white house correspondent phil mattingly joins us. the technology community wish list.'m trying to think of everything that the technology industry would like regarding the nsa, but how much of what they want will actually be in that speech? >> from what we know, it looks like it's going to be a bit of a mixed bag. facebook, apple, microsoft, they got together and enlisted a group of principles they wanted to consider to pursue during this process. they wanted a public advocate inside the fisa court, the secret surveillance court. looks like they will get that. they wanted less problems related to surveillance policy and it looks like they will comply with that as well, limiting how they spy on their allies. they will not get everything they want. they wanted major restrictions to the 215 program. our understanding is it will largely stay in place. some of what they want, some of what they don't want, and a little to be determined. see how much will get punted the congress. >> what about the major policy implications? there are other political issues at stake. for examp

i want to get to phil mattingly. >> thank you. >> phil, what can you tell us?e have right now are some experts of what the president will say in his speech. what you are seeing are a couple of key themes you expected. on income inequality, he says after four years of economic growth, stock prices have really been hot here. those of the top have never done better. average wages have barely budged. inequality has deepened. upward mobility has stalled. the white house has been clear that income inequality is an issue they want to tackle. extension of unemployment benefits from the policy side perspective, they will pursue that. >> how firm is he in action see can take without congress? >> you are seeing what has been telegraphed by aides going forward. he said executive action is wherever and whenever he can take steps without legislation to expand more opportunities for americans. that is what he is going to do. he is going to try to work with congress on some issues. he is aware in a divided congress with republicans running the house, there is little on his leg

for more on the potential impact, i went to get down to washington dc to our correspondent phil mattinglyare you with us? >> i am with you. >> what else are you hearing, a beenessional aide has briefing reporters on what else we are learning and what kind of impact they think the keystone will have. >> this is a key point, a key cog in the process. the key thing to say and the thing jay carney just set a couple minutes ago in his briefing, this is just one step. this is a big step, not major changes from the draft we saw last year. as you pointed out, environmentalists are not going to be happy. they thought another look at the report would give them a shot. they would be major impact. particularly on climate change, they are not getting that. what this does, it starts off another process. they will be public commentary an opportunity for industry groups to come and talk. john kerry is slated to make the we know thatn, but the president has the option of waiting and -- weighing in. the white house stays pretty far away at this, we have started the final cap down -- the final countdown. no

when we return, phil mattingly on chris christie's apology.nd his 2016 chances and more bob gates's book. ♪ >> welcome back. phil mattingly is here to talk about chris christie and the george washington bridge in the national limelight. we came agreed this was a terrible thing that happened and governor was christie's news conference was a tour de force. what else is there? >> we are still turning figure out what the motivation was. again, i think the big issue is the investigation of what this has opened up to. >> lemmie get to the federal prosecutor in a second. there is the question of whether this is -- i will get to the federal budget any second. there is a question of whether this is -- they do not appear to be virgins. >> i think your point, what you saw in the e-mails looks like it was from people who have done this before and took some glee in the process of doing this. it underlines they did that chris christie access this on a regular basis. >> i'm not sure what the crime is here, but no one likes to have a prosecutor looking at the

white house correspondent phil mattingly joins us. the technology community wish list.'m trying to think of everything that the technology industry would like regarding the nsa, but how much of what they want will actually be in that speech? looksm what we know, it like it's going to be a bit of a mixed bag. facebook, apple, microsoft, they got together and enlisted a group of principles they wanted to consider to pursue during this process. they wanted to public advocate inside the fisa court, the secret surveillance court. looks like it will get that. they wanted less problems related to surveillance policy and it looks like they will comply with that as well, limiting how they spy on their allies. they will not get everything they want. they wanted major restriction to the 215 program. our understanding as it will largely stay in place. ofe of what they want, some what they don't want, and a little to be determined. see how much will get punted the congress. >> what about the major policy implications? there are other political issues ,t stake and will for example th

phil mattingly is with me. from 9/11 to civil liberties, what stood out to you in the president's speech? in a 45 minute speech that touched upon broad themes and technical details about how the u.s. collect intelligence, the key point is how the president is going to address the bulk collection of telephone records. he said he would like to see that data, that bo committed data transfer to a government -- that old native data -- that bulk metadata. the first change is going to take some help of congress and other administration officials. the second one is immediate and that surprised a lot of people who were waiting to see the results that this administration's work would end up being. >> as far as the bigger picture, what caught your attention? perspective it. was very interesting internationally. a very difficult scenario after last year and -- after last year. angela merkel is very upset. a number of companies -- a couple of -- a number of countries very upset. for leaders will not be spied -- foreign ther

phil mattingly, our white house reporter. debate anding the negotiations back and forth over extending unemployment benefits. that will do it for "market makers." tune in tomorrow. the ceo of the u.s. chamber of commerce speaks for american business. he will be with us to talk about legislative priorities for the coming year and what he will be lobbying for and what he believes his constituents want. we will have tough questions for mr. donohue. up next, "lunch money." don't go anywhere. ♪ >> this is "lunch money." we are streaming live on bloomberg.com, your tablet, and your smart phone. motors today, you may have been theof the many stuck in airport. 10 thousandceled since saturday. jetblue has scrubbed 526 flights, but promises to be back to 100% by the end of today. it is not just the bad weather. there are new faa guidelines that route are all commercial pilots received 30 uninterrupted off-duty hours per week. that is 25% more than before. eyelids are getting more rest, but it means there are fewer flights for past -- p

very much.u phil mattingly joining us from d.c.e is going to stay with me, continuing the conversation and bringing in economic policy institute vice president ross. how does the u.s. compared to other industrialized countries when we talk about minimum wage? the minimum wage is different all over the world. england has raised their minimum wage, they did not have one atil 1999, it is now about little over $10 an hour. germany has a minimum wage, angela merkel has just agreed as part of her new government to raise the minimum wage in germany. the u.s. -- the problem -- australia has a $15 an hour minimum wage. we are way behind that. the problem is the u.s. is that little to live on. $7.25 is low. >> in other countries, a few you mentioned, there is an infrastructure for health care and pensions, a social infrastructure that we do not have. current minimum wage is seven 7.25ars to five cents, -- $ the proposal is $10.10, how likely is it that this gets passed? instead.thority i worked for senator kennedy in 1995 and 1996, the odds

phil mattingly has the story -- climate change. phil mattingly has the story.ere hopingntalists that the report would have major changes to support their cause against the keystone xl pipeline. there were no major revisions in terms of the impact statement released by the state department. they did not see any major impact this pipeline would have on climate change. the president last year said basically if he would approve this, it could not have major impact on climate change. the state department says it does not. theou are a supporter of keystone pipeline, this is a big step in the right direction. >> how about the opponents? we have heard so much from environmental activists. what are the critics saying? >> there's a couple things they are taking away from this. it is not over yet. they're going to be another eight agencies and public comment period to look at this proposal. what most environmentalists are clinging to right now, this would always end up on the president's desk. of an issue this important, he was going to. they're going to focus entirely on

lex phil mattingly reporting on vice admiral michael rogers heading to the nsa agency. i want to bring in olivia sterns in our newsroom to give us more of a date. the company responding to a report that malicious software had been accessed? >> there has been a unauthorized access -- they say security attacks are becoming a more regular occurrence and recently identified a coordinated effort to gain unauthorized experts -- unauthorized access to mail accounts and says they prompted users to reset passwords on accounts that were impacted. they are resetting passwords, working with federal law enforcement to find the perpetrators responsible for this attack. they say they have implemented things to lock -- there are bigger concerns run hackers targeting infrastructures and software and the one being the attack on target software systems with nearly 100 million accounts compromise there. lex thank you very much. we will follow this story with yahoo! accounts accessed -- and unauthorized access for malicious software. this is "taking stock" on bloomberg. ? >> 3-d printing --

phil mattingly, and jeanne cummings. yearsaid, the chinese new begins the 31st, and accounts for a lot of is this an age of because the country's population take thought for the holiday. in the united states, they're about 3.7 million chinese-americans. topext guest says there are brands that are fully embracing chinese consumers right here at home, using language and symbolism. salt gitlin -- saul gitlin specializes in asian marketing. let's just step back for just a second. when i say chinese new year to you, your of the horse, how do you feel? what does that make you think? >> my background is actually in degreei got an advanced in chinese culture, and what it makes me feel is that this is the most important holiday of the year like christmas in the united states. the one holiday that is broadly celebrated, the pause for festivity, and time off. it feels like a significant moment in the year, even though here in new york city i had to work today. it has that magnitude of importance as a holiday. >> there are some reta

i want to bring in our white house correspondent, phil mattingly. nsa?is going on with the secretary defense chuck hagel announced michael rogers, a vice admiral in the navy who is running the navy's intelligence and cyber security operations right now is the next rector of the national security agency. he will replace keith alexander who announced his retirement last year. we know about michael rogers right now, running cyber , heand for the u.s. navy has been slated for this while and wasr a an advisor to the joint chiefs of staff. he has a background in cryptography. thisel rogers was put on pathway a long time ago, but chuck hagel just announced a couple of minutes ago that he will in fact be the next director of the nsa. theoes this mean any of policies will change? you mentioned he was being groomed for the position or would retire to take this position as the head of the nsa. does this mean while they think all of the problems with the nsa will leave with the outgoing chief. ? the outgoing chief? >> after these reviews panels that came after the e

phil mattingly has the latest. what are the next steps?ght now we are dealing with hard deadlines. if lawmakers cannot find an agreement by january 15, we will have another government shutdown. however, everyone is a bit chastened after what happened last year. negotiators on both sides are close to a long-term spending agreement, and they have a stopgap gap in place in case they do not reach that in time. that stopgap is about three days. lawmakers bulldoze on it tomorrow -- will vote on it tomorrow so that they have time to complete the details on that full-year spending bill. lawmakers are expected to file the full-year spending bill .onight sometime we should have the full bill available to vote on soon. the bottom line, no government shutdown. that is good news for everyone. there might be a slight gap that should be filled by house and senate lawmakers. it is just a matter of ironing out the small details. >> thank you, phil mattingly. ,peaking of the estimates looking at the corporate world, it is earnings week. jpmorgan, goldman sa

speaking of that, phil mattingly with me from d.c..hat can bernanke say about the fed as he is on his way out to? >> we are about a half hour away from ben bernanke taking the stage. it is a few weeks after policy makers may then move to trim the bond buying program in less -- and less than one month away from his last months in office. this is being billed as his last major speech, likely a review of the turbulent time he has resided over. the fed's decision to start its taper came amid a series of economic reports. those positive economic reports have continued into the new year. it will be very interesting to see what, if anything, he says about his successor. the senate is to confirm janet yellen as the next federal chair. and bernanke has plenty of wisdom to impart. we will see if he shares any of it today. >> phil mattingly joining us there from d.c.. our white house respondent. ben bernanke will be speaking in 30 minutes time. in the meantime we move from macro issues to hedge funds. blizzard conditions today grounding thousands

phil mattingly is in washington. sort one thing out before we get to the pavement.ow many people have health care coverage now who did not before? >> the administration pointing to two point one million people have signed up through the federal or state exchanges. we're not sure how many of those people had coverage before. we're not sure how many did not have coverage before. due januaryents are 10. it actually -- insurers extended that from december 30 one. of those, the administration has not released how many have paid the premium. we know 2.1 billion people are enrolled. how many people are paying for that coverage, that is the big question. >> now that this has launched, what do these people do? what do republicans do it now that this is up and running? >> a couple of things. even administration officials acknowledge there will be difficulties with the first month rollout. not having insurance cards or knowing which doctors or hospitals are in their network. another key thing from senior republican aides during the disastrous rollout. smart republican said do

i want to bring in phil mattingly, joining us from dc. more revelations are reported in the new york times that the u.s. government cannot only spy on computers that are connected to the internet, they can spy on computers that are not connected to the internet. what are we to believe now? >> the more these revelations come out of u.s. national security, the more you look at it and say, "wow." what the president will try to do is a couple things. he will try to set the stage. these programs are necessary and they protect the u.s. intelligence services are doing their job that was allowed by congress. however, we are going to announce some curbs. they want to allow some public access to the secret fisa court. and they want to end the program on angela merkel. the bulk collection of telephone records, we're hearing from officials that this decision, what they will do in terms of where they store that data and continue to collect that data involved, will be left up to congress. what we see on friday may actually just be the start. congress w

phil mattingly joins us from washington, d.c. phil, this is the last step in what has been a lengthy process. any roadblocks expected? >> well, pimm, senate democrats really took the drama out of this nomination when they changed the vote threshold for nominees a couple of months ago. but there's something key to watch when they have this vote later on this hour. how many people vote against janet yellen? ben bernanke set a record in 2010 when 30 senators voted against him. 34 senators voted against janet yellen in a procedural vote before they left. there is an i am ens growing political pressure on the fed, even more than the last year, year and a half. republicans are about to start an investigation process on 1900th year anniversary. how many people vote against janet yellen today will be an important thing, an important gauge to look at going forward. obviously she has an enormous amount on her plate, pimm, going forward. clearly, as ben bernanke alluded to his last couple of times in public, dealing with congress is pretty h

lonnie chenow is and phil mattingly. likely to hear from the president on increasing the minimum wage? >> this has been an issue that the white house is talked about for a couple of years. we saw the first step forward this morning. the president tonight will announce that for federal contractors, he is going to sign an executive order mandating the increase of the minimum wage up to $10.10. this is a small sample size. white house officials estimate 200,000 people but this is the start of the first was as you try to pressure congress to pass a broader federal increase. not a lot of chance that occurs with a republican house. the first of been taking executive action is a broad theme you will see tonight. >> lan he, you say raising the minimum wage is a smallbore issue the president is undertaking. you say he has been unable to put together a broader economic agenda. we will see at, lot of the same themes and this year's state of the union we saw last year. there has been an inability in anything getting done on tax refo

. >> when we come back, phil mattingly is with us. he is a man whose pictures are -- it is 2014ell you, and i am excited. >> it is a big year for phil mattingly because congress has a lot to get done. that is what we will be talking about when we return. >> and it is a crucial vote today for boeing workers in washington state. we will see what is at stake. this is "market makers," back on bloomberg tv, streaming on your phone, tablet, and bloomberg.com. you can watch all our interview streaming live. ♪ >> you are watching "market on this friday in new york. congress is back in session next week with a long to do list for the next year. restoring unemployment benefits, immigration overhaul. we wonder which issues will get lawmakers' attention. phil mattingly, there was a note of bipartisanship toward the end of 2013 with the mini budget deal. is the goodwill going to extend into 2014? >> maybe optimism says a little bit. i think there will be some questions. read off the bat we have something things next week happening. foremost, janet

twice bloomberg's white house correspondent phil mattingly. phil, stand by. in a riveting editor richard falcon rock. he was a top security visor in the bush white house. -- let's bring in top security editor richard dawkinfalkenrath. about generalk issues related to privacy, but with respects to the pacific -- and the specifics, he will do very little. he will ask congress to adjust the law with respect to the bulk metadata. congress is one of its most this optional phases in years, so this is a very cup located area that will not move quickly. he is not being specific about how he wants to change the practice, polling the bulk metadata. i think in party does not know exactly what he wants to do. he knows that he has a lot of criticism coming his way primarily from the tech community and the civil liberties community and he wants to address that by talking about it, but i conclude from the timing of this speech that this is not in fact a high for hisive priority administration. >> why happy speech at all? >> -- why have the speech at all? >> to quiet the cri

but first, phil mattingly talks about an issue that will not go away. -- the nsa mess.had a lot of reading to do in hawaii. the 300 page report from his nsa advisory committee. what will you do? >> changes are coming. if it were not for edward snowden, this conversation would not be adding. we know that the president took the form with them hawaii. he has pled he will make a speech regarding the intelligence obstruction in the u.s. suntan next week he is expected to make changes. >> -- sometime next week he is expected to make changes. >> both sides are great critics. >> they align together on this. they have to make changes. they continue to protect their country in their view, but also i just upgrade that is going on in congress. if obama does not act, capitol hill will. he needs to do something before they try to -- >> what is the issue? >> it is a collection of telephone records, and millions of them. they feel like it is a key component of what they do. on capitol hill, you have got democrats who have major problems with that program. they want to move legislation

we might see an answer to that in the first couple of weeks when congress gets back. >> phil mattingly, thank you. back, deal or no deal -- mergers and acquisitions activity down 20% compared to 2012. what happens in macau stays in macau -- we will tell you why casino revenues are soaring there. snow -- we will tell you the best card to navigate in. stay "in the loop." we are just getting started on this friday morning. ♪ >> all right. that is a look at snow we new york. it is very icy. dangerous outside. work, beve to go to careful. when he 13 saw a 20% drop in mergers -- 2013 saw a 20% drop in mergers and acquisitions. aboutpert guest will talk deals this year. he has worked on deals such as drugstar.com. marshall, thank you for coming in. statistic,d this 20% the drop-off. there were some big tech and telecom deals. there was an airline deal. what can we expect this year? >> there was a drop in the numbers from about behind the numbers there is a story. equities are a good leading indicator of some form of recovery. we do not have a perfect recovery. we have been technically out of

thank you, phil mattingly, our white house correspondent.k at other top company news this morning. plans to go public. the italian automaker which has full control last week. it also cut its profit forecast after posting fourth-quarter earnings that fell short of wall street estimates. a new look for the company. considering a bid for the rebel can see no and hotel. it cost $2.6 billion to build. already the biggest layer. working on a new strategy following disappointing of its we you console. one point -- $1.2 billion on its buyback. it plans to unveil a new management strategy tomorrow. joins us onim hines his take on the state of the union address. a unique perspective on what the president's clans could mean for jobs and the economy. atter than estimated from -- look at the numbers as well as freezing temperatures and how they caused havoc in the south, including atlanta. what a mess. stay in the loop. ♪ >> herbalife was called a pyramid scheme. maker stephanie is looking into this. where is he going? >> it is a big deal. if you are som

to put the minimum wage hike and the issues of extending unemployment benefits in context with phil mattinglythe white house with the labor secretary, tom perez. lex i am with the secretary of labor, tom perez. his department is at the center of the income inequality issue the president has been talking about for the last couple of weeks. mr. secretary, thank you for your time. with the 1010t issue and the push for federal contractors. how many people do you sense this will apply to and what is the effort for trying to get a broader federal question? >> we don't have a broad sense yet because the regulations have not been finalized and there are a number of details to work out. but a substantial number of people will benefit from what the president is doing in his executive order. the fact that americans deserve a raise. anyone who works a full-time job should not live in poverty. millions of americans are working on full-time and falling on food stamps. when we put money in peoples pockets and pay them a fair wage for an honest day's work, that's good for the economy, it's good helps workers

phil mattingly joins us from the -- homeon, d c washington -- from washington, d.c. >> they change the boat threshold for nominees. there is something cute to watch when they have this vote later on this hour. how many people vote against janet yellen. record when set a 30 senators voted against him. immense growing political pressure on the fed. even more so than you have seen in the last year, year and a half. republicans are about to start a on theestigation process 100th year anniversary. how many voted against janet yellen will be an important gauge to look at going forward. she has an enormous amount on her plate going forward. clearly as ben bernanke has alluded to his last couple times in public, dealing with congress is pretty high up there. >> thank you. world of e-he commerce, india is the world's fifth-largest marketplace. snapop online retailer, deal. 20,000 members. the future is bright. what does that mean for an ipo? snapdeal's by founder. you just came in from india. how did you start this company? >> the company was started in [inaudible] we wanted to do something tog

phil mattingly joins us now.sed that a third party hold millions of phone records collected by the nsa. how much is that going to cost? >> this is a big issue, emily, of as you said, it is part 46 proposals by the president's own task force in the wake of the idea is that the nsa should not be holding the data. it should go to a third-party or two from carriers. dianne diane feinstein, chairman of the intelligence committee, said that would cost the phone carriers as much as $60 million a year and open them to an enormous amount of liability. the administration is so kind of going through whether or not they are going to take this recommendation from the task force. the president mentioned it in his last news conference of 2013. major concerns for phone theiers is -- if administration decides to take this route. >> obviously silicon valley is very interested in what the president decides. are they going to be getting what they want out of this. google, yahoo!, facebook, all of these companies have protested the w

is inerg's phil mattingly washington. which states are we talking about? >> it is a very interesting thing. it really started in the northeast. rhode island, connecticut, new jersey, new york, but also washington, california. the thing that underlies right now is that the states have really led the way on this. as of yesterday, there are now 21 states with a minimum wage over the federal threshold of $7.25, and that has driven washington. just take a listen to what president obama said in his income any quality speech earlier this month -- airportow there are workers and fast food workers and nurse assistants and retail salespeople who work their tails off and are still living at or barely above the poverty. and that is why it is well past the time to raise a minimum wage that in real terms right now is below were it was when harry truman was in office. [applause] when president obama gave that speech last month, early december time frame, his aides told me that was basically a state of the union like, so jenny were 28 when he gives the state of the unit,

phil mattingly joins us from washington with all of the details. foregonethis was a conclusion.hat does this mean? >> that is right. senate democrats took the drama out of this process when they changed the confirmation vote threshold a few weeks ago. of 56-20len by a vote six has now been confirmed to be the next chairman of the federal reserve. the 15th overall in its 100 year history and the first woman in the history of the feds. a big deal all around. a minor issue we have been keeping an ion when ben bernanke was confirmed, he set the record for the most senators opposed to his nomination with 30. they expect patient is that janet yellen would surpass that. she fell short with 26. big issue, whether a number of senators could make it back for the vote. ben bernanke holds on to that title when he does not -- one that he does not want to have. 26 opposed. the fed still recovering from the political scars of the financial crisis. never before were senators voting by 10's and 20's against federal reserve nominees. a lot of work to do from the fed. something bernanke has talked

. >> phil mattingly joining me from d.c. from energy and pipelines to energy and sports. this weekend's super bowl more than just an athletic contest. some of the biggest names gathered in new york to roast a former quarterback. the event raised money for his foundation, and he is with us now. you were a friars club honoree. lots of jokes at your expense, but you handled it. a lot of money coming in for charity. what was it like? it was great. we raised a ton of dough last night. the friars club foundation being led by jerry lewis has done such great work. the super bowl xlviii snowflake foundation, the boys and girls club in conjunction with this year's super bowl. i got a little bored there for a while because i thought it would be rougher than it was. roast,king of rough and official or unofficial, we are watching a playback. there was chris christie joining in. what was his best joke? back when i was a quarterback he said something about booing me back then and booing me now. >> i said something about the bridge. it was all in good fun. chris and i have become good fr

phil mattingly, white house reporter. at 9:00 p.m.rn we will have coverage of the state of the union address by president obama. program will be anchored by trish regan. turning to a major development in the world of technology in health care, a company called is america's largest optical ensure. they provide insurance to 60 million individuals. they maintain a network of 30 million providers. they announced a partnership with google and with me to tell me more is jim mcgrann. he is the resident of vsp vision care. he joins us from sacramento, california. i noticed that you are not necessarily wearing google glass right now because they are not readily available. when they are, what should we all come to you? you will help us pay for this? >> exactly. great to be here. thank you for having me. this is a pair of them right now. the new prescription eyewear that is being launched today. he is the global -- vsp global is excited about being involved here. we're excited for our doctors and six to 4 million mappers. we are made up of four

phil mattingly with me now with the details.evel changes are serving as the spark for a larger federal push. what is the idea? >> it has been really interesting. as of january 1, 21 states now have a higher minimum wage than the federal threshold of 725. what this has done, it has latched on to the populist movement. now federal legislators are looking to back up with it as well. president barack obama first mentioned this earlier last year. you mentioned it again in a speech and you will see it again in this state of the union. obviously, one major issue, republicans do not want any part of this. big business is very against this now. a republican-led house and split congress, it is unlikely it will move through capitol hill. as 2004 two elections pick up, keep an eye on this issue. democrats will handle -- hammer it going forward. act isaffordable care certainly front and center. recent proms have come to light? >> that is true. what we got at 9:30 p.m. on new year's eve, the supreme court one of the a stay on mandates related

phil mattingly, you have been watching this, and the reason you have been watching this is twofold.e many people believe he has white house ambitions, and also because the justice department is involved. >> we got word during this press conference that the new york -- the justice department in new jersey has opened a probe into the lane closures. chris christie used to be the u.s. attorney of new jersey and knows the office well and knows what they are doing very well. again, preliminary inquiry. christie, was a very smart, very savvy political operator, to come out and make these points dead set, that he knew nothing about it, nothing whatsoever, he better be darn sure. and i would imagine he is sure that there is no paper, no way that this could be tracked back to him, not only for his lyrical future. but when you get federal prosecutors involved, especially veterans of the justice department to vinyl think he will put himself in the position where what he is saying today can be used against him. a lot of problems still ahead, but i don't think you see chris christie out making su

i want to bring in phil mattingly. we have been talking about the speech coming up on friday. reports today about revelations that the nsa surveillance capabilities are even deeper and broader than we thought and that they can connect two computers that are not even on the internet. what do we expect to hear from the president on friday? >> i think the president will have a wide range speech when he goes to the justice department friday. he will talk about the basis for these programs and why they are in place and white he thinks these programs work for it he will also announce a series of changes. the couple that we know of off the bat, the spying on foreign leaders, particularly allies, will be cut off. we will see the privacy advocates put into the secret court, the fisa court that allows the ball collection of all the data. a lot of the stuff the president is going to push to congress and let congress decide how to go on these restrictions. lawmakers in both size of this issue are interested to see what he has to say. when it comes to his proposal, it will be interesting t

we are joined now by our very own phil mattingly who has been listening in washington. the chairman made very clear the economy has come a long way but there is dull some slack. what stood out to you as you listen the speech? >> the positive message is what led them to reduce the bond purchases last month, the taper. bernanke said the headwinds are starting to abate. that has to be good news for the economy in the months ahead. that was a direct shot at congress and the fiscal policy in a more broad, expansive way than i have seen or heard the chairman take before. he made very clear that the fiscal policies pursued by the federal government over the last couple of years, both in deadlocks as well as tax increases and budget cuts have contributed heavily to the slower recovery. that is something you hear behind the scenes from fed officials, but for the first time, burning he came out and called out lawmakers. hurdles remaining. >> you're absolutely right, calling out congress, just like you, me, and everyone else out there. congress has made a mess of so much. the econ

phil mattingly, thank you so much for bringing that to us. >> hi missy is a big issue in china. >> it is hard to get in china. >> china mobile is owned by the government. they began selling iphones today. this is fascinating. tim cook was in china and he signed it on a graph -- otto graf. -- autograph. people were bugging him about flexible screens and a bigger iphone. that is what some of the competitors are working on. he said we do not reveal our plans. he said great things are coming, we can promise you that. >> we have been hearing for a while that there is going to be some great thing. tv toody wants apple really do something. how much can you continue to promise and not deliver? do you think the market community is getting impatient? wen my beer -- when might see something? >> they are getting impatient in the u.s.. anyvation is key to company's growth. we all have iphones. , why would you buy a new iphone? you, newn is can technology is key. is it bigger screens? are we able to type on it? >> innovation is what powers everything. >> we are going to be able to take your iphone

. >> phil mattingly in washington. the prime minister will be late to rest at his desert ranch.n a coma. australia will -- australian leaders paid tribute to him. nearly 80,000 protesters blocked major roads and banks. the demonstrators say they will maintain the blockade until they agree to postpone the secondary election and allow unelected councils to perform the country -- to reform the country's political system. thatmagazine report says the french first lady was hospitalized for rest and some -- and some tests. they have been in a long-term relationship. she was not very well liked by the public. that does it for today. tomorrow joe to fit joins me. find out how the real estate giant used his work smarts to work his way up. >> is approaching 56 minutes past the hour. bloomberg tv is on the markets. focus,our futures and let's take a look at where markets are changing. lowere a little bit of a open as people look at earnings for the rest of the week. not really big declines. the s&p just off two points. the markets are down a 10th of a percent across-the-board. as we freque

phil mattingly is standing by with a little more perspective. we have you back. give us more context. seeing right now, the president is going to try to put the pressure on republicans, both senate and house to move this forward. >> i'm sorry, phil. i wanted to get your thoughts, but he is going to start speaking right now. >> happy new year, everybody. i hope you're keeping warm. a few weeks ago i said that 2014 could be a breakthrough year for america. think about it. five years ago, this month, our economy was shedding 800,000 jobs. just in one month. buckle down and work hard and sacrifice, we began to come back. businesses have created more than a million new jobs since we at the bottom. our auto industry has gone from bust to boom. is housing market rebounding. stock markets are restoring , the promisecounts of independence is actually inside. health care costs you left of our economy. costs have grown at the slowest rate on record. since i took office, we cut our deficit by more than half. america is getting stronger and we have made prog

phil mattingly joins us with that story. what are they doing in social media right now it is different to what they have done in the past? >> it is everything right now. 33 million people are expected to watch the state of the union address tomorrow, half of what bill clinton averaged in his terms. the white house knows that they need to reach out. they have been giving staffers the official white house instagram account for the last 10 days to try to show behind and connect to people like that. get a video outreach, explaining what is going on. after the state of the union, something to keep an eye on, they will take a virtual road trip to sell the proposal tomorrow night. you will have cameras coming with him, he will be online as a regular participant, conversing with people as they walk through. basically, social media is huge as they try to address the top -- the drop in viewership, related, as you noted, to the huge speech he is giving tomorrow. >> another trending story thereow, tom perkins, out this weekend, making s