>> welcome to the bloomberg market day. ♪ betty: good afternoon. here is what we're watching this hour. stocks are fluctuating as construction heats up on housing projects in the u.s. multifamily construction appealing broader concerns in the housing market. tesla shares are tanking after the sedan is pulled off of the consumer reports recommended that spirit is it a bump in the road or a serious sign of problems for the elon musk company? and nike shares are up more than 7% this year. that the run may be about to hit the wall. we are one hour from the close of trade on this tuesday. i want to head to the markets where julie hyman is really

earning dominating land. julie: stocks trading at a tight range as we see them being pushed and pulled around on earnings. we see the dow is the outperform her all day long and the nasdaq has been the under her. ticket look on my bloomberg terminal and you can see one of the reasons why. it has to do with health care and tech, that he does worst groups heavily weighted in the nasdaq because part of the health care selling has to do with biotech, telecom, and industrials purify nash's are doing the best today. the dow jones industrial average is doing the best and that is because it is heavily weighted toward some of the early winners and other winners we watching today. technology is out with earnings that beat estimates. the big insurance company coming out and beating estimates and underwriting margins and improving. apple is higher after dan said that companies apple music paid

subscribers, not just subscribers, but paid subscribers as part of his trial were higher than it had been, negative talk. a lot around apple music. it is doing a little bit better than people thought. betty: the dow is basically flat. julie: it is doing the best of the three but it also has important laggards that we want to mention as well. idm is probably the most important of these and that is probably one of the reasons we are seeing tech take such a hit as well. shares are trading lower after companies missed earnings and forecasts missed estimates as well, hurt by currencies and hurt by the growing pains of its transition to the cloud. merck shares are trading lower we are seeing declines in health care more broadly. nike is down after the stock was downgraded. those on the counterbalances for the increase in stocks. counterbalances that are being felt less in the -- than the other major averages.

betty: we will talk more about nike and white might be time to sell. thank you, julie. a quick look at the headlines. mark crumpton has more from the news that. good afternoon. mark: the pentagon says the united states and russia have reached an agreement that minimizes the risks of incidences in the syrian airspace after u.s. and russian military aircraft came within close contact earlier this month. specific safety follow. to professional airman ship at all times, the use of specific communication frequencies in the establishment of a communication line on the ground. the u.s. and russia will form a working group to discuss implementation issues that follow. russia began flying bombing missions in cooperation with the syrian government earlier this month. they lead an international coalition that is conducting airstrikes against islamic state

targets against syria. of u.s. accused russia hitting targets of rebel troops. toured for calm as he through some today, you and secretary-general is making a surprise visit to the middle east, which has seen a month-long wave of violence. in a video message to israelis and palestinians, he says he understands concerns and frustrations on both sides but that violence is not the answer. in the meantime, the bloodshed continued today. officials say a palestinian man drove his car into a group of israelis waiting at a bus stop and then attempted to stab bystanders. finger-pointing continues between benjamin netanyahu and the palestinian authority president. mr. ms. netanyahu is accusing him of fanning the flames of the violence. he is also blaming him for not condemning any of the dozens of attacks t isagainselis over the past four weeks. thelames israel for

escalation of the attacks and says the increased presence of troops on a street as to the attention. despite the u.s. decision to keep thousands of troops in afghanistan, officials could be looking to local militias for back up against the taliban. the associated press reports afghanistan has tapped the notorious former warlord to help retake a district captured by the military group last weekend. he could be one of several x warlords assuming larger roles in the war. the inclusion is raising serious questions about outsourcing security. investors are keeping an eye on brazil's evening political crisis as opposition members prepare to file impeachment proceedings against the president who they say manipulated fiscal accounts even after the financial office was censored by the nation's audit course. that is a look at the first word news right now. back over to you, betty. etty:

construction climbed in september with u.s. housing up 6.5%, more than forecast in the in eightghest level years. good news on the housing front. what is helping to fuel the game? new multifamily homes like apartments were up 18%. carlhief u.s. economist and also josh wright joining me now. hi. on housing. ok. we keep hearing about american consumers point back and that is not stopping the housing market. what is going on? time in housing markets now because it has been a long time coming. the fundamentals have improved the market and emission multifamily and it is important to bear in mind that is a volatile component and that joy of a lot of the headline today. what you see in the single-family market, stand-alone houses, that is going at a steady rate, which is what we want to see because it

is more sustainable. karl: interest rates are low and continuing at a decent clip. there is demand for housing and certainly, there is very limited supply. sale,k at new homes for it is basically the lowest since the early 1970's is when the population was about 30% smaller. a shortage of housing stock out there. the mendmies are on albeit at a slow pace. it is creating demand for housing and buildings -- builders are responding. the general trend is pointing higher and we see the homebuilder sentiment yesterday was rising. that was a 10 year high. the bottom line is if you own a home, do not sell it and if you want to buy a home, now is best time. >> the bottom line is there is still a lot of progress to come and we cannot get overly excited about the numbers. home builder sentiment is back up as we saw at very high levels. about 40% offll

where they were just before the financial crisis. fore is still a lot of room us to see more progress. that is the theme. it will be housing as an extension of growth. this report i would say really when you look at the headlines reinforced that perception. lies that homebuilder number so important? >> if you look at the underlying details, you have tremendous demand, rising prices reflected in home price depreciation. it is a good time to be a builder so it is not surprising it is running so high as well. they are facing shortages of labor and land and whatnot. of economicine growth is normally early cycle economic engine. everything is misfiring in the cycle and things are coming in and out of the picture on a deke -- different sequence and the housing engine is engaging now. is important to remember

we have seen missteps in other .easures, particularly business but also for consumers. we see this robust and rising level of sentiment amongst homebuilders and that is particularly encouraging to see them hang in there and not get rattled by the headlines on market volatility. >> it's these to the resilience of the domestic economy. a separate way of looking at this is households and individuals are real -- willing these big-ticket purchases like auto and housing. they may be squeezing elsewhere to make these payments, but they are certainly confident in their own individual economic outlook if they're willing to make these outlets. >> multifamily is lumpy because once you start a building, l number of units, all those apartments feedthrough into the data. we see on a month-to-month basis the family roles swing up and

down in that drives overall numbers. the longer-term trend is we see a shift toward apartments. with josh on that point and it may have to do with the availability of credit for construction projects. individual homeowners are having trouble accessing mortgage credit whereas these builders are not going to their local community bank to apply for a mortgage and they're having easier access to finance. it tell youdoes more people are still renting them they are buying? >> we see it in the cpi. a lot of these homebuyers, we are definitely seeing that people are flooding into the homebuying market. sense of aere is a lot of people still do not have the access to credit, or they cannot afford the houses that are out there. that is why we see such red-hot inflation in the rent a shelter component. does any of this matter

to the feds? do they pay attention? we were told housing is basically playing a supporting role. it is the icing on the cake but not enough to propel the economy on its own. >> the fes are just glad to see housing seems to be holding steady. they are very concerned about avoiding a repeat of the taper tantrum or mortgage rates rose and that is a real stallman housing recovery. as long as it does not look to be in store, and when you look at the long end of the yield curve, and mortgage rates on top of that, they are not rising and that has got to give comfort that this is one thing we do not need to worry about. speculation there about people? >> if they raise rates in a clumsy fashion like josh highlighted, then absolutely. but if the fed is raising rates at just a slow pace and they are allowing the economy to overheat a little bit as basic just it,

also -- as long as the fed has anwn there in the game into with inflation pressures, that will help to keep the long end of the curve down. so it should not be that big of a negative factor for the housing sector. >> there are a lot of questions about how the long end of the curve will respond when they get liftoff. it is not a given, but i think if they do once again, we will have the fed share in the position of having to defend her historical record break on what -- based on what happened. betty: right. there are no guarantees. >> your member the conundrum from the last cycle. raising rates and not responding as it should have. thank you on the housing market. much more is ahead in the next 20 minutes. does chipotle need to start handing out coupons and other promotions to maintain its huge growth? it reports its current -- quarterly earnings after the close today. plus, nike shares have been on a

run. party about to come crashing down? technical signs are raising eyebrows about the highflying stock. and paying $800 million to settle a probe that violated u.s. actions against doing business with iran and what does it mean with similar programs, deutsche bank, you credit, and others? ♪

betty: sony has to -- has agreed to pay related to the movie "the interview." as much as $4.5 million.

u.s. officials blamed north korean hackers for the breach. chief imports from china have left a massive dent in the u k steel sector. it is now the latest manufacturer to announce more than 1000 job cuts. the announcement comes as -- with the first chinese visit in the decade. related to china selling steel at a loss on to world markets. deutsche telekom is considering unit.g its mobile phone t-mobile netherlands could fetch as much as $6 million. john malone's liberty global and private equity firms are interested. the sale would help the german carrier raise funds and reduce and by wireless frequencies in the u.s. more business get news at bloomberg.com. h poland mescalero reports earnings after the bell. the fast casual mexican shamefaced headwind in the a problem with pork

suppliers and higher wage costs and it comes as fully falls behind rivals with some of its technology. joining us now from princeton is a restaurant analyst, jennifer. one six ackley what is going here at aaa and what are they misfiring on western mark >> thank you for having me. when you look at aaa, a question people have is, you can only make burritos so much faster every time. as a result, with long lines in place, how will they continue to bring more traffic into the stores? that is where technology could make a big difference. betty: they brought someone from starbucks. >> correct. so, it really tells investors they are putting emphasis on developing a mobile platform, one of the keys they need to unlock additional sales growth from the stores they are in half. betty: what are we talking about here? >> they have made some

enhancements to the mobile app they already had. the ability to order ahead and pay with your mobile phone will help speed up the process. them towill allow continue to serve the people in line at the restaurant. as those additional sales for people coming in have already pre-ordered, people can just pick up the burrito and go. betty: that could bring in more people are you mentioned they're having trouble ringing in as many as they were before. they are seeing more competition or what is going on? >> exactly. the competition has been growing exponentially. everybody wants to be the next chipotle and everyone has a variation on the business model. what we have seen earlier this friend they had with a or foe campaign, you fill out a questionnaire and learn more about their ingredients and that came with a buy one get one free offer. it helped drive people into the store at the beginning of the quarter. it will be interesting to see

whether the traffic will sustain as it goes on or whether it tells of the promotion is over. see any porke problems from chipotle? >> they should have pork back in most of their restaurants are there should be a commodities update but hopefully with cnn to that problem. promotion is something they're doing as well that is a departure from what they have done before. >> they have done things on an intermittent basis but you get the sense this is something they may entertain a little more peopletly to bringing back into the restaurants. betty: friend or foe is one. jennifer of liberty intelligence entrepot lake or watch out for those numbers when they crossed. go ahead, nike shares have been on a tear. but are there wanting stars ahead for the apparel giant? apparently. that is next. ♪

betty: nike shares are on a serious role. the company reported earnings on the 24th. it climbs 15%. while many companies are worried about the slowing consumer demand in china, the nike ceo is not an here is what he told us last week. last couple of years in china, it has really proven to be fruitful in terms of setting the foundation for a future growth in china. consumers want premium brand and or their voting every day and nike is doing quite well. betty: but in the face of all the optimism, jonaan thinks nike shares could be headed for a fall and he joins us now on the phone. why do you think tonight he is about to see its streak end? is important to

clarify the long-term structural trend of nike is still very much intact to we're not saying the bull run is necessarily over. we are saying in the near term, it has gone too far and too fast. the us that we see a tactical pullback is increased quite a bit here. there are four things we are pointing to hear. the first is the spread with a two day moving average. it is the widest spread since may of 2013 and the only time we saw anything close to that recently was last year and that is a nine to 10% pullback in the online week. the second is a long-term channel. nike has been a monster stock since the highs and lows. toperms of the bounce and a of the channel it pulls back and has now blown through the top side of the upper end of the channel. you're going to pull back to the middle and the channel gives you 10 to 20%. shortird reason is the term 20 day rate of change is

13% and it was only exceeded once in the last three years. the last is from a sentiment perspective. around. side has come 82% with ratings on the stock, compare that to 2013 with only 40%. everybody is kind of all in on this and we think a tactic pullback makes sense here. we saw quite a few to buy after the earnings. jonathan: exactly. stocks have reflected that. 38% year to date, most of the gain has come since the august lows. call thatis not a anything is wrong with the business. it is priced in a lot of good news. a 50 day moving averages 12% lower. generally, pullback to the 50 day, we would probably look for that. we would think you will get that

and paying up of these levels is going to be, you will find better weeks and months. betty: you mentioned the possibility in the past, when it is done and hit as hit certain corrected 10 or 20%. is that the kind of correction you're looking for? jonathan: yes, i think that is certainly very valid. we have seen nike extended above its 200 day moving average on a handful of occasions over the last 10 to 15 years and generally, most of the time, you see if not a sideways consolidation, then a meaningful price pullback. look at that and the fact that the overall stock market, if we're talking about the s&p 500, it just seems pretty poor to us. nike investors in the stock now, unifies them to sell?

>> he depends on your timeframe frame. if you are a long-term investor and you can sit out a pullback, i do not think you necessarily need to sell. withnvestors and traders shorter term time horizons, we think a 40% move into months, warrants some profit taking. to maybe buy some weakness and get it into the end of the year. betty: thank you so much, jonathan. tesla shares are taking a major hit, dropping the most in eight weeks. consumer reports has taken the model s off of its recommended list. ♪

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betty: mark crumpton has more from the news desk. mark: jim webb has struggled to gain traction in the polls. webb: i am with drawing from any consideration of being the democratic president nominee. this does not reduce in anyway my concerns on the challenges phase in the country, my belief that i can provide the best leadership to meet the challenges, or my intentions to remain fully engaged in the debates. mark: mr. webb did not rule out launching a presidential run as an independent. the communist nature -- programs

continues to advance and its people continue continue to suffer. an attempt to concern the politics in 2010 and the governor's race in florida last year. he served as governor from 2007 until 2011, but decided to run instead of seeking a second term. falling behind to the eventual winner, marco rubio. the american cancer society says women should start getting annual mammograms at the age of 45 instead of 40 and the group is also recommending at age 55, women only get screened every other year. medical experts say it is not a blanket recommendation and women should speak with their doctors about the best plans for them

cutting down on false alarms. fifa is ripping the gag off its ethics committee. governing world's body is expected to name names tomorrow when it publishes a list of officials currently being investigated. the decision is a sharp policy turn from your desk for the organization. in the past, the ethics committee has not been allowed to identify targets. the reforms committee also recommends a 12 year term limit for incoming presidents and an age limit of 74. news rightook at the now are you could always find the latest news at bloomberg.com. back to you, betty. betty: thank you so much. the markets closed for the day in less in 30 minutes. a check of where stocks are trading, julie has the latest. you're watching chip makers. julie: yes. and some of the big watchmakers. a bloomberg news reported that the company was in advance talks to sell to western digital.

lastly, we first reported sandisk was in talks with western digital and micron. it looks like western digital may come out on top. between 80 discussed and $90 per share according to people familiar with the situation. ontern digital is down big the talk. intel will be investing as much to$5.5 billion to convert memory chips at a factory in china. micron shares fell sharply on the news. micron actually has a partnership with intel to produce the chip, a type of memory chip. ,e have been watching tesla humble after consumer rts rescinded its top recommendation for the model s after it got customer feedback. tesla is firing back saying its customer service results on the survey were still very sought -- very strong. a quick check of weight watcher

--res, rising again today on after more than doubling yesterday on the news oprah was buying a 10% stake. short covering undoubtedly a part of the rally. opera a factor on weight watchers. thank you, julie hyman, at the markets desk. off the $27o spin billion stake in alibaba. anything but a smooth ride for yahoo! shareholder so far. the company lost more than one third of its value so far. to give us a preview, we want to bring in paul sweeney of bloomberg intelligence. paul, they need an oprah. they need something. paul: they thought they had it with marissa mayer. this will probably still be in alibaba's quarter for them. real question is, will they proceed with their spinoff of alibaba? they did not get the preapproval letter a couple months ago from the irs that they were hoping for any of the announced they

will continue to move forward with the move. they believe they are on sound footing form a tax perspective. then the focus will shift to core operations and that is are gettingors frustrated because there has not been any topline growth out of the company for the last several years and it continues to lose share to the google and facebook of the world. they want to see some sign that business is turning around. clarity, we do not get is there a lid on the stock here? >> until the spinoff is expected, it will take us until the year-end, probably until early next year. the question becomes former assume i are management team, what can they do to turn around the top line. internet advertising goes about 15% per year or it it is very strong growth and yet yahoo! has not shown any revenue growth. they are losing internet advertising share.

betty: why don't you think she has been able to implement a strategy? >> she has a strategy. real growth drivers for some other companies, we just have not seen it in the numbers get across the board. one of the metrics investors look at is the percentage of revenue for mobile advertising. a company like facebook gets about three quarters of advertising for mobile users per for yahoo!, it is only about 20%. they are really lagging behind one of the fastest growing areas of the internet. thank you, paul. let's turn to the banking sector. $787 million settlement on u.s. regulators. element resolved allegations of the french banks violating sanctions aimed at iran and sudan. it now joined 10 other global banks entered into similar settlements in the past years. joining us for moore is kerry. go through the details of the settlement for us.

classes paying close to $800 million for this. unlike last year, another french bank which paid close to $9 billion, bnp pled guilty. credit agricole is doing a deferred prosecution agreement which allows them to basically admit to certain behaviors without having to take a guilty plea in the case. they got off a little lighter, though i am sure it is a little painful for us. these cases have proliferated throughout wall street over the last several years. they have really become a rich source of enforcement action for the department of justice and for the district attorneys of manhattan's office, for the treasury and the various state and federal agencies involved. the cases all kind of mirror each other. basically, they do transactions on behalf of clients in countries such as iran, sudan, particularly with the credit

case. e-mailingne client that the crisis in darfur was an exaggeration and no big deal. that we need to keep doing business are pretty egregious things like that show up in these complaints. because that behavior, of all of the enforcement actions at some a different banks across wall street, that had basically stopped. we will see a few more of the cases. you see a few more cases on wall street that will be resolved either this year or next year and then you will likely not quite so many of these stocks anymore. betty: willy's affect those other cases? >> basically, they are all about the same thing. behavior dating back to 2003 were earlier. see the sameind of things in the next few cases that come up. thank you so much. much more is ahead. tesla shares are on a rough ride and they plunged after consumer reports told us recommendations

on the model s. we speak with consumer reports editor's coming up. ♪

>> as we head toward the close of trading in just under 20 minutes, we had a lot of bouncing around it today'section. little more of a negative tone, the nasdaq has been the underperformer throughout the day. macro in a micro versus a driven market. a lot of company news pushing things around. take a look at the bloomberg terminal for what sectors are on

the move. telecom services have been leaning all day after we got earnings from verizon that came in better than estimated aired industrials are also doing well on the strength of earnings and financials here it at the bottom of the list, we have got health care, biotech doubling the averages once again. specifically on biotech, we are seeing selling within the index today. it is down by 3%. a couple of individual movers are pulling it down, including horizon pharmaceuticals. many insurers do not want to pay for one of horizon's medicines. a company horizon is intending to buy is also down sharply. very sharply. are seeing both of the stocks decline. this brings up concerns once again about facing a legend overpricing about some of the drugs these types of companies sell. stocksthe large biotech also trading lower today, pulling down the biotech. betty: thank you so much, julie

hyman at the markets desk. more on the markets, our next guest says equity valuations have cheapened enough and are negative enough now to be attractive. joining us for more is the chief investment officer of oppenheimer fund, which has $230 million in asset management. that means you believe we have hit that bottom. >> i think we have bottomed out and i believe the beginning of october was probably where everything came together. it seems this is how it works out. we have an incident and we go down sick instantly and then we recover from that in the fourth quarter. betty: people thought is this 1987 all over again. or 1997 i think 1987 and 1998, they are all very different years. a policyg else, from support standpoint, the environment is dramatically different. from evaluation standpoint,

things are far more interesting. so where do you go? are you totally risk on? >> moderately. but the environment is not good enough for you to be all in, but having said that, i think valuations and emerging markets are very attractive and if things stabilize any believe china stabilizes and emerging very goodn be a opportunity, i think europe can be very interesting as well because it is under its own sector of valuations that is attractive. they probably have the potential of growing much faster than what the market expects and what the trend rate has been. quite give me the contrary and call then. i think it is in emerging markets. people have given up on emerging markets primarily because of concerns related to china. china is surely slowing down but it is growing faster than any

other market. parts of china continue to grow very rapidly. it is really more about accessing in the emerging growts, companies that can at a rapid enough clip for you to kind of take that risk. i think there can become it is like that that you can find. betty: isn't there a concern that earnings in the u.s. are deteriorating and that will be a huge headwind for the market? >> earnings are deteriorating but they have been over the last few quarters. i think there were two drivers of that. a slowdown in the u.s. and the dollar was definitely a major driver as well. on the dollar front, i think with the fed somewhat getting priced out, i think we moved beyond that. the pressure from the dollar will ease and hopefully emerging market growth kicks in and the reboundsth actually

slightly as well. i think that would probably paint a decent picture for earnings. betty: though we do not know where the economy is growing. 3% here. consumer is doing reasonably well for us to expect growth to be somewhere between one and three quarters or 2.5%. it is not growing fast enough for the fed to get into a big tightening, but at the same time, it is not a disaster in the u.s. by any measure. betty: how much does the fed move factor into your forecast? >> the fed has been the biggest driver of market spirit when you talk about china, it has really been all about the fed for the last 18 months. i think with the pressures coming in, growth pressures coming in from emerging markets, i believe that does not tighten in december. that definitely would be a for the tailwind markets.

i think probably march is more likely than december for when they will tighten. that is because they are far enough out? they will get more data? >> a fair point but i think it is more about we need a lot of things to fall in place in december. they need clarity with respect to what will happen with the growth picture overseas. they may not get those data points. the only thing that could get them to tighten in december is if the deployment pressure in the u.s. is dramatically better than what it was in the last two months. things are stabilizing. betty: thank you so much. the cio of the oppenheimer fund. much more is ahead. moments away, markets have been bouncing around all day long as we had to break your. some of the most traded technology stocks and how they

have formed so far. -- performed so far. ♪

betty: welcome back. it is time for the bloomberg business flash, a look at the biggest stories in the news right now. is online retailer amazon looking to bring in 100,000 people. a whopping 25% increase from last year. seasonal job offers from other big-name retailers are expected .o remain flat holiday hiring is away from the stores and into the warehouse is. on panel will hold a hearing a proposed $106 billion purchase. the republican senator -- senator of utah will examine the attack of the merger on consumers. says theta democrat

merger proposal raises serious antitrust concerns for the $100 billion beer industry. a discount on the strong dollar cut into harley davidson profit. the u.s. motorcycle maker trimmed the outlook again. revenue is up less than 1% of $1.1 billion. pedaling asian and european rivals capitalizing on the strength to slash prices without hurting their own profit margins. get more business news at bloomberg.com. shares of tesla are diving after s, citingop the model below average reliability. joining us from detroit is jake of autothe director testing at consumer reports pure also joined on the phone by david welch from detroit, who followed tesla for us. first you because about a year ago, consumer reports was touting tesla and saying it blew

past all of its rankings. what happened? >> different things that we do when we are evaluating vehicles per we look at how the car performs. we have a test track on connecticut where we put the car through all different evaluations. the car is basically second to none when it comes to how the car performs, drives, and fits. it is not about reliability p and we do not assess reliability based on the cars we purchase. we do that based on the people who actually own the cars. year, we have 1400 server responses of individual cars. when we look at the data, and the car in terms of reliability is below average. what does reliability mean? and they're having problems with it. these people love their cars. in terms of satisfaction with their cars, it is second to none.

they love it. but reliability means that things are breaking and something's small and something's large. we see issues from everything to door handles not working, the sunroof, the rear hatch, and also major issues like charging the batteries. some of them have the electric murmur -- electric motor being replaced. it enables tesla to receive input and accurately address in -- issues and address problems. let me bring you to the conversation or one of the things tesla prides itself on is a close relationship with consumers. jakeraises a question from , why they didn't address some of these issues if the consumers are telling a consumer report? that is one of the things the customers really like their cars. theythey bring in the car,

fix it fast. another issue and that is what it is really saying, that hey, this company has found problems with a relatively small volume of cars. a successs has been but they do not spend a lot of time comparing two major automakers. what will happen with future cars? that is sort of the concern here. betty: that is the concern there. is part of this also that car companies, we have not seen many new ones lately, this is just inevitable because people are holding on longer. people are holding onto his issues the longer they get. >> tesla added features like the sunroof, people heard squeaking and rattling from the sunroof. they had problems with the door handles. the longer the cars are out there, the more they put in the road and a more problems you

have had pretty good see that with the mass-market automakers. one of the reasons the shares are also much is tesla is launching another vehicle, so what happens when you start to really ramp up volumes? you got to figure in the early days, they were inspecting every tesla that came off the line because they were not selling many cars yet. inspectingeally everything. a massive carmaker where you are doing higher carmakers put you cannot stop and inspect with a fine tooth comb every vehicle that comes out of the factory. when you offering to defend models, problems arise. investors are looking at, if they cannot control one model, what happens with two or three? betty: quickly, it is also recommended list. what does it take to get back on the list? when it is about next year we look at the reliability third we need to get the reliability backup to an average. it is the third year we have had paid on the carpenter the last

two years have been average. they need to get the pulse checked out and they need to improve them. if they do, it will be back on the recommended list. thank you so much. thank you both for joining me. that is it for the bloomberg market day. are also awaiting earnings, a lot of them. yahoo! and chipotle and many more. a busy markets week. ♪ ♪

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with a formerw of -- >> the u.s. stock rally settled on mixed results, the s&p little change. >> the question is "what'd you miss?". >> earnings favor, yahoo! and certainlyte -- looking to make their announcement. >> three markets where you can find opportunity. >> from london, the demographic debate. a conversation with morgan stanley about the trend that could change everything. >>