emergency summit in brussels is set to start in a couple of hours. we are live from brussels and athens with the latest. an age of virtual warfare -- we go inside lockheed martin to see how the air force is using technology to prepare for war. nfl star findr success off the field? you will meet the billion-dollar mortgage company. -- casey morgan and his billion-dollar mortgage company. olivia: good morning. pimm: we are 90 minutes into the trading day here in new york. let's look at how markets are trading right now. u.s. stocks moving higher, perhaps on the news of a potential agreement in greece and a look at what it's coming far as what's coming as

mergers and acquisitions. the dow jones industrial average up .8%. with the euro right now, the euro on the move amid all the news coming out of these high level meetings in greece coming out of- the emergency summit, everyone is hoping the name -- is hoping a greek debt restructuring plan might be hammered out. we also want to show you the athens stock exchange. you see equities ripping across europe today. the dax up. pimm: a big rally in stocks and a big rally in bonds. it is being called a forward step toward ending the stalemate over great -- over greek aid. offering tonister

an early retirement options in the country. before anust hours emergency summit. the head of the european finance ministers group says the plans an opportunity to get a deal this week. broad and comprehensive, but they need to look at the specifics to see if it adds up in fiscal terms, whether the reforms are comprehensive enough for the recovery to take off again. pimm: meanwhile, greek banks are trying to slow down the drain on their deposits. walk-in customers are being unofficially limited to taking out about $3400. olivia: and we have not seen existing home sales is high in five years. the share of first-time buyers match the highest levels since september of 2012. the prospect of higher mortgage rates may be driving sales. here is how and them deals with rejection -- it's going back with the exact same offer to try

to buy cigna. the health insurer is offering $184 a share in cash and stock. they have already rejected that did, calling it inadequate. talks hit a snag over who would run the combined company. in gulf, the other winner of the under armor shares of the sporting good company rising now. added therday, they title to his championship. golf-related has been one of under armour's best sellers. those are your top stories this morning. i think it is very cool that he won yesterday. pimm: he can add this to the green jacket. olivia: he has nerves of steel. pimm: and he talks to his ball. olivia: i worry if his ball talks back.

coming up, the u.s. air force is going to get a taste of virtual reality after the u.s. senate passed a $612 billion defense authorization bill. lockheed martin will supply fighter jets as well as advance mission similar to the air force. we will go inside that lab in a moment. it seems like only yesterday jordan was here on our set with mike bloomberg and the stephanie ruhle. we will look at whether he is driving the ratings of golf higher. buccaneer,mpa bay casey crawford, has founded his own mortgage company. he expects to originate $8 billion in u.s. home loans this year. all that and much more coming up. first, another critical day for greece. it could decide the nation's future in the euro. pimm: let's bring in hans

nichols who is there and is joined by the vice president of the european commission -- european commission. what is going on? hans: thank you very much for joining us. in luxembourgim last week. what is different now in brussels? >> the important differences this time, we have a concrete -- concrete proposal from the greek government to be discussed. so now, it is certainly positive news. yet.e not at an agreement there is more work to be done based on this proposal, but we have a comprehensive proposal door open. hans: how specific was the proposal? >> the proposal is quite specific. it talks about surplus targets. it is in line with what

institutions can be proposing before. hans: 1% primary surplus for 2015? what do they say for 2016 and 2017? >> it is in line with the proposals for the next four years. still somes discussions on whether the by a greekproposed authorities is to say enough, but even so, the proposals are seemsy in line, but it the greek government made this proposal just last night. to shins need more time beforethe technical work presenting a comprehensive assessment. hans: did the greeks submit

something on pension reform? >> the proposals on pension reform, on a number of other some of, but we need the elements, we believe there are better solutions possible. did you like what you saw on pensions? >> certainly, this proposal , there is still further work to be done before we can reach an agreement. intensively in order to reach a deal this week. the leaders are about to go into a meeting here. what is your expectation? cannot judge,i

-- i can sayugh there was not enough time to assess the proposals. hans: were you disappointed there was not enough time? >> we do know that the euro group was called on relatively short notice. also, the proposals came during this night. as the president of the eurogroup has indicated, the eurogroup is ready to convene and work to reach the agreement. terms of the mass adding up, how quickly can you get the money to greece so that it doesn't default to the imf? >> there are ways to ensure reis meets its liquidity problems this month. from the european

financial stability fund, it's unlikely there will be a need for spell before disbursement. how long? >> that is for the euro group to decide, whether they go for a short extension or longer extension, allowing for discussions. we talk about follow-up arrangements, are we talking about an actual that restrict sugar? the eurogroup has agreed to look at this issue and look at the conditionality. when you spoke with him this morning, was there an understanding in need to go back to his parliament with an agreement to get whatever we agreed to hear?

>> for sure. we need to see the endorsement of the agreement from both sides and then greece needs to legislate the proposals quickly to keep the program on track and allow for further disbursements. there are any disbursements, you need to see legislation in athens? day, it isnd of the for the eurogroup to decide how -- it isroup sees quite clear there needs to be which has been -- rebuilding of trust which has been shattered in the last month.

the majority of the greek parliament to legislate on the program. i think i heard you say you want to see the parliament act before you do any further disbursements. we have somebody -- some busy days heading ahead of us. with that, we'll send it back to new york. much, hans you very nichols with the european commission vice president in brussels. still ahead on the bloomberg market day, you don't have to join the air force to get into its state of the arts simulation center, you just have to stick around with bloomberg tv. ♪

olivia: welcome back. pimm: let's go straight to julie hyman. julie: looking at some technology movers right now. we have a lot of groups on the s&p rising. its focus on technology, in particular, let's look at the nasdaq -- keeping pace with the look atjor averages -- facebook in particular. that price target being raised to the highest we've seen -- $120. that's up about 2%. one analyst at piper jaffray is making this call on the value of the oculus virtual-reality platform. speaking of optimism, look at netflix. it looks like we have a street high price target on this. i had to make sure i was looking at this right.

it up about 2.4%. rich greenfield making this call , talking about the strength in domestic subscribers, saying it could rise to about 50 million. i have a chart of the domestic international subscribers. domestic is much higher than international, though that has been picking up steam. we see the mastec at about 41 million, so he's looking at a rise to 50 million. there was a call on the strength of international survivors, so that is being worked out. we are looking at a chart here of analyst calls on the company. pay attention to the white line. 623.verage price target is we will see if he ends up being right on that call. i want to look at the big laggards -- tesla, there's a

publication that the model three is being delayed. periodically, we get these reports about the vehicles tesla is working on. the shares have declined, down about .6%. pimm: let's take a look at some of the top stories crossing the terminal right now. stewart livinga are falling today. founder would serve as the chief creative officer. sequential is a branding company with lines such as jessica as jessica- -- simpson. google has been accused of

infringing on patents owned by california company. the court's ruling will allow the suit to go ahead. street view allows users to view an address from different angles. general mills is dropping artificial colors and flavors from it cereals. his the latest in a company's response to a growing desire for people to eat food that is natural. 90% of its cereals will have no artificial ingredients by the end of 2016. let's go to julie hyman for some breaking news from the newsroom. julie: we were just talking about tesla and as i was speaking, tesla spokesperson says the model three does remain on schedule and the company plans to show the vehicle in 2016. we were talking about an industry report that said it was not running on schedule and as

we were talking about the shares, they are down about .6%. the u.s. air force is going to buy more f 35 joint strike fighters after the senate passed a new appropriations bill last week. included in that packages the law key martin state of the s -- whichof the art simulator simulates the feeling of flying these aircraft. cory johnson traveled to the the five billion dollars simulation industry to take a test flight. cory: before the troops are deployed, the latest technology is deployed to simulate the site and sounds of combat, blurring the lines between combat and the real thing.

all this tech emanates from orlando, florida. >> there is in a single soldier, sailor or marine who hasn't deployed to afghanistan or iraq that was not trained in some way on a device conceived and delivered from here in central florida. simulationundreds of companies are located here in central florida. >> the industry can deliver. they are able to suspend this belief. cory: lockheed martin has been building simulators here for the past 30 years. of their sales were generated by commissions in the training business. the f-16 simulator helps pilots get combat ready at a fraction of the cost. costing in a real f-16 can

$10,000. in a simulator, just $1000 an hour. >> the pilot can actually train to fly in a live aircraft. army is getting a lot of money for simulators, like this one. it's a 360 degree environment that can show you what it's like to be in the field. the billions of dollars in similar contracts went to the army. now, similar designers are starting to work with virtual-reality, another tech tool that makes simulation seem like the real thing. pimm: from virtual-reality to real reality, cory johnson joins us now. did you come away feeling you had got some understanding -- olivia: do you feel comfortable filing and automatic rifle? cory: it is interesting that the

way they are training pilots and all branches of the military and commercial pilot as well is increasingly on these simulators because of cheaper to do so. safer, too.t why are you going to put a young pilot in a super expensive airplane? cory: there's also this notion that it's not just put them in the full simulator and let them go to town at thousand dollars an hour. they actually start with things as simple as a mouse and computer and then train them to understand where the different controls are. it's just like someone using a microsoft program at home and sort of stuff them up to the process. the quality of the technology really does simulate these things. in that humvee i was in with the machine gun, some of those simulation programs, they've got

troops that know the streets and know what happens if you take a left turn here and they really understand where they are going to be. do you have any idea when this is going to become commercial? it goes defense first and then get it -- commercial.already pilots, from all over the world to orlando to get the training. all branches of the military are training on that. nearly 1/5 of lockheed martin's business. cory johnson, a cool stories -- a cool story, as always. don't go away. much more here to come, including jordan's feed. you want another tournament, but the course going to be a win for the broadcasters? ♪

olivia: jordan spieth at another when yesterday, becoming the youngest person to win the open since 1920. and he won in a rather unusual way. choked on the final hole, seem to cut. ts.missing two put >> it certainly helps if he continues to play this way. the ratings were up from last year, which with a dead from a golf perspective. is still some room to grow. he's not tiger woods. off is he from being a tiger woods? >> he's not far off, he definitely can be. of interest for the sport, is he close to stacking up? >> i think he's getting close.

golf may have a good rivalry between jordan mcilroy and jordan spieth, something between two young guys. that's something tiger did not have. it could be shaping up better when you have two young guys. one is a nike guy and ones and under armour guy. stayed playing this well, you could see the rivalry growing for the next decade or so. olivia: poor dustin johnson. pimm: you have to commiserate by yourselves. thank you very much. ♪

pimm: welcome back to the bloomberg market day. i'm pimm fox. let's take a look at some of the top stories this hour. leaders of the 19 euro area

group countries are holding an emergency summit on greece and they appear to have something to work on. the greek prime minister has submitted a new proposal that calls for higher taxes and then into early retirement benefits in greece. of the european finance group sounded optimistic but cautious. >> you have to have some patience to hear more. terms, it is a basis to really restart the talks. the european central bank has increased funding to greek central banks. pullingrs have been their money out of greek banks. russia says the european union is only hurting itself. foreign ministers have extended sanctions against russia for six additional months because of russia cost support for russia's fighting in ukraine. the move could cost millions of

jobs. sanctions include limits on trade and investments. jack dorsey will apparently have to give up his post at square if he plans to become the twitter chief executive. twitter says it's only considering candidates who can make a full-time commitment to twitter. dorsey now leads the company on an interim basis following the resignation of dick costolo. it has still yet to make a profit. the u.s. supreme court says the spiderman webe shooting toy can keep reeling and profits after his patent ran out. he invented a toy that shoots foam string but sold his patent to marvel in 2001. marvel quit paying royalties once the patent expired and he wanted it reverse. the justices said it's up to congress to change patent laws. those are your top stories of

the morning. on europe, let's go to mark barton in london. mark: what a next-door gary day. airnitely something in the on the day of this emergency summit in brussels. every single western european stock market is high. some astounding stats -- the dax, the biggest gain in three years. in spain, the ibex 35, the biggest gain in three years. on the ftse, the biggest gain in three months. there is the one that matters -- it's all about greece today. the biggest increase since february. look at some of the moves by the biggest gainers. it wasn't all about greece today because the french telecommunications sector was on

fire. look at the big movers. an offer to buy a wireless division for what is said to be a proposal worth 10 billion euros. iliad shares surging. it's an exclusive talks to acquire some of its assets. thencredible day for european stock market. i want to finish on that note. this is the euro stoxx 50, the benchmark index in european .lue-chip shares on the day of this emergency summit in greece where the finance minister said there's a chance a deal could be struck, we saw the biggest increase -- every single stock rose 2% or more.

i'm not sure i can take it. back to you in new york. pimm: mark barton reporting from london. will it stay or will it go? europe's leaders are meeting in brussels to agree on a debt deal. currency was established in greece and was defended but he's not so sure it was a good idea. >> with hindsight, getting greece into the euro was wrong. it cheated on its numbers and to are sufferinge the long-term consequences of cheating. >> was it not their responsibility to check?

>> at that time, it was not the responsibility of eurostat. deeply too look very the statistical agency in greece , so in hindsight, it was a mistake, but it was a mistake that was entirely of the greeks. goingdo you think we're to keep them in the eurozone? you are saying about a 50% chance -- has that changed over the weekend? >> there has been this new proposal by greece as a relatively favorable welcome by the creditors. we are used to these ups and downs, so i think it is a bit at are than 50% again. i was watching an

interview stephanie did with you a couple of months ago and you said you don't want to think of what happens if three -- if greece leaves the eu. now we have to think about that. what would it be like for greece to step out of the euro? race has lost about a quarter of its gdp so far. i would not be surprised if they would lose another 15 or 20% because of an exit from the euro because they would need a new currency and would be bankrupt and the economy would be further disturbed from what it is now. would be the drop outcome. greece were to leave, what does it mean for other peripheral countries? that is difficult to say. it's clear the situation is much agoer than it was two years

because the ecb has been doing things and the national government has been doing things. less,lnerability is much but we don't want to find out unionized, sol be it is definitely the incentive for creditors to keep greece in. stephanie: before we go, give us a percentage. what percentage chance do you think it is greece will leave the euro? to 35% or go back 40%. that was the former director general for market operations at the european central bank. still ahead on the bloomberg market day, kc crawford is a former nfl tight and finding success off the field.

learn how he is tackling the mortgage market and winning. ♪

pimm: welcome back to the bloomberg market day. i want to begin with some of the top trees crossing the terminal right now. the u.s. supreme court will not hear an appeal from the trustee trying to recover billions of dollars for victims of bernard made off's massive ponzi scheme. the justices let stand a lower court decision that locke irving picard from recovering almost $2 billion. some customers who received more in payoffs from their account

bankruptcyted under laws. the man who flew a gyro copter and landing at the u.s. capitol is rejecting a plea offer in the deal. the case would involve several years in prison. douglas hughes is now likely to go to trial. he said the flight was designed to focus attention on the role of egg money in politics. exist -- we have not seen existing home sales the thigh and five and a half years. 5.5% in may and it match the highest level since september of 2012. the prospect of higher mortgage rates may be driving sales higher. those are your top stories. casey crawford's view of real estate used to be confined to the football field. after retiring from the tampa bay buccaneers, he founded a mortgage company and expects to originate nearly $8 billion in

u.s. home loans this year. he joins me now from charlotte, north carolina. good to have you with us. why did you decide to create movement mortgage? casey: when i was in the nfl, my first coach told me i needed to find a way to be needed on the field. there were five tight ends and they were going to only keep three. it's the same situation we saw in 2008. we saw a need for first-time homebuyers and millenial's to the served in a way they currently were not being served by the big banks. there was a real lack of customer service and we wanted to change that, so we developed a seven-day process, one day to close, we think it changed the lending paradigm. pimm: give us an example of how the company has changed since you found it. 2000 teamhave added

members and 3000 offices. we are originating one out of every 75 guaranteed loans because of the industry changing paradigm. that includes cities like charlotte, north carolina where we have cities here -- we're the number one purchased industry here. pimm: tell us about the origination rate down. 50% of ourt government loans are fha mortgages. about 40% of our home loans are done for first-time homebuyers. grossed --about the the gross revenue change you have undergone. casey: we started humbly, with six employees. that's a pretty dramatic run-up year over but we are most

excited we will be able to serve 46,000 homebuyers in a process that we do not think was existing before. it has a real transcendent purpose to it. it's beyond making money. we think we are helping families get homes and bring communities not what thech is mortgage industry was known for when we joined the scene. pimm: can you describe the process by which someone would apply for a mortgage? as a point of differentiation between you and originators. one of the big misconceptions is that credit is tough to come by. one message we want to send out to millenial than first-time homebuyers is that credit is available. especially non-bank unders are eager to put together mortgages to get people into homes. we are going to ask you to give us a complete financial picture up front before you shop for a

house. much isto tell you how a responsible and reasonable amount to borrow so you can purchase a home that will be good for you in the long term. what we never want to be known for his putting people into that they cannot handle. mortgageat defined the origination space in 2008. we're going to ask for all your documentation and our goal is within six hours, we will give decision byredit the same underwriter who will ultimately approve that loan for you. that is industry revolutionizing . most individuals are waiting three or four weeks to get that decision made and our goal is to give it to you in six hours. our goal is to put together the loan documentation necessary to get your loan approved and to closing within seven business days. this changes the entire lending paradigm. tom: how were you able

insert movement mortgage into the business to access the money? 87% of modules and first-time homebuyers are using realtors to find a home. a lot of talk has been made that the internet is going to replace the real estate agent, but we don't find that the case at all. advice fromt realtors -- we align ourselves with those realtors come often times renting space inside real estate offices so we can work with them. that is what we have done across the united states. pimm: can you give us an idea of the purchase versus the refi market? our business93% of is focused on purchases. what we saw a need for was to bring excellence to the home purchase process. when i bought my first home, i

came to the closing table in my lender had not got my package done and this is the day before i was supposed to get married, so i was that ultimate story of a loan gone wrong. we want to make sure no other buyer suffers that. it's supposed to be a joyful time. we put together our process to mirror that. pimm: i'm sure you have heard about the efforts to try to reform fannie mae and freddie mac. what would the mortgage industry look like if they were not in the picture? casey: i don't think right now that is a reality. i don't think the market could absorb the private capital. there are valuable and the homeownership rates are as low as they then in 20 years. the last thing anyone wants to do is further push those numbers down. we want to stimulate the economy. we need to see growth and we need fannie mae and freddie mac sure that happens. pimm: can you give us an idea

what you are seeing with multifamily versus single-family homes? casey: we do not play a lot in the multi family space come as i can't comment on that. in a single-family, we see millenials taking up more market share. 40% of the overall homebuying market is first time buyers. folks who have good credit who did not go through a bankruptcy the008 or 2010 are entering marketplace, although later in life than what we have seen in previous generations. pimm: we have seen the 30 year fixed mortgage increase in costs. is that going to's were more purchases because people want to get in before he gets more expensive? casey: we hope so. there's no better time to own a home as right now. interest rate are as low as we will see them in our lifetime and you can lock in a fixed interest rate at historic lows.

rise,se interest rates it's exponentially more expensive to own a home. looking at a home in the next six to 12 months, jump in now. the market is fantastic and interest rates are at historic lows. you are coming to us from charlotte. i wonder if you can characterize the different markets in which you operate based on strengths and weakness. about 300 offices around the united dates. charlotte has been goldilocks -- not too hot, not too cold. we never experienced the big run ups and did not experience as much pain. we see many buyers take 60 days to buy a home contrasted with northern california. shop for six to

12 months to find that home, which is all the more reason they need to get qualified up run with a lender, so when they find the home, they can make a strong offer. sellers want to know they are dealing with qualified buyers. you very much. casey crawford is the founder and chief executive of movement mortgage. more ahead on the bloomberg market day and a programming note -- tomorrow at 9:00 a.m. eastern, an interview with the chief executive of walmart. ♪

pimm: now it's time for today's options inside. us go to julie hyman. julie: let's take a quick look

at how the averages are performing. we did get a rally today with housing data better than estimated. it seems there is some optimism about an outcome in greece. joining me today is a derivatives strategist from an km holding. in terms of that optimism that we see playing out in stocks today, even in europe where we have seen volatility levels, we've seen it come down to some extent. >> one thing we have talked about is the spread that had developed between europe's equivalent of the vix and our spot vix. that wound down to levels we had not seen in years. and december, is spiked fairly sharply. it was only at 30, so relatively high compared to last year or so. obviously with markets up

significantly. julie: we will see if that optimism is born out. ween all the m&a activity have had to play with, there's been a lot of talk about the health-insurance industry. you guys have been trying to use the options market to try and predict the next m&a target. what have you found and how do you go about doing it? >> there are plenty of clients that want to use the intelligence if embedded but don't necessarily traded. there is plenty of information we can pull out of the option market as it relates specifically to events. inclusive and that would the m&a. at implied volatility of puts relative to calls. typically puts have higher implied volatility.

what happens when the market anticipates an event is call implied volatility gets dead relative to puts. it's the market saying they expect it to the upside because they are paying for calls. is one of the targets you are seeing and what is the trade on it? >> just to finish that, we algorithmsix factor looking at term structure and other metrics. one of the names that floated to the top was hilton. it's a good example of this. you are talking about a country that did -- a company that did a secondary blackstone. there's now speculation of inclusion in the s&p 500. we expect them to announce a dividend next quarter. they might be spinning their lodging assets and timeshare assets. a lot of events here and it's in the top five of this list we created.

we want to play along with market expectations, so we have a price target trading at 28 and change year. we agree with how they listing market is set up and want to go up to october and captured -- capture july. up about $1.30 and it creates a payoff with the stock. we will see if any of those many events payoff. thank you very much. talking about the hilton trade today and the potential for a bounce in the stock. much more bloomberg market day after this. ♪

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>> good day. it is noon in new york. it is midnight and hong kong. welcome to market day.

the head of the eurogroup saying there might be a basis for a deal. global stocks verging on the news. taylor swift gets apple to change its tune. not before stirring up a bit of controversy. betty says why is baking food now to draw and the younger crowd? pimm: good afternoon. betty: in has been a rally here in global stocks raced on what looks like progress.