2020 -- he is not expected to run in 2020. he spent 20 years representing the sea before becoming an attorney and lobbyist. abiola repping for senate confirmation of brett kavanaugh. chuck grassley refused to the democrats demand to adjourn the meeting, democrats wanted more time to review the documents they received over kavanaugh last night. the judge in paul manafort in a trial has not decided to question the jury. the former trump campaign chairman is accused of acting as a foreign agent on behalf of ukrainian interests. convicted on eight counts of tax and bank fraud last month. africa's most industrialized nation has entered its first recession.

south africa's economy interacted in 7 -- at 7/10 of 1%, it's a blow to the new they have been hurt by slack farming output and soft consumer spending. global news, 24 hours a day on air and on tick tock on twitter, powered by more than 2700 journalists in more than 120 i'm kailey leinz, this is bloomberg. ands 1 p.m. in new york, i am vonnie quinn. welcome to bloomberg markets. from bloomberg world headquarters in new york, here at the top stories on bloomberg and from around the world we are following. emerging markets in a pinch, south africa slides into recession, and turkey in argentina take measures to stabilize their currencies.

amazon is hitting a market value .f a trillion dollars and nike's newest face, colin kaepernick, the face of the just do it campaign. first, we are halfway into the trading day, and we are a little bit in the red. end ofou like the summer, although not technically. but post labor day holiday we do have some volume coming back into the markets for the three major averages. there was a kick up after the slump in the volume that we saw at the end of august, particularly. theooks like some of potential trade threats could be one of the things holding back gains in stocks -- and stocks. -- in stocks. take a look at the bloomberg, this is a daily change on the

basics -- base percentage of the s&p 500. after the games we saw last week that were substantial, we are now seeing choppiness coming back into the markets with a return in volume. we have been watching semiconductors today, that's one of the groups weighing on the s&p 500 was one particular standout going in the other direction. ge and western digital are trading lower, we are largely positive on semiconductors, with the exception of those in the those will-nand, be the weaker portions of the semiconductor industry. those of stocks have been trading lower threat the day. but we have advanced micro devices, we see price target increases. and at jefferies they say is a foundational shift that we are amdntially seeing between

and intel. the dynamics of those companies changing. and vonnie mentioned what was going on with nike and the new at campaign with colin kaepernick. we have seen negative feedback from social media and one-time nike fans saying they will no longer be purchasing. analysts are largely supportive of the move, but we are seeing a ripple effect because foot locker and dsw, one of their major suppliers, is nike. if we see a fall in sales we will see if that comes to pass. it could be bad news for shoe retailers. vonnie: thank you for that market update. waiting for to ducey, the governor of arizona, to speak. cindy mccain and jeff flake have both announced on twitter that former senator, jon kyl, is set to fill the seat left vacant by john mccain. doug ducey will be out moments from now, you can follow us

online or stay with us, david westin is joining me now to talk a little bit about jon kyl, his and whether this is an interim position and how he could have some impact. >> is well-known to the people of arizona, he served them for three terms in the senate, serving with john mccain. he was the number two most powerful republican in the senate. he would has been very influential and well-respected. senate,18 years in the how long has he been out? >> almost exactly one term. it's interesting that as someone on your show put it, he is been shepherding brett kavanaugh. a sherpa, he's been the sherpa for mr. kavanaugh who is testifying right now. vonnie: what happens in an instance like that?

jon kyl, a former senator bringing brett kavanaugh around to other senators to answer questions, which they will now ask publicly. >> which is tradition for a former senator to usher him around. that former senator knows the current senators. vonnie: the governor of arizona is just about to give his speech. >> we have just concluded a very difficult week. country. and our john mccain was an american hero, and we were blessed to have him as our senator. we're all aware of the size of the void john mccain leaves. our hearts, and remain with cindy mccain and the entire mccain family. we will continue to celebrate the life of john mccain. i want to start off by saying, we all hoped today would never

come. but it has come. i realize what an important decision this is, and there is no replacing senator john mccain. it the law requires me to do . and the people of arizona deserve representation in the u.s. senate. it's a decision i made with careful and thoughtful deliberation. as you can imagine, i received a lot of advice from people about this selection. most of it unsolicited. -- the bestbest of piece of advice i received was from another governor, who said just do the right thing. person, best possible regardless of politics. advice,ood it vice --

clarifying advice, and it made my job easy. contemplated who could best serve our stay, i kept coming back to one name, and one person. jon kyl. arizona withne in at the stature of senator jon kyl. he is a man, without comparable. -- comparable peer. with nearly does go decades in the senate, serving alongside john mccain. he is ready to hit the ground running, over the last few months, he has been working closely with the white house. ofthe senate confirmation president trump's nominee to the u.s. supreme court, brett kavanaugh. kyl can cast a vote for his confirmation. is a begin of

integrity, highly regarded by people on both sides of the aisle, and able to work across party lines to get results. wase is a reason he considered one of the best senators in the country. it's because he was. he is an expert on the matters water, land use, and issues facing our native american communities. enter,someone who can and lead on those conversations. for those reasons, i have asked senator jon kyl to step forward once again in the spirit of service to aid our state and serve in the seat vacated by arizona's most beloved adopted son, john mccain.

people automatically assume that this appointment will serve 2020. -- through i have not been able to get that assurance from senator kyle yet -- senator kyl yet. i have got a commitment to serve arizona, to release this session of congress and it is my hope he serves longer. there is far too much work before the senate, work that is important and consequential to .ur state and our nation work the demands immediate attention. it is not the time for newcomers, and now is not the time for on-the-job training. arizona needs someone who can hit the ground running on day run -- day one. and that is jon kyl. the fact is, every single day the jon kyl represents arizona in the united states senate, is a day when our state is being well served.

at the memorial here in the state capital last week, senator kyle spoke of how senate -- senator kyl spoke of how senator mccain put the interests of arizona and america before all else. senator kyl has done the same throughout his own service and will do so again. lastly, i want to thank carol been so kind, giving, and selfless. we so sincerely appreciate her. thank you carol. no question, these are difficult circumstances, and we are blessed to have the leadership and statesmanship of jon kyl as we come together and move forward. thank you. >> good morning. i'm grateful for governor ducey's confidence in me and i'm

honored to accept disappointment . we are saddened by the circumstances that require the appointment, and we appreciate that there is only one john mccain. we serve the people of arizona together for nearly 20 years. in that spirit, along with senator flake, i will do my best to assure that arizona continues to be well represented in the senate. the governor asked me to serve for the remainder of the term, and he is making the thing points. i have committed to serving to release the second session of the 115th congress. i will not seek the seat in 2020 or any other office in the future. i'm accepting this appointment to fill the seat vacated by the passing of my dear friend, because of my sense of duty to the state i love and the institution of the senate which i served for 18 years. and because the governor asked for my help.

and because i'm putting my country first, just as this seats previous occupant did every single day for more than 30 years. there is much unfinished business on the senator daschle the senate calendar, including the confirmation of president trump's nominee to the judicial and executive branch -- positions. i look forward to getting to work. >> let me start off with the , [indiscernible] watching a have been news conference, being given in phoenix arizona, doug ducey introducing jon kyl as mccains successor at lease until the end of the year. senator,e serving as he is been out of the senate for some years working as a lobbyist. he will now return to the senate and he has agreed to serve

through the end of the year. at that point the governor could appoint another replacement through the end of mccains term, could agree to continue to serve. they are now answering some questions. we will continue to follow this live at bloomberg life go. we will turn to markets again, emerging markets are the topic. havey and argentina currencies that are continuing to spiral, let's welcome back annabel bishop from johannesburg. south africa's recession, how serious for the economy investing their? --there? there's been an improvement in the second quarter, so the first quarter is obviously a very sharp contrast. sectors are much less in the

second quarter, and we are expecting things to expand the second quarter. south africa is writing into a low growth rate, is a slowing rate, is a slowing pace of economic growth when you get volatility from agriculture or manufacturing, you often see the risk of slipping. that is what is happening in south africa, a violent contraction, but the question moving forward is are we going to be able to restore economic growth rate? expectations is that there will be a rebound in the third quarter. partly because one of the key reasons for the contraction was the lateness of the harvest, we had poor weather conditions. and there is a question as to whether these crops will come through. that will push up economic growth in the third quarter, and we saw a contraction in the second quarter partly because of

the poor performance of the --ail and accommodating accommodation trade. we expect to see a stronger performance because we have seen an improvement in salary range increases inwage civil service. and there is also back pay. we are expecting a pickup in the second half of this year, but we're not looking for robust economic growth yet. vonnie: how confident are you and the president's policies, that they will do enough to temper any crises that might be brought on south africa, being caught in the crossfire in the likes of the turkey and argentina crises. >> that's the risk we are facing, south africa is vulnerable, the economic policies are not strong enough to inspire a pickup in business confidence. and it seems to have action depressed business confidence for the past decade. weare in a situation where do not see an actual cap and

government expenditure. or constraint in government finances. we are actually at risk of increasing the credit rating downgrade. we've only had one great credit rating lift. there are weak economic growth situations, and looking ahead, it seems we need to do quite a bit more and we have not seen much fruition yet coming through from the several months the president has been in power. we are hamstrung by next year's national election in 2019. -- we continue to andthis week i --high, that support the expectation that we can only stretching strong policy making to the next election, and that could be held anywhere between may and november of next year. vonnie: the currency is annabel bishop is all

the way from johannesburg. amazon is urging to new heights, pushing apple at the one tree and dollar market cap point. we will give you the details next, this is bloomberg. ♪

♪ vonnie: this is bloomberg markets, i am vonnie quinn. nike has colin kaepernick, the former nfl quarterback, who has been named the new face of the just do a campaign. is evanus for more williams. why so much controversy? signed colinnally

kaepernick, but not who we were expecting. there has been a lot of controversy. colin kaepernick is a lightning rod for debate, about the future the nfl, and race relations in the united states. the way people address the military and the flag. there's so much wrapped up in this. vonnie: it seems to be a genius move to me, but there are some saying it could be bad for some. >> the shares are down for about 3% and it has not really hit nike's a-shares much, but we saw on twitter there are people burning nike memorabilia. putting shoes in the fire, saying they will never shop 19 again -- nike again. there has been a vocal backlash. vonnie: what have they said? being quiet, but from people i've spoken to put been in the boardroom when these decisions were being made they anticipated all of this. they knew putting colin kaepernick's face on a billboard was going to be polarizing. they will take the bad with the good. vonnie: has colin kaepernick

spoken? the president? them, a lot of this has been left to stand for itself. this is the beginning of a lot more colin kaepernick you will see from nike. there may be a shoe coming, you will see more in the future. this is not a one-off. nike will double down on the fact that they are doing this. historically, they've been good at supporting athletes and being able to wade into cultural and political issues for athletes. vonnie: how long is the sponsorship for? does it matter if he signs with somebody? and what is: getting out of this? about it -- the terms of the deal are unclear. if you put the shoe out, and there are gangbusters there will be the -- there will be more money for him, same with a t-shirt. he might be more viable to nike is he is playing well in the nfl, but there's a certain lore

e has now -- a lower --allure he has is the guy who wants to play but is being kept but -- kept from playing. vonnie: it's fascinating, and a great story. thank you evan. from nike to amazon, amazon's a-shares or higher by more than 1% as the e-commerce giant was push briefly beyond the market cap of $1 trillion, also reached by apple last month. by phone, and the reason i decided to speak with thomas alberg is that he was one of the early investors with amazon, you must be pleased. i'm feeling good. vonnie: the risk people are citing are things like the up with anice coming

expiration of contract, and there will be a renewal of contract coming up in october. and the president might get involved, and that contract might suddenly get a lot more expensive for amazon, are these the types of things you are thinking about as an investor? >> amazon has always faced an enormous number of risks, and it's worked its way through them in the past. i'm sure it will the future. worry at allu about amazon? do you have any concerns? as long as amazon keeps delivering on its core principles, customer service, innovation, hiring great people, i think it has a great future. investor, you must have some kind of interest in what jeff bezos does, and i'm sure you are trusting. what would you advise him to do in order to grow its private label brands? i think it's working on a lot

of things, trying to satisfy its customers. whatever the customers want, we are trying to deliver it. but so i bet they are, are a lot of companies and you are not invested in them. to urgent is a for amazon address perception issues? for example, whole foods, there's a perception that it's very expensive, and at the same time that's were amazon has the ability to grab more market share. there is only 7%, compared to say 40%, how would you advise amazon to address those perception issues, besides trusting management to do so? although amazon has grown to be a very large company, it really has a small share in the

markets it's in. there is a huge opportunity, and it has extremely strong competitors. many of those competitors are doing well, although the stock does fluctuate. opportunity. of vonnie: work in the stock price go to? >> i'm sorry? vonnie: how much more appreciation do you see in the stoxx? --the stocks? >> i would like amazon to try -- try not to predict the stock market or pay attention to the day-to-day fluctuation. it's a nice recognition they got today. ♪

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kaylee: i'm kailey leinz. chicago mayor rahm emanuel won't seek another term. he said being mayor has been the job of a lifetime, but it's not

a job for a lifetime. he is president obama's former chief of staff and has been in the office for more than seven years. bank of england governor mark carney indicated he is willing to extend his tenure to reduce your test to ensure a smooth brexit. the announcement will be made in due course. his term expires next june. top officials of the u.n. palestinian aid agency says countries including qatar, saudi arabia, and india have stepped up donations in recent months. the nations have provided more than $203 million next to funding after the u.s. announced plans to slash its contribution to $600 million -- from $600 million to $60 million. and in libya, more than 50 people including civilians have died during the week of fighting between armed groups in the capital city of tripoli.

-- the u.n. isds voicing concerns about the fate of the migrants and more than 130 others have been wounded. global news, 24 hours a day, on-air, online at tic-toc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. on kailey leinz. this is bloomberg. ♪ amanda: live from toronto, i'm amanda lang. vonnie: i'm vonnie quinn and from shery ahn. we are joined by our audiences. amanda: here are the top stories we are following from around the world. for nafta, negotiations resume tomorrow but president trump says he will be fine if canada is left out

altogether. for the economy weighs in on the trade tensions. wall street's 30 days of hell. the backlash against the mad rush of earnings season. and betting on bitcoin, how canadian ghosts on this goes down as taking a gamble on cryptocurrency. let's get a quick check of the continuingges and turmoil in emerging markets has u.s. stocks looking in little bit shaky here today with some big downgrades also playing in. and amazond verizon we should note did briefly crossed the $1 trillion market mark. we will continue to watch of overall telecom and materials are doing poorly across the broader market. amazon is exactly what i'm looking at, topping $1 trillion earlier today and you can see is following apple. we were just speaking with investors who got it at the very

early stages and credits it all to management. to about $10 below what it needs to be now but it did make a gain of $28.07 should reach about 38 and change again earlier in the center. friday's deadline came and went without a nafta deal. canada says it is still trying and negotiations are set to continue beginning wednesday. president trump took to twitter saying a deal was happening with or without canada. in warning congress to not interfere. from washington the latest. the pickup their pencils and pens tomorrow. what will be easier this week that wasn't achievable friday? getsdon't think anything easier this week especially after the weekend on twitter that the president had. one of the amazing things about friday was that nafta survived.

we avoided the worst case scenario that the markets and business community had worried about which was a pure mexico thatin the u.s. noticed they were going to sign this thing and include a reference to canada they just needed to hash out a few details and they rented of time. that was a message reject from canada and the u.s. negotiators as well. over the weekend, president trump really raise the heat and now he is a not only a standoff with canada but a standoff with congress, the u.s. business community, and the u.s. labor movement as well after taking some potshots at richard trumka over the weekend. amanda: let's speculate on what needs to happen for enough face-saving that a deal to get done. the canadians politically a really stated they will not back down on the dispute resolution portion even though mexico did. what could they back down on the list of residents say i won them over and i got is a better deal? that's a really good

question and the answer is we are down to two final issues and that is the dispute resolution mechanism known as chapter 19 which really has been a redline for canada not just in these talks are going back to the 1980's area is the dispute resolution system that allows them to challenge u.s. antidumping rulings and special tariffs they apply on things like lumber which has been a sensitive issue before. in a kind of nafta context, a friendly but neutral court. , and in that sees that goes away his movie hard for the canadians to swallow the dairy industry is usually sensitive and usually protected in canada. giving something there is going to cause some political pain. the question is whether donald trump is going to be willing to offer the face-saving exercise or whether he is to stick to his guns as well.

what is the risk that canada does not come to some kind of agreement with the united states before the end of that leads tothen problems with mexico again because we are talking about the incoming mexican president at that point? >> the reason we are all talking about the deadline last friday and the notification to congress that and we given enough that would be joining the u.s. in signing on to this new nafta. he leads off december 1. but we also learned on friday was that these deadlines and trade negotiations are always a little fuzzy. the we are looking at was the end of september and that's when the u.s. as part of the congressional rules on passing a a texteal has to release of the deal they plan to sign of the end of november which gives the canadians a couple more weeks to sign on. through that deadline, i'm sure and this is

always the case in trade negotiations that negotiators way to getanother around the letter of the law. congress is keen to have canada involved here. way to get they're going to be accommodating as well. there's a real question of what the time pressures are here, with the political pressures are here and where we go to from here. great to have your thoughts on this, that a shaun donovan in washington. chile is feeling the pressure from the recent emerging market meltdown and trade tensions between its two largest trading partners u.s. and china. he asked about the street issues. know have a close relationship between trade and growth. lines then grow that the end is going to land two.

if we increase trade tensions probably the world is going to suffer in terms of growth. i will be very bad. it happens to be that the two main partners are china and the u.s.. we do have the two main trading partners fighting and that's not good for us. in anything that we can to the world in terms of giving an example of how open markets and open it -- open economies are good for the people and create wealth and create will be for the people of the nation, chile is a great example of that and we can go and talk about that great example and i think that's probably what has made us the richest economy in latin america. this record ofas not having any country in the list of developed countries where we are trying to make chile the first one and with that, given example to the rest

of the latin american countries in the sense that we are not destined to be underdeveloped and certainly trade and being open economy plays a great role in our strategy and i think it could be a good example for the rest of the world. amanda: what do you need to do to get on to that list? >> we need to grow the economy faster. our records for the last 30 years, very good, we've been growing almost 5% average. but lately, if you take the last to 2017, our14 growth was much lower than that, less than 2%. year, we have to maintain that 4% growth for a decade and we were able to do that, and will be part of the list of the developed nations and the first latin american country to achieve that status. the place we'vef

seen the u.s. china turmoil it is copper prices. how do you manage through that shortfall in revenue? >> we are much more than copper. i told you before that we have lots of new champions and we have the largest airline in latin america, the largest retailer in latin america and we are the largest exporter of cherries in the largest exporter of grapes and certainly we have a big future in mining. that's a lot more than just copper in chile. in the short-term, lower copper price means lower income for the country and we have to adjust. we can play with that if we are conscious of the volatility that cover prices, it's always been like that. so being conscious of that allows the government to be conscious of what they can spend

and what they cannot expend. what we've done in the past is to save one copper prices are high and use those savings one copper prices are not that high. we do have a wealth span that would cover the copper prices really go down for a while, we have been saving money for that. also, we manage our government finance so that the debt to gdp is really low. basis is only 40% of gdp in a world where many economy c 100%. basis, it is still low, in the 20's. the fiscal deficit is only 2% and we want to take it to zero. managing the government finance on a very sound basis allows us to stabilize and it changes. those metrics also in salute you from the turmoil in the region? latest,otally of the

but allows us to sale storm better. amanda: what kind of impact does that have? brexit been the case for many countries, because this is the answer to a global phenomenon which is the strengthening of the dollar. our currency is depreciated a little more than that because of what's going on in brazil and argentina, but still in a very narrow environment. this pullout of emerging markets, but not at the point that will destabilize our economy or anything like that. we continue to be very optimistic that we can grow the country at 4% this year and create the conditions to grow at 4% for many years to come. is my interview with chile's minister of the economy. next, betting on the

bitcoin bund, how a small canadian town is hoping the cryptocurrency will revive its community. this is bloomberg. ♪

amanda: this is "bloomberg markets," amanda lang in toronto. vonnie: i'm vonnie quinn in new york. ghost townanadian takes a gamble in bitcoin. the cryptocurrencies boom is reaching ocean falls, town with fewer than 100 residents it has been largely abandoned for the past 40 years. residents hope a bitcoin mine will revise its struggling community. for more we have bloomberg technology's josh were pristine

who traveled there to find out what it's all about. this is a fascinating story, is really was a company town. the mill was why people were there in a closed down in the town disappeared and now there's a mining of a different sort going on. >> exactly. the mill shut down in the late 70's and early 80's and it sort of slowly just kind of went to seed. there were a handful of people who are out of the town and is nots a big dam that correct to the grid, so it is that can find a way to connect about energy would probably get a pretty good deal. the problem was it was so her mother most of the businesses did not want to set up there. angela bitcoin mine came and said we don't ship anything out we're not bringing workers in, let's give it a shot. vonnie: you 11th grader named greg. >> he was the kind of person was an ocean falls the time. it was a real sense of pride he writes sort of evocatively about this beautiful town and went to

school there and was a small community and he was kind of the voice of the town right before it sort of shut down and he and everyone else moved away. amanda: was available at your city and she real estate me this make sense and that electricity is being used by the 100 people who live here also a couple of nearby towns, is there a danger because these are going miners suck up energy, is there a danger it becomes contentious of its taking more energy in the local communities would like? is an interesting question long-term but this was the amount of energy this particular dam makes so far exceeds the local demand that it hasn't come out yet. although we have seen the power utility is severely limiting the amount of power they are giving to the bitcoin mine at least at first saying let's see how this goes and if everything seems to be going ok, we are willing to

sell you more and more but they are giving the mind far less than it would hope to be getting in the near future. done?: i was not >> there were a handful of jobs that were bought during construction, noninitial any sort of real scale except in comparison to the rest of the economy which is free small in this town. rightcal in did very well before the mine launched but ironically now that it has launched and they don't need to continue to build things, that economic effect has been much gone away. vonnie: it's a fascinating story and i would urge everyone to read it called bitcoin boom reaches canadian ghost town. just a restatement bloomberg technology. vonnie: time for the -- amanda: time for the bloomberg business flash. it would at the busiest stories. nike may be seeing investor backlash over his latest ad campaign, shares are down afterward the nike is beginning

a new ad campaign featuring the pro football player most closely associated with the kneeling protest, colin kaepernick will star in the iconic just do it adds. her cities been is rolling out the first in a series of battery-powered cars over to challenge tesla and the mercedes e qc crossover will start production in the first half of next year. daimler plans to offer 10 full electric cars by 2022. is another blow to deutsche bank after years of losses and strategic errors, bloomberg is learned that germany's largest lender is being dropped from the euro stoxx 50 for the first time since the index was created 20 years ago. the index is a cross-section of the biggest and most liquid stocks in the euro area. that is your business flash update. burg of the story from canada, a billionaire who is co-ceo of the company has an onlyimental farm is

selling about $.5 million of vegetables and year bush tell you is a 40% increase from last year and what makes it so interesting is he is doing it because he wants to show that you can farm successfully and with a good lifestyle and make money and because farming is so at the center of the ongoing trade disputes, especially supply management and protecting farmers, founded so interesting here's his billionaire saying you can make money and here's how. vonnie: he's on track to sell 540,000 u.s. dollars worth of vegetables from eight: david acres in this is money in the third year. that's pretty good going. and he brings in people who want to learn about agriculture from around the world. as a billionaire, he can afford to spend a little more than others on the six mental harm, but some of those people have gone off and started their own similar outfit city is trying to spread the word farm by farm. vonnie: you'll have to bring in mr. generate.

ising up, earnings season wall street's super bowl, but what happens if the game stops? the impact of a possible earnings season rebound ahead. this is bloomberg. ♪

amanda: this is "bloomberg markets," i'm amanda lang in toronto. vonnie: i'm vonnie quinn in new york. earnings season states wall street -- takes wall street over and as president trump considers reworking their a schedule, we're looking at just how it might impact the business world. let's bring in on them also, who wrote a great story on this today profiling of all people mike mayo in the story is called wall street's 30 days of hell, no sleep, no meals come in a family. tell us about how you process this story. the storyded to write

based on a tweet the trump set out in mid-august saying he would like regulators to consider moving to a twice the reporting system instead of the quarterly model that we is now. without it would be fun to explore how earnings actually shapes wall street's culture and how wall street really marches to the drumbeat of earnings and ask real people how their lives are governed by quarterly earnings season and how that might change if this remote possibility came to pass. i love the story of a guy that his daughter was born the day after sucking cornering orderings were over. it's an intense time. with the people you spoke to be relieved of it went to twice a year or they substructure the lines around four times election be difficult? >> they were mixed reactions when i heard was a sense of relief, they might feel a sense of relief if it was just twice a year that they had to wake up super early in the morning and go along with all of the circus

that earnings entails. on the flipside, a lot of them said i understand that it would actually be worse for transparency are investors i don't ultimately think it's a market inidea for the the markets efficiency, though it might have a small impact on my life and my personal sanity. vonnie: the european commission changed it up in japan has been using twice a year since 2000. >> the european commission said that it's market ok to only do a year earnings releases, will you seen from some companies is that they still report quarterly even though that's not necessary in europe anymore but the thinking is that they want to give that transparency to investors, especially if u.s. companies are doing that and they have u.s. investors who might expect that. heard as else that we we were considering this possibility in the u.s., we heard people say about public

companies might just heard chooo release earnings for times a year anyway even if they didn't have to. wall streetonnie: 30 days of how -- of hell. amanda: bloomberg users can interact with all the charge the on television at gtd go. if you missed any, you can check out gtd go. from toronto and new york, this is bloomberg. ♪

scarlet: i'm scarlet fu. caroline: i'm caroline hyde. welcome to "bloomberg markets."

scarlet: we're live in bloomberg world headquarters. we are tracking tech come another milestone. amazon joins apple in a $1 trillion club, who comes next. scarlet:emerging markets asset't catch a break, there appeared to be no rally insight as currencies from turkey to argentina tumble to record lows. in order the court, president trump's supreme court pick takes a haunted on capitol hill and as expected, there is plenty of fireworks. u.s. markets closing in two hours time and julie hyman is tracking the moves. amazon notwithstanding, losing a bit of a pullback. julie: i don't urgency within bank stocks, such as between faang and the rest of the market and we have been bouncing around in a narrow range today. coming off of the labor day holiday, it's useful to look at

history for september. it's not good. when it was a return for the worst month of the year if you go back 20 years for the s&p 500, the average return is negative .9%. volume is picking up as people get back to work, we will see what this month brings as we perhaps the more consistent higher trading volumes and also to see how all of the trade todlines end up shaking out, be fair, october, november, december do tend to have positive returns or at least have in recent history. back to today's session, let's take a look at what's going on in the oil patch, transocean falling as it announces acquisition of $2.9 million to buy ocean to get ultra-deepwater rigs for the shares are falling even though the target is rising as you might imagine. interesting as well, slivers a ceo seeing the fracking market run into more trouble than anticipated that we could

perhaps not see as much output , well in price than investment levels rising at the same pace in the coming year. he says that's because the maxed out-the permian basin and in west texas and new mexico. and little bit of trepidation here as we see some of these stocks on the decline. in cereal stocks more broadly are also down today we have gold and copper prices lower as the dollar has been strengthening in that intern putting pressure on the miners. and then as we see the dollar strengthening, it is strengthening considerably versus some of those standout emerging-market currencies that we have been paying so much attention to. south african rand first of all of the economy their unexpected the entering a recession, that's putting pressure on the currency, which is already in battered this year. ditto for the argentine peso as there is concern about the efforts to turn around the economy that they will not just early bear fruit and turkey also

the lira continuing its downward slide versus the dollar as well. caroline: you very much. let's get first word news with jenna dagenhart. kyl will fill u.s. johne seat left vacant by mccain. he retired from the senate in 2012 and is currently shepherding brett kavanaugh's nomination to the supreme court. after his appointment was announced by governor doug ducey. >> him except he was appointed to fill the seat vacated by the passing of my dear friend because of my sense of duty to the state i love and the institution of the senate in which i have served for 18 years. and because the governor asked for my help. make: the opponent will him al loud to vote for cabinet nominations. he is only committed to serve

until the end of the year, but he is helping kyle will remain in the post for longer. quarreling and confusion disrupted the start of the senate's confirmation hearing for brett kavanaugh, democrats tried to block the proceedings over documents withheld by the white house. while protesters interrupted the removed morece than dozen protesters from the hearing room and democratic senator richard blumenthal called the process the charade of a mockery. the ada's watchdog is criticizing the agency for sending millions of dollars and around the clock security for former dennis trader scott pruitt, the epa and surgeon general says the agency failed to document why prewitt needed more than $3.5 million in security spending in 2017, it's more than double that of his predecessors. romney says his country will continue exporting

crude oil the u.s. efforts to stop it through sanctions. ronnie said quote oil is the frontline of confrontation and resistance. the u.s. wants to reduce iran's oil exports effectively to zero with renewed sanctions in november. global news, 24 hours a day, on-air, online at tic-toc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i'm jenna dagenhart, this is bloomberg. thank you. -- caroline: thank you. amazon its prime, the joins apple in the $1 trillion club on this in the markets we are a microsoft shareholder but not amazon shareholder. is the price of earnings that looks? too big ? >> we require dividends and amazon does not pay a dividend. if they did, it's a good question, would we own it,

probably not today given the valuation. -- they arecarlet: other tech companies that are starting to. what do you make of that is a strategy. dividend and the dividend growers tend to be less volatile as far as a risk control metric. a lot of the old tech names we own, they increased it handsomely over the past dozen years. we like that. a reflectionk it's of lack of investment opportunities. look at the pharmaceutical industry. caroline: what do you make of the overall industry?

we are closing in almost $4 trillion? is that reasonable? >> it does raise the question of the law of the numbers. if you look at the fan complex that cannot continue for the next five years. scarlet: 40 want to be adding? andhe big positions are in we look at portfolio position for a half-dozen years and of allison offense and defense.

along with other economically sensitive sectors and defense being consumer staples, health care and utilities. we have balance in the past 18 months, we shifted slightly to be a little bit more offensive giving the passing of reform. --oline: many feel people what about apples exposures to china? how much is the affect the business like apple? apple has huge manufacturing in china and maybe tim cook has a very good relationship with the president in china. i do think it's a little bit of a risk.

general are attacks born -- a tax borne by the consumer, they are held -- they are there to help the few and hurt the many. the sooner we can move away from this conversation, i think the market goes much higher. conversation, i think the market goes much higher. i don't think valuation is a headwind yet and the market is cheaper today, even of a percent, nine percent year-to-date than it was at the start of the year because earnings have been so strong. scarlet: i'm glad you brought up apple and trade tensions. if you like all of my relatives were asking me about apple and china and if it's a tax on the consumer, companies that can afford to pass on those price costs like apple don't hold up. >> whoever would've thought five years ago that any manufacturer could sell one of these cell phones for $1000? than as wend more

are anticipating the event in september. he's tariffs in general are intact. where in the sort of environment when you see the auto numbers today, ford is sounding optimistic but we've seen all those that are crushed by the concerns about trade and we are you looking to fire on which industries? when we have got trade conditions continue to be a headwind. huawei we see relief -- when might we see relief? is justink this negotiations, president-elect negotiate and will not escalate to a trade war. i think the markets advance in august was a reflection of confidence in that scenario. no trade war, just these many spots. we said it tariffs were off the table, this market would be on the dow 1000 points higher very quickly.

and the slight headwind yield curve is a slight headwind allof course, elections three of those can create a downslope. the least concerning of them is the elections. scarlet: another headwind, of course, would also be emerging markets. given what's going on with turkey and argentina, originally we thought they would be in a synthetic stories, but there does seem to be contagion concerns fling out. >> we don't have the same risk in 97 or 98 when you have the in russia devalued the ruble expertly. have that typeou of risk have that type of risk and i think we are really talking about very, very small emerging-market participants who have these issues. new think that three countries

make up 50% of the emerging-market index and they are in very good shape. scarlet: a far cry from what turkey and argentina are dealing with. hank smith, thank you for your time. sparks lies president trump's supreme court pick takes the hot seat on capitol hill. we go live to washington with the latest on brett kavanaugh's hearing. this is bloomberg. ♪ this is bloomberg. ♪

caroline: this is "bloomberg markets," on caroline hyde. scarlet: i'm scarlet fu. sheryl sandberg will testify about russia's influence of the election and how social media content is monitored. ben brodie covers tech lobbying

joins us from washington. we have seen the legal counsels for these different social media firms and we have seen mark speaking before congress. what changed in mindset from the when it comesoint to these meddling allegations? >> the big thing is we're coming internetuickly on the -- on a terms. 63 days out from the election, these companies want to be seen to be addressing problems that could come up around that. in the last few weeks, they have disclosed normally russian iranian activity as well. are they finding everything, ?hat do they need to do

it's the government to those activities that they are really talking about a lot. caroline: how much to the deflect? to the intelligence community and how much to they work alongside at how much julie leave each other to try and carry the hot potato? is a bit of a hot potato. you hear the intelligence community saying the platforms are the ones who see the activity and they should be stopping this. they are not intelligence agencies and we don't know what the goals are. with the testimony we've seen previewed, would you talk about that collaboration but it's not perfect. it's not where it needs to be i think that tension is ongoing. scarlet: there's collaboration and then there is finger-pointing. alex stay most, head of security at facebook had testified in the past are made comments in the he's been more candid

about what facebook needs to do and what government needs to do. >> absolutely. if thelittle unclear platforms can do what they need to do. they hide in places and some of them are very subtle and some of them even be meant to be caught. those of the kinds of things and questions i think they're going to be facing tomorrow. caroline: you mentioned youtube, where is google? >> where is google? we don't exact the know. there's a bit of a stalemate. ,ap walker, decision-makers google is the best person. ,estimony from the committee has all the usual citations and

there's not going to be anybody there to deliver it. caroline: we will see how that continues. bloomberg's ben brodie. tune in tomorrow for full coverage of the senate tech hearings beginning at 9:30 a.m. new york time. happening right now on capitol hill on the senate judiciary committee is holding the first of several hearings with brett kavanaugh. withattle erupted democrats to manning to adjourn -- demanding to adjourn. >> as the national archive finishes, and to have for the first time in my 44 years here a have somebody say there is claim of executive privilege when the president hasn't made such a claim just put everything under doubt. why are we rushing? caroline: greg, calls that it's

a sharad -- a charade and mockery of the norm, they discussed the potential nominee. greg: it's remarkable of how little of this discussion is about brett kavanaugh. democrats are learning about the process and there are millions of documents that could be relevant to his nomination that they have not seen yet that have been withheld by republicans. , when iter degree hafford it -- what happened in favoring democratic interest in republican interest and is a relatively small talk about brett kavanaugh and what he would bring to the court. scarlet: which is a shame, because there's a lot to go through the document dump prevented some of that. the polling shows that there isn't a lot of overwhelming support for brett kavanaugh. at whole found 30% of those 30% confirm and 39% say don't confirm. how controversial is that?

greg: it's controversial the democrats have a clear of hill battle. there's no indication they're brettto vote against kavanaugh. countries divided. slipup,here's a major he is going to be confirmed. caroline: how consequential is that from a global perspective? i'm thinking about with the rest thise world thinks about comments were to drag it to the right. what does it mean for doing business as? in thet probably means short-term of the trump administration is going to get a chance of getting cases there the supreme court. they may stand a better chance. long-term, this is probably a court that's going to side with the business interests like they have so far like they have in

trenches. likely that will continue for many years and perhaps decades. it's going to raise individual rights thatout people take for granted, most notably the constitutional right to abortion access. scarlet: have they given any kind of public signaling on intentions? was they say something, they are going to confirm him? flavia: greg: everything that --greg: everything they've says that they want to plan on voting for brett kavanaugh. susan collins said he provided essurances that he looked at ro as settled precedents and it looks like it's going to for her. it doesn't mean the judge kavanaugh may not decide that is the president he would vote to

overturn, roe v. wade is intainly in jeopardy but not jeopardy enough apparently to sway the pro-choice republican senators. caroline: republicans likely to show the party line. in terms of brett kavanaugh himself, he said he is a neutral and impartial arbiter and that's what we heard. what do you think in terms of his background or what you've noted over the years with the contribute as a matter -- a member of this up in court? greg: he has an awful lot regulatory cases, you would expect him to be a leader in the court on dealing with regulations and his general approach is that he is skeptical of agency claims of broad power. he has a track record of limiting what agencies can do, saying if congress does not you to doy authorize

something, you can't do it, so that may be difficult for regulatory agencies going forward. scarlet: our thanks to bloomberg's greg stohr. watched complete coverage of the brett kavanaugh coverage hearing by using the terminal function live go. as we were talking earlier, there's a lot of patients on brett kavanaugh's part because yesterday for all the senators to say their piece. caroline: patients from him, passion for everyone else. you toscarlet: this is bloombe. ♪

caroline: this is "bloomberg markets," and caroline hyde. i'm scarlet fu. time for the snapshot of the biggest business stories in the news today. citigroup realigning top management with longtime executives including the cfo are stepping down. heads of the north america and europe middle east and africa businesses also leaving the firm. for posting and unaffected increase in august sales, cars and truck delivers were up more than 4% of the big seller is the series truck, sales rose 10% just below estimates.

toyota, honda, nissan did worse than expected, suvs were up but sedan sales plunged. fidelity zero feed index fund had a big first month. investors put almost $1 million into the two funds since the first of august great analysts say fidelity can more investors with the promise of no fees, it's in position to sell the products and services that are higher-margin and will bring in profit. and that is your business flash update. caroline: coming up, tech continues to dominate the xe market but they don't believe we are in attack rally. that's bloomberg. ♪ xfinity mobile is a new wireless network

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click, call or visit a store today. >> freedom is facing its biggest political upheaval and a century. on -- the far right and makingtion policies are

democrats on point to make major gains. dominance that brings freedom and equality. population of 10 million -- it led to europe accepting 600,000 refugees in five years. migrants have produced some of the highest growth rates in europe. the labor market has had a tough time absorbing such a large and flow of people. they want the country to stop accepting asylum-seekers per year -- asylum-seekers. [speaking foreign language]

immigration is one of the greatest social issues for swedish voters. sweden -- it would gentrify the part about keeping extremist members, their operation is set to continue. any of the traditional blocks i am forics -- bloomberg news and you can get all of your updates @tictoc. >> that is some of our porting from tictoc. his is "bloomberg markets." it is time to dive into the futures market and our topic is bitcoin. it is been a volatile year as a

cryptocurrency came crashing down last december. the last two months, up 25% right now. on pace for its best quarter of the year but there is another month to go. let's take a look at the technicals on bitcoin. we are using the gtv function in the bloomberg and we are comparing bitcoin to the dollar on the year. in white, the dollar index. since april, we've a bit of a the dollar index taking off in the bitcoin going lower. third time where both of these currencies were above the 50 day moving average decent momentum. aboven and the dollar the 50 day moving average, but the inverse relationship is to believe that only one will survive.

the dollar is turning bullish which may suggest that there could be bearish action i had for bitcoin. i would like to bring in bloomberg intelligence's mike mcglone. selllast time, you said to bitcoin windows vista below -- bitcoin was just below $8,000? >> this is a time where i would sell. abigail: talk to me. >> bitcoin is heading down. the significance of this chart is the short interest. the most we can determine including what is in the market and futures, we had a decent spike in short interest, short covering, market goes up. but we had the same amount of pull off short covering, so diminishing returns. in the meantime, this is a magenta line is the bloomberg

galaxy crypto index. it is made a new low. if bitcoin catches up, it will be around $5,000. markets are declining, but overall, the trend is down and should be looking to sell rallies and the key thing to diminishing returns for short covering in that going. >> where we do sell the futures for and what would be the stock level? to sell,s good levels your stocks should be right around these levels sustaining around $8,500 and the target around $5,000. have to make it difficult so that could be kind of hard, but overall, this is an area to be selling the market and futures is a good way to do that. are going up but overall, the trend is down. >> you mentioned that fruit

-- that futures are good way to trade bitcoin. you have an interesting chart on liquidity between the two different markets. >> the significance is, on the yellow line, this is cme bitcoin futures times five. look at the trend, it is higher and the equivalent of 13,000 bitcoin or so compared to the cbo, relatively flat. as the futures trade, the number one thing i like to look for, what is open interest in what is it doing? if there is decent open interest and you get in, you can get out. >> so you would have been more attracted -- are winningutures the battle for liquidity in the bitcoin space. >> interesting. mike mcglone, bloomberg intelligence, thank you. carolina and scarlet, back to you. scarlet: thank you. breaking news, general motors

in august, u.s. sales fell 13% with is almost double of what analysts were looking for. motors no longer reports monthly total sales results, so this is an estimate and according to people familiar with the matter. the clientman to comment but he did confirm that gm did dialback a discounts during the month -- dial back discounts during the month of august. caroline: gm is trading up by more than a percentage point. let's get the first word news. foundederal report has that problems including staff shortages and a lack of trained personnel with the u.s. government response to hurricane maria in puerto rico.

federal, state, and local officials struggle to find a temporary housing for those affected by the hurricane for you -- hurricane. damages estimated at more than $100 million. the judge and paul manafort's -- last month, manafort was convicted by a northern virginia jury of eight counts of tax and a bank fraud. the jury deadlocked on other counts. the jurors were not sequestered. the chicago mayor says he will not to a third term in 2019. "hasid that being mayor, been the job of a lifetime but not the job for a lifetime." he has been in office for more than seven years and he was also president obama's former chief of staff and a former congressman.

offensive and distasteful. that is how aretha franklin's family is describing the eulogy at her funeral last week. the pastor spoke for nearly 50 minutes devoting most of that time to criticism a black parenting and black on black crime. that thes nephew said eulogy caught the family off guard. global news, 24 hours a day on air and on tiktok on twitter powered by more than 27,00 journalists and analysts in more han 120 countries. heart --na doug and i am jenna daggenhart. sachs equitydman stopped by bloomberg's talk tech. techdo not think this is a rally, it is a secular trend and transformation in the technology sector and other industries which is been a disruption of the use of

technology. we do not expect profits to grow in the way that they have done the last several years and clearly, technology is really moving apart from the rest of the market, even in the u.s. as well of course, other parts of the world. i think technology is likely to remain the dominant driver of this markets over the remainder of this cycle. expect,al, we do although equities to continue the uptrend, because we expect the global economy to continue to grow over the next couple of years, we do believe that proper growth will slow and returns will slow. but the outward cycle of the trend will remain intact. >> anna and i just had a conversation with our guests from the peterson institute, his rhetoric and tone was very

concerned about u.s. relations, trade wars, and the risk. where are you in assessing the that risk? are the markets price for $200 billion worth of extra tariffs coming at the end of the week? the tariffs and potential for escalation of trade tensions is one of the key risks, because ultimately, it is one of the major risks to global economy. if you look at the direct effects of the proposed tariff increases, it looks to be relatively modest. those do not take account of all the second round affects, the impacts on confidence and investment decisions. it is the second and third round effects that could be more damaging.

if we look over history, the thoughts of triggers the ultimately brought down some of the things that really brought those down and wasced profit share in gdp trade wars, rising regulation, increasing tariffs alongside an economic downturn. that is one of the biggest threats and certainly one of the most important factors impacting sentiment and therefore, keeping risk premia in equities higher than the numbers we are seeing an economic activity. >> that was peter oppenheimer speaking earlier. check out gtv , you can find charts relative to the conversation including this one, the growing market cap of the maga stocks.

they are approaching $4 trillion, not there yet, but with apple and amazon crossing that threshold, it is a matter of time. from new york, this is bloomberg. ♪

♪ caroline: breaking news. hathawayn, berkshire health venture has confirmed a new chief operating officer. onwill bring you plenty more the updates to that particular business, but remember, this is something that is taking the insurance sector by storm. scarlet: sources according to cnbc, stoddard was set to start a new job today. the sectoro

report, we focus on utilities. julie hyman is back. julie: the gains today, we are looking at the one year chart to show that they have not been doing very well, but it is one of the best-performing groups and today's session along with financial stocks, a bit unusual that we see the two rise in tandem. we have 10 year yields pushing fire today and typically, higher yields are not good news for utilities. the look at the one-year chart of utilities versus the 10 year, you will see an inverse correlation between the two. these companies tend to carry a decent amount of debt. so that means higher borrowing costs for them, but today's session is different. but is the 10 year chart, let's focus on what is going on in today's session. shares are hired today along with edison

international and that is after the passage late last week of legislation in california that potentiallyility for the two countries related to wildfires that have been ongoing. there was a lot of concern over their connection to those wildfires. they even raised the specter of bankruptcy potentially if indeed pg&e would be held responsible directly for them. the company may oh as much as -- as $17.2s much billion. now california is trying to step in and take some measures in order to reduce the potential damage that could happen as a result. a conversation we had a couple of weeks ago on the ramifications to utilities. they are trying to sell bonds on the back of it to repay?

julie: exactly, that is what the legislation did. we can pull up my bloomberg terminal it takes a look at pg&e versus edison international for $3ould be liable billion versus the s&p utilities in the yellow. these two have underperformed. regulators will allow the utilities to sell bonds backed by customer bills to cover the fire costs that are deemed reasonable. analysts have come in today and said this is reassuring to some degree to investors. nonetheless, it is relatively modest continuing -- considering the underperformance we have seen. if the regulators say that these are not reasonable costs that pg&e is citing and that the company did not act reasonably as well, regulators would do a stress test to see how much in costs the two companies could

carry. that could potentially be negative for customers, so they do not necessarily want that to happen. essentially, basically what it says is that kind of casts some of the damages related to the wildfire. you still have lawsuits that are out there so used -- you could still have occurred to the company. that is one of the reasons why there is so much concerned that was the stock prices. scarlet: coming up, we have sam bright, a vice president at ebay, talking about the marketplace. this is bloomberg. ♪

♪ this is bloomberg

markets, i am scarlet fu with caroline hyde. ebay is one of the largest e-commerce platforms. so how is it reflecting the look and values of a dynamic of global marketplace? bloomberg's ongoing conversation about the bottom line impact of diversity and i sat down with samuel bright. we discussed the tech industry's diversity push as an african-american executive in silicon valley. samuel: there is been a lot of effort in recent times to prioritize the importance of diversity, there is more transparency in terms of company's releasing reports and starting to track it. but there is definitely more work to be done. for me, it is a personal issue. i am the product of a dad from ghana, a mom from indiana, raising me in illinois. home of richard pryor and

different backgrounds and ethnicities coming together with a spiritual heritage of a commitment to community as pastors. so when i think about diversity and inclusion, it is about recognizing that everybody has e has the that no on monopoly on all of the ideas. not me, not people who look like me. scarlet: how does diversity fit in with what you do at ebay? clearly, ebay is a marketplace that should reflect the world. talk about diversity from your personal point of view and what the company is trying to accomplish. the platform is a really democratizing influence because there is a seller id and buyer id. there is no race, sexual orientation, or gender aboutated -- is whether you have an item that is

of interest to a buyer. it is very relevant to mary and that it allows anybody -- it is very relevant and allows anybody -- we have really leaned in to highlight diversity often with a philanthropic component. scarlet: how do you do that? samuel: i think about the collaboration we did around the "wonder woman" movie. we partnered with a seller that had a series of rare comics, the first time that "wonder woman" made the appearance, we announced that around the time of comic con last year, we held a three, no reserved $.99 raised that effectively $1.6 million. agreat business outcome, but portion of the proceeds were donated to a charity that fights

human trafficking. there are ways for us to do well while doing good in the same process. partnered we with a popular african-american artist out of chicago who created this exclusive art print called darker than the color of my true love's hair which features an african-american woman in profile view with a head wrap. it sold out really quickly and in the process, a significant portion of the proceeds were donated to the breast cancer research foundation. scarlet: how do you see the platform democratizing further? the countryness in increases, how does ebay state true to its mission of the world marketplace? samuel: intentionality to really prioritize that in our strategy and how we show up in the world. that commitment is there from

the top on down. it is also something that shows up in a parade of different ways that might seem -- shows up shows up in different ways that might seem commodity driven. the broad spectrum of sellers are represented in the market. we have an annual event where we celebrate our sellers each year and we have awards that we give out. scarlet: i wonder how self-conscious you might feel as an african-american executive in the tech world of silicon valley. do you encounter surprises, challenges that even after six years, they take you are back and make you think, this is not exactly how i anticipated this? samuel: i forget who joked once, i've been black for a long time,

and it is true. ateis really hard to bifric the pieces of who you are, so i try to show up in ways that are most authentic to me both as a leader in executive and also the product of my identity which is multiracial. scarlet: that was my interview with sam bright, vp at ebay. i like what he said about the level of intentionality. when i was over in san francisco, it stood out to me of how much in the moment of there being an issue of balance in the workforce, particularly for the tech giants. we will look much more at the balance with 19. [indiscernible] -- this is bloomberg. ♪

>> it is 3:00 p.m. in new york. i'm caroline hyde. scarlet: i'm scarlet fu welcome to "bloomberg markets -- scarlet fu. welcome to "bloomberg markets." ♪

carol: -- caroline: we're live at bloomberg world headquarters. south africa flies into a recession and turkey and argentina have efforts to restore investor confidence. nike just does it. colin kaepernick is the face of their iconic campaign. and from goldman, the bank's in the hamptons over the holiday weekend. we take you inside. but let's get the first word news. jenna? thate white house warning it was sure all aside chooses to use chemical weapons again, allies will risk on quickly and appropriately. the trump administration said today it is monitoring the

it saysn, where millions of civilians are under the threat of an attack by us tod's government. form arizona and republican senator jon kyl will fill the by. senate the left vacant the death of john mccain. voters will get to decide the remainder by through 2022. becoming an attorney and a lobbyist. the idea was to force democrats to a difficult vote. now republican leaders fear that could backfire. the proposal would make limits under that same state and local .ackett -- taxes permanent lawmakers in high tax states such as new york, new jersey, and california. africa's most industrialized

nation entered its first recession in a decade. south africa's economy contracted at an annual rate of .7%. it continued its fall after the release of the data. it is the blow to the new president, south africa hurt by stop consumer spending. global news 24 hours a day on air and on tick tock on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. scarlet: thank you. we are less than an hour away from the close of trading in the u.s. let's get a check at how the markets are shaping up with julie hyman. julie: we see a downturn and higher volumes as well then we have in recent weeks. a little bit from the low of the session. the nasdaq doing the worst today. we're looking at relative strength indicators for the various after they hit records last week. here is a look for the nasdaq in particular.

we are looking at the global strength indicator measures, upward and downward momentum here. success of closing prices, and in overbought territory as it is termed in the last days of august. pink diamonds at the top of the show where it has been at this low before, not always, but typically we tend to see a pullback or a pause, and that is indeed what we're seeing today. at large cap tech stocks. we're seeing a diversion's today amazon andar between everyone else. apple is strengthening as well. a couple of things weighing on facebook amazon and everyone else. apple is strengthening as well. a couple of things weighing on facebook. founding partner michael nathanson is downgrading the stock neutral to buy. he said heightened regulatory scrutiny announced to what he

calls a toxic brew. remember that facebook, twitter and other tech giants will be appearing in executives will be a. on capitol hill later this week. the federal communications commission saying today that these companies may need to be subject to new transparency the traditional various telecom providers are subject to. that also could be way on not just facebook that twitter ahead of those appearances as well. one of the bright spots besides amazon and it's one train dollar market cap it touched briefly during the session, retailers doing well today. salon is among the stocks strengthening here. the company announcing a new distribution partnership with kylie jenner passes cosmetic brand getting some chatter from analysts. aoks like off the back of goldman sachs positive mention, department stores, the off-price department stores as well as an attractive view. nordstrom, kohl's, and a buy here, saying we see the evolving

online,n off-line and that it will be more apparent to the winners and losers are. a couple of potential winners, kohl's and nordstrom. scarlet: we will stick with the consumer space. nike is making a big bet on colin kaepernick. naming the quarterback who sparked controversy for nearly during the national anthem, the new face of its iconic just do it campaign. following the announcement, it orttnike and #burn trending on twitter. joining us now to discuss, ceo and at him and. nike stock has been on a tear for over a year. as to what extent is the pullback, a little bit of noise first something more concerning? >> it is probably an opportunity. it is definitely noise. nike has always stood at the

intersection of culture and sport as well as innovation. they have been accelerating speed. the touch points with consumers, i think this is just another of how they keep themselves in the conversation. an important campaign and the boycotts are just a lot of noise. caroline: we have a willingness to take on the culture wars in many ways. i am amazed at the negative sentiment that surrounds us on twitter. a graphic that shows how much negative ascent -- sentiment there was on twitter. how do you think --sentiment thg run benefit nike in any way? turn made decision, and it is not the

first time they made this kind of decision, where they will be on the right side of history even if they are on the wrong side of the reaction today. if twitter does anything, it amplifies the loudest voice in the room. decision, and it is not the first time they made this kind oflet's see how it does for many amateur. the thing i'm really interested in and maybe you can speak to this, does this put any pressure back on the nfl? i wondered if this kind of put it back into their work to say, maybe they should step up as well? >> think the ball has been in their court and i am not a football expert. somethink it could put pressure or open up a conversation. it is really squarely in the camp of the owners. many people believe colin kaepernick would be playing were not for his decision to take a stand here. we had a lot of good relationships with at leeds and

we might want to re-look at the decide whether or not we really want to take a stand against players using freedom of speech to protest perceived issues, racial issues, in the country. >> speaking about the backlash with nike, typically, how long to these last? more than the first week, the first month, can nike expect this to be an issue in the half a year from now? >> i think the most recent trend , the roadmap we have, is dick's sporting goods, when they decided to stop selling guns. when that happened, there was a lot of chatter but it did not result in much. they had a difficult quarter recently. that had more to do with for performance of under armour notuct in their stores, their decision to stop selling guns p people said, well, i will

stop shopping there, and the numbers did not show that. if you think about who nike press's customer is, they are more inclined to be aligned with colin kaepernick's message and the certainly the right for a peaceful protest in the united states, a cornerstone of our democracy. so are already putting numbers to how much media exposure. in some ways, for free. that is with the marketing group is saying. who will laugh in the long run? >> all publicity is good publicity. a huge customer base, they're much more aligned with the pro colin kaepernick view of the world rather than let's go burn our socks, view of the world. i think that yes, they have had a lot of media publicist -- publicity. a strong message, if you are a veteran in the country, action

company, you know this is what they will do. >> the equality cap after we saw trump inaugurated. >> right. of sync with what they have done previously and how to conduct themselves. as i think liz rightly said, is a short-term overreaction. we see the stock up 50% this year and it will probably continue what's the world gets its head back. >> also doing with some of its own gender issues as well, nike needs to be out front here p are my question to you is nike is a global country death company. you see their swish everywhere in the world. do consumers outside of the u.s. care about this at all? >> i think they don't hear it i think they perhaps look up to u.s. athletes as being icons, but i do not think they really -- they certainly are not going to boycott nike because of this issue. with the u.s. being less than half of their business, i think

you are very right that the rest of the growth is coming from the rest of the world. him -- >> of potential bigger issue, is this something that could play more negatively for them going forward in terms of their ability to sell products overseas? >> yes, i think you have been successful migrating sourcing away from china. they do not have a direct impact where they have very little impact in terms of if there are any tariffs put on their products. there is a chance at retaliation but because they are not make things here or>> yes, i there, s difficult to really nail them down and have a retaliatory action, regardless of who you are and what beef you have with them. caroline: interesting. a significant outperform or for the year. it remains that way at the $128 billion market cap. excellent insight.

thank you which running us. earnings season at the wall street super bowl. what happens when the game stops? we're looking at the impact of a possible earnings revamp ahead. this is bloomberg. ♪

carolyn: this is uber markets and i'm caroline hyde. scarlet: timeout for a snapshot of some of the biggest disaster is the stories in the news today. the american billionaire chairman of -- for more than two decades faces increasing opposition to his real action. two labor groups, and investor advisory service lewis lobbying against the reappointment of private equity tighten david -- workers in the unit -- union ship.

reduce debt while revenues falling to the world's biggest maker of generic drugs will buy back up to $400 million of debt. sales dropped 18% in the second quarter. he declines in revenues in north america. general motors sales plunge in august. deliveries were down 13% as the automaker cut back on sales. g.m. no longer reports monthly sales figures to the public via the company did confirm it dialed back on discounts last month. flashs your business eight. carolyn: the man takes over world -- wall street. the idea of reworking the earnings for the schedule, we're looking at how it will impact the business world. for more, let's welcome any to the show. you have been thinking about this and interestingly, already in the eu, you do not have to

file quarterly but many companies do. --, steve think this would change minds of we saw a regulatory change to the situation? >> basically what we were hearing is a lot of companies might even choose, even if there were a world where you only had to report twice a year, companies may sell shoes to report quarterly, as we have seen that happen in the eu and the reason is you give more transparency to investors and they might still expect that even if trump were to roll that back to >> and love the way you start this story. , a notedat what mike bank analysts and wall street, how much it involves are a -- rules run the quarterly earnings season because yes to get on every conference call and it is this rush. >> you have this image of him with two phones at a time that he is using, and he was so relieved because his daughter

so it really impacts the entire way that you live your life and the things about your life. it was really a cultural piece to look at, how does this affect people on this day to day basis. a analysts, if we did go to biannual reporting season, they would have to sift through other bits of data. isn't going tos be too much, not enough information to lay their hands upon. >> that is right. you move to a system where you are through information but you have to do a lot more uncovering of information behind the scenes , between the semiannual reports if you were to move every six months. use analysts told interestingly it would make my job more important when i give insights through my clients, however, i still do not think it would necessarily be the best thing for the market because

investors have this information for the year. >> this is a great read. no sleep, no meals, no family. every quarter. spot,sort at sea water incoming bank ceo david took to his other gig over the holiday weekend. party, she joins us now it set. who kind of music does he play? ask it is electronic house music. he is going what for. to make sure i knew when david was going to make his appearance, i spent time with the dj and got to know the scene and what they're looking for. they didn't want hip-hop or a lot of explicit lyrics that

families on the beach might not so this is smooth and relaxing and perfect for labor day weekend. your hand with him to give you whether or not it is any good? >> well, he health may identify some of the songs and i have to with have been hanging out bankers as a reporter for many years. i never wanted to be one but i might want to be a dj in a future life. was responding to the crowd is really with important. are responsible for putting out of five vibe that gets the crowd going. i actually brought another dj with me on sunday who focused on the technical asked that's of how to mix from one song to the next. he says david was actually surprisingly decent at doing that. didn't deserve on

sunday when i saw that set was he was really paying attention to what he was doing. with that he was working. some of the other djs look more relaxed. >> what to the crowd say about him? were they impressed he was doing this? >> they loved it. when i told a junior banker that he was the incoming ceo of goldman sachs, his jaw dropped as i read him the story. there was a positive reaction a lot of people were dancing by the end. >> work life balance is what we want to see emanated by those at that head of the company p are all hats off. amanda gordon, fantastic. is probably what he has to look at more. it is stocks in the charts and the nasdaq for the first time since june by one key technical

indicator. have a look at some charts we will bring you throughout the show. this is bloomberg. ♪

caroline: it is time now for options insight with julie hyman. julie cohen thanks. kevin, i was, talking about how we were heading -- to september. negative returns for the s&p 500. you looking at options have been look at the vix over the past couple of years. have we seen anything that could help us know what will happen? crisis. whatever -- whatever talking about september being horrible month, i wanted to look and see what it tells us because you have seen the vix actually pick up with it but i do not think it is anomalous, given the fact centralhave not had

banks before intervening in the market to the tune of $20 europe, between china, japan, and us. i do not think you could rely on that. what happened when the central banks come in, the artificially suppressed volatility. was like, what are we getting off zero bound. it is not really telling us anything other than that we have been extremely lower than historical standards. what i mean is you have seen an average of seasonality we're talk about, 20. we are not trading even close in that range. we haven't seen vix even spike 50% in the last three years. needs to temper expectations with volatility coming back. >> yesterday brave new world. not sure what will happen. you think you know what will happen with the stock today. tower operator or owner i should say, that being your specialty. what are you looking at? what is attractive right now?

>> volatility is at 17 the what is nice as you have had the chairsn, by a couple of and last month, you have the investor days coming up with a go to goldman sachs. maybe the dj will trim up some interest. i want to capitalize on increased volatility in position mice of going toward. the last earnings great guidance on smaller towers and the fiber tick network. you want the 100 $10 put all the way out into january 2019, and you want to buy the $129 call. you get unlimited upside and the on -- the $110 strike is actually where they went out and bought almost $1 million worth of shares, he bought them at -- you're playing along with management pyramid if and only buy something because it think it will go up. people sell for a lot of reasons but they buy for one reason. they think it is going up. >> of course, they are not always right. a couple of risks, one is interest rates going up.

also consolidation with the telecom industry, which would reduce the bargaining power of companies like this. they have been worried about this but you are seeing the opposite effect. investments are already surpassing four g and 3g. also, interest rates do not really matter. they perform well in rising interest rates environments. >> got to leave it. back to you. >> live picture on capitol hill. making their opening statements in the supreme court confirmation. this is bloomberg. ♪

scarlet: the first word news in the afternoon. president trump spoke today and agree to meet later in new york at the un's general assembly in

gathering. the white house has elements on the korean peninsula including efforts to achieve full denuclearization of north korea. governorof england willing to extend his tenure to ensure a smooth brexiteer he says he discussed the matter with the chancellor and an will be made in due course. this expires next june. the top official of the yuan agency says saudi arabia and india stepped up their donations in recent months. says the nations provided $230 million in next are funny. they announced plans january 2/their contribution from $360 million to 6 million this year. the agents stills is the situation remains critical. in libya, more than 50 people including civilians have