olivia: with pimco as a green -- with pimco as an analyst.guy, you can say what you want about his policies he worked his tail off. olivia: i thought you said -- i but you're going to say he's a sassy blogger. matt: the big money behind the big fight. two cable giants put aside differences to make it happen as they are going to get paid more money than ben bernanke will ever see in a lifetime. olivia: central bank and boxing. ♪ matt: time to bring you up-to-date on the top stories of the morning. prime minister shinzo abe is the first japanese leader to it dress a joint meeting of congress. aid is expected to echo president obama --abe is expected to echo the bomb -- president obama. a big quarter for the chrysler. first-quarter profit jumped 22% thanks to north american sales. sales in north america have risen for 60 months in a row. european business showed a profit for the second straight quarter. julio --hluulu is looking for a hit. who is co-owned by disney, comcast and 30th century -- 20th century fox. participants in the show. coming u

pimco still manages almost $1.6 trillion.they're still a big horse but i do think they need ben bernanke. i mean, going forward, we have to unwind this huge debt. now, in the, since 2008, our debt has gone from 10 trillion, to over $18.5 trillion. they have to unwind that. they have been at 0% interest rates for six years they have to unwind that also. interest rates have nowhere else to go but up. pimco need him for investor confidence but i think they could learn from him what is behind the fed's thinking? what was he thinking when he was there? what were his thoughts how to unwind this? what is the fed thinking now. liz: those are great points, jeff. in the end a lot of our viewers have pimco funds in their portfolio. should they feel more confident ben bernanke is there, less even? >> i think a little bit more. to rob's point, look they have 1.6 trillion under management but they did lose 125 billion, a little bet less than 10% since bill gross left they are suffering from some competence factors. ben bernanke can bring u

up next, more reaction to the pimco's tony crescenzi. stay with us. special coverage of the fed continues in a moment. ♪ mark: welcome back to the second half-hour of "bottom line" on bloomberg television. i am mark crumpton. as we always do at this time, crude oil closing, up about 2.5%, trading at 58.49. let's get to some of the other top stories we are following at this hour. japanese prime ministers shinzo abe offered condolences for the americans who died in world war ii in a historic address in capitol hill. he is the first japanese prime minister to address a joint meeting of congress. his speech comes as both countries mark the 70th anniversary of the end of war two. a show of force overnight in baltimore, national guard troops and police officers kept the streets calm for the most part a day after widespread looting and violence. police did use tear gas to break up a crowd of about 200. those people had ignored the 10:00 curfew. meantime, president obama says he may visit baltimore soon and as a safety measure, the baltimore orioles are playi

both pimco and other say it is time to sell treasury.entral banks are underway in the market is structurally short dollars. that is what the bloomberg story is saying this morning that the market has room to go. we are .8% away from record highs in the dollar. morgan stanley says you will get hikes by the end of this year and sales of mortgage-backed securities. 1.5 percentage points higher in dollar rates next year. that is the dollar story set to trade higher. we are down 1.25%. chinese exports fall nearly 15% but the imports are down by 12%. iron ore at a price of $30. in 2015 they are saying it will trade down to $45. aussie dollar is under pressure vicariously as a result of the china story. pimco says it is not a slamdunk it is the path of least resistance and is still one of their conviction trades to short the aussie dollar-dollar. you have the dollar higher and yen lower. you see these rates out of the bank of japan when they are saying get ready for zero or negative insulation data. with that in mind, what comes next from the b

let's bring in one of the biggest and best from pimco. let's play past what the fed may or may not do today with what you're going your portfolios and what i as an individual investor might well do given what your basic hypothesis is about the direction of interest rates. what are you doing? what should i do? >> thanks. well we think the main thing that investors should be focused on as a theme is this ongoing policy normalization, the divergence between what the u.s. federal reserve is doing and other central banks in the world are doing. a lot of investment themes we have in work in the pofrls they emanate from that idea. we do think it's likely the federal reserve begins to normalize interest rates this summer, probably late summer maybe september. and that's at odds with what's going on with the rest of the world where there's vast amounts of quantitative easing that are supporting bond price and financial assets in general. so that means one has to be a little bit more careful when taking bond risk in the u.s. one reason why we're un

there was a performance rebound for pimco this year.e pulled $7.3 billion in march from the pimco return bond. this means that there has been $700 billion taken from the fund increasing their stock. stocks close out in the green and let's get back to the breaking news desk where our chief correspondent julie hyman is taking a look at the take movers of the day, all in anticipation of jobs. julie: yes indeed, i talked earlier about some of the biggest gains we saw earlier and the s&p 500 had the biggest mover, and that was motorola solutions. the company was unable to find buyers after searching for months or either a private equity buyer or a strategic one, and it looks like there was trouble on any part of the potential buyers to find financing and buyers were not biting because motorola solutions is about a 14 billion dollar company -- $14 billion company. we talked about valero and what went on with oil prices today given what had gone on with the iran agreement, so those of stocks went down sharply, and we did not talk about the ind

pimco is outpacing most of the rivals nearly six months after bill gross's leave of the fund. the fund returned 3.7%. ahead of 92% of the peers and the benchmark. and tomorrow on "nighlty business report," we'll speak with scott mather the man who runs pimco's total return fund. it looks like the ipo market has been jolted back to life. after a slow start, last night we told you that was all about to change and it did. shares of etsy surged, more than doubling at one point. and an an interview, the ceo said it is focused on growing globally. >> 30% of the shares are international. we are focussed on a few key countries and our strategy is to build mashlgt globally. the countries are balanced buyer and seller eco-systems, so canada u.k. western europe and we are focused on those countries. etsy closed up 87% to $30 a share. >>> party city the discount supply store took party to wall street today. investors embraced the shares and the ceo said what makes that retailer attractive is the unique structure. >> we really are the traditional retailer. we have three legs to the store.

he's scott mather the chief investment officer for pimco. good to see you scott, welcome back. >> good to see you, sue. thank you for having me. >> you are outpacing your peers by better than 90% and you've turned that fund around. how did you do it? >> well i'd like to tell you it is all myself but it is really not. we have a process here that is a large team of people involved in designing the strategies and the individual securities that we're excellenting for the fund -- excellenting for the fund. so we have 260 portfolio managers and they are part of the strategy-making process. so it is using the same people and the same processes that have allowed us to outperform over numerous market cycles for deck ates. so we are returning the fund back to where we spend most of the time at the top of the league taes. >> indeed. where did you find the best trades and the best value in the market. because you've basically been looking around the globe as webe as in the treasury market. so where did you find the most opportunity? >> well there is a f

why is that a good thing for pimco?s: well, when i was with pimco, we hooked up with alan greenspan, and he came for four or five years every quarter, and we had discussions, and i think it is a good move from that standpoint, and it is obviously not a -- it is a public relations effort. erik: it is a public relations expert? bill gross: of course, being able to hook up with an bernanke. that is one of the reasons we did it with alan greenspan, but we found that there were some very positive benefits. erik: what kind of value can a former pred -- fed chairman revived? bill gross: well he can provide, and she can provide, a sense of what the fed thinks in terms of how they approach a forward-looking problem, such as inflation too low, or the real economy too low, and so that is helpful. and that does not mean a buy in. but at least you know what they are thinking. and it is always good to not fight the fed but to put on a coffee mug long ago to be there. erik: so you would hire him, if you could? bill gross: i have moved

matt: pimco is more prepared for a hawkish move than the market is.est people in the market i have talked to say if there is any rate increase this year, it will be 12.5 basis points. essentially nothing. betty: not 25 basis points. matt: like nothing. like not happening this year. betty: why bother? i want to bring in jim beyond nco who is sticking with his guns and saying the fed will not raise rates this year. matt: oh he agrees? good. betty: go ahead. >> i think what you talked about with pimco is the big issue right now as far as the fed. the market is pricing something different than what the fed is saying to us right now. matt: are you saying september? >> i think the fed wants to raise rates one or two times this year. i think the market will say you will move probably one at the most and maybe not at all this year. there is the difference right now. the market is a lot more doveio sh. as long as the dues of urgent -- as long as the diversions continues, i think financial stability is a critical thing for the fed. that want to raise rates when

our pre-and post round table includes diane's walk --includes tony chris enzi of pimco.e you at 1:56 just before the fed's announcement. cory: "bloomberg west" will be right back. ♪ cory: this is cory johnson. this is "bloomberg west." hollywood designs people and places that do not exist. this is the daily task for a london-based firm that counts "guardians" as one of its designs. check this out. >> we make emotional experiences. visual effects in the past has been making things look real that don't exist. if you can't film something, we put it in the computer. it has gone further than this and it's more about creating emotional memories for people that they will keep with them hopefully for their lifetime. cory: i just watched "guardians of the galaxy" two weeks ago on an airplane. you made this character of a smack talking raccoon. what were you trying to do with that? it seems like there are so many ways it could have gone wrong. the raccoons really talk? mike: i reckon they do. most of the characters we create have to create emotion, have to interact with people. fo

the executive vice president market strategist at pimco joins me now from newport beach california. welcome back. did we get any sense on when these rates may be raised? tony: the fed is making it clear again that it will be up to future data. it did tell us a little bit about how high the bar is and what it wants to see. one of these things is some stability in oil and dollar, two things that have concerned the fed of late. there is some of that and the fed will need more time. there is some language that suggests and will deadly today said there could be a hike in june. several have suggested that a favored a hike in june. numerically, four or five of the 17 or so participants in the meeting, so it's not quite enough to get over the bar set by the leadership. it is very data dependent in terms of when the dead will move. -- the fed will move will stop mark: our markets and investors too worried about when the fed will raise rates? tony: pimco would like to suggest you not get too concerned about the analysis and get caught up in timing the markets. that's always a dangerous thing.

at pimco. global equities at pimco. stay with us.y 34 minutes away from the start of today's european equities session. ♪ manus: welcome back to "countdown." 7:30 in london. swedish kronor flat at the moment. 8.5114 is where we are. nine out of 20 economists that we polled said you are going to see a deeper cut. a more negative rate on the kronor interest rate. what size, maybe additional quantitative easing to keep the pace with the european central bank. that is going to be the question of the day. that is going to be the zarter of the day. the dollar is undecided at the moment against the swedish kronor. numbers were not that strong. the fomc has a two-day meeting. overbly we know june is most likely off the cards. september is the new prediction for a rate hike. april has never been kind to the dollar. not for five years. have a look over the past 30 days. this will be the fifth year in a row where you have a negative dollar. bad weather last year. g.d.p. also due today in the united states of america. that is expected to come in

pimm co -- pimco, latest to sell treasuries in a bet perhaps this rally is over.ime that headline alone might have been something of a market mover. not any longer. put it into perspective for us. lisa: sure, everybody is hating on bonds for a long time, hating on treasuries for a while saying if the fed will hike rates, that means yields go up, prices go down. will you have losses. and that has been the prevailing wisdom for many years and that got turned on its head in a massive way this year and last year. it's been sort of a very punishing bet to try to bet against treasuries right? but here's the thing, it's a question of, is it a long-term strategy to be short or is it sort of reducing the exposure to the thing, it's treasuries right now because there might be volatility coming up or the yields might cream up a little bit? i think what people are looking at is they're saying in the u.s., if inflation rises enough you start to basically get negative real rate of return if you own treasuries at too low yields. there's sort of a floor to how low they can go. th

pimco runs the world's biggest bond fund.ing advantage by cutting its positions in short-term treasuries. in puerto rico, the government development bank -- i will slow this down because i want you to pay attention -- warns that the government may have to shut down in the next three months because it is running out of money. the bank says puerto rico's fiscal problems will keep it from selling more bonds. puerto rico is trying to reduce its 70 through in dollars -- $73 million in public debt. coming up in just a few minutes amazon reveals one of its secrets, just how much it takes from its cloud services. taking a museum into the 21st century. we will see what new york's whitney museum did with $400 million. erik: deutsche bank is paying the price. regulators ordered deutsche bank to pay $2.5 billion and fire seven employees, the largest penalty yet in the investigation of interest rate rigging. edward evans is with us from london. the -- this case is different from cases that have been brought against ubs. what is at the top

bob dole and pimco's richard clarita next on cnbc.e so committed to keeping you connected? why combine performance with a conscience? why innovate for a future without accidents? why do any of it? why do all of it? because if it matters to you it's everything to us. the xc60 crossover. from volvo. lease the well equiped volvo xc60 today. visit your local volvo showroom for details. >>> here's your cnbc news update at this hour. we could learn the fate of accused boston marathon bomber dzhokhar tsarnaev. the defense team's goal has been to keep him from being put to death. they blamed his older brother tamerlan as the mastermind of the attack. ""rolling stone" retracted its story after a report cob colluded the piece had serious flaws throughout. the magazine said no one on staff would lose their job. >>> overseas the kenyan air force struck back at al shabab in the wake of last week's militant attack on the university that killed 148 people. one of the attackers was a law school educated son of a government official. >>> greece's fina

the former chairman of the federal reserve hasn hired by pimco as a senior adviser to that firm.ernanke will provide guidance on the investment process and meet with clients on occasion.r this month, bern main key joined citadel in an advised rerole. >>> another survey on americans' ability to save. according to northwestern mutual one-third of those surveyed have no financial plan. 58% believe they need time prove their financial planning effort. 43% haven't spoke on the anybody about retirement planning. and 21% of americans are not confident they will reach their financial goals. >>> more small businesses are able to do something they once thought would be impossible -- export. and the decision to expand sales overseas has created ainancial lifeline for some of them. kate rogers has more on the rise of the so-called micromultinationals. >> reporter: exporting has brought dell music, an institution in redwood city california since 1939 back from the brink. the brick-and-mortar took a stab at selling products overseas seven years ago on ebay amid construction and slowing growth.

with us, tony of pimco, later, jim glassman and bill gross. this "bloomberg surveillance."ve.

mark: he has had a tough times the left pimco but his fortune might be turning because his bond fundhe last month -- returned 2.4%. he actually bet against the dollar. he said in an interview recently that he is betting -- that he had been betting for several months that the dollar would stop rising and the gap between u.s. and european rates would narrow. that trait hurt him in until recently. gross said it is not the trade of the century or even the trade of the decade, but i do think it is the trade of the year. his fund has returned 1.1% since he took over compared with a return on the pimco unconstrained bond fund. because he lost money in february, it could be that the tide is turning for bill gross. countdown continues in the next hour. we will go to paris as european airlines brace for a planned strike from air traffic controllers. ♪ mark: shell is in talks to buy be pete gross. they feel it would catapult shell to the top of the global gas export industry. caroline: the bank of japan keeps stimulus at a record as the third-largest economy fights inflation. the 2% target gets

with us, tony of pimco, later, jim glassman and bill gross. this "bloomberg surveillance." we are live. it is friday, april 3. i am tom keene. not with me is michael mckee not with me is brendan greeley. with me she is such a trooper olivia sterns. olivia: the labor department report is due out. 12 straight months with games with at least 200,000 jobs. 20 years since that last happened. wall street will not be reacting today. the market is closed. after nine years, iran nuclear talks are heading into their final stage. terms of a plan to keep iran from building nuclear weapons. both sides say it is a historic step. >> it is not whether it meets all of the desires of one side at the expense of the other. the test is whether or not it will leave the world safer. olivia: president obama must persuade congress to okay the deal. pres. obama: if we see something suspicious, we will inspect it. with this deal and ron will face more inspections than any other country in the world. if congress kills the deal without offering any reasonable alternatives, the united states will be bla

alex: he is beating the comparable fund at pimco. unconstrained fund is up a whopping 1.1%. with a fund manager like this you want a look at five year track record. we had them on "bloomberg surveillance." what he is trying to do is sell volatility. he does not think the dollar is going to appreciate so quickly. alex: two to five years is what he has said. you have to give him the benefit of this short-term return. people were selling out of his fund in february, the first exits out of those funds. for him it is still the optics, proving he's still in the game. do you know that he did not make the duke basketball team? matt: jpmorgan is looking to curb its litigation and legal costs. it is rolling out and out through the program to identify rogue employees before they go a straight. dozens of incidents will be fed into the software. it is so minority report. they need to get triplets and put them in a pool of water and connect something to their brains to forecast. alex: i have seen the movie. they do have 36 billion reasons why. mat

blackrock, pimco, they are going to be here. does that sides and that scale give you an edge when it comes to attracting new business? >> absolutely. we see the money move. we know what our clients are doing. we know what they are concerned with. second we can team up with the very best, the smartest people around the globe, and all sit in one room and be the fiduciary of our clients money. we basically come up with an investment strategy that we implement around the globe. we have presence in every market. we have hundreds of researchers. we team up with the investment bank. this is a full-fledged way of how to manage money in a complex world. manus: what are the other great debates? the valuation of ubs is quite high. the expectation is high on your shoulders. to grow that business is julius baer talking to credit suisse? to stay at the ubs family, when you look around the globe, what is the benchmark? is in organic growth or acquisitions? >> it is truly organic growth. the underlying performance measurement is, we want 3% to

this is his second in two weeks of the former fed chair has been hired by pimco as a senior advisor.is already working a similar role at hedge fund citadel. bernanke says he has no plans to join anywhere else. >>> daredevil nic wallenda completed his most dangerous stunt today. see that little speck up there? that is him. the high wire artist, walked the outside edge of the orlando eye, which is the tallest ferris wheel on the east coast. it was made more difficult by wet and windy weather. scary. well-done. >>> real life "game of thrones," saudi arabia's new king is ushering in a new waive of royalty. problems piling up for lumber liquidators. why what the company is facing and more "money" coming up ♪ now? can i at least put my shoes on? if your bladder is calling the shots ... you may have a medical condition called overactive bladder ... ...or oab you've got to be kidding me. i've had enough! it's time to talk to the doctor. ask your doctor how myrbetriq may help treat... ...oab symptoms of urgency frequency, and leakage. which may mean fewer trips to the bathroom. myrbetriq (mir

joining pimco as a senior adviser. after joining citadel as an adviser later this month.ll contribute his experience and engage with clients. hulu landed the exclusive rights for one of the biggest tv shows of all time. seinfeld will be available to start streaming in june. hulu will have future shows from ifc and sundance tv. those are the stories in the news tonight. are you ready for some football? for the first time in almost 50 years, the nfl draft is kicking off in the windy city. jeff flock joins us from draft town chicago the ultimate fan experience. you have the best assignments, my friend. jeff: this is pretty incredible. i've been to a lot of ex-trav gandexraf gand as. this is up there. take a look at where it will take place. friends from fox sports. look at that. all kinds of exhibits and other ways for fans to participate here. roger goodell was the first person to take place in an interactive exhibit today. we saw it live. >> you know who that is you're looking at live with his hands up in the air. the commissioner of the nfl, roger goodell who yesterday --

we've got pimco's scott may and genesis bill gross and a whole pile of people coming up with a big lineup three sectorings you should be in. when the fed eventually does begin do raise rates. and home builders getting hurt today. the stocks all over the map this year. why maybe it is now time to get bullish on them. lots of things coming up guys, big fed day, back to you. >>> shares of lumber liquidators are falling fast. go we're arwatching shares downy 20%. the company reported a first quarter loss of 29 cents. analysts were expecting a profit of 15 cents a share. and revenues beat slightly. meanwhile the company continues to face questions over some of its flooring materials. it says the justice department may be seeking criminal charges against it in relation to its imports from china. lumber liquidators says the current cfo will leave the company in june. the shares taking a big hit, down by 19%. >> thank you so much. obviously whitney tillis is probably a happy watcher of that today. obviously he's short the stock. speaking of hedge fund managers, we have a very big line-up next wee

>> i think pimco has a bund etf although it never trades and i'm not sure on the market cap.s really bringing it back to the equity market. dgxt is your hedged european stock portfolio. just be careful with that. take a third off. take a half off and take some profits. >> it has seen a big move. loved it, b.k., at the smart board. time for pops and drops. the big movers of the day. we've got a drop for cliff's naturals. down 2%. >> they report in a couple weeks. there's some big call buying. we saw it in front of the last quarterly earnings. 20,000 of the april 6 calls, paying 34 cents. that's an interesting levered bet to the upside. high short interesting here, 51%. if you're going to play a name that's kind of distressed that's one which to do it. >> drop for symantec. >> gave back what they gained on friday when they talked about spinning out veritas. news was maybe there's not that much interest in it. i do like this name. i like palo alto networks better. >> a drop for fossil down 4%. >> they lowered some earnings expectations. this is a stock that's been reacting as pe

and we'll talk to a fund manager of pimco who tells us. >>> david faber, jim cramer back to help me welcomes in fact we are he doesn't live in san francisco, either. >> no. >> came here just for you guys. >> john legere, ceo of t-mobile. our guest a long way from the new york stock exchange where we last saw you, but nice to have you here. >> we moved our earnings here, we did them this morning so we could be part of cnbc launching itself out here on the west coast. plus i had to come congratulate jim on his wedding. >> thank you very much. you're very sweet, very nice. >> you'll be joining him as well for a little more conversation on "mad money." let's start with earnings, they look good, the market reacting relatively positively. i guess the question starts to become, we look at the market share changes taking place in the industry and clearly you've been quite successful in taking customers, but verizon and at&t are not just standing still. neither is sprint. i mean they are competing and it would seem competing more fiercely perhaps than it originally were when they weren't taking you

ben bernanke is joining bond giant pimco as senior adviser.e a consultant for hedge fund citadel said he would restrict his wall street advisory roles to just those two firms. french president has decided to increase the country's military budget. it's in order to combat terrorism. the increase will allow the defense ministry to cut 18,000 fewer jobs than previously planned. >>> and anheuser busch has apologized after upsetting consumers with a label on some of its bud light beer bottles. it read quote, the perfect beer for removing no from your vocabulary for the night. social media users said it promoted date rape. >>> danica patrick's sponsorship by go daddy is pulling their sponsorship. and that's your cnbc update at this hour. let's get back to "squawk alley." >>> thank you for that update. john burbank's pass part capital was one of the best performers in the first quarter. what is burbank's strategy for the rest of the year. david fab certificate outside here at one market plaza with passport capital founder john burbank to get details.

betty: gross who left pimco last year also commented on news that his former firm is hiring an bernanke-- >> a sense of what the fed thinks in terms of how they approach a forward-looking problems such as inflation to low or the real economy to low. it does not mean you have to buy in. i don't buy in. betty: bond guru bill gross at janice. japan's prime minister making a historic speech before congress offering eternal condolences to the american lives lost in world war ii. shinzo abe expressed -- he urged lawmakers to seal in asia transpacific trade deal. there is now a target for great bailout deal. a key factor, prime minister alexis tsipras is taking a bigger role in the talks. european ministers do not want to send money until their short greece will fix it economy. investors are increasingly pessimistic about the crisis. exxon mobil posting its biggest earning surprise in at least a decade. the energy producer's profit beat estimates amid lower crude prices. 41% higher than analysts estimate. the biggest margin since 2004. those are your top stories. much more ahead what does it t

bill gross was ousted from pimco last fall.o shorten the lines when it smart watch his stores. it is urging staffers to tell customers they can order it online. apple customers often wait in line four days to buy new products. preorders for the launch start this friday. brendan: coming up at 8:00 a.m., shall strikes the biggest energy deal in a decade. we will be talking about that all day. rahm emanuel is reelected. can he fixed chicago's dash cam nyfix chicago's growing problems? -- can he fix chicago's growing problems? and we look at iran's impact on oil markets. jeff bezos is waiting for approval of his drones, but while he waits he is testing out drones in canada close to the border at a secret facility. with us is our -- is 32 advisor ceo robert will. you have drones, too and like jeff bezos, you are frustrated with the pace of approval from the faa. robert: yes, 32 advisors is an advisory company. we don't actually own drones. we work with disaster recovery and will be happy to announce something with the american red c

pimco's chief investment officer for global equities and she is sticking around for the first half-hourulse." still ahead, russia lifts its ban on missile sales to iran. and coming up later today, the 21-year-old masters winner jordan spieth will be on bloomberg tv. you don't want to nace interview. that is at 4:30 p.m. london time. ♪ francine: now russia is lifting a ban on the delivery of a missile system to iran drawing the ire of the u.s. and israel. hans, what does this actually mean for the progress of nuclear talks? hanz: the russians are saying they are doing this with goodwill. it is growing to greatly complicate any time agreement after that preliminary deal on april 2. what we're talking about here, the s-300 missile system, there is already a net 400 system which 45s been sent to the chinese. russia said they are lifting the ban. they made it clear it would not be points in israel's direction. >> it cannot serve objective purposes and will not -- offensive purposes. hanz: some of the criticism of this if russians noong have their first foot in the deal if sanctions are lifte

he was at a time in office when he saw his predecessor go to work for pimco and -- stephanie: paulson saw larry summers go to work for de shaw and not just saw, but understood the criticism they had to endure for being, what many people saw as sellouts. stephanie: but guess what? you can say they endured a lot of criticism, but on the other hand, they got paid. if you are ben bernanke, maybe it is your moment. you want to get paid. erik: you are already getting paid. he is getting paid $200,000 -- stephanie: $200,000 for a speech. he is going to run out of getting public speaking requests. he will be paid less and less. those who can't count on. 10% -- he will be paid every single week and being on the buy side, he can pay a lot more. being that jpmorgan is no longer in a situation where they can write big checks to senior people who are former members of the government, it's all part of the game. erik: i get all this, but if you want to, you know, get rid of this perception, this revolving door and ultimately is the people who regulate finance captive to those who are regulated like,

pimco is still feeling the aftershock of bill gross is the parts are. shares fell more than 5%.st withdrawals in history. he left for james n last september. the space s lightship reaches the international space station and brings with it the world's first espresso machine belt for astronauts. the jack and capsule was launched in florida three days ago. it's arrival means more than 4000 pounds of groceries and equipment and that espresso machine is for an italian astronaut who has been stuck with instant coffee since the mission began last year. tom: you are serious? brendan: that is the best news item that we have had today. nobody tops tim cook of apple. that is the first ever bloomberg pay index. it compares a company's profit to what the ceos pay. cook ranks 17th last year and is among the highest-paid u.s. executives. tom: it is a really legit analysis. i give them great credit for losing the silliness out of it. looking forward to the 8:00 hour, markets on the move. american express -- their revenue is a little bit challenge. we will take a look at your credit card. in the

tony crescenzi of pimco.ss of janus capital, and alan krueger will join us from princeton university. that is a pretty good list your it we will look tomorrow morning at washington. good morning. ♪ tom: good morning, everyone. "bloomberg surveillance." alan krueger will be fascinating on the two americas. here is brendan greeley. brendan: from the hellenic republic, written as a document prepared by greece's government today. tom is a guy who looks at the numbers. this is their proposal to the eurozone. i like to read the preamble to show what they are thinking. olivia: i do not mean to be completely rude, but how can you say forget the past but also you os money from world war ii? brendan: exactly. i think it is acknowledged that that is negotiating -- olivia: he keeps bringing it up there it i have seen that many times. brendan: this is their competing narratives right now. tom: where does this go into the weekend with spreads out 10 basis points this morning? brendan: we keep having conversations with hans

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let me ask you real quickly, ben bernanke joining an advisory role at pimco. proof that our federal mandarins have way too much power over the lives of people in finance, they are asked to serve high-level salesmen when they get out. >> jim grant putting it in very few words for us. >>> we have breaking news on apple, we understand. >> what we have here is a dow jones industrial average report saying that apple found defects in certain key components of the apple watch that just got released. the story goes on to see a key component of the apple watch was found to be defective which prompted apple to limit availability of the highly anticipated product. now, the part involves the so-called engine the part of the watch that taps your wrist or notifies you when something -- a notification has come on the watch. it's this particular one is produce's by china's aac technologies. another supplier of those tap engines didn't have the same problem. it looks like at least according to the story, it looks like the availability or shortage of watches may have been a def

he'll be senior adviser and he points out in the interview that the fed does not regulate pimco. back to sue. >> two big names in the news today. here's your other update at this hour. >> the most likely successor to the king. as part of the leadership overhaul there's more with commercial backgrounds for government roles. authorities and local residents continue cleaning out the ruins around a temple. more than 5,100 people died from the earthquake. gun fire rang out last night during a protest in ferguson missouri. several dozen were holding a demonstration in support of baltimore when someone fired several shots. not clear where the shots came from. pope francis calling for equal pay for women. he made the appeal as he spoke to thousands gathered. he warned the crowd men should not be sexist. that is your cnbc news update at this hour. back to you guys. >> >>. >> thank you, sue. san francisco is the home of levi strauss and accompany. good to see you again. >> welcome to the neighbor. this has been home for 162 years. >> amazing corporate story. well understood. we're asking q

and global head of financial research at pimco. >> first quarter profits came in at $2.1 billion. keeping the results in context, however, that figure is down from 3.4 billion just a year ago. now along with all the energy majors, bp has been hit by slumping oil prices although i have to say that over the last month or the course of april we have seen a huge reverse in the price of oil. they have also been topping estimates although like bp it reported fallen first quarter profits down to $2.6 billion. it was a similar story to bp on production with higher output helping to offset falling oil prices. he's an oil and gas portfolio manager and analyst. welcome. >> good morning. >> good morning. bp. talk to us about bp. >> these were a pretty good set of results in context. they did beat expectations. a lot of that was down to refine chg is excellent and they're saying we'll continue. i think here we're starting to see the real signs of cost control in the industry which is what we need to see in the new world of $65 oil and not the $10 plus we saw a year ago. >> and that cost contro

mohammed mohammed el-arien paid $230 million a year to be a lead or the pimco.on cnbc he's gone into cash, he's not in the public marks. let's read the bond market or equity market. the reasons he's laid out he doesn't think the fed is doing what it should be doing dealing and with risks of the economy, imbalances and instability. it's to sweet talk the markets so that they don't sell off. in his view they are too risky. take a listen. >> heavily trafficked part of the risk/return is the public markets. why? because the fed has been pushing everybody into the public markets. i'm confident that i can get out as i see the turn right? i'm not confident that i will see the turn coming and turns have happen quickly. we have are in the mid of the central bank trade, it's been incredibly fulfilling. if you play it now, play it abroad. >> when i see somebody like mohammed el-arien saying i'll do private equity, i'll do long-term start-ups but i won't put my cash in the public markets, the stock market or the bond market what do i take away from that? this guy was paid a

is pimco nervous? >> plus -- >> i'm paid to be a blimp pilot. to be a blimp pilot coming up on "power lunch." >>> and now your trading nation's stats of the day and a word from our sponsor. >> it's difficult to hedge ens unknown unknown or black swan events because by the nature they are impossible to predict. instead, consider focusing on the known-unknowns, like election results, economic reports, and earnings reports. 550 [ male announcer ] your love for trading never stops tdd# 1-800-345-2550 even on the go. tdd# 1-800-345-2550 open a schwab account and you could earn tdd# 1-800-345-2550 300 commission-free online trades. tdd# 1-800-345-2550 so when a market move affects one of your positions, tdd# 1-800-345-2550 schwab can help you decide what to do. tdd# 1-800-345-2550 with tools like free live-streaming cnbc tv tdd# 1-800-345-2550 that give you the latest financial news and trends. tdd# 1-800-345-2550 and bubble charts and price charts that let you see exactly tdd# 1-800-345-2550 how market activity is affecting your positions. tdd# 1-800

. >> scott mathers, ceo of pimco. >>> it's time for a "cnbc news update" with sue herrera. >>> presidentference with the italian prime minister earlier today. and when asked about the impending confirmation of attorney general loretta lynch, the president said it was crazy that her nomination had been held up so long. >>> boeing's largest union withdrew it's position for an organizing election at the company's south carolina plant. the decision by the machinist union postponed the april 22nd vote by at least six months. >>> sand storms sweeping through parts of northwestern china, reducing visibility to less than 50 yards. as you can see, some people covered their faces when they went outdoors. the small particles turned the air a terrible yellowish color. the dust is forecast to stay in the air until monday. >>> the chicago cubs called up chris bryan the from the minors one day after the team ensured that he cannot be eligible for free agency until after the 2021 season. this instead of after the 2020 season had he been with the team on opening day. that caused a rift between the cubs a

he's right next to his old firm at pimco. and downtown l.a.60 million. he's increasingly moving the partner. scott helping run more than $200 billion. don't forget about tcw. they've got more than $130 billion in fixed income and all operate right out of here. yeah i know. you can forget about all the power and money in new york city. it's still the capital of stocks and hot dogs. when it comes to the bond market all the mojo is increasingly right here in southern california. >> don't forget blackrock, the biggest asset manager in the world is run by larry fink who is a ucla alum. that is the reason why we will be here again tomorrow. fed decision 2:00 p.m. eastern time. 11:00 pacific. we are going to be live here in los angeles at our bureau with a great round-table. big-time guests who talk about when the fed is finally doing to raise rates. hey, we don't expect it but you never know. it could be tomorrow. another reason why southern california is really the capital of everything is herb greenberg moved back from the east coast to san diego

you were pimco, you are a bona fide -- thank you very much for having me. >> the book is called "ashley'ss stock to watch is apple. today's big earnings report we'll talk about when we return. there's some facts about seaworld we'd like you to know. we don't collect killer whales from the wild. and haven't for 35 years. with the hightest standard of animal care in the world, our whales are healthy. they're thriving. i wouldn't work here if they weren't. and government research shows they live just as long as whales in the wild. caring for these whales, we have a great responsibility to get that right. and we take it very seriously. because we love them. and we know you love them too. can it make a dentist appointment when my teeth are ready? ♪ ♪ can it track my crew's performance, and protect their heads? ♪ ♪ can it tell the flight attendant to please not wake me this time? ♪ ♪ at cognizant, we see opportunities for every company. to meet the new digital demands of their customers. can it process my insurance claim? like, right now? can it download a track while i'm sampling it? can my ke

talking about excellenttalents, that many people know, bill gross who joined your firm your chairman's a pimcoeeing? >> well bill went through some volatility in his performance, we're talking about a six or seven-month time period so i think it's it's a little bit silly to get too focussed on too small a performance time period but more recently the performance has been very strong. his bet on bonds versus treasury was much talked about yesterday. he thinks that's a source of opportunity and value for, for the future and so i think he's rel-positioned, and in a way his performance has reverted to his long-time standard excellence he's far ahead of his competition in the six or seven months, the way we track it the last time i lacked full point and a half ahead of the median competition in his space. >> and what of the the influence with bill's fund. >> well in the most recent quarter, $100 million of inflows which is not really enough to excite anyone. and that's fair but this is a long story. we're looking forward to years together, and part of that is building a good, solid track record to