fiat chrysler's stock is up 32% over the same time period.lebeau nightly business report chicago. >> day of the liston joins us to talk about gm and whether or not he thinks the deal is the answer for gm stock. he is the senior auto equity strategist at morningstar. david, thanks for joining us. we talked about this merger potentially for fiat chrysler and gm and the stock has been stuck. will this help move it? >> gm stock? honestly i don't think so. because there's so much let alone something of this size and gm's history is checkered and ugly and things such as the joint venture in fremont, cali and most recently with peugeot, saab and sud not a good history there at all and i'm not necessarily sure the market would welcome this merger. would the talk of it give the stock a short-term boost? just a buzz. >> i'm sorry, can you say that again? >> can just the buzz the talk of a possible merger give the stock a li >> well, without gm tying up with fca which i don't think they need to do at all. i think they need gm far more than the other way

the ceo of fiat chrysler.s been courting gm shareholders, talking about hedge funds that have a stake in gm potentially activist hedge funds about the possibility of a merger. gm said it's not interested in a merge er merger with gm and fiat chrysler. mary berra saying we have a plan and plan to execute that plan. take a look at the dimplevergence between the two stocks. morningstar sent me a note. part of the rise for fiat chrysler is because of what we've seen with the euro in terms of its costs and how it's benefited there. the other issue coming into play here is when you look at where fiat chrysler is in terms of its execution, sergio marchionne is better interested utilizing the capital this company has in the form of a merger. that it's divergent. don't expect gm to talk to sergio any time soon. >> it's new to the market. up's interested why they ended up at gm? you will know it's no secret sergio was shopping fiat chrysler to anyone who would listen. why has he ended up at gm's door with this force? is

fiat chrysler has dropped to cut kata, turning to an alternate craiger and let's go to from tokyo. good morning. what does this mean for to caughtakata? craig: this is a big deal. akata,tomakers who use t they have gone to other suppliers to help supplement tak ata airbag inflator's. this is the first time an automaker has come forward and said, we are going to take a recall campaign. chrysler, 4 million vehicles. kata forhan rely on ta replacement inflator's, we will turn to trw. 4 million vehicles where the replacements will come from trw. the customers who have come in, chrysler, who says it is 50,000 they are going to contact of those customers and say, come back for another fix. we are going to put a trw airbag in your car instead of the t akata replacement. a essentially confirmed this is related to ammonium nitrate, the chemical propellant that is at these various investigations into what is causing this. and they think it may be unsafe propellant isical a better choice to go forward. forne: thank you joining us. we'll take a more detailed look at the story later on. we want

fiat chrysler are ceo is looking at candidates for a merger as the chances with a deal with gm are fading. let's get the latest on this bloomberg scoop from chris in berlin. what are we hearing about marchionne's plans? >> we are hearing that he hasn't quite given up on gm entirely. he has advisors that are canvassing investor interest to see if he can put some consortium together. investors shareholders, that might force mary barra and the management of gm into talks. that is a tough consortium to put together.

julie: this is the best again for fiat chrysler in a decade.is partially -- it is artie seeing strong sales of its jeep and ram pickups and add to that the sedan sales, and that led to a 4% gain. 200 200-2000 227, excuse me. that was the number of vehicles north american delivered last month to we will hear from gm and ford in the next hour. stephanie: thank you, julie. erik: still to come, exclusive interview with the russian foreign minister sergei. why he says the latest fifa probe is all for show. ♪ erik: welcome to our viewers around the world, in london, and elsewhere, and possibly even moscow. relations between vladimir putin and president barack obama are pragmatic according to a russian foreign minister. in an exclusive interview here is what he said today. >> president putin from time to time toss to president obama over the phone. they are very pragmatic and they discuss specific areas of cooperation where both countries could benefit and we do the same with john kerry on a much more detailed level. i would call it the realization of

the issue becomes whether or not general motors is the right partner for fiat chrysler.rra at the annual meeting today was asked about whether or not gm and fiat chrysler maikz make sense. certainly in terms of scale and in a number of other ways. she doesn't think it makes sense at this point. swheerz h here's what she had to say. >> we have scale. we've leveraged the appropriate opportunities where we can benefit from co-development. that's something we've been doing for several years. so when i look at it the focus that i have is truly on the general motors shareholder and making sure we execute our plan. >> and again, that plan does not include fiat chrysler. remember, sergio marchione, he sent an e-mail to moory barra saying look, there are some synergies, we should look at this and the cross-savings could be enormous for general motors. but gm is in no position right now to take on fiat chrysler at least in terms of the desire. it's not there. and i don't think it's going to be there anytime soon, melissa. >> phil, thank you. well, it's uncollar at this point which

maria: the stock price performance indicates that the fiat chrysler merge worked before we talk abouter fiat, should we also first gai who are not the fiat chrysler deal worked. >> the argument on the stock would be that it has gone pretty well, i know, marchionne has done a great job there company in better shape than it was he wouldn't be bad piece but you get too big at some point gm is focused on its own plan. >> gary kaminsky. >> chrysler has done remarkable job in this terms of turnaround jeep brands legacy brands the issue that we talked about earlier is that general motors stouk most of the time owned by hedge funds indices closest indices so important to understood sergio understands who shareholder base is here hedge funds, have been pushing for more rapid changes there so he has a very good audience, to want to listen to what the benefits are here so this is not going to go away. >> would probably like this to go away my guess going to get one of two major activities flooded, by the way, with cash coming in when hymn fipdz most activist put this to o work. >> 200 billion do

matt: fiat chrysler is looking at other potential merger candidates, not just general motors.be done to reinvigorate of the middle class -- middle class. hello, i am matt miller. mark: stocks rising today. bolsterings confidence. all of the major averages are in

the gm ceo says it does not need to combine with fiat chrysler after the offer was made in an e-mail.scale and can leverage it on its own. that isme to discuss david welsh in detroit. he was there when the announcement was a and also joining me here is matt miller who follows the auto sector. were you surprised by this? david: i wasn't surprised at all. gm has been clear they want to go it alone. i have their own plan to use more common car platforms and engines to develop vehicles internally. fiat and merge with chrysler and try to integrate dodge into their brand is a huge distraction and they want to plow ahead without all the management distraction you would need in putting these big companies together. want to deal don't with the drama of having to absorb another company. that gmep in mind already has 10 brands that they deal with. sergio has at least eight or nine brands himself, so a combined company would have almost 20 different car brands. yourant to differentiate offerings across different platforms, but that's a lot. that's a lot more than any other car maker in the world.

you remember the sweet deal fiat received in the wake of chrysler's 2009 bankruptcy. fiat was given 20% of the company by president obama's bailout committee acquiring the rest of the company at a very deep discount. since then, markioni said there need to be more consolidation in the auto industry. but melissa, he seems to be one reaping all the benefits. the question is fiat was in trouble because of the recession in europe. chrysler going great guns, he got chrysler for a fire sale. given 20% of the company. the question is whether he's been using that money to keep fiat alive. >> you can't blame him. playing by the rules he's been given. might be frustrating to the american taxpayer. david: remember american taxpayers were on the hook, it was about $2 billion all in that we gave chrysler in the bailout and essentially you wonder whether there needed to be bailout, if it had gone through regular bankruptcy because it's doing well right now. melissa: absolutely. great point. alibaba chairman jack ma laying out strategy for competing with amazon in the open market. he

fiat chrysler's ceo is reaching out to hedge funs and activist investors to persuade gm to agree to a merger. the wall street journal says he's been heartened by recent successes of activists at gm. in march they reached a deal over the balance sheet and governance and said it would launch a $5 billion buy back to avoid a proxy fight. gm is holding it's annual shareholders meeting today and you can see price action in both shares. down about .4%. we should point out that two weeks back he said he expects a mega auto deal merger to take place by 2018. i pose that question to the executive vice chairman of ford as to whether he sees some mna in the space and he said maybe but he's not sure if it will be between ford and fiat chrysler. >> tesla has its shareholder meeting today. the ceo isn't expected to face much criticism but he may try to reassure investors the company is on track to reach several goals. tesla rose 3% on monday. even as former gm vice chairman criticized the company on cnbc saying shares were overvalued. you can see that move up 2.9%. >> there could be a board room ba

other possible merger options for fiat chrysler.the biggest oil process in the world, we will bring you a view of chevron you will not see anywhere else. erik schatzker, coming up. ♪ ♪ back.t: welcome i am scarlet fu. think of it as netflix for snacks. bloomberg learned kellogg's is looking to launch an online snack subscription service, just as rival general mills has its own year .5 venture. -- year-and-a-half venture. they reported a 44% drop in profit, kellogg's, and are looking for a way to grow. as -- if kellogg's does move -- i have to bring in alix steel because she is the commodities queen here at bloomberg, but also because you are a little bit excited by this service, unlike other food ventures, which we will get to in a moment. >> what was interesting to me, there are a lot of these kinds of services and you pick and choose what type of food you want. if you're into indie food, i do not know what that is but let's box is i did, nature free of artificial ingredients. if you are into sports, you need to hydrate. you can pi

the general motors board is telling fiat chrysler that it will pass on merger talks.he free chrysler -- the yacht chrysler ceo made the offer in an e-mail. he is pressing for consolidation and the auto industry. the general motors ceo says its own plans can generate more value than a merger. american is the latest airlines to cut revenue forecast. the carriers announcement follows a similar revision last week by delta. americans as revenue each will fall 8% in each quarter. that may reinforce concerns that market made air getting weaker. this box if slumping pointing towards a larger losing streak and more than six month. and call it and call it netflix style and often. kellogg's wants to start a subscription snack service. they have assembled a team and invested in a direct to consumer food business. lastly, general mills ended its offering after 18 months. another disaster for fee five. fifa. this time it's at the movies. million passion project only made about $900 over the weekend. this is according to the ap citing someone who has seen the box office data from th

an increase of 4% for fiat chrysler 3% for gm.that decline 1.3% was better than expectation of edmonds. tablg a look at shares of nissan up 16% the last year. nissan reporting its may sales down 0.8%. flat for the month of may. as we look at shares of gm and ford both companies out with industry sales pace estimates for the month of may. listen to this carefully. general motors is estimating that the industry sales pace will come in at 17.6 million. that's higher than most people have been expecting. that tops just a few minutes ago by ford telling analysts it believes the may sales pace will be in the low 18 million range. ford estimating may sales pace in the low 18 million range. what you are looking at much stronger than expected sales for the month of may. we need to hear from toyota as luxury manufacturers. the big number's already out from the big three. all indicate that we are seeing the consumer going into the show room and buying new vehicles. back to you. >> busy morning for you. phil lebeau in chicago. thank you. >>>

fcau fiat chrysler looking absolutely gorgeous at the moment up 44% over year to year.gm down 4% year over year. >> keep in mind that a lot of that groat does have to do with the decision to skin ferrari off. >> correct. as its own. also this incredible growth numbers are 60 plus months of growth in the united states coming off of very low bottom. but they are doing much better than expected in the united states. and they don't have exposure to places like russia and just getted started in china. but yeah, it is -- it is a bit of a tail of two companies right now when it comes to share prices. but gm is far more profitable. far broader, and they have definitely more cash in the bank they don't have nearlys a much debt. now and hour and 53 minutes or so away from the tesla discussion. we know that elin musk already speaking so that is always interesting isn't it? that is a stock that is up one thousand percent over past five years what is he going to stay today any announcements? >> it is interesting we have a meeting today which they've become kind of side shows, you kn

we talked to fiat chrysler today. they said they have takata airbags in two or three vehicles right now but wouldn't identify which ones. ford also says they have takata airbags in some of their vehicles. both automakers stress they're safe. they have been checked out. they're good to go. that is what they say, but they are takata airbags. melissa: wow, interesting. jeff, thank you very much. david: the bags lift looked like they were slipping off the dummy's face there. >>> hastily called news conference, fifa's president sepp blatter announced plans to resign, coming days after he was reelected for a fifth term. he laid out his plans for a successor to be chosen. take a listen. >> translator: i will call on congress to put at disposal my function. it is going to be held as soon as possible and a new president will be elected to follow me. david: he could be president for a while because the process is, seems to extend into 2016. blatter held this position since 1998. fifa's sponsors starting to come out to praise th

mode continuo lag the industry. 3 of the 5 lowest rated brands in fact in this study are owned by fiat chrysler. >> in> target ceo says the deal he reached earlier this week will help the company refocus on its core business. >> talk about the focus on signature categories d dna. the focus on style, important apparel, home and beauty categories. and baby and kids. and more and more our commitment to wellness and the great partnership we put together with cvs is part of that focus on bu i wellness offering. cvs will buy about 1700 target pharmacies and operate them through a store within a store format. >> and starbuck's known for coffee ventured into the not long ago. but today starbuck's says it is closing those locations. jane wells has more. >> i had no idea. do you know why? >> why? well starbuck's is closing all stand alone la bo loon stores by december because the company says they are not sustainable long term. >> kind thought it would happen eventually. >> and it's disappointing news for those in san francisco where star bucks bought it for 100 million dollars. >> this is totally san fr

when you look at some of the global stories, fiat, chrysler has been one of the best performing in the because of the whole chrysler story and that's part of it. daimler, bmw, those are weak european kind of euro stories with an export component also to the luxury base in asia. that to me is why they've outperfoou outperformed and i think the u.s. stocks are undervalued. >> you're spot dab in the middle of the range. i think there's more upside than downside in ford. but there's nothing really compelling about owning gm or ford right here. >> supposed to report good numbers tomorrow. >> i actually think of the auto loan side of it, like ally, the old gmac. what could go wrong, right? that actually is more interesting to me. it's not expensive and i don't know. i think there's room to run in that business. >> all right. carter, in terms of those charts, we're looking at the automakers. are the auto partsmakers, do they have the same sort of trend or because they're global suppliers they have a different story? >> considerably better. johnson controls, delphi, magna, the charts look good

eastern with a possible fiat chrysler merger in focus. are we going to get a deal? >> we will not.e decided discussion going on right now where they believe there needs to be consolidation. he believes the best fit right now for chrysler would be a merger with general motors. general motors does not believe that. mary bara and her team are focused on putting their plan in place which is continuing to drive efficiency through general motors. they do not want to take on both the debt and the complexity that would be involved in a merger with fiat chrysler. this is a one sided discussion. >> thank you for getting up early with us here on worldwide exchange. meanwhile, a very modern way causing some confusion for those not versed in the language of emojis. it used the images popular in messaging apps but thankfully chevy later provided these full translations translations. this is what is bad with emojis. it's hard to figure out what the person is trying to communicate. you get a text message and there's a bunch of emojis and you don't understand what the person you're communicating wi

. >> fiat chrysler is recalling 164,000 jeeps worldwide covering the 2014 and 2015 model years because of a problem that could cause a fire. they say that it is aware of a fire and found that daughter can get into the control modules on some and cause an electrical short. there have been no injuries reported and they will notify customers when they can schedule service for repairs. >> a makist has posted this dramatic video on youtube from his go brother camera showing him crashing head on into an los angeles county fire truck on april 1 in the national forest. he suffered two compound fractures in his leg left, severely broken arm and memory loss. lopez shared the video on-line in hopes of convincing other riders to be more cautious than he was when riding a motorcycle. >> why would he post that? >> that makes sent. >> airbnb and making sure those in san francisco are ready to go for the pride festivities. >> it is doing more than helping people find a place to crash. ♪ what it is ♪ ♪ what it is ♪ >> airbnb sent an e-mail to users with to video asking users to sign up to march in the

it is a huge play for fiat chrysler in general. anna: why does he care so much about alfa romeo? the potential to compete with bmw and audi. they're hoping for a serious margins from that segment which would help the overall group in a big way. it is important for the group. anna: chris, thank you very much. coming up, david cameron travels to brussels today to continue his renegotiation of the eu and greece membership. ♪ anna: welcome back. let's check in on the currency market. interesting research out of hsbc which is talking about whether we will see the strength in the swiss credit -- swiss franc continue. it does look set to continue according to options pricing. the frank is the best performing currency against the euro so far. hsbc says even if we resolve the debt crisis with greece, this will still be hanging over the economy. this is what they call the curse of success in today's world. we leave the swiss franc there for the moment. here are the top stories, the billionaire investor, icahn is leaving his shares of netflix. netflix come the world's largest online video s

some people think they ought to target fiat chrysler. they get a deal there they get deal everywhere else. neil: they come from position of strength negotiatingwise. these auto guys making a lot of money. record car sales activity with the 17 million annual rate, something we haven't seen quite some time. i wonder if they use that as wind at tear back? >> i think they have to pony up some dough. they have given some in profit sharing, record profit sharing. we have numbers about shows gm and ford, really significant profit sharing payouts. i've been covering these things, uaw talks since the mid 80s. and i'll tell you, never have i seen a better position on both sides. back then, they were making crummy cars. the auto workers were getting paid way too much. things have come back in. leave you with a picture of a guy who has been a fan to the auto workers. that is sergio marchionne. this is from an event a couple months ago. hugging the uaw president of the local in indiana where they saved a plant. he is used to dealing with european aut

the conversation in the auto industry has been about the suggestion from sergio marchione that fiat chrysler yen motors merge. you guys have flat out said we don't need a merger right now, we've got what we need, we don't need fiat chrysler. still your position? >> stilt our position. we're flattered, number one, because we've invested a lot in technology. we've got great scale. we compete in most of the global markets around the world. but we do partner with people like ford on things like transmissions where we can both make a more efficient use of capital 37 so we've done that in a couple places very successfully. we'll continue to do that. but a wholesale merger we don't need that scale. our trucks and crossovers and utilities and nour our cars we think are going to be the best in segment here worldwide. we're really putting the heat to our product pipeline and really going hard. >> yes even as you do that, even as you grow profit, increase your profit margins, investors are not rewarding your stock and pushing it higher. i don't expect you to comment on the price of the stock -- >> i ca

officials with honda and fiat chrysler also expected to offer testimony this morning. back in may, takata expanded its recall the u.s. to more than 30 million vehicles. it impacts 10 auto makers, including honda, toyota, ford, and g.m., and customers. researchers found defective air bags at times have deployed too force fully spraying metal fragments in the vehicles. john thune is the chair of the committee. senator bill nelson ranking member we expect this to start in just a moment. live coverage here on c-span. mr. senator thune: good morning welcome everyone. we have called this hearing nor a somber lean. defective airbags are hurting rather than helping people. we still haven't figured out exactly why. we need to figure out how to prevent these issues from occurring in the future. this is a pivotal time in vehicle safety. it's welcomed news that cars are generally safer than they ever have been. advances in vehicle technologies and safety innovations as well as robust safety initiatives have reduced the number of deaths on the road. still, tragically, more than 30,

we do not need fiat chrysler. >> fundamentally, phil how much of that stock run could be thanks to a based in toledo? jeep, strong baby. >> oh, a lot of it. a lot of it, absolutely. that's the crown jewel and that's what he has as average in order to entice other automakers to make a deal. >> phil lebeau thank you very much. now to eamon javers in washington, d.c. he's got a news alert what. are you looking at bud? >> looking at the white house press briefing room where minutes ago white house press secretary josh earnest interrupted the briefing in progress and told reporters that the secret service was asking them to evacuate the briefing room and now that briefing room has been evacuated. the secret service uniform division officers are moving about the briefing room now. we can see the live feed of what's going on in that room. no indication exactly just yet as to why this briefing room has been evacuated. as of now, very unusual to evacuate during the middle of a briefing depending on what kind of situation is going on though. that could be a necessary precaution. this comes jus

sandra: the ceo of struggling fiat chrysler. he isn't giving up hope of a new deal there. nicole: they have contacted hedge funds and activist investors to help persuade general motors to read to a deal. sources told the journal they have been inspired by recent successes at general motors and see that as a way to consolidate the idol industry more. the automaker holds its annual meeting later this morning. expect it to face questions about auto strike this fall. shareholders will vote on the ceo. it will be interesting to see whether there would be interest right now. right now marchionne has set some goals that don't involve fiat at all. it's about return on equity. a lot of risks. industry downturn also feature regulations could hurt the company as well. sandra: mary barr has not had a dull day since taking over. train for this something gm has worked on for years. their model is something fiat should follow. sandra: we will keep watching all that for you. alibaba jack mob making his pitch to american businesses today. lauren has that story. lauren: it is a road trip, b

fiat chrysler had its best mate beatingcade, up 4%, estimates. sales of the chrysler 200 scythian sword. ford fell last month. lincoln was up almost 4%. greece plus creditors have --ched an agreement to un to unlock bailout. hans nichols is in london with more. hans: we have had a whirlwind morning. there weree heard five liters. mario draghi, lagarde, merkel, hollande, they worked late into the night. they now have an agreement to send to greece. alexis tsipras said independently that he would send his own proposal to his creditors. we have dueling proposals. the euro was gaining strength, and through this you had jeroen dijsselbloem leading the eurogroup who said we are not making enough progress. then, the euro dropped. you cannot leave jeroen dijsselbloem out of the conversations. he is one of the most important finance ministers, and he is saying no deal. the creditors were not simply capitulate. erik: i would call that a reality check. thank you, hans. of 3/10 of acrease percent is positive news for ecb policymakers. a deflation scare force

olivia: fiat chrysler ceo sergio marchionne is looking for other candidates. to know if investors are interested in a gm deal. it is noteady said interested. iegout is being considered as a plan b. assets to other pimco funds to help meet redemptions. investors left the funds after the departure of bill gross. the way has been cleared for chip wilson to sell his stake in lululemon. own nearlyhis wife 44% of the company. wilson and lululemon reached an agreement, part of which involved selling his stock. those are your top stories. up in the next hour of "the bloomberg market day," jcpenney's new chief executive is laying out his new strategy for the company. one of twitter's earliest investors is sounding off on the company's untapped potential. opec's biggest members are pumping record amounts of crude oil. what that means to crude prices. all that and more on the bloomberg market day. olivia: markets are facing headwinds from abroad with uncertainty over greece and central banks. pimm: joining us now to make sense of all this is michael purvis. michael purvi

meanwhile, fiat chrysler is the best may in a decade. rose or percent, beating estimates.f the chrysler sedan sales dashboard. sales fell last month but not as much as much is expected. ford brand down 1%. meantime, nissan sales also felt less the next active. a scary moment today at the open. security guards evacuated scriptwriters, more than 200 underneath a giant these greens where a large piece of metal paneling fell, slightly injuring three fans. they cordoned off the seating tape.ith red and white strong winds rolling around paris all day. the quarterfinal match temporary but it didd it, resume a short time later. ellen says she will appeal her said high-profile gender case in silicon valley. jury rejected claims she was discriminated against as a junior partner at venture perkins.irm she said she was subjected to a charged atmosphere and was fired when she complained. she is now the and around ceo of credit. these are your top stories at this hour. we will stick with the gender diversity. google just updated the statistics. taking a look at what has changed and wher

is it possible fiat chrysler could somehow engineer a reverse takeover of general motors? would be difficult to do. that have to find someone who put the money and buy gm shares or get a bunch of investors on their side by a big stake in the company and essentially pushed together with fiat chrysler so the ceo can then take the whole thing over. it were -- it would require deep pockets and it would be pretty difficult to construct. matt: nonetheless, it appears both sides have hired banks paired banks are working for them all the time, but i saw reports last week general motors has test specifically with defending them in this kind of takeover. >> let's not get too carried away. they have been with gm forever. carl icahn bought a piece of the company going back to 2000. the two banks were hired just in case he would at tate. he ended up not doing it and sold his shares in 2000. morgan stanley had always been the house bank and goldman has old -- often than a partner. the two banks were hired earlier this year when harry will than kaman to educate -- advocate for a share bu

motors board is telling fiat chrysler no thanks when it comes to a merger. the fiat ceo made an offer and it e-mail for the gm board to review. a decided their own plan for efficiency and growth to generate more value than merging. mark: mcdonald's is reaching of theto the early days obama administration, naming robert gibbs to lead its global communications division. he was the white house press secretary under president obama. he will -- he will report to steve easterbrook, who took over as ceo back in march. jeb is is in germany, saying demands agression stronger u.s. action in protecting european alliances. mr. bush will meet with leaders from three different countries. before leaving for europe, he shook up his campaign staff. the "washington post" is reporting mr. bush, who is expected to formally launches campaign on monday has filed his initial paperwork to run. that's a look at the top stories we are following this hour. betty: last evening saw a record willin housing --cerberus buy over 4000 homes specifically with an eye on sprucing them up and ren

matt: fiat chrysler is looking at other potential merger candidates, not just general motors. mark: what can be done to reinvigorate of the middle class -- middle class. hello, i am matt miller. mark: stocks rising today. bolsterings confidence. all of the major averages are in the green. the s&p 500 up a quarter of 1%. the dow industrials rising a third of 1%. the nasdaq composite is up fractionally. let's take a look at gold on this thursday. gold is on the decline. gold futures are falling sharply at this hour. look at nymex crude, crude dropping. the international energy agency says that this year's rally is under threat. nymex crude is down one and a half percent at this hour. matt: take a quick look at the bond market and you will see prices up, yields down. the two-year is unchanged. the 10 year trading at 2.42%. taking a look at currencies, little movement. you can see that the u.s. is up.yen trade mark: the head of the year p.m. union has a warning for greece, quit playing games in your future with the euro zone. greece is being told to cut a deal with creditors at a

fiat chrysler are ceo is looking at candidates for a merger as the chances with a deal with gm are fadings get the latest on this bloomberg scoop from chris in berlin. what are we hearing about marchionne's plans? >> we are hearing that he hasn't quite given up on gm entirely. he has advisors that are canvassing investor interest to see if he can put some consortium together. investors shareholders, that might force mary barra and the management of gm into talks. that is a tough consortium to put together. in the meantime, he is looking for plan b, companies like peugeot in france, and other companies in asia that are also potential targets. suzuki might be an interesting target. the problem is that they are in this tie up with volkswagen that has been in limbo for a long time. he is looking at lots of options right now. jonathan: how many options are there beyond the obvious? chris: there's only so many carmakers in the world and most think they can do it on their own pretty well. the on gm, you have peugeot, you have companies like honda, or even hyundai, and volkswagen is a name that i

with billions invested in this project and fiat chrysler carrying $12.7 billion in debt, there is notor. manus: for more on the car to compete with the likes of b.m.w. and audi we are joined by our guest. will the alpha be a winner? >> i think that is the question that everyone is asking. it will be interesting to see what is going to happen over the next three years. that is what marchionne said in terms of his deadline to meet the 400,000 units to be sold in 2018. there is a lot to be seen in next couple of years. especially with eight other models coming soon. francine: what do you make of this model? >> to be honest he had to obviously change a little bit. in the past alpha was aggressive sportsy. what they realize now is that it at the moment, they don't have any commerce. they lost all of their customers to b.m.w. and audi. they need to revamp. they also need to address younger commerce as well. that focus on the younger commerce who don't remember much of the tradition, of the history of the alpha but want to drive a car that has a sexy design, a powerful engine. francine: this

let's get a check on fiat/ chrysler after comments by sergio marchi one-and-one us -- marchioone.t looks like there is some disappointment over the timing and the shares are down by 3%. we have an ipo today. up 34% after tea, they sold 5.1 million shares in their initial offering. it is a canadian company. i know you guys will talk to the ceo later today. betty: that's right. in the next hour, we will talk to the ceo. i have not tried their teas but i believe there was one right around the corner that is outrageously expensive for tea. we were talking about artisanal soft drinks. julie: starbucks has got more into that business. that's the next wave, post coffee. betty: i am thinking with my cup of joe. pimm: well done, let's take a look at the top stories. facing aachs is multibillion-dollar penalty over sales of mortgage-backed bonds before the financial crisis. they are in talks with the justice department to pay as much as $3 billion to settle an investigation. the deal would take place within weeks him a government has been trying to hold more wall street firms accountable be

his offer follows high-profile moves by companies like starbucks, fiat chrysler and google who are tryingke the sting out of higher education costs. joining me now is the ceo box. welcome to the broadcast. where are you doing this? >> thank you. personal cash my that is rolling this program out. it really is for the betterment of the employees and when i came to the country, we came from a very humble background. education was the trajectory changer for me. work in the who warehouse and around the office, and if you are not able to afford college tuition which is ever expanding in terms of price, have you ever make that change for your family? mark: what will this mean for the company's bottom line? >> it was very easy for the board to approve because it is coming out of my bottom line. morrell around the company is obviously boosted. but also, i would say the dedication of our team members is that much more prevalent. mark: you have been hearing these horror stories of people who have been burdened with it in debt and they are not paying it back until their 30's, 40's, and in some instan

you do see fiat chrysler here behind me. there is little bit of news. company will not be able to do it's completed spin off of ferrari until at least october 2. that is because regulatory rules , since they completed their merger, they had to wait one year before this spinoff ferrari. that could be a disappointment to some shareholders. a lot of people may be got into the stock because they only wanted to get shares of ferrari and it's spinoff. it was originally planned to happened by september. if it happens late, that could concern people. take a look at oil, a little bit of down pressure. actually, the whole week was down for oil. that is the first time we have seen a losing week for oil and 12 weeks. it is falling a little bit but not too much and that is giving traders hope that his resistance hit a floor. opec said they would have a 30 million barrel tax on the oil that they produce. they did not raise that. it made investors happy. take a look at the refiners because they have been a highlight of today's trade. you can see energy, financials gai

mary bara was not going to talk about suggestions that have been put aboard general motors and fiat chrysler a possible merger. she repeatedly said i'm not going to comment on that. i've said everything i have to say regarding that. general motors feels it's on the right path. last night was all about the cruze and while the car was being unveiled and general motors may have wanted it to be strictly about the new chevy cruze the truth of the matter is for many investors and many following the auto industry the topic that they're most interested in right now is whether or not fiat chrysler can push general motors into some type of a discussion about merging the two companies. sergio was in italy yesterday. he didn't make many come men which is many people expected him to make regarding the possibility but he believes the best fit for both companies is to get together. that said mary bara and the executives are addiment that they're not in the position right now to consider a merger an last night they were in no position at least in their feelings to talk about that possibility. guys back to y

e-mail, fiat chrysler had the best may in one decade, u.s. sales rose 4% last month, beating estimates and the 200 sedan sales soared. ford sales actually fell but not as much as analysts expected. ford brand sales were down more than 1%, lincoln sales were up almost 4%. meanwhile, nissan sales also fell less than expected and honda sales in the united states rose more than 1%. analysts expected a drop of more than 4% at honda. the federal reserve governor says the weak first-quarter had a time to before rate increase. in a speech in washington, brainard said there is value to waiting for more data to see if the readings on jobs and inflation improve. there is an the net, value to watchful waiting. while additional data helped her find the economy's underlying momentum in the face of headwinds, broad. if the label market strengthens further and inflation readings continue to improve, liftoff could come before the end of one year. pimm: before the end of the year, all right. the weak first-quarter gdp reading has given federal reserve positing

. >> the name of my stock is fiat chrysler automotive scau. they had a recall for a bunch of cars and the stock went down yesterday. 6%. and they've also got some profit margin problems that the ceo is trying to resolve with a merger. but it seems like it's not working. >> i was going to buy one of those jeeps it seems like the recall is like you can't even use it right now. i still like the stock. i like the company, my executive producer is saying the one who shot me down in chicago, she's got two jeeps. you know sergio hey like you're cooking with gas or propane. let's go to daythan in florida. >> booya from the sunshine state. >> i've got a question i would get your take on michael kors. k-o-r-s. it's been in freefall in the past year down 50%. now with the pe of 10 or around 10, it seems like a value. now is it a value or is this a trap? >> i mean you know a stock that goes down all the time tends to go down all the time. but i need to see kors do something right. i know some smart people getting long it. but there's two kors' in the worl

fiat chrysler says they are changing airbag suppliers because of the continuing crisis.he u.s. hold a security dialogue. the security -- senior delegates has both nations will lose. let us know what you think of the top stories on twitter. let's go to david ingles with a look at the markets. david: 1.5%. where are we right now? 4649. six oink 5% drop -- 6.5% drop. we have not quite recovered. as kenny logins pointed out

the general motors board is telling fiat chrysler that it will pass on merger talks.ef executive offer and in the e-mail in which gm directors refuse. pressing fors been compression, but gm's chief executive says the company has decided its own plans for efficiency growth can generate more value than a merger. there was some tough talk about greece today from germany's finance minister. wolfgang says that the ball is in greece's court in the country must decide if it wants to carry a difficult load. greece has just omitted a new proposal to try to unlock some of that bailout money, but one national official told bloomberg it is just a rehash of older plants. and former house speaker dennis astor is set to appear in federal court in chicago. he is accused of breaking banking laws and lying to investigators. the indictment says he paid someone $3.5 million to cover up past misconduct. as he prosecuted charles manson and wrote a book about it that became the basis or two television movies. " authorskelter, quot has died. it was the story of how charles manson followers k

>>darya: this is a hundred and 21,000 parts made by fiat chrysler from the 2013 model years may be affected by this break problem the receive the agency 18 complains that brick panels can be hard to depress imports in distance can unexpectedly increase because they said they had to use the parking brake to stop their cars to of a supporter that the brake master cylinders had replaced the investigation could lead to a recall >>james: the group says there heavily involved in the conference which holds a final day at the hilton hotel the driver says it infringes on their workers' rights the rally is also planned on market street this afternoon on this web site this is seen as the canucks writers with drivers and makes it is among the world more accessible taxes driver disagree timmy was abandoned guns for drivers and is ready for that matter if anyone break those rules applicable to access over or to give a complete change the policy after to enters with the driver fired dozens and the has the have promised to start the background checks at the reports of the consulting kidnapping. >>darya: th

general motors and fiat chrysler unveiling a 2016 chevy cruze and the revamped alfa romeo. these companies want to win for cars like cruze, it's got the beat the toyota corolla. in an interesting way they rolled this out with a press release that was all emojis? >> appropriate for this vehicle, liz, this one as we are live inside the theater in detroit. this will be unveiled tonight. this is the world car. speaking in emoji means in the 150 different nations where this is sold, maybe you understand that one universal language, the language of the emoji. a little earlier we got to look under the slicks on this. we'll see it later tonight. we got to see another very important vehicle for general motors, the camaro convertible. that's a good one. this is one of five different unveils for gm this year, they're all cars. no trucks. the chevy spark, maybe you see over there. this is the malibu. these both unveil this year, and if dutch moves over, maybe he sees the chevy volt as well as the camaro. those are the big five unveils this year, and, you know, some people question when

ford approaching $7,000 and fiat chrysler a little less, they tried to share some of the profits. in total over the course of the past four years, that contract they made over 73 billion dollars in profits and workers would like some of that, ashley, you know what? it is a bit of a different environment now than when i first started covering auto workers negotiations in the 80s. they get along better, they're hopeful. ashley: is there a deal that can be reached here? or is the uaw going to be less amenable to compromise? >> i think there's a better relationship than there ever has been. i give you one picture, that is a picture of sergio markioni a few months ago now at an event. at an indiana plant he kept open, actually hugging the uaw president of that local. you would not have seen that back in the day. that makes me hopeful about it. you never know, lot of profits and auto workers feel they have given a lot. ashley: hope the hugging spirit can live on. jeff flock, appreciate it. >>> closing bell ringing in 34 minutes. we'll talk with former indy 500 champion about the busines

fiat chrysler says the majority of those are still on dealership lots and not on the road. the number of people claim to have died because of faulty ignition switches in gm cars has climbed to 819. gm admitted it knew about the defects decades before it recalled the vehicles last year. the families are being offered at least $1 million in com pep saismghts more than 200 that were injured are expected to be paid settlements as well. >>> and chick-fil-a takes the top when it comes to customer satisfaction. that's according to a recent acs is i survey. which i survey. chipotle came in second. mcdonald's was the lowest. >>> a top security official says the gunman in tunisia trained in libya around the same time two others targeted a museum in masn. 38 people were shot dead, most of them tourists. the attack has devastated tunisia's vital tourism industry. >>> the united states and other world powers have extended the deadline on reaching a daily with iran. the deadline had been extended seven days from tonight to july 7th. president obama says he will only sign an agreement wit