is "market makers" with erik schatzker and stephanie ruhle. >> risky business. a country that could be on the verge of silver war. an investor who has been buying ukrainian debt. >> y 100 billion dollar acquisitions fell apart and what it would take for both countries to resume negotiations. totwo guys who teamed up bring you the best-selling singers of all time, the air jordan. good morning. numeral watching "market makers"

-- you are watching "market makers" they let everyone in boston today. the world's two biggest gold mining companies have hit a snag. according to people with knowledge, they had agreed to an old sock merger. what would be included in ace been off of australian and new zealand assets. there is the possibility it could be revived. collections rising the fastest rate since the housing crash. they have set -- set records. rose 3% tax revenue last year. folks like and is signaling that it will once again in china. this for they beat out

the very first time. to easeweek's agreement the crisis may be unraveling. more sanctions on russia could be coming. want to bring in peter cook. he has the latest. resident biden accomplish. many say it is just for show. >> it is to a certain extent. it is a show of unity. but to thewo that neighboring countries who worry that they could be next on russia's looks tear. that is one of the primary reasons he is going on this trip. he is the highest official to head to the ukraine during this crisis. they have not made enough progress on implementing the .ill -- the deal

over the weekend we had deadly violence as a check point. three people killed. both the russians and ukrainians blaming each other for a few is responsible. it is a dangerous situation that he is going into. ukrainians are faring the attack over the weekend could be a pretext on the part of the russians to move even further into eastern ukraine, maybe bring the troops into ukraine. it has not happened yet. you better start implementing this deal. perhaps more could be coming. are these accusations that are being slung, is a growing more hollow enough that there is growing evidence that the s mighted activist actually be russian military operatives? >> it may be hollow but the reality is the pro-russian in easternsupporters

ukraine have not given up their positions as they were supposed to as part of the geneva deal. will hold,if it there has to be some effort on part of the russians to will back. we have not seen that so far. it will be a major point on the part of joe biden. you have pressure from republicans in congress and some democrats calling on the administration to do more in terms of sanctions. here is bob corker speaking sunday on "meet the press your >" in unless they immediately began moving troops away we should be sanctioning some of the companies. i think we should hit some of the large banks. certainly we should beat up our security relationships with ukraine. on theof those ideas are table for the administration in terms of options.

if theow it is not clear administration is clear to take that kind of aggressive steps. >> thank you. we're going to send you back to the cherry blossoms. >> ukraine remains a volatile situation. rather as volatility there's always the opportunity to make honey for vides you can get in and get out at the same time. but $850 million. now he was in moscow just last month. to bob corkern saying not to react to the russians, what goes through your mind? does ukraine become a more attractive opportunity or less? >> right now it is pretty up in the air. we got invested in the worst of the crisis.

actually, we have taken some profits. the markets have been reacting with a lot of enthusiasm. there seems to be good news. when things come apart it all is. we have not hit the low prices we did before you ninkovich -- fled the country. you have the parameters. they are not that unattractive. bgp is not too high yet. things get a lot worse. in terms of buying in, i do not think this is the right moment to do it. we expected a bit more enthusiasm from the geneva court on friday. given the fact that things have unraveled as quickly, this was built around what the russians wanted. to some extent there was hardly any requirement for them to do anything. >> why was it unraveled? >> it looks like the russians

are not negotiating in good faith. >> hold on a second. they are not negotiating in good faith. does not give you any positive he want to be invested in this region? i would not be in a hurry to put money to work in russia. that is where the impact is going to be felt. what we generally do, that might work out. the western countries are probably going to be coming back up ukraine to a large extent. russia is a risk. sanctions have been well thought out. there has been a lot of dialogue over the last couple of weeks. i would be very cautious if i were a holder of russia ethiopian attractive investment. >> what card could russian

powers play? optionnonnuclear nuclear is you should rush out of the payment system. you block their ability to transact in the international market. >> transfer money in and out of russia? >> that is the ultimate card we have to influence, russia. >> what do you think the path -- the probability is? the probability is relatively low. the state treasury is pretty conscious of what might come as part of the sanctions. he had to make sure you do not put the whole system at risk. >> would this not destabilize all of europe? i think there will be unintended onto quinces that would hurt a lot of people. >> in the worst-case scenario, you will damage russia by a lot venue with the system. said, it is a nonnuclear

nuclear option. >> you are avoiding russia for that reason among others. >> you're not paying for the risk at this point. >> let's say that western powers exercised this nonnuclear nuclear option. what impact would that have on ukraine? >> let's see what the conditions on the ground in the east are like, how cohesive the government is. one of the problem in ukraine is there is not a lot of accord internally. a lot of people were trying to negotiating are talking to oligarchs. >> walk in russia due to retaliate? >> just jack up the energy prices, shut down the pipelines. that will kill there a company as well. they are absolutely reliant on energy. >> they do not actually have any leverage? >> that is one of the reasons vladimir putin is moving so hard.

he has a losing hand. in two or three years you can start working on energy substitutions for western europe. there is no productive capacity in russia. they do not manufacture anything. they are not competitive in any way. >> he has a losing hand but he has brass balls. we have a winning hand it do not want to do anything. >> who is weak? the americans? europeans? s. american >> we do not have that. >> what was our real interest in libya? saudi arabia? i could go one. >> i could probably sit there and talk there it. there are political reasons. i think ukraine is important. u.s. does have some sense of maintaining the global cohesion. understand isot

why keep money at risk in ukrainian debt now? you bought in at the low. it sounds as though the scenario as paint makes it sound though the situation could easily deteriorate further. why not just go back in at the lows? from a trading perspective, it is always good to have a little bit in the game. even if there is some downside risk or it you want to make sure you are -- risk. you want to make sure you're paying attention. if you see real attractive opportunities, i think if there is sovereign integrity in ukraine and you start going to work political solutions, there is upside. erm i think you will see downside. i would rather be in ukraine right now. >> great to see. thank you so much. >> the chairman and ceo of

greylock hartness. >> now we know what is thinking or doing. >> deal or no deal. acquisition talks fell apart. whether they might be revived. >> the speakers that were once so controversial, the nba bans them. the story of three decades of air jordan's. ons is > "market makers" bloomberg.com. stay with us. ♪

>> it could have been a blockbuster. pfizer and astrid seneca. held talks that for the moment are discontinued. if each deal gets revived in acquisition of ashes and that

there would be among the largest ever. let's begin with this. how serious were these talks? isn we say in formal, it often hard to know how informal is informal? >> let's look at what we know. in formal is the word that is use. they are not going on anymore. we have heard this number tossed around. it happened a couple old of months ago. i think we can characterize this as the type of talks companies do have all the time and we see bubble of now and then in our reporting and other people's reporting. sometimes they come back. sometimes we never hear about it again. >> why the big headline here? >> it is $100 billion. it could be one of the biggest deals in all a pharma history. pfizer has been involved in these previously. why a pharmacy.

they do have a history of going for the megamerger even though they seem to have leaned away from that strategy recently. >> why does pfizer want it? >> you look at what is going on and they have a couple of drugs that were expected to be blockbusters. they have not been. it has been kind of slow. other companies are having this real success in a new type of cancer therapy, immunotherapy. astrazeneca has a strong pipeline there that asked -- that pfizer does not necessarily. it is not just all financial engineering. >> what else? not a nascentis business. it is still small. pipeline that a on the future. what they also have is three that are all going to be losing patent protection or slicing off. businesss a part of it

that is the biggest signal revenue injured richard to pfizer. they sell in the developing world and middle income countries. it is a huge cash generator. they have a lot of power to leverage that. they could take all of these products and put them in the bucket. >> if we know that pfizer and werazeneca were talking, can make the inference at the very least that pfizer is looking at other potential targets? >> what they told us is that they are looking at everything all the time. >> of course they're going to say that. we are always in the market for interesting opportunities. >> every time we see a possible candidate come up for sale we are always able to report out. pfizer is looking reasonably serious. a lot of their money has gone to were buybacks. what we think is about

$70 billion that overseas cash they cannot bring back. that needs to find a home somewhere. it is hard to know exactly where that money goes. >> that is interesting. to say they're always in the market. i john have any hot dates coming up but i always want a new dress. >> the jet industry for bloomberg. recurrenceudy raises -- concerned that the labor market is worse than the numbers suggest. bite making will join us to give us the real deal. mckee will join us to give us the real deal. ♪

onthis is "market makers" bloomberg television. hiring is picking up here at unemployment is coming down.

we have seen jobless claims plunge. why isn't anybody making more money? there is an intriguing new theory about why you're not getting much of a raise these days. what is this. ? asit has been slow as far paychecks. let's go back 40 years and take a look at what has been happening. the yellow line is what average hourly earnings have been. the white line is the participation rate. as it rose in the early 80's, wages went down. we did not get as much of a pop. it was a slap -- supply demand western. then we start to see the participation rate go down a lot. they are not holding there. why is that? there are three popular explanations. the baby boomers are retiring.

two prominent economist gave inexcusable that their paper that suggested all of that is long. finding that when you look at the graph of what happens in the various categories to the participation rate, they are not really declining. people are still in the labor force. what is happening is there are a lot of people who are unemployed waiting to come back in the labor force. that should be happening. employers know that. that is what has always happened in the past. they know there is a large pool of available labor out there. uscan you break down for whose tea leaves and should we read? i feel like you can look at the same data and depending on which economist everybody spins it to their own liking. what does it mean? >> we should see wages start to

rise. that is what janet yellen told us last week. it gets a little more nuanced. when do we see that happen? the former treasury chief economist said it may take over then you ain't because what we're seeing in this recovery is people who love been out of work were a very short time, up to 26 weeks, are finding jobs much more quickly. there is the large pool out there for a very long time. >> can i go back to a point you were making earlier? disprove the theory

that baby boomers are retiring and that women are not staying at home? >> they are not disproving those. they are major contributors. do come down. is not that when he saw the recession the only see people staying away from the labor market. these have been longer trends for they will not get in a magnitude to explain it. it discourage the workers. >> how about let's just have these fortune 500 companies with all this cash. why don't they offer jobs and we will see where people take them? >> that is an interesting theory. we will put stuff in charge of economic policy. >> that would be exciting. >thank you so much for breaking this down for us. courting up, the supreme

make or break for the online streaming service verio. >> michael jordan has two share vp title on this team. this is > "market makers" on bloomberg tv. ♪

>> live from bloomberg headquarters in new york this is "market makers" with erik schatzker and stephanie ruhle. >> welcome back. you are watching "market maker " ." pretty busy week ahead. >> we do. >> dominated mainly by tech news. tomorrow they will be defending the very existence before the supreme court. if a role in the favorite there is no doubt it would reshape the entire television industry. we could see the first step in the biggest ipo in years. alibaba may go public in the next few days.

home sales numbers will be out there out the week. >> i want to break it all down. we are bringing on an expert panelist. he is a former board member at yahoo! and ceo of the huffington post. he is a think tank for digital innovation. a senior economist at banc of america, merrill lynch. i want to break down across the board. what is your take? >> it goes out of business. i do not think you fight the $60 billion broadcast industry. i think it will get slapped out of business. >> the fact is the airways were granted to the broadcasting networks in exchange for free

television for everybody. what they are doing at ariel is just capturing the free televisions and bundling it for you. i hope it does not go out of business. i think people want to be free of their cable boxes. courttt think the supreme will shut it down. you make it sound as if you think they have a fighting chance. >> i do think. a lot of it is political. there was an act of congress that said if you want to use public airwaves to have to give it away for free. >> it comes down to this. the legal term is public performance. have privacye it rights that go beyond the individual family. you might be right. they may get their day in court. even if they say it is illegal, the broadcast guys are going to shut them down and find a way to basically stop their ability to stop sucking it down. think there's too much at stake. ask you tog to

comment on the legal merits of aero's case. standingustices in the way of innovation and is that bad for the economy? >> innovation is a good thing for the economy. it makes it more productive and efficient. i am not a tech whiz. i would imagine there are new ways. you cannot stop innovation. we will try to improve whole technology. i ensure there will be something else. >> even if they are the master napstert could you -- of today, how about the fact it is the innovator that is shaping the system. guys that areny disrupting. it is being disrupted whether it is netflix or amazon. in this instance when disney you

has found a suit against aereo and can figure out a technology, either they will find out a legal way to shut them down our technological way. transmission rebroadcast, i think they have a lots of lobbyist. they are very powerful. you're speaking rationally about the benefits of innovation. i'm not arguing about what is right. at the end of the day, this company longer -- no longer exists. >> the attitude is anti-consumer. areou are proconsumer, you going to allow people through whatever means it to just buy the channels they want to buy. furthermore, people want to be able to see live television on any device anywhere, not tied to their homes. that is what people want. it is going to happen one day or another. people sayreo

-- barry can give money to anything. almost like a free option. >> it will deftly not hurt his finances. i think he is taking a stake in the ground. he is saying this will change. , i like toon't mind move onto alibaba. the alibaba s1 is expected out this week. how exciting could this be? we think of alibaba as a combination of ebay and amazon? >> yes. this is really tru exciting. one in three packages shipped within china. they originate from a transaction on alibaba. to give you a sense of the scale. i forgot you were on the board. it is going to say a lot about yahoo! if you take the relative valuations, yahoo! is the valued right now somewhere between zero

and -$10 billion. this filing is going to have a lot of ramifications through the digital echo systems. for the first time it looks like we have some of the engines in the same breath as amazon. it is the first truly multinational chinese internet company to go public. listed in others are the u.s. they are all local to china. started out as a multinational by definition. there is the site that you could source. project and equipment. has global ambitions. it will have a fantastic public valuation, between 100 million and 150 billion. maybe you have some comments on that. it will be a real power in our world. >> what does this say about the u.s. economy that such a massive

company will want an ipo now in the u.s. market? >> i think it is a positive sign about the global economy. the hope is that global growth will accelerate and get past some of the weakness we have seen. call.is a sector that is what we have seen. this has been a slow recession. you have still seen opportunities for certain sectors to do craig well. >> what is it going to say about yahoo!? effectively, yahoo! has in a tracking stock. if you look at the core business, it is not strong. google andcebook and everybody else. it seems to be in some form of decline. when you look at ad-based impressions, it is not a great business. the stock keeps skyrocketing.

you still own yahoo! shares. >> i do. therefore i am a little suspect when i talk about that. this is a much bigger story about stopping than it is about -- softbank and is about yahoo!. it is going to be worth tens of billions of dollars. it is the biggest outcome of any deal. it has already bolstered shares. >> they begin to monitors -- monetize. what do they do with it? >> yahoo! is obliged to sell about 40% of the state. one is cast coming back. what is yahoo! going to do with that? rest is going to be on this

balance sheet. softbank does not have to sell anything. >> what is yahoo! going to do with all of their money? inc. about what they are doing. now bobby brown and sarah jessica parker will be figureheads invoices on yahoo!. how do those kind of investments replace alibaba? if it fails it does nothing. >> we have to get to housing. that is your wheelhouse here it we have some housing numbers -- wheelhouse. we have some housing numbers coming out. >> i have been somewhat disappointed by the recent housing data. i really wanted it to look better. i think it will be there but it will not be quite as strong as perhaps he were hoping for. the survey was a bit disappointing.

single-family building permits were down. it is not a good sign. new homee will see sales look better. they can still look a little soft. the trend is higher. this is a slow recovery for housing. there's a lot of friction in the market. one of the biggest is the ability to get access to credit. the other challenge is particularly those that are first-time homebuyers they are still struggling to access the market. could be feel better about the u.s. economy because it is difficult to get access to credit? we are coming from a stronger base. run, it isong probably a good thing that we have tied and credit conditions and that we have fixed a lot of the problems in the last business cycle. i think the issue though is that in order to get stronger economic growth we need credit to flow through the economy. it is the oil for the economic engine. there are certain limitations.

>> i am curious what you think. what i see spending time in miami and new york is that the housing market is just ripping back. it feels like there's something bigger going on. >> you just hit on it. york, there are superstore cities that are doing pretty well. you are seeing transactions and home prices. we actually are seeing national home prices did quite well. laster they were up 11.5%. the issue though is when you look at actual volume, we have not seen it. part of that could be low supply. we have not seen that really big rebounds. >> when apartments in the harbor are selling for $10 million you cannot think this is great for the u.s. economy. it is great for super rich people. >> there's is a little more to it as well. trend towardge

urbanization. people do not want to be in the suburbs anymore. francisco, the regulations are prohibitive for building new apartment buildings because of restrictions and whatever else. it is this huge crisis. comingh workers are all in. they have money to spend but there's nothing for them to buy. they're kicking out the people who cannot afford anymore to live there. buildell me they cannot buildings and seven cisco. it is not allowed. >> that speaks to some of the frictions in the home buildings base. we will return to a healthy market over time. we have these affordability measures that are out of whack. there you go. thank you all. it is great to have this conversation. >> will become back, when it comes to their sneakers, it seems as though millions of

people still want to be like michael. on the 29thn is shoe. i think that is amazing. james --ls lebron ♪

welcome back. played his last nba game 11 years ago. when it comes to his sneakers, michael jordan is king of the court heard they estimate that nike jordan rant accounted for 54% of all basketball shoes sold in the u.s. last year. last week michael jordan came to release the jordan 29.

to hear him tell about it this is no ordinary shoe. >> [indiscernible] nowadays on the ferrari to have paddles. it is the paddle it is a constant transition to second into third and fourth current in terms of the transition from the totally healed, we wanted the ite type of get up and pay is there when you need it. it is not a putt putt, low wagon. it is constant. when you want it is going to happen. >> this is at volkswagen. he called it a for raleigh. his image has paid a major part in the success over the last 30 years. so has his collaboration. hiser hatfield has put

creative stamp on his most popular models. i said down with them with the lunch to talk about the two-way relationship that makes air jordan sore. of hard workot into this. it is not something that is not throwing your name on. we have unbelievable dialogue. his 20's. michael in who was he been? how has he developed over the years? >> michael jordan was special the minute i met him. i cannot tell you how amazed i how composed and mature he was. he was already thinking about style and business. he just came from a different planet. it was magical. that was from day one. he was stylish off the court. he was classy. somehow jumped out of the sport for modern culture. we always want to look at performance first. if the player cannot play in the

shoe it is not a good project. i am a storyteller. as a designer, i tell stories through the work. the stories come from real life interaction. somehow they develop a personality. how is the dna in the product year after year? >> we talk to them all the time. >> we test each other. he comes up with an idea and i want to tinker. >> you commie up in the middle of the night. listen to what he has to say. we look at what his likes and dislikes are. this gets filtered into the design somehow. a goodng we really have handle on is bringing new and younger people into the process. michael jordan created an image

based on performance and being real. that is what we see in russell westbrook. he is a fantastic layer. .e looks great in photo shoots he has charisma. he can talk to people and he seemed interesting and fun. to me that is how you build a friend. >> in the world is sneaker heads, you are the messiah. did you ever think this would become a subculture? >> no. i never really thought that way. i was just trying to do a good job for michael. it has happened organically. we have certainly helped it along. i am still kind of puzzled. i am puzzled by how big it is. he is still puzzled by how big it is. kevin durant, kobe bryant, still james, air jordan outsells them combined. when you look at your hatfield and you say is this little guy

with the hat has game? i do not know if he has game on the court. he has shrewd game as a shoe designer. jordan'sthese air trade for over $1000 a pop. they are massive. they are not to -- afraid to pay off. >> what is it for a guy like kobe when he also talked about the issues, what is it about me that i cannot outsell? jordan has not played ball in a decade. hise make so much money on own. he is happy that the culture is so big. love basketball sneakers this much, would there be room for kevin durant, kobe bryant, lebron james? >> more like respect. >> michael jordan was the first to create his own brand eared you have seen followthrough. everybody wants to have a brand right now.

everyone and their brother wants to be a brand ambassador. anyone can do it. for them to choose russell westbrook to follow through, like me he wears red glasses. he has to have serious game. >> it is hilarious that we are taught you that air jordan's today. i was just telling my doctor because she wanted to get -- daughter because she went me to get a pair. >> why not? you just have to to have the confidence. you have that. >> a vote of confidence from a partner. >> maybe next week i will be rocking a pair. netflixg up here, reports earnings today after the closing bell. we're going to find out what impact all the original shows like "house of cards" are are having on the bottom line. ♪

>> today at 3 p.m. do not miss "street smart." marijuana. speaks of inrket makers" will be back just a moment. coming up, some highflying women. female explorers. i am excitedr, about this interview. it we will be back in two. ♪

>> liv from bloomberg headquarters in new yorke this is "market makers" with erik schatzker and stephanie ruhle. runningts that nike is away from the fuel band. are there too many of the devices on the market? >> once these movies do not have a prayer. now faith-based films are all the rage. we'll see if hollywood has got religion. >> bargain-basement poultry. that is gross. for kfc there is no such thing as too much chicken. have a want to cash in on the rising demand for poultry. welcome.

that is just gross. >> it is. i am confirming what you just heard. >> before you get into this, it is time for the news feed. stories around the world. first a look at the markets. they're coming off the best week since july. this has been fluctuated. this is basically unchanged. at this point it is not in the red. it is a $100 billion acquisition. the world largest jet maker held informal talk about astrazeneca. the talks have been discontinued and there are no plans to resume. the second largest field ever is off and running in the boston marathon. on a course.rs

security is tight end a year ago. a year ago they exploded near the finish line killing three people and wounding 254 others. today we are rooting for absolutely everyone in boston. >> meantime, she wants to be in the commodities business. not jpmorgan. we know that. not barclays that. michael moore covers banking for us here at bloomberg. josh is an analyst. welcome. >> we know a few of the reason why teams nobody wants to be in the commodities business. why would anyone want to stay in the commodities business operating under the business of.

frank? a up until year ago it was business. this will show a reversal of that. at the end of the day, there is informational advantage. it gives you the opportunity to provide more services to your customers. if you have physical commodities you can settle this. it --y are looking at this. he was going to be left? out.ays will be getting >> this seems the most here. morgan stanley is going to be in some pieces of it. they are trying to keep this. they will see if they can derail that deal. beyers saying and pieces of that. jp morgan is in a little bit of it. goleman seems to be the one that

is really committed. then you have the other alternatives that are growing. >> can you tell me where is the sexy left? he'll are the heart is, smartest, richest people? people want to be just like glencore. if you have seen them shrink in where areof distress, the highfliers? >> we have talked about this a lot. there are fewer and fewer business lines for them to show topline growth. buying get aly lower and lower profitability. to ask why they are getting out of it. considering all the risk a lot of them have been in it. the fed has wanted to push them out. it is more problematic. arehave these who

grandfather. it is going to be hard for the fed to craft a role that is uniform. relative to bank of america, citigroup, j.p. morgan. as much as anearly deposit taking institution. sameu still have the problem. we think of the new york fed as the most interested in protecting the turf of the banks. on the commodity side -- >> who sits on the new york fed? >> that is right. you are seeing them seemingly take a different tone. they realize their only notation in -- their limitation and the ability to oversee the businesses. they are more interested in pushing the banks out of the physical commodities space than the board. >> what does this ultimately means for goldman sachs? stanley is getting out of some of it. does this play to goldman's advantage? >> i had an interview with

harvey schwartz. he said we are starting to see some advantages to being the remaining player in this business. clients saying we have to come to you for this business. the question is whether they are going to be allowed to stay in it. it forces goleman out with the others. here things are cyclical and you are the guy who stayed around, think about morgan stanley that never left silicon valley when everyone else did. it placed you in the long run. this is the bigger risk. due onment letters are the commodities rule-making. i have a feeling they want to limit the businesses. depending on how far they are able to take that, i do not know how much of an advantage they will have.

is a big risk here that some of these institutions end up in trouble like they were. we find that there are manipulations in the commodity market. >> that raises an important question. happier seeing this activity migrate out of the banking industry where there is a fair amount of transparency? >> it is positive. at the end of the day if you have a large failure, not on the physical commodities itself but a transportation, you have large failure. that becomes a call on the fed. a tanker blows up. it is owned by one of our big tanks. counterparties get nervous. they do not know the size of the liability. human we just talk capital for a minute? if i am a superstar commodities guy, wouldn't i be desperately trying to quit?

how does goleman even keep people in their seats? is getting out and that guy is getting out. the guys going to get regulated even more. >> that is why goleman has been so proactive and saying we are committed to this business. convincetrying to their own people we are going to be allowed to be the remaining player. you can be the top player on the street. i think that is why they have been so public we committed to this. >> i think that is the argument to make. that is shocking. thank you very much. michael moore covers banking for bloomberg. it is great to see. s moving onto the woosh, . nike will end of the production

of its fuel been fitness tracker and has laid off most of the workers. the company says it is not true but is there really enough demand for all of the wearable devices out there? i want to ring back scott galloway, a man that is not afraid to dog on disruptors. thesetalk about wearables. i wear one. eric wears one. when isotopic converses in the 90's, it they said how many people have pointcast on the computers? most of the hands went down. his online broadcaster that gave you great news. how many of you have had or have been given a nike phil banned at some point, happy hands go up. how many of you are wearing one and there'll be five or 10. what happened today is a big moment. this might be for the first time someone calling bs on this whole

wearable thing. that everybody understands, nike publicly and privately is trying to walk everybody back. you're not believing that for a moment. >> this looks bad. they're laying off engineers. >> when is the last time you heard we are laying off our tech dies? -- tech guys? i do not think they will have any trouble finding another job. it validates a lot of fears out there that a lot of people were buying this, charging a three or four times a minute was going in the chore. of nikethere is a ton fuel band sitting indoors. >> maybe that says more about the fuel band than the tidbit or this thing. this is a negative looking forward indicator on two levels. it shows the consumer brands probably do not have the capital are set logical expertise to get into wearables. >> which is amazing given that

nike was in early. >> they probably did the best job. >> no consumer company will be able to pull this off. the broader implication is the whole wearables thing is a symptom of a bubble where you have these concepts that are hyped eons all reasonable expectations. >> is a giving him more information than we need? give what thisly looks like. i do not want to be sad. -- i just do not want to be factored is is getting is way too much information? >> the wearables market has arty evolved. it has a great player. it is this. everything is redundant. >> they will just end up in your iphone? will likely be a niche market. will it be the $50 billion market we thought it was going to be?

probably not. look at everything you are wearing. fashion brand know-how to convince you to put something on your person. tech has never been able to do that. do you want a pair of google glass? you want to show up at a party with google glass? technorati make stuff that works. no one has figured out how to bring the two together. it is a huge hit. >> under armour did make a wearable. data. is that with the true value lies? a costs a lot less. >> you saw fit to announce they're now going into price. they are giving data back to companies, trying to get them to be more healthy. companies give this out to their people. this might be another application. the whole world of wearables

took a significant ratchet down this morning. >> do you feel guilty when you are wearing one and eating a cheeseburger? i just take mine off here . >> do think we will not have an iwatch? >> it'll probably some sort of wearable whether it is eyeglasses or shirts or luggage or something. when they are trading at seven to eight times, it would be irresponsible of them to not try and get into the procedure business. >> they are not competing with this. they're competing with rolex. >> against rolex and the cheering group. the entire luxury business has gotten fat and happy. been the best business. apple is about to crash the party. had ever worn any of these? >> a bunch of them. at the end of the day it is like rennie humility in the face. >> it gets me down.

thank you so much for joining us. scott galloway, a marketing professor at nyu. >> we will be back talking about hollywood and how it is keeping the faith. there is money to be made in religion-based movies. sandwich that has fried chick in where the bread should be. it is so gross. we are going to use the about poultry prices. this is "market makers" on bloomberg tv, stream it on your phone and bloomberg.com. you can catch all of our stuff on apple tv and amazon fire tv. ♪

>> welcome back. "bloombergfor some

west." several big-name tech companies have been approached about a takeover. that is according of the journal. they supposedly lost 100 million bucks. isn't that chump change? motors founder said the company will start making cars in china. the model as is about to go on sale in china. the 25% save then tariff the chinese imposed on import cars. captain america is still a superhero at the box office. captain america took in more than 26 million in seconds. >> "captain america" dominated

again. the real superhero this weekend you might say the almighty, the religiously themed movie "heaven is for real." a collected more than $21 million in its opening weekend. another example of how faith aced movies are ringing it in an shocking bost office prognosticators. jon erlichman is here in new york city. tells more about it. he did this one. he bought the book right years ago. you are right. more than $21 million over the weekend. 28 or so domestically. inmate for $12 million. >> only $12 million? the marketingow side. that is interesting.

somecertainly did spend marketing money targeting religious audiences. was not a story about religion. it is about all of our curiosity with the afterlife told through the eyes of a young boy who has a near-death experience. he is like getting into it to say i want to cash in on potentially the appetite out there from religious-based audiences. we have seen a real trend this year. >> is it a family audience? when i think about shows you watch with your kids, there is a very limited number. voice" just because there's so little to watch. >> what about bonanza? there is an argument in that. you decide maybe between this , i think there

was a time when the bible was a great resource for hollywood to make these epic movies. was a stretch where there was a little bit of rebellion tight religion we saw havevies which may be just th n distanced families. vinny seawell respected pastors been youe -- well -- see well respected pastors who have become producers. back,the folks who direct, produce, starr and these films need to buy in? is it just another movie? what no with a great example -- was a great example. they took their own license. there was a lot of backlash because of that. as a film director you can say this is a movie. this is my interpretation. we are doing some hollywood set to push away from that. there are people who will get

angry when he tackled the subjects. you better be ready. having a game plan. isn't it a positive? all press is good rest. the fact that people are going to fight about the something to talk about. people at and, when brunch table love to argue over faith-based entertainment? eric wants to argue. >> yes and no. "heaven is for real" is trying to relate to are probably not the same people that will go see "noah" l.cause it is controversia it has a lifetime field today. you get me. global box office is

ultimately an important part of the story. has had more success overseas than this film. knows there is a global. also tee time to this. -- no there is a global curiosity tied dto this. >> good to have you here. i amming up, i feel that being tortured by our producers. soaring.ve been americans are turning to more chicken. we are going to tell you how kfc is trying to cash in. i am being tortured today. ♪

>> live from bloomberg headquarters in new york this is "market makers" with erik schatzker and stephanie ruhle. >> i am here with stephanie ruhle. you heard the story already about who costs. they are rising. to pork at least wanted and beef, is still a bargain. demand for chicken is expected to be the highest in years. is bringing back its double down. a sandwich with fried chicken where the bread is supposed to be. julie hyman has the lowdown on the double down. haveam so sorry i do not

one with me to taste. you're probably not sorry at all. >> not at all. actually, i am curious. i would like to see it. >> fried chicken with cheese and bacon in the middle. were it not for the bacon and cheese it would be a perfect passover sandwich. looking at the nutritional information. 540 calories. 32 grams of fat. 1380 in terms of sodium. 1500 is your recommended daily allowance. you take care of your sodium in one fell swoop. capitalizing on the hot chicken trend. everybody eats chicken. they introduced us back in 2010 for a limited run. they said they sold 10 million in the first month. this is a limited run as well. it is introduced today.

things that these food chains due to generate some excitement and some buzz. we're also doing a big social media campaign around it. they doubled their people to go and eat the sandwich. it is a marketing gimmick as well as trying to actually sell some of the things. the company said it was not really material in terms of the bottom line. it creates is buzz. the prices.k about i am not quite sure exactly how it is analyzed. how much cheaper is chicken relative to pork and beef than it used to be? >> if you look at per pound chicken, they released a whole chicken price per pound. sold by georgia farmers specifically. you are looking at less than half the price for beef. pretty much the same when it comes to pork. it is a different price when you are looking at boneless, skinless breasts. when you are looking at a whole chicken, you are looking at a

much cheaper price per chicken is a record. >> ticket prices have been rising as well. on the relative basis. it is less expensive. the migration to chicken is a longer trend. this is not something happening this year. we are seeing for help as well americansasons that have migrated culturally over the past decade. >> given that kfc has a this move, should we expect to see other fast food change?

they have pita toppings in front of them. i keep saying we should have a whole taste test of this array of chicken choices. we have not quite gotten it together enough to get that. you are probably happy about that. >> levitation is in the mail? >> thank you very much. trend toward more chicken. the democrat strategy for next november's elections and all the action is on capitol hill. -- missedhave mixed any of our interviews, each can watch apple tv where we have been for quite some time. you can watch is on-demand or streaming live. it is your choice. ♪

>> control of the u.s. senate may be the ultimate prize since november. it is the less sexy state and local elections that could determine the outcome of the 2016 vote? though mattingly goes behind the scene with democrats around the keytry is they try to win battleground states. secretary of state. have a look. >> many somebody that will be a fair operator.

organized early and stay to boost support her enthusiasm and elevate battlegrounds for secretary of state races. >> this is going to be turnout election. >> they believed this is a winner. secretary of state races get little attention on the national level but track tightly with the parties push. >> how big of an impact in a secretary of state have when it comes to elections. these are the folks that control the levers were elections. he sent staff and resources for a drop in turnout expected in midterm elections. secretaries of state are crucial. they establish election day procedures and oversee election conduct. the dnc has been brought out to juice interest and fundraising for the effort. >> it is time to stand up and fight back.

>> to outside groups have pledged grassroots campaigns in the expertise of powerhouse democratic consulting firms. >> it is time to fight back and flip the switch from defense and go on the offense. bird.t jeremy strategists of the behind a group running campaigns backing democratic secretary of state candidate in four states. he said one person who's not even on the ballot is one of their best weapons. forooking toward 2016 hillary specifically, is that helpful? thatere is no question they will have a massive impact on the presidential race in

2016. people who really care about hillary clinton and her candidacy care about these races. >> turner has to make up a seven to one cash disadvantage. outside help matters. the races is about state issues. she is keenly aware of what a win could mean. >> i get why people are paying attention to this. >> phil mattingly with us now. moment aboutr a the motivation behind this. democrats won a harsh lesson in 2010 that if you june not win the state races you could find yourself at an incredible disadvantage? >> in 2010, they do not pay attention to the state-level races. there were republican secretaries of state in all of these positions. you talk to people like jeremy bird who are running the ground

operations for obama in 2012, there was a notable difference between 2008 two 2000 12. >> what do we expect the republican response to be? they're pledging between five and $10 million. i do not think the numbers are realistic. we will be ready for whatever democrat sent at us. the republican state party is raising money jeremy bird's involvement in this. they are pointing to the staffers that are on this and trying to rig the game i had a 2016 two-putt hillary clinton into the white house. four 2016 two put hillary

clinton into the white house. >> great report. thank you very much.

>> we have heard from marco polo all the way to buzz aldrin. they are mostly dudes. our next guest wants to help change that. it sports women on the brink of discovery. she is also an author. tell us about this. i do not stop exploring.

i stop being able to travel as much. i looked at the world of woman in exploration. i did not know there were very many. i started a project called "an oral history project." we found five women explorers. then i wrote a book called women of discovery that looked at 2000 years of women's contributions in history to exploration. i had no idea it was so full. there were many more people we could have put in the book could because of that we founded to look at women today. >> people think of the world as being well explored. what is left to discover? >> everything. >> what does that mean? >> undiscovered tribes. expiration is about everything from the intestinal to the universe. magazines like

science news, which i am an avid reader of, every day they come out with 15 or 20 new discoveries. look andortant that we listen to explorers now. they are the people on the forefront that are making the discovery that make the rest of us make the informed decisions about how we go forward. we shouldn't think about exploration in terms of guys dressed up heading to the south pole. that is not exploration. terrific. pioneer [indiscernible] we now have 74 fellows. of endeavors.e some of them do not even have high school degrees. some of them have multiple phd's. >> what is the robot and raising

money. -- roadblock in raising money? woman investors have a harder time raising money. we do not think about women as scientists. that is why it is so important. it is a symbol of them going into the recover. it informs her educational row gram. they serve as role models to young girls and really to everybody. it is my belief that everyone is a explore. >> who do you turn to to raise money? >> is mostly individuals. we are a small organizations.

we are not affiliated with any other academic expiration. it is harder to raise money. we are trying. we everything given away about half $1 million in the past 12 years. >> who is the most exciting score we do not know about? >> all of the people on our trading cards. every single one of them. we are honoring for new women this year. a brazilian woman who discovered that all the bumps on alligator's head are actually sensory devices. she's a mural biologist. she's working with blind cave fish. these are fish that do not have eyes but they have developed this yesterday.

this is a 19th century concept. there are places that people need to go to for us to understand our environment better. the world better. >> explorers go where they go because they have to do answer the question to find out they are not adventurers. they are not adventurers. they're not just mountain climbers. >> that is important distinction. they go places where they have to.

>> best of luck. what a great organization. >> we have baseball cards. inc. you so much. -- thank you so much. >> thank you very much. >> will be back in a couple minutes on "market makers." stay with us. ♪

>> here we go. we're about to wrap up the show but there is another headline.

dan loeb has come out aggressively criticizing the management of the company. a few weeks ago he created valuesothebys.com. he has put the three board members has recommended himself up against the three existing board members. we have not heard back from sotheby's yet. while dan loeb has been pretty n, he is not asked the ceo to step down. >> and love the way it is phrased. versus jessica the blitz. >> what is he saying is that this is a tremendous premier rants. there is great value that can be unlocked. with this management you cannot.

these are aggressive words. >> this is part of the new activist mo. do this on icahn ebay. whether it is working or not. he was not able to do this a lot. we will see if yes more success. will come outf with recommendations in the next couple of days. maybe dan loeb is coming out with these data points will affect you. >> tomorrow tune in. we are having a showdown of the supreme court. it is the broadcast network versus aereo. we will be talking to the former cochairman of the wb network. i forgot what time it is. julie hyman has more. >> thanks so much.

it is time for treasuries. they are rising after a deadly crash in ukraine. turning me with a look at what the out jim's market is telling , he is the derivative strategist at the holdings. we were talking about a lot of investors. they are doing this when it comes to stocks. talk to me and about what you are playing. >> we are mid april. we are 1%. this point. obviously an impressive rally on markets last week after a sharp pullback. we remain on the defensive side. coming we could see some dispersion for the indexes. they will continue to be a little confusing and choppy. single stocks continue to move. maybe you can place some or bets on the individual level. he mentioned momentum.

we've been watching a lot of the stocks get whipped around. netflix is after this. what are you expecting here? are you expecting more of a decisive mood in one direction? >> they are definitely expecting netflix. two bellwethers among -- worth mentioning. we did a run last week of the runs with the largest implied move in the options market. it is twitter. it moved 24% from the downside. implied forut 18% the earnings next week. that is at the top of the list. we cover it with rob sanderson. he is very construct did. it has come in almost 28% since the highs in early march. what the focus is is going to be

the subscription numbers. that is really where the stock will be made or broken. we expect solid numbers there. >> very quickly, what is your strategy? a 50 point spread for about $15. up make $35 with the stock above the upper strike. it gives you about a 2.3 payout. >> it will be interesting to see what they show. we really appreciate it. we will be on the markets again in 30 minutes. ♪

>> welcome to "lunch money." david cody says what is behind the company's turbocharged earnings. in media, the producer disney says he would not have made the movie without angelina jolie. triumphant return. 30% more runners this time. in cars, but makes a great investor.