markets desk. greek banks are running short on collateral they need to stay alive. how this could force prime minister alexis tsipras to reach a deal with creditors. mark: and the final episode of classic" features a coke ad. we talk about whether that coke ad would still work right now. good afternoon. i'm betty liu, here with mark crumpton. let's talk about what is moving the markets, starting with u.s. equities. yes, another record for the dow and the s&p. the s&p higher by point 2%. commodities -- the dollar rebounding, oil prices

falling, particularly brent crude, trading at 26 20. economic dataion will make the case for higher interest rates. you see on the screen the two-year, ten-year, and 30 year yield. as betty was just mentioning the dollar, let's take a look at this. the dollar has strengthened against the euro. after theas way down situation in greece and whether banks there should be -- could insolvency ifrds the government fails to meet an agreement with creditors. amtrak is back on track on the northeast corridor for the first time since that fatal crash six days ago. trains are running between philadelphia and new york. full-service resumed after engineers replaced damaged track.

agents will look into reports that something hit the train's windshield moments before it derailed. in atlanta, surveillance video capture terrifying moments for passengers on a marred a bus seconds before a freight -- on a bus seconds before a freight train plows into it. [horn blowing] a portion of the bus was stuck on the railroad crossing. the driver was the only one still on the bus at the moment of impact. he got up and walked away. bus passengers and the driver suffered injuries. that crash is under investigation. in waco, texas, police are cracking down after a shootout between rival gangs on sunday.

violence directed at a restaurant where gangs were meeting. almost 200 suspects will be charged. >> they could potentially be violence directedlooking at capr charges. that, i don't know. it is up to the tech gives to determine that, at this point, we are booking 192 of them in for engaging in organized criminal activity. mark: the restaurants that bikers, twin peaks, will be closed for at least a week. authorities say they have unsuccessfully tried to work with the restaurant about security when biker gangs show up. betty? house a push by the white to use tensions between law enforcement and minority communities after protests in baltimore, ferguson, and other cities. may found that police misuse items like high-powered weapons and armored vehicles. i marine killed in the hard landing of an osprey.

because not known. the aircraft was nearly scrapped because of mechanical failures crashes that killed two dozen marines back in 2000. a militia and has deployed around the city of ramadi. the islamic state capture ramadi over the weekend. 70 miles less than from baghdad. in yemen, a saudi led coalition has resumed airstrikes after a expiredy cease-fire yesterday. a u.n. envoy is asking that troops be extended to deliver more aid to the war-torn nation. an iranian ship said to be carrying supplies is headed toward yemen, in spite of

earnings from the u.s. is thend lindsey graham seventh major candidate to jump into the gop race for the republican nomination. he says he will officially announce on june 1. he is a major critic of president obama's foreign policy. he says he is running because he thinks "the world is falling apart." millionaire investor carl icahn wants apple to boosted share buyback. in an open letter to ceo tim cook, he said that the shares -- worth 59% higher about 59% higher than they are today. and the worlds richest person is weighing in on income inequality. bill gates told cnn a person making $40,000 a year is better

off than a person making an equivalent salary decades ago. he says that is because inventions like the internet boosted the quality of life. illoff gates: overall it understates how much things have been improved. state theisons under lap of progress. gates also said it is nonsense to suggest that current restrain growth and discourage innovation. coming up in the next hour -- big agreements and pharmaceuticals. the u.s. supreme iphoneuled that apple's plans were copied by samsung. mark: and how companies are joining forces to fight back against cyber criminals. betty: it is a pity morning in the m&a market.

lane bryant and dress barn -- a company for $2.1 billion. international with acquisition of $8 billion. mark: what should we make of all of this activity? london and our guest in studio. thank you, gentlemen. ed, let me start with you. endo international -- the aggressiveness we are seeing, is that something we should be surprised about, or is it a sector story? ed: i think two things. first, we see a sector story. we see high prices being paid across the pharmaceutical industry. and i think it is almost more important, this is an end of story -- endo story. have been very aggressive

in this space. the interesting use of this, the chief exec of endo is formally ofvaleant. have been very aggressive in this space. thehe is telling his former bos, anything you can do, i can do better. betty: you see a aggressiveness in this sector. what do you do? took a very, very good run at activists. god bless them. 27 times even up. -- ebitda. and now they're going after something and $8 billion is not a bad consolation prize. they are using stock to pay for this, and i think that's an important signal. mark: you talked about deals they lost out on. is that why their strategy was so aggressive this time? we are not going to lose out again? medical was an

few billion bucks a few years ago. ins is about saving money r&d and getting more products to the pipeline, using distribution muscle, and using tax and global operational planning to take cost out, and most important, using your stock, because the stocks are flying high. betty: right, 20% equity. this is a lot. guest: they are willing to take the paper. like how you say it is an arms race, but i'll think it's an arms race in retail. it's really survival mode right now and read well. so, what do you make of in sina and the ann taylor merger here? called company's dogs. i'm not going to do that -- [laughter] : this is a struggling

retailer. it has been on the block on and off for about a year. there was talk as recently as two weeks ago. this is one that has been: thisg retailer. it has been on the block on and off for about a year. bought. i think they are struggling with these brands. i think if what we have heard today is correct, they are much more interested in the last these of this -- last piece of this. mark: what is this sector so hot? where does the confidence come from? marshall: we refer to them in the trade as fear greed. there has been a spate of retail bankruptcies. ann taylor is a strong come. by the way, so is anscena. betty: their shares are down actually -- marshall, they are.

but they come back up. joseph a bank -- jos. a. bank really did have tobut they come. fight men's wearhouse. i think there is a little cena is. by the way, ans using its own stock. mark: no obvious synergies. talk about how this makes sense. marshall: your guide to push me on something where i do not think i agree on the premise. it makes some sense if you say women's apparel, casual and --enswear and we are trying we are not going to run for cover. it's a very competitive market. ok, fair enough. but i will tell you where i'm a little skeptical. you go back 20 years ago. amalgamation an

amalgamation and the activists in that stock were saying, guess what, buddy? you have a bunch of women's apparel retailers. is a synergy. maybe we will find some on the purchasing side. i don't know. a littlene could be skeptical. on the other hand, you can use your own stock -- betty: then why not combine? marshall: it's a relatively cheap multiple. they: this always raises next question. once you see a deal in the corporate world, are we going to see more retail m&a, and who was on the block? think the answer is, yes, we will see more retail m&a and i think that is probably true across all set there's of the u.s. economy. who is on the block? anyone is on the block. we have seen a few processes go to sponsors fail. everyone is looking at

another one. there's a bunch more that are kind of out there. some smaller names. some troubled, some more distressed. and in some of the really, really big ones. we saw this last year. everyone is looking at does that come back? i think yes. betty: you, marshall? marshall: private equity firms net buyerslers, not of firms. i think that's the biggest theme. in all of the recent sales of big oldt of it are corporations trying to position for what they hope will be recovery on the growth side or what they think is value on the value and mark:. risk -- on the value end. mark: risk and reward. betty: -- marshall: exactly. mark: thank you for joining us.

still to come -- appeals court issues. the blockbuster apple-samsung patent trial. neither side is getting exactly what it wants. what the court said, next. ♪

betty: welcome back. i'm betty liu. i'm here with mark crumpton. let's go to julie hyman with a look at how wall street is performing on this monday. good afternoon. to you,ood afternoon mark. in a word -- pretty good. 500 at and the s&p

intraday records. the dow was only up 16 and a half points, but that's enough to push it there. i actually wanted to focus on something that might be holding these major averages to some the s&pparticularly 500, and that is oil. we are seeing oil prices decline. number ofe to a factors. goldman sachs also coming out and cutting it oil price. it is about where it is now, but looking atking also the declines -- on the back of nine straight weeks of gains for oil prices. that's the largest winning streak we have seen in at least 30 years. i mention that goldman sachs note. there are a lot of subsectors of energy. moving talk about stocks

on those individual calls, -- those goldman shares down by 2%, falling for their fourth straight day. and range resources was removed from goldman's conviction by list. they are having their worst day in two months. thank you, julie hyman. the apple-samsung patent case. the court upheld a finding that samsung infringed apple felt hat. -- apples patent. court looked at the damages awarded to apple and said must he reconsidered. bloomberg's editor at large cory johnson is joining us from san francisco. help us dissect this.

what does this all mean? actually that copper gated. there are two types of patents involved in this trial. they were involved in the utility -- the way the fund was used, things that apple invented and samsung copied, according to the court. thatppeals court said apple did not have a right to a patent on trade dress. at least in this suit, but the utility stuff does still matter and those were copied illegally and intentionally by samsung. so, we have to look at yet another trial on these very same patents that will go all the way back to the 2012 suit. those products are long gone from the marketplace. during trial testimony was very damaging, showing that samsung very specifically was warned they could not copy of the

things and they say, hey, we want to copy these things because we do not want to be late to market with the latest innovation. should beetitor, it noted, to license from apple or license these technologies and fell away. samsung gained market share by using these technologies that were should be noted, patent right -- by apple. but the utility was illegally copied. judging by the damages sought by apple, the trade dress part of it is hugely important for the company. you mentioned another trial based on the same claims, these same patents. what could be different that will give apple a different outcome? cory: they are not going to retry whether the patent infringement happened. they will retry the damages aspect. that 930 awarded them

million dollars. some of that is being tossed out. some of it will be re-decided by yet another trial. but this is -- the violations, i think are still in place. i think this is the way that samsung gained a foothold above all of the other makers of smartphones and did it illegally. reading our story on two days.com -- about worth of apple's iphone sales. this is not about money for the company. this is about reputation. cory: i think it is about protecting future products as well. i do think that is about money. that's a substantial chunk of change, even for apple. i think they wanted to send -- a wanted to spend what they have invested, also looking ahead to establish a pattern of activity from samsung for yet another trial out there. same kind of deal. apple suing samsung over the

infringement of similar patents. i think they want to demonstrate samsung's the head here in the u.s. markets. betty: cory, thank you so much. still ahead -- ibm taking on hackers with the cybercrime fighting unit. details after this break. ♪

betty: welcome back to the bloomberg market day. be tried?er crime ibm is putting together in exchange for thousands of companies. >> in today's world, the physicians are not sharing the data. the governments do not have the methodologies to show the data. the hospitals, the cyber security vendors want to keep that data private and use it for competitive advantage.

what we have done is really able and we've taken our pool of threat intelligence data, over 700 terabytes worth 20 years, it is highly actionable intelligence and we're putting that information out there for free so anybody can access it and let's goking -- compete on the analytics and the intelligence we can gather out of these products. are other companies putting their information on this exchange? >> absolutely. we have had 1000 companies joining this exchange. six of the top 10 retailers, five of the top 10 banks, as well as companies in everything from automotive to transportation to universities have all gained the x-force exchange and can now share threat intelligence data but also how that evolves. much like health care, if this

was a human virus, these things continue to evolve and more family see them appearing in different places. that is a big part of this, being able to go every what you were saying, where you were saying it, how it is affecting companies. betty: it's interesting. some of these big companies have -force on to the x exchange, but what could be a bigger deal, i how they protect themselves. mark: i will see you tomorrow. betty: that's right, i will see you in d.c. tomorrow. mark: that's right. coming up -- the don draper create this iconic coke ad? would it have worked today? ♪

[baseball crowd noise] ♪ ♪ [x1 chime] ♪ ♪ [crowd cheers]

oh! i can't believe it! [cheering] hi, grandma! ♪ to theelcome back bloomberg market day. i mark crumpton at bloomberg world headquarters in new york.

let's get to your market headlines. the country's central bank says to .4% from a year earlier. 1.7% after thel first quarter after gaining in the previous seven months. people familiar with a matter say that a case has to do with swipe fees on credit cards. in the past eu regulators have warned that the way that credit card companies agree on the charges is anti-competitive. china's president says both the u.s. and china can be pacific powers. chinese president xi jinping told secretary of state johnny kerry that they should manage disputes of the overall relationship is not did. is alsoy kerry threatening tougher sanctions on what he calls the grizzly north

korean regime. seoul to meet with the south korean president. he referred to reports that kim jong-un may have executed his defense minister with an anti-aircraft gun. those are your top stories. the world of way advertising has changed and not changed since the days depicted in the show "mad men," which had final episode last night. and jorge posada gives us a look at his career in his new book "my life in pinstripes." and banks running short of collateral to stay alive in greece. how much money greece has right now. lessid you watch "mad men" night? life met art when it dusted off

this classic 1970's coke ad, suggesting it was created by adman don to rape her and it made us wonder, did it work -- , and it made us wonder, did it work then, and would it work now? ♪ >> i'd like to teach the world to sing ♪ joining me now, paul sweeney and industry veteran .ason sandy gentlemen, thank you so much. paul, let me start with you. give us an idea of how ?dvertising and has changed : the idea matters, creative

still matters, but what has changed is the internet. it's a brand-new way for companies to meet consumers. it's still about content. mark: jason, how is a good ad defined in the 1960's and 1970's and how is it defined now? the samethink a lot of core principles. you have to tell a great story, connect with the consumer, sure values and thoughts and opinions that still make people feel good and i think today, kind of playing off that note about connecting with consumers and the internet age, i think what has changed is targeting. the coke ad we just saw was on tv and spoke to millions of today, brands and advertisers -- mark: two billions. jason: advertisers are able to segment today, brands and and target one person at a time. and that segmentation,

paul, is coming because you have the immediacy of e-mail and mobile? paul: i think advertisers in particular are excited about mobile. we know that is where content is being consumed. that is where the audiences are going. that is where advertisers need to be. there's a tremendous amount of challenges with mobile, i.e. the small screen. but there's a lot of advantages. location-based advertising. if you are on madison avenue, a lot has changed, but a lot has remained the same. mark: jason, what is the strategy to sell a product? take us through the genesis. jason: for those of us who have watched "mad men," i think their test on that. they focus on the client's issue, what they are facing in jason: forthe market, what theyo say and how they want to say it.

we take that into strategy, we think about who we want to talk to, and from there once we get that core principle developed, creativeake it to development. once we go to creative development, we take that business challenge, that unique rake through in creative ways. that's where the big idea comes from. mark: so, someone walks in and says i got an idea, go do it. i wish it were that easy. we look for the big idea. we are open to people bringing us those ideas. the art of subliminal persuasion -- is that a thing of the past? has it lost its resonance because of the internet and social media? argue it is

alive and well. the challenge for advertisers is to bring that advertising right into that user experience a, mae it a part of your user experience. it's actually a very interesting growth area for advertisers. think about it. shakingson, you are your head like this is something that has been discussed -- jason: exactly. we call it content. we want to create meaningful messages for consumers, for their brand, where people are, when they are most open to hearing about it. spot,ould be a television but more and more, it's about having a conversation with the consumer where and when they are interested in having it. where does that conversation start in 2015. is that people looking at twitter and thinking, oh, that is what we are looking at? do you just go around and talk to people? just -- not so much focus

groups. jason: i think it's an interesting parallel -- not to give anything away, spoiler alert for the show -- on took a road trip to really understand the target he was going to speak to. we can dojason: i that by flippn our phones, laptops and doing what we call social listening. we can look at twitter, facebook feeds, and really hear what is going on on the ground. paul sweeney, would that coke at work today? paul: i think it absolutely would. why? y p are -- paul: it's great content. i remember that. mark: would that work today? jason: i think the idea behind it would work. we would probably want to make sure it would work on a mobile phone. " gives themad men rest of us who are not in your

business and appreciation for what you do? was it accurate? jason: i think a lot of the approach to creating ads, this score values and tenets were, but the extramarital, extracurricular behavior -- mark: [laughter] i am glad you said it, and not me. sweeneysante and paul -- my colleague lovers media for bloomberg intelligence. gentlemen, thank you so much. a breakthrough on talks between greece and its creditors. we have a look at today's european market action when we return. ♪

welcome back to the

bloomberg market day. i'm mark crumpton. julie hyman joins us with a check of the markets on this monday afternoon. julie: we have the dow trading at a record, but i wanted to bring in some analysts on stocks. neutral ataded to piper jaffray. $70.rice point from $46 to yelp is exploring a sale. there is only a 6% chance that the company gets acquired at or even slight below the current share price. down shares are down 2%, 20% over the past year. also look at las vegas sands, those shares at the lowest in about two years. downgraded to neutral from buy it goldman sachs. at they say it is a proxy for the macau market in that has been

china and hase gone into corruption control. most casino seeing a drop in their businesses. and gold stocks graded to outperform at oppenheimer. not a ringing endorsement of the stock. the analyst there saying there are no near-term headwinds. longer term, he's not very positive on the stock. in the short-term, there's not necessarily anything that's going to slow it down, mark. bloomberg'sat trading day. jonathan ferro is in london. jonathan: let's wrap up this trading day in london, shall we? cac 40 over in cac 40 over in ,

higher, but only by a third of 1%. the big gains on the dax by over 1%. let me show you the changing situation through the trading day. you see the back half of the trading section, accelerating into the close. down 1% friday, up 1% today. part of this explain, of course, by the retail euro -- the euro-dollar, down by 1%. stop for this one, as far as the data is concerned -- that is key for the currency. -- the couple days of italian yields pushing higher. after four weeks of losses, bonds yields higher once again. 0.6 5%. you may have heard greece is in a bit of trouble. the greek financial sector, the

thosehood the funding for banks surging this morning and through the day, of 75 basis points on the greek 10-year. is a crucial week for greece, and analyst -- analysts say. when isn't it a crucial week for greece? jonathan ferro in london. he may be late to the party, is president obama excited about having his own individual twitter. hadin 12 minutes's tweet more than 7000 retweets and 6000 favorites. the president is following 65 people on twitter, among them his wife, vice president biden, and bill clinton. he is not following hillary clinton or any other presidential hopeful. the former ceo of barclays america is going back to his roots. streetgee stunned wall

by quitting and now he will go back to an energy banker. advise energy and power companies. and the world's top ranked golfer made it look easy. rory mcilroy one the golfing charlotte, north carolina. he fired a course record of 61 to take the lead and ended up winning by seven shots. he now has six top 10 finishes in his last eight tj starts. that's a look at the top stories we are following up this hour. young playerser like jordan speed, rory mcilroy has the task of filling large cleats. the golfing industry has been in freefall. participation has been down. years been almost seven

since tiger woods won a major tournament. big priority for the president of the united states golf association. earlier, he shared how he is getting millenials into the game. feel, isportunity, we youth. we have to get young boys and girls and the game. we have to start the initiative we started years ago. look at the activity and interest that has brought. sixprogram that we started years ago. we started with 1000 participants. 36,000 young girls in that program. there's evidence of the fact that we are attracting youth to this game. us -- carlet fu joins scarlet: sports. mark: rory mcilroy is on a run right now. is he making people forget tiger woods? forget: it's hard to

tiger woods. he was a groundbreaker in so many ways. of golfed the look completely, whether you are black, whether you are a vision. i do not know that rory mcilroy change.he same mark: speaking of sports, you jorge posada? scarlet: you and i are fans of -- ofall, but a lot of baseball, but a lot of young people are not. because it is slow. how you get kids excited about baseball? that is what i talked to jorge posada about. posada: if you want to enjoy something, if you want to follow something, there has to be some routine, some priority. i mean, i hear all the

time when your kid plays baseball, you are stuck in the field for four or five hours and the double-headers go on -- you have tods come out of the box a million times because they are mimicking their idols -- baseball has lost its way. there are more exciting sports for kids like soccer and motorcross. constantause there is motion. if you are a hockey player, basketball player, there is constant motion. football has the time when it loads down because the go to the huddle. but baseball is supposed to be leisurely. back and enjoy, but now the league is trying to speed up the game because they understand what you and jorge were talking about. some people are like, let's get this game going. scarlet: people do not want a four-hour game. i love baseball. but i understand -- 180 games

this season? mark: 162. scarlet: that's just too long. upk: i will see you coming at the top of the hour. thank you very much. still ahead -- how much money does greece have right now? they are increasing pressure on prime minister alexis tsipras ♪.

mark: pressure is mounting on greek prime minister alexis tsipras. speaking in athens, supra says his government has made -- offers tos made creditors and negotiations are in the final stages. our correspondent joins us from london. david, thank you veer time. how much money does greece have

now? david: we do not know how much money they have, but the best guess is not too much area the last two payments they have had to make to the imf have been paid by tapping its own reserves at the imf and also calling in funds from other government departments in greece. how long can greece continue to negotiate with its creditors? david: the real crunch time is the middle of july. they have a huge of payment to the ecb on july 20, and they will be unlikely to make that payment without outside help. that's when time runs out for greece. mark: speaking more about timing, greece gets its share of tax receipts in july. will that be too little and too late to help? for sure,do not know but in all likelihood, that would be too late. receipts tend to come in towards the end of the month and that

payment is due on the 20th of july. at the imf, there may be some wiggle room for delaying the payment by couple weeks, but if payment tohe july 20 the ecb, they will be in default as of the next day. it will probably be coming into late. it will probably be coming into late. mark: should we be reading behind -- between the lines with 'sime minister tsipras comments today question mark is he drawing a line in the sand? david: at first they sounds encouraging, saying we are almost ready to make a deal. he says, we are ready to make concessions as well -- as long as you agree to everything we want. he mentioned that restructuring, it a lot package, a lower primary surplus. those are all very sticky points for creditors. to me, that did not sound all that in courage and. david, where is germany and all of this.

chancellor angela merkel says that greece needs to take or at least stick to the austerity of it made in the prior governments before alexis tsipras took power and that greece could not continue to rely on international creditors, including germany, to keep pumping money into it if it was not going to make the needed structural reforms. what has germany been saying about this as of late? extent, when he speaks with two voices. there's the finance minister, who has been the hardline voice. merkel has ala shehtly softer stance and is really committed to keeping the euro together. -- concessions from greece, but she's probably a bit more willing to compromise

than before -- than the finance minister. at the end of the day, she will be calling the shots. mark: our investors seeing chances for resolution, or do they think greece night -- might in fact default? david: if you look at bond yields or the media, clearly people are worrying about increasing possibility of a great default. reality, as the timeline gets closer and there is no deal just yet, the chance of default just grows. mark: what are the chances that the reality, as the greek govere ious to avoid default? david: the argentine he and government issued i you use, and that did not last very long. it only bought them six months greece, it would

probably buy much less time. it's unlikely people would accept them for a very long time, and it would really just the the start of a barter economy. it's only been a couple weeks, maybe a couple months the very most. mark: david powell joining us from london to discuss the greek financial crisis. david, as always, thank you so much. coming up on bloomberg market day -- how much is the uncertainty in the housing market weighing on retailers? we will get details as home depot and lowe's reported earnings. stay with us. we will be back in just a moment. ♪

>> a sign of residential real estate market is still

homebuilder confidence unexpectedly falling to what it all means for the big retailers. we will look ahead to earnings out this week. >> a deadly shootout in waco, texas. what will the chain do now? we will discuss. mark: he is known as one of the core four yankees. on his career, playing in new york, and the lessons he learned. ♪ mark: good afternoon. im mark crumpton mark crumpton here with scarlet fu. stocks have settled on a move higher since 11:00 a.m. you consider gains at a quarter of 1%.