cory johnson, our editor-at-large, thanks so much.urning now to earnings out after the bell, higher forecast from cisco and salesforce dragging the stock higher in extended trading. cisco says revenue from acquisitions will help make up lukewarm demand in its main business. for salesforce, it's a sign that large corporate customers are paying more on cloud software. joining us now, these two and ourglenn o'donnell bloomberg intelligence analysts. let's start with cisco. what are the main headlines you pull out? >> cisco has been facing some challenges throughout the year as its networking products flatten off. there is a lot of saturation in the marketplace. it is a great business, lots of cash flow. that is not where the growth is. cisco recognizes that. the growth is going to come from some of these newer areas where they are focusing their at -- acquisitions. so cloud computing, internet of things. this is the new direction they have got to go into, and it's a very different world for cisco, but this is their future, and that's whe

our editor at large, cory johnson, has been in mountain view all day long on google's campus.et's start with a virtual reality. google already has a vr version of its apps, youtube. can they take on potentially apple in vr? cory: whoever it is will have to figure out how to create content for vr and figure out what kind of use cases there might need. was abouthe focus providing those kinds of tools, the kinds of cameras, the tools that story makers can use to use vr to create new kinds of content. very interesting stuff. emily: what do you make of this new google home device which looks an awful lot like amazon echo? looks like a duck and quacks like a duck, you can probably ask of the echo, "alexis, is this a duck?" some of the biggest computing companies in the world have been hiring like crazy. .ou had amazon doing it google hiring like crazy as well -- wele, so we can ask can start to expect some of these products to look-alike. these devices are sort of showing the way the machine learning can start to do some amazing things. in the amazon case, it is piggybacking the com

cory johnson? cory: thank you. you are here at the conference. it is interesting.ds of developers are trying to figure out what the next big thing is. seems like you are using virtual reality as a platform to look forward to. platform is a consisting of phones with very high specifications to make sure they can render things smoothly. and a design so you can slip your phone into something and have a come will experience and interact with wings richly. and finally an app, something we have been working hard on. cory: it has got to be massive. >> today's mobile phones have enough computing power in them to drive the experience to make you think, i am somewhere else, it is that immersive in quality. cory: i think i figured out, about a 1987 -- that is what you are caring around right now. place it has been a while since i have done the math. but it is pretty special. create anre trying to industry. i wonder what you think the key drivers of that are. >> to experience virtual reality, users need something to experience with the device, but also something to experience,

we speak with a former visa executive, and our editor at large, cory johnson. ry: a couple of things. maybe the most worrisome thing was commentary in the letter, in the note to investors. there's a cryptic message, what they called challenging credit market conditions. square, the way they extend credit to small businesses, i --nk $153 million in loans they take the credit and sell to investors who want to get damon's back. the letter that .hey had little default however, they said challenging market conditions mean they cannot sell during the quarter as quickly as they wanted, and that is a big worry. the business part of their growth, where they think they can get profits, but they can't sell the paper, a big problem. emily: you're talking about square capital. they were giving up cash advantages, and they turned it into full-fledged loans. that is what investors were optimistic about. it was supposed to be the future growth of square. cory: that's a part of it, but i don't think that's unique to square. -- guest: i think that's a part of it, but i don't thin

for more on this tale of two different rings, i'm joined by our editor at large, cory johnson. as been such a fun you days here, but let's start with disney. even post star wars, not a great quarter. cory: analysts know there was some week is in the abc networks. that caused profits to dip, but big picture, 4% year over year growth, that is a strong quarter. not the same kind of growth they saw last quarter but still growth nonetheless. emily: cable profits were up. cory: there were long-term concerns about the unbundling. if it starts to show pressure, this company is so strong but espn has been doing better than expected. "star wars" toys actually hurt. the dollar-denominated assets, selling dollar-denominated currency hurts them because of the strong dollar. while a lot of the toys sold, the profits were not as strong. that sort of them scares things. theme parks very strong this quarter. the current quarter, they are going to open disney shanghai and that is expected to be very positive, but beginning in the second calendar quarter -- emily: and they have the follow-on to th

cory johnson joins us with more.was at stake was a $9 billion slice of google's android business that oracle no longer has claim to. reporter: it is interesting because oracle acquired this, they said during the trial, one of the reasons was the pile the desk all you take be placed on java. it is an open language and shared. the entire order of job required licenses. android was built entirely on java. they did it without requiring a license, oracle top had a big claim to that. just thought they had a big claim to that. oliver: so what will oracle miss out on, a lump sum payment? $9 billion. they spent a lot on the trial as well. this was the second trial. the first was also, it was not with they wanted. they got kicked back to court, same judge, overseeing the trial once again. so this means oracle cannot pursue other arrangements and other suits. it will be harder for them. the court found, or the jury found that the free use, the fair use of java was what google that --. and on top of without a license, they were

for more, we are joined by cory johnson from san francisco.s statement, isow this a serious target? >> what do you mean? jon: to get production up to where it should be. elon musk. interesting is it is very ambitious goals. haveodel three, which we really yeah to understand what the car was going to look like. one of the issues this company has had is a history of delays. delays of any car that has been substantial. because a great ambitions they haven't this company, one of the --ngs they focus on a lot is perhaps this big goal is a way to get the suppliers to gear up to get them the stuff they want. at a certain point, we could admire elon musk's ambition, but recognize the history on not delivering on deadlines. david: go to the subject that jonathan referred to which is cash flow. they had been burning through cash very quickly. this new ambitious plan a production will be higher a fair amount of capital investment. flow was not as important as it was this quarter. the model s investment was down and a lot less than the previous quarter. w

our editor at large, cory johnson, thank you for breaking it down.nother stock we are watching is it yelp. it spiked in tuesday trading after hedge fund manager is taking a stake in the company and thinks it could be worth $55 a share. he said yelp stock has suffered due to miss -- expectations about upcoming, negative commentary. but he believes yelp can double its revenue by 2019, and would have no problems finding a buyer if they wanted a deal. up, my exclusive conversation with one of text most controversial figures, talks after losing a high profile discrimination case. that extended interview, next. ♪ emily: ellen pao is back, the former kleiner perkins investor has started a new advocacy group. project include will shoot for greater diversity at tech companies. she found her self at the epicenter of a case they got national attention when she sued them for gender discrimination. but she lost on all counts. what is she been doing since? i sat down with her earlier for an exclusive interview from oakland, california. it has been a year now since

cory johnson of the breakaway summit in new york. still ahead, forget red and water.staurant in a u.k. prison. that's coming up next. ♪ ♪ mark: would you die in a high-security prison? this charity operates for restaurants in prisons across the u.k. that serve food to the paying customers as part of a plan to rehabilitate prisoners in the end of their sentences. richard vines got a taste of what is probably the world's best prison food. thank you for joining us. hmp highdown is where you have entered. richard: it is the first time i tried prison fruit -- food. most of us never go to prison, at least not voluntarily. security is tight and yet the register in advance. your phone is taken away, your camera is taken away. yet even a plastic knife and fork but it's very exciting in the food is very high quality. it is a charity that helps rehabilitate offenders. mark: who teaches them? who are the mentors? richard: a three michelin star chef. quite famous people in the u.k. food world. sherry: the difference between going out to eat and just eating at home is the dining ex

emily: cory johnson with google's vice president of virtual reality.oming up, is facebook suppressing conservative news stories? mark zuckerberg meets with top political thinkers to allay concerns. we will talk to someone with at that meeting. and later, one of the most experienced corporate leaders in silicon valley, my interview with john thompson. ♪ emily: facebook, finding itself at the center of a media storm this week after reports surfaced of the company's trending section was biased towards liberal news. ceo mark zuckerberg called for a meeting. among those in attendance, glenn beck, the head of donald trump's campaign and former white house press secretary dana perino. we spoke to another attendee, arthur brooks, president of the american enterprise institute in washington, d c. how would you describe the overall tenor of the meeting and your takeaways? >> it was a good, constructive meeting. facebook senior leadership was there and they expressed they were worried about trust, not just with conservatives, but people all around the country, wh

thank you, cory johnson. at the google i/o conference.e back in the next hour with an interview with the vice president of virtual reality. how strong is the european economy? coffeeirman of the illy group joins us. ♪ in new york, 8:00 in london, and 3:00 a.m. in hong kong. welcome to "bloomberg markets." betty: from bloomberg world headquarters here in new york, i am betty liu. stocks are raising their gains after the police of the fed minutes, fluctuating as the central bank raises a willingness to raise rates in june if the economy continues to improve. coffee prices are struggling to rebound. with futures posting a 60% drop in the past year, how does that impact business? andrea illy joins us this hour. google unveiling his latest creation at its android developers can't it's. we are live with one of the executives behind google's virtual reality business, a key area that google hopes to expand into. and maybe eventually dominate. e

scarlet: cory johnson, thank you, reporting from mountain view, california. right, what'd you miss?2 things like weaker long-term expectations, but here is what the data tells us. pce and others. us now.joins martin, you have seen signs of inflation gathering speed, but the fed just does not buy it. why not? you alluded to earlier, the inflation expectations are sufficiently lower than their long-term target, at least market-based expectations, where you have five-year,oomberg and we think it is substantially below what would be the fed target equivalent. joe: do you think the fed is willing to let inflation run hot, theoretically? we are kind of away's from there, but that there is a believe that that is something the fed would be willing to do, and if so, how far would they let it run? martin: i think that is a really, really interesting because when you look at the sensitivity of global financial markets and the global conditions to the u.s. real interest rates, when you look at the real interest rate, you look at the nominal and the inflation, and when you look at the back half

emily: cory johnson and chris, thank you both. staying with earnings. a % boost. asia's largest internet company, $3.7 billion. new users and thrugging off concerns. security and looking at these results, you see they are performing better than china at large, what do you make at that? >> even if you are concerned about the chinese economy, which i am, the consumer in china is the least of your concerns, because the effort is to transition the economy. and nobody sells more to consumers or helps consumers more than them. that's the result they had so far. if you are going to be in china and beyond the concerns, it seems to be a good place. emily: what about the ack which situation strategy and they have made big investments at home and abroad and trying to put together the grander plan. is that starting to emerge? >> the investments are doing very well. and just gave an update and companies they don't consolidate is 37 million. the owner of the company. hey made a lot of money in investing and so in terms of making investments, they are doing well, the one they co

scarlet: thank you so much, carol massar and cory johnson.b ceo shakeup has shares plunging. how does that impact the lending space. ♪ . . alix: from bloomberg world headquarters in new york, you are watching bloomberg markets. i'm alix steel. scarlet: i'm scarlet fu. let's go to mark crumpton. mark: north carolina is suing act room so-called " law." nce doj had given the government until the end of the day to scrappy lot. rory: they send letters to the department of justice and to the university system, suggesting having government employees use the bathroom, locker room, or shower facility that corresponds to their biological sex is in conflict with federal policy. mark: u.s. attorney general thetta lynch will discuss action in a news conference scheduled for 3:30 p.m. washington time. senator bernie sanders is telling supporters in new jersey to keep fighting, despite his long odds. he said "don't let anybody tell you this campaign is over." win 66% ofld have to the remaining pledged delegates -- so far he is just winning 45% partyails eve

alix: thank you so much cory johnson and carol massar. april was a comeback for some investors.tore chains being left behind? that story next. ♪ worldfrom bloomberg headquarters in new york, you're watching bloomberg markets. scarlet: let's get to first word news. mark: president obama welcomed the leaders of five nordic countries to the white house for a summit on security, environmental, and other issues. >> the nordic countries are a model of cooperation and they consistently punch above their weight in meeting the challenges of our times. are nordic partners are not but there ares almost no issues that we deal in terms of security or economics or humanitarian assistance where the nordic countries are not some of our most reliable and effective and important partners. are:4 of those countries part of the us-led coalition against the islamic state. donald trump says he does not keep money in swiss banks are offshore accounts and that his tax rate is no one's business. he defended his refusal to release his tax returns until an irs audit is complete. he says he does not think t

let's explore this more with cory johnson. here to talk about apple's media ambitions. a report apple is interested in time warner how much of a surprise was that to you? -- cory: that all in. it is interesting when you look at the big four players in over the top service, netflix, hulu, , then prime, and apple only one not making original content. dr. dre and house, but outside of that, they have not been a lot in terms of investment in their own content. we know a year ago they negotiated with the likes of cbs trying to put together a service. they would offer subscribers of apple tv what is known as skinny bundle. i do not think those go together well as words. without espn or some of the to paypeople do not want for, it would be a lot cheaper. it fell apart. they could not start a deal that was cost effective for them. those deals fell apart and apple said it was no longer pursuing the business plan. we can see the ambitions were serious. david: i imagine hbo would be the one that is greatest to them. cory: hbo has had a great success record. bombsx has had a lot of

alix: thank you carol massar and cory johnson. we want to get you to breaking news. the u.s.a letter to congress on puerto rico. puerto rico needs orderly restructuring to address debts and he does one of cascading default without puerto rico. congress must work quickly to deal with it. we will be right back here. . . show me movies with romance. show me more like this. show me “previously watched.” what's recommended for me. x1 makes it easy to find what you love. call or go online and switch to x1. only with xfinity. show me movies with explosions. show me more like this. show me "previously watched." what's recommended for me. x1 makes it easy to find what blows you away. call or go online and switch to x1. only with xfinity. alix: we'll get institute global clouds this conference -- global conference is underway. scarlet fever is there. -- scarlet fu is there. scarlet: i'm here for -- you have moderated panels on income inequality. what is changing in this conversation? >> think this is the fourth year, i'm not positive. it started where i started with income inequality i

more, cory johnson joins us from the conference in mountain view, kelly -- california.s on the stage, right now, -- let me paint the scene. there are buses full of programmers, thousands of people gathered here. programmers to write on android, chrome, google and work -- thinking about where technology is going to take them. it is a really interesting and big crowd, but the focus right now is on the ceo. he is talking about what is next for google and just announced consumer product that sounds a lot like what amazon has with their echo product, a personal assistant networks through voice commands and does artificial intelligence work. the amazon product has really captured the imagination of programs. it is a machine learning in a sort of optional form. have you guys seen this? >> no. cory: it is really cool, a speaker like device. you ask in what the weather is, tell me a joke, add milk to my shopping list and it really captured the imagined -- imagination of programmers and google capturing the same idea. last year, we -- when you think about ai as the future of comp

our editor at large, cory johnson caught up with google and ask them to tell us more. >> it consistsf phones with very high specifications to make sure they can render things smoothly and really good sensors . the reference design for a headset and a controller say you can slip your phone into something and have a comfortable experience and interact richly , like youtubeapps vr. >> the processing power has to be massive? >> today's mobile phones have enough computing power in them to drive this is areas that can really make you think, i am somewhere else, it is that emerson and high quality. >> i am trying to figure out how powerful chips and phones are compared to supercomputers, i what youut a 1987 is are figure -- what you are carrying around in your phone right now. >> compound growth is very special. >> that is the growth of an existing old industry, but we are trying to make a new industry. you are trying to create an industry around virtual reality and i wonder what you think the key drivers of that new and yet imagined -- none -- unimagined. >> users need something to experie

coming up on bloomberg tv, cory johnson speaks to google's head of virtual reality on "bloomberg westll be back here tomorrow. ♪ thursday, the 19th of may. i am rishaad salamat. this is "trending business". ♪ right, singapore and tokyo this hour. ,uzuki in the fast lane recovering losses from its fuel efficiency in missions. using a wind tununnel to measure consumption rather than real-world conditions.

our editor at large, cory johnson caught up with google and ask them to tell us more. >> daydream as platform to enable high-quality virtual reality. it consists of phones with very high specifications to make sure they can render things smoothly and really good sensors. and a reference design for a headset and controller so you can slip in -- slip your phone into something and have a comfortable experience and, interact richly in vr and the apps, like youtube vr. >> the components, the processing power has to be massive? >> what is exciting in today's mobile phones actually have enough computing power in them to drive this experience that can make you think, wow, i am somewhere else. it is that high-quality. >> how powerful chips are in phones compared to what supercomputers. >> compound growth is pretty special. that is the growth of an existing old industry. >> when you are trying to grade a new industry. trying to create an industry around virtual reality. what are the key drivers of this new industry would be? >> to experience virtual reality, users need something to experience

cory johnson is at the westin hotel in san francisco. : we are here with richard branson and sam bransonng discussion. sam, explained to me what you are doing as a filmmaker. content thato make decomplexifies problems in the world. it makes people understand and do more of a human approach to big issues like drugs policy and the death penalty and other forms like that. cory: it took me to a party a few weeks ago in new york and i wasn't sure what to expect. what i didn't expect was to run involvedthese people in death penalty issues, in human rights issues. these were issues you have been working with a lot. why? believe thati business people, entrepreneurship should be involved in these issues in the world. to we should be campaigning put wrongs right. and in the past, i think, business leaders have left too much up to the social sector and the politicians to do this. business leaders are entrepreneurs and they can have an entrepreneurial approach to solving these problems. for instance, you mentioned the death penalty. is a list of about 50 reasons why i think america should abolish th

cory johnson will be live from mountain view with the latest, and for more of our best longform interviewsour "studio one points zero -- "studio 1.0" podcast we will hear from peter thiel. unsung cloud and itunes, check it out. ♪ emily: on this date in tech history 70 years ago, the world was introduced to a tape recording, which went on to shape the entire home media business. in 1946, jack mullin had attendees of the annual institute of radio engineers conference in san francisco asking the question, is this program live? he switched between a live jazz combo and a recording, stunning the audience. engineers learned about mullin and his magnetic phones. bing crosby was the first performer to record a radio program on tape. the highest-paid female executives in the u.s. hail from the tech sector. or call ceo safra catz came in as number one, -- oracle ceo safra catz came in as number one. alphabet's cfl ruth pour it follows her with a $4.1 billion package. dropping to number five after holding the top spot last year was apple's retail chief, angela erin. she earned just under $28 million

an outperforming rating on apple, and we are also joined by cory johnson from san francisco.g a look at some of the numbers. apple is down about 14% so far this year, down 19% since april. is the decline justified? yeah, not been a fun stock so far. a simplehink there is answer. you are seeing a replay of what you saw in 2014, where people were worried about apple and talked about the demise. it seems to be going through a comparable dynamic and set of headwinds, i think. we think if you hold this perspective, it will still drive mid to high single digit revenue growth for apple. cory, you like to take apart the balance sheets of apple. we have seen growth in terms of the smartphone market. is there a catalyst for apple in the near-term future? see in think what we didi, we see a company that has a lot of resources, particularly cash all over the world, yes -- less than the u.s. because they are spending it for buyback of dividends. , in one of the worst quarters it's had since 2013 fiscal year, generated $9.3 billion in the quarter, which is to say the money they spent on di

coming up on bloomberg tv, cory johnson speaks to google's head of virtual reality on "bloomberg westll be back here tomorrow. ♪ mark: from bloomberg world headquarters in new york, i'm mark crumpton. there were violent clashes today at a migrant camp in greece today on the side of the border near macedonia. migrants were throwing rocks at authorities. also authorities lobbing tear gas to try to get things under control. there were no reports of injuries during that violence today. a new risk assessment from the world health organization on the zika virus says the chances of an outbreak are low to moderate. they say there's a high likelihood that the virus could spread in only three european .egions in washington, the house is debating a scale that zika virus bill that would provide only 1/3 of the resources requested by president obama. fighting among the migrants continued late into the night. fires burned at that border cap, police lobbing tear gas and stun grenades and migrants throwing rocks. authorities say the fighting

joining us now for more the impact of this case our editor , at large, cory johnson in new york, our bloomberg intelligence litigation analysts, matt larson and washington, and our guest host for the hour, dan rosensweig, who is fighting a sore throat. thank you so much for sticking with us today. first of all what is your reaction to this verdict? both did a spectacular job putting on a trial. it is surprising, proving fair use. they were looking through the files, the individual source code files. hats off to google, they overcame adversity. incrediblys diligent, they were going through all the evidence presented, looking through the files they were presented with that show the individual source code files. google, their legal team presented the strongest case for the use of this java code developing android being permissible despite the fact , that it's protected by copyright. emily: google actually started the case at eight disadvantage because the judge said google had infringed oracle copyright, so, cory, what does it mean for google? cory: the judge seemed to not really be on

david: thank you, currents -- cory johnson.the charts next. ♪ david: this is bloomberg . i am david westin, and this weekend we were in washington further correspondence dinner. one thing that surprised me was how tough president obama was on hillary clinton. president obama: hillary trying to appeal to young voters is a bit like your relative who just signed up for facebook. dear america, did you get my poke? ?s it appearing on your wall i am not sure i am using it right. love, and hillary. were you surprised that this? megan: i was a little surprised. he was funny, but i think there were times he was a little bit meaner than i expected, the hillary stuff in particular talking about rolling up the hill. i think some of his jokes teetered on the edge of what i would have expected. david: in fairness, he took shots at ted cruz and bernie sanders, who was there, and shots at trump. megan: you know who he took the biggest shot at, the media. i thought that was really interesting in how trenchant that criticism once. david: in

and we have cory johnson. let's start with you, andrew.ancial times," and it came from eddy cue of apple. how seriously do take this initiative? andrew: not seriously. it sounded like a one-off comment in a single meeting that is not go far. if you look at apple and the scale of the businesses they would be looking at, i would think if they would look into the video, they would look at platform rather than content. david: that is what i wanted to ask you about. not been a content company, but a platform want. this would be a major change in strategy. would be. part of the reason i do not take it seriously is that they would look for a business they could globalnfinitely on a basis. producing content is not that kind of business. vonnie: i was going to bring in cory and ask they may not be wanting the tech -- the time warner cable, but why not get the asset? cory: if you look across the competitive landscape, you have amazon prime, netflix, apple, where they are all delivering video content online. apple is the only one not doing certain --

more on how leaders are weighing on investments, we join our radio colleagues, carol massar and cory johnsonintroducing our next guest, our senior portfolio manager -- $125 billion in management -- in assets under management. is that going to be a catalyst all for the financial market? we can say it is informative but we don't think it's a major driver. investors are looking for greater clarity, particularly in monetary policy. we have election outcomes they will be sensitive to and the more fed specific data, looking at numbers next week. cory: there's a presidential election in the u.s.. is that one of them? guest: that is one of them but even before that, the june referendum in the u k, the brexit. those are two very specific items. certainly now that we are through, earnings season is getting a sense of what we are looking at it we see quite a bit of dispersion of results within economic sectors and industries. we expect the desire for information to continue to play out and investors are anxious. arol: we will be carrying speech tomorrow on bloomberg. what do we need to year as investor

for more on how this technology is creating big economic shifts, let's go to cory johnson and carol massarou so much. this is bloomberg advantage on bloomberg radio and karen harris is with us at rain and company. -- at bain and company. talk to us about spatial economics. >> what we've noticed is over the last decade, the cost of moving goods and people and information have collapsed particularly information. you can think about the cost of a postage stamp and how often you read letter today or send a bill by mail versus what you do online, that cost has gone away. for those of us who live in new york city, we know if you forget something on your way to work, you can order it on the subway and amazon will have it to you in 12 hours. that's just one small example. we see more and more that the cost of moving people is going down. transportation costs but also being transformed. when you are analyzing health information and you don't bring yourself to a diagnostician, you bring your information which gets sent and we see the separation of people from their information. the declining has mea

scarlet: that was cory johnson and carol massar. a takeover ahead, bid.speak to one of the architects of the offer and ask them what is next. plus, a broader outlook for what is up for media and m&a. ♪ Âi alix: from bloomberg world headquarters in new york, you are watching "bloomberg markets." rami: in his first remarks about donald trump's presumptive nominee status, president obama as a message for the media. this is not entertainment, this is not a reality show. obama urged reporters to take from seriously. --t's a trump seriously take trumpters to seriously. the body of a u.s. navy seal who died in iraq is on its way back to the united states. the remains of charles keating will arrive at dover air force base in delaware today. his body will then be taken to the san diego area where his seal team is based. candidate khan could become london's first muslim mayor. conservatives question whether his link to the muslim community would make him the right person to keep london say. north korea has begun its first full meeting of the ruling workers party in

let's go to cory johnson and carol massar. carol: thank you so much.g everybody on bloomberg television and we are here with eric fine, port folio manager on the unconstrained emerging-market bond fund and joins us here in new york city. great to have you here with us. talk to us about emerging markets. we have seen quite a rally since late january lows. how have you taken advantage question mark >> we are an unconstrained bond fund so we can be in local or hard currency. when we respect of the tailwind which was money was not going out of china. all this monetary and fiscal stimulus was boosting growth and bidding commodity prices, we were long local currencies. now we are much more respectful of the headwinds. and we in hard currency bonds and that the top-level version of what we did and what we are doing now. cory: what are the headwinds? i think the key headwinds are europe. it's not so much brexit but it's that europe is fragile. they had a crisis and it said you cannot have one money in many thistles and financials. since then, probably for the

cory johnson joins us with the challenges. there are declining sales, but they beat estimates. .up? is a hit of the restructuring that has been going on since 2001. they started this new company with a restructuring program. they're giving us non-gap numbers. they beat the number, but sales are down 11% year over year. they have always been tied to printing and pcs. pcs are a disaster. printing.ine in that has been the bread-and-butter of hewlett-packard for more than a decade. david: they are in a declining industry, which means cost cuts. it is not restructuring anymore. their business is falling apart. there are calling it restructuring charges. the yen moved up. they have competitors in japan in the printing business. they have optimism, making hp more competitive. they have a lot of debt on top of it. sales of ink and paper have been the bread-and-butter for hewlett-packard for 20 years. the declining numbers in printing, and in all of the numbers, the currency dynamics are temporal. the overall dynamics that are hurting the company are worsening. jon: alibaba and the sbc. i

david says that his cory johnson. good to have you with us. retailw do you play the sales story?nk it is battle of the charts. we like winding up matt miller. that is next. ♪ jon: a solid day throughout the united states great u.s. retail sales on the upside. strongest since march 2015. futures, and dow futures off. switch out the board, the dollar is stronger against every single currency, including the euro and the pound. raising some of the earlier advances on the day. yields on the front and rising a touch. wti highs closed yesterday. we are tracing some of that, down by over one fourth percentage point. it is that time of the day on bloomberg . time for battle of the charts with a new contestant. -- facing off against matt miller. what do you have? making a global. i am looking at brent crude. i have noticed a technical triumvirate here with brent crude. a golden cross on the way. finally, brent crude is bouncing off against its seven on sea level here. so the old italian dude -- fibonacci was an old italian dude. good in predicting stock of. when the stock crosses throu