. >>> on the "cbs moneywatch" netflix gets a big boost and a major action by merrill lynch. jill wagner is at the new york stock exchange with that and more. good morning, jill. >> good morning, anne-marie. earning season is in full swing on wall street, bank of america's profits beat expectations. on a whole, though, the markets fell yesterday. the dow lost nearly 6 points, s&p fell 6 points lower. netfha stocks surged with trading by as up as 20%. netflix added over 3.5 million subscribers around the globe and as reported that beat expectations, netflix had a boost in the original programming like the surprise summer hit "stranger things." >>> merrill lynch being the first major brokerage firms to stop announcing tradition based retirement accounts. administrtion in april requires that people put their clients' interests ahead of their honey. clientses will have to pay a fee based on a percentage of their assets. >>> deutsche bank has agreed to pay $30 million in a case. investors say deutsche bank and others rigged silver prices on at silver fix. in 1999. other banks are

he's co head of economic global research at bank of america, merrill lynch. to have you with us.'m want to look at one number with the number, and that was the number of new job seekers who came sort off the bench and into the m that was one of the reasons the unemployme rate went higher, but isn't that really a good sign that people are feeling more optimistic about their job prospects? yeah, i mean, this was a good report. mean, you had two pieces in it i liked. one was th wag increase, we're finally getting out of this 2% rut we've been in for wage growth. and the other one was the participat rate. people coming back, feeling more optimistic abo the job market, an willing to look for a job. so that's a sign we're in the la stage of -- stages of healing in th labor market. >> so does this imply anything to you about the third quarter economic growth numbers? you know, we've had growth that's been 1%, 1.5%. is the third quarter likely to be better? >> yeah, i mean, we had a pretty soft start to the year as companies cut back a lot on their inventories and cut back on production.

we also bank of america merrill lynch. michael, ubs is interesting.t has changed its business model away from invest in banking, which is great, except for when you have a call for fixed income doing well. >> yeah. it certainly benefited them over the past few years. it is trading at a premium ou don't see at many banks, or at least not over the past year. this quarter was one where you wanted to be in the fixed income trading business. certainly they missed out on that, but equities didn't do quite as well as the big arrivals like morgan stanley are goldman, so you didn't quite get the boost that a lot of the banks did. guy: when you look ahead to what happens next, give me a sense of how the business -- what is going on in fixed income right now, and in foreign exchange, what turns into a good q4? >> markets look for trends. there has been a tendency for markets to look between meetings, rather than looking at multiyear, multi-month trends, which is historically been a key drag. once we get some clarity about positive divergence, how fiscal policy f

mark: thank you for joining us, rob wood, bank of america merrill lynch. up, portugalg waiting for a key decision on its debt. we will explain why it is so important and what it means for the entire euro zone. this is bloomberg. ♪ counting you down to the european close. just 15 minutes away. vonnie: it is time now for the latest bloomberg business flash. ubs says record number of currency trades earlier this month during the #flash crash. the peak was 50% higher than previous record volume. in a span of two minutes october 7, the pound plunged more than 6% against the dollar to the lowest level in 31 years. chase is been accused of inflating the value 15% in one example. a study commissioned by plaintiffs security litigation found the bank overstated how much some of it structured notes were worth by failing to account for fees on the securities. a j.p. morgan spokeswoman declined to calm it on the study. jobs, toonal 7500 percent of its workforce being cut as the maker of trains and airplanes accelerates restructuring plan. after taking on billions in de

joining us is michelle meyer from bank merrill lynch.ks pricing in definitively a hike in december? >> i think that is right. the fed has made it clear they inten to fd to further normaliz rates. i think the markets should price in a december hike. what happens between now and then in terms of the economic data and will it hold up so they can continue on their olympian? >> i think it will. they don't need to see particularly robust data. they need to see more of the same, which means something consistent with low 0.2 growth. wage inflation picking up. overall inflation picking up. the next jobs report has to be consistent. they can't see a deterioration in the data that would stop them from hiking. >> in terms of earnings season, they have not seen a determination. >> that's right. they are getting confirmation across the board. asset prices are holding up, antidotal earnings look strong. they have the ability to hike in december. >> what do you expect from the first look at the third quarter gdp today in. >> 2.5% growth. after the trade

that's the first time i merrill lynch. merrill lynch, a breed apart. that was howard cosell. but i remember him from the wide world of sports. >> jimmy: me too. >> on abc. he was doing boxing. i loved it. the first boxing match i saw was muhammad ali versus jerry garvey in 1970. i was 3. i fell in love with the fort. my father's this big boxing fan. i never dreamed in my wildest dreams i would get to call a boxing match, particularly one then again, things tend to happen in a good way for me. after all, i'm here. >> jimmy: yeah, you're the golden child. [ cheers and applause ] >> i'm here, i'm here. >> jimmy: i wish you a lot of luck. that's going to be great. i look forward to seeing it. >> i can't wait, i can't wait. >> jimmy: november 5th, pay per view, pacquiao versus vargas. [ cheers and applause ] stephen a. smith! ?first take? airs weekday mornings on espn2. be right back with music from crx! >> dicky: the "jimmy kimmel live" concert series is brought to you by new crown royal vanilla whisky. >> dicky: the "jimmy kimmel live" concert series is brought to you by new cro

. >> james bardy at bank of america and merrill lynch just joined us. james what did you think when you woke up to the news? you want to take a guess on what's behind the plunge in sterling? >> these things often happen in asian trading hours, all you need is a comment like the one that came out from hollande, then you get some automated trades on the become of it, you get a gap lower. it's not that unusual in fx markets and asian trading. we're getting lots of questions, is this the start of a sterling crisis? does the uk look like an eamericemerg emerging market country? it's not as bad as that, but news has made people think this is a harder brexit, and angela merkel saying yesterday actually that conditions will be very tough for the uk. against the back drop where we are still on a fundamentally strong uk economy, it's running an account current deficit of 6.5% gdp. if you don't have the portfolio flows into the uk to upset that, that puts downward pressure on sterling. >> if you look at the ftse in isolation, we've seen the ftse nearing record hig

first up, merrill lynch, upgrading domino's to a buy, rising the price target as well. >> sitting inosh brown as the food correspondent today. he's out in san diego. >> 175 is the new target. >> from 120. they took it from a hold to a buy. the stock is not making a tremendous move today, but it moved up about $3, pulled back -- >> year to date. >> still like it, yeah. like the stock. like what they're doing. so great call. i would stick with it. >> steve, activision, outperform. >> puts the quality -- sort of stuck at this level here. management did sell half their stock. >> started selling the management kicked out half as i said. i got rid of the rest of it. the best stage is still ahead of the company. it is just gaming is not fully in my view -- it is not fully into the culture. and it is going to keep going and going. i would be a buyer, keep waiting for a fullback. growth next year, double earnings. >> what do you make of honeywell? dave cody with cramer saying he was wrong. >> i think it is a well run company. you got a couple of things that cause the stock to come down. cody

they are still investing in merrill lynch for the capital markets.as been the problem bankamerica, they have not been able to invest in businesses, revenues have been coming down year after year after year era discord or, you actually did see some revenue growth and surprises. that,digging deeper into apposite balances were up by about 6% and mobile revenue up 16%. we have seen that trend. david: it has been a big push for them on the mobile. what about taking shares from wells fargo? with these big banks. they all have their own historical scandals. i think the market share shift out of wells fargo, and there will be some, it will be more amongst the regional banks, like u.s. bancorp. alix: why? >> because they do not have that scandal stigma from 2008 to 2009. these banks will still face some issues as investigations go on. david: as the banks move more into the digital online banking, how much of a cost issue is that? >> when you look at expense structures, there are three things to spend on. compliance is one. cyber security is another. and build

let's talk about the head of the european g-10 bank merrill lynch. have you recovered from the crash? >> it was quite the day. these things are not supposed to happen very often but they keep happening in the market. i think all the investors are scratching their heads. they don't know what to make of this. we still don't know what is causing this behavior. i think at this point it can be choppy. at what point, either the market will stop focusing on the debt in the uk but we don't know what is going to happen at this point. >> you have been writing about phantom liquidity before this crash actually happened. you said phantom liquidity in the essex market fueled complacency. does that tell us that the flash crash could happen again to another currency in low liquidity trading overnight? >> it is definite ly low flak. we are seeing the same volume of effects. you get 60% sharper market moves. i think this could happen to any currency, most likely this was triggered by a hard brexit headline that we have seen the last couple of weeks. but we have seen

bank of america merrill lynch is optimistic about growth. says the economy is growing and just needs more time. he sees consumer spending rising. >> the thing about the u.s. economy and what it is driven by, it is driven by consumers and it is the most consumer-oriented economy in the world, and economy other countries are trying to get to. our consumers and are customer -- and our customer base have spent more than last year. you can find more stories on the bloomberg. i am shery ahn. this is limerick. anna. -- this is bloomberg. anna. anna: mergers and the tobacco industry seem to be something of interest this evening. b.a.t. made the proposal to buy the remaining shares at $66.5 per share. this is buying the rest of reynolds that they do not already own. the total consideration for that is going to be 47 billion dollars. they expect the deal to be -- in the first four years. that theylso saying value reynolds at 56.50 per share. no small the. 57.8% of reynolds its $47 billion. let us check in on the markets with juliette saly. anna, we ar

fantastic insight coming out of think america merrill lynch. 10 fx strategist.reports the king of thailand has died. this is a very important event in thailand. the king is a very important figure in the country. he has rained for 70 years, after the death of his brother in 1946. joining us now is david tweed from hong kong. we have just received this news. what do we know about it? david t: we know, as you were saying, that the thai king is an extremely important person in thailand, absolutely revered by thai people. during the seven decades, he has been an absolute symbol of unity. during that period, there has been a lot of political change in thailand. numerousen 10 coups, for ministers. what we are really looking at is a handover of a succession to the designated successor, the crown prince, 64-year-old crown await further news from the royal palace about exactly what is going to happen there. ofathan: david tweed out hong kong. fantastic to have you with us. thailand's king has died after reign of sevena decades. you can see mourners in bangkok. ♪ >> and g

the news also prompted bank of america and merrill lynch to upgrade the stock to buy from neutral. surged nearly 19% to > biotech company lumina warned of a sales shortfall for the third quarter. the company which focuses on jennetics- research said the results are due to less demand for its sequencing instrument also said fourth quarter res will flat to just slightly higher. shares plunged 24% in after hours. but they finished the regular session up 36 cents to 184.85. >>> if you don't work a traditiona 9:00 to 5:00 job, you' not alone. according to a new study, the number of people making a living as independent workers is growing faster than even originally thought. as dierdre bosa reports from san francisco, it's not just changing the way americans work, but also the way we live. >> reporte grab a car share, post your home for a weekend get-away or hire a freelancer to help you move. rarely a day goes by we don't hear about the shared economy and how it's transforming the way we work an. but up until now, it's been difficult to quantify. mckenzie is out with a report that aims

brad: if we think of merrill lynch, bank of america merrill lynch, good equity player in the united statese united states. the wealth management business provides distribution for them. fixed income good. it was not one of their strengths, but they certainly are a good underwriter. so on the trading side, they never were this giant risk taker, but they have continued on that. loan syndication, one of the great powers. it is more domestic, less international. tom: i love your timeline idea. the old days of the mckinsey five-year plan are -- you have to get it going. absolutely fabulous. brad hintz, thank you so much. we will get some final thoughts here in a moment. bank of america, showing a better quarter as well. let me look at some data here. on a monday. x, 16.85. stay with us. this is bloomberg. ♪ tom: it is a gorgeous new york. oynihan'sn m0o new york. they be bank of america is from boston to i cannot remember right now. anyway, it is a gorgeous view of new york. we do the euro, getting some strength. at sterling in there because i did not know what to do. -- 1.2168. brad hintz is h

these are if you have a credit card or debit card which is kind of new from merrill lynch or bank of america you get in free, debit card, a whole lot of people in the bay area so you might want to get in on that. >> and how do we get this? >> you've got your haul right there and the rest of it can get it by dalg 1-800-546-7177 or at any time logon to abc7news.com. >> i'm going to eat chips before i if to the museum. >> probably would prefer that. >> yes. >> thanks, michael, very much. >> mission complete. a 12-year journey is over >>> coming up tonight at 6:00, only on abc 7 news, message to loma fire victims to the owner of an alleged pot farm where the blaze may have started. it's all part of an i-team investigation. >> also from "7 on your side's" michael finney, a plea deal for a man involved a major mortgage scam. his victims are angry. >> and making their way. it's a new kind of craft fair that thousands of people will be attending. all of that and a lot more coming up in kristen and i see you for "abc 7 news at 6:00." hope you can join us for that. >> finally for right now, af

still ahead, bankamerica merrill lynch, head of u.s. says the elections are the most significant near-term risk to the economy. what does she think that means for a fed rate hike this year? this is bloomberg. ♪ york,t: it is 1:00 in new 6:00 in london, and 1:00 in hong kong. i'm scarlet fu. matt: i'm matt miller. welcome to "bloomberg markets." from bloomberg world headquarters in midtown manhattan, we are covering stories from bentonville, arkansas, moscow, and seoul. signs point to a strong u.s. jobs report tomorrow and the dollar is climbing as economic data points to the possibility of a fed rate hike as early as november. twitter shares are plunging following reports that google is not interested in buying the social network site. bid foronsidering a twitter, and when might we learn more about that? i mentioned bentonville, that is obvious we've walmart. walmart tempered its profit forecast for the next few years as it struggles to compete with amazon and invest more money. halfway through the trading day. julie hyman has the lates

and the chief european economist at bank of america merrill lynch.been furiously bringing up charts. i have to do it. this is a fantastic chart, essentially showing us how oil is driving inflation expectations. this is the oil price, the blue line, versus the u.s. break even , the difference between the 10 year and inflation. inflation bonds. see, oil is leading inflation expectations. does that tell us the outlook for the u.s. bond market? it is fairly bleak. those due in 10 years, up by 5.8%, biggest loss of every major bond index in the world tracked by bloomberg. >> absolutely, you have issues when you have rises or dramatic changes in oil prices. we have had a lot of volatility in the oil complex in the last few years. as you can see from your chart, that has affected inflation expectations. inflation, however, is still running at very low levels from a historical standard. and i think particularly around opec and the sort of deal with russia, it is still -- it remains to be seen whether they can put rhetoric behind them and start to actually im

billion according to bank of america merrill lynch on friday.amily is considering increasing its stake in deutsche bank. this essentially is security ownership. blackrock owns 3.67% of outstanding shares. paramount services supreme universal. these are holding vehicles for the royal family. these are the top holders of deutsche bank stock. some say would be to increase control according to people familiar with the matter. continuing over its handling of residential mortgage-backed security's according to people familiar with the matter. these shares are up by 4.8% today. the investor who became chairman of this company is increasing his stake which owns the universal music group from 15%. the billionaire investor wants to cement his control. he wants to expand his business beyond music. this is a weekly move in sterling against the dollar. you can see the last week the pound had its biggest acquiring since the brexit week. you have seen big moves in sterling. of the biggest moves since the height of the financial crisis in 2008. the concern is w

now is the senior global economist at bank of .merica merrill lynch i want to start with comments thisorning because they are fresh off the presses. talk about the state of the labor market and that it might not be as healthy as we take. he told the business council you do not want to keep people unemployed because he think you are at full employment already. where is full employment if we are not at it? class of is obviously one of the topics the committee will debate in the meetings. the minutes are likely to suggest a number of fed enoughls think we're us to allow them to start thinking about the rate hike. the fact -- the exact number is unknowable. vonnie: do you anticipate there half givenhallower the state of the economy at the moment? >> i think we will get to messages from the fed and that is one of them. globally, given their concerns about slower productivity in the rate, that they will not hike as quickly as they once thought. message is that notwithstanding, they think it is probably about time to get going on the next 25 basis point rate hike. you will see a number of com

bank and merrill lynch saying it will bottom out by the first quarter of 2017.ld that cloud any plans have?c with russia might the skepticism -- the market hassm had by any efforts of opec to rein in production have first and foremost been around opec's history are not really being compliant. the second has been what, if u.s.ing, -- how would the production react? we have seen more hedging in recent weeks. ofhave seen several months increased shilling in the u.s., despite it being around $45. that does remain a big? going for -- that does remain a big question mark going forward. they do not want to squeeze it too tight either. know how they will actually adapt to any increase in u.s. oil production. u.s. is every chance of production, which is declining a must 800,000 barrels per day lower, it might actually start creeping up. i do feel that it will take some time for that production to come back up fully to what has been lost. for itly a longer time to grow again. will that be enough time for the opec too catch up, for have the desired effect, and prices creep

we kick off the conversation with kamal sharma from bank of america merrill lynch. 4:56 in new york.loomberg. ♪ tom: in excess of two standard deviations yielded higher. it's a sort of global bond rout. november is a dead meeting. bonds adjusted, chair yelling in a live december meeting. and soon, it will be all over. clinton in trump spar while governor pence spends anxious moments at laguardia. good morning, everyone. i'm tom keene; with me is guy johnson. the vice presidential candidate of the republican party landed at laguardia last night in heavy rain, and he slipped off the runway. that would never happen at heathrow, right? guy: absolutely not. apparently the whole front of the plane was covered in mud. quite an experience. the bond markets are experiencing something similar, i would argue, but things have turned around the last two minutes. tom: i like your observation. we'll give you color on that

. >>> police departments nationwide will soon have more money to hire new fi merril lynch will talk about $190 -- $190 million in federal grants today to protect 900 positions across the country. this comes as dallas launches national community policing week. she spent time in colorado last week to talk about police and their relationship with our community. >>> grand junction city leaders are asking for people to accept voluntary layout options because of budget cuts. shortfall in the general fund. grand junction has more than 630 full-time employees. people have until the 17th to accept voluntary separation agreement. >>> we are expecting an update today on the quarterback situation for the broncos. trevor siemian's shoulder is hurt. >> that assist left shoulder he hurt yesterday. paxton lynch helped lead the team we love peyton manning but the broncos are proving -- proving they can win with any quarterback. >> touchdown denver. >> there you go. the rookie looked good in his nfl debut against the buccaneers. he threw a nice pass to emmanuel sanders leading them to a 27-7 win. >> mark h

this is normally known as the bank of america merrill lynch crossett index. this is five straight days of decline. that is the longest streak in's may -- since may. analysts say this is given by the slightly more certain picture we are seeing on the u.s. politics front and on the u.s. policy front in terms of the implied probability for a rate hike in december. up to 73%, and also more certainty coming out of the ecb and boj. angie: let's do a quick check of the state of play and markets. oil below $50. that is weighing on the markets. mumbai coming online right now, and it is also lower in hang seng. dipping into fractional gains now. we are seeing a bit of a flip-flop. just two hours away from the opening of the emirates market, dubai and abu dhabi. that is a 10:00 a.m. local time. 1% top 200 stocks up 7/10 of . this is how it broke down across the region. are --own 7% against you emar. we are seeing gains in saudi arabia for the fifth consecutive day. this is this post sovereign bonds sugar rush that is still very much in full swing. egypt in a rebound aft

bank of america merrill lynch is one of the latest to suggest we are looking at a looming recession ifnomy maintains its current course. an early warning would be the yield curve, manufacturing, pieces of data. guess who else is a target at 2000, hsbc. the number for that chart is 4029. nejra: love both charts. a tough one. i want to tie you but we do not do that on this show. i will give you the edge, bonnie -- vonnie, ever so slightly more doom mongering. julie: is that what the criteria is now? nejra: still to come, and exclusive conversation with the finance minister for columbia -- from columbia. this is bloomberg. ♪ nejra: live from other than new york. vonnie: this is bloomberg markets. time -- nejra: time for the business flash, a look at biggest business stories in the news. a turnaround plan at the u.k. biggest grocery chain appears to beginning traction. they reported first-half earnings that beat estimates, operating profit rose 60%. their ceo lowered their prices and their wrote product ranges and improved customer service. is stillsh economy showing resilience in the wake

. >>> bank of america merrill lynch is looking for another tool to fight in climate change. joining us is tbeija, tell us wy green bonds are so key in this environment. >> take a step back. these are like instruments that are specifically marked for environmental solutions. so all thisies back to overall climate change in extreme weather. so extreme weather now covers roughly 10% of the world at any one given point. 0.01 to 0.2% between the 1950s and the 1980s. so of course the detrimental impact is significant. globally, we believe 1% to 5% of global growth could be erased on the back of climate change. so the investment need for this is of course extremely high. and the financing gap that we currently face for clean energy transition as well as energy efficiency is somewhere between 650 to 860 billion dollars annually between now and the year 2030. so we think that green bonds specifically could be a very good tool in linking private capital for the environmental needs. >> so if there is that gap, how many issues or issuers are entering the market at the moment? are we see

equity and quantitative strategy at bank of america merrill lynch says the market is poised to be disappointede ran this function and said everyone is expecting fiscal stimulus and expectations have gotten ahead of themselves as evidenced by the number of times it appears in stories. perhaps we will see disappointment as a result. matt: that is one of my favorites because you can track so many things. what istrack so much of on the front of people's minds. i wanted to talk about the pound because the drop after theresa by marchon of brexit of next year affected markets globally today. you can see the pound index. the bloomberg pound index measured against seven different currencies. it is trade and liquidity waited. it is a great measure in blue, the strength or weakness of the pound. in white, you can see the manufacturing numbers. they have recovered since the brexit vote. it is interesting while the economy does not look terrible in real terms now, surveys are different, the pound continues to get weaker which can only be good for producers there. scarlet: we have much more coming up on "wh

. >>> let's get an fx perspective with the director of g 10 fx strategist from bank of america merrill lynch. seeing a bit of a rally in pound/sterling. >> one of the more perplexing stories is the resilience of uk data. doesn't come as a surprise to us. we always thought the data would be a slow burn deterioration. we're focusing on the personal consumption side. the market is short sterling. we appreciate that. we still have a bearish view on the pound going into 2017. the data may give the pound a lift. the market and investor sentiment remains bearish. we will be driven by the political news flow heading into the official triggering of article 50. >> where are we in the selloff? we had a guest on from nomura yesterday, he said we're two-thirds in. some say we've actually hit the bottom. where do you stand? >> we have had three previous idiosyncratic prices in sterling. about two-thirds is about right, about where we are. if we continue the trajectory we're on, we could project down to 1.05. that's not an official view, that's the pace at which steriling is falling. certainly the risks ar

bank of america, merrill lynch, buy and $64 target.pany working on an orphan drug to cure the horrible genetic. the analyst notes that phase one data showed improvement in patients and say if things keep going well, if they do, peak sales could be nearly $5 billion. that's 8 years out. a long way to look out. don't know how they do it. bank of america, merrill lynch, bullish on the company. 40% upside on the target, but, again, a company in very early stage trials. >> i had to look at that chart twice. 157% this year. >> phase one. you got a bunch more before this drug can even come on the market. >> absolutely. >> there is a battle brewing in the world of beer. bottoms up. "power lunch" will tell you about it in two minutes. ♪ there's a lot of places you never want to see "$7.95." [ beep ] but you'll be glad to see it here. fidelity -- where smarter investors will always be. if only the signs were as obvious when you trade. fidelity's active trader pro can help you find smarter entry and exit points and can help protect your potential

. >> does it matter if merrill lynch and the fees posted?an for the average customer? >> this is the fiduciary standard by the department of labor. we believe the idea of saying we'll do what's in your best interest is not new. so we took the approach that in the retirement accounts, you can manage money or make your own investment decisions but we're not going to get into a debate about what was in your best interest. it feeds into the broader method, which is the mass transformation going on wealth management business to advice and then the product come out of that as opposed to product sell. >> got it. very important. these are very big distinctions. carl, back to you. that's bank of america ceo brian moynihan on the changing face of the banking landscape. >> jim, our thanks to you. great week of coverage out of 1 market this week. don't miss the rest of jim's interview with moynihan tonight, "mad money," 6:00 p.m. eastern time. >>> still to come on "squawk alley," the future of twitter. big open question. we'll talk to the company's form

economics at bank of america merrill lynch.ood to see you. >> it is worth noting that the stock market is now hitting new session highs in the wake of good data and yields jumping. is that a sign that this market is going to be okay if the fed raises interest rates because the economy warrants that? >> the fed has told us it's all data dependent and i think that's how the market should be interpreting it as well. if the data continues to improve, if we get a decent jobs number on friday, the relief in the ism surveys i think helped a lot. and if you don't see some sort of move in financial conditions, that's quite adverse, then i think the fed clearly is setting up for a december hike. they said that in the statement and they're saying it again in many different speeches. >> is this just a bounceback from what was a pretty weak august? or something else going on? >> i think the august data was maybe a little bit of a head fake it seems because september data is coming in a little stronger. both ism surveys weakened significantl