tv Bloomberg Daybreak Asia Bloomberg December 14, 2016 7:00pm-8:01pm EST
♪ >> 25 points and more to come. the fed raises rates. a new security headache that yahoo! unidentified thieves steal data from one billion users. >> crown resorts abandoning their international spinoff, selling shares to pay their debts. >> and donald trump is in silicon valley. >> this is the second hour of
"daybreak: asia." it is just after 7:00 here in new york. fed.s been all about the >> absolutely. take a look at the market reaction. we saw stocks and bonds>> and currencies, the dollar spiking higher. she mentioned fiscal spending. she did not really go there when it came to what it meant in terms of after the president-elect steps into office. a lot of the market signaling it as a signal from janet yellen. we will watch the market reaction. it is all about the fed. she singled out the market growing. the >> labor market and inflation are her targets. to beonomy has proven
remarkably resilient so it is a vote of confidence in the economy. betty: let's talk more about that market reaction in the asian markets and how they are responding. it is a divergent picture. you have ge japa9n outperforming the back to a vote of confidence if the u.s. economy recovers but we are not seeing that confidence when it comes to sentiment on equities. yes, it is the morning after but over the next 24 hours we had something like 50 different points of economic data, central-bank decisions coming through. of course, also, swiss national bank, the bank of england, and mexico deciding on rates. of event risk coming through and we are seeing that risk diversion playing out
here. gas down so far this morning. crude tumbling overnight, snapping the four-day winning streak. supplies surging to multi-month highs. korean stocks down by 7/10 of 1%. weis interesting to see if see the emerging-market equity selloff today. the nikkei 225, we were expecting a higher open and we have that up by 0.5% on the back of the weaker yen -- it is holding at that 117 level, which is a boon for japanese equities when it comes to exports. the bank of japan meeting next week for the last meeting of the year. elsewhere, a little bit of positivity earlier on from the
gold but that is now pretty much flat. major losses in australia when it comes to gold as the result of not that much money flowing to safe havens. we will be watching the australian dollar, moving up, coming under pressure from that fed meeting. it is shaping up to be a largely negative trading day in asia with the exception of japan. betty: thank you so much. had thethis of course worst kept secret of the year, the rate hike coming in as expected. janet yellen and her colleagues through a curveball by indicating that more rises could come in the coming months. we will have more on that twist. guest: a twist indeed. we knew the rate hike was coming because so many indicated that it was time to do so. every three months, the fed updates their forecast on the
economy and that potentially changes how many rate hikes and the monthsy see in and years ahead. here's what happened to baby or janet yellen decided a stronger labor market -- he talked about rising inflation, it hour news team -- said that she took a victory lap looking at the economy. here is what she said. 2.25er the past year, million new jobs have been created and unemployment has fallen further and inflation has moved closer toward longer goals. we expect the economy will continue to perform well with the job market strengthening further and inflation rising to 2% over the next couple of years. the fed has a dual mandate, right? to keep stability, they need to see inflation rising.
unemployment is at a nine year low. the fed thinks they can get it to 4.5. yellen also talked about rising expectations. others found her maybe a little more hawkish but there is certainly optimism about the economy helping the fed give it a tweet but for markets, it is a big deal. succeeds?nald trump i think the door has opened to not as much gradualism, potentially, as markets were expecting. betty: you were saying all along that the markets for this meeting -- that it would be all about the jobs. what you think of this market reaction? guest: i was a little surprised to on the other hand if you think of the implications -- demarcus markets think about where they are going in the next -- where rates are going and the
dots are what officials are hered -- given your view, do you think interest rates are going to be? look at how the dots change. i am going to show you part of the terminal -- when you look at it, the far left? that is where the dots were in september. a far right, that is where the dots are now. on the far left you see there were seven members who thought they would be two i expect now there are six expecting 3 -- there is still six that only see two. their redline is what the market is looking at so there is still a bit of divergence but that is what people are watching the janet yellen downsized this and saying that some members of the fiscal policy -- she stressed it is some that to me this is a bit of a soft tilt toward three-putted is still going to depend upon the economy and what tow truck can or cannot do and what it means for the economy. betty: a lot of questions about
fiscal policy and again about her staying on guest: the ash at a shooting those questions? she took them very carefully i think she is being there a clear. she said interestingly left there is not -- it is not obviously necessary to have fiscal stimulus now for the economy unemployment at 4.6 prevent but she simply said of course there is many reasons to take fiscal steps and at the president -- you know -- that is going to have to be a [indiscernible] alsot is too -- he repeated -- as for the fx -- it is to really -- they do not know what they are. asked again about serving at her term, she said she intends to serve out her term and whether not she is going to have to the make a decision about issues -- if she is asked to step down -- it is too early so i think janet yellen is being,, cool, and collected and she is doing everything -- she can, i think, yvonne, just two, not reacted -- not to overreact -- but two, you know, maintainer authority, maintain her role. definitely tomed
paper that question a cannot of our very own michael mckee. thank you. now let's get a look at the first world news. reporter: thank you so much. crown resorts have scrapped plans to spin off its international business and one announcing the sale of shares. half of the proceeds will go to pay down debt with the rest going to shareholders. james packer's company had planned to isolate its australian casino business from macau it it is also abandoning a development project in las vegas. the chicago stock exchange could bethe first u.s. exchange to owned by china. the proposed sale to a chinese group of investors has cleared its major hurdle but it still needs approval. bloomberg news reported the takeover valued at less than $100 million. and agreement was signed in february. shares in chinese tech company -- start trading on thursday
after in ipo expected to raise a must $630 million. the app developer planned to $8.5074 million shares at hong kong. it is the largest offering since alibaba. the founder and chairman told blu-ray the company has aspirations and social media. to get more now is exposure and let more people know about our brand good first, to make it a tool in later to turn it into a social media app. american think tank says there is evidence of chinese military installations on disputed islands in the south china sea. the initiative published satellite images showing missile defense and systems and anti-aircraft guns on seven islands. beijing has yet to comment on the claims but it has previously committed not to militarize the region.
global news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 countries. this is bloomberg. fell after news of another security breach, this one happened before the one announced last september. it involves the theft from one billion users. we have been tracking the latest on this and we are hearing about this because of an internal investigation. reporter: forensic experts have now revealed there was another earlier breach as you can see, the stock tumbled after hours and what is very interesting here is that yahoo! released its a 2014 breachout in september ahead of its and sale of a web portal to verizon that was concerned impact -- the deal -- the 2014 attack was said to be by a state-sponsored individual.
it was said to impact email and user passwords, phone numbers, and addresses. now they come out and say that it was a thursday -- 2013 attacked i could have impacted twice as many people. half a billion back in 2014, 2013.ly one billion in so how this plays that will be interesting to see but clearly it does not bode well for the reputation of the company and it certainly is just another obstacle for yahoo! and what has been a challenging year. challenging year. what does that risk -- what is that risk vis-a-vis their deal with verizon? reporter: they are hoping to be transparent and disclose all they know. marissa mayer has been really in the middle of this -- it weakening the reputation many observers say and it has been her goal to sell the web porter $4.8 million deal and it is said
in a most recent announcement that they expected to go forward in the first quarter of next year. now verizon issued a statement saying as always we will evaluate the situation as yahoo! continues its investigation. they understand there is transparency here -- they have also said they will review the impact before reaching any final conclusion to people close to the matter have told bloomberg that verizon has signaled some misgivings back in september when they heard about the other breach and that if care is an indication that this anyway harms the company or their investments they would take possibly two options will be to cut back the size of betty: the deal another might be to walk away. betty:thank you so much. on yahoo! -- and a data breach -- again, still ahead, the fed's surprise and markets are predicting three rate heights next year. we'll speak to a longtime central-bank watcher on whether the trump presidency may have been a factor in this. next, the chief market strategist at accu trader joins
♪ ability ofdoubt the the central bank and the global central bank, the fed, to raise interest rates three times a year for the next several years because of the global economy -- i mean, even the u.s. economy -- and housing that will begin to reflect that. of the central forecast 2-3 and the fed said three interest rate hikes is on the upside if there is more of this fiscal stimulus, more growth, more inflation then we think, then the fed will be more aggressive. >> they are doing a good job. they did a good job.
i -- again -- i have full confidence in the open market. >> [indiscernible] the fedlayers there on decision. let's discuss the implications now. craig mckenna is the chief market strategist at accu trader and he joins us live from sydney. great to have you. we heard a slightly more hawkish tone from janet yellen the same unemployment at four point 6% -- we are close to full employment and it seems that the only lacking indicator now is inflation so what do you make of this yet but should the fed be reconsidering raisinre are they still behind the curve? i think they are to a certain extent. i think that what we saw last night and the weight of the reason the market reacted the way that it it is you know it was only a small move to say three rate hikes instead of two but in not referring to the fiscal stimulus of donald trump in its statement in explicitly kind of excluding that that is given the market the sense that if it is the reflationary kind
of impact on the u.s. economy that stock traders are editing, the fed is going to have to bed for or maybe even more -- i am in the cap this is the proper do four next year. betty: and why though? greg, because it is in a lot of is what we are seeing reef -- euphoria we have seen -- on hope right now? so, yes,, very much but, if i put the reality of what hope is going to come -- so, we have got a strong employment market in the u.s. we have a relatively the participation rates we can still drag people into the market over there. almost the deflationary impact of oil about to wash out in the first quarter of 2017. that is naturally going to lift the inflation, then when we just are to rise, as well, when donald trump starts to spend money, you know, we don't in the infrastructure and those kinds of things i think the net impact on that is faster nominal growth in with faster nominal growth he will then see inflationary
pressures rise in the economy heat up a little bit so that the fed, you know, hikes four times -- it is still not a lot -- you know? it is on aggressive and it would still be below core inflation this time next year. betty: what does this mean for yields, then, greg, because, if you show the chart, you see the thead -- i mean, this is most since the 1980's when you take a look at that spread -- it is quite remarkable -- only going to see -- continue to see you back up and yields? -- continue to see the backup and yields? so, i think i think that, when we look at the u.s. economy is and where the fed is relatively -- relative to what the bank of japan did yesterday by, you know, going into the market and bidding out to 25 to seents, we are going that spread continue to widen in favor of the united states and that means that, you know, bond rates are probably headed toward 2.8 -- 3% and that is going to continue to underpin the u.s.
dollar in a medium-term kind of basis. ok, so, do you think -- and i agree with you -- you know -- when you put it that way -- one rate hike a courtesan; up at you think that, you know, a lot of this is placed squarely on donald trump and sort of you know his potential policies and how they are going to pan out that a lot of it can be placed on sodas the uncertainty -- maybe that shift that we have ics? in trumponom guest: yeah, iguest: think that is the right way to characterize it -- instead of having come out and say, we think four rate hikes and we factor in trumponom ics --what they have done is by explicitly not talking about trumpnomics is explicitly said did right --k you there is a lot of expectation, a lot of, you know, credence going
to need to be put on what does actually -- actual policies are if it turns out that he spends less or he plans less than what the market is currently factoring that you will see bonds reverse and you will see a lot of reversal in the u.s. dollar. at the moment what the fed did by not talking about it was >> increased policy uncertainty. >>the could actually be quite ugly if we unwind those trays because the expectations are a lot -- or the reality is a lot worse than the expectation? >> yes, i think so. it is 2016. purchase weakness and sell strength. it is a question of when you do it. we have overreacted and we have overreacted to the -- i am just saying those reversals -- i think there is still a chance of that. in my be in january sometime after president-elect trump actually takes office or people see a reversal at some point. we do need to see the actual
data support everybody's expectations and there is probably going to be a lag so my that would be the 2017 at least the first half is going to be a continuation of a kind of volatility that we have seen across global markets and 2016. >> thank you so much, gray mckenna, the chief market strategist at accu trader joining us live from sydney. now, a quick check on the latest business headlines at this hour. australian telco telecom has won the bid to become singapore's first mobile phone licensee. they paid 74 million dollars for the right to the spectrum which is expected to -- in april. singapore has one of the deepest penetration rates for global -- mobile services. the market is currently dominated by three players did a billn has passed legalizing casinos paving the way for billions of dollars of potential investment. more legislation is needed before so-called integrative
resorts can be built meeting known is likely to open before the 2020 tokyo olympics. las vegas says it is prepared to make an unmatched investment in japan. a recent poll found only 12% public support for casinos. we are hearing -- is not currently in talks to acquire mont elise good sources contradicted reports that the company could be a target. in. heinz was taken private 2013. they merged with craft last year. -- they merged with kraft last year. and much more ahead. crown resorts folding its plan to spin off international assets. we will have details of their new move to cut the dead. this is bloomberg. ♪
am betty liu in new york. yvonne: crown resorts has scrapped plans to spin off its international assets and instead will be disposing of its stake in the macau casino operator melco crown. shery s thahhalatest on the story. to this detailing of -- it was one of the factors. might have been a conjure beating faster just because crown resorts has had lots of issues in china including the fact that the macau casino operator crown melco crown hasn't been doing well just because of the downturn that has been going on for the past two years. of course we are seeing a bit of a recovery but crown resorts has had its issues in china so the was thatdea here australia's crown resorts would off itsof its or spin international assets including that $2 billion stake in case
now -- macau casino operator melco crown p now they are scrapping this plan and they are instead planning to sell 198 million of melco crown shares. now: international is scheduled by the ceo and his family for $1.2 billion. their shareholders will fall to 14% after the transaction. telco international already had a stake in the casino but they are going to raise it to 51% from 38%, betty. betty: where are the proceeds going to go? reporter: they are saying the half of it will go in reducing crown's net debt and the rest will be returned to shareholders bear they plan to redeploy capital to fund high-quality growth projects so until all of this happens or at least in the meantime, until december 19, crown resorts is halting
you can handle being a mom for half an hour. i'm in all the way. is that understood? i don't know what she's up to, but it's not good. can't the world be my noodles and butter? get your mind out of the gutter. mornings are for coffee and contemplation. that was a really profound observation. you got a mean case of the detox blues. don't start a war you know you're going to lose. finally you can now find all of netflix in the same place as all your other entertainment. on xfinity x1.
11:30 a.m. in sydney where markets have in trading for 90 minutes now. we have seen most of the declines in the region in sydney, after the fed decides to raise rates for the first time this year. betty: we've got breaking news. australia has released its unemployment numbers. paul allen is in sydney with the details.
paul: we are getting used to this, aren't we? unemployment rate -- for it to holdas steady at 5.6%. jobsr than the 17,000 expected. .ost of them full time to re .000 part-time jobs lost the participation rate has unexpectedly risen to read a bit of a mixed bag in terms of the jobs numbers. muchussie dollar, pretty unmoved on the back of that. the headline rate, higher than expected, 5.7%, mainly due to an increase in participation rates. betty: a mixed bag indeed. let's see how the markets are
reacting. let's hang on for one second while haidi gets in place. the unemployment rate jumping their to 5.7%, partly because of the participation rate jumping up. : i was trying to work out what the aussie dollar is doing. as investors are getting a chance to react to the data. we have had quite a bit of downside pressure when it comes to the aussie on the back of the excitement over what the fed will do. interestingly, there was a story out today pointing out the aussie dollar may be following against -- falling against the it is very much a dollar strength story. when you compare what the aussie is doing against other trading
partners, it is showing some disturbing strength. a lot of analysts saying that is the factor that is going to weigh on the economic recovery. story.s, a mixed sydney, a lot of downside. still down by 0.6% when it comes to the afx. it really has been an energy story. continuing tors see declines as the gold price continues to fall. santos was the biggest decline are on the asx. expected that numbers coming through. of the look at the rest region. we are as expected seen a mixed picture. korean stocks down 0.5% to read
the nikkei, we knew it was for a stronger opening. we are looking at levels around 117. the ears ofc to japanese exporters. they are doing well in what is otherwise a down market. betty: let's get to the first word news with courtney collins. courtney: first up, the fed has raised interest rate for the first time this year, saying the outlook for inflation has increased considerably. inrowing costs set to rise 2017, with central bankers expecting 0.75% increases next year. janet yellen stressed nothing is certain. ms. yellen: we have time to wait what changes occur and to factor those into our decision-making as we gain greater clarity. yahoo! fell in extended trade after announcing
another extended security breach. the incident is separate from that which yahoo! reported last september. it may have included, email addresses, and security questions and answers. firsts. has filed its charges in a generic price-fixing investigation. the justice department accuses executives of conspiring with fix pricesakers to of an antibiotic. the two executives intend to plead guilty and are cooperating with authorities. a plea hearing is scheduled for next month. general motors fell in new york on reports its chinese joint venture is under investigation for possible antitrust investigations. the network is being checked
overpricing. this news comes amid strained tensions between beijing and washington. the global times says retaliation could follow proposals by president-elect donald trump for tariffs on chinese goods. i'm courtney collins thanks. willaker of selfie apps make its debut. how big of a deal is this? really, for hong kong? itu's ipo is the largest in hong kong since 2000 seven. this company originally had a choice between the u.s. and hong kong. they eventually chose hong kong because they thought of the 460 million users, the majority of them are in this part of the
world so investors would be able to understand their story better. the pricing did come in at the lower range of the target. that is because people think of them largely as a mobile phone maker, and for a niche mobile phone maker, oh where does the growth come from? yvonne: last time we talked, you mentioned how much they are focused on making phones. what does the company for see it comes to growth? sectorsere are two bank company will focus on. for advertisement, they do have as a socialunctions networking platform. people upload photos and videos. they are trying to introduce advertisements. something similar to what facebook is doing. for e-commerce, they are targeting mid to high-end luxury, fashion.
as the sectors grow, mobile phone revenue contributions are expected to drop below 30% within three years. . what expansion plans does it have for countries like the u.s.? lulu: they still have a lot to if they want to capture that market. the chairman was saying, here in asia, a lot of users aspire to a fairer complexion whereas in the use the app to make their skin tone have a more tan look. the need to make their apps more localized if they want to capture the north american market. mu -- thank you so betty: thank you so much. president-elect trump has been
holding a tech summit. here is bloomberg tech reporter with more. selina: after months of skating opposition, trump and tech leaders came together on trump tower on wedsday. the first part was open to the media. he made very consolatory remarks. he tried to portray himself as an ally. he said he was there to calo hep them. there were no direct lines of command within his administration. this comes after these very same executives said many of their policies would hurt their businesses. there was a lot of controversy leading up to the event as to whether they should even attend. a person briefed after the meeting said some of the main topics included jobs, immigration, and china. many has before criticized of the biggest companies for
moving jobs overseas. he has also asked companies like apple to produce products inside the united states. there are areas of common ground. one area includes tax repatriation. these companies collectively hold hundreds of billions of dollars overseas and they would like to bring those funds backed the u.s. at a favorable tax rate. betty: up next, it is all about the fed today as rates go up for the first time in a year. we are going to have more reaction on that, next. this is "bloomberg." ♪
expect exports to return to pre-suspension levels. shipments where halted on december 1 after china imposed regulations. hasy: goldman sachs promoted new leadership to the copresident roles. .hey succeed gary cohen >> the pendulum, happily, has swung to recognize how much it does for society to have capable people going to government rate what a sacrifice that entails and how grateful we should be to those people, not the reverse. amazon a british
customer received a special delivery last week. amazon's first delivery by economist roan. aviationed in his own authorities have authorized for drone test flights. they say they are conducting tests in the u.k. because regulations in the u.s. are too strict. offy: a rate hike to cap 2016. is backgs kathy haze with us. >> they certainly were. we didn'trt wasn't, think they would make such a dramatic move. 25 basis points, the increase was expected. 0.5%, as expected. it is only the second time the fed has raised its key rate since 2008, when it put the rate
down to zero. now they say three hikes next year instead of 23 janet yellen cited stronger jobs, more inflation. taking a victory lap on the economy, as the bloomberg news team puts it. let's put all these questions to a very special guest. were youe founder -- surprised by the extra rate hike in 2017? >> we were actually expecting it. itself,ugh the election they said did not factor into it, there were some participants growthsted their expectations. we saw inflation expectations moved up. factput a cushion on the effe
that inflation has picked up. we went through this once a year , two years. now people believe we could get rate hikes if not more. janet yellen seemed to downplay there's just a little bit. -- this just a little bit. wasn'ti'm guessing she in the camp looking for three. diane: no, i would agree with you. she did play that down. there was this extent that some participants are factoring in fiscal stimulus. the fed as a whole, she and thets the fed chair fed as a whole, they cannot make policy on a promise. the fiscal policy that has been promised in terms of progrowth more inflationary,
all those have to materialize. the fed cannot be preemptive. they have to be reacted to the policies once they are passed and have had an impact on the economy to which is all, as she said, a cloud of uncertainty. shiften: you forecast the to three increases, but the markets were not expecting that. because of the uncertainty on p, in your view, why have the markets reacted so dramatically? is this idea, it is moving from once a year, yellen. the fed thought they would get that in. there was a sense it wouldn't get there. the markets have had a major shift in their expectations about inflation and growth. whether that is accurate or not is debatable. it is feeding into one of the fears they had, rather than
going against, they always had it right and the fed had it wrong. some people think there could be more rate hikes out there, if we see fiscal stimulus. of course, this did not encompass a lot of fiscal stimulus. the reality, we are at a turning point, is a realization for financial markets. kathleen: you always have your ear to the ground in policymaking circles. what are you picking off about janet yellen? i thought she was on top of her game. she answered, very carefully, i'm going to stick to the end of my term as fed chair and i cannot talk about a decision from donald trump that has not been made. but it must be a tough moment for her. diane: even though she was very rehearsed, they clearly prepared her for this, there was nothing easier usually's he with janet
yellen. ease you usually see with janet yellen. i also think there was sort of this slip she put in about, she wanted to stay through the end of her term. fed'sserted thae independence. hostilee aat they coul president. we have had a time when we did not have that. janet yellen is not a creature like perhaps chair greenspan. it is not clear how she could fend it off. she did slip in something, i could stay beyond my term as a governor. only one fed chair has ever done t despitehe did i president truman.
kathleen: bill gross was on television, the bond king. he said she has to be careful because of the dollar and emerging markets. diane: that is where one of the pressure points is. the spread between the 10 year german bond, it has gone to a wide level. this is the source of instability in financial markets going forward. part of the reason they want to go so gradually, and she pulls is even small changes in interest rates have onoutsized impact currencies. the spillover effect for currencies, given how interlinked the global economy is on financial markets, whatever happens abroad, can wash up back on our own shores. king this fine
line. there is a this dissonance between what the fed is doing and other central banks are doing. kathleen: i find it interesting out, janetpointed yellen saying, maybe i could stay on. betty: i think the markets might like that, perhaps. kathleen: maybe donald trump will figure that out. forne: up next, a big day nintendo as super mario goes mobile. will the move live up to the hype? ♪
asia."this is "daybreak atnne: time for a quick look what is happening over the next few hours. got a gueste joining us in 10 minutes, looking at the implications of the federal reserve move for asia. he is also calling for an end to a 30 year bond secular rally. like 27 in 30 seconds or thereabouts. the geopolitical risks, how they into that.o play
and then the philippines trade secretary talking about what the als are.ortant de the philippines trade and secretary industry joining us. also coming up, the biggest technology ipo in hong kong since 2007. we will be looking at the meitu and also for the shares as well. that.: looking forward to after almost two years, the big day is finally here for nintendo as super mario makes the leap to mobile. long time coming for gamers and investors, hasn't it? >> yeah, as you said.
2015 is when they first announced it. butmon go made a big splash was not made by nintendo. super mario launches in about seven hours, nintendo said. that is completely nintendo's own game. investors have been waiting for it for a long time. i am not sure, having played the game myself, later on today you can download it for free. you get access to three out of the 24 levels the game has. i have played around with it. i am not sure if it will grab people the same way pokémon go did. if i go outside in tokyo, it is freezing but people are still playing this game. they are playing it because it is a unique concept. i don't know if super mario run has that. you just run from the left side of the screen to the right. definitely, a lot of excitement right now.
you can double he tried out in a couple of hours. betty: are there even projections this is going to try to rival pokémon go? yuji: people are projecting that. 500 million people downloaded it. by march, an analyst is sane super mario run will hit the number as well. we will see if they are correct or not. i think some of the expectations are very high. the big difference with super $10 toun is it costs unlock the content. it is kind of a steep price for a mobile game. i'm curious, why did they do that? uji: nintendo wanted parents to
have he's of mind once you spend $10, you are not going to end up spending more to unlock things. priceut a slightly steep tag on there. the most popular paid game is minecraft pocket edition. it is seven dollars and doesn't get anywhere near the numbers pokémon go does. in seven hours, please give and see how it does. out for us.ested it thank you. another thing for us to be distracted by. this is about the icon of our childhood, this game. i'm definitely going to be downloading it. this is bloomberg. ♪ >> i said what do i do with this
money and i said investing is about investing -- assigning yourself the right story. david: why did you come back to omaha? >> i came back i had $175,000 and i thought that was all i would need for the rest of my life. david: did you run into that guy? when you had your first annual meeting how many people showed up? would give it by she to someone who is a young investor who would like to emulate you? >> would you fix your tie, please.