5 things to start your day

[Bloomberg]( Follow Us //link.mail.bloombergbusiness.com/click/19283484.247887/aHR0cHM6Ly90d2l0dGVyLmNvbS9idXNpbmVzcw/582c8673566a94262a8b49bdBaf9efea7 [Get the newsletter]( Further coronavirus restrictions, Apple earnings due, and Trump lawyers wrap up defense. Travel ban In the latest move to stop the spread of a deadly virus, China has announced it will [stop individual travelers to Hong Kong]( and close some border checkpoints. The move comes as the death toll from the illness climbs to 106, with 4,515 confirmed cases in China. The country’s top securities regulator called on investors to evaluate the impact of the outbreak “[rationally and objectively](” ahead of the reopening of markets there on Monday. Investors might argue that they are already being rational as they wipe [$46 billion off the value of European luxury goods makers](, a sector that is expected to be among the hardest hit by the slowdown in Chinese retail sales over what is usually the busiest shopping period. Apple earnings One company that will be keeping a very close eye on developments in China is Apple Inc., with its [supply chain concentrated in the country](. The company has been increasing production to meet higher-than-anticipated iPhone demand, with reports saying it has already asked suppliers to [boost output by 10% in the first half of this year](. This all means that investors, who were [bullish going into today’s earnings report](, will be keen to hear any guidance on how the company sees the outbreak hurting production. Sponsored Content by GEP GEP – Global Leader in Digital Procurement and Supply Chain Transformation To learn more about our range of strategic and managed services, please visit [www.gep.com]( | For more about SMART by GEP, our AI-powered, cloud-native, source-to-pay platform, please visit [www.smartbygep.com](.  Defense rests President Donald Trump’s lawyers will [wrap up their defense in the Senate impeachment trial today](. Senate Majority Leader Mitch McConnell will try to keep his GOP majority onside over the coming days to allow a final vote, which is all but certain to result in Trump’s acquittal, on Friday. However, the revelations in a draft of a book by former National Security Adviser John Bolton have [bolstered the case for calling more witnesses](, according to some Republican senators. Should there be new witnesses called, the trial could continue past the Feb. 4 State of the Union address even if the outcome remains almost certain. Markets mixed A tentative recovery in global markets was snuffed out by the imposition of further travel restrictions in China this morning. Overnight the MSCI Asia Pacific Index dropped 0.8% while Japan’s Topix index closed 0.6% lower. In Europe, the Stoxx 600 Index gave up early-session gains to trade broadly unchanged by 5:45 a.m. Eastern Time. S&P 500 futures [pointed to a small rebound at the open](, the 10-year Treasury yield continued its slide to trade at 1.591% and commodities [remained under pressure](. Coming up… U.S. durable goods orders for December at 8:30 a.m. are expected to show a small expansion after November’s [disappointing result](. The national home price index for November is at 9:00 a.m. and Richmond Fed manufacturing is at 10:00 a.m. The White House will release its long-awaited Middle East peace plan. While Apple is likely to grab the headlines, Pfizer Inc., Xerox Holdings Corp., United Technologies Corp., and Starbucks Corp. are also reporting earnings today. What we've been reading This is what's caught our eye over the last 24 hours. - JPMorgan [keeps bonuses flat]( for bankers, traders. - Where’s my raise? The mystery of ‘[full employment](.’ - The WTO must [reform or die](. - No virus woes for Bitcoin as it climbs to the [highest since November](. - A [brutal Brexit is a lose-lose]( for the City of London and the EU. - The horse breeder, the novelist and the [$60 billion mine](. - [Building high-rises out of wood]( can help save the planet. And finally, here’s what Lorcan's interested in this morning There's a lot going with central banks these days. While we focus on their market-moving decisions like rate cuts and asset purchases, there is currently a subtle game of goal-post moving that is worth keeping an eye on. In the U.S., the Federal Reserve held a series of events -- "Fed Listens" -- as part of its policy-framework review in which the bank discovered that [people generally like their price rises to be small](. Officials appear to have reacted to this by moving towards running inflation higher to make up for the extended era of low price rises, perhaps showing that they may be listening but they certainly are not agreeing. In Europe, the ECB is setting out on its [own year-long review]( of its inflation goals and monetary tools. On that note, there was an interesting speech yesterday from Executive Board member Yves Mersch which mostly concentrated on the [risks from elevated asset prices](. However, he also addressed how the bank measures its main policy goal, inflation. He correctly highlighted that the lack of any meaningful measure of the cost of housing in euro-area HICP inflation means the number does not reflect what households actually see as increases in their cost of living. He added that including such a metric would increase the level of inflation by [between 0.2 and 0.5 percentage points](. Monetary policy changes come slowly, but should the Fed allow inflation to run hot -- and the ECB to meet its inflation goal by simply recalculating how to measure it -- we might see more changes to rate and asset purchases in the coming years due to changes in policy, rather than changes in underlying economic conditions. Like Bloomberg's Five Things? [Subscribe for unlimited access]( to trusted, data-based journalism in 120 countries around the world and gain expert analysis from exclusive daily newsletters, The Bloomberg Open and The Bloomberg Close.  Before it’s here, it’s on the Bloomberg Terminal. Find out more about how the Terminal delivers information and analysis that financial professionals can’t find anywhere else. [Learn more](.  You received this message because you are subscribed to Bloomberg's Five Things newsletter. 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