ali baba has taken some stakes here in the u.s. and there was talk in the fall before the tax free spin was announced that they would possibly buy yahoo! to get those 290 million shares back here and do something with that core. is that something that you consider and is it something that would be an alternative if the irs was to rule adversely in their favor? >> you yeah, it's definitely something that is feasible, but we don't think that's what alley ba about ali baba is looking to do. they're expanding their reach in geographies as well as verticals. >> this is bk. so back of the envelope analysis, it's been trading at a negative for a long time. why? i mean nobody -- we can all do the math. why is it trading there? >> it's a great question. one is this transaction ties up a lot of people until you come to fruition on how the transaction will go. but i think that public investors don't value yahoo! correctly, i wouldn't be surprised if private investors do sf do. >> all right. bob, thanks. appreciate it. all right. so the one qu

is a approach that is similar to ali baba. it's not a plane retailer.iy partners with different creators of lines and sells those two individual markets. the way they describe it as they want to have the experience of going into a boutique and you discover a new brand and follow that brand at their site. that's like ali baba does business around the world. pimm: $56 million? how much money is that compared to -- this is like a day at the beach for ali baba. tiny but curious. olivia: because the business model of zulily doesn't seem to be working that well. it's working enough to get investment of $56 million. olivia: they missed sales estimates and earnings per share were lacking. because they keep bringing down the growth rate. the last quarter of sales were up 29% and 50% the quarter before. if you expected more as investors did, that was a disappointment. it is a growing business. it has had success in retail. to pointit necessary out that they are a company based in the united states? ey: if this becomes a strategic investment and they partner with

they are getting a boost from ali baba. more about what is behind jack ma's move. ♪ mark: welcome back. betty: let's get straight to julie hyman -- [laughter] mark: we have keep it moving. julie: let's talk about some of the movers we are watching today -- a couple of makers of mining equipment doing the best in the dow. day since julyt and hitting a two-month high with caterpillar on the rise as well, up utter than 2% and that a five-month high after analysts raised the stocks to outperform, saying there are signs the worst might be over and investors should be early to a mining bottom. remember that currency headwinds had been a big deal, particular for caterpillar. analysts are saying the headwinds are moderating and steel costs are lower. in technology, we are looking at zulily, those shares soaring after alibaba says it's increasing its stake in the online retailer. sticking with online commerce, y today.ook at ets they went public not to long ago and $16 world where its shares were pricing. today, they are pulling bac

pimm: cory johnson on ali baba.livia: tim and i will be back in a moment. ♪ pimm: the stories that financial professionals are interested in today. a few of them here. one about american airlines. in an interview with bloomberg news, doug parker said the airline will compete against discount carriers that are piling on added seats. that sounds at the beginning of a price war. olivia: that's a good news for me. pimm: the planes are about 85% full, carrying about hundred 22 million passengers between june and august. the airlines have also -- airline stocks are down. airlines have said they are going to withhold certain bits of information such as scheduling and fares from these third-party sites such as tripadvisor. airlines got a blow from the u.s. government because they said they are going to allow the expansion of the persian gulf carriers in the united states. olivia: several reasons why we are seeing a drop in the bloomberg airlines index. pimm: are you going to travel now? olivia: the weekend. it's wednesday.

emily: is ali baba catching up to the nba?st: consumers are growing in droves to mobile in china. 89 million monthly users, that's almost the population of the united states shopping on mobile every month. that matters because they come to our platforms to buy things and for the best content. in terms of competition, they go to both forms for other areas and go to our platform to get the best content. that's the strong intent, which is why you see it. emily: this deal is bringing more money to the pac-12. they're going all the way to china and they get to meet jack ma, so when do they get cut into it? guest: this is about helping fund an incredible experience and we are going to bring professors and representatives over there for an academic symposium and an expo where families from china are going to get introduced to all 12 of our schools. that's the primary focus, trying to create this experience between these companies. college sports is a uniquely american thing where you can twin elite academics and athletics. the idea o

a surprise announcement from ali baba. daniel jong will replace jonathan live.he company turned a $464 million profit. there are lingering concerns about alibaba's ability to drum up international revenue. chairman jack ma just announce a hiring freeze and there are concerns about the relationship of the chinese government which says alibaba is not doing enough to crack down on fraud. i spoke with daniel jong, a former accountant and now ceo. i asked him what he plans to do differently and whether the management team will stabilize. >> we change a couple of leadership. we believe that today is the right time for us to bring young generation to the leadership. alibaba -- this is a long journey. when he the young generation to be a participant in the company to the next journey. emily: how will you bring more young talent? >> although leaders are from the 1970's. we're trying to bring more and more 1980's and 1990's, the younger generation to the middle class level and finally to the leadership level. we believe this will -- this will be the foundation for future

laurent they say ali baba profits from the counterfeit.sued ali baba for the same thing last year but withdrew the lawsuit after the two companies started talking outside of court. brian and shirleen. >> alicia thanks. >>> the latest on an accident that sent a school bus into a utility pole today. >> plus, have you ever thought about quitting your job and leaving everything behind? meet a couple who actually did it. we'll tell you their story from the boardroom to the barnyard coming up. >> ♪♪ >> ♪♪ >> two people were hurt this morning when a school bus crashed in northeast philadelphia. it happened just after 6:30 at the intersection of byberry and thornton roads. police say the crash involved that bus and another car. you can see the impact sent the bus into a pole. the driver of the school bus and the driver of the car both went to a nearby hospital. both are expected to be okay. no students were injured. >> police in north philadelphia are asking for help to find the person who helped carjack a man right on broad street. it happened la

question is does google still hold value beside the investments that they've made in companies like ali baba and yahoo! japan? >> i think value is why you're investing in google right now. to me 18, 17 times with 20 plus percent growth. a lot of people have questioned some of those investments in smaller, more arcane technologies, drivable cars. we talk about ad technology. that's where i think google is going. i own google, i would say long google. >> your advice to lieutenant greg. >> yeah, i agree with tim on google and actually, it's funny, we just looked at the top ten stock holdings of four different generations of americans from millennials to the silent generation, not one of those groups had google in the top ten yet it's one of the largest market cap stocks in the world. so it's actually underowned in my view relative to how important it is to the world, to advertising, to media, to technology. i agree. i like google and i would own it. >> i wonder if they know the game. >> mentioned yahoo! -- >> would i rather google or yahoo!? >> exactly. >> google. i think yahoo! has up side but

mads back by ali baba's jack are buying in. 465 million shares to take advantage of the rally in chinese. kevin martin is hired by facebook to oversee its global access efforts. mark zuckerberg spending billions to help developing countries get online. hang seng trying to boost. 5% tore offering almost many managers which would cut its own holdings to less than 1%. they say proceeds will be used to support future expansion. it sold another 5% stake in february for around $2 billion. those are some of the top corporate stories making headlines this morning. tehran's biggest beer spending big on property with sales going flat. at hotels,king shopping centers, and real estate projects. worked?as this strategy linda: it could work. they are in a strong financial position so they had the resources to expand and it is not their first venture and property. they are just wrapping up their investments to compensate for the slowdown in the beer business. the government imposed higher alcohol taxes two years ago and that is to put a lid on consumption. military government has said it will strictly

we have a slew of heavy hitters hitting the tape from disney to ali baba.en we come back. >>> next week, "fast money" turns up the heat. live in miami, from the emerge americas conference. new technology, growing markets and how you can profit from a doll. it starts monday on "fast money," 5:00 p.m. eastern. building aircraft, n. the likes of which the world has never seen. this is what we do. ♪ that's the value of performance. northrop grumman. >>> you can actually go, if you want, completely off grid. you can take your solar panels, charge the battery packs, and that's all you use. so, it gives you safety, security, and it gives you a complete and affordable solution. and the cost of this is $3,500. [ cheers and applause ] >> that was elon musk at tesla's event last night, unveiling a line of battery products for home and commercial use. but next week might have even more surprises from tesla with its earnings report on wednesday. time now to take your position on tesla. and grasso, it should be an interesting setup, considering we saw a sell-off going in

back is ali baba a 9% stake. jack ma once the company to get 50% of its sales outside china.ce is across europe are grounding in military transport after a fatal crash. the airbus a 400 m crashed minutes into a test flight. the german magazine says one of the survivors told investigators the plane had multiple engine failures shortly after takeoff. dzhokhar tsarnaev is expected to learn his fate this week. the defense ended its case this morning in the penalty phase of the trial. a jury must decide whether the boston marathon bomber is jailed for life or executed. the jury will get the case after rebuttals and closing arguments. bernie made off has died after spending years -- i key aide -- off'saide of bernie made has died. he was waiting to be sentenced for his role. a wild boar finds itself south in an unfamiliar place. the boar fell through the roof of a children's clothing store and onto a display case. knocking over manikins and signs. wild boars are common in the .ild side but not i john kerry is preparing for a trip to russia to meet with the vladimir putin. the highe

s ali baba stake would not be as anticipated.t had it looks like it may not be affected by that and yahoo! says it is going ahead with it. analysts weighing in on the matter today. raymond james, cutting price target. we've seen a lot of positive commentary. is aust, saying this buying opportunity. s&p iq is upgrading the stock to uy. we got home depot a couple days ago beating estimates with earnings. exactly the opposite for lowe's. uredeems people were l to bargains at home depot. touched below $16. the company's first quarter net loss hit by currency. pimm: thanks very much. some of the top stories crossing the bloomberg terminal at this hour. last week's deadly amtrak crash points out a major problem. railroad unions say locomotives should have a second crewmember. the engineer will in the derailment was alone in the cab of the train. congress stop requiring two-person crews in 1983. you're looking to buy gasoline for under three dollars a gallon, stay away from california. drivers in los angeles are paying more than four dollars a gallon. the reasons, reduced supply because of an ex

snapchat is worth $15 billion in its recent funding round by ali baba, they gave the startup evaluationbillion. this is passed the $3 billion facebook agreed to pay for it that they turned down a couple years ago. he is gunning for it. he wants to be an independent business. he wants the ipo and he is hoping this new method of doing things, not like a typical social media product, will help them get their. betty: thank you so much. sarah frier. the latest bloomberg businessweek cover story. ahead, how to get your hand on the largest megayacht ever. the size of two football fields. ♪ betty: locum back to the bloomberg market day. -- welcome back to the bloomberg market day. president of the united arab emirates owns what is called the world's largest yacht. it is about to be blown out of the water by the double century. it will be the link of two football fields and rise 88 feet above the water. all that luxury is not cheap. joining me with a look at what you get for all of that is pimm fox. boat.$777 million for a it is called a megayacht gigayacht is the new term. 658 feet. i do not kn

tesla, ali baba. investors over the age of 35 they like ge.& johnson. >>> many low skill jobs disappeared. jobs that require a college degree or some training have been growing in the past three years. they returned to pre-recession levels. the same cannot be said for low skilled jobs. growth is weak for jobs like fast food and cleaning services and retail. those are the only ones coming back early on in the recovery. now the trend has reversed as jobs that require a college degree or training those are the jobs that returned to pre-recession levels. >>> "early start" continues right now. >> breaking news this morning. a u.s. military helicopter missing after nepal's devastating earthquake has been found. we are live. >>> dramatically gaining speed as approaching the curve. mounting questions into the deadly amtrak derailment. >>> the death of a blues legend. b.b. king dead at the age of 89. the legacy he leaves behind. >>> welcome to "early start." i'm christine romans. it is friday may 15th. 5:00 a.m. in the east. john berman has the morning

changed tax regulation will affect its spinoff in ali baba.is morning and knocked down those fears. >> i think the irs officials' statement was somewhat ambiguous. it wasn't clear whether or not it applied to spinoff submissions as of yesterday or any future submissions that they received. essentially basically said they were going to suspend any evaluation of any spinoffs pending any rule changes. i happen to think this doesn't apply to yahoo! at all. >> and in a statement yahoo! says it's working toward the planned spinoff in the fourth quarter and adds it understood the irs statement was not specific to the company. i think that part is right. the question is whether there's a broader change afoot and what that means. >> johnson & johnson, we've been talking about this interview, holding a pharmaceutical analyst meeting today. meg terrell is there and is joining us with a very special guest. meg. >> joe, thank you so much. joining us now is ceo alex gorsky. thank you for joining us. >> great to have you here in new brunswick. as you know, t

aly baba shares are moving higher. initiating coverage on the retailer with a outperform rating.g the potential to make more money. that is the latest from the fox business network. giving you the power to prosper. ♪ melissa: grab your engines. the indy 500 kicks off this weekend. the 99th running of what is billed as the greatest spectacle in racing. jeff flock is standing by. he has all the details. jeff: i have a real treat with you. back in the garage. i have the reigning indycar champion with me. >> yes that is right. jeff: i am looking at your car right here. >> you are. jeff: i thought they were broken. i am not the biggest expert in the world. we had a few crashes. are you worried out there? >> yeah. i mean, you know. arrow dynamics have definitely change since last year. the indycar is working on it pretty hard. understanding why they are taking off. jeff: that is your car back there. we are talking about indy cars versus nascar. tell me why you do not drive stock cars instead. >> it is just the career path i took. i love open wheel cars. quite a bit faster than nascar.

. >>> for a second time high end designers gucci and yves st laurent are suing ali baba for false products. alibabba agreed to stop the sale of counterfeit goods on its site. >>> the biggest bird flu out break in years will push bird and poultry prices to their highest ever. the virus claimed an increasing number of chickens and turkeys. one of the largest producers will destroy 2 million hens because of the disease. experts say grocery stores and wholesalers are trying to stock up on the eggs. >>> today's digital age has brought all kinds of high tech items to the home from thermostats that think on their own to ovens connected to your smart phone. >> a growing number of americans are purchasing high tech toilets. >> reporter: when jeffrey saw his first high tech over 10 years ago, he didn't know what it was. >> the toilet opened and i jumped. >> reporter: after using it once he knew he needed one. >> it was the most incredible thing i've ever seen. >> reporter: they're called washlets but it's basically a bidet installed on top of a standard toilet. >> it washes your body with warm water

and also, it's a possibility that ali baba could buy stake in that company or buy it. >> we don't know what's going to happen on a takeover basis. we note business is strong there. but i got to tell you, i think owning e-bay into the pay pal split is an even better idea after all that mercado libre has done. so i suggest e-bay. >> i'd like to hear your thoughts on siesta restaurant ticker srgi. exponential rate growth and showing impressive year-over-year growth. for some recent stock's been trending downwards. am i missing something? >> this stock has now fallen 20. i think it's a very good situation. when we had the ceo on he talked about weakness in florida related to the affordable care act. he said there was weakness. i think you have to wait for the next quarter. dan in new jersey dan. >> jim, thanks for taking my call. i was calling on teresta therapeutics. it was up 38% after hours on tuesday. and it has some up side according to barrons. but there's other analysts saying it could go down to $10 or as high as $100. i was looking for your advice. buy, sell or hold. >> i think it

this is all about ali baba. people think they have money to throw around everywhere.s is a company people think are bigger. >> we will drop the self driving cars. autonomous cars aren't action proof after all. according to report in the associated press, four out of 50 cars have been in accidents since september in two accidents the cars were driving themselves. in the other two, humans were at the wheel. our crack staff back at headquarters able to obtain footage. we want to warn you, it's a big racket. >> of course, this is not the actual self driving car. >> it's tough. >> all right, coming up, suntrust saying stock versus major upside potential. the man behind the car makes his case right after this case. much more "fast money" straight ahead. ♪ ♪ it took tim morehouse years to master the perfect lunge. but only one attempt to master depositing checks at chase atms. technology designed for you. so you can easily master the way you bank. man: you run a business. could be any kind of business. and every day you've got important decisions to make, like hiring. where

. >>> ali baba getting a nice job. there's a high conviction outperform rating saying the street is underestimating the company's growth potential. despite today's big move ali baba talk is down. >>> the dow is up for the fifth time in six days. the s&p 500 is up for the first time in three sessions. both, though on pace for a third straight week of gains for the very first time since february. bob is on the floor of the nyc, bertha coombs at the nasdaq. bob, you first. >> they're singing the star-spangled banner. 2131, so we're essentially in record high territory once again. we still don't have a lot of volume behind it but listen we're in record high territory and that's all that matters. airlines have settled down after a lot of damage done yesterday. the transport still down more than 6% on the year but most of them are fractionally to the upside. you can see how we're moving today. the important thing is not much volatility in that particular group. did you look at the vics today? this is the new low for the year

once used for its ali baba distribution.to lose by buying twitter if your company is being valued at zero on paper? i doubt yahoo!'s ceo considers it that much of a compelling argument. if that's the case why own twitter at all? why even talk about it? i'll tell you why. because i believe it can either figure out how to get more people on board and reaccelerate the growth or it can develop ads in order to start making money, or it can develop a premium system that will really make it money. then you would have interested -- tons of interested suitors. the stock would rally higher on its own. if twitter stock plummets to levels they would look attractive. too expensive to be acquired without accelerating growth or profitability but too cheap if management can figure things out. as long as you understand those parameters it's okay to own the stock which is how we feel about it. here's the bottom line. if you don't recognize the risk or looking for a quick win you'll end up being frustrated. i bet you'll end up blowing that sto

ali baba takes a stake in zulily for $150 million. goldman sachs will reportedly pay $130 million to settle a foreign exchange rigging lawsuit. we're back in two. >>> reports coming in that russian foreign minister and u.s. secretary of state are to meet on may 12th to discuss ukraine, syria, yemen and iran. that is according to reports that the russian foreign minister and the u.s. secretary of state are schedule to meet on may 12th to discuss a variety of items. >>> let's look at european markets. we've got the dax, cac 40 and ftse trading in the red. that's quite a big slide. the rate cut coming out of china not really helping either. maybe what we're seeing is a little bit of profit-taking some concerns about greece creeping back into the picture. the ftse 100 is still bucking the trend. higher by .22%. ths a continuation of the celebration of the conservatives big win on friday. >>> let's take a look at u.s. futures. right now, markets suggesting a lower open. this is coming after that megarebound we saw on friday, thanks to that

they announced they are in talks with law zoo a company in china 20% owned by ali baba.ne a great job of growing subscriber 20 million global subscribers to go with the 40 plus million in the u.s. they've done a good job of growing the base but i don't think i see as these elevated levels to put money to work in netflix. stuart: )-right-paren wilmington delaware. see you again soon. and then we have got shazam. it is an app. use it to get the name of a song you like. <-less-than-sign identifies the song. now they do the same thing for images. rich riley comes to explain what it's all about. >> great to be here. stuart: i've got the message were shazam and identifying dogs. now you tell me shazam i hold it up and look at some thing like a movie poster tomorrowland in your app identifies the movie and puts all kinds of information on a cell phone. is that correct? >> that's correct. we partnered with disney for tomorrowland. you shazam the print ad and that transports you to tomorrowland and you can play games watch videos and brings the printed content to life. stuart: i

ali baba is also higher. they also announced the coo will become the new ceo next week. dick's sporting goods is also running higher by 2.3%. they were upgraded to outperform. and new york's top state court reviving a $120 million lawsuit against goldman sachs. the suit alleges in the time leading up to the great recession, goldman lied about a pool of mortgage securities backed by subprime mortgages. >>> many of the world's investing titans meet today to discuss wide-ranging topics like navigating the volatile stock market, the impact of future rate hikes and the next big investor idea. tyler mathisen are you going to buy yelp? >> am i going to buy? i'm out of the market for yelp. i'm not a userment. >> 70 billion to go. >> i'm a few billion shy. if you want to know where americans money is going look no further than right here at mutual fund investment company's big annual meeting. over the past decade investors like you have put in $379 billion into long-term stock and bond funds every year what have they done with their holdings of individual equities and individual

alexander mcqueen and counterfeits have been had they pour out a bottle for a while they assessed ali baban career to assist in profit the cell of counterfeit to. the dow jones industrial average hit all-time record high and up another 17 points for 18,000 to 88 near record territory here for the doubt. >>george: we have been watching this accident are no hot spot on highway 101 and send francisco backing up the right now along the candlestick causeway for the lot about a trip to the drive time coming of sfo affected so is the south about ride if it would not tickets with two minutes to get there from downtown san francisco will have a complete check when we return. rich dimero: millions of gallons of ocean water and to tap water on a daily basis it did not happen overnight the california drought has been grabbing headlines decennial california has been waiting for the drought solution for a long time we take about california's drought issues you cannot help but notice the irony that half the states expect to the ocean you believe to do with the largest plant and the western hemisphere jus

. >> but ali baba their model is the opposite.want to own all these warehouses, they want to be the middle man in all of this. what's the better business? >> that's an interesting question. i remember eight years ago when a lot of these businesses started to roll out their e-commerce in a bigger way and all of us analysts are saying higher margin there's no rent and no fixed costs. what we're learning today is because of price comparisons and people looking for the better deal and the fact that there's shipping and returns. actually not nearly as profitable as we thought it would be for the retailers at this point. i think that's a pretty big thing to keep in mind when you think about how these businesses are rolling out e-com and driving revenue but at a less profitability. >> why do you think that amazon will raise the price? they have had 50 chances to raise the price down through the years. their stock doesn't get hurt by virtue of their lacking profitability. i don't see that they change this business model because of this in

and the ali baa baba.ee or 5%. >> what's the ticker symbol? . >> ipo. >> thank you. if you have a question for rob, post it and we'll ask it on the air. we'll be right back. . >>> welcome back. a vigil will be held for two police officers shot and killed over the weekend. four are under arrest. they were killed during a traffic stop. the cruiser was then stolen and used as a getaway car. and the mayor of mississippi says it's the first time in 30 years that an officer has been killed in the line of duty in that city. >>> thousands of people brought to the city of baltimore jail with injuries too severe for them to be admitted. the -- refusing to admit detainees. it's not known how the people were injuries or if they suffered those injuries while in custody. but records suggest that the officers ignored or did not know about the injury. >>> sweeping down a creek in colorado, more on what happened. >> heading out on the summer road trip? going to cost you more at the pump. i'll let you know how much more. >>