>> from bloomberg world headquarters in new york, good afternoon. >> here's what we're watching this hour. stocks are fluctuating as investors await meetings from the fed, the bank of japan and the bank of england. david: shares are declining today as oil gets hammered. iran indicates they will not freeze production. less than 24 hours away from the critical super johnay primaries and kasich is running neck connect with donald trump in ohio. market close in about two hours and stocks are bouncing around. let's go to the markets desk with julie hyman. julie: i was looking at the volume figures for today, and there is not only a lack of price action, but a lack of

action altogether. it is unusually low today as ifestors wait for the fed you need sectors on the move, there is a little bit or movement here today. energy shares were the worst performing group, and now financials and energy, we're seeing a drag on major averages. of course, as we have been watching this, that means we are toting closer and closer unchanged for the year. i just wanted to mention what we are in commodities today as well. oil and gold, which we have lowerng, crude oil

after a wrongful not freeze rampstion until after it up production. david: a big week for central banks. i wonder where the fixed income markets are in all i wil -- in light of that. julie: we have a yield of 1.95%. it is going lower to be sure, but it is getting closer closer to the 2% threshold and it reflects some increasing use that the fed will raise interest rates, maybe even twice this year. if you take a look at w.a.r. p on the bloomberg, that factors in interest-rate futures. more than 50% probability even for the june meeting. that has been going higher and higher have gotten closer to the march meeting even though there's virtually no chance of a will see every increase in march.

the dollar index, even though we see rates go lower, the dollar goes higher. david: thank you. now, let's check out bloomberg first word news with mark crumpton. mark: thank you. russian president vladimir putin is ordering the main part of his country's military force to begin withdrawing from syria. president clinton said to pull out and it should begin tomorrow. a russian airbase and enable base will continue to function. the muslim from moscow comes as negotiations to end serious five-year-old civil war resumed in geneva. those talks were described as positive and constructive. turkey's private investors has 11 people have been detained and questioned in action with that suicide bomb. just hours after the attack turkish warplanes hit kurdish

militant camp's in northern turkey. a day before the critical ohio presidential primary polls show john kasich pulling ahead of donald trump. trial moved to schedule rally from florida to ohio. roughlyve trouble the 20 point lead over senator marco rubio in the state of florida. presidential contenders have been critical of the federal reserve. the feeling isl mutual in the records. accused janet yellen of keeping interest rate slows as a -- low as a favor to president obama. democratic presidential hopeful hillary clinton has received or than $18,000 since 2004. political contributions

made by fed employees have gone to democrats. news 24 hours a day, powered by our 2400 journalists in more than 150 news bureaus around the world. i am mark of did. back to you. david: let's get back to you. the markets. waiting with bated breath, to see if the federal reserve will keep up with stimulus measures. what is the best case coming out of the central meeting? tracy: let's bring in our equity strategist in baltimore. hello. >> how are you? tracy: good, thank you. we are seeing a theme in markets today. he feels like everything is wait and see. is that correct? >> i think everybody is going to wait in see on the fed. nobody really expects a large hike, but dude is on the table. i wonder, the green you whenat this fed meeting,

you have so many other central banks meeting this week about the ecb, the bank of japan, the bank of england, do you look at this alone or in concert with all of those others? >> i do. the dollar is really the world currency, and defense employment and price stability mandate was written at a time before globalization. if there is one thing we have learned in the last few years it is that clinging to old beliefs can be fatal, and the fed's mandates are an anachronism in history. what we need is an exit that is paid by the global economic recovery so that the dollar does not strengthen excessively, the bear curve flattening does not occur at treasuries and spreads inexpressibly -- widen overmuch. tracy: so what do we see doing

that? easing, the really good part of that was the backstop on lending and cheap funding for lindsay that they provided to prefer verbal banks thatief fund for lending they provided to the correct the peripheral banks. stability,china gdp's restructuring, and the fed it is not being in a hurry just because the u.s. recovered first , because we were first in an first out of global recession. me circle back to how accurate is to control mandate is in your an estimation. what you find with this focus that is wrong? >> it is just that the u.s. is not in sync with the rest of the world. that is not an abnormal conditions, that occurs a lot of times in history. but at this junction in history,

when global growth is teetering on deflationary spiral and we could have trade wars, political changes, populism, there is a lot of things going on. this is the wrong time to say inflation is of a little bit, a little bit of weight stability, i'm going to hike significantly when the rest of the world is not doing so. that is the key, go slow, go very slow. tracy: are you worried about deflation being imported from the rest of the world into the u.s., or is there something else that is concerning to you? chinese are if the forced to the wall, and eventually have to devalue significantly, they do explore -- export deflation to the rest of the world. that would be very adverse for the globalization of trade, which is already meeting resistance. the last thing we need to do is to the world over into some sort of slowdown that is uncontrollable. david: you said and s&p target of 2100. are you sticking with us, are

you thinking about adjusting that at all? >> we are a long way, at least on the domestic cents, from the sort of the fed induced recession you would get. we have done a lot of work on the officials that is not a really big risk this year. maybe next year or the year after. downnk we go out before the next five years. the market will be relatively flat, but we will be a before we .ome down david: quickly, before we go, what do you make of what we see in the oil market? when you think of oil prices? issues of the oversupply has been slowing. on opec production is slowing in general. i'm not overly optimistic about the production.

if you get better demand, a little a supply and the dollar has been topping, that is why oil has been on a tear. nothing is a straight line. you would expect some volatility, and he would get pullback in that trend. suspect investors would like more free lines. thank you very much. coming up in the next 20 minutes , pimco $18 million shift in the way it currently flows into and out of its funds. munoz returns to work today following a heart transplant. activist investors are demanding changes to the board. tracy: they look at the performance of united -- against accrued us peers. they have been trailing for the past year.

tracy: this is bloomberg markets. for the bloomberg business flash, a look at the biggest business stories in the news right now. ubs is selling the riskiest type of bank debt after the bank selloff. this was bank is marketing $1.5 million of supported bonds. returns inped out the first six weeks of this year. since then, they have recovered all of their losses. david: new allegations against volkswagen. a former employee claims they deleted documents and obstructed justice after accusing the company of cheating on emissions

tests. playstation tracy: view has been available only in cities such as new york and sentences tracy:. it is going nationwide. sony hopes to cash in on a trend. viewers have been dropping traditional tv services to sign up with online providers such as netflix and hbo now. that is your bloomberg business flash update. david: we go back to the markets with julie hyman this afternoon. julie: i'm looking at some digital double-digit movers. obviously, a huge gain in today's session. dw pharmaceutical said that if her mental cannabis-based treatment did the limited seizures in a human trial. also going higher today, a stock that has been very volatile, 3-d systems, 3-d printers coming in with sure that little way lou away -- that

estimates. it looks like revenue was roughly in line with analysts had been anticipating. the company has been shifting a little bit more away from consumer facing product, more toward health care and industrial uses. the company did say, in a statement, while market conditions remain challenging , shares aren timing byrching by the surging 27.5%. there is not much wiggling trade today, but apollo global has been on a tear. at a stock that is going down by double digits today. the china-based company says

that a unit of holdings that was supposed to buy a mobile segment from it, it sounds like that is not happening any longer. this has been announced back in february. disappointment over the no caps off acquisition is sending the shares down. david: thank you. now let's turn to a story that is among the most read on the bloomberg today. pimco's 18 billion dollar question involves mutual funds and counts the money going in and out. notthose of us who do follow mutual funds that closely, why is this so important? >> there are a couple of utilities. engage how investor sentiment is shifting. mutual fund flows are a fraction of the overall market. you have is, sovereign wealth fund, banks taking on a bigger

portion, but this is the best real-time, or only real-time gauge of where money is going. is it going to bonds, stocks, risk on, risk off? david: the sentiment? >> exactly. and you have the specific point of view as an investor. you want to make sure that you are not getting a ton of money withdrawn which put your investment at risk those of the legitimate reasons. and then there's the popularity contest reason. tracy: tell us why we are talking about them right now on this rainy monday afternoon. why have we decided to talk about mutual fund inflows and outflows? >> we wrote a great story talking about how pimco changed the way that they counted their floats starting at the beginning of last year to include reinvested dividends and capital gains. this is not just about new money income and new money out, which has been a point of incredible amounts of scrutiny, specifically after bill gross,

the cofounder of pimco imparted with a really contentious departure. there has been a huge swell of withdrawal has got a lot of people nervous. they shifted the way they changed the reporting, and this howatically affected they're inflows and outflows work. in december they would've had to withdraw almost $2 billion, had it not been to this change of accounting. instead, it was an inflow of more than $1 billion. david: you could look at that and say this is pimco trying to paint the most positive light they cut. they are also following the lead of another number of funds. including their parent company. it brings of a question, why is there not a standard reporting mechanism for these fund flows? they are used for one purpose,

to see new investor money in and new investor money out. people are not looking for the actual returns on funds. it raises the question, why are there firms out there like blackrock, pimco and janice that are reporting in this manner? tracy: we know they have attracted the interest of the regulators recently. do you think this is the kind of thing they will be looking at alongside liquidity and redemption issues? >> i talked to an analyst about that this morning. the liquidity and production issues trump the potential reporting for now. they probably have their hands full with plenty of other aspects that they are scrutinizing. it does not seem like something that will be on the radar anytime soon. but it is something that investors should look out for. david: what are the other ways that people assess how well they are doing besides this week we look at flows? some funds report quarterly, some funds report weekly, some funds do not report.

hedge funds, there is spotty data on that. the real way that people ought to consider a fund's performance should be whether methods are, what they are invest it in, what their long-term plan is. stick with something, and then write it out. respects, it is a flawed data point. people should not be adjusting their holdings based on what the flows data is showing. and yet it is an instrumental tool for people to gauge what is going on in markets. david: thank you so much. commentary from bloomberg gaslight go to our bloomberg terminal. activistsll ahead, set their sights on united. we will look at the turbulence building up in the boardroom as the ceo returns to work. ♪

welcome back to bloomberg markets. a showdown is underway at united continental. activists investors have started a boardroom battle with the airline, nominating six directors. among those names is the former united ceo, who is credited with turning around the -- continental ceo, who is credited with turning around the company. tracy: this comes as oscar comes back from heart surgery. motivation with the of all these activists investors. what do they want? they are generally unhappy with the direction united has gone. one thing to note is that some of these investors have really loaded up on united shares since the summer. you have to think that they probably thought it had some room to grow, the share price

had some room to grow. arehave to wonder if they doing this to juice the stock at all, but you have to think that this company has not been managed as well as it could, and it could use new blood on the board. if these activists investors get their way, this could be new blood on the board. but there is history here between the two. >> they have a significant history. recruited oscar to the board in the last decade. it has been seen as a bit of a mentor. he talked to him after he took the united job back in september. it is interesting that he is part of this growth seeking to unseat some of the board members at united. tracy: we have this pressure to inject new blood into the

boardroom. what is actually next in this battle? what happens here? you will see the investors launch a campaign to thatade other investors the united forward needs to be unseated. i think you will see that reach out to other major investors and try to persuade them that these slate of directors need to be inserted, and current board members need to be unseated. i think united will do the opposite. i think it will persuade the investors of the board is good as it is. david: to say he has a lot on his plate would be a understatement, he is also having to work with the union right now to finish out a deal. >> he sure is. on his first day back he has a have rally of sorts for the major unions at united. this is interesting. when oscar had his heart attack back in october, the very day

when he had his heart attack on october 15, he was scheduled for this very union summit. the fact that he is having this union summit on his first day back is somewhat indicative, maybe a sentimental move that he is saying i am back and there has been no let up in my priorities. david: thank you very much. still ahead on bloomberg markets, iran is a no go for an oil output freeze in the markets. reaction from the markets. we will discuss that, next. ♪ . .

david: oklahoma city police are releasing new details on an accident than killed aubrey mcclendon. police are giving a news

conference. let's listen to the chief of the oklahoma city police. bead atained that approximately 88, about 180 nine feet across the centerline to the point of impact. it also shows he tapped his brakes, touched his brakes several times at some point between that 189 feet and point of impact. when i say that and you look at the diagram, it shows track marks on your diagram. those track marks are not skidmarks. investigator, don't .et confused on your diagram basically it is just wheel marks. sometimes 189 feet across the centerline and actually hitting the wall, he did tapped his

brakes several times. it is not enough to really consider breakage. downd not slow the vehicle . the vehicle maintained about 88 miles an hour, even when he was touching his brakes. left theels eventually roadway and went left before hitting impact. completely let off the break 31 feet prior to impacting the wall. this bead and showed he wasn't wearing his seatbelt. it shows the speed at five seconds out to the point of impact where it estimates 78 miles an hour and shows he was not wearing his seatbelt.

again, no significant skidmarks or tire marks. there are marks where he left the roadway into the soft soil which may have had a tendency to slow the vehicle down also. i will open it up to questions. as far as we know, they were functioning. >> some people have alleged this may have been a suicide. not going to speculate because you don't know what was going through his mind at the time. you don't know what was going on in the cabin of the vehicle, so we are not going to speculate. there are a lot of things that could affect those things. anything is possible. the investigation is continuing. this is just part of the

investigation and we are talking to people trying to put the pieces together from the night before until the time this happened to find out if there have done any recent reasons he may have decided to take his own life. information will be handed over to the medical examiner's office and the medical examiner will make that final determination. the investigators saw no real attempt to try to break the vehicle? >> all i can say is there was no breakage. the actual data box shows he touched his brakes. if you touch your brakes, your taillights are going to go on. it does not show where there was an actual hard depression of the brakes that would have caused the vehicle to slow. that would also be indicated by the speed. it shows that it did not change

until about anyone feet prior to impact. >> is there any data that shows ?e was speeding >> we do not have that information. we have what is off the data box and we have a witness that actually saw the crash but there is no information he can give as to what this bead would be. 122nd, you are talking three quarters of a mile before impact. there was plenty of time to get up to that speed before leaving the intersection at 122nd. >> [indiscernible] >> the data box will give you five seconds prior to impact. >> that is one of those

questions you just can't answer. you don't know what was going on in the cabin of that vehicle. statedical examiner there doesn't appear to be any type of medical episode, but there's a lot of things that could happen in the cabin of a vehicle, so i'm not going to speculate on what that tapping of the break means. david: that is the chief of the oklahoma city police department, talking about what the police department has learned about the circumstances surrounding the death of the founder of chesapeake about two weeks ago. what we learned today, the brakes on his chevy tahoe were functioning. the police chief said he tapped he brakes 180 feet before hit the overpass but did not slow the vehicle down and was not wearing his seatbelt.

people here are looking for some indication of why that happened. he says he doesn't know what was going on in the cabin beforehand. the investigation is still in preliminary stages. you can't tell what was in someone's mind. upwas still doing business until the day he died. he was under indictment. that came down the night before, so there has been a lot of speculation on did this cause him to take it another step. but there is no way to know. tracy: what is the next step in this process? the police chief referred to a further investigation. at some point, are we going to have a better picture of what happened? ,uest: the toxicology report

short of a definitive event saying he had a heart attack or something like that, we may never know. remind us of the circumstances under which he was indicted. he said he was going to fight to clear his name. he's credited for jumpstarting the shale fracking revolution. what was he accused of? he was accused of rigging oil and gas bids in oklahoma along with another company. remains to be seen if there is an other indictment that comes down. we haven't received any word from the department of justice yet. onwhat impact have we seen chesapeake energy?

has a lot of problems. he's been gone for a number of years and they've been working and thewith oil prices large amounts of debt they have taken on. they have been down sharply. boost fromgot a those being shorted by wall street. they may have gotten some help from the fact they cooperated with the investigation and this is one fewer negative piece for them. he had been gone from chesapeake for a while and was at another firm he founded. thatwas the state of adjustednd how was it

to him being gone? companiesot of the split off into a couple of different ventures. shale firms, the they were built on a lot of debt. they are going to have to fight their way out of this one. have his death and the circumstances surrounded had an impact on his -- on the investigation? guest: they did drop the charges against him, but we have not heard whether there would be a further indictment. tracy: he is team leader for oil markets here at bloomberg.

up, donald trump hits the campaign trail with chris christie in north carolina as pulls show him with a commanding lead in florida. is it too little, too late for marco rubio? ♪

david: this is bloomberg markets. donald trump and john kasich arnett and neck in ohio, both with 38%. ted cruz came in third with 16 and marco rubio is in last lace with 3%. trump has been hitting john kasich with ads in the state and moved a florida rally to ohio. let's bring in our washington bureau chief, megan murphy. about what donald trump has to achieve in ohio.

it seems like florida, he has any well wrapped up and marco rubio making a big push to win his home state, but if you look at that when a px poll, trump of ground -- rubio has a lot of ground to make up. megan: i do want to remind you that in michigan, we saw bernie sanders pulled a 20 point gap. donald trump is running so far ahead and has made such a push in florida where he has many business and personal ties. in ohio, it is a real battle between him and john kasich. we have john kasich out right now with mitt romney on the is goingwhether that to push his numbers up, i think ohio will be very close. if donald trump can win ohio and florida, it's going to be a true moment of reckoning for the republican party. almost unstoppable in

the delegates he needs to win. barring a sort of michigan miracle for marco, let's say we see a big win for donald trump. the response for the establishment? >> if we do see him win at florida and ohio, what can be their response? romney has been out on the stump. the problem is they are running out of options. they've thrown almost everything they can in terms of advertisement. and they a fight again could try to win states and win delegates to block him from getting the numbers he needs to get him outright. he's going to be very difficult

to stop. you have republicans and democrats weigh in. we've heard from senator elizabeth warren commenting on donald trump. there's a history of people staying quiet for too long and watching as the threat metastasizing. donald trump is a bigger, uglier threat as every day goes by. a lot of people wondering when she is going to weigh in on the democratic race. she has not endorsed a democratic nominee. megan: i don't think anyone by thosesurprised comments. i think we will have to see what voters think about the argument -- even after the violence we saw this weekend in chicago and the other incidents we have had at his rallies, support continues to rise. the democratic party will be in a difficult place. i think bernie sanders and hillary clinton would love in endorsement from elizabeth wharton.

-- elizabeth moran. this remains a tight race. we are really watching ohio closely to see what tracy just called the michigan miracle. aroundsuper tuesday three coming up, what are you looking for? ohio: we will be watching to see if john kasich and when it. if he can, there will be a lot of calls for establishment people to come out and openly support him and endorse him. in this raceyers to say if there are any legs left in the stop trump movement, we are going to put all of our chips on john kasich and we will be looking for marco rubio to drop out and whether ted cruz actually sees a pathway for himself in the base that he has when he has a map that does not look that favorable to him and states that don't run through the south and through evangelical voters. david: don't miss mark halperin

and john heilemann on "with all due respect was quote tonight here on bloomberg television. time now for the bloomberg business flash. federal reserve policymakers meet in washington. they are expected to keep the benchmark interest rate unchanged. coverage across all of bloomberg best media platforms starting wednesday at 1:00 eastern time. the fed decision is at 2:00 in the janet yellen news conference follows at 2:30 all right here on bloomberg television. tracy: a disappearing medical implant. the fda meets tomorrow to review abbott laboratories first of a kind heart stent that dissolves into the body after helping to clear fat clogged arteries. but regulators are questioning the safety of the experiment all device. david: hertz global holdings is

selling the bulk of its car fleet in china. it will give customers access to rentals in more than 700 locations. that is your bloomberg business flash update. let's head over to the markets desk where julie hyman is taking a look at some of the moose today. julie: in emerging markets, we are seeing a bigger rally then we see in u.s. stocks. we've had this outsized move going on, up about .5%. egypt has been a standout. here is the stock index, up after the egyptian central bank said it would allow a flexible exchange rate. the gains weo fuel

saw in stocks. over the longer term, we have seen emerging markets stock track because many of these are dependent on commodities. this is a chart of rent and white versus emerging markets currencies. theman see all of bottoming in late january and then see a rally here. moretock index has seen than a 16% gain. we have seen this happen with emerging markets debt, which has also been seeing a rally. we've seen a rally their year to date in those prices of sovereign debt. stimulus andmised an active stimulus already, so that has helped to support the

gains as well. a lot of folks have called for people to buy into emerging markets and it looks like it has already begun to happen. there's always time. tracy: coming up on bloomberg markets, spot of five member sean parker says twitter is a victim of its own success. hear more from the facebook founding president, next.

tracy: this is bloomberg markets. i'm tracy alloway. sean parker was a napster cofounder and and remade it as a backer of spotify. he was one of the founding president of facebook. he sat down with emily chang who joins us now. ofspoke to you about some

the biggest names in silicon valley -- twitter, facebook, snapchat -- let's his view of the social media landscape? emily: he was portrayed by justin timberlake in "the social network. he's very cerebral and thinks about big ideas and is positive since he of the things left facebook. bigas supportive of the risks and bets but i asked him what's the next egg business? oculus,ght whatsapp and but what is going to be the stream of revenue a decade from now? the interesting question for facebook is that it is something different entirely -- some crazy expect would never

facebook to make. he asked the question should facebook consider buying snapchat again? : munication is the biggest market in the world and medication cannot be undervalued. are there a lot of other can vacation paradigms and other ways of communicating that facebook could enable? does it make sense for facebook to buy snapchat? facebookake sense for to expand into real-time medication? facebook messenger is no different than instant messaging which we have had since the mid-1990's. facebook is good at understanding the network apps they should own.

are there more of those out there? there are enormous opportunities left in communication. annalee: are you saying facebook should buy snapchat, he said no, i'm just egging the question. twitter.me dots about sean: twitter is a victim of their own success in many ways. mediasnot been for the infatuation with twitter, twitter would have never built an enormous user base. but that came at a cost and the the lack of a deep, close-knit community between its users. an accuratenever reflection of a real social network. it did not have the level of into men interaction.

i don't think twitter would have existed had it not been for its relationships with celebrity and media. at the same time, i think it's its biggest weakness. emily: i asked if he regrets facebook ever bought twitter and he says that's not something i ever think about. david: thank you so much. you can catch more of that interview with sean parker on "bloomberg west." he said some interesting stuff about spotify and streaming. coming up in the next hour, the federal reserve kicks off its two-day policy meeting tomorrow. what can we expect from the meeting? we talked to john manley, next. ♪

>> it is 3 p.m. in new york and 7:00 p.m. and hong kong. welcome to bloomberg markets.

from bloomberg world headquarters in new york, i'm vonnie quinn. as investorsate wait for the result of a huge week of central bank meetings, including the fed decision on wednesday. peaking of the fed, what will tomorrow's retail sales reports say about the state of the consumer? economists are predicting a lackluster picture. and there's been a recovery for momentum stocks. the wild swings in tech stocks and are they still overvalued? we are about one hour from the close of trading in stocks have been fluctuating with the s&p the laggard. the smp is higher very slightly today as we have