it could fall another 40 percent against the dollar. find out why when we joins us ahead on fast. >>> still ahead on fast is this guy playing god father with your bill? >>> welcome back in washington and the i rs is saying 100,000 americans saw the personal information stolen by hackers that were able to get into the piece of the i rs website and steal tax information that was tax return information. they're saying that this was able to be done because they had a significant amount of information on the people. they went through the piece of the website called get transcript and entered in the personal information, and get the information septembernt to them if they were the taxpayer themselves. one was the person's high school team mascot. aparentally they already that level of detail on some of the people. that's the frightening prospect. they already knew a lot about the people and got the tax returns. they are predicting that there might be a way of false federal tax returns and as many as 200,000 were attempted to be attacked. >> wo

what's ahead for the dollar? , no one can say for sure, but you can bet there'll be more ups and downs more attempts at international coordination, and, with the euro a new and more powerful currency in world markets a new and more powerful partner in currency coordination meetings. for "economics u$a," i'm david schoumacher.

the dollar should appreciate. : what will be the catalyst for this to change doesn't come down to the fed? little bit. for me, it is the carry trade. we are looking at long yield on's. the longer you sit there and start earning, that adds up. some are saying it will be slow, the fed is on hold. maybe we should get fixed income into the portfolio and rebalance that. that is what i am looking to drive that. -- drive at. that fear will go away quickly. alix: sebastian, is the catalyst for the stronger dollar going to have to come from the fed? driving a car fast on the road and you hit a pothole. you get nervous and jerky, but over time you forget about the pothole. the u.s. is still doing relatively well, the economy is not at a great rate for growth, but it is doing pretty well overall. you, at 4/10 of 1%. it is like getting hit by a car and falling down, and then getting up slowly and people getting excited about it. it is going right direction, but it is a very slow process. it is not a great reason to buy the dol

tries to lower the threat of the dollar but it had an impact on the s&p 500 companies. >> and they see a strong dollar against the japanese yen and seeing it to run up to 124 and get stronger next year. that doesn't mean it will be a smooth ride. respondents expect volatility to continue for currency and 30% say the swings will get worse. but when it comes to the dollar which is the center of trading action lately don't count it out just yet. >> it is a huge rally back in the last few months has reawakened the idea of how important it is particularly to the multi-national companies that do most of over 50% of the business outside of the united states. that is why you are hearing so much about it. >> ultimately the federal reserve is preparing to raise irntd rates, and that is bullish for the u.s. dollar. in the short-term here the dollar correction may prove helpful for companies like ibm, apple and mcdonald's who do business overseas but in the longer term strategists say they will have to get used to a stronger u.s. dollar. for "nightly business report," i'm sara eisen. >> as for the

looking for places to stretch the strong dollar abroad. en go to erik's hometown in canada. places you should go with the stronger dollar. ♪ ♪ olivia: welcome back to the bloomberg market day. we are about one hour into the trading session and i want to get you caught up with all the action. an hour away from the end of the trading session and an hour away from the weekend in london. an hour away from my long weekend. the ftse outperforming much of europe, hardly on the back -- on the back of gains. and the rest of europe trading sideways through the back half of this week that the dax, the exit benchmark headed for one of the best weekly gains so far this year. market, it is the news, the u.s. cpi data print comes in just marginally higher. -- reaction of the fs market a weaker euro-- but just to show you how the dollar is performing against the other currencies in europe, the pound down almost one full percentage point. king dollar ruling the fs market -- the fx market in europe. olivia: really around the world we are seeing the dollar ga

the dollar last reached its current levels in late 2002. hen in 2011 it fell as low as the 75 yen level amid lingering effect of the global financial crisis and european credit woes. the trend reversed as japan entered monetary easing. now to get more insight on that we're going to speak with the chief japan affects strategist at bank of america merrill lynch, global research. a lot going on here with the dollar/yen, obviously focussing a lot of attention. what is your view on this current situation with the dollar/yen. >> yes the move is very strong. something similar to what we saw last autumn. this time different. back in the autumn of 2014 there were plenty of catalyst backing the yen's weakness and dollar strength. this time we don't have the catalyst for yen weakness. there's some hope for u.s. economy rebound but this is still a hope and we'll have to see the actual data coming out in the next few months. i think what's driving this time around is really the speculation. >> speculation. now a lot of people focusing on the pace of the

globally, the global markets are parking money in the global dollar -- in the aussie dollar. are to see another rate cut in october. it is one of those real conundrums, rising yields in the bond market. that is enough to wipe the floor for every central banker. caroline: looking at some of the fx effects. helped by euro weakness, beating analyst estimates by 9% to 3.2 4 billion euros. slightly better than last year a deterioration -- beating profits and sales, also gross margins. at 34.6% gross margins. remember, this is a company that is being bought to the tune of $17.5 billion by note you, no less. kia, no less. even though no keykia says the deal basically has almost unanimous support. he says this is due to long-term industrial trends, not to one single cause. the acquisition very much on the table. the chief executive is saying the slowdown in the u.s. and japan not investing in infrastructure so much, the slowdown is not structural. clearly, this is a company building one of the biggest wireless networks and equipment makers. mark: i was just looking at the word conjunc

the aussie dollar is number seven. the canadian dollar seems to be lacking. what is the story?at makes sense. on one hand, people tend to relate the canadian dollar's performance to oil, but we have to bear in mind that canada is very much linked to what is happening in the u.s. to the extent that over the past 2-3 months, there's been a very large amount of disappointing u.s. data, this also translates into some downside pressures in the canadian economy. i think that's why you don't get so much of an outperformance. jonathan: you would have heard those comments from yanis their attack is about 10 minutes ago. bob parker said we are going into a critical few minutes in greece. this might be critical for greece greek banks, greek bonds, greek politicians, and citizens as well. it hasn't been critical for the euro at all. when does it become a currency situation? it is a question that goes back and forth. does it ever become a currency question again? vasileios: let me first say the following, if the unthinkable happens, greece exits the euro -- which is i don't think the centra

it's at 1.0890 against the dollar overnight. but it is inching up as greece's debt situation prompted some to buy back the euro. the shanghai composite rose to a seven-year high extending its gains to seven days. but other markets closed lower and some investors are concerned that a possible rate hike in the u.s. could trigger an outflow of money from asian markets. but i'll be back in a few hours. >> we'll check in with you then. >>> finance ministers and central bank chiefs from the group of seven nations are gathering in germany. one of the top items on the agenda is the greek debt crisis. japan has sent taro aso. greece is struggling to get more bailout funding from eurozone member nations to avoid default. the participants are expected to discuss the crisis in ukraine which has divided russia and western nations. aso plans to tell his colleagues that japan's economy is continuing a path of moderate recovery. he will stress the government is aiming to get its economy growing. the china proposed asian infrastructure investment

alix: wrapping up the dollar, what is the biggest risk there?> well, the consensus right now is expecting a 7% game for the dollar through the end of the year. as long as we get something 7% or less, there is very limited risk existing in earnings estimates. if we get more than 7%, it depends on how much more? 9%, not a huge%, 14% or 15% could be damaging to the earnings stream. think about the long-term move in the dollar. from 2011 to date, the dollar has been rising. alix: thank you so much. gina martin adams from wells fargo stutes. much more coming up. ♪ alix: welcome back to "bloomberg markets." i am lick alix. back to one of our top stories. bill gross talks about his big bet against the german bund. calling it well timed but not necessarily well executed. he spoke earlier. take a listen. >> i sort of announced it at the same moment i thought of it. i haven't had the time to put on the appropriate amount of positions to take advantage of it going down in price and up in yield. so the execution was poor. >> so there will be a little less s

you see the dollar rally -- scarlet: and the remarks from janet yellen. joe: we have a lot to chew over. scarlet: a lot to chew over. john malone has been after time warner cable for two years and now he is getting it. charter is buying time warner for 50 $5 billion of cash and stock. time warner rejected a takeover bid last year, and accepted a deal from comcast, but as you know, that deal fell apart in april. charter's ceo says he does not mind paying a higher price. john malone: time warner is more valuable. the have kept their eye on ball. we're comfortable with where we are today and the price today. it's a different circumstance than it was then. their behavior and our behavior is different and i'm pleased where it all came out. comcast's deal with time warner cable fell apart across regulatory issues. charter is not expected to have such problems. time warner ceo robert markets ifld get up to $85 million, he is terminated within two years of charter taking over. a setback for the obama administration. president obama administration. president obama

the canadian dollar, as well. k of canada could give that rally a bit more strength, as well. that is another one to keep an eye on. we know the weakness in oil, as well. that is the other big event of the day. caroline: chris beauchamp, senior market analyst at ig. thank you very much for your time. mark: fifa big story prosecutors charging 10 international soccer officials in an investigation of corruption including vote-rigging in the selection of host countries. caroline: hundreds of millions is what they are saying had been given and forms of kickbacks, in terms of bribes. a phenomenal amount of money. what will sponsors start saying? mark: you've got a visa coca-cola. emirates has stepped down as a sponsor of fifa. still, coca-cola remains. what will they say to this? tariq panja said sepp blatter would need to be kicked and screamed out of the office. caroline: "on the move" is up next. ♪ caroline: jonathan: welcome to "on the move." just moments away from the start of your team trading -- of european tradin

wrapping up with the dollar. e consensus is a gain in the dollar throughout the year, as long as we get something 7% or less, there's omitted risk. if we get more than 7%, it depends on how much more. , 14%, thatuge deal could be damaging. it depends on the extent. think of the long-term move in the dollar from 2011, the dollar has been rising. alix: thank you very much. we will be right back. alix: welcome back. in a new june investment outlook, he talks about his big bet against the bund, calling it well timed. bill gross spoke with erik schatzker earlier today. i announced it at the same moment i thought of it. i had not had the time to put on the appropriate amount of positions. from that standpoint, the execution was poor. so there will be less spontaneous expression from bill gross in the future? bill: i hope not. if anything, i want to continue , toell you what i think open my books and write the books and at the same time, leave the room, so that's the better procedure. it's more to do with how you put on

the dollar yen weakening. billiton will pay to settle claims that it may have violated anti-bribery laws. it is related to hospitality packages offered to foreign government officials visiting the beijing olympics. let's go to paul allen in sydney. it has not been a good week for them. paul: they are not going to remove or this one fondly. the share price was down. there was talk of a government inquiry. paid to united states securities and exchange commission. this is related to events surrounding the entertainment of foreign government dignitaries at the beijing olympics. fromovernment dignitaries countries including the democratic republic of congo. these packages were worth eachen 12-16,000 dollars including tickets to the games, luxury accommodation, sightseeing over four days. the sec says this came at a time foreign government officials were in a position to help the company with its business or regulatory endeavors. recognize they created a heightened risk of violating anticorruption laws that failed to

the aussie dollar is rising today against the u.s. fter australia cut it interest rate to a fresh record low in response to an economic outlook. the strengthening in the currency the rate was lowered to 2% from 2.25%. it was predicted by 25 of the 29 economists surveyed. the reaction was interesting. just a few honest ago, a guest was puzzled by the aussie dollar's move upward by the decision by the central-bank. this is the one-year chart. this is down for the aussie dollar in the last year. 79 u.s. cents. interestingly since the last meeting on april 7, the aussie dollar has risen more than 7% the best performer in a that period among the major currencies of this the dollar after the norwegian krone and brazilian reality. the rba stipulated that the further aussie dollar depreciation seems likely and necessary and policymakers did warn investment in industry outside of mining which was supposed to take up slack in the economy could fall. the government is due to release its annual budget on may 12. as a likely to add stimulus to an e

i don't have the dollars mount. we can get that to you. >> i want to ask a question, what is the highest amount of money that you have given out in terms of a grant >> a single grant? that would be the the san francisco opera. it is over 700 thousand >> 700 thousand and then the smallest amount is >> 5 thousand rkss and 5 thousand. i think that is quhie i'm bringing this up is because i'm talking about dollars here more so than just because even from a 5 thousand dollar grant say they turn in paperwork late there is a penalty of maybe 10 percent of that and that is a big deal to a smaller institution. probably not such a big deal to a larger institution where they have development team squz people that manage and track the money in a way that provide them the vehicle to maintain the grants versus a smaller institution who have-they don't have dwument teams to help manage this is my point >> your point is all taken and our practice around the penalties and something we can reexamine >> thank you. >> so, we have commit

>> the dollar/yen. diverging in monetary policies between the two central banks there. we could push that little bit higher there. i would imagine that we could start to cap around the 124 level which could provide a shorting opportunity. manus: brenda, thanks, you're staying with us. caroline: let's have a look at what we're seeing outside. not too sunny a die. live shots from london. equities though pretty flat as well after we had the bank holiday, the day off in the united kingdom. not much catch-up today. ♪ caroline: welcome back. in just a few minutes from the european equity market open. let's get some final thoughts from brenda kelly. give us a few calls for the trading day ahead. we're trying to rev ourselves up after a long bank hol die. >> i think the dollar momentum is still there. probably see residuals move higher. i think the effect of yellen's speech will be felt today. we could see a little bit of a selloff in equity markets today with the dollar benefiting from a little bit more upside,

that move is about the dollar. van point will be -- jonathan: will we have problems with the bank of england? kerry: i think they have not thrown in the towel completely. you need fiscal and monetary policies to get this economy going. you need reform to get productivity up. they are saying this is our intention. jonathan:kerry craig, thank you very much. over the last half hour states and houses, homebuilders in the u.k. soared after the election but where are the best opportunities? after the break and analyst gives his picks for the sector, stay tuned for that. the pound at a 2015 hi. the euro-dollar punching higher. a medium forecast for this pair one dollar and five cents the year and. ♪ jonathan: good morning and welcome back. this is "on the move." we are live from bloomberg headquarters in the city of london. let's get you up to speed with trading. red is the color for the third straight day. the dax is off by 69 points. before this market opened, there was an fx move. the euro goes to one dollar and $.14. a

the u.s. dollar.ese commodities are priced in dollars so when the dollar is strong and was very strong until about a month ago commodity prices are weak but when the dollar peaks and goes lower the prices will go higher. take a gander at the weekly chart of the dollar index which invests in the foreign currency and not just the euro. the dollar has peaked for weeks. as you can see we see a pull back over that period. there's still plenty of additional selling around the corner. when you look at the rsi, the relevant strength index it's an important momentum indicator at the bottom. it's only in the middle of the range. that says the weakness in the dollar has actually been mild versus what it can do. we get the traders report and that tells you what the big institutional players can do. anything that trades in the future's market including support. the speculators are still massively short the european currency and by default if you're short in the euro you're long the dollar. even though it looks lik

it could be the dollar by the way you had a stronger dollar. d be something that is weighing on the market. it's bouncing back and how the market trades it is more your expertise than mine. i think it's out there and we have chronicled very strongly in great detail the negative numbers and the bias to the downside and the snap back. i wouldn't take the negative number in the first quarter on face value or the rebound in the second quarter. again, we average them and you come up with a 1%. as the data clears, that's the key here. as the deflationary impulse from a stronger dollar and oil prices works through the system that will give the fed confidence. september remains the best bet. july is an out liar in terms of coming earlier. >> speaking of anniversaries, the four-year anniversary of the opium idea. we have done okay in that time. guess what. no offense, but there is no genius behind that and the economy tends to grow. those who have banked on the economy falling apart lost money. >> i agree, but in june 2011, not a lot of people were posit

the dollar extends its slide. itting a three-month high as mario draghi takes the stage at imf headquarters in washington. joining us is scott minor, chairman of investments. he is in town to accept the institutional investor's sixth annual u.s. investment management award for core plus fixed incomes. congratulations. >> thank you. appreciate it. >> what did you do to deserve that? >> i showed up and work and didn't manage to do worse than all the rest of the managers. >> that's all it takes. >> that's it. >> what is the key to doing that in this environment? >> i think the key is not to take a lot of bets on interest rates. long term rates hover where we are, maybe slightly higher. and what is credit going to do? as the fed begins to raise rates that credit spreads continue to tighten. so having some exposure to high yield bank loans is probably not a bad thing to be doing if you are a fixed income investor. >> would you say you had a contrarian view on rates over the next couple of years? >> i hate to think of my

the u.s. dollar. we asked what is the future of the u.s. dollar?n credit of government being not good. we also have dollar futures rocksolid. all the world leaders have the piggy banks jammed dollars. tom: a wall street answer if i've seen one. vonnie: we will have a new international currency. that goes to brendan's prodding of very different people. brendan: i'm fascinated that the imf can make this decision and it has tremendous consequences for global markets. can the imf the ahead of organizing the yuan? tom: we will have to see what the market does. do you see any ending to the dollar being -- oil being a dollar-based transaction? lord john: no. it's not going away. tom: will you let us know if you see something changed? vonnie: lord browne's currency is liquid gold. let us get to our agenda. i'm taking a look at cpi today. erik schatzker was talking about it earlier. it is what will really decide the numbers today. it is going to be an influx of goods that we have not had. that may affect things. janet yellen speaking as well lunchtime. bren

that's why talking about tiffany, the strong dollar hurts tourism, i was surprised the strong dollars hurt tourism. these american companies in the airline business have a lot of european although spirits does and they've been killed. the added capacity is the debt to earnings to share. >> right. however, it is a good thing for those of us who actually fly. what is this? cheap fly network. >> no, it's not. >> i'm just trying to put a positive interpretation on certain things. remember, it's not always just about the stock price although it often is. >> not necessarily. this is a moment. >> have you having a moment? are you okay? >> i'm trying to figure what else. >> we'll get back to talking about stocks. >> what is it about, nice suits? >> it's about love. >> luv. >> really? >> yes. it's been for sell. >> luv has not been for sell. >> luv has been for sale. >> what do you mean? you're not saying the accompany, the stock. >> the stock. >> when you said luv i thought you meant southwest. >> luv is for sell. >> $36 a share. even. luv. southwest airlines. coming up what snap chats ceo an

let's have a look at the euro dollar. it's been one of the big movers and it is once again today up 0.54%. the euro continues to strengthen as that euro qe trade started to unwind in recent weeks. 11417 is what we're looking at for if euro dollar at the moment. >> another sharp move in the bond market yields ticking higher. let's take a look at what we're expecting in the european markets. the ftse 100 down about 7 points. the xetra dax and cac 40. italian markets up about 85 points. it's the treasury market catching the attention of investors. there's now less certainty. looking at the ten year note. >> let's give you a run down of this trading day. weekly jobless claims expected to rise modestly. also 8:30 april ppi. prices aren't expected to change much from the previous month. kohls before the opening bell. after the close we hear from applied materials in orderstrom candy crush maker king digital and party city. >> taking a look at u.s. futures indicating a higher open although the uncertainty in the fixed income spac

euro gaining 4.4% against the u.s. dollar. take a look at the dollar index.has been the big concern when looking at u.s. corporate earnings. the negative impact for the multinationals that make money overseas but we have been seeing the unwinding of the trade given the soft economic data out of the u.s. sending the index lower. in the month of april down 3.6%. here's the big winner. after that big move to the downside in the russian rouble well a very different story here in 2015. gaining about 11.5%. yesterday the russian central bank cutting rates by 150 basis points. now through earnings season we have been asking ceos for their take on the impact of currency head winds in their industry. take a look at the biggest responses. >> it's only 2% and it's solid growth. it's only 2%. >> clearly the currency in some areas like the dollar is retraced. the euro is obviously still weak so that is having an impact on the business overall. i think we feel like the measures in place were appropriate. they obviously the results were good in the first squart quarter as a

parity with the dollar? >> no i think unless something terribly wrong goes with greece i cannot see any reason why the euro dollar should trade to parity right now. >> such a different call versus two months ago. people saying the euro is headed to parity with the call given the quantitative easing program. >> thank you for coming in. head of global fx strategy. britain's margaret thatcher is some of the names on the most inflew influential european leader list that spans the last years. if you disagree or have a suggestion of your own, get involved and tweet us using the #cnbc leaders. >> now the bank of england admitted it's data on british debt sales have been wrong. foreign purchases of guilt sales hit an all time high of over 28 billion pounds in march but that figure has been revised by half to 14.8 billion. the boe says it was a clerical error. >> let's have a look at the markets. 1:15 minutes into the trading session. stoxx europe 600 off. it's mixed earnings report we got out this morning. we're stil

michael, the dollar -- that seems to be one of the big market moving stories, the dollar hitting a seven-year high against the yen, the dollar against a broad basket of currencies. at what point is the dollar strength they had went against the u.s. economy? you do notviously want to change economic forecast based on one day's dollar move. theas a 15% or so move in broad trade weight of the dollar from the middle of last year to the last quarter. if we see something like that again, obviously we have to start to question second half growth, but one day or -- euro-dollarabout parity? it's good for all of us trying to plan our vacations in august france, but it might not be so good for others? michael: what we've seen since march is really -- obviously the dollar looks a little stronger the last week, but we are going to have to keep an eye on it, and the lesson of the first quarter as well learn that we have to be sensitive in thinking about the outlook. oli, lookhael fer ahead to thursday and even next monday. what economic reports were you be focused on? michael: after friday reports slow dow

the '90s. we can't absorb this very strong u.s. dollar we just prove something, that you have a better memory than i do, sara among other things. what's interesting here is that it's eased off a little bit and the inflation -- the deflationary impulse has worked its way through. by the time the fed gets around june or july if the stability in the inflation numbers are proven to be still there, then i think you're going to have the fed may be ready to hike maybe july, september, right in there. >> you're betting september. >> september. >> they can't avoid a stronger dollar when they start raising rates. >> no. as long as we don't see a rate much above 1.15 for the euro ten-year treasuries doing what they're doing, we're set for a calm and quiet summer. >> can they handle interest rates and is it enough that the rest of the world seems to be in easy mode still pumping qe into their economies? >> absolutely. the ten-year rate at 2.20, even as high as 3.15 we can sustain. the treasury i don't think it's not going to be -- >> steve, i maintai

i would argue that the dollar is a function of the euro. not a function of the dollar. but obviously a function of the central bank differentials. by the way, i have been wrong for a week and a half. if it breaks 114.5, that to me says it's going to 118. but in the mean time i think you have extreme positioning. this is global macro pushing on the market and saying that the headline is getting crushed and is it signaling trouble? no it's saying that people are overpositioned before. >> well, this is a big unwind at the macro trade going on out there. that's like you said, a euro, unwinding the euro short. and then the german rates and the volatility that we have seen in the bond market is causing big funds to unwind this trade. that being said i think today was a little bit different because we saw the retail sales number pull a 0.0 and nobody was expecting that. when you add to the chicago fed models and the atlanta fed modsel models two quarters are 0.0. i would be concerned at the very least that the fed is on hold. >> you think is driven by the weakness in the econom

as for the dollar, the euro weakened and the dollar is recouping some of its earlier losses. ing about $52 and has backed off and now below $60 once again. that's about to the tenure, treasuries catching a bit after their two-week selloff. lower prices mean higher yields and the 10 year yield today we just a higher 2.0 -- 2.31 percent before coming down. recent weakness in treasury driven by the rotten european government bonds especially -- did you come inside the bloomberg terminal, this is a chart that the company gave to me and it shows the yield of the 10 year treasury and the 10 year food over the past -- past 10 years. treasury in blue. you can see the movement was dictated by the safe haven european trade where prices move higher and yield lower. pay attention to the spread because that has been inching higher and up until recently, it was lifetime highs. according to michael purvis, it is now starting to roll over just a little bit, so you will look for some decoupling between treasuries as it goes on. of course, any news flow may drive the next move. we have payrolls

buffet, the dollar top and high growth, the best back to back days since february. let me parse today's session and help you make sense but out of respect to the annual meeting this weekend, let's start by why it's worth bothering to find the given day's action. sustaining day to day obsession with how stocks move so creating a narrative that makes sense of the day's action could be viewed as that. as he told everyone who would listen he wants to buy shares in companies he knows and lookikes at his prices. i applaud his reasoning and endorse buffet's long-standing view if you can't do the homework, put your money in an index fund. i endorse it. i know of way too many fortunes made by people that put things into context using the day to day context to get better prices. if buffet wants to take advantage, this is an imperative to know the whys of a given day's activity the to understand. that's why it's worth making sense of an individual sexssion and buy the extra income after they maxed out with their retirement accounts. that's right, "mad money." i get daily suppo

but the stronger dollar is a magnet for money. even as we hear talk of fed -- fed guys could you just should up for a while? so the housing and home improvement related stocks make sense here especially given that we're seeing real house appreciation from a bunch of indicators. lower mortgage rates keeps homes affordable. keeps the investing in your house. how about oil? okay, the oil complex was under tremendous pressure today and i think that hung over the whole market. as these stocks have become winners. but a strong dollar and news that iraq will increase oil production could put a dent in the price of crude. some of the cheaper oil is viewed as a negative for the entire market. yet there are whole groups of stocks we used to like before they got clubbed by herer gasoline and jet fuel. i'm talking about restaurants and retailers and airlines. we know the airlines have been in a world of hurt lately. it's hard to resist if oil has truly paeked and headed back down. it's another negative that's actually a huge positive for a siz

nobody talked about the dollar. ect it like it did to have an export problem in the first quarter. that did not help the economy. consumer confidence is a little shaky, retail not growing well. it is a mushy economy. i would rather see the fed bump this and get on with life. alix: move on. >> we have done enough talking about it. alix: i was going to part that where we ended today, so we can look. at the dow is up and we saw the carnage earlier in the week. everything is jump in about 1% this actually has the best day to day since march. on the commodity side, we saw oil snapping its three-day losing streak and we saw the u.s. dollar snapping the losing streak, so what we see is this unwinding over the last few days. the dollar was doing well, now it is coming off. we want to get to get to breaking news, did we meet the numbers? >> you have to go with the numbers, look at the biggest movers for the week. tech momentum that had happened -- helped propel the nasdaq. it gave investors a big reality check. linked in, 21%

the u.s. dollar has been losing ground. that's allowing u.s. equities to out perform last week and hit new highs, whereas the euro has rebounded that has meant european markets have rebounded more. >> this weakness that we're seeing in the u.s. dollar is being welcomed by those international companies that make most of their revenue outside of u.s. the question is how long will this continue especially if the forecast is for data to improve to the up side. that keeps the dollar trend -- the dla bull trend intact. >> let's focus to one of the biggest individual movers already, in asian trade and london trade. bhp shares are -- /* -- before bouncing back in today's trade. south 32 shares fell over 3% in the first day of trade. >> reporter: it was a disappointing day for the bhp spin-off south 32 which made its share market debut in australia. hitting the boards at $2.13 a share but falling below that level through the trading day. it was set to 2 australian dollars a share but coming in at the lower en

the dollar showing strength against the euro.hey strength against the town sterling after a run of strength all week for the british pound. let's get right to the top stories. the fastest cost of living increase in 2 years, it rose 3/10 of a percent last month, that is the inflation level minus the cost of fuel and food. boardincreases across the , the federal reserve is considering went to raise interest rates. it has said it wants inflation rising around the 2% level. a final vote on the trade deal may be held in the u.s. senate as early as today. it will give president obama fast-track authority to negotiate trade agreements such as the transpacific partnership. yesterday, democrats led an effort to block the bill and that failed. they say the deal could end up costing jobs in the u.s. betty: reaganite are said to approve a takeover in the cigarette industry, reynolds about to win after trust approval -- antitrust approval. they are best known for its camel cigarette brand, to win approval it has offered to sell its e-cigarett

>> tell us more about that surge in the dollar. you mentioned yellen's comments a stream of positive data. anything else? >> that's right. dealers rushed to the greenback as they sold off the euro, actually, not just the yen. fears about greece's ability to meet its repayment schedule remain in political uncertainty and spain also weighed on the single currency. so the euro slipped to a one-month low against both the dollar and yen. dollar is now around 1.0882 compared to the level last week. i'll keep track of moves and currency markets and other asian markets. i'll be back in a few hours with an update. back to you, ai. >> sounds good. we'll touch base with you then. thanks a lot. >>> officials at shingingko is in talks with a mergy group. mismanagement plunged it into crisis soon after opening. sources say shingingko tokyo is considering a merger with the tokyo ty financial group. shingingko would then become the group's subsidiary. the tokyo government owns about 80% of shingingko's voting shares. if the merger goes ahead, the b

in the longer term it is a strong dollar story. for cnbc business news i'm sarah. >> let's continue our discussion around currencies. good morning how are you? >> good. >> do you think the sell off in the dollar is short lived? >> we have been a couple of times this year talking about potential dollar weakness and i think we have seen that and you've seen a lot of volatility since last october. up until march was up nearly 25 or 30% against a basket of currencies. it's obviously corrected because it got too far too quickly. so it's been down rather against the basket 6% certainly in the last month but i think it's pegged against the interest rates. they're not going anywhere until at least the third quarter if at all this year. i expect that dollar volatility comes down and we see a more normal picture against european currencies anyway. >> fed fund futures indicate a 50% chance of a rate increase in december and 34% chance of raise raising rates in october. is 2016 a possibility as well if the data continues to disappoint. >> it's

the strong dollar weighted negatively pretty predictably. the oil dividend was not what many expected. basically negative for a lot of companies. and euro optimism was another one, expecting higher growth in europe, which we have kind of scene. and the last one was -- i'm blanking on it. leading to amulus european recovery. let's take a quick right. i want to go to cory johnson, who is looking at symantec numbers just crossing. cory: semantic earnings just crossing. downompany is reporting 7%. it's a bit that are then analyst the alice were wrong. they were -- the analysts were wrong. they were expecting a 6% decline. even worse than the analysts expected. -- 19% down 90% over year-over-year. even when they flout all of their funky adjustments and adjust for other things as well, we still see profits down 10% year-over-year. newntec is facing challenges in defending cyber security. big challenges, both with a lot of computing moving to the cloud and with a lot of competitors like fireeye and so on. symantec is fighting that off, but losing re

the aussie dollar went up. why didn't go up? you have to look at 2%. that is pathetic, one of the best counterparts. the kiwi bank. the aussie is really one of the few places where you can get the return of money. look at the ecb and the fed who are dragging the proverbial chain here. times are a bit frustrating that in the federal reserve is not lifting rates there. that is the number one story. and the was in printable story of record on your o -- iron ore does not have the same luster as it did before. all but cemented the move by the central bank. jennifer: another side -- jonathan: another side to the story and property market. a subject close to your heart for you we obsess over london property prices. sydney did dinner parties and the same topic area a lot of people thought they may hold back because of the housing sector. can they pull the trigger now? dan petrie: well they are now being urged to do that. the dinner parties you talk about a you talk about these things. they have barbecues and australia which we call barbecue stoppers. [laughter]

that is helping give a boost to the dollar. hat happened in stock ended the day in the green. the shanghai composite rising 3% , led by brokerages and energy companies. gain the biggest one-day since january. dispute over the expansion of a key underground copper and gold $5.4 billion.r man filed this report from hong kong. report.man filed this deal is thee ou largest in the country. the third-largest copper mine in the world. will account for one third of mongolia's economy. not to mention open the door for more than $4 billion in new investments. the stalled talks have caused foreign investment to plummet by 90%. turquoise hill resources owns two thirds of the project. shares have been up 40% for the year. olivia: islamic state has reported the rounding up and killing of enemies in ramadi. residents say victims' bodies are being thrown into the euphrates river. 25,000 people are now fled the city. at least 58 people are dead after a mudslide in western columbia. officials say they do not know how many more are missing. .eavy

bulls on the u.s. dollarend come back in the past few weeks. does it continue and does it act as a barrier to stocks? are you surprised that with a near historic rally in the u.s. dollar, we managed to see record highs in stocks? >> that's true. i've been dumbfounded. last week i think waits a bit of a game changer. since the dollar started to rally, s&p has been down. most days the dollar has gone up. from our point of view equity markets are paying more attention to the market finally. we are not trading dollar strength but rather euro weakness. not just talking about greece per se. the greek issue is a red herring. things will get worse. ultimately greece will exit the euro. that will be positive for the euro. i think i'm talking more about the ecb qe. we are talking about minus 120 billion euros of negative supply of european bonds. we'll see a lot of foreign investors dumping or exiting european bonds in the summer months, which means some of them will sell euros, as well. i'm looking for euros to head t

the dollar is trying. u've got no inflation in japan. what will the bank of japan do next? will they do more quantitative easing? either he partners is the most accurate forecaster that we poll at bloomberg, or they were in the first quarter. they have the view that dollar-yet will hit 100 32 -- dollar-yen will hit 132. the rest of the pack, they are much more sanguine. they are much more laid back, saying you've had your run, 125 is the top. citigroup saying 126 is possible. it depends where you are. it depends whether you think the bank of japan has to do more. will the greeks do a deal? moscovici didn't sound as if they were about to do a deal. christine lagarde needs to clarify their ability to do a deal. ambiguity abounds. june 5, is it really a cutoff date? is there cash aplenty? i leave you with this thought. the big bunch of orders for the options market is down at a level of 1.09. that is where the options interest is today. 2.2 billion euros worth of options at that price level. never forget the l

the euro dollar trade has been the big story for investors. in fact the stronger dollar one of the reasons traders say we did see the sell off on wall street yesterday. of course stronger dollar not good for export growth. it's also not good for revenue on the big multinationals that make a lot of money overseas. right now the euro gaining a little bit of momentum against the u.s. dollar so not at the levels we saw last week of 114 but the euro holding on to 109 against the u.s. dollar. what does this mean for european markets? a weaker euro. the best scenario for the exporters but in today's trade investors brushing off the slight move to the upside with the xetra dax all holding on across the green. a different story than what we saw awhile back. the italian markets at 23,477 up by around 150 points. taking a look at bonds, of course the sell off in the bond market was the big story about two weeks back but we've seen levels stabilize over the past couple of days. the german 10 year bund at 0.53%. the 10 year gilt yielding 1.8% and you're lo

it has a lot to do with the dollar. with more "closing bell" right after this. >>> welcome back. if you're making a list of interesting dinner guests in the world of politics bernie sanders would make a lot of lists. john harwood caught up with the senator as he was preparing to kick off his run for the white house. john, what did you guys eat? >> we had spaghetti and meatballs, kelly. bernie sanders wants big economic changes like busting up wall street and maybe even raising top marginal tax rates up to 90%. if that slows down economic growth, he told me, that's okay with him. >> if the changes that you envision in tax policy in finance, breaking up the banks were to result in a more equitable distribution of income but less economic growth is that tradeoff worth making? >> yes. the toll the economy and the gdp doesn't matter if people continue to work longer hours for lower wages and you have 45 million people living in poverty. you have more and more growth producing products we do not necessarily need. at the end o