Transcripts For BLOOMBERG Street Smart 20150330

Here are techstars ahead of the closing bell. Today is the busiest day on record for health care deals. Four deals already today and that is over 17 billion worth. Striking a deal for 30 billion for catamaran. And then Horizon Pharma agreeing to beat hype to buy hyperion. Tesla shares rising after elon musk set on twitter that a major new tesla product line will be unveiled april 30. He did not give any details about the products. Glenn tiltons three decade wall street career was dealt a blow by wall street regular disparate her firm had caught the 200 Million Dollars of payments to which she was in an title. The agency accused the selfproclaimed billionaire of law a fraud. In a letter of investors they disagreed with the secs claim. We have less to an hour to go. Lets go great that go right to the breaking news desk. Looking at the action up wall street area wall street. Scarlet as you mentioned it is the dows triple digit point move in over a week. Stocks are higher for everyone that is down on the new york start new york stock exchange. Breaking the s p 500 into different industry groups, all groups are gaining. You mentioned a deal, that is helping sentiment. There are vets out there that china will add to stimulus as well. As stock creases that stock prices rise the fix is falling. It is down to 14. 12. The biggest twoday drop in over a month. The euro is sinking over the details in a new economic plan. Reporting that the officials are saying the proposal needs a lot of work before they can get the next round of bailout money. Smaller dollars means lower Commodity Prices. Crude down to sixth sent two six cents of 1 . Alix Iran Nuclear Negotiations will continue into the final hour before tomorrows deadline. I am joined by Phil Mattingly right here on set. Its a good day. Good to see you. Here is my question. No matter what happens tomorrow level republicans in congress do when they get up wednesday morning . Phil they are actually out on recess right now. You can joke about it but this gives the administration some breathing room. The deadline is tuesday. Theres no question they will go right up to the deadline and the goal is to get some kind of framework. Secretary of state john kerry spoke to us. The administration, if they do not meet that deadline, they have some space before Congress Comes back and immediately starts taking votes to impose tougher sanctions. In right now but at least there is not immediate pressure that says wednesday will be a congressional vote on this. Alix great to have you. Thanks for being here. The clock is ticking for greece. Facing a parliamentary debate right now over reform proposals in exchange for access to bailout fund things. Creditors remain far apart on everything from labor and Pension Reforms to tax collection. He spoke to lawmakers earlier today saying negotiations were tough but honest and that the Reform Program is not a step back from his preelection promises. Joining me on the big story of the day is jim from london and andrea, the director of jim, you are joining us on the phone from london. Excuse me, you are in athens. What is happening right now . Jim there is no legislation being debated. Each party leader get to give a talk, give a speech on how they think things should go in response to his remarks, which was at about 9 30 local time half an hour ago. Each one is going through their lines. It is a little bit of a set piece of political stagecraft. Really not much drama. Alix what happens tomorrow then you jim then . Jim the brussels group, the ed the eu officials are going to be back at it with greek officials. They are trying to work through their differences. As we heard today from our sources in european capitals they are not terribly impressed with the proposals that the greeks have thrown their way. Alix does greek have some kind of contingency plan . Andrey the main negotiations are going to be about that that level. If they reduce let that reduce debt all the problems are going to go away. Theyre not absolutely correct. Im shown im sure were going to go through these negotiations. Ultimately they are going to find agreement on this issue. When it comes to Debt Reduction, that is probably when we are going to see the interesting comments from both sides. Alix is this about Debt Reduction now or is it about growth versus, say, 2012 . Andrey they wanted to have an extension to the point where they could just that discuss where they could discuss that reduction. They want to be in the position to negotiate debt levels. Alix jim, talk about cash levels, you are on the ground in athens. Our people pulling out their money in banks . Do we continue to hear about that and the banks asking banks ask sensing takes accessing more money . Jim you dont see people pulling cash out of the banks like they used to. They sit at screens and do it that way. The numbers for the past three months there out the fact that they are pulling money out of and that is one of the big problems that greece has. They have to find a way to restore confidence. The only way to do that is finding a deal with the eu. If there is no deal you are going to see capital outflows. Alix they have a lot of money coming out. 1. 7 billion euros. Where are they going to get this money out of its not a longterm situation, this is right now. They need this cash. Andrey concisely. There were some reports that they threatened not to make the payments. They do collect receipts. This release trenches what they are going to get after tough negotiations. In my view, this is crucial for them. Still a lot of differences in the views between europeans and greeks to do that. Ultimately to give you a that give you an idea, we think theres going to be an agreement with european oversight, which is the press the best thing for private investors. We want to get some debt relief to make sure that the greeks arent going to do anything out of the ordinary. Alix is a concern when it was a few years ago . Andrey obviously it is a concern. But at this Point Capital is something that could cause the rest of the issues are more accidental. Alix thank you both so much. Jim hertling joining us from athens. George soros has called for the west to pump money in. Now he says he is ready to walk the talk. Can a billionaire incentivize the west to follow suit . And we are heading into the close. We will take a look of what is driving stocks higher. Street smart will be right back. Alix here are the top stories we are watching. The german wings copilot who was believed to have diligently crashed the plane in the french alps was treated in the past for suicidal behavior. 27yearold andreass lubitz received that is according to prosecutors leading the investigation. The group is planning on cutting half of its investment johnson asia. This according to people familiar with the matter. The reductions will follow a drop in revenue from the advisory and Capital Markets division. And Federal Reserve chairman ben bernanke is starting a blog. He says that now i am a civilian again i can once more comment on economic and Financial Issues without my words being put under the microsoft under the microscope by fed watchers. He will occasionally he is a fellow in residence at the brooking institute. Welcome back to street smart. I am alix steel. George soros is saying in an interview with austrian newspaper that he is prepared to invest 1 billion in ukraine if the west steps up its eighth. Will it work . That is a pretty bold statement. Andrey the key is if the west helps premium i think that if the west steps up. I think they will step up. I hope it will be sooner rather than later. If the government is going to put the money on the line they would be willing to go in as well. Alix what is in it for private investors . Ukraine is trying to reach investors in order to get 40 billion in relief aid. Why would some of you want to put money their . Andrey 15 billion out of 40 is actually some of the relief given by private investors. That said, ukraine could be a potential cross story. It is going to have a european vector no matter what. With that alone, sooner rather than later, they will start seeing all the reforms they were talking about. That is something they are looking for. Of the investment will be an official the investments will be beneficial. You can talk about retail. Asthere are a lot of national resources. Plenty of things can go on. Alix we have Franklin Templeton which has 40 of ukraine, they dont want to restructure here. Andrey it is always difficult negotiations. Us is basically taking things to the brink. A this is basically taking things to the brink. We met with ukrainian litigation when they were visiting investors. My impression is there will be serious negotiations were they will have to work to the table. There are imf components involved, russian components involved. At the same time it will be constructed down. They seem to be capable of doing the constructive message. Alix no default. Andrey the reconstruction is kind of a default. But i do think they managed it properly. Alix what is the contingent risk with ukraine . Andrey is not something we can foresee. The main implication of what is going to happen in ukraine. The way i see this playing out the current status quo continues to impose their view. That is a lot of countries in their neighborhood. Alix i appreciate your insight. As crews stockpiles surge how to trade for a that oil. Details coming up next. Alix the u. S. Faces a problem, too much oil and nowhere to put it for you stockpiles are soaring and even the Chicago Mercantile Exchange is looking to cash in on the supply. How long will the u. S. Be swimming in all this oil . Joining me to discuss is the founder and president of pk villager and serves at the treasury during president carters administration. It is so great to talk to you on this topic. You had a great note out all over the weekend. Wheres the oil coming from . Phil United States is becoming the worlds sponge for oil. Storage is less expensive in the United States and it was for 1. 50 per month. There has been a myth a massive construction wave of new Storage Capacity here. So what is happening is u. S. Credit u. S. Production and canadian production is flowing to the u. S. , meanwhile imports are coming in even though we dont need them. What we have become is this place where all the worlds oil comes to sit until it is needed for refining. Alix that is a pretty impressive statement. Not only is it oil here in the u. S. But we are getting oil from overseas to be stored because it is so cheap. How much more can the u. S. Absorb this way . Phil it is not totally clear. Some numbers that came out suggest that maybe we have another 250 Million Barrels of Storage Capacity left. We cannot use it all. We probably can absorb another 100 Million Barrels. Some down on the gulf coast and some up in the midwest over the next three months p. M. Three months. Alix what does that do to prices . Citigroup priced based on the glut. What do you see . Phil there is a risk we go down to 20. We both have been singing roughly from the same songbook. What has held the held price up recently is the flow of cash into the oil industry. You and others have reported there is a massive flow into etfs. Open interest. The front end of the futures trading them, both the cme and the contract on the ipe is about to hundred thousand. One can identify almost 300 Million Barrels of more oil storage that has been funded by this futures activity since january. The front end of the curve is just going to collapse because the people hedge the oil dont want to keep your hedges. Alix do we need to see production pared back . Or do we need to shake out all the speculators in the market . Phil the only way to get a soft landing would be for some producers to agree to cut production. They need to cut it off the market for the next quarter. I dont see that happening. Alix big oil may have actually pressured scientists over the connection between fracking and earthquakes. You worked in the carter administration. You have that policy background. What would you think about this . Phil he is one of the more straight shooters in the senate at the time. Between the sae scandal, a couple of issues on his hands. I am not surprised people in the industry met with this. That bloomberg article. When we were controlling crude oil we met with all the companies coming in to argue that what we should do is control it. Alix we are running out of time but it was grade great to walk great to talk to you. Alix greece is still a long way away from reaching a deal for bailout funds. Greece Prime Minister telling Parliament Today he was seeking an honorable compromise and would not capitulate. Hsbc falling short on its agreement with the u. S. To cleanup operations. And on the part of a 2012 agreement hsbc agreed to pay a record one point 9 billion fine 1. 9 billion fine. Some of the in spotify introducing the playstation streaming circuit streaming service. It will replace unlimited. We are 30 minutes to the close of trading. Achieve market correspondent scarlet who is looking at the big mover of the session. There were a few big ones today. Scarlet i am focusing on the companies that see the biggest spikes and leadership in the past hour. These are terminal users that are clicking on these company names. Shares of the canadian minor are rising the most in more than five years because bloomberg is reporting that tech is in talks to merge in a stockbased deal. If they do combine the first transactions ands Commodity Prices begin or dissent in the second half of last year and perhaps one area where they could perhaps cooperate and cut cost of debt cut costs is. Alix a long mosque saying a new product line will be introduced this thursday. For more i am joined by matt miller. What is it . That matt people were guessing everything from a new show law new shoe line to a light saber. Analysts and blogs say this will be a home battery. The kind of product you would hold that you would hook up to your home to detach from the grid. There is a website that talks about this sort of thing. That is very expensive for them to get electricity out there. Blackouts can completely disconnect with this home battery. Alex bang it is relatively optimistic considering they had to lay off workers. Alix at the same time elon musk tweeted hewitt have this all new product he would be in a meeting with the chinese president and also tweeted a picture with his top chinese executives. As many mistakes we made in the past we are optimistic about the future and going to get it right here in china. Alix thank you so much. Matt miller joining us. The hacking may be an attempt to destroy people trying to circumvent beijings set beijings censorship policy. They share ideas for software development. Joining me from washington, chief Cyber Security officer at trend micro. Is this china . We seem to always point there. They could put backdoors in the systems while they try to put out the fire. Tom attribution is difficult here but the reality is many of these organizations do not invest sufficiently in Cyber Security and that is why they become viable targets. Alix why is this attack different than others that we hear about target . Flies this one so significant . Tom they are flooding the website with requests to prevent people from accessing specific pages. It is usually activism and geopolitics. Alix do you think other websites would be targeted . Tom denial of service attacks are nuisance attacks. It is not what it is with sony or target. Alix what about china . Tom they have a different perspective on information security. They do not believe in freedom of speech and many times they could be patriotic citizens in china that act out. Alix i was looking at other service a chat startup with half a million users daily. They said that hackers gained access to user names, email a dresses, phone numbers, and passwords. Flack is a startup firm. Why target this type of company . Tom they create fantastic technologies that become ubiquitous quite quickly but they dont sustain those by securing them. If you think about who uses this type of application and chat function, it is an easy gateway into that back and network. Alix it is a back way of a larger hack. Continues to be a terror typing terrifying topic. Thank you for joining us. Antibiotic resistant bacteria kills 700,000 people every year. That number could rise to 10 million by 2015. What is being done to fight this epidemic. We will tell you why u. S. Companies may want to go shopping overseas for some deals. Alix here are the top stories we are watching ahead of the closing l. Arab leaders are looking to counter islamic it that islamist extremism. They have pushed for the issuing of the Rapid Response force. Francois hollande plus socialist party suffering a setback at the polls on sunday. His predecessor and political opponents Nicolas Sarkozy led a sweeping majority in the elections. American express increasing ceo will pay 25. 1 million. That is after please hedged records. After companies hedged records. They ended a partnership with cosco that was ranked among amex is most profitable. There will be stricter testing of pills of the countrys largest retailer of dietary supplements. Gnc and three major retailers were accused of selling herbal supplements that were contaminated fraudulent, or incorrectly labeled. The new procedures would be tougher by those required by federal law. Trainee is shannon teddy joining me is shannon. Shannon it is not regulated by the fda didnt a vessel the violation they can get caught. There is no regulation, no approval is, nothing they have to go through to get certain. They were assigned products. A very common popular product. They have things like ground of experience ground of asparagus in it. Some really weird stuff. There have been cases where things the past contain traces of certain drugs. Some weird stuff has been found. Alix this is a pretty big victory for Eric Schneiderman right . He has been trying to rein in the herbal supplement industry a while. Shannon this testing is coming from new york state, not from the fda which regulates food and drug we consume in this country. There has been a lot of pushback from congress about regulating the supplement industry more. The number one supporter of the supplement industry has been lauren hatch has been orrin hatch from utah. He has fought to prevent from the regulation of the supplement industry and successfully so. Alix how does that wind up working than the ones new york and elsewhere . Shannon it is obviously such a huge market in new york city. Our thing would be acrosstheboard . Shannon i think they will be in new york. Alix didnt mean to put you on the spot. When you take a look at the stores, and an enormous amount you have to go and change. Shannon target and walmart could be the next ones where we hear changes coming from them. Alix jim oneills career could be summed up by two crucial acronyms. Brick and amr. Why is jim amis jim oneill involved . Shannon it is a germ you cant kick off with the antibiotics. He sees in economic sees an Economic Impact and if you numbers that are quite scary out there. He says the economic output could be reduced by 100 trillion by 2050. There could be 10 Million Deaths per year. We have almost one million worldwide. The brick countries that he was so notorious for bringing exposure to, those will be the hardest hit. There has been a lot of talk about the superbugs. The threat has not really been a dress no drugmaker was to develop drugs for them. If you get an antibiotic that works really well ellen wants to use it because they are afraid the bugs will become resistant. There is just not a Natural Organic market for new antibiotics. Governments are trying to encourage companies to invest in this area. Giving them different incentive to do this. The pharmaceutical industry showing very little interest in trying to do anything about this because of the economic model here. Alix scary and fascinating at the same time. One of those headlines you cannot nor. Thank you for joining us. That cannot ignore. Thank you for joining us. Now there is new and a new reason for your scope is to do deals in europe. We will have the reason after the break. Alex cap announcing plans to buy alix teva announcing plans to buy that two major deals taking place. My next guest says it will you be europe that its europe that will be offering the best deals. Jeff, its europe that will be offering the best deals. Jeff, good to see. Take a look at the deals we saw last year. It was about the taxi version deals p was the theme for from the day in the u. S. This year . What is the theme for m a this year . Jeff the relative values will be in europe, given the fact that the forwardlooking piece for europe. Look at the strength of the dollar relative to the euro from 1. 40 to 1. 10 in roughly the last six to nine months. What currency isnt a reason in and of itself to do a transaction it cant scale in terms of timing as well as the bargains. We have seen that in a number of cases. Alix where will we continue to see that . Near record high. What areas do you see . Jeff there is more inbound to the u. S. Activity. There is a perverse effect on that. At the same time i think we are going to see an increase productivity from the consumer sectors. That was a transaction. Im sure company they have to looking out for some time. Given the relative disparity and the currencies from a timing perspective it made a great opportunity to pounce. Alix are going to look to companies that have more exposure to european users . Jeff in talking with clients, companies in the u. S. Are in a relatively healthy position. Many companies we are in touch with our struggling with topline growth. Given the strength of the dollar there are those with heavy exporters. Aware of the glen to be able to bolster the top line that is going to be through acquisition, looking at the relative value opportunities. Just in term of the number of opportunities. We are beginning to see the present of itself safely at a alix one point of that is essentially anything play. You did mention the weaker currency. Is this about draghi fl you is this about draghi . Jeff the Currency Movement itself is not a reason to do the deal. It still has to have strategic logic. We are looking companies to more of a global footprint. Looking to get new customers new geography. It is for practical purposes and it represents a great opportunity that need to grow. Certainly europe presents a great opportunity for that. Alix what does the bubble look by look like . Jeff the bubble Interest Rates are clearly not known. The expectation is they are going to continue against the increase for the next six to my that six to nine months. I dont see that is too much of a threat. I think more of the threat is a geopolitical type of event that could distract markets around the world. Alix thank you so much for joining us. Jeff goldman joining us there. We are coming up on a close on street smart. We will be right back. Alix youre watching bloomberg television. Im alix steel and this is street smart. The dow posting its biggest advance in eight weeks. Stock extending quarterly gains and behind the rally our corporate mergers and optimism. Central banks will support global growth. Lets get to the chief market correspondent scarlet fu at the breaking news this news desk. Scarlet thing you hit the nail on the head. The backdrop for todays game that todays game is reaffirmation from Central Banks around the world. You had janet yellen speaking late on friday. The pboc chiming in as well. All helping to support a global rally inequities. The world index ended its four day slump. The fed and the ecb are nothing new here but the pboc china chiming in here saying that the peak of Economic Growth has fallen a bit too much. The government can do more to support growth. He says china has her to act with Interest Rates and quantitative measures. A lot of people counting on china to cut Interest Rates further. We have had about 30 interestrate cuts so far this year. Alix that is still a lot. Thank you so much. Im here with Lisa Abramowicz u. S. Intelligence chief economist. Look at the numbers that come out today. Personal income, personal spending. Actually coming down to 1 10 of 1 . You seeing economists downgrade their forecast. These numbers are coming in a bit disappointing. We keep hearing about the weather and port strikes. The numbers are not the type of growth i want to buy. They are fine given all the Central Banks are so accommodative. Alix but is that fine . Is it fine for Deutsche Bank . Carl a lot of folks are cutting to the low 1 range. I have seen people even go through 1 to. 9 . It will support an upturn in inflation and it will support a fed ready to move on Interest Rates this year. We know there it we know whether is a factor in february. There is no way march can bounce back to the degree that will salvage the quarter. Karo mentioned how much does weather play into this . Why is growth not accelerating . Do you really buy that . It is called every winter. And then there is the question of at what point does the stimulus loses potency . At what point is that not an effective tool anymore . Michael for me it comes down to q4 gdp. What was strong . Personal consumption of 4. 4 . That is 70 of the overall equation. Industrials are not going to be where the growth history at that is what im underway to industrials. That is the driver here. Alix you see the closing bell. A dow of triple digits, up 261 points. Promises of more stimulus from Central Banks like the peoples bank of china. The s p up 25 points. The nasdaq of the take a look at gold. Gold is down 15 vehicle tends to move higher when you have a lot us is from Central Banks. A lot of stimulus from Central Banks. Lets get back to scarlet. We did have a lot of merger activity. Scarlet we did have some plan that did have plenty of pharmaceutical plenty of we did have plenty from a single activity. With chinas growth slowing there is pressure to consolidate. It is like Tech Resource shares are rising the u. S. Tech is in talks to merge in a stockbased deal. This would mark the first major mining transactions since Commodity Prices began their spiral downward last year. One area where they could potentially cut costs together is chiefly. Both have extensive operations there, which is why you are seeing gains in other minors. In addition, about 30 of last years revenue was you are seeing gains in consol energy. Alix thank you so much. I love it when you talk commodity stocks. I am here with Lisa Abramowicz, carl riccadonna, and michael blocks. Lets get to the stimulus we heard. Investors focusing on china today. Policy makers have room to respond to the nations growth rate. That comment underscore and forecasts for increased monetary easing from beijing. Also today china announced steps to make buying and selling a home cheaper. Is this the more market friendly beijing that investors have been hoping for . It scares lisa. Lisa talking to central thinkers physically cutting the standards. Real estate is 20 of the chinese economy. This is a major part of economy, as it is ours. And yet if you have a problem with underlying fundamental borrowers, it could be something that is hard to control. Alix if weaker currencies are not enough to stimulate export growth we have a larger issue on our hands, what do you inc. . Michael one thing i want to say is we are looking at the cover deals here. I dont like what the pboc did here. They have taken this term. I am confident beijing can clean this up. They are doing a lot of reforms. Back then it was all about construction and building infrastructure. To me it is stimulating other things. The Chinese Consumer is going to reach some kind of program that beijing is going to use. Is there going to be some kind of push to help the Chinese Industries . Tech is the Sleeping Giant for me. I think that is going to turn around. carl they are trying to stimulate domestic demand. It is a very it is very dependent on exports. A strong dollar means all of the other exporting economies that are competing with china are getting a leg up in the current environment. Alix they are trading against that for that kind of reason. carl carl it could be alix this is according to the wall street journal. This may make the dollar even stronger. Carl has been on this bandwagon for a while. Carl we are going to see more evidence of that this week coming up on wednesday. And then given the next shift in the. In the jobs report on friday. Janet yellen is sensitive to the impact of the dollar on the economy. That is why we are not going to charge headlong into Interest Rate increases. That is going to lead to even further dollar appreciation. Limping along at less than 2 . Out spam they have 12 trillion of buying power for the reserve. If they go more into the dollar versus the euro as a more stable and concrete currency, this could have a massive effect on the dollar. He gives a sense of the thinking of Central Banks when they want reserve currencies. This could definitely fuel the rally more. Alix that money is sticky. They arent going to be trading out of it. Michael i thought everybody was looking for a rate hike this year. We have to see how the strong dollar impacts the economy. I think no one is sure yet what that impact will be. Carl we know what it does to exports. The domestic economy is uncertain. Mag michael im in this camp that worries that the rest of the world still thinks it should be data dependent. We are going to have a strong jobs number and everybody is going to be screaming about lift off again. Im buying the heck out of it. Alix analyst predict s p 500s are going to decrease for three straight quarters and earnings will almost always keep falling and take the market with them. You would be buying that, that seems pretty scary. Michael i am saying i dont want to touch that. I am equal weight energy. With the dollar staying at this base level, i like health care. I like certain parks that certain parts of tech. It is going to stay say that stay stable. Going to stay stable. Lisa it may be ok to go back into the stocks. They are try to figure out how best figure of quickly if there is a policy mistake and if there is a turn in the market. Michael so goes private sector hiring and invest and. If it looks like this profit declines it will be sustained, then watch for a pullback in the animal spirits hiring an investment. Alix good point. At what point do you see the job market coming down to the prophets . What is the lag factor . If profits are getting hurt than the Business Sentiment can be damaged. Carl we are looking at an economy that grows 2 and we are seeing chose figures that look like an economy in 4 . We have to be cognizant of the risks and they are the pace of hiring slows down then people start to worry about the failure that failure to reach the velocity. Alix lets go to greece. Greece is in a race to the bailout finish today yet again. At its may face more hurdles. We have three u. S. Officials telling bloomberg it may still mean a lot of work. What does the market actually expect will happen with greece this week . What is your take on greece . Carl i think there are a lot of politics at play. Michael i think there are a lot of politics at play. Lisa credit default swaps are indicating a 70 percent chance that greece is going to renege on its debt within five years. That is up at the beginning of the month. Something is happening by derivative Traders Point of view, showing that are that greece was running. Alix are they showing that kind of risk reflective . Lisa no. Carl theyre going to force greece to make and make some concessions. They happen at some of these reforms. Michael they are going to reach a deadline and say we fixed it by extending the deadline again. Lets not forget spain was going under 3. 5 years ago. Nice and returned commentators and suddenly it is the greatest company in europe that is not ireland. Would you be short of european sovereigns given a fiveyear timeframe . I think you are going to need a better chance to short that this year. That is how i look at this new situation. You did 47 basis points for 10 years. Eventually that is going to be a great short. Alix i have to end it there. Good to see you. We really appreciate it. Coming up next, the possibility of lifting sanctions against iran and the impact that it could have on food exports. Alix officers firing on a car making unauthorized entry killing one individual and wounding another. And nsa Police Officer was also hurt. The fbi said the incident wasnt related to terrorism. The quarry Group Planning to grab half of to cut half of its jobs in asia. That is according to people familiar with the matter. And alibaba agreeing to distribution music from black sabbath. Alibaba will also monitor against digital and mobile services, infringing the rights of bmg artists. We do have some breaking news for you at our breaking news desk. Scarlet according to people familiar with the situation tech now has come out with, and saying it is not in discussions and there is no other development that justifies the shared price movement. The stock got a big pop on reports that it is in discussions with the two on a big merger. There is no definitive date and this would have been a stock transaction. It is not a discussion related to any form of transaction. Shares were halted on this announcement. Alix negotiations continue in switzerland. If a deal is struck will it satisfy the concerns of congress and Benjamin Netanyahu . Joining me is the cofounder of Clearview Energy partners. What is the likelihood that we do see a deal in the next 24 hours. A lot of diplomacy happens at the 13th hour rather than the 11th hour. If congress is the biggest stopper of any deal. Probably better than even utley is a lot of Political Capital on both sides. Also from other members of the negotiators, including european members. Alix can iran be trusted . Guest that is a matter of widespread contention. It is a question of whether the verification measures that are going to be part of the deal are going to be adequate to prevent breakout, which is irans ability to turn it into a weapons program. There is a lot of debate about that. The implication that they can be trusted, rather than the verifications can be done because no one wants to rely on trust. Alix regardless, those at the negotiating table have to go home and sell this to their constituents. What does iran do when they go home and their far right is quite happy . What is secretary of state john kerry due to the republicans in congress . Arguably they may have an easier job going home with a deal that he likes. His constituent is a supreme leader. Even though conservatives may not like the deal the way it is spelled out, if they like it it is a deal. Secretary of state john kerry is going to have several problems. Not just his own constituency back home but also Prime Minister Benjamin Netanyahu. Also the saudis who are increasingly concerned about their wellbeing. He is going to have a significant explaining tour that follows any Framework Agreement this week. Alix which is the 13th hour and what comes after it. Thank you so much, it was great to have you here. Kevin book of Clearview Energy partners. Coming up ellen pao may have lost the battle. Can women win the war against gender discrimination . Do not miss my interview with joe levy. We are talking jayzs new streaming Music Service title. Alix a San Francisco jury found ellen paos loss may ultimately be a gain for the tech industry. She spoke to the press after the verdict. Alan ellen i have told my story. Women in minorities in venture capital, the battle was worth it. Alix joining me is the vice chair of the professional businesswomen of california. You are very passionate about the case. How did you feel when you heard the verdict. Alex ellen pao did not prevail on the prevail on her case. She put it into the public conversation and made it clear that there is an equal opportunity to access for all. Alix do think we are going to see the right kind of structural changes take place party much during the hr departments . Alex i think the conversation is out there. I think folks in the Business World are very concerned. They are very careful about their application of capital to make sure it is used in its best and highest purpose. Maybe we havent succeeded without application of human capital. And we arent always make in the best possible use of that. Access to opportunity is not just a living thats not a level Playing Field yet. Alix what stood out to me was a hypothesis that companies would be scared to hire women. What would you say to that . Alex i think this has raised the dialogue. I think folks are looking for the best ways to that best ways for human capital. There is more of a conversation and more opportunity and better acknowledgment that this is not a world where everyone one of us have equal access to opportunity. Alex bang her defense was a lot better than her case. Doesnt that make the point that sexual dissemination is very difficult to prove . Alex probably it is difficult to prove. Im not that close to it. There were stories that were told about evenings read books of erotic poetry that were offered up as valentines day gifts. This kind of behavior is not acceptable. It shows more the Kleiner Perkins had utterly clean hands. Alix what about twitter and facebook dealing with gender biased promotion, a sex in race discriminate a sex and race dissemination case . Alix i think that is position to the class action suit, in which they have very specific demands that need to change that there can be equal access. She is actually alleging gender bias and duration and race and nationality bias. It is an unfortunate way of public forums. I do think there is reason to believe that this elevates the dialogue and creates the opportunity for folks to take a look at how their biases in the workplace. Alix alex roddy, vice chair of professional businesswomen of california. Next up the mayor of indiana will talk to us. Alix early results in nigerias president ial election sewing a tight race between Goodluck Jonathan and former military ruler mohammed duke hari. At the Main Opposition Party alleges the vote was rigged. Amazon is testing its potential drone Delivery System on canadian soil. The Company Setting of a testing facility in British Columbia but declining to provide more specifics. This is according to the associated press. Amazon has one of several testing sites this quarter. Nbc announcing its next live musical. They are teaming up with Cirque Du Soleil for a production of the wiz. Stocks rallying today, the dow recording its best day of gains since early february. Scarlet fu is standing by the breaking news desk. Scott bang it will begin a tender offer of 101 per share. That is a 42 premium. United Health Buying catamaran for 12. 8 billion. Catamaran is a provider of Pharmacy Management Services p it and horizon is buying high. For 1. 9 billion dollars good hyperion will get 46 toes per share in cash. Thats 46 per share in cash. Hyperion will get 46 per share in catssh. Teck resources is down in hours after trading after surging 10 in the regular session. It says that it is not talking with antofagasta in relation to any transaction and their is no significant movement. We will continue to monitor this one for you. Alix mike pence defending the religious freedom restoration act on abcs little show this week with george stephanopoulos. He said the purpose was protecting the religious liberty of people with faith and empowering people to confront government overreach. Govergovernor pence theres a lot of tolerance that a lot of talk of tolerance having to do with people on the left. Here indiana steps forward to protect the Constitutional Rights and privileges of freedom of religion for people of faith and families of faith in our state. This avalanche of intolerance has been poured on our state has been outrageous. Alix where does this leave workers you go workers . Joining me is the Vice President of strategy for families and work institute. Inc. You for joining us. Thank you for joining us. What do you tell people who working businesses who may not like this law . Anne i dont think for your exercise of religion was meant to do that. To say every commercial transaction has the potential to be a religious transaction alix i dont have to sell you coffee because i dont like your religion. Anne right. Think about that from a religious perspective. His countrys diverse on every dimension, not just race and ethnicity but Family Structures sexual orientation. We know we are not just becoming increasingly diverse. Only 20 of u. S. Households are married with children. The other 80 do not look that way. Businesses can deny services to couples that arent married. That goes against their religion. That is also going to single moms that have kids out of wedlock because it goes against their religion, that does not make sense. Alix Karen Freeman wilson, the mayor of indiana, thank you for joining us. What did you think of this law . Mayor wilson it took indiana back like years. To pass a law that something that is inherent in our United States constitution, we all have religious freedom. To say you had to pass a state law that there and hes religious freedom to businesses i think is the positive. That is depressive is i think it opens the doos i think it opens the door or seven people for illegitimate reasons. We think more people are inclined to do it. Alix how to allow work from where you ares eating . Are you required to city . To enforce it . May mayor freemonwilson it puts it on the victim of discrimination to someone complain about it. Ultimately what would happen because of the complaint against the discrimination, the business would be protected by this law. Alix would you be putting in anything to protect those at risk in your county . Mayor freemanwilson what we are doing is encouraging our businesses to take an affirmative step to say we dont discriminate on any basis. We welcome all people of all religions, race is, that races races and other aspects. That does send the right message to people who are in and out of the city. It alix i want to share with you something apple ceo tim cook mentioned. She writes he writes are we going to see a migration of businesses . Do we wind up seeing businesses make different decisions . Anne i think we do. Apple is open to everyone. Not just because it is the right thing to do but because it is the smart thing to do as a business. More and more businesses want to work and operate in an environment that is open to everyone. That attracts the best customers. It makes Good Business sense. Alix what will you be doing to attract businesses to your area . Mayor freemanwilson angies lists has said they will not invest in a 40 billion plan expansion. What we are saying is we do not agree with this. Gary is open to all individuals. We are more associated in many instances with the chicagoland area. We believe that people are an alternative to enjoying the indiana techs climate without having some of the other social challenges that you see another problems of the state. Alix thank you for joining us. Freeman wilson and mayor Freeman Wilson and anne weissberg. Thank you so much. Scarlet fu creeks Prime Minister is speaking scarlet fu bang that scarlet scarlet the Prime Ministers speaking. The country should not be forced into a bailout with new loans. He asked by way of the financing gap of the 2015 financing gap is 26 billion euros. The government has a plan for substantial honest negotiations. The opposition should back the governments redline being fervent in his language of addressing the idea that the Political Party of the opposition needs to back the National Negotiating strategy that he wants an end to austerity. This is part of a debate overall of the bailout review. Today was the day greece had to submit their new economic plan to european creditors to get the writ test to get the latest plan of bailout money. They made it clear they still think there is a lot of work to be done before they can give the goahead to do that. The ecb will be discussing this later on this week. This is something investors are keeping a close eye on. Alix we continue to monitor those headlines for you. More streak more street smart coming up after the break. Alix to victims were a few hundred yards away golfers took selfies in front of the tragedy. You are looking at the sunday cover of the New York Post which labeled the kids as village idiots. Are people with nothing but a smart phone at a desire to be seen going too far . Joining me is managing editor joe weisenthal. You are on twitter all the time. Is this kind of journalism legit . Joe i think it is unfortunate to take a selfie when youre smiling lalit tragedy is behind you. It is saturday on the front of a newspaper. People do dumb things all the time. I guess idiotic things all the time. I dont know if you should be plastered on front of a disfavor for it. Selfies are now the main way people document they were at an event. They have a connection with it. The reason people instagram food and Everything Else is social media is how you established you did something. It will be inevitable that people will be taking selfies. Alix they will end up taking different angles. Joe if you look at any of these photos of the explosion and look in the comments, there are producers from news organizations all over saying can we run this on tv . I dont want people to be discouraged, taking photos that could be used for news or evidence. Alix it is a whole different adventure there. Thank you for joining us. Joe weisenthal. Coming up chris levitz joins me in the studio for a look at what is going on in one of the hottest real estate markets in the country. And it is one there. We will be right back. Alex bang selling alix selling for 67. 5 billion dollars. The expensive in history. Running the is chris joining me is chris leavitt. What do i get for 6. 5 46 the 7. 5 million . For 677. 57. 5 million . Chris it is a beautiful building with history and character. Alix how much is the maintenance . Chris 57,000 per month. You get a service, Valet Parking Turndown Service housekeeping daily. It is worth it. Why not you go alix if i had six why not . Alix if i had 6 million. One area that seems to be a huge deal is miami. It is one of the fastestgrowing markets be you are part of milliondollar listings miami. What is at the mix miami so hot right now . Chris everyone was to be there from all over the world. The real estate is gorgeous. It is safe. The real estate is iconic. We are building with the test architects around the world. There is a shortness of supply on the market. The Housing Market is tight. There are very good very few Good Properties on the market. Everyone thinks there is so much available and it must be overbilled. That is not the case. Alix what makes it taxed . chris it is a good place for people to put their capital in a safe place. It is really the second largest growing city in the country right now. Alix does that mean most of the investors are coming from overseas . Chris from all over the place. Russia, london. The bigticket items that sold this year the biggest sales have been from new yorkers and people in the tristate area. Alix you mentioned foreign buyers like russia. Of as the higher dollar done anything to change the buying habits . Chris people want to put money in a safe place. If youre coming from new york, to buy a Luxury Real Estate at 4000 per foot or 5,000 per foot is a deal. Alix and i hear cash buyers i hear these crazy figures. Foreign buyers tends to make me think this a sticky longterm buying situation. Chris there are 15,000 new apartments for sale right now and 60 of those have sold. That is a good sign that things are moving. If it was 20 sold it was low that is fine. The city is becoming a close a lower class city. It is not a place to relax and enjoy the sun. Attack help is one of the biggest tax hubs in the country. They usually dont go handinhand. You want to live there for a lifestyle. Not just to invest. Alix thank you so much. Good to have you. Chris leavitt joining us there. After the break im going to take you to joe levy, about a test about jayzs new streaming Music Service title. About jayzs new streaming Music Service title. Alix here are the top stories were watching after the closing bell. Stub hub alleges ticketmaster and the warriors violated California Law by canceling or threatening to cancel season tickets if they were resold anywhere other than ticketmaster. It is a night many people have been waiting for. The Justin Bieber roast on Comedy Central airing at 10 p. M. Eastern. It will be emceed by Comedian Kevin Hart and everyone from snoop dogg to Martha Stewart will have a chance to rip the 21yearold singer. The network naming a new host of the daily show trevor noah, a South African can be in three times over the past year. A date has not been set for his debut. Staying on the media beat jayz is calling for a new chapter in music streaming. In the next hour the music mogul will be relaunching title, the streaming service he bought for 56 million. Can he monetize Digital Music . Lets ask joe leavy. Are you watching the roast . Joe sure. We are going to watch it together. I have a low a lot of justin britt a lot of Justin Bieber material for the commercial breaks. Alix what do you expect to hear from jayz today . Joel the question is what is the artist involvement . We see artists come out in favor of title, madonna, kanye. Is title going to have exclusive access to music from key artists . That would be a differentiation point in the streaming wars. It looks like it is going to be title, spotify, and apples new Service Later this year. Alix he pulled a couple of tweets from rihanna, kanye west. They were saying we can turn the tide and make music history. Madonna, coldplay, and beyonce turning their twitter profiles blue in support. How has he been able to garner that kind of support from fellow musicians were others werent able to . Joe hes jayz. It starts with the j and goes to the z. It looks like he is putting together an artist first service. We will know more after the announcement. Artists have been vocal with their the satisfaction of spotifys Medium Service spotifys premium service. Title for all once you give your credit card information. Artists want a purely subscription driven model. They do not love the freemium model. Alix do you think it would have done better had it not gone into the Apple Ecosystem . Joe beats will remain a subscription driven service in its relaunch. It does not believe in the freemium model. Beats was just a starting point when it was gobbled up in a very large acquisition by apple. When it relaunches, trent resin or will be out in front running the service. The artist involvement looks like it will be a selling point to the consumers. Alix thank you for joining us. That wraps it up for street smart. Have a wonderful evening. Mark i am mark halperin. Phil and i am Phil Mattingly. It coming out of air force one today. That is nothing. On our lovingly assembled program tonight, israel now and then. A brandnew moment of zen