>> stories out of san francisco, detroit in beijing. we are pulling away from those record levels. companies new features like a dual camera and the pressure sensing home button. donald trump took the stage in detroit this afternoon to outline his economic policies and tear down hillary clinton. have analysis. one hour from the close of trading so let's head to the

market desk. just a tad as we head into the last hour. they just about doubled their losses from earlier. below the 20 day average. not a lot of activity. this is a theme we have been talking about very frequently. take a look at the bloomberg. this shows the percentage daily move in the s&p 500 and the 21st straight day we have not had a movement of at least 1%. i hoped we would see another big move but we do not quite get to 1%. not though overall we are

seeing a lot of direction, we're certainly seeing some big moves in individual stocks. one of them is bid set, the auction house. it is been working on increasing the commission on some of the lower-priced items. to betrategy appears helping to some degree. and we have deals that have been going on here that we have been watching as well. holding.firm that price $64 a share. more than double the close on friday. and we see that move in the stocks because it is a very short stock going into this. about 40% was sold short. itselfstler is selling from british columbia, in

colorado there. $1.75 billion.n >> julie hyman at the markets desk. mark: focusing on what his advisers feel is his strength, the economy. that unlike he said hillary clinton's policies, his proposals will be forward-looking and include job creation and corporate tax reform. mr. trump: under my plan, no american company will pay more than 15% of their business income in taxes. in other words, we are reducing

the is from 35% 15%. hillary clinton will address the economy in a speech on thursday. dissatisfied republicans have an alternative to donald trump. conservative evan but: is a cia veteran -- mcmullen is a cia veteran and is, i humbly offer myself as a leader that give millions of disaffected americans a conservative choice for president. far afters so computer systems crash worldwide. widespread delays and cancellations were ongoing. arrived jeweled

talks with the presidents of azerbaijan and iran. the girl from ipanema has won a gold medal in music streaming spotifyg the ceremony says the song with stringed more than 45,000 times a day after the olympics kicked off friday in rio de janeiro. more than 120 countries, i'm mark crumpton. back to you.

the 500 now losing .2%. >> joining us now is a chief investment strategist at tiaa global asset management which oversees $889 billion in assets. the 14th time this year on friday. trading at a tight range, how confident that they were able to break out of that range and be able to make a new record? >> it is possible when you look at what been driving it. you've seen two months with robust payroll growth and in the manufacturing

and nonmanufacturing index. we just came out of this quarter now. >> right in the next quarter or thatwe had a story analysts just turned negative in terms of their forecast. >> they reflect back into positive territory. and earnings recession where there would not otherwise have been one. to be the case that markets are looking for earnings growth. that is the real risk between now and then for sure. >> you talked about energy. what we have seen the last few

times. the correction of more than 20%, oil already in the bear market again, how big of an impact will this have now that we have this and oil isence closely correlated? >> the energy sector has been underperforming. you haven't seen the rest of the market follow. the other risks associated at that time, uncertainty about chinese economic growth. those are absent this time around. affecting theis energy story but not to the extent it was and it is not having the pessimism in the market.

>> in the last two times that oil plunged? , thest august, for sure last two times we had the market corrections happen. what are your return assumptions? to be cautious about u.s. equities from here. we're certainly at a point that, to your questions, it is how quickly will we see earnings revert back into positive territory. i think that will be the s&p 500 return target. the next year, it seems pretty readable. the returns look somewhat more attractive. >> and if we are expecting earnings to fall, how can you justify the valuations right now?

>> it helps to go sector by sector. a really good quarter from and earnings standpoint. that has the best quarter today. we look at where the individual opportunities look. i think we are continuing to improve. >> where are you looking at opportunities? >> in both developed and emerging categories. one of the reasons they outperform is because brazil alone has taken up about 60%.

you look at the price you pay. are there more risks? i think the answer is unequivocally yes. the answer is yes. soemerging markets are unique. what are the stories you like? i think it is expected and helps to have these things happen. they have gotten inflation largely under control. it's the key to determining the emerging markets falling in and out of favor. also one that has a lot of upside. >> it is attractive for everyone these days. strategistnvestment

at global asset management. the that paid off big in 2015. what the play now in a crowd of currencies? and after slumping sales, and is closer report on what is expected next month unveiling. >> the time is 3:12 eastern in new york. the markets are all in negative territory. the s&p down .2% after closing at a record for the 14th time last week for the year. this is bloomberg. ♪

>> this is bloomberg markets. the biggest some of stories in the news right now. if final goodbye to credit derivatives. $195 million last month to wrap the last contract against losses on bonds. he calls them weapons of mass destruction back in 2003. brookshire shareholders should focus on earnings. goldman sachs and credit suisse are teaming up on a 9.9% stake ceo says the trio paid $115

million to acquire the stake and should be involved in an ipo reportedly in the pipeline. >> for seven years, the hedge fund manager one big predicting the crisis has been betting that china's currency will collapse. moving in the opposite direction, strengthening against the dollar. they begin to weaken. china shocked the world by devaluing its currency. it brings us to today, taking another stab. they headed down to fort worth, texas.

start with joel. position of contrarian , conviction or of session? >> it is a little bit of both. they might have a better perspective on that. big massive debt they did not expect anything could happen. >> tell us a little bit about the story because you can find it. it's very important. they are a lot weaker now. credit to the bloomberg market team. it is one thing to that the

reporting in this story, there will be this huge decline in chinese currency. and he was correct. chart that i want to show you guys. the crisis, the currency reserves have stabilized. it shows there's been less intervention going on from china. >> he actually exhausted his fund before that devaluation happened. this way that he had. it is all from nothing.

wasn't even watching the markets. even if he had that money in the markets -- >> he would have made a killing right there. it is more than that tiny evaluation. that one off was the biggest one since 1994. and he's saying this will be an epic evaluation. >> where is he looking for that? >> if we pull that backup. >> he will move in the opposite direction.

>> and the yuan is key to talk about the real effective exchange rate. >> that is what is interesting. even after what happened with briggs it at the end of june. the gap between the offshore currency markets actually shrank . it means that the unc must to be fairly valued at this point. that's of the chinese markets are saying. china has a war chest. i don't know how much they are in texas. >> will keep watching the story and those levels.

of bloomberg for joining us. shares are up for the second day in a row. we will cover the trade in today's options.

♪ >> welcome back, it is time for options insight with julie hyman. holdings, ihim km have been talking all day long about the tight range that we have seen for stocks. not a lot of movement overall. about theen talking prediction for corporate profits that continue to decline. that is something i know the economist has been looking at.

you have been looking at that relationship between that and volatility. term, the u.s.rt equity volatility. the corporate profit cycle. late in economic expansion. that decline last for several years. if not a little bit more. profits.eed for >> measuring nonfinancial corporation? >> nonfinancial profits.

there are distortions out there that would be a little bit lower. the largest declines over a 10 sinceriod have all been 2011. think about the relationship to financial markets. we think that there are distortions out there. don't fall asleep on me. >> quickly get tear trade. it may not be with the recent action would indicate. >> a couple things to think

about. gross merchandise volume, increased 50. trades 0.7ation, it times. a huge valuation discrepancy, the stock has acted very poorly. we view it as a stock that is biding its time until it makes a move upward. >> got to leave it there. you're watching bloomberg markets and we will talking about apple. this is bloomberg. ♪

>> from bloomberg world headquarters, i am scarlet fu.

let's begin with a check of the headlines this afternoon. today showingout democratic presidential nominee hillary clinton backed by 46% of residents -- registered voters. donald trump has 34%. the previous survey was taken before the party convention had clinton leading 43% to 40%. the survey had gary johnson at 7% and joel stein at 2%. misses clinton is leading in the polls in the state of georgia. she is a 51% chance of winning the state compared to donald trump's 48% according to the 538 election forecast which sites 12 surveys in the state. georgia hasn't voted for a democrat since bill clinton in 1992. the taliban faction has claimed responsibility for bombing at a government run hospital that has left 70 people dead. in anr 100 were wounded

attack that targeted lawyers that have gone to the hospital to mourn a prominent attorney killed earlier in the day. the u.s. women's basketball team beat spain 103 to 63. the americans are unbeaten in two games. swimmer michael phelps has begun his individual event in the 200 meter butterfly. easily advancing to the semifinals. the u.s. has 12 metals so far. medals so far. according to a gallup survey, that is an increase of 50% from three years ago. last year, the figure was 11%. five states are voting to legalize it for recreational use. global news powered by more than 2600 and analyst in more than

120 countries. this is bloomberg. back to you. nasdaq whereo the abigail doolittle is standing by. on friday, itally took the nasdaq to a record closing high today. down just slightly, .2% right now. is, isstion around that it possible for a move higher or from consolidation? are we looking at a brief pause before a move down? the answer will rest with the includingig sector tech and bio discretionary. we do have the nasdaq biotech index down more than 1% on pace for the worst drop in about 15 days. and nasdaq sector

overall. as for the biotech sector, it has been on fire. it comes in the context of what has been a pretty brutal fair market. it is still down more than 25% from the record. he thinks biotech is not out of the woods yet. drug pricing concerns. analysis, thisal is a new market in biotech. we take a look at the 200 day moving average.

tells usullish and it that buyers are becoming much more interested over the longer term moving average. it is downward slightly, so that is perhaps a little bit bearish. the last time we had the moving average, it moved back down. >> i will say that you love the biotech story, abigail. there are still 1000 stocks gaining on the nasdaq. abigail: the biggest number waiting for the nasdaq is apple. helping a teamt earlier today that apple is a top underweight among institutional investors.

investorstional become reinvigorated or excited, the idea that apple could return , they are on street models. if that happens, you could see institutional investors bring that weight to a neutral or a positive. there is a big winner for you today. staying on the iphone 6 successor, it will include a dual camera system. joining us is bloomberg tech company reporter mark gurman that has exclusive new iphone details. tell us what you have reported today. out andll be coming

look a bit like the iphone 6 s. new home button that response to pressure from your finger as you click it. obviously, a faster processor. it is much sharper and in lowlight scenarios. i have been foaming at the mouth to get the new iphone. so excited until i read this story and now i'm thinking, it's going to look the same, my camera works fine. i'm not going to buy a big one anyway. and there will not be a headphone jack which i like because my bluetooth headphones continually run out of batteries. aren't they shooting themselves in the foot i getting away from

this upgrade cycle? >> i don't think so. a big new iphone with great new features and an alleged display that bloomberg has reported on would be hitting market in september. apple had nothing in september this year and waited until the technology was ready. i think the iphone s was also a big deal for apple. --on't think this new phone it is on different trajectories.

will exist as is for the next year or two. i think the industry as a whole has become the stagnate -- begun to stagnate. they a should in the big multitouch displays. apple is looking into ole db.

lead -- oled. scarlet: with these changes, do we know anything about apple's suppliers? will that change at all? >> apple tries to do it for supply -- tries to diversify the supply chain. is going tooxconn be the main driver of the iphone supply chain in terms of mass production at the end. matt: will this be called the iphone seven or will it be like the six r or something? >> calling it the iphone seven might be a stretch given that names are usually assigned to break from new designs and this will not fit the build for that.

if theynot be surprised called it from a marketing standpoint the iphone seven but i don't think it will because of the design. matt: i've seen speculation there could be a new watch. >> it sort of way and the last holiday season. they pay between $850,000 and $100,000 for.

-- they pay between $850 and $1000 for. scarlet: are you going to get the apple watch? matt: i haven't thought so but i just saw that it can show you live football schoolers. -- scores. that might be the killer app for me. scarlet: blair efron call this year healthy. the cofounder of the partners, next. ♪

scarlet: this is bloomberg markets. it is time for the bloomberg

business flash, take a look at the business stories in the news right now. walmart is ramping up to fight amazon. they have agreed to buy jet.com, the world's biggest retailer paying $3.3 billion. the founder will lead the online efforts. the telecom industry has filed a block the sales of $1 billion of wireless spectrum. toervention is necessary protect targets during the licensing process. the move deprives mobile carriers at a capacity to increase high-speed broadband service that they had pledged to do for years. telecom has until august 26 to prevent the block. oracle may have been hit by a massive cyber breach that compromised usernames and passwords. a notorious gang of russian hackers also cracked a portal for companies using the point-of-sale credit card payment systems. it detected malicious code in

microsystem microsystem and isg them to reset passwords. locking down exclusive rights to all eight harry potter films and the breath of j.k. rowling's wizard in world. the deal is valued at $250 million and could be the largest acquisition in the company's history. they get to use the harry potter material. and that is your business update. blair efron is one of the biggest you makers on wall street. he has advised including the gillette purchase and $19 billion. offersbal m&a perspective on pursuing deals.

>> do i need to do something to either stabilize my portfolio or enhance my port taleo offensively within my sector? growth does factor in importantly. own you can't grow your business is much as you want them to, organic week, doing something inorganic is a way to deviled growth. certainly through synergy. he or she can take the business and is something more with it. , overallimportant time global gdp, and be wrong and be

faced with headwinds. we start off in a very difficult position. it is a six-month close. beyond the window. likewill that asset look under various macro scenarios? and what do you do if you hit an air pocket? >> how does m&a look for the rest of the year? it has slowed down from 2015. the $10 billion deal seems to have gone away. 2016 is fine and looks like 2014. down 20% from last year which was a record. plus trillion --

>> $3.5 trillion. that said, m&a is active enough. every week you see if you transactions announced of size. it shows a pretty healthy market. this is more of a market that has longevity to it. last year was an anomaly. you don't have a year where you have 50 transactions over $10 billion. and the endeen now of the year, slower. you start to have a better sense of what that environment looks like. down, is that because people are concerned about the antitrust environment?

the cigna deals going on? >> all of the above, and more. the idea that you're going to recommend a huge transaction which really bets the company, and not have enough certainty as to when it will close or how it will close. it has impacts. the deals that are not getting becausedollar volumes, we did so much, the actual number looked ready large. that is a very big time of exposure to live through uncertainty and still be able to

maintain the base business. i would say valuations are high. that you are routinely pay 16 times and asset really means that you better have really nice growth to it. and return criteria that for will havenies difficulty with shareholders. and i would say the finance markets have been so good for so long. it's pretty good, you've done it. >> bloomberg managing editor with global m&a. scarlet: total peer-to-peer lending you called one quarter of profit at jpmorgan. this market could reach $290

billion worldwide. this is bloomberg. ♪

scarlet: this is bloomberg markets. it we will be expecting results from news corp. and lending club among other. let's begin with news corp. because you have volatility and advertising turmoil taking a huge turmoil. it is very telling because the revenue comes from newspapers, book publishing, digital real estate. it is 4% on average over the past five quarters. this is after they spun off when he first century fox. fox.st century

in 2005, advertising in u.s. newspapers have plunged to $14 billion in 2015. losing share to digital media will continue to go. estimateshere are that newspaper advertising could only taken $5 billion. matt: do you still read paper newspapers? joe: this weekend i read the new york times. scarlet: i started to get the wall street journal online's obstruction and i got the actual paper. it's a way for them to ensure they have actual circulation. joe: advertisers like the print subscribers. matt: i like the print version but i'm too lazy to get it. maybe i will go to scarlet's house and pick one up. i will be able to afford that if i invest with carlos, a

miami-based investor for andorra's biggest bank. and he has something of a strong track record. if you've invested with him, you would've made 34% return. an investment that can make you 1900% of your initial investment. i have a chart of it and you can access on the 2 -- bloomberg terminal. in a construction company in brazil, oas. they were trading at one penny on the dollar. but this company in the midst of a bankruptcy. 24% stake in an airport operator that is worth about $1 billion. you can make about 20% on the dollar which would be a tremendous return. invest 18 million and you will get back $360 million.

>> lending club earnings after , online lending operation estimate for revenue expected to come down 100 million for the quarter. that maybe there is still a bright future for this industry and people expect that this idea of lending is not ideal. online lending is not going away anytime's dude. the hope is -- anytime soon. scarlet: did his have to get the next couple quarters. what did you miss and the market closes next. the dow off by 21 points. the s&p losing three points. ♪

>> where moments away from the closing bell. ♪

>> stocks dropping slightly from last week's high. the question is, "what'd you miss?" showse fed model that there maybe false signals. joe: plus the indian prime minister gets his biggest win yet. why the national goods and services tax comes at just the right time. can they offset subscriber losses that espn? we begin with our market minute. slightly lower, seven of the 10 major industry groups declining with health care the notable mover is oil.