cheryl: investor carl icahn has won the bidding war for pat voice. the japanese tire maker bridgestone said it would not counter the offer came in a bidding war. on monday, carl icahn sweetened the deal for pep boys of 1850 share. the latest bid valued at about $1 billion. jo: even though this is a shortened holiday week for the year come economic reports out this morning. the home sales will be closely watched as the leading indicator for home sales. economists expect an increase of five tenths of 1%. cheryl: one of the biggest tourist and shopping destinations is saving time square after 15 years. toys "r" us has confirmed it will close its flagship location on broadway on december 30th. the new location has not been chosen yet the toys "r" us in fact the police searching for space in midtown. jo ling kent gets a report from the store. jo: this is one of the biggest basis for rest and indicates whether and indicates whether retail looks like then. cheryl: gator jacket on. it's chilly. jo: exactly. today's editions of "the wall street journal." how

yesterday, carl icahn took a 12% stake.o mr.s had been talking icon for several months and were concerned he might have too much leverage with other stakeholders trump company that could the bridgestone didn't that was announced in october. page stone date for pep boys. carl icahn said they would pay for all of the shares. boys said they liked carl icahn's offer better. saw staples and office depot trying desperately to get the combination blessed. they said they will bring suits to try to stop the merger. staples is down 6.5%. i cannot believe i said "merger." we don't use that at a bloomberg, it is always an acquisition. it is never a merger of equals. this would have been staples buying home depot. an important interview on bloomberg radio. tom keene talks with former imf chief economist olivier blanchard about whether the fed will raise interest rates. if they do, what will it mean for the economy? interestou increase rates there are the wrong dynamics. interest rates do not affect spending overnight. it takes about a y

more headlines on carl icahn's exploits. carl icahn's proposal.be a superior proposal. here is another thing carl icahn is involved in. lng, he is into pep boys, xerox to we can do a whole block just on carl icahn. cutting its, closing down mines, and yet this stock is up. we saw what happened to morgan, only down 2% in the premarket. it was down 6% and down 36% in the past eight days. i should say 10. today will be the 10th day morgan trades down if it opens down this morning. we're talking about anglo american. 85,000 jobs, more than half of its jobs. cutting its dividend. dave and busters, a chucky cheese kind of but way bigger kids, is upace for right now. the forecast. we talked about the economy on the program. this is one place where they are spending money and it has raised its forecast. more people are going to dave and buster's. if you went in times square, you would think it is the hottest restaurant in the city. matt: i do go there and i have never seen you there. stephanie: so do i. matt: the investment outlook available today, we hav

that is when carl icahn announced he took an 8.65 stake, shares in the company. the second circle is in early october when he actually -- the company and him came to an agreement and they gave him board representation and listened to his recommendations. since then the stock is down 40%. we have a ten-year chart. the stock today made a new inter-day low. this has been a consensus trade. the stock is likely to continue to trade poorly into the new year. but if you want to ride his coattails, maybe he sees something you don't. if there was a slight uptick in demand for copper or gold in the new year, i think the sentiment is so poor you could have a sharp snapback. to me, when i was looking at the stock it was $7.80 u. could do a strategy called a risk reversal. you could look out to february expiration, give yourself a few months here and sell the february six put at about 33 cents. use the proceeds of that to buy the february 10 call for 33 cents. here is the deal. on a mark to market basis as the stock moves toward the lower put strike you have losses, higher ca

carl icahn is not giving up on pep boys.r value in the autumn of his part chain is $1 billion that topped the last week's deal with bridgestone. icahn's latest offers for $18.50 per share involved in an extended dating where for pep boys but the japanese tire maker. shares of pep boys rallied more than 16% taking on recent gains in the companies said icn software is superior to bridgestone switch has until thursday to respond. cheryl: to formal personal bankers accused of stealing $400,000 from inactive bank accounts. that is paid account holders were dead. 27-year-old jonathan france is charged with crimes including conspiracy and second-degree larceny. the band and their conspiracy and their conspirators made 350 atm withdraws from about 15 accounts. all this according to an indictment unsealed this month. a third alleged conspirator rent this month. police are looking for a fourth person in the case. coming up, justin bieber is in hot water. we like him, but he somehow water over the marketing of his new album, purpose. w

does carl icahn's plan to break up i -- aig the far enough? an hour to go until the market closes on this tuesday afternoon. stocks are making a pretty solid come back. we thought we would see a meandering market. ramy: markets did shrug off activities. oil also a factor today. looking at the board, the s&p 500 up 8/10 of a percent, 9/10 of a percent. take a look at the s&p year to date. i want you to see where we started and where we are now. we are basically right where we began year to date. we are only 1% off. and you know, betty, we will have four straight years of gains. i'm not sure if you could call that a santa claus rally. green.d be in the area youother mentioned earlier -- oil prices. commodities. -- nymex crudees is hitting a milestone. at a premium to break for the first time since january. you can see exactly -- it was at parity. brent crude was the global benchmark. reason for this is because some analysts say the possible listing of the u.s. export ban may be giving a lift also to the nymex crude while brent continues to see t

carl icahn, could the activist be losing. >>> and stocks may be down. but we have the top sign that says the market is about to rip higher this year. we'll tell us what that is. >>> and while it might look quiet in the market, with one day left in the trading year. look at the oil stocks. crude ending lower by more than 2.5%. and exxon, chevron, b.p. that got hit, closing out the day at the session lows here. what are we seeing here? a rotation at the end of the year. >> we pointed that out last night and that is yesterday to those on the metric system. the oil was down after the api report of build. and then the doe report, again a build and people weren't expecting that. and production is flat looiped at 9.2 million barrels a day. so you are not seeing the reduction in production with the rate count reduction. now people are expecting that, they are piling into exxon-mobil, chevron, the big happen energy names thinking they could weather the storm the best and if oil bottoms, they would rocket off. when oil started to turn, you had to get out of them

another loss for carl icahn. he is a long-term investor.ot of times he looks better in the end than the middle. brendan: here is your challenge. i want a -- pun. yahoo! has scrapped its selloff of an alibaba spin off. yahoo!'s shares are up on the news. the spinoff, assets and liabilities -- they will be transferred to a newly formed company. mercer mayer addressed the situation on a call this morning. large portion of the market capitalization driven by the alibaba stake, greater transparency to ensure that yahoo!'s business operations are accurately valued. especially as we continue to improve the product and operations. brendan: joining us to break this down is neil doshi. and also cory johnson. the editor at large. you just suffered through the call. what wisdom do you bring? ry: the clearest comment on the call was when ken goldman said this is a near image of what we propose before. spinning off yahoo!, we are spinning off everything else. andaba shares will trade they will have a new company ee?led yip brendan: i love that. it is a m

still ahead, pep boys giving bridgestone until friday to top carl icahn's offer.ow far are they willing to go? ♪ david: welcome back to "bloomberg markets". i am david gura. pep boys playing hard to get. is it worth the price. with why bridgestone initially was interested in this company. it is a japan-based company. interested in was expanding further into the united states. this company has 2000 service centers in the u.s.. arounds has something 7500 service bays in the u.s.. it would be away for bridgestone to expand its services in the u.s. pretty easily. david: put this into a larger context. other auto-parts companies are doing pretty well right now. >> that's correct. there are a lot of things driving that. the average age of cars is the highest it has been, a love and years. -- 11 years. there are 250 million cars on the road, another record. the cars are getting more complex. they need to turn to mechanics, professional shops, and that's where these auto-parts companies are getting sales. david: let me ask you about carl icahn, the way he went about doing

on the julie: carl icahn has opted's offer on pep boys.up 8% and kauai, raised his company the -- for the to 1850. it's trading at 1880 and bridgestone has a competing bid of $17 so it looks like there's speculation that the bid could go higher. looking at the one-month chart of the company, as this activity has heated up, the flags qc are flagsent headlines -- the you see are different headlines. passed --n a bit he it has been a busy past 30 days s and they have had a strong performance, up 91.5%. even though it has acquisition offers, autozone has done well this year. auto parts retailers are up 20% generally. nonetheless, a strong return come outperforming the market. riley automotive has performed well this year. boys p/e is much higher than that of competitors. pep boys andis orange in the automotive retailers and blue. you see the forward p/e based on estimated earnings at around 19. e boys, that number isp 88. whether its bridgestone or carl icahn, either one will pay a premium compared to some of these other auto parts retailers.

>> we know that carl icahn is involved in a lot of different stocks. he wants to change. this time we're talking about carl icahn boosting his stake in xerox to 8.13% via a regulatory filing. carl icahn boosting his stock to xerox to 8.13%. it was 7.13% prior. so an incremental boost. but still one that is notable here. of course, carl icahn has been taking some notable stakes being boosted to some of these stocks, cheniere energy, now xerox. up fractionally as carl auch cuban boosts his stake. back to you. >> dom, thank you. >>> now when icahn first revealed a stake in xerox, we scratched our heads. i'm going venture to guess, seaburg you're going to continue scratching your head? >> yep, i continue to scratch my head. i stay way from xerox. it's not a flay i would want to be involved in. i look at the past six plays he has been active in. they have been pretty much dead wrong. >> so don't follow in. >> don't follow in. >>> the sell-off sweeping the high-yield debt market. and it's not just energy. two of the top high holdings, hyg are hospital stocks got crushed today.

one of the reasons the market is tanking today as was just spelled out seconds ago by carl icahn and scott wapner on "halftime" the high yield market. fear of junk, one firm, big one, third avenue, preventing predemptions in one of their signature funds. mandy drury is at the new york stock exchange because stocks are stormy. hi, mandy. >> they're very stormy today on this friday, the last day of the trading week, tyler. i have got bob here with me. a bill segoff this hour. you know, bob, we can get into the granularity of all the various reasons why the market is selling off in just a second but if you take an overall theme, how much of this is derisking ahead of the fed which could, therefore, mean that after wednesday's fomc decision we could see maybe a little relief return to the market? >> maybe, i'm hopeful that is the case but i think you're right. as much as oil is a factor, i think derisking and that's a good word ahead of the fed, is a major factor. i want to show you the s&p 500. what's been happening is what happened yesterday, as we moved to new lows on the day we saw s

nice pop for pep boys. >> do you try to play carl icahn's coat tails at all?> you have been in trouble this year in if you did because carl has had a number of tough picks and that's not to say that mine are perfect, either, but this one is certainly a relatively easy one given that you've got competition coming in, bill, so, in other words, that bidding war and then it's a question of musical chairs, who is the last one that's going to get this done and how aggressive is bridge stone really going to be, but it's still just under a billion dollars even with this after hours pop so this is not such a huge market cap that it can't be joined by others. >> pep boys now up 6% in the after hours session. >>> speaking of deals, 2015 was a record year for deal making but we have someone who says that the m&a bubble could deflate next year. >>> but first the force turns out to be strong with the latest "star wars" movie, but it's not just disney benefiting from the record breaking box office numbers. other companies as well which we will talk about. details coming up n

carl icahn, it is $18.50.lued? >> is great news for bridgestone, pat boys, a good thing they have gone to bridgestone and said this is the offer, the board said it is better, they like it better, good news, pretty expensive for a company that is struggling but the idea is to reposition the company strategically and figure out how it can succeed, if it competes with more dealers, bridgestone has the upper hand in terms of distribution. >> shareholders are happy. dagen: speaks to the strength of auto sales, leave this year and in recent years, looking at you have to factor in december but a potentially record year for auto sales. >> one of the smaller players in the group, pet boys has market value talking about $1 billion. >> for o'reilly automotive a $25 billion company, autos and $22 billion, so trying to help this company of taking over structuring and the like, that is -- >> with the end game, looking at multibillion-dollar company. dagen: get it to grow. >> a lot of people like pat boys, they feel they can

>>> pep boys says a take over offer from carl icahn is preferable. deal already agreed to with bridge stone after announcing a bigger than expected full year deficit. >> argentina's new government is reportedly searching for a second u.s. law firm to help it resolve a long standing dispute with creditors over it's debt. >> amid the second week of january to start talks toward settling the dispute which stemmed from the country's $100 billion default in 2002. argentina actually was one of the better performing markets through 2015 but hungary beat it to the top slot 42% return. argentina a very close second. ireland and italy also among the largest gainers for 2015 and russia's micex up over 20% thanks to the collapse of the ruble. the s&p 500 however would have earned you very little money. now let's get to the cio of wealth advisors. tim, good morning to you. >> it was not a real productive year for 2015 but what you mentioned earlier, the questions are where are all the savings from low commodity prices going. are they going to end up on the bottom

. >> carl icahn was on this program. here we are, seven or eight years post crisis, still too big, and poses a significant risk to the financial system. any thoughts on that? dr. bernanke: i do know that the process of repaying the fed and the government the money that aig borrowed to stay alive, it did sell off a lot of subsidiaries. it is a business decision whether it should be even smaller. one of the encouraging things is make it more costly to be big have encouraged some of the big firms to shrink. >> so smaller may be better in certain cases. dr. bernanke: big firms provide important functions. small banks cannot necessarily provide the credit that a multinational firm needs. >> you also don' t want the united states to have financial institutions that are a disadvantage to the global institutions. dr. bernanke: there is the question of our industry competing with other industries, but it is really important for the system to be safe and strong. what we found, even though the united states has more capital and mor

carl icahn triumphs.dgestone won't come back with a counter offer for pep boys and play time is over. toys "r" us closing down it's giant flag ship store in new york's time's square. >> yeah, another commodities trading house in the news. noble's credit rating downgraded to junk status by moody's. this move comes despite efforts to try to maintain it's investment grade status by shedding assets. the ceo is hitting back at moodies in a note to its staff. he says it seems they weren't able to differentiate between an environment clearly challenging for upstream players and one that opens up opportunities for an asset like trader like ourselves. the stock is down 65% but also being hurt by iceberg research earlier this year of inappropriate accounting they say. >> let's have a look at the energy prices and api data showed inventories crew by 2.9 million barrels last week despite analyst expectations for a decline setting the oil market up for further losses. this after gains during the session due to the col

carl icahn playing along as well.he shares at least for right now hitting a multi, multi-year high. back to you. >> dom, thanks. you have a bonefied bidding war here. bridgestone versus carl. >> icahn wins again. >> said he is willing to go up. >> i bet he could. >> i'm surprised -- maybe we should be surprised that bridgestone is still in this race. >> oil -- oil inventories are unexpectedly falling. will the rally last? we'll get the trade for the futures picks coming up. plus, micron misses the mark sending the shares lower today. one of our experts owns the stock. what's the next move? >> ♪ i built my business with passion. but i keep it growing by making every dollar count. that's why i have the spark cash card from capital one. i earn unlimited 2% cash back on everything i buy for my studio. ♪ and that unlimited 2% cash back from spark means thousands of dollars each year going back into my business... that's huge for my bottom line. what's in your wallet? now more than ever america's electricity comes from clea

the move is an effort to match billionaire investor carl icahn's bid for the firm. shares fell a fraction today to 16.22. and royal dutch shell announcing its plans to cut 2,800 jobs after it completes its statakeo of its rival b.g. group in an effort to cut costs. shares fell more than 1% to 43.95. >>> today is december 14th. also one of the busiest shipping days of the year and the busiest bar none for the postal service. morgan brennan takes a look at how the shippers are faring. >> reporter: today is green monday, the third largest online shopping day of the year. before holiday shipping deadlines come to a close later this week. it's also the third peak day fedex forecasted for this season. and the u.s. postal service's expected busiest day for mailing cards and packages. as we head into the holiday home stretch, how is this peak shipping season shaping up? for starters it began earlier, ahead of thanksgiving shipments yumped as amazon and retailers like target rolled out door buffetter deals early and those volumes seem to have carried over into early december

freeport is also facing pressure from carl icahn, who took a large stake in the company earlier thisear. shares of the miner fell 9 1/2% today, down over 70% for the year to $6.85. intel completed its takeover of chipmaker altera today after announcing its $16.7 billion takeover bid back in june. shares of intel little moved by the announcement with shares ending the day down just slightly to 34.93. and a pair of food companies in the news. the food industry making news with chipotle and whole foods. over the weekend chipotle reopened its boston location, where 136 became ill from the norovirus. earlier this month. that was separate, though, from the e. coli outbreak that affected chipotle in 12 states. and whole foods will pay half a million dollars to resolve an investigation into whether the company charged too much for some items in new york city stores. whole foods will also conduct quarterly audits to ensure accuracy. both companies were lower on the day. chipotle down a fraction. to 493.52. while whole foods was off less than a percent to 34.24. >>> deutsche bank agreed stole

this follows the recent revelation that carl icahn had taken a huge stake in the company. the leadrd, independent director, will become nonexecutive chairman. the ceo of valley pharmaceuticals is taking a medical leave. a team of executives will replace pearson once he walks out. deutsche bank will sell its 20% stake. the sale will generate as much as $4 billion. selling stakes in chinese institutions. it international rules make expensive to hold minority stakes in these lenders. and that is your business flash update. julie hyman has a check on individual company movers, beginning with cmr acts. >> we call the company today. this is a small biotech firm. had iny drug it development on human trial failed to meet its primary endpoint in a study it was doing in the lake fish clinical trial. now down 80%. this is the only drug that had gotten as far as it had. drug used toviral treat people while they are undergoing treatment for other illnesses. despite its relatively small size it is affecting some of these big biotech companies. some of the big cap bio techs are down toda

by the end of the week, it will try to outbid carl icahn for pep boys. billion. bridgestone and icon are trying to expand their presence. and he does former jpmorgan personal bankers in new york are accused of stealing from a triumph, some of whom were dead. 'sosecutors say they used atm to still $400,000. at least eight of the account holders had died. suspects have pleaded not guilty. soft demand from china, the stories this year. they have humbled many investors, even the wealthiest. the billionaires team crashed the numbers. we're joined now and let's do the biggest loser? .> carlos from american mobile that is. the stock has been down and hit pretty hard as regulators try to break apart the business and make it more competitive. he controls most of the land lines and mobile phones. there has not been room for anyone oh to get in there until now. >> we have been talking about everybody else getting hit by commodity markets and demand from china. this is a completely unique story. it is really a shift in the business environment in his own home countr

on this particular note, is this in reaction to carl icahn?is has been in the works for about a year. peter hancock was going to shrink the leadership team from 15 people to about 10. the thing that is really surprising here is who left. the people that have left, the biggest name is david herzog, cfo. he recently just joined the committee by the u.s. treasury. people said he could been ceo at some point. he is departing. the other person leaving that is pretty surprising is john doyle. he is in charge of operations. replacing him as cfo is the former chief risk officer. risk is everything in an interim company. that makes some sense. his departure is really a surprise. what they're also saying is somewhat a mixed tag. now you have a lot of people that will have to perform. the plan iswhat next for the new leaders. possible success. , he was there since 2008. he is very well respected. of the senior management change, what else is on top that peter hancock had promised shareholders? >> he promised a re-shaking of the organization and the compa

carl icahn, as many of you know, was on friday, as this high yield meltdown and really the story was picking up. he had tweeted out, the high yield meltdown is just beginning. here's what he said when he called into the program after he tweeted. >> high yield market is just a keg of dynamite that sooner or later will blow up. if you're buying these etfs, high-yield etfs, well, you've got to have liquidity. and it's just beginning. >> okay, so, a statement from black rock. perhaps responding to some of the concerns that are in the marketplace. and maybe in part responding to mr. aye con directly who has been critical of black rock and some of the etf products they have. black rock saying etf sellers and buyers were able to transis act at known transparent prices on stocks exchanges. without disruptions and helped enhance market liquidity. this past week proves more evidence that high yield bond etfs are one of the easiest tools to help manage high yield exposure in stressed market conditions. so they offered their response. you heard what icahn said. is he right or is he wrong? >> loo

. >> news alert on carl icahn and cheniere energy. dom has the latest. >> carl icahn has boosted his stake to near 14% from a prior stake of around 12.7%. this continues to trend since about august. where he has repeatedly upped his stake by smaller amounts into lng, which is the ticker. and you could tell they do liquified natural gas. so cheniere energy right now marginally lower about 222,000 shares. it looks like he has boosted his stake in cheniere to 13.8% from a prior 12.65%. this is around the eighth time he's boosted the stake since around august. back over to you. >> thank you very much for that. dom, we'll see more of that. and the vultures cycling around over the carcasses, what do you see about that. >> it is hard to take on carl icahn. but he is buying something in a protracted downturn. eventually it will get stronger. but until you see it get stronger and see the cold weather come in, sustainable, it will be a difficult trade. you have natural gas prices -- you have natural gas prices trading at one-third of what they

this announcement follows the recent revelation that carl icahn has taken a huge stake in the companye nonexecutive chairman. and a demand for women's clothing gave a boost to holiday sales. early spending figures say they rose 29%, excluding autos and gas. november and december, sales were up at her than expected. and the latest "star wars" movie broke the $1 billion mark before china could even see it. producers anticipate it will play very well in the world's second-biggest film market. it opens in china on january 9. "star wars: the force awakens" took two weeks to earn $1 billion. the previous record holder was "jurassic world." and that is your bloomberg business flash. k, skating inis mar from thailand. also joining us is frank. i want to look ahead to see what investors should look for in 2016. mark, wished investors place their money? >> well, i just read the other not one strategy was negative about the stock market in 2016. i think the u.s. stock market will go down in 2016. i think 10 year u.s. treasuries are quite attractive because of my outlook for weakening economy, an

by the way, the etfs that carl icahn dislikes so much are not the because of the weakness in credit. people are concerned about a default cycle coming about, energy prices not finding a floor. in fact, if anything today they are shorting the junk etfs as a hedge. so it's not as if the etfs are the epi center, they are the way that you sell what you can when you can't sell the stuff that might go bad. >> did you see that big gross that janlt tweeted out. who will get in if you can't get out, risk off. there's some fear about the desperation of the move and what that says about the liquidity in the market. >> i think the desperation of this particular move if this is all it is, that's not a big deal. if it becomes this chain reaction where people say, hold on a second, if the junk bond market is that worried in general why are stocks only 5% from their highs? why is the s&p 500 held up so much better than the high yield sector. >> maybe it's been ignoring it until now. >> exactly. that's been the complaint, people have said why are stocks looking on the bright side? i would point out t

would we get better deals with carl icahn negotiating. >> he promoted carl icahn to treasury secretaryn the last 24 hours. >> i missed that. >> would we get better deals? >> i think that -- i think that is just simplifying the situation. let's take tpp. our trade representative is trying to close out the transpacific partnership. there's a ministerial going on right now in atlanta we're working on issues around dairy and autos and biologics. it's hard. you've made a deal between two people. imagine trying to make a deal between 12 countries on 26 different chapters of issues. this is complicated. this is hard. and, remember, it's not about just one negotiator making the difference. it's also about all those industries in all those countries having a point of view about what you're agreeing to and how it's going to affect their equities. so that's what you're trying to do. and yet at the same time the president has set a goal of, i want a high standard agreement. we're not making just any agreement to have an agreement to check the box. we're trying -- what we're trying to do with the t

they have been talking with carl icahn for six months.oncerned about the third-party that he was developing. he has friends that holding 19.3% in have boys and it's adding up to too much. stephanie: i will doubt that he is friends with gamco. he is a brutal investor. it does not matter whether he is your friend or buddy, it's all about business. pep boyss is what tab means. they are concerned about other players that carl icahn could team up with that could control a stake in the company. he is pushing heavy for consolidation in the space. he bought a canadian auto-parts retailer this year for $300 million and wants to push further. stephanie: that is different than saying they are buddies. time going to cocktail parties because he has offended so many people over the course of the last 30 years in terms of his investing. matt: i feel it mario might say the same thing. stephanie: they can both come to my house for a cocktail party any day. david: ok, boys and girls. matt, i think you have something else to do. but's to our morning meeting

i -- say icon -- corey carl icahn got his way? >> a great question.ou need to have somebody there who will understand the business has been there forever. the business is not generating enough value. a couple of candidates. externally, that is the tough part. if someone came in from outside and then became a board number -- a board member and ceo, the concern is that they would not know the company well enough. right. they do not know the intricacies. how hard would it be for ought ichanr cory icon -- carl >> they're? person also ceo is the trouble here. betty: thank you so much for joining us on this. break, we are monitoring more of the breaking news on the active shooter in california. mark crumpton has up it -- has an update. sceneagencies are on the of the multiple shooting in california. shootinge reports the took place at a social services center. up to threer gunmen. the law enforcement agencies converged on the scene and triage units were set up on the area. police are working to secure the scene in the england region east of los angeles. liv

guest was carl icahn.ne pickens: i hope you are right. it would help me a lot. hedged out of that. i have made a few bucks there. you have to be right. sooner or later. i am not sure how soon. bucks.ie: made a few what is your take? carl icahn was that you are going to be right. the nicest way he could say you are wrong and you will lose money. pickens,sten to boone he has been in the oil patch as long as there has been one, but i do not see it going to $70 a barrel soon. you see more stress in the system which tells you that oil is going to stay low for a long time. what is going on with the sovereign wealth funds where they are liquidating investment portfolios to repatriate that capital for social spending programs. stephanie: does that scare you? because it tells you most opec nation does not believe oil will return to $60 a barrel anytime soon so they are taking capital back from overseas and spending it on these programs. the emerging markets are another story. with china retrenching a lot of the ene

scarlet: i had no idea that carl icahn was that much of a car guy. to pull a sales tumbling. the chain need to do to win back customers? the ceo of a ask semiconductor company why he is betting big on the next generation of auto markets. wti below service, eight dollars a barrel. it looks like the witch doctors are getting hit the hardest. ♪ scarlet: welcome back to "bloomberg markets." i'm scarlet fu. alix: and i'm alix steel. scarlet: time to look at the biggest business stories. alix: fed president james bullard says unemployment will continue to fall. bullard says that unemployment will reach the 4% territory. he took audience questions following a speech in vienna. scarlet: ford is recalling thousands of fusion and mercury models. the fuel tank may crack and leak gasoline, possibly leading to fire. most all vehicles affected are in the united states. gox: general electric may outside the u.s. or the private equity to find a buyer for a system. they were abandoning a deal with electrolux. ge canceled it because of a legal battle to get the acquisition approved i regulator

pickens starts his broadcast, his very first guest is carl icahn.king economy or political system, the president facing impeachment. ♪ stephanie: so much news i am most got the day wrong. i will not get the show or my name, welcome to bloomberg , i am stephanie ruhle. it is thursday. david: i am david westin. it is a big day. the global head of jpmorgan fixed income. stephanie: no shortage of things to talk about. how about some news. ? vonnie:

carl icahn is clearly taking a run it aig.acking someone who is running for president, donald trump. a new york icon, like you. trump? you think of mr. jim: i would prefer you not be our next president. i think our country needs someone who is a uniter, not a divider. we've been divided for too long. we need someone who can bring us all together. and i just don't see the donald trump is capable of doing that. never mind is. there are a lot of people who are. but donald trump called john mccain a -- said he wasn't a war hero. , forcibly, 11port million americans. that's not going to unite us in any way. he gives us quick answers to questions, like he is going to build -- he is going to have the mexicans build, their own cost, a wall between mexico and the united states. number one, he's not going to do that. you can't do that. that's not the way tonight the country. stephanie: he is a divider. we are sitting here in political gridlock. we have ceos being attacked by activist every day. what does it take today to be a great lead

you had carl icahn, out in a tweet and say that if you haven't seen danger ahead, watch -- i virtually i think the meltdown in high yields is just beginning. scarlet: very, very grim. bill gross also weighed in as well, but in a more colorful way. "who will get it if you can't get out? risk off." joe: very poetic, no gross. almost -- bill gross. almost like the syllables of the haiku. scarlet: one of the huge stories of the day -- credit, in terms of high-yield credit, the biggest 1-8 drop since 2011. the red line is that etf. the blue line is wti. you can see that they track each other pretty carefully. they did thought about around the same time here, 12:30, 1:00 p.m. companies leverage to oil are breaking lower. the leverage energy sector is threatened by oil prices. let's see what happens if you change the time spent to six months. they follow each other pretty carefully. but then over a one-year [ held up muchetf better than oil prices. wti fell below $45 a barrel. it wasn't until probably the middle of this year, july, that we saw both come down. joe: this chart raises an importa

he paid more for it than i can buy today i'm thinking carl icahn. what do you think? >> if you want to be in cheniere, this is a risky play. it's risky because the price of energy is going down. there's a piece called cheniere energy partners it yields 7%. being contrary doesn't always serve you right. much more "mad money" ahead. from amazon prime to google express, the delivery space is heating up. i'm sitting down to see if they can remain ahead of the pack. then do your stocks have what it takes to survive this up and down market? i'll be the judge of that when we play am i diversified. and your rapid fire calls just ahead on tonight's edition of the lightning round. santa has a magic snow globe for every family. and this year, look at what he put in our driveway. the lexus december to remember sales event is here. lease the 2016 es350 for $349 a month for 36 months and we'll make your first month's payment. see your lexus dealer. ♪ the lexus december to remember sales event is here. lease the 2015 gs350 with complimentary navigation system for these terms. see yo

15.thats about $20 billion more than last year.and pep boys has a new owner.billionaire investor carl icahn buying the auto parts and repair chain in a $1- billion cash deal... that is expected to close sometime in the first three months of 20-16.shares of pep boys falling nearly 3% on the news. and carls junior is going "all natural"...the fast food chain launching new all-natural turkey burgers... available in and teriyaki.and get this...they are all 500 calories or less.bon appetit. that's a look at business. i'm david asman. 3 3 it's a ninja warrior training course... for kids... in sioux 3 <> 3 more than three hundred kids w

boys are rising today in carl icahn raised his bid for the chain to more than $1 billion.t escalates a bidding war with bridgestone, a japanese tire company. bridgestone will decide by the end of the week to -- whether to increase its offer. natural gas futures are headed for the first monthly gain since june and of wiped out mid december losses of 25% after computer models addicted colder weather would boost demand and possibly and the natural gas glut. hedge funds are betting your morning cup of coffee will get cheaper. money managers of embarrassed on coffee for 18 weeks and prices are headed further six monthly loss and likely it's the heavy rain that is posted crops in brazil. that lowers the cost for starbucks and folgers. that is your bloomberg business flash update. bygail doolittle is standing without stocks are trading at the nasdaq. >> the biggest story at the nasdaq is probably is broad-based rally. stocks are sharply higher this morning and all sectors of which is a pity. abovemposite indexes back its 50 day and 200 day moving average signaling long-term buyin

news on carl icahn coming up next.t's your grandpappy's hammer and he would have wanted you to have it. it meant a lot to him... yes, ge makes powerful machines. but i'll be writing the code that will allow those machines to share information with each other. i'll be changing the way the world works. (interrupting) you can't pick it up, can you? go ahead. he can't lift the hammer. it's okay though! you're going to change the world. >>> welcome back to "the closing bell" here. we want to call your attention to what's happening with car rental giant hertz. activist investor carl icahn has reported he boosted his stake to a little over 14% from a prior stake of a little over 11%. again, icahn boosting his stake through a regulatory filing that's being disclosed in hertz shares up 3% on 350,000 shares. back over to you guys. >> thanks. pep boys i get. hertz? i don't know. >> well, also sharing energy. it seems carl icahn likes the dollar cost average. these stocks have not gone exactly his way and he's doubling down. >> i'

carl icahn is normally known for his immediate yas touch, but he made big bets on commodity stocks that are down double digits this year. which stock should icahn dump? we have a brother versus brother debate. you get to start it off. >> all right, mandy. carl has done a fabulous job picking stocks. netflix, apple. i'll stop there. as far as bad stocks, ones that he should get rid of, right now i'm thinking ylny, cheniere. down 230% this year versus last year. additionally, this has been dead on about this one as far as just between debt and the price of natural gas going down. this has just been a killer for them. yeah, they said good-bye to the ceo. 165 million dollars later they get rid of the ceo. that's an expensive parting gift. these guys are in at -- now it's time to get out of this one. nobody else to get in. >> i'm looking at freeport mcmoran. take a look at where this company made that decision to get themselves positioned in oil and gas. gas -- oil prices were actually above $100. that's a huge problem because they put themselves into a very laj leveraged position at that po

carl icahn announced a 8.5% stake in the company back in august. tim, what do you do here? >> good for carl. he is agitating change. but it seems to be at the wrong time. what is going on here is a governance -- it is interesting, jim moffett engineered this big deal for freeport-mcmoran and took out planes and sitting on the board, so a very, very cozy deal. the stock should have been rallying on this news. and if it gets back to where do you value copper and where do you value oil for the next couple of years, they talk about some of this stuff, but ultimately they have copper at 236 in 2017 and 238 in 2017. it is at 206 right now. and at the levels they have, they made this clear, we may have to lower that. but it is free cash flow positive. for the prices in copper. otherwise, i would be neutral. >> will this be a losing trade for carl icahn in a year. >> i think so. but he could average down. but the problem he has is what tim talked about. what is the catalyst for copper going high. i know they have the oil and gas side of it. i think those trade roughly flat. copper m

carl icahn is making a bid for pep boys. jeff: carl icahn puts his own money to work.ay with other people's money. i think what he is saying is, as a financial investor, i can make it work at this level. someone who is strategic can actually pay more. jeff: he also is strategic. he bought a chain called auto plus. theink he wants pep boys retail outlets and then he would sell of the other elements they've got. he wouldn't want all of the company. just the retail side. he is a different activist than the other ones. he's willing to put his money into it. betty: what about the chinese? where are they in other areas of m&a? jeff: the chinese get a bad rap sometimes because they move slowly. a lot of the big companies that want to do big deals have to get government sign offs. that gets decided by the chinese government. that always slows down the process and makes them more reluctant or they move slower. frank: that's true for state owned enterprises. they have to get state council to approve it. theyere are two bidders, have to get a decision. ready to thank you for join

buy today i'm thinking carl icahn. what do you think? cheniere, this is a risky play. it's risky because the price of energy is going down. there's a piece called cheniere energy partners it yields 7%. being contrary doesn't always serve you right. much more "mad money" ahead. from amazon prime to google express, the delivery space is heating up. i'm sitting down to see if they can remain ahead of the pack. then do your stocks have what it takes to survive this up and down market? i'll be the judge of that when we play am i diversified. the lightning round. i take pictures of sunrises, but with my back pain i couldn't sleep and get up in time. then i found aleve pm. aleve pm is the only one to combine a safe sleep aid plus the 12 hour pain relieving strength of aleve. i'm back. aleve pm for a better am. looking for 24/7 digestive support? try align for a non-stop, sweet-treat-goodness hold-onto-your-tiara, kind-of-day. live 24/7 with 24/7 digestive support. try align, the undisputed #1 ge recommended probiotic. americans. we try to live healthy. but many of us don't kn

. >> jason, carl icahn, which also put a big investment into lyft said just because there will be onery that is perhaps more successful, it doesn't mean that the other company is going to zero and that there's been such a seminole shift in the way that people ride in vehicles and buy vehicles, that you can't count a number two out when the shift is so large. you disagree with that generally? had. >> i generally disagree with whatever carl icahn is investing in or whatever his investment thesis is. wronk you want to follow his investment thesis, respectfully, again. i think you want to look at where the major venture capitalists and some of the other public market people are putting their money. i happen to have a little insight into this because i'm a private shareholder in uber, and i'm getting a lot of people who are -- i know who own lyft shares who are selling them or have sold them in the last couple of years, and i'm getting an onslaught of people trying to buy my uber shares, of which i sold zero. >> no plans to sell, i assume? >> listen, i mean, if you have a company that has,

connell: carl icahn offered the car servicing chain might not be able to refuse. >>> what happens when miss universe on live television? have you seen this. we're bad people and we're going to show and you talk about it more coming up. how do you say breakfast in korean? google voice response: achim sigsa. how long does milk last? google voice; one week after the sell-by date. how much vitamin c is... is in an orange? set timer for twelve minutes. google voice: ok, twelve minutes. where can we find donuts around here? coffee? what about crepes? how about a bagel? what is the most important meal of the day? google voice: breakfast is the most important meal of the day. . connell: we have breaking news from the world of football. the giants wide receiver odell beckham jr. has been suspended as many people thought he would be, for one game for his conduct in the loss yesterday to carolina. he drew three personal foul penalties, multiple fights happening on every play against the he and the panthers' corner back josh norman. gerri: here's what's making money today. pep boys, carl icahn rai