Nathan Hager

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I'm Nathan Hager.

Stocks are starting to take a bit of a turn now after the latest read on inflation.

It came in a little late due to the last government shutdown, but the January consumer price index came in softer than expected.

Bloomberg's Michael McKee has the numbers.

And Bloomberg's Mike McKee says it puts the yearly core CPI at 2.5%.

And traders are now pricing in 50-50 odds that the Fed will cut rates more than just twice this year and deliver a third interest rate cut.

Right now, S&P, Dow, and Nasdaq futures are little changed to the downside, and the 10-year Treasury yield is down about a basis point to 4.08%.

Shares of Alibaba traded in the U.S.

are down 4%.

Reuters is reporting that the Pentagon...

plans to add the tech giant to the list of companies it accuses of aiding China's military.

We got reaction from Republican Senator Tom Tillis of North Carolina.

Republican Tom Tillis joined Bloomberg surveillance from the Munich Security Conference.

The Pentagon announcement on Alibaba could come as soon as today.

German Chancellor Friedrich Merz is also speaking at the Munich conference.

He is calling for a reordering of the transatlantic relationship in the age of President Trump.

Merz says Germany and Europe need to bolster their independence and security together, but he says leaders need to recognize that the world has changed.

And he says he's begun talks already with French President Emmanuel Macron about the future of Europe's nuclear deterrent.