jp morgan, $233 price targets. >> on-line explosion.were talking about the company as well, and just talking about how strong it looks like going into the holiday season. i think for those reasons, you can understand this call. 233, boy, that would be a huge stretch. you are talking about a monster valuation, but that doesn't mean it doesn't happen. i think if you want to be in there, do it with opgs, not stock. >> okay. up next, the bond trade ahead of the fed decision. what one trader thinks the recent sell-off is overdone. they are the natural borns enemy of the way things are. yes, ideas are scary, and messy and fragile. but under the proper care, they become something beautiful. >>> hi, everybody. welcome back to "the halftime report." we're focusing on the ten year note today, lower, the yield falling just below 2.5%. scott nations, would you consider bonds oversold perhaps at this point? >> that's a great question, sue. until today they were. but they're no longer technically oversold. the momentum is clearly lower. and we learn

think about jp morgan, morgan stanley. all the position trading they can do. very clearly look at the fixed income markets and how dysfunctional they are. >> a couple of these are long standing issues. it is unclear the regulation going away would change the nature of shifts taking place there. >> i think earnings used to come to trading. it is helpful the markets being efficient to have the big players here. trying to move having big players. >> plenty people -- we raise the same issue which is how much exposure should they have if trades go bad? >> governments were exempted from -- in theory they can trade -- >> i guess the question would be for me if i look at the goldmans and jp morgans you don't want to operate within that constraint. the market didn't put a high multiple on. that can't be your entire story. >> it is part of a factory that could drive earnings and power. it is healthy for the market to allow them to do it. i think they will hold high capital. that is the part of dodd-frank that i never argued with. other roles interchange fees what do the

jp morgan, jamie dimon very bullish. don't think the narrative changes about pro of had growth until the end have the year and into inauguration. i don't know what happens after that. i'm going to stay with the cyclical bias between now and then. >> he makes the point clearly that will people have gotten too negative, and that was wrong. now people are getting too positive, and that, too, is wrong. it's somewhere -- >> we just have to figure out where the middle is. or you guys have to figure out where the middle is. >> you made the point at the top of the show. the economy is better. the economy is better, and trump hasn't even put in trumponomics yet. >> it's marginally better. >> i can list a whole bunch of things that were better than expected. gdp, consumer confidence, cycle high. all of the manufacturing data much better than expected. companies are now talking about a little bit more confidence. i actually think that is the margin better than just a little bit better. >> can we look at an xle today? the xle essent

for what it is worth, jp morgan forecasts 700,000 barrels per day for libyan output.e have plus or -200,000 to that. turkey still to come, unexpectedly kept rates unchanged. we have the reaction from ingres coming up. -- from ankara coming up. this is bloomberg. ♪ yousef: welcome back to the "best of bloomberg markets: middle east." the turkish central bank unexpectedly kept all three of its interest rates unchanged. the overnight lending rate at 8.5%, the borrowing rate at 7.25%. we asked why the bank stayed put? >> it is obvious the turkish central bank is worried about a sharp slowdown in growth. that is formed to be the reason be the reasonto to keep all of the key interest rates unchanged today. turkeyd remind you that last week announced a first contraction in seven years due to a slowdown in consumption and investment, following the military coup attempt in july. a week domestic -- a weak domestic demand, which was a sentiment called by the turkish bank is a country force of upsetting the index of a weak lira on inflation. that was what gave the central bank th

goldman sachs, jp morgan? no question about it. ultimately i do believe you'll see this momentum continue as long as earnings can keep pace with expectationors at least until second half of next year i think you'll have to make sure that's all in line with expectations. i think we've got momentum that could last for a very significant point, period of time. love the regional banks. i love the financials, big, big banks in particular. for a value trade, i think you could start to look at some of the larger and mid cap bio tech names and, i tell you, i like federal express earn iings tonit and i also like u.p.s. as well. >> bob, the bond market is really where this jail break kind of started after the election, right? that was really the log jam, rates were capped. that's changed in tone, obviously. and also there's a story, this flirtation, lot of money flowing out of fixed income into equities. that's sort of happened on a week-to-week basis. is it a concern about how bonds trade? >> my view is that we haven't seen the great rotati

for more let's bring in nick garzite from jp morgan asset management. nick, good morning. what happens next really? you look at yields on the u.s. treasury specifically, still pushing higher this morning. how much higher do they have to go? >> they go a lot higher. by the end of next-year people should be eyeballing a ten-year note around 3.5%. the fed is talking about three rate hikes next year, the reality is probably four if not more. we're in a new regime. think of the underlying dynamics. we will get a big fiscal boost. that's great for growth, great for inflation and terrible for fixed income. >> some investors were caught by surprise when the fed hinted at three. you're saying four or more. that suggests we have a big adjustment to go in bond markets when you look at how investors are pricing expectations today. what happens when we get above that 3% level on the ten-year? will we look at liquidity concerns? a negative knock on effect on equities? >> no ultimately that's the ten-year rising for the right reason. it's rising because intrinsically growth is stronger,

there's jp morgan. talked a lot about the financials along with prudent l prudential. look heed giving a little back at this hour. there are three, by the way, in the cnbc iq 100 index up 19% this year. for more on the cnbc iq 100 sbekz go to cnbc.com/iq100. we are coming right back. they are the natural borns enemy of the way things are. yes, ideas are scary, and messy and fragile. but under the proper care, they become something beautiful. >> welcome back to "the halftime report." stephanie link is a portfolio manager with tiaa global asset management. she's with us now for her missing link segment. steph, welcome back. i see that you just picked up -- >> hi, scott. how are you? >> a couple more names. one that maybe speaks to your cyclical belief and maybe where we are in cu mmi ns and t. rowe price. >> i'm looking for stories that have legs in 2017, and so you know i have been a big fan of the industrials and the cyclicals. cummins has had a nice run. there's no doubt about it. i do think 2017 sets up well for them because they really depend on the truck cycle impr

the european union regulators have fined jp morgan, hsbc, and credit agricol a combined $520 millionor colluding to manipulate the price of interest rates. a special good-bye for long-time california senator barbara boxer. after 24 years in the senate and 33 in congress, she gave her fair we farewell speech on the senate floor. >> i certainly don't plan to stop. i am not only fortunate to have had this extraordinary career, but i'm also so fortunate to be going home to a state that stands for everything i believe in. zbloor and prince harry joining london brokers for a charity event. he hit the foenlz on the trading floor to hit the select charities around the world. the event is put on by icap which is a markets operator and provider of information services. that's the news update this hour. i'll send it back to you, scotty. >> sue, thanks so much. want to welcome you back to "the halftime report." just 16 trading diz left in this year, if you believe it. we're looking ahead now to 2017. the top equity strategist over at bank of america, merrill lynch. she joins us now with her outl

goldman sachs, jp morgan. dow within 50 points, could not get there. up by 70 points weakest performer today is nike. >> wow. another tough one for the apparel company. shares of valeant today. decreasing stake in the company to help generate a loss from tax purposes. joining us now in a cnbc exclusive here at yale ceo summit is valeant ceo. you are such a battle ground stock here. it has been a tough year for valeant in so many ways. what are your main objectives for 2017? >> well, first and foremost i think what we are going to focus on is continue to make a difference in patients' lives. if you think about what we try to do it was about getting a new team together. we hired somebody this week who comes with the head of our dermatology business and great experience. i have great experience there. hired a new cfo. getting the team together is really important this year. now we together as a team i'm confident we can focus on new products. that is what 2017 will be. >> how does drug pricing fit into all of this? donald trump just mentioned it again in

jp morgan chase's ceo reportedly keeps his e-mail replies short, sometimes one word. warren buffett relies on an assistant to sent his messages. >> everything can be exposed. >> reporter: beyond security, paterson says he's already seen an impact. >> it really empowers the peopling, the to me to be more direct. i was able to delegate responsibilities. >> reporter: if you have any doubt at all, don't send out the e-mail. come back to it either and then decide. better yet, have a face-to-face conversation, especially if it's something confidential. for "nightly news," i'm andrea day. >>> it's a good bet that cyber security companies will try to line up money to go public as the drumbeat for secure cyber space grows louder. what other tech companies are heading the list for offerings in 2017? deirdre bosa takes a look. >> reporter: 2016 was a very slow year for tech companies to go public. many go to private markets for funding. but there were just 14 initial public offerings, continuing a recent trend. the 14 ipos were half the number in 2015 and just a fraction from 20

at the end of the day, jamie dunn, jp morgan, gold—medallist goldman sachs, have a good holiday.ause i will give you a clue guys, you will be back. we are joined by our economics editor, ahmed. we saw there brexit back in the summer. we are looking ahead to 2017. where do we stand in terms of uk negotiations? everything looks so uncertain, doesn't it? i think the phoney war will come to an end. obviously britain voted to leave the european union injune, and actually the practicalities of that will start next year. so the british government wants to spark what is called article 50, that starts the process of exit by the end of march. that's a two year process, so that process should be completed, we think, by 2019. i think their attentions on both sides. in britain there are tensions between those who want what is called a hard brexit, fully out of the single market, out of the customs union, able to sign trade deals around the world itself, with no reference to the european union, and those that want a softer brexit. still having preferential access to the single market, possibly

the end of the day, jamie dimon, lloyd blankfein, you want to take your troops from jp morgan and goldman to paris, to the boulevard, have a lovely holiday. i'll give you a clue, guys — you'll be back. i'm joined by our economics editor, kamal ahmed. we saw brexit back in the summer. looking ahead to 2017, where do we stand in terms of uk negotiations? everything looks so uncertain. the phoney war will come to an end, britain voted to leave the european union injaw and the practicalities of that will begin next year. —— in june. the british government wants to spark article 50 which starts the process of exit. by the end of march. that is a two year process so that should be completed, we think, by 2019. there are tensions on both sides. in britain, there are tensions between those who want what is cold a hard brexit, fully out of the single market and the customs union, able to sign trade deals around the world itself, with no reference to the european union. and those that want a softer brexit, still having preferential access to the single market, possibly still in the single market, p

banks, jp morgan chase and citibank. it sounds like a lot of money and it is.'t forget the financial collapsed wiped out not only for investors, but world wide. >> an internet so- called celebrity adam said he and a friend were escorted off of the plane because he was heard speaking a rabic. >> she stood up and put his fist in the air. and no reason sat down. a some the people saw p are it was really uncomfortable. it was not fear. but uncomfortable. why is it happening? >> delta issued a statement saying the buddies tried to disrupt the captain with provocative behavior. >> and people tell itting me to leave. we felt like we were terrorist. that is not at all. >> we'll take it up with william and richard stant paul who is a former defense attorney. >> it might not be an issue fred if this guy didn't have a history of stoking racially tinge the events and filming them for delta to their credit dispatched the aircraft and when it landed. they put a team and crew on and interviewed the passengers and flight crew and they were straightforward. and some in story. i

jonathan: you weren't for jp morgan -- you worked for jp morgan.ver the past month or so? >> it is not shaping up to be a very good for years to be a bond investor. i will tell you that. you are going to see production cuts and energy go up, the tailwind to year-over-year inflation going back over the past 12 months has rapidly does it -- disappeared. it depends on what bonds you have. if you have inflation protected securities, then they are doing great. they have absorbed some of the back of in yield. companies that look like they might go through restructuring in the high-yield market are doing very well, also. forces.: two competing how do they reconcile? but will be the strongest force -- what will be the strongest force on what is happening? >> i think it will be fx. ultimately, you are going to see some of policy stimulus come through. granted, we do not know exactly what it looks like. we do not know the degree, magnitude, it impact. a tail wind.o be it is going to propel the dollar a bit higher. the interesting thing for us as bond investo

let's hear what jp morgan has to say. ceo said trading revenue will be up at least 15%.n recent years or at least last year, indicating bank stocks have been surging on hopes trump policies will unleash business. looks like the last two boxes on the right are the most recent revenue. this is going to be even better than that. let's go exactly into what the bank of america ceo had to say . 15% gains in trading revenue sounded about right. saying, look at the charts of the bank's performance. it is all about banks on fire since the election. bank of america up in a big way. jpmorgan, almost the same rise. what it means for jpmorgan's amond is you will see growth. onnne: what is the story insider trading? su: you could be liable even if you don't make money off of the sharing a tip. if you share or receive a tip but no trading or profit takes place, can you go to jail? the answer is yes. you get a tip, you are liable and could go to jail. the decision was unanimous. yvonne: thank you. up next, australia about to release the third-quarter gdp data. ♪ ramy: breaking news from

wells fargo and jp morgan and chase and city all stocks that are up today. it is getting so close to it 20 percent. and the dow down reason. and we bounding nicely. >> we'll continue to watch nicely. >> and a school direct near colorado springs. is willing to protect students at all costs. and the hanover school districts is allows staff and teachers to use guns. joining me on phone is mark mcpearson. and let me flush it out a bit. you are are a retired officer of the u.s. army and there is a background. where did the conversation even come up and how did they begin? >> the actual conversation began in june when one of our fellow board members brought concerns to the board about response times and violent activities in the school grounds and we are out so far. we have a great sheriff's department and takes them 20 or 30 minutes to get to the location and introducing with them with that. marijuana is now legal in the area and concerns about possible activities as a result of that marijuana grows in the local community. and naturally a board member brings it t

jp morgan chase received the largest fine — worth almost 3am swiss francs — for colluding with royalys was also fined 29.8 million swiss francs for its part in a cartel to rig euro interest rate derivatives. the troubled italian bank, monte dei paschi di siena, has announced that it could run out of funds in four months. the bank's shares were suspended this morning amid concerns over the bank's health. the italian finance minister, pier carlo padoan, has asked parliament for permission to borrow around 20 billion euros to shore up the bank. a consultancy firm has apologised to the government for the "disru ption" caused by a leaked memo that suggested ministers had no plan for brexit. deloitte said it regretted the publication, adding it had proposed a plan "to put this matter behind" them. let's check out the financial markets now. a lot of read here. the ftse 100, markets now. a lot of read here. the ftse100, the dax in frankfurt, and france are all down. there is a lot of light trading, not much activity going on. but worries about the italian bank has filtered through to the fin

looking at jp morgan stanley and they say that cutow these -- saudis must over 2 million barrels a daymake sure this works. is this something that you can join as well? scott darling: i think that saudi production can be cut anyway, exports may not read if you come in -- not. if you come in with the summer period, there will be better gas supply in saudi arabia and therefore less need for the oil burns. exports may not change love the production could come down. yousef: what about the libyan variable? they have been exempt from the agreement in terms of freezing and cutting oil production. could that be a black swan? maybe the variable that could the real the plan going into -- derail the plan going into next year? scott darling: i think some of the producers, if you look at the conference calls, they said the same thing about visibility and the outlook. 700,000 forecasts barrels a day for libyans and their output next year. on the still to come "best of bloomberg markets middle east." thisy kept rates unchanged week and is gdp fell for the first time in seven years. we have reaction,

we're looking at the banks, the financials, bank of america, jp morgan, trading higher. bank of america is getting of boost after the company sold its for credit card business $2.4 billion. that will close in the middle of 2017. also helping is the 10 year yield. it is rising a little, helping banks in the idea that rising rates will help lenders lend in a more profitable way. we have the bloomberg dollar index trading higher, being helped by raising rates. a risk on tone for markets in the u.s. , as has beenrs proven over the last year and a half, shrugging off geopolitical uncertainty in light of incidents in the last 24 hours in ankara, turkey, berlin, zero, switzerland. -- sure it, switzerland -- zurich, switzerland. the stoxx 600 is rising come the highest level since december 31, 2015, proving resilience to geopolitical shock. the age of stock volatility, the lowest level since july 2014. that membersupbeat of the stoxx 600 expect earnings to grow by 12.5% hear it when it comes to benchmark highs for the of april, 412 last year. we are 10% below those levels. this

a jp morgan survey showed the biggest short in u.s. debt going back to 2014.nteresting there is still a perception that treasuries could have more to go downward. host: this backup in yields could persist. great to have you on "bloomberg daybreak: asia." let's get the first word news. >> india's decision to scrap high-value rupee notes sees inflation rising at its slowest rate in two years. consumer rates rose by less than expected 3.6%. vegetable prices fell. signs of a slowdown could push the r.b.i. intercutting rates. it cut six times since the start of last year, and managed inflation at 4% through 2021. shares getting 45% since the brexit vote in june. there are concerns on the transition, and what the insurgency means for business. chairman douglas flint says he sees more volatility ahead, but that is not necessarily a bad thing. >> more volatility, i think. which, in many respects, is good for banking businesses. people think carefully about what they need to hedge, and how they position themselves. on the other hand, it is bad for economics to the exte

. ♪ megan: nearly a decade after the global financial crisis, jp morgan chase chairman and chief executiveimon has emerged as one of the more sought after voices on banking and the global economy. i sat down recently with dimon in detroit, michigan to talk about the motor city's economic recovery, helped in part by j.p. morgan's $100 million investment in the city, to discuss whether strategies used here could be replicated elsewhere. jamie: without an mayor like this, i think it is a waste of time. megan: even though he will not be a member of president-elect trump's cabinet -- jamie: i don't think i am suited to be secretary of the treasury. megan: dimon gave his take on where president trump can affect real change. jamie: fixing corporate taxes, immigration, trade, all done properly, we will have faster growth in america, and we can fix those problems. megan: that it's all coming up

yousef: i was looking at jp morgan stanley and they say that the saudis must cut over 2 million barrelsay to make sure this works. is this something that you can join as well? scott: look i think that saudi production could well be cut anyway, exports may not. if you come into where you are sitting in your summer period, we believe there will be better gas supply in saudi arabia and therefore less need for the oil burn. so though exports may not change, production could come down. yousef: what about the libyan variable? they have been exempt from the opec agreement in terms of cutting or freezing oil production. is that something that could be a black swan and derail the plan going in to next year. i think we have limited visibility. i think some of the producers, if you look at the conference calls, they said the same thing total said the same thing about visibility and the outlook. jpmorgan forecasts 700,000 barrels a day for libyans and their output next year. yousef: still to come on the "best of bloomberg markets middle east." turkey kept rates unchanged this week. the gdp fell for

joining us is jp morgan's global market strategist a.ple of people drawing attention to cell signals, overextension, elevated sentiment. others say analysts are behind and the stocks are discounting what the analysts eventually will do. what do you believe? >> there's a lot priced into the market right now. definitely room for a little bit of disappointment next year. i would say that this doesn't necessarily feel overextended. yes, the market has moved pretty far, pretty quickly. if we take a step back and think about what the economic data was doing in the third quarter and into the fourth quarter of this year, we were seeing an acceleration in growth. part of the rally we've seen, while it's built on views of what may or may not happen in 2017, part of this rally is built on improving market fundamentals. i feel like there is still room to run. >> do you agree, brian? >> yeah, on the equity side, i think there's more here. even on the bond side. most of these big moves, if you look in the past, take two to four months to play out. whi

jp morgan chase's jamie dimon and disney's bob iger will be joined by the ceos of ibm, wal-mart, gm and others. they'll start meeting with trump in early-february. 3 16-hundred "american airlines" flight attendants... had bad reports headaches... rashes... hives... burning skin and respiratory problems. the airline says... they've found nothing unusual during ?two rounds? of testing--- but will start a third round of tests next week. 3 the white house has relased its own app! it's a virtual version of 16-hundred pennsylvania avenue over a one- dollar bill... and builds a tiny interactive version of the white house on top of it. you can also watch events like the annual easter egg roll. the augmented reality app- called 16-hundred-- is available for free in the android and apple app stores. 3 3 forecast...today...cloudy. patchy fog in the morning. highs in the upper 30s. southwest winds 5 to 15 mph. tonight...mostly cloudy. lows in the lower 30s. south winds 5 to 10 mph. tuesday...mostly cloudy. highs in the upper 30s. west winds 5 to 15 mph. tuesday night...colder. partly cloudy. lows i

morgan's ceo jp speaking to bloomberg businessweek. 6:18 a.m. in london.ture on the hang seng right now. effectively quiet. the week has not in so. up to 22,074. the asian session in general up 0.3% but it has been a generally downbeat week for the asian equities session. commentrmath of the fed . let us get to hong kong and get the bloomberg business flash. here is juliette saly. juliette: alliance is in discussions as they bid on the french operations. the executives are uncertain about getting regulatory approval and they may not reach a deal. spokespeople -- declined to comment. oracle fell in extended trade. revenue last quarter was little changed from a year ago at $9 billion, slightly below forecast. by a were dragged down decline in software licenses as the company moved towards more cloud-based programs. will beginors testing autonomous vehicles on public roads in michigan. already running similar experiments in san francisco and scottsdale, arizona. the ceo made the announcement during a speech in detroit. >> metro detroit will be one of the prim

goldman and jp morgan, big mover in november. the single biggest reason we moved to dow 20,000.ndustrials like ge, caterpillar are also big movers, and they basically stop going up. >> yeah. >> so the leadership that's come in recently, some of the energy stocks, chevron is at a 52-week high today, for example, exxon, but that hasn't been enough to move things forward. some of the consumer names, procter & gamble. we're sort of just passing around all the sectors to. there's nothing breaking out and rs forring the markets. >> what we've seen is the huge moves in certain sectors. we haven't seen the sell side at all at the end of it. >> there's no leadership, but there are individual leader sector groups during a day, during a two-day period, but that's all we're getting. we're not getting the huge break-out. >> my point is the trend still is up. the trend is not down. the momentum is on the side of the optimists and the bulls still. >> his campaign was caught on this. >> are you optimistic that we are going to see an expansion of earnings because all of this tax cuts, lower regu

bank of america, jp morgan and wells fargo, wells fargo america down, but angle and jpmorgan higher. jpmorgan put in their fourth record high in a row. the second-best sector this year of more than 22%. julie: coming up, we will talk to the chief investment officer at what management, so he will talk a little bit about the banking sector. thanks, abigail doolittle. back to frankfurt and the ecb decision, which comes amid the concern that the euro's fragile recovery risks being derailed as medical uncertainties cloud outlook. mario draghi shared this assessment in his news conference. mario draghi: the outlook for ecb growth is probably unchanged. surrounding the euro area is tilted to the downside. julie: for more on his remarks, let's get to matt miller in frankfurt outside of the ecb. matt, seems like there is confusion here in the wake of this decision and press conference. what is your big takeaway? well, i think there was some confusion that seem to get sorted out after mario draghi started speaking. the confusion revolves around the word "tapering," and the definition. draghi w

. ♪ megan: nearly a decade after the global financial crisis, jp morgan chase chairman and chief executives one of the more sought after voices on banking and the global economy. i sat down recently with dimon in detroit, michigan to talk about the motor city's economic recovery, helped in part by j.p. morgan's $100 million investment in the city, to discuss whether strategies used here could be replicated elsewhere. jamie: without an mayor like this, i think it is a total waste of time. megan: even though he will not be a member of president-elect trump's cabinet -- jamie: i don't think i am suited to be secretary of the treasury. megan: dimon gave his take on where president trump can affect real change. jamie: fixing corporate taxes, immigration, trade, all done properly, we wilve

some 16 counts of securities fraud, wire fraud and many other charges related to the 2014 hack of jp morganhase. he surrendered at the airport in new york. that breach exposed the records of more than 83 million customers. aaron had been hiding out in moscow and agreed to face these charges. >>> if you don't already have the nbc washington app, today's a good day to download it. we are in storm team 4 weather alert mode thanks to the cold temperatures and the wind. and you are going to need a lot of layers if you are headed out the door this morning especially for folks working outside. a closer look at that when we check back in with storm team 4 meteorologist chuck bell. >>> if you weren't impacted by the yahoo hack, you could be now. the new threat against government worker but good luck finding one. the store promising to help >>> good morning, everybody. i'm meteorologist chuck bell. hold on to your hats and hairpieces today. those northwest winds, they are blowing. 30 to 40-mile-per-hour winds possible if not likely for most of the day. we're in the 20 to 30-mile-per-hour range betwee

/china economic relations. >> i'm joined now by jing ulrich, a senior executive at jp morgan chase based in hong kong, responsible for the investment of trillions of dollars across the region, known as the unofficial voice of china. grew up in china, educated in harvard, stanford, a u.s. citizen. jing, let me start with the election of donald trump. what impact do you think his election is going to have on u.s./chinese relations, the most important relationship in the world today? he's said some pretty menacing things. he's said a lot of things. how worried are you about a sharp decline in the quality of the u.s./chinese relationship? >> well, good morning, roger, thank you very much for your kind introduction. and good morning, everyone. in terms of u.s./china relations, clearly there will be a lot of uncertainties. mr. trump on the campaign trail said that he would grant chibra china a currency manipulator on day one and impose a tariff on chinese exports. let's look at the economic factors. to brand a country a currency manipulator, there needs to be three conditions. number one, this

megan: nearly a decade after the global financial crisis, jp morgan chase chairman and chief executive officer jamie dimon has emerged as one of the more sought after voices on banking and the global economy. i sat down recently with dimon in detroit, michigan to talk about the motor city's economic recovery, helped in part by j.p. morgan's $100 million investment in the city, to discuss whether strategies used here could be replicated elsewhere. jamie: without an mayor like this, i think it is a waste of time. megan: even though he will not be a member of president-elect trump's cabinet -- jamie: i don't think i am suited to be secretary of the treasury. megan: dimon gave his take on where president trump can affect real change. jamie: fixing corporate taxes, immigration, trade, all done properly, we will have faster growth in america, and we can fix those problems. megan: that it's all coming up in this special "bloomberg businessweek debrief, a conversation with jamie dimon." >> let's talk a little bit about some recent news first. i am sure the audience is interested as i am. there

jp morgan bank recently agreed to pay a $264 million fine for hiring these princelings in what regulators bribery scheme >> is the trump children involvement in business comparable to these other regimes? >> it could be. we have to see what happens and how they behave when trump takes office in january. so far, lawyers and ethics experts, people who study corruption around the world, are alarmed because of the pattern that they are seeing. not only is trump including his children in official transition meetings, but he's also telling the american public that two of them will run his company. this clearly mixes the office of the president with family business. and, look, the real question is why should americans care? it's primarily because corruption thrives in countries where the lines are blurred between family and government. they're either blurred or indistinct, really. izen says this sometimes means people are looking to ingreige themselves to the family and when that happens it ends up costing taxpayers billions. >> thank you so much. good to see you. >> of course. >>> we're followi

. >> just jp morgan's call last week. >> i just don't think that -- >> the -- plus, i'm worried.ing, listen, i really like warm socks. sorry she doesn't watch you. she doesn't watch me. i was going to go to the mall, and i'm close to short hills, and instead i amazon warm socks. it was like everybody is there. i said, well, i'm not getting in my car and going to the mall. >> sporting goods, they like footlocker. on a day where cowan says they don't like finish line. >> one is better than the other, and don't forget, newicy reports. it's an arms deal situation among nike and under -- by the way, adidas. we talked about that last time. >> footlocker has exclusiveives that finish line -- >> finish line is never going to have. >> they can't compete with footlocker, as you say, with getting the key styles. >> yes. >> that should be a private equity company. >> wow. >> it shouldn't be a public company. >> i do love the fact that any new jordan goes right to footlocker. not to finish line. >> you can buy nike here also. >> you do. >> you can. >> you want to buy it deep in the money call

whether jp morgan or go through the entire list when we got last quarter, now this quarter, how is the revenue going this quarter? how about the fact they are going into wealth management? the those things will get better like morgan stanley. they are following the right playbook. >> bank of america versus city or -- >> yes. however -- >> morgan -- what singled out. >> j.p. morgan trades of its book value. that's why i prefer bank of america. when you look at city, it has for more international exposure. you're getting an american bank. it's not wells fargo but it's a monster bank. >> pete, what do you think about the fact interest rates going higher could be the same thing that knocked so many mortgages on their butts and you can see people really recoil. a lot of people are living paycheck to paycheck or floating in terms of mortgages and this isn't going to help. >> if we start to see it because you got to remember what level we're coming off of i think and morgan stanley had a piece saying if they raised rates by 1%, that would be 6.5% towards earnings for a bank of america. what h

jp morgan put out a morning note today talking about the state of the united states and the global marketrall that it rests on the realization of the trump-ryan agenda. that does continue in a good way. stocks, that's all good. there does appear to be some differences that are occurring twine investor expectations and the likely reality and this represents equity risk going into 2017 for the first few months. so can trump-ryan put the great ideas through on corporate taxes and infrastructure spending and the like? so there is some cautionary tone on that. i will say for this quarter we've had great performers, goldman sachs has helped lift the dow from 19,000 to 20,000. goldman sachs is up 50%. also nasdaq moving to all-time highs, bank of america, united airlines and also netflix. but big picture here, the traders still feeling optimistic, they still think that the trend is to the upside, this is a head lieb driven market. anything donald trump says at any time can really give this market a boost and the idea here is that the market will move to 20,000 and if you ask everybody here, they

you just go back to q3, and the numbers, we're talking about this just yesterday, but look at the jp morgan numbers for q3. they were spectacular. there were record numbers across the board. every single category you look at, they seem to be killing it. what did they do this quarter? i think that continues, and i think any kind of good news just that much more gas thrown on the fire to give these things more up side. when you look at valuations, they aren't extremely -- usually you look at financials based upon price to book. price to book they're rnd 1 or less, and then you start looking at the p.e.'s. most of them are 13 to 14, maybe 15 on the higher end of the big financials. >> let's remember the s&p financial sector is the only sector that is annualizing over the last ten years at a negative number. it's 0.02% negative each year, so when we think about the recent run, we have to keep in mind over the long-term, these stocks have done nothing yet. there's plenty of room and opportunity. i'm with pete. i don't think you need dodd frank to be wiped off the books tomorrow. >> you don't thi

the wire houses, jp morgan, goldman sachs. that all makes sense. what's going happen is somewhere along the line in q1 we're going to see a 10% correction in the regional banks. people finally figure out, whoops, these numbers are terrible for q1 and q4. i want to be optimistic. i hate going short anything. i am starting to see pe expansion here. >> look what the regional advisory done since the election. if you look at the graphic we just put on the screen that showed you the performance in the big banks since the election, the gains are amazing. stunning. >> if i showed you -- if i show you a chart -- if i show you a chart of the regional banks which, by the way, are mostly midcaps, well within one standard deviation to have a 10 % correction in any quarter. banks are trading at a 20% discount to the market multiple, and in addition to that, you're seeing real expansion on the credit side. the balance sheets are improving. they have been improving over the last couple of quarters. >> moves we've seen are normal. they're not. i bought some russell

jp morgan chase, for example, a major u.s.ank with extensive major business in china recently agreed to pay $264 million fine for hiring these princelings in what regulators called a systemic bribery scheme, christi. >> is it a fair comparison to take trump's family in official government and business? is it fair to compare that to the regimes of china? and is it that serious an issue? >> well, it could be. and of course, you know, trump has yet to take office, but lawyers and ethics experts are becoming alarmed now because of the pattern they're seeing. not only is trump including his children in these official transition meetings, but he's also telling the public that two of them will run his company. that clearly mixes the office of the president with family business. now, this is the salient point, why should americans care? primarily because corruption thrives in countries where the lines between family and government are blurred or indistinct all together. this often results in wasteful overpriced government projects bei

jp morgan. >> the stock rallied 65% from the lows. i was buying it in the 30s. it got to 60. own it. i was trimming a little bit this morning too because i do agree with him. i think it's still up 50%. even with this correction today. i am going to hold to a small piece because i do think that this company out of all the department stores really runs the best show. they have the best presence or the greatest presence in e-commer e-commerce. i've done a good job in ermz it of cost cutting. i'm going to stick with it. you'll see where it settles in. i might even buy it if it pulls back more. >> kev, what's your view on viacom? you got sumner redstone leaving the board. you have sherry redstone that doesn't want the deal with cbs where, what do you do with this? >> i'm hoping shaer redstone eventually now that her dad is leaving the board brings some adult supervision into this name. you know, just the last ceo they whacked they paid him $95 million in comp. the new guy is only getting $12 million. i hate story stocks like this. there's too much moving parts and drama. i'm a con

banks including goldman sachs and jp morgan chase led the market higher today. gained 45 points to close at 19,216 and change. s & p climbed 12 the nasdaq up 53. >> new type of grocery store letting shoppers skip the checkout line. amazon is testing a model of it in seattle. all the grocery items are registered biosensors and they're automatically charged to a customer's amazon app. that allows people to pay as they go rather than wait in line. amazon employees are testing the first snore seattle. it's expected to open to the public early next year. >> major league baseball uniforms are getting a makeover. under armour inked a deal to provide the new game day and training apparel for all the teams including the phillies. this is the company's biggest deal yet way pro sports least the new uniforms roll out in the 2020 season after major league baseball's with its current uniform company expires. >>> new jersey lawmakers got a crash course on drones today. here at inn trenton senate president steve sweeney and other new jersey state senators gathered for this roun

for the hour today, joe tear teranova and -- also debracos lecos, a chief investment strategist at jp morgan higher yet again. that vote in italy over the weekend not enough to disrupt the record run. i would turn to you and ask what, if

we are probably between -- jp morgan is more the institutional side of the house and wells fargo is moreted to the retail side of the house. what makes us different is we have the largest retail platform in the united states and the largest wealth management business. that is what makes our business model unique. we go to war with those guys every day. it's extremely competitive. at the end of the day, we admire them as competitors, but we go to war to win against them. our business model is more of a hybrid between capital markets, trading, and wealth management, and retail. each of those is weighted a little differently. when bank of america bought fleet in 2003 and 2004, we pushed a 10% deposit share in the united states. there was a law passed that said you cannot acquire if you are above 10%. when the bank of america bought fleet, that was the bank that passed. organically and we are up to about 14% or something like that. but you cannot acquire. and so one of the nice things i have in my life is i cannot make any acquisitions of anyone who has a deposit franchise in the united stat