services pmi. , let's get back to allianz if we can. tell me about the replacement?e quick thing on the german pmi, the fact that it is slight is important as we have seen negative sentiment from germany. the positive direction i wouldn't underestimate variant the new guy is oliver beta. he is 49 years old and will be the new ceo of ali ons, he has background at mckenzie and joined in 2007 as a coo and became the cfo. clearly this is an in-house pick. ." that is it for "on the move still down on the week by roundabout 2%. if you want to talk markets i am on twitter and ferrotv. >> jobs day. the u.s. is set for a big pickup in payrolls as christine lagarde tells us the country is one of the few bright spots in the world economy. loyalty lost. easyjet profits jump as passenger swotch from air france. jpmorgan says our recent cyber attack invades two thirds of american households. welcome. you are watching "the pulse."

allianz ceo will step down next may. the move comes amid turbulence at allianz u.s.co. you might have heard of that. >>> nike delaying launch of lebron james's new shoe due to cosmetic issue. it was due to launch october 11th. nike has not released a new date. >>> the company behind angry birds is planning to lay off 130 employees due to slower than expected company's growth. >>> billionaire warren buffett is getting into auto sales business. buffett is berkshire hathaway is buying the largest privately owned auto dealership. terms of the deal were not disclosed. >> >> according to report by challenger, gray & christmas, job cuts plunged 24% from a year ago, to about 30,000. and that is today's "speed read." [buzzer] liz: minutes before that midnight deadline set by protesters, hong kong's leader says he has no plans to resign but is open to talks. david: police were seen loading supplies of antiriot gear earlier today in preparation for more protests. joining us is tiffany app a local journalist in hong kong at the heart of the action or covering action for the past

. >> the ceo of the german insurance giant allianz, the parent of pimco located in germany is to steprom his position next year. he turns 60 next year which is when contracts of allianz board members typically end. >> certainly what i know about gross' record, it's been terrific. it's not heeasy to run hundredsf billions or trillions of dollars. that is a real task. it may have gotten more difficult as the numbers got larger. i don't know. certainly that is true in equities, no question about that. his record, he didn't attract that money on his personality. >> it basically makes about quarter of its income from pimco. the fact there is more news on the outflows, this is material to the company. we knew that the ceo would go, we knew who the successor would be, but the timing is interesting. >> and that mohamed el-erian maintains his relationship writing economics, op-eds. >> not going back to pimco. also warren buffett said 240 on the ten-year doesn't look like a hot return. he would rather be in equities anyway. >> said one of the greatest investors in equity. >> exactly. >> an inde

i almost said elian's -- allianz. >> there you go. >> my pun about oil being fracking cheap is that oilfracking. it has to be stimulative. it is wonderful on two fronts. it is wonderful for the consumer and great for the manufacturing. >> we have had a great run in the last five years. a little volatility is not something we are overly concerned about. we aree do you think headed? is this a quick correction? are we looking at the beginning of a bear market? we have been on an upward trajectory for so long. >> if you look at the last five years, it has been straight up. it has been buy as much as you can and as broadly as you can. the next three years will be about finding unique companies that can differentiate themselves. it will become a stock pickers market. of theou look at a ratio russell 2002 the s&p 500, some say it is an ominous sign. some say the russell 2000 is underperforming the s&p 500. as you look through stock selection and parse the markets, are smaller caps a better investment at this point because of the stronger dollar? >> here is the chart. >> there you go. there is

. -- allianz. the economic numbers are still coming in, today jobless claims hitting a 14 year low. why is that not adding a buffer to what is going on? buffers not adding a because we are in the grips of a technically driven correction and in addition, fundamentals were so much lower than where prices were that you need fundamentals to improve faster. while a lotee for a of pressure on risk assets. patri, theill remain good news is it is somewhat less disorderly. fact earlier in this morning we were speaking with jeremy siegel who says, with the ce ratio at 15 for the s&p and yields below 2%, this market is going to recover by the end of the year. the issue that sentiment? comment about the pe is controversial, because different people measure it in different ways, and there is a fundamental question about the outlook. i would put a big margin of uncertainty around the estimate for the pe. i think more fundamentally, it is interesting to see how quickly people are calling for the fed to do a qe. t

what do you make of allianz. the. >> the two may be connected, may not.ther than what is in the paper. but it's a big story. >> were you surprised a founder like bill gross would leave his firm or get kicked out of his firm? >> sure. a lot had been written about it. i'm guessing there will be more. i don't know anything on it. >> do you have a lot of founders to work in your portfolio? >> right. >> have you gotten in a situation where the founder, you got to a point where you say you know what? i thought i loved you and i don't love you anymore? >> i can't think of one. there may have been one, but i can't think of one. we don't have any retirement age. and so sometimes when they're in their 70s, maybe 80s, i've had to tell them that their time is up. but i can't think of anybody that was a founder that we had to terminate. >> warren, do you and any of your businesses have any money with pimco? >> no. not that i know of. there are a couple of utilities we have that have pension funds that we're hands off with. it's conceivable. but we run almost all of th