or is it? the lifespan of publicly traded companies. >> small oil companies may be protected on the plunge for now but it will not last forever. >> and the first prescription drug to boost women's sex drive is headed to market. ceo behind the company of viagra for women. ♪ scarlet: good afternoon, everyone. scarlet fu with alex steele. alix: we are seeing a definite reaction rum those fed minutes. if you see the incline for the s&p right after the minutes, unable to hold that flatline or the day. the s&p now off by 18 points. two points away from the 200 day moving average. a pretty much bearish sentiment.

scarlet: political indicators trump everything else. it's as if we did not change direction after 1:30 p.m. we are where we were half an hour before those minutes. let's look at the two year yield. shortly after the minutes broke, we saw the biggest reaction there. we continue to see the 2-year note holds on to its gains. you are looking at the yield here. following the release of those minutes as people continue to bet, perhaps, the federal reserve will not go ahead with raising interest rates. alix: we are now looking at 38% in september.ke it was over 50% about two weeks ago. see that continually reflected in the gold market, up by about $12. had not given the gains up earlier today. they are looking at short covering happening as it pushes

the timeline out, potentially, to december. scarlet: we'll keep an eye on these securities. i want to look at the bloomberg terminal for a moment. viewou take a longer-term -- over the past nine months, i realize that is not so long -- chasing the trend has really paid off. the citigroup moment him is the red line. total return of 28%. and500, the yellow line 3.5% return. companies with high returns the last 2-11 months. be turning. moment am stocks fell 1% last week. stocks fell 1% last week. but this is not been the case if you look at it at the history of the bull market. come back inside the turn of -- terminal. it this is the five-year chart. you can see it is very

different. ands&p 500 is much better, the momentum index has gained 33% with a bit of a leg up in the last couple months. alix: and what happens when it rolls over? what is the catalyst? how does the money wind up shaking out? scarlet: exactly. alix: take a look inside my bloomberg terminal. we look at goldman sachs have engaged equities with the strongest balance sheet. that is the white line you see here. the orange line you see is the stock with the weakest balance sheet. you see those diverge. it is at the biggest divergence since october of 2013. you will want to rotate to better quality stocks and better balance sheet if you end up getting scared of the market. that is what we are seeing here. scarlet: less leverage. at leverages good right now. let's look at the stories making headlines.

janet yellen and other fed conditions forat raising interest rates were approaching but they saw more room for labor market healing. they needed more confidence that inflation is moving toward their goal. we spoke with john herman, rate strategist from mitsubishi securities. >> still pretty dovish on this. was the instant staff back. snapback.the instant snaps, steve and, above 134 base points. we think there is less conviction that they will go in september. across all fixed income, it is basically pushing back on the fed for september. >> it comes before the september meeting. the central bank will raise the benchmark interest rate for the first time in's 2006. and one other -- since 2006.

one other note, a spokesperson "in the process of embargo material, we sent a headline ahead of the embargo." scarlet: the fed has a 2% target for inflation but the economy is not exactly cooperating. the cost of living rose at the slowest "in the pace in three m. the consumer price index rose .1%. the prices barely rose and cost of airfare, cars, and household furnishings declined. alix: greece's third bailout has cleared one of its last hurdles. the parliament overwhelmingly voted in favor of the $95 billion aid package. chancellor angela merkel lobby lawmakers to prevent too many of her coalition members from voting no. more fallout from china's decision to devalue the yen last week. vietnam has devalued its currency for the third time this year. the government is trying to make

sure exports continue to grow. china has been vietnam's biggest trading partner for eight years. we spoke to the ceo of pacific airways. >> we should see china in five years of perspective. it has been rising and -- [indiscernible] some adjustment, some slowing down. from 10% to 7% is not a huge deal. economy when it is growing so fast, you have some corrections. i do see it as a correction on this way of continued growth. reported pacific lagging behind estimates. fuel hedging. [laughter] shares in asia's largest inlines grew -- fell most six years. fuel hedging. [laughter] there we go.

cash citigroup says facing shortages may be facing part of the bold reserve. one of the nations that they mentioned is venezuela. it gets more than 95% of export revenue from oil and a collapse in prices has led to speculation venezuela may have problems paying its debt. scarlet: united auto workers are angry at a plan studied right now by general motors. the country is looking at importing the u.s. model built in china. to sell chinese made cars in the u.s.. gm and the union are in contract talks in the current agreement expires -- there is an agreement for all this. boastsorway posts -- the largest sovereign fund and it lost in three years. scarlet: bloomberg spoke with the ceo about the current investment environment and if we should prepare for more

volatility. looks, on the surface, like a quiet market. for quite a few, so far this year. equity markets and managements are going well. interest rates crept up again after going down. the most interesting thing has probably been the currency. [indiscernible] >> and those currencies are moving constantly at the moment? my question is, can we expect bigger moves, more extensive moves? the chinese have depreciated their currency. and what word you would use -- is that where the volatility will come? >> i think it is quite possible. that is what we have seen. volatility in the currency markets is different because they move in steps. they will move out of the fixed income markets and into the currency markets. [indiscernible]

>> you also mentioned during the news brief that less money overall, coming in, from oil revenues. this is a challenge for the fund. you invest, risk and duration, how will that fundamentally change where you invest in ech? >> we take 100% of the value and we have a net positive. it is still that positive. it doesn't really change anything in regards -- we do not have the same amount of cash flow to invest in the markets. it is quite large and therefore, we don't move around that much. >> if i asked you what the biggest challenge was when you , is it the fed hiking rates, china, emerging-market currencies? what are the biggest issues? issues. monetary policy and china. both of those influence different variables.

one is currency, but we see those as the two key things we spend the most time on. markets, i look at your largest treasury holding in u.s. treasuries. it has been a tough quarter. you have made some adjustments. are the bond markets ready for the perceived lift off that we might get from the fed? and dare i ask if you are a september or december man? what do you think of the bonds? in a centralced bank so we refrain from commenting on future development of monetary policy. my experience is that i can generally say the central bank is more patient than market participants. >> interesting. the world getting ready from liftoff from a zero-point world. are we prepared for that? where will the ball -- volatility come from? in the currency? >> it is hard to say, of course.

the market is predict double, but difficult. -- predictable, but difficult. now it seems like it is a slow pace developing. there is uncertainty out there that can suddenly change -- [indiscernible] let's close on negative interest rates. will it continue to 2016? importantly, how does it impact you? >> we have bonds with negative interest rates at the moment. 1% is still there. it is a challenge. it is an interesting intellectual exercise to see how it will develop over time. ceo speakinghe with us, an exclusive interview. clinton facing questions about her private e-mail server. will this issue forever haunt

her campaign? we hope not. ♪

scarlet: welcome black to the bloomberg market day. let's get a look at the markets. the major averages and the reaction to the fed minutes. >> the market saw a quick and volatile reaction. paring losses from earlier in the day, they have since given much of that right back up. this is how it stands. .he dow is down by .9% the nasdaq down by .7%. the s&p is down by .8%. this has been down by as much as 1.3%. we can actually see when that happened.

just about here, they shot up for a very short time and have since given most of that. the dow and the nasdaq have both seen similar moves. let's take a look at some of the biggest gainers and losers right now. first off, the maker of unit butter and fruit spreads. by 2.6%. and analyst rating might be influencing stock. this is the biggest gainer on the s&p right now and this is the biggest intraday move since february 4. credit suisse raising the rating from outperform to neutral, citing improving sales trends. the price target is $125. it is trading just under $112. energy stocks are some of the biggest laggards. oil, anadarko, and new field exploration are down between 4.5% and marathon is down by more than 7%.

this is the lowest since march of 2009. oil has lost 4.5% today on oversupply. oil has tumbled 30% since the year's peak close back in june. alix: now for a look at the top stories. president obama will visit new orleans to mark the 10th anniversary of hurricane katrina. katrina slammed into the gulf coast that flooded large sections of new orleans. and concerns about hillary clinton's e-mail controversy are surfacing among voters. wasof the polls saying she wrong to use a personal e-mail account as secretary of eight. the survey shows she still has -- secretary of state. the survey shows that she still has a big lead over bernie sanders that puts donald trump within 6% of a hypothetical had head to to match up --

head matchup. she was in nevada and bombed on the e-mail question. she did not perform with perfect dexterity at the media event. flummoxed, defensive, evasive, a little condescending. she did not look like she was having a lot of fun and they are focused on these questions around the e-mail. scarlet: it sort of showed, but the team must have expected that it would focus on that. >> these are human beings and there is no doubt that she is getting these questions. even when she is prepared to get them, she does not necessarily think that in the moment, she will handle them. some of her flaws kind of showed

through. we were interested to talk about "with all due respect" tonight. that interview will run at length on the show tonight. but we have a little bit here that we can play. take a listen. it's pretty interesting. >> when i hit e-mail, i hit delete. so did she ask someone to do more than that? or not? >> no. no. she asked lawyers to look at the e-mails and decide what was personal and what was official and she decided to not retain the personal ones and they were deleted. and beyond that, any technical questions -- >> that is not the question i am asking. you are saying that she did not direct anyone to merely -- to do more than delete the e-mails? the question is, for many people, the notion that if i

have personal e-mails about yoga practice or my daughter's wedding that i did not want people to see, i would hit delete. the lawyers are saying the e-mails have been wiped. that is what the fbi will look at coming out of the server. were deleted and the on that, i don't know. that, i don't know. everyone is an expert on inflating footballs and now everyone is an expert on deleting e-mails. i do not know. >> the question of whether it has been white clean or if the e-mail was nearly deleted is of some interest. if you or i delete the e-mail, we delete it but that does not mean it is completely destroyed from within the system. to make sure there is no trace of that e-mail left within your server or personal computer, you would have to get a professional to scrub the server.

her lawyer is saying the server has been wiped clean. said that all she asked was to delete the e-mails. why was the server scrubbed or white clean? -- wiped clean? ofthey can find no record these personal e-mails, it raises the question, why did she go to such lengths to do that kind of scrub on the server? what was she trying to hide. ? thank you so much. we look forward to the full interview. it you can tune in at 5:00 p.m. eastern "with all due respect." hear the full conversation and i think it will get a little fiery. the clinton communication director. still ahead, corporate hunger games. of the compare the chart average lifespan with the human

being versus public companies, next. ♪

>> is new technology the death knell for big companies? for some companies like cisco's chairman, they say yes. your is what they said earlier this year. over 25 years, one third of them survive. today, out of an enterprise company, the average life expectancy might be 40% that they even survive 10 years. you will have to change. scarlet: we did a little digging around and found the opposite. john chambers'message was simple. you have come through research by a boston consulting group and it shows companies seem to be coping ok with disruption and change. thehere was a big trend in

1980's and 1990's for life to be riskier for big corporations. more volatility in the fortune 500 list, more companies dying at a younger age. since 2000, that has not been true. it has flattened out. still higher than the 70's. but there is not this increasing turmoil wrought on by disruption. alix: a five-year company mortality risk is significantly higher in the 1970's. what does that tell you when you look at those numbers? >> the 1970's was this unique time when we had a group of eight companies dominating the american economy for decades. eight companies dominating the american economy for decades. overseas and technological change. slow down wet this see is a positive for the next pauseeration -- as a

before the next acceleration when we are replaced by robots. scarlet: when we talk about the death of companies, we measure it by publicly traded companies. plenty get absorbed through takeovers or get taken out of the public markets by private equity firms. this measures is how active the merger and acquisition markets are, how big the private equity industry is. those are things that there was not much of in the 1970's. >> it might say more about the capital markets than anything else. >> it is not all technological change. alix: is there a difference between smaller companies and bigger companies? >> the statistics have started coming out from economist s showing that there are

fewer and fewer small companies. fewer people are starting businesses. it is a long run trend. there are a handful of very successful startups. it is a shoeshine guy, lots of smaller things than that. that has been shrinking for a long time. scarlet: as we see from the unicorns, many do not want to go public because they get plenty of private money. >> i figure they want to go public at some point so they can cash out. >> thank you so much. great insight and kind of counterintuitive. scarlet: especially after john chambers has said that over and over again that companies have a next ration date. we will see you right back on bloomberg market day. ♪ the only way to get better is to challenge yourself,

and that's what we're doing at xfinity. we are challenging ourselves to improve every aspect of your experience. and this includes our commitment to being on time. every time. that's why if we're ever late for an appointment,

we'll credit your account $20. it's our promise to you. we're doing everything we can to give you the best experience possible. because we should fit into your life. not the other way around. ♪ ♪ ♪ 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. alix: welcome back to the bloomberg market day. u.s. regulators have improved -- toroved a bill designed

improve low libidos and women. earlier today, pimm fox spoke with the ceo sidney whitehead and asked her about the drug and the challenges they faced in the fda approval process. a condition that is generalized as hypoactive action disorder. it is a condition to be understood medically for almost 40 years at this point but not we until yesterday did finally have a treatment option for women. pimm: tell us the story of getting the drug approved. as i said, it had not been approved by the fda. you worked with an advocacy group that helps, i guess, to make this possible? >> science made this possible. an expert panel was assessed -- assembled by the fda and avoided

18-6 for approval looking at scientific evidence. when they have asked us to do additional clinical work, we do it. in terms of advocacy, we are one of 26 members in a coalition effort that was designed to change the conversation. center ofecame the the conversation and much of the credit goes to the fda. what is different about this formulation that was rejected twice for? -- twice before? >> not by formulation but by scientific unders banding -- understanding of more data, more trial, more evidence that would make us comfortable that would inform patients and providers. pimm: in terms of paying for this. how much does this cost? how do you take it? handled by be insurance? >> you take it once daily at

bedtime. it is a little pill. we look at other viagra like drugs, 70% of men with insurance have those covered and about $30 to $75 a month out of pocket, we expect. he coverage -- we expect parity coverage. we came from a legacy of male sexual health. we saw this great science emerging in terms of our understanding of female sexual health. and the fda recognizes this as -- pimm: this came from a german company. it you bought this from a german company. >> the original innovator of the a decision that sexual medicine was not one of their areas of focus and it was one of hours. it was exciting to jump to the female side and address and unmet need. giving women the choice.

men have a lot of treatment options and we have made a lot of progress for women by recognizing the biology affect. pimm: what about the reality of money raising? you are a small company. how will you pay for all this? >> we will do a very deliberate launch out of the gate. we'll go to health care providers already seeing this. you will do this yourself and not company with a pharmaceutical company? to see womenove across the globe have access to this treatment. 34 company capacity can't do that. but we will look to the future of globalization. ceo: sidney whitehead, speaking with pimm fox today. we want to look at the top headlines this afternoon. solera holdings is looking at a sale according to people

familiar with the matter. they sell risk management software to insurers and is working with a financial advisor to determine buyer interest. it has a value of $3.3 billion and the sale effort is in the early stages and could conclude without a transaction. target has posted second-quarter earnings that beat estimates. same-store sales were better than expected. here is ceo brian cornell on the conference call. brian: the way that we fulfill products and services is stretching the supply chain beyond core capabilities. frankly, as a result, retail fundamentals have started to suffer. in ourcally, in-stocks stores have been unacceptable this year. and: cornell has cut costs focused on the best categories like apparel, home goods, and toys. sales growth has slowed down at lowe's, the world's

second-largest home-improvement change posting a second-quarter profit that missed estimates. revenue grew at the slowest pace in five quarters. the rebound in home prices have let consumers spend more on their houses but it did not translate to sales this time around. costco is sued over claims that sell shrimp harvested with slave labor. costco is not accused of direct involvement with slavery. the company has not commented yet. former lehman brothers chairman putting his estate in idaho up for auction today. it includes 71 secluded acres with 2100 feet of big wood river frontage with three residential structures, a mate house with servant quarters, separate guesthouse, and a gatehouse. a combined total of 11 bedrooms and 10 bathrooms.

however, living in this secluded style will not come cheap. we expect the estate to bring as much as $50 million. those are your top stories. as oil tumbles to a six-year low, drillers with locked in higher oil prices using futures, options, and other derivatives are selling the crude for way more than the majors. except this may not last forever. oil hedges expire next year and companies like goodrich will feel the strain. hit to explain why is bloomberg's investigative energy reporter. i am jealous of your title. i've got to be honest. >> i don't think it's really my title, but that's great. alix: explain why we have the small guys beating the big ones when it comes to selling per barrel. >> companies like chevron have a

pretty big cash cushion to protect themselves when prices collapse. other companies do not have a cash cushion. so they lock in prices to make sure they will have the cash flow to keep going. they did that last year when oil prices were higher and they will sell their crude for a better price than the majors. alix: what kind of prices do they get? sometimes over $80 a barrel which is almost double today's price. alix: i wonder what the correlation is that we have not seen u.s. production fall back despite oil prices at $40. >> it is definitely helping them keep enough money coming in to keep drilling. there have also been gains in efficiency. others are pretty steeply in debt so they have to keep producing and keep drilling in order to service their debt. that is a reason they were appointed to wide production. alix: what happens in 2016 and 2017 when the hedges rolloff? it will not be for $80.

>> not in today's environment. the companies will feel the full brunt of this oil crash and even with those hedges, they are outspending their cash flow. if prices don't rise, they will be in trouble. in 2016, 40 3% of future output is hedged. compared to 63% this year. bankruptcy, m&a, asset sales? rise, i thinkon't you'll see a lot more activity. analysts have pointed to potential bond defaults, potential m&a. there are companies pursuing asset sales. we will see a lot more of that in the year ahead. alix: this is coming on the heels of october when the banks determine how much to loan these companies. what happens with the banks determining their loans? thehey have not expanded

size of their reserves which is what the loan value is based on combined with the price which is significantly lower than when the loans were made. they will see the credit lines potentially reduced. you saw a record amount of u.s. energy bond issuance. and you have really seen that slow down. it is not clear if the capital markets are not there for them, it is not clear where the money is going to come from. alix: much more ahead on bloomberg market day. keep it right here. ♪

alix: welcome back to the bloomberg market day. paypal went public less than a month ago and the company is already spending it cash.

the digital payment giant just bought modest, a mobile commerce startup run by president obama's former cto. emily chang's in san francisco right now with more. emily? --ly: harper reed was ceo cto for the 2012 presidential campaign and joined modest shortly thereafter. he just sold to paypal. harper, thank you for joining us. to fillou were talking ready about this for a very long time. you decide to ultimately sell to paypal? >> the talks began very much as just comparing notes and talking about the project we were working on, modest. the innovations that we made and showing the various builds. as time passed, it became clear very recent the that there was

some, dare i say, synergy between the two organizations and we could partner up. on the scale we were hoping for. emily: paypal says this will help with contextual commerce. what does this mean? how big an opportunity is that? cracks i do not know numbers, but i think it is a huge opportunity. what it means is the exciting part. being able to put commerce opportunities where there are none today. it is oftentimes appearing in places we did not expect. this is about being a bit future proof to make sure that we are ready when commerce needs to be various places. the obvious place is social media. putting by buttons in places where by buttons should be. we are very excited. emily: your technology helped power buy buttons on

pinterest. what about facebook and twitter? do you see these becoming mainstream? how much traction are they getting? iswhat the future holds being able to purchase things in the context in which you are seeing them. whether it is facebook, twitter, or things that have not been invented. being able to purchase that and take advantage of the thing right when you see it is the future. nowthing that is hard right is solving the problem from a technology standpoint. it is difficult for the retailers. we hope to make it easier. emily: you call this a cheap code to scale. what couldn't paypal do without modest, and vice versa? that they could achieve all sorts of great things without us, but the exciting thing is that the cheat code i was referring to, we at modest were focusing on

these innovations and inventions we created. when you look at who has the most scale, braintree has this great scale that is able to intontly kickstart appealing towards consumers all over the world. that is where the cheat code really comes into play. emily: paypal has made big acquisitions in the past. zoom, braintree a couple years ago -- how much did paypal spend on modest? what do you think of this critique of paypal that they have been innovating through acquisitions rather than innovating from within? i am not commenting on numbers but i can say that the braintree team and the paypal team is amazing. they do great things. i think it is a combination of both, honestly. and throughthin acquisition by buying companies like modest. emily: how long do you plan to continue working for paypal? somebody named hillary is

running a campaign. would you consider joining? >> i think i have enough campaigns. if barack obama runs for president again, maybe i would consider signing up but thankfully, that is prohibited by the constitution. emily: when you look at mobile commerce and the future that involves buy buttons, what do you see? how is shopping differently onli ne in two years? the first one is that it will finally work well on a mobile device. we have a lot of great companies that have done a lot of super innovative work. braintree is one of them. modest is one of them. i think it will work very well for everyone on mobile within two years. i live in chicago. if i am on a bus and i need to buy a cool t-shirt, it is kind of a pain.

hopefully, in two years, it will be easy. this is the goal. to make it very easy for everyone. for both retailers and consumers. what about the future of apple pay, android wallet, and digital payment systems that are helping enable commerce? significantt been a use of things like apple pay thus far. >> i can only speak anecdotally and based on retailers that i've talked to. under the modest brand. what we have seen is that the retailers are seeing a little bit of an uptick when they enable and use apple pay. think that is the future because it is taking away steps that are unnecessary. any time you are making, lying employer -- buying simpler, it also lends to some security and

safety for the consumer. harper reed, ceo and cofounder of modest. acquisitiony first as a public company. alix: you can catch more of emily on open oh bloomberg west" coming up at 4:30 p.m. eastern. -- on "bloomberg west" coming up at 4:30 p.m. eastern. stocks are still lower on the day? >> it turns out it was pretty short-lived and we are back to where it started from, before the announcement. by .6%, it had been down by as much .3%. anddow is down .7 percent, the nasdaq is down by a little more than .5%. marketsf in emerging pulled the markets down earlier in the day, of europe and asia. let's look at the sectors using

the map function on the bloomberg terminal. most sectors still in the red today. eight of the 10 in the red. energy, as it has been all day, the biggest lagger, down by more than 2.5%. part of that is because oil continues to slide. anding is down 4.75% to $40 $.60 -- $40.60 a barrel. service comingnd from iraq. oil has tumbled more than 40% since the high in june. copper is falling as well. the fifth straight day. it down by .4%. 227.75.at one of the world's biggest miners says aggressive shortselling from chinese hedge funds has pushed these prices

too low. china's slowing economy means less copper for construction. prices year to date are down 20%. gold is trading on the flip side, near session highs. into the been pushing perceived safety of the metal before the ofm c came out with minutes. up by 1.4% at $1132 and change. of theyear yield treasury is near the session low down by more than 3%. mueller to gold. investors are looking for more safety -- to mueller to gold, investors are looking for more similar to gold, investors are looking for more safety. alix: we will stick with the markets because one of the most successful trading strategies is coming to an end. we will explain how fast it could unravel. ♪

alix: one of the most successful trading strategies this year might be running out of steam. a citigroup that attracted momentum stocks like apple and netflix did something last week it had not done since june. it fell. outperforming the s&p 500, they warned the popular strategy might be due for a sharper swing. joining us is mike regan, bloomberg stock editor. what happens when these rollover? basically, moment him has been one of the leading investment strategies. not just this year, but throughout the whole market. the idea is that you buy the winners. you buy the stock that perform the best and you short the stock that are doing the worst. basically, the capital is one of -- he will tell you that

over 200 years, and i do not know how he goes back 200 years, but various asset classes, momentum has worked for 200 years. it is subject to sharp reversals. one of the scary things is that they have tickers that is a moment in etf. it tries to mimic the strategy in an etf. even in marketing materials, they say that this is a strategy that works excellently at the beginning of the bull market. when you have the higher-quality stocks outperform, it can be the sign of a market top. ,his is a very popular trade and it means a lot of people are very susceptible to a sharp reversal. it could signal even worse things to come. alix: something we have seen his utilities are leading for august. biotech and then media.

they have rolled over somewhat. is this money reallocating or is there something fundamentally wrong? mike: two of the popular momentum stocks have been apple, obviously, and walt disney has been one of the heavyweights. both of them had arguably fundamental reasons why they are declining. has just been on a giant tear for the last two years. that is debate about if a fundamental thing or just momentum getting sucked out of the market. it is clear that there seems to be a little bit of dip in momentum right now with these more boring stocks like utilities. sachs had engage the stocks that have the strongest balance sheet and the weaker balance sheet. if you put together the ratio, we are looking at the highest level 2013. it is another sign that

people are getting a little nervous about some of the hive lines talks. biotech is such an important part of this whole story. it will dominate a weak balance sheet index like that because ,nvestors are placing a big bet a big risky bet when they biotech company. growth.k for long-term , thatially down the road index is down 8% over the last few weeks. that peopler sign are shying away from the strategy. alix: bloomberg stock editor mike regan. coming up, the worst currency for this year. ♪

. .

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

[closing bell ringing] u.s. stocks closing lower after losing momentum from a mid afternoon fallback. the fed minutes reducing speculation of a rate hike in september. joe: but the question is, "what'd you miss?" take a dip for the first time since june. are they about to see their own mortality? emerging instability -- the selloff in emerging markets will let go. stocks drop in pakistan and vietnam. goesand as go the ruble so carlsberg. alix: but we are forced to begin with stocks. we did see a selloff earlier in the day. we did see the dow claw its way back into neutral territory, eating back 115 points and then could not hold it and we and lower. joe: it's