last maybe two days. well, perhapses two questions. we're going to let him hang around a little bit to milk it for all it's worth. hank you guys. >> president of the united states embracing the outgoing white house press secretary jay carney as mr. obama just told us, to be replaced by josh ernest. we'll continue to follow this story, bring you more details as soon as we get them. in the meantime, to our viewers here in the u.s. and those of you joining us from around the world, welcome to bottom line d. we have full coverage of the stocks and stories making headlines on this last friday in may, 2014. yang yang discusses the galactic battle for the home of the george lucas museum. agricultural reporter has details on what's known as an orphan rain. we begin with megan hughs and the resignation of veterans affairs secretary eric shinseki.

a public apology followed by a private resignation. this was not totally unexpected, was it? >> pressure had certainly been mounting, a very different resignation or personnel shift than the one that we just heard from spokesman jay carney stepping down and josh earnest taking over. this week a lot of pressure for the secretary to step down. we saw that inspector general's report, we had dozens of lawmakers on both sides of the aisle calling for it. so the president met face to face with the secretary in the oval office this morning. he got that resignation, he also got an update on the va's review of the situation, showing that the issues with delay of care are a widespread problem throughout the system. here's the president shortly after that meeting. >> he does not want to be a distraction because his priority is to fix the problem and make sure our vets are getting the care that they need. that was rick's judgment on behalf of his fellow veterans.

and i agree. we don't have time for distractions, we need to fix the problem. >> and that was actually secretary shinseki's second stop of the morning. he began the day with a speech to a homeless veterans group where he announced immediate changes at the v.a. and he apologized to veterans, members of congress and the american people. >> i said when this situation began weeks to months ago that i thought the problem was limited and isolated because i believed that. i no longer believe it. it is systemic. tifes trusting of some and i accepted as accurate reports that i now know to have been misleading with regard to patient wait times. >> that inspector general's report out this week found an average 115-day wait for patients seeking doctors appointments at the phoenix hospital. a statistic that had been

covered up by employees trying to game the system. 42 medical centers are still being investigated by the inspector general. >> so now that secretary shinseki has resigned, what's next? >> that internal v.a. report that i just mentioned, the audit, that's expected to be out in public next week. the preliminary results were given to the president today. the white house also has its own review of the situation. that's also likely to be released next week. the secretary, as i mentioned, also announced big changes on his way out. secretary shinseki said he started the process of firing some of the top officials at that phoenix v.a. medical center, senior executives throughout the v.a. aren't going to be receiving bonuses this year and the v.a.'s also contacting the veterans in phoenix who were waiting to get the care that he says that they deserve. now, overseeing the v.a. in the short-term by the way, v.a. deputy secretary sloan gibson. he's obviously got a big job ahead. >> megan hughs joining us. thanks. let's go back to that top story

we were telling you about. the resignation of the white house press secretary jay rney, to be replaced by josh earnest. our bloomberg washington correspondent is standing by. was this expected? >> you know, this is something that's been at least talked about in washington for some time. jay carney's been on the job as press secretary in some form or fashion for more than five years. so he's been in this administration for some time. he was serving the vice president, first of all. well known to a lot of us here in washington first of all as a reporter. he was of course with "time" magazine for some time before he mealed this shift into the a -- made this shift into the administration. he's had his tensions with the reporting corps in recent weeks and i don't think anyone at the white house right now in terms of the press corps is surprised by this move. just given the amount of time jay has devoted to the president. and also not that surprised by the president's decision to replace him with another loyal soldier in his white house and that is josh earnest who has been deputy to jay carvey for

some time. but this is of course an important post. this is the public face of the administration, when the president himself often not taking and jay carney's had his intention -- tensions but also respect from people within the press corps. they know where he came from. they know how he's handled this job with you he's had his challenges and josh earnest is going to inherit some of those moving forward. >> what's next for jay carney? >> we don't know. he was asked if he was going to join a band and he said probably not. but he might look out for his son's band. i wouldn't be surprised to see jay carney move perhaps back into the media world as a talking head type of some sort. i wouldn't be surprised to see him write a book himself about his experiences. but he's going to have a lot of opportunities but i think the first thing he's going to do is take a little time off with his family. that was the pretty clear indication. he's been going at this pretty nonstop. >> you've been in that white house press briefing room, you've been on the hill, you know jay carney and the back and forth that goes on, as you

mentioned, between the white house press secretary and members of the washington press corps. can you give our audience just a little idea of how tough a job is that? not only as you mentioned are you the face of the administration, but you are responsible for giving information out that is picked up by news organizations and then disseminated around the world. >> you have to be an expert in so many fields and you also have to acknowledge going in that you will never satisfy the press corps to the extent that they would like. jay carney has been an obstacle for many of us in trying to get information from this white house. but he's also been helpful at other times. you will never satisfy everyone. part of the balancing act that job requires. >> no doubt. our chief washington correspondent, thank you so much. let's shift gears now. it's the next great food craze if anyone ever heard of it. climate resistant crops growing in south america and africa are starving for investment. leading to lost opportunities

for diet diversity. we are in washington to talk about one of these things. you discussed a lot of different foods on this broadcast. this time you've been looking at crop that's very much like quinoa. tell us about it. >> playing off of some of the coverage we've also had today, jay carney were looking for a job in marketing he might want to try something like this food. there is a crop very much like quinoa that has a real attraction and that is it's very resistant to climate change. the obama administration has been talking about how as climate shifts we're going to be looking for alternative food sources, different trade patterns. it's very resistant to climate change, even more so than quinoa. but the problem is, if you're not a star food, you don't get the research and you don't get the marketing.

>> why can't we buy this in the grocery store then? >> global food chains are very complex. you have marketing, you have distribution, you have research. if you have a crop like canahua that can be good for a diet in say a whole foods or a regular market or all of the places where quinoa has sold now, you first have to be able to get that quality where it can go to the global food chain. that means it has to have a packaging mechanism, it has to have buyers and sellers and it has to be competitive in the marketplace in terms of having varieties that can actually fit into the food chain in a way that a large global trader would want to take. this particular crop doesn't have that. there are some researchers who are trying to get it there. >> how does the science of the climate change debate, why should anyone care? >> they should care because your quinoa may not grow so easily in the next 20 years. you can see it all over with different crops as global patterns change in terms of where fruits and vegetables are

grown, where grains are grown. you're going to look for more sources. 90% of the world's foods come from 20 plants but there's more than 20,000 edible plants on this planet. as the climate changes you need to know more of them. this is what we're looking at with our story. >> what does the future look like then? where else might there be some superfoods if they receive just a little help? >> i was talking with some university of california researchers who are working with.s like mars, including things for what it calls the african orphan crops consortium. they're looking at these underresearched varieties and are wondering what are the nutritional values and freshness values that you could be taking from these crops? what could we be investing in to give us more diet diversity and a more fun trip to the grocery store in years to come? >> it's interesting, when i found out we were doing this story, i told my crew, i said, please don't make me say this word. and i'm usually not fritened -- frightened to say anything. >> canahua. if you can say that and quinoa 10 times in a row, you earned

your pay for the day. >> have you ever tried it? >> i have not. i was working with a reporter who went to bolivia. he said it's a lot like quinoa. except it's a little less bitter. you can ground it up into a hot drink like hot chocolate, he says it's delicious. > i'll take his word for it. thank you. coming up, fresh evidence that americans are tightening their purse strippings. we'll examine april's consumer spending numbers when "bottom line" on bloomberg television continues in just a moment. ♪

>> consumer spending in the united states fell in april after the biggest surge in nearly five years. despite several weak economic reports this week, my next guest is very upbeat about the state of the u.s. economy. brian westberry is the chief economist at first trust portfolios which supervises $88 billion in assets. he joins me from his firm's

headquarters in wheaten, illinois. welcome back to "bottom line." it's good to see you again. >> it's great to be with you again. >> what happened last month? >> you know, so let's just talk about a broad range of data. i know you're going to get to some other stuff. but this week we got a negative g.d.p. report and it was all about the winter weather, in my opinion. because on that very same day we got this great initial unemployment claims number that was much more real-time. the g.d.p. number's are old. the consumption number us talked about, same thing. december and january were really weak, then we popped back up in february and march and then we had a little payback in april. everybody bought the cars that they didn't buy. so that's what i think happened. if you look at the last couple of months, if you look at the last couple of weeks, the data isn't really weak anymore and i think we're going to accelerate into the summer. >> will that pause by consumers give you pause when you're assessing growth prospects for

the second quarter? >> it doesn't. when i look at the last three months, i think the weather really has made these things volatile for month to month. held them down, catch up, payback, but just the last three months consumer spending, after inflation, so even after we adjust for inflation, is up 4.2% at an annualized rate. that's a pretty good number. investment is also up in the last three months. we saw that with the durable goods report and so the bottom line is it looks like g.d.p. in the second quarter is going to show a really nice rebound and be over 3% growth. >> so are you looking at the march and april consumer spending numbers separately or are you analyzing them together to gauge how demand's holding up? >> we're putting those together. that's a great point. because nobody went out and bought a car in january or february in chicago or new york city or, heck, atlanta.

they were snowed in at least twice, three times i believe this winter. that just really held data back. then you get a pop when the weather gets a little better and then you have a payback. because you went artificially low, artificially high. and then april i think was just that kind of payback and now we're going to normalize on the trend again. so i look at march and april together and they look pretty strong. >> today's commerce department report, it also showed that income rose .3% in april after advancing .5% in march. so with spending down and earnings up, the savings rate among americans is increasing. how is that going to impact spending near term? >> i think obviously it helps, right? we're in a little bit better fiscal shape. you know, the number that i look at when i'm trying to judge the consumeers' fiscal health, financial health, is the financial obligations ratio.

the federal reserve puts this number out. it shows how much of our monthly income we have to pay out for car leases, car loans, home payments, rent, that kind of stuff. and right now that ratio, the amount we have to pay out every month from our income, is the lowest it's been since the 1980's. so savings is up, financial obligations are down, that bodes well for consumer spending for the rest of this year. >> i'm speaking with brian wesbury, chief economist at first trust portfolios. you know consumer purchasing power is growing, debt ratios, as you alluded to, are low. which sectors are going to benefit the most from that? >> so far if you look sort of at the stock market, people have valued those consumer staples things. that's kind of the safety stocks, the safety areas of the market. they're worried about the discretionary spending. i believe that discretionary spending is going to start

picking up. housing is starting to pick up. auto sales are already pretty strong but they're likely to pick up as well. so i look at that kind of discretionary area of the economy, people are more likely to go out to eat, to go to equipment,buy stereo you know, or more computer equipment. and so it's that discretionary area, not just the staples that are going to perform in the months ahead. >> what does the current data mean for business investment? record profits we're seeing, balance sheet cash overflowing, are the fundamentals ripe for investment at this time? >> i think they are. corporate profits are at an all-time record high and i believe that's really driven by productivity, you know, the cloud, the smartphone, the tablet, apps. these are not only helping consumers, helping individuals get to places, shop, all of

those things, but they're also helping corporations manage their inventories, manage their sales forces, manage their businesses and i think that's really helping. i think corporate profitability is going to continue to rise and also on top of that, capacity utilization is now reached back to average levels of the past 30 years. so corporations are going to have to invest in more capacity. so i think we're right now ready to see, you know, we've called in the plow-horse economy. it's plodding along. but i think this plow horse is going to start to trot a little bit in the quarters ahead. >> we'll leave it there. brian wesbury, first trust portfolios. rooting for your blackhawks. the rangers need an opponent. >> we'd love to play the rangers. let's go, blackhawks. >> have a good weekend. thank you. up next, highlights of our exclusive interview with the interim c.e.o. of target who discusses the challenges facing

the next c.e.o. ♪

>> now the latest on ukraine. the organization for security and cooperation in europe lost contact with a five-member team in east ukraine. that's where four members of another mission are still being held by pro-russian rebels. the team is made up of four international workers and one ukrainian translator. meantime, pentagon officials say russia has now pulled back most of its troops from the border with ukraine. ukraine is one of the many things on the agenda as u.s. national security advisor susan rice joins charlie rose. that's tonight at 8:00 and 10:00 p.m. new york time, only on bloomberg.

now a bloomberg exclusive. the target annual meet something june 11. sbir imc.e.o. will no doubt be dealing with a number of issues. a common stock in its own mini bear market, continued fallout from last year's data breach that left 40 million u.s. credit card customers vulnerable. and a troubled canadian division. joined us on "bloomberg surveillance." >> what we've done has been unacceptable and nobody feels that more than the canadian team up there. we've got a new leadership team who is focused on fixing the technology in the supply chain. parallel to that path, exactly to your point, we're looking at everything we've done there, the assortment, the promotional cadence, how we promote and display the merchandize. >> as for the united states, he says target needs to focus on what he called newness.

>> when we're at our best we're driving newness into our stores and we need to get back into that. we have a great pipeline of innovation that we're going to bring to our guests over the next several months but we need to expand that and get more newness out to our guests more quickly. >> and mr. mulligan discussed how the next c.e.o. needs to transform target. >> we need somebody who can lead us to become -- transform us to become a leading omni channel retailer. the individual who has the vision for what's great about target today, the brand and what that brand represent, and how we transform that in a digital world and bring the digital world, mobile, and all of that back to the store and tie those two together. >> and when asked if he would like to be the c.e.o. permanently, mr. mulligan said he expects to be chief financial officer for a very long time. we're coming up on 26 minutes past the hour. that means that bloomberg television is on the markets, matt miller standing by with the

details. good afternoon. >> good afternoon. let's get you caught up on where the markets are headed into the end of this session on friday. it will be a positive week but it looks like a little bit of a red arrow at least on the nasdaq there. down .3%. 4,233. the s&p and the dow jones little changed and as you can see, really hovering niece those all-time highs. 19,-- 1,921 on the s&p 500. the dow jones industrial average is 16,697. couple of stocks we're keeping our eye on today, men's warehouse and joseph a. banks. the f.t.c. has closed its probe of the merger between men's warehouse and joseph a. banks. regulators decided to end its investigation saying that competition between the two is primarily among its brick and mortar stores and, quote, buying a suit online does not seem obvious to most people. men's warehouse up 4%. joseph a. bank up as well.

both company's boards have given a thumbs up on the deal. bloomberg on the markets every half hour. stay with us. ♪

>> welcome back to the second half hour of "bottom line" on bloomberg television. thanks for staying with us. let's check some of the top stories we're following for you at this hour. former microsoft c.e.o. has agreed to buy the los angeles clippers for a record breaking $2 billion. now it's up to others to determine if the deal goes through. shelley sterling said last night she signed a binding contract for a sale of the clippers by the sterling family trust to ballmer but it's reported that donald sterling's attorneys contend he's a co-owner of the clippers and therefore must agree to a sale.

something they say he won't be doing. spacex founder unveiled a spacecraft to ferry up to seven astronauts to low-earth orbit. v-2.craft is called dragon that's a look at the top stories in the news at this hour. it's not jedis and storm troopers battling it out in "star wars" creator george lucas' latest saga, it's cities. the former lucas films c.e.o. and owner is now working on his namesake museum. while san francisco neighbored at skywalker ranch should be the top contender, the windy city is blowing in with a challenge of its own. we size up the unlikely competitor. >> chicago, known for wrigley

field, da bears and deep dish pizza, now wants to be home to chewbacca, r-2-d-2 and everything else that comes with a george lucas museum. >> it's a win-win for the city of chicago. >> mayor rahm emmanuel set a target of $55 -- 55 million chicago visitors a year by 2020 with a total of $48 -- 48.4 million last year. the museum could help close the gap. >> there needs to be some real destination drivers and of all the things i've seen in my years on the job, this is truly one of those game changers. >> the proposed lucas cultural arts museum would be a $300 million showcase for lucas' personal collection of art and memorabilia, featuring names like rock well, am diala and vader. a vision is in place even if the location isn't quite yet. in chicago a task force has recommended 17 acres of lake front property currently home to the bears soldier field parking lot. chicago would lease this land

for $1, a bargain for george lucas, but city officials hope that the force of the museum will attract visitors and revenue. the "star wars" empire has already earned $27 billion. and with another movie in production and two more planned, there's no apparent end to the interest in the franchise or the man who started it. in san francisco where "star wars" was born, federal officials rejected george lucas' original proposal to build his museum in a national park overlooking the golden gate bridge. still, local leaders are hoping home team advantage can win. >> we think it's a natural tie. the amenities, the digital media and, you know, it is lucas' home. >> but ever since his marriage to his wife, lucas has called chicago his second home. and chicago has its advantages. >> for all the people that this museum is going to drive, i think getting in and out of chicago will be easier than

getting from one coast to the other. >> to quote a small but powerful jedee, impossible to see, the future is. lucas is expected to select a ocation this summer. >> yang yang joins me now from washington. she just did a jedi mind thingy. if san francisco -- has san francisco offered up a new location for the museum? >> they just have just yesterday. san francisco mayor sent george lucas a personal letter offering him a 2.3 acre spot along the city's water front known as sea wall lot 330. in the letter he writes about the many merits of the location of san francisco including that it's wind protect and enjoys sunshine an average 300 days a year. so a clear dig at the cold winters in the windy city. so while san francisco is the most obvious choice here, they're not taking the competition from chicago lightly. >> i guess if it is san francisco and we can't find

corey johnson and emily chang, we'll know where to look. coming up, argentina's president calls some hedge funds, quote, serial predators. we'll tell you why next. ♪

>> it is time for today's latin america report. argentine bondses have returned 40% over the last year. that's the most among emerging markets. now the second largest economy in south america is preparing to return to the bottom -- bond markets. we're following that story. i got choked up just talking about it. argentina has an issue debt in the international markets since -- hasn't issued debt in the international markets since 2001. >> it defaulted on $95 billion in 2001. >> that will do it. >> it took five years for them to have their first restructuring and then it wasn't until 2010 that they had their second restructuring, all the while offering creditors the

worst terms since world war ii for a restructuring, about 30 cents on the dollar. and there have been 7% of their creditors just didn't want to go in on the deal and those are the big holdouts that have been wrestling them in court. and when you have this threat potentially of attachment in courts, you stay out and they've been kind of organically growing through a commodities boom but recently their luck has run out. >> what are the politics of this? because there have been different leaders in argentina over that time. what political influences have been holding this up? the two leaders have been kirshner and his wife. it's been a consistent policy. they say they don't want to increase debt and they say that it's up to them. they don't want to increase their debt burden, they want to be an organic grower but really it's chaotic policies that have scared off investors. >> talk to me then about the

timing. why now? why is argentina looking to come back now? >> well, they are running out of money, to put it bluntly. they're running out of money. their reserves have fallen off a cliff. their inflation is extremely high, it's about 30% year over year. nobody believes in the value of the peso anymore. they devaled in january. and they can't keep doing what they're doing. so they need to come out eventually. they have large amerityizations, they have billions of dollars of restructured debt to pay off. they just can't do what they've been doing anymore. >> argentina now has come to an agreement with the paris club, that's the informal group of the biggest creditor nations. what else has the country done over the last year or so that has gotten investors at least a little bit more optimistic about a comeback? >> they are basically dealing with their wrong decision to. they had been -- diagnoses. they had been lying about their -- wrong doings. they had been lying about their

inflation statistics. the i.m.f. said they had to report better statistics. they've come out and done that. they ex appropriated the sale of y.p.f. in 2012 which was seen as radically antimarket friendly. and now they've recently settled with them and given them bonds to settle that and compensate them and they've settled some arbitration cases in the world bank. >> but argentina, it still hasn't resolved its issue with the mainly holdouts. hedge fund manager paul singer among them. can argentina really make a comeback if its status quo for the hedge funds? -- if it's status quo for the hedge funds? >> everyone's saying no. as long as they don't pay these guys off, and they have billions and billions of debt and judgments in their favor, they're not go going to be able to compress yields to the point where it's attractive for the government to sell bonds in the market. >> argentina trying to remove itself from that list of international pariah. thanks so much for your time.

and that is your latin america report for this friday, may 30. up next, encore. your guide to the biggest news makers of the week. "bottom line" on bloomberg television continues in just a moment. ♪ d

>> it is friday, so we bring you encore. a look back at the most notable news makers from this past week on "bottom line." >> i think it's a good mandate. obviously it's not a sbrice -- surprise that was elected but the fact that there was a pretty decent turnout across the country, including in the eastern regions, really does show that there's a lot of interest among the ukrainian populous in moving forward out of the current crisis. >> the real challenge in the transatlantic negotiations is not so much the tariff negotiations or tariffs with the european union are relatively low. we face compared to our pacific trading partners, lower trade barriers on the tariff side. the real opportunity and upside

for u.s. business and for e.u. business is to reduce regulatory and compliance costs. >> so we're several years now into the economic recovery but if you look at what's happening in terms of unemployment rates or underemployment rates for recent black college graduates what you see are that there's barely been a recovery at all. we have an unemployment rate for 22-year-olds to 27-year-olds, african-americans, with a college degree that is basically where it was at the lowest point in the resellings, about 12% -- recession, 12%. >> companies are sitting on record cash, you know, the expectation is they're going to invest it. but when you see earnings numbers like that protecting the bottom line becomes essential. and i think what we'll see is a result -- as a result is more stock buybacks, more mergers and acquisitions. the ultimate goal is going to be enhancing shareholder value. >> house minority leader nancy pelosi sat down with political capital host today with a -- for

a wide-ranging discussion on everything from the resignation of veterans affairs secretary eric shinseki to her thoughts on the benghazi select committee and if it's aimed at hillary clinton. >> i don't think that hillary clinton at all. >> you don't think they're about hillary clinton? >> no. these house republicans, they're not about presidential. if they care about the presidential race, they would pass an imdepration bill. this is about -- an immigration bill. this is about trying to distract people. we should be talking about job creation, how do we create -- >> so this is about 2014, not 2016. >> absolutely. >> al hunt joins me now from washington. what else did leader pelosi have to say? >> on benghazi she said it's a partisan effort. she's got people there, her members there, she says to protect the democratic interests. they didn't get the procedural guarantees they wanted. on shinseki, she's a great fan of the general's. she was sorry to see him go and he said they need to point

someone who has managerial experience to run that unwieldy v.a. >> you also spoke with peter roskam. he addressed which committees should hear from secretary of state john kerry. let's hear what he had to say. >> let me ask you about the benghazi select committee. you were a member of that tapped by the speaker but at the same time darryl eyesa has subpoenaed john kerry to testify before the house oversight committee. i thought that's what the select committee was supposed to be doing? >> it is what the select committee is supposed to be doing in my opinion and my view and my understanding is that that's largely been reconciled. >> kerry will not go before the oversight committee. >> the way i would characterize it is that the benghazi select committee is going to be dealing exclusively with these jurisdictional questions in the house and i think that that was more of a procedural snafu than anything else. >> why has this backed off? >> ok. >> al, what will the select committee be looking into? >> first, mark, what you heard

s a knife being stuck in daerrel issa because he wanted to keep some kind of terer to here. they've said no way -- territory here. they've said no way. he embarrassed a number of house republicans with really explosive hearings that didn't have any evidence -- evidence. that's the first import of what peter roskam said. they have a hink real challenge because so much information has come out and i think the main thing we're going to focus on is should we have sent reinforcements in there sooner than we did from tripoli to benghazi. i'm not sure they're going to get anywhere on that but that's going to be the focus depfment congressman roskam is recently back from ukraine. he served as an election observer. what did he have to say about the process and what comes next? >> he came back pretty optimistic. and he met the new president, he thinks he is a fellow who has -- he understands putin and he thinks that's going to be helpful. i don't want to exaggerate the

optimism but i think he believes that over the next couple of weeks, maybe we can tone down the -- some of the rhetoric over there and tone down some of the intelligences -- tensions. but he came away reasonably impressed. >> the shinseki resignation today, this is something that's been brewing over the past couple of days after reports of mistreatment of veterans, specifically at a hospital out in phoenix. the call for his resignation, it wasn't just coming from republicans, it was coming from democrats as well. were they concerned about having to answer about this on the campaign trail? >> absolutely. it was coming from democrats who are in tight races or the head of the democratic house campaign committee who has a number of his fellow candidates in tough races. so this was a lot about politics. eric shinseki is an absolutely decorated, noble patriot, a man who did great service in the military, who stood up to donald rumsfeld when we invaded iraq,

shinseki was right, rumsfeld was wrong. i'm not sure though what he could have done over at the v.a. but he didn't give the impression of being in charge and that democrats thought was politically lethal. >> before you go, i have to ask you a question because we began the broadcast with that news about the resignation of the white house press secretary jay carney. jay carney aside, you've been in d.c. a long time. talk to me about the job of a white house press secretary. just how tough is it having to deal with reporters like yourself who are going to ask tough questions and want answers? >> i'm not over there. there are a people lot tougher than i am over there. it's not nearly as good a job as it probably was 30 or 40 years ago. and i think most press secretaries really aren't intimately involved with policy. i think probably carney's predecessor, robert gibbs, was an exception to that. but it's not unimportant because it's the face you present on some issues to the public. but it can be a very frustrating job.

>> "political capital" host a.l. hunt. you can see his full interview with house minority leader nancy pelosi and congressman peter roskam, republican from illinois, on "political capital" tonight at 9:00 p.m. washington time right here on bloomberg television. stay with us. we're going to have another check of the market movers on the other side of the break. "bottom line" on bloomberg television continues in just a moment. ♪

>> get the latest headlines at the top of the hour on bloomberg radio and streaming on your tablet and on bloomberg.com. that does it for this edition of "bottom line" on bloomberg television. thank you so very much for joining us. on the "markets" is next. have a great weekend. i'll see you monday. ♪ >> bloomberg television is on

the markets. i'm matt miller. let's get you caught up on where stocks are trading. just an hour left to go until the close. we see really little change on the s&p 500 and the dow jones industrial average, both of them hovering at or on record levels. the s&p 500 right now, 1,921. the nasdaq down to 4,235. e're also watching shares of allergen. persian, a 9.7% says 2 will forego cash and take only stocks there. very interesting story that we continue to follow very closely. now, does the world cup have an impact on stock markets? according to a recent report by goldman sachs it actually does and here to explain and take a look at some of the e.t.f.'s that track some of the countries favored to win is eric. thanks for joining us. first of all, i want to know who you think is going to win. >> well, i mean, i got to go

with brazil. that's the favorite that goldman put out there. but they basically said that in the month after a win, historically, on average you get a bump of about 3.5% in the following month. but then it fades and in fact the next year is goes down 4%. it's a shorm term kind of thing -- short-term kind of thing. i take it with a -- like a grain of salt. brazil has a 49% of chancing. so the e.t.f. for brazil, i hink c.i. brazil is the most liquid. e.w.z. is the ticker. it's the single most traded single country e.t.f. out there. if you look at the holders of this, guess who the number one holder is? goldman. so if they do win, goldman stands to win a little bit as well. >> you're not suggesting that that would influence their analysts. >> no, they hold a lot of e.t.f.'s. but another one in there, argentina.

>> a lot of action in that e.t.f. >> another contender for world dominance, argentina. 14% favored to win. argentina, there is an e.t.f. for that. although kind of shakey, doesn't really trade a lot and in fact that market's so illiquid they have to use stocks that have relations with argentina, not actually argentina stocks. it's a cobbled-together e.t.f. >> it's a long shot. >> sure, sure. and germany is an 11% favor to win. >> only 11%? >> yeah. they said that the european teams have never won when the world cup is hosted in the americas. so the odds of germany winning are maybe muted by that. but certainly the i shares, i'm sorry, the first trust alpha desk germany, intriguing because it's a smart beta e.t.f. which looks at fundamental factors. since germany had a 63% run in its stock market, maybe it's

time to look at more value plays in germany. this does that for you. >> i could imagine spain being -- we don't have a lot of time left. but what are spain's chances of winning? >> 10%. they won it last year and had a .3% balance left over. >> thanks so much. our e.t.f. guru. ♪

next we've got stocks fluctuating between gains and record highs. confidence declines last month. i am trish regan. smart" starts now. welcome everyone to the most important our. we have 60 minutes to go until the closing bell. lh -- are the alley clippers worth [inaudible] the market