marissa mayer tilde bloomberg her plans to spin off the company's alibaba stake. scarlet: it is a gamer's paradise -- the electronic gamers entertainment expo is underway in los angeles. cuts and the government the trans fat. the fda will require companies to phase out its use over the course of three years. from bloomberg world headquarters in new york, i'm mark crumpton here with scarlet fu. scarlet: let's get straight to the markets -- stocks are at their best levels of the session right now. the session right now. we are looking at the first gain in three days for the dow jones, s&p and nasdaq, with most industry groups gaining right now.

as you look to treasuries, prices are rising and yields are falling. fomc began its two-day meeting today. we of the press conference with janet yellen tomorrow where they will up date their forecast for economic growth and interest rates. let's take a quick look at the euro. it is down .4%, somewhat weaker as there is so little progress in the greek debt talks ahead of the big meeting on thursday between the euro area finance ministers. mark: we talked about that last half hour with a couple of gentlemen. greece is going down to the wire and there were some fiery comments today. we will see how that works out. let's take a look at some of the top stories this hour -- marissa proceedingyahoo! is with the alibaba spin off as proposed. shares higher on the comments. she spoke at the bloomberg technology conference in san francisco.

morissette: we are proceeding as proposed. communicatedanges do not apply to previously .eceived requests for rulings we have filed for a well in advance of where these changes were communicated. the other thing that gives us confidence is it doesn't seem these proposed changes are contemplating changing the applicable law, so it's more about the processes around these types of transactions. she wants too said do more with the national football league. scarlet: no sign of compromise from the greek prime minister today. he accused the imf of criminal responsibility for greece's problems and said that ecb's tactics are strangling his country. everyone is worried about a greek default.

>> greece defaults on public sector, it's a washout. the ecp -- the ecb has decided to put in about 120 billion. governments have issued those bonds. greek officials have indicated they will not offer any more concessions in exchange for unlocking the funds. mark: the european union's highest court is giving -- has given mario draghi another tool to use in case of a crisis. andcourt ruled the ecb mario draghi did not go too far when they unveiled a bond buying program after he declared he would do whatever it takes to save the euro. the program has not been tacked. scarlet: fit it is counting on people getting hooked on its devices. they have increased the target of their ipo i-37 percent. fit that would be valued at

almost $4 billion. the company is profitable, but it will need to show it can compete with increased competition. mark: it has been a busy couple of months for u.s. homebuilders. since april, elders started work on the most houses in seven years despite a bigger than expected drop in housing starts last month. permits for future projects climbed to the highest level in almost eight years, an indication homebuilding activity is likely to pick up. tvrlet: billionaire personality and real estate mogul donald trump is running for the republican nomination for president. he launched his campaign in new york and says the u.s. has become a dumping ground for other people's problems and he is out to get tough on radical islam. donald: islamic terrorism is eating up large portions of the middle east. they have become rich. i'm in competition with them.

they just built a hotel in syria. can you believe this? they built a hotel. when i have to build a hotel, i pay interest. they don't have to pay interest because they took the oil that when we left iraq, i said we should have taken it. so now isis has the oil. released aump document revealing assets and liabilities. mark: a u.s. justice department investigation into money laundering controls at citigroup has uncovered potential violations. according to people familiar with the investigation, they are serious enough to marry a -- to merit a fine. they're looking at e-mails from lower-level employees at the unit. expectedtigation isn't to be finished until next year. citigroup says they are cooperating fully. kirk kerkorian has passed away. he was a key figure in the shaping of lock -- shaping of

las vegas. auto industry interest as well because he once owned almost 10% of gm and attempted a hostile takeover of chrysler. he died yesterday in los angeles. he was 98 years old. those are your latest top headlines. mark: as mentioned earlier today , the technology conference in san francisco, yahoo! ceo marissa mayer set down with stephanie maeda to discuss yahoo!'s partnership with the national football league. is an exclusive opportunity. i was worried whether they would try to do their own split with different providers, and they picked us as their exclusive provider, which i was happy about. the nfl opportunity is historic. stephanie: so you had to agree to pay them, so you are making a decision as well.

at our: when we look legacy in sports and the opportunity we have for our users, the opportunity we have an extensive network and a lot of server capacity, there is a lot we can bring to the table. week --his comment last when i first got to yahoo!, employees and reporters ticket great fun and hazing me asking me if yahoo! is a media company or tech company. is it media-driven tech or tech-driven media? of our achilles heels and the nfl opportunity, what you can see is that what was at one point our achilles heel becomes an opportunity in strength. when someone like the nfl decides to go digital, we may not be the biggest technology company, but we are the biggest technology company that gets media. we may not be the biggest media company, but we the biggest media company that that's tech.

so we become a partner in helping these media companies come online and find great distribution and a great a greatce and build business. stephanie: where could this potentially lead? marissa: we hope to be doing more with the nfl. but not going to speak for them, but we would like to do a beautiful job on this trial. stephanie: the green bay packers game broadcast on yahoo!? the other piece about yahoo! that is in the news is the status of the spinoff of alibaba and yahoo! small business. that! has said you believe transaction is going to proceed as planned. what gives you confidence, particularly in the light of the fact that the irs has said it is closely looking at transactions of that nature? marissa: we are proceeding with

our land as proposed in its based on an understanding of the few key things -- one is the communications communicated to date do not apply to previously andived requests for ruling we filed for it well in advance of when these changes were communicated. the other thing that gives us confidence is it doesn't seem these proposed changes are contemplated changing the applicable law, so it's more about the processes around these types of transactions and less about the applicable law. assured thisbeen is not specific to yahoo! or in response to this particular transaction. many are of varying sizes and scales. i cannot presume to speak for the irs, but given our understanding of that pattern, we feel we should proceed as planned. stephanie: knowing what you now know about the irs and how they

are treating things of this nature, does this affect how you think of yahoo! japan in any way? marissa: we are working with our advisors are now on what the optimization of japan might be. that is something that we will communicate with our shareholders in the future. i don't have a lot to say on it today. we have not made a request for a ruling there. stephanie: there's a lot of acquisition activity going on in that world of media and tech you mentioned earlier. how is yahoo! thinking about acquisitions these days and there is a term that you helped to coin about acquiring companies in large part for the talent they bring to the door. talent: we have

acquisitions and building blocks. the acquisitions are about hiring teens. i think our needs have become a little less acute. to yahoo!, when the board hired me, i was more beingd about the team able to hire around me and the people i would be able to attract because yahoo! had been a tumultuous and scary place to be. so when i would meet with would say is, i love to come to yahoo! but i'm not coming alone. everyone wanted their team to come with them. you look at them and say they have a good team around them and amazingot become an daily active user presentation,

but they know how to do it in the early days. now it's a focus on building blocks and strategic acquisitions. building blocks, we make sure they are aligned with content, but they not only come for the people but for the technology. an exclusives interview with yahoo! ceo, marissa mayer, speaking with stephanie maeda. scarlet: still ahead, the chicago blackhawks clinch the stanley cup yet again. what one nhl agent has to say about whether the franchises getting it done and what it is doing right that other clubs can't do. ♪

mark: welcome back to the bloomberg market day. scarlet: time to check in on the markets with julie hyman who is looking at how health care stocks are reacting to a flurry of m&a speculation. it seems to involved almost everyone in the managed care industry. it's hard to keep track of who is targeting him, at least speculatively. and them united health group, most of these are being mentioned as potential acquirers and they are rising today. take a look at the stocks that are not rising -- cigna and humana have both turned lower today. at one point, it was talked about that cigna would make an acquisition offer for humana but now cigna looks like a target that maybe that is off the table but all of this is speculative.

popular?s cigna so one of the things we are looking at is the medical loss ratio. take a look at the bloomberg terminal. a medical line is loss ratio and the white line is that appear group. you can get to this through bloomberg intelligence on your terminal. this is health care premium minus expenses. you want this to be a relatively low number, so cigna has a relatively low number here. health care stocks have generally performed very well this year. the 9% gain is the best of groups on the s&p 500 and if you look at where we have seen the deal flow, it's vanda pharmaceuticals which have seen $200 billion worth of deals this year. health care services, about $96

billion, which is down from recent years. seenis an area we have not consolidation, so looks like we could be catching up with these deals actually get done. scarlet: that window is closing if it had higher. mark: let's take a look at some of the top stories crossing the bloomberg terminal at this hour. boeing is extending its lead over airbus on the second day of the paris air show, pulling its biggest deal yet. its 737 jets100 of to a dutch leasing firm. the list price is almost $11 billion, giving boeing almost $30 billion in sales so far. a tech startup, get hub is trying to raise $200 million in a funding route. the company may be valued at $2 billion. they help companies build software.

more privacy issues for facebook in europe. a data protection regulator in belgium is suing the social network over its privacy practices, accusing facebook of processing personal data without x leaning how it would be used. uses cookies to show users relevant advertising and they can opt out if they want. those are the top stories we're following at this hour. scarlet: for the third time in six years, the chicago blackhawks have captured the top prize, winning the stanley cup and making it all the sweeter, it was on home ice. there you see the winning goal in -- winning goalie shutting out the lightning. joining us to talk about it is the managing partner at stealth sports hockey. i think we can call the blackhawks a dynasty here. three stanley cup since six years in which is a rarity.

we have a chart that shows how infrequently this happens. it is not often nhl teams can win back to back titles or multiple championships within three seasons. what is chicago doing right that no one else can? they've done a great job of building the draft and finding diamonds in the rough all over the world. they are looking at european players who are soon to be superstars. mark: this is not a question or a sports franchise has to be in the top tier necessarily of those who have the most money. some organizations have a player personnel unit that knows how to do it the right way. talk to us about what the blackhawks have been doing in terms of developing players. guest: i think they took a page from the red wings a few years ago. they went really hard on scouting and on the development

side, they did a great job with minor-league players with the system we now have in the lead -- in the league, there's so much parity between the teams. it's more about player toelopment and being able scout these players when they are 17 and be able to project future and what they are going to turn into when they get to the nhl. scarlet: the american teams have been doing better because the canadian team has not been in the stanley cup for two decades. how is it affecting these teams abilities to stay competitive? side, on the competitive the system we have in the nhl is a strong one. and therevenue sharing canadian dollar did not help this year, affecting revenues i almost $400 million. a strong dollar helps the legal

helps across the board, but as far as the competitive nature of the competitive nature of the league, it really doesn't affect it because we built the system at 50-50 between the players and the owners where being a canadian market team doesn't affect you very much. currencies,aking of the russian ruble's collapse means the russian professional hockey league is returning to the nhl, reversing the migration from when vladimir putin's goal of building a league in russia attracted a lot of talent. clientsyou see for your playing for a russian team? they're still quite a bit of interest for minor-league players wanting to play. there are some teams playing are collaringsome

the ruble guaranteeing u.s. dollars, so that has helped stop the bleeding, but there are a few teams that have gone under and it's not easy to make money with those teams over there, but that those aree vanity projects more than them trying to look at making some kind of profit. , pro hockey to ask players are the least paid from the four major sports. are we going to see that change anytime soon? guest: i think it will change. with our structure now, once we hit $4 billion in revenue, we have defined new sources of revenue. is a going to be expansion or going overseas finding new dollars? the positive is we have guaranteed contracts which similarly don't have. i think we are due for an

increase. not that you have anything to do with that. thank you for joining us. tok: coming up next, thanks the lego corporation, cambridge university has the building blocks for a new place. ♪

scarlet: playing with legos is serious business for cambridge because thanks to a gift from the lego foundation, the school has been -- has an opening for a professorship in play, development and learning. whoever gets the job will be the director of the new research center on play. they aim to build a center where kids become lifelong learners, not necessarily sitting in front of their screen playing minecraft all day. mark: as the parent of someone

who loves the legos, when you see this creativity start to blossom, you don't know, they could be architects are working in the gaming industry or working in silicon valley. my son has stated his goal is to be a lego maker in the future. i say you need to do that her math. mark: don't get me started on that conversation. this has been an interesting afternoon here with marissa mayer and dick costolo. scarlet: and we are not done yet. is going to take off but we are going to take you to the electronic entertainment expo in l.a.. don't go away. ♪

scarlet: welcome back to the bloomberg market day. let's get you to the top stories

crossing the bloomberg terminal at this hour. departing twitter ceo dick costolo says while he is confident in the direction of the company, he's going to let the next ceo make changes. he was on hand for the bloomberg technology conference in san francisco. everyone on board realizes the ceo needs to have the leeway to do what they want to do. what i'm trying to articulate is that we like the strategy that is in place and we like the team untils in place and further notice, we will continue down that path. scarlet: he praised the two people on his staff that may be up for the job. starwood hotels and results -- and resorts plan to list its experiences on the new york stock exchange. it will include 19 ownership resorts and other properties. it will be listed under the ticker the sec.

berkshire hathaway will pay $388 insurersor a stake in australia group. it will accelerate commercial coverage and give berkshire 20% of premium payments and make it liable to pay 20% claims over a decade. search teams are back in the woods in northern new york looking for two convicted murderers who broke out of a maximum security prison. state police say a received more than a thousand leads, but so far minogue confirmed sightings of the escapees. law enforcement officials say one of baseball's most successful teams hacked into another teams network to steal data. the fbi and justice department are investigating the st. louis cardinals. there's reportedly evidence that officials broke into the houston astros network containing databases.

the mlb says it's cooperating with the investigation. up, it's the license plate every wall street professional should want or maybe not. we'll give you the price tag on that. and the government is panning trans fat. and the latest on the recent security breach at the office of personnel management. we will have that and more coming up on the bloomberg market day. with muchme back more, including conversations from the bloomberg technology conference.

scarlet: welcome back to the bloomberg market day. if you are a wall street junkie and want everyone to know your allegiance, you might want to consider making a bid for the only wall street license issued in the state of new york. it's for sale right now on ebay along with the 2002 mercedes it is attached to. the seller has a 100% positive feedback rating bought the plates when they first became available in 1976.

he worked at ef hutton at the time. alix steel joins me now. this is a hot item. everyone is really excited. so much so that there are zero bids. the price tag is about $12,000. but i was reading some articles online and business insider had a great point, saying the $12,000 buys tag -- price tag is $6,800 more than what the car is worth. so you are looking at a license plate worth $6,800. that would attract a lot of hate in a lot of neighborhoods. i imagine if you do buy this, it might get keyed. alix: it depends on the neighborhood you are in. but anyone from occupy wall street would want to key it. it is just obnoxious. alex stays with me -- ix stays with me.

mark: tweet us. i'd want to hear from you if you want to buy this car. -- $12,000.e time let's get a check on how commodities prices settled in new york. wti crude is higher, but not much. we are looking at the $60 barrel level. alix: the issue here is oil has rebounded from a three-day drop. it starting to be storm season, hurricane season. there's a tropical storm approaching texas. it doesn't mean operations are going to be interrupted but 17% of crude oil output is offshore platforms in those waters.

also 4% of natural gas production. if there is some kind of disruption or a lot of flooding, that could impact production. scarlet: we had a really tame hurricane season last year. it really didn't even show up. alix: this is how you wind up playing natural gas in the summer, you kind of play the storm. refinery capacity is on the gulf coast. the latest onis el niño? i remove or hearing it a while ago. alix: the el niño talk is back. it getting research notes -- comes every two to seven years and we haven't had a really bad one since 1997 or 1998. this is rising pressure in tropical regions, over indonesia pretty much. it leads to temperature shifts and can disrupt anything from the supply or demand perspective

and citigroup had a fascinating note this morning breaking it down. australia, that could disrupt supplies there. but gold? do you think el niño would affect gold? if you go to certain countries that by gold that are not making a lot of money off crops, they are not going to have the money. like india, you have the monsoon season. they are not going to have enough money to buy gold. i love that takeaway. demand look at it from a perspective when it comes to energy. hot, you arehat not going to use as much natural gas. it is a fascinating supply and demand dynamic. scarlet: the s&p 500 energy index up by .8%, tracking the rise in oil prices.

you so much. alix steel will be back in 20 minutes to take you through the market close. in the meantime, let's get you the top stories crossing the bloomberg terminal at this hour. in russia, it is playtime for patriots -- vladimir putin is opening the army's biggest defense exhibition at what's being called a military amusement park. visitors can shoot guns, do parachute jumps and by surplus vehicles and uniforms. the first lady is in london -- michelle obama and her daughters arrived at number 10 downing street. teafirst lady will take with prince harry. the goal is to promote education for girls worldwide. and for the first time in seven years, chargeable given -- charitable giving in the u.s. has surpassed the previous record. americansation tracks that says americans gave $47

billion more to charity this year than in 2007. uncle sam is cracking down on artificial trans fat. the fda will start requiring companies to take out the partially hydrogenated oil over the next three years. fats canng -- trans lead to heart disease, which is the leading cause of death in the u.s.. our health reporter joins us now. let's talk about which foods would be most affected. bake goods are especially affected by these artificial trans fats. guest: baked goods, canned useding, trans fats are for certain textures and to be make the food shelf stable so it lasts longer on your shelves. pie crust, cake mixes at

biscuits might have troubles finding substitution for trans fats. the same with canned frosting. does that mean certain companies can get a waiver? unclear,at is a little the conditions as of now. the fda will not allow any trans fats unless a company comes to the with data that shows low levels they would like to use would not harm the american public when making them. we don't know what that will look like yet. there might be some small amounts used. they might have to get fda approval to use them. scarlet: in the meantime, companies have been anticipating this and were looking at alternatives. are there estimates in terms of how much this would cost the food industry? estimated it to

be $6.2 billion over 20 years. they did not put out a year-by-year estimate, so it would be that amount to find substitutions and relabel their products. this ruling cannot have been a surprise. many companies have used alternative ingredients in anticipation of having to reduce the trans fat in their faith. our the alternative ingredients necessarily help more healthy -- necessarily more healthy? question.t's a good one of the goto ingredients can be palm oil and scientists said it's not the best thing in the world but it's a little , whereas trans fats can raise your bad cholesterol and lower your good cholesterol, something like tom oil might just raise bad cholesterol a

little bit. scarlet: new york city was the first city to and trans fats in restaurants, but this is on a federal level regarding food you buy at the grocery store. guest: that's right and it could include food cooked and restaurants as well. was there a time winter and that was considered healthy or not necessarily dangerous? i feel like once upon a time, people felt this was a good alternative. much like a lot of things we eat and we are told how they affect our health, trance that have it in use for decades and were thought to be better than something like lard. obviously, thinking has changed since then. it is certainly a victim of its time. thank you very much. we're going to stick with the consumer and look at the menswear market.

it's becoming increasingly lucrative in the united kingdom, contribute in 12 billion pounds to the economy last year. men's fashion week is also becoming a bigger event. yesterday, burberry showed off its latest menswear design. francine lacqua caught up with at theef operator it back of the show. >> we wanted to have a combination of sartorial and traditional pieces. so we have the iconic trench coat that we we then make here in yorkshire, england, as well as the iconic rubbery scarves that we weave in scotland. but it was a bit of a contradiction. lace shirts, lace ties -- it was that kind of sense of irony because england is well-known for lace making. i like that play on different

traditions that come together, and we did that with the music where you have these hugely musicians and singer-songwriter's that played with a classical orchestra, so there were these contradictions. theyat do men want when dress? >> they want to feel confident, they want to feel good in a close, they want to make sure their close at them. i think most guys want something that has a mixture of something that is traditional, but with something contemporary. i think how far along those lines go, it depends on your personality and your lifestyle. i don't see every guy in a lace shirt, but i do see many guys in a lace shirt. at the show, you will find classic shirts to go with a

tailoring here. >> what does it mean to be a british designer of menswear? >> we have such an incredible history and heritage of menswear is sos country that embedded into burberry as a brand, it's almost a natural extension of everything else. the trenchcoat, we always say it's for men and for women, but with all of our tailoring heritage, it's at home when we show in london. >>'s live streaming as important as the catwalk? >> we do live stream on burberry.com and periscope, but it's very important that these shows are becoming not something just for the live audience. that is very important. some people come because they

love the music and come to hear that. loves love fashion, others the idea of shows. others are looking to shop. question -- tie or no tie? >> today, i am no tie. it depends where you are and what you are doing. ties very much. probably the majority of time, i don't wear ties but normally, somebody that i work with is always in a tie, so ties or no ties, depending on where you are going and what you are doing. the ceo ofat was burberry speaking with francine lacqua. coming up, lawmakers are trying to figure out how bad the opm data breach was. we will take you with -- we will

talk with congressman will heard after the break.

scarlet: in washington, lawmakers are looking for answers following a breach at the office of personnel in u.s.nt, the largest government history. a hearing was just wrapped up on capitol hill and peter cook is live with congressman will hurd. he played a key part in today's hearing. peter: i am joined by congressman will hurd, who has a unique perspective, given your time at the cia. how troubled are you that the office of personnel management was hacked in this way and so many employees now have information out there?

isgressman hurd: it disappointing and scary. how can attackers use it? they can use it to penetrate our system and a lot of this could have been dealt with if some of andissues opm had identified by the og and identified by gao, if they were fixed years before. peter: the head of opm was making the case that some of it had to do with budget. we have not had the resources to build the structure that we need. congressman hurd: when you implement two factor authentication after a hack, that means you have the money to do it. you just had an done it. issues that ishe most frustrating with me. billess last year passed a to protect their networks better and one of the things i will be doing is ringing these agencies

in and saying how are you moving forward to make sure we are protecting everyone's data. peter: what is your sense about who is responsible for this? can you get into whether or not this was state sponsored or whether it was china? congressman hurd: our intelligence agencies are looking for attributions. when you look at the signatures of this attack, could it be a state sponsored by china or russia and organized crime, yes. but what we need to be thinking about are the tactics being used and what's the appropriate counter measures because that leads to people stopping doing it if they know they are going to get a countermeasure. decadeyou spent nearly a and the cia, so you get this better than most people. what about the fact they were going through personnel records [inaudible]

you always hurd: have to look at how that information is going to be used. some people might sell it on the black market, but if there is a state sponsor like china, how are they going to use that to target? can use that to target them, are they going to use it for blackmail or is there information that can get them access to other systems? ways this number of information can be used to do the next attack and the next attack. peter: the chairman was calling for the head of opm to go, that this was such an egregious fiasco -- do you share that view? congressman hurd: i do. this is one of those things where you know you have on her ability in your network and do nothing to fix those one or

abilities, that's unacceptable and it's one of those issues where with so many records being touched and stolen and so many people being touched by this, someone needs to take responsibility for this action and show the rest of the agencies that this kind of behavior is not going to be tolerated to ensure they are doing the right thing. peter: you are convinced this was preventable? congressman hurd: there are a lot of steps that would have made is a lot harder that was now. the fact you are not using best practices is a sign that they may have looked for other targets. still congress is undergoing the debate of cyber security. think thatent do you is going to make any difference in things like this? >> this is where i hope my

colleagues in the senate passed the legislation already passed. is going to ensure agencies share information even more amongst themselves. this indicator of compromise may have been found somewhere else and could have shared. peter: thank you so much for joining us. congressman will hurd after a tough day for the office of personnel management. scarlet: thank you very much. we will have much more coming up on the bloomberg market day after this. ♪

scarlet: it is noon in san francisco and 3:00 a.m. and hong kong. , dickng twitter ceo costolo taking the stage at the bloomberg tech conference. he discusses the reasons behind his resignation. in a and fifa is caught up scandal but that's not stopping electronic arts and cashing in. donald hasd the entered the presidential race. he promises to be a great cheerleader for the u.s. good afternoon, everyone. alix: let's go for a look at the op -- at the markets right now. weare reversing the decline saw yeda