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tv   Bloomberg Markets Americas  Bloomberg  January 10, 2017 10:00am-11:01am EST

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vonnie: we will take you from new york and washington and cover stories in london today. here's what we're looking at in the next hour. trump's over donald policies they. on both sides, little changed. mark: the worst three-day drop since october. ceo's is including the group should officials failed to implement an orderly transition out of the eu. forie: jeff sessions goes the senate sec's to the -- to become donald trump's attorney general. a look at what you might do, even legalizing pot.
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about 30 minutes into the hasing session, julie hyman been following all of the latest. julie: a mixed session. as it looksgoing on like investors are awaiting some of this on capitol hill as well as donald trump's press conference tomorrow. the dow is treating a little lower and the net that the little higher. we are not seeing much change overall. nasdaqy change in the means for the past six sessions, the nasdaq has risen each one of those days. here is a one-week chart and the gains it is seen regularly. it will be the fourth straight record close for the nass, the togest streak going back december 1999. it had underperformed
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postelection in the immediately of the election, the dow was up warming and small -- small caps were outperforming. stocks are pulling back a little bit today and have risen thus far. facebook, netflix, all seeing is driven byasdaq some of these underperforming companies. we see commodities lead as well as together chinese and patient data, helping some commodities. the oil is lower even as russia and others are pledging to cuts asnact production part of the opec agreement. natural gas coming back from losses, colder weather in the or strengthd and copper thing at the moment. mark: we've hit a bit of a steep since last tuesday.
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when we entered into the bull since tuesday,hs we have fallen for four days out of five. 3%.urces are up by an outstanding performer in death performing sector losing the temperature lower. let's get to the ftse. days of gains. nine of the gains is a record. nine straight days of record for the ftse 100, and it comes after the best year relative to the stoxx 600. options data of trade rushing to protect against future loss is in the foot. thanks leading this rally.
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what a run it has in. how long will it will -- will it last? sterling declined, that was the number of unwanted you to watch yesterday. we broke through it. that was the october low, the lowest since 1985. we are above it right now. the median forecast for the first quarter, 122. -- politics is dictating what happens to the pound. him -- and swinging from being drag on inflation to another potential or us, pulling and pushing prices higher. the blue line, little indication is bleeding through
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to see pip or will watch that closely. so far, it is good news. hill, donald trump's's cabinet nominees. trump forgets -- predicts all of them will be confirmed. for attorney general is senator seth -- sessions. he says anyone who holds this must be faithful to the constitution. remember you can watch this costs -- this hearing live as bloomberg. -- at bloomberg.com/live. from theot be speaking white house and says the president --
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you can watch this event, president obama'speech, tonight here on bloomberg tv. coverage begins at 9:00 p.m. eastern time. him -- thee is growing concern pound fell to its lowest level since october. in south carolina, the same jury that convicted dylan roof of killing nine black churchgoers will decide his fate. hearings on whether he should get the death penalty. himself,- he defended called no witnesses and did not ask or mercy. global news 24 hours a day powered by more than 2600 analyst. this is bloomberg. vonnie: thank you for that. let's go to jake -- jpmorgan's
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annual health care conference. he took over as ceo. for more on the strategy, let's go to erik schatzker. .: thank you very much. good to see you from san francisco. with a like to begin policy question. those companies will be affected in the same way by the -- the appeal and replacement of obama care. what does that mean based on what you know now. strategy, with the is where theill be replacement is per we have a big business associated with medicaid in the diabetes franchise. we watched have very carefully and we have seen volume grow as expansion incurred more coverage.
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the price points are extremely well if these segments. it is really the lowest prices we have in the u.s.. the system is getting a good deal in the current set up. we will watch this carefully and continue to advocate for diabetes patients. everyone can have him him -- >> net positive or net negative? >> we will have to see. in toare things we paid report -- support the subsidies we will have to see what replaces it. we will work with policy to make sure innovation is rewarded and make sure the
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fees are associated more with the commodities business. >> trade is another thing he wants to change. you have your business outside the united states. what happens if the trumpet ministration puts into place various policies? we're based on the midwest, we export a lot of what we make. we could use more support in , and have a consistent and fair environment to reward innovation. we has a lot of flaws and did not support that. but perhaps other versions of wi-lan and multilateral trade
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deals, support to grow the job base here at home. >> what are you worried about? >> the unknown. we're not sure how this will go. on the hill, a lot of actors. the new administration appointees are coming. hopefully appointees will be confirmed. those are key things that will guide our industry. we will have to watch carefully and we engage. company has not done large-scale at in the last several years. will that change under your leadership? >> it depends. think the combinations in pharma makes sense. this is driven by innovation and
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not cost efficiency. we think we should look at innovation in at his vision target. companies in 2008, we have other recent smaller at his visions and license deals. expanding the portfolio is something i'm interested in. but there is no evidence that creates value for shareholders. i think someone argue tax policy can affect that and today, american companies are at it the disadvantage because of tax breaks. we would like to see that and that is why we are -- we like the ryan plan and we like other plants and we like with the president-elect has said about lowering the rate in america. that could help us use our overseas cash more efficiently at home. >> we cannot escape the
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conversation about alzheimer's because you had a failure in your trial a couple of months back. it could have in terms successful if you had target anyone of the number of different out comes. provided i have got this right, will you continue funding the otherch? >> we have six projects in the clinic. we have a great team. we are committed to this space. we hit a number of secondary points. say, this is the best evidence yet him -- yet. people who did not believe in that would find plenty of reasons not to. think it is worth studying this further.
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already in phase three and others, we have other modalities we're focused on. the health crisis is something worth talking about. billion on00 dementia care. by 2045, it will be $1 trillion, bigger than the defense budget. it is a national crisis and we need edison to slow down the disease. >> strategically, does it still make sense to think about drug development with a big game mentality? or might you find more success dosing on more smaller programs? ofe: we need a little bit both. we cannot build a whole portfolio that way. it is too risky. i think it has evolved over the last few years for the company. you look at a recent success in the last 2.5 years. a lot of them have been more
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for characterized targets diseases where the probability is a bit better. those medicines can make a difference. balance there. diabetes, a little more predictable, cancer and alzheimer's, a little less. if you had one, rewards are great. >> we wish someone in your position good luck here thank you for your time. that is dave ricks. vonnie: fantastic interview. thanks. a lot to think about today. now is the confirmation hearing for president-elect trump's take for attorney general. beginning his own testimony right now. he says the office of attorney general is not a political position. you can watch this testimony right now on the bloomberg.
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this is bloomberg. ♪ jeff sessions: i want to thank my dear friend -- >> no-trump, usa! ♪
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mark: live from london and new york, what more can we ask for? this is bloomberg markets. it is time now for a look at some of the biggest business stories in the news right now.
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prosecutors say remember the soap called cartel attack, using his ministry to coordinate and benchmark. five banks played guilty in the case. acquired bankruptcy proceedings by activewear canada. the price is $88 million. that is your latest bloomberg business flash. staying on retail, let's head to julie hyman, looking at how consumer stocks fared post holiday. julie: they're coming out with the limitary numbers a lot of them with earnings. the company coming out and seeing the fiscal 2000 xt earnings at the high-end of the
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prior forecast. preliminary sales coming in lower than ever. a softness with cold-weather accessories. and the foreign are trading lower if you look at the trinity of companies here this morning. cutting the outlook will estimate, the ceo saying they have aggressively managed inventories and expect those to be down. coming in below estimates for all of those. the owner of an teller as well as dress barn. shares down 12%. also cutting its forecast after holiday sales were below estimates and comparable sales down it .2%, bearing a little better with only 1.8%. speaking with consumer although not detail the physically, she
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pulled way, going hard even missed estimates by a wide margin. it will make $.58 per share for quarter. currently raising some hopes among investors chipotle maybe starting a bounceback. mark: thank you. declineead, sterling's students. some top financial decade of sounding the on brexit. we will bring you their comments next here on bloomberg. ♪
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mark: let's turn to brexit. the financial sheaves are renewing warnings of the potential impact of brexit.
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lawmakers were told earlier today. frameworkeve that the -- it is likely to actually thatgly support clear massive migration in the changes to anyone in the complex negotiation, they would reverberate globally. mark: let's bring in kennedy. reverberate globally. it was the gloomiest this morning. >> the biggest voice out there of worry in the initial immunity , stinking today of 232,000 losses. potentially clearing not just from london but europe moving to new york.
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again, starting the year as he finished plaster -- finish last year. it could mean we are connected for five years. another two or three on top of that. extended a little bit longer so they can prepare for the new world. >> are we in the front of the q4 the back? >> he comes back with what he is told for trade deal, barack obama spoke earlier in the campaign. he has been in the truck administration advisers proud to say it is a great deal at some point in britain's future.
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vonnie: a much bigger issue, i imagine it is the opposite for investors market participants. >> absolutely. they focus on trade rather than immigration. poll, immigration coming down on it. it is more important than trade. that is a reversal. in october. poll immigration, and the hope is, you do a trade deal on the side.
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him -- mark: vonnie? vonnie: still ahead, the ceo of from vacations joins us the new york stock exchange. he celebrates his spinoff from hilton worldwide. we will ask him what his plans are for the newly independent company. shares now down one and a quarter percent. this is bloomberg. ♪
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vonnie: i am vonnie quinn. mark: i am mark barton. this is bloomberg markets on
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bloomberg television. more from the newsroom in new york. >> on capitol hill is the start of confirmation hearings or donald trump us his cabinet nominee. he protects all nominees will be confirmed. the first day of two days of hearing for trump buses pick for attorney general senator jeff sessions. in his opening statement, he says the office of attorney general is not a political position and anyone who holds this must be faithful -- loss.ul to you can watch the confirmation live on our event channel. president-elect donald trump as his nominee for homeland security is selling full candor when it comes to the united states retired marine or john kelly. questions forace his plans and preventing terror attacks. group of senate republicans
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are pushing the delay of the repeal of the affordable care act until march, the latest time and some members of the party are concerned about it pledged to repeal the law with no agreement on how to replace it. among those arguing for the delay, senator bob corker. two large bombings have killed 22 people and killed a dozen more. as many as 70 people were killed. a suicide bomber targeted the area near government offices and -- off.mb went off in global news 24 hours a day in 120 countries. this is bloomberg. hilton grands of vacations are trading today since the company is officially 50m worldwide -- nearly
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timeshare resorts in the united states and europe. congratulations. differs fromhis how they operate? >> it is good to be with you. the service has allowed us to and allowed usss to transform the business into a more capitalist business. we are doing a similar thing to what film did back in the 1970's is. we are contracting real estate on behalf of third parties. have great partners, and move
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our return on investment capital 20% in 2015. vonnie: intensity timeshares seeing more for -- american consumers. why should they be? discretionary ending, as we see it now, is icing toward experiences clearly are the. business. future vacations and experiences. we are seeing our customers evolve. millennials make up 60% of the buyer's. compete witho you the hotels that provide hotel room cheaply and airbnb? >> those are good plan arms.
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we think we are catering to a different customer, who likes the overall experience of the resorts, they like the waterslides, the amenities, the space of our unit. the typical unit is 2-5 times bigger than a hotel unit. thathey love the fact there is security in the front know,nd importantly, you hard togot great things replicate in the u.s. and hawaii. >> you are in partnership to extend the m&a group. will there be synergies and how did they take advantage of that kind of thing? >> we are excited about the new shareholder agent day. still a little early.
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we're looking at china for a number of years. every time we have come out, we goodook, we should have a order. we have had a robust business in japan, our fastest growing market for us. both percent sales growth over the last five years. we think china is an opportunity for us. we are excited to bring h and a on. competitors talk about developing these experiences. how do they intend to counter that for your business or continue the trend. it is something many brands are tapping into now. is that something you see us part of a strategy?
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>> wellness is part of the strategy. they all have great gems and on beaches ored ski resorts or golf courses hurray family the patience and when people take time off, it is all about rejuvenating. we think it is about the right markets. we will be opening up in south carolina. a new property in washington dc. we will probably announce soon a property in japan. we have got over 60,000 members there. not everyone in japan has an affinity for hawaii. we see a number of opportunities, both urban and resort. nothing i could provided more detail than that today. vonnie: what about global
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growth? we're seeing mixed signs. position.n a good we're entering this year and are in a really good place. 41% over the last five years. think there is a lot of runway here in the u.s. we will focus it on the u.s. and japan. as i talked about earlier, we will talk about looking at china . we feel really good. hilton, a 100 year licensing agreement which will fuel our growth. is important.ip
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vonnie:usiness grows, thank you for joining us. great interview. coming up, senator jeff sessions confirmation hearing for attorney general is underway. it is expected to be a contentious hearing. testifying against the nominee for the first time in history and we will take you live to capitol hill next. this is bloomberg. ♪
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mark: a business tycoon developed in two resort but donald trump. he tells me why he is concerned with working with the next president of the united states. gross says there is a bigger market milestone. mark: u.s. president-elect trump off his promise revise the coal industry. -- revive the coal industry. vonnie: chairman of mmc group, which is redeveloping two resorts owned by u.s. president elect donald trump. a disney like theme park that will also bear the trunk name. trump name. he says he is to new ventures and doesn't think trump being president will impact the
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relationship. >> it is not a big issue. except from the logistics partner. mark: the parents of the popular snapchat messaging app made international headquarters. snapchat says it will pay british taxes in some overseas markets. they have been preparing for an ipo. attempted to lure the this this is.
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bill gross says it would be a bigger deal for 10 year treasuries to move up above 10.6% that it would be for the dow to past 50,000. sales in china rose for the fast pace in three years. , suv's andcars multipurpose vehicles. a 60% gain from the previous year. chinese shoppers to event of a tax cut. vonnie: timeout for the quick take, where we provide background on issues of issue -- of interest. coal is the biggest source of carbon emissions and major contributor to global warming. efforts to curb coal use have proliferated. falling in 2015 p are nevertheless, coal generates
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about 40% of the world's heat and power. u.s. president-elect donald trump aims to bring kohl's future. in his successful 2016 campaign, he promised to revive the industry by placing restrictions on it -- lifting restrictions on it. burning the fuel emits almost twice as much carbon dioxide as natural gas and 28 more -- 28% more pollution than oil. pushing the u.s. from the second to the third biggest and of the fuel after india and china. coal has a list been controversial. powered the industrial revolution enshroud abundant in fog that was, until the mid-20th century. it also powers the railroad system and a westward expansion. dispute no serious among scientists about climate yetge and kohl's role, and
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president-elect donald trump will roll back environmental regulations. would increase by 61% according to an estimate. promotes massive so-called clean coal innovations and say this technology could -- the problem, clean coal is not proven and expensive. there is plenty of opposition from those who argue coal is best left back in the ground. you can learn more on the bloomberg, and that is your global business report. had to bloomberg.com for more business stories. mark: donald trump's nominee for attorney general jeff sessions is on capitol hill today. with thes from there latest, kevin. we had some protesting. what are the highlights so far? you are seeing democrats try to frame senator jeff sessions, as senator here in capitol hill,
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as trying to be someone who is and they are bringing up his racially charged statements he made decades ago. up thatassley bringing this is someone they believe is restoring law and order. the backdrop is what a lot of the unrest we have seen in recent years. no questions on whatever one wants to know about on the bloomberg, mergers and acquisitions, how he would enforce and regulate entities such as the at&t and time warner deal. i anticipate at some point, in the next hour or so at the hearing. addressw will he immigration, marijuana, voting rights, hot topics right now? >> hot topics and topics a lot of folks are anxious to hear about.
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this was an ultraconservative in the senate for years on his position with immigration. his former top staffer joins the child administration as well as the previous trump campaign as the policy advisor and has had a huge role with immigration policy. uncertaintyot of within washington when i talked to folks on both sides of the aisle about where president-elect trump stands on some of these issues such as marijuana legalization as well as other issues you pointed to let alone were senator jeff sessions would be. look for that as well. i hope to have more of an answer for you in the next hour. vonnie: it has already been pretty fascinating. we are also expecting cory booker to testify against his fellow senator. it would be the first time a sitting member of the senate
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test against the senator for a nomination, is that correct? >> correct. this has 2020 written all over it. cory booker is a newer member of the chamber and some of his not as familiar with senator jeff sessions, is quite frank some of the older members of the senate are. while sessions is a republican, he has been able to foster relationships given his years of experience. withor booker is someone to present himself as an to thetive, progressive, old guard of democrats on capitol hill. i can tell you off camera a couple of protesters were taken out. they were protesting sen. sessions: the us remarks, racially charged comments from years ago. what should we look forward to later today and the rest of week? >> it is a big week.
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president-elect trump will have a press conference tomorrow in new york where we hit will -- where he will address the situation between the trump organization as well have -- as well as his incoming organization. willol hill, rex tillerson have his confirmation hearing for secretary of state. later this afternoon, senator elizabeth warren will rail economicome trumped fix as well. busy at 70 leading up to january 20 where president-elect would become president trump. tune in to bloomberg tv and radio tonight at 9:00 p.m. eastern for complete coverage of president barack obama's farewell address. vonnie: still ahead, the ecb president mario draghi targeted by hackers. was any information compromised?
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this is bloomberg. ♪
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vonnie: this is boomer markets. mark: mario draghi is the victim of a cyber attack according to type, the bank of italy account was a calm -- compromised. targeted, former cap -- italian prime minister. john, what do we know? john: two people have been arrested. they are suspected of having tried to hack into more than 18,000 accounts. a lot of big names in their.
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just to mention, mario draghi hacked and itas was the account he had at bank of italy. how is this allowed? how didn't happen and how wasn't allowed to happen? john: we are short on details but this has been going on for several years and involved using a mass network of computers which had been infected by malware. this technique was used to hack into private email accounts not only politicians but also business executives and accounts linked to the website of several
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thinking -- italian companies. vonnie: safety say this was italy focused and that is why mario draghi is a part of it. do we know where this was originated? john: according to the police warrant, the suspects went people living in rome, there is an american connection in the sense the time police say they work with fbi to seize the servers where this information was stored. do we know if the hacking led to any other crimes? >> no. involvingleged crimes hacking into the computer system and confidential databases.
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we have been told in many of these cases, the hackers allegedly obtained the account addresses but also the password. mark: do we know what information was a pained by the hack is? john: the police have been saying the information obtained , sensitivedential information involving but mainly the financial sector and mainly thanks. mark: thank you for joining us in bringing us up to speeds on this developing story. coming up on the european close, we will talk to the chief executive -- the airline hit number one when it comes to on-time performance. the international traveler on this one. stocks minutes away from the end of the tuesday session. look at the ftse, up and 11 second day. nine of those days have record
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highs. that is a record run. stocks rise in europe today. look at the currency board. how is the euro fairing against the dollar? it is up, as is the pound. stocks are rising. currencies are rising against the dollar. funds are falling today. london, germany, unchanged in spain and in italy. the european close is literally minutes away. this is bloomberg. ♪ .
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mark: 11:00 a.m. in new york and midnight in hong kong, 30 minutes left in the trading day in europe. i am mark barton. vonnie: i am vonnie quinn and this is the european close on bloomberg markets. ♪
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mark: we will take you from new york to amsterdam, covering stories, london, washington, in the next hour. here is what we are watching. sterling set for its worst three-day drop since october on brexit concerns. outliningos of today dire threats if officials fail to implement an orderly transition out of the eu. vonnie: console business before nameext flight, the klm one of the best advice when it comes to online -- on time travel. jeff sessions seems -- seeks to become the attorney general come he is testifying now saying he was

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