loomberg best i'm julie hyman.e minister theresa may tries to negotiate brexit, it has been slow going. the economic path forward is none too clear. spokeish prime minister with bloomberg about the process. >> do you get the sense that the eu is pleased with the progress it has seen so far? >> no. be right to say on behalf of the european government we are not satisfied with the progress so far, . however, we will continue the talks. we will allow those talks to continue. we hope more progress can be made. the progress has not been sufficient. irish citizens will be able to access each other's countries. an area i feel very strongly thet is the trade border on island of ireland. >> let's say that the u.k. does not get the kind of trade deal it wants with the eu. >> where we are confused and puzzled is very much the premise of your question. what trade agreement does the united kingdom want? at the moment, they have the best trade deal possible, which is the customs union and access to the single european market. wh

i'm julie hyman. julia: and i'm julie chatterley. tillerson speaking at the state department on the president's plan for afghanistan. he says pakistan can play a key pakistan -- in getting afghanistan to the table. that he's hopeful there can be dialogue over the nuclear program. time for the bloomberg business flash and a look at some of the biggest stories in the news right now. the chevron chief executive officer is said to these that thing down after seven years. the transition is expected to be announced next month. is a candidatean for the role. a global market downturn is morgan stanleyd have cited trading pattern shifts. merrill lynch have cited a lack of reaction to earnings outperformance. citibank is still projecting a late cycle peak before a bear market begins. the women's health unit says possible u.s. buyers are considering a portfolio that could bring in up to $2 billion. the israeli drugmaker is looking to offload the unit to reduce that. that's your business flash of eight. julie: what if another quant crisis came t

julie: welcome, i am julie hyman. this is "bloomberg best."our most important analysis from bloomberg television around the world. start with the day by day look at the top headlines. the week began with a major deal involving imperative european energy companies. another sign that m&a activity in the energy sector is picking up today. oil how agreeing to buy the and gas unit, the price a little over $1.9 billion in cost. told took how was the right suitor for their company. options like very ipo and other possibilities from selling -- to selling business -- our business and it came down to the offer from total being the most attractive value point of view and also the commitment to how is making to develop -- total is making. >> during a conference call with reporters, the fact he was actually acquiring very good operational expertise and this is something you just don't get like that unless you buy it, and this is what he is doing. both interested in iran and africa. it looks like a very good deal in that respect for total. >> president trum

i'm julie hyman.s is "bloomberg best." your weekly review of important analysis from bloomberg television around the world. let's start with a day by day look at the top headlines. the week began with the major deal involving a pair of european energy companies. >> another sign that m&a activity in the energy sector is picking up today. france total agreeing to buy oil and gas unit. the price a little over $1.9 billion in cost. the chief executive told bloomberg surveillance that total was the right suitor for the company. >> we looked at the various options, everything from ipo and also possibilities for selling the business to other parties, and came to the conclusion that the offer from total was the most attractive both from a value point of view, and also the commitment that total is making to develop the business in denmark and elsewhere. >> during a conference call with reporters, emphasize that he was actually acquiring very good operational expertise, and this is something you just don't get

i am julie hyman.s is "bloomberg best," your weekly review of business intervie, and important analysis from bloomberg television around the world. let's start the day by looking at the top headlines. the week began with a major deal involving imperative european energy companies. >> another sign that m&a activity in the energy sector is picking up today. a france company agreed to buy the gas ands an oil units, the e a little over $1.9 billion in cost. we were told they were the right suitor for their company. >> we look at very options like ipo and other possibilities from -- to selling the business from other parties and it came down to the offer from total being the most attractive value point of view and also the commitment to how they are making to develop the business. >> during a conference call with reporters, the fact he was actually acquiring very good operational expertise and this is something you just don't get like that unless you buy it, and this is what he is doing. they were both inte

i am julie hyman. >> i am scarlet fu.creator of "grey's anatomy" and "scandal" has signed an exclusive deal with netflix. this after disney's announcement they would pull their content from netflix. thank you for being here to break this down. what does this do you entail? abc gets to keep some stuff here to gets what and where is the content going? >> all of the shows that shonda has on the air that people like staying on abc and are not going anywhere. shonda will continue to work on them. i don't know what her day-to-day involvement will be. all of the new shows that she develops will go to netflix, or the very least netflix gets the first crack at them. she will have some shows that continue on abc for however long, but the next big hit, if she has one, will be on the world's biggest dreaming service. >> there are shows in the pipeline she has for abc. you'll be working on some new shows that will appear on abc while coming up with new ideas for netflix. do we have any sense of the timing on when her shows will appear

it is time for options insight with julie hyman. w is steve hoss -- steve sosnick. we have been talking about low volatility -- and how seasonally relativity tends to pick up in august, and going into september. you are looking at volatility in the qqq's in particular. we have a chart showing historical versus implied volatility, because this is something you pointed out to us here at i wanted to bring it up and have you talk us through it. to us. have it -- i wanted to point it out and have you walk us through it. here we have it. the historical is in yellow. steve sosnick: that is right. the historical is in yellow. the price that the stocks have been trading at. the best guess at future volatility going forward. the yellow being the past, and of course, there is a third component, which is realized, whether the trade was enough, and that, of course, we can't know now. if you are buying options with a or a at a 12 implied vol 13 versus a seven historical, you are basically saying you think things will get more volatile and if a sho

julie hyman is here with the details. esterday was this deal that they signed with alibaba to have their services and hotels advertise on alibaba's travel site. they came out with earnings after the close of trading and the companies raised its earnings per share forecast for the full year. their earnings last quarter beat estimates. however, the forecast for even da andd rough par -- ebit revenue per available room missed. look at the bloomberg intelligence tool at the revpar.ional gamin in that is the white line. here in north america is the orange line. it is rising, but rising at a lower rate. the company said this year that the north american will rise 2%. it was a one-3% gain that it had been forecasting. analyst have its best concerned about travel in the u.s. and globally. that is one of the reasons that perhaps there is some caution surrounding the company. vonnie: how do currencies factor in and also things like airplane fares? war, there no fare is less likely to be a higher revpar. julie: they make their foreca

let's check on the market from julie hyman. julie: definitely.downward yesterday based on the comments the president made regarding north korea. consider the backdrop. earnings weaker than estimated. we have an increasing drumbeat of investors urging caution. at the downturn we have seen, you have to consider the context as well. if you look at different risk -- appetite -- risk temperature. something happened to my terminal. they risk off is what we are seeing. this is a proxy for the risk appetite. fix up a whopping 24%, the biggest two-day gain we have seen in a month. and a 12, it has been lingering around the 10 level. a little bit of an increase in volatility here. we are seeing buying in the treasury market as well as the japanese yen. we also have the earnings i , disney among them. a drag as well as priceline, those stocks down sharply following the earnings report. a big shift to screening, it will take off to netflix by 2019. apple continues its run and the stock has been trading at a record. those shares up by better than 2%. scarlet:

vonnie: julie hyman is here. e: there are some issues that are specific to underarm and some broader industry trends. when he talks about taking this opportunity, they are doing some restructuring and cutting some jobs. they are reorganizing into different categories. they are cutting the revenue nine to 11%. remember, they have been pressing aggressively into footwear, trying to compete with nike and the other large companies. some of that effort has not done successful. if you take a look at the bloomberg, i have a look at what has happened with sales. we are looking at apparel here. the light blinded see a bounce during the order. footwear sales were down 2%. of that's a problem for under armour. it's footwear sales last year were about $1 billion. compare that to nike with $21 billion in under armour is an growing quickly until this year. part of this is the design of the shoe. they have some celebrity backing with steph curry. they have to make issue people want to buy. of that has been an issue for the compa

julie: i'm julie hyman.e has been called the tweeter in chief, but what kind of financial impact is president trump having on twitter, the company? i went to guests has clinched the numbers and looked at the tangible and intangible effect. joining us now is james. he has a neutral rating on the stock. thanks for coming in to talk to us about this because it has been talked about so much because he is such a prolific tweeter obviously,, and gets a lot of attention for those tweets. you have been quoted as saying this is perhaps a $2 billion fact on the company. break it down for us. how exactly is that translated? james: let me give you the good news first on twitter's behalf. basically the way i see it is the engaged user base is there to stay. i do not foresee a material change in that figure as well as the monetization prospect of that. the revenue baseline can hold status quo with changes in political relevancy of the service. but if there is a change in the political relevancy, it can impact market value

i'm julie hyman. arlet: i'm scarlet fu. .ulie: september is in play the inflation debate is deepening. many saw the chances that inflation may stay below that level for longer than anticipated. some officials see the scope for patients.e joining us now is bob miller, head of black rugs multisector fixed income team. multisector fixed income team. as chris khan and was just telling us the fed is doing some about the way it measures inflation. certainly the way it has tried to forecast inflation. what do you think of the inflation picture right now? are we not measuring it in the proper way tha? >> our point of view on inflation is the relevant thing for fixed income investors is that there are a number of positive supply shock go not in the u.s. economy and it's creating headwinds to portions of the inflation index whether it's the pc or cpi which was released on friday and these aren't likely to change anytime soon. as bill dudley said last week in a speech these aren't a bad thing. positive supply sho

trading day julie hyman. i julie hyman is here. julie: there is the tough talk on north korea as you mentioned. we saw stocks take a little bit of a leg lower yesterday when president trump's comments first came out yesterday about fire and fury with regard to north korea. we have not seen stocks move very much in the past on political talk, but this takes it to the next level when there is a specter of nuclear confrontation. stocks are down, but not by that much.down for the dow. a quarter of a percent or the s&p. the reactions relatively muted. take a look at the bloomberg here. we were looking at the average percentage move in the s&p 500. this goes all the way back to the 30's. you look at august average daily change, it is only about 2/10 of 1%, about 1/5 of a percent, which would be the smallest change going back to august 1965. when we talk about the low volatility and small moves, this is despite some of the political rhetoric. we will see if that changes if indeed we see the rhetoric heating up. by the way, the s&p 500 dro

from new york, this is bloomberg. ♪ this is bloomberg markets, i'm julie hyman.seeing stocks take a little bit of a leg off of their tohs here as we had closer the weekend. people are not wanting to be long or not as many people want to belong. we are looking at the three major averages here. we have them all trading lower half of their highs of the session. they're kind of close to where we opened up this morning, but nonetheless some of the jitters over the past two days still present for equity traders. indexes are three still higher, but it is also friday afternoon. declinek bucking that is crocs, seeing the biggest move in three months after the company reported higher profit than estimated. growthemakers full-scale -- wholesale growth makes up for the slump in brick-and-mortar stores. do you on crocs? >> i do not. either they are popular, but you know what, they are right. there part of the death of retail story that we are reviewing three they are going back to basics, that core business, getting out of the cheaper versions and looking at higher, more prof

let us get a check on the markets with julie hyman. dow and the s&p are both that records on a closing basis. .he dow got their intraday nasdaq is not trading at a record. it is worth mentioning volume today. it is august. is 22%on the s&p 500 below, typical at this time of year. shares, we have consumer doing well. technology shares also outperforming today. energy is the real drag, as we have oil prices lower. we have been watching this chart pretty regularly over the past one that we have been seeing -- the past run we have been seeing in the dow. we are reversing a trend that we've seen for much of the year. that trend is itself being reversed as today is the nasdaq outperforms. we will see if they will outperform the big tech stocks that have been outperforming all year. have these big tech stocks. apple is up. we have the report saying the company is looking to disengage it smart watch further from the iphone to allow the watche to operate without the phone. we have some burning reports. i mentioned what is going on with consumers

it is time now for our etf smart beta segment, julie hyman. areas,of the more exotic volatility hedge etf. prison to howm -- volatilityweek hedge to etf, how exactly do they work? >> we know there is a huge fascination and last thursday, fixed futures were up 14% which is above and the on what it was. for example, shares down 90% in s&p 500 stocks, 4% index futures -- six - vix futures. here andget specific drill down. >> they all did ok. they lost about half as much as the 1.4% in the market. that for 5% goes a long way. if you look, all of them do a different variety of this. the ish -- tr is the velocity sharessk product. that will also help you get more upside so all of these are trying their best to get as much upside while minimizing that downside. you can see that all work and his planned last thursday. >> you have these volatility etf's and then you have low volatility. what is the difference between them and how does the performance compare to each other? >> they are simply stocks that have less volatility. if you look on thursday, th

that means julie hyman. we have yet another hedge fund manager ripping passive investing this week. he says it is devouring capitalism. singer made these comments in an investor letter. criticism is that with passive investing, you don't have as much power with the company to try to effect change. he has been an activist in many cases. what do you say about this argument? >> first, let's drop some data and put this in context. , they are the top three owners of 95% of the s&p 500 stocks. that is where his point is valid. get used to those your stocks.ing vanguard and blackrock are 13% owners. mutual funds are a minority owner of the stock market. there are still plenty of people buying and selling stocks based on what the ceo is doing, based on the fundamentals. vonnie: even though they are --julie: even though they are passive investors, do they ever sign-on for changes or do they just told back? >> they have groups called corporate governance groups. i did a whole study on this. they vote with activists so

that means julie hyman. selloff yesterday was a reminder that stocks can go down and the fed hike is a reminder that rate go up, although they have not been. there is a group of etfs benefiting. so, the types of funds you are talking about our money market on the one side and ultrashort debt etfs on the other. let's start with outflows from money market funds. what is going on and why the appealing? and why have they become less appealing? >> we have seen $1 billion out of money market funds. you see money coming out of government funds mostly. i called around. i don't cover money market funds too often. people are stepping out because when you talk about rates, yes, the further part of the curve has not gone up, but the shorter ones have. they have gone from yielding nothing to. 50 basis points -- yielding nothing to 50 basis points. , almostl yield you 1.3% as much as the 10 year. there are a lot of yields to be gotten. and for people worried about the stock market, these ultra short debt etfs provide a sa

that means julie hyman. e: thank you.hopes of been revised for the first bitcoin etf after the fcc denied the previous application for the etf back in march. here to discuss the new developments and some of the new entrants in the race is eric balchunas of bloomberg intelligence joining us from home today. let's start with the news. three new bitcoin etf seven file for approval in the past two weeks even though we had the fcc denial in march. what is different about them that they think they can get approval? eric: oneweb, futures. the cboe announced about a month ago that it would begin lifting futures to be traded and they were approved to be regulated. this is big news because the futures market is related and more people are using them. track future so if you had three different filings in the past two weeks for bitcoin etf to track futures, this is different than the other ones, which said they will hold bitcoin sort of like geo beholds gold, so they think they might be a little more accepting. the compa

julie: i'm julie hyman. e: scarlet and julia are both off today and we are half an hour from the close of trading. lisa: oil rises. hat'dthe question is, "w you miss?" julie: the controversial aid president trump will leave his job as of today. and with more of the original cabinet members out of the of a law office, is the administration ready to get back on track for economic reform? mario draghi and janet yellen will be the headline is at the weeks jackson hole economic and symposium.- economic what'd you miss? steve bannon was ousted from the white house. heat was on shaky ground for weeks. news outlets reporting that he will return to breitbart. bannon plans to go thermonuclear against globalists. let's go to kevin cirilli in washington. marco rubio's presidential campaign, he joins us on the phone. on theto start with you issue of going thermonuclear. kevin: it is likely steve bannon will be returning to breitbart and he will also have other roles. in the business community advising or consulting, he wi

julie hyman will be back with more later on. lloyd blankfein talking about the climate facing small businesses at a graduation ceremony for about 60 business owners who have participated in pilot sessions of the program. 10,000 small businesses. with are all wrestling regulation, anxiety. whether an investment will come back over time. what the economic climate is going to be. the risk that you take. limitation of resources. do you have the bandwidth. do you have an of people to help you manage enterprises. what are the consequence is of it not working out. the only problem is for a small business person all of that is magnified. maybe you and your immediate family and three employees or 10 employees. the consequences are much more dramatic. us withix steel joins more on that from baltimore. >> i'm here with one of the graduates from the program. ceo, one of the 60 graduates here today. congratulations on graduating the program. when did you start the company? >> we started the company about eight years ago when our kids were ve

ic in london.h vonnie: i am vonnie quinn. .ow to julie hyman julie: there is one asset bucking that trendg us is eric balchunas. you have research published today and then we are talking in bonds these days, we are frequently talking about jeff gundlach in the headline is that gundlach and co out last equity peers for a reason. what are you talking about? eric: gundlach and gross are managers we all know. you can hardly name and equity rockstar anymore and they are dying breed. the reason is that active fixed income is bucking the trend in terms of outperforming the benchmark. it's all about performance. when you look at the s&p index versus active report, when we looked at our data, we found the same thing. you look at credits, corporate high-yield in investment grade, bond managers are killing it. they are generally outperforming the index. 75% of them will outperform the benchmark compared to equity. you're looking at 25% over five years. part of the reason is that debt managers just have more levers to pull. they can take credit risk. they can take duration risk. they can buy bonds th

we heard a brief summary of this from julie hyman a moment ago. up to speed on what's going on here. oliver: this could potentially be a pretty big deal. this is bloomberg reporting on friday that it's moving the market this morning. this is a deal that could be potentially very large, one of the biggest in the industry. the last big one we saw was warned buffett's berkshire hathaway around $37 billion. this is $95 billion united technologies and another 21 billion. we are crossing the $100 billion mark when you combine the two. it looks like it could be upwards of $140 a share, a pretty big boost from where we are for rockwell collins, which is at a pretty good year so far. david: are there deal words in the situation like this? how rockwell looks against its peers? oliver: rockwell does look pretty good. it's one of the best functions on the bloomberg, relative value correlation. this is a great way to compare the peers. this is profit margin versus sales growth, looking pretty good for sales growth. the blue circle right here is rockwell collin

julie hyman explains. a little back on, what exactly is brighthouse? ler of annuities. and the market cap about seven and a half billion dollars, $7.5 billion, and they have $20 billion in assets, the investment portfolio is nearly $80 billion. it is a sizable chunk. the new ceo of the company says in a recent interview, he is focused on the safety of the portfolio, other annuity providers talk about the types of these portfolios and he has really talked about keeping it stable. john rosenthal, a longtime money manager from metlife, will be running the portfolio. and metlife is still 20% involved. that is the profile of the newly separated company. mark: why is it doing so poorly? julie: a couple of reasons why from analysts. we have most of them talking about how there is perhaps not that strong of a demand for the annuities market right now, one analyst saying the spinoff is not happening at the greatest time, when annuities are facing minimal demand and there is regulatory change. wells fargo says there is upside if the markets and interest rights ri

julie hyman is with us. picking up pace. lie: yes, we have been seeing that ever since the open as you pointed out at 10 a clock a.m. we kee-- 10:00 a.m. the s&p down. third straight day of selling for the national averages. third straight day we have seen an increase in volatility. will he get a 1% decline in the s&p 500 after a long drought of the big moves? we could. hear arhere is a look at the moves. we are approaching that level once again. we will be monitoring it as we have had so many different investors call for an uptick in volatility. it finally appears to be happening, but it remains to be seen whether it will be short-lived or keep going. one of the most volatile groups is helping lead the downward spiral we are seeing today. the philadelphia semiconductor index. chips are down 2.2% collective ly. wehecked out bitcoin because have seen correspondence between bitcoin and some of the chipmakers this year, but bitcoin is trading higher this year. there is news toshiba is running into some roadblocks for it; to unit

scarlet: time for options insight with julie hyman. s kevin kelly, managing partner at kelly and company. we have been talking going into this about the low volatility. i feel like a broken record. mr. kelly: we all do. julie: you are looking at the nasdaq 100 today. mr. kelly: most of the gains have been led by technology this year. if you look at the correlation between technology and the overall market, you have a 90% correlation. the way tech goes is the way the market is going to go. about august,ried september, october. heightened times of volatility. the tech companies, when you look at the nasdaq 100, they have reported already. the volatility is that 14 compared to 10.3. what is that telling you? one month out, people expect volatility to come back. what you want to do is play the index options. going to india next. -- go into ndx. you want to do the 58 25 put. in order to finance that, you want to sell the 5400. and it will only cost you about one point 4% as opposed to buying the puts themselves which is 2%. market.s led this

julie hyman has breaking news on dish. julie: apparently it is the target of perhaps softbank.ording to the japanese new service, softbank "is apparently exploring the possibility a merger between sprint and dish." it does quote an unidentified softbank executive as saying letting go of sprint is not an option. this consolidation pushes an offensive measure. this chair spiking on this. -- the shares spiking on this. this follows news on the heels of yesterday that the chairman of softbank might be interested in targeting charter communications. this has been the target of speculations in the past. shares are higher today on the backs of earnings. sprint shares rising 10.5%. the company posting an unexpected profit, although it did lose subscribers unexpectedly. a lot of moving parts going on in the story here today as those dish share spikes. i mentioned charter communications as well because this might be the on man out. it is unclear whether john malone was interested in a deal. you can see them taking a little bit of a leg further down on these headline profits. david: break

julie hyman building on the record high? julie: only for the dow.ivergence between the dow and the other major es

let's get a check on markets with julie hyman. we might have to wait a little bit longer. we have seen the dow pretty steady. we haven't seen any big lengths up or down for that matter, so it doesn't look like we are necessarily going to get to 22,000 today, a level that is not fundamentally important, but some researchers watch and is seen as psychologically important, but it is trading at a record. the s&p and nasdaq are trending higher today. we are watching what is going on in the rates market. here we are seeing the dollar bouncing back after some weakness lately. at the same time, we are seeing rates lower, did 10-year yield down by four basis points. this turned around after we saw the auto sales data. htat bought briar -- broug buyers into the treasury market. take a look at the bloomberg. this is something that the folks over at the nliv blog pointed out earlier today. you can see the links between stocks and bonds weakening. you are seeing it at its lowest in about a decade here. this could be a sign that those lower yie

you.e: julie hyman, thank tomorrow is the jobs report.e get a snapshot of the first full six months of president trump's presidency. foreshadow 180,000 jobs last month. marked joins us from west chester, pennsylvania. thank you for joining us. president trump is keen on taking credit for the amount of jobs in a stock market high. how much in how exactly have the president impact the economic data we will see tomorrow? mark: he is not. job growth since he has been president has been averaging just under 200,000 per month. precisely, jobe, growth we have been experiencing for now perhaps the last eight years almost. g-v growth for the first half of this year was 2%. precisely the rate of growth we have been experiencing since the economic recovery began now over eight years ago. he has not done anything on economic policy, so he cannot think credit for the economy's performance. the economy is going well, but it was performing well before the election. vonnie: looking ahead to the second half of the year and the potential for some tax refor

julie hyman is here with the latest. lie: all three averages higher, although off the highs of the session. the dow and s&p 500 still had records. the nasdaq gaining the most of the three major averages. -watching the vix because jeff gundlach talked earlier today about having concerns about the sustainability of the rally. he highlighted the vix in particular, saying it could go from 20 to 10 now. it is not a bear call on the s&p 500 some much as able call on the vix. we saw the vix take a leg up at that time and that is one stocks started to come down from the high. the vix is still very suppressed historical standards. it is only barely above 10. it was below 10 earlier in the session. it does tend to perk up seasonally around the later part of august. it is interesting that we saw that movement on his comments in what is admittedly a thinly traded market as well. we are also watching what is going on with rates today. as we saw earlier, numbers on the jobs market -- the job earnings jolt status come in at the highest

julie vang and i'm julie hyman -- julie: and i'm julie hyman. welcome to bloomberg markets.are alive and bloomberg world headquarters in new york over the next hour. here are the top stories we're covering on the bloomberg and around the world. stever personnel shakeup, shannon is out as the white house chief strategist. the white house says he and chief of staff john kelly mutually decided today would be his last day. phils are gaining on latest revolving door at the white house and we are seeing bouncing around between gains and losses. fanon's exit seemingly good news after hetors called for an economic war with china. and shares a foot locker plunging. we begin in washington.

julie: julie hyman, thank you for that. for more on the dow, topping 22000 and whether president donald trump can take some credit for that, i want to bring in bloomberg stocks reporter oliver renick. the president just now when he was unveiling the new immigration legislation along with a couple of senators abovened -- said it went 32,000 and it would go higher -- 2200 and would go higher. oliver: here's the thing that if i wish i were trump's advisor, i would advise him, timing your success of this document is a risky endeavor. if you play with fire, you might get burned by fire. there is so much that goes into what happens in the equity market and why. of journalists like myself to figure out every day and investors to figure out. i think the thing that trump runs into trouble with, with the stock market high is because it could flip on a dime. it could also go higher. vonnie: anything could happen, but some of the trade has been the hope of the fewer regulation, hope of tax reform which means tax cuts with this administ

time for "options inside" with julie hyman.talking about this so much, kevin, whether it is dick's sporting goods, home depot, advance auto we are seeing a big downturn. what kind of options activity are you seeing some running of the selling in the stocks? afternoon, wethe saw nine times the amount of puts in xly, the consumer discretionary you also love home depot around 7%. you have comcast in there. these are great brand names that have managed themselves very well and have been leading in their respective spaces, but the market is nervous and, since disney is in there. disney will go hand-to-hand combat against netflix. you can see that most of the time, it impresses after earnings. now we are seeing it is still elevated compared to the overall market. just under 15 for the consumer discretionary space. normally it collapses, because managements have already given guidance. julie: that is the normal thing could one of the unusual things that happened today was home depot, which is in xly. earnings look good. beat.gs beat,

usst, julie hyman is with halfway into the trading day and we are seeing some green on the screen. julie: enough green on the screen to push the dow to another record here, even if the s&p and nasdaq are still lagging , it's gains lagging its ability to make a new record. we continue to have earning season, really in the thick of it even though we are half past the midway mark, or past the midway mark when it comes to the s&p 500 earnings, but we are seeing some areas of weakness today that is worth pointing out. take a look at the bloomberg, besides the area of weakness vonnie mentioned in terms of auto sales pretty if you look at the makeup of the s&p 500, we have strength in financials and that is as we continue to see financial conditions ease here. that has been helping the financials. telecom stocks continuing to be strong, strong results from sprint. on the weaker side of the equation, industrial blower on some earnings weakness. energy blower along with health care prices and oil showing weakness as well. pricesake a look at oil today, seeing a pretty sizable pullback of mor

julie hyman.est from washington and the fallout from the violence in virginia involving white supremacist groups that president trump has been criticized for not explicitly and personally condemning. has prompted ken frazier to resign from the president manufacturing council. fraser said this morning quote america's leaders must honor our fundamental values by clearly rejecting expressions of hatred, bigotry, and groups of privacy. shanker in in marty washington. there are still 18 or so members of this manufacturing council, and clearly, ken frazier was one of maybe three ceos of color on that counsel. that's not lost on the president here. whatesn't seem to matter business leaders come out and say something, there aren't other business leaders following suit. no.y: there have been a few that stated they are not happy with some of president trump's policies on climate change, immigration, but there's a split in the corporate ranks on whether or not it makes sense to withdraw completely from the c

let's head over to julie hyman. julie: thanks. joining me today is kelly.out jeff dunlop, which is the market does - -- everyone has been calling for a fix. >> he is the one that was adamant that trump was going to win, right? he saw what nobody else did. one of the important tells is that jeff is talking about a phenomenon that people are trying to figure out because it feels like we should have more volatility, but the important note to take away is if you look at the skew index, that is where people are hedging themselves. you can see over time since 1990, it averaged 118. last year, we averaged 127. this year, we are averaging 134. that is elevated. that means people portfolios are people's hedged. that is true volatility.is below . -- it is pretty low. let's get your trade of the day because we are getting squeezed a little bit by a lot going on elsewhere. apple is what you are watching. it is trading at a record or at least touched a record earlier in the day. is it something to buy? kevin: people are always worried about putting your money in things

julie: i am julie hyman. welcome to "bloomberg markets."ive in bloomberg world headquarters in new york over the next hour. here other top stories were covering. inflation hanging over jackson hole. the kansas city fed president sees another rate hike in 2000 17. in markets, mortgage bonds are getting a second win as junk bonds lose with investors. pay-tv is getting ready to pack a punch this weekend. the showdown between mayweather and mcgregor may bring in up to $475 million in paper view. per view. we will monitor the briefings in up inadlines as it heats washington. you are looking at sarah huckabee sanders. if you want to watch this, you on continue in full bloomberg at tv . why would you go? you wouldn't. we're just one hour from the close of trading. tell them to stay here and watch the market. you can see slight downturns here in red, not a big eel. we had a mix picture earlier. read on the screen. 0.1yes are on the s&p, down %. consumer staples. later on i will look at walmart and costco. in the last hour, julie broke breaking

julie: i'm julie hyman. >> we are 30 minutes from the close of trading.he stocks are in the red today. >> the question is "what'd you miss?" >> the president threatening to threat down the government over the border wall. could it be a showdown? and walmart will not let amazon bulldoze after the whole foods acquisition, the big-box retailer is partnering with google, which could give it the edge it needs. while the rest of the retail world is adjusting to amazon, one thing you may have not noticed his money is still going into the malls. we will take a closer look. ♪ trumpight my president suggested he would veto any spending bill from the federal government if it did not include money for a wall on the mexican border. this could lead to a government shutdown and could complicate the job of raising the debt ceiling. mitch mcconnell just put out a riglernt saying he is in contact with the president and they are working to prevent a u.s. debt default. now we will bring in the global head of research for deutsche bank securities. great to see you. thank you

julie: i am julie hyman.is is "bloomberg markets: the trump economy." -- david gura "bloomberg markets." bloomberg world headquarters in new york over the next hour. here are the top stories we on the bloomberg and around the world. a trump bump could be on the horizon for banks. the president's proposed world back of regulations could boost their profits by up to 20%. staying on wall street, the sec to the rescue. the top regulator could help ease the headache caused by european rules that crackdown on big research. one money manager is not convinced by the recent rally in u.s. equities. says markets could be at the end of this long bull run. we are one hour from the close of trading. let us get a check on markets with taylor riggs. : not a whole lot of moves within the past couple of hours. down about 3/10 of 1%. the s&p was up 1% yesterday. not a big change overall in the last couple hours. let me talk about earnings during that is the big news of the day. i am focusing on la-z-boy. it is down 20%. $341 mi

julie hyman is here with the latest. julie: the jobs report is being well received by the stock market. we are seeing gains and the dow at a new record. the gains are relatively tepid. even as much as of 1%. also we have seen the stock market rally to a considerable degree. imap. look at the one of the reactions has been -- we have seen a selling of treasuries and yields higher on relatively large. u.s. dollar is significant because we have seen this long downtrend. now let's go inside the bloomberg because it is really the race reaction to the jobs report that has been affecting what is going on in stocks. utility is lower. on the top of the list you have financials as 9/10 of 1%. all the way back to december of 2007. we see those rates turn higher here. banks can she beating most to the gains in the america,rgan, bank of citigroup, and goldman sachs are getting a leg up. we are digesting various earnings report. second-quarter earnings are beating estimates. revenue are up 40%. the company has been cutting costs's, they

julie hyman?ulia, thank you very did not see any further movement on the president's latest comments. the nasdaq holding steady with a decline of 1.5%. the three major averages down at this point or at some point during the day, the most since may 17. we have the third straight day of the selloff that has been going on as well. we have seen money flowed into risk assess. when you got the vix catching the bid, certainly above where we have seen it, at $14.29. gold also, perhaps a surge of comfort for investors today. treasurybuy-in in the and the 10-year as well. finally, the dollar falling. are doingaditionals well in today's session. speaking about what is going on between the 10-year and stocks, as you see, that rotation here, interesting comments from pimco, saying a return from owning stocks as follows of our. far, if youn too look to the risk inflation, which is how they are measuring it, it is down since october 2008. attractive,is not and of course over the last few days, we have seen money

i'm julie hyman. scarlet: i'm scarlet fu. joe: i'm joe weisenthal.e are 30 minutes from the close of trading. >> u.s. stocks recovering. joe: the question is, what did you miss. ? scarlet: top business leaders this band, turning against the president in the wake of the controversy all remarks on charlottesville, virginia. officials split on the timing of future rate hikes and white inflation remains weak. a dive later this hour. and the world biggest retailer, amazon, taking a trip to the debt market and is met with demand of unsecured bonds. ♪ scarlet: "what'd you miss?" president trump dissolving his economic councils today after a rash of ceos resigned in the wake of his response to a white nationalists attack in virginia. julie: we will get the latest from our senior bloomberg reporter and the executive editor for international government and economics. both the joining us from washington. margaret, there were reports that last night after president trump's comments that he was in a good mood, that he felt he had been frank at the conference and

. >> i am julie hyman. welcome to "bloomberg markets." ere are the top stories we are covering on the bloomberg and around the world. president trump assailing the ku klux klan and white nationalists for bigotry and of violence. his remarks come days after the charlottesville violence and .mong backlash from top ceos the president and his administration looking to turn attention to china to step up pressure on the country's abuses of intellectual property rights putting trade relations on the line. and taking a bite out of blue apron. requiring a 2% stake in the meal delivery service. in two hours.lose we check on more withbi

we are 30 minutes into the trading day and julie hyman is here for our thursday trade. lie: we are seeing a bit of a pool -- pullback in the session with sentiment bouncing around the -- bouncing around a bit more. triggered by the selling that we saw last week. one of the measures of sentiment is the put call ratio on the s&p 500. let's take a look at the bloomberg for this, the put call ratio is right here in white. essentially this is the number betsa -- that's -- bearish versus bullish bets. and then i put the s&p 500 on here as well to see if it has any predictive power when you get the bearish bets to this level, peaking pre-election. we did see a bit of a selloff in the s&p 500 following when we saw the prior peak. we did see a little selloff there, they weren't sustained. we will see of this has predictive powers this time around. also, of course, we have theings trickling in in retail industry in particular. we have two big amazon competitors that have reported. walmart coming out with numbers with sales growth being the best in five years. that sparked a lot of

julie hyman is here. lie: the dow hit a new record, but the stock market so to speak did not, at least not if you look at broader measures and more accurate measures of the stock market. the dow is seen by some as flawed. is it -- it is a price weighted average and viewed as a proxy for the old economy although it does include stocks like apple. the s&p and the nasdaq are not rising. they are near records, but they have not obtained records. the dow now at a record for the 31st time this year. the s&p and nasdaq frequently accompanied it, but not in today's session. if you look at the divide, that is what we have been seeing for the year, between the dow and the nasdaq. the dow got a boost after the election and then it started losing steam as the nasdaq started picking up. that has reversed recently. when you see this line go up, it means the dow is gaining on a relative basis. the nasdaq has been lagging. in thisreflected today clip we are seeing within technology stocks. apple is higher after the compan

julie hyman is here halfway into the trading day. >> the nasdaq is getting the most of the temperatureslip of what we have seen over the last week.

usst, julie hyman is with halfway into the trading day and we are seeing some green on the screen. een on the screen to push the dow to another record here, even if