investors and facing the old question, what is next? alix: american express reports earnings after the bell. we will take a look at their turnaround plans. scarlet: new york city takes on uber. a look at the vote tomorrow that could put the brakes on the ridesharing service. good afternoon, everyone. i'm scarlet fu. you are looking at an snp pretty much flat on the day. 110ders are looking for the 2 level. he will see if we can stay above that level. jpmorgan said in their morning note that the s&p may soon lead its month-long range behind and break to the upside.

they are relatively optimistic based on corporate america m&a and capital returns. scarlet: clearly not happening today when the biggest company in the world is disappointing investors. a lot of people thinking that the nasdaq would be down alix: 2%. the resilience -- 2%. alix: the resilience of tech despite the drop. take a look at the leg down around 12:30 p.m. on the news that the doj is not really pleased with halliburton and baker hughes' merger. of course, they had to unload a bunch of acids before they combined. the question really is what happens now. is this a buyer issue, or is it an asset issue and what they are trying to sell is not right? governmentybe the wanted to keep four players, like with telecoms. maybe there is a threshold they are looking at.

i was looking at the bloomberg terminal, james west sees no change in status on the deal on its and simply july earnings call. the dollar.k on here is the dollar, strengthening versus these commodity currencies. the kiwi, canadian dollar weaker. this goes back to the idea that there is plenty of crude oil out there and investors are punishing commodity currency countries because you have a strong dollar on the back of an expected interest rate increase. alix: they have to make up for the fact that commodity prices are hurting their gp, and that is why you're seeing the dollar stronger. crossingr top stories this hour. workers in new york city airports have decided not to go on strike. aftereached a settlement climb to strike for 24 hour

starting at 10:00 p.m. tonight and that includes more than 1000 baggage handlers, security officers, and wheelchair attendants at jfk and laguardia. scarlet: an acquisition for home depot. they are buying interline brands for $1.6 billion in cash. interline markets industry beats maintenance and operations products. among the owners, goldman sachs partners and p2. alix: we have not seen a housing market like this since 2007. sales of previously owned homes rose to an eight-year high. the median price of an existing home is now at its highest ever, $236,000, up two point 3% from year ago. shares of apple are falling 5% of the company posted a record third-quarter profit but missed estimates on iphone sales and revenue forecast. earlier, jean muster said investors were focusing too much

on that sales number. expectations were 49 million iphones. if you adjust for some things, they did 48. seems like a nonevent, but for investors, that means even though it is a slight miss, this idea that there may not be a big upside in the future is why the stock is down today. i think what happens is this is just an overreaction. alix: apple also reported the largest ever cash pile with $203 billion. scarlet: walmart says it will start closing some of its 24 hour supercenters for a few hours each night. they want to use the time to better stock shelves and organize stores for the peak shopping rush. the move will affect about 40 stores, including those in philadelphia, new jersey, and maryland. about two dozen of its 24 hour locations already had reduced hours this spring. more stores will go through the process later on. alix: shares of caesars

entertainment have been down 19% from the open. the casino operator is in court over plan to restructure $20 billion in debt. caesars still does not have the support from creditors to go ahead with the plan. scarlet: at&t's proposed takeover of directv has cleared an important hurdle. fcc chairman tom wheeler is urging commissioners to approve the deal but at the same time is demanding that the company does more to spread broadband use. the fcc could vote on the deal this week. alix: american drivers put a record number of miles in their cars on -- on their cars in may. that means there could be another driver in record set this summer. give credit to an improving economy and cheaper gasoline. 3 million jobs created since last year which means more morning commutes. scarlet: 007 is back. >> right now i'm your best chance to stay alive. inrlet: daniel craig returns

"spectre." full-length lack -- trailer was released today. he will be driving an aston martin db10, which leads everyone to believe that there will be some spectacular chase scenes. alix: this is something where i will need to get a babysitter for and see the midnight showing. i love james bond. we have every movie ever series. scarlet: i knew you were into the fantasy stuff. alix: and james bond. those are your top stories. , who is coming up winning and who is losing from donald trump's firestorm in the media. reports from for american express. earnings after the bell. scarlet: housing is picking up speed. how the recovery fits in with the narrative of the broader economy. all that and much more coming up on the bloomberg market day.

shares of apple falling as investors digest the latest results. the company reported record profits. iphone sales and the outlook missed estimates. alix: piper jaffray's gene munster says it is no time to lose faith. >> expectations were for 49 million iphones, and if you adjust for some channeling, they did 40. seemed like a nonevent. for non-investors -- investors, it seems like a non-miss. that idea that there is big upside in the future is why the stock is down today. what happens is this is just an overreaction. stephanie: is this not a wall street curse created by the process? forget what analyst estimates were, how about a real investor looking at a company's true fundamentals for change? curse, and unfortunately, something that happens with a lot of successful companies when they start to train investors to expect this kind of big upside.

i think it is a curse on days like today but ultimately it's an opportunity because, for investors who really believe in what is going on, the, market inre gains, if you believe that, you have to put up with volatility like today, but ultimately an opportunity to own a story at a discount. much earnings upside is left in apple for the rest of the year? the nextk at it over cycle. if you assume you get back to the margins that they had in previous estimates -- cycles, there is about 60% upside, so still some measurable upside profitability of the phone. obviously, the watch expectations now are pathetically low, so there is probably some room for surprisingly upward to the watch number. before we how soon can evaluate the success or failure of this watch? >> probably a year, which is not

what investors want to give it. in terms of how product categories progress, i recall when the iphone came out, there were a few quarters were people thought the iphone was going to be a dud, too. this is a new paradigm. wearable is something different than just doing something for desktop or your phone. it will take time for developers to build apps that are native for that. over the next year as these high-performance apps come out, that is what will build the excitement behind these categories. about china, talk iphone sales grew 87% in the quarter in china and we are calling this a disappointment. analyst was on this morning asking the question about whether the macro weakness in china is temporary or structural. how strong is apple in china? >> they are killing it in china. you talk about iphone growth,

70% in the march quarter, so they showed a bit of an excel or ration. 30% of their overall revenue. the only way to look at china negatively is to say that there -- is there is a slowdown, apple will be more impacted than they would have been in the past. the good news is since china remains one of the biggest opportunities for apple, they're smart for market share is below 10% and should be 15 or 20%. those small changes can have materially impact to the overall business. stephanie: ipads, have they saturated the market to this point? >> i think they have. the problem is the bigger formfactor iphone is starting to steal some of the ipad growth. it has been one of the bigger mysteries over the past year. we still believe there is a larger form factor coming out. i don't think that will change in their around the ipad, which is a category which is not very exciting. alix: the real story was how supplies were affected by apple's quarter.

if you look at this, you can see the sea of red. i know it is pretty busy, but that whole line are the suppliers. 297 of them. as you scroll down, you see a see of red. has 30% ofogies revenues from apple, down 7% today. not getting much revenue from apple, but still down 6%. a good way to see how dramatic and important apple is to the market as a whole. has its it basically own ecosystems that affects everyone else. a couple of gainers but not many. on the bloomberg , who is winning and losing from donald trump's firestorm in the media? ♪

scarlet: welcome back to the bloomberg market day. i am scarlet fu with alix steel. alix: julie hyman has a look at some of the biggest movers, not apple. julie: linear technology's is important for the broader technology trade. you heard alix talking about all the casualties of apple today. also some casualties from what is going on in the chip industry, a combination of apple and linear and arm holdings, which also submitted estimates. and sales missed estimates, in particular, disappointments in the industrial segment and computer segment. computers were expected. industrials was surprising to the market. linear says sales this quarter,

quarter over quarter, will fall 7% to 12%. arm combined with apple to is really casting a pall over chips. i want to talk about a company in oil services that is not baker hughes or halliburton. fmc technologies missing second quarter estimates. continued decline in the land drilling market in north america. shares are down 9%, among the worst performers in the s&p 500 today. that is why it initially caught my eye. earnings,s side of intuitive surgical, the maker of the da vinci surgical robot. shares are up by nearly 10%. companies earnings beating estimates. to vincion, worldwide procedures grew 14% and margins expanded. margin compression had been an issue at the company. gross margin compression, that is.

finally, aaa. another big one that we have been talking about. it is really the reversal. potle. after thewas down company cannot with earnings. comparable sales were up 4.4%, but that missed analyst estimates. the company also said that it would buy back shares and a trans are improving. comparable store sales, you can see they have seen double-digit growth. now you are seeing the slowdown from that, but any glimmer of hope on the horizon that we will see sales pick back up, maybe that is one of the things helping to fuel the sale. scarlet: i was impressed with 4.3%. 20% in 2014, incredible. alix: thank you. scarlet: let's get a look at our top stories. senate republicans say they may try to adopt a new strategy for changing the dodd frank financial reform law. richard shelby says he want to

soften the role for regional and midsize banks. republicans may at his proposal to an unrelated government spending bill, which may anger democrats. they say the proposal would weaken protections aimed at preventing another financial crisis. alix: john kasich is outlining his plan for his presidency. he also wants to return u.s. corporate profits from overseas, saying it would be the biggest stimulus program the nation could have. lame duckspair of got together last night on "the daily show." john stuart and president obama. the president joked saying that he would issue an executive order to keep him from leaving the show and also commented on donald trump's head. >> i am sure the republicans are enjoying his dominance. >> anything that make them look less crazy. scarlet: it was the president's seventh appearance on the show.

i am sure we will get night after night of farewells. alix: it will be good stuff. those are your top stories. some rough, new findings for presidential hopeful hillary clinton. according to a new poll from quinnipiac, she is lagging behind top republican candidates in three swing states. polls show her behind marco rubio, scott inker, and jeb bush colorado, iowa, and virginia. more we have john heilemann. surprising since i will will be leaving the caucuses. >> hello, ladies. i missed you while i was on vacation. it's true what you said about quinnipiac and the poll. about, talk more today it is not as bad news as it seems. looking into the numbers, it looks like quinnipiac sampled the people they pulled -- looks

more like a midterm electorate than a general election electorate, which means less hispanic and less democratic. maybe the poll -- i do not want to say it is flawed -- but the picture of it does not look the way that a presidential electora te would look like. alix: can you outline some of the key findings from the report? >> i will keep that for our show. i know you do not really like microscopic data on the air. scarlet: i understand the need to save it for the show. >> those are the key things. the electorate in those three states, all more republicans than there should be, less were -- than they bigger issues in colorado and virginia. if you look at the electorate in 2012, this poll looks a lot like

what it looked like in 2014. scarlet: what about donald trump, how did he fare in the poll? >> he is huge. has hugeump is -- problems as a general election candidate. he is not somebody that will show's leading in any general election, but right now is blotting out the front for the rest of the republicans, which is a problem for people like john kasich. not getting nearly enough attention as other candidates because everyone is obsessed with the donald. welcome back, well rested, a little sunkist. forget -- don't miss "with all due respect" tonight. they will be speaking with republican candidate rick santorum. still ahead on the bloomberg market day, american express

will report earnings after the bell. we will look at their turnaround plans after their loss of costco and jetblue and layoffs. the bad news gives coming. maybe this time it will turn around. ♪

alix: american express reports earnings after the bell, kicking up earnings season for the credit card network. after thelso reports close, visa report tomorrow, and mastercard next week. scarlet: joining us now to discuss american express is elizabeth excimer from our washington bureau. expecting this to be the beginning of several noisy quarters. we know that amex had some bad news cutting ties with jetblue and costco. will that distract people from the better trends in amex? >> you mentioned, it has been a

bumpy start to the year for american express. one of the big things looming over investors is exactly how the end of the cosco relationship will affect the company. the focus this quarter after 4:00 p.m. when they announce, will start to be around expenses. the company has said, in anticipation of the official end of the relationship the next year, they will be bolstering their marketing efforts, investing in other products to retain though shoppers. analysts will be watching to see whether or not that started in the second quarter and what the impact has been thus far. alix: overall, and that has stuck by the long-term goal of 8% annual revenue growth, but frankly, they have not seen that since 2010. at what point will they have to revise the goal? they are sticking with the goal and reiterated again last quarter, but revenue growth has been something that investors are watching closely.

they have not met those goals. analysts are expecting that revenue will decline in the quarter. part of that is also anticipated to be about currency and strengthening the u.s. dollar, hurting profits abroad, gas prices in the u.s. have heard payment companies, people are spending less at the pump. all of these factors are can shooting. amex hasas we know, its own issues but it is the first of the big credit card payment companies to report. how much can we glean from its results, extrapolate to the other companies? >> exactly, and that is where things like gas prices and fx -- investors will be watching to see how they fare and whether that is something to look or next week. we have seen an uptick in consumer spending. it is likely that we could see that coming through in the numbers as well with amex. much,t: thank you so

joining us from washington, d.c. do you havean amex? the cordort of cut with credit cards, but i do have an american express, mastercard for my debit card. scarlet: if you were to rely only on an amex, you would not be able to use it much. alix: looking at american express net income coming in at -11% year. definitely feeling some pain. lots more coming up on the bloomberg market day. the housing market is picking up speed. how that sectors recovery fits the narrative of the broader economy, next. ♪

alix: welcome back to the "bloomberg market day." top stories crossing the terminal right now?

lebron james partnering with warner bros. on a broad content creation deal. covers film, television, and digital content. james is in theaters already, he is in the judd at the towel film, "train wreck," starring amy schumer. bill simmons is headed to hbo. his contract begins in october and the weekly contract begins in 2016. he helped to create the network's 3430 series, along with us or it's an culture website, grant land. the minnesota vikings deal with radisson is ending. just after move came adrian peterson was indicted for hitting his four-year-old son with a whiplike tree branch known as a switch. it follows the viking decision , thestructure his contact

most valuable player in 2012. games, football barcelona's win over the la galaxy was seen by more than they are on a preseason tour in the champion league title. those are our top stories. another big story, sales of reviews the owned u.s. homes have climbed two and eight your high. increasing by 3.2%, earlier michelle meyer's at bank of america merrill lynch spoke with scarlet fu and matt miller. they asked how the correlation between jobs and housing markets impacted starts.

michelle: it is bullish, showing that it is recovering faster than housing. you can look at that with the labor markets, right? job of picking up, signs that wage inflation might be turning income creation to pick up. it means that housing has lagged and there is further upside ahead. it is a gradual recovery. scarlet: what does this chart suggest about the cyclical nature that they have involved with over the decades? the overbuilding or excess that we saw during the bubble, housing continue to rise despite the fact that the economy was actually in a recession. housing did not feel it. continuing to reach levels that were extremely high relative to the state of the economy. you have to have that undershoot for a time. we are now at a point where we can start to see a more normal

housing market. whatever that might mean. matt: people who were bearish this generation will say that millennial's will not buy houses. they said that about automobiles, too, turns out they do want to buy cars. is it just a delayed response in houses? michelle: if you look at a chart, what you will see is that autos have rebounded. , a lot of that speaks to the fact that credit is available for autos but not for housing. that is one of the challenges, many people want to buy, accessing homeownership or renting, but there is restriction on the ability to do so. scarlet: there is a bloomberg story this week about how they be boomers are competing when it comes to rental housing and urban areas. obviously this is a long-term story. what kind of supply increases do we see out there? michelle: that

will be one of the most fascinating things, the demographic changes impacting housing stocks. millennial's will be entering and maybe desiring to live in urban centers. one of the things i think a lot of people are overlooking is the role of the boomers. i think that as they approach retirement they are likely to look at the downside and a lot of that demand is going into urban centers. they will ask for continued support in booming construction. matt: for the huge boom in multifamily construction as well. scarlet: does that mean there will be in excess of supply -- of homes in bronxville, where matt lives? matt: let's hope so. i want you both to move to bronxville. [laughter] will there be too many single-family homes? michelle: i don't think so. single-family construction has been so low for the past several years that it offsets the

overbuilding we saw during the bubble. the type of construction we have seen has been appropriate. just -- responding to where the demand is. you mentioned that credit is tighter and it may be one reason the people who are 35 and 25 are not out there buying homes the same way that their parents did. are you worried about the lift off or gradual increase loosening credit? there is obviously risk associated with the move towards new policy, a gradual normalization. if the fed is able to achieve a slow path for interest rates and are able to communicate to the markets that they are not tightening to a cool and overheated economy, they really are just adjusting rates slowly and the market should be getting a modest increase in rates.

if it's something similar to the temper tantrum, with a 100 basis increase in a matter of weeks, that will be destabilizing to housing. alix: that was michelle meyer, deputy head of u.s. economic at the merrill lynch. well, oil prices may be coming off of a very tough week, but the real pain has been spreading the $1.3 trillion u.s. bond market. companies headed towards bankruptcy. there may be even more pain to come. lisa abramowicz joins me now with perspective. how big are these losses? far, the market for high-yield energy bonds has lost about eight and $6 billion in market value. does that sound like a lot, but it is quite a bit. basically, ubs analyst so come out and said -- listen, nine to

12 months after oil prices plunge and stay down, we are actually going to see companies running into trouble. you will have them struggling to raise enough capital, struggling with oil prices being so low. they won't have that cushion anymore. alix: that is what i heard ranks regarding loan prices from the past stating value for assets. why is this time different? peoplerankly, a lot of are ratcheting down expectations for oil ever coming back to $100 per. people have globally seen commodities absolutely plummeting and people do not know exactly why you visit china? saudi arabia? iran, coming back is notl production? clear. but all of these factors are jumping in and no one wants catch the falling knife. linn energy bonds limited 22%

just this month alone. is there a distinction between the good and bad in terms of where they are getting hit? lisa: absolutely. some of the coal companies that are separate from oil, peabody energy, walter, they've been absolutely a knowledge -- annihilated and are in bad shape. some of the ones that have to go out and find oil and were debtsative, they raised with the expectation that they could pump oil at a certain price and are getting hammered pretty hard. on the investor site you have companies like franklin billions, and $850 mutual fund manager, named heavily in the investments of these energy companies. have about 20% of holdings in energy and they have doubled down on some of their bets. that has really hurt the fund because of what is going on. lisa: art -- alix: are they selling right now?

lisa: not clear. i know that they have sold off the most in the past couple of days. when i spoke to a fund manager , he would not comment on fund activities. the best option was to buy more, sometimes the best option was to get out. it depended on where you wanted to be part of the construction. is this the canary in the coal mine? you do have the drillers, you do have those written into the world. big: this is one of the questions amongst the debt investors that i speak with. these companies that should not have existed, have been able to fund themselves are cheap financing, will there be a shakeout? there is a growing chorus of people saying that

over the next 12 to 24 months you will see a shakeout from those lowest performers having to restructure and figure out something else to do. and what does that do for balance?t ballot -- good stuff. coming up, nyc takes on over -- uber. what could put the brakes on the ridesharing ♪

alix: welcome back to the "bloomberg market day. time for just 15the markets minutes before the closing bell. julie, we seem to be

deteriorating eckley just in the last 15 minutes of trading. julie: it has been earnings that have been driving stocks the session, so if we are going, people are not going long into the close, could be that they are not anticipating good things for the earnings tomorrow. the s&p, the dow, the nasdaq are all lower. tech earnings were disappointing today. chipmakers as well. if you look in my terminal, actually -- hold on, i did not prep that one. we will get that to this -- and a second. but i can tell you that we are seeing oil back. why not do it now? oil is actually approaching a bear market. this is a six-month chart of oil. we got the latest service today showing a bill of 2.5 million barrels last week.

nearly 20% within a whisper of that number. the energy in the, we have been watching that today is one of the negative performers. this does not have much to do with earnings, but when we got that news about halliburton and baker hughes right around here, 12:30 or 1:00, we saw rather drop in that index. regulators will be more closely scrutinizing the deal and may be resistant to it. sharply at dropped that point as well. it has recovered a little bit going into the end of the session. baker hughes seeing a bigger drop. down as much as seven of 18 --ints -- seven/eight

seven/eight of 1%. there is concern that makeburton may sell off to this happen. the competitors who buy the assets will not be competitive enough to make it get through antitrust scrutiny. you have the combination of that, horse, that deal, some earnings, and oil prices are definitely not helping energy today. alix: definitely not. thank you so much, julie hyman. another look at the top stories this hour, amazon is an -- exposed -- expanding its home service program. customers can use it to find people to paint their homes, install home theaters or get guitar lessons. it opened in new york, l.a., san francisco, and seattle. chicago and san francisco are being added. people are being charged with that damaging cyber attack against j.p. morgan last year.

they trolled the networks for two months without being protected. information about 76 million households was stolen. suspects were arrested florida and israel. one is still at large. you could say that donald trump is inspiring fellow presidential hopefuls on the campaign trail. you could say that. one day after the developer gave out the cell phone number of lindsey graham he responded by offering a video. burning, bashing, and blending various phones. the are all older models, type is known for using. the senator says that he's never even sent an e-mail. a blender in your phone? that's in. those are your top stories. thrown a wrench into build a plus yours plan to take on huber.

defending the ridesharing service, saying the mayor's ozone should be delayed, this comes one day before new york that he council is expected to vote unless nation that would limit the growth of over 21% -- uber to 1%. what was the impetus for cuomo doing this? certainly started a term for. he's not so sure that this study that the mayor wants to conduct would actually relieved traffic congestion in the city. he says that these drivers without work to go to other counties and it could have state why ramifications. he is supposedly speaking with the city council to delay this. we just heard back from man we don't know yet on whether the vote will be delayed. they are saying that look, this could impact 10,000 potential jobs as they conduct this study. they are saying they are going by 3%. that is fairly significant. you both -- we both know the traffic is an issue to be addressed in this city. the mayor's office says that his

comments are a distraction and that there is not some sort of regulation to address this, the number people driving in it he will. the: you can totally tell difference during summer and fall in park slope. an hour in the fall, half an hour in the summer, because half of new york it is on vacation area emily: i just walked 10 blocks for a meeting and i ran to get there on time because traffic insane in new york city. say, coming from san francisco, that's a lot of traffic. alix: what has been the response? their response to any of these issues is look, we are creating jobs and giving people greater convenience. if you take away these jobs, wait times could increase in new york city, which is fairly significant when everyone here time.such a rush all the it's interesting, now that i've been here for a few days every time i go out to get from one

place to another, do i uber: want to take a taxi, and uber:, do i think a taxi will be there? i'm sure that you probably do the same thing, it is this daily evaluation of how i will get from point a to point the. agree. totally then you yell at people, it gets ugly. [laughter] emily: [laughter] alix: thank you so much, emily, for joining us. don't forget to tune into "number west," tonight at or: 30 p.m. eastern coming after "what did you miss" we will talk to the fund manager of newberger to talk about where he's looking to get the best returns. ♪

alix: as u.s. stocks attempt to recover from recent declines, our next guest says that people

should be investing overseas for long-term growth. benjamin segal joins me now in segal. -- in studio for more. your favorite country? benjamin: switzerland. alix: why? , from a: multinational tax perspective the companies based there are effective and efficient. it has some leading health care businesses, leading financial businesses. the single largest overweight at the moment. alix: the swiss franc cannot seem to catch a break. it wanted to be lower, yet it is still higher on the year. it might wind up hurting the exports. benjamin: it's not really companies exporting out of switzerland. most of the swiss companies that we like our multinational. - our multinational -- are multinational. it is not so much the export beneficiaries. the swiss bank is one of the

stronger currencies, globally. it is more the inherent polity of the businesses that we like. looking for exporters, japan is more interesting. looking for domestic growth, we are looking at the u.k.. switzerland, just for the quality of the multinational is this is there. we have been hearing a lot of chatter out of the bank of england that they would not be raising rates from that half percent level. what would that do to investment the u.k. is the closest to the u.s. market. slightly behind. let's call it a relatively strong economy. our exposure to the u.k. is disproportionate amongst companies that are actively benefiting from that growth and that sort of growth is what is enabling governor carney to stop talking about red risers. alix: taking a look at stocks in

the u.s., we could be looking at the worst order for earnings since the financial crisis. we are kind of in the weak point of earnings season's so far. benjamin: obviously a negative for u.s. companies selling overseas, here is one that is profit to gdp, we never put pressure on labor costs here, which is one of the reasons to look elsewhere, you have got much more slack in the economies in europe, and asia. cannue growth disproportionately drive profits . whereas here, cost growth is at least as strong as revenue growth. you mentioned to dollar. if you look at foreign sales and the s&p, 30% seems relatively high. you are also looking at the sector most

exposed. are there sectors you would like in the u.s. that might not have this kind of exposure? foreign currency exposure differs by sector. thanks that are global, a few large banks and conglomerate banks like jpmorgan, very, very domestic u.s. driven. here, the companies shale beneficiaries of oil prices are challenging. those companies are far more domestically driven. the consumer driven companies, industrial driven companies, technology companies are very, very global. sectors inith those the global portfolio to have exposure to those sectors outside the u.s.. for sectorse focus like financials. alix: what would change your thesis? you like the u.k., you like japan for exporters.

what would change it? benjamin: very little that we can see. one of the things we're looking at the tweaking of the approach currently in japan. currently with exporters. if we see more momentum behind improved exporters in japan, we domestic businesses more interesting. at the moment we are underweight in japan, focusing on next orders, but we could if we were more estimate -- optimistic about domestic businesses. some sort of clarity on china would mean that possibly we could find an interest in emerging markets. otherwise strong u.k. and switzerland is good. alix: great. benjamin segal, thank you for joining us. more ahead with what you missed. -- with "what did you miss." ♪

from we are moments away the closing bell. i'm alix steel. joe: and i'm joe weisenthal.

♪ alix: u.s. equities closing lower today. joe: the question is, "what'd you miss?" qualcomm preparing for big changes, including possible breakup's that could make out with earnings any moment. alix: the world's biggest minor makes plans to cut production. globalread on the economy. three charts from around the world that you cannot miss. alix: of course, we begin with markets. the s&p is closing around those 2110.g lows of to see what kind of momentum that you can see in stocks, all in all the dow is looking at its worst two-day drop since june. at one point it was falling triple digits. joe: i think that the cell was pretty unimpressive. we were here and the market is