nicole has the latest on goldman sachs.cole: goldman sachs really focuses on big companies and large investors. the bank reportedly plans to offer loans online to consumers and small businesses starting next year. the marketplace nearly $850 billion. hide network clients comes as regulation cut into their profit offender unit such as trading. return on equity has been trans. to return equity could be 20%. they hire somebody to really spearhead this but they have to develop it. they are going to try and get the regular folks. the fed will be in focus tomorrow. is there any language that indicates the rate hike? lauren: the fed meets today and tomorrow and in the meantime they come out at 830 eastern this morning. a very volatile number. the expectation to fall from april high numbers to 1.1 million they said no future construction expected to fall at the same. like i said strong april we are coming off of yesterday. homebuilder confidence of a nine-month high. standard pacific and violent group, to all marchers rising. this

goldman get back in the game?i think it is both. goldman has a lot of quant fund clients. clients of the brokerage, other parts of the bank, and goldman is saying we need to have the top of class technology to service these funds, and this business as well. there has been some demand from clients. like it or not, this is how the market is structured, and we need to be able to execute. betty: another issue that affects banks is protecting their data. that is a topic that i know you will be talking about in the next hour. mark: the american federation of government employees say the cyber theft of information that we heard about the other day -- they say it affected every federal employee, personnel, data, social security numbers from 4 million current and former federal workers. that is a staggering amount of people. i will discuss this cyber attack with john prisco, the ceo of triumphant, who makes software to help government entities protect themselves from cyber attacks. there is some very disturbing news. betty

the goldman act is a law calculated to get results as we did in the return of sean goldman from brazil in 2008. but a law is only as good as its implementation. broken hearted parents across america waited four years for the goldman act to become law and still await full u.s. government implementation of that law. the state department's first annual report that we are reviewing today should be a road map for action. the state department must get this report right in order for the law to be an effective tool. if the report fails to accurately identify problem countries, the actions i mentioned above are not triggered. countries should be listed as if -- if they have high numbers of cases, 30% or more, that have been pending over a year, or if they regularly fail to enforce return orders or have failed to take appropriate steps in even one single abduction case pending for more than a year. once these countries are properly identified the secretary of state then determines which of the aforementions actions the u.s. will apply to the country in order to encourage the timely resolution of

the goldman act is a law calculated to get results as we did in the return of sean goldman from brazil in 2008. but a law is only as good as its implementation. broken hearted parents across america waited four years for the goldman act to become law and still await full u.s. government implementation of that law. the state department's first annual report that we are reviewing today should be a road map for action. the state department must get this report right in order for the law to be an effective tool. if the report fails to accurately identify problem countries, the actions i mentioned above are not triggered. countries should be listed as if -- if they have high numbers of cases, 30% or more that have been pending over a year, or if they regularly fail to enforce return orders or have failed to take appropriate steps in even one single abduction case pending for more than a year. once these countries are properly identified the secretary of state then determined which of the aforementions actions the u.s. will apply to the country in order to encourage the timely resolution of

goldman sachs jumping on that bandwagon.seem i too little, too late, goldman sachs? can they get in the space in a big way? julian: ever since the crisis ended there are new avenues for making loans and moving the economy forward. erik: i do want to point out, giving full credit to our colleague michael moore at bloomberg, he flag was moved by goldman in the first week of may. and now, there's absolutely nothing wrong with other people joining the party. but we were on it. stephanie: there we go. erik: i do think it is a fascinating move by goldman sachs. wall street has been if not emasculated defend the strata. it is not the same industry at once was. the are still smart people i goldman sachs. it says something about this industry that goldman has decided to go into online lending and match if you will a business for which a trial has been blazed by the shadow banking marketplace. stephanie: it also says something about goldman compared to other financial institutions that we have seen them in the past be the most nimble

we can only guess as to why not. >> victim ronald goldman's father, fred goldman, had his own ideas. quit following him on the freeway. do what you would do with any other fleeing felon. he's a fugitive. he's running. take him down. i don't mean take him down, shoot him and kill him. stop him. arrest him. >> when you were meeting with other members of the l.a.p.d. as this was going on, tell me how you were preparing and strategizing for number one, possible gunfight, shootout, or number two, surrender. >> when we had those discussions it was a dynamics discussion whether or notway should do some time of intervention. it could have gone sideways instantly. he could have jumped out of the car and there could have been a situation that required the officers on scene to protect themselves. it could have resulted in a shooting. >> still free and leading police on this bizarre slow-speed chase, o.j. does something unexpected. he calls his deceased ex-wife's family from the back seat of the bronco. >> did o.j. at any time call you? >> i did talk to him. and i said, listen, you've got two ki

i will conclude with what david goldman state in his testimony. these cases typically drag on for months and soon turn to years as abductor creates home field advantage in their own country's legal system. this is the norm, not the exception. these cases are abduction cases and laws have been broken. let's remember that these cases are not custody disputes. let us also be clear what we left behind families are asking for. some people mistakenly believe we are asking for our government to intervene in custody disputes disputes. we are not. all we are asking is when our children are kidnapped to thwart a proper resolution of custody law governing their return to our country is upheld. when it comes to international law that deals with children abducted from the united states and other lands there is no rule of law. and the broken lives and broken spirits of left behind parents across america whom we represent here today stand as a living rebuke to the failure to enforce the rule of law. the plain fact is the nation that refuses to return american ch

then maybe you want to sell goldman. i don't think any of that is over. >> last thing i got to tell you, goldman sachs, one of the things in the notes, he refers to 1 1/2 times books, citi trades $10 under book. you got to see it on both sides. >> he says goldman sachs shares are up 30% since july 1st of last year. nice run. it shows a little bit of the outperformance. >> repeat after me. it's not where they've come from, it's where they're going to. >> a quick small trade, vertu financial. think you buy that stock and you buy that stock on the premise that volumes are low right now and it's a great hedge if volatility increases itself and the market rolls over. >>> it's one of the best trades ever -- now carl icahn is out of netflix. stick around, we have the exclusive interview with the billionaire investor. we'll talk about why he sold, what that move says about his overall feeling about the markets. >>> plus we're also going to hear from the biggest netflix bull on the street -- what does he think about carl's move?

jans hansen from goldman sachs.nd the former nato secretary-general and former danish prime minister i'll be talking to him. and the charles monthser the former president and ceo. >> a great lineup still to come. we'll show you awe live shot from the meeting in bavaria where angela merkel is meeting people. i'll tell you one pass that's right came out of the meeting this morning and that is the white house has denied the bond was a problem. we've seen the dollar versus the yen, a little before today. the dollar yen is at 1.25 at 5 at the moment. >>> the greek prime minister could be about to lose a crucial ally in europe. find out why one top official is warning their offensive could be over after this break. "worldwide exchange" will be back in two minutes. ♪ we will rock you anthem ♪ ♪ ♪ ♪ ♪ call 1-800-royal caribbean or your travel agent today >>> let's have a quick market update. seems to be a little impatient today. 30 seconds we're looking at equities down 0.3%. most of that in the continental. a quick look at

goldman will be pro dominantly investment bank.is one of the ways you can adjust to get those roes back up in a tough regulatory environment. i would not be thinking of goldman going against bank of america or big finance companies as a main business line. this is going to be a small offshoot that may generate positive returns for them. >> you don't see this as a diluting of the brand? >> depends how you go about doing it. if they are advertising credit cards and trying to become the next capital one, i would not be as crazy about it. this is going to be something that is going to be heavily technology dependent. it's going to be specific loans on the side. i don't see it diluting the brand too much. they'll have to do brand building. when you hear goldman sachs you think of ipos and m&a. >> the way they could use an app or technology a way it doesn't feel so bargain basement but have luxury premium feel about it. do you think that's what they are going for? >> possibly. technology has been something that's been ahead of the curve

first goldman sachs and leaving goldman sachs why was that the right time? >> i don't know if it was but i -- follow many years had thought there was always a time when you have to leave a place as competative as gold man. i had seen a number of people leave -- stayed too long. >> yes. stayed too long and didn't know how to cope with life that easily when they left so i kind of always told myself i would rather -- i would certainly rather leaf before the best time than after the best time and you don't know when that is but i thought i'm going to take the risk when it feels to me there's things that i'm wanting to explore and swear i'm not comfortable with pursuing the same path and i always had this thought in my mind partly because i had a number of years in my career before i joined goldman, i always thought i want to do something else other than being goldman sachs. i didn't flow in gas it right time. it felt it was as good as it was. i love the place dearly and i have fond memories. i i saw a couple of foolel people from there over the weekend at a part

goldman signalled its ambitions in may.fein says there's an area of opportunity for the bank as they further develop their approach. the loans will be funded by the deposits it has at gs bank. not known is how goldman will determine a client's credit worthiness and the size of the loans available that the "new york times" reported that would be between $15,000 and $20,000. the best performing big bank stock in the last year and industry consultant who asked not to be identified said goldman's advantage like lending club and avant and lending tree is a deep and plentiful source of funds and the potential to sell these loans to institutional clients. on the flip side it has potential reputational risks if goldman has to resort it debt collection if a borrower defaults. >> thank you very much. let's talk about this from a stock angle and bring in a bank analyst from gaugh heim securities. a really interesting head line. goldman sachs, we call it a bank, it hasn't been and now it's kind of becoming a bank. is that a good or bad

goldman sachs sees the euro heading for parity with the dollar. we have been expecting to see the strongest second-quarter since the first quarter -- the strongest quarter since the first quarter of 2011. let's bring you up to speed with what is happening on the greek story. the prime minister has been given until the end of tomorrow to find solidity. yesterday, we saw hope and optimism infiltrating and around the european stock markets. you can see the european stoxx 600 up and having the biggest gain since may a. -- may 8. the athens stock exchange was up and the banking sector is getting a good mix of that. we have some of the athens banking stocks up. the stock markets picked up and ran with it in a positive direction. the markets edging a little bit higher and the s&p was close to a record in yesterday's session. we will talk all of this with john at 10:30. he warned of volatility and trading in 2015. three minutes past and let's talk about the asian market and the things to factor in. there is plenty in the asian agenda. the asian stocks ros

under an exception that is nowhere to be found in the language of the goldman act. what is completely unforgivable, mr. chairman, in my opinion, is that this american shell game is absolutely to the detriment of american children, quote, crime victims. note, there are voices of reform in japan. including high-level officials who want to see a change in japan's domestic laws. we need to support them in condemning the current system in japan. and not undermine their reform efforts by sugarcoating reality. these are people who really want to see japanese laws change for the better. people like the justice minister who in direct response to captain tolland's case was quoted in the newspaper saying that child custody should be based on the child's best interest and not just on who has been raising the child following an abduction. people like the japanese minister who stated that parental abduction should be regards as child abuse. their abductors are not fit to be child custodians. people like chief justice tarota of the japanese supreme court who stated publicly there'

exception to the goldman act. not just cases awaiting submission. but already submitted cases are excluded for the purposes of compliance. in other words, once a case is submitted to a court in japan and forced into mediation or litigation the state department has taken the position that the japanese authority is off the hook. that these cases simply because the courts and not the jca itself are responsible for gaining timely access to the children. once the case is submitted the state department and jca claim they can wash their hands of all responsibility to the children in a timely manner. so even if a court takes ten years to provide one hour of access to a child, a country will be considered compliant for purposes of the goldman act. under an exception that is nowhere to be found in the language of the goldman act. what is completely unforgivable, mr. chairman, in my opinion, is that this american shell game is absolutely to the detriment of american children, quote, crime victims. note, there are voices of reform in japan. including high-level

charles: assuming that goldman sachs cannot convince these guys. >> i had never seen a goldman sachslet yet. >> one of the consequences of all of that regulation is the booming business of non-bank blending. >> but the banks do want to get back in this. and the amount -- you know, it's getting done come in the amount of scrutiny. >> it is investors lending to real people. >> i think that they want to get back into this. charles: let me ask are working millennial. and they don't have faith, before people invested this. the millennialist need tangible evidence and we need to see it and touch it and identify with it and bond with it. we are not going to sit there face to face, because we saw what happened to her parents portfolios. so as long as goldman sachs finds a way to build a relationship and relate to these young people, this might be a winning strategy. charles: 49% say they would trust a digital platform. >> to match point, the advisors haven't been challenged. and so they have had it it pretty good. but the big test is how do they help people wanted to tough. >> this is an int

lying dead beside her, 25-year-old ron goldman. the prime suspect? nicole's ex-husband, football legend o.j. simpson. simpson promises to surrender and then disappears. >> the los angeles police department right now is actively searching for mr. simpson. >> simpson is soon spotted inside a white suv. >> highway patrol. >> yeah, i think i just saw o.j. simpson on the 5 freeway, and he's heading north. >> you've got everybody scared. >> the famous low-speed chase covered live for hours rivets the nation and ends with simpson's eventual surrender at his home on rockingham avenue. it was just the beginning. >> go, go, go. >> here's what we know right now. >> this was the perfect soap opera. the o.j. simpson murder case was the first true reality show for the country. >> okay, let's go. here we go. >> this was the first wall-to-wall televised trial. >> july 22, 1994, a month after the murders, the legal proceedings against o.j. simpson begin when he enters this defiant plea. >> absolutely, 100% not guilty. >> and to help him prove that, simpson assembles

is this a question for improvements made to goldman's satisfaction, or clients telling goldman to getack in the game? >> a little bit of both. of quantitative hedge fund clients. they have the priam -- prime brokerage, and they are saying we need to have the top technology to be able to service these funds and business as well. there is some demand for clients, like odor not, that they need to be able to execute in that. mark: let's take a look at some of the top stories crossing the terminal at this hour. a prosecutor says a prison employee is being questioned about her suspected role in these gave birth to murderers. she reportedly supplied them with contraband before they broke out. the manhunt is now in its seventh day in northern new york. local schools are closed, hundreds of law enforcement officers are involved in the search and in france, former imf chief has been cleared of pending charges. this closes four years of legal drama. from sexes send parties held during the global financial crisis. -- mitt romney is still a big draw for republican hopefuls. likelylared or presiden

first of all, goldman sachs and leaving goldman sachs, why was that the right time? jim: i don't know if it was. but for many years, there was always a time where you have to leave. a place as competitive as goldman, i had seen a number of senior people leave and stay too long. did not know how to cope with life. i kind of told myself that i would certainly rather leave before the best time rather than after the best time. i will take the best and learn to explore elsewhere. when i am comfortable with pursuing the same path. by the time it feels -- [indiscernible] i don't really think about it. it did wonders for my career. a great meritocracy. it did. 40 years nearly since i first -- it was a great enabler from anything -- for mayny things. charlie: take goldman at their best whatever it might be. jim: it is pretty genuinely meritocratic. in terms of bringing me on board, remember that i joined as a partner. a be the fifth person -- may be the fifth person and quite a step for them to do. no one was interested in my background, how i spoke, where i came from. and pe

goldman thanks has -- goldman sachs has said there is going to be a real business and we are going toand they have a bigger balance sheet. matt: they are late to the game. it is similar to blockbuster trying to appeal with netflix. they are five years late into the market. there are significant competition in the market. one of the new players is doing half $1 billion. having a balance sheet does not win this. erik: to the folks at lending deck, they should not fear that goldman sachs -- matt: you should never underestimate competition, but it is an acceptance of the space, that's bigger banks are finally moving in. it does not mean that they are going to win. it is still very competitive and they have a long way to go. they are in last place right now. olivia: that is the critical question. what is there competitive advantage? goldman sachs to qualify you have to be worth $10 million. why are they in the business of lending a $20,000? it is 1% -- erik: institutional investors capital looking for a home loves this. matt: there's way more demand than supply. erik: loans are being gener

alix: you brought up the ust's global equity strategist for goldman sachs. he seemed to imply we had high valuations but you will want to buy stocks anyway and part of that story is about buybacks. they say they will search 18% this year, exceeding $600 billion. 30% of the cash meaning who cares? has been a big theme throughout the recovery. if you go back 10 years ago, if an individual company bought back their stock to grow earnings that way, then what happens is investors but a lower multiple on that environment. we had yet to see that materialize here with the market. on a single stock basis, we call these low-quality earnings growth and you build a multiple on it and the market has not done it and i don't know when they will but that is a risk to playing that strategy. are there any areas of equity markets around the world you think are interesting? michael: the points brought up that there are small pockets of value but honestly, there is nothing i would set year and say that is what you have to buy. the u.s. treasury bond versus european sovereigns. i

factoring in here, the greek story, add to that some interesting comments from goldman sachs.o our twitter question, goldman sachs president says the markets are less ready for a fed list often people think. lena has stayed with us longer than we are sanctioned to give us thoughts on the fed. what do you think of these comments? do you think investors will be taken by surprise when we see a liftoff from the fed? lena: absolutely. we have had so far, i think this will be the most important thing in the second half of the year the markets have been busted by the risks of greece, reduce bond markets, and currency wars. what we are going to get any second half of the year is the markets moving to a pricing a stark shift in the waiting fed mount -- manages the balance sheet since 2008 2009, edges moving back. even before the first rate hike is delivered, the fed will have to tighten overnight liquidity in order to be able to lift these currencies towards the upper end. that means a huge liquidity drain, permanent liquidity train. -- drain. central banks come into the markets in ord

erik: i said before to watch what goldman does not what goldman says. that applies in this case. it is last to talk about the value of a platform like ie x when the interest is shared by some of the biggest clients. a lot of those are hedge funds. a lot of those hedge funds take big positions in particular and backed the notion of ie x and they do not like it when big positions is selling off. they don't like to be snide off by the high-speed traders. olivia: the number one trader. they lost their revenue last year and it got to compete. erik: moving on to number three -- julie hyman, what have you got? erik: ajulie: a couple points to want to leave their these are typically big target movers. there are two reasons to watch that are around and we don't usually pay attention to it. it's usually because the prior ratings for both of these were so dismal. and in april, we had a drop in consumer prices. we will see if there is a recovery today if one is projected to the preliminary may numbers with the lowest in six months. are we going to see better numbers coming out for both of th

jim o'neill at goldman would say he never sensed that the bricks rise would be a straight line to the moon, it would be one of tom's and -- it would be one of bumps and peaks and troughs and eventually they would get there. i would say that aie would say the same, this is a projection based on trends but any one of which can be blundered by outside shocks or internal shocks in the case of russia. matt: simon, thank you so much for joining us. simon kennedy, bloomberg chief economic -- international economic correspondent. look, i would not say parlor trick, but fun axis -- but fun academic exercise as simon pointed out. olivia: it is interesting to see

i believe based on the clear language of the goldman act japan should be the 23rd nation. it is the most self evident of all the countries, and there are some. i'm glad you have brazil, india, and other countries. i do other countries. i do note that in your unresolved cases number on india amazingly in. as a national center for florida missing children from over 50 cases well. it's zero there, too. i'm working with several cases myself including one she is testified twice before my committee, been to the state department, doing everything possible. and unresolved is and unresolved is for multiple years. we do need -- and maybe you can amend this. i do believe it's an egregious. >> again, we worked with the definitions as our experts determined. the case is not in the report and does not mean we are working with that parent or the case is not a concern again, this is something we are concerned within our office. again: what the reporter for the work our office is doing and be an effective, useful tool. we also want to comply with the terms of the legislation >> as i said i

shares of citi and goldman slipping after getting downgraded to hold at deutsche.m pointing to healthy rally force both and a lack of short-term stock drivers. >>> google adds itself to the list of companies jumping into the streaming music game. a toop google executive will tell us what sets the new google apart. >>> and jack ma was not takiddi when talking about his love for forrest gump. grow up to be cowboys ♪es ♪ don't let'em pick guitars and drive them old trucks ♪ boys? ♪ mamas, don't let your babies...♪ stop less. go more. the passat tdi clean diesel with up to 814 hwy miles per tank. hurry in and you can get 0% apr plus a one-thousand dollar volkswagen credit bonus on 2015 passat tdi clean diesel models. > >>> a major milestone for tesla. model s owners have driven a total of one billion miles or more than 2,000 round trips to the moon. the company says electric cars have prevented nearly 600,000 tons of carbon dioxide from being released into the atmosphere. tesla shares moving a little lower this morning. but up nicely over the month, the year. pretty mu

by the way, they moved goldman sachs and citigroup there.y acknowledged the economy's improved but the huge rally in these stocks means there's less up side. that's their claim. and i think there's something to it. the bottom line is this. right now one analyst i talked to said you have to believe that the fed fund rate is going to be above 1.1% a year from now to get a lot of move up in these stocks. well, they're talking maybe 1 1/2% a year from now, 1.6%. maybe it will happen. the point is you've got to believe there's going to be a significant move up in rates to justify bank stocks right now. that's the concern. >> that is the concern. that's the question. thank you very much for laying it all out for us, bob pisani. so the question here for the desk, guys, is are bank stocks overvalued? dan, what do you i? >> i don't think they're overvalued. they're cheap and they're cheap for a reason. a lot of the reasons we had the run-up in these, jpmorgan has had this massive breakout. it's up 25% from the lows in january, and i think it was obvi

talking about the folks at citigroup and goldman sachs.oup, they say the rate increase will happen in september rather than december. william lee says the case for september interest rate normalization gets stronger but be prepared for rate volatility. the folks at goldman sachs say no, it will happen in december. they flip-flopped their perception. they say 70 fmc participants -- fomc participants are projecting rate hikes this year. -- seven fomc participants. they believe jenny ellen herself is projecting zero or one this year. what you're are looking at behind me is the fed funds futures. the probability they're pricing it. the probability of what we will see a rate increase. 46% chance priced into the market that there will be no change. a 54% chance that there will be a change. there are some folks who see we will -- say we will see a quarter-point hike. the folks who think it will be 25 basis points and then maybe it's going to 50 basis points. you see the distribution changes as it goes out as well. pretty interesting here that we'

the former chief economist and head of asset management at goldman sachs. he has not slowed down since retiring in wall street. and prime minister david cameron. that role, he was tasked with advising economic performance. i am pleased to have him back at this table. first of all leaving goldman , sachs, why was that the right time? jim: i don't know if it was. but for many years, there was always a time where you have to leave. a place as competitive as goldman, i had seen a number of senior people stay too long. they did not know how to cope with life. i kind of told myself that i would certainly rather leave before the best time rather than after the best time. of course, you don't know when that is. i thought that i will take the risks when i want to learn and explore elsewhere. when i am comfortable with pursuing the same path. i thought i wanted to do something else besides goldman sachs. i love the place dearly. i saw a couple of people from their over the weekend. i don't think about it a great deal. it did wonders for my career. it was a great meri

>> goldman sachs is up 9%, j.p. morgan is up 8% go. with the lager. brian moynihan says he has more work to do with bank of america so people sold that and kept a lid on it. i think this is at a point where if we can get above that $18 mark it's off to the races. >> my stuff is less controversial. to me if you think we are poised for growth in the future, you have to play for global reflation of growth and so to me there's a couple laggers in the usa company like cisco systems, for instance. here's a stock that trades at 13 times earnings. i know they're not growing a heck of a lot but they have new management here, they're exposed to strong secular shifts. we know they want to get bigger in cyber security. they have a ton of cash. they're getting out of non-performing businesses and are likely to get into higher growth businesses. this is the company i think that is i cexposed to reflation and don't think you have a heck of a lot of risk here. a 3% dividend yield and a company like ge, i would throw them in there also which has been stuck in the mud.

dash cam a -- m a -- m a -- m a -- m a -- m a -- m a goldman -- emma goldman. he was impressed with her and went up to her and asked for recommendations on books on and are kim's -- anarchism and he tells her that her words have burned in his head. by way of quick background, she was born of orthodox jewish parents in lithuania growing up in prussia and st. petersburg in 1885, when 16 she and the sister emigrated to the united states. she first moved to rochester, new york and then new york city. she joins a number of different anarchist organizations and groups and then begins a long, long of their with a known anarchist writer named alexander berkman. after haymarket goldman, who is becoming a well-known writer and lecturer on anarchist philosophy, women's rights, birth and social issues her talks attract thousands of people. in 1892 there was another major's reich, this one taking place at a steel plant in homestead, pennsylvania. at the homestead the factory manager was a man by the name of henry clay frick. he closed the plant, locked out the workers who i

upgraded today by goldman sachs, brian.y look at ford in the second half of this year when you'll see greater production of the new f-series because both plants will be up and producing the new pick-up truck and they expect stronger sales in the second half for ford. >> phil, see you in the next hour with cool new car releases from ford's cross-town rye rival. >>> are you cheating on your spouse with money? do you know how much your spouse or partner even makes? it is all part of a new money and marriage survey and you may not believe the results. as we head out, stocks at session lows. another triple-digit drop in the dow. goldman sachs the biggest drag on that index. and the, the only stock in the dow, that's up. [ male announcer ] legalzoom has helped start over 1 million businesses. if you have a business idea, we have a personalized legal solution that's right for you. with easy step-by-step guidance, we're here to help you turn your dream into a reality. start your business today with legalzoom. >>> welcome back to "p

goldman hopes to be ready to make its first loans next year.ompeting with lending club initially. but in the future going head to head with the likes of the technology changes of the world. everybody else who's been in that business for a long time. i don't know if you have -- >> big one called credit that's based in chicago. and, you know just killing it in that market. so it's clear that they're taking a look at their three or four players out there that are doing it very easy. it literally takes 10 or 15 minutes. >> when you said easy i thought you were going to a place she was going earlier. i mean we could probably start one of these businesses. >> it's true but the barriers are, you know speed to market and, you know, taking market share. they've got a brand, no doubt about it. the big banks has a brand. but honestly they haven't been playing in that field, so they just aren't known. they can jump in. they're going to need to buy something. >> isn't that true? >> i hate to say it it does -- there are people who -- >> it's a tough retail b

this is after goldman sachs cut its call on the stocks. 40% fall.ts a 20 to that is bread-and-butter.ut of ane initiated outperform over cowen. theirto sell are at highest in the entire past year. look at the red. as of june 21, 11.4% of analyst said they were going to sell. a lot of people saying you can buy the stock. take it as you will. sequential brands will buy martha stewart living. not much moving today. the stock is at highs not seen since 2006. martha stewart living is down 12 % or so. if you think you might be concerned about martha stewart, you do not have to. she is sticking around with the company. she will be the chief creative officer. pimm: thank you. let's look at some of the top stories crossing the terminal. has agreed tonds buy martha stewart. .15 a share. martha stewart were serve as the chief creative officer. they have lines -- sequential has lines such as jessica simpson. off -- dropping artificial food colors from its cereals. tricks and rhesus puffs will be the first to be changed. cereals will have no artificial ingredients by the end of 2016. other compani

next stock, goldman sachs, raymond james downgrading goldman sachs to a market performance.e stock hit arraignment james price target on june 2nd. the sector has outperformed the market. it's up almost 7%. goldman nice trade on a tough day. >> i was just saying to the audience it was the only dow component that was higher about ten minutes ago and looking right now guess what? it still is. that's goldman sachs but one day. i get it. finally today's under the radar name. bill barrett. oil and gas company. bbg about $5.5 million market cap. their target goes to 14. they downgrade two others. >> bill barrett is down 64% in the past year. 500 million mark cap today was much bigger a year ago. >> they operate in unusual areas in baysins in utah. >> a big move in bonds. how significant those, is that move. joining us is jon najarian. put this in context, feels like the bond market has been whipping around lately. >> it does and has. no doubt about that. but i just want to point out what a great job janet yellen has done not because she signs my checks but because she's basically t

market, rather than 15-16, which has been the valuation during most of the postwar. >> professor, goldman has quoted you in the past years and have looked at different asset and came to the conclusion that on a percentile basis, stocks look overvalued, but other things look more overvalued, like 10 year chad -- treasuries, volatility, would you agree with that? >> the question is on bond. interest rates will rise. with the 10 year, now a little bit above 2%, it could go to 3.5 and probably that is the new normal for 10 years. that corresponds to about a 1.5 point above bonds, and has been a term spread there, historically. bonds are much more expensive than stocks, but my feeling is, my cancellation say that the 10 gets to 3.5, that will impose losses on bondholders, but stopped at that level should be valued at 18-20, 3.5% over the 10 year treasury rate. bonds are more overvalued than stocks, i don't think that stocks are overvalued, they are fairly valued within the new reality of lower growth and slower inflation that the u.s. economy will experience in the next 10 years. alix: that wa

goldman in a new business. >> this is interesting. i remember when goldman sachs was considering being in the discount business. they felt it wasn't appealing to their brand. they had a $10 million minimum to have an account there. this kind of lending they're thinking about going to. i've had lending club on mad money. if you use algorithmic lending, it's been successful meaning that you don't have a lot of people who default. goldman has the capacity. they have a bank. why not put it to use. this is not peer oh to the peer lending. they have money lying around so why not make money on it. given the fact that algorithmic lending has been so smart. >> is it a liability for lending club? >> i wouldn't want knob that business against goldman. the issue for me is a brick and mortar guys they may be expensive in terms of the production of loans but they're pretty good at it. goldman can do it i think, do it in a separate division. that's -- they have remarkable nonperformers. they lend to people who know -- they have data. it's much of an

goldman sachs, goldman sachs is one of the biggest repeat investment banks in america.tly, the ceo of goldman sachs let his employees know that he'd be just fine with either bush or clinton. i'd bet he would. >> number one, and you know governor o'malley, do you believe him that he cares about this and thinks that clinton would be bad on wall street in a way that he would be better. and number two, what is the clinton response to that? >> i don't know what the clinton response to that. if i were hillary clinton i wouldn't have a response to that right now. >> why bother? >> well, i wouldn't say that. because i like martin o'malley a lot. i think he's a terrific governor and really good mayor. the problem that both bernie and martin o'malley have is that hillary clinton is running a really good campaign and talking about the same issues they are in terms of college educations that are debt-free, early childhood which she has a lock on, she's been working on that her entire career. this is going to be a contest of three people who are going to sound somewhat alike. bernie

goldman sachs, morgan stanley both at 52-week highs today.y amazing, these are lifetime highs. so, alan, you know, a lot of people at this point are going to say what about us? when do we get a piece of the action? the fed bailed them out, they had access to trillions of dollars, they're not lending. should the government be more involved? should they do things to force them to get back to their traditional roots? >> if you want a piece of the action first, charles, buy the bank stocks because i think they are going higher. whether or not the government should be more involved, this latest sarbanes-oxley lower it is the leverage of the banks since the precrisis levels, and that's where it needs to be. keep in mind, a small handful of these companies almost took us into another depression. >> i know they were able to raise their capital requirement and things like that, that's what quantitative easing, qe really was. but, you know, i think a major crisis on that level still wiped them out or put them in a position where they need to be wailed

there was a goldman note out that said stop buying back your stock, but investors seem to like it. goldman itself doing a buyback -- we don't like that you do it, but you are going to keep doing it at the end of the day. two other stocks that hit on earnings -- lululemon and dave and buster's. these stood out -- this is what investors want. they want premium pe multiples of the sexy growth stories, high-growth consumer names. comps and dave investors had almost 10%. these are numbers we don't see that much anymore in this environment. joe: outside the stock market, we got some awesome news for the american worker. a bunch of new data comes out and says good news for workers and wages. the first chart comes from today's survey of small businesses. they asked what they are seeing in the economy and this chart is one of my favorites ever. single biggest problem companies are seeing -- you can see the orange line is sales are their biggest problem is collapsing. companies are having bigger big a the just not as problem. on the flip side, the number of companies that say labor quality i

goldman sachs and citigroup both back today. stocks have rallied, that they have done well over the past year or so p he also says in the second half, they will have the -- weaker revenues and lower volumes. valuation,ake that if you will, versus the index of banking stocks. take a look at the bloomberg terminal. i adjusted this for percentage. down here in the yellow line, we have had that index. it is up about 11%. the orange line however, -- goldman yesterday closed at a record. .o falling today santa --stocks, my andanto is cutting costs developing plans to reduce operating expenses by $.5 billion. that implies monsanto things coin and soybean prices will continue to drop weird it is significant because they have dropped quite a bit already. take coin -- take corn. we sought reach a high in mid to late 2012. over the past three years or so, the highest coming late into 2012. a declines ever since. because it has risen, we saw farmers trying to increase its yields. that results in prices the default. folks ares though drawing

but uber does have some serious financial clout some of its backers including goldman sachs goldman sachs and google. former chief of the washington, d.c. and the chicago departments of transportation. he joins us live from washington. just how surprised are you that these two uber executives were arrested in france? >> hi fel itionity. i'm not too-- felicity. when you have the general manager, being arrested, uber should be dismantled, you have a political problem you can't ignore anymore. >> it's a political problem and a legal problem. do you think that uber is going to find that france is one country that it simply cannot operate in? >> well you know i think it would be a shame if that happened because i think innovation is good. but uber has had a problem in europe. not a problem everywhere but in europe it's more striking because the culture is different. the governments there have not taken so kindly to being strong armed and pressured by companies like uber, with google and other companies that are innovating. eventually it will come up to a french constitutional council. whether

will conclude with what david goldman stated in his testimony before this committee in may 2013. these cases typically drag on for months which soon turn into years as the abductor creates a home feel advantage with tactics in the home kurn's legal system. this is the norm, not the exemption. these are abduction cases and laws have been broken. these cases are not custody disputes. and let's not forget that some believe we are asking for our government to intervene in custody disputes. we are not. all we are asking is that when our children are kidnapped to thwart a proper resolution of custody, law governing their return to our country is upheld. when it comes to international law that deals with children abducted from the united states and other lands, there is no rule of law and the broken lives and spirits of left behind patients across america whom we represent here today stand as a living rebuke to that failure to enforce the rule of law. the plain fact is that a nations refuse to return american children pay to price for defying the law and unless we arm the state departme

remodel your kitchen with goldman sachs.ime ever goldman wants to lend money to the average consumer. we'll talk about the strategy. one company aiming to cure cancer in part via artificial intelligence tools. we're going to be speaking to the founder about his plans. melissa? melissa: all right. thank you. david: meanwhile rachel dolezal is breaking her silence for the first time since being accused of lying about her race for years while working as a naacp spokane, washington, chapter president. dolezal resigned from her leadership post yesterday but continues to defend her actions, refusing to say she lied about her race. melissa: listen to what she told matt lauer on "the today show"? >> are you an african-american woman? >> i identify as black. i was drawing self-portraits with the brown crayon instead of the peach crayon and the black, you know black curly hair, you know, yeah, that was how i was portraying myself. melissa: right. but her parents, larry and ruth ann, joining "america's newsroom," didn't remember it tha