emily: what about the of venmoty cannibalizing paypal's business? know it would totally cannibalize it. something paypal wouldn't care too much which one was there. venmo has a stronger brand now. seeing more pay with venmo options versus pay with onpal options when go internet site to make a canhase, it definitely you see venmo gaining traction. they want it to gain traction. square cash has been gaining traction lately. last thing they want to see upething like that coming sales.ing wind out their emily: lyft doesn't have this option yet. we expect lyft to answer here? upthere's a big push to ramp the number of retailers, merchants and apps. i wouldn't surprised to see someone like lyft or another app in theffering this well. as emily: thanks as always. silicone, china or valley. the asian nation produces most of the world technology and now developing itin as well. faster.rypto how are thieve able to hack into exchanges and what's being done prevent it. this is bloomberg. emily: this is bloomberg technology i'm emily chiang. is no secret china is

. >>> 16 years ago paypal went from $1.5 billion but today paypal is word e worth more than goldman sachs. is wall street's center of gravity moving west? he thinks so. he loves paypal and goldman sachs. halo investment ceo is here. cofounder of redbox and online brokerage option trading box. we like new names, goldman is pretty august one. why both of these? what is the common thread? >> liz, first, thanks for having me here. what is real interesting is that, paypal is actually, you know, is doing things that banks used to do traditionally. likes you said, went from 1.5 billion to 100 billion right now. it is doing a a butch of acquisitions. it is on the hunt for another three billion dollars in acquisitions over next few years. i can see paypal growing really big, globally. what is also really interesting about paypal it is going into more than just payments. if you want to look a proxy what paypal will be, a food company to look at ant financial, which is alibaba's financial company in china, valued now at $150 billion. ant is in a bunch of different areas beyond just payment and lendi

how significant is this for paypal and venmo? >> paypal's stock has been doing well.is up roughly 50% in the last year. -- thereen a big push has been a big push to monetize them. right now, when it was the peer-to-peer offering, when i would request money from my roommate to pay me back from rent, they are not making any money off of that. late last year, they gave this pay would then mow -- venmo option, and they make a portion of the fee -- take a portion of the fee. i don't know that it uber itself make a huge impact on financials by signing on because braintree, another sign up, already powers the payment. they want to increase the venmo brand. instagram is seen as a great thing that escaped a lot of the scathing things that facebook dealt with recently and it is the bigger, better brand. that is not something people know that paypal owns. a lot of millennials are using this many times a day, if not several times a week as well. emily: what about the possibility of venmo cannibalizing paypal's business? >> i don't know that it would totally cannibalize it. it is

the chairman of paypal was the ceo of ebay.nies should have -- stocks. , he says het know has taken a new position, the one he is talking most about. this is a long position. vonnie: will -- have to disclose the number of active users? >> this is a $102 billion market. a 5% hold of the founder. the expense to which dan loeb will take a meaningful position above a percent or two and lobby for changes is to be questioned. this is a big market cap company. he did it with nestle. a very small position, made a lot of noise about things that could be done better, but is limited in the ability to engender that change. vonnie: you see the competitors and it will be interesting to see how paypal does relative to the likes of square. some of the traditional companies are in there as well. western union would be one. >> in every deal we see, amazon, the situation here is going to disrupt this model. his point about them moving to good one.ayments is a the other thing worth mentioning, he talks about the trade war and how that is going to

thank you to the cfo of paypal.e: southwest shares are flying today after reporting -- joining us now is the southwest airlines ceo gary kelly. congratulations on the quarter. the forecast may be a little lower than we would have wanted, what are the reasons for that? growing a little bit slower than we had planned because fuel prices are 50% higher. had the accident earlier in the second quarter and we are rebounding from that. so it will still be growing. in the second half. we are growing your 5% in the third quarter and over 6% in the fourth quarter just isn't as fast as we had planned. vonnie: we all remember the accident, it was a tragedy. but bookings were not harmed so much. how are inspections going? give us an update. we have completed the inspections two months ago. instituted a new inspection protocol and we are in terms of ge future inspections. we are supporting the ntsb inspection and they have scheduled a hearing primarily focus on the manufacturers of forblade and the airplane november. so it is all

. ♪ ♪ >>> it is an earnings extravaganza, ford, visa, paypal, gilead, qualcomm and advanced microallthe session. reporters listening in on the conference calls bringing you instant reaction from wall street and of course, there's the big kahuna and that is facebook the stock getting crushed following the revenue and daily active user miss and the stock shedding $50 billion in market cap in just the last half hour and julian boorstin monitoring the call we'll get them in, and we start with hopes of victory in the trade. war stocks soaring into the close. the dow jumping 130 points and the nasdaq closing at a record high and the s&p 500 now within a hair of its record high. let's get to kayla tausche in d.c. with the latest details >> after several hours behind closed doors, delegations from the u.s. and the european union hammered out an agreement to begin a dialogue to talk about lowering tariffs across the board for non-auto industrial goods in the president's words also, they are going to talk about sending more u.s. soybeans and natural gas to europe, and according to president tr

it remains a significant source of business for paypal but what -- -- what paypal is doing it will beer marketplaces. at 1737 andrt here you can see it reflected in the company's revenue since they split and paypal way outperforming is. that number from paypal. >> when i look at paypal, it has 11 holds and no cells. >> they are coming out with earnings tomorrow. we are expected to see continued momentum. , thenalysts at bernstein most potential to surprise positively tomorrow. also, paypal is poised to keep gaining market share through its acquisition strategy and geographic expansion. we should also mention paypal got a huge vote of confidence , and if we don't -- you don't how big the stage is, paypal could reach $125 per share within the next 18 months. there are parallels between paypal and the likes of amazon and netflix. >> big disruptor in the payments area. thank you. carriages --e turkish bank holds rates. this is bloomberg. ♪ ♪ lisa: turkey''s central bank keeping its policy rate unchanged. define market expectations. sharply lower as the president tightens his grip on the e

okay square or paypal >> arsquare -- square the last move was paypal and three quarters ago it was upe mike ko who is on options action every friday at 5:30 is on to something. >> nice there. mike, thanks mike ko in san francisco and as guy mentioned options action is on fridays at 5:30 p.m. eastern time up next, final trade see that's funny, i thought you traded options. i'm not really a wall street guy. what's the hesitation? eh, it just feels too complicated, you know? well sure, at first, but jj can help you with that. jj, will you break it down for this gentleman? hey, ian. you know, at td ameritrade, we can walk you through your options trades step by step until you're comfortable. i could be up for that. that's taking options trading from wall st. to main st. hey guys, wanna play some pool? eh, i'm not really a pool guy. what's the hesitation? it's just complicated. step-by-step options trading support from td ameritrade >> former first lady nancy reagan famously said just say no and apparently the message stuck, and listening to toni broo braxton. it was almost celine dion tim

paypal ceo's the with our own caroline hyde earlier on bloomberg markets.nd-quarter results, the company missed estimates on revenue and the forecast revenue growth for web services and advertising were both strong and the company beat massively on earnings. the results show amazon is managing to keep a lid on expenses while investing heavily in new devices and selling groceries and prescription drugs. >> we had what i attribute it to continued shrink them some of our most profitable areas. consecutive quarter of accelerating growth. advertising also had strong growth. elsewhere we saw probably better than expected deficiencies in operations. this: that does it for edition of bloomberg technology. friday we will break down twitter's results. can the company beat high expectations after turning around his performance this year? we will discuss. this is bloomberg. ♪ retail. under pressure like never before. and it's connected technology that's moving companies forward fast. e-commerce. real time inventory. virtual changing rooms. that's why retailers rely on

i think they're okay, but i've been a huge fan of paypal and dan shulman. the stock is up a couple today because we saw some -- dan loeb who is an activist who said he thinks the stock can go up big from here. paypal is my favorite in my charitable trust that you can follow along by joining the club is the way to get the information. tom in indiana, tom? >> yes, mr. cramer, how are you today? >> i am good how about you, sir >> caller: i'm great, thank you. hey, here is my question i own stock currently in dominion energy, and, of course, there's also dominion midstream partners which is dm with dominion midstream partners also be a company worth acquiring stock in as well >> i don't think that it's bad it's down almost 50% it's not that low quality. we have got a firc modification rule i've soured on that group, but this thing has gotten too cheep. i like d very much they're involved in the acquisition in south carolina that has kept that stock back. all right. avoid the extremes, people you saw what happened today with the stocks of 3m and salesforce. it's

an obnoxious quarter and it got hammered but paypal has become a huge force in online purchases and pure payment businesses. it's on fire we've interviewed the ceo, dan, and 2 billion people have a cell phone but no bank account. i believe you can do it, hence we own paypal for my travel trust which you can follow along by joining my club but the gains have been puny compared to the gains in square! the other company. house of pleasure. >> it's guided by chief financial officer sarah fryers, been on the show a couple of times an built a whole ecofinance system. i've been a huge supporter of square and we used some of their services at my small plate mexican restaurant even i didn't realize this stock would rally. 103% since the beginning of the year, better than jack dorsey's other company, twitter, only up 84%. dade they deserve the recent gains? the analysts still upgraded. just today made square a buy also this morning, morgan stanley put out a piece of research about payments processing and titled. great businesses with undervalued leverages, defensive positions upgraded view to

paypal, shares down the most since february this session down around 4% of the company's outlook forarter, emma chandra is here with more. emma: the second quarter results beat estimates we saw armies growth of 29% year on year in revenue growth of 23%. the forecast that is troubling investors and blinded them to all the good they've seen in the second quarter report. paypal for taking revenue for the third and fourth quarter that are below analyst estimates for the chart that shows that would mean revenues are starting to decline. the company also said that growth and then mo, mobile payment that -- app has slowed. the stock jumped earlier in the the thirdported that point hedge fund had taken a seat in paypal, saying it could reach $145 a share. this is probably not the start they were expecting. vonnie: down 2.4 percent. we will keep an eye out throughout the session. thanks to a much on the. mark: we had the ecb meeting six years on from that moment when draghi under the now memorable words, we will do whatever it takes to save the euro. dollar is see, the changing. the did rise.

. >> paypal is interesting to me i think we'll see a move piper is betting the outperformance is is abouto return i like the trade >> we saw in growth. in margins in each of these sections amazon has phenomenal fundamentals >> twilio breaks out about 42. >> pete, you first paypal picked it may 3rd. stock's up 16% since you bought it in april >> just got rid of it yesterday. it's performed well. when i look at where it is right now, valuation's not overly expensive. feels heavier than i'd like it to be. i think it's time to just move on to somewhere elsewhere i think there's better opportunities. i still love the name. >> steph you bought it in april you still hold it. >> bought more after the stock traded in the low 50i7s. i agree with pete. i like their mna strategy. they've got $3 billion more they could put to work. >> jon najarian. ulta is up 10% since april 10th. >> like we said in april, piper really likeded this one. they've been spot on like it still. i don't own it anymore because the call it was in expired i think the consumer does well from here through the end of the year >> y

not that paypal isn't a partner. >> well, paypal is more on the payment side of the balance. of our mobile capabilities and core mobile banking go far beyond the millennials. i god the asked the question is this millennials with 35 million digital users, there aren't enough millennials to do that it spreads across all ages and even guys as old as us, jim. the takeup of something like erica is going to be a little bit more people are used to using their different devices at home to talk to and have them activate stuff that will change over time. you use it because it's just easier for me because i got big fingers on a little phone and it's hashed to type. >> bank of america has a great call on what our country looks like right now i got great confidence after listening to your call, thinking you know what? stop being gloomy. it looks like business is pretty good in this country >> so we start -- and you think about the u.s. economy, 2/3 driven by the consumer, 70%, whatever people say at this moment, and we got good insight into the consumer. for the first six months of the ye

taken the stake in paypal. this could be a $125 stock within 18 months and above consensus earnings. that is pretty remarkable. shery: thank you so much for that. news right now. president trump is set to speak to repeal california emissions, the president has tried to roll emissions and fuel economy standards. california has their own stringent air quality standards. breaking news that president trump is set to seek to repeal california's emissions fighting powers. we will bring you more as we learned. this is bloomberg. ♪ s bloomberg. ♪ shery: this is "bloomberg markets: balance of power." i am shery ahn in new york. kevin: i am kevin cirilli in washington. let's get a check of the news with mark crumpton. mark: thank you. president trump is taking to aim at two familiar targets in the u.s., amazon and the washington post. both are controlled by the richest person in the world, jeff bezos. the president says the post is nothing more than an expensive lobbyist for amazon. he says many people believe amazon sho

paypal investors were not celebrating.d third-quarter sales that fell short of analyst estimates. investors are concerned about its competitive edge. john rainey caught up with caroline hyde to talk about the report and future m&a. a very goodt we had quarter and gave good guidance for the year. quarter,or the second reported 23% revenue growth. to your point, we announced a $10 billion share buyback. the back half of the year, we increase our revenue guidance by $100 million and increased our eps guidance. we are pleased with the progress we're making. i think the quarter's asian -- the quarterization of that is not what the market expects and that is why you are seeing what you are seeing in the stock. caroline: what a day of record-breaking day in terms of what we see in facebook. your shares up. doesn't it make it harder and harder to live up to these expectations? >> i cannot predict what wall street will do and the stock price reactions. what i can do is focus on what we control at paypal, and that is grow digital pa

on you know has less uses than than it did have lost something around the region of the nearly in paypal why do you think that is. well there could be two reasons but these are first they. didn't believe berkeley allowed in inflation artificial inflation or fuses knowing very well that at least seven percent of those users had been fake accounts but nevertheless did nothing about it and second is the issue of a lack of transparency and things seem to be coming out now and of course once you know what was the reason perception of lack of transparency investors starting to lose weight in the in their investment when investment investors are looking for results the transparency that on things like this i mean twitter could potentially be facing our federal investigation now into well into the alleged manipulation of public opinion. i remember when twitter was only just beginning and you know some of these companies on the internet of have grown very quickly and some of them die away just as fast what do you think the future is for twitter in particular it is very interesting because when tr

paypal beat revenue estimates last quarter and authorized a stock buyback worth $10 million. >> we feltwe had a very good quarter and gave good guidance for the year. we had reported 23% revenue eps growth.8% to your point, we also announced a $10 billion share buyback. increased guidance by 100 new dollars in increased our guidance by one cent, showing momentum in business. haidi: spotify boost its customer base in the second quarter, beating analyst estimates thanks to growth in latin america and emerging markets. paid subscribers reached 83 wheeled, -- 83 million, more than any other music service. the business is performing to the higher end of expectations. shares recovered from a premarket slump, pushing the market cap to $35 billion. ramy: amazon reported better than expected earnings in the second quarter and forecast were of the same in the current period. it sees operating income of up to $2.4 billion, igniting investor optimism about cloud computing and other businesses. amazon said it's happy with growth and its main retail operation, driven by its prime service. >> were ple

i know apple pay is nowhere near the size of paypal.bigail: that is a great question because it turns out they are winning the online payment space. other companies instead of trying to be them are joining them. they have a partnership with apple, facebook, lisa, and andercard -- visa, mastercard permits things like they are doing all things right. you can see the stock price going up in the last two years. some investors have been on to this. scarlet: good stuff with thank you so much. coming up, a busy week for tech begins without hope and earnings m. 4:02 p. we have the chart you cannot miss. this is bloomberg. ♪ julie: i'm julie hyman. "what'd you miss?" we are minutes away from apple's second quarter results so he is a look for of all and what analysts estimating from the company. we have a gap earnings-per-share estimate of $9.51. the acquisition cost estimate is the number we will be watching for revenue. about 25 point $5 billion the estimate there. operating income about $10.3 billion. and paid clicks according to at least one

up, in, earnings from paypal, las vegas sands and mattel we'll be back in aomt.e environment is everything. we want to do our very best for each and every animal, and we want to operate a sustainable facility. and pg&e has been a partner helping us to achieve that. we've helped the marine mammal center go solar, install electric vehicle charging stations, and become more energy efficient. pg&e has allowed us to be the most sustainable organization we can be. any time you help a customer, it's a really good feeling. it's especially so when it's a customer that's doing such good and important work for the environment. together, we're building a better california. >> earnings alert now on paypal, and the stock is lower aditi roy with the numbers. >> hi there, sara. coming in at 3.86 billion and that's a beat of 3.3 billion ets, the company missed on q3 revenue guidance and came in light there which could explain why shares are down a little less than 4% at the moment remember, paypal made four acquisitions into two total payment volume is $139 billion and that's a s

. >> making it easier for customers to buy stuff on the site, credit cards, paypal or cryptocurrency,nse to me. >> says received bonus in bitcoin last year. jeff, consultant to several overseas banks, also paid in bitcoin. we found atm at neighborhood grocery store where you can buy and sell cryptocurrency. followed it closely. >> it's here to stay, seeing a lot of hype. >> most people predicted cryptocurrency will be mainstreamed sometime within next five years. michael finney, 7 on your side. >> it's happening. >>> we've been asking all night are you willing to try cryptocurrency? >> results bottom of the screen. 80% of the peoplevoted, no. 20% yes. >> be interesting in five years if that changes. >> exactly. >>> this story is frightening, southern california woman in critical condition after being attacked by 80,000 bees. cleaning home, stepped out to grab a mop, africanized bee swarm attacked. first responders didn't have time to put on protective gear, hurt trying to save her. stung but expected to survive. >> can't control that at all. >>> let's talk about weather forecast. >> s

we'll give you the trades on hasbro, halliburton, paypal, utilities. back after this.urs. wow! record time. at cognizant, we're helping today's leading life sciences companies go beyond developing prescriptions to offering subscriptions with personalized, real-time advice for life-long, healthy living. honey? you almost done? nope. get ready, because we're helping leading companies see it- and see it through-with digital. >>> first up, hasbro soaring on its beat. joe, you got this one. >> one year ago, it was 116. coming back to 106 today this is a fantastic quarter. a company that bought back 74 million versus 40 million in stock. they're still struggling from the toys "r" us bankruptcy, but they're doing a fantastic b job. expense discipline stock is going to move higher. >> do you know who brian goldner is >> ceo >> he's going to be the jim cramer tonight >> it's on the telepromter >> i was competing trying to test the guy see how much he read the notes halliburton is falling today on its earnings >> beat them bottom line, but here's the issue he kept guidance flat

. >> i notice you have paypal as a holding. i know you have a team that you know, also does a lot of this. with you do you have thoughts on paypal i asked you because we got a letter yesterday from dan and his investors who was awfully bullish on this stock. 125 bucks price target thought of >> we're positive on it, but it's not one of our largest holdings, but dan is is a a smart guy and i would listen to him. we own it, but it's not a major holding. a major holdings are the ones i've mentioned united, google amc networks first data microsoft. ash len global one i didn't mention that's gotten hammered because of their poorly handling the acquisition of tribune, my opinion, they poorly handled it is sinclair broadcasting market cap is a couple of billion and it's revolved one way of the another, i expect them to intelligently use their cash we're find iing a bunch of thin to do, but i would say that markets in a zone areadequate valuation. looking forward to my any life to be honest with you. right now, my challenge is to do we

why paypal no longer needs to be worried. and parents... how much money are you going to spend for school supplies? new numbers on what it )ll cost americans this summers. plus... a story you might )ve seen trending online this weekend. someone called police on the owner of a high-end lemonade stand... here in the bay area. his interaction with officers - coming up at 5:25. mike traffic tease good morning, i ) )m landon dowy kids - close your ears! school is just a few weeks away. back to school shopping is in full swing. americans will spend 83 billion dollars... on supplies, clothing and electronics... but the majority of the money won )t be for the little ones. the national retail federation says at least half of parents with school-age kids have started shopping. nbc bay area is )supporting our schools. ) we are collecting supplies for kids in need. if you )d like to donate... you can find all the information at nbcbayarea.com-slash-schools. our )chris chmura ) will be lie all week long telling you how you can help during our midday new

. >> looks like paypal got the better end >> what's paypal's money cap at?note out this morning, morgan stanley saying $105 billion. >> we ought to be thinking about buying financial tech companies. are you kidding me visa mastercard paypal they're like the stars of the show that's like saying you ought to start thinking about looking at the -- >> payments. >> visa's market cap, just because it is so enormous -- $315 billion >> mastercard, too near a record high today we'll get earnings from both companies next week. >> they better be crazy, for this money >> tesla downgraded over at nitum. big topic of discussion. >> look, it is the huge cash burn, slower model, sx sales, cannibalization model. credits, unsustainable cash burn it is just -- it is like captain renault at the end of casablanca, line up the usual suspects of why we sell tesla. there was nothing new. it didn't talk about like a new tweet. there's some guys that tweet these days, david, it is the craziest thing you read their tweets and you can't believe it couple guys. >> couple of guys? >> cou

. >> paypal.now why paypal is in the zone. >> i guess the investors letter indicated ownership stake there. >> he did use -- i was, obviously, playing. >> yes. >> you knew what you were going to get. >> you're my epic man. remember him >> i do. >> that's probably harsh. >> yeah. >> i take that back. paypal he did say $125 market in three months this is the first time i've heard this, part of the fabric of society and calls it the nonamazon economy. it's at the heart of the nonamazon economy. >> $107 billion market cap. >> wow it's vintech. >> it's payments. >> yeah. you have to go into payments one word for you "payments." >> the semiconductors are coming back from yesterday's bruising why are they up? because the data center is when you -- if you were to take a chain saw through data center, you would see a lot of user. >> yeah. and google is spending 5.5 billion in cap x a quarter, and a lot is going to compute power. >> securing the power for the data centers to keep them cool we've got to foll

the global giants of the digital economy such as facebook amazon google paypal only work with open source they would never give their competitor microsoft access to their information technology by using their software yet european states continually surrender to the old monopoly through contracts. in these microsoft and governments come to an agreement on the conditions whereby government institutions may use the software joins programs the german ministry of the interior is legally bound to allow inspection of such contracts however the ministry has blackened all the essential parts like prices conditions and security requirements the reason given trade secrets as claimed by microsoft in other words the corporation can decide what the public may learn about its dealings with taxpayers' money. with the framework contracts governments all state institutions from local authority to parliament to obtain software directly from microsoft resellers this is legally questionable because this type of treaty overrides european law. accordingly public authorities are prohibited from buying products

. >> venmo, paypal. >> lot out there. >> i will take cash. >> those are your tech bite. >>> this morning a brand of cracker under recall. the hazard to your health. >>> an animal rescue group uses a chewed up watering can to help a circus lion live a new life. >>> hundreds line up at the conservative of flowers at san francisco for a chance to smell a rare bloom. >> young women are invited to an afternoon of personal and career growth. learn from shantell anderson and showcase your personal brand, invest in the ♪ every day it's getting closer ♪ ♪ going faster than a roller coaster ♪ ♪ a love like yours will surely come my way ♪ ♪ hey, hey, hey ♪ every day it's getting closer ♪ ♪ going faster than a roller coaster ♪ ♪ a love like yours will surely come my way ♪ ♪ hey, hey, hey babies aren't fully developed until at least 39 weeks, which means babies born even a few weeks early can have breathing, feeding, and learning problems. if your pregnancy is healthy, wait for labor to begin on its own. a healthy baby is worth the wait. (tiffany) ask yourself what your children or cigarettes. for as

he is a paypal cofounder. that is your latest business flash. let's have a quick look at once coming up on the european close. we are following stocks in less than 35 minutes. this is bloomberg. ♪ . >> 11:00 a.m. in new york and 11:00 p.m. in hong kong. 30 minutes left in the trading day in europe. i am caroline hyde. vonnie: i am vonnie quinn. this is the european close on bloomberg markets. caroline: here are the top stories we are covering. we begin with a bloomberg exclusive. withn franklin joins us news on his latest deal and the bidding war from sky, who will make the next move? we talk with the ceo of one of the largest banks in poland on the drive to consolidate. in on how the european markets have been performing. 30 minutes left until close and we are heading off of those -- still down 1/10 of 1%. talking earlier about the

so keep an eye on tech llwethers, microsoft, facebook, paypal, intel and google parental fabbet in theing weeks. for nightly business report, i'm bob pisani at the new york stock exchange. comcast is bowing out of the fight for 21st century fox entertainment assets meaning that disney has now won the high-stakesar bidding with its offer of more than $70 billion. for itsomart,st says it will focus on expanding its international reach a controlling stake in european broadcaster sky. the remainder of which is owned by fox,s a matter of fact. comcast, as you may know, is the parent company of cnbc which produces this program. shares of comcast andisney were up on the day. fox was down ever so slightly. >> as traditional television and movie studios do scramble for content and viewers an old competitor has been growing exponentially and ttht would be video game industry and the hottest game around right now is fort night and it recently became a billion dollar business. julia boorstin tells us why. independent game developer epic games has ats hit on hands. the company topping that landmark

the global giants of the digital economy such as facebook amazon google paypal only work with open source they would never give their competitor microsoft access to their information technology by using their software yet european states continually surrender to the old monopoly through contract. in these microsoft and governments come to an agreement on the conditions whereby government institutions may use the software giant's programs. the german ministry of the interior is legally bound to allow inspection of such contracts however the ministry has blackened all the essential parts like prices conditions and security requirements the reason given trade secrets as claimed by microsoft in other words the corporation can decide what the public may learn about its dealings with taxpayers' money. with the framework contracts governments all state institutions from local authority to parliament to obtain software directly from microsoft resellers this is legally questionable because this type of treaty overrides european law. accordingly public authorities are prohibited from buying product

own cyberpayment systems including real-time claimant's cap arm in united states at the same time paypal and other private platforms continue to improve convenience and speed to leverage commercial infrastructure. is worth noting there is a tipping point but the assistant things will not want to do with that then what happens? they will do transaction and commercial deposit can be business as usual. another possibility is people will demand direct access as a replacement for cash in the third possibility they'll privately try try to issue crypto currency like bitcoin. they are not exclusive or independent depends on only has on its performance but the digital money that the central bank provides and they could be more inclined but on the other hand was sufficient cash like properties and perhaps the subpoenas those who miss cash central banks are evaluating options for digital currencies for reading those core objectives and with those private partners and with wholesale systems only so this is driven by cost and with those policy implications will focus on the merits of a widely accepta

paypal beating revenue estimates in the last quarter, and authorizing a stock buyback worth $10 billionidi: coming up in the next hour of "bloomberg markets: asia ," we will have a discussion on central banks and the market impact of rising trade tensions. ♪ two, down and back up. our phones are more than just phones. they are pocket sized personal trainers... last minute gift finders... siri: destination ahead. and discoverers of new places. it's the internet in your hand. that's why xfinity mobile can be included with xfinity internet. which could save you hunreds of dollars a year. plus get $150 when you bring in your own phone. its a new kind of network designed to save you money. click, call or visit a store today. markets asia-pacific only just. down 91% with problems building at home as well as abroad. bhp on the rise with the sale of its onshore u.s. on gas assets withdrawaleting its from shale. i'm rishaad salamat. eases some blue with better than expected earnings and more to come. this is "bloomberg markets: asia." the curve continues to steepen in japan. 10 year bond yield j

replaced by recyclable it's the small raced opening customers who can forego stores will receive paypal stores or ones made of a compostable plastic the huge environmental impact of plastic stores is making them increasingly unpopular with consumers. and here's a reminder of the top stories we're following for you. the widow of the chinese nobel peace prize winner you shall bowl as left to china to start a new life in europe she's expected to vote in later today you was under house arrest since two thousand and ten when her husband was awarded the nobel peace prize he died in prison one year ago. a final stage of a rescue operation is underway in thailand to get the last five members of the usual soccer team out of a pleasant cave divers have already brought out eight boys who are now being treated in hospital. watching the news live from and then look coming up at the top of the hour but don't forget you can get all the latest news and information around the clock on our web site that's d.w. dot com i want to jones in berlin thanks. for joining us. come. on. come on. what a crazy tourn

meantime, a vote of confidence in paypal. the hedge fund has taken an interest in the payment processor. they beat more than 40% from where the stock is trading now. is just forhabet starters. facebook, amazon, and twitter all report this week. of the faang stocks in focus, next. if you would like to check us out on the radio, listen to us in the u.s. on sirius xm. this is bloomberg. ♪ out withphabet earnings and just to recap, this was a home run quarter for google. investors had been looking for alphabet to jumpstart momentum in faang stocks. remember, s&p tech heavyweights facebook, amazon, and twitter all post as well and netflix, which had a conservative forecast for the rest of the year, disappointing the market. with us to discuss the broader outlook for faang stocks, we have our guest and in our office in new york, we have our market reporter -- on markets reporter romaine bostick still here with us. get any credit for driving the broader tech momentum, in spite of netflix's with last week? >> thanks that, emily. i th

paypal up 2.4% on the close.e, facebook up 2%, clearly hasn't reported yet, does report tomorrow is it getting ahead of itself before those numbers or did google paint a picture for the rest of its competitors? >> i think google is setting the trend here if you just look at the number of people facebook is hiring and the infrastructure they're doing around the globe, it's just incredible what's happening with this company so they were able to navigate that privacy disaster a comf months ago, three months ago and i think they're back on target so i don't think what you see in google is necessarily going to be just a google story >> the counter argument is you're talking about all this investment they have to do, which we've seen investors not approve of their spending. a buying opportunity every time -- >> they have massive spending on infrastructure, but they have huge cash flow to support that >> but some people don't think that is over, especially heading into the mid-terms and especially as mark zuckerberg doe

he had previously been ceo of paypal.on't think they have any other executive who was ceo of a company of that scale prior to joining facebook. he was previously running facebook messenger and caused growth to spectacularly grow so that it is now in the $1.2 billion -- 1.2 billion user range. they took them off that job and put them on this blockchain project, which i think is indicative of the fact that they are worried about the use of personal data could become more and more under threat, and there are many people who believe blockchain is a potential tool to help users to take their undated -- protect their own data. you could see what they're doing is a hedging strategy. selina: david, you are sticking with us. coming up, the effect of trade tensions on technology. how will the escalating dispute between washington and beijing impact the tech sectors? we discussed next. this is bloomberg. ♪ this is "bloomberg technology." our top story, the escalating trade tensions between washington and beijing. in the crosshairs,

paypal stocks after the third quarter revenue was projected below estimates. payments were up 5% by the second quarter and added 7.7 million customers. earnings-per-share came in at $.56. the revenue was $3.6 billion. the estimates was 3.81. coming up, we turn to the chipmakers qualcomm, the ceo says it is terminating the deal to buy nxp after it was held up by chinese regulators. we spoke to nxp on the earnings next, and xp on the earnings call. the decision to move forward without nxp was a difficult one. we weigh the risk against the likelihood of a change in the current geopolitical environment, which we did not emily: qualcomm announced it is abandoning the bit to acquire nxp, which would have been the largest deal in the chip industry. this is after chinese regulators held approval amid rising trade tensions with the united states. the news came as qualcomm released its earnings in the company outlined its plans to live back nearly $30 billion or so worth of shares. in washington, we have isaac stone fish. how big of a blow is this? isaac: they had banke

he was an early investor in facebook and founder of paypal. businesshe latest flash.s down 5% and on facebook the worst day in nearly two months after beating second-order estimates. abigail doolittle joins us with more. >> shares beat top and bottom-line estimates but the power unit disappointing investors. they indicated demand is weak for gas turbines and have got it down for free cash flow on the year. they are not out of the clear on the turnaround. their ceo says this is the biggest challenge to turnaround the power business. it had been 30% of their business over historical basis. just 24% in this latest quarter. they talkedh ago, about cleaning up the health care business and oil and gas business but they are not spending -- when we look at this chart in the bloomberg, we will see how bearish analysts are here in. white, stock price, blue, earnings. ask for ordinary per share, down from two dollars two years ago and now at less than one dollar on the year. vonnie: a lot to do with the turnaround plan. what about bondholders? who havean analysts been a bear on

now it's gotten so far ahead we've been recommending the stock of paypal.vey out this morning which says that paypal is taking share. vitamin tech is valuable while you were away visa and mastercard unstoppable. >> yeah. visa amazes me. >> it's a big company. >> yeah. it's enormous. it's the quiteetest $300 million market cap. >> the ads around world cup. i wonder if they'll get to the england croatia match. >> i've enjoyed the world cup so much. >> it's so exciting. >> it's a unique tournament. >> it doesn't happen every year. i think that's significant. >> every four years. >> yeah. and i keep looking for take aways. how about nike how about visa no no real take aways just enjoy the game. i have nothing to add. >> let's talk about something we don't typically do exxonmobil crawling the way to flat on the year having a big move. >> what has happened a lot of these oil companies seem to be reluctant other than exxon but the pipeline constrain apc announces a big buy back what does that say some of the oil companies are flush. >> yeah. >> we're seeing actual

business of making it easier for customers to buy stuff on our site, whether that's credit cards or paypalcryptocurrency. tht made sense to us. >> jonathan johnson says he received his bonus in bitcoin last year. jeff, who also serves as a consultant to several overseas banks has also been paid in bitcoin. we even found an atm at a neighborhood grocery store in san francisco where you can buy and sell cryptocurrency. mike rothenburg has followed this closely. >> it's pretty clear that electronic currency is here to stay, so you're seeing a lot of hype. >> most of those we spoke with predicted cryptocurrency will be mainstream some time within the next five years. so get ready. i want to hear from you. the 7 on your side hotline is open weekdays 10 to 2. my telephone number is 415-954-8151. i know i'm going to use it. i'm just not quite sure what it is actually is. >> we've been talking. we're going to let you lead the charge here. we get paid friday. you can get paid in bitcoin. >>> one last check on the forecast. >> spencer christian is here. how about a bitcoin for you, spencer? >> a bit

at the same time paypal and then mount and other private mobile payment platforms continue to improve convenience and speed by leveraging conventional financial market infrastructure. the likely that the use of cash will continue to fall. it's worth noting that there is a tipping point even if consumers seek to use cash. businesses and banks well not want to deal with it. then what happens. people will be content to transact primarily bank deposits and banks will be business as usual with a much smaller cash component to the monetary base. in the third possibility is that people will turn to privately issued crypto currencies like bit coin. the adoption rate of bit quite well be the alternative form of money that it provides. if they head in adequate access to medium of exchange they may be more inclined to turn to alternatives. if the central bank offers a digitalut form with sufficient properties. they are currently evaluating numerous options not just in response to the shift away from cash but also for meeting core objectives in the enhancement of market structure. ongoing proof o

. >>> paypal shares down 3%. second quarter profit beat forecast more people use its services, but investors reacting to guidance, which fell short of some analyst estimates >>> amd's second quarter results topping forecast a surge in demand for pcs boosting sales of its processor as well as graphic chips used in data centers maybe thank fortnight. >>> we are following a developing story out of china. there was an explosion outside the united states embassy in beiji beijing. chinese police say it was caused by a firework device only one person was injured in the blast. we'll continue to monitor this developing story and bring you more as we get it. some officials calling it a bomb, you hear chinese officials saying it was more like a firework. >>> coming up, a pulse check we have new numbers on the health of private equity we'll run you through them and later on, big oil is on deck a huge day for earnings. everything you need to watch berehe nbefo tumrs hit the tape. the smoother the skin, the more comfortable yo

in an investor letter, paypal shares could reach $125 within 18 months.arlet: it is 3:00 p.m. in new york and 8:00 p.m. in london. scarlet: welcome to "bloomberg markets." ♪ scarlet: we are live in bloomberg world had in new york. here are the stories we are covering. e is for earnings. alphabet caps off a big week for tech results. will companies reignite momentum? julie: a moment of truth for qualcomm and xp. the largest ever deal will be dead or done by the middle of the week. we live details in today's deals report. we will stick with the number two democrat in the house from maryland. the strategy to try to take back the majority. we are one hour from the close at trading -- of trading. things around their strongest of the day. you are right about that. to your point, we were lower earlier in the day. now looking at gains for the major averages. take a look at the performance for the s&p 500 banking index. up to percent. 2%.p the first up dave for the dow and s&p 500 in three. the first for the nasdaq in 4. take a look at this very big 10 year yield

ended up taking out parts of paypal's payment infrastructure because we got order so quickly.verall, the reviews were fantastic. carol: how do you make money? steve: by taking a percentage of sales from the brands we worked with and it ended up being our revenue model. jason: what is one of the more unusual enthusiast groups you have been able to form on this platform? steve: mechanical keyboards was a community we were not aware of before we started it. it is a community of people that are really passionate about their computer keyboards, gamers, programmers, they modify and upgrade them to make them more beautiful and comfortable. his massdrop community is over -- over 2 million people now, and we have made dozens and dozens of product to help grow the community to a new audience. carol: what is interesting is it is not just about taking groups and sharing information with an existing brand. you are now making products, right? steve: absolutely. we started partnering with individual members of the community. users we see that are really knowledgeable and particularly insight