mark: i'm mark crumpton with bloomberg's first word news. the new york city fire department says the pilot of a helicopter that crashed into a building in midtown manhattan this afternoon is dead. what is being described as a crash landing on the roof of 787 7th avenue at 51st street occurred around 2:00 p.m. local time. it does not appear that anyone else was on board the helicopter. there are no reports of injuries in the building, which houses the offices of bnp paribas. new york governor andrew cuomo told reporters that a fire broke out on the roof and that the blaze was under control. a fire department spokesperson said the crash was an accident .

the white house counsel from president richard nixon's administration says he sees parallels between the watergate investigation and special counsel robert mueller's pressure probe. at adean testified today house judiciary committee on robert mueller's report. house republicans contended the molar report was thorough. >> i think this committee does have a role in it is adding -- that the the special counsel could not, and that is public education. this report has not been widely read in the united states or congress from some of my conversations, but i think it is a very important function that the committee is serving by bringing these matters to public attention. mark: earlier today, president trump tweeted that dean was a "disgraced former white house counsel." jerrold nadler says the justice department will turn over some information the panel had

subpoenaed related to the mueller probe. sought torr has limit congressional access to redacted portions of the report as well as the underlying evidence. the house is scheduled to vote tomorrow on a resolution authorizing chairman nadler's committee to initiate civil legal action against barr for his refusal to turn over certain materials. pg&e has restored power to more than 20,000 customers in northern california. this after the utility had shut up over the weekend to guard against wildfires. officials say about 700 firefighters are still battling the wildfire that erupted saturday afternoon a rural county. strong winds and hot temperatures have caused the blaze to spread across the areas brush covered hills. -- area's brush covered hills. global news 24 hours a day on air and at tictoc on twitter powered by more than 2700 journalists and analysts in over 120 countries. i'm mark crumpton. this is bloomberg.

♪ scarlet: from bloomberg world headquarters in new york, this is "bloomberg markets: the close." i'm scarlet fu. caroline: i'm caroline hyde. we are about 30 minutes from the end of the trading day. once again, a fifth day of gains. the technology sector is the upper former. nasdaq currently up 1.3%. keyresting, one of the laggards on the benchmarks is a tech stock, the worst performer in the s&p 500, salesforce. but we know why. flashing that cash, $50 billion of it. seeing the are dollar strengthened versus the chinese yen. all eyes turn to what will happen between the u.s. and china before the g20 meeting now

that trump has removed the threat of mexican tariffs for now. caroline: it seems as though the onshore falling. meanwhile, the mexican peso has been rallying on the relief that the tariffs are not coming their way anytime soon. scarlet: we have emerging markets overall gaining. this comes back to the fact that there is relief that the u.s. is not imposing tariffs on mexican imports. this is the 10th gain in 11 days. quite the streak they have had over this period. treasuries falling. the prices rallying hard since late april. london, the day that the tory leadership contest to become the latest leader of the conservative party leads off -- kicks off in earnest. the manufacturing data in the u.k. is weak.

it fell the most in almost 17 years, dragging down the pound. scarlet: pretty ugly data. calls,et to our top which look at some of the movers on the back of analyst recommendations. first up, credit suisse remaining with its rating on raytheon. deal isysts saying that achieving size and diversification but with modest economic benefits. shares up almost 1%. next, amd hitting a 13 year high. bank of america raising its price target 40 from 35 while keeping the by rating. -- buy rating. the analyst sees solid 2020 numbers. amd almost up 3%. from updated to buy neutral with a 238 price target. demand out of china will likely be stronger than most anticipate with recent deliveries indicating a healthy initial ramp up. tesla up 4%.

caroline: some of our top calls. i also want to bring in one that has ever i today, alkaline. it has been around for decades but exploded the last couple years from celebrity endorsements, social media, and ever-increasing interest in the latest wellness trend. here with more on this story is the bloomberg beverage reporter. you have been reporting on how big the growth has been in alkaline water. talk to us about the numbers. >> as far as food and beverage, you look around different categories i the explosive growth here. sales almost doubling over the last year. it is fascinating to us because it has been around for a very long time but now is moving out of the natural food stores and into the mainstream, walmart and kroger. it is something people are gravitating to as they search for so-called wellness. scarlet: 78.2 percent sales growth over the last couple of

years. meantime from aqua fina and dasani not doing so well. >> those are mainstream bottled water brands. the issues in flint and safety concerns have pushed it. there are issues with plastic and people being concerned with plastic. that has not hit water yet. are down but premium waters offering benefits are up. it is not enough to quench your thirst anymore. has to offer you something. scarlet: has to make you well. caroline: what makes you well in alkaline water? >> a lot of people think this is basically just marketing and people are paying up for nothing. the argument is there is a higher ph level that can combat acid reflux. that it works in concert with your body 's natural ph levels.

the idea that it combats the acid in the body, there are some high-profile people that have endorsed this. tom brady, gwyneth paltrow, p diddy, mark wahlberg. celebrities have driven the trend. scarlet: dr. oz as well pushing the idea of alkaline water. cannabis. we are looking at shares jumping today. taking control of its biggest shareholder, privateer holdings. does this change what it does? >> it does not seem that way at all. privateer is a private equity fund, one of the first private equity funds dedicated to cannabis. it is backed by peter thiel, who people know well. they are kind of one in the same. the three founders, one of them is the ceo of tilray. they own 70% of the shares. one of the most prominent pot companies out there. it is a question of when the lockups expire, are these guys going to get rich?

the shares were north of $200 at one point. the three founders were billionaires. there is a question of, are they going to cash out? it hangs like a cloud over the company. the privateer guys are not going to flood this year is out there so that is why shares are up today. caroline, if you look at tilray overall, the stock is below $44. yes, doing very well. whether and here is how these guys are going to cash out at some point. i look at this and wonder to what extent this interest questions and sets a model for some of the other cannabis companies. >> tilray just came out today and said they will not be profitable until 2020. revenue is growing. a lot of people are buying marijuana in canada. of,re creeping to the phase do these companies have to post a profit? how do the fundamentals look?

there is going to be more and more pressure on them to show that they can make a profit doing this. for right now, the biggest concern is with these guys and whether they will sell the shares and take the game. they will not at least for now. scarlet: got it. thank you so much. craig covers cannabis companies as well as the water industry, the drinks industry. coming up, shares of fannie mae and freddie mac sliding st mnuchin -- as investor dreams of a quick windfall -- dashes investor dreams of a quick windfall. this is bloomberg. ♪

scarlet: investors hoping to make a windfall from their stake in freddie may and frankie mack may have to wait. for more, jesse westbrook joins us now from washington. what exactly needs to happen for treasury to end conservatorship,

u.s. conservatorship of fannie mae and freddie mac? jesse: with an interview with bloomberg news over the weekend, secretary mnuchin said we really need to implement significant reform to our housing finance policy before the trump administration is going to move to free these companies from federal control. that is dashing some of the expectations of a possible end of their conservative ship was right around the horizon perhaps to the end of this year, beginning of next year. hard to see a scenario where you will get serious reform done in that kind of timeframe and have the companies released that quickly. this so-called recap and release. they banking on this so much? i mean, treasury has --

fannie and freddie has paid back more than they got in taxpayer bailout money. the whole concept is that is the quickest way to get them off the government's books. you extensively would let them build up massive capital buffers so they would be safeguarded against losses, kind of the variety we had back in 2008, and then you ipo them. what mnuchin is saying in his interview with bloomberg is, look, i want to get them out of government control, but i'm not willing to just let them build up buffers and go on their way. we want much more to change in how we do housing finance policy in this country before i take that step. scarlet: so there needs to be a legislative fix. what is the appetite in congress for legislation on this? jesse: i don't know that there needs to be a legislative fix. mnuchin can do a lot with the fha director. hisher that is what meets

litmus test of serious reform is the question. what you need congress to do is give an explicit guarantee of the mortgage securities that fannie and freddie issue. that would make the securities outside government control and investors mind a safe haven like treasuries, and that is a big step, a big hurdle with congress because congress has been totally incapable of agreeing to a reform package for fannie and freddie in more than a decade. caroline: great interview over the weekend and it has taken a toll on the share prices today. we thank you. now let's get a quick check on the markets for you. elsewhere, we are rallying. rest on. money on into the equity markets we go forget coming off of our highs. clearly for a fifth straight day, money is going into stocks. echoingef was around the market.

finally, mexico is not going to see the tariffs imposed soon. scarlet: also seeing with young get a boost up 0.9%. from new york, this is bloomberg. ♪

♪ caroline: this is countdown to the close. i'm caroline hyde. scarlet: i'm scarlet fu. of course, joe weisenthal joins us as always everyday at this hour. joe, it feels like the last couple of days of the selloff in late may never happened because we are within sitting distance of record highs. joe: really close to all-time highs again. of course, last week was a pretty big surge. part of that was probably optimism over mexico and the tariffs would be averted. it was possible that after that officially did not happen we might get some cell of the news

but the follow-through has been impressive. we built in this whole trade war with china in but barely off of highs. scarlet: everyone looking ahead to president trump and president xi meeting. there is a lot of time to percolate. joe: plenty of time. caroline: there certainly is. the warning signs are there. they were ricocheting from the likes of citigroup today saying we could enter a full steam bear market if we see the extra tariffs on china. they see the s&p 500 falling down to 19,350. joe: the gap between where we are right now and still the ongoing concerns of the various headlines and warnings out there about recessions and trade wars continues to be a striking feature of the market. really, it felt like that way for a month now. wall is alimbing the good technical term there. let's take a look at how technical groups are

performing. chipmakers. adi getting a double upgrade from goldman sachs. components.uto you got your cyclicals, growth companies doing well. on the flipside, you got some more of the safe havens like utilities, telecoms a drag on the index. joe: yes. caroline: a drag on europe as well. scarlet: if you look at how the performance of the index has fared, we got a pop at the open. there is the pop at the open. even though we have come off our highs, we are still well above. joe: still solid gains. scarlet: above friday's close. we are moments away from the close in the u.s. let's take a closer look at some of the action beneath the numbers, and we start with emme. emma: another day, another double-digit move. rising more than 20% today and more than 70% over two days.

we take a look at the chart. this is the share price for beyond meet since it went public in little over six weeks. almost at 600%. shareares priced at $25 a now trading at over $170 a share. that is double the average analyst price target and a good $50 above the most bullish call. this two day rally spiked by earnings report that came better than expected on friday. the company called the sales forecast for the year very conservative but still higher than analysts had been expecting. this music to the ears of investors. the short-sellers short about 51% of the stock. abigail: there is certainly a risk on sentiment on the day. take a look at the s&p 500 as joe and caroline and scarlet were talking about, up half a percent on the day for a fifth day on the rope. helping the financials outperforming the s&p 500, rising yield, 10 year yield up six basis points.

investors are seeing a bit of a relief from the big drop in yields on the expectations that the fed may in fact cut rates this year. this relationship has not been the key over the last year and a half. this chart goes back to 2015. in yellow, the 10 year yield. in blue, the s&p 500. the fed had been tightening. that helped financials and the s&p 500. financials one of the leading sectors. last year, financial started to lag in anticipation perhaps of the 10 year yield's big drop going from 3.5% -- 3.25% all the way to 3% of the question is since they have a 12% to 13% waiting on the s&p 500. not so constructive for the financials in a correction almost. interesting to see how this plays out. romaine: let's go back to the chipmakers, specifically analog devices. double upgrade. shares up 6% right now as we had to the close. goodman analyst did the double

upgrade. he was the only one on the street who had a sell rating on the stock, basically saying his bearish thesis did not work so he is correcting it. here onhes up to a buy a date when much of the chip sector is rallying. a lot of analysts saying the bearish thesis were incorrect, saying we are poised for a lot of upgrades with regards to how these chipmakers perform. the general idea is things got a little bit too pessimistic too fast with regards to huawei. huawei was one of the biggest ustomers permit the ban on huawei going to hurt the company but that has been priced into the stock. looks like the cyclical recovery for the impetus to move things higher. scarlet: thank you so much. we want to get you an update on what happened in midtown manhattan this afternoon. there was a helicopter that made a crash landing on the roof of 787 7th avenue. there was a jolt and a fire that

erupted from the landing. the pilot has passed away. the pilot has died in the hard rooftop landing. we know that andrew cuomo, the governor of new york, went to the building and was quickly at the scene. he said there was no indication of terrorism. the helicopter seemed to have made an emergency landing. it was raining all day and it was a lot of fog so that likely contributed to the situation. we will keep you posted on any developments but will -- but we only know one person has passed away. we have 3.5 minutes to go. we want to bring in luke. i know you look at volatility and the vix. market has been going up over the last two days, but interestingly the vix is now north of 16. what do you read from that? broke the fever this afternoon. essentially and around midday today, we were up 2.5 percent on

the s&p 500 and the vix was up over the same stretch. we have not had vix up over again of that magnitude in about a decade. this can tell you a lot of things. today, it was probably telling you that people who were nervous about getting into the equity market again were doing sylvia calls. -- so via calls. on friday, a story of lingering risk and the fact that our valleys have been oftentimes very fierce. much is there still of a trade discount in this market? it does seem surprising how close we are to our highs given there is no indication yet that china is going to be resolved. luke: scarlet talking about all 30 members, that is a sign of what trade discounts there are. if you think the trade tensions should be prevalent in the ge is below it's gua

par relative to the vix. there are signs what trade discounts there were. caroline: as we head into the market close, michael joins us now from boston. michael, your take on the market bounce. yes, we got the good news on mexico, but still overhanging is china. is it more about the fed then perhaps the trade talk right now? >> investors are going to find out over the next few weeks, is this going to be the summer of love or summer from hell? from my perspective, what you are seeing is a relief rally in relationship to the fact that the tariffs did not go forward on mexico. i believe that investors are perhaps naively forecasting that this will mean we will get some trade reconciliation with china. not trying to make that leap of faith so quickly, but we will get some key economic data this week on businesses and consumers.

we have the fed next week, the g20, and then we rolled right into earnings. the next few weeks are critical. joe: what do you see the fed doing? >> i'm sorry, can you are be thought question? joe: what do you see the fed doing here? obviously, it seems to be a matter of when, not if. what is your expectation for how they proceed? the fed't anticipate will lower rates in june. they will take the bait of this week combined with the softening jobs report and the fact that accelerate,t incorporate that into the current forecast, and i think we will likely get a rate cut in september. i think that is the most likely path for the fed at this point. it will be interesting to see as this week shapes up, for example, will good news about the economy be bad news for the market? because it does not further confirm the fed's move. or is the market looking for weakness in this inflation data to really support this that the

fed will be cutting rates? it is an interesting dynamic. scarlet: of course, we have some failures to bolster sentiment because people would not be pursuing mega-billion-dollar deals if they did not feel confident at the outlook. joe: especially software and >> especially software and services. it shows they are willing to use the lofty currency they have. caroline: the s&p 500 up almost 0.5%. less than a percentage point off its record high. .e closed at 2,886 citigroup sees a full-scale bear market if we do see more tariffs. the market shrugs it off. >> we certainly have a rally on our hands with the nasdaq. abigail, you have been looking

for some charts. what do you have for us? abigail: a favorite chart from it goes back to 2017. we are looking at a sideways 2900, atween 2600 and battle between the bulls and the bears. not moving much from its last two all-time highs. we had that move lower recently, then the rebound rally recently. slightly above the 2900 level. thes&p 500 back above moving average. the bigger question around this range is which way does it break? supportw, the rsi may as it moves back up toward overbought levels.

that could be a near rally but probably relatively brief. romaine: a chick-fil-a world headquarters here in new york. this is a nationwide expansion. bank of america says this a lot of trouble for companies like mcdonald's, jack-in-the-box, and the company that owns the burger king brand. a lot of these companies will face pressure. he cited a lot of competition already in the southeast. that has expanded to states like delaware, massachusetts, and maryland. texas, chick-fil-a has grabbed about 70% of the market share -- about 17% of the market share. he said that had big impact on jack-in-the-box and sonic corp, which is private.

startshack also nationwide extension. he put out the chick-fil-a has higher sales store than the rest of the industry. >> stocks headed to their best day since january. indexci emerging markets begin again of around one thing 5%. trump'slyst, president decision to off the planned increase in tariffs. we have seen the mexican peso having its best day in almost a year. chairing the de-escalation -- cheering the de-escalation of the trade war. you can see what happened to the index through may. if you take a look at the performance year-to-date, we are up around 6%, about half the gain of the all world index.

team is stillt with us here. it michael, one thing that stands out in today's action, we were talking about the chips, the semiconductor rally, the s&p 500 outperforming. inh got really beaten up may. at the start of june, a lot of big names got hit on antitrust fears. is this an opportunity to buy what has been a sector on fire for years? i am still michael: a little cautious especially on semiconductors. the process of getting a resolution will be a little bit lengthier than anticipated and perhaps uglier. the outlook for semiconductors

going forward, and i think you folks are mentioning this idea that perhaps the replacement cycle is better than analysts anticipated. i'm not sure we have that visibility just yet. i'm still concerned with some of the slowing sales and technology, replacement upgrades. i'm not sure that will follow through into earnings. i think they are rallying more on trade than fundamentals. caroline: it is interesting we don't have much clarity on china in terms of trade, perhaps in mexico in terms of trade. fromre just seeing a chart all the way back in january. what do you make of that? michael: one of our themes for the year is to tap into emerging market growth for the second half, for example. u.s. interest rates have been declining.

the u.s. dollar is up today but has been softening of late. growth seems to be slowing here. particularly in asia, we continue to see better growth rates and more reasonable metrics as it relates to the stocks. you combine that with a potential catalyst for trade agreements at some point and all of the stimulus, both monetary and fiscal stimulus, we think it could be a catalyst for emerging-market improvement in the economy, particularly in asia. cpi.et: we have ppi, to these matter given that we ?now what the fed is doing i think unless it is a huge miss or huge beat one way or the other, i think the fed

statement probably command center stage. after that, the g20. two weeks after that, earnings season. we know what is coming. particularl, what in are you watching next? the key thingthat in particular could be trade. the sideline interactions between president trump and president xi at the g20 could be important. mnuchin said that is a spot we could see some progress or relief in the trade flareup. i think it will be interesting to see this week's data. small business confidence, retail sales, consumer confidence, inflation data. will this inform the market's view and fed's view that the

trade situation is having a negative impact on that sentiment? i think that will be an important dynamic as well. the last quick thing i will say, the markets and investors in particular could be their worst enemy. if they are bidding up shares aggressively and we are near record highs, it could relieve one of the reasons the fed could cut rates. >> what does this mean for bonds, treasuries? we saw them rally hard and now they have been stuck in a range. where do we go from here? michael: i think the market continues to wrestle with this idea, are we in a slow growth environment or will he trade and the fed result in higher yields? i think we are likely to see some firming in yields because i don't think the economy is as

poor as people are anticipating. if we get a trade deal and some results, you should see a modest firming in rates. i don't anticipate a much higher pickup and treasury yields at this point. they seem to have gotten a little too far too quickly in my opinion. caroline: we appreciate your opinions. there are ipo's still in the pipelines, direct listings. one of them being slack. we just got some updated financials and it appears the losses are shrinking and revenue improvement. 66% year on year growth in revenue. $135 million. 47% increase in calculated billings. when you are looking at the operating loss, $38 million.

as a stand-alone number, that is more than last year but as a percentage of revenue, that is shrinking. perhaps concerns that this is still a lossmaking company. that -- scarlet: that does it for the closing bell and for me. romaine bostick will be stepping in for "what'd you miss?" this is bloomberg. ♪

♪ london, i'mve from caroline hyde. romaine: i'm romaine bostick new york. joe: i'm joe weisenthal.

caroline: here's a snapshot of how the markets rallied for a fifth straight day. the s&p 500 closing just a percentage point shy of its record high. -- raytheon, the defense giant. salesforce looks to build its analytic offering. frenzy will take a look at the workforce messaging app slack ahead of a public offering. hundreds of barges are stalled on the mississippi river following relentless rain, snow, and flooding. the commodity impact. romaine: we begin with united technology agreed to by raytheon deal, one of the biggest on record. with thed discussed ceos of united technology and raytheon. >>'s is not about re-creating a

conglomerate. this is about creating a focused a&d company. >> if these two companies are similar, shouldn't the regulators be concerned about overlap? >> they shouldn't be. there's less than 1% overlap in our businesses. synergistic combination, and it is not a competitive issue at hand. >> talk about the connected place. companyhe combined going to be best positioned to serve that market? >> i think it comes to bear against a major technological challenge, integrating an airplane together, the ground systems together, and the

communication between those. one of the things raytheon brings to the table is cybersecurity in order for utx to provide that to their customers. >> i think it benefits the entire aero ecosystem. rockwell collins. this is more about just the connected aircraft, the connected aerospace ecosystem from the time you book your ticket through the flight and through departure. it is about controlling the information in a secure fashion to make flying safer. >> you did the rockwell deal a few years ago. new largesteon, the deal. what about this environment is conducive to makeup mergers --mega mergers? >> timing is everything. i couldn't imagine a better partner to merge with than raytheon.

when todd called last summer, we were a little busy trying to split the company. the merits of bringing these two technologies together was so clear. there was never a question for myself or our board. >> what are you going to have to do to convince government and may be trump -- and maybe president trump that this is the right deal? >> this is good for defense because we will bring unparalleled technology. we will also save the government money. half $1 billion a year every single year. we will create a ton of jobs, 20,000 jobs a year between raytheon and united technologies aerospace. >> have you spoken to them already, the government, head of this?

ande have had conversations we look forward to having more conversations later today. we look forward to talking about how this will increase competition. ofaine: that was the ceos united technology and raytheon speaking earlier on bloomberg. joining us now, bloomberg opinion columnist brooke sullivan. we have a story on the terminal saying it was thomas kennedy at raytheon who sort of initiated the talks here. i sort of understand why you tx wants this deal. deal, not wants this as much raytheon. brooke: you are not the only one. this may be a more defensive maneuver from raytheon area they already have very valuable products that are very in demand. i think there is a concern that

if trump doesn't win reelection new020, you could see a president coming into the u.s. and we could move away from the spending boom. ceoswe heard from the saying, we don't see why there should be any antitrust issues. is the market perhaps expressing that there is more concerned than the ceos are letting on? notke: they say there are antitrust issues but their comments seem tailored to them anticipating pushback here, that they will give cost savings to the government. i think they are anticipating trump himself and possibly pentagon officials pushing back on this. they don't have a lot of clear overlap which, for investors, raises questions. from a regulatory point of view,

you should think this would go through but i wonder if there is a general pushback against any player having too much clout. max, the stock hasn't taken too much of a hit because it is a duopoly. aboutne: also, talk to us what the executive team is going to look like. they always claim this is a merger of equals but they never are. we know raytheon will be taking less board seats, less value from the overall deal. how do you feel the chairmanship is going to work from the raytheon side and the ceo from united technologies? current ceoheon's will stay on as executive chairman for two years until that job passes to united

technologies as well. i'm going to be really interested to see what he ultimately does. does he climb to that ultimate top post down the line? these are companies that have very rich histories, very unique cultures. that is always something you worry about when you do a deal this size. are the management teams going to mesh, are the work and five -- are the rank-and-file going to be able to work together? to bloomberg opinion columnist brooke sullivan, breaking that down. salesforce agreeing to purchase a company. and salesforcest history and marks the company's first push into analytic software. grantg us, reporter nico in san francisco. -- what doesu

suiteu add salesforce's of offerings that makes it worth $15 billion and a pretty big premium to its friday closing price? worthwhether tableau is $15.3 billion is subjective and i will leave that to people smarter than i am. tableau has customers around the world. it makes business intelligence software, analytics. it is able to visualize that data in a way that is easy to understand. charts andots of dashboards. salesforce, for a long time, has been trying to do more with all the data stored on its various products including the sales cloud, the marketing cloud, et

cetera. this is an opportunity to try to salesforce's customers all the data in an easy way so they can make better decisions and then possibly sell more to those consumers. caroline: he is not afraid with two.quisition or what is the strategy here? how does tableau fit into his overall strategy? benioff today called tableau a brother from another mother. makes him think it could be a really good fit. fromcompany is on a list 2016 that was leaked. this is from around the same

time that salesforce wanted to purchase twitter. marc benioff is finally getting his wish. is the track record of have a long courtships, establish partnerships with companies which tableau has with salesforce and, as he said today, they put the deal together rather quickly and got board approval and announced it this morning. much didi wonder how the announced acquisition last week, alphabet agreeing to buy look or -- agreeing to buy looker, how much did that factor in? benioff andk

salesforce were interested much more than just this weekend. acquisitionlooker by google last week talks about the environment. outyone is trying to figure , how do we show our clients and of the information allow them to make better decisions about it? that is why it was important for google cloud to buy looker. companies may have been for sale at the same time. we have heard from sources that tableau had been interested -- theysts told me today that standalone analytics market is under pressure because companies like microsoft are able to leverage their whole cloud

services ecosystem. companies like tableau are under pressure. this person thinks, by the end of the year, every company that is a standalone analytics business will not be viable unless it is on the road to an acquisition. caroline: coming up, jan meet shares continue -- beyond meat shares continue to sizzle. this is bloomberg. ♪

shares of beyond meat are soaring. this is unstoppable. joe: it is pretty extraordinary.

romaine: coming up, another hit for u.s. farmers.

at comcast, we didn't build the nation's largest gig-speed network just to make businesses run faster. we built it to help them go beyond. because beyond risk... welcome to the neighborhood, guys. there is reward. ♪ ♪ beyond work and life... who else could he be? there is the moment. beyond technology... there is human ingenuity. ♪ ♪ every day, comcast business is helping businesses go beyond the expected, to do the extraordinary. take your business beyond.

fire new york city's commissioner is given an update on today's deadly helicopter crash on the roof of a high-rise in midtown. authorities assume the pilot of the privately owned helicopter was the only victim. at 787cident happened 7th avenue at the corner of 51st street. governor andrew cuomo says there were no reports of people injured in the building. from the house counsel nixon administration says he sees parallels between the watergate investigation and the

mueller probe. john dean testified today. the panel's republicans contended the molar report was thorough enough. this committee does have a role and it is adding something that the special counsel could not, and that is publication. this report has not been widely read in the united states or even in the congress according to some of my conversations. earlier today, president trump tweeted that esther dean was a "disgraced former white house counsel for -- white house counsel." ofudge at the heart "operation carwash. " intercept" says that judge

was acting improperly revolving the conviction of former president lula de silva. salvador mundi is being kept on a super yacht held by saudi crown prince mohammad bin salman. it's whereabouts had been a intery since it was sold 2015 for a record price. global news 24 hours a day on air and at tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. i'm mark crumpton. this is bloomberg. just to bring you some breaking news, u.s. president donald trump speaking at the white house, saying that president xi jinping will be at the g20 summit.

he didn't say if they would meet but he did say that china's xi will meet at the summit. -- will be at the summit. caroline: this time, another acquisition, a cool $2 billion. this is shutterfly being snapped $51 per share.r bytterfly has been bought apollo in a one dollars per 51are all cash deal -- in a $ per share all cash deal. the company was bought up just in april. romaine: really interesting, they see some value here where the company couldn't really make it itself. we turn to the u.s. economy, particularly the farm belt

economy, which has been dealt a major blow. that allows crops and supplies into the region is in trouble. barges stuck on the mississippi river. closedhave already railways and highways. i've been keeping an eye on this and we have a situation now where i guess all the rains and currents in the river have prevented the barges getting back and forth. this is starting to create problems for the farmers to get their crops where they need to go. planting are in the phase right now. as they try to move the old crop out of the storage facility so the new crop can go in after harvest, they can't do it. joe: this is compounding a brutal moment. we have been talking for a while just how much acreage has gone

on planted due to the floods -- due to theted floods. the barges have to come up the river empty. they can't do that. caroline: remind us of the key commodities we are talking about. biggest ones are corn and soybeans. , with thee know that trade war and all the tariffs, we had seen stockpiles of certain crops, particularly corn and soy. do you have any sense of how this will impact those stockpiles? will we have a greater glut then we thought? steve: it looks that way. if you wait long enough to plant the crop, the yield is affected.

we could end up with a smaller crop. at our company, grow intelligence, we have created a model using satellite and ground-based data about whether and rainfall and things like that. it looks like there could be a significant amount of acreage affected, which means the crop could be smaller. with the river not working, it is still going to be a problem. joe: when was the last year that farmers had it so bad? steve: we are looking at a parallel from 1993, which is really the worst case. the river was closed for three months in the summer of 1993. it has been intermittently closed since april of this year. caroline: at the moment, a lack of transportation, a buildup in

stockpiling, and eventually smaller crops. dynamicsthe pricing going forward go forward? -- dynamics going forward? most impacted could be the soybean effect. it is clearly a bearish effect if soybeans get stuck and can't be shipped. romaine: you do models with regards to planting and consumption. do we have a sense that what is happening now, is this something that could potentially get worse? there's obviously a lot of talk about climate change. is this something farmers have to get used to and how do you model for that? has shownmate change a slight warming and temperatures in the farm belt of the u.s. that hasn't been bad for the

crops so far but any change in extreme weather is obviously bad for the crops. we have some ideas about it but the way it trades off from year-to-year is not entirely clear. senior viceathews, president at gro intelligence, thank you. kathy greenwich are is navigating her way through a highly critical washington. this is bloomberg. ♪

caroline: quick check of the latest business flash headlines. becomeseeing a company the first casualty of the opioid epidemic.

the chapter 11 filing allows the company to keep operating. they settled claims that they illegally sold opioid painkillers. --you want to bet on being an exotic derivative that pays off at 10 to one. all it takes is for treasury yields to rise at a moderate rate. the fed is calling for multiple cuts this year. an electriclling vehicle due to risk of a battery fire. there's a risk that moisture can seep into the battery cell. audi isn't aware of any fires or injuries caused by the flaw. 50-49ix months ago, a senate confirmed the consumer

financial bureau director. then is standing by with cfpb director herself. consumer here with the financial protection bureau direct your -- director kathy kraninger. six months into the job, what have you been up to? kathy: it has been a fantastic six months. i've been to 10 states, met with over 600 financial advocates, institutions, leadership, people interested in protecting consumers. it has been quite a whirlwind. i have been focused on prevention of harm to consumers using the four tools given to us to carry out our mission. education, regulation, supervision, and enforcement. >> one of the criticisms from

the business community under the previous administration is that the cfpb is a bit of a rogue regulator and that on the rulemaking process, they had some concerns with, what they argued, was a lack of transparency. i spent my career focused on these kind of issues. i've been engaged in rulemaking throughout my career in public service. it has been a huge issue for me making sure we are following the administrative procedures act and all of the processes there to have consumer and public input, stakeholder input, and we are really starting from the beginning of the process. a great example is our debt collection rule. the federal debt collection practices act was enacted in 1977. the bureau for the first time was given rulemaking of matt and proposed rulemaking --

rulemaking of that and proposed rulemaking couple of months ago. we made efforts from the beginning to solicit comments, use evidence and data to make the best decisions. >> my understanding is you will have a conversation about dodd-frank in particular, the dodd frank law in 2010 asked for the cfpb to define abusive practices. kathleen: that is precisely what we are going to do. we are starting a conversation. there were some challenging issues that the cfpb was given lookingfrank, including at what abusiveness means beyond the statutory definition. we are going to have our first symposium on that topic, bring in experts to think about it, have that live-streamed to the public and anyone who once to

engage in that discussion, we welcome that. june 25 is going to be the date for that symposium. >> you have also gotten some criticism from the left, most notably by senator elizabeth warren. they have argued that you have weakened the agency. kathleen: that is not the case. i started, at the top, focused on using the tools congress gave us and carrying out the law as it stands. we all care about protecting consumers. we just have different ways to do it. i'm focused on the four tools we have, education for the consumer, empowering the consumer. they are in the best position to make those decisions and we have to make sure they are in the best position to make those decisions. >> do you agree on the trumpet ministration's -- the trump

administration's assessment that the cfpb is unconstitutional? you noted, there is active litigation so it is not something i can comment on. >> what do you think about saying the cfpb should shift toward a committee structure? kathleen: i leave that kind of decision congress. i'm focused on the job i was given. work on much looking to the mission congress gave us until congress changes that. >> you are working on veterans. kathleen: we have an exciting program called misadventures in affiantnagement, game ying money management.

it is a choose your own adventure video series. we've had a lot of success. i was in san antonio launching that. andad families there veterans as well. huge shout out to the department of defense for their help. , director ofinger the consumer financial protection bureau. thanks for coming on to talk with us. joe: coming up, workplace messaging company slack announcing its financial forecast as the company inches toward its ipo. this is bloomberg. ♪

at what time for a look

stories are trending. terminal users are reading about a former cantor fitzgerald trader dropped a lawsuit against the bank who claimed he was fired because he blew the whistle. he was partway through a trial last week that had been scheduled to last for 13 days. aoomberg.com has a story on $13 million fortress of solitude for sale on the long island sound. the superintendent who was put in charge of maintaining bought the island in 2007 i'm a then 11-year, $8an million construction project. with coffee prices trading globally at eight 13 year low, low, many a 13 year countries are feeling the pinch except for brazil. many brazilian farmers plan to

boost production, adding to the global supply. you can follow all the stories on your terminal, on bloomberg.com, and at tictoc on twitter. joe: workplace messaging company slack announcing first quarter revenue of $134.8 million, an adjusted loss per share of $.38. joining us is read wallace -- rett wallace. it seems like there is a lot of excitement about this one. a lot of people use it in the workforce. rett: people love using slack. joe: when you look through this and, of course, you looking at the financials and other characteristics. what is your take away? rett: if you were going to be cynical you would say,

congratulations, you reinvented aol instant messenger. but you know that messaging among those who work together is actually very valuable. if this was a well instant messenger, we wouldn't be here for the slack direct listing, it would be a well instant messenger -- it would be aol instant messenger. this company looks like dropbox and another company that went public in the last year. drop box had about double the revenue base, growing a little slower. for direct listings, looking at spotify which was 10 times bigger. this fits into neither bucket because they are not going public, but they are doing a direct listing like spotify did. caroline: do you think investors

-- they are talking about sales this year, but what do you make of the fact that they are not looking to raise new money? rett: we joke about these direct listings, saying going public without raising money is like losing your virginity without having sex. this company already has capital on the balance sheet so they might not need the money as much as others. this company still is making dropbox areway that not. they had already turned the corner into making profits. without an underwritten offering, there might not be as much of a catalyst for investors

to decide they want to invest right now. they could take a wait and see especially as you look at the prices for dropbox and spotify. romaine: it seems slack seems like a viable long-term business but in the filing in april, they specifically talked about the potential for comfort to. microsoft -- for competition. alphabet. cisco, it seems like those companies can replicate already what slack does. rett: cloud storage, everyone kind of does that. the dropbox brand. e-signing documents. doesn't adobe do that? thatness of their brand creates adoption.

people take slack with them because maybe they don't want to be working but while they are slack., they like to use joe: losing money like many ipos these days. lyft, and -- uber and there are questions about profitability. when you look at slack, do you see a path to profitability? the ratio of just losses is much less scary than if you are looking at a company like lyft with a 50% loss margin. the direction in the new quarter is in great. -- is not great. with $800 million on the balance sheet and the ratios and comps would tell you that a company like this should be able to be

profitable without growing revenue like they already are. caroline: remind me what the ownership structure looks like here in terms of the control. we have seen companies go public and control has been maintained by the ceos. rett: this is a structure that will look familiar in that you have series b stocks that have 10 votes for every series a share. owners of series b can convert into series a. they have made it a choice for investors who are not butterfield and the other insiders who will obviously hold onto large control and shakes. stakes. controlling caroline: we should note that bloomberg beta is an investor in slack. expoideogame industry's e3

begins in l -- in l. a. romaine: emmanuel macron speaking at the hundredth anniversary of the international labor.

♪ emily: i'm emily chang in san francisco and this is "bloomberg technology." salesforce agrees to buy tableau software in an all stock deal valued at more than $15 billion. signals hedent trump wants to investigate the big tech "monopoly. " we will speak to a