what it was. so where do they get the money to keep on drilling at the pace that they were? >> a good question to leave us with. we will continue to watch the oil price fluctuations. "market >> live from bloomberg world headquarters in new york, this is "market makers" with erik schatzker and stephanie ruhle. >> rebound. a topsy-turvy week comes 20 and with a market rally. our investors counting too much on the central bank doing whatever they say? >> the fate of the senate may be determined by a rare breed in independent lawmakers paired >> man versus machine. rs seven.ving they missed the end of the week with a call return. >> everybody chilled out today.

they are on assignment working somewhere else p we kick it off top stories. full rally mode. .he dow up 175 points the s&p 500 has been down as much as 1.5%. wednesday was the real bloodbath. all of the index has rebounded after comments by st. louis fed -- policymakers should consider delaying the end of their bond buying program. reporting for quarter earnings that almost doubled, beating estimates. an increase in revenues for trading stocks and bonds. the ceo tried to boost returns from fixed income trading. he has cut staff and the announcement of capital

allocated. is greatlyn says she concerned about growing wealth inequality. the bottom 50% of u.s. households had just 1% of the wealth last year. the past few decades of widening inequality can be summed up as significant incoming wealth gains for those at the very top. instead, moving standards for the majority. i think it's appropriate to ask whether this trend is compatible with values rooted in our nations history. >> the wealth gap has grown more than income inequality. google is try to find a way to jumpstart at sales. posting third-quarter sales and earnings that topped estimates. larry page is looking for

opportunities beyond desktop-based search ads appeared investing in everything from business software to mobile services. google has ramped up hiring and boosted r&b spending by 50%. shares of luxury shoemaker jimmy -- $2000 sandals. .mmy choo went public test plans to expand even further in china. let's take a deeper dive into what's trending. you mentioned stocks being higher. for the week, they are still down. a fourth straight week of

losses. what is different today? i'm not sure there is a ton different from a fundamental standpoint. it's much more market psychology. what has led to this recent selloff is the fact that stocks --e priced for a much investors views of the potential opportunities out there have changed more than the underlying morganntals and we saw stanley with good earnings this morning. market throws a temper tantrum, the fed will react. it seems to be a direct response. >> exactly. that, iaw him say wanted to roll my eyes a bit. i'm not sure any incremental accept versus net asset

purchases is going to make that much difference. they need to work on reassuring investors they won't pull the carpet out from under the economy. >> with bond prices this high-end yields the slow -- >> if they continue to buy tes at zero,eep raisi they have no tools in their toolkit. if they have to inject some stimulus, they have a weapon. >> what the market really wants is for the fed to go in there and buys that greek and italian debt. stuff investors are searching high and low for any yield possible. we are in a market right now where investors are really looking for some concrete direction. this week.ail sales it messed -- missed

expectations. not only drop in gas prices. index, itk at the aaa goes down, down, down. you look at wholesale retail gasoline futures, the drop is even more significant. >> the catalyst for the selloff we saw. there are other things going on. we had a low volatility summer. there was not a greater move than 1% in april and july. the investor base becomes increasingly weak because people try to play the momentum traded we are seeing that faster money being shaken out of the market now that there has been uncertainty reinjected into the world. howe were talking about investors may have underestimated the impact of treasury tightening. >> when we think about in

versions, there is a bigger theme at play. what does this do to corporate spending and corporate growth? if you are going to say you can't engage in this beneficial deal, that is problematic. you need companies to be able to engage them. t gooded about batc synergies versus bad synergies. you can't even check out. >> we will bring in jim polson. joining us from california. we were just talking about the texan versions. -- tax inversions. do we all sit back after this and pretend the volatility did not happen and wait and see? i think -- you knows for

sure. i certainly don't. i suspect we are going to go appearedretest that the 10% correction area. we are going to go back and test that. factors a number of responsible for this turbulence. had a volatile market with complacent sentiment and higher valuations. the big elephant in the back of the room is the fed's exit strategy. that is still the primary thing and that has not been resolved. we are still going to have concern about that and anxiety and more turbulence before this thing finally bottoms out. .ut i think we are close

time thane any better wednesday when the market bids on bonds like you wouldn't believe? is there any better time for them to exit that? >> i agree. i wish the fed would have started the exit strategy long ago. i don't see white helps to set at zero short-term interest rates. it would be a much better feeling if we were sitting at 1.5% and there was some ammo left if the economy did slow down. i do think the fed is going to start raising interest rates next year. another risk that is still there -- europe is slowed. the emerging world is slow, but

is starting to recover. look at what shanghai has done. out of downward trends. i believe do not states -- i don't see much slowing here. stateslieve the united will get back very soon to maybe a hot wage number or cpi number. >> a lot of turmoil. what are you doing in terms of mending the next step for investors? do they wait and see or take this as a buying opportunity? >> are you looking for 1850 on the s&p? >> we are looking for higher going into the end of the are. what investors should keep in mind is that will be important to watch. if we do see deterioration, that may be cause for concern.

to the point made earlier, we are going to see a pickup in the jobs number in the cpi number. more money in people's pockets. >> do you agree with jim? ,he imf seemed to go on a tour warning everyone that europe is in a fairly bad situation and these markets were broken. >> the u.s. is definitely the bell at the ball. mushy andeurope is emerging markets are stable. china is a mixed bag. >> latin america? >> doesn't look so hot. part of the reason we are seeing a stronger dollar is the u.s. economy is the only one matching expectations. talking theim are market up right now because the dow industrials is hitting its session high. paulson, i believe equities yield more than bonds.

you can't afford not to be in equities. >> unless they are going to crash. unless they are going to come down like on wednesday. agree. i still like equities long-term. the most overpriced asset right now is the bond market in the united states. the yields are maybe 2% below with the should be recovery at 3%. i would diversify because i think we still have more turbulence ahead. one of the strongest teams out there is the dollar has nowhere to go but up here it i would suggest over the next year, the international markets will outperform the u.s. thered put more capital over the next year. >> thanks so much.

out, just topoint push this e-mail bit, -- just to push this theme a bit, the fed needs an exit strategy. what do you do when you are sitting on $2 trillion of the most overpriced asset in the market? we are going to take a quick break. feasting on junk bonds. why hey yield is on the menu for -- high yield is on the menu for some investors. may hold thedent balance of power in the senate ♪ . ♪

>> big investors are ready to pounce on high risk debt yields. junk bonds have been a historic

historic lows. this week's selloff has made the much more attractive. these companies have a lot of dry powder. credit is a by here, specifically high-yield and bank loans. we will continue to buy into this market. >> lisa abramowicz covers the bond market for us. only are investors ready to , they have loads of cash. >> investors have been stockpiling cash over the past couple of months because yields have gotten so low. said we don'tly see the upside here. why don't we hold back and wait for some kind of this location? >> and make the hero trade?

it looks good, especially if it doesn't go bad. >> the question is how technical and fundamental it is. there is a huge technical aspect to selloff in high yields. you saw investors pulling money from mutual funds and the biggest wall street banks selling into the selloff. it contributed to the selloff. there are some fundamental concerns. --ide imf director o these inflows have created a liquidity illusion. is that what we saw? >> that's a big part of it. when you have outflows for mutual funds and managers are

forced to seleka mother is not as much of a buffer. -- are forced to selloff because there is not as much of a buffer. yes, this is a big issue. >> dodd-frank doesn't really help. get involvedcan't in the action and you only have pimco and blackrock and hedge fund managers who stock up way too much on greek and italian debt, there is a problem when they go for the exit. >> if the prices do gap downward and there is nobody there to causes peopleling to start to see losses in their portfolios. thething did happen over past few weeks that did create some fundamental concern in high

yields. particularly the energy sector. i talked to traders who are selling energy-related high-yield bonds who could not find a bid. oil prices plunged to the lowest in four years or more. some of these energy companies are dependent on oil prices and saw a dip in value in a tremendous way. revenues go down and they are forced to post more cash for their credit lines, it can become a serious, fundamental issue. >> let's talk about the ecb missing the mark. how may times can the ecb missed the mark? even this morning, it is still a bit confused. yesterday morning, they were has overdonerket its expectations. we are not going to go out and buy that much and if we do it want be until december.

you have mario draghi saying we will do whatever it takes. you've had a culture of austerity in germany. you've had a culture of austerity and a lot of european nations. they go out and say we will stimulate the economy with whatever means they could. in the u.s., that really helps stave off concerns about deflation. now, they are battling the same concern in europe. they are realizing we should maybe get on the same train is the u.s. -- as the u.s. 3/10en with inflation at of 1%? >> there are questions here about how much the stimulus has done to excite fundament growth. >> good point. >> we have a headline here from

bloomberg news. the president will name the ebola czar. >> very interesting. >> we were trying to guess the ebola czar. i thought maybe's eq manual would be a good choice. emanuele's eq would be a good choice. ♪

>> we have breaking news here. ron klain has been appointed as the ebola czar. he was the chief of staff for al

gore and jill biden. peter cook has more from washington. >> he is someone well-known to this white house. he has been a senior advisor to the president and served al gore and vice president biden. he's a democratic insider and lawyer and has been working with these holdings. -- case holdings. somebody known for his organizational skills. he was talked about as being a potential chief of staff a few years ago. theone who can come in and hope is to try to get things nailed down in terms of the organization structure responding to this crisis. giving the american people a better sense that this administration is in charge and in command of this. at least republicans on capitol hill have questions about it. --ebola czar the ebola czar the ebola czar has been named.

we expected it to be someone with a medical background. he is an attorney. we are coming back with more after a quick break. ♪

to "markete back makers." and the fight for control of the u.s. senate as a possibility of a dead heat. that could leave power in the hands of angus king. what would it take for him to join the republicans? he sat down for an exclusive interview with it are cooked to talk about his future and the

rise of independents around the country. he could be the key player. exclusive interview with peter cook. >> he has been a pretty dependable vote for democrats he hassident obama, but been open to switching sides. >> the advantage with republicans -- every senate election is an echo of an election that occurred at years before. six years ago, obama won big. and here weme in are six years later in the balance is down and those people are vulnerable. two years from now commenced the opposite.

the headwinds are against the republicans c. this is a tough year. stake.of 33 seats are at they are swimming upstream, i think. >> walk me through what that means for angus king. what is your approach to switching sides? gave a couplei months ago is the answer i will stick to. i will make that decision at the time. michael is to help this place work better. that's my goal is to help this place work better. there are two other independents that might be coming here. possibly from kansas and south dakota. if that is the case, the three of us will talk and see if we can find common ground. all of us have the focus of

trying to make this place work better. position to have more than the ordinary amount of influence, that is going to be the goal. not a better office or better parking place. what can we do to get this place moving again? >> elections a couple days away. is it safe to say that you have had outreach from both democrats and republicans? it may be an overstatement. there have been informal conversations. some are more humorous than others. the weather is pretty good over here, you will like it. just lighthearted stuff. there has been outreach from both sides. >> what would it take for them to draw you over?

committee chairmanship? >> i don't think that's in the cards. that is very unlikely. i don't want to go beyond the statement that i have already made. one of the keys i will tell you when i decided to side with the democrats, there were assurances i could be independent. >> the rise of the independents. -- do have larry pressler what do you make of that? could we see an independent caucus within the u.s. senate? >> i think it is a movement. not an organized one. it's not like i'm trying to organize a third party or something. of publiclection frustration with the two parties and the idea that these are the only choices we have.

here are these two parties who always fight with each other. urge -- thetrong biggest message i got during the campaign was not about health care or foreign policy where afghanistan. why can't those people work together? why can't they get anything done? that's what people want to see us do. if the institution we have doesn't work, you can't get to any of the other problems we have to deal with. it was best summed up by an old guy i ran into two years ago who said all my life i have wanted the chance to vote for none of the above and you are it. that peoplet urge have to say, wait a minute, i want another choice here that is not locked into one side or the other. >> if there were to be more

independents, it would change the dynamic in the senate. they could be the margin of victory on every single piece of major legislation. they do stand a chance of winning in this election cycle. both have pointed to angus king is the guidepost. >> any chance we see senator king thrown his hat in the presidential candidate ring? >> i don't think he's going there just yet. certainly, he has talked about the rise of independents. i don't think he is anywhere close to running for president. he has work cut out for him in the senate right now. we will see what happens about the independent vote going forward. if these two win, there will be raised prospects for independents running nationally. >> what is he doing in terms of

endorsing candidates? that's trying to maintain independent brand in his own home state of maine, he is running forpublican the senate and a democrat running for congress. like picking chocolate, vanilla and strawberry. >> isn't that a neapolitan? great interview, peter. thank you very much for bringing that to us. the mustache was a cross between ted turner and teddy roosevelt. we are going to take a quick break. making a difference. could do that two weeks from tuesday if they show up to vote. the question is, will they? it's just the midterms come

after all. ♪

>> 19 days and counting until election day. one nonprofit is trying to win sver the more than 86 million millenials. >> rock the boat. -- rock the vote. >> they have been trying to drive young people to the polls. is it working? voteresident of rock the -- we were just reminiscing ote, madonnahe vt wrapped in the american flag. >> i think of the 1990's. is it still going just as strong? >> it is going really strong.

rocking the vote is all about making sure we are building political power for young people. we have been teaching young people in fresh, new ways. our new campaign, turn out for song we recorded the hit from little john and it has been viewed millions of times. to an are responding authentic message of people showing what they are inspired by. >> what have you learned about the enthusiasm of millenials to vote? many of them have voted for the president and were disappointed that he did not follow through on the promises he made. millenials are frustrated by politics in general. they are incredibly passionate

about the issues. you see people, 90% of millenials online, sharing what they care about in an ongoing way. it's a very self expressive generation. they care, they volunteer, there is incredible passion. we are trying to demonstrate the impact it can have when you care like crazy about something and you turn out and vote. vote, becausehe of its connection with stars in hollywood entertainment naturally skew left? i don't think young people are affiliating as closely with parties in general and we are a nonpartisan organization. it is truly dedicated to inspiring and people. -- inspiring young people. we care that you are getting out and making sure your voices are heard and you are counted. generation largest

and american history. young people have so much power and so much interest and enthusiasm and we have to channel it into the political process. it does not look like there are many incredibly conservative people. it looks like a fairly liberal crowd. >> people really showed up and expressed the issues they were turning out for. none of our folks expressed a partisan view on the issues. thesepeople care about particular issues. the environment, women's health, jobs, the economy, student loan debt. there are a number of issues people care about and couldcians on both sides be when the young people by talking authentically about these issues -- winning young people by talking authentically about these issues. >> are they turned to better

connect with these young voters? people midterm election, pay less attention to young people. we are not seeing the level of engagement by campaigns and candidates on the issues that matter most to young people. that is disappointing. we are hoping that this powerful, young voting bloc will show up and demand to be heard and demand politicians address the issues they care about. >> how important is educating them on the issues? >> it's incredibly important that young people are educated. to make sure is that people are informed about the process and have easy access to participating and making sure they know come in the middle of the voting rights battles that know whating, they

they have to bring with them and where to go and when the deadlines are. and removing barriers to participation out of their way. >> making a seamless process. thank you so much for joining us. voteoked about rock the being wrapped the vote. what about edm the vote? rap the vote. >> maybe these kids will listen to zeppelin before they go to the booth. ♪>

>> breaking news from overseas. this is from the commercial shopping area in hong kong.

police are walking along the sides of the streets after someone scuffled with protesters. protesters had cleared out and were occupying the streets, but have since returned in the hong kong police scuffled with them. governmentare asking leaders to hold talks by october 27. -- student leaders. thirds is at least the at first,teraction -- the police allowed male demonstrators to rough up student protesters. please take a demonstrator into the corner -- >> using pepper spray in this scuffle. three officers were injured as a

result. the hong kong police posted on the government website, condemning the occupiers. they had been occupying the streets for three weeks. this district, the protesters have not left yet. >> very interesting. >> we will continue to keep you updated. plenty of people out in the streets right now. three police officers injured. >> we switch to a much lighter note here. the future of driving and driverless cars are not just for the highway. it could change the sport of racing. audi has a new concept car for the track. audi rxis the standard seven. this is also an rs7.

it's a time as the driven. piloted driving. where here in central germany at a race track we will do man versus machine. i will see whether or not i can beat bobby on some hot laps. you feel that burn? s.think i'm pulling some g' computers don't feel cheap forces. -- computers don't feel g forces. let's see what bobby has got. i'm ready, let's go. pretty fast start. i didn't make that mistake. it slow down. -- doesknow the track?

it know the track? it has been programmed to learn this track. the car starts to think about generates speeds up until before loses control. is that i stay safe. this car stayed in the safety envelope. i pushed the envelope because i have the right stuff. the moment of truth. let's see how well i did. >> two minutes eight seconds. it was five seconds after.

>> there is only one way to be machine. more practice. i have five seconds to shave off. >> with us now from the berlin bureau, i love the understatement. a pretty nice sedan with 560 horsepower. the top of the line for audi r8.ore the ar >> they are trying to show through technology what they can do. all of the auto companies do this. fantastic car. i have no business reporting on it or driving it, but it's a fast car. companiesrom the auto , you get a lot of complaints about what the government needs to do. the need to provide clear rules for the road. from audi, i got a bit more honesty.

auto companies themselves have to invest in infrastructure. these cars are going to be driven autonomously, they have to figure out what language they are going to speak. a boy needs to get together and establish a common code. -- everyone needs to get together and establish a common code. >> why do you think he was able to beat you? i was a little surprised. i felt like i was going faster when i was driving. i lost most of the color in my face and i was per to throwing up on both attempts. probably closer with bobby driving because i was not looking ahead. you clearly would have been bobby.

you know how to drive and take good turns and accelerate out of them. >> i thought you did a great job. it sounds bad, but do you think there is a future for driverless racecars? >> probably not. what makes racecars compelling as the human element. isn't stock car driving about identifying with certain driver personalities? we read so many stories about the growth of nascar for several years. it is personality driven. rednecks.e dig at >> i love when he is trash talking hobby. -- trash talking bobby. >> you can see that on bloomberg.com.

we will be back in just a moment. ♪

>> lie from bloomberg headquarters in new york, this is "market makers." unthinkable,r the hospitals are fighting for their own ebola cases. >> a shortage of hipsters, that is why shares of the retailer urban outfitter are plunging today. >> living up to the hype, a company a year ago was when the hottest things around and 3-d printing it. where is it now? >> i am matt miller. >> i am scarlet fu. this the second hour of market makers. onwant to give you a check

how the markets are doing. it looks like the crisis is over. up 237 points. it is still down for the week. most of the industry groups are higher. only industrials are gaining. the utility index has little change. is down a 16%. it looks like volatility is coming in. we have these big swings coming in today. down after reaching -- >> the store glass. these are the top global business stories. has picked ama longtime democratic advisor to be the ebola czar. he has been the chief of staff to two vice presidents. theas come under fire in way that it responded to the first ebola cases. would be ther

point person for the government's response. democrat with mo medical experience will be a problem in washington. a texas health care worker is in isolation on a carnival cruise ship. he may have handled specimens from thomas duncan. he shows no symptoms yet. janet yellen is weighing in on the debate over income and wealth inequality. she spoke to a a boston conference and said we are seen significant wealth gains for those at the top and stagnation for those of the rest of us. gap has that the wealth a big impact on education. most public school funding comes from local property taxes. a much higher share then and other advanced countries. this enhances the ability for more affluent school districts to spend more on public schools.

>> the fed says that the lower half of the u.s. households will the wealth inll the country while the wealthiest 5% hold 63% of the money. shares of urban outfitters are following today. theslump is persistent in third quarter. they are threatening to squeeze profits. sales fell 10%. earnings of fallen it two straight quarters. people.o own free sales says been growing. news for the smartphone makers. blackberry ceo says the demand has expanded -- exceeded expectations. the passport was the first major new device sense chen took over at blackberry.

they did not order to many of the phones. >> a big quarter for morgan stanley. they beat analysts estimates. morgan stanley was the last of the big thanks to show results. this helped bolster their trading results. goldman sachs cut the amount of money it set aside but the stocks fell anyway. we will analyze the weeks and. -- end it. went to the earnings from this week tell us about the ste of the economy? >> i think we saw that the third quarter, things were moving in the right direction. he hoped to the business life of the companies of that i cover are all tied to economic growth.

the third quarter is seasonally a slow. . it came above expectations. things were good. we saw some volatility can go a long way. in the have seen so far past couple of weeks has been more extreme follow tillie. that is where some of the expectations are being put into question. >> and worrisome. think the good news is there is a lot of runway left. we have seen this before, where you have some sharp moves in markets and you have an aversion. toatility can revert back the mean. that is a good thing. asset prices are down for the most part. you are dating up a little bit of a whole. that it ist say early to make a big declaration how the end of the year is going to go. theset do you think about

banks seem to be boosting the bottom line by reducing staff or lowering the amount of money that they pay? these people are still well paid. they are reducing or not growing that compensation. is criticalontrol when you look at the large banks and some of the regional banks as well. it will be critically important. this is still an open season it. >> this is weak growth. you don't to see all of the growth come from cost cuttings. >> some of the banks of said we have to grow the business itself. that does have to occur. how?uestion is one of the things we see is technology. in the upper end of the large corporate space, there is growth. this falls in with

the cost cutting. the technology will eventually take over the jobs if it hasn't already. where is the greatest risk for banks right now? is in the balance sheet? is it litigation? within the banks themselves and the competition that we are seeing now. we have some external forces coming into the market. they are putting some pressure on it. we are talking about the shadow banking system. companies are doing business with eight nonna bank rate now. >> they are being pushed out of so many of their businesses. the pendulum has swung too far. it looks like it is hard for the bond investing world to deal with the move to the shadow banking system.

these big the ceos of banks? are they dealing with it well? >> i think they are doing the best they can. the rules are continuing to evolve. now, we are operating in a new world. we are seeing that reflected in returns. they are now doing 10% returns. that is the output of regulation. i think companies are managing through it the best they can. is the really need businesses to all out. >> i would agree. >> when we talk about shadow aboutg, we are talking growth. that seems to be a pandora's box waiting. >> especially when the work that some of these alternative

institutions are doing. but we see from a competitive aspect as they are getting decisions faster. in terms offfing up underwriting and portfolio management. i agree. leverage will be that pandora's box. i don't think they are complete lack boxes. we still have the traditional finance companies. some of it in the small business equipmenthings are for the plant. market intoo up some of the more sophisticated transactions, that is we will see problems. >> what about the credit markets in terms of lending? we see auto loans are getting looser and looser. about have complained credit standards being too tight on these big banks.

is that still the case? >> every time you look at credit -- >> they are trying to loose them as much as they can without taking risk. underwriting to the best of their ability depending on where they see the risk. there has been a bit of loosening. is the return there at the end of theay? it will be tough to have substantial loan growth against a product that does not need to grow in order to grow revenues. >> what is the best way for people to buy back stock right now? we have seen broadly is a lot of the business lines from the capital market perspective -- of an pulling out a cyclically depressed environment. multiples that are well below historical averages, we think that combines to make a pretty compelling case for the companies that we cover. >> i think the multiple --

multiples and the ability to serve the corporation. continues at a slow pace. >> all right. thank you for joining us. we are wrapping up a very busy week for these bank analysts. >> we are going to wrap up the week. it is friday. we do have the yearbook game to play. you want to stay with us for that. it's always fun to try and guess. here is the picture. >> this is from 1966. he is in publishing. i do have any clue right now. >> a mile out to google. tweet us your guesses. you can also tweet us at market makers.

>> president obama has named an ebola czar. he is been the chief of staff for two vice presidents. he will organize the government's response to ebola. who served as the supreme i lead commander says it will be a demanding task. global is going to be a geopolitical trend the requires isolation of a villages, countries. this is going to be a big challenge. whether other countries have czars or not, we will be forced to work together. how oneto explain hospital is dealing with it is a doctor. dr.s an infectious diseases at new york university. helped devise the

protocol. does it matter? >> i love you does matter. the cdc has a strong medical backing. administrator to come in that can coordinate the copper of response both here and in west africa is probably what is desirable. i think the administration is focusing on that. >> they have a lot of work of the have to get caught up on. what has gone wrong is allowed to nurses to get infected? , that is aan imagine difficult question to answer. it is still being answered. there were breaches. repeatedlyeen said sense we are nine months into and has blossomed,

this is beyond incubation. stage,the incubation with his -- which is eight to 10 days, patients e noninfectious. they are not contagious. they cannot transmit the advisor us -- virus. >> the problem is when they are infectious. why did they slip up? is it normal? often catch these diseases of the patients they are treating? >> the answer is no. we do not. to answer your original question, why these two nurses were exposed to this individual

don'td ebola in dallas, i really think that we should put a blame on an individual, that there were not following the protocol. we don't know if that is true. >> we don't know that they weren't following protocol. it could be more easily transmittable than we thought. >> this is the 25th out break. outbreaksen several involved in such things. we know it is not easily transmittable. data helping to predict things, is there any predictive model that extrapolates how quickly this can spread in new york city if it shows up? on where thisnds

infection is introduced. -- introduction and africa from the had then wildlife reservoir. byt is called by -- caused wildlife. epidemic is ar single introduction back in december of last year. it is been shown to be a sibling .irus, not a mutated >> can it mutate? fairmont or some politicians play into the hollywood idea this could somehow mutate into an airborne disease and then everybody gets infected. is that possible? it doesn't seem to happen with

previous epidemics. hiv did not mutate to being an airborne disease. >> it is a concern for someone who is not a medical person. in medicine i hear people who diseases, infectious could someone catch up by someone sneezing or coughing or being in the same room with somebody who has ebola but you have not come in contact with bodily fluids. the answer is no. this is not the first or second outbreak or it this has been ongoing since the mid-70's. here is what we know. we are trying to make everyone comfortable. what is the scientific backing extrapolating from examples like hiv. this is a completely different virus.

>> how difficult is it to determine who is not at risk. like with all diseases, ,hatever the detective gear is that person needs to wear it and be careful when taking it off if it is soiled. done all thee time. not 99.5% of the time. it means 100% the time. we just need that one tiny facet where you rub your because your eye itches. you are now inoculate with the virus. >> we hope that these cases with these two health care workers and the one in spain get better. we hope we get a handle on this in west africa at the source. that is the most important

thing. thank you so much for joining us. you have a lot of work to get back to at nyu. promiseg up, there is a and then the reality. we look at what 13-d printing company has lived up to all that hype. we'll be right back. ♪

>> we are approaching 26 after the hour. it is time to go on the markets. 1.5%.p is gaining 230 points.gained that is down only 1% for the week. the nasdaq is positive for the week after all of that. >> we have big gains.

looks like those boards are stuck. >> you're right. jump thatn bigger these big green arrows demonstrate. you need to look at the bond market. what we saw in the last few days, the turnaround here. , goou look at the 10 year ahead and put that 10-year note for us. the yield is back up to where we were tuesday afternoon. it has recovered to where it was. >> the euro stock index is up 3% on the day. we are ending the week on a strong note. i hope we can hold onto these games.

this is a great way to head into the weekend. back, what happened to all of those teenagers that couldn't wait to shop at urban outfitters? apparently they didn't have any money. ♪

>> welcome back. i am matt miller. >> i am scarlet fu. urban outfitters is not feeling particularly hip today. the shares are tumbling out this morning, off by 14%. sales of and slumping. executives do not seem optimistic that they will turnaround for the holiday season. he has a hold on the stock. you have been cautious on urban outfitters for the last two years. we finally see the slowdown. when it take so long? >> this has been the tale of two

divisions. it was the worst of times at urban outfitters. wasstrength at anthropology offsetting. urban may have become worse. is going tothrow deteriorate. i think that is what is happening. >> this is more than just urban losing out to amazon. they are losing their way in terms their brand and target audience? that youngat urban, adult has been a tough segment. you can look at any of the stocks that cater to that. they are having a difficult time. i think that demographic group is not spending as much or spending on apparel. they have so many other choices. >> are they really can for teenagers tested mark --?

my mother is 50 years old. anthropology is her favorite store. markets 18t fitters to 28. >> she fits into that age group. >> one of the things i find interesting is i love to go into urban outfitters across the street on 3rd avenue. they have so much weird stuff that i would never want but it's interesting to look at what i have a spare minute. i noticed on business insider today that free people is yarnng a stick wrapped in for $68. it's absolutely useless stuff. >> it's interesting that you say that. the home department that you mentioned has been the best performing division at the urban outfitters store. that should tell you what the consumer is negative their apparel right now.

>> where is the value that's in this company? where can they leverage if they get the right plan in place? >> let me answer you first. no. i don't think they can do it. the first quarter and third quarter if your results are bad, they are not going to get better in the second or fourth. you have to clear that inventory. this portends a bad holiday season for them as well. are struggling with what the problem is. management has said it is merchandise and they can turn around. that is not the case. i think there is a real problem. i wish i could answer that question. if i could, i would be making a lot of money as a ceo. >> what would you do if you were the ceo? >> i would be closing stores or stop opening so many. compinges of an

negative for years. they continue to open them at an aggressive pace. i understand that this is a cash flow decision. in her opening stores just going to cop and. where you doing that? it's a strategy that a lot of retailers rely on. i am just looking at this on my terminal. could private equity come in and take a look at urban outfitters? good activist investors take a look at this russian mark >> they can always look. this is just a fashion problem. it is difficult for private equity to fix this. that this is an operation and a scale problem. they can reduce stores and cut expenses. fashion tends to scare private equity as opposed to stores that

just have -- that are under managed. >> it's not just product selection. >> who are the retailers that are getting it right going into the holiday season? lot.d myself at izumi's a i used to work at abercrombie. >> i think that is a very short list. there are too many moving parts. one of the problems with that market is right down here in the bloomberg building. h&m. >> they like the cheaper stuff. >> forever 21. >> the cheaper, disposable fashion is making a big move. they all rolled over. that is the exact time that h&m

went online in the u.s.. >> we will see how that plays out like comes to the holiday shopping season. thank you so much. >> turgut waters for investors in cruise lines. obviously, we are talking about ebola. >> it is friday. it is time to play the yearbook game. take a look. he worked in publishing. graduated from the brooks school in massachusetts. who is it? tweet us your guesses at market makers. we'll be right back. ♪

>> we have talked a lot about the ebola virus. today it is the cruise ships turn. there is a dallas health care worker on a ship off the coast of texas.

he recently -- >> we are having my problems. recently docked one of these hazmat suits to give everybody an idea of the challenges. this is something you have to understand. it is being conducted in west africa in 85 to 90 degree heat. it is not as if the resources are unlimited. in this case in the cruise ship, the gentleman was found to come in contact with a specimen that was part of the ongoing treatment and analysis of the patient in dallas. carnival was notified by the cdc. it is not as if carnival or an

airline is going to be able to maintain lists of all the people who were in contact with anything. they are getting called by the cdc. we believe there is someone on your ship that was in an area that might have been in contact with a specimen for a health care worker that might have had contact with the ebola patient. we need to figure out a way to quarantines this. the individual decided to stay in their cabin. the cruise ship, there was a report that they asked the government of belize if they could offload the passenger and let him come to the end states. said no thank you. the ship is coming back to galveston. this brings up the larger question. the stocks of the shipping companies are not reacting to this piece of news. >> it is shocking. carnival shares are up. >> the point is that if you're talking about public safety,

companies are going to have to go through some kind of exercise or procedure to deal with the potential hazard that they face. >> you have to wonder if the other cruise lines will put protocols into place. >> you've got carnival, royal caribbean -- aboutd paul was talking what happens if our military goes over and have to come back together on a boat. that is not how the military travels in 2014. he sparked a little fear. carnival in all these cruise lines, the stock has plummeted. is a market reaction. we know that emotion can drive price stock. is if you don't have a plan in place, if you're doing things at the last minute, it is

going to be more expensive and more difficult to do anything. dealt withs is being because you have one of those non-contact infrared , or if it is going to be a hazmat suit or some kind --screening process, >> who makes the masks and the gloves? >> a variety of companies. lake land makes the hazmat suit. , we weree things talking about taking the suit on an off, there are three layers of gloves. the second layer is taped to the suit. then you need someone with those layers to take those off you. >> summit should be monitoring them as well. >> i will not be writing the

magic anytime soon. >> thank you so much. >> hutto at that means. >> the magic is going to galveston, texas and it is going to be there for a while. >> thank you very much. taking stock is coming on at 5:30 p.m. business, it is all about hot rods. that is the guy to know. thank you very much. we're going to take a quick break. a company with ready -- plenty is thepromise, where payoff? we will look at the 3-d printing business. ♪

lex welcome back. few things in tech are more exciting than 3-d printing. that every printing company is living up to its promise. cory johnson took a look at one

such company. a specialty run finding businesses with undiscovered promise. what did you find? were hotter.pos it went public last year. they had an incredible run. they used those proceeds to expand the business in the united states. they have not been telling investors how slowly that expansion is going. the idea of 3-d printing excites the imagination. products, fully functional cars. on oppositeil is sides of the printer. you have the laserjet size printer that can go up in the space shuttle. havee other side, you

something that can make a jet turbine or the hood of a car. they are going after that giant printer problem. they are focusing on selling to the auto companies. they launched a wildly successful ipo a year ago. they have sold just three printers since. two were sold after they owed money to the buyer. newthey are promising a level of growth. this is what the ceo told investors on a conference call. supportacility will five large format printers by the end of this calendar year. we will use on-demand parts by the end of september. we will start to see revenue contribution in the fourth quarter. to detroit to see this facility. here i am.

this is the middle of october. this is the jet factory. there is not much going on. inside a big empty room. there are no printers being manufactured. just a few workers doing some rudimentary framing work. one is literally sleeping on the job. this is the right address. this is the same as the website. this clearly was not shipping on demand parts by mid-october. they were supposed be making large format 3-d printers by the end of the year. all of the three printing companies will live up to the hardand but for now, it is and hard to build a factory even in detroit.

that is a we found print a spokesman said they are running behind schedule. they are planning construction delays. there is still hope to ship something in the fourth quarter. will have to do a lot of work to ship anything in the fourth quarter. >> it looked like that movie boiler room. >> i do remember that movie. it is a great win. it is better than "the willful wall street." >> the have not committed gated with shareholders at all. they went public a year ago. they said the proceeds were to expand into the u.s.. they sold very few printers. 20-year-old

technology. the market has gotten excited about it. it has not developed in an exciting way. >> great reality check. >> i'm still excited. you can't dampen it my enthusiasm. >> we will be right back.

>> we are on the markets. >> we will check in with julie hyman.

first we've got to giving the answer to the yearbook challenge. this is who we presented. he is in publishing. in 1956.ted about 1000 people got the answer correct. it is clearly steve's forbes. >> it looks like him. >> we get so many answers. i want to give a shout out. they are all fighting for getting the right answer. they were the first one to messages. >> maybe a more challenging one for everyone else and an easy

one for us. >> let's talk about what will be going on monday. >> stephanie will be back. the robin hood conference is coming up. >> she is going to talk with jim chanos. it is always interesting to hear what he has to say. both of those will be going on bloomberg tv. and is now 1156. we are on the markets. julie hyman is in the newsroom with this big rally. >> it is a big rally. this is the biggest rally we have seen all year. it is. this also speaks to how small the rallies on a daily basis have been this year. we are up almost 300 points. we are going to talk about what is going on in the options market.

it is time for options insight. al, as i mentioned, we have this incredible rally today. it has been an exceptional week in general. how is this plane out in the options perspective as we close out the week? >> it has been a really interesting month. stocks rise up. it is all about the fed. think that is what was a catalyst. the market fell. it fell 18%. we may still have more down sides in us. the relief rally is part of comments about more bullets in the gun of the central banks. from we, the volatility in the s&p options is still showing some fear. let me explain that briefly.

generally, this is an upward slope. it means the further out the options, the higher the volatility. backwards last week and it has maintained it. we have more movement coming in the near term, even after today's movement. we are still in backwardation. the still nervous about market. i don't think this is done yet. >> a note of caution from al. i want to talk about individual stocks as well. just tweeted that he is buying shares. it is still down 3.5%. what do you think from an option at this point? >> the earnings on wednesday beat. then the stock got pummeled. some increased hbo

competition. there is little bit of caution. is me, my gut tells me this a move. the options are saying something completely different. the volatility fills in the options. it comes out with a big whoosh the next morning. we had to increase volatility. for a bigger move to the downside. >> thank you. we have to leave it there. -- we will have more on the markets in 30 minutes.

>> welcome to "money clip." here's the rundown. we're looking for leadership on ebola. president obama actually named a bizarre to oversee the disease. we will discuss. and what do you get when you put a republican and the democrat and an independent on one show. the sports nba machine rolls into china.