david: from bloomberg world headquarters, i am david gura. stocks are heading lower in today's trading and are on pace to end the week firmly in the red. the global economy and brexit weighing on the minds of investors. the st. louis fed president admits he worries about a spillover and and about race and is now the most dovish member of the fomc, calling for one rate hike over the next two and a half years. david: utility stocks are soaring. what is its outlook? pseg.k with the ceo of let's go to the markets desk. again in negative territory,

six of the last seven days. saying markets are still a bit nervous about the potential brexit next week. the dow jones is down .3%, the ,asdaq near a three-week four-week low. the s&p 500s down .3%. the s&p 500, one of the few sectors that is up our homebuilders. we just had housing starts data this afternoon showing housing starts are a little unchanged in may, however, permits, indication of future construction, are up and continuing to increase. .hat is helping the markets still, the s&p 500 down .3%, big declines across the board. news is down 1.7% after that regulators in china said the latest iphone's violated

some design patents of a chinese headed, so now that is for its biggest slide in five weeks, dragging down the tech sector with it. health care right now leading the declines. we are seeing this has been one of the weakest sectors this whole year. we are now seeing drug pharmaceutical companies down 2.7%. this is on concerns of not only a brexit, which could impact the sector, but we have next week a senate hearing on drug prices. a lot of uncertainty out there when it comes to the pharmaceutical sector. david: what is supporting this market from an even deeper drop? sherry: we have some bright spots in the market. at 3%,up almost reversing six consecutive days of declines. we are seeing it tear this week we decline in more than two months.

analysts are saying, after oil got hammered in the past accessions, it was bound to see some gains today. not to mention the dollar weakening for the past three days was expected to give it a boost. we have the world's biggest oil service company gaining 1.8%, conoco phillips, 1.4%. we are also seeing some upside in copper, iron. global stocks rebounded not only in europe but also asia. that is helping the metals there. we also had recent news from china that they are trying to cut overcapacity in base metals. iron ore gaining .7%. thank you. let's check in on the first word news with mark crumpton. leaderritish opposition

gary corbyn says parliament will be recalled from recess on money to pay tribute to slain lawmaker joe caulks. davided prime minister cameron for the unusual move and agreed. they appeared side-by-side at the site of the killing and laid flowers in cox's memory. said thatminister where there is hatred, division, and intolerance, we must drive it out of our politics. new details are emerging about the night of the terror attack in orlando, florida. multiple media outlets report omar mateen sent test messages to his wife during the rampage. it is unclear if she knew where he was when she received them. and the reports noor gunman's father have been placed on no-fly list as the investigation continues. in florida, the disney world resort will be adding signs warning of alligators here this comes in the wake of a fatal

attack on a two-year-old boy who had been waiting in shallow waters at the edge of a lagoon at the resort when the animal hold him under. 1200ighters battling a acre wildfire in california are hoping with a win will not pick up and send the blaze roaring through canyons west of santa barbara. about 140 homes and ranges would be at risk if that happens. 800 firefighters and aircraft are battling the steep terrain. so far there is no containment. global news 24 hours a day .powered by our 2400 journalists in more than 150 news bureaus around the world. i'm mark crumpton. back to you. u.s. stocks are retreating, resuming the drum that has send them lower in six of the last seven days. our next guest says the economic recovery is running on fumes. weiss, he is richard oversees $25 billion in assets.

we got the fed's take on the economy this week. how much difference is there between what they see and when you see? >> we are a little less sanguine than the fed. longer term, we are ok, but in and that six months, the markets are screaming and what is to come economically. when you have a situation where bonds are outperforming stocks, the save haven u.s. assets are outperforming international equities and bonds, were the late cycle sectors of the market are outperforming the growth yours, it is a recipe for economic slowdown, if not potentially a dip into recessionary territory. vonnie: isn't everything doing well, isn't that the other side of your point? everything is pretty correlated. so where is it too expensive? >> a number of sectors. stocks are not going up -- are going up but by low single digits. most of the rise in stock prices

has been in the late cycle defensive sectors. were it not for utilities, telecommunications, those sectors are up 20% this year, you would see the broader average is all in negative territory. we would say the expense of sectors are the ones that are procyclical, that are dependent on a growing economy, accelerating growth economy, which is clearly not the case. david: we hear time and again the american consumer is doing well. economists point to the housing market as a bright spot in the u.s. economy. how much can those two things carry the economy going forward? >> no question, the consumer sector is the largest part of the economy and can carry it, but at this point, with no help from the corporate sector, net exports, or the government in terms of monetary or fiscal policy, all the weight of the economy is now on the consumers back. the consumer sector is also decelerating. real disposable income, personal

income expenditures are all moderately expected to grow this year but the major economists are bringing their forecast down to come in some case, under 1%, close to the zero mark. vonnie: if it is a toxic combination, do you park in cash? i noticed you are overweight the u.s. and europe. >> you don't have to necessarily run into a cave and hide and run into cash. some might. if you have not already, you can take a more defensive position within your stock and bond portfolios. balanced accounts are a smart play for retail investors, or stock selection and sector rotation is key. centuryook at american equity fund, we are up 10% this year because it is bedded down in the saver defensive parts. higher credit quality, more defensive income-oriented issues

across the board. that is a relatively safe haven probably through the rest of the year. david: bring up the vix. i wonder how you are dealing with all the volatility. >> in some of our more global allocation for all years we don't necessarily sell stocks in a panic, but when we see some danger in the stock market short-term, we simply gain exposure to the vix index via etf's, or through the futures directly. this is a good, relatively short-term cheap hedge against market corrections. vonnie: profit margins have been getting squeezed to an extent throughout the markets, not in any particular sector, but in europe as well. do you see that trend continuing? unfortunately, we don't see a catalyst for growth acceleration. if you look at the latest earnings season, earnings growth

negative, topline sales growth, which is indicative of lower consumer demand, negative. we don't see it going in the right direction as far as growth acceleration or the corporate sector, here or overseas. it is hard to see a catalyst right now. we may have to wait until after the election to see if there is any hint of fiscal policy stimulus to come down the road. see inse, it is hard to either the consumer or corporate sector. david: we have got about 10 minutes without mentioning the brexit. i wonder in light of that how you are adjusting your portfolio. >> we had been overweight in the u.s. financial markets relative to both europe and the far east, and that has helped us outperform our competitors in that regard. induce orrexit will instability, if they were to leave, which would not necessarily be good for the global economy. that may be the canary in the

coal mine. they would be the first to leave and may cause a cascade, which is what i believe the big fear is. the latest indications we have seen is that it is not something to worry about near-term, so there might be a good , orrtunity to get back into at least increase your european equity exposure in the near future, if that's the case. weiss, seniord portfolio manager at american century investments. thank you for joining. david: coming up, is at the beginning of the end for the fed's. plot? -- dot plot? jim bullard said it is hurting the organization's credibility. ralph izzo stops by. have natural gas prices hit a bottom, and what about the outlook or renewable energy? ♪

david: mizzou bloomberg markets. i'm david gura. it is time for the bloomberg business flash. u.s. prosecutors have abandoned their case against andrew mozilla after a two-year quest to bring a suit against him. the riskyioneer of subprime mortgages which fueled the financial crisis. he denied any wrongdoing and the economy's collapse was at the root of the crisis. vonnie: we now know more about berkshire hathaway's investment in apple. a recent filing provided details on the investment. the company purchased 9.8 million shares.

"finding dorie" has taken in $9.2 million in thursday previews. it surpasses the best previous thursday opening for last year's "minions." this could potentially pass "toy story 3" for pixar's biggest opening. st. louis fed president james bullard announces he was the official who did not put forth an estimate for a long run into strict projection. he spoke earlier on a conference call. >> this mismatch between what we are seeing in what we are doing is arguably causing distortions and global market financial pricing, causing unnecessary confusion over future event policy, and eroding credibility of the fomc. vonnie: joining us from watching

somebody who covers the federal reserve. this is quite a departure from the traditional official. explain my this is so important. >> james bullard dropped his long-run projections. a is still putting out projection for the next two and a half years, but what he is not doing is giving us an idea of how the economy shapes up after that. that is significant because the fed uses those long run. to give people an idea of where they think the economy will converge back toward over the longer run. it is an idea of what is a neutral setting for the economy, particularly when it comes to the economy greats. the fact that he decided not to give us that mean that he thinks it is more confusing than helpful to tell us where we are headed in the long run. is thatonale for that he really thinks they are not so clear. you cannot really make a clear-cut projection that far out, a lot of uncertainty, and

maybe more confusing than helpful. david: this is something we scrutinize when they come out. what is the history of this kind of forecasting, the dot plot, how did it come about, our fed officials relying on it more than they have in the past? the dot plot originated in 2012 under chairman ben bernanke . it was only to communicate more clearly with the public what the interest-rate projections are. it shows pretty clearly how the committee voted, what people are projecting for the interest rates going forward. ithink the fed has relied on in very capacity is. primarily to give an idea of where we are headed in the future. sometimes they emphasize it, sometimes they deemphasize it when it is not showing the message that janet yellen wants to communicate. it has been an important communication tool for them, so this was jim bullard coming out and saying i don't think the

long run portion of it is useful any longer. vonnie: he has a problem forecasting beyond two and a half years. talk to us about how he is still data dependent. in the next change month or two if we get a different jobs report. one thing that was interesting about his forecast, the forecast that he put forth for the next two and a half years is one rate increase this year, and then will stay stable in 2017 and 18. he says that is based on a projection that says 4.7% is basically where we are on unemployment, 2% on inflation, and we will not see productivity pick up. if things change, if we see any increase in productivity, if something happens with unemployment, he could change that projection. while he is deemphasizing the longer portion of the. plot, he is still saying, i am data dependent. i can change if the scenario inside the economy also changes. when theym reminded

did that. sense that james bullard is advocating for others on the committee to follow suit, that he is the evangelizing, saying that this is outdated and needs to go away? >> any time an official bricks from the consensus view, it sends a signal that they think something needs to change. the have been on the f onc is that you go with something close to consensus. i think the message is that we are confusing markets by forecasting this long run that we never seem to do, that we always end up revising down. grain of salt here is that james be moretends to outspoken and a little more on the fringes of the committee. he does not necessarily represent the center view. janet yellen and james bullard's

thinking can be completely different. theie: communicating with market, he also wants a press conference at every meeting so there is no confusion. we have liveeek, coverage as janet yellen testifies in front of congress. that starts on tuesday at 10:00 eastern time. vonnie: now let's go to the markets desk. sherry: we have some corporate news impacting individual stocks. let's begin with two stocks that have seen an impact because of earnings. 2.9%, sharesg ,ising the most in three months after their sales beat analyst estimates. cloud-based products gaining some traction with corporate clients. gun stocks are also up today. smith & wesson predicting demand will hold strong despite the florida mass shooting. gun stocks hitting today, smith & wesson up 8%. we are also seeing merger

speculation out there. biomarin pharmaceutical, up 3.4%. we are hearing reports that sanofi has begun to look at them. they were pursuing another company but reports show that they are grown frustrated with that pursuit. also look at some corporate news that came out yesterday after the markets closed. gating --arden gaining 49% because revlon is shareying and paying $14 for elizabeth arden. million, that$870 is what the deal is worth. elizabeth arden and revlon gaining on that. lots of corporate news impacting the markets. ahead, cuba gets its first american own factory. what will it make? ♪

david: cuba is getting its first american own factory and it will be making something to help modernize the island nation, track thursday. ian frisch joins us now to talk about it. introduced us to the guys behind this. what is the need they see in cuba? >> the agricultural industry in cuba is outdated. most or all of their tractors are from the former soviet union. they cannot update their tractors, cannot fix them. these guys thought, the perfect business would be to build a low-tech tractor. vonnie: why didn't john do decide to do this? >> the cuban people want to be involved in the process. they do not want to rely on an import system. the u.s. government as well when the embargo was lifted, want to be approved -- involved in

approving these businesses. these guys applied and said we want to help you build it. said, how about we set up a manufacturing facility, get cuban workers come and get moving on the ground. david: they have plans to develop this factory on a harbor in cuba. what are the hurdles that still remain for them to do this? >> they were given permission to get the process rolling officially this year. now, in his red tape, paperwork, lots of back and forth. they have to present every piece to the cuban government, where they are sourcing materials from, how often they will ship, how big the facility is, etc.. a lot of it is planning and fusion. as they go, the main hurdle will be finding money for the cuban people to buy this, whether the government will front the bill and give farmers tractors, or

the money will come from elsewhere. that seems to be the biggest hurdle at the moment. you went to a pitch meeting. were investors receptive? >> they were asking the same question, who is going to pay for this. no one was questioning the integrity of the idea. they knew this was an idea for the people, which is why it was approved as being the first. when i went down to alabama, every couple of months, they go and source materials. when i was down there, they were giving their first official pitch meeting. great story on cuba, thank you. ♪ get ready for the rio olympic games

by switching to xfinity x1. show me gymnastics. x1 lets you search by sport, watch nbc's highlights and catch every live event on your tv with nbc sports live extra. i'm getting ready. are you?

x1 will change the way you experience nbcuniversal's coverage of the rio olympic games. call or go online today to switch to x1. david: this is bloomberg markets. vonnie: let's start with the headlines.

mark crumpton is in the newsroom. like you to be a showdown next week in capitol hill overcome control. of the orlando, florida massacre, senate democrats are pushing republicans to allow a vote on the proposal that the government be allowed to prevent anyone on a terrorist watch list from buying a gun. republicans disagree and say a court should have two sign up on a no buy order. today, nine parishioners were murdered in the basement of a south carolina church. observances are underway around the region. meanwhile, the attorney for the shooting suspect says he has no plans to ask to move the federal trial from the city. doctors without borders says it will no longer seek funding from the european union to protest their migrant deal with turkey. last year, the group of $52 million or 8% of its budget, from the eu.

russian track and field athletes will not be able to compete in the rio athletics after a doping related ban was upheld today by the international association of athletics iterations. the russian sports ministry called the decision unprecedented, but iaaf president told reporters in vienna the evidence is clear. >> the statement we have made today is a very clear indication that, over the long haul, our responsibility is to protect clean athletes. mark: the russian ministry says it is is appointed with the ruling. the international olympic, the final authority of the games, is set to discuss the decision next week. global news 24 hours a day powered by our 2400 journalists in more than 150 news bureaus around the world. i'm mark crumpton. back to you. david: commodity markets are closing in new york. take a look at today's biggest movers starting with oil.

as we haveer losses wti settling at 48.02. baker hughes out with its latest recount, the third straight advance. petersburg,y in st. somebody said that they see oil stabilizing around $50 this year. theou can begin to see by end of the year, we will get back into a supply and demand balance on a daily basis. that will firm up the volatility somewhat. then we still have a lot of stocks that we need to work up in the next few years. vonnie: here is an interesting chart on my bloomberg. gold jumping the most relative to copper the most since 2009. the price of copper, often considered an economic bellwether, slumped on worries that the coming brexit boat and low u.s. interest rates. natural gas trading

higher. analysts expect the price to rise as the hotter weather helps to erode a supply glut. the head of new jersey's largest utility said today that natural gas prices have bottomed out. ralph izzo is calling for gas prices around $2.50. i sat down with him and asked him how big of a roll natural gas will play going forward. run theild a portfolio premise that environmental regulation will become increasingly demanding of clean sources of energy. right now, our biggest investments are in natural gas. the prior two years it was expanding our nuclear plants. time, second-tier level of investment, but over a billion dollars in solar. between expanding nuclear, building new natural gas and solar, we are anticipating the desire of customers and

policymakers to see clean energy. andd: how will nuclear solar be able to compete with natural gas being so cheap right now? >> right now, it cannot compete from the point of new nuclear. from the point of view of existing nuclear, you are running on short run operational cost. build new going to natural gas, you want to recover long-run marginal cost. short run marginal cost for nuclear is lower than long run marginal cost for natural gas. solar cannot compete. in the public support. david: i know you propose a zero emission credit or power in new jersey. have people been receptive to the idea? >> we have proposed it, but i would say we have proposed it very casually in the form, that is one of many things you can do different. we need to begin a discussion

around the disconnect between the environmental benefits of nuclear and price it receives, and environmental benefits of renewals and the price they receive. as we grow renewables, which we are supportive of, as we continue to support renewables, we cannot let that become an economic challenge and push nuclear to the precipice, as we have seen in a few states with half a dozen plants and possibly 10 to 15 more coming. david: when you talk to the energy secretary, has he been receptive to what you have had said? >> yes, he has been. he was widely quoted in a recent conference. to see aprefer national solution, we think there are national solutions that range from a carbon tax to cap and trade to a credit tax for nuclear, and other messes -- methods by which you can get the environmental price that it deserves.

failing that, we will look at the state level. absent a federal program, there are state programs with renewable energy credits, net metering, that are creating the type of externality benefit, that mayor renewables be can be mirrored in nuclear. it's important to realize it is not nuclear instead of renewables. zero are going to grow emission sources of electricity, we ought to make sure we are getting some operable composition, so we can stay in the market. when you look ahead of a quarter-century, can the existing utility model stay in place or does it have to change? >> i think there will be changes, but what will still be in place is a vibrant and reliable grid. you see that in so many different parts of the world that we live in now. as a kid, my pride and joy was owning a bicycle. now you share bicycles. apartments, airbnb. we share computer storage space in the cloud.

as we move toward more localized and distributed sources of electricity, which we will, you will see the grid becomes ever more important in connecting those to each other. david: i look at the money you are spending on capital yourditures, make facilities safe in the event of storm that could happen in the future. how big of a drag is that on your bottom line? which utilities are regulated, the more capital investment we make, the better our bottom line becomes. it is actually a source of growth. of course, it has to pass the test, something that the customers are willing to pay for. the regulator plays that role for us. nowadays, customers are ever more dependent on electricity and the need for reliability that exceeds any level of what we originally built a system for is what is driving the need for additional investment. david: chairman and ceo of pseg. still ahead, there are

plenty of customers looking for their long-lost shaker of salt in margaritaville. that has turned into a booming business empire for jimmy buffett. the ceo of margaritaville holdings joins us. ♪

david: it is time for the bloomberg business flash. we start with federal regulators closing an investigation of lumber liquidators. the company agree not to continue sales of chinese laminate flooring. the company decided to stop materials after a

report that said it contained high levels of formaldehyde. ford is knocking a week off of the traditional summer shutdown at three suv plants to handle the increased demand. they would use the extra time to make 22,000 suvs at various factories. the company's north american have their schedule changed. mark zuckerberg and facilitate and have taken the first steps of giving away their facebook fortune. they have a start of dedicated to starting and training technology talent in africa. that is your business flash update. buffett'smmy "margaritaville" has become a growing company made up of

hotels, restaurants, merchandise, and more. erik schatzker sat down with the ceo to ask why the jimmy buffett brand is more than just a state of mind. >> business is a lifestyle brand, we like to say whatever your latitude we try to bring margaritaville into your life, whether it be going on a vacation in the physical way to one of our resorts, whether it a having a vacation with beer, shopping for clothing, entertaining at home, we like to bring that lifestyle to you wherever you are. you are already in launching, alcohol, beer, margarita mix, licensing media. that is an awful lot to start off with, and you are continuing to expand? the first margaritaville was

opened up in key west 30 years ago. it continues to expand. we have our own radio station. if you want the weather report from bali and the surf report, we provide that. we do system my sales of about a million dollars, which is growing dramatically right now. it has gotten real critical mass. growing? fast are you >> 20%. our resort business in particular, we just opened up in resort,d, order, they we are doing a project in orlando that is a community with vacation ownership, hotels. that is the fastest-growing part of the business. erik: talk about jimmy buffett. >> one of my favorite topics. erik: why jimmy buffet of all things? we know him as an entertainer. >> why, in terms of somebody

that has been able to bring that world, that lifestyle to so many people? jimmy is an interesting guy. not only is he a successful musician, he is a writer. one of the statistics that i love that people are not aware of, there are six authors that have been number one in fiction and nonfiction. jimmy is one of them. so there is more to jimmy buffett then margaritaville. >> there sure is. take on life to me is the attitude at the core of margaritaville, and it is a very unique way of looking at the world. work hard, enjoy yourself, be responsible. about yourme more ambitions, how big can this company be? >> i think this could easily be three times the size of what we are doing in five years at the rate we are growing. erik: a lifestyle is fun, for

sure, but is it profitable? >> very profitable. one of the things that makes it profitable is because everybody is having so much fun. erik: i am curious. one has to be curious, whether you have an outside investor, are they happy just sleeping their share of profits, do they ultimately want to monetize? know how that world works, they have to realize upon their investments, but there are so minute different ways you can do that that don't necessarily impact the corporate structure of the company. .e are having fun doing it what is exciting is how much room there is ahead of us. one of the elements of the resort business is it is very capital intensive. we have now hit an inflection point where that capital is available to us. an interesting statistic, if you go back and ahead 18 months, a

billion and a half dollars is going into the ground with our name on it. is fun, to be able to tackle projects of that size, i anticipate we will be in the all-inclusive business in the islands, which is logical. it is kind of like we're just getting started. holdingsrgaritaville ceo with erik schatzker. vonnie: let's go to the markets desk. shery ahn is with us. sherry: we are looking at u.s. stocks which have not been doing great. now heading for a second weekly decline, the worst performer week.the the s&p headed down for a straight week, down 1%. of coarse, we are seeing concerns over a possible brexit next week, not to mention concerns over what the fed will do going forward. what is leading the losses?

technology shares. apple, for example, is now headed for its biggest slide in five weeks, done 1.7%. of course, we had news that china is now saying the latest iphones are violating a design patent from a chinese company. some analysts also thinking that they are going to see fewer shipments of iphones in the next reduce, in order to excess inventory ahead of the iphone 7 launch. we are also looking at linear technology. this company makes electric components for vehicles. cleveland research coming out saying their key market driver, sales driver, which is china, growth there may be moderating. they are down 3%. parentlook at google's company out of it. group --said you to

youtube growth may be slowing, which is of course owned by google, falling 2.6%, the most since april. up, we areng sticking with tech and the race to dominate the cloud. oracle shares are rising after positive earnings. secondrce was like company trying to buy linked in. the story isga in up next. ♪

david: mrs. bloomberg markets. tournament isgolf underway and game seven of the nba finals is sunday night. ted leonsis, the owner of the washington wizards and the washington capitals spoke about whether the team will be putting a team in los angeles. >> if the leeward to expand, las vegas is a fast-growing,

important city, a wealthy city. it is a relatively new city, so the infrastructure, the fiber that has been laid there, the ability to do lots of interesting things from a technical standpoint, the ability to conduct and convenient events, the amount of buildings that are going up there, jim just announced he will be doing a musical event you there. there is a new building that mgm just put up. the league's look at las vegas very differently than just a casino capital. it is a community where lots of people and families live and work. there should be professional sports in las vegas. >> knew they look at it differently from, for example, quebec city? because it is more of a mature city, does the weakness of the canadian dollar factor in at all? >> eye and not privy to what is

happening with quebec city and the league. what really goes into picking and expansion team on any leak is the ability for that team to stand on its own and be successful over the long-term. what is the demography of that community, what kind of corporate support will they get, what is the media market like, what kind of support will a media partner give, and is a growing? las vegas scores very high in a lot of those points. if a week were to decide to go into las vegas, that would be the major drivers. david: former aol executive ted leonsis. vonnie: oracle shares are getting a nice boost after reporting earnings. littlepany sales were changed from a year ago but cloud revenue was up 49%.

cory johnson joins us from san francisco. why are they forecasting even faster growth and its cloud business next year? the outlook looks great. cory: it was an interesting quarter to them. as their business is getting bigger, it is growing faster, which is not what you would expect. shares are generally in a down market, not a huge move, but we are seeing a change at oracle. ,his cloud services business while a tiny part of revenues, less than 10%, is really growing fast. if you break out the cloud revenues, $290 million just in the fiscal fourth quarter alone, but the growth rate is sizable. an accelerating. the company is showing us the growth rate was 57% in the quarter and gutting toward 80% for the next quarter. up a strongng

number, suggesting it will get even better, that the adoption of cloud software from oracle is happening fast. david: larry ellison saying this could be a $10 billion business. i think of him saying that, mark benioff of salesforce. these are two guys are like to talk big about the cloud space. they like to talk big about anything. they see opportunity in this. $10 billion in revenue would be something. $690 million in the quarter puts them quite away from that. but with these growth rates, it is hard to imagine where they can get to. interview withy mark benioff, and this was a big part of his hope, particularly around erp. next five or 10 years, you will see perhaps the majority of i.t. shift to the cloud. so for us, we see it as an

opportunity. the fact that we have such a , it will be important to make those two worlds work together. cory: what he is talking about webe is the amazon services-like business where they are doing hosting of the software in data centers around the world, delivering the cloud in a physical way for companies hosting their oracle sword -- servers. not, but it is it is a change in the way that software is being done. vonnie: can oracle continue to grow at those kinds of speeds in the cloud with its current infrastructure, or might it need more acquisitions? >> i would have said absolutely not, but look at this growth rate. some of it is your by acquisition but the growth rate is really an opting to see at this point. the company growing ease in as it is getting larger, growing at a faster pace. david: thank you, cory johnson.

an amazing report on bloomberg today, microsoft pairing up with linkedin. a great story on the terminal. thanks to cory johnson. you can see more on "bloomberg west." david: we are watching stocks parent losses. can they come back and close in the green? ♪

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it's a p.m. in london and 3:00 a.m. in hong kong. >> welcome to bloomberg markets.

♪ >> from bloomberg's world .eadquarters, i am david gura funny bank and i'm vonnie quinn. : and i am vonnie quinn. the biggest u.s. airlines got burned on oil prices. they missed their chance to lock in the cheapest energy costs in years. david: regaining control of viacom. who is running the company? vonnie: we are one hour to the close of trading. >> we're talking about the s&p of 1%.t losing down 2/10 the worst performer has seen the nasdaq 8/10