tv Whatd You Miss Bloomberg May 30, 2016 4:00pm-5:01pm EDT
♪ david: coming up on "bloomberg best," the stories that shaped the week in business around the world. could the chemistry be right for a bayer-monsanto merger? >> you rarely see such a friendly rejection. david: does deutsche bank deserve more credit for its comeback efforts? results haveing been in decline the past couple of corners. david: has greece turned the corner in its debt debacle? high-profile leaders share high-level insights in the week's best interviews. >> i have confidence the regulators want this to be a level playing field. >> all these changes will not happen without bumps. >> we can expect turbulence in the financial markets.
david: it is all straight ahead on "bloomberg best." ♪ david: hello and welcome, i am david gura. this is "bloomberg best," your weekly review of the most important analysis of business news and interviews from around the world. as the week began, a proposal to merge two giant chemical companies took over the headlines. shery: bayer is proposing a blockbuster deal that would create the largest supply of farm chemicals and genetically modified seed. bayer wants to buy monsanto for $62 billion in cash. that represents a 20% premium. it would be the biggest takeover ever by a german company. francine: if monsanto actually
rejects your offer, are you ready or do you have a capacity to increase the offer? werner: we are totally convinced about the effectiveness of our offer. if you look at the fact that it is a 37% premium over and above the effective share price as of may 9. that is a strong testament as to the value proposition of monsanto shareholders. it is also in line with the transactions and attempted transactions we have seen in the past. and we are fully convinced that it is a highly effective offer for monsanto's board. also the shareholders. francine: is it your final offer? or just your first? werner: the best and first offer. we are waiting for the offer from the shareholders of monsanto. rishaad: $106 is the monsanto share price. that tells us investors are not convinced? aaron: no, they are not. there is a lot of concern that investors will come back and say that is not enough money. david: the current offer of $122 a share is inadequate.
there is a statement of today, it does not adequately address and provide reassurance for some of the potential financing and regulatory risks related to this acquisition. francine: do we intimate they are prepared to pay a price? aaron: that is a fair assumption. i have rarely seen such a friendly rejection from the target company. on the one hand, it says it undervalues risk, but it says it respects bayer and sees the rationale for the deal. so it has very obviously invited them to come up with a higher price. bayer has to ask itself if we are going to stretch the balance sheet, do we want to raise more equity, sell assets? i think, if i had to guess, bayer does not table the best offer first, there is room to bump. scarlet: the dow up more than 200 points, u.s. stocks close staying near the best level of the session, joining a rally we saw overseas in european markets. if you break the s&p 500 into 24 interest groups, everyone
of them climbed. the worst performer was energy. that still gained one half of 1%. alix: it feels like a risk-on day. we had the home sales that were killer, but oliver pointed out before we got to air it started overnight. it is hard to find a specific catalyst. oliver: definitely helps when you open the day with european indexes across the board, on the other side of the pond, trading at standard deviations two times as high as they normally close. it definitely helped quite a bit. and you had some company-specific news. a good day from apple again. nice to see that back in the mix. overall, great day for biggest day in three months. >> and new home sales -- killer. really amazing new home sales. amazing home sales for april. it will be paid back down the road. helps with risk on momentum. matt: greece's creditors have reached an agreement that will allow the release of 10.3 billion euros of aid. they have also committed to taking steps to relieve the
burden of the nation's 321 billion euro debt. after a meeting of european finance ministers, the international monetary fund softened its hardline stance. what will be the political impact of this? ian: there were three main headlines really last night. there was the deal on this payout of 10.3 billion euros to greece. there was also an agreement to look at debt relief in the future. the details are still to come. we have to work that out. and also, the imf gave a commitment that it would continue to participate in the greek rescue. that is important for germany, particularly going into the federal elections next year. so, the political impact will be some respect for alexis tsipras, the prime minister of greece. in germany, some certainty for angela merkel going into those elections. but more than anything, some sense of calm now, sense of debt relief has been pushed until probably 2018.
guy: i'm looking for details and struggling to find them. this feels all too reminiscent of where we have been before. ian: it does, really, doesn't it? it is particularly reminiscent of all we have seen in the greek saga the last five or six years or so. is this in principle agreement to keep everybody happy, but in the end, nobody is happy and it all blows up again? so yes. there are options on debt relief after 2018, that is when the bailout program finishes. but there are no concrete measures. guy: brent crude back above $50 a barrel for the first time in more than six months. a drop in u.s. stockpiles spurring the latest rise. along with domestic options in isruptionsctions -- d in oil-producing nations -- canada, nigeria, etc. talk about the exact reason it is above $50 a barrel and why it could go higher. tracy: the catalyst the stockpile data from the u.s. yesterday showing a much higher than expected cut in stockpiles, something like four million barrels.
as well as you point out, we have production outages in venezuela, nigeria in turmoil, we also have the lingering effects from wildfires in canada. all of those one-offs seem to be combining to give oil a bit of a spur at the moment. you have to wonder how much further that rally can go ahead of the opec meeting next week. in fact, bloomberg is reporting today in the pre-opec meeting, if you will, there was no discussion from opec officials of a production cut. it seems like at least from the gulf side, we are seeing a continuation of the strategy of maintaining market share. david: now we want to go to japan, where world leaders tangled over how to push the global economy toward growth. there was some language in the communique saying we need to get growth going, but they did not go as far as prime minister abe wanted to go in terms of talking about a crisis. is he satisfied with this result? yvonne: he says no, really.
he continued to talk about their lehman crisis even after the fact that the g7 didn't buy it. he could not get that language into the policy communique. instead, we heard leaders declare in this document that they have strengthened their resilience of the economies to avoid falling into a crisis. we did see the g7 try to seek some coordination, but trying to get that recipe on boosting growth, that remains tangled over geopolitical tensions. david: they did not get the language of crisis in, but in the 11th hour, they added the u.k.'s referendum about leaving the european union. what happened with that? we had seen an earlier draft that did not have that language. yvonne: that is right, and it seems like u.k. prime minister david cameron really got the last effort to get that added in. they added a line that says brexit did pose a serious risk to the global economy. it was a good weekend for the u.k. prime minister. he was able to get support from the g7 when it came to china's steel overcapacity issues.
the g7 saying they are going to tackle this excess, which has been fueled by government subsidies and support. not singling out china, but the references seemed to point to it. jonathan: as the data drops here in the united states, gdp annualized quarter on quarter, the previous 0.5 revises to 0.8. the survey was looking for something firmer. but an upward provision nonetheless. carl: this is important news which lowers the hurdle for what is required for the next couple of quarters to hit the fed's full-year growth target of 2.2%. now we need to average 2.7% for the remaining three quarters of the year. that makes it a little easier to hit that mark and on the margin, helps them stay on track for major activity, but probably i doubt at the june meeting. david: what will janet yellen and the fed be looking at in june? is it consumer spending? carl: three indicators. jobs, jobs, and jobs.
♪ david: this is "bloomberg best," i am david gura. let's continue our global tour of the week's top business stories. deutsche bank has been ensuring investors it is in the midst of a turnaround. tuesday, that journey took an unexpected turn. david: moody's downgraded deutsche bank, and it has ceo john cryan speaking his mind this morning. mr. cryan came out fairly emphatically after this
downgrade. matt: john cryan saying he thought it was ridiculous for moody's to downgrade their debt just two steps above junk because, in his words, they have enough capital to pay their debt four times over. >> does mr. cryan have a point? the bank has never had as much capital. it could easily repay their debt many times over. is that a valid argument? peter: the rating action was about the increased headwinds the bank is facing in terms of the operating environment, and its operating results have been in decline for the past couple of quarters. and so that is what drove our rating change. mark: what is the biggest challenge, then, for deutsche bank in achieving this big turnaround? peter: well, the turnaround has many elements in it. it has been a very disciplined execution by the new management team. what they are trying to do is they are trying to change the balance of the earnings mix of the bank. they are trying to strengthen
the balance sheet. they are trying to revitalize the technology platform of the bank. they are trying to do all of these things, and all of these things, if they were achieved, we think would actually be credit positive. but they are challenging to achieve them all. shery: yahoo! having its award space since early january, falling 5%. telecom giant at&t is said to be interested in buying the company's internet business. why did at&t come back into the game? because we had heard earlier it was dropping its bid. alex: yeah, we don't know if we were fed misinformation or if at&t has sort of changed its mind about yahoo! look, at&t and verizon are both at the point where there is only so much they can do, at least u.s.-wise, from m&a standpoints. they cannot buy another wireless network. regulators will not allow them to.
they cannot buy another cable company, regulators will not allow them to. so the digital aspects like yahoo!, it is probably somewhat appealing. you can make a small bet and maybe you can develop something down the road that is appealing to your wireless customers. francine: let's go to vietnam, where boeing has won an order for 100 planes from vietjet, the country's only private airline. the deal is worth $3 billion. vietjet is an airbus customer. it had multibillion options. what incentives were offered for you to switch? dinesh: it's not a switch. it's looking at the value of the new airplanes caused the max 200, which is a variant of 370 max. this was launched by ryanair, and clearly that airplane has 197 seats. and they saw the economic stuff that airplanes, and they realized this is the best economic any airplane can have in the world.
with that particular importance, and they are kind of a low carrier in vietnam right now, they have ambition to go into other parts of asia. they wanted to do a major order, so that is why they order 100 airplanes. shery: toyota is investing in uber to explore a ridesharing partnership. toyota financial services corporation and mirai creation investment are joining together to make a strategic investment in the company. it will include toyota leasing special fleet vehicles to uber. >> the auto industry is being assaulted by all kinds of technological change. maybe the least of those is this concept of ridesharing, but it has really taken off. it has changed the way rental cars operate, the way taxis operate. it is a big part of the global fleet. it may change the way people
choose to drive or choose when to own a car or not to. nobody wants to get left out. toyota has a lot of money. it is easy for them to make an investment. get their toe in the water and see what is there for them to learn. guy: the unicredit ceo federico ghizzoni has agreed to step down after only six years at the helm of italy's biggest bank after losing the support of investors and share price capital as well. do they have to raise money? jonathan: they certainly need more capital. one of the issues it faces is when you are trading at four times global growth, it is hugely diluted. there was a lot of things they can do, spin off assets, relieve some of the capital pressure. bear in mind, unicredit is second to only santander as the lowest capital big bank across the eurozone. and it has 40 billion of unprovisioned performing land. it is a big issue. emily: hp enterprise shares are surging in extended trading. this is half of the old hewlett-packard still run by ceo
meg whitman and focuses on servers and storage for corporate customers. the company announced it is spinning off the corporate business and merging with computer sciences corp. was this expected? anand: no, but it makes sense. to focus -- have one part of the company focus on hardware, predominantly networking, storage, and servers, and then finding a way to exit the services business to a company that focuses on exactly that portion of the business. so, it is a good strategy. it refocuses the company into a smaller piece of the pie. but again, the risk here is that now you have an extremely small pie you are focusing on, one that is on hardware, predominately selling to corporate i.t. systems. so, will that be the long-term revenue growth area for hpe? that remains to be seen. but in the near term, this deal makes sense. shery: microsoft is making as
many as 1850 job cuts while taking a $950 million impairment and restructuring charge. give us a sense of where these cuts are coming from, and what this tells us about the new strategy. cory: one of the things it tells us is that the $9.5 billion acquisition of nokia which was steve ballmer's last big deal, was a disaster. $7 billion last year, another $1 billion down now. it shows that decision at the time, which was controversial, was a mistake. a very expensive one. it shows you the company is focused on the things they do differently and focused on the things they do well, and focusing very much on software on the cloud, where they continue to have their powerful franchises, both on the operating side and microsoft office. thinking about the cloud, thinking about bringing micro
users to their office 365 platform and the microsoft azure platform, which they think will be the future of this business. >> shares in alibaba closed more than 6% lower in new york after the company revealed the sec is looking into its accounting practices. that information was disclosed in its annual report filing. alibaba is being investigated -- for what? rosalind: the sec is looking into consolidation policies. it has asked alibaba about more information on its delivery network and also operating data for single day. single day is basically a shopping extravaganza. once a year. it was in november last year. it brought in something like $14 billion. oppenheimer co. says the single day issue could be related to issues with alibaba's definition of gmv -- growth merchandising volume. it basically refers to total transaction. it is possible government moved sometime that turned out to be
fake. it is possible 20% or 30% of transactions could be inflated as sellers buy their own products to boost up their own sales ranking, essentially. but sec does not think it is too much of an issue, it thinks alibaba is trying to become more transparent. alibaba says it is cooperating with the sec. and sec says just because it requests information does not mean anything is wrong. ♪
market. scarlet: toll brothers ceo doug yearley has been frustrated by the decline in his stock price. well today, the stock is having its best day since 2013 after earnings beat estimates. let's see what the numbers on the luxury builder show. and the numbers don't lie. first, we will discuss the stock. even with the bounceback, toll brothers is down 12% in 2016. in the past year, it trailed the broader market as well as its peers. today's results lessened some investor concerns, saying the luxury market remains strong and construction labor costs are easing. it slowed again after bouncing back from the housing crisis. revenue increased 31%. analysts estimate toll's revenue may recover to regain in the full year. california is a key market for toll. it represents 29% of its revenue the last quarter. it provided instant skill in the
state. the northeast corridor, historically the center of toll's business, but the land has fewer opportunities and now rings fourth overall. toll has diversified beyond the single-family home. it now makes up two thirds of all home closings versus 91% in the year 2000. the strategy is paying off today with stocks gaining 8%. angie: sony is enjoying another positive session, the stock rising the most in a month -- 5.4% higher. that follows an overnight jump on wall street as investors shrug off weak profit outlook and take the long term view. why are investors ignoring this really dreadful profit forecast? yvonne: it seems like this earthquake impact forecast for sony is just a hiccup. that is the view of analysts out there. if you look at the restructuring sony has undergone with its tv and handset business, a lot of them say, hey, they are already over the hump.
the company showing much more resilience than we know. but keep in mind, it was a pretty ugly annual forecast, it basically ruins the hopes that sony was going to have its most profitable year in nearly two decades. net income expected to fall 46% to $727 million. that is nearly two thirds what analysts were expecting, and operating profit was also a miss. if you look at the quake impact and do the math, it seems like this could cost sony about $1 billion when it comes to damages, repairs, as well as sales that were lost from the time they had to shut down their facilities. >> ryanair's says forecast earnings growth will slow this year even as profits jump. europe's largest discount airlines expected to rise 13% after a 43% surge in march. that is as airlines cut ticket prices to entice people wary
after recent terror attacks to fly. how weak is pricing going to be as we go through 2017? >> the primary key driver of the next 12 months will be lower oil. we just reported $1.2 billion in profit when we were $90 a barrel. we are already hedged into this year at $62 a barrel and oil prices are falling. the overriding theme is weaker pricing. we are seeing the first half of the year, up to september, we expect prices to fall by about 7%. that is a combination of three things. one, ryanair's own strong plastic across europe, opening new bases, new markets. secondly, you have the impact of competitors responding with the benefit of lower oil prices. , and then the terrorist activities. the events in brussels, paris, egyptair incident this weekend.
added to that you have the repeated air traffic control strikes in mainly the french, which is causing a lot of cancellation of high-yielding passengers we cannot replace. >> shares of best buy plunging after the electronics retailer forecast a quarterly profit that trailed analysts' estimates. also the departure of the cfo sharon mccollam effective after the june meeting. >> the cfo, why do markets care so much that she resigned? >> she came in after the current ceo, joins in 2012 and give the turnaround a lot of credibility. she came out and said we would cut $1 billion in cost. they backed that up and did that. that has been the best part of this turnaround. they cut costs, sold off foreign divisions. now it is a matter of sales again. but her role was cutting costs. alix: in terms of growth, it was a store within a store concept, like the samsung store in a best buy, that was going to be one of their growth drivers going forward. where are they in their actual growth turnaround plans?
>> it has been tough, because they have done a lot of stuff to make the store better. they have the samsung stores, the apple stores within the store. but the product cycle has gone against them for about two years now. >> marks and spencer reported results beating profit estimates. the u.k. ceo also unveiled a new plan to boost clothing and home business by reducing price promotions and refreshing styles more often. i was drawn to one of the lines about the need to focus on older -- holder returns. what does that mean for shareholders in the context of what you have done previously, buybacks and the like? >> what we announced is we are continuing the program of shareholder returns. we announced last year we are moving to an ongoing program of returns.
that is continuing with the announcement of special dividends at 75 million pounds for the first half of the year. we are a strong cash regenerative business. we will share that with shareholders. >> shares at hp are climbing this morning after reporting 11% decline in second-quarter revenue. the company, which focuses on the consumer market, was spun off from hewlett-packard enterprises in november. i say declining sales, but they did beat estimates, which is why the stock may be up. >> there was a hint of the restructuring that has been going on since 2001, but we are reaching an end. they actually started the new company with restructuring programs. it is crazy restructuring, so they are giving non-gap numbers, they beat that non-gap number, but the gap number -- look, this company is in a world of hurt, sales are down 11% year-over-year. they have always been tied to printing and pc's. pcs, of course are a disaster , right now, but the printing is unfolding right now. we've seen a 15% decline year-over-year printing. this is a bad sign, because that has been the bread and butter for hewlett-packard for over a decade. ♪
♪ best." it "bloomberg is time to replace some of the best interviews. sit withwith eric's bill gross, who made it clear when he expects the fed to raise and restraint. -- to raise interest rates. june because in the second quarter is looking decent. a 2%-3% quarter. it is a comeback from the first.
jobs will probably be adequate in terms of growth. the dollar has gone down instead of up. the stock market is close to its peak. for all of those reasons, financial situations and economic statistics this is their time, if ever to move. i think janet yellen is more dovish than some of the governors and president, but there are presidents and governors but i think are weinning to understand, what talked about in terms of the effect of low interest rates on the savings pool. as farnd kaplan as well as the dallas fed, arguing for the same thing. that the fed, sooner than later has to make a move. those of the arguments in favor of a hike in june. what, if any arguments do you find persuasive against a hike in june?
bill: it is the question of trying to answer what the appropriate neutral interest rate is. some would argue that where we are now, close to zero, and where other central banks are, in many cases negative, and appropriate rate. a situation where aggregate demand and global demand is insufficient, which has been a condition for 10 years to 15 years. erik: and that holds water? bill: it does. --id: where should great be rates be? >> at this juncture i would say we would probably like to see interest rates 2.5%-3% in the abstract. but, there is a past history. we are starting this tightening cycle, if you want to call it that by the fed from 15 basis
points or something like that. the last thing, we americans would want the central bank to do, and fortunately the central bank wants to do is bang the economy over the head with a huge amount of monetary tightening. it is not going to do that. it is going to go really slowly. it take for investors to three rate european banking stocks? that we now view have pretty stability and how the regulators will deal with banks going forward. that is probably the most and port in thing. we need to believe that we are at least at the beginning of the end of the regulatory environment for european banks going forward. we need to believe we are at the beginning of the end of the conduct issues, whether it is r&b in the u.s., or ppi in the u.k., there needs to be a sense
that we have a vision to some pretty stability around the bottom line results. exxon on regulation, is at a level playing field between the u.s. and yourself? >> i think the regulars have an enormously difficult task every relating this vast, complex industry, the banking industry. i know they have a goal. they try to make it a level playing field between home countries and host. countries between european and u.s. banks and asian. it is not going to be perfect. it is not perfect today. i have confidence in regulars want this to be a. regular that playing field they will make corrections as we go to allow that. francine: we are a month away from the brexit, do you feel there is a discount on barclays because you are in a whirlwind of possible brexit concerns? >> for sure, the markets are being impacted by the uncertainty of this vote. it is a historic vote, for sure.
chairman, john mcfarland said in his letter, our view is the best thing for our clients and customers in the u.k. -- the u.k. votes to stay part of the union, but the uncertainty will impact the financial markets. economy is a $10 trillion economy. is the second largest economy in the world. they grew at 6.9% last year, whether that is exactly right or not. it is growing at a right -- rates the monster play faster than the rest of the world. the third largest economy in the world is japan. before this is germany. the largest is the u.s. with 2%. i will take six plus percent any day. percentagewise, yes, it is slowing. china accounts for nearly 35% of global growth. >> how about the unvarnished view on china? a former fitch ratings analyst has an interview with bloomberg
saying the debt problem at the banks is far worse than anyone is reporting. upwards of 22% of outstanding credit she says in the chinese banking system will go in pl by the end of the year --npl by the end of the year. that means trillions in bailouts. >> clearly be in -- clearly the npl will rise. the chinese economy is a complex, enormously, set of things going on. moving from a next lead economy to a domestic demand economy. moving from a savings to consumption. all of these changes will not happen without bumps. the npls are going up. the big chinese banks are tremendous earnings engines. >> as a regulator are the european banks prepared in case of a leave of the.
-- vote. >> yes, i think so. banks are aware of the risks. by the amount of exposure that we identified out there, yes, banks will be resilient to such a hypothesis. , wertheless, it happens will have a negative impact. >> how negative? >> very difficult to gauge. it depends on many unpredictable reactions of economic actors in markets. certainly one could expect turbulence and financial markets during a time. could >> even more turbulence than we have seen in the last six months? >> that turbulence was quite significant of the beginning of
the year has subsided. see.ll very difficult to really predict the degree of the effect that will be produced by -- by such an event. certainly i hope it will not materialize. >> month sees the june 23 referendum on britain on whether or not to stay in the european union. which way would you like that to go, and wife -- why? thousands ofns of employees. --ould be devastated it would be wonderful for britain to be part of your. -- your.
europe. i remember the days before we were part of europe. if i wanted to export products i had to pay 35% tax. if i wanted to import products i had to pay the 35% tax. the bureaucracy of all of these things going on, we could not face. -- take employees from europe we could not work in europe. we could not live there. all of these have been taken away. sincea sign of hope that -- i have hope that sense prevails. and people will realize that it would be damaging to europe and great britain if britain was to walk away. ♪
david: you are watching "bloomberg best," i am david gura. government actions moved markets this week. legislation to address address puerto rico's debt, cabinet reorganization in turkey, and the public, private megadeal in saudi arabia all had implications for investors. let's look back at the top stories linking economics with politics. mark: breaking news out of turkey. mehmet simsek has retained his post as a deputy prime minister. bloomberg executive producer, simin demokan, give us the details, why is this so important? simin: the prime minister binali yildirim just announced his new cabinet. as you said, investors were waiting to see if the deputy prime minister of economy was in or out? we just learned he is in. he has been named the deputy prime minister. he is extremely liked by investors and the markets. he used to be an economy minister and the finance minister. this is welcome news.
markets in turkey have played havoc over the past months. as you said the lira has , strengthened and the stock market is up. mark: i have been looking at turkish lira, and i have been looking at the vault, and dollar-lira is ticking higher. and the uncertainty, the source is politics. i just wonder where do we go , from here? does the president continue to try to consolidate power away from the prime minister's power to the president? simin: 100%. that is the prime minister's now main mission. and he has been saying this. he is saying he will change the constitution to a presidential system. this is exactly what the president wants. and loyalists to the president, which the new prime minister designate is are saying this is , his number one mission. they will be following this through 100% and trying to change the constitution so that the president's grip on power
becomes more tighter. ♪ shery: congress took a big step, -- step last week, striking a deal with the white house to help rescue puerto rico from its $70 billion debt crisis. this piece of legislation faces some major hurdles this week as congressional leaders work out the details and disagreements. david: july 1, the big deadline on the horizon. what is the likelihood a bill will get to the president's desk before then? rob: it will be tight. it is possible to do it, but the significant issue is if we can have this bill passed through the house, maybe through the senate or close to being passed in the senate, it would give the market an understanding of what will happen. i think they can take some consolation in that and the plan accordingly. david: you mentioned the market how does this bill respect the , priority of the claims of the bond market? what specifically in this bill will do that? rob: the goal of having this oversight board is to make sure we bring financial order to the island so everyone gets paid back, whether they are obligation bonds or tax bonds or
the pensions. we are not picking winners and losers. everyone has to be made whole. this is the path for to do it. -- path forward to do it. there has to be an orderly process, and this creates a federally processed accomplishment. it will work, but we have to do it as quickly as possible. ♪ alix: general electric will take part in a $3 billion investment in saudi arabia that has nothing to do with oil. it is all part of the saudi plan to diversify the economy. ge will invest in water, aviation, digital, and other projects. by 2020, the company will double its saudi workforce to 4000 people. john: let me say how important it is for governments like saudi arabia to be clear with their vision for 2030. just like in china, you have a series of five-year plans. we are now in the 13th one. it gives companies like ours and investors clarity and an agenda they can focus on. the saudis have done the same thing.
we think it is fit for purpose for us. they are talking about diversifying the economy. that's what we can help them do. they are talking about expanding their health-care capabilities. we can help there. and human capital development. creating higher skilled labor force that can do different things. these are all in our sweet spot. >> now let's start with what disney hopes will be the happiest place in mainland china. the $5 billion shanghai disneyland theme park opens its gates on june 16, and right now, the company is training the people that will translate the magic to customers. tom mackenzie gives us the inside look. tom: niu tianlong is one of about 1000 performers being put through their paces before disney throws open the doors on its most ambitious venture to date, shanghai disneyland.
niu tianlong: i feel proud and honored when i tell people i work for disney. tom: the action sequences come naturally to tianlong. he trained in martial arts. it is playing to the crowd that daunts him. niu tianlong: the challenge is not really about the stunts, it's about the interaction with the audience and how to make people happy. that is the most difficult thing. tom: pirates are something of a theme in shanghai disney, and all that swashbuckling can be physically demanding. yu liang: we have a lot of performances every day. we need strength to keep us going. we need at least 30 minutes of training a day to keep up with the physical fitness. tom: yu liang plays a hapless love interest in a "pirates of the caribbean" spin off, and she has no plans to leave any time soon. yu liang: from the very first day i joined disney, i have been very ambitious. i want to work here for at least 10 years or maybe 20 years or even longer. tom: across the park, they are getting ready for another curtain raiser. ♪
tom: we are on stage at "the lion king" in shanghai. the highest grossing musical of all time. they are counting down the first ever fully mandarin version to an audience of 1200 people. li weiling is already a celebrity in china after appearing in tv singing competitions. she plays nala, simba's long time friend and wife to be. she is the female lead. how do you feel about playing such an important role in such a huge production in china? li weiling: this is my first time taking part in such a big production and to be a lead actress in a really important role. so i feel very proud but at the , same time, it is a big challenge. ♪ >> i never thought i would be able to be a part of disney and perform as nala in "the lion king." and not only that, i also get to perform it in chinese. tom: some have doubts about whether disney will be able to
♪ tools are youf using to assess the situation and resolve -- in brazil? >> crp go, this function is calculating a country risk premium for all of the countries listed. it is doing this by comparing the expected return on the equity market and comparing that with the 10 year yield on government bonds it comes up with this risk premium. >> there have been 30,000 functions on bloomberg.
we enjoy showing you are favorites. here's a punch and you might find useful, quic go. you can get fast insight into timely topics. here is one from this week. >> it is the year 2000 and what america has become the president of russia. after a decade of post-soviet humiliation, he starts reasserting his country on the world stage. convenience, oil prices are soaring and that is boosting living standards all across the country. eight years later, bottom your pollutant has to leave the presidency because of turbulence and does an interim stint as prime minister. by 2012, what american becomes president again. now, following international sanctions provoked by russia's intervention in the ukraine, as all as the collapse of the price of oil, his standards are falling, and that is putting the
appeal to the test. this is the situation. 500 putin is about strength. is his image that has helped maintain his leadership. you can see it in his vast public city stones, whether it be competing in martial arts, writing horseback, or having his pet labrador sniff angela merkel, so, in case you cannot tell, is not a fan of dogs. only timese of the he has shown softness was at his presidential victory rally in 2012. here comes the arguments. vladimir putin is being tested by an economy that is tanking. russia is facing its longest recession in two decades with real gdp falling by 3.7% in 2015. he is holding onto to his former kgb tough man image at home. abroad, he has recently tried playing the role of a diplomat. after starting a bombing campaign in syria, to support
his out, he is now working with the u.s. to reach a settlement there. has also announced a partial military pullback from the company -- country. the question now is how we -- how will he be remembered? for his flex ability or the unyielding ruler whose military adventurism hurt russia when it's economy could least afford it. ♪ >> that was one of the many >> takes you can find. you can also find them on bloomberg.com along with the latest -- business news and analysis 24 hours a day. that will be all from "bloomberg best" this week. thank you for watching bloomberg television. ♪
♪ john: welcome to this edition of "the best of with all due respect." it was a busy week in the world of politics. as usual republican party got to , taste test two new brands. on the republican side. the new donald trump brand, and the classic. hillary clinton was asked about her private e-mail server while secretary of state and we all took a brief trip back to the 1990's. ♪ >> so you think you are a 1990's fan? >> the 1990's are much better. >> ok, donald, can you handle this? they were the best of friends. bu