>> live from bloomberg headquarters in new york, this is "market makers" with erik schatzker and stephanie ruhle. erik: aol makes a play to groep ad dollars. will a new platform be enough. you will hear from tim armstrong in a bloomberg exclusive. stephanie: the imf revises the forecast. the u.s. economy will not grow as fast. a stronger dollar will help europe and japan. we will speak with an imf economists. erik: strictly a list. the man who plans parties for everyone from beyonce to bill clinton. good morning. it is "market makers" on bloomberg television. i'm erik schatzker. stephanie: i'm stephanie ruhle.

we are also going to be talking to the winner of the masters. before we get to that, how about news. we will take you to the bulletin. the top stories of the morning. it is a good day for jp morgan shareholders. profits beat analysts estimates climbing to 12%. it is the first time that has happened. since 2010. the of jp morgan's investment bank said high volatility help to drive the quarter. shares in the company are up in early trading. good news for wells fargo. they beat estimates with lower rates. that helped buyers refinance debt. they are the most viable u.s.

bank. investors do not seem impressed, shares are falling. retail sales fell short. it was the first gain in four months. the biggest advance in over a year. overall the figures show americans are being cautious with their wallets. even with savings from lower gas prices. it may take a bigger boost and wage growth before they loosened their purse strings and hit the shopping malls. the world's largest maker of health care products has first quarter profits that beat estimates. up 3% at johnson & johnson. johnson & johnson is looking to revitalize its pharmaceutical lineup. its popular hepatitis c and blood thinner medication has new competition and the strong dollar is hurting sales internationally. another agreement between amazon and a book publisher.

harpercollins. they agree to a multiyear deal covering the sale of a print and e-book business. sticking points have been the price of digital books and shared revenue. amazon has asked for discount saying it would boost sales. publishers and some authors have balked at the proposal. a record-setting performance in china with the latest installment of the fast and the furious movie franchise. furious 7 broke china's one day box office record taking in more than $63 million. the previous record holder transformers 4 had $36 million. i should move to china -- i should not move to china anytime soon because the movies they like are not my jam. stephanie: you are not a fast and furious kind of gal? how big of a byte is the strong

dollar taking out of the u.s. economy? a new model quantifies dollar strength and the inevitable rise in investment rates in stocks. our economist is with us to tell us what it means in the months and years ahead. what is your view on the pace of the u.s. economy? >> the first quarter was disappointing. 1% after retail sales this morning. we think this weakness will be temporary. we are looking for a strong rebound in the second quarter. some of the weakness is inconsistent with other signals. pointing -- painting a less bad picture than the gdp. there was probably some weather impact. we are looking for 3.5% in the second quarter and beyond that 2.5% to 3% over the next couple of years is where we are. clearly that is above the

trend. the trend in the lower numeral twos. -- in the lower 2's. we do not see the urgency on why the fed needs to get off of their anytime soon. stephanie: jan if you take out the weather, what will make the list? jan: two things. one, the gdp numbers understate the growth phase in the first quarter. if you look at the evidence which is just as valuable as the hard on the numbers, the consumer confidence numbers, the regional federal reserve service, they have softened somewhat. a are consistent with better than 1%. hugh have the weather on top of that. that is worth quite a bit. erik: let me get this straight. on the one hand, the feds should

be on hold because the data is not there to support a rate increase, on the other hand you are looking at the data we are seeing. based on things that are more say in tangible in nature, like confidence you feel the economy is doing better than the eta suggests? jan: the growth phase will be fine. they're still slack in the economy. inflation is low. wages are growing 2%. maybe a touch above. still, well below the normal growth rate that you would expect in a fully employed labor market of 3% or 4%. when i put that together, even in a decent growth environment i think there is good case to wait. erik: how long? these things are hard to predict. how long until we see the wage

growth that has been so long in coming? jan: i would expect some improvement over the remainder of the year. i do fake, the leading indicators are pointing to that. not just the antidotal end of stories about mcdonald's and walmart lifting wages, but wage growth in the corporate sector. there is the question, what do you expect. what do you see in the data? the fact that we have seen week wage growth numbers -- week wage growth numbers is something you need to take into account. stephanie: are you taking a closer look at your numbers and predictions when you hear investors are saying this looks like a schalke -- like deja vu all over again in 2004? jan: 2004 was a point when the

economy was starting to do a little better. a lot of the excesses started more in late 2005 2000 six, 2000 seven. if this is about financial instability, i do not think we're at a point where financial instability looks likely. as far as the economy is concerned, i do think that good growth is likely, just like in 2004 and 2005, you have good growth. erik: i'm intrigued by the work you have done on financial conditions. interest rates, the dollar, oil prices. let's walk through that. everyone wants to know when the fed will hike. eventually it will. we should eventually see an increase in long-term bond yields. what will that do to the economy? jan: an increase in long-term

bond yields by itself, out of thin air, will mean weaker growth. you'll get a shock to the bond market that will impact mortgage rates. there are other channels of transmission. it will mean less growth. usually, it does not come out of fan air. it is the flipside of something else in the economy. if that something else is better growth, stronger demand from abroad, stronger demand domestically, you have to take that into account. in general, higher bond yields lower equity prices, stronger currency. those things mean less growth. that is why we look at it, and our financial conditions. erik: the dollar, in your work, you said a 10% appreciation cuts gdp growth by half a percentage point. the dollar has increased by 10%

already. does that suggest that gdp growth in 2015, all being equal, would be half a percentage point faster? jan: we have seen more than 10% since last summer. this year has not been as high. over that time, you have seen more than a 10% broad wages appreciation. that should shave a half point to three quarters of a point off of growth. you have a large drop in oil prices. from a growth perspective, our model would say it is roughly offsetting. at the moment, when you look at the data, the negative effects seem to be showing up more quickly than the positive effects. we are waiting for better numbers on the consumer. we have not seen those. i expect an improvement to a large extent, driven by real income boost. from our perspective, there's

definitely some areas suffering from the strong dollar, but some areas should be benefiting. stephanie: let's talk oil prices. do you think they will stay in the $50 range? jan: in the near term, i think there is a good chance we will see lower numbers. our commodity strategists think that. the market is oversupplied. the supply-demand fundamentals point to lower prices. longer term, we don't think $40 oil is where we will end up. we would look for somewhat higher prices. erik: quickly, why are low oil prices, the oil shark has not done more to goose the economy? jan: the retail sales numbers don't show a big boost but we have seen somewhat of a pickup in consumer spending. if you look at the university of

michigan confidence numbers they are showing a large boost. i would not give up that expectation yet. it is too early to say we are not getting an oil boost. erik: the chief economist at goldman sachs. jan hatzus. stephanie: ceo tim armstrong is counting on a new platform to boost advertising sales. we have an exclusive interview. erik: olivia blush i will be with us. ♪

erik: it is time to bring you up to speed on the top stories of the morning. the deal that could create biggest maker of wireless networking equipment. note yeah is an advance talks to acquire alcatel. the deal could value alcatel at

more than $13 billion. there is no certainty an agreement can be reached. both companies are saying that. in part because the french company will be looking for job guarantees. shares are soaring. note year has dropped 4%. bill ackman talks about student loans. ackman says there is no way the students will be able to pay back the money. the government says 9% of outstanding balances, 100 billion dollars, are in default. drawing parallels to the housing collapse. that could be overdone. a notebook used by alan trying has sold for a million dollars at auction. it is the only manuscript known to exist. he was effected in last year's movie, the imitation game. coming up in 10 minutes the imf

has the forecast. we will speak with the chief economist of ims. when presidents, business moguls, want to hold a party. there's one guy to call. we will sit down with the masters champion. stephanie: a million-dollar party. please. more than that. moving on. aol dialing up into the advertising world. a new platform with ad placement on how well they do with audiences in real time. it is called one by and well. cory johnson is with the ceo of aol, tim armstrong. i am nervous for you. if tim armstrong nose in real time what you are interested in, that could lead to dark advertisements. cory: it is disturbing.

thank you for joining us. kind of like a marketer and advertiser becomes almost like a wall street trader having real-time feedback and platforms to exercise art. is that a way to think of this? the advertiser becomes in touch with real time? cory:-- tim: it is nice to be on the show and nice to see you in silicon valley. this is the biggest pivot point in media. from the way that traditional media was done and internet media. the automation and targeting at advertising at a deeper level across mobile, internet, ott. one by aol is the forefront product for the next generation of internet advertising systems. as you described, it is the most powerful time for marketplaces in the world.

a well is stepping up today with the most powerful futuristic marketplace for advertising. we spent five years of work and we are excited. we know the power of the product. cory: you have done so many acquisitions of companies. is this the stitching together of technologies into a single platform? tim: we started as a team making larger bets before other people. one in video, one in advertising, one in global content brands. when you think of those three areas, we have put together aol's historic platforms together with the most exciting acquisitions in our space. aol is a top three player in video, most distributors content on facebook for news at the huffington post, the newsroom behind me for social, and today for the programmatic platforms.

no one has a more advanced system that touches att more than aol. -- ott more than aol. the stitching together of the strategy is important. we have a 20-30 year strategy in front of us. cory: i think of what clever marketers do. i had the ceo of carl's jr. on before the super bowl. they went to the markets that had the most impact. they recognize they would not be mcdonald's, so they went with a particular ad reaching a particular young male customer. they were particular on how they would contact customers on the web and social media. going after that demographic. it seems like we have shifted from demographics to results focused. how might that work in a real case example? tim: the easiest way to think about it, is into -- is intuit

taking advantage of a singular trend. media was built in bulk and sent out in bulk. now it is built on a singular basis. and sent on a singular basis. as an advertiser like intuit we are in taxis in super bowl right now. multi devices and multi formats talking individually to consumers. and you think about the future of connecting it will be on a singular basis. that is why social networking is important. our platform is the first platform to take advantage of the singular nature of the singular content going to singular consumers. when you look at the recent tv statistics, the fact that all human beings in this country are walking around with machines in their pockets that are as powerful as a cable box all of

our systems are built to deliver high-quality content and advertising in a singular way to everyone's pocket. that will be a very significant shift for the entire media and internet business with the next two or three decades. cory: there's a technological problem. smartphones don't accept cookies. how can you track the efficacy of an ad if you can't get the feedback? tim: the internet has been cookie-based. mobile is about device targeting . we have 100 million devices in the united states we understand and can cross-link between a mobile device and desktop and ott. that creates a powerful union if you think about the way consumers consume media. either on broadcast, newspaper, or digital. today with one by aol, we can cross format and target in

general. it makes what cookie targeting was into a more powerful way because it is cross devices. when you think about future advertising, a lot of people think technology will the flight at prices. i will make two bets. it will get better and more creative for consumers and you will have prices go up. you have a $600 million industry with a lot of ads we don't know how they work. -- imagine how long they will spend when you know how each individual consumer works. it will be a very powerful change. cory: thank you very much. we appreciate your time. ♪

erik: coming up we will hear from the imf chief economist

talking about the impact of a stronger dollar, a weaker euro the outlook for the global economy. ♪

>> live from bloomberg headquarters in new york, this is "market makers" with erik schatzker and stephanie ruhle. erik: welcome back. you're watching "market makers" on bloomberg television. i'm erik schatzker. stephanie: i'm stephanie ruhle. jpmorgan posted quarterly earnings that heat estimates. the first quarter revenue from stocks and bonds increased for the first time since 2010. higher volatility roosted volume. last year trading revenues fell as the markets were unusually calm. sales rose 910 survey percent in

march after a decline in february blaming bad weather in the northeast. even though the mark increase fell short, it was the biggest gain in over year. the imf says the stronger dollar is helping japan and the euro area, but taking steam out of the u.s. recovery. the imf kept its projections from global growth unchanged of 3.5%. the imf is depicting a world economy shaped by swings in currency and a drop in oil prices. it is a record the irs must hate. 54 companies in the s&p 500 are partially exempt from corporate taxes. more than twice the numbers for years ago. the reason is in version. american companies move their tax address overseas and pay

less in taxes. u.s. corporate tax rate is 35%. the highest in the developed world. very few companies pay that rate. the chairman of the senate foreign relations committee says congress must have its say on the new iran nuclear deal. bob corker told bloomberg tv his committee may vote today on a bill giving congress 52 days to review and possibly reject an agreement. bob corker says congressional oversight may help in the investigate -- in the negotiations. bob corker: most felt congress would eventually play a role. that strengthens the negotiators from the west's hands. this puts in place a process. the administration is free to complete its negotiations.

stephanie: president obama has threatened to veto any bill giving congress a say in the agreements. an airline baggage handler decided to take a nap and got more than he counted on. he woke up midair. he dozed off in the cargo hold of an american airlines airplane. it took off from seattle for l.a.. he woke up and started hitting on the walls. listen to the video captured by a passenger on the airplane. i would been panicked if i was on the airplane. [banging] stephanie: i would have been having snakes on a plane nightmares for months. the captain declared an emergency, returned to seattle and the man was found. the man was taken to a hospital, and has been released. did they fire him? erik: good question. sleeping on the job. stephanie: if i was on the

plane, we were grounded for an emergency, and it was that, i would not be happy. erik: let's go deeper into the imf's economy. here is the chief economist, olivier blanchard. you and your colleagues have to balance the good with the bad looking into the future. what factors are working the most wrongly in the favor of economic growth? -- most strongly in the favor of economic growth? olivier: the strong dollar is helping the world economy. hoping the advanced economies that needed the most. the eurozone and japan. at that somewhat expense of the u.s. the main two forces, those would be the two. erik: things that concern you. oil prices, as you pointed out, are helping. perhaps we have not seen the full impact. do you worry about the impact on the economy when it

reverses trend? olivier: if it reverses trend quickly. it will be an issue. our best to, and the guess of the markets, is it will be a while. the reason the price of oil collapsed are reasons that suggest it will stay low for a while. it will go up, but not back to the $100. erik: the euro and the japanese are being held. but we are fighting economic battle with foreign exchange policy. it is not viewed so favorably by some? olivier: you have it wrong. i think the exchange rate, it will reflect the difference in policies. the u.s. is close to being able to increase the rate. that is good. the euro needed a boost to decrease the rates. that is good. japan definitely needed help

getting it. the depreciation of the euro, the yen and the dollar is all for the best. stephanie: you said the eurozone needed a boost. what is the outlook for europe? specifically, greece? olivier: europe is not greece. greece is 2% of the euro zone. the outlook for europe has improved since last october by quite a bit. due to some factors, the recovery fund. the price of oil has helped. it has not helped the yen much but it well. this leads to higher forecast for the eurozone this year than last year. the main risk we saw last year was the risk of a recession in

the eurozone. that has not disappeared but it is smaller than it used to be. erik: how destabilizing would agree exit from the euros -- from the eurozone be? olivier: we very much hope it won't happen. we are working with the greeks to find an acceptable compromise. a program that makes sense to both sides. we hope it will happen. if there was an exodus, which could happen the answer is it will be very costly. for greece. for the rest of the eurozone, they are in better shape than in 2010 when the worry came out. they're more equipped. most of the creditors are now official. it will still not be smooth sailing, but in general, they are in better shape and more ready to handle it.

at the same time, if it happens, it would be crucial for the remaining members of the eurozone to try to go further in the direction of fiscal union based on signal. greece is the exception. stephanie: greece is the exception, but how big is a problem -- how much of a thorn in your's side can greece be? -- in europe's side can greece be? olivier: if greece defaults or exits, it is a problem that can be handled by other countries. one of the worries a few years back was that greece would do something like this then spain and portugal would follow. the spanish government, the portuguese government, the irish government, has shown a commitment to doing what is

needed to stay in the euro. that contagion would be gone. erik: in your report, the imf raises concerns about the medium term. the outlook for global growth over the medium-term is lower than what the world was used to historically. what would that mean geopolitically for fiscal and monetary policy, and the order of things? olivier: it means that we have to know it is coming and adjust to it. the point is that some newspapers have painted it pessimistically. a decrease in potential growth. this happens from decade to decade. there are factors that are easy to identify. aging will be an issue. more fuzzy is the decrease in productivity and events to come.

we have no reason to think it will turn around. we have to be prepared for these issues. you have to think about how you are going to fund retirement. it has implications for structural reforms. potential growth is not a god given number. it is something you can affect not easily, but there are structural reforms that can help. those are the effects we think about. erik: the imf would like to see developed economies undertake these posts crisis structural reforms and invest more aggressively and infrastructure. few government seem prepared to do so. take the united states as example -- as an example, where is the money going to come from? if the government still undertake reforms and invest in infrastructure, what will that mean? olivier: some reforms don't cost money, they caused political capital. the government has to decide

whether or not to spend it. some do cost money, money well spent. any of the governments can now borrow and negative rates. it seems to have given the return on some of the investments and it is worth doing. we will continue preaching. erik: thank you. olivier blanchard the chief economist of international monetary fund. stephanie: we'll ask jordan spieth how his life exchange running the masters at age 21. ♪

erik: here's what is going on in the world. the market value of china's tencent fell by 11 billion dollars. it is asia's most popular message services operator. the ceo cut his sales.

shares of tencent closed more than 5% in hong kong today. inflation has risen at the wholesale level. it was up .2% in march after falling in february. the price of gasoline rose 7% in march. southwest airlines is not giving you more like space, but it will give you more seats. southwest is unveiling the whitest seat in any boeing 737 and america. 17.8 inches across. more than .5 inches of extra width. stephanie: are you excited? golf may have found its next big star. on sunday, 21-year-old jordan spieth won the masters with a score tying a record low at a

gstaad. he tied with tiger woods. with us is the 2015 masters tournament winner jordan spieth. what a weekend. congratulations. the last 48 hours. what has it been like? the craziest thing that happened to you? jordan: coming up p are two new -- coming up. and coming on your show. and enjoying wearing this jacket . what it means and the legacy it carries. being introduced as a masters winner is crazy in itself. stephanie: you are 21 and have achieved your lifelong dream. what do you do? jordan: i haven't figured that out. the ultimate goal is to become number one in the world. rory mcilroy is number one right now. this is a giant step toward this. the goal is always on my mind. it is a long-term goal.

i'm glad to be off to a good start. stephanie: what was on your mind this weekend? specifically on sunday. the back nine. you are not playing to not lose. you said i want to play to win. you didn't need to do that. in new york we remember when phil mickelson played at the u.s. open and took a risk. why would you do that? jordan: last year, i had the lead on sunday at the masters. i played not to lose. i played more conservatively which is not who i am. it bit me. this year i learned from that and said i need to stick to who i am. if i don't pull off the shot it is bad execution. i don't want to change my decision-making. i wanted to continue what was successful, and that is what we did. stephanie: who are you?

describe yourself as a golfer in one word. jordan: aggressive. young and fearless is what i was like -- what i would like to be said. taking chances, not being afraid of the next shot. that is how you learn who you are. stephanie: is that why you have under armour? that is how we hear it described. jordan: one reason. they are fearless. aggressive. i believe they are the best in the game. they certainly are for me. stephanie: please see pictures of you wearing under armour not just on the course, but in your free time. are you living the brand? how important is it? jordan: the chance they took when i left of school and came out with no status on tour. to re-sign with them for them to put their trust in me for 10 years starting this year. they expect greatness from everyone involved in the company, including myself.

i'm happy to be a part of it. as much or as little as they want me to be. to be very involved with the process of determining what i wear. how to be comfortable. and to perform my best without worrying about anything else. stephanie: they don't make equipment. was it a factor when roy had to change to nike and change equipment it hurt his game. did that matter? jordan: i didn't have to change anything. i didn't have -- i didn't want to change anything on the course. making the transition would be hard enough. be able to wear clothing i were andy way -- i wore anyway, and play with the same clubs, and made the transition easier. stephanie: so many people want their children to be premier athletes. when your child how much time are you putting in?

jordan: i played all sports. my parents encouraged us, if we wanted to be really good at something, to set goals. my dad encourage me to write on a goal to achieve. that was important, but i was not pushed to play golf. i think that is the best route. to find what you love. find a group of friends that will push each other. if that is what you want to do for living, it will take work. i love the fact that we control our own destiny. our preparation and practice determines how we perform on the court. you're playing against your mind and a golf course. you either have the determination or you don't to begin with. having success brings more and more confidence out to go on in the future. stephanie: is that what makes you so good at ping-pong? jordan: that is my game. stephanie: ping-pong is his game. we will take a quick break. when we return we will talk

ball. the boss will get a few tips. jordan will be joined by our favorite in-house golfer mike bloomberg. stay with us. ♪

stephanie: jordan spieth is the most popular man in the world right now. he won the masters this weekend and is most known for his short game. we are joined by our boss, michael bloomberg, a golf enthusiast. we thought we would put you to work. you can do a little work in this week. jordan: i would love to. mike: i have a better chance in the next decade of shooting my age than he does. stephanie: how would you advise him? jordan: i would like to see something first.

you have to get it there. mike: i know that. stephanie: here you are. this weekend, when you are in this position, help us understand what goes through your mind at this moment. jordan: well, i left myself with tough putts. i tried to have an imagination. really, it is all about speed, which we are struggling with here. we got the line down. mike: we got the line down, all right. stephanie: are you saying that mike bloomberg is having a tough time with speed? jordan: he is not used to the green. it has been perfect. he doesn't need help. they did not speed up the green for you this morning. it is not on you. how good is that? stephanie: when you're in this moment, like mike, how do you

handle the pressure and not choke? you can say you breeze, you have medication, how do you handle it? -- you breathe, you have medication, how do you handle it? jordan: don't think about it being for birdie, for par, don't look at the scoreboard. you have to recognize, that the read, think about the speed, and pretend like you are hitting another putt on the practice green. when you hit a enough under pressure, you see some go in there's great visualization. you can take some confidence just from watching it go when. -- go in. i do this from four feet and in. i look at a specific point at the front edge of the hole. it is not the worst idea.

you can't miss. it comes from within. and a lot of it is based on seeing something prior to doing it. seeing cuts go in -- seeing putts go in. mental strength is something you develop over time with success. stephanie: you have been an analyst since the start. he is 21 years old. he needs to stay grounded. tiger woods, whom he is compared with, had issues overstaying grounded. how would you advise him? mike: he should enjoy life. you have to understand, you are only as good as your last game and last championship and there are other players out there. people want someone who is sympathetic, interested in helping kids. i watched bubba watson and he is

about to hit. some kid said that i have your signature? anyone in the audience fell in love with him right there. he did not snapped at the kid. he was representing golf himself, his sponsors. he handles himself like a gentleman. stephanie: what role does your family play in your golf? jordan: a lot. they made sacrifices when i was young. i would wake them up at 7:00 in the morning saying take me to the course. my friends are getting out there before me. they continue offering not support and doing what i need to have this -- and doing what i need to have the success. stephanie: is that who you play for? your family? jordan: i play for my family.

i play for a lot of people, but most importantly my family. stephanie: i'm lucky to be here with two extraordinary gentlemen. mike: jewish or favorite older golfer? who would you look to and say they had the perfect swing? jordan: ben hogan. i like the texas legends as well of nelson and hogan into they were off the course. that is who i strive to be. mike: if i could get my elbow in like hogan i could be with you in the next one. stephanie: michael, jordan, congratulations. he has the green outfit. if you want get the outfit he wore on sunday, it is sold out everywhere. jordan spieth can do no wrong. i'm joined by our founder of michael bloomberg. we will be back. you're watching a special edition of "market makers. ♪

>> live from new york, this is "market makers" with erik schatzker and stephanie ruhle. erik: we've got the guy who can plan your next event. you'll probably have to wait in line. going head-to-head with david einhorn claims were rejected for shorting his company stock. nokia is out to make the biggest network of wireless equipment. i'm erik schatzker. we will begin this hour with the bulletin. talks are underway that could create the biggest wireless company. nokia is in talks to acquire a

french company. jpmorgan posted first creditor -- quarter profits. the bank believes the improvement is here to stay. wells fargo said low interest rates pushed lending rates below 3% since the first time since the 90's. they are the country's biggest home mortgage lender. the imf is helping the euro and japan. the imf kept it regressed -- production -- projections. the chairman of the foreign relations committee says congress must have say on an iranian nuclear deal. bob corker said his committee may vote on until the would give congress 52 days to review and reject.

oversight helps the negotiation. >> most of the negotiators at the table thought congress was going to play a role. we know that strengthens the administration's hand. it strengthens the negotiators from the west. this puts in place a process. the administration is free to complete its negotiations. erik: the president has threatened to threat -- feet of the deal. jcpenney was preemie -- premature with its projections. they had to share the data with investors. the data showed sales were up 6%. general electric is developing a science documentary series that will be shown in the national geographic channel. it will feature employees and technology subjects.

ron howard brett ratner have signed on. stephanie: david i norton as been -- einhorn has been beating the drum. now that drumbeat is getting louder. he recently shaved -- showed a video explaining. >> what i said last year was had you get to your growth? i said i don't know. i got it out of my ass. what was important was the stock did not crash. it's true. directly from my ass. stephanie: he is here to explain. he is in chicago. let's start. i want to get technical.

you got the 30% number out of your ass? what you talking about? guest: i'm taking to calling it my database. i study it. i do analysis and i come of the number of think we can do. we've always been shooting for 30. we have very small market shares. we've got lots of room to grow. we are a very elaborate service. we do a lot of work for people and that requires hiring equipment and infrastructure. we are taking all the millions of copies and billing departments and medical records departments city and hospitals and building one cloud-based version. it's a big investment every time we take on a major new account.

you're probably going to ask me about trinity in a minute. they are the fourth largest medical group in the country. that's a lot of investment for us. it gets hard. 30% is still good growth. stephanie: it is. i need you to help me break down the numbers. where does it come from? how many doctors are you going to be acquiring? i am having a hard time with the numbers. guest: i think trinity has around 5000 doctors. they have a fabulous new ceo. they are moving from a hospital company to being a people centered health care company. they will probably grow from there. none of the 5000 doctors will use this for long if we don't do a great job as we begin our implementation. as with all of our clients that we serve, we grow at the leisure

of the client. we expect to see lots and lots of trinity doctors on board the way we did with ascension and committee health systems that we serve. erik: how many trinity health doctors are in this agreement? is it all of them? or is it a few of the ministries? is there the potential for step up over time? guest: we are going at this in a way that will allow us to serve them all. there will be specific issues that may delay or stop an of limitation here or there. that will be at their discretion or it the thing about athena health we have 97% revenue retention it's always at the customers discretion. there is no binding contract that makes the customer do

something. it's being good that makes the customer do something which i prefer. this is a big deal. it's not a pilot or a wandering. this is a wonderful wheelhouse deal for athena health. erik: i'm not suggesting anything different. i'm trying to help you understand what it means for your company. they care. since we are having the conversation, let's look into the future. 12 months from now, how many of those 5000 trinity health doctors would you expect using athena services? guest: we are equipped right now to handle all of them well within that timeframe. erik: i know you can. how many will? guest: i'm not the boss of trinity. i am expecting them to go all the way in.

we are planning to meet with them as if we are going to roll it. we are not announcing specifics like that. peel -- people are going to wire us up against them. it turns into a big sale. stephanie: take me back to that 30% just for a moment. you said you did not hit it last year. david einhorn said your mutt -- numbers are more like 20%. guest: we shoot every year to grow by 30%. over the course of the year, we kind of get in there. it's a very ambitious goal. very few companies try to grow organically 30%. we think we've got it in us because of the wonderfulness of our product. stephanie: if i was your employee or your mom or your

sister, if i was investor i would care about numbers and if you're doing it. guest: we shoot for 30%. we don't do the kabuki theater of having a secret number and then put guidance around that. that so tiring. stephanie: i agree with you. guest: maybe they will hit the goal but they know that i like setting goals that are possible to miss and are ambitious. my employees know that missing is ok because that's what makes the culture resilient and powerful. stephanie: do you like being prepared to john ledger? guest: is he a good guy? if so i think of him all the time. erik: don't you think there's some sense in a setting expectations for investors that you can meet? i could go to the gym and say that i'm going to try to bench press 400 every day. stephanie: he does. erik: that doesn't mean i'm not

going to try. i might be honest with them about what i think i can do and whether i'm actually getting there. guest: the way i look at it, if you did 150, next time try to get to 160. keep pushing yourself up. that's what we do. we say 30% is a 30% bigger challenge. every year that gets harder and harder. we have missed several years. how many rows of fields are unplowed? there is money of room to get that 30% again. erik: if you are shooting for 30 or more as you just acknowledged, what is a reasonable expectation? what should people expect athena

to be able to do? guest: what are they saying past performance is not an indicator of future performance? look at our past performance. we are always between 20% and 30%. some years 35%. i think that's right where we will be. stephanie: your competitor is now partnering with apple. it you try to win that deal? guest: we are partnering with apple as well. this is a huge health care i.t. tradeshow. it just rolled out our first apple watch demo for the athena application. we are getting secure text messaging to every physician in the united states. that text messaging app will be available on the apple watch when it comes out. we are thrilled that they are in there as well. they were pointing raised in the enterprise software world. every epic customer has a

standalone database. they don't necessarily talk to each other without some interface and agreement, which is different from cloud-based companies like athena health. they have great developers. i was on stage last night with judy faulkner added industry spoof awards night. i think her business model will eventually go the way of the dodo bird, but not for lack of her building an awesome company over the last 20 years. stephanie: it's great having you. rest of luck. you are quite the character. erik: coming up thanks kickoff earning system -- season with a bang. it's a bit of a mixed report. we will tell you what to expect from wall street's other players when we come back. ♪

stephanie: it's time to bring

you up-to-date on the top stories of the morning. retail sales fell short. it was the first gain in four months and the biggest advance in over a year. americans are being cautious with their wallets, even with lower gas prices. there may be a bigger boost in wage growth before they start loosening the pursestrings. the biggest risk in the credit market, it's student loans. the fatah pershing square capital told a conference if you think the trillion dollars of student loans out there, there is no way the are was are going to pay all of it back. 90% of outstanding balances that totals $100 billion that are in default. president obama will become the fourth president to visit all 50 states while in office.

south dakota is the final state. he will deliver the commencement address this year at a technical institute in watertown, south dakota. coming up, deal or no deal? talks are underway and what could be a takeover in the wireless network equipment industry. you know the parties you read about all the time in gossip columns and society pages? we've got the man who creates and designs and plans them all. erik: now it's time for some conversation about wall street. jpmorgan anna -- and wells fargo beat analyst estimates. jpmorgan rose 12%. there was a boost from trading. that's the first time that's happened since 2010. wells fargo got a boost as interest rates spurred more home by the -- buying. what can we expect?

let's ask david trone. also here is allison williams. specifically as it concerns trading, you think jpmorgan's numbers and a glimmer of hope that we will see the same thing from city and morgan stanley? guest: we started out for a strong. i think march was a little bit weaker. we did have bullish expectations. we raised our numbers. we could not be our trading -- trading forecast. stephanie: is it because volatility is back? we are seeing so many ipos. that spurs business. guest: you had them both. investment banking was very strong as well. we have primary activity, make

no mistake about it, the fixed income trading was helped by the fed changing language. it has people rethinking their positions. the specter of the fed rating rates -- raising rates has been out there forever. they have expected it for so long and it hasn't happened. it's like the villagers with the boy who cried wolf. they are not paying attention anymore. it was a sign of what could have. -- happen. i think investors are going to be changing positions and we are going to have a tremendous pickup in activity. erik: allison, there is volatility with us for several months. some of the factors that help banks in the first quarter, the shocking decision i the swiss national bank to revalue the franc.

there is also going to be quantitative easing at the ecb. guest: as long as we have the divergence in monetary policy we will still have a big benefit. as long as you have that what was interesting with jpmorgan we had confirmation of some of the things that bloomberg news reported last quarter. bloomberg said that they had a $300 million gained from the swiss franc. as you may know, citigroup was notably more negative than other companies. they are getting some confirmation ahead of that. erik: david, one of the things that caught people's attention in the wells fargo earnings, that interest margins slipped below 3% for the first time

since the 90's. they are the best at preserving as much margin. what does that suggest? citigroup is a big commercial bank. there is no bigger consumer lender then bank of america. guest: jpmorgan is under pressure as well. that's going to continue. if the rates stay at zero, you will see these little cuts. what the banks want to have is the fed getting two basis points. the racing process might create some short-term pressure. the banks really want to get back to a more normal spread type of environment. it doesn't mean a lot.

you're not going to generate much on that. we get a stronger economy to drive loan demand as well. erik: we certainly do. a 4% fed funds rate seems like a long way off now. we also enjoyed allison williams. thank you very much. stephanie: we could talk ranks all day, all year. stay with us. you're watching "-- you are watching bloomberg television. ♪

erik: this is where he leave you. president obama will be making the decision about the keystone pipeline. we know that already. who will do with the fallout?

it's also going to be the minister responsible for natural resources in canada. i am going to talk with him. you can see the interview at 3:30 p.m. on "street smart your cup --."

>> live from bloomberg headquarters in new york, this is "market makers" with erik schatzker and stephanie ruhle. stephanie: you are stuck with me. i am on my own. eric has left us. markets are closing overseas for the day. we want to get to the breaking news desk. scarlet fu is looking at all the action out of europe. i know you have hard-core athlete sons, hockey players. as a mom, you had to be looking at that guy and saying you want for your boys. guest that was impressive. erik:stephanie: what was i doing when

i was 21 years old? guest: their worries at the greek government is going to prepare for that default. the prime minister denies that. the retreat is being led by noki a they are going to buy. that wasn't enough to lift the entire bank sector. that has been falling 1.25%. here in the u.s., i want to focus on the online real estate company. it resumed trading and fell 1220%. what were the headlines? they called a transition year.

investors never like that. it is trending a couple of quarters behind where they would like be. casinos are falling on the slowdown. wells fargo says latest checked say gaming fell as much as 42% compared with its prior. it leaves the government of macau trying to get more international tourists while limiting congestion caused by mainly in -- mainland chinese visitors. there could be a visitation cap according to wells fargo. stephanie: thank you for giving us the latest. it's a deal that could create the biggest maker of wireless network equipment.

nokia is in advanced discussions to buy a french company. a deal could value $13 billion. there is an agreement that bears no certainty that it could be reached. i want to bring in manual. i am looking at shares. they are down. guest: that's a good question. it's a big deal for no key a -- gnocchi a -- nokia. they are competing with ericsson. it's very good deal for them. investors like. that would mean a tremendous

combination for the company. stephanie: why now? guest: the timing we have is very historic and recognized companies. they have struggled in the past few years. nokia and alcatel, the timing is perfect. at the same time, we have two companies that are struggling. now they come together and come to the conclusion that it's the perfect time for them to combine. stephanie: this is the first time they have been speaking. why are they suddenly at the table today? guest: exactly. the talks have been on an off for quite a while. one of the biggest hurdles was

the government, the french government. they were concerned about what they cause strategic assets. they were concerned about potential job losses. now, the government is more open to these combinations to ensure the future of the company being in good hands. stephanie: what could the combined companies do better? guest: they will have more negotiation power with telecom providers. they will be able to compete in a much better position with other companies including ericsson. at the same time, they will gain more access to very good markets like the u.s. or china where the potential for growth is in or miss. stephanie: it's getting late

over there. we will let you go home. when we return, congress wants to say -- have its say on iran. ♪

stephanie: erik is gone for the next 30 minutes. peter cook is here. we are talking about republicans and democrats on the senate foreign relations committee. they are going to vote and bill that will give them a say over the iran nuclear deal. the white house says this could jeopardize the talks. this is very special. peter was in ec an hour and a half ago. he did not want me to be on the set alone. he hopped on air force one and here he is. guest: bad news for the

president. bob corker is one of the people who is skeptical. he is chairman of the foreign relations committee. they are going to hold a vote with some democrats in some or for a measure that would give the senate a say over this deal. the president said if you take your with this now you could blow the whole thing up. i asked bob corker if he is willing to stand in the way. >> most of the negotiators thought congress would play a role. we know that strengthens the administration's hand. it strengthens the negotiator from the west hands. it puts in place a process. the administration can complete the discussions. guest: he's got some democrats with him. how many?

the key number is 67 votes. the president could feed so this legislation. the only way to get above that is a vetoproof majority. he says he is not ready to catch -- cap his chickens before they hatch. this is an important moment for this deal. the iranians are watching every single episode here. if congress were to step in does it boost the presidents leverage with the iranians? does it boost the hard-liners in iran? i think were going to hear opposition to this unless it gets water down by democrats and there's a chance they could add some language to it to make it more palatable to the white house. bob corker seems set. he wants congress to have a tougher down say on this measure without derailing the talks entirely. he thinks this balances and achieves that fine line.

the white house is probably going to take a different tack. stephanie: it's where that we see democrats and republicans working together. guest: in opposition to the president. that's a civil -- silver lining for the white house. there is some gamesmanship going on. there is some politics in play to send a message to the iranians that the president needs to satisfy his critics in congress. at the end of the day, there is a possibility that congress could stand in the way of a deal. that the leaders of france, china, germany likes. are they prepared to do that? stephanie: i just and watching "house of cards here cap --." it's a special show. guest: it's dark red --. stephanie: i really love robin

wright. her style is fantastic. now that i am watching it, i am a washington expert. when we return, this man plans the parties you read about the next day. you dream of getting invited. that's why he get calls from residents, rock stars, and socialites. stay with us. ♪

stephanie: welcome back. the commercial break is the best time on the show. it's time to bring you up to speed on the news this morning. it's a deal that could create the biggest maker of wireless network equipment. nokia is in advanced discussion to buy pocket tell -- alcatel. it could be a $14 billion deal.

there is no certainty that an agreement could be reached. gnocchi a has been following -- falling all day. the first quarter revenue rose for the first time since 2010. wells fargo is down after reporting a drop in net income. a piece of history was auctioned right here in new york city. a notebook used i alan turing went for $1 million. it is the only extensive manuscript known to exist. his life was depicted in the movie "the imitation game." this man has planned events for american presidents and even

rockstar royalty like beyonce. he put his talent to work by transforming the jpmorgan building for a benefit. welcome. i want to start. let's look at this. we're not talking about a party planner. look at what this event space looked like before they took hold. look at this. you can see what he did to the place. absolutely extraordinary. we will find out how he has done it. welcome. let's look at that space. when a client comes in, are they saying i want this i want that? the you look at that empty space , how to know what you're going? guest: that's a great space because it's a blank canvas. there's nothing there. we can create a world. it's almost like a soundstage. we get to build a set. stephanie: who wants to do that?

is this wealthy people? guest: it depends. i think events are used as platforms for communication. when an individual throws a party, if the celebrate. when a company does it they want to take some who feels a certain way about their brand or product service and give them an experience. they feel a different way after the experience. last night for edible schoolyard, that was jpmorgan's office. when -- jp morgan the man. he destroyed the inside. this is the rumor. he destroyed every fixture and every finish so no one else could ever re-create a bank. stephanie: when they came to you

, what did they want to do? guest: we worked on that as volunteers. the great part of being in the business is we can comment on certain events and really help them punch above their weight. this is a big charity event. it's the fund gardens and kitchens in schools in new york city where kids to learn about healthy eating. they learned how to prepare healthy meals. over the course of a year, they grow food that they will use in their class. a bunch of chefs come together. 20 amazing chefs, each made a dinner for a different table. we can been sitting at tables next to each other and we would that completely different meals. april bloomfield might have been cooking yours. it was a real experience for

people who love food. one of the things we had to deal with in the space was the fact that we needed to create 20 kitchens. chefs don't play well together in the kitchen. we had 20 individual kitchens that surrounded the space. that's part of the reason why we needed such a big space. stephanie: how has social media changed your business. if i can't afford to go to a black-tie dinner, how has it changed? guest: that's part of the value that events can bring to a charity or to accompany now. they are able to reach so many more people then the individual bodies who were in the room. if each of those 200 people has followers on instagram or facebook, you've reached 200,000

people if they post pictures of the event. they are becoming more effective. social media is a force multiplier. stephanie: is social media diluting brands? now we have 22-year-old bloggers saying i think this is hot or cool. are they changing the landscape? guest: of course. they are a consumer. their voice should be heard. i think the ones who speak the loudest probably help brands much more than they hurt them. they help brands understand what the market has to say. stephanie: what inspires you? in one word. guest: hospitality. the notion of hospitality. the gift you can give somebody who comes into your charge, your care for a. of time. stephanie: i love that.

thank you so much for joining us. come back soon. tomorrow, we have a lot more to cover. today was so special. jordan spieth. tomorrow, stan druckenmiller. don't miss it. ♪

>> bloomberg television is on

the markets. there is little change. do we have the board up? the u.s. dollar falls the most in a week and a half while treasuries increased. the yield on the 10 year comes down to 1.86%. we thought we would get some reaction with the start of the banks reporting earnings. why are we not getting much direction? guest: we think there are going to be catalysts that bring some volatility to the market. the first is going to be when balance sheets start contracting. that started in january. there is a search for yield. that hasn't really come in to play. the other thing would be a search for the strong dollar.

that really hasn't impacted. >> we saw johnson & johnson report. guest: that's what you didn't see a drastic move. they were able to forecast. when tech starts to report next week, that's what will have an impact. microsoft was up 10% off the stronger dollar. >> does this point to a lackluster sense that the economy. the first quarter was week because of the bad weather and the disruption from oil prices. the retail number did not answer any questions. guest: i think that's one factor that is contributed to the earnings of the s&p 500. if you look at a stock like o'reilly automotive, it's up tremendously since october. it's rice to perfection. -- priced to perfection. they are reporting earnings on

the 22nd. it's very inexpensive. volatility is below 20 and you can put on a cheap insurance plan. it's exceeded all expectations in price target. >> i'm going to take a look at the price earnings a ratio. guest: what the cfo is going to outgrow that. it's priced for perfection. we will see how guidance will play out. there has never been a better time to be a consumer. >> you are looking for that to really hurt tech results. are you talking about names like intel? guest: that's going to be a good one to impact your it i think amazon is going to be a strong one. last quarter, it really impacted

them. that's where they're looking for growth. they're looking for international whether it's amazon or netflix. >> intel will be reporting results. casinos are in focus because of some disappointing leads on april gaming levels. guest: we see a lot of people buying. they are doing the same thing as well. >> thank you so much for joining us this afternoon. "money clip" is up next. ♪

pimm: welcome to money clip. i am pimm fox. this is the rundown. jpmorgan's scores a run down. jamie dimon warns this could lead to a new crisis. marco rubio joins the presidential race. there will be a mad -- for florida cash. thousands of refugees die trying to cross the mediterranean. we will introduce you to save them.