peter, chief european macro strategist at rbc count markets.e get an economic snapshot from the run up to the referendum today. to what extent will the state to be a little old? we will see at 7 a.m. u.k. time. british house price data from june nationwide. of hours later, the month may, often our after that we get eurozone consumer confidence data. in a 1:00 p.m. u.k. time, german inflation data. at 9:30 u.k. time, the fed is set to announce the results of the second part of its annual bank stress tests. we get real-time coverage of that on the top live blog. program, central bankers speak out after brexit. why one ecb member says that some market moves were overdone. plus, terror in turkey. we get the latest on the deadly airport attacks that happened late in the evening last night. we are live in istanbul, with the latest. ♪ anna: welcome back. time in london is 6:20 this morning. let us get the latest on what is happening in turkey overnight. terror attacks killed at least 36 people at istanbul international airport, and injured around 150.

rbc looked at a survey to come to these conclusions.es are rising 1.8% and sellly agrium being cut to from outperform. the analysts are looking at the retail unit in particular which makes them -- which makes 3/4 of its sales in my say that transition has been surprisingly slow. we seeing a lot of the kleins today within the fertilizer group. this stock is down one port -- we have seen a lot of declines today within the fertilizer group. alix: the governor of the bank of canada is making a case but there is a booming real estate market. he says it cannot be sustained by fundamentals. scarlet: the comments from the prime minister yesterday as well as their biggest banks are the issue and pamela ritchie has more. how blunt was the bank of governor today? speaking in his twice yearly financial review, he said what vancouver and toronto buyers seem to beginning used to and perhaps sellers are getting used to in terms of huge price gains in these cities is something maybe they should not get used to. he said history is not necessarily going

these companies are never going to develop another successful drug ever again so you can look at how rbcasically values these companies at zero pipeline so for amgen, biogen, ce lg ene and the four big biotech names they were trading close to the zero pipeline value before and this is essentially a steal because these companies have track records and will develop successful drugs and this is potentially a time to buy in hand what will bring biotech back? generalists have to come back into the space and the specialists aren't going to believe biotech and three pillars that will bring biotech back, good data and fda decisions and m & a which people expect to start heating up and then the macro with the election. that will will continue and in terms of data that's why we've seen biotech be beaten down in reesent weeks, biogen having the bad phase two data and lexion the bad phase three data. we did see tesaro doubling yesterday and that's the news biotech news and getting updates from the fda at some point could be a cat life. one of the biggest cat lifts that could completely turn sentimen

a note from rbc suggests a weaker europe could imbolden russia. now, the bad news. a strong dollar may make products like the lockheed martin f 35 less affordable. the britts want to buy 138 of the next generation fighter jettings r, but have s ord 14. there were also hopes the uk in orders for pa siden and apache helicopters, but orders may be subdued. shares of bea systems in particular have taken a beating as joint ventures with european companies may get a second look. the expected ighter jet c pause in british defense spending. some comparing the brexit to the sequess planned to boost its defense budget through 20-20, but ihs james predicts spending will stagnate or fall. foreign investment may slow and british exports could take a hit. still -- >> britain is ready to confront what the future holds for us from a position of strength. as a result of our long-term plan, we have today one of the strongest major advanced pri minister david cameron said none of that happens immediately. for now, trade will continue as if the uk was still in the eu. stay tuned >> sil

rbc is saying the momentum today take them higher.res ofved with the eagle pharmaceuticals are going into this weekend not so happy. that is a look at what happening on the nasdaq. much, abigailu so doolittle, joining us from the nasdaq. tesla is going on the defensive after regulators found a potential safety defect in the model s. company a blog, the wrote there is no car company in that implies that they are examining the issue. this is in the very early stages. not all of those actually get to the recall stage. particularly when you only have models, if you have a recall, it has a more adverse impact than on other automakers. scarlet: give us your thesis for why you believe tesla is a sell. >> one of the more interesting pieces of news this week is the introduction of the model asked s 60lowatt -- model kilowatt hours. after all the hype we saw with the model three reveal, they are going to be depending on the twice thehich is price. demand for the product is weakening. launched a model three. that's going to put a lot of pressure

it was downgraded to underperform over the rbc.here are opportunities to add value in the commodity market, but they were tougher with this company and others. banks are also seeing selling today. wells fargo, jp morgan, all lower. the a correlation with the yields. get the 10 year -- you look at the 10 year, it is the lowest since february. what is what we have seen around the globe. talk more about that in a few moments. safety,ou want sovereign bonds are going to the japanese yen today, which are catching up as well. 1% versus the japanese currency. mark: stocks are down for that first consecutive day after rising for two straight days. one industry group is rising from the stoxx 600, real estate. interesting note today from citigroup. 28%ain's biggest bank downs in the last year, even more if the u.k. votes to leave. , primarily also down because of week earnings -- weak earnings. they have not taken into account the so-called exit -- brexit. since february, since the seven-year low, the index has risen by 14%. the u.k. trade b

rbc pointing to a report from ralph talking about rental rates over the past month and that basically, demand is declining of demand is declining as supply or capacity is increasing. rates --o talk about the 10 year yield falling to its lowest going all the way back to 2012. here you see that chart from that time, not a record low but lowl, a notable, historic as we have seen this bond yields decline around the globe market. you said it. record low yields here. this was 30 year has gone negative. let's check in with bloomberg's first word news. ofa british member parliament has been shot and critically wounded. the leg -- the labour party is meeting with constituents when she was shot twice. a suspect has been arrested. witnesses told the bbc he had a hand main gun. campaigning has been suspended on the referendum. recovered theve cockpit voice recorder from the plane that crashed in the mediterranean. egyptian officials say the device is damage but the memory unit is intact. the data recorder still has not .een found investigators hope the black boxes can tell them why the plane cras

. >> now, this of course as rbc is saying that european banks they've entered, quote, unchartered territoryollowing last week's vote. warned of a prolonged period of uncertainty raising earning's concern. usb saw their rate gts downgraded as in orddowngrade ed. at the same time, the british government has abandon plans to share down it's sharings. in loids in light of this brexit referen referend referendum. cut exposure to uk banks raising 9 thousand pounds through stock sells. the plan has been plushed back. >> over in italy the government is reportedly preparing measures to protect the lenders which could include kbaurn teeing bank bonds. by the hedge funds. the sectors reacting to this news. no detail yet in terms of the actual exact measures that we may see, but broadly there is a sharp rally in the italian banking center. up by almost 11%. >> we have leaders meeting today in brussels. mayor draghi in portugal. now addressing parliament in berlin. she's essentially talking about the german parliament, they regret the decision of the british people. they have to respect the british deci

rbc capital markets is updating this to outperform.the price target to $16 from $17. the company has less exposure to brexit, this will propel. let's look at dynegy, electricity provider. it is up 7.6%. this is because suntrust is saying a recent share in the past three weeks makes it an attractive entry point. -- 20 2%ve lost 20% since june 8 or nine, so it is upgrading from buy to neutral. and looking at darling international, up 7.4%. this is the biggest jump since march. and darling ingredients collects and recycles used cooking oil from -- cooking oil from restaurants. it puts it into the biogas realm. goldman sachs is updating this from by neutral to neutral neutral. benefit ford be a the oil markets and increased demand for new biodiesel. vonnie: thank you. now to more highlights from bloomberg tvs exclusive interview with the chairman and ceo, very think. erik schatzker asks him about the fed's next move areas >> i believe the brexit will lead to more uncertainty. it will lead to slower growth. i am under the opinion is highly

and joining us will be rbc's mark mahaney.inks there's 20% upside here from a stock clearly that has been pounded so far this year. ♪ using 60,000 points from my chase ink card i bought all the fruit... veggies... and herbs needed to create a pop-up pick-your-own juice bar in the middle of the city, so now everyone knows... we have some of the freshest juice in town. see what the power of points can do for your business. learn more at chase.com/ink see great time for af points can shiny floor wax, no?. not if you just put the finishing touches on your latest masterpiece. timing's important. comcast business knows that. that's why you can schedule an installation at a time that works for you. even late at night, or on the weekend, if that's what you need. because you have enough to worry about. i did not see that coming. don't deal with disruptions. get better internet installed on your schedule. comcast business. built for business. >>> good morning, everybody. i'm sue herera. here is your cnbc news update. a suicide bomb atta

rbc now recommending stocks hanging brexit has an opportunity for buying netflix, priceline, google inexpedientprovided by and opportunities. lauren: and the wake of friday's historic vote for the u.k., british citizens taken political turmoil. david cameron sat to address parliament this morning. rome and brussels has filed with top officials, urging them to help calm financial markets to come and carry on. black reports with the latest from the fund to end berlin. we will be right back. i can't believe we broke old man hennessey's window correction dude, you broke. i just threw the ball. this is really bad. what are we going to do? dude, kiss your life goodbye. let's go. ♪oh. keep smiling, keep shining♪ ♪knowing you can always count on me, for sure♪ hi ♪knowing you can always count on me, for sure♪ tell him it was an accident and we can fix the window. ♪knowing you can always count on me, for sure♪ i'll come with you. ♪woah, that's what friends are for♪ >> you should not underestimate our results. we were prepared for the unexpected and we are equipped for whatever happens. nicole: breaking n

they are seeing its lowest .ntraday since mid-march rbc is saying the growth story is well intact buts some short-term concern. regardless of what is happening, we have a leg down for the company. generon seeing is lowest for about a few months. for every one stock that is up, 10 are down. david: thank you, ramy inocencio. vonnie: coming up, photo sharing app instagram just passed a major milestone. it now has 500 million total users. a conversation with the ceo kevin systrom next. david: we see loretta lynch speaking in orlando after meeting with first responders and families of the shooting victims. she says it is too early to see what was missed. ♪ david: this is "bloomberg markets." instagram hit a milestone today. the photo app now has 500 million active users. emily chang sat down with the instagram cofounder and ceo kevin systrom. is, last timezing we talked, we had a couple million users on instagram. it has been a little more than five years. getting there at breakneck speed. we built them a company of 13 people now to just shy of 500. it is crazy the scale. nearly one out of

rbc is talking about western digital, saying the company should benefit from improving demand for chips. those stocks helping lead the gains in the s&p today. our global macro movement. this is the column you want to pare out, major equities in europe today. italy is up by 2.8%. has been quite a rally in the last five days. $600 billion --600 billion euros in value. in the u.k.erator reported the second straight quarter of u.k. sales growth. slightly ahead of estimates, another win for the ceo. he wants to win back disaffected customers, giving them better service. this is the tesco share price versus the 12 analyst target price. it diverged, it converts to. -- converged. big story today, scandinavia's biggest bank had its recommendation cut to neutral from overweight, pointing to to turnthat it may have to markets to raise regulatory capital for underestimating the risk in its corporate loan back -- loan book. is rejectedordea reports -- big news for greece today, the the waiver ong greek debt. that allows the nation back to the sector to axis cheaper financing, such as these new four-

not so much%, because of brexit, but because of one rbc analyst downgrading the stock to perform from outperform, saying there's a lack of near term catalysts and a large wave of ethylene coming on. dow chemical and dupont also fallen on the order of 3% to 4%. and the red does not stop there. oil is down near or at session lows last time i checked. off the back of that, murphy oil is down 9%. marathon oil 10%. 8.3%.eake energy, i just did some calculations. these three companies alone have lost $3 billion. vonnie: today, the, still financials making big news. ramy: the large-cap banks. bank of america 10 6% here just today, a loss of $8 billion. jpmorgan, 3.3% down, a $7 billion loss. citigroup down 4%, a loss of $5 billion. in the last six hours of trading, they lost a total of $20 billion. let's look at money managers, how they are performing. lost in the last several hours. invesco down 9%. david, vonnie, back to you. david: let's get a check of the bloomberg first word news. mark crumpton has that -- mark: the first supreme court decision on abortion in almost a decade, striking d

we have an analyst with rbc capital markets and going to be joined by richard kirby in just a moment.ood to see you. >> nice seeing you guys. >> so, talk about some of the impact from the prospect of brexit now. you outlined some stocks. ibm, juniper, among them that have, hewlett-packard, hp, inc. that have decent european exposure that could have some impact from this. how big of an impact do you expect to see? >> getting into this event a lot of enterprise deals were putting on a pause in the june 23rd event. this should to be done and be fine at the end of june. brexit throws a wrench in that. our take is ibm, hp could have more headaches, especially with big europe exposure could miss numbers because of this issue. how big of an impact, you add some business impact in europe, uk is 20%, i.t., for example. we think 100, 150 basis points for a head wind. >> richard kirby joins us now as well. a lot of people were surprised by this vote. what do you see as the impact on the innovation eco system out of europe? arguably this is good news for barcelona, for berlin, but is it really th

rbc capital markets surveyed 600 energy investors and ceos on where they see prices at the end of the year. here are the results. 9% said we're going to go back below 40. 23% said we'll be between 40 and 49 a barrel. 51% said we'll be between 50 and 60, basically where we are right now and 17%, said, wait, we're bullish. we're going to be above $60 per barrel. one of the ceos surveyed, david done lap of superior energy, shares of that company up over 43% the past month and david here for a "power lunch" exclusive from rbc's energy conference in lower manhattan. david, thanks for joining us again. where did you come in on that survey? >> well, brian, i'm bytesed towards oil price towards the end of the year around $60 a barrel. i think in the second half we're going to continue to see prices migrate up. as the market begins to realize that non-opec production is coming down, including shale production here in the u.s., and we're going to be getting closer and closer to that supply/demand balance. >> before we get to your business, you know, specifically here's the only issue i would ta

when we think about, again, you look at the rbc chart and then add the dark pools behind it, enormouss of great to have but potentially items that dramatically slow down the ability for us to bring more transparency to our markets, and particularly in terms of this area where there appears to be, you know, an enormous amount of conflict of interest. so, could you speak to that? >> i mean, first i'll say -- and i think i said it at the committee meeting as well, that i do think we should proceed with -- promptly proceed with a well-designed pilot. the discussion, you know, of the -- >> how promptly? considering what we saw with the tick size -- >> and the tick size, as you know, we ended up having to order basically the sros to submit a plan that would work. and i think it's enormously important. it will, you know, launch in october of this year, but obviously, it took a while to do that. i mean, i do think you've got to be careful that you're getting the information that you need to have from these pilots. i think you may not, senator warner, been in the room when i mentioned before t

area of a concern that i have and i've seen evidence recently and i'm sure you probably have as well, rbc put together a chart that's complexity is a little overwhelming that there were 839 different fee structures and this is the make or take issue with 700 different iterations in terms of incentives and rebates within our market structure right now that quite honestly give the impression that the system is -- is rigged, the direct trading through to those firms and entities that are going to give you biggest rebait or fee structure. there's extraordinary conflict of interest here in question of brokers and their clients. when we look at this and obviously the complexity of our markets and trying to make sure, i agree with senator warren that we have to be in a transparent way. how are we going to get through this? you talked about this back in 2014, negative outcomes of some of this structure, you know, i strongly believe we need to move quickly on the make or take pilot. i would encourage you that when we take a look at this make or take pilot that we have all venues included both and

for more on that bring in logistics analysts and john barnes transportation analyst at rbc. guidance deserving of this? >> guidance is uncertain. they left tnt completely out of guidance and in uncertainty there's risk. the management team said accretive fy-17, so people stepping to the sidelines right now and i think waiting for, you know, fed ex to show them something through the year and maybe get a little bit more constructive as we move into the tnt integration. >> is this just classic fdx guidance and their classic conservative style? >> no. >> i do believe that they are being a little bit conservative here. i mean, you know, if you take a look at the numbers and the way they built them out, basically talked about not only owning tnt for 28 days now so essentially i think, you know, being pretty coy about providing any color around tnt i think is being pretty conservative. >> yeah. john, a lot of the questioning to fred smith was about amazon, and the degree to which they can replicate even a part of the service they get from this vendor, how deep is that mote? >> i th

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rbc wrote today it is more confident in their ability to ramp up production after a visit to its production facility in california. auts companies are also rising. there is an auto-parts retailer which carl icahn owns a partial portion and has made an offer to get full ownership. that is feeding into ownershipit. alix: early leaders are the banks, that was my happens when you have this risk on day. julie: in the u.s., we have seen banks, of their highs. the s&p 500 banks index taking a leg lower. this is something we have been seeing in recent days where the u.s. is so reacted to what is going on in the u.k. then when the european markets close, we see a fading of that. interestingly in the banks, it is the regional that are now leading the gains. that is not what you would think. you would think the global banks are reacting more to what is going on. some of the current later is within the bank index. scarlet: julie hyman, thank you. alix: let's check in on the first word news. mark crumpton has more. mark: republicans are expected to vote to block two democratic proposals to expand backgr

to your point, it's interesting because wall street, everyone had a downgrade on it and rbc put a buy last week and congratulations to them. it seems crazy, it was a viable entity and i think it was over oversold to begin. >> think about that if that's the case microsoft got a good deal here. >> and how much are your personal apps so much easier to use than anything you use at work? and i think all of these companies recognize that and they're all trying to become as user friendly so i feel like this is a step in that direction. >> what about the idea it's all about mining the data artificial intelligence and understanding what people are doing and what they want and maybe able to provide it for them before they think they want it. >> a little bit of that we'll talk about apple in a moment. a lot of what's going on there, too is artificial intelligence and trying to use siri in a new way and talk into our phones and do what we want to do. and maybe part of linkedin that's about the same american. apple is taking place right now. that they will bring apple pay to the web. they're getti

president of national effects council on july 2015, with nearly 500 policy experts that make up the and rbc one of the most effective action organizations. before joining the nrbc, miss sues served as the director of management policy, and she led several cost-cutting initiatives with federal land conservation, climate adaptation, international affairs, and other programs, thank you. sue: thank you, thank you mr. chairman, and thanks to all the members of the panel for the opportunity to be here today. as is evidenced by all of the testimony you have been hearing today, there is no greater threat to the planet or to all of its inhabitants that climate change. this fact has been established by scientists for decades. they should not be any equity location about the threat -- equivocation about the threats for thection required next administration. it has been said we are the first to experience the impacts of climate change, withering drought, catastrophic wildfires, unprecedented flooding, and now we all to regular superstorm's ravaging the country and the orld. but we are not the first gen

the rbc global head of commodities joins us now.hich is the worse basket case, venezuela or nigeria? >> in terms of oil, it's nigeria. the armed militants and the oil region show no signs of backing down. the military is incapable of ending this. venezuela is a humanitarian catastrophe. that's the one where you are thinking about what type of emergency assistance is the west going to have to come up with to stave off disaster there. >> talked about getting food in there as well. what is startling is they have all this debt, debt payments, they seem committed to paying them, and the rational is to keep oil flowing but oil production is declining. >> we look at may numbers, down 120,000 barrels in venezuela, the largest month-on-month drop in 2003. that will be increasing pressure from the population saying do we have to continue to make these debt service payments. $4 billion is owed in the back half of this year from one company. you think if china does not give them another lifeline, i don't know how they pay these debts, i don't k

morgan asset management, eric also joins us chief international economist at rbc global asset managementif you had a question before the committee today, what would you ask janet yellen? >> i'd like to know a lot more about that word transitory. >> right. >> when she's talking about transitory, does she mean we're back to 200,000 jobs in a few months time, or did she mean there was a verizon strike, it will be 100,000 and we are still in slow growth mode. to me that's key and ultimate key in figuring out whether indeed this is hawkish janet yellen or whether those questions will reveal sentiment maybe more similar to the june 15th type thoughts we heard. >> i mean, are you taking things at face value here? or are you, and rick raises this question of capitulation, are you of the view that maybe james bullet is a lead indicator here and the fact he says there won't be a rate rise for two and a half years on his terms means that potentially there won't be a rate rise for generation. how concerned are you that that is the environment to which we're now moving? >> i don't think that's the ri

it was said over -- underperforming at rbc. arising commodity market is more likely than its peers.is another first bring up those types of concerns. restoration hardware at the close of trading last night, shares down 19%. analysts had been anticipating again, cutting the annual forecasts. and a shiftdollar away from luxury purchases, that is where this is coming from. jam is trading higher. that is beating estimates, sales up 25%. virginity net to coffee, the dunkin' donuts take up pods -- is it should beating that to coffee -- is attributing that to coffee, the dunkin' donuts k-cups. in 2016, very bearish. at 2100.s fully valued let's start with -- barry, have you got us? i don't think he has us. can you hear me? no, ok. what we know is that he thinks 2100 is a range bound area. as we look at the market, we have been watching that record. david: he thinks it is fully valued. intraday foris the the s&p. we were so close, and investors had no conviction of a push in that market. every time we hit it, they pulled back. i think we have barry bannister now. you turned bearish on us, s

which is kind of the new median including bank of america, ubs, and then december deutsche bank and rbcirst hike of 2016. the futures market you can see here currently pricing in just a 50 basis point funds rate through november. just 60 all the way out to february 2017. and when you look further out the curve it isn't until late 2017 that the market begins to price in a second hike. fed officials went into the march meeting projecting three hikes, and they've lowered it to two coming closer to the market. markets will look carefully at next week's forecast from fed officials which come out with the policy statement on wednesday to see if fed officials back down again going from the two hikes expected to one and meaning the market once again has it more right than the fed, carl, on its own funds rate. >> not the first time. maybe not the last, steve. thank you so much. >> right. >> steve liesman. let's bring in david kostin, chief u.s. equity strategist at goldman sachs joining us exclusively at post nine. david, welcome to you. >> nice to see you. >> last time you were here i argued yo

and then just a few out in december, deutsche bank and rbc over there on your right. -- by month of a rate hike or fed funds rate greater than 50%, just 2.9% now for june. 33% for july. getting up to even money in september and over even money just barely at 50.8% in november. some of the commentary we got, goldman sachs says if the data in the next couple of months are decent or better, a rate hike in q-3 is now likely, we see 40% probability the next move in the fund rate is in july. we now think the next move is more likely in september than january, we continue to forecast two quarter-point rate hikes in total this year. i have to say that's going to be tough. and deutsche bank says latest data should be troublesome to the fed hence continue to see december as the most likely meeting for the next fed increase. listen for yellen not to give up the chance of a rate hike in the next couple months as a result of a single bad jobs report, but expect to suggest the fed will be wary of hiking unless the data backs it up. kayla, can you imagine the chair taking a quote fr

my comment is being upgraded to sector perform from underperform at rbc capital admits this turmoil.st this turmoil. the stock has not been doing that much throughout this turbulence. david: microsoft's $26 billion acquisition of linkedin raises a question -- which other cash rich tech companies might be looking to buy and whom should they be buying? ted leonsis is the ceo of monumental sports and entertainment. he owns the washington wizards and the capitals. led at air well -- he --l before -- aol ted: i could see apple buying tesla. that would be a smart move if they want to get into driverless cars. tesla is a software company, a brand. they have innovative next and ration -- next generation leadership and management. company buying a car manufacturer. tesla is really a computer company, just has some wheels on it. you will see those kinds of bi ds going outside of your swim lane to try to get capability to try to get ip and management. everyone needs to grow into a different business category to continue to get that kind of growth. these companies have such incredible scale -- w

rbc put together a chart of its complexity is a little overwhelming that there were 839 different fee structures. this is getting to the make or take issue. with 2700 different iterations. in terms of incentives and rebates within our market structure right now that quite honestly give the impression is rigged to direct trading through those firms and entities that are going to give you the biggest rebate or fee structure. it seems to me that there is an extraordinary amount of conflict of interest here in the whole question of brokers and their clients. when we look at this -- and we obviously the complexity of our margets in trying to make sure, i agree with senator warren, that we've got to get information out in a clear and transparent way. but talk about an area that is open ache, how are we going to get through this? you've talked about this back in 2014 the negative outcomes f some of these structure. i strongly believe we need to move quickly on the make or take pilot. i would encourage you that when we take a look at this pilot that we have all venues included, those lit and

rbc and piper jaffray all saying this weakness is transitory.tor supply and a stock that we do not have an opportunity to talk about much at the nasdaq. david: this week we have been focusing on pharma. bill gates has made it his mission to use modern medication to wipe out diseases all over the world. take a listen. wherethere is some areas the impact will be more on developing world diseases where there is not much profit opportunity. d,iarrheal disease, there is not that much of a market. we will do risky research on those diseases. we have made per annum related investments. emma core which was investment , we saw thatcules those molecules were particularly effective for neglected diseases. to make sure they could go full speed ahead we made an investment in that came out pretty well. there molecules not only were helpful for the diseases we prioritized but some others as well. : the money the gates foundation made will be recycled into the program? bill: exactly. you put money out but any money that comes back then is re-donated. you are no

i just got off the phone with rbc.think apple will be ultimately barred from selling these iphones. his point is if the chinese government really slapped apple with such an injunction, then it would also be hurting apple supply chain, much of which we know is based in china, so the point, hard to see the chinese government ultimately doing that. still, certainly these headlines come as we know there's uncertainty about that flagship iphone franchise, its health and future in china especially. the companies revenue in the last quarterly report did fall more than 10%. >> let me ask you this, it would hurt the supply chain. is the theory then because they would sell fewer or no iphones, that would mean less business for apple, that would mean less jobs and less income for the supply chain companies that make those phones? is that what you're describing? >> well, so the points were find of twofold. one is he was sort of speculating it was hard for him to see why the chinese government would take an action that might result

we invested in rbc firms as well as growth and the firm. david: is anybody particularly succeeding?ere talking but we willrs ago begin to see more companies emerging in that area. alix: a lot of perspective. thank you very much, susan long mcandrews partner at pantheon. still ahead on bloomberg as the fed maintains low rates, where should investors be allocating their photo -- portfolios? that's coming up. ♪ alix: futures in the red this morning. the s&p off by .5%. the dow coming off its first five-day losing streak since february. dow futures now up by .5%. jonathan: significant euro weakness particularly in the last hour or so. i have had a lot of people talking about sterling crosses and now they are talking about weakness in euro crosses as well. let's go to julie hyman for a look at some of the stocks moving on analyst calls this morning. julie: did you almost call me jgb by accident? you are so in japan. let's take a look at apple this morning. down .75%. the analysts are looking at the outlook not only for the iphone but are pessimistic on shipments for december of 68 m

rbc capital saying we do not believe the proposed transaction will be well received by tesla shareholdersote from oppenheimer as it downgrades shares of tesla saying we believe the shareholders will view this as a bailout for solar city and a distraction to tesla's own production hurdles. 2 $2.8 billion all stock deal. musk last night on a conference call explaining why he believes this deal makes sense. >> we think it's really a huge opportunity here to have a highly integrated, sustainable energy company that answers the whole sustainable energy question from generation of power to storage to transport. >> we're talking vertical integration. this is what concerns some investors. solarcity is cash flow negative. it is not profitable. it lost $263 million in the first quarter. meanwhile, when you look at tesla. many people have been focused on what's happening in the future with the model 3. yes, the giga factory is an important part of the story. it's supplying power storage units, starting to deliver battery packs for tesla electric vehicles. the main focus for a lot of investors is wit

rbc capital to a sector perform. that's an upgrade.his drama coming to an end? maybe, guys. we have to see what the court in delaware says. back to you. >> thank you, jane. we appreciate it very much. we'll watch for the next installment of this drama. i assume. >>> to our guest host. joining us now. want to tell you what we're going to talk about with dr. sam waksal, who is the founder of biopharma. former ceo of imclone. here is what you -- we only have an hour too. talk about valeant, which for a long time -- you can go all the way back to stuff you said to mike pearson about his business model. we'll talk about valeant, theranos and about the bad rap that all drug companies got from shkreli and valeant. at this point, i want to talk about the way the two political parties are viewing drug pricing and whether that's -- what that says about our future of innovation. and you are a person who can speak to all these things. why don't we start with valeant and touric -- >> touring. >> congratulations, 25 years. >> i have known you for th

area of concern that i have of i've seen evidence recently and i'm sure you probably have as well, rbc put together a chart of its complexity is a little overwhelming that there were 839 different fee structures, i'm getting to the make or take issue, with 2700 different iterations in terms of incentives and rebates within our market structure right now that quite honestly give the impression that the system is rigged to direct trading through to those firms and entities that are going to give you the biggest rebate or fee structure. it seems to me there's an extraordinary amount of conflict of interest here in the whole question of the brokers and their clients. when we look at this and we've got obviously the complexity of our markets and trying to make sure, i agree with senator warren we've got to get information out in a clear and transparent way. boy, oh, boy, you talk about an area that is opaque, how are we going to get through this? now, you've talked about this back in 2014, the negative outcomes of some of this structure. you know, i strongly believe we need to move quickly

rbc, for example, came out this morning and said, you know what? we see price line and netflix and expedia as buying opportunities now because they sold off so much. there's the airlines. don't forget the exposure that some of the airlines have, delta, for example, would be one. they do so much business abroad in europe and the united kingdom and that could move on as well. that's what we're watching. ryanair down 13%. great to see you and liz on the floor on friday. charles: it was great to be there. and you're down there, things must be bad. it's interesting, and maybe it actually helped travel and tourism, so it's interesting that the airlines, particularly ryanair is hammered to that degree. want to talk about currency for a moment. china devalued the currency, most of ten months and keith, you're our asia watcher, what do you say about this? the latest move on china? >> classic chinese move. they are going to take the opportunity for everything it's worth. if they devalue their yuan, it improves their manufacturing base. they view it as a glob

of media independents are under pressure as we saw again recently with the editorial purchase of the rbc media group, following its coverage of the panama papers. the police, the prosecuting authorities, and the courts are used by the kremlin as tools for suppressing and punishing dissent. according to memorial, russia's most respected human right organization, there are currently 87 political prisoners in our country, a number which is already comparable with the late seveiate era. these include leftist politicians, the brother of an anti-corruption campaigner, opposition octoberivists who were jailed under a new law that targets individual street protests and the remaining hostage of the ukos case, and they also include pris prisoners of the case who came out to protest putin's inauguration. those who oppose him risk not only their well being and their freedom, they also risk their lives. on the 27th of february of last year, boris nemsauv, form eer deputy prime minister was killed by five bullets in the back, as he walked home over a bridge. just 200 yards from the kremlin wall. a yea

surviving pockets of media independence are under pressure as we saw with the recent editorial purchase of rbc media group following its coverage of the "panama papers." the police, prosecuting authorities and courts are used by the kremlin as tools for suppressing and punishing dissent. according to memorial, russia's most respected human rates organization, there are 87 political prisoners in our country. number already comparable with the late soviet era. they include leftist politicians, the brother of anti-corruption campaign, and opposition activist jailed in new law that targets individual street protests and the the remaining hostage of the yukos case. include prisons of the case that were jailed they came out on the streets to oppose mr. putin inauguration. those that oppose vladmir putin ledge people risk their well being and freedom but risk their lives. on 2th of february last year, boris nemtsov, former leaders of russia's pro-democracy opposition was killed by five bullets in the back as he walked home over the bridge just 200 yards from the kremlin wall. a year on the investigat