blackrock's will landers, do you agree on pbr? >> well, i would like to see the capex improvement at pbr. that's the big question, that's the thing that's held back and has held back the deep-water drillers, that's the big question mark in my mind. >> coming up we check back in with the najarians at the cantor fitzgerald charity day they're mingling with some of hollywood's biggest stars, there's steve buscemi, getting the mike on, getting all set and he'll be up right after this. >>> welcome back as the nation marks the 13th anniversary of the 9/11 attacks, the folks at cantor fitzgerald, which lost 658 employees are marking the day with their charity day, donating all trading proceeds to number of different organizationings. several big-name celebrities are helping in that cause. we sent our own john and pete najarian as well. and they're joined right now by a couple of special guests. guys? >> we do do have some special guests, scott, as a matter of fact. and steve buscemi, people know from so many different character roles he'

this matters to our guest host, jeffrey rosenberg from blackrock.quity and economic data. it is a jungle as we try to gauge this odd linkage of the american economy to your stock markets. there are the haves and have-nots. we own a punch bowl filled with a draghi brim. what an on time we are living in. the themear is about of divergence. you talk about yellen and draghi. if they're going in different directions. made the and dependent modern said in 1951. define the punch bowl? >> that is easy money policy. you are the punch bowl away the four people get too drunk at the party? >> are we drunk? policy.nefited from a zero interest rates and the divergences i was talking about. people are seeing it in the currency. if you're running a global portfolio, you need to be careful. if you are a u.s. investor, how much diversification you have. you are seeing a shift in monetary. >> you are looking at institutional accounts, that stronger dollar, does that benefit american portfolios? >> it depends on how those portfolios are structured. one of the big theme

russ koesterich blackrock chief investment strategist. thanks a million. liz?y stunning news that bond king bill gross is leaving pimco and joining january us has many investors what happened inside the walls of pimco? what kind of boss was mr. gross and what led to his departure? we're talking to a former pimco senior executive who worked directly with him and has some strong opinions on that. >>> a three deprinter boldly going where few humans have gone before, to the international space station. apollo 13 would have loved this thing. the ceo of the company that makes the printer, tells us what his gadget will be doing there. it went up on elon musk's rocket. >>> wendy's rolling up brand new menu items to target hard to reach millenials. we'll tell you what is on the list when we come back. ♪ we've never sold a house before. (agent) i'll walk you guys through every step. there are a lot of buyers for a house like yours. (husband) that's good to know. "hello. you can go ahead and "have a nice flight."re." ♪ music plays ♪ music plays traveling can feel like one

larry fink and blackrock, very big democratic contributor.ames at blackstone, who was almost president obama's treasury secretary. they're first on the list, if anything happens. liz: bob bain, did bain come up? >> bain capital is a private equity firm. they're on the list, obviously. liz: charlie, thank you. >> you bring that up because of mitt romney, they're all so huge. investing on a lot. thank you g bell 28 minutes away, a lot of red on the screen. here's a venture capitalist with a midas touch backing hundreds of companies from skype to tesla in the early days. tim draper in a fox business exclusive. is he battle tested. he's talk about the next big thing in tech. but also bitcoin and why he thinks california should be called californias. split into six. didn't work out on the ballot this time. is he done or keep fighting? >>> apple wants to replace your wallet with apple pay and credit card companies are jumping on the bandwagon. so are hundreds of thousands of all different kinds of retail stores. mastercard's chief emerging payments

. >> was it clear that blackrock was going to hire mr. gross echo >> i have no idea. i am on the equities side. >> the bond market is a place where managing money can have a big influence, and it is not as easy to trade in the bond market and the stock market. you cannot get in and out in size without other people noticing. and pimco -- >> and pimco's total return fund made it difficult for bill gross to move. i want to get the company news in the meantime. we will start with softbank. in talks to dry -- to buy dreamworks animation. the film studio, turning it into a mini walt disney. softbank senior executives have not formerly discussed the potential acquisition. air france pilots ending their two-week strike. they plan a full schedule as the -- as they try -- pilots began striking on september 15. the walkout has cost the airline about $25 million per day. apple accused of prospering from a legal tax deals in ireland. "the financial times" says the european commission has found a tech company benefited from illicit state aid. >> shocking. me?you kidding >> know, we

it is certainly the larger firms such as blackrock, and so forth that have a great amount of stability. comfortable putting their money there. if you jeweled on further, you want to put your money with a --y seasoned recessional professional who knows how to manage it all kinds of markets. bill gross represents that. i think you will end up with some money that is going to leave pimco to go with him. the net result is that pimco will see some further out lows of gas -- outflows of cash, and it could be difficult for their parent to accept that reality. in thomas to bring your tim of ernestine. what could you say of the potential outflow? theyviously estimate anywhere between 10% and 30% outflows. and although we see in direct impacts, and ideally they are underlying investmes nts, this is a young stock buy. >> what about size? when you manage a very large fund, you can do many great things but it does not move the needle. what about that aspect of this? >> it becomes difficult to manage a large fund, and it becomes more difficult we also have pressure of managerial responsibilities and

we are joined with blackrock. you opine about the jobs market yourself. there is slack., when do we get out of that and what does that mean for the markets? an improvementg in the labor market. over 2000.ve printed what is missing are primarily wages. very little wage growth. unfortunately, this may have to do more with structural headwinds fanned cyclical recovery. >> don't you think there is a shift?of a structural inflationn't see pickup likely have in the past? >> this is one reason we look at data.e economic most of the jobs data has been better. household consumption and retail sales has been missing. it goes exactly to your point. if wage growth does not pick up, zimmer -- consumers will draw further in their savings or they borrow more, retail sales are going to disappoint. we have seen that even as the overall economy has gotten stronger. >> i am puzzled sometimes why we the jobs to permit is important, but why it is is -- it is important. we have seen a huge rally even in the jobs market here and why does it matter? tear thele of reasons first of which is that

least six big institutional investors are poised to take substantial stakes, including fidelity and blackrock. rowe price. $68 is the ipo price for ali baba. >> thank you very much. alibabaollowinge the initial public offering. more next on "taking stock." ♪ >> this is "taking stock" on bloomberg. i'm pimm fox. alibaba, parsing its initial public offering. this get more details from julie hyman in the newsroom. >> we are looking at alibaba, pricing the offering at the high end of the range, $60 a share. $68 a share. that means ali baba is raising $21.8 billion in the ipo, which makes it the largest u.s. initial public offering ever, and means its market value, before shares even trade, would be $168 billion. this would, if it were in the s&p 500, be about the ninth largest in that index, between intel and citigroup, and we don't know what it could do on the first day of trading. $21.8 billion raised in the ipo, valuing alibaba at $168 billion. >> let's bring in paul kedrosky from san diego. paul, give us your thoughts on the pricing. >> i'm of two minds. it's the number we have heard about fo

morgan stanley, blackrock. these firms are offering unconstrained bond funds.weut $21 will see how high that creeps up ivascyn. whether or not there is cannibalization inside pimco from the total return fund to the unconstrained bond fund. >> the chancellor of the executor has been looking at range rovers. he will be at the conservative party event where the conservative party is meeting. the conference. anna edwards is there. what are we expecting from george osborne? >> we are expecting george osborne to be speaking later on. what is he going to be talking about -- pensions. tax imposed ona pension funds when somebody dies. looks as if we're going to see some reform. we could see an abolition of that 55% tax. criticism of ed miliband of the labour party forgetting to mention the deficit. something george osborne will pick up, saying the idea you could increased living standards, he's likely to say that that is nonsense. we've heard about plans to revamp the benefits system. on benefits,cap perhaps. we might not get more detail on europe. given that we have se

over $700 billion of fixed income from blackrock. he is here to share his views. >> people saw an immediate reaction. except for the headline, everything else was pretty good. -- themployment rate dashboard improved. we saw hours worked unchanged. long-term unemployment went down and the number of people working part-time. federal -- several prominent researchers said that a secular because so many people are retiring from the labor force. that is not the position janet yellen has taken. within the fed there is a growing recognition that that is the case and we are not going to see a big rise -- big rise. are people going to come back into the labor force? >> what you make of all this? take a caveat and say there are things that are really good. every single piece of economic data has been positive. adp was really good. i sm. if there is something worth thinking about. to 17 have disappointed and 12 to 14 have been revised higher. there is a seasonality to this. august is a weird period when it -- toto hiring you hiring. some of the

ceos, jpmorgan, larry think, blackrock , tim armstrong.lso coming up, we spoke with some egg chairman and ceo masayoshi son, alibaba's largest shareholder. we will also be talking about the iphone release. tim cook visited the apple store in palo alto. much more from the new york stock exchange and san francisco, coming up. ♪ >> welcome back. made itsba group has official public debut. the stock soared to over $100 a share, now trading at about $90. either way, a massive start for alibaba. 100 million shares changed hands in the first 10 minutes. joining me now is the head of global listing for the new york stock exchange. in regulations. so far everything has gone as planned. how would you describe it it has been -- how would you describe it? we have been focused this morning on making sure the process was transparent and that everybody knew exactly the time and the breath that we would open the stock. i thought barclays and goldman sachs did a great job signaling to the market where it would open. i thought it was seamless. nobody wanted

collegeville road route 29 near blackrock road an accident in which a vehicle ran off a road and into the woods. authorities are on the scene there. chris? >>> sue serio, thank you. >>> shack can dunk we all know that but can he shoot? >> his basketball skills could be a great asset in his next job. what he has applied for straight ahead. >>> good morning i'm howard eskin. wasn't a pretty first half for eagles and wasn't pretty until second half but eagles came back from 17 to nothing. lets go to the link and take a look. fourth and one with the eagles down 17 to nothing. that is darren sprawls from that fourth and one. 49 yards. the players said that got them back in the game. they are still down 17-seven. codey parkek kick a 51-yard field goal. this play in the fourth play this play had been opened during the day. not that opened. jeremy maclin his first touchdown in over a year, gives the eagles a 24-17 lead. they win 34-17. chip kelly didn't yell or say anything bad but was foles frustrated. >> i could see why he was frustrated, i was frustrated, everybody was frustrated, i heard

blackrock's analyst says regional banks are the purest play on rising interest rates and see the relationship between the regionals and the broader financial sector in this month to date chart and looking at that spike right there, that is right around the fmoc meeting so one regional that is rebounding is suntrust. that is up about 1.5% over a month and will benefit from the housing recovery in places like florida. pnc financial up over 2% over the last month and m&t bank is up. they expect rates to increase earnings for the regionals and not subject to many of the regulatory changes that pressured the bigger universal peers but regionals do face two headwinds. pressure of new loans hurts loan yields and there's the possibility of deposit outflows as rates rise and folks start to put more of their money to work elsewhere. in light of that, here are two more regional banks that analysts like. terry mcavoi says comerica is sensitive to higher rates and morni morningstar like business model so definitely names to check out. mandy, back to you. >> have you very much, my dear. >>> up next, the je

engaged with blackrock the other day. i would assume something is coming soon on that front. i have no idea if it's september. here's what i want you to think about, though. if, in fact, mario draghi goes down this road and we get qe, what was the best way to play it in the u.s.? because it's probably going to be a similar reaction in the european equity markets, and i come to two things. number one, the banks, which our guest mentioned. really easy way to get involved in that trade. eufn, based etf owns european banks. small caps. >> the show's over in 20 minutes. >> oent got 20 minutes, big boy. >> a press conference. >> dirt cheap way to get involved in european small caps and the way investors should be thinking. not the timing but the most bang for your buck. >> pete? >> to josh's point, want point i disagree with david in this thesis, if the finances work for the european banks, mentioned credit suisse and a few others to josh's point, i think it's citi. our banks with the most bang for the buck. they will lag, the european banks will lag and that's why you want to be -

some of the focus today on a densely wooded area off blackrock road near the montgomery county soccerplex. since this all began, police say they have searched more than 14,000 acres. >> there's always hope. every step of this investigation, there is hope that these children will be located. >> reporter: this weekend, troy turner says he's planning a massive search with hundreds of people out looking for his missing children. live in montgomery county, pat collins, news4. >> thanks, pat. >>> new details tonight in the two scandals plaguing the nfl. one of them involves adrian peterson, the star running back for the minnesota vikings. his first court appearance has been delayed until next month. he is facing a charge of child felony abuse in texas for spanking his 4-year-old son with a wooden switch. the minnesota vikings are feeling the fallout of reinstating peterson for this weekend's game. the radisson hotel chain has suspended its sponsorship agreement with the team. and the governor of minnesota is calling on the vikings to suspend peterson until the court case has been resolved. >>>

larry fink of blackrock said the following, it concerns us these stock buybacks in the wake of financial companies shied away from investing in the future growth of your companies. that is your point precisely, is it not? >> that's the point and, to me is not rocket science. it is just pure lodge kick. -- logic. you have companies which you're dependent on the future of the economy. anybody who thinks we're not dependent on these large companies for future of the economy doesn't understand the economy. when they don't invest in the future, you're not going to have a prosperous economy. david: finally, this has to be quick, professor. corporate executives are not hurting this process by any means. they're getting their stock options which rise as a result of stock buybacks. some people could say they're sacrificing their own company as future for the sake of their options? >> in the harvard business review article i go through different reasons that are given for doing buybacks. you can read the article. people can read the article. and see how i reject the reasons that are given, but bot

entree to say that you have blackrock on board and here is what we are going to do with the asset-backedmarket. they fine-tuned the lending. it is free, more or less. it is not free enough and they .re taking another .1% off free takes on a whole new meaning for the banking system and the point is that there is a great deal of expectation from the euro moving lower and the market is utterly short. they are a bellwether. they're one of the few who are the most accurate this year. to. bring it down thank goodness for a quote from somebody else. it means i'm not making it up. the market does not like it when i make it up or come up with my own interpretation. a much greater mind than mind -- mine. the credit creation is happening by bank loans. you cannot get much growth out of that. basically, structural reforms are the message. you can only do so much with monetary policy. there is still a bit of time to go and -- why are you laughing? >> more than a couple. >> you are referring to that. >> we can all learn something from that. is on the move and the body yields are on the move. seize the

is the money going to go to blackrock? is it going to go to jpmorgan? is certainly something we will be watching. the spotlight is on pimco to deliver. one factor here is gross did not leave with the team behind him. difference from a couple of other situations we have seen in recent years. our understanding is the hisation he is setting up skeletal in nature. we will be watching for personnel the partners. personnel departures. there is no proven fixed income managers with very stable investment organizations that could stand to benefit from this. think they are overstating the situation that is happening right now? bill gross is the biggest seller of protection in the market. do you think it is the street trying to push hard against the trades and make something out of nothing? hard to say. when you sift through it and try to parse what the real ramifications will be, everybody shots at pimco. people react to big sellers. it would not be surprising of those things were going on in other trading desks at this point. >> is there anyone in particular who

they brought bac blackrock and to do that. in to do that. can we talk about full-blown qe?s done and buying up large government bonds. much more difficult to do when rate cuts. are we going to get asset-backed purchases and then getting onto full qe? he says he will whatever it takes. we are getting some evidence that he is still on board with the idea that market policy can do more. how much more from your? -- from here? >> thank you. whatever takes 2.0. >> this is an indicator of a long purple change in europe. there is wailing and gnashing of teeth among the german favors. these decisions are not going the way the germans had desperately wanted them to go. we talked about germany in the context of europe. germany is so powerful there. it's a matter of how much grinding they are willing to take before they act independently. >> let's get a quick data check your. features are up -- futures are up about eight points. >> look at the euro. this newg because asset-backed program would increase -- our guest host, rick heitzmann. the european central bank has just come out with

standpoint, what does fidelity or blackrock or capital guardian -- what do these big hitters do with their shares if we see the pop i think we will get? >> i don't know what you mean by from a tech standpoint? >> from your perspective, they are not going to sell? ♪>> i would not sell. this is why the ratios are so favorable. they have tremendous prospect. on the other hand, we can talk about it, get it set of issues with a company that is truly chinese. they are trying to operate globally. and, this company has a lot of ssuesesting i about finance. >> did fidelity -- did they acquire alibaba because of the chinese and asian experience? or because they think they're going to compete in the united states? >> i think it is both. china is a continuingly huge opportunity. the ratio of chinese to -- those who own the internet, is way lower than in the united states. alibaba dominate e-commerce in china. we know that we will see this open. it will be some 15% of shares. this is a different beast to institutions than any deal we have seen. >> it is the biggest one. if that is incorporated, i

. >> please don't blow a bubble in the blackrock strategy movie ecb. >> carney reference this.ig enough. take actionou could within the markets and get leverage. you get a much bigger reaction then the money you put in. nevertheless, is that the answer? >> i'm not an economist nor a quantitative analyst in terms of the highest leverage within the small and medium enterprise market. you think about why focus on abs? according to mario draghi, they can be clean. see what you're buying. it is a healthy product. >> as long as it's -- >> look, could he do something around the financing rate? at least, showing us they are on the road to something bigger. could they do something with the price of money to the banks? that would all be action because to not take action -- i had a conversation at paribas -- would be solid. he has raised the hopes and expectations. look at the euro-dollar. tisovercrowded. it's overshorted. essence.he whole mario draghi has lived vicariously from the movements of others. by the spending of the bank of japan, the spending of the bank of england. he's not a

we are talking folks from blackrock, kkr, other institutional investors committed to investing in the, listen, if we don't invest in infrastructure, it will do harm to the u.s. economy and the government can't and shouldn't do it alone. >> unless we reverse this trend, the consequences of failing to provide and maintain our infrastructure will be severe. the price will be paid if your jobs created and some lost. a rising prices for goods and services that will cut into worker paychecks. times, higher greenhouse gas emissions, and a lower quality-of-life, from traffic jams, airport delays, water main breaks, and potholes. >> the reality here is, the reason they are looking into the private sector in part is, the government cannot get its act together with a stalemate the summer. they're looking to the private sector to step up. there is plenty of opportunity. as 2% of highway funding projects in the last six years had public-private partnerships behind them. there is a lot of room here and they think there is a lot of opportunity to get the private money headed in the right direction w

jamie dimon the jpmorgan and larry think of blackrock will be there. he is going on quite the world tour and will be going to the clinton global initiative event next week where he will hang with the clintons, presumably. >> everyone is hobnobbing. the bestoadshow was type of marketing event for them. sign that he wants to expand in the united states and he needs to build these relationships. >> people want to build relationships with him. he is the new it company. >> thank you, guys. don't miss emily chang's big interview with jack ma, the chairman of alibaba coming up at 9:00 a.m. eastern time on bloomberg television. are you getting your iphone today? >> i am. i carry a few devices but the feeling of a new iphone is exciting. i have not gotten to touch it yet but i am excited to see what the big screen is like. >> what color did you get? >> i went with gold. i have a black one now. >> i will wait until christmas. it is the end of an era at oracle. ceo larry ellison said he is stepping down from the helm of the company he founded almost 50 years ago.

ban ki-moon pointed to blackrock 346 institutional investors to call for a price on carbon emissionsnd a climate a mission to shift copies away from fossil fuels. how much will that help? >> that will help you the rest of the industry has left this to the fossil fuel guys, and they have a huge interest in making sure we never change, but now they are beginning to understand they're facing a carbon bubble that makes the housing bubble look small. if it is stranded assets in -- beneath the ground, should we ever take global warming seriously, it it represents a huge risk to investors and the wise ones are backing away. >> i like that -- a carbon bubbler makes the housing bubble look small. you wrote an article in "rolling stone" and said since president obama took office, summer sea ice has disappeared, sea water is 30% more acidic than quadra decades ago, and the creatures at the bottom of the ocean are feeling the brunt. california, one of the bigger states and countries, caught in a drought deeper than any time since europeans arrived. what kind of marks the you give president obama

fidelity, blackrock. over $1 billion from each of these large funds. those are the big names. heard that putnam, wellington and -- have put in orders as well. alibaba doesn't announce a pricing of the ipo until after the market closes this afternoon. somewhere after 4:00 p.m. the last indication we did get was that the company would price between 56-50 eight dollars a .hare we will see how this all plays out. we do know at least six big institutional investors have put in orders for ali baba's ipo. >> that ipo should start trading right here on "market makers" tomorrow morning. the gaming industry looks for its next frontier. where do you build casinos now that ac is going under? ♪ >> welcome back. renewed interest from potential buyers. if the atlantic casino was at one point worth $2.4 billion, it is now entertaining bids around $90 million. what is it really worth? an industry insider and developer and advisor to steve when. , $90i look at this bid million, it feels tragic. has neverperty that made any money. how do you assign a dollar value? >> you consider that it has 14

he's with blackrock. the senior advisor at warburton also wulls this morning. what interesting, odd markets these are. what do you do in the churn of the moment? >> well, it's interesting that we're thinking about 15 on the v.i.x. is being sort of a churn. >> exactly. 20 is normal. >> 20 is normal, so this is an unusual period. i think that markets can go higher, but clearly what's starting to happen are a few things. one, investors are paying more attention to the geopolitical issues as they start to potential al fect the global economy. second, we're getting closer to the point where the fed is likely beginning to change monetary policy. one of the reasons volatility has been as low as it has been is because monetary conditions have been so accommodative. changes and volatility should start to normalize. >> we're going to talk about this, but the idea of the accommodation brings back the animal experts. what is the character of the animal spirits in this market now? >> it's investing not based on trying to guess, let alone analyze what the future cash flows a

also, because last week the ecb was announcing that they have hired a consultant, blackrock, to get them up to speed with that program. we can get some positive news on that. when it comes to more economic data, there is this very important staff projection in september coming out. most likely we'll see a downward revision of gdp growth and perhaps also inflation which would give mario draghi more room to actually move in the meetings ahead.with that, back to you. >> thank you so much for that. >>> and joining us now, the head of european fx strategy at citi and marian bell, economist and former monetary policy committee member. jonathan, what are you hoping mario draghi will say in his speech today? >> we want more clarity, really. we want to see what he signaled in jackson hole. we think it is a shift in the governing condition's risk on qe. we know down side risk on medium term expectations is important for ecb qe. president draghi did allude to that two weeks ago. we want to know what his colleagues think about that. they highlight in the segment for down side risk. >> the trouble i

let's look at the treasury market, whether it's research papers by blackrock or goldman.n the cusp of 4%. i kind of like working on old cars. if you take a significant percentage of all the used and collectible cars out of the market, jay leno gets richer than he is, he buys half these cars what does that do to the retail shops in the business of buying and selling used cars? >> makes it difficult for them to operate. that's what we are seeing right now. >> what have the fed reserve done to the sox markets? everybody worries about what happens when interest rates rise, we don't have banks. isn't this what central banks have done to that market? >> no question. that is a market they've thrown to the dogs. we've seen these markets shrink. when they need these markets next year these markets will not be capable of taking on what the federal reserve has unleashed. >> when you write your paper, and everybody does this -- let's look at fed funds, there is a 75% chance rates will be here march next year. how is that possible? how are those percentages anywhere reality when we ha

fidelity, blackrock. those are going to be the anchor investors for any deal.ertainly a deal over $20 billion. >> is there a looming fear of facebook face plant? is it off the table? >> i think they are in pretty good shape. one of the reasons they chose the new york stock exchange was to mitigate the risk at the outset. long roadshow. scheduled originally for 10 days and going to every city, not just the york, l.a., and hong kong. owing to kansas city and chicago. barely zuckerberg could show his face. we know he cannot put a coat and tie on. jack ma not following his script. a busy week and everybody better get their alibaba orders in. we have more to cover after the break. we're going back to radioshack. they can use a jumpstart. running out of steam and capital. it a turnaround on the horizon? we find out. ♪ >> welcome back to "market makers." the clock is ticking for radioshack. the chain is still a widely recognized brand. but brick-and-mortar stores are becoming increasingly irrelevant. the effort to fight off bankruptcy raises a key question for investo

name me blackrock. >> there has to be a much larger market than the equity market. back to that equity market. >> blackberry, when you take a look at it, what is the new iteration? what are they going to do? $5 billion market cap. they did a debt deal. they went from 85 million users to 90. some say this is an opportunity to take them over. if they increase their users, they have a new phone the square. apparently, it doesn't bend. >> talking about bending phones, shares of apple are up about 1.3%. >> the nine people complained. the youtube video, they should do bend doesn't break. i would say this bends, but doesn't break. >> can't bend my 5, not a chance. it's titanium. actually, it's alcoa aluminum. actually, that's the back of your ipad. jobs loved the feel of aluminum. that's why alcoa is holding up. people are getting excited. there is a rosh hashanah theme. liquidity wasn't there yesterday. i saw this happen in the mid '90s. we often saw the jewish holidays be when people came in and bang the market down. micron is showing up the bears today because it was a

i think a bunch of bank branches closed today, blackrock and cpng told people to stay home. of protests going on in front of a lot of the financial district. you know, the market's been down a bunch for the last few months. i think the biggest immediate concern is this is a huge shopping week in hong kong, because it's a holiday in china and mainland tourists come down to shop. october, which starts this week, is the second biggest shopping month of the year in hong kong. and already the china's economic slowdown and crackdown in corruption there have hurt retail sales in hong kong. so that's an immediate blow that the city's feeling. financial services, you know, if it gets really bad, but so far there's been no real evidence besides the stock market move today. >> yeah. golden week underreported. just the heat, apparently incredibly hot in hong kong this weekend. hope you'll come back on the phone as the situation develops. ken brown in hong kong. >>> up next, on "squawk on the street," was the government bailout of aig unconstitutional? former ceo hank greenberg thinks so

they hired blackrock to do that.ond thing they're doing is these long-term targeted refinance operations. those are going to -- and now they're doing more on the rate that i think this is a bit of a surprise. there's some speculation. i think the market was probably 50/50 on this. the refi rate down to 0.05 down from 0.15. and mine us 0.2 to minus 0. -- >> so now what's happening here is you could argue that the europeans are finally catching a break here from the fed. because one of the conversations that's out there is how every time europe was trying to do something to get the euro lower, the fed would do something more to get the dollar lower. >> yes. >> so it was this race to the bottom, or what one treasury secretary called the losing the pageant for the world's ugliest -- >> we talked about that at the top of the show. that we always were once we they do something and we'd be even more -- >> so now it looks like the big theme here right is the idea that we're going separate ways and the question is whether or