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tv   Bloomberg Markets Americas  Bloomberg  March 18, 2019 1:00pm-2:00pm EDT

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suspect described as a 37-year-old man born in turkey. authorities have raise the terror alert in the area to the maximum level and stepped up security at key buildings across the netherlands. france's prime minister is banning so-called yellow vests the champs elysees avenue, and to other french cities falling riots saturday that lets stores ransacked and burned from arson fires. the prime minister announced the new security measures today in cities where repeated violence has occurred since the protest movement began in november. demonstrators demands range from lower taxes to better public services. he says the police chief in paris is being replaced. flash floods and mudslides triggered by downpours have torn through mountainside villages in indonesia, killing at least 80 people and leaving dozens missing. triggered earthquake a landslide that hit a popular
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waterfall, killing at least three and damaging hundreds of houses. more than 4000 people have been evacuated. they have been evacuated from their homes and moved to temporary shelters. a nuclear power plant threatened by rising floodwaters has been spared. the missouri river state below levels were officials would have to shut the facility. heavy rains and noting snow have led to flooding across the midwest. the flooding is blamed for at least two deaths. global news 24 hours a day, on-air, and @tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. i'm mark crumpton. this is bloomberg. it is 1:00 in new york, 5:00 in london, 1:00 a.m. in hong kong. i'm vonnie quinn. welcome to "bloomberg markets."
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from bloomberg world headquarters in new york, here are the top stories from the bloomberg and around the world. u.s. stocks trading slightly higher to start the week as investors look to the fes decision and conference on wednesday. better up. sports kicksof off, talking to the president of the new york yankees. iswill explore how venezuela trying to lower its oil workers back. that is all in the next 30 minutes. first let's get a check on the market with abigail doolittle. investors treaded water, we had big gains earlier today and then we were slightly lower on brexit uncertainty. at this point the bulls trying to push how -- higher after the best week of the year last week. typeare optimistic, that
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of volatility is necessary with the huge rally we are having this time of year. he expects it to continue perhaps on the fed. the neat that, take a look at what is happening sector wise. six up as opposed to five down. financials, energy, consumer discretionary, and industrials, nice gains for those sectors. that is 40% of the s&p 500, offsetting the weakness from the communications sector, down 1%. we will be taking a look at two of those names. take a look at the bank index. up for seven days in a row. the kbw bank index over the last seven days up 4.5%, even as rates are flat to slightly lower. typically rising rates would help these banks but we have the banks climbing despite that. best seven days since 2016. today some of the big winners in the financial sector, wells fargo up 2.7%. it is thought they may sell their retirement services.
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we have all of these regional banks rallying ahead of the fed decision wednesday. rising rates tend to help these banks. right now we have this rally for financials. finally where we don't have the rally, communications. facebook down 3.5%, at session lows, now down three days in a row. the worst three days of the year going back to that selloff. last week, issues around outages. officerf technology resigning, putting some concerns there. 1.4%,e have disney lower as some are bearish on their "captain marvel." we had that scoop out late friday talking about alphabet and the possibility that individual states may be probing that company on privacy. thank you.
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for more on general market dynamics, let's welcome the t. rowe price head of multi- asset solutions. what are your major concerns right now? >> thank you for having me back. we are looking at europe more closely based on the ecb announcement last week. said, drill into what was there were three elements of that announcement. one was pushing off cutting rates through the end of the year. when you look at that in itself, the market was well ahead of that, expecting that to not occur until april of next year and now not until september. that was no new news and largely expected. the second one was modest changes to the ltro offerings. very limited there as well. lastly, we saw a marked down in economic expectations. surprise there. when you take that together, it means that there is very little
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dry powder in this current environment for the ecb to stimulate growth if things get worse, articulately through the end of the year because they don't want to put any long-term plans and effect with the drug stepping aside were the end of the year, hamstringing any new leader with a program that was developed under current leadership. that really paints a picture that is challenging for europe. vonnie: let's talk there. first of all, i'm not sure if you are saying that europe does not look attractive or if it does, or if you have changed her mind because of this. maybe more importantly, are you saying a central bank would not put policies into place if a leader was about to change? that sounds a little unusual. it's very unlikely that you want to put in play something that is much longer that goes through the end of the year, if you have new leadership in place. they are struggling with a very flat yield curve that is a major
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headwind to european financials. you could argue the u.s. has a flat yield curve. but the big difference is the u.s. has 250 basis points to 300 basis points higher than the european yield curve. if things get worse in the u.s., at least the fed could shorten the short end of the curve and make lending profitable for u.s. banks. that cannot exist in europe. those battered european financials really don't see any hope generating loan growth and profitability anytime soon. vonnie: so sell european financials and generally sell europe? can you repeat the question? sounds like you dislike europe immensely from a monetary policy and financials point of view. is that what you are saying, stay away from europe? look at ourou portfolios, asset allocation
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committee -- we don't have a house of you, but we have cut our exposure to europe because of those changes, and redeployed into high-yield bonds. vonnie: where in high-yield bonds, and is there a danger that we will see a toppling of all sorts of credit to junk? should you be waiting? lowell: if you look at the high-yield bond sector, you are getting about a 6.5% yield. very attractive yield and carry, particularly if we are going into a sideways market, which is a reasonable expectation given where we are. yes, there are issues with risk off come about at least you have the risk-free component that high-yield bonds have to protect you. when we would do is look for adding to high-yield if spreads. more from here because a have come in quite a bit from the beginning of the year. you do want to be a little the careful. that said, we don't see a high
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risk of recession this year. we don't see a lot of default risk in that space. within the high-yield component of our portfolio, managers are positioning their portfolios on the higher-quality portion of the high-yield market to protect against those types of events. you, lowell yura, coming to us from baltimore. baseball season just around the corner. we hear from the president of the sports franchise the new york yankees. i'm sure you have heard of them. this is bloomberg. ♪
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vonnie: this is "bloomberg markets." i'm vonnie quinn. the bloomberg business of sports summit is going on right now in new york. by withood is standing
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a man in charge of the famed bronx bombers. scarlet: thank you. i'm hit with randy levine, president of the new york yankees. where to speak with you. the yankees teamed up with a bunch of companies, including a small one called amazon to buy back yes, the crown jewel of regional sports networks. you also pay less for what you built it for. you sold it to fox for $4 billion and are buying it back for $3.5 billion. graduations, and how did you pull it off? randy: we have an agreement to buy it back. we still have to close it so i cannot speak about a lot of details, but it's exciting. we believe in the yes network, we started the network. it's been the most successful regional sports network in the world for many years. we think there's a lot of growth ahead of it. we are excited with our partners, excited on the direction. now we will have to close the deal and see if we can make it
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better. scarlet: what does the discount tell us about the state of competition for live sporting events in this new age of streaming? rsny: i think this whole was a particular situation. a lot of factors that were involved with it which made it unique. the fact that baseball return digital rights to the teams, and they were not up for sale in this specific time period. there has been a lot of cord cutting. there will be a transition to streaming and over-the-top. so i think some of the markets we are involved in were not the strongest markets, some of them are. a transitional time, but it's a great opportunity. scarlet: i'm going to ask you a question hypothetically. now that you have this bet, you mentioned cord cutting, cord
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nevers, things have changed last time you owned it. will the new yes network look like the old network? how much are you thinking of changing things up? randy: we have been partners with fox all through this time, a great partnership with them. as times change, as demographics and viewership change, you always have to be ahead of it. we have a lot of plans to modernize it. scarlet: is it going to be an app? randy: there is one now. the question is how to make it better. maybe $4.99 around the world? yankees is a brand names are over, as we know. talk about baseball. the big free agent signings over the off-season, manny machado siding with the padres, bryce harper siding with the phillies.
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in the old days, the ages would have been up there in the bidding. do the yankees just not need those two guys? randy: the yankees spent a lot of money this year. we sighed and treated for many, many players. we have one of the highest payrolls in baseball. for this specific year, we have players who we think will do a great job. .ongoria at shortstop manny machado is a great player. we have troy tulowitzki. we have aaron judge, giancarlo stanton, brett gardner. brian cashman and the baseball operation team in-house really ,elt we need pitching supplemental players that make us better. so we spent a lot of money. i think we are top three payrolls for this year. great players but they just did
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not fit for us. scarlet: managing resources widely -- wisely. the yankees will be playing the red sox in london. you always want marketing name for that kind of event, but you are losing a home game. are you being compensated for that? randy: i'm on the international committee and the commissioner gets a lot of credit. the first time we will be playing in london. the idea was to put two marquee teams there. and will both be red sox home games, so their gate will be sacrificed, but the games will be fantastic. sold i think in 20 minutes. scarlet: of course, a partnership between the yankees and a certain english football club. talk about how that developed over time and were you see that going in the next five years. we partnered with city football group, which owns manchester city, we own new york city football club together.
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great partnership, fabulous people. we are building new york city football club. as is our fifth year. we are in active negotiations to get a new stadium in new york. we hope to have an announcement this year. so it's been great. as we go over to london, they have been fabulous offering their resources to us. scarlet: final question about the length of games. the commissioner has an working on lowering the time spent per game. is there an ideal time limit per game? randy: i don't think there is an ideal time limit but we are --ing to condense the teams games. we have done some polling, i think the fans want to games shorter. under the commissioners and union leadership, we are trying hard, a bunch of ideas, a bunch of different proposals agreed upon last week just to get the game more exciting. visits toom six mound five, discussion to have a
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picture come in facing a minimum of three batters. a lot of proposals on the table but you cannot affect the nature of baseball. baseball is not on a clock. it has its own rhythm. we just have to try to shorten it a little bit but not affect the game. randy levine, president of the new york yankees, thank you for being here. vonnie: thank you, scarlet fu, sportsbloomberg business summit. call for venezuelan oil workers to return home and rescue the state owned oil company. this is bloomberg. ♪
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vonnie: this is "bloomberg markets." i'm vonnie quinn. time for the latest bloomberg business flash, a look at the biggest stories in the news right now. some analysts are dismayed over the recent facebook privet toward privacy and included
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messages. one company downgraded them from buy to a hold. bank of america merrill lynch cut the price target for facebook to $1.87. google is preparing to unveil a new service that could be like netflix for free video games. it will allow people to play fortnight and other titles in a web browser or on a tv using an expensive hardware. if successful, it could be the biggest hit in the market since super mario jumped from the arcade to the living room. mark wahlberg's investment group is taking a stake in the australian fitness ranch eyes f45. the deal values the company at close to $450 million and the money will be used for global expansions. that is your latest bloomberg
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business flash. a troubling side drum up to the ongoing crisis in venezuela. the country's opposition leader has assembled a shadow team to revise the state owned oil company pdvsa, should he oust the madera regime. but recalling workers may be impossible or incredibly difficult. i'm joined by our economics editor who has been following venezuela for many years. christina, how do you get oil workers back if there is no infrastructure for them to come back to? now, appealing to their patriot excited, that's all that can be done right now. too early to even think about what level of salaries they would be offering these people, many who have found employment at very good companies in saudi arabia, some working in canada. of comeg to their sense join this reconstruction effort would be the best thing.
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kind of numbers are we talking about, where would this effort get started? there is not even a government yet. juan guaido, the opposition politician who proclaimed himself president has already appointed a board for the company. they been working with a group called oil people, which has a workers,abase of pdvsa 2003,lot of them left in a mass purge of 18,000 workers who participated in demonstrations, to force a new election. they have been calling around and seeing who would think about coming back. surely, some would like to go back to their home country, but for others who had negative experiences, have settled somewhere else, what kind of incentives could be offered? i think it is too
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early to have an idea. the idea that you could get your old job or salary back, i think, i cannot imagine anyone could promise that. we talked to some people managing the process and some of them rolled their eyes when somebody said i would like to have my old salary back. sense that this country has been fractured and , and ainto the ground few were going back, you would be doing something very patriotic, important, once in a lifetime opportunity. countries were only too quick to snap of these workers in a row -- in an oil-rich economy, including saudi arabia. right, andhat's canada. canada produces oil that is similar to venezuela, heavy crude. that will be a tough choice for people, to give up a life in canada, where your kids may have been born, going to school.
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some people left two decades ago. vonnie: who will run this country? there is this shadow government juan guaido has been assembling. are there brilliant minds, technocrats out there that were exported years ago that may come back and help? are there others that are desperate to come back and reignite the venezuelan economy? juan guaido has found some of those people, and venezuela definitely suffered a brain drain. it is silver to iraq. well-educated people, especially pdvsa was thought to be one of the best manage oil operations in the world. bringing those folks back will be key. how bumpy to be seen the transition is. we are still a ways off from a break in the political situation. right now we have a stalemate. -- to whatiously,
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extent would inflation have to come under control, to what extent with the economy couldize before you even talk about bringing them in? cristina: some of the folks we talked to said they would consider coming in temporarily. i don't think the concerns about the state of the economy are that paramount to them. food shortages, medicine shortages, those could be fixed overnight. inflation will take a while to tame because of people's expectations and the weakness of the currency have been feeding that. vonnie: our thanks to cristina lindblad. check out her story on business week. this is bloomberg. ♪
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with i'm mark crumpton bloomberg first word news. homeland security secretary kiersten nielsen says her cabinet agency may have been founded to battle terrorism but its mission is shifting,
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especially regarding emerging threats online. speaking at george washington university, secretary nielsen said americans devices and networks are being threatened. she says countries such as china and iran are mimicking tactics used by russia to disrupt american systems. the british prime minister theresa may cannot put her brexit deal for another vote before parliament unless it significantly changes. the house of commons speaker said today it goes against parliamentary rules. >> what the government cannot legitimately do is to resubmit to the house the same proposition or substantially the same proposition as that of last 149 which was rejected by votes. wednesday is the last day vote could've been held before may heads to an eu summit where she will ask the block to delay brexit.
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as many as 1000 people may be dead in mozambique after a tropical cyclone swept through over the weekend. the country's president said heavy rains continue to pound the area which is hampering rescue and recovery efforts. a red cross spokesperson said the scale of the damage from the storm is "massive and horrifying." climate advocates are cheering the trump administration's overhaul of the nation's flood insurance program, saying it will spur communities around the country to better plan for extreme weather. the changes being announced today by fema, the federal emergency management agency, will type or demands to the actual flood risk facing individual homes nationwide starting in october 2020 instead of the current plan which sets prices based on largely whether a home is inside or outside of the 100-year floodplain. global news 24 hours a day, on-air, and @tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries.
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i'm mark crumpton. this is bloomberg. shery: live from bloomberg world headquarters in new york, i'm shery ahn. live in toronto, i'm amer can war in for amanda lang. we are joined by our bloomberg and bnn bloomberg audiences. two biggestny's banks are discussing a merger after months of informal talks and weeks of increasingly feverish speculation. oil rallies. opec and its allies reaffirm their commitment to output cuts but say they should defer the decision until june. yft driving toward an ipo. to rideshare company seeking
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raise $2.1 billion in its offering that would value the firm at nearly $20 billion. let's get started with a quick check on the major averages. u.s. stocks lacking clear direction, the down now unchanged. of course, we know boeing is taking another hit on news surrounding their 737 max 8. the s&p 500 is holding on to some gains of .2% but we are seeing communications and real estate weighing on the index. the moment.nged at sterling taking a hit as we saw the speaker of the u.k. another bidlocking by prime minister may to get her brexit deal for a third vote. at the moment, amber we are lacking clear direction. absolutely. on oil it seems the market has a direction. oil prices hitting the highest level since november. that is one of the reasons the s&p 500 energy index has outperformed the s&p since those
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december lows. even though they have outperformed, they are still well above their most recent highs. it's one of the reasons the s&p energy sector is the most loved by analysts. 67% of the analysts that cover the energy sector have it as a buy rating. that is higher than any other sector, health care, communications, even though discretionary basket. thats interesting is momentum has only been increasing. despite the fact that we have seen a rally in that sector, analysts interviewed to like the sector and are increasing their number of by ratings. look at whattake a wti prices have done. we are now seeing as you said at the highest level or pushing toward that highest level which we have not seen in four months. this is the rally we have seen year to date. 30% in the past quarter, up , heading for its best three months since 2009.
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of course, we have seen that committee meeting, opec timetion, at the same deferring until june the decision on whether to extend the curb. right now wti prices heading higher. brent still hanging around six to seven dollars a barrel. you mentioned opec plus, as it's known, deciding to defer that decision until at least june. the energy minister for saudi arabia talking about all the uncertainties out there and what led to this decision. see it hurting consumers, until we see the impact on the inventory, we are not going to change course. amber: for more on opec and the global production story, let's get to the global head of oil research at societe generale. us,k you for being with
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mike. start with opec and its decision to extend these cuts until june, not make any analysis or re-think in april. how significant is that to the overall trajectory of oil prices? >> it is not really that significant for the last one or two weeks, various ministers, including the one from saudi arabia, had been telegraphing this outcome. i don't think there was much expectation on the oil markets that anything would happen anyway. the real decision will be in june. shery: we see some bullish indicators when it comes to the wti. wti's 50-day moving average is about to cross above its 100-day moving average which would signal a bullish element for prices. will these technicals, plus the supply and demand keypresses supported?
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think prices will be supported. our outlook for the second quarter is prices stay roughly where they are today. a lot has been priced in already. we are cautious on further upside until we see the stock draws happening, which the saudi minister for the much said the same thing. amber: -- pretty much said the same thing. today was not to market moving. they seem to be watching what you're also watching, how the sanctions on iran and venezuela ultimately play out. clients, in a note to sanction policy is unpredictable and subject to change with little or no warning. how do you invest through that? mike: i think the key thing here , the bias is to the upside. yes there is lots of uncertainty , yes, we and others have a base
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case outlook. the bottom line is the uncertainty, the risk for prices is to the upside. lower supply, higher prices. the key thing, the key difference versus last year is how the saudi's behave. year, at the request of the u.s., anticipated bigger reductions from iran than what we got. a surge production which help process prices lower. this year they will lie, not lead. more conservative, wait until they see what's happening, and then they will react. that will also put an upside bias to prices. producers need prices higher to cover their spending but brent at six to seven dollars a barrel still below the amount they need. thesech higher do producers the prices to go, and what would that say to the other side of the equation, shale production coming into play? producers like the saudi's
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actually need well over 80. having said that, if you look at the past year or so, their , if you lookords at prices when their are increasing output, when they are cutting out that, it suggest they are looking for something closer to 70, 80. they don't want to push to hire me -- quickly because they know that the economy is fragile. some point, we will have to start focusing on the demand side. mike.you for your time, global head of research at societe generale. .ermany giving the green light deutsche bank has secured government approval to proceed a mergertiations for with commerzbank. last week, jpmorgan's ceo jamie dimon predicted european banks with need mergers like this one to compete. merge tobanks need to
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the kind of scale, diversification, but it is hard to do if you don't finish regulations like the insurance mechanism. if politicians fight it, they will be subscale forever. that is not good for their economies. they should allow these banks to merge and go pan european. we have seen deutsche bank's revenue declining for three years running. this merger with commerzbank, would you change that, fix its core revenue issues? i think they're obviously challenges, execution risks. things that people are focusing on, skeptical about the deal. a couple of things on the positive side, jamie talking about the need for scale. that has been a big win for u.s. banks in terms of being empty spend more on technology. to the extent the revenue base
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increases, could that provide opportunities. that could be a potential positive. he other thing is getting confidence in the entities. that has been a key reason why there has been a risk to their corporate and investment bank, why they have lost share, to the extent they have a credible plan, maybe that could help them out. shares of deutsche bank are rallying on this, potentially getting some sort of life flight here. do you think people are being too sanguine about the fact that you are creating an even more systemically important bank, certainly to germany, possibly to europe, where they still face these giant a few fusion risks question mark if it doesn't work between deutsche bank and commerzbank, the problems will be larger it deutsche's itself does not work. it is an increase in execution risk, the businesses that they will be combining, they are focus on german retail, which is less of a systemic risk and the global ib or trading
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business. say both banks have struggled for years now. if the regulators can come in and if they can get some help in terms of being able to execute the cost cuts, that will be helpful. the economics of the transaction are really going to i think revolve around the different assumptions, will there be revenue risks? most likely in the retail business. there is going to be some share issuance most likely. part of that might be due to write-downs to commerzbank, balance sheets. we have seen estimates of $4 billion. those seem reasonable to us. the other factor is restructuring. they will have to pay up front, will have to pay that in cash. these are all considerations. you could do a wide range of assumptions that get you to accretionumption --
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or dilution. the bottom line is the management will be focused on putting together a credible plan because that has been the key issue with both banks. the revenue environment has not in any of the businesses and where they have had problems but they do need to put together a plan and follow through on that. shery: could those plans be derailed by legal risk? i think they have put a lot of that behind them. that has sort of been an issue that has hurt their trading business especially. i think there are legal concerns in terms of labor laws, things like that. obviously, that has been one of the reasons that perhaps they been hesitant. you really need big cost savings to make the deal work and make it accretive in out years. those cost savings will involve cutting jobs. thank you so much for joining us for your perspective.
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allison williams, senior banking allen west for bloomberg intelligence. we are going to take a quick break. when we come back, boeing shares are dropping amid scrutiny from regulators and prosecutors. did the company hold too much sway over the approval process? that is next. this is bloomberg. ♪
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amber: this is "bloomberg markets." i'm amber came are in toronto. shery: i'm shery ahn in new york. boeing is going downside pressure again. we had news over the weekend from the transportation department except her general that they were examining the plane design certifications before the second deadly crash
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of that if europe and airlines, a brand-new aircraft. media reports pointed to the fact that u.s. regulators delegated much of the plane safety us this -- the assessment to boeing itself, and faa employees warn about that as seven years ago, that boeing had too much sway in safety approvals. this has become a controversial issue for boeing and also for u.s. regulators that are really in the spotlight right now. certainly its impact on the overall tone of the markets, it's hard to overstate how influential boeing has been specifically on the dow jones industrial average. it is the single biggest waiting affecting nearly 10% of the overall price. tot week the dow managed increase by 400 points despite the fact that boeing knocked off 300 points. that means every other stock in the dow 30 have to finish higher in order to offset that one
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stock in boeing. inry: four more let's bring alan levin from washington to discuss everything that is going on with boeing. what do we know so far? we have even heard reports that faa employees at one point would have wanted to speak up couldn't because of the work environment. that's right. faa is responsible for certifying the plane. how thisconcerns about work was being delegated to employees at boeing. they filed on anonymous complaints to the government here in washington and there was an internal review which verified many of their concerns. i do want to emphasize, though, that this occurred in 2011, 2012, which was well before the max specifically was certified.
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given that, what are the implications of some of these findings? does that potentially shift the liability risk more onto boeing? a number of analysts had been willing to look through this issue, saying it's a temporary blip, still a cash flow juggernaut and a name that you should own. dollars -- developments suggest that the information we were working on, there is a greater liability here for boeing. >> i suppose anything is possible. liability could be although it is way too early to say. it is also important to remember that even though the federal aviation administration aviation administration is delegating authority to boeing employees, the process is overseen by faa. faa has the right to go in and double check their work.
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, there is a final signoff by the faa in washington. the faa still has the legal authority to certificate planes like this. shery: alan 11 from washington, thank you for the latest on boeing. breaking news at the moment. almost .9%ock rising to top 100,000 for the first time ever. this is the biggest gain we have seen since march 13. the indexlso top above that 100,000 level for the first time ever. right now sitting slightly below that. we have seen the stock rally gyre bolsonaro took over as the president of brazil. last night, talked about ending the dirty ideology of communism in brazil. --y communist in brazil also
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economists in brazil also forecasting the central bank will be slow to raise rates next year, playing into sentiments in the stock exchange, which are rallying the for the first time ever, topping that 100,000 mark. we have seen that rally in emerging markets as we saw more stimulus measures coming out of china as well. absolutely and perhaps this makes the market ripe for ipos. lyft is hoping that is the case as the company is seeking $20 billion in its ipo in valuation. that is when we come back. this is bloomberg. ♪
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amber: welcome back to "bloomberg markets." news moments ago, announcing in canada, one of the top bureaucrats in canada announcing his resignation amidst a scandal that has engulfed the federal government. the fnc scandal. michael moore nick announcing he will be retiring.
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justin trudeau commenting on this. this is one other person who has left the prime minister's office in the wake of this scandal that really involved whether or not there was inappropriate pressure applied by justin trudeau to the attorney general to try and seek a deferred prosecution agreement for fnc rather than allowing the case to proceed in the criminal court. the news here, another person close to justin trudeau announcing his resignation in the wake of the scandal. this coming just a day before the federal government in this country announces its budget, anch will election -- and be election platform as we head toward the end of the year. shery: let's turn to ipo news. hoping to raise $2.1 billion in its ipo, valuing the
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firm at almost $20 billion. at that range, the offering will be the business from the tech startup since snape went public. to talk about recent developments, we have startup reporter eric newcomer. how is this list selling itself to investors? >> this roadshow is just getting underway and it's a very topline focused story. we are growing the number of monthly active riders we have, we are making money off of those riders, revenue doubled from 2017 to 2018. very much focused on that $2.2 billion in revenue it made last year. much less focused on explaining how we will get to profitability. like to talk about contribution margins and improving that number, which is a measure of how much rides contribute to lyft's bottom line, but we are not quite to, here is where we start to make money, rather than losing $91 million, like they did last year. amber: any sense of what metric
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will matter to investors? >> i think it will be interesting how the coverage changes from private investors that have had all of their own thernal models to what market focuses on. a lot of it will have to do with what metrics uber puts out, and then the company will compare each other. clearly the number of engaged drivers, writers is useful, how much money they make off of them. those will be two key metrics. amber: that does it for us from new york and toronto. this is bloomberg. ♪
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mark: i am mark crumpton with bloomberg's first word news. a gunman killed three people and wounded five others in the dutch city this morning and what officials are calling a terror attack. a manhunt is underway for the
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suspect described as a 37-year-old man born in turkey. authorities have raised the terror alert for the area to the maximum level and stepped up security at key buildings around the country. the u.s. supreme court will decide this week whether to get involved in special counsel robert mueller's investigation. justices will consider whether to hear a partially redacted appeal filed by an unidentified foreign government owned company in a fight over a grand jury subpoena. it is the first known effort to get the nation's highest court to weigh in on the probe. former obama economic advisor alan krueger has died. he served as the chairman of the council of economic advisors from 2011 to 2013. he was a longtime economics professor at princeton. alan krueger was 58 years old. nato and the european union are condemning russia's annexation of ukraine's c

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