inflation a few of the things we discussed with family fisher in the us of interview. >> has brazil hit bottom? bond yields at record lows. a lot of investors think it can't get much worse. matt: too much tv. areceo of netflix as we nearing the end of the content bubble. good afternoon. i'm matt miller here with scarlet fu. look at the markets. u.s. stocks at session highs. the nasdaq. the dow and s&p 500 of the best level of the day. nine out of 10 groups either. volume pretty dismal. trading and s&p 500 companies down 14% from the 10 day average. look at apple, because

that is one present the dow and s&p are holding up better. a big component of the nasdaq as well. .oday's apple has posted gains the first back-to-back advance for apple in three weeks. it has not happened since july average is still below the long-term trend line. obviously we are going to play tom keene's exclusive interview with tom fisher, but we have headlines from dennis lockhart a few minutes ago where he said september is a live possibility. september. there is the thinking it will raise more game for the right market.

you mentioned what dennis lockhart said. matt: that is perverse logic. scarlet: anyone who wants to see gains will continue to justify it anyway they can. matt mentioned dennis lockhart comments about september rate hike. he said if that is very disposed to the september timeline. he said shorter horizon inflation numbers. prices down and yields higher. 10 year yield at two point or percent. quick check on commodities. at two pointte 24%. copper coming off of a six-year low. -- rain in chile has halted production. matt: could be of what we would call it that cap bounce. if you were cynical, you might see it that way. top stories crossing the bloomberg terminal. warren buffett has been one of his biggest deals ever.

berkshire hathaway agreed to buy precision cast parts. the price a little more than $37 billion, most of that cash. earlier we talked to a partner at gardner russo, his firm owns almost $1.5 billion of berkshire shares. the cash flow is how steady it should be. they have an order backlog they can map out, probably for 15 years. yes, the dollar makes a difference, but when you are placing order for an airline, they probably will end up going the wing because of the certainty it is the best in the industry. matt: the price is a 21% premium to the closing price friday, but the stock had fallen almost 20% of the past 12 months. another deal, under armour, expanding the relationship with the nba. in a multiyear deal they will be the title partner of the nba

draft and presenting partner of the leak youth basketball program and will team with the nba to launch a fitness mobile app. the deal will let under armour placed logo on some merchandise. morgan stanley says congress will probably come to the aid of puerto rico and provide the island access to bankruptcy and establish a fiscal control board. puerto rico's public finance corporation missed a payment earlier this month. it is struggling with $72 billion in debt the governor says is unpayable. scarlet: russia's economy seeing the biggest contraction since 2009. a dropped in oil contribute to the deepest recession. the country ever life -- that relies on oil and gas for half of the budget revenue. appears tod trump resolve any issues he had with

fox news. he is under fire for how he megan kelly and her performance during the republican debate last thursday. he has now sent out a tweet to say he spoke with the chief roger ailes. the quote is he just called, a great guy and assures the trump will be treated fairly on his fox news. his word is always good. he describes kelly's question about the way he returned to -- return -- refer to her as nasty. no word on whether he is spoken with her personally. unlikely. should speaknk you to her for that to be resolved? and then he refers to himself in the third person. penalty areaas motive. alibaba will spend 4.3 million in a commerce group. this comes as they added network of electronics course. it is alibaba's biggest deal

ever. they will partner in logistics and online sales to target deliveries as fast as two hours. the regionalng up presence after a 24% drop in the company's market value, bolstering the appeal to e-commerce operations facing the work wrote in china. obama usingent media interviews done before he went on vacation to build four .or the iran nuclear deal he told online news sites like there was no way to secure an agreement with a wrong without first inflicting severe sanctions that made life harder for people there. he also spoke to npr. they will puta: forward arguments that after a shown as a can be logical or based on the wrong fax. -- facts.

you asked them for the alternative, and there is a deafening silence. the u.s. senate will begin debate on the september 8. scarlet: customers at targets had complained about targets that just -- designate certain toys for boys and girls. they will not have gender labels in the vetting and toy section. also, you know which toys are for girls and which are for boys naturally. when elon musk went for a walk during his vacation, it was no ordinary stroll. they walked on the wing of a flying by playing. the british company lets you do this for $620. he captioned on his instagram photograph, what could go wrong? investors around the world cringed. the top stories we're following at this hour. wants to behink he

mission impossible, tom cruise. coming up in the next half hour, a greek government -- is the greek government closer to resolution? they hope to be done with discussions by tomorrow but is that realistic? believe thenvestors russian currency could be at the bottom. hundred hundreds of washington boys took to the streets for an all-night scavenger hunt to help the kids. all that and more coming up. matt: low interest rates are doing their job, according to stanley fischer. they cut us in as next month raise rates. fisher spoke with tom keene. the low interest rates are designed to help the recovery of the economy. they have done that very well. to five, and10

that is what they are intended to do. they also intend to help investment. sawould be happier if we more physical investments and financial investment probably. , andare doing their job the fed has handled this very well. i can say that because i have learned that lately. let's get to the phrase that i describe u.s. altra accommodative. accommodative. what is that, and why do we have this reticent worldwide to raise interest rates? this was said at a time when we got zero was as low as you go on interest rate, could not be more accommodative than zero. now we know you can go negative as well.

it is extremely accommodative to not have to pay interest. nominal interest for sure. that is what this monetary policy is about. it has worked. tom: why are we struggling to raise rates a little bit. >> the interesting situation in which we are is the climate has been rising pretty fast relative to previous performance. low.nflation is very the situation is not to move inflation as well as employment returning to more normal levels. levels we specified in advance. look at this, and

look back at the dual mandate of the fed, 1977. that was so complex. one year after you had to valid short tax. is this modern fed trying to do too much within the dual and the fed we saw before that? are we asking too much of people >> it is interesting the problem is not with the part that is unusual individual mandate, mainly employment. that is doing just fine. it is with the inflation parts. if we were just inflation target are some that would be in the same situation we are now. we would have to do even more .robably, if that were possible it is not the dual mandate that is the problem. of aid, i don't know central bank that in this heart apart is not looking at our bank all the time, even though they

say we only target inflation. they do both. tom: i had such a great response of economists worldwide who want to be to you. no of them alexandra mura. he talks of cumulative process dependency. the idea of step-by-step progress getting us to an end result. where do we stand on that? >> we better pay attention to data. tom: mark carney has to. >> a large part of current inflation is temporary, a decline in the price of oil, at nine in the price of raw materials. these are things that will stabilize at some point. we not going to be as low as we are now forever, and we need to be looking ahead as we go. having said that, the data heavy

drivers, and we have to ask ourselves where are we yet the we are in a situation a very low inflation. : you wrote on price stickiness. many would suggest we had deflation stickiness. should we fear substantial disinflation and outright deflation? this morning we see tenure switzerland negative interest rate. two-year german drives ever lower. do you fear global deflation and knockout effects to the united states? >> we take account of what is happening abroad. our capital markets are linked. we have to take that into account, so yes, it bothers us. it is not inevitable. it is not based in the economies of broad, but it is matt: their right now. matt:fed vice chairman stanley

fischer speaking with tom keene. scarlet: interesting the fed looks at it a certain way and mark carney warns of something different. morning slowing prices may be an issue for months to come. economists intest the world who disagree with each other. slowing prices may be an issue for months to come. ♪ ♪

matt: welcome back. i'm matt miller here with scarlet fu. a look at the markets right now. starting with the major averages on pace of breaking the seven-day losing streak. are in the green across

the board. all at sessionre highs. very good day. s&p 500 up by 1.3% area the dow up the most by 1.4. a couple superlatives to talk about. month. the best data also, the highest in the month ends on track to break the seven-day losing streak. on to individual stocks. texas instruments. 3.7%.up by one of the big actors is macquarie is raising the stock rating to outperform from stockl and raising the price for the next 12 months. macquarie says for the fiscal year 2016 it estimates gross margins are too low and shares are just cheap, basically a bargain. .nother tech stock is apple

apple for a -- higher by a second day. this is because of not one, not to but three bullish ratings. you can see bernstein is saying apple iphone sales could rise next year. oppenheimer says the decline is nomuera saysandnomur it is overdone. they could also take market share from seeing some. says it is overdone. this is the analyst recommendation. now what you are seeing here, first to the yellow come the price target, the 12 month price target. it is 170 -- $47. it has been at the highest for the past five months or so. looking at the green grass. it is the high that rest --

represents the number of buys. buys. very good day for apple. back to you. matt: taking a look at the top stories. apple expected to hold a product launch early next month. the event set for the week of september 7. mark your calendars. thee will reportedly push new tv product, new tv box as well as the new iphone and ipad models. need of anam in upgrade. and $86 million loss for the u.s. postal svice. operating revenue unchanged from a year ago at $16.5 billion. more package revenue and more productivity not enough to offset growing inflation and a drop overall in mail volume. settling allegations

that there were forged or false pain prescriptions. they will pay to resolve the two-year investigation. cbs itself not any wrongdoing. -- cvs itself not any wrongdoing. it is based in rhode island. happening right under its nose. aboutng of pain, talking greece and creditors putting on multibillion-dollar settlement end of a bailout chapter four greece. matt: joining us to discuss, hans nichols who is ane -- both as much pain as much as anybody could outside europe. you have been working night and day. hans: stylish -- scarlet said

finishing touches. matt: they are close but do not have total number or concessions that need to be made. the initial number 86 billion. reporting 96 billion. on top of the 97 bridge loan. when you look at the debt out there, most of it is publicly held. imf.a little bit by the when you look at the numbers thursday, we will get new gdp numbers. we will see how much the greek economy has contracted. we're -- they had a cup -- tough couple of months. the blue portion shows the bond principal. you can see it decreases as time sideon area the far right

shows term loan outstanding, basically bailout after bailout. exactly. that is 2045 and on. all the years beyond as well. scarlet: can kick down the road. this is an argument you here in germany that the debt is not that burdensome right now. they are servicing the debt. this were all traded on the private market, their actual payments would be much higher. that is one way when we're looking at just how accurate the tenure is. it is really not that accurate. it is not liquid. percent held by public institutions not treating it. scarlet: held by the troika? hans: yes. it will be the european debility mechanism.

the unit where you can see it, on top of the brandenburg gate. for horses pulling a chariot. that is irony for you. scarlet: thank you hans nichols here for the week. usually in berlin. coming up, a new scientific revelation about the great william six -- shakespeare wondering where for out there mary jane? ♪ ♪

scarlet: an interesting discovery about william shakes .our forensic testing of his 400 euro-suggests the english playwright, poet, and playwright may have suggested smoking more than tobacco. it tested for cannabis. we.: literally he says cocaine. maybe even

as in a negative way. for we and against coke scarlet:. scarlet:he wrote something about compound strain. researchers found other weird thing in the pipe remnants. that make extract. as any good teenager knows, supposedly you can get high somehow using that make. most kids probably have tried it. it was not surprising. they use hemp for clothing and sales. >> historically a lot of very creative people have scarlet: apple. scarlet:you are taking off. more after this. -- historically a lot of people have dabbled. ♪ ♪

♪ ♪ ♪ get excited for the 1989 world tour with exclusive behind the scenes footage, all of taylor swift's music videos, interviews, and more. xfinity is the destination for all things taylor swift. scarlet: welcome back to the bloomberg "market day." i am scarlet fu.

alan greenspan calling it one of the most serious challenges facing the u.s. and other developed economies. the former fed chairman says low productivity is a problem. he spoke earlier today on bloomberg " surveillance." notmerican productivity is significantly different from zero growth in the last six or eight quarters. and the cause of that, if you work backward through the cause is capital investment has been the amount to find of assets unique. "arlet: he said there is a pending bubble" and the bond market. according to the new york times, coco cola funding scientists who argue american should get for exercise and worry less about cutting calories. health experts contend coke is trying to deflect criticism of a sugary drinks and encouraging

obesity. twitter partnering with the national football league. they plan to funnel almost three times more content than last videoincluding more highlights as well as pictures from games in progress. twitter will use an automated formula to prominently does lay nfl suites and related advertisements. buddy baker died after a short battle with lung cancer. and was named one of nascar's 50 greatest drivers 1998? he was 94 years old. those are your top stories. coming up in the next half hour, you cannot hide from commodities. falling prices making it hard to find any credit investment that are insulated from the fund whether it is junk or investment grade. one investors says too much content out there and could be nearing the end of the tv bubble . is tv content of commodity? that and much more coming up.

now, too bad or not to bet on brazil? the company dealing with inflation, struggling interest rates and a political crisis. stocks are rising, bond years falling and some are betting the worst is just about over. they begin by weighing the risk. think risk is high, and i things could well get worse before better. there is a lot of inherent security. first and foremost, i would say it is political. the president has lost a very important ally in the congress. they will not be winning him back anytime soon with 8% popularity rating. it very difficult position for her to be in with an economy in 2% recession., 9.5% inflation and very low political capital to have the bandwidth to respond in kind.

matt: the political crisis is first and foremost on investors mind. walk us what is going on with brazilian politics right now. >> she has lost a lot of popularity. she took office for the second time in january. popularitywas -- the was 8%. inflation higher than her popularity. the president has formally's with with her that he will not vote with the government anymore. a couple more parties has said they will not vote with the government coalition anymore. she is kind of scrambling, and not a lot to do economically. inflation is very high. looking at a two-year recession at this point, close to that. matt: is this a situation where she is looking at?jail time --looking at jail time?

>> it is increasing, not getting better. it is an ongoing scandal, and they are probing additional ministries. the question is now, will impeachment occur? i think the risk is higher, that for inflation in 2016, the investment grade downgrade. it is a possibility they lose the investment grade rating it is.>> brazil already in the last level for s&p. the work is still waiting for movies and pitch to move, but it has become a very high probability. when will you know that things have hit bottom or do you dollar cost average in through the worsening? >> the question is where is the value? all are -- are there pockets of

value yet but the question is, what is your risk appetite? certainly there is value. there is a full names, comparables like johnson & johnson that are very diversified and would do well in a recession. then names like steelmakers, which are treating it area attractive multiple -- trading at very attractive multiple. if you are ready to withstand it, there are interesting place. i like the currency bonds. i think it will be a horrific year for inflation and bonds. next year's it is stickley speaking has to be better. i think you will the benchmark to thousand 60's. that could open a potential opportunity. the benchmark rate to come down 2016. matt: what is it like for people living there? happyple are not very with her right now. when she went on tv on thursday.

i think we need to see this size of those crowds to gauge. matt: if you get past this, is there a light at the end of the tunnel, a better alternative out ?here yo away are still three years from an election. that is hard. >> in terms of rating, not really. brazil and mexico are falling diversion trends. outlook. ift a nice we are looking for brazil, long-term appreciation potential, then you would want to start looking in the near term. the value plays, names trading as a nice price to book for example. worth noting, the right

aul stronger for a second day session. known as the hunt night madness raised over $3 million for charity this weekend . we will tell you how the bloomberg team fared. go bloomberg. ♪ ♪

scarlet: welcome back to the bloomberg "market day." plunging commodity prices having a ripple effect across markets. analysts say that drop correlates with an earlier lunch in industrial metal. not great news for the corporate credit market and investors who

purchased $9 trillion in corporate bonds since the end of 2008. for more, i want to bring in lisa abramowicz. in general, are lower commodity prices good? we have been conditioned to think that. >> the logic is typically of companies have to pay less for oil, less oil -- coal and other types of energy, that means they have more money to put in research development, more on the bottom line. think about when you have lower pump, that isthe typically a good thing. in this case, not so much. the commodity prices are less a cause as much of a weakness than a symptom. people are singing there are a lot of conflicting data point coming out of every place in the world, but the one thing you can rely on is he's commodity prices are not lighting. is that these commodity prices are not lying.

gotten worse. last month the bloomberg commodities index had its worst monthly performance since september 2011. this is after the pain that has already been incurred. scarlet: peoples of end of last year through the beginning of this year was worse and just kept going. you have companies issuing a lot of that. the window to raise money cheaply is starting to close. talk about why the combination is dangerous. >> first of all, lower earnings a problem. typically when companies letter up they borrow more money with the hope the businesses will accelerate enough to legitimize the debt. incredible amounts of debt. an aspirational thing to incur debt if you think about it. you think you will be able to pay it back. all of these companies, and most of them have reported weaker reported earnings, even earnings

companies. they are still seeing weaker second-quarter earnings year-over-year. so this is a problem. they increase the debt load by more than 17% year over year in the second order. according to deutsche bank analyst. that is amazing. the biggest jump in volume and proportion of -- of debt since 2006 at least. scarlet: china is at the root of all of this? there is a bit? about china. the data coming out of there some people with question it. -- there is a big question mark. analysts have missed pretty dramatically and people went to matt as reason to question the legitimacy of it. they are telling us that

commodity prices tell the real story. scarlet: you can count on lisa to send us warning bells about what is going on. we need people like that. we need someone to poke holes in arguments. commodity to how prices have settled. we will begin with brent. timex crude up by 2%. brent up by more than one third of three percent. oil staffing a three-game losing streak. there was record chinese imports. certainly encouraging the bowls bulls for now but over the long haul it has been ugly. showing you what is laying on in copper. there was torrential rains in chile which has disrupted mining production. raising the oversupply of metal might come down just a little bit.

we are talking about a rebound off of the six year low so put that into perspective. platinum headed to the biggest gain in more than three months. this may encourage more demand from carmakers and jewelers and gold inching higher as well. with the most part looking at broad gains across the commodities complex today. thisng at top stories at hour. the last 72 hours have been busy one. rescued mores has than 14 migrants. they are trying to make their way to several greek islands through the turkish coast. authorities say the pace of the new arrivals is increasing. a victory for argentina and the long battle over default that. court has upheld the bit to limit the number of investors who consume to recover the value of the bond. in 2001 argentina defaulted on a record 95 billion of debt.

candid photographs of prince charles and princess diana wedding reception is now up for auction. he took -- a relative took return topon the buckingham palace. the auction september 24. pine river capital one, midnight madness. and all later on friday nights raising $3 million for the new york a charity good shepherd services. what is this all about? a look inside the grueling 15 hour contest. ♪

>> the nature of midnight madness is a puzzle. the answer would be the location. one goes to the location where you receive the next puzzle. >> we have raised over $3.1 million. hailing all the way from .ngland, the imitation >> i hail all the way from england. on the team today i am the team captain. we argued to working together in an office environment but not so much used to scurrying around new york. >> could luck and see you at the finish line. listeney in order? >>

carefully. i have something important to tell you. will pass.olleagues every time you see us there will be something important to learn. >> alicia told me it was a small scavenger thing you needed help with. he lied totally. i got sucked in after the first year of doing it. this is a baby. we started 10 months ago and are giving birth. >> i know the agony and what she was talking about. one of the most meaningful experiences i have had. i very much wanted to create this sleep no more that was outside all night where you really are no sleeping -- not

sleeping. >> it was exhilarating to finally get here. hectic. 16 hours now. >> it was annoying, fantastic. really fun. scarlet: congratulations to all the teams who participated and raise money for good shepherd services. too much television. the ceos of fx networks as we are nearing the end of the contents bubble. projections on when we will be at the capacity. ♪ ♪

scarlet: tvs golden age could be headed for a bubble. fx network

says there was 280 scripted series in 2010. now he predicts the scripted series will easily blow through the 400 mark this year. us now.u joins what is he saying will be the fallout from all of this? betty: he basically says we are at peak tv and will inevitably be a flush out. programs that do really well and fine. oranges the new black. there will be all of these other home -- shows that come on that will fall away. we have like 400 shows now. we owed like 200 or some three years ago. there needs to be more wellparency around how these shows do.

you know amazon, netflix and others order a second season for the pilot is out. how well do the shows really do that is fancy marketing? that is why you hear so much about them. hear transparency around the numbers. definitely a shakeout. viewers will eventually vote with their feet. new test with a these pilots. one is called " casanova." can now vote on amazon whether you want to see a series on these pilots. made an has interactive. these companies not just looking subscriber -- revenue but the subscriber base growing. betty: i saw casanova so i had to vote. scarlet: i will see you and just

of it. she will take us through the close. jordan spieth finishing 10th at in bridgestone invitational milwaukee this weekend. he will enter the pga championship with $9.1 million and earnings. top 10rd golfer ever to million and a single season. miller atd to matt the pga championships in milwaukee. >> he is a guy that was just re-signed by under armour, multiyear contract. making plenty of money on the golf course, which is crazy to think about in the sponsorship world to think he is taking less money on the golf course doing what he does then he does off the course. he is not shy in the bank account category. there is only a couple of guys at the 10 million mark. is ok with it.

coming into the pga championship, the next goal is to win the vga championship. i am guessing tiger woods has hit the mark a couple of times. who else? the main guy who is hit it. he is one that must -- he has the most money of all. gordon's needs -- jordan spieth has come along to bring the number back in. when tiger pass the 10 million mark, a number of people do not think was possible on the golf course. looking also at the prize money. responsible for the bump in prize money that has gone on. look back at what jack nicholson -- knuckles or on the more one. -- arnold palmer. did when oury respect. where is the big money being made? we pay attention to ns, but he has wi

tournaments. not just majors. this year alone. a third-place finish. in 20 tournaments this year he has made the cut 18 times. he has had a very consistent year. last week at the bridgestone round 72nal, third that threw him off the track. came back with a defect to climb to the top 10. he is not shy on the confidence area either. he said absolutely. i want to win. right now that is rory mcilroy. get a good look on thursday when the tournament begins. mcilroyired with roy and zach johnson who just won the british open and denied him the opportunity to possibly win the grand slam this year.

that will be interesting thursday and friday to see rory mcilroy being injured to come back to play with jordan spieth at the top of his game and johnson he was clearly hot coming off of this when. matt: when will we see him tee off? >> thursday afternoon about 2:00 in the afternoon eastern time. im am actually going to go out and watch them play nine holes this morning. he has flown in from the bridgestone invitational to go out and fight. a little overcast and rainy. hopefully we have some good weather in wisconsin. a lot of cows appear. much more coming up on the bloomberg "market day." keep it right here. ♪ ♪

a.m. in hong kong. a big elephant deal for

warren buffett. berkshire hathaway agrees to invest for over $37 billion. earnings reporting after the bell. can the catch up with ea? scarlet: good afternoon everyone, i am scarlet fu. rebounde have seen this around session highs as we had toward the close. can think some of that too warren buffett at