julie: i am julie hyman.ry ahn is monitoring the action. may be up but it has not been a great week. little bity up a because of more optimism about the health of the u.s. economy. the largest consumer of crude. if you look at the trend for the week, we are going to see it has fallen. it is down 6%. this is the worst week since may 6. of course, we had data that u.s. crude stockpiles declined less than expected so there has been a lot of pressure on oil. we have seen oil trading between $44 and $52 a barrel for the past month. there has been some supply disruptions. also expectations u.s. output would follow. if you look at the weekly rate data, you will realize increasing rakes was the fifth gain in six weeks. this is five-year data. for the weekly number, we are seeing a fifth gain in six weeks. analysts saying government data may be underestimating the fact we could have output from uncompleted shale wells as well. gold is staying with commodities. gold has been fluctuating with the labor data out today. f

julie hyman has the latest. a mixed picture for stocks come a bit of a mixed picture for commodities. higher, goldal gas higher. we are seeing energy down .9% as oil prices fall. bit of a losing streak for the bloomberg commodity index, down for the fourth day out of the past five, down 2% over the five day period. strengthening in the u.s. dollar today. tomorrow, we will get the weekly inventory number. down 1.3% or so, below $45 a barrel. citigroup --ng ver after citigroup said demand might sputter out. some profit taking as the summer goes on. and decline of about 1%. watching copper prices as well. in this case, they are going higher. day.ixth up more people going long in this environment, even as oil is coming off. ag all going lower. wheat, soybeans all lower. usda not so bullish on commodities. shery: let's check the headlines. mark crumpton is in the newsroom. mark: we begin with the republican national convention and what could be a big night for donald trump. winll goes well, he will the republican pre

let's head to the markets desk with julie hyman.ie: this has to do with the .ig health care let's move through them. apparently poised to perhaps block these deals. perhaps at not attempting to buy humana for $28.5 billion. you can see the shares moving lower after the headlines. you look at humana shares, we saw a big zigzag in the shares, 2.5%. the even bigger deal in the works, and anthem for cigna for $46 billion, justice department officials are apparently concerned about the effects the deals would have on consumers. stille cigna moving lower . it has not rebounded like the others, down 1.6%. we have seen an effect on the shares from these headlines coming out. the final decision coming this week and will be made by the end of the month. all of that according to people familiar with the situation, down 1.7%. that is the latest on the headlines coming out and the effect we are seeing on the stocks. to follow another one of the big stories we are watching this morning. goldman sachs earnings and shares have turned it around. on

. ♪ vonnie: this is bloomberg markets long with julie hyman. a technique that could change the world. using proteins to manipulate our dna. behind the breakthrough is a massive patent dispute. we can read all about it. crisper, what is it? acronym ask me what the actually stands for, but you know about trying to map the genome and trying to edit jeans. it is a gene editing technique that is so easy that there are hobbyist doing it at home with petri dishes and bits of east. -- yeast. anyone can do it and it is getting cheaper all the time. humans, but animals, plants, biofuels, anything. it means the birth of several different industries, hundreds of billions of dollars at stake. julie: and what is the crux of the patent war? >> you have a scientist at berkeley that first found a way for the crisper process which always existed and bacteria to be adapted and used for jeans. and it is part of harvard and m.i.t. which was the first to use it in a human cell which he argues is an entirely different process. they collided with one another in an int

julie hyman is standing by. have at least some of the downdraft today having to do with some of the earnings reports we have gotten. the dow falling the most of the three major averages, down one half of 1%. transportation is a big part of the story. --on pacific, the lard was the largest publicly traded railroad in north america. shares down 3%. profit spell and shares down 12%, and the company said going forward that plunging consumer demand and a strong dollar will be a consistent drag. you can look at the carload on the bloomberg. i am looking at year-over-year decline or advances in the various types of carloads. the purple is coal. we have seen continuing declines in cold. -- in coal. you are seeing declines in the other areas, everything but agriculture. other modes of transportation as well. all of that falling. union pacific has to take pretty drastic measures. it has 33 workers on furlough. it has stored 1700 locomotives to shrink its operations to contend with the volumes. very interesting not just to

julie hyman. ly inventory data, and it was the ninth straight week of declines. we saw volatility around the announcement because there was an unexpected build in gasoline, but oil has turned a little more decisively higher now, 44. 85, still above $40 a barrel. this looks at the weekly change. here are the nine straight weeks we have seen declining inventories. that is the longest streak of declines going back to 1982. so, there is a significant work down now that is occurring in the inventories in the united states -- the oversupply in the united states. that is seen as encouraging on the part of folks who invest in energy. let's look elsewhere, now. gasoline, for example. we have seen some declines in retail gasoline prices -- good news for folks driving around this summer. gas has been down every day but one going back to june 11, so quite a losing streak we have seen in oil prices. elsewhere, in contrast with oil prices, and gas is pulling back to .5%. one of the things hurting some of the com

scarlet: julie hyman has been tracking the moves

julie: and i am julie hyman. we are taking from london to beijing to washington. here's a we are watching. vonnie: stocks swoon to start the trading week. energy and metals lead the decline is oil prices decline. the vti crude has its biggest drop in five months. julie: which stocks are poised to break out -- we will talk to mike holland. he sees value in and son mobile, child, and jpmorgan as well -- as well as others. fedie: how long can the delay the rate hike. bit.ly is looking for a dissent -- bill lee is looking for a december rise. julie: stocks are hanging around their lows. i have been all day. shery ahn joins us there. uncertainty and fear back in the markets, it seems, right now, after we had some investor relief the last few days, but that is not holding up today pit we see the nasdaq leading those declines, down 1.1%. the s&p 500 also reversing four days of gains to lose 9/10 of a percent. the dow jones also down .8%. the s&p 500 is coming off of today's lows of 2081, still hanging in there, 2083, do

let's head straight to the market desk where julie hyman has been one and the data. lie: weaker than estimated. .2%.crease of two -- on the one hand, we have very low mortgage rates and on the other hand, rising prices seems to be offsetting any gains from the historically low mortgage rates. coming in below estimates for the month of june. in the meantime, we see all three major averages higher. in the meantime, we have been watching apartment landlords on the real estate front. stocks been watching like equity residential which came out with earnings earlier. it seems as though the issue for many of these companies is manhattan in san francisco, they are seeing greater than equityated weakness, residential cutting its forecast for the third time this year, offering a lot of incentives to renters to try and get them to rent here. are under pressure and i just want to pair that with the pending home sales number we just got. it is interesting we see we us in the rental market in particular as well. major averages are trading higher despite the pending home sales and d

let's head straight to the markets desk where julie hyman is looking at what is moving. like a newooks record for the s&p and dow, but have been struggling since the open to hold onto the gains we have seen early. the dow is up 16 points and s&p gaining a little more than three points. the nasdaq is the big winner today with gains of half of 1%. you are seeing a clear divide and a clear push by tech which is higher, mostly from microsoft, which we'll get to in a moment. on the downside is energy. we are seeing a decline in oil prices. they took off on the downside at this morning here. the dollar is higher today. we are getting the weekly inventory data in about a half hour. i will be bringing you those numbers. in the meantime, the oil price going lower is putting pressure on energy stocks. the also got earnings from halliburton that initially looked sort of mixed. on the one hand, the countries numbers missing estimates when you look at the north american operating loss, which was 8.2%. that was worse than had been estimated. the company did say that things are turning

it is time for options insight with julie hyman. e: joining me today is kevin kelly, chief investment officer at recon capital. kevin, you have been watching technology. apple reporting after the close and we are hearing from facebook. you are looking at trades on some of these stocks. you sent me your apple trade, which you walk me through the history, which is a little circuitous. talk to me about what you have done with apple, what to do now. talked aboute apple a lot because apple is one of the biggest constituency the nasdaq 100, different ways to trade it. when we first did it, we bought the stock and sold a call against it. then we covered that. was may 23. -- that back on july 5, we said cover it, make a couple bucks. ,hen sell the 90 put against it still out to september. once we did that, we are here today before earnings, and you can buy that back and make $1.20. so we sold the $90 but for $2.20. if and when below $90, we would have to own the stock. now, what we can do is we can cover it, make one dollar $.20. overall, si

let's head directly -- shery: let's head to the markets desk were julie hyman has the latest. we are still at record highs. julie: for the s&p and the dow. the nasdaq is not at record highs but it is turning positive. -- the s&p at 2153. point the dow did touch an intraday record. not only do you have this risk appetite on market, you also have it on relatively high training volume. -- trading volume. overall for the s&p volume is up about 6% but you see the surge in volume of material stocks, 76% higher than a 20 year average and the same thing on industrials. even as we approach these record highs, it is worth mentioning what is going on with valuation for the us you 500. -- s&p 500. we are just a hair shy of 20. we have seen valuations push-up during this current rally. in terms of today's session and what is getting the most, we have seagate after they announced an expansion of job -- ana lot of the american airlines saying it's -- will be boosted because of a new agreement with credit card providers. scarlet: getting back to the valuations of stocks, they make sense if you

. ♪ david: it is time for options insight with julie hyman. e: joining me for today's options insight is ken victim, --d options -- ken victim tim bigham. this scene is this superlow volatility, certainly the lowest we had seen this year. you are asting is little concerned. why is it not necessarily a good thing? mix, it'st just the also the fact we have seen such low stock volume, the trading with the lowest back-to-back volume me past few days. we have seen valuations on stocks getting stretched. priced sales at the highest levels since late 1999. it's that kind of combination of everything and when complacency reigns, history points to this short-term cap in the market. either any fundamental catalysts coming up that are concerning to you that could be the trigger for a short-term drop? >> certainly with some big names coming out, apple, amazon, some big earnings may do it. we see interest rates starting to creep back higher here and that may signal the fact we are starting to roll over a bit. it may be healthy longer-term to have that watch

we thought we would go to julie hyman. julie: i wanted to look year-to-date cross profits.ondon did earlier looking cross asset, what we have seen thus far this year. the big winner has been, commodities. the index up 13% this year. that is the white line, the one that is the highest this year thus far. and then the bond market, not surprisingly. everything has driven the bond down. this is global, by the way, not just in the u.s. and the developed world, but across the board. it is up 9% year to date. citigroup index of currencies is down .5% and globally, stocks, very little change the first half of the year. those of the peak and purple lines. getting back to today and the movers we are watching -- i wanted to bring it back to tesla and the story we have been watching this morning. this report there was a fatal accident involving tesla sedan, autopilotand the software that did not detect a tractor-trailer and did not apply the brakes resulting in that locality. there are questions about this driverless technology and what it means, not just for tesla, but more broadly. t

they queue, julie hyman.s check in on bloomberg first word news, mark crumpton has more from the newsroom. mark: loretta lynch is it knowledge that in impromptu meeting with bill clinton and a phoenix airport cast a shadow on the public perception of the e-mail investigation, involving former secretary of state hillary clinton. the attorney general address the controversy today at the aspen ideas festival in colorado. loretta lynch: people have wondered and raised questions about my role in the ultimate resolution of matters involving the investigation into the state department e-mails. to the extent of people have questions about that, about my role in that, certainly my meeting with him raises questions and concerns. believe me, i completely get that question. market: the attorney general added she would follow the recommendation of prosecutors on whether to file criminal charges against mrs. clinton. families of some of the nine people shot to death in a south carolina church last year are suing the fbi. t

let's head to the markets that's julie hyman is watching the market action. julie: we have a bit of a pullback, but it feels like a mixed market because the dow has been flirting with gains, and right now it is a four point. it is not all red for the major averages, though the dow has trended lower for parts of the day. a sideways move here. we have volume lower as well. why is the dow doing better -- less like the big movers. mcdonald's is rising after mcdonald's japan started selling poking and toys. johnson & johnson is out with earnings that beat estimates, and the company raised its forecast for four-year earnings as well. trading higher making predictions about demand in india. those shares are gaining. this gain in the dow notwithstanding, the s&p 500 and the nasdaq are not holding up well. let's look at the movers there. netflix has been trading lower all session long after subscriber targets missed estimates. microsoft reports after the bell. it has been lower all day in advance of that. phillip morris coming out with numbers that missed estimates as

about three minutes into the trading day in the u.s., let's go to julie hyman. julie: records once again. i missed it yesterday. the s&p is at a new record. the dow made it there as well. if dow rose above the record they hang onto gains today, it will be at that level. number two rise above. the rally continues not just in the u.s. but around the globe are in -- globe. the nasdaq is now positive on the year, which is remarkable when you consider the underperformance earlier in the year. the dow and s&p are each up 5% year to date. asset ledsort of risk rally. they are doing better today you've got to sleep green. typical, economically sensitive groups like tack are leading the gains at the moment. one of those is alcoa. they are out with numbers. they beat estimates. though shares are on the rise. i went out of order there for a moment and they are up 3.5%. things they make from. airlines are also rising. american has a new multiple provider with citibank and mastercard. that's going to add 1.5 billion dollars to its pretax earnings. upve got deutsche bank three

it is time for options inside with julie hyman -- options insight with julie hyman.ie: thank you. dan is joining me from chicago. first, i want to talk about the fed today not raising rates, but they seems to be relatively optimistic about the u.s. economy. yet in the wake of it, we actually saw yields fall further on the 10-year. i am curious what you are seeing and options that explains any of this activity that we have been seeing. dan: like you said, it was a fairly benign statements, the fact that they took a diminished short-term risk i think is seen as a positive -- as a positive. the options market reacted very quickly to that type of news item, and we saw volatility elevated little bit this volatilityt excitations have been brought lower, the fix is now lower. we see not too much determination as far as price movement and underlying equities and indexes, so that is why you are seeing option pricing volume coming in right now. august historically in the last several years has been a little bit more of a volatile month. currently in short order, volatility see

let's get over to the markets desk in new york, bloomberg's julie hyman has the latest. lie: thank you jpmorgan. it's earnings from the bank that has helped power stocks higher so the doubt s&p once again at new records. now, the s&p s should say --the nasdaq rising today. if you take a look at what is getting the most is financials. the imap showing financials are in the top spot with a gain of 1.25%. utilities are declining today. it is a pretty broad-based rally. jpmorgan is part of the reason why. though shares arising after the company said second-quarter profits fell, but not as much as analysts say. the company's core loans performing better than anticipated. it's all profits rise in its various business segments. shares are up by 2.5%. you will hear much more about jpmorgan in the comments the company made on the conference call including comments from jamie dimon on the results of the u.k. vote. we did not just your from jpmorgan today. we got numbers from blackrock. second quarter profits are down. 3.7%. beat average estimates by a penny a share. they are up 1%.

let's head to the markets desk, or julie hyman has the latest. tting day, as the markets go higher and higher,

julie: i am julie hyman.arkets are closing, and it doesn't look like a pretty close, especially for energy. shery has details. we are seeing oil taking a sharp u-turn after a government report early this morning showed crude stockpiles declined less than expected, so crude down 4.7%, trading around $45 a barrel. and you can see the sharp plunge around 10:00, when we had the data showing crude stockpiles declined only 2.2 million barrels, instead of the expected 2.5 million barrels, so we are at seeing the cracks spread, the lowest in two months. that means refineries are seeing less profit. profit margins for refineries are at one of the lowest levels in about two months now. you can see, down 62% for the year. we are seeing the abundance of gasoline in the u.s., seeing the d falling through the year. we have u.s. natural gas as well, another decline of today, falling 0.3%, and that is on a mixed weather outlook. we could see, the recent rally we see with natural gas is being derailed because of a pullback in

let's go to julie hyman. julie: i selloff after the weekly gain or the biggest of the year thus far. great to see you. already said my hellos off air, but we can say our on air hellos. welcome back to the united states of america where stocks are selling off. on's look at what is going with the major averages. we are near the lows of the session. the nasdaq has been leading the decline. i was checking volume, 5% below the 20-day average in the s&p 500 coming off of the holiday weekend. you will see that there were a couple of small attempts made at a recovery, but then it legs downward, bumping along the low. groupshe cyclical leading the decline, energy is the worst performer. if you look at the bloomberg, energy shares are leading declines down more than 2%. stocks, tobacco stocks, for example, are doing better. pepsi is helping to mitigate the losses as people rotate into what they see as more economically resistant. we see the buying of treasuries. that means record low yields. the 10-year yield going down

let's head to the markets desk were julie hyman has the latest. i am looking at a lot of mood-related movers. with chipotle. -- we willy 2.6% start with whole foods. they fell by 2.6%. speaking of more competition, we are watching kroger. not moving on earnings, rather it is a downgrade. walmart's testy a price reduction has spread to additional markets, and that the pressure kroger. though shares down by 2.4%. me a significant gains to point out in food. grub hub up 23%. that is the rest of the gain in two years. the company raising its 2016 revenue above forecasts, after second quarter sales. hershey coming out with earnings 9%.share a hershey representatives say they will not be commenting further on the offer -- 3:19 in london. 10:19 in new york. next, hillary clinton is center stage after for the obama passes her the baton. we are live as the democratic national can it and gets underway. this is "bloomberg." ♪ ♪ mark: you are watching "bloomberg markets." i'm mark barton in london. vonnie: from new york, i'm vonnie quinn. last night, at the d

let's turn to julie hyman. not seeing much decisiveness being expressed, which is not unusual. on said days, before the decision and the statement even if no decision is expected, he sort of have a little bit of a range if you will. that is what we are seeing. the dow trading lower, the s&p off a quarter percent. the nasdaq is the winner, up 0.3%, on the strength of apple numbers. we will discuss that later. let's talk about declines we are seeing, the pressure we are feeling. we are watching that big beer deal that may not happen. according to bloomberg news reporting, a person familiar with the situation says sabmiller management has ordered police to seek integration efforts with anheuser-busch operations. fall, seeing those stocks and they had been set to receive the remaining stake in its joint venture with smb miller -- sabmiller. we are watching health stocks. wyndham worldwide out with numbers that missed estimates of forecast. hilton cutting its forecast, and hyatt being caught in the downdraft. and th

about 30 minutes into the trading day, julie hyman has the latest. lie: we are seeing a selloff in stocks here we see little change of direction. one a look at what is going in the u.s. markets at the moment. we are seeing declines, smaller than they were at the opening bell. a little bit of a pairing of the declines we see. bonds.ake a look at we are seeing a little bit of a change in direction here. bond yields actually going green in the past few moments after earlier falling to a record low of 13180. movement and what we have seen. we are now selling in the bond market. driving those although he up to 1.83%. level. very low that means a region gray of what we mean by the stock market. take a look at the imap on the bloomberg here. earlier, we were seeing utilities on the green. that has traded lower because we see an inverse relationship. health care and consumer discretionary very slightly. now down only about one third of 1%. pairing to clients as we are seeing the movement here in the bond. moving the groups we are watching today, we have netfl

so let's get right to julie hyman. julie: existing home sales is what we are talking about the month of june coming in higher than estimated in annual pace of 5.5 7 million homes being sold. the between existing home sales -- aew home sales existing 1.1% increase here again to 5.5 7 million that is the highest level in nine years for home sales. sign for positive residential real estate. closings of 1.1%. seasonal1.9% before adjustment and the median price of an existing home up 4.8% year-over-year to $247,700. this number coming in better than estimated. today does not necessarily belong to macro. in more belongs to micro and corporate earnings that have been coming out. the ecb decision to not raise rates, notwithstanding. that has not seemed to disk -- to derail u.s. stocks. the dow and s&p have been pulling back from yesterday's record close. was good to big corporate stories we are watching. general motors posting record earnings. they beat analyst estimates for earnings per share by 22%. sales of 11% and the compa

julie hyman has been tracking the moves. equities, a little push back. >> morgan stanley saying we will see maybe 1% in the first quarter of next year for the 10 year yield. some selling in stocks today. the money flowing to some extent into treasuries. the dow had been holding up relatively well. still down the least. back into the red. pulling back from the record close yesterday for the dow and s&p 500. the magnitude of the drop is not big, only one third of 1% for the s&p 500 but the brett of the decline pretty broad. all of the s&p 500 lower today led by energy and materials as we see a commodity led selloff. a lot of individual movers, netflix out with its earnings, the subscriber growth, or lack thereof drawing attention. adding 1.6 8 million subscribers in the second quarter, falling shorts -- short of estimates blaming price increases. johnson from johnson & and lockheed martin, they had winners, though lockheed martin now lower after that companies earnings beat estimates, johnson & johnson with earnings that beat

julie hyman has a look at the latest here. julie: i'm checking the latest stats. we will see what the next hour holds. we are seeing a pullback in volume today on the three major averages on this summer write a. it looks like all you money s&p the 20 day average. we are seeing an extension of gains as we get towards the close. the nasdaq up 1/2 of 1%. the week and another winning week, the fourth week in a row we've seen gains for the s&p 500. take a look at the s&p over that five-day period. here are the intraday highs that we saw on wednesday for the s&p 500. we have not exceeded the intraday level. right now we are above those levels. we see how it plays out over the next hour or so. we are watching the chipmakers today. we have a tale of two chipmakers. advanced micro devices posting its first quarterly revenue gain, going back to 2014. it is on increasing demand for chips, as well as chips to power video games. sky works is lowering. the company talked about some issues and its largest customer. it is forecast for fiscal fourth-quarter revenue growth without

julie hyman has the latest. julie: we had a record last week for the dow s&p 500.hen on friday we saw a little change. the s&p only up one half of a point. little changed as well today. a little bit of a drift following the game last weekend following the records for the dow and the s&p 500. we will see if things gain a little more direction as the day goes on. take a look at the map, you will see what exactly is going on. half green, half read on your screen. energy shares and materials are the biggest drags on a major averages. tech and utilities are gaining ground -- gaining ground. energy shares, as i mentioned, the biggest drags through. oil prices pulling back today and energy stocks are going along with them. oil nearing $45 per barrel on the downside. here are some of the biggest energy declines by percentage. offshore and murphy oil all falling. we were talking about the big armed holdings deal. softbank to acquire the company shares. pretty heavily traded in the u.s. at fallout for sprint and alibaba. sprint shares are down that would divert resources fro

julie hyman has a look at the latest here. julie: i'm checng

julie hyman is standing by. julie: we have a mixed market.e have seen a little bit of bouncing around, practically for the s&p 500, which has now turned south. the dow paring its games to four points at the moment. if you look at the futures, which helps you track where we were overnight for the s&p 500, pretty steady gains helped in part by apple and then i dropped. that drop happened just before the oil inventories number. it did not seem to be due to that. here's the oil price and that strength downward after the unexpected build in weekly oil inventories, breaking that .ine week drawdown streak it is pulling close very best very close to $42 a barrel. as vonnie pointed out earlier, energy stocks took a hit as a result. apple is accounting for some of the gains in the nasdaq, up by 6.5% after the company forecast sales above analyst projections, even in those third consecutive declines in that company. some other earnings watchers include coca-cola, which is putting a lot of pressure on consumer staple stocks. coke sales outside of north a

let's go to julie hyman. ad onhe final consumer confidence from the university of michigan's index. 90.3.l from this is the final rating. the more important economic data point was gdp for last quarter expanding at 1.2%, less than projected. that affecting markets are early in the day. it seems like investors are focusing on individual companies .nd earning reports the nasdaq touching its highest rating level on an intraday basis that we have seen before falling back. the losers putting pressure on stocks, exxon mobil coming out with earnings missing estimates. .efining margins plunged 30% chevron falling after its third consecutive loss. cigna cutting the second quarter earnings, well short of estimates. they're saying losses and a weakness in particular in the disability business. disability business through employers has been weak. we have strength in tech names, in particular out for that and amazon. both beat estimates. amazon showing profit and profitability in the web services segment. our hope that sho

shery: time for options insight with julie hyman. thank you.joining me for today's -- we'rensight is seeing a drop off in volume. during i were talking the break, volatility is not doing much of anything. >> and it hasn't for a while. decline in the vicks over the last couple of weeks, the largest ever, and the other interesting data point is the the 11 largest have all happened since 2011. change in structural place over the last few years that have suppressed volatility. it is late july. a lot of people are away. julie: to get to that bigger issue, why has there been a structural change if that is indeed what happened in volatility? something about the nature of trading in the market changed? it is the stuff of conspiracy theories as we talk to clients. qe, it is an open question. at some point in the future people will look back and say what exactly happened? he was volatility over the last several years? i don't have the answer. julie: it is earning season. a lot of people may -- a lot of people may not be around to trade it. you guys are r

julie hyman has the latest. was it looking like? julie: looking next. to fed here has a job increase inflation as well. earlier today we got some consumer inflation numbers coming in a little higher than estimated retail sales beating estimates. consumer confidence missing estimates. right now we are seeing very little changed. the dow and the s&p, and again today will be a record close for the two major averages. i have seen a winning streak now for the major averages as well. if they hold onto the game before days ended. we have seen a bit of a downturn in u.s. stocks. to go to the bloomberg for the groups on the move to explain what exactly is going on here. obvious the, the picture looks mixed. we havelus side, materials, health care, utilities gaining today. but financials have now fallen into the bottom spot. we got earnings from citigroup and wells fargo. let's take a look at how the stocks are trading right now. citigroup on the one hand reporting a profit drop of about 17%. the company's consumer banking business is not doing great, fixed incom

let's head to the markets desk where julie hyman has the latest. lie: less exciting if you look at stocks. u.s. politics are quite exciting , but we are seeing little change right now after the dow and s&p close to record gains. any gains today would be another record for the major averages, but we are not there at the moment. the s&p falling back at the moment. the nasdaq gaining a little bit of ground, but we are seeing a mixed to little change market. even after we see this continuing rally in u.s. stocks, we'll talk about how it is an unloved rally. yet another measure of that is fund flows in the u.s. we have g #btv 2036. this is the upward climb that we have seen. here are fund flows. we have actually seen some outflows from the u.s. equity funds and that reflects again the story of mixed sentiment or at least confuse sentiment about u.s. stocks. getting back to individual movers here, let's take a look at the airlines coming out with their june traffic numbers. american airlines surged yesterday on a new credit card agreement. shares of sligh

let's head to the markets desk, or julie hyman has the latest. julie: on this record-setting day, as the markets go higher and higher, stock markets, that is, we have more investors weighing in on whether it is justified. larry fink of blackrock says he thinks the rally is getting head of itself. on the flipside, laszlo birinyi saying he is not yet seeing sentiment indicators that would show that the rally has extended itself. dow and the s&p have mitigated their rally today, come down a little bit. still trading at record levels. we are now on a five-based record the s&p 500. -- five-date streak for the s&p 500. it was enough of a move that we saw again by the end of the day. even though if you look at the trajectory, we coming off of our highs considerably. i have been watching volume, which is lower today than it has been recently. this looks and volume by sector. overall for the s&p 500, down 7.5% from the 20-day average good in particular, drop environment telecom stocks, consumer staples, tech, as well as materials. also, when you're speakin

julie hyman has the latest from our desk.head of estimates, consumer confidence index coming in at 97.3. 96 is what economists had predicted. a little bit of a decline from the prior month. home sales rising from an annual month overcrease month, 3.5% and the prior month, this was for the month of may. may, thismonth for follows on the heels of the stronger than estimated existing home sales number that we got last week. here.trong numbers overall not a lot of change in stocks. leading gains up .4%. the focus continues to be on stocks, particularly today. apple out after the bell along with twitter. the moversa look at on the earnings number. they beat analyst efforts in particular. cars and machinery, the stock advised since 2000. united technologies saying it's 2016 profit forecast is raising the lower end of the forecast. not having to do with earnings, , 6000 sharesorning of netflix, 8760 per share. what isears to be boosting the shares this morning. there are always winners and losers. on the downside, we have signed thi

julie hyman has been keeping an eye on the action. s&pe: the records on the and dow, the dow actually the winter percentagewise. the s&p gaining a little more than .5%. look at the bloomberg because this will show you the other ways that it is manifesting itself through the various sectors. a pretty broad-based rally. cyclical groups are back and forth. some of the more defensive groups are at the bottom of the list. some of what we are seeing is earnings driven. jpmorgan coming out with second-quarter profits beating estimates. it saw earnings at its corporate and investment bank rising by 6.5%. rising.e stocks these companies do not report until august 3. elsewhere earnings wise, we have yum! brands coming out ahead of as comparable sales in the u.s. are trailing to some degree. the company has raised its forecast for earnings and delta also coming out ahead of estimates. cutting volume as rail has been declining. you just heard from the ceo of line. they just had their initial public offering and shares are rising 30% the first day

let's head to the markets desk, with julie hyman. how is oil doing? today. not just energy, a lot of the metals have been seeing pain today. ons not exactly a huge risk or risk off environment today. but crude oil prices are down more than 1% today. we did see a boost on friday as coming out ofted turkey and there was speculation that supplies might be disrupted . indeed, that did not wind up being the case. that's one of the reasons it's being described to the decline in oil prices today. closer to $45 per barrel, bouncing up a little bit from the lows, nonetheless still taking a hit. prices, theyline are lower by more than 2%. seem to bee doesn't a lot of fundamental news driving at lower, but we are seeing a general slump commodities today. we have been watching gold prices, with gold pulling back as well. looks like it is just now seeing a bit of a bounce year. up 1/10you can call it of 1%. we had a decline in speculative, bullish bets. take a look at the bloomberg. this looks at the cftc data on hedge funds and others regulators and the long that

julie hyman is checking on some company movers. tarting with harley davidson, seeing a downgrade. the company has limited upside potential because of the ongoing fundamental challenges to the business, notably weaker second-quarter u.s. retail motorcycles ales, competition from india at this weather conditions in may. analysts questioning the economic feasibility of a rumored takeout. her has been speculation surrounding the company because of valuations being talked about. harley shares down 8/10 of 1%. we are watching a potential deal that could be happening here. walgreens agreed to take over rite aid for 9.4 billion dollars. there have been questions about whether it would get regulatory approval. today "the new york post" reporting there might be some -- on this front. rite aid shares moving higher by nearly or percent as walgreens --4% as walgreens falls back. a settlement with the ftc, about $200 million as part of that settlement treated also will make some changes to the business, how various customers and so-called members

julie hyman is here with the bank of america earnings call. the nasdaq and nejra cehic is in london. julie, i want to start with you. we saw a beat in terms of earnings and revenue but profit is still down? julie: to summarize what we heard from bank of america -- we saw a drop of 21% on the net income level. expenses are down as well. that is something the company has been concentrating on. trying to cut as much fat as possible. a similar trend to what we have seen with other banks in the fixed income trading. performing better than anticipated. we hearall current the from the chief financial officer at one of the things they are talking about is that the company will continue to cut expenses. that will perhaps continue a disruption in headcount. the bank may add consumer facing, client facing staff while cutting folks who are not directly client facing. are also talking about the company's net interest income, of being able to remain relatively stable if rates remain relatively stable where they are right now. he also laid out a scenario for

julie hyman is here in new york. abigail doolittle is at the nasdaq. rnings. we are talking about the pace of earning season accelerating. aftern & johnson up 2% they beat estimates and raise the full-year forecast. that is largely on the strength of the pharmaceutical business. but the sales fell arthritis drug was the source of a want of strength. shares are up 2%. we also have the latest on the dance between monsanto and b eyer. this morning back and said the offer was financially inadequate that expressing -- inadequate but expressing willingness to work with the two companies. trading in germany, we have seen a little bit of a declined by more than 1%. goldman sachs up with numbers this morning. that companies numbers beating estimates. bond trading beating estimates, just as it had with other banks. has fallen.ng and that may be the source of the decline. at 9:30 for that begins so we will get more details at that point. abigail: yahoo! may have just reported the last quarter as a publicly traded company. it was a disappointing second-quarter. rev

julie: i'm julie hyman in washington. want to take a quick look at the s&p 500 as we have been watching the potential for a record close. 213082.ious record it across that and came back down slightly. there is still a ways to go. ,t is the classical cyclically-led rally today. the look at some of the biggest business stories in the news right now. a majority of economists say the bank of england may cut rates next week for the first time since 2009 to stabilize the economy weakened by the vote to leave the european union. 2953 surveyed by bloomberg predict the benchmark -- 29 of 53 surveyed by bloomberg predict the benchmark will be lowered. vonnie: harley-davidson riders say their brakes failed without warning. the national transportation safety agency says it received and three crashes. harley davidson says it is cooperating with the investigation. increasing cities with data limits. now 23% of customers have limits on how much data they can use before being hit with extra charges. the company says those users can still

. ♪ the: we are halfway into trading day, let's head to the markets desk where julie hyman has the latestjulie: a mixed picture after opening lower but stocks recovered to some degree after the selling we saw yesterday, just in the past few moments, all going green, even just last time i checked my bloomberg, the doubt was lower. all switches -- the doubt was lower. was lower. will the fed discussed the u.k. boat and should -- the u.k. boat and it should be interesting. what is gaining and losing, the losing front, and what volume is showing, the 10 groups of the s&p 500 worse is the 20 day average, overall volume up 5%, a surge in volume within the telecom. if you look at the telecom stocks, among the laggards, today is the deadline for bids for jan who and the final -- four yahoo! airlines falling today, credit suisse downgraded a couple of an analystmerican, says it is likely that third-quarter unit revenue growth will be disappointing, she says there is risk of further currency headwinds and lower trans atlantic yields because of the brexit vote. 4% andn trading lower by southwest get

it is time for options inside with julie hyman. julie: thank you.ning me is investment advisor at equity armor investments joining me from the cme in chicago. a notable day -- the vix down for six straight days, approaching a two-year low. we have been talking about how during earnings seasons you tend to see a downtick in volatility, but this one feels extraordinary. what is going on? joe: this is certainly what you see in earnings season. after the ardent season starts to wear off, the volatility for the market will subside. a -- tly, to ca -- two c isee vix below 12, that telling me the market is expecting a slower summer. a lot of traders like to take august off. i think people are looking at august and saying it is a slow time. volatility might pick up until we get to september and labor day. what are you seeing on an individual basis -- a drop-off in volume on individual stocks also, war party much only on the big -- or pretty much only on the bigger level? joe: i am focused on the volatility in the market as a whole. that is typical of the tr

julie hyman is joining us from the labor department live in washington. ou the details of the report once again. theputted 87,000 with addition of jobs in dan. jobs was the addition of jobs in june. that was higher than estimated. increasedoyment rate from 4.9%. 4.7% to 4.9%. even though we are talking about this is a largely positive report, it was not across the board positive. we had an increase of average hourly earnings month over month 0.1%, 0.2% is what economists estimating. the increase in wages was not materializing. we are increasing the pace of wage growth, not materializing. and there is the conundrum of may and why it was so weak. -- revisedprovides to 11,000. it had been 38,000, which was a disappointing number. it cannot be explained away by the verizon worker strike. private payrolls contracted, fell by 6000 in may. that was the first since february 2010. if you three-month average pace of 147,000, a slowdown of the prior 12 months, but not as poor as some folks had been fearing for june. alix: julie hyman joining us from washington. acute

i am julie hyman. vonnie: i am vonnie quinn.ime for the bloomberg business flash, a look at the biggest stories in the news right now. american airlines will be the first u.s. carrier to offer a premium economy cabin with more legroom. delta plans for a similar product. u.s. carriers are trying to catch up to foreigners, who already offer enhanced service. julie: boeing says it is testing new nonstick aircraft coaching, paint designed to make ice slide harmlessly off a plane's wing. dangerous buildup can make plains hard to control -- planes hard to control. mcdonald's has selected bidders in china for what could be a $2 billion deal. according to people familiar with the matter, mcdonald's is selling twenty-year franchise rights in china and hong kong. most mcdonald's restaurants in china are company-owned, and the chain eventually wants almost all restaurants there to be under local ownership. that is your bloomberg business flash update. julie: media heavyweight john malone has been piling up acquisitions of late. last week,

scarlet: julie hyman has been tracking the moves with stocks holding near record highs. the ecb did exactly what everyone expected. wait and see. julie: still watching various earnings reports. stocks have taken a bit of a turn for the worse after rising to records again yesterday. the dow having an extraordinary winning streak now. we are seeing a pullback for the three major averages. earlier in the session, we saw stocks unchanged. it took a pretty sharp leg downward, not that long ago about 20 minutes ago. now, near the lows of the session. on the earnings front, on the one hand, we have pretty significant earnings wins. qualcomm beating estimates here seeing increasing demand from china. if i billion dollar buyback and ebay raising its forecast for the full year. that's a $5 billion buyback. intel pulling back after that companies that company plus earnings had been falling. -- intel pulling back after that company's earnings have been falling. union pacific suffering as the company talks about a weakening outlook for demand for shipping things around the country, pa

first, we head to the markets desk were julie hyman has the latest. doing much in the way of market direction. julie: investors seem more focused on these individual companies that are reporting these numbers than on the big picture. a lot of economic data, we did not see a lot of movement. we are more red than we were an hour ago with the doubt now down about 65 points or so, the nasdaq has now slipped into the nonetheless, still not a lot of change for the s&p and the nasdaq. one of the things that investors have been looking at this earnings season are valuations. take a look at the bloomberg here. s&p 500 has now gotten up around 20. these are the standard deviation bands in that price-to-earnings ratio, so it is one standard deviation among the mean -- above the mean, the average we have seen, going back about 10 years. it is unusually high versus what we have seen historically and relatively short-term history, the highest since 2010 right now. that is something in the background as investors are waiting what to do with stocks. we are seeing tech

julie hyman has the big reveal on the mystery stock. our pick is having a tough day while toying with new products and they are transforming themselves after frozen profits could take another year. transformers, frozen, you want to do the honors? , i got a lot of guesses but mike smith was the first person to e-mail and said the ponds gave it away. that's the point. -- of the puns gave it away. julie: it is indeed hasbro which came out with earnings that beat boy earningst the are taking a beating. matt: because boys don't like frozen? --ie: it's the civic boy it's the specific boy category for those who like their toys gendered. they are in between transformers movies so that's why there is a gap in the transformer toy profits. year to date, the stock is done well. is becauseallusion they took over the frozen franchise from mattel and is benefiting from that. the girl profits are still doing well. if you look at today's session and the drop in the stock, you can see it's substantially down, 7.5%. the sales growth in the second quarter,