carol: this is "bloomberg businessweek." ♪ jason: welcome back to "bloomberg businessweek."an also listen to was on the radio, in new york, boston, washington, dc -- >> in the bay area and in london. google and the great firewall of china, in the feature section this week. google is blocked by the great firewall of china. it decided that having to edit controversial links was unacceptable. jason: has google now reconsidered? was they were going to make a series of compromises with the chinese government. the chinese internet is very different from our internet. there, youusiness have to deal with the government on a continuing basis. you will have to make sure that various stories told the party line, -- toe the party line, as it were. the government really increased company.ure on the they were censoring 100 or so words. tens of thousands of source.s -- of sources. to the source code of google? max: the chinese intelligence agencies were looking for information about dissidents. there was a secret meeting in a place known as helm's deep. you will get the reference as a lord

jason: this is "bloomberg businessweek." ♪ carol: welcome back to "bloomberg businessweek." carol massar. jason: i'm jason kelly. join us for "bloomberg businessweek" every week on the -- every day on the radio from 2:00 to 5:00 wall street time. carol: and you can find us online on businessweek.com and our mobile app. jason: the cover story the results of the u.s. midterms. republicans held the senate but the dems take the house that means president trump will soon be on the receiving end of some pointed questions. something carol he didn't get much of from the g.o.p.-led congress. carol: it will be a different environment. orders backed up by subpoenas for officials to answer questions on controversial policies such as the dispatch of thousands of troops to the u.s.-mexican border. here's u.s. congressional reporter. >> congress has had subpoena powers from the teapot dome scandal but with republicans in 2015 -- carol: got ramped up a little bit? >> they added additional powers for the chairmen, the majority party, to make the decisions on their own and not many cases with

this is "bloomberg businessweek." ♪ jason: welcome back to "bloomberg businessweek."join us every day on the radio at 2 p.m.-5 p.m. wall street time. you can also check us out on itunes and soundcloud. jason: and our mobile app. carol: startups have been spending more time on a questionable road to profitability. it is a luxury. here they come. jason: uber, lyft, slack all top a record-breaking lineup of 2019 listings. tracking this lineup is our reporter, alex. alex: when you run the numbers, there hasn't been more than three companies that have a valuation of bigger than $10 billion since 2000, when palm pilot was listing. it has been a long time since we have had such a group of large companies, looking in the public market. carol: what are we talking about in terms of valuation for uber? >> they are valued at more than $70 billion. i think there should be a little bit of skepticism around those exact numbers. it gives you a decent range, frankly huge. softbank mobile in japan is going public, may be the biggest deal ever. they are in that range. uber may be bigger

this is "bloomberg businessweek." ♪ jason: welcome back to "bloomberg businessweek."jason kelly. carol: i am carol massar. you can listen to us on the the radio on sirius xm channel 119, and in new york, boston, washington, d.c. -- jason: and in london and on the "bloomberg businessweek" app. carol: in this week's special issue, we turn to the economics section and the european central bank. mario draghi is in his final stretch. ends his term as president of the ecb, he may do something he has never done before -- raise interest rates. jason: undoing more than half a decade of stimulus might come just before his exit at the end of october. here is cristina lindblad. cristina: one of the most anticipated things is the end of mario draghi's term, which happens at the end of october of next year. he will be in that position for eight years by that time. he has not raised rates once in that time. and he actually began by lowering them. so we anticipate that, by that point, at the end of his term, what people are looking at now is what is going on in italy, forh is an emba

this is "bloomberg businessweek." ♪ ♪ jason: welcome back to "bloomberg businessweek."n kelly. carol: i am carol massar. you can also listen to us on the radio on sirius xm, and in new york, boston, washington, d.c. jason: a.m. 960 in the bay area, and in london and on the bloomberg business app. carol: trade tensions remain on the rise, an exclusive saying u.s. officials are planning to announce tariffs on chinese exports if talks this month between president donald trump and xi jinping proved fruitless. jason: here is taylor riggs breaking down the billions of dollars of goods moving between the two countries. taylor: there has been so much talk about this. it is not dollar for dollar. we export to china a lot less than we import. i thought a terminal chart would do a good explanation visually of how this all breaks down. we have the u.s. exports to china, only $155 billion, versus imports, about $.5 trillion. so we clearly import a lot more. interestingly enough on thursday, president trump was tweeting about talking with the chinese president xi jinping ahead of the

this is "bloomberg businessweek." ♪ jason: welcome back to "bloomberg businessweek."ol: you can listen to us on the radio on sirius xm, and in new york, boston, washington, d.c. -- >> and in the bay area and in london and the app. carol: we turn to mario draghi. he is in his final stretch as the president of the ecb. he may raise interest rates, something he has never done. undoing more than half a decade of stimulus might come just before his exit in october. >> the end of mario draghi's term happens in october of next year. he will be in position for eight years by that time. he has not raised rates once. he began by lowering them. we anticipate at that point, towards the end of his term, people are looking at what is going on in italy. rome is having a fight with deficit,over its setting targets in the budget. if that weredes, kindles fears about a debt crisis in europe , all bets about- -- rekindles fears about a debt crisis in europe, all bets about interest rates will be off. carol: this is a juicy crisis. cristina: it's a powerful stepping stone. proved that hi

jason: this is "bloomberg businessweek." ♪ carol: welcome back to "bloomberg businessweek."on: join us on the radio every day from 2:00 p.m. to 5:00 p.m. wall street time. carol: and you can find us online and on our mobile app. jason: republicans held the demse put that b -- but took the house. president trump will soon be on the receiving end of some pointed questions. carol: it will be a different environment. orders backed up by subpoenas for officials to answer on controversial policies such as the dispatch of thousands of troops to the border. here is our congressional reporter. >> congress has had subpoena powers dating from the teapot dome scandal. -- with republicans in 2015 carol: it got ramped up? billy: the added additional powers for the chairman of the majority party to make decisions on their own without consultation with democrats democrats who opposed that are saying, now that we are going into power, not a bad idea. carol: this could be useful. there was so much speculation about what the democrats would do if they won the house of representatives. they did

this is "bloomberg businessweek." ♪ jason: welcome back to "bloomberg businessweek."ol: you can listen to us on the radio on sirius xm, and in new york, boston, washington, d.c. -- >> and in the bay area and in london and the app. carol: we turn to mario draghi. he is in his final stretch as the president of the ecb. he may raise interest rates, something he has never done. jason: undoing more than half a decade of stimulus might come for the situation that the bank of england faces. we saw a bit of a preview after the referendum, from the international reaction. there was a drop in the pound. there was a small market panic. if there isn't a deal that specifies some sort of transition, i think by the time the march 2019 deadline rolls around, the bank of england will be a first responder in any crisis that happens. carol: the economy starts to wobble in the u.k., he might have to cut rates. cristina: he will raise rates if he needs to shore up the pound. he will have to take different tools to stimulate the economy. it's going to be difficult. if there is a deal, he m

this is "bloomberg businessweek." ♪ jason: welcome back to "bloomberg businessweek."y. carol: i am carol massar. join us for "bloomberg businessweek," every day on the radio from 2:00 p.m. from 5:00 p.m. wall street time. you can also catch up on our daily show by listening to our podcast. check it out on itunes, soundcloud, and bloomberg.com. jason: find us online at businessweek.com and our mobile app. carol: the top three carbon dioxide polluters are china, the u.s., and india. last year, you might recall, the u.s. pulled out of the paris climate agreement. the other two nations are still committed to their ambitious goals of reducing greenhouse gas emissions. jason: that will not be easy for two fast-growing economies trying to lift populations out of poverty. reporter eric rawson took a closer look at pollution challenges. >> it is called particulate matter. it is small, 2.5 microns, tiny. asian cities in recent years have grown particularly infested with these toxic pollution that comes from cars and coal plants and in india, stoves in the home and burning agric

carol: this is "bloomberg businessweek." ♪ carol: welcome back.n thejoin us every day radio from 2 p.m. to 5 p.m. wall street time. you can also listen to our podcast. carol: you can also find us online and the mobile app. we are having some closely watched global elections. brazil marked a hard pivot to the right. but real and fake news campaigns on whatsapp has prompted a lot of concerns. brazil has an extremely social culture. the people have been ahead of the game in terms of adopting social media. in brazil people use facebook and twitter. what they are using a lot is whatsapp. is the primus -- primary messaging forum here. election, everyone in the u.s. would be talking about it. in brazil, that would happen on private whatsapp conversations. jason: take us inside some of those conversations. anyone who is a sentiment human that tears about politics -- cares about politics, everywhere. u.s.,n: just like in the you have families that come together at thanksgiving, cousins and uncles. people are together in a forum having a conversation about

jason: this is bloomberg businessweek. ♪ ♪ jason: welcome back to "bloomberg businessweek."n kelly. carol: i am carol massar. facebook's profit margin is shrinking. social network is spending on security, way more than anything else. jason: plus, why not travel smart with travel hacks from a to z. carol: first, we need to talk about tesla's forgotten gaia factory in new york. ago,: -- jason: two years elon musk took his playbook to the rust belt. $750 million in subsidies. years of delays. he hasn't even shown up to the factory. we got a peek inside. >> this is the biggest trend one , of the biggest trends in the tech industry is the sort of subsidy deals. not just with amazon and their headquarters to. also with foxconn in wisconsin, scott walker there agreed to a deal of $3 billion in incentives to get foxconn to come to the state. big question is whether these live up to potential. people talk about job creation, the metric everyone looks set. the big thing that is missing in all these arguments is whether or not this creates an economic ripple effect. , itl: it is not ju

carol: welcome to "bloomberg businessweek." jason: we are here at bloomberg's global headquarters in new york. carol: in this week's issue, the predatory lending machine crushing small businesses. jason: and what is crushing an auto executive from nissan. carol: some stocks have lost over $800 billion is the end of august. jason: putting silicon valley on edge. joshua: these companies have insinuated themselves so far into our lives, that there is not that much more of a place for them to go. apple cell phones are their main business. people do not buy phones as frequently anymore, and there is not reasons to buy the new one, because they have gotten so good. jason: and they are not going to give unit growth numbers going forward. joshua: that is a signal to investors, we don't think we will be selling quite as many phones. carol: we are trying to reconcile that earnings for all these companies, we are seeing this dramatic slowdown, with so many of these names. we have been here before. people have said, big tex, they are over

jason: this is "bloomberg businessweek." ♪ ♪ carol: welcome back to "bloomberg businessweek."carol massar. jason: i am jason kelly. join us every day on the radio. carol: you can find us online and on our mobile app. shocking arrest of carlos ghosn over financial misconduct allegations sent politicians and executives scrambling to figure out the future of the largest automaker in the world. carol: we have what it all means 2 -- fouran's decade partnership. >> this guy is larger than life. he's the subject of a manga in japan as a superhero saving the auto industry. in the nissan was failing and years, over the next 20 ghosn took this moribund automaker and turned it into a world beater, or at least a competitor. ison: remind us who ghosn and where he came up from. he came up through michelin. in the carssy figure industry at a time that was facing a edge extensional desk facing and as essential -- facing an existential crisis at the time. >> he came up through michelin and got hired by renault. they sent him to japan to try and fix nissan after they concluded the alliance. at

. ♪ ♪ carol: welcome to bloomberg businessweek. jason: we're here in new york.oomberg businessweek is releasing its 30th annual ranking of the best schools in the united states. stick around for the winner. serioushe search for returns in the decade since the fci

carol: welcome to bloomberg businessweek. jason: we're here in new york.: bloomberg businessweek is releasing its 30th annual ranking of the best schools in the united states. stick around for the winner. jason: the search for serious returns in the decade since the financial crisis.

[laughter] the newestck out edition of bloomberg businessweek, on newsstands now.ing up, the fed decides. the fomc is widely expected to keep rates unchanged when the decision is announced at 2:00 p.m. new york time. we will speak with citi's data peterson next. this is bloomberg. ♪ ♪ a federalead of reserve decision, we are keeping an eye on another piece of this puzzle. that is that some banks are now complaining of tightness in the overnight markets. i want to show you something here, the upper band of what the fed would consider its curve. the effective rate is now bumping up against the upper band. this is something that has not happened since 2009. the concern is that if the fed does bond repurchases or does not purchase new bonds, it is creating tightness in the overnight market. that is a concern that banks are saying might affect lending, sherry. shery: let's discuss this with dana peterson. are you predicting another tweak to the interest rate on excess reserves this time around, or in the next meeting? we are anticipating a change in the december meeting

. ♪ carol: welcome to "bloomberg businessweek." i am carol massar. jason: i am jason kelly.k. carol: "bloomberg businessweek" has released its 30th annual ranking of the best schools in the united states. the winner, you will have to stick around for that. jason: the search for serious returns in the decade since the financial crisis is setting up

. ♪ carol: welcome to "bloomberg businessweek.": we are here at bloomberg's global headquarters in new york. issue, thehis week's predatory lending machine crushing small businesses. anon: and what is crushing auto executive from nissan. carol:

. ♪ ♪ carol: welcome to "bloomberg businessweek." i'm carol massar. jason: and i'm jason kelly.eadquarters in new york. carol: this week's issue, "bloomberg businessweek" releasing its 30th annual ranking of the best business schools in the united states. the winner? you'll have to stick around for that. jason: wall street's new risk machine.

. ♪ ♪ carol: welcome to "bloomberg businessweek." i'm carol massar. jason: and i'm jason kelly.berg headquarters in new york. carol: this week's issue, "bloomberg businessweek" releasing its 30th annual ranking of the best business schools in the united states. the winner? you'll have to stick around for that. jason: wall street's new risk machine. the search for serious returns in the decades since the financial crisis is setting off some alarm bells. carol: first up u.s. midte

. -- "bloomberg businessweek" is out with its new lists. bloomberg. ♪ vonnie: time now for a bloomberg quick take. move over, black friday. singles' day, the television of being single, emerged in chinese colleges in the 1990's. some say it has been taken over by alibaba, who turned it into a prime shopping day. single day sales are so big that more than twice as much merchandise has sowed then on the entire thanks giving weekend in the united states. last year sales rose to more with$24 billion in on par gross domestic products of some smaller european nations. first sales occur on alibaba's two main shopping sites. others are now getting it on the competition. is also trying to turn singles' day into a global phenomenon, promoting deals on its english like would websites and ali express service targeting customers outside china. while they are forecasting this your to be the largest ever come it remains to be seen what u.s.-chinaffs on trade tensions and the depressed chinese stock market will have on the buying bonanza. you can read more

you are listening to bloomberg businessweek live at stanford. the graduate school of business.oline hyde, thank you, and we want to welcome everybody a bloomberg tv as well as our bloomberg radio listeners. we are here with the associate professor of organizational behavior at stanford. tell us more about this program. it seems like you guys are teaching it on a regular basis. >> we study the people side of business. -- area in stand fo --nford is really knows for known for is how we engage with people in the workplace, how do we manage diversity and inclusive environment? >> what do the students want to know? >> how they can be the best leaders they can possibly be. we are very good at helping him through the process of introspection and growth, understand how you want to come across in a leadership position and change the world without aggression. >> so what does that look like? what do those conversations look like? typical, here is how to do a spreadsheet, here is how to learn about discounted cash flow, this is really hard stuff. >> i think this is unique and how experient

. ♪ carol: welcome to "bloomberg businessweek." jason: we are. bloomberg's global headquarters.at the topics facing the business leaders in the coming year. to ourl leading up summit hosted in new york city. we will ber

. ♪ carol: welcome to bloomberg businessweek.we are here at bloomberg headquarters in new york. carol: we have a special takeover on the new economy. we have to talk about china and india. we are exploring the challenges of growth as they advance. jason: the u.s. is raising the

. ♪ carol: welcome to "bloomberg businessweek."re here at bloomberg's global headquarters in new york. carol: in this week's issue, the predatory lending machine crushing small businesses. jason: and what is crushing an auto executive from nissan. carol: some stocks have lost over $800 billion is the end of august.

carol: welcome to "bloomberg businessweek." i'm carol massar. jason: i am jason kelly.here at bloomberg headquarters in new york. carol: we have a special takeover on the new economy. we have to talk about china and india. we are exploring the challenges the world growth engines face as they advance. jason: speaking of trade, the u.s. is raising the stakes. it is said to be premiering more tariffs on chinese imports in december if talks fail. carol: first off, the president

for more, let's bring in bloomberg businessweek economics editor peter coy caret tilde it was a mixedead overall. on the year-over-year basis, it was slower than expected. the takeover price month over month basis in october. >> people say it will suffer the unexpected and a reason for that was it wasn't one third of the increase in the core. cpi came from used-car prices. itt was a fluke because covered some of that. it is not the kind of thing that will be defeated. gasoline prices cut gasoline came down a lot in october and thein november because of decline in crude oil prices. another reason why is anything, inflation remains muted. --are there any pocket pockets within the report that show any sort of lasting or persistent increase in prices? look and probably find pockets here and there. prices were soft. service prices, which tend to be trending a little higher, moderate. as scarlet said in the opening, the surprise remains that afterion is so muted strong economic growth and strong job growth. >> goldilocks indeed. the fedlk about whether will incorporate this into its comment

carol: welcome to "bloomberg businessweek." jason: we are in bloomberg's global headquarters.: we have a look at the topics facing the business leaders in the coming year. it's all leading up to our summit hosted in new york city. we will be there. jason: we are looking at big themes.

get the latest issue in businessweek. amazon, could the massive tech giant be hindering capitalism?at, next. this is bloomberg. ♪ is bloomberg. ♪ romaine: another selloff in the stock market. bear markets, corrections everywhere you look. it seems everything is down. unlike some of the past selloffs, we have yet to see a bounce. here to talk more about that is john authors. i feel like in the past selloffs, there was more of a rotation in and out of things. it does not appear the money sold is going anywhere. john: no. [laughter] john: in a way. what you do see that you did not see in the last big correction in february, which is now clear cut, is that there is a rotation within the stock markets. the momentum trade has really hit the buffers this time in a way that it did not do in february. momentum sailed through. we have been talking all day about the faangs and particularly apple. that is a big component of this. i would suggest if you are trying to ask what is creating think there isdo something approaching an old-fashioned growth scare going on today. if you look at inflation

jason: there is a great story and bloomberg businessweek about frisco, texas. growing city in america. selling having trouble these higher-end homes. there is an oversupply in some places. what we make of this imbalance? nela: there is an oversupply at the high-end. you see that in every city. how we got there is from homebuilders who are risk-averse. remember what happened during the financial crisis. there was an overbuilding in the sands. they were building for affordability single-family homes. we see where that led them. the worst housing crash we have seen nationally. now the trend was billed at the high-end is that is where there was a sure bet. was a bet made by homebuilders that the demand would be there. now there is an oversupply of the high-end just for millennials are coming into the markets. jason: joining us now is someone who knows a thing or two about this stuff. sheryl palmer is the chairman and ceo of taylor morgan. what do you make of all of this? what are you seeing on the ground and across the markets where you build? talked about on our q

. ♪ ♪ carol: welcome to "bloomberg businessweek." i am carol massar.at bloomberg's global headquarters in new york. carol: in this week's issue, the predatory lending machine crushing small businesses. jason: the shocking downfall of carlos ghosn. andl: facebook

. ♪ carol: welcome to "bloomberg businessweek." i'm carol massar. jason: i am jason kelly.bloomberg's global headquarters in new york. carol: in this week's issue, the predatory lending machine crushing small businesses in the united states. jason: the shocking downfall of auto executive ghosn. carol: some stocks have lost over $800 billion since the end of august. jason: that is amazing.

bloomberg businessweek surveyed more than 26,000 mba students about their goals and experiences to compile the best business schools. stanford took the top spot. let's bring in jason kelly and carol massar live from the stanford campus. stanford's number one. what else do you have for us? carol: we have a lot for you, kevin. good to see you guys. business week that a different differen -- different methodology this year. they had four main indexes including entrepreneurship, learning, networking. one thing we have been associate with the dean at stanford is the importance of leadership, which plays so much into the corporate community and washington. is in that when you guys usually are? with a matter for one day and you take over new york? carol: there is a lot going on in washington, you know. craig: that is why we are talking about business schools, to get a break. why is harvard down? i think it will be something people would be curious about. everyone thinks of harvard mba as pretty much the gold standard. jason: the entrepreneurship piece is huge. factors in more than it did before.

. ♪ ♪ carol: welcome to "bloomberg businessweek." i am carol massar. jason: i am jason kelly.'s global headquarters. carol: this week, we have a special takeover issue. it is called the year ahead. it is a 365 degree look at the topics facing the business

you can find in the rankings of the best business schools in the latest issue of "bloomberg businessweek still ahead, oil's record retreat. u.s. crude heading for its longest ever run in declines. futures in focus is next. this is bloomberg. ♪ guy: from london. i'm guy johnson. taylor: from new york, i'm taylor riggs guy: let's pick up and have some time for futures in focus. while extending a run of declines after falling into a bear market, heading for its longest losing streak on record. cme byjoined from the scott. how much further is this going to run? >> we are keeping an eye on it. 60 is a huge level. as you saw overnight, as they broke the level, they had a big spike in volatility. even the options that are expiring today have a hefty premium with just some hours left in the day. so the $60 level, we are keeping an eye on that. and the supply increase, seven straight week in a row at a significant level. right now, everything will be due to headline risk. opec, as well as russia, expected to cut output. if we get that headline, you will see another spike in oil prices. if we do n

. ♪ >> welcome to bloomberg businessweek. i am carol massar. >> i am jason kelly.keover issue called the year ahead, at 360 degree view look facing the business leaders in the coming year.it is all ahead of the bloomberg yearly summit in new york city. we will be there. jason

in november 1994, and i went back and i read all the bears in "businessweek. most people think it's a biotech. i microfiched them nothing in december but the market bottomed after a decline. they raised again on february 1st of 1995. they saw housing, consumption coming down. they didn't go down and lower rates back to 3% >> i feel the whole mood has changed. the market wants to go higher. you at least confirmed it yesterday by not going down and giving back. and then here you have another move the risk to me at this point feels like it's to the upside. >> on the s&p 500 during this cycle when you've seen the ten-week rate of change, when it drops to minus nine and responds, that's your all clear signal it looks like we're minus six. >> when we were talking with a number of big traders off the desk, when we were doing that, to a man and to a woman they said we are really close we are really close, we are nibbling here because we think there could be another 1% or 2%. that's what a number of those folks were saying. i'm not saying chase for performance, they're

. ♪ ♪ carol: welcome to "bloomberg businessweek." i'm carol massar. jason: i am jason kelly.t bloomberg headquarters in new york. carol: we have a special takeover on the new economy. we have to talk about china and india. we are exploring the challenges the world growth engines face as they advance. jason: speaking of

it is the cover story of this week's businessweek. with more is the co-author, zeke.en we talk about a legal document, whatever's happening is legal and that is problematic for the small business are worth -- borrowers making payments. >> yes. --re is a merchant caste cash advantage company lending money to small businesses, $3000 to a pizzeria that needs a new oven were already maxed out credit cards. companiesm is these are requiring borrowers to sign a document called a confession of judgment in order to get their loans. this concession of judgment means the bar were automatically loses any dispute over whether they repay the loan. scarlet: we look at a graphic that illustrates it. the confession of judgment leads them without -- leaves them without any recourse when things go sour. the: it is an arbitration -- zeke: it is an arbitration. they have discovered the power of the documents and in the last few years, the companies have been filing thousands of them in new york state. theowers anywhere in country. there does not have to be a connection to new york to her

. ♪ ♪ carol: welcome to "bloomberg businessweek." i'm carol massar. jason: i am jason kelly.bloomberg headquarters in new york. carol: in this week's issue, a special takeover on the new economy. of course, we have to talk about china and india. we are exploring the challenges the world growth engines face as they advance. jason: speaking of trade, the u.s. is raising the stakes.

. ♪ ♪ carol: welcome to "bloomberg businessweek." i'm carol massar. jason: i am jason kelly.erg's global headquarters in new york. carol: in this week's issue, the predatory lending machine crushing small businesses in the united states. jason: the shocking downfall of auto executive ghosn. carol: some stocks have lost over $800 bi

. ♪ ♪ carol: welcome to "bloomberg businessweek." i am carol massar. jason: i am jason kelly.berg's global headquarters. carol: this week, we have a special takeover issue. it is called the year ahead. it is a 365 degree look at the topics facing the business leaders in the coming year. it's all leading up to our summit hosted in new york city. we will be there. jason: we will be there.