tsipras offers more undercut 10 pension reform. it may be enough to satisfy european creditors in the full on rally mode. from will get reaction former philadelphia fed president. >> geeks around the world are counting down the days until the reese -- until the release of star wars. we will take you live to comic con in san diego, where disney is pulling out all of the stops. erik: we need to bring gary

larson back from the far side to comic-con. matt: as long as mario draghi comes through with an extended ela they will be able to pay for the tickets. let's take a look at what is making news on bloomberg this morning. those greeksoon if proposals will be a tough sell in athens. nearly $60 billion bailout in exchange for tough economic reforms. alexis tsipras is calling for tax hikes and pension reforms. of those are the same measures the greek voters rejected overwhelmingly on i sunday referendum. support fromhave the president of france. greeks have shown a determination to stay in the euro zone. the program they are presenting a serious and credible, and because they are going to sum it

to parliament, which shows power, commitment, and courage. matt: we don't yet have the german tape on the proposal. we will be hearing from janet yellen today. as she will discuss the u.s. economic outlook in a speech in cleveland. live coverage on the bloomberg market day at 12:30 p.m. this afternoon. erik: here's an update in the chinese stock market, equities have bounced back from the multimillion dollar selloff. 6% gain on% after thursday. a three-month low earlier in the week. a series of unprecedented measures. the public security bureau is .nvestigating the shortselling graduating students had to stand up and shout their support for shanghai.

a new report says oil prices may fall further before markets tighten next year. the agency says it remains oversupply in an oil glut. are 45% lower than they were a year ago. the confederate flag is being removed from the grounds of the state capital in south carolina. it has been there for more than a half-century. state legislature voted to take it down. nikki haley sign the bill yesterday afternoon. the crowd gathered around to see the flag taken down on the legislature grounds. it will be housed in a -- imillion dollar

that is going on down south. markets are rallying investors, filing -- finally feeling optimistic a greek deal will happen. julie: it looks like we are seen the biggest game in the moment since june 18 for the s&p 500. all 10 industry groups in the s&p 500 are higher, looking at the advance decline. we had a very strong open that was also very broad based and then it waned as the day went on. we are seeing some strong performances from the major averages. the german benchmark up 2.5%.

stocks up by nearly 2%. building on this optimism for some greek outcome. we are seeing the euro versus the dollar. optimism that greece will be staying in the euro if the deal is approved. >> thank you very much. a lot is going on in europe. today alexis tsipras has -- appears to have pretty much caved on every demand from the european creditors. hans nichols is in.

i have to begin with you, because the greek parliament is debating this package of reforms put on the table. what is the sense you are getting? would imagine the opposition parties are favorably disposed. what kind of reception are they likely to get? >> the greeks were overwhelmingly against this. they said absolutely not. ever they were discussing the -- >> they were discussing the exact nature of the measurements. there are three lawmakers, saying a grexit is preferable.

if we go to the parliament and lawmakers, by the pro-european partner said they will vote so prime minister others can go to and sign off on this deal. the greek people voted no to a betterl that is a much one than the greek side is actually proposing. matt: the sense you are getting is germany may want more than what tsipras is offered. hans: germany wants more if it takes into account an economic asked -- economic contraction that has accelerated. we heard members of parliament

voice their concern. we haven't heard anything that harsh. that silence is slightly good news. gotten amism has little too high the finance ministry has not been shy about puncturing that optimism. because we haven't had a puncture doesn't mean the finance ministry doesn't agree with it. a verynegative side well-respected publication, the eurozone are making contingency plans for cyprus if there is a greek exit from the eurozone. mulling still kind of and looking at this proposal. then there is the day after, which a little bit of a bead on.

matt: my question is how people in greece will react if parliament passes something they overwhelmingly rejected. i can't imagine people in athens will be happy. >> the over 60% that voted no, indeed we see them in the social governmentsing the of the train them. -- of betraying them. you have a series of lawmakers theng if there is a grexit government will not be able to handle it. is get the feeling that this something of an inevitable solution for the greek

government. the greatest majority of people actually voted no. erik: gentlemen, we thank you both and wish you a good weekend. the confederate flag has been taken down in south carolina. ofing more than 50 years history, closing a controversial chapter. it was a protest to his civil rights movement. is >> it is interesting we're doing it 122 years after doing the civil war. matt -- >> to the sounds of

overwhelming support. them obviously, it is a fairly racist symbol. shocking to me it was still up for so long. that opinion changed so quickly. a tragic incident completely changing opinion. >> it is good this happens 122 years after the north won the civil war. >> i'm sure that will happen across the country. the general lee was painted over. the original general lee from the dukes of hazard -- i can't remember who owns it -- some star has decided to paint over the top of the car.

it was a dodge challenger. a great car but obviously a controversial paint job. both of those shows are in reruns. thereof american history live as it happens. look at whether the eurozone will still be better off without greece.

matt: a quick correction here.

i was confused, the civil war ended was my great-grandmother's birthday. -- as many people and viewers pointed out, it is bubba watson who owns the original general lee from the dukes of painted with the confederate flag. he will be repainting it with stars & stripes. erik: to our right is julie hyman. julie: house if and without contemplating the significance flag. general lee's it hasn't been that long since we have seen a rally like this. all three averages higher on optimism over positive outcome in greece.

isant to look at what helping drive this higher. cable vision reported in the --l street journal the child in chairman is interested pursuing an acquisition. may be interested in buying cablevision. cablevision shares of 7.6%. if i would need the sign-on of dolan family. there have been some positive analyst actions. they are kind of a mixed picture today. --have had a lot of reasoned of recent positive commentary. we heard from morgan stanley. i was the analyst that raised the rating.

that raised the rating. oil prices, we have seen them after initially rebounding turning lower after the international energy agency said we may need to see further prices. in i don't know if we have a check on oil prices to see how they are trading in today's sentient. -- today's session. erik: jeff was here from goldman sachs yesterday. mapping let's get to greece where the latest proposals in the hand of creditors. for more on that we have bloomberg view- columnist mark gilbert joining us and chief economist michael gain been here in new york. like alexis tsipras's

package he handed offers more austerity than the one he rejected. referendum and the people in greece overwhelmingly voted against the easier package than the one he is now offering. michael: it looks like it pretty big u-turn and the roller coaster continues. in reference to your previous comments. us politics and timing tight. the greek parliament now has to vote on measures that the greek public soundly rejected. the greeks put forward a price tag that european governments may not completely adhere to. in terms of the timing, we have the euro working group. we have the summit meeting on

sunday. if the greek parliament passes through sunday with a semi-agreement, several european parliament still have to pass it. then can it be dispersed so the ecb can be paid on july 20. any hiccup or delay could put us back to where we were yesterday. would runing this contradictory to the will of the people demonstrated just a few days ago. europeanomes to the point of view, why would area governments want to work with a pulls these sort of stunts or people that are against the package being put up to put forward to them? mark: that is the entire backdrop today. it is about politics.

their fear is as one nation leaves, no matter how much that , that is theires .oncern until we know what angela merkel thinks that this we don't know anything. france has intervened. it is what germany thinks that matters. germany has the one that has the decision. matt: if the greeks win, doubling the maturities of their existing debt, would that be a fair trade of their austerity that there would be willing to undertake? michael: the debt profiled as it

stands would be very difficult if not impossible to service over the medium terms. we need some combination of reforms and debt relief over the medium term. in yourentioned previous segment, every day capital controls are on economic activity worsens and production was down 4% on the month. makes executing whatever agreement they come to that much more difficult. on paper these numbers may add up. as economic activity worsens, execution risks widens. feel regardless of how you is --alex tsipras tsipras, it is going to be a real problem come monday. mark: there were literally not

be any take notes to withdraw, even at the 60 euros per day limit. even if you got an agreement this weekend, it is hard to see the military flying in to athens, distributing banknotes around the system, and the banks being able to reopen. if you vote with of the governments in the referendum there will be a deal with them in one hour and the banks will reopen. managed tonk how you do that quickly, even if germany agrees to this deal. until they reopened the banks that you managed terry and crisis gets worse. -- that humanitarian crisis gets worse. matt: what you think about them getting money by july 22 a ecb back? michael: it will be difficult to

get anything dispersed before the 20th. the ecb has pledged to remain supportive through the weekend. a deal on sunday for the ecb to remain supportive otherwise it will be very difficult for the greek banks to stay afloat. of the ecb is on board behest of the political situation. matt: if you have a bloomberg terminal, i highly recommend checking out his columns. programming note, janet yellen is speaking at 12:30. we will speak -- we will see her speech live on bloomberg.

matt: we have a deal approaching in greece. alex tsipras has handed in a package of pension cuts, tax increases, a sickly and austerity package from the one he rejected and walked out on previously. >> it was a vote to give tsipras the authority to help decide greece's future. it is almost immaterial. the europeans to dictate the terms and give the greeks the opportunity. have a good weekend, matt is back in a minute.

matt: welcome back to the bloomberg market day. let's get straight to this morning's top headlines.

wholesale inventories rose in may by the largest amount in six months. the strong increase may be evidence that businesses are more confident about the future. wholesalers reported their sales by a modest amount. the department of justice is preparing cases against former deutsche bank employees according to two people familiar with the situation. charges could come before the end of the year. the u.s. is said to be investigating at least five traders.rs -- former the charges would be the first in connection with the london interbank rate. a warning from citigroup, top-ranked securities backed by government guaranteed student loans could turn into junk bonds. ratings companies have placed billions of dollars of the bonds under review because the risk may not be paid off by maturity. there has been a slowdown in borrowers repaying the student

loans. charter communications has raise $15 million to help by time warner cable. it is their biggest that the olsons emerging from bankruptcy six years ago. sinceir biggest deal emerging from bank to six years ago. sure is -- it shares of apple falling 9.7%. they are on a five-day losing streak. losses on the chinese stock market leaving consumers with money to buy apple devices. computers keepal falling. salesr says worldwide pc fell 7% in the first quarter, drop -- a stronger

u.s. dollar has also hurt sales. let's take a quick look at how the markets are reacting to greek capitulation. the s&p up 1%. the dow jones adding 173 points. the nasdaq up the most of the big 3, 1 .2%. take a look at what the euro is doing this morning. ,eeing a bit more strength here greece presents a package of austerity. thantle bit more austere the original package that was rejected. coming up, what does the turmoil and uncertainty in greece mean for the country's tourism industry? how he would deal if he was going to greece right now.

geeks around the world are counting down the days until the release of star wars. everybody wants to watch the movie. only geeks will go to comic con in san diego where disney is pulling out all the stops. we will send emily chang there. failing to meet another deadline for iran's nuclear deal, dick cheney's former national security advisor will weigh in later. the world's top economists and central bankers in idaho for the rocky mountain economic summit. mike mckee is there as well. he has been talking to the big movers and shakers. amidst the beautiful weather there are people talking about the great cloud over greece? like: they are. there's a feeling we are finally getting somewhere, maybe they will strike a deal. all thatesn't matter

much. what really matters is the u.s. economy and the fed going forward. you are one of the business people or investors here, you are concerned about what the interest rate is going to be. they will be very interested in the comments they will get later today from the former philadelphia fed president. he sat down with me yesterday. he has always advocated raising rates. now, he says it's finally going to happen, greece will not stand in the way. i think it's going to be hard to say -- there's a lot of uncertainty that remains about how this will play out. many people have become more sanguine that the financial contagion and spreading is likely to be a lot less that a lotight now of the greek debt is held by the sovereign's. -- a lot moreof

comfort that whatever happens can be contained. greece is a pretty small country. if that risk of financial implosion is greatly reduced, the spillover effects are likely to be small. mike: can you see any scenario where greece would push the fomc to put off a rate action? things i have learned in my time at the fed was never say never. imagine is anould area where something would happen that would cause them to change their mind. it would have to be something pretty dramatic. that could happen. the probability of that happening is much less now than it was the last time we went through this in 2012. mike: the imf has been firm in telling the fed to not raise rates until 2016.

how has their advice been received at the fed? >> over the years, the imf has always wanted to be the world central bank. it's always telling central banks what to do. naturally pay a lot of attention to them. they have analysis and the things they point out are not to the fed or how monetary policymakers think about it. it's just out there like a lot of other people giving the fed advice. the u.s. do you assess economy in the context of monetary policy? >> is on a steady state path. it is improving and getting stronger. not as quickly as we all had wished, but it is still strengthening. the good thing many people see about the u.s. economy is the fundamentals are good, the consumer is strong, the labor markets are improving.

the balance sheets are much improved. there is a lot of fundamentals that are good for the economy. things will happen and everything will not be smooth, every month or every quarter. there's a lot of reason to be modeste about continued and steady growth in the u.s. economy. mike: given that assessment, the you think the fed will raise rates this year? >> i think there is a lot of desire to raise rates. get the economy and get monetary policy off of zero. opportunities need to be seized. my own view, i would have done it sooner. that's what we ought to do. there's some good reasons to want to do it sooner rather than later. the later you wait, you run the risk of having to play catch-up at some point.

if the fomc desires to be on , startingal path sooner and being patient might be easier than delaying and then having to play catch-up. there's some real desire to want to get this process underway. off that'sst lift important, it's the path that follows. people in markets put too much emphasis on the lift off decision when we ought to be talking about the path. mike: that is something you hear over and over again from policymakers here and around the country. we are focusing too much on the date of the fed raising rates and not on how much they will raise rates. hopefully we will get more of a clue today with janet yellen at noon. this afternoon, we have our exclusive interview with the boston fed president.

he has been one of the more dovish members, more reluctant to raise interest rates. next week, one of the most frustrating fed settings in congress -- janet yellen will speak to our politicians. will get aubt, she hard time from those who do not want the fed to do anything at all. it's a ritual the fed chairman has to go through. she has to put up with it. they ask a lot of uninformed questions and she has to be polite. themessage is likely to be economy is getting better, so don't worry about it. if we raise rates, it's a sign that things will be much better. somebody running for reelection in 2016, it might be something they want to hear. matt: thank you very much. hope you and/or the rain out there in idaho. speechiss janet yellen's

today. she will be speaking in cleveland. forl ahead, looking similarities between the recent volatility and the chinese stock market and the u.s. market crash of 1987. why this looks more similar than the great crash. ♪

matt: welcome back. we're more than an hour into the market today. we want to give you some of the top stories crossing the terminal this morning. after omar sharif -- actor omar sharif has died.

nominationn oscar for lawrence of arabia. he was one of the world's greatest bridge players and had been suffering from alzheimer's. it's hard to miss the hype over universal's new animated film "minions." the studio launched one of the biggest marketing campaigns ever. its partners like mcdonald's and general mills have delivered $600 million. it may become only the third animated movie to go over $1 billion in worldwide sales. the others are frozen and twist or three. -- frozen and poised story three. thousands lined the streets of new york to honor the u.s. women's soccer team world cup championship. -- toy story three. hasretch of broadway honored the legends historically.

the team will be present for the so-called tickertape parade. those are the top stories we are watching at this hour. we want to get you caught up on the market action. we start in europe with -- >> we finally got some progress on greece. greece submitted a proposal to its european creditors late yesterday, proposals including spending cuts, tax increases, pension savings. will those proposals be enough to get a bailout deal over the weekend? the markets are pretty optimistic, starting with the euro against the dollar, rising. i want to draw your attention to the euro versus the end. -- the yen. that has climbed to the most in more than two years. seeing a lot of risk appetite in the stock markets today. it's green across the board. a lot of these markets were in

correction at the start of the week. they are heading for a weekly gain now. the asset stock exchange is still closed. optimism on the markets. we have to look at the sovereign debt markets here in europe. i want to draw your attention to greece plus 2-year note, climbing the most since 2014. if we look at 10 year bar when costs, coming down in greece. year borrowing costs, coming down in greece. appetite andt risk the meeting over the weekend. julie: we are seeing the sentiment expressed in u.s. markets as well. seeing a rally for the second straight day on that optimism going into the weekend.

potential approval of greece's proposal. the s&p and thou paring earlier gains, but still higher on the day. sectors, allarious of them are green. energy just barely green as we are seeing oil turn lower. telecoms, consumer staples are leading some of the gains. speaking of technology, we have to talk about apple today. apple shares rebounding after we had seen declines to a correction for apple shares -- up 2% today. out, cutting estimates for the watch, but raising estimates for the iphone. the stock was at a record on february 23 and then fell 9.7%. almost in a correction and almost falling below its 200 day

moving average. not reaching either of those milestones. , theury yields fixed-income market in europe, we have to talk about what's going on in the u.s. as well. the two-day gain in the 30 year yield is the biggest since 2013 as there is this switch to this more risk on environment. check on the dollar today, seeing the euro gain among other currencies on what's going on in europe. the dollar index is down 20%. -- .8%. matt: we seem to have a little bit and stocks because reuters is reporting the lithuanian president is great proposal -- saying the great proposal won't be enough -- greek proposal won't be enough. the 28 summit this weekend.

the s&p 500, you can see a dip down after that recent headline. we will continue to follow this news story. reuters reporting that the lithuanian president says greece's proposals will not be enough. that is just one man's opinion, but, not one the market likes much at all. we will see how the euro is faring. a little late down in the euro leg down in the euro as well. stocks have bounced back in china from a multi-julia gillard selloff -- multitrillion dollar selloff. the green.mly in this weekend come investors have a chance to rest and reflect after one of the most turbulent weeks in the history of the

country's market. david: after what's been the most eventful week in the , the dust hass started to settle. toelity, goldman starting buy. theset has weeded out valuations. it's an even more overwhelming by asset -- there will still be debate whether it's -- what how far china was willing to go to prevent this from spreading. most are expecting the central bank to continue using. there is certainly a strong case to be made that this is one of those rare by and situations. still ahead, if you are

worried about traveling to greece, we will tell you what travel experts say you should do to prepare. bring a giant iron safe. ♪

matt: welcome back to the bloomberg market day. the euro is weak, so americans are reaching for a summer getaway on the mediterranean. that means greece. last year, the tourism industry accounted for nearly 1/5 of gdp. could be theece chance to pump money into one of the country's biggest sectors. is it worth being in the midst of a financial meltdown?

pimm fox is here. thank you for joining us. it is so tempting to go to greece, you think you are doing a good thing or economy in need, it's a gorgeous place, it seems like it would be cheap. would it be a good trip right now? >> it would be a great trip. i just returned last night. i was there for two weeks and had a great time. i had very few interruptions, if any. once we get through the weekend, if we get -- if the banks get open and we have some short to medium-term certainty, it's a great value and will be for the rest of their tourist season. m: what would you advise travelers to do? bring u.s. dollars? >> i would stick with euros.

we had enough troubles with the atms -- i got out about 300 euros while i was there. there were no concerns with getting euros. i don't think dollars are necessary. my banks was there and i was getting continuous e-mails. -- my banks new i was there. bring some extra euros but don't be nervous. matt: one of our producers is headed there as well. she is contemplating bringing a whole bunch of cash. that is a little bit dangerous. our travelers checks still an option? >> they are. i don't think you should be concerned about safety. i did not see any issues with people being targeted and i was in the middle of athens. those are blown out of proportion. i would take extra cash and put

it in your safe in the hotel. take what you need on a daily basis and you will be fine. credit cards were not an issue. thead one restaurant preferred we use cash. some of the retail establishments did as well. beyond that, i use my credit cards like i did on any other trip. pimm: what about prices and shopping? >> what they were doing often was they were discounting if you use cash. there.ome 20% discounts there is an advantage to bring in cash for that reason. if you pay credit card, it's not a problem. those deals as we get beyond this, you will see more deals like that over the next few months. matt: how is the mood of the greek people? being an american is kind of cool as opposed to being a

german over there. >> that was refreshing. they were very glad to see us, very appreciative that we were there. and spending money. they were very upbeat, resilient is a great word to describe those on both sides of the yes or no referendum. themlly enjoyed meeting and hearing their perspective. i was really impressed with how upbeat and hopeful they are. matt: thank you so much for your input. definitely seems like a trip i would want to make. i would like to go. would be sure they happy to have you. matt: stay with us. ♪ we live in a pick and choose world.

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. that may be enough to satisfy european creditors. investors react with the rally. matt: talks with iran dragged on and on and on. the self-imposed deadline has come and gone. when will negotiators give up and go home? will america ever do that? pimm: it's time for men to walk the runway. the first ever men's fashion week begins next week in new york. matt: good morning, i'm matt miller. pimm: we are 90 minutes into the trading day in new york. investors buying stocks. the dow jones at .9%.