morgan chase are happy to work with mayor ed lee and in that vein i'm proud 20u announce that j.p. morgan chase is making a 200 and $50,000 grants to support this effort. >> (clapping.) >> this grants is part of a larger $25 million commitment that the firm has made to the bayview opposing over the next 3 judge's years to help this region as it continues to sore based on technology and education helps to make sure that the individuals on the margins are broad and booster up and those that in the middle are not pushed out san francisco pledges to help we are calling on every employer in the region to please engage ♪ meaningful effort thank you very much >> (clapping.) >> thank you, mike and thanks to you and jean great works in the way employers are stepping up to financially support those amazing opportunities for our young people and so speaking of young people let's hear if a couple of them and so first, we'll bring up a young lady a student at boold and want maria to tell her own story welcome maria. >> (clapping.) >> so again, it is 43 seconds one more time please welcome mar

gartside, chief income officer at j.p. morgan asset management, joins us. this is the greek 10-year on my chart. approaching we were 13% levels. levels spike was the 37% of 2011, 2012. don't seem to be reacting as they did back then. are we immune to greece, dare i say it? nicholas: i think markets are a lot more immune to greece. when you look at the stock of private public hands or hands, it is a lot lower than it was. if you look at things like the banking system, greece has a lot less interlinked than it was in 2011 and 2012. greece is a lot more revamped certainly than in previous years. mark: would you expect a deal to be reached in the imf? it clearly is at odds with some other creditors. will a deal be reached by july when the payment is due to the ecb? nicholas: when you look at the history of greek negotiations, they seem to be always played out in public. they seem to be fairly protracted. they always go to the wire. may may deadline -- a deadline probably isn't realistic. outquite sure it will play right to the wire in july. mark: you like a ref

joining us .s patrik schowitz a global strategist at j.p. morgan. it seems like almost overnight the chances of two rate hikes has suddenly gone up. i want to point our viewers and you two are bloomberg which wirp.the function here, what the fed is predicting in terms of rate hikes. now it is at 18%. has it changed enough? , weik: for what it's worth change to september after the last fed minutes. there clearly has been a concerted action by fed speakers to get a little bit more risk into the market. i think they are probably uncomfortable with so little being priced dan and they want to have a bit more option alley ality.ion we thought it would of been a cheap thing to actually put a hint in at saying june is actually a live meeting and they didn't. that's kind of what tipped us over the edge. in addition to the speakers we have had a bit of better u.s. data. the data this quarter was very weak. that caused people to push out fat hikes. we had -- push out fed hikes. we have better industrial production data the other day. some of the stronger bears

morgan chase are happy to work with mayor ed lee and in that vein i'm proud 20u announce that j.p. morgan chase is making a 200 and $50,000 grants to support this effort. >> (clapping.) >> this grants is part of a larger $25 million commitment that the firm has made to the bayview opposing over the next 3 judge's years to help this region as it continues to sore based on technology and education helps to make sure that the individuals on the margins are broad and booster up and those that in the middle are not pushed out san francisco pledges to help we are calling on every employer in the region to please engage ♪ meaningful effort thank you very much >> (clapping.) >> thank you, mike and thanks to you and jean great works in the way employers are stepping up to financially support those amazing opportunities for our young people and so speaking of young people let's hear if a couple of them and so first, we'll bring up a young lady a student at boold and want maria to tell her own story welcome maria. >> (clapping.) >> so again, it is 43 seconds one more time please welcome mar

what does j.p. morgan think -- when does j.p. morgan think they will reach the rate? >> the fed has been revising down -- close to 3% now. they think they will get there may be around 2019. if we look at the market, it absolutely does not think we will get close to 3% anytime soon. what is important for markets is who wins out? does the fed get there faster? alix: out today, saying, the market is so pessimistic, it has to be pricing and negative rates if they are that pessimistic. what you think about that? market isink the overly pessimistic. we have the market down 1% today, for example. meanwhile, we have auto sales rebounding close to 7.5 million units. i think we will see greater growth from the u.s. alix: great stuff. good to have you. gabriela santos, global market strategist from j.p. morgan asset management. let's start with the headlines on bloomberg first word news. mark crumpton has more from the newsroom. mark c.: thank you. this may be ted cruz's last stand in the race for the republican present shall nomination. the indiana in primary could make donald

from j.p. with us morgan asset management this morning. he is set tor says power.aired one's that's coming up next on countdown. ♪ manus: 6 it is:30 in london and 9:30 in dubai let's get the bloomberg first world news. reporter: this underscores the challenges to abe's efforts to rebound economic growth. drop estimated. leaving $7.53.3%, billion. the american economy should be solid enough to merit an interest rate increase this year. caveentral bank will not to political pressure and refrain from tightening during a presidential election. williams told fox news that there is encouraging data in the u.s. fed officials will probably raise the interest rate sometime this year. an opportunity in doha last month. opec is forced to go into another meeting without an agreement. say the cartel will not set a target. arabia's strategy is to squeeze out rivals by pumping out record volumes. iran has no plan to freeze the production until the second half of the year, or until the experts return to pre-sanction levels. british company is approachin

i notice that j.p. morgan, they said the same thing as you. look, we have known it's been weak for a while. it's a little bit weaker because we're sandwiched between two other weak quarters this time around. joe: that's an important point. one of the major anxieties about the economy right now is whether the weak q.e. 1 print we got is a seasonal thing or whether this time is different and a weak q 2 print. that is one of the big questions. vonnie: economists are looking at corporate earnings for a close. from great chart bloomberg intelligence, labor market with corporate earnings, not an impressive earnings season by any stretch. we beat on average. it was a low bar in terms of earnings. historically when you do see profits decline like this, it does not auger good things for the labor market. vonnie: companies are beating lowered expectations, is that enticement to invest, it's unlikely, nevertheless to have cash in their balance sheets. joe: that's a key question. you look at the total number of new jobs, two ways of interpreting it. one,

european equities portfolio manager at j.p. morgan asset management. when you see the movements in the equity right now how do you think investor are receiving the risk of brexit is this. >> i think investors have realized the key issue coming up to the brexit referendum sta there is going to be a large degree of uncertainty and a generally a degree of volatility within markets i think it is very much a wait and see. people are following the polls and also looking at the odds that are being our offered by bookmakers which do suggest that there is a lower probability of exit than the straight pools would indicate. >> potential on impact on the data when you look at the weak data out of the uk, just the shear uncertainty is weighing on consumer, weighing on investment. duke that is accurate? >> hard to ascertain the key reason for the slowdown but as you point out we've seen a weakening in retail sales data. investment fallen off and slowdown in manufacturing as well. also interesting that a key expectation has been that the pace of development of office

that's why j.p. morgan's up so much. this is a stock that is most responsive. second would be bank of america but worried about rate regulation and what they're doing with their cash, but the market is saying you can own the banks because the rate hikes are coming. and frankly if the rate hikes are staged oefktively enough that won't crush the economy. but be aware that's what's going on. the money is flowing out of retail right into the banks. >> div hike doesn't hurt. >> doesn't hurt, but still 3% doesn't stop selling in consumer product goods. by the way, these retailers people don't even trust the yields anymore from macy's and kohl's and nordstrom. don't trust them. >> do you? >> no. >> i would think not. what would you say is more risky right now, energy dividend or retail dividend? >> energy still because they're not in control of their own destiny. the banks are in control. so the banks may say, listen, like when i'm with devin told you didn't have equity and agency -- rating agencies are in control of the oil companies, the retailers are still hopeful.

morgan chase are happy to work with mayor ed lee and in that vein i'm proud 20u announce that j.p. morgan chase is making a 200 and $50,000 grants to support this effort. >> (clapping.) >> this grants is part of a larger $25 million commitment that the firm has made to the bayview opposing over the next 3 judge's years to help this region as it continues to sore based on technology and education helps to make sure that the individuals on the margins are broad and booster up and those that in the middle are not pushed out san francisco pledges to help we are calling on every employer in the region to please engage ♪ meaningful effort thank you very much >> (clapping.) >> thank you, mike and thanks to you and jean great works in the way employers are stepping up to financially support those amazing opportunities for our young people and so speaking of young people let's hear if a couple of them and so first, we'll bring up a young lady a student at boold and want maria to tell her own story welcome maria. >> (clapping.) >> so again, it is 43 seconds one more time please welcome mar

morgan chase are happy to work with mayor ed lee and in that vein i'm proud 20u announce that j.p. morgan chase is making a 200 and $50,000 grants to support this effort. >> (clapping.) >> this grants is part of a larger $25 million commitment that the firm has made to the bayview opposing over the next 3 judge's years to help this region as it continues to sore based on technology and education helps to make sure that the individuals on the margins are broad and booster up and those that in the middle are not pushed out san francisco pledges to help we are calling on every employer in the region to please engage ♪ meaningful effort thank you very much >> (clapping.) >> thank you, mike and thanks to you and jean great works in the way employers are stepping up to financially support those amazing opportunities for our young people and so speaking of young people let's hear if a couple of them and so first, we'll bring up a young lady a student at boold and want maria to tell her own story welcome maria. >> (clapping.) >> so again, it is 43 seconds one more time please welcome mar

global market strategist at j.p. morgan joins us from melbourne. great to see you. janet ellen, they were hanging on every word from her. what was your take on it all? case of an ongoing stream of data from the u.s. that is improving. we've heard a lot from fed officials on the need to raise rates. janet yellen did cement and did not do anything to resend the idea that rates would go up. next month, july, or later in the year, it's all down to how the data performs. we get nonfarm payrolls in the labor report this week. anything over 160 would be enough to say the economy is improving. the fed would rather see better data come through before they do hike rates. maybe they don't do it in june. that is because they don't want to be pushed into a position where the data gets worse and suddenly the market is backtracking. internationally, it's becoming more important. we have several event risks in june, not least brexit, the spanish election as well. the international factors, more and more in the fed minutes now. they could be concerned about brexit, what it means to

morgan who's got a neutral on a $30 price target. chris, i wonder given the rundown that courtney just gave us, is the stock reaction today about the outlook or about the fact that the cfo is leaving? bbnt called her one of the most talented retail executives in the u.s. today. >> it's exactly that. if you look at their comp and the domestic comp beat in the first quarter, they're guiding ahead dmes comp in the second quarter being conservative on earnings it's really the departure of sharon mccullen and you know you're famous when you're known by first name alone and she's known as sharon. she was the architect, key architect of the turnaround. she came here in 2012, stock trading 2.5 times ebitda at that point and took it all the way up to $45. so her departure when you see the tv cycle rolling a bit here and comps decelerating in that regard, i think are telling investors that you should be concerned about not just the top line outlook but also that the low hanging fruit on the cost cuts and the efficiencies they've driven are get

j.p. morgan has a note out where they are bemoaning the weakness in profits in the data today. now, obviously the profit data is choppy. they would say that themselves. but they do think it's a fallback on both business spending and growth. from an equity standpoint what does it mean? >> so i think that obviously at this point in this cycle corporate profit growth is key, and we've been talking for six quarters at this point about how a stronger dollar, lower energy prices have been weighing on profits for u.s. corporations. you know, i think the key thing to look at here is the profit data was a little bit less bad. it's our expectation that profit growth won't turn positive until the second half of the year. so we're beginning to see some of those headwinds dissipate. and the biggest question in my opinion is do these headwinds dissipate before -- we are seeing signs in the profits data and employment reports that wage growth is beginning to rise. so the real question is can corporations maintain their margins to allow these headwinds to subside or will wages begin to rise an

chaseave the j.p. morgan chief economist at 6:00 a.m. in new york, 11:00 in london. the world financial markets cannot shake off a sense of gloom. the msci all country world index saw up all of the gains we in the last five-days. we talk about monetary policy divergence next. we have sun in london. happy weekend to those breaking off early in europe. ♪ >> tim cook puts $1 billion biggest rival in china. >> a decrease in u.k. gdp would be contagious. >> the chances of more rate hikes ahead. david w.: welcome to go bang -- "bloomberg go." i'm david westin. >> you had some great conversations. david w.: we had terrific conversations with major investors. we are going to hear from jim chain us. >> what was the tone of the conference. some real skepticism about equities. a lot of pro trumps sentiment. >>

j.p. morgan chase raised its recommendation. the company announced an agreement to supply iron ore pellets through 2026 which is lifting the stock. some of the analysts who have commented on that deal as well as the j.p. morgan chase upgrade have said the company's price estimates for steel are with a lag so it still doing business though steel is lower than it is now. we have seen an uptick in the type of iron or to which it supplies for that type of steel. deere is moving higher and has been upgraded from a neutral. analysts are looking at higher corn prices having a positive effect on the sentiment surrounding the shares and also hot and dry weather ahead may lower corn yields an increase corn prices. they are up 2.5%. with the themes of commodity prices giving a lift over all. the most global of canadian banks has reported a 12% plunge in second-quarter profits. it's bank of nova scotia. it blamed restructuring charges and bad energy loans. the shares are about -- are down about3/4 of 1%. we have more from toronto. that ener

analyst from j.p. morgan joining us. what is going ton here? why the disconnect between what appears to be a very solid housing market and the stock sns. >> this late in the recovery there's been a ton of skepticism about the continuing recovery and it really dates back to the taper tantrum bursting the momentum in the housing market in mid 2013. and since then it's been a slow pace of recovery, but the fact is if you look at 2015, the housing market lived up to expectations. it was an above average gdp performer and we expect the same thing to happen this year. >> although from what you're saying we might have expected more, our expectations have been severely downgraded. i don't want to put words into your mouth, but is that in essence the position? >> well, we had double digit growth last year. we should have double digit growth again this year in terms of volume starts and new home sales. so i would call that a pretty good performance. >> okay. michael, what is your take on this? some stocks like toll brothers down 20% over the last year. o

diana farrell, chief executive of the j.p. morgan chase institute. headwinds for easy jets, we will dig into the airline's loss. details next. ♪ posted a pretax lows of 34 million pounds, less than estimates. they are trading higher today and we spoke to the ceo carolyn mccall. lyn: we are coming in at the same as last year, about 5 million profit. it is the foreign exchange movement that affects us this year so despite paris and brussels, we have been able to do very well in the first half and i think that shows our customers really like us. mark: let's bring in benjamin cap. but was the most significant part of these numbers? benjamin: 24 million is not a small number but you have to take into consideration 3 million headwinds from currency exchange and auto. once you factor in all the currency changes they are looking at about 5 million which is on par almost with 7 million. that is what they have been promoting this morning. the other significant number that came out as they are all year forecast. in january they pointed to about $758sensus of

we're speaking with bishop, now chairman of j.p. morgan securities coming up next. ♪ is sittingrd bishop on a panel of eight latorre accountability. could afternoon and thank you for joining us. >> good afternoon. mark: we are eight years on from the financial crisis. close to retaining the trust of the public? >> what a difficult question. in some areas, the trust of the .ublic has been restored probably more in a financial performance and some of the other aspects of the performance. on financial performance, global regime, the greater with the boards are paying, it is doing something to restore trust. still some way to go. mark: i am sure you would not have escaped your attention the book released by the former governor. i want to read you a quote. the strange thing is arguably after the biggest financial crisis in history, nothing fundamentally has changed in terms either of the fundamental structure of banking or the reliance on central banks to restore macroeconomic prosperity. do you think that is a fair assumption? i have

stanley and j.p. morgan. the official decision could come as soon as this week. the ipo could raise more than i've hundred million dollars -- more than $500 million. takata has agreed to a stunning increase to the recall of airbags. the expanded recall will bring the total number of info aiders-- -- inflators to be replaced to 59 million. it will take till the end of 2019. tesla is losing its global head of production. this comes as the company prepares to release a mass production model 3. a recall affecting tesla's model x. that's your latest "bloomberg business flash." in politics, republicans ted cruz and now john kasich looks to be out. cruz conceded yesterday. john kasich is set to make an announcement at 5:00 p.m. eastern today, with some news outlets reporting he will end his campaign. donald trump is the last republican standing and the presumptive nominee. from a technical perspective, trump won't athletically clinch the nomination until -- trump won't mathematically clinch the nomination un

let's welcome david stubbs, j.p. morgan asset management global market strategist. thank you so much. i got this made up for you. this is about markets. we have a nice chart. i did medians. this is the largest exchange fund to buy junk bonds and we are seeing that it is flashing a potential warning sign that this rally we've seen over the last three months is losing steam. 's orll, we can talk etf just in general about our charts. do markets still have it in them or is it trailing at the edges because there's brexit concern, because janet yellen probably won't be able to raise rates anytime soon? markets havek moved up quite significantly in recent weeks and months. in particular addressing the high-yield market. we do think there's further this market can go. we think a lot of the fall in prices was a function of excessive worries over the health of corporate america, liquidity concerns in the energy high-yield space, which is spilling over into the corporate market, which is why we overweighted u.s. high-yield in our portfolios for the last 12 months, buying as th

j.p. morgan chase is opening an investment bank in peru. officials say they plan to double the number of employees to capitalize on south america's fastest-growing economy. has a representative office in lima with about 10 people and is planning to hire more than 15 this year. general motors european unit is rejecting allegations it's diesel engines can turn off emissions controls. the head of the opel division says german media and an environmental group reached conclusions that are incorrect. the credibility of automakers is under attack. both volkswagen and mitsubishi have admitted to rating engine tests. twitter wants to easier for users to send longer messages. twitter will stop counting photos and links as part of the 140 character limit. links take up 23 characters even after twitter shortened them. part of a plan to give more flexibility to users and to try and attract new ones. that is your latest business flash. what: my response isbetty: took them so long. matt: it's like all-day breakfast at mcdonald's. betty: home depot topping

richard, ceo of emerging markets at j.p. morgan asset management. great to have you in the studio. we see so much crude volatility ahead of the g7. what are you in terms of the yen? we are seeing the strength in recent weeks, but is it going to continue as we continue to see a lot of risk aversion? i think everybody was very surprised when the yen strengthened last month on the back of the prime minister's discussion. from my point of view, really much more important to think about corporate earnings in japan and the impact the currency has on that. i think it will be wrong to assume the yen will weaken. i think the markets are telling yenthe era of the weak is over. innne: we have already seen the likes of many carmakers that are forecasting to really take a hit in terms of the guidance. we continue to see buybacks which is usually a good boost or stocks but it does not show good performance either when you have poor guidance. richard: japan is an interesting market because everybody depends -- tends to focus on the macro picture. there is a lot going on domestically in japan, bot

. >>> meantime, a war of words on cnbc between j.p. morgan head jaime diamond. tell you what's behind that controversy that's been brewing for a while. >>> after the bell, wilfred frost has an interview with bank of america ceo, brian moynihan. stay tuned for that. >> look forward to that very much. >>> now, the retail pain. shares of coal sinking again. >> the hard times for traditional retailers might not be over anytime soon as amazon continues to outperform. they were out yesterday with a note reiterating the preaddition that amazon could become the top clothing retailer next year, 2017. how big of a threat is amazon to traditional retail? let's bring in stacy and cou courtney reagan. we are getting horrible numbers from macy's and kohl's and others. is everybody migrating to online shopping right now? >> you know, i don't think it's just that simple here. everybody is blaming amazon and saying, all of a sudden, what is changed? amazon has been around for a while. the numbers are getting worse. macy's traffic was down 7%. kohl's traffic was down 4 pk%. i thi

ge down, after j.p. morgan called it an underweight. gilead sciences sliding. if you look at the u.s. dollar ,ersus some of the commodities the bloombergs dollar index, if you can call that appear -- it is up slightly. up about the same amount we are seeing the commodities the client today. mark: we turn to lower here. the stock 600 is now .5% lower. .elecoms of the best performers basic resources on the worst performers. it is a day of three tales from the european insurance industry, starting firstly with zurich insurance,'s switzerland biggest insurer. it reported first-quarter profits that beat the smith. the chief officer continues the overhaul. the shares up as much as 6.9%. earlier, they were up as much as 8.3%, the most since august, 2011. mr. greco came from this company a decline ofted 14%. that was larger than expected on lower income from its life insurance business, and after record capital gains from last year were not repeated. chiefli appointed a officer in may, replacing mary el greco, who, as i said cap -- mario greco, who as i said, went to z

j.p. morgan saying the weak retail earnings aren't a good sign but there is ant big indication of a dropoff in spending. earnings season didn't end there though. >> the retail wreck continued with no relief for department stores. nordstrom shares tumbling after profit fell far short coming in at 26 cents per share when expectation were for 45 cents. comparable sales fell nearly 2%. and what's very telling is the difference between the performance and nordstrom's regular stores and website and its nordstrom rack outlet stores and website. nearly exactly opposite. comparable sales done 3.4% at nordstrom but up at outlet stores 4.6. kohl's first quarter earning and revenue fell short. comparable sales, the most widely cited metric, fell 4%. like macy's the biggest drop since 2009. analysts expected a slight gain. historically it does impact kohl's competitors in part because it is an off mall department store. shoppers have to go there purposefully as opposed to part of a mall trip. last seas

let's bring in a retail analyst at j.p. morgan. chris, what do you make of the fact we've not got better gains here on the stock price? >> it is a little surprising. they beat the consensus in the first quarter by 7%. they grew comp 7%. it's $100 billion company. that is an outstanding number indeed. i think there's a couple things, one, they did talk to deceleration like courtney talked about, and that's a sore spot from last week with department stores seeing business really drop off in march and into april. but honestly that's not all that surprising to us. our azaleas haven't bloomed yet, i live in west chester county, it's been a cool, cool last four weeks. and there's a lot of spring business ahead. so we think the stock pulls back here, but ultimately the business is going to reaccelerate and the stock will accelerate. >> yeah, i mean, i guess the positioning statement is really that u.s. stores comparable sales are up 7.4%. when you talk about a deceleration which is a company doing extremely well and of course, chris, the

let's bring in global head of equity strategy at j.p. morgan private bank. steven, the data we just got was actually quite good. >> sure. >> at least the headline services ism. we'll come back to that in a moment. do you feel the market is vulnerable here? >> i think it's a bit vulnerable. while the data today was a bit better on the manufacturing side, the employment data was a bit weaker and i think we just went through we're finishing up an earnings season where expectations are very, very low. and, yes, they were a bit better, but we're still looking earnings growth rate running about 6% year over year. i think it's healthy to see the market take a bit of a breather. we're still constructive longer term but have a price target right now in the s&p 500 of 2025 which is slightly below where we are today. >> 2025, well, it's 30 points below. you think we're going to decline 30 points by the end of the year? is that what you're saying to the end of the year? >> at this point we don't see the upside to the earnings adjustment. as you look out into 2017 there

j.p. morgan or general motors, so it's the largest corporations in the world being protected from this and these are the very businesses that are declining for the office products sector. and they are not making any money on it. so it's a ludicrous decision, but now they have to pick up the pieces. and staples has announced they are going to restructure, cut costs, close stores, they're probably going to look to sell europe. but the question is is it going to be enough. from an office depot perspective, you know, they have nowhere to go now. they have got to, i think, i don't know, but i think that they're going to have to try to sell the company off in pieces in order to recoup the value. >> the judge was focused on b to b. what do you think happened here? do you think the companies did not make their case strong enough? or do you see this as more politically motivated perhaps being an election season and that's why we're getting more of these kind of rulings? >> i think there are two thi

j.p. morgan cut their shares to underweight from neutral. rbc downgrading. j.p. morgan's analyst ron hall that ron hall says it continues to deteriorate. -- bb&tt shares of analyst gary nelson says shares -- goldman sachs is switching some things around among defense contractors today. goldman has updated l3 communications to buy, saying the guidance is that it has underperformed and it is ready to change that trend. reachedes have almost the $107 target. david: it is time now for "bloomberg trends," and you can go to read go and see this yourself. i want to talk about -- i think he was number one when i just checked. it is warren buffett, and he is dumping out hedge funds big-time, saying you cannot make money given the fees being charged. about which will do better, the clarida,- richard hedge funds are having a bad time of it this year. termrd: hedge funds is a to describe a lot of different strategies and approaches, but worn path -- but warren buffett's point is understood. jon: it depends what your strategy is. our hedge funds getting an unfair rap at the m

if you see a bid coming back, j.p. morgan is still the favorite in the group. >> as a group. tim talks about this. there is best capitalize as they have been historically and evaluations are cheap. my problem with the banks is how do they make money in this environment? the 210 spread is the narrowest since december of 2007. that is not bullish for banks. >> yeah, but i will just say there is other parts of business doing well and if you remove a lot of capital concerns for jp morgan even though i don't think they have to raise capital, it hangs over the sector. let's get through that. jp morgan clearly best in breed. they are giving you the best return on tangible books around 12%. the best long-term value after a 25% run off. in the short term, $68 is an important level for the stocks to get through. it's not crazy cheap but at one point, two times the price. this is a great bank to own and very safe and paying you 3%. so i mean, this is a very interesting time. >> i want to be very clear for the audience in terms of c car. c car is basically present their case to the fed.

microsoft, intel, visa, american express and j.p. morgan led the charge. toyota said its forming a partnership with san francisco- based uber and that it's invested in the ridesharing company. the japanese carmaker is the latest to form such a partnership. earlier this year gm invested $500 million in lyft and a few weeks ago fiat chrysler and google said they were teaming up to produce a fleet of driverless minivans. >>> a judge in pennsylvania ordered bill cosby to stand trial today on criminal charges from an alleged sexual assault that happened more than 10 years ago. as rick leventhal reports the accuser was not in the courtroom today and the judge ruled she doesn't have to testify. >> reporter: the spotlight on bill cosby has grown harsh with more than 50 women accusing the legendary comedian of sexual misconduct. now a judge has ruled one of those cases is going to trial. the charges stem from a 2004 complaint from a woman who claims cosby drugged her and then assaulted her when she was incapacitated. but his defense attorney says the case is based

this is looking at j.p. morgan's volatility indexes. the blue line is tracking the indexes, the white line tracking the emerging markets. this is about growing doubts over g7 central banks' ability to stoke growth, inflation. more optimism that emerging markets will actually avoid the widespread economic slowdown. the spread has been increasing as well. finally, i just want to look at oil. gaining for a second day on wti and bread. wti -- and brent. wti just shy of $45 a barrel. wildfires in canada's oilsands region cutting output. u.s. output is at its lowest since 2014. we are seeing that data from yesterday pushed oil higher today. anna: hong kong property stocks have been downgraded by goldman sachs, which critics a 20% decline in home prices as borrowing costs rise. that is our subject for the chart of the hour. guy johnson is here. news if you back are long of hong kong property this morning. guy: goldman sachs is down trading these numbers based on the fact that interest rates are going to rise. the federal reserve reaches beyond

morgan may have to cut rates. that is after admitting that it will miss its co-inflation targets this year. singapore could join forces to combat money laundering. they are considering sharing information on prospective clients in a newly created registry. this is whether to approve applications for new accounts. singapore froze several bank accounts in an investigation of fraud in several bank funds. toshiba's next president will come from within the company despite the fallout from the accounting scandal there. tsunakawa will take over and he intends to narrow toshiba's sprawling operations. parky's new shanghai theme is proving popular even before its official opening. the company had a trial run and pulled in thousands of fans. for aad operations limited number of guests before the june 16 debut. it hopes to tap into china's growing middle class. next, despite all of the delays and challenges, tender has high hopes for its operations in man goalie up. we have a special report coming -- in mongolia. we have a s

morgan chase? can they integrate this or it's either one or the other? >> patrick collison: i think they can be part of it, they can be part of sort of the infrastructure that powers it. and, again, we work with wells fargo and many other banks today. but i think that they can only be part of it. they can't be sort of the agents driving it forward. >> stahl: he says that over one in four americans online have used stripe in the last year, including on sites like facebook and twitter, and department stores like saks and macy's. the software is embedded on both apple pay and android pay, and it's already helped hundreds of thousands of businesses accept money online. >> patrick collison: there you go! >> stahl: oh! even though stripe has some stiff competition, like paypal, the brothers have made two covers of forbes and the four- year-old company is now valued at $5 billion. not bad for two brothers who not long ago had to beg their bank branch for approval. >> john collison: when you have a major technological shift like this, it's not clear that automat

morgan chase? can they integrate this or it's either one or the other? >> patrick collison: i think they can be part of it, they can be part of sort of the infrastructure that powers it. and, again, we work with wells fargo and many other banks today. but i think that they can only be part of it. they can't be sort of the agents driving it forward. >> stahl: he says that over one in four americans online have used stripe in the last year, including on sites like facebook and twitter, and department stores like saks and macy's. the software is embedded on both apple pay and android pay, and it's already helped hundreds of money online. >> patrick collison: there you go! >> stahl: oh! even though stripe has some stiff competition, like paypal, the brothers have made two covers of forbes and the four- year-old company is now valued at $5 billion. not bad for two brothers who not long ago had to beg their bank branch for approval. >> john collison: when you have a major technological shift like this, it's not clear that automatically, the existing financial

we will go to frankfurt to speak with j.p. morgan portfolio cgala, andim thm why you should stay invested this summer. ♪ guy matt: welcome to "on the move." you are looking at live pictures of the brandenburg gate. i want to get our bloomberg business flash; for that, we go to haidi lun. haidi: thanks. vodafone shares are higher after reporting quarterly sales growth on its network that be estimates. the wireless carrier says organic service revenue, which excludes handset sales, rose i want to get our bloomberg business flash; for that, we go to haidi lun. haidi: thanks. 2.5%. analysts surveyed by bloomberg had expected just 1.5% growth. it was helped along by improved results across several tier markets. bridgewater associates has become the first foreign hedge fund to win approval to set up a wholly-owned investment management business in china. the shanghai-based consultant says bridgwater wants permission to operate the free trade in march. thatises expectations china may lift a moratorium on investment management firms

joining us from j.p. morgan asset management. let's bring you up to speed with what we have heard from rish more. they give us very gloomy statistics for how their sales have fallen in the month of april to keep an eye on that at the start of the trading day. outside ouriew window. we will see you on the other side of the weekend. show me top new artist. ah, ha ha. show me top male artist. my whole belieber fan group. it's not a competition, but if it was i won. xfinity x1 lets you access the greatest library of billboard music awards moments, simply by using your voice. the billboard music awards, live sunday may 22nd, 8/5 pacific, only on abc. is 8:30 in berlin. we are counting you down to the european open. this is what we are watching. do not fight the fed. forkrock says it is time traders to start pricing in a move. is the bond market really ready? off at ministers face the g7.

j.p. morgan says cold rolled steel is up over 50% this year. that's hurting not only deere, but all the other names, caterpillar and the like. and the big picture here, farm recession, weak construction, and may lower the outlook, stock is down 3%. stuart: nicole, thank you very much indeed. deere down 3%. let's check the big board. that's going up 76 points this friday morning, any unease over the egyptair situations? any unease, june and july, pretty much out of the marketplace as of now. and it may raise its ugly head later. has of now we're up, 17-5 to be precise. politics, please. washington post, op-ed. headline today. look at that. sanders scorched earth campaign is a gift to trump. rich lawrie is here from the national review. >> what do you say? that looks like it has the ring of truth. >> no, i think it's right. if anyone had said two or three months ago donald trump would wrap up his nomination and be cruising to a unified convention and hillary clinton would be caught in a bitter civil war that might explode on the convention floor,

we will go beneath the headline data from james glassman of j.p. morgan. bill gross on the economy and the fed. bill gross on bonds. ♪ ♪ francine: i am francine lacqua in london. tom keene is in new york. we welcome you back to "surveillance." . here is nejra cehic. nejra: barclay is carrying out its promise to shrink its footprint. they sold $879 million to africa. retreat fromd africa. one of the measures he is taking to raise cash and lighten the capital burden. rolls-royce said earnings will start to revive. the jet engine maker forecasted it will be poised to break even through june. they have said 2016 will be challenging overall thanks to weaker demand in the marine unit which mainly serves the oil industry. built 15,000 electric cars. ramp upany plans to production 2.5 million cars by 2018 to meet demand for the new model 3. tesla has 325,000 orders. that is the bloomberg business flash. francine: this is a picture for the emerging markets. the emerging markets world index, it is falling for the fifth day. the longest stretch of losses since de

i know j.p. morgan chase is doing a lot with detroit. what's going on there and why, jamie? >> obviously one of the most important things we do as a bank is bank consumers and small and large businesses in the city, and that's what we do in detroit. but what we saw in detroit was a governor, a republican governor, a democratic mayor who said we've got to fix this city. the population had gone from 1.8 million to some 700,000, a train wreck you could see decades ago, two former mayors in jail, they need to fix it, we need jobs, education, street lights on, police going to more areas, we need to get rid of 40,000 abandoned homes, build affordable housing. so they had to make progress across this huge front and do it all at once. but that is the right thing for the population. not yelling and screaming at each other. so we said we're all in. we're going to help these guys. we sent a team of people up to detroit literally for a long period of time said what can we do to help to accelerate this. we do things like start affordable housing, start entrepreneurs. we've been up there

the chair of j.p. morgan securities tells bloomberg news that things have made major adjustments. >> certainly the capital regime is different, the liquidity regime is different. of things andards ceos look at things is much more circumspect than it was at the height of the financial crisis. i think there have been changes. alix: factory orders in germany rose more than accep expected in march. the effect of low oil prices and a boost in spending may be starting to fade. disney's new theme park in shanghai is already a popular attraction and it will not have the official opening for one month. kicked off a six week trial run to make sure the restaurants and attractions work properly. scarlet: time now for our bloomberg quicktake, where we provide context and background on issues of interest. for the philippines, the last six years have been marked with stability and economic growth. but, the company may be veering off to a new course as voters prepare to elect a new president. in an election campaign t

we will check this out with j.p. morgan analysts. ♪ haidi: stories making headlines around the world. beijing has criticized the u.s. report on land reclamation saying it hypes up the military threat. the defense ministry says the annual assessment will distort china's national defense policy, adding washington is just too sufficient. the report handed to congress says china is weaponize in the island in order to have control of the area without resorting to conflict. bangladesh says a swift interbank messaging system is primarily responsible for the cyber theft of more than $80 million. they did not follow procedures before wiring the money to the philippines. but the transfer of almost a billion dollars was held for a time. bangladesh said that that did not carry out due diligence. and vietnam's bank has been hacked through its risk. a manchester united end of stevens, this was abandoned because of security trading device. 75,000 grandstands were evacuated before the main fans were told the match would not go ahe

. >> speaking of wall street the genisis part of j.p. morgan chase requiring 20 percent returns that's part of why o'dell is not having the money to do anything other than the absolute minimum this is the biggest project from the mission in a while and there hadn't b&b been any affordable builder now the opportunity to work it we did a rough sketch which is here of what amount of profits we'll see by the minimums this is $18 million in profits i think there is wiggle room those are figures based on meetings with olsen and the community and builders association who calm came up with the idea of 6 hundred thousand to build a project we've not seen his book like across the street he will meet with some of our people that would then sign a confidentiality and agreement and go over the performa to see if there is any widen room it is k s we'll figure out the best deal more affordable housing that will retain and protect the pdr lost this is the backbone of the mission with blue-collar jobs with spanish speaking without an education and earner

the analysts at j.p. morgan say the current quarterly dividend of $.63 is unsustainable, they see the risk of that dividend being cut in the shares are down by 6%. and then there is weight watchers. itg has conducted a survey of sign-up trends and say they improved year-over-year and quarter over quarter in the first quarter of the road -- of the year. those shares hated -- trading higher. talking about apple today, apple has a bit of a mixed growth. on one hand, the shares are inexpensive, he has an outperform rating on the stock and $135 rice target. on the other hand he does say the company runs the risk of the iphone seven being seen as just an incremental improvement, not a big enough improvement to draw new users or replace users for the product. shares are down for the eighth straight session. we haven't seen a losing streak like this with this many consecutive days lower going all the way back to 1998. in addition, we are coming off the worst month for apple of january of 2013. a 14% drop in april

let's get the view from j.p. morgan asset management global market strategist. and sony kapoor. sony, when you look at central banks, we were expecting a huge central-bank divergence. the fed went dovish. is now finally the time when we will see divergence again? because of uncertainty in global growth, that this'll be delayed yet again? ll, i think when maybe we use the word huge diverg ence, it is important to know where you are starting from. 4% andebody went to somebody went to 7%, that is huge. with interest rates at half a percent, a quarter of a percent difference is what counts as huge. i think that will continue. what is important is the direction of movement. and the direction is clearly set, which is the ecb will continue to ease. the japanese central bank will continue to ease. and the bank of england's response portion depends entirely on what happens with brexit. till then, you expect no change. if we go for brexit, there will be continuing easing. if we manage to stave that disaster, the bank of england could be next to follow the u.s. fed. francine: what is your

later, in the 8:00 hour, james glassman of j.p. morgan chase, and bill gross. we will talk to him about the fed, about sikorsky helicopters, and about a stamp collection. "bloomberg surveillance." ♪ francine: welcome back. i am francine lacqua in london. tom keene is in new york. it is a jobs day, but we also need to look at corporate. here is nejra cehic. nejra: first quarter profit at arsenal or mattel. -- at arcelormittal. geneva, prosecutors are widening their investigation into credit squeeze and one of its former wealth managers. that is according to people familiar with the matter. prosecutors have identified three more former employees as suspects in an unauthorized trading case. involves the accounts of rich eastern european spear general electric is hunting for acquisitions in the struggling oil and gas industry. cfo jeff bernstein tells bloomberg radio that ge has been that twofor businesses companies were preparing to sell. tom: you have been having a -- we have been having a fabulous conversation with phil about citigroup on helicopter money, whi

joining us is samantha azzarello from j.p. morgan asset management which oversees $1.7 trillion, and with this is michael mckee. , what does the market need to hear from yellen, if anything today to get more positive on a rate hike in july and june? mike: it's a question of the data. everyone is annoyed that she is speaking on the friday before long three-day weekend, but this has been scheduled for months. it has nothing to do with the fact that they are getting closer to a rate increase. onget some important date tuesday, incoming spending plus the latest pce inflation numbers. those of the ones of the fed follows. by tuesday, we should have better direction. and friday, the jobs report. a week from monday is the key janet yellen speech, june 6. she will probably lay out a direction. alix: that is the speech that was scheduled later. mike: that was just put on a short time ago. a day before the blackout. it was probably scheduled to give her the option to send a signal if they want to. thelet: what do you foresee fed speaker