a realist or should you have a real distortion that keeps the rate fixed, and you have these other rates that can be used to import certain items into the economy that you can use. But the liquidity in those markets is very small as well. All the demand goes into the black market for day to day purposes. So high,nflation is some estimate inflation at 125 . I have heard estimates of close to 1000 . There is no clue as to how bad it is. That is where all the pleasures going that is where all the pressure is going. You can access this chart on bloomberg. David thanks for joining us. With retail giants struggling, we have been talking about this. Who are the winners and the losers . We will find about we will find out about all of this on bloomberg. David welcome back to bloomberg. This Holiday Shopping season we have heard words of caution from macys, from the gap, from target. Michael is the vice chair and and a Shopping Center owner. We have heard from bricks and mortar online. Give us some perspective. Michael it used to be black friday was one day and we think about what happened on black friday and we keep measuring it. The truth is, it is a season. Year, look at this wednesday through the weekend, it is a day up until christmas that is probably the busiest shopping day of the year. It is not as if people are not going, they are going over a period of time. Knowanie retail analysts this, yet your stock is trading at a 52week low. Are merging two companies together. We have not had a time to get things going. If you look at where we are going over the next youre two and the amount of space that we are leasing to tenants interested, the projections are to go in credibly upward. Stephanie s is those tenets have not signed yet, and retail sales being what they are come have you lost your leverage . Michael in spite of the fact we are seeing today last week or the week before sales are not quite what we were, the truth is we are signing 5, 6, 7year leases. We are actually moving in a positive direction. You just do not see it yet. David so occupancy is good and what about the rates . If you charge less, you can get the occupancy up, right . Moreel you have a lot leverage when you are sitting at 90 . It is more about leasing space than gaining occupancy per but our dear flow when gap sales are closing hundreds of stores, that has no impact . Michael it absolutely has an impact. But we are doing business with old navy, athleta. Stephanie who is winning and who is losing . Uphael victorias secret is yearoveryear. People ask me about what other new concepts. I look at american eagle, hollister. It is the same store, different merchandise per even though they are not new retailers, they are becoming new retailers inside their four walls. David what about the new like best buy is doing new things with their stores. Michael it is marrying on line between bricks and mortar and online. Were sales offshore . They were. People want to interact, go out to eat. We have change the next that we provide. So we are 20, 20 5 food in our Shopping Centers. We have fitness, yoga studios, gyms. Bike places, stephanie if there is one store killing it, who is that . Michael victorias secret. Stephanie hot chicks. There you go. Michael glimcher, stay with us. You are watching bloomberg. The only way to get better is to challenge yourself, and thats what were doing at xfinity. We are challenging ourselves to improve every aspect of your experience. And this includes our commitment to being on time. Every time. Thats why if were ever late for an appointment, well credit your account 20. Its our promise to you. Were doing everything we can to give you the best experience possible. Because we should fit into your life. Not the other way around. David welcome back to bloomberg , we are here with Michael Glimcher and tom keene. Tom keene it was a good trip. To have youe glad back, despite the boom in london. Lets get started with david gora. Have a ceasefire announced within days, nearly 6000 people have been killed since the civil war broke out months ago. Have been fighting a shia group of muslims. Been bombingia has favorables. A manic used of stabbing two people in a london subway stop is due in court today. Police are calling it an act of terrorism. He is charged with attempted murder. He threatened with a knife while shouting, this is for syria. And jimmy carter revealed four months ago that melanoma had spread to his brain, 91yearold carter had continued his busy pace. You can get more on these and other stories on the new bloomberg. Com. Stephanie we know what you are reading today. Mike bloomberg has a view piece out. I will say that is our morning must read. Leadership with the mayor in paris. I was really surprised at the granularity of the conference. Much more of, this is what we are going to do, these are the specific actions. Lets go to the bloomberg article by michael bloomberg. Our majority owner and founder. Argue that companies cannot accurately Value Companies and efficientlynnot allocate capital without reliable data on the risks they face. Governor carney with the bank of england, he wants to put together a committee that will focus on gathering the data. Mike bloomberg will provide leadership there as well. David it is consistent with our security in this country. Do as atell you what to company, but you have to tell us what you are doing. This is on terri, as i understand it. This is voluntary, as i understand it. Will this work . Tom yes, this will work. We talked about this late in paris on friday afternoon, i you see the followon. Is, they arery doing it, we have to do this. It feeds on itself. That has been proven many times. Going back centuries, i would say. Yes, but if we go back to your conversation on friday, jeff said it was on top of the market. And there are more examples that it doesnt take subsidies or philanthropy or celebrities to say, this is important. National targets arent what makes it happen, it is business decisions. That is why we need to do it. Tom yes, within the economic standard worldwide, everyone with climate,g,g change. Everything down to the bloomberg coffee cups that we have upstairs, those are micro decisions. Aephanie decisions are made sans all of the given information. Today we have so much information proving why this is a necessity. Tom i think that is true. Others, i thought the mayor of symphony, 14 years in that job even with australia in the extremes in whether, there is a shift. David im going to put you on the spot. In your malls are you dealing with the Climate Change issue . Michael there are a lot of things we can do. We do led lighting. We have a National Recycling program with waste management. It is such a big footprint, it is 1020 Different Things that we do. It is economically positive for us. David we will go on to another story we are following. Stephanie not economically positive. David no. It is puerto rico. They have a crisis and it landed in the Supreme Court on friday. The Supreme Court decided they would take up the case, they are trying to get around the federal bankers statute and have their own anchors. There is a . 2 billion that is owed by the puerto rico electric power company. Greg is with us. I was a bit surprised when i saw this. This was certainly a case that the court didnt have to take. Had decided this case had ruled against puerto rico. What is at issue is the law, they are trying to get around the federal and cropsey flaw. The federal Bankruptcy Law says that takes cannot