♪ amber: this is bloomberg markets. matt: light volume at this hour and is in august monday but we have gains on the s&p 500. it's up 0.4%. yields have surged today. we have the 10 year yield at the highest level we've seen since 2007. a 15 year high at 434.

the bloomberg dollar index is giving up some gains a little less than 0.1%. nymex crude is unchanged right now, $81.33 per barrel. what are you watching? amber: i'm watching a bunch of tech stocks in palo alto networks is surging by the most in two days. the reason why they wanted friday earnings results is to tell you how great every thing was. they beat on profits and issued a forecast that was much better than expected. that stock has been gaining. modernity and tesla are also powerful we are also tracking palo alto and cybersecurity. nvidia is ahead of earnings and

investors are pretty content to pile into this name at record highs. matt: speaking of nvidia, we are watching an r filing which should reveal the details of its ipo today probably after the market closed on track to be the year's largest ipo and it could be one of the biggest tech listings ever on a u.s. exchange. leanna baker joins us to talk about this now and this could be huge. that we know they've enlisted 28 banks on this ipo. i never even heard of that many. >> it's not that uncommon. i think facebook use over 30 in the day so on these big listings, you need banks to syndicate the stock to all of their relationships. what's interesting is they are using fort lee banks. instead of a lead left bank. matt: and they are all getting

an equal share? we also have j.p. morgan and goldman sachs and barclays so they will be listed at the front so they get the lion's share of the fees and the rest will get something. matt: i wonder what the tombstone will look like? >> if you going to investment banks, you might see them and sending out a lot of them. amber: has the nasdaq run up to far, too fast, our guests say if that's the case, why haven't we seen any any ipo's. the run we've seen in the nasdaq is tempting. >> and we will also see if this one performs well, instacart is waiting in the wings and the consumer grocery name in the u.s. and there is alsoclavio which is important for softbank

which is the owner but important for the ipo market going forward and the window will open right after labor day we will see how these come up with an. amber: as you mention, important for softbank which has a blemish record when it comes to investing in the tech space. >> they've had a lot of missteps and a lot were around the startup ecosystem and harm is not in that. this is a big, mature company does been around a long time and they have tons of relationships and they are ubiquitous in the mobile space. they designed chips for almost everyone but the ceo is trying to diversify the company away from more -- mobile and those of the details we will look for in the filing today. matt: it's exciting to get an ipo and then get if you'd one will be very cool. let's get to another big focus

on wall street today. we have learned that sculpture capital management receive multiple takeover bids that were higher than the offer that they accepted which comes as how frank robinson slammed the deal saying is substantially undervalued sculptor. bernie is now why would higher offers be spurned? is it because the lower offer allows the management their jobs? sonali: you had the wall street journal report of three big names. a group's bidding $12 per share higher than what you see. stock is now trading at 1185. it is much higher but a little closer to that -- to the other heavyweights.

current management's lot not likely to keep their job. the other interesting element -- matt: current management will keep their job? under the higher bid, they will lose their job but they are supposed to be the ages of the shareholder. sonali: that's true in the point that sculptor makes as they reject this offer, they didn't name these folks by name of the point they make is financing. matt: you think the three could come up with the money? >> they have tended to in the past. the other arm of this, you do have the head of sculptor capping his pay. his pay will be capped at $30 million. even in the event of the new deal. this is a man has had

compensation awards of more than 300 million dollars in total across that time. sinking stock prices part of that and affects the total value of this package. all eyesl on jimmyavin and whether these large investors went out at the end. amber: why did they want this thing? >> sculptor had been a massive fund before it faced a lot of issues including when it comes to management scuffles with the founders of the firm. it was a $50 billion from that's pivoted to other strategies like credit which no we know mark last three and boaz weinstein are incredibly steeped in. they built their name off of the strategies. you can see these as is moving

under a more stable home if they were to win out. amber: we are following the story about goldman sachs will had another possible gold crown jewel of david solomon saying the achievement could be in the shop chapek block. united capital is what they agreed to buy for $750 million. with the potential sale of united capital, they are exploring options and watching them look to exit green sky which was $1.7 billion by the time the deal closed they have already written off a lot of the green sky deal. how quickly to the exit united capital? it had about 25 billion dollars in assets when they brought it on only grew to about $29 billion in assets.

goldman shifting consumer strategy and doubling down on wealth and showing you that perhaps the most recent acquisition doesn't really fit in. matt: great having you on set. coming up, zoom video out with results after the bell today. we will tell you what to expect. this is bloomberg. ♪ what do you see on the horizon? uncertainty? or opportunity. whatever you see, at pgim we can help you rise to the challenges of today, when active investing and disciplined risk management are needed most. drawing on deep expertise across the world's public and private markets in pursuit of long-term returns... pgim. our investments shape tomorrow today.

( ♪♪ ) woah. ( ♪♪ ) ( ♪♪ ) ( ♪♪ ) ( ♪♪ ) constant contact delivers the marketing tools your small business needs to keep up, excel, and grow. constant contact. helping the small stand tall. amber: this is bloomberg markets. time now for our stock of the hour.

zoom reports results after the bell today. it rose to prominence during the pandemic and is expected to see its slowest ever sales growth. that's is more companies including zoom itself is asking more of its employees to return to the office. isn't it ironic? matt: just a little bit. i feel like this is as if philip morris was telling its employees to stop smoking. it doesn't make any sense. peter levine joins us now. what's your take on that? shouldn't zoom be an example to the business world that all work can be done remotely using their tools? >> i believe so but as long as it's somewhere hybrid, it's better than zoom. if it's two days a week you are home, you need to collaborate

with customers and employees. when was the last time anyone ever called you? you're still using zoom if you're in the office. matt: i feel like the competition is not nearly as easy to use. what's your take on their position in the marketplace? >> it's a duopoly between them and microsoft teams. . if we are talking that videoconferencing comments one or the other and i think that market what they're doing on the phone side much to do the contact center is what perhaps accelerate growth. has zoomed in a good jet of communicating with the company is after the pandemic? it was the darling in the

pandemic, kind of the easy, short coming out of the pandemic, how do you think about whether this company is effectively communicating how they are outside these issues? >> i think they have, the big push into customer engagement with context and is a big play on ai as well. they've done a really good job of voice on the phone side which is 10% of revenue today. the next part of the leg of growth is context and that's the market for zoom on top of that and also the autonomous agents is a massive opportunity. outside of court videos the market for them and growth comes in contact centers and circumcising things. i would point you toward contact centers. amber: what's an example of the ai opportunity? >> for zoom, contact center is

usually price on a per month per agent average price. for what zoom is trying to do, you can fully automate an agent so if you call into united software come and said having an agent and said having a nation the phone, you can have an autonomous agent handling the entire call from the inbound to answering the west and in the scheduling the ticket and see with the resolution of the call can help you fully automate it. it doesn't get escalated, goes to a live agent but that becomes more of a small level. for these calls can get automated. matt: the stock has languished this year, unchanged in 2023.

what will you be watching for in the earnings call? what should they need to say to get their stock back on the rise again? >> stock has been flat year to date and i think it's context. i think this should be the last quarter we see a turn on the downside from covid. resume, i think it's them coming out and talking about insurance and stabilizing if not accelerating and seeing higher adoption of events and video products and their phone business is seeing acceleration thereby think it's higher level commentary and scaling up their business. i think it's talking more about customer engagement and have those three components come together. amber: the stock is down 80% from its peak. there is a pretty substantial short position on this one. what would you advise to people

who are thinking they can still short it here? >> i more neutral on the stock. i think a lot of the bad news has been priced in. they've done a good job of de-risking and straight consensus numbers have come down to a level where think it's more achievable. i'm not expecting much upside. at these levels, think valuations are fairly priced at what they are trading. amber: peter, thanks so much. here's what would got coming up on the show. hurricane hilary is set to do billions of dollars of damage to the west coast. we will look at the impact it will have on the insurance market. this is bloomberg. ♪

matt: this is bloomberg markets. nevada's bracing for the remnants of storm hillary after it thrashed southern california. if left has been extended for los angeles county but some errors expect as much as. 12 inches of rain joining us now from l.a. is tim pulliam. tell us about the state of the storm right now. >> right now, we are seeing conditions improved greatly and that is very good news. hilary bruck record making rainfall to southern california. some parts so up to a years worth of rain in one day area amber: when you talk about that unprecedented rainfall, what are you seeing and what have you

heard in terms of cost? >> right now, it is not clear what the cost will be. there was a press conference this morning with the l.a. county mayor in the l.a. city mayor in the county supervisor and they are sending out crews to assess the damage in the area. there are several flooded streets and several properties dealing with mud flows and several downlines and trees down as well. once they can figure out the cost, that will take several days and possibly weeks. matt: what about the storm headed toward nevada? what do we know about the path of the storm and what the strength is like? >> it's heading northwest for nevada and the sierra mountains and expected to bring heavy rain between 2-3 inches. a lot of the area is still under a flood warning.

they are urging people to be careful and vigilant. if you don't have to be on the roads, stay off them. matt: thanks so much for joining us. the storm could lead to billions of dollars of economic losses. it was a hurricane level storm but insurance losses are likely to be small. flood risk is generally written by the national flood insurance program. that is state run but the private market damage could be minimal. joining us is matthew from bloomberg intelligence. they are the ones who deal with the flood risk regardless of your coverage for the rest of your house. floods of the problem here. the private insurers will not have to pay out too much in terms of wind damage. >> private insurers rates on flood but most is borne by the

government. the take-up is pretty low so earlier in the year, there was flooding in california. they were about 5-7,000,000,000 dollars of losses in the ones covered by any insurance. they were 10-20% of that. matt: if i have a house in san diego and covered by shed, they offer a flood production and that will go through nfip. if i don't get the flood protection in my home is damaged by floods, i'm just out of luck? >> yeah, and if you're in a flood zone, you have to have but insurance if you have a mortgage. a lot of these places are not in flood zone so if you are not, you don't have flood insurance and people don't understand that flood insurance is not covered by a standard policy. amber: they might be unprepared when your but they make up for it in subsequent years.

might this affect the current industry and the parts of the market going forward? >> the industries repaired but the homeowners are unprepared for what is happening. the industry gets worried when you have these odd events. there's only a handful of tropical storms that hit california since the 1930's. they may be more wary of associated risks may be the commercial side. people tend to not learn their lesson. they keep moving into potential flood reason -- regions and rebuilding. amber: when you talk about the kind of state coverage, will people be expected to wait longer to get there recoveries? >> i don't think so. anything to do with the government might move more slow. it's not atypical. the nf ip is technically an insurance organization so it's not like you are waiting for payouts from the government. hopefully, it's done in a timely manner. matt: want to ask that if you

live in a flood zone, you have to get flood insurance for your mortgage. are the flood zones up to date? >> they are not so the maximum draw in the 60's and 70's, the nf ip and fema were working to price risk better and identify the zones better. there is a real problem or flood risk is underrepresented. matt: it's a fascinating story in itself. matthew, thanks so much for joining us here on set. that does it for this program today. a mix in the markets in the s&p 500 is up zero point 4% while the dow jones is down. the 10 year yield is 433.39. if the highest level since 2007. this is bloomberg. ♪

thanks to avalara, we can calculate sales tax automatically. avalarahhhhhh what if tax rates change? ahhhhhh filing sales tax returns? ahhhhhh business license guidance? ahhhhhh -cross-border sales? -ahhhhhh -item classification? -ahhhhhh does it connect with acc...? ahhhhhh ahhhhhh ahhhhhh fabulous surroundings... but everyone's looking at their phones for financial insights from merrill. is he hailing a ride to the concert hall? no. he's making sure his portfolio and retirement plans work in harmony. they want to adopt a child and build a new home. so they're talking numbers with their merrill adviser. she's not researching her next role. she's learning how to handle market ups and downs without the drama. personalized advice so impressive your money never stops working for you with merrill. a bank of america company.

>> stocks attempt to recover from three weeks of losses while treasuries extend their selloff. katie: kicking you off to the closing bell here in the u.s., two hours ago and we do see stocks trying to close higher. the s&p 500 up 4/10 of a percent , coming off three weeks of losses. the nasdaq 100, big tech leading the gains. the nasdaq 100 of 1.4% -- up 1.4%. you