From wall street. Turning season kicks off with the biggest banks in the spotlight. Numbers we saw this morning in fixed income are staggering. Top executives from health spot keyDrug Companies issues facing their industry. Clicking bio similars are an important part. Technology is an enabler of innovation, accelerator of innovation. We are trying to bring down outofpocket costs for consumers. Even at us equities climbed to alltime highs, howard marks thinks it is not a great moment to be in the market. The odds are not in my opinion in the investors favor. It is all straight ahead on bloomberg best. Hello and welcome. Kind juliette saly. , your bloomberg best weekly review of the most important Business News and interviews from Bloomberg Television around the world. Lets start with a day by day look at the top headlines. As the week began, tensions remained high in the middle east with irans government feeling the heat from the u. S. And its allies, and its own citizens, as well. Antigovernment protesters rallied in iran for a second admitted itsehran military shot down a ukrainian jetline after days of denying it had anything to do with the incident that killed 176 people. Manus we now have internal insurrection in iran. This comes on the back of demonstrations in iran a few months back, as well, which were put down violently. To show the pressure iran is under and this unhappiness with the way the government initially lied about what caused the downing the crash of the airliner. It is kind of hard to tell how big these demonstrations are and it will be hard to tell whether the regime will manage in cracking down as it did previously. The u. S. Is lifting its designation of china as a currency manipulator. The treasury, saying beijing has made enforceable commitments not to devalue the yuan and it removes another obstacle of the signing of the phase one trade deal. In a lot of respects, this seems to be the righting of a wrong, given that designating them last year was a political move. There was also opposition within the Trump Administration to the president making that move. That move came at a time when the rmb went through seven to the dollar. Symbolic level, but things have changed since then in the currency and now, we have this phase one deal which includes a currency chapter. That is clearly a big, symbolic move. Wall streets biggest banks are reporting the latest round of earnings and it was an especially big quarter for fueled by a , rebound in fixedincome trading. Earnings of 36. 4 billion, the largest of any bank in u. S. History. The fixedincome trading revenue was a standout. It was a billion dollars above what analysts expected and citigroup was not far behind. 600 Million Dollars above what analysts expected, but they were able to shake off a lot of the worries in fixedincome. I want to caveat that by saying the cfo of citigroup had mentioned they will take some sort of hit maybe this year. We dont know what that will look like really, but right now, it is not something investors are overly concerned about by any means. S on billionsariff of dollars of chinese goods into the u. S. Are likely to stay in place until after the november president ial election. Wouldve to reduce them hinge on beijings compliance to the terms of a phase one trade. I think it took a lot of people by surprise to see the headline the day before we get this thing signed maybe. Maybe . And that did take the state take the steam out of the stock, but we are drifting toward new highs. These tariffs will stay in place until there is a phase two. He would consider releasing tariffs as part of phase two and if not, there will be no relief. It has nothing to do with the election or anything else. Bank of america joins wall streets trading come back with revenue climbing 30 in q4. Charge forion legal Goldman Sachs over it settle over the 1mdb scandal. Does it begin to get cleaner from here on out . That would be the hope for investors, right . The big news was the big charge. They took a 1. 1 billion charge related to 1mdb. It is difficult because they cant necessarily say where they are versus the total potential cost. We will basically have to wait for the final settlement to know what the final costs are. For bank of america, the disappointment today is clearly they are guiding to flat expenses and less optimism on the revenue side. It is tough to say at this point who is being conservative or not, but bank of america left optimism less optimism than other banks. Historic day. We are 30 minutes away from the signing of the phase one trade deal between the u. S. And china. In place,t tariffs but it will punish beijing if it fails to deliver on key pledges. China has made substantial and enforceable commitments regarding the protection of american ideas, trade secrets, patents, and trademarks. Of a provides a baseline better world economy, and i think you are seeing in the markets the Business Community globally telling you things are better now in terms of prospects than they were before this agreement was entered into. It did outline the specific purchases china is going to make, this 200 billion of american exports it has agreed to, things like manufactured goods, and that is over a twoyear period. How it is going to happen is the big question right now. Chinahard to imagine forcing its companies or its importers to buy American Goods and how that system will take place. That still raises a big question. Everyone agrees this deal releases tensions between the two countries but doesnt achieve a lot of what the Trump Administration said it would do from the beginning, which is crackdown on ip theft and forced Technology Transfers. Even if the deal goes be it after the election, i dont think anyone is expecting any nearterm e because youther are getting at issues that go to the core of chinas own economic and industrial strategy and ambitions, further owned national champions, state ownership, and their ambitions to develop china into a leading worldclass Technology Driven economy. All those issues, all those matters pose redlines that will be tougher for the u. S. And china to reach a deal on. Shares of morgan stanley, opening with the biggest rally in three years after the rivals boosted profit target for the next two years. Are saying institutional securities revenue is the best it has been in a decade, so the numbers we saw this morning in fixed income were staggering. At one point, 3 billion. They are right behind goldman at 1. 8 billion and they have risen at a higher pace. At the same time, they had the worst performance on wall street, so the street is asking whether the performance is sustainable. They are investing in that business and Overall Investment banking figures beat estimates. It has been a massive week for trade in washington. Phase one it was the china deal. Today, usmca. The bill is passed. Clearing the senate, it will replace nafta. This was an overwhelming bipartisan vote in the senate, much like the house. A big bipartisan bipartisan vote to pass it. A radical departure from nafta. A few things are tweaked, but he promised it would do some things and now he can say he has done it. Chinas economy last quarter after slowing to the weakest pace in almost three decades. Gdp rose 6 from a year earlier, matching estimates. Outputle, industrial retail sales and fixed Asset Investment figures all beat estimates. Key takeaways . The data was better than expected, but what we really care about here is Industrial Production and fixed asset for investment, this number will keep slowing down. Every six months, every year, we are going slowest since the 1990s. Cares . Who cares . The last time the u. S. Saw growth like this was 30 years ago. This is a high level of growth for an economy that is exceptionally large and sends a message the pboc is doing a good job of managing the growth slowdown. It is a very slow slowdown in terms of the rate of deceleration very moderate and overall this is a positive story for risk assets. [bell] ending the week on a high note here. The dow, s p, and nasdaq at record highs. Now a five day winning streak for the dow. Juliette still ahead as we reviewed the week on bloomberg best, conversations from the Jpmorgan Health care conference. Plus, an exclusive interview with dallas fed president Robert Kaplan. He thinks the central bank should rein in its asset purchases. The Balance Sheet is not free. There is a cost to it. Juliette next, more of the weeks top headlines. U. K. Inflation data at a threeyear low in december. Marconis last meeting at the end of this month. Juliette this is bloomberg. Juliette this is bloomberg best. Im juliette saly. Tour continue our global of the top stories. Thereong reelected prodemocratic president in lance tried landslide. s president has won a landslide victory to clinch a second term. Win is being seen as extending the Fourth Quarter market rally we have been seeing. What most have been saying over the weekend is this is pretty much a referendum against what they saw as chinese interference in the selection or attempts to interview in that interfere in the selection as well as a rebuke of the desire for more close ties with the mainland. Those strategies pretty much backfired, so the kmt did pick up a sevenseat gain in the legislative, but the party keeps the majority in the legislature. Followingnd dropped, another member of the Pboc Monetary Policy Committee citing a potential vote for an Interest Rate cuts this year. What should we expect when the boe meets . Mark carneys last meeting at the end of this month, it had been considered previously a pretty dead meeting, but now we have various policy makers coming out. We already had two of the nine voting for rate cuts. Now weve had two more saying if the data doesnt improve, they will vote for a rate cut. One as soon as this month potentially and we had mark carney himself saying they have the space to cut if they need to and he hears that argument. Gdp dataing, we heard that was unexpectedly worse than any of us expected. It was a contraction in november. There will be a lot to look at before we get to the january 30 meeting. Data slowed to a threeyear low in december, clearing the path for a potential bank of england Interest Rate cut at the end of the month. 1. 3nflation came in at percent, well below analyst forecasts of 1. 5 and below the boes 2 target. Today we heard from michael saunders, the leader in charge for lowering and he says there needs aggressive stimulus to take the cut have the risk inconsistently lowinflation. Last be minutes, gdp data from germany confirmed the extent of 2019s slowdown. 0. 6 last year, the weakest in six years. Despite the sluggish data, the governor says the risk can almost be ruled out. The German Economy had a horrific your last year. It is heavily dependent on exports, especially manufacturing, cars. Exports have grown only slightly. On the other hand, we are seeing quite robust demand domestically. Both private and government consumption has grown. Also, we are seeing construction growing, so it all speaks about domestic economy still going strong. The inflation rate hitting a fiveyear high in december, far above the rbis target and prompting expectations of a e, even as the economy loses momentum. What is driving prices up . Vegetable prices and within the vegetable prices, onion prices. Vegetable 60 jump in prices if you look at the cpi index. That will take time to ease. Means we arehich in to april and we will see the cpi headline inflation easing, and that doesnt end there because youve got volatile oil prices feeding in. In Telecom Price hike we saw december was also play out in the next few months, so what you are seeing is a very sticky headline inflation and risk is very there is little room for the bank reserve of india to cut rates because unless it falls below the 4 mark, the target, there is not much they can do about Interest Rates. Itshe ecb, releasing meeting with Christine Lagarde at the helm. Signs ofitial stabilization through the slowdown. Are we seeing any subtle signs of pushback from the governing council about whether where Monetary Policy setting is now . Washat stood out vigilance. It seems several members are arguing you need to monitor the potential negative side effects that could come from this currency current policy stance, even though they have agreed to keep it what it is at the moment. Going forward, there might be more luck thans to take Interest Rates lower than where they currently are. In a way, what it also shows is the ecb will be taking the context of its proposed strategy review very seriously. The Trump Administration is planning to change how Economic Data is released in a move that could affect access to figures like a monthly jobs report. The Trump Administration is looking at changes to the way it releases Economic Data out of the Labor Department, including taking away computers that reporters for decades have used to get the data on embargo ahead makee release, digest it, sure it is accurate in terms of what they are releasing and report it out. We dont know yet what their plans are for how they would release it. What is go straight out to the internet at a prescribed time when everyone can get it at the same time . That opens up other questions as to whether there could be a logjam with the servers at the Labor Department being hit at the same time at once when things like the jobs report released on the first friday of every month. A 20easuries will issue year bonds for the first half of 2020, looking at different ways to fund the ballooning deficit. Steve mnuchin said the government will look into other products the finance debt at the lowest cost over time. It will be interesting to see who steps up to buy these 20 year bonds. Typically when you look at the 30 year treasury, your pension funds, your Insurance Companies, so it will be interesting to see if those are the natural buyers of 20 year debt. With that said, europe and japan have 20 year bonds, so it makes sense the treasury went within the existing Market Structure and we could see domestic funds really interested in these bonds, as well as. Putins rip onr power continue beyond 2020 for . He has replaced his Prime Minister and called for sweeping constitutional changes which could rain in his successor. Putin is due to step down in over four years, but the shakeup could see him take another powerful post to ensure his influence. How much of a political earthquake was that . It was completely unexpected. Putin was giving his annual address and there were no signs of the changes until the end of the speech when he outlined a constitutional changes, which he said at the time were very important. It was only after that the bombshell news arrived of Dmitry Medvedevs departure and bloomberg best decision putins decision. It has only one bank support from the ruling party, so his appointment is pretty much a formality. Impeachment trial of President Trump kicks off in the senate next week. The most controversial issues will be tackled behind closed doors. Chief Justice John Roberts will preside over the receivings. I spoke proceedings. I spoke with Top Republicans about a timetable for how long it will last. They say anything from a couple of weeks, so the anticipation, at least from the white houses perspective, is they will be up to get the trial completed before the president s state of the Union Address on february 4. Meanwhile, democrats are doubling down trying to push for there to be what they say more transparency. They would also like to see some key witnesses. However, if you look at the math in the senate and im not sure the democrats are going to be successful based upon my reporting in their efforts. Juliette you are watching bloomberg best. In earlyeting december, the fomc signaled it does not expect to raise rates in 2020. Since the announcement, the s p 500 has gained 5 . Week, dallas fed president Robert Kaplan spoke exclusively with bloombergs michael mckee. Kaplan says he worries the feds position is helping push cap asset prices. I do, and i think there are three aspects. And we lowerer, the rates last year and i was a supporter of those rate reductions because i was worried about weakness in the economy. Then there is a perception that the bar is higher for future rate increases. I dont know if i completely agree with that, but thats part of our communication, and the third issue is in order to address this repo issue, weve grown the Balance Sheet. I think weve done what we had to do, but im very sensitive from here that we need to be finding ways to limit and temper the growth in the fed Balance Sheet. Im conscious all three of those , all three of those actions are contributing to elevated risk asset valuations, and i think we ought to be sensitive to that at the fomc and i certainly him. You say it is not qe. A lot of our guests on the market say it is judy. Dave qe. It is not qe because we are not buying along the curve. My own view is it is having some effect on risk assets. In thatrivative of qe we buy bills and we inject liquidity, it affects all risk assets and im of that view. For me, this is why i say growth in the Balance Sheet is not free. There is a cost to it, and we ought to be very disciplined about it and sensitive to it. I think weve done what we needed to do up until now. I think it is very important that we come up with a plan and communicate a plan for winding this down and tempering Balance Sheet growth and im very hopeful we will do that. Juliette coming up on bloomberg best, more perspective on markets from oaktree capitals howard marks. His message, this might not be the best time to invest. Plus, conversations about Health Topics in health care. There is support for a singlepayer system in the u. S. Singlepayeray controls is by withholding services. Juliette this is bloomberg. Juliette welcome back to wloomberg best im july yet salley. Investors are poise ffered even larger returns in 2020. But at least one leading figure is urging caution. In an exclusive conversation with bloombergs eric shaska explained why he thinks the present moment is not a good time to be investing. The market has been up for years. Were in the longest bull market. The longest expansion in history. Profits are not rising. Stock markets are. Its a liquiditydriven raly. It comes from people having a lot of money to spend. If you put those factors together, it doesnt mean that the market is going to go down tomorrow. But it does mean that the odds are not in my opinion in the investors favor. Now is the time, howard to be a contrarian because as we both know the economy is growing at reasonable clip. Forecasters say the odds of a recession in 2020 have declined. Stocks as we witnessed last week brushed off, the threat of iranian hostilities surged to a new records and high yield spreads keep edging closer to a new low prices low. The way i would phrase it, eric is that this is a time to have less risk than you did three or five years ago. Juliette this week, Global Leaders in the health care and pharmaceutical sectors gathered in San Francisco for the j. P. Morgan health care conference. Bloomberg spoke with several top executives about the most important issues facing the executive. Lets start with Bill Anderson who told taylor riggs his company is not concerned about competition from bio similars. We dont worry about bio similars. We think theyre an important part of the health care system. They bring lower cost and choices for patients, thats great. But our real focus is on innovation. And were going to continue to be successful there. In the u. S. , there isnt a lot of talk about drug pricing transparency. What are your thoughts on potential changes this year or in the next four years . How you do make sure youre clear about the pricing . One of the issue we have an as industry is that almost half of the money almost half of the cost of medicines thats born by patients in the system actually doesnt go to the innovative pharmaceutical companies. Pharmacy middle man, benefit managers. I think rebate reform and transparencies are weighing of insuring that people understand, you know, where is the money going. Where do you see the intersection going . We are thrilled with both the progress and the momentum were bringing here whether its for positive data for patients or six new approvals in 2020. And technology for us is an enabler of innovation, an accelerator of innovation. Fundamentally its so exciting to see the advances that are coming in biology particularly with the science of immuneology and thats what weve been building and weve been building out very exciting new partnerships whether that would be with 23 and me, with the pioneers in chris b per and other companies here internationally. But we see a lot of opportunities to improve through genetically validated targets the probability of success of our medicines and therefore the productivity. And thats the point of our company. Admitted 2019, you introduced a half price insulin. Why has that not been as success nfl the retail marketplace that you initially thought . Yeah, i think its a case study. And how the Drug Distribution and reimbursement system works and why this isnt manufactures changing their list prices. And were one more launching two more in the half price called hemalog. Wholesalers and pharmacists need to carry it. Thats mostly happen ling. Also Insurance Companies need reimburse it. Thats whats happening. We would like to see more progress in that front. Guess it doesnt work if its just you. You need the dofferings be the whole supply change. Thats right. Its a system. And the system today has not been oriented toward consumer level pricing and lowering those. I think everyone here has run through the message. Insurance companies, Drug Companies do. By want to address that orchestrating that is taking more time than we all want. But the main message is were trying to bring down out of pocket cost for consumers. The other actors are too. We just need to accelerate our progress together to make a real difference with patients. How you do run a business . Fromou do plan one year now . You make your decisions based on the facts as they are today. You have to have the capability and ability to move when its necessary. Thats what we do. I had somebody talk about medicare for all. I said to this politician, i said why dont you practice on the Postal Service for a while and show me you can do it better than fedex and u. P. S. The Postal Service does a good job. They work at it. There are no substitutes for the private sk or the can do. Do you expect medicare for tulle be implemented . No, we cant afford it. Its a sound bite. Even some of the candidates have said well do it in our third or fourth year in office. No, we cant afford it. The only way singlepayer controlled spots is by with holding services. In canada, i think and what ive heard and i havent documented this, there are more m. R. I. s in the city of philadelphia than in the country. Even as the u. S. And china were signing their phase one trade deal, e. U. Trade commissioner phil hogan was in talk with Trump Administration officials. Lonnie quinn discussed the u. S. Trade relations. This is the objective of the visitors to reset the relationship and understand each other in relation to a number of trade at the moment and find Common Ground with the United States in relation to many issues. We started on a positive note. The United States and the europeanian union and japan signed up for a statement that we want to have forced Technology Transfer on the basis of a level Playing Field for the Global Economy and all of the players in the future and for the w. T. O. Process. And reforming the w. T. O. This is a positive agenda. Did you receive any assurances that there will not be new tariffs from the e. U. . We didnt get any assurance from it. And we dont expect assurances from ambassador lite houseen. Hes had a very big trade week in terms of the european and japan. The big deal that was done between the United States and china yesterday. Nd of course, the passing of u. S. Am bassey. And we are going to come because we expect to be in davos next week to continue our discussions. Juliette this is bloomberg best. Im juliette salley. Lets resume our roundup of the top news in Business Finance and politics. Several stories underscored how Climate Change is playing a larger role in Investment Strategies starting a major announcement from the Worlds Largest fund manager. Blackrock c. E. O. Wrote in his annual letter that Climate Change has become a defining factor in the companys longterm prospects. And he believes were on the. Dge of a fundamental reshaping when do we see them translated into action. Where is blackrock now . If this happens, where does it go . Well, this is a great sort of p. R. Moment of the Climate Action 100 group of investors that are pushing for better Corporate Governance among these issues. He has a lot of weight and these letters are agendasetting for wall street. He has a enormous amount of resources. The risk on the active side and the passive side. Its talking kind of embedding sustainbility in his business model. In theory, it sounds like a pretty big deal. It will go ahead with a contract to supply an australian coal mine. Environmental protestors called on abandoning the project in queensland especially as bush fires linked to Climate Change ravaged the company. Why is see mens pushing ahead to help burn coal . The easy answer is they have a contract and they have an obligation to fulfill from a customer. Mind you, see mens is not building a coal power plant or anything like that. Theyre supplying technology for a rail line thats supposed to connect the future coal mine with the coal so the commodity can be moved. But still, the whats happening in munich at the capital of siemens people are putting pressure on the c. E. O. Anything that feeds into Climate Change burning coal surely does is under scrutiny in these times. Woodward will merge with xcel creating within of the biggest arrow space and defense suppliers. Why the merger now . They say this does not have to do with the 737 max. Although, of course, thats on everybodys mind. Hexle and woodward are suppliers. But theyre more a push on reducing emissions. And they want to be at the forefront of that technology. This is the latest in a long line of consolidation among arrow space and suppliers. You do have to think that it will give them some Pricing Power with boeing and airbus which has been pushing their suppliers around when it comes to cost cuts. We expect to see more consolidation in the same. Goldman sachs plans to double its market in china. What do we know about this plan . Our sources say that goldman is planning to increase head count by 600 in the next five years thats contingent if china continues on this pass of reform and opening in the past year. Part of goldmans strategy, this china sporgs very important. Our sources say that when David Solomon took that top job in 2018, once offer the first things he asked for was a fiveyear plan to sketch out their Expansion Plan in china. Goldman plans to increase its stake from about 33 to more than 50 and plans to take full control of that unit by the year end if theyre permitted. They are planning to not only drive growth in Asset Management but other drive growth in other business and as great growth is important as they go away from cash and real estate. Al across ng dismiss the board. China though is the rare exception. The bank says its on track for double its head count in the mainland in the next three to five years. This looks like it is, what the start or in full . What were hearing with the details that were looking at in some teams in europe 20 cut with the head count. The real important thing is management when its not needed. Its happening really in asia. It is going to shift to europe and the middle east and africa as well in terms of how this plays out. Were looking potentially of job cuts of about 500 personnel in terms of madge managing directors to assistants as well. It follows a decade where were seeing thousands of cutses in terms of jobs to try to pivot away from Investment Banking towards private banking. Barclays is planning to cut about 100 senior jobs mostly in training roles this across the investment bank. 100 people doesnt sound like a lot. Thats 100 highly paid people. 100 senior people not to mention barclays we had all these u. S. Banks report earnings really good numbers on the trading desk. This return of these u. S. Banks are quy high where you had barclays with the intangible equity that they need to i prove. This is better for them to manage those costs. The hope is they can do more with less. Boeing has lost its title as the worlds top plane maker. At this point it seems like all bad news for boeing. Its one thing after another. Is there any Silver Lining here . Well, on the surface, trace, this is bad news on the delivery front. Airbus has matched them more than twice as many. But there are signs of improvement in the Fourth Quarter for example, they beat they delivered 45 dream liners and thats more than expected. That should help bring in some more revenue next year. And on the aircraft delivery. Its ok. , jennifer, orting what happened . Target reported their holiday sales for november and december, and it was well below expectation both from a target perspective and the investment community. 1. 4 sales is up about 1. 57 last year. It is a type of result. Fourth Quarter Sales expectations have been slashed. The company did hold firm to the e. P. S. Expectation. It was a disappointing quarter. Going into 2020. The real question is what is target going to do with regard to a strategy . Is there a pivot that needs to happen . And they have an investment day in february where they should be giving some of those answers. Taiwan semiconductor beat on earn thags were well above estimates. The instruct results show how its investing in the future and rolling out a 5g. Why is this company so important for a read on this base . So tsnc as its known manufacturing semiconductors. So when apple release as new iphone and brags about the latest chip, that is a chip made by tsnc in taiwan. But it includes huawei. Its at the center of a lot of u. S. Chinese tension right now. There was concern that it would e caught up in some of that some of that crossfire. What they were saying that not only was the most recent water better than expected but the outlook was better than expected. The company will be able to take orders from other who are building out the 5g network to offset any potential decline from huawei. 5. 5 has agreed to pay to customer data. What is plaid do for visa . They have 2600 tech customers. It has vimo. Acorn. Coin base. It gives visa these customers to sell into. Plaid really has ban u. S. Based company. So visa is in a great position add customers internationally with the plaid services. On top of that a little bit longer term, visa sees an opportunity to sell payment capability into sin tex. What that will mean is more payment transaction going across the visa global network. The British Royal family spinoff is take yet another turn today. Senior members of the family met today to discuss the duke and duchess of sussexs decision to step back from royal duties. We do have a royal letter from the queen saying we had constructed discussions today. We respect the fact that they want to step back from us even though we wish they wouldnt. The queens statement is kicking the can down the road for a few more days but at least theres some clarity. It seems likely that prince harry and the douch es of suffolk will be spending a lot more time in canada even in this transition period. But its pretry extord their times at the start of this year for probably among the most visible people in this royal family. We are getting a message from mike pompeo. The secretary of state saying that the u. S. Is increasingly at risk from chinas action. He spoke earlier at stanford today saying that the action towards iran and the killing ofsome manny were part soleimani were part of a broader strategy. Youll find a big direy entry for the day and for the rest of the week and any key events you might have missed. There are about 30,000 functions on the bloomberg and we always enjoy show you our favorites on Bloomberg Television. Maybe theyll become your favorites. Heres another function youll find useful. Quic go. You will get important updates and important topics. Heres a quick look at this week. 5g or fifth Generation Mobile service promises a lot. Nothing short of a revolution in the way we connect to the real and online world. Its the first big update to the Global Mobile phone network in a decade. But its not smooth sailingful debates about security has put the u. S. And some of its allies at odds with china and could delay the rollout of 5g. This is your bloomberg quick take on 5g. 5g should be light years ahead of, 5g. The top of the line network was first introduced in 2009. Its designed to be 100 times faster than its predecessor reaching 10 giga bites and very low laden si that will allow you to download a full h. D. Movie in seconds. South korea switched in 2019 and is expected to achieve top speed by years end. Japan and parts of china are not far behind in the u. S. Some city already have the service. U. K. Providers were aiming for limited 5g service in early 2020. Some operators are questioning the service. When will 5g be the new normal . Dont hold your breath. It will be a couple of years before the Geographic Reach before allowing you to use your 5g or 4 g or 3 g much of the time. Further more youll need a 5g phone. Apple on the other hand wont market a 5g phone until 2020 at the earliest as it wait first the market to develop. What are the security worries. 5gnt easier to hack but it will connect more devices to more critical parts of our lives meaning if it is hacked we have more to lose. He current conflict focuses on huawei. They worry that 5g equipment could be used to spy on them, a kind of trojan horse. That hasnt been proven by the concerns are serious. It has its technological edge and lower cost. But the u. S. Wants to keep the company away from Critical National infrastructure. They have curved the companies ability to sell in the United States and to buy parts from u. S. Suppliers. By 2024 the amount of data will be five times greater than today. 5g networks are expected to cover more than 40 of the population according to ericsson. The question is not if youll get 5g, but when. Get ready for a lot of controversy along the way. That was just one of the many quick takes you can find on the bloomberg. You can find them on bloomberg. Com along with all the latest Business News and analysis. That will be all for bloomberg best for this week. Thanks for watching. Im juliette salley. This is bloomberg. Im taylor riggs in San Francisco. And this is bloomberg technology. A faceoff with facebook. The social met york is sued by four potential competitors to accuse facebook of anticompetitive behavior. Details and whats at stake with the colead demounl the case. Plus, the ultimate engagement, jack torsy asked tesla elon musk for a tip