be the next president of the united eight, possibly setting a course to become the fourth family member to hold office. alix: the greek premise or has failed and it has sent stocks around the world into the red. once to buildma the chinese version of netflix and hbo, looking to service 600 million families, creating more entertainment content. scarlet: good afternoon. alix: let's get straight to a look at the markets. a selloff underway, the dow jones off by 115 point. .5%, andlso off by it's also below its 100 day moving average. that means the traders that look at those levels, they can

facilitate something on the downside and not only do we have the unresolved greek debt crisis, but we continue to get lumpy reads on the u.s. economy. the factory numbers were not encouraging if you are looking for an -- looking for a recovery. all morning long, the euro was weaker against the dollar and the yen, but it has turned higher in the last few hours. -dollarsay that euro volatility is at a three-year high as talks with greece and its creditors fell apart after 45 minutes. alix: did you know that bearish euro bets are at a low? i'm also looking at yields, in particular, the two year yield. this is where we saw a lot of action during the selloff. we are actually seeing a rotation into the two-year,

investors pushing it down as we search for safe havens. lisa abramowicz pointed out today, saying investors care more about getting their money back rather than avoiding losses if the fed raises those benchmark interest rates. scarlet: this all comes before the fed meeting when the fed will up date everyone on its inflation targets. let's get a look at the headlines making news this hour -- a win for hank greenberg, but no monetary damages. u.s. set auled the precedent but that it doesn't mean shareholders deserve compensation. greenberg's star international has sought three $5 billion for shareholders. this blood decision sets up the possibility that both sides will appeal and a battle over the response will continue for months or years to come.

alix: the ongoing conflict in ukraine has come -- has not helped its credit standing. crisisbeen the worst since the cold war between the russia -- between the west and russia. ryan killed -- ryan chilcote rged -- thought that this immediately after -- as rejected and signed ryan: you don't repay bribes? >> no. i think the kremlin has

demonstrated responsible behavior. since the peace treaty was signed, there hasn't been a single day without artillery fire in ukraine. scarlet: the "wall street journal" reporting that anthem has made a bid for cigna. bloomberg news reported last anth that humana is reporting sale after being approached for an intentional -- for a potential deal. alix: the deal includes more than 1600 pharmacies and target stores that will be branded as cvs pharmacies. scarlet: that is a look at the top stories this afternoon. isx: the big event this hour jeb bush making his presidential bid official. we will have live coverage. the bloomberg politics managing

editors hosting a show being streamed on bloomberg politics. calm. we will have those comments live once he begins. in the meantime, the heat is on in the greek bailout talks with both sides weighing and. the greek prime ministers hardening his stance and europe is raising the pressure on greece to return to the negotiating table. mario draghi says it is up to the greek government to act. >> such a strong and credible agreement with reese is needed and not only in the interest of greece, but the euro area as a whole. while all actors now need to go the extra mile, the bull lies in the greek government to take the necessary steps. scarlet: pimm fox and i spoke with the athens bureau chief at a former economist the imf and world bank to discuss the options right now.

what he isknow really fighting for. the two choices he is facing is after some reforms, to get on the page of the europeans, or the country will descend into chaos for sure. at the end of the day, the ecb cannot continued -- cannot continue the emergency credit to the swiss banks. of whatinto a risk happened, so this is a leak alternative. population sayk they want a compromise, so i don't know why they are messing around with these details. imm: talk about the popularity with the greek people. >> the vast majority of great

people want the country to remain in the euro area. at the same time, and greek people don't want a new round of austerity measures, especially with the lawmakers of the government party and the ministers. so the premise or is really between a rock and a hard place. eurol that would allow member states to continue financing the greek economy would be attached to harsh they comemeasures, so with a heavy toll for the popularity of the greek prime minister. on the other hand, no deal would mean greece would probably default certainly next month on there would probably be followed by complete chaos. so there are no easy choices for mr. citrus, but he has to make his mind never because the bailout expires two weeks from

today. pimm: i want to bring up some comments from bill gross about greece and referencing develop nations -- greece is the canary in the coal mine for developing economies. i wonder if you can comment on the notion that there is something more at work, that this is an issue not only for greece but other developed economies as well. ton of respect for bill gross but i don't think macroeconomics is his area. you have fundamentally a country here which has underperformed in terms of policy adjustment for a long time. it started with the greeks having lied about the data. , because in the eurozone, it was not your normal restructuring and default. then having a government that was -- that doesn't want to do

the reforms the other countries do. it is not about the exchange rate per se, it's not about anything else in a country spending too much money, so the other taxpayers, imf members or european numbers until they can get their house in order, they need to give us a plan until they can get in order if we are going to use our taxpayers money. isolated case and i strongly believe it has nothing to do with the other european or developed countries really. -- alix: a historic day in saudi arabia. the largest stock market in the middle east is open to foreign investors. scarlet: while saudi arabia is dominating the oil markets, they are enmeshed in conflicts with syria. people are concerned about

diversifying this economy. they want to bring some new talent in here, obviously access to a bigger capital pool, but the companies they want people to focus on are in things like transport, infrastructure and consumer goods. people forget more than 50% of the economy here is nonoil and there's a huge opportunity for people away from oil. olivia: tell us about what kinds of companies you can invest in. >> consumer demand inside this country is fast. you have a population with a lot of spending power. when you are looking at big dairy firms, food products -- i've been talking to doctors and advanced-- there's an health care system here and those are opportunities that have nothing to do with energy and it's something they are very keen to have people invest in.

olivia: there's a note from areit squeeze saying shares trading at a multiple of about 16.8 times forecast earnings compared to your average multiple about 12.7. is there a sense that there are bargains to be had? companies -- i've been speaking to bankers who said they have had multiple calls over the last view weeks. i think we will see prices rise over the short-term, but everyone is interested in the long-term impact. in things like corporate governance, trying to include accounting systems and make sure there are new board structures available that allow companies to move and gain more respect in the region as well. alix: coming up, watch out uber taxiina has new combined company is seeking funds evaluated at $15 billion. we will tell you the two major

companies behind it, next. ♪

alix: we are just 45 minutes away from the closing bell. we want to get to matt miller who is looking at some of the movers. there is a heck of a lot of m&a i'm going to go into. microsoft is giving a presentation at the e3 gaming conference and they say they're going to let people use the x use olderet them games. that is going to hurt gamestop. the problem is if you can go back into your closet and take them out -- i just want to

mention that quickly. let's get into the mergers and acquisitions, which are just acquisitions -- the term merger hardly ever applies at all. standard group says they are going to merge and work together as partners, but what is happening is ryland is having a reverse split and they are going and givehat one share it to ryland group holders and by that share. buying ryland is group. nonetheless, both of those companies are up. making a $4 billion offer for deal track. that is boosting their stock price -- up 57%. that is about the premium, so that is a $4 billion offer. they own companies like auto trader and kelley blue book. they own the big auction house that sells all the used cars

around the world and they are building up their inventory of car sales related businesses. finally, i want to look at cvs -- a $1.9 billion deal today, buying target's pharmacies. this is actually the second in a month of egg deals for cbs because they ought the on the $12.7harmacies for billion. they are doing a lot of deals and shareholders don't seem to mind it even though it's going to eat into their profit and mean they are going to buy back fewer shares. are going to lower their profit outlook for next year by six cents, though that should come back in 2017. so hold onto those shares long enough and you'll get a 10 to 12 sent news. and it gives money to target to buy back more shares and streamline their business. they want to get more into

fashion and get into things like that. you know enough about lily pulitzer showing up to target. i know you don't like merger monday, but you like the alliteration. last real merger i remember is daimlerchrysler. the new york prison worker accused of helping to killers escape was in court today. prosecutors say she agreed to be the getaway driver about act out because she felt guilty. the manhunt is now in its 10th day. be legal iny colorado, but you can still be fired for using it. that's the ruling from the state's high court today. it involves a nickel marijuana patient being fired from dish network after failing a drug test.

medical marijuana is not covered widely state law. the president of the naacp in spokane washington has resigned. to announcement that u.s. bring down was posted on the facebook page of the civil rights group. it comes after controversy mounted over her racial identity. her parents say she has been falsely portraying herself as african-american for years, even as she is white. alix: alibaba is turning up the heat entering the video streaming market. the internet giant is building its own version of netflix which will have original content. they are trying to target 600 million potential chinese consumers. when is this likely to come out? emily: it looks like it's about two months from now and if you

have the alibaba settops walks or a tv that uses the operating system, this is something you will be able to access. we know that jack ma has been visiting hollywood, trying to strike content deals, so some of the content they will be showing will be purchased from overseas. alibaba is also producing some 600his content itself, but million families in china looking for entertainment, this market.0 billion the big question is can they make money off of something like iss? original content expensive. we see netflix dealing with the same challenges, how can alibaba turn it into a moneymaker? the question is what business isn't alibaba going to touch? you seen them get into film and soccer teams -- it's so interesting how far the on the

original e-commerce plan we are seeing them go. this does dovetail into their e-commerce at heart. they are interested in merchandising opportunities that could come out of hit shows that might be created because of this service. scarlet: the chinese really love house of cards. bang theory" was banned. what is that going to mean? alibaba is leading from behind. will they be able to compete? see alibaba following doing --e company is you see all of these companies ,n china mimicking each other following and leading each other in different ways and there's a lot of opportunity in china. alibaba says we need to be in that market. i don't think on every front that alibaba is following. i think on some, they are.

they are teaming up in the taxi app world, seeking to raise funds and put a valuation between 12 and $15 billion. can they really vie for uber here? are two ubers of china that merged in february to try to eliminate some of the cost of competing with each other. they command 78% of the market in china for ridesharing. uber is 11%. our backers10 sent of this merger. this company is now looking to raise $1.5 billion, making it one of the most highly valued , behind in china

xiaomi. we know that this is a huge market that they are focused on growing. giant, is aer backer of uber, so this is another front where we see the three biggest companies in china competing with each other. for these small world companies. you can catch emily and bloomberg west right here on bloomberg television. more coming up. we will be back in just a few minutes. ♪

scarlet: fit bit start trading in just a few weeks time. this company is coming and more expensive than garman is currently trading, some people obviously see fit bit as the market leader, due to that place

of holds in the market right now. it has already gotten widespread adoption among users. obviously, there are a few risks. scarlet: that is the best part, looking at the risk sections and the risk is what eric has on his wrist, the jawbone. leslie: this is pretty common leading up to an ipo. they don't want any kind of publicity blemishes, so they are more likely to settle. -- it's no wonder they tried to time it with the ipo, but could be an expensive settlement that could be a setback for fit it. aside from the legal issues, there is competition from apple. the iwatch coming out just before the initial public offering, which is curious timing. it does provide from a price standpoint a better value to consumers. the most expensive fit bit is

250 dollars where is the cheapest apple watches $350. and goes all the way up to $17,000, and that could attract more from the corporate side. have -- fit bit shares will start trading on thursday morning. i am saying goodbye to you, but good to have you as always. bush'sup, jeb announcement that he will officially enter the presidential race once he takes the stage, we will bring you his comments live from miami, florida.

alix: welcome back to the bloomberg market day. let's get straight to a look at the top headlines this afternoon. dog fight between boeing and airbus is underway this week at the paris air show. the companies are expected to announce at least 23 million dollars in orders for narrowbody jets. up reductionping of the 787 after years of delays. he spoke to bloomberg at the air show. plane was worth everything we went through to get it done. you are right, we have a challenge to get down the learning curve and bring efficiencies out of the production line, but volume is our friend. we are going to go up to fort teen a month and no wide body has ever gone that far. the 787 program will breakeven the rest of the year. wantsmember of congress to split off the air traffic control system to a nonprofit association. he says it would insulate it from political interference and budget uncertainty.

he would fund air traffic control with user fees. united technologies says it is aircraft,core ski turning its attention to high technology products for the aerospace and building industries and said several months ago it launched a strategic review and it concluded score ski -- sikorsky was no longer a good fit. they will decide whether to sell it or spin it off. united auto workers will begin formally initiations with ford motor's . the union vice president says it is seeking to close a pay gap between veteran and new or workers. julywill get its turn on 24. the company that makes the m-16 rifle has filed for chapter 11. it's as it has been hurt by delays and government sales and falling demand.

cold has been in business for 179 years. that's a look at some of the top stories for this monday. we have a lot of them in day-to-day. you have to look at housing, auto and pharma and a huge potential deal in the health-insurance industry. asna shares surged as much 90% after they were said to be a takeover target for anthem. they are also considering a bid for humana and that at the is considering a bid for humana as well. joining me to make sense of it is our deals reporter. can you explain this musical chairs thing going on right now? >> i will do my best. the thing is anything can still happen in this space. there has been speculation for years that we would see some kind of merger. there may be one or two deals

that could happen maybe one big one. it's like a staring a match with a compound eye. is the gorilla in the room. could play in this, but they are restricted in terms of upping their exposure to medicare and medicaid, so they would not be able to go after humana and i think they would struggle to go after anthem but they could come in and i any of the other three. no one can buy united because they are so much bigger. and: humana is attractive cigna is attractive for anthem. why the consolidation now? two things -- everyone else is consolidating across the health care industry, which means they are being looked at

by their investors. everyone wants to do it. the other thing going on is obamacare has changed the landscape, so if you are a health insurer like aetna or good, where you have very exposure to the private sector and your business is driven by what they don't have exposure to is the public sector. obamacare has made that a much bigger part of the market. the way they get that is they go out and acquire someone who does, like humana. so now it is about cost-cutting and scale? guest: it is exactly that. they've done what they can, so it is about cost-cutting and how do they get to scale that when

that came in, there was going to be a time when everyone waited to see how does this affect my is this and what do i have to do to it that in this new environment? andink they have done that we have reached the point where everyone has figured out how they do business, so they inevitably start looking for deals. alix: what about premiums? dollars in potential deals. what kind of premiums can you set? pretty healthy ones. we have seen the shares run up on today's news and when the speculation was out about humana putting itself out for sale, we saw the interest there. everything in this market is getting 20% to 30% premiums. we sought in the water industry space. one of the other deals

with cbs dying target's pharmacy business, the stock is up. homebuilders, the same way. how unusual is that and what does that say about the environment? we have been saying it's nuts and unusual for two years. we accept that it is kind of a new normal. investors love deals and when companies do deals, they reward them by giving the stock a pop. we saw another deal today with hudson bay buying a german shopping company and that stock popped on the news. it seems irrespective of the sector. you are seeing this in amazing reaction. what kind of termination fees do we see and what does that wind up telling us? some heftyave seen

ones, particularly on the antitrust stuff. we have seen regulators low up being the best example the time warner merger that fell apart earlier this year. because of that, people are asking for angst and we see it now, a break fee. seeing't think we are historically unusual fees but there's an interesting thing going on where there is so much m&a an appetite for companies to do deals, if you are a company and you say i will put myself in with you and will try to get this up, you are taking yourself off the market when someone else could you. going to take that risk, i want some money if it all goes wrong. the one deal that's going to go through? guest: i wish my crystal ball were that good.

it is one of these ones at the moment where any call i make, i'm going to look like an idiot down the line because anything could happen in the space. they are all looking at each other and are all playing this very clever game. is thing that is fascinating this news coming out about cigna being a target for anthem is and makes cigna less likely it's like layers upon layers of complication. one thing we can see -- we can say for sure is we will see a deal in the next month and it will be big. alix: we have to leave it there. still ahead, jeb bush's announcement that he will officially enter the presidential race desk once he takes the stage, we will bring you his comments live from miami, florida. ♪

alix: welcome back to the bloomberg market day. we have breaking news just crossing concerning greece. the french president sounding a little more optimistic when it comes to a greek resolution, close to as are very solution on the primary deficit, saying a solution for greece is not far and that everything must be done to keep greece in the euro. also pointing out there's very little time left on greek negotiations. so the french president coming out optimistic that there could be some kind of deal and resolution to the primary deficit argument. euro continuing to

climb higher, but we have seen that all afternoon as the dollar comes off that level. about 20 minutes away from the close of trading. let's get over to matt miller. is rising ap little, but not a terrible amount of reaction on this news yet. and what can you expect? people who own the index have been waiting for this deadline to come and it doesn't happen. everybody knows all this european political news will be played out until the middle of july and until then, nothing is going to happen and they will let it get down to the wire. we have seen markets off over the past couple of days. everything came back after the open, but i want to highlight a couple of m&a stories we have going on today. show me ryland homes and standard pacific stock prices because i want to take you through what is going on here. not a merger, it is an

acquisition, but you can see from the share prices, very different. so how is this company going to buy them? you back to the spread screen and you can see they have been tracking each other very closely. standard pacific is going to split and bring as share price right up to where ryland is. that is why they track each other so closely over the past two days and then jump up together in today's trading, because of that reverse split investors are anticipating. take a look at another mergers and acquisitions story. this is the acquirer and buyer. this is anthem with humana and cigna. it shows a different picture. here.e cigna and humana

the acquisition didn't happen in that stock is down. they talked to cigna and the stock took off. a lot of traders are doing arbitrage training, selling humana and buying cigna. if you look at how dramatic that is, you could make a lot of money. humana was up a lot of couple of weeks ago when humana made the offer and cigna was trading normally and shot up. bring it to today and you see what kind of money you could have made if you had done this arbitrage right. this is what shows this red and these are the stock prices. the oranges cigna, the white is humana, and this is the spread you could have made a few short of humana and bought cigna. what -- thenbetter if you are just long cigna. very interesting look at what the spreads can tell you about a

deal here, alex. a lot of money could have been made even though there is not a heck of a lot of movement in the indexes. m&a, dividends and buybacks. thank you very much, matt miller. now a look at the top stories making headlines this hour. two young people vacationing in north carolina were swimming in waste deep water when they were attacked by a shark. a 12-year-old girl lost part of her arm and a boy lost his arm s later.n 90 minute each of the victims were about 20 yards off shore. in western indonesia, hundreds of villagers living near a volcano are being evacuated. hote have been at least 28 ash avalanches and there are indications the lava dome continues to grow in size. the volcano has sporadically

corrupted since 2010 after being dormant for 400 years. and her option last year killed at least 17 people. andfirst space probe into on a comet last fall has finally woken up after seven months of hibernation. the european space agency probe has begun sending back it up. the probe's batteries died last november but it made a slow pass with the sun and the batteries were recharged by sunlight. that's a look at the stories making news this monday. morgan stanley has added antoine walker to the firm's financial advisory practice. he has a checkered past. he declared bankruptcy over 13 nba sessions. erik schatzker and olivia sterns spoke to him ahead of -- spoke to the head of mobile sports and entertainment about why players go bankrupt and the need to educate them about finances. >> i think it is a commendation

of things, especially looking at my own situation. coming in the league at 19 years old and not having knowledge of what to do with the money is the main reason it happens. not being educated and not understanding the basic things like taxes, understanding that's only half of what you are really making. i think a lot of athletes don't think about our futures. we don't think about when we become 35 or 40 years old, we try to spend the money to fast and we don't think about our life after whatever sport we are doing. olivia: you had a $70 billion contract and you spent the bulk of that. but you are 19 years old. how do you change that? >> we are teaming up with antwaun and others to change the narrative early. we talk about the statistics and we've had the opportunity to

create a financial education program where we work with student athletes and retainers at the professional level and team up to give them real life examples and tie that in as to how they can make smart decisions early out of the gate by being better educated on what they need to do with their finances. your if you think back to personal experience, do you blame yourself or is there an ecosystem of people who are out there trying to pray on young athletes the moment they become wealthy? .> honestly, i blame myself i look at myself and i try to put somebody else in that position. but i think the educational part can be brought upon the nba to make us more aware and i think having a program like this, it's the first time players get to hear from someone like myself and get a real person telling a real story going through the same thing they are going through right now.

olivia: what would you tell the 19-year-old version of yourself? >> get ready to say no. difficult thing to do. you have to tell your family and friends that you are trying to save for your future. how does that happen in practice because you are the angels sitting on his shoulder but there's a whole crowd of people, car dealer, the jewelry yourman, it there's friends and family and they want a cut of your action. how does your voice drowned out these voices? us, creating this within morgan stanley and having individuals we can give real-life scenarios to and give them fundamentals -- when you think about athletes and entertainers, they make money in choppy spots and their careers are short-lived. having well-trained advisors with experience in this area,

being able to educate them, putting their real-life scenarios so that people can understand in early out of the gate and have an opportunity to make smart and informed decisions. was antoine walker and drew watkins. bush'shead, jeb announcement that he will officially under the presidential race once he takes the stage, we will ring that to you live from miami, florida. stay with us. ♪

few: jeb bush in just a minutes is set to announce his run to become next president of the united states. he is holding an event in florida at miami dade college. helperilemann and mark and are previewing his comments right now. >> welcome to our bloomberg tv

viewers. we are watching live where jeb bush is about to announce he is running for president of the united states. that is his son, the texas land commissioner about to introduce his dad. before his dad comes out to give his big speech today. mark halperin is inside the hall. give us a sense of what it is like down there and how the crowd is reacting to what they have seen so far. mark: this is a momentous event for the bush family. jeb bush has long been considered someone who would run for president and was that he -- he lost his first race for governor for florida and george w. bush won in texas, so it has taken him longer to get to this moment then people in his family thought, but today is the culmination of about a seven-month run up to consideration. come in today with a lot

of expectations about how he can reestablish himself because he's theseouble, some of stubborn resistance he felt from conservatives and more from people in the party who say we just don't want another bush. his father is not here, his brother is not here, but today is the day when he tries to sell himself not as a bush, but they've former governor of florida for the country at large. john: i assume many people thought he would be the front runner when he got in. he is a top-tier candidate, but do you feel as though jeb bush himself and the people around him are feeling like they have fallen short of expectations of either of america, the political class or their own expectations? mark: they are certainly doing well raising money. he's devoted a lot of his time to that, but in the camps of

some of the other leading candidates like scott walker, in those camps, there is a confidence and a feeling of accomplishment that they come from the unknown to being thought of as strong candidates. bush has gone the other way. he's gone from someone who they thought would clearly be the front runner and the strongest downstream candidate, to now someone who has to prove himself and there's no doubt that there is apprehension. they are not handed, but they are apprehensive that this thing needs to turn around. although he has been looking like a candidate for the last several months, being a formal candidate with the ability to spend less time fundraising for his super pac and talking to voters, they believe he will do what he will start to do today, which is convinced people he has relevance. is the face of a

successful future of the republican party. as he wants to show his record in florida is your main, even though he left office a long time ago. doubt what heno will be selling as an official candidate, but beyond electability has been his message. today's a chance for him to enunciate in a clear way what his vision for america and the republican party is. what do you anticipate we are going to hear a few minutes? mark: it's funny because the bushes have a lot more continuity than a like to let on. brother talkedis about being a compassionate conservative. he's training himself the same way -- a conservative who understands the center. go to w. bush would

african-american churches and this is a diverse community college. it's meant to appeal to swing voters and centrist voters who care about electability as it is to make a direct appeal to hispanics and asians. he wants to say i'm an adult who can govern and when a general election and i'm a conservative. these are things most voters don't think about -- they just think he is a bush. you mentioned his father and brother -- neither of whom are in the room today. why don't you tell us which members of the bush valley are in the room to see him announce this afternoon? ask most prominent is his mother, barbara bush and she is still quite popular. his three children are here, george p bush, his other son, jeb junior, who is a real estate agent and heard -- and his daughter who is a much less public person.

a couple of his siblings are is the day toy straddle what jeb bush will have to straddle this entire campaign, which is the bush legacy and the relationship of which he is proud, but also being his own man. sometimes we have short memories , this is a huge issue for george w. bush. lots of republicans even then said do we need another bush and his father was not popular with large segments of the base, so he faces the challenges his brother surmounted. surmountpeople he can the differences and the downsides of being a bush. john: i'm going to let you go so you can pay attention to what's going on behind the room. we will do some post game on bloomberg politics.com, but let's go to my friend al hunt in the washington bureau. give us a sense of the stakes

today in this speech for jeb bush. al: this is not a second impression, this is a fourth or fifth. he has to create a good one. one of the messages for anyone watching earlier was this is not a wasp enclave and that's good for him. but he has to give the sense that he's different than his brother, that he's a fellow who not only has a record but has a vision for the future. you know better than i do that these announcements, you can screw up and do poorly, but what they really do is set the stage for what you can do over the ensuing weeks or months. not run the juggernaut people wanted him to be, when he has been out as an exploratory candidate, i said he's not clearly the front runner, but he's clearly in the top tier of the field right now.

explain it was your view is about what has gone wrong. he's had trouble answering some pretty basic questions about his relationship to his brother's record and he has had some campaign disarray. what is it that what is that gives people the idea this was more beleaguered that was? al: he hasn't had one of those moments where people say this guy is pretty good. scott walker had that in iowa. marco rubio has had that. to have a moment like that. the rubio entry was really not something they thought would happen. who talks, has appealed to the latino community.