Has fueled wildfires that have born burned more than a million and a half acres. Laura has become a category four storm. It is expected to make landfall tonight. We will have the latest on its movement in just a moment. Force. Rce joint the company beat estimates. We will talk to Ceo Marc Benioff live this hour. There is no one bigger than rhode island representative line. Cicil i sat down with the congressman for an exclusive interview that is ahead later this hour. If its politics you want more of, you can watch the Republican National convention tonight on bloomberg television. Viceyes will be on president mike pence as he makes the case for President Trumps reelection. We will bring you that coverage at 10 00 p. M. Eastern time. Our Bloomberg Markets correspondent Abigail Doolittle is with us. Abigail more record highs. I think you nailed it, talking about the fed liquidity. That has been the driver for the rally, right out of the march lows. The fed successfully stirred the animal spirit. Take a look at that. The s p 500, a new record high at 3480, up 1 . The nasdaq up. The fang up 3. 8 . That will real winner, facebook up 8. 2 . Its best day since march. It could have to do with their new facebook shop added to their app. The analyst industry is very positive of what this could mean for the company. When you have the frothiness in the stock, it tells you investors are chasing us momentum. We are seeing something that we have not seen in about a decade. That is the nasdaq 100. So far extended above its 200 day moving average. In 2009, farck exceeding the extension we saw a earlier this year. Sometimes it will just go further and further and farther than you think. When you compare that to coming out of the financial crisis of 2008, we are now exceeding that in terms of the degree of overextension for the nasdaq 100. Lets hope that folks have it right in terms that tech is the new defense. Andnology and the momentum Growth Stocks are defense. Especially when they are trading at decade high valuations. Emily bloombergs Abigail Doolittle, thank you so much. I want to talk a little more about the extreme weather facing the United States. Are tracking hurricane laura, which is in the gulf of mexico. It was upgraded to a category four hurricane. Places like dow list in a long big texas places like galves ton along the texas coast is not looking so lucky. Thatst got some headlines 3000 National Guard troops have been destroyed deployed in louisiana. Winds could hit 150 miles per hour. When is this expected to make landfall . It will make landfall after midnight, local time. And probably 4 00 or 5 00 in the morning. It depends on its forward speed. It has slowed down as a continues to build in strength. It is really outperforming were folks thought it would be yesterday. Emily what is the expected path at this point, and how strong will it get . Then it will go right up border of louisiana and texas. The winds could reach 150 miles per hour, which is just below category 5 strength. Category 5 starts run 157, i believe. Around 150 seven, i believe. The real danger will be the 20 foot tall storm surge. The water is already starting to rise. The Hurricane Center has described this as being on survivable. Un survivable word un is pretty bleak. Brian if you are in the way of where they expect the storm surge, there is no question about it. People are worried about covid, i understand that, but the risk of death with this hurricane is almost certain. Odds are better taking a chance in a shelter, or just getting out of the way as quickly as possible. The other problem with the storm is that it headed toward some major refineries. Will reach those refineries. The question is, how much damage will it cause and it derives. . It arrives . Emily i know in dollar terms we are looking at 25 billion in damages. Places and how little places uninhabitable for months. Brian when you put everything ofe on top of it, the depth insurance in that area is not very high. At all total losses you are talking about 25 billion. A lot of it will be flood damage. A lot of people dont have Flood Insurance if they rebuild. Interstate 10 will be cut. Rail line through there. Union pacific, canyon kansas city goes through there. All of those rail lines will be damaged or impassable for a short time. You have the refineries that will probably be knocked. Offline. 10 will be for weeks or maybe longer. Emily im in San Francisco, our state is being ravaged by wildfire. Air,moke outside with hazy and a few schools were closed because the air quality is so bad. Dry conditions, wind. What are you looking at in terms of conditions . Went onight before we the air i was talking to the meteorologist at the u. S. The weather protection u. S. Whether production center. There is no good news weather production center. There is nothing on the horizon that will move the smoke out. As long as the fires keep burning, its a bad situation. Ourselves. Ill brace firefighters are fighting some of the largest fires in californias history. Brian sullivan, thank you for that update. Grilled theawmakers ceos of the four Biggest Tech Companies in the world on antitrust, but what is next . Whats happening now . We will speak to the house representative who chairs the antitrust subcommittee about his plan for the tech giant. One of my exclusive interview is next. This is bloomberg. Emily the heads of apple, alphabet and amazon and facebook all testified on their potentially anticompetitive anticompetitive practices. Ledchair of the committee this. The testimony lasted over five hours. Almost a month after that hearing i caught up with rep. Which testimony shocked him the most and what proposals he has now for the companies and antitrust law going forward. Rep. Cicilline what we have learned in the course of the investigation is that these platforms have enormous market dominance. They have really monopoly power. Itll have competitors in a serious way. What that produces is behavior that monopolists engage in. Favoring their own products and services. Favoring their own privileging their own good. There is evidence of using thirdparty data. Doing things to protect their market dominance. Hiking fees and bullying competitors. We have seen the widespread spread of disinformation. We have seen a lot of anticompetitive behavior. I think the hearing with the ceos essentially confirms that notvior that there were good explanations for. Now that we are going to the evidence and developing a report that will give a menu of options to respond to the market consolidation. Emily what responses from the ceos either shocked or surprised you the most . Rep. Cicilline not really anything shocked me. Maybe just because you study these issues and you know that the acquisition of instagram by facebook was clearly illegal. For violation of antitrust laws it was clearly an acquisition of the competitive threat in the documents. Mark zuckerberg saying that out loud he did not have a choice, we had the evidence. It was just surprising how quickly he acknowledged it. Yes, it was the reason for the acquisition. I was very surprised that mr. Bezos, in light of the committees interest about the use of thirdparty data, thirdparty sellers, to in firm to affirm and doing goods and services under a private label is essential to them. They are using their dominance of this platform to actually collect information to then use against their competitors on the same platform. Am i of the fact that we received testimony from an amazon executive that was misleading. The idea that mr. Bezos came to this hearing unable to say with any confidence that that was not the practice. Most of the hearing prettyed there weres disturbing anticompetitive behavior by these Large Technology platforms and really underscored the agency of the work. Emily in your view our apple, amazon and facebook breaking antitrust laws . Rep. Cicilline what do we need to do to make sure their israel competition . I the existing antitrust laws existed to creating competition . Doing you to modernize and update those laws . Do we need Additional Resources to be for antitrust enforcers . Do we need to prohibit certain behavior explicitly . Do we need to respond to bad legal decisions . But its about policymaking. There is a lot of evidence of anticompetitive behavior. Monopoly power. Our goal is to look at what we need to change in the law. The antitrust enforcement has the tools that they need to do their job. Emily was there some companies that were more egregious than the others . Rep. Cicilline there was behavior that was very problematic and significantly anticompetitive and an abuse of their market power. They are different. Impact oning at their the Web Development and the fact that they charge a 30 fee to be in the app store. That, thats ase pretty obvious anticompetitive challenge. But the all different, central theme is that they are using their market power by Advantage Income cells and disadvantaging competitors. Bullying competitors, excluding. Eople from the market there are implications, but it only gets back to the idea of the enormous power of these large platforms. Because of their size, their market dominance in the absence of any competition. Experts toid ask review the violation levels here. It was more difficult or unclear with apple and amazon. What is your response . Rep. Cicilline our purpose was to learn about practices to understand the behavior of the companies and what it tells us about the marketplace. What it tells us about the source of anticompetitive behavior. How those things are happening and why so we can fix them through a set of legislative proposals. Legislationkind of will or might the Committee Proposed to congress to restrict the power of market place platforms . Should amazon have to choose retail or thirdparty . Rep. Cicilline i expect he will see some recommendations that will focus on modernizing the antitrust statutes broadly. At thetutes were written turnofthecentury in response to the oil and railroad monopoly. There is no question that that issue of, do we need to just make sure they respond to the new and different economy. Recommendations are text specific and can range in a number of things. Things like portability and how am i impact competition policy how it might impact competition policy. Internet ego of the saying you can have a platform, but you cannot do both. There will be a range of opportunities for us to have this discussion in terms of what set of proposals might relate to tech. You might see ideas about revitalizing their enforcement. A lot of of people are thinking about the issue again. I the queue will see the discussion of Agency Reform and whether we need to produce some regulatory proposals. And are we providing the resources they need to do the work they are expected to do . The idea of what specific recommendations we will make. There will be a menu of them. The subcommittee has democrats and republicans. I am working hard to make sure we collectively brainstorm. Emily with jeff bezos, you mentioned one instance where you said he did not have the information. What did you make of the fact that there were a few instances where jeff azos said he would get back to you jeff bezos said he would get back to you on that. . Rep. Cicilline its an example questions. Answering they know if they answer truthfully it will be taken as problematic. Hopefully we get those answers soon. I think it was really important to have the ceos there. They are obviously the decisionmakers in these companies. What decisions they made and why and what was important. The first part of my conversation there with line ofsman david cicil rhode island. We will have more of that conversation later in the show and how he plans to play out the rest of the antitrust location the antitrust. Some companies expected to get out of the gate in the fourth quarter. This is bloomberg. Emily the Data IntelligenceCompany Joins a slew of Tech Companies expected to go public before the end of the year. Debuts for unity technology, snowflake and doordash could all come in early fall. Phil. Re we are joined by of this flurrye of Companies Getting out of the gate all at once . I think it is a combination of factors. One is stock market performance, particularly amongst technology stocks. Outperforming the Broader Market is one. A lot of companies are eager to get out and go public before the pending election, which brings uncertainty. It looks like investors are willing to take on companies that show the growth story with narrowing losses, which is something investors seemed a little bit adverse to back to post uber, list and we work lyft and wework. I think it makes these Companies Want to go public now. They hell in demand has private shares of these companies been how in demand has the private shares of these companies been . There has been an increase. The first wave of covid resign increase from our broadbase. But also from Investment Advisors and Wealth Managers that are expected to get these companies. I think that you are now seeing an opening of ipo windows by way of direct listings means that investors see a path a can and may be returns a lot sooner than they expected. Whereas previously in q1 they may have thought they had to wait. We are really excited to see the growth on the equity platform. Emily what do you make of palantir choosing a direct listings versus the ipo . Phil companies that are going this route are taking advantage of the fact that they could raise capital privately dont really need the cash from their traditional ipo. I think theyre sitting on one and a half alien dollars of cash 1. 5 billion of cash. And for a company to go public to the Capital Markets rather than succumbing to the ipo that i think was mentioned on your show. Great onop looks paper, but if you are the ceo of the company you are sacrificing a lot of cash. Direct listing is the best way. Other companies that have the brand power will continue to go this route. Airbnb will probably get the lion share of the attention in a very differently different league. Potentiallyng at another year of people not necessarily wanting to travel they way they used to. How do you think investors are going to evaluate a company like air b b, given that the last six months, the most recent data they have is dramatically different from the first 10 years of the companys existence . B b raisednk air money for large institutions in march, april and may. They were willing to hear out the story that air b b is a solid business, but may have a rough patch throughout the rest of the year. I think the way air b b thought about it was, if we can raise capital for the markets dealingy rather than with the retail fallout, we may as a do that and into the markets where we want to. I am surprised we have not seen the announcement in q3, given that there is not much time with the election in november. It makes sense on why the other companies decided to go public. If you want to go public now, you should do it before air b b. That could take attention away from the traditional investors that were going to put money into your company. Emily phil haslett there. Lots to contract over the last next few weeks and months. Thank you for joining us. We are going to have marc benioff, the ceo of salesforce to talk about a monster quarter. Whats next . We will ask him. This is bloomberg. Emily welcome back to bloomberg technology. Im emily chang in San Francisco. Salesforce shares surging with the company on track for its. Est day on record this coming wednesday after the Company Reported secondquarter results that were far stronger than expected. There with more we are joined by salesforce Ceo Marc Benioff. Hank you for joining us shares ending the day more than 26 . Up a huge quarter. What were the primary drivers of you saw as standouts in a pandemic quarter . Marc emily, these have been such challenging times. In many ways, this moment is humbling and also bittersweet. We have seen so many of our customers go through so much difficulty this quarter. But i think that we can look at this quarter and look at everything thats happened with salesforce. We strongly believe business is the greatest platform for change. We continue to work with our customers and use our customer 360 platform to help them transform their businesses to get closer to their businesses. Areat the same time, we very much looking at this as a victory. Ourave a great return for investors. That they 5000 return since we went public in 2004. Its also a strong return for stakeholders. We have done aliens of hours of volunteerism. We have given away hundreds of millions of dollars. We have over 50,000 for free. Ons you can look at oakland and Public Schools where we live and we just delivered another 20 million this quarter to them, which brings our total contributions to over 120 million to our local Public Schools. Maybe that is what im most proud of of this quarters a competence. Absolutely, we have covered some of your recent efforts in education. Salesforce market cap is higher than oracle. You were a young oracle employee back in the day. You and mary ellison have sparred a bit over the years. How does it feel to surpass your biggest rival for the last two decades . Marc i will tell you that i am really excited about our customer success. On. Is really what i focus when i get questions like that, or other questions around the personal aspects of business, the reality is, nothing is more important to me them the success of our customers. I look at a major win for this quarter at at t. We find this amazing transaction with at t in february. This quarter we deployed our first 35,000 users there. Hundreds of stores are now live. We are building them truth when you walk into an at t store. When someone comes to your home to install one of their products. They are able to use our products to know everything about you. That is what i focus on