The pipeline. Every region was up this quarter. Are going to make sure our Balance Sheet is bulletproof. Minds sharepras cuttingedge insights on the markets. We are in a low return world. The are the three most important things to remember. Reveals hisock latest shortselling target. Theres a chance its about to lose half of its revenue. Its all straight ahead on bloomberg best. Hello and welcome. This is bloomberg best, your review of the most important Business News and interviews from Bloomberg Television around the world. Throughout the week, investor attention focused firmly on friday awaiting Federal Reserve chair Janet Yellenss each fascist speech. On monday, a stir. A rate hike is still on the table for 2016. Fisher said we are close to our targets looking ahead. I expect gdp to have as Investment Recovery diminishes. What did you hear one he spoke yesterday . I describe it as more a slightly ill tempered down. Do you think a rate hike is on the table . Without question the should be considering a rate hike. The Economic Conditions in the u. S. Without question. The real question is how can the Global Economy cope with this. This is something the fed historically has not looked. A rate hike it make any difference to the binge we have seen in the credit market . We see today as we look across markets that Central Banks are becoming key to these asset markets. We think a surprise hike would have a negative impact. Is the time a charm . Stanford bernstein saying the number the buyer has to it is 135 a share. They are talking to each other about a potential price. The deal getting approved by u. S. Regulators yesterday putting the heat on a potential buyer deal. The guy who really got this moving is huge grant. He made a run at syngenta and that didnt work out but he showed he knew there needed to be more consolidation. So he can push back on the strategic concept of bringing two big agriculture because he made it. 1. 5 years ago, he was arguing news is what needed he was arguing this is what needed to be done. Want more at to monsanto because there are a lot of regulatory issues. Glencore reported a 66 drop in the first half profit. This is a bite. Those are the banner headlines that standout. That is exactly what people will be paying attention to today. The real surprise is they are talking about reinstating the dividend. The other big story is how much progress they have been a blue to able to make in cutting that. You saw the deals coming out of all struggle to sell gold assets. That speaks to how much they have been able to sell in an effort to stabilize the Balance Sheet. Its a very good performance from the marketing business. Predicted. They good recovery on the mining side of things. Goodt so good on oil is but not so good on oil and gas. A hit on hedging activities. This has drawn the headline numbers down into a loss but the underlying business doing well. I think its quite a nice report. Entering New Territory as Research Firm as letting against the financial strength of st. Jude medical. This as the Company Comes in the middle of the takeover. I. D. Believe the stock is poised to fall . We think theres a good chance is about to lose half of its revenue for two years or longer. This would be due to device recalls. You found a security flaw. We were made aware of it. We were approached by a group of Cyber Security researchers that have been doing a study on the largest manufacturers of implantable cardiac devices. What they found with saint jude devices stop them. This appears to be a company that for years has put profits before patients when it comes to Cyber Security and we think its important to make sure users are notified of the risk and to hold them publicly accountable. St. Jude medical it may saying it takes the security of its devices seriously. They do say they will remain vigilant to the increasing those seeking of unlawful access to certain data. The ceo denying the vulnerability. How seriously should we take it . We spoke to the Cyber Security company that did the research and their findings track with the discoveries we have written about. The sub story is the sequence of events that led to his information. It was the Cyber Security firm in miami that was doing research on these devices and brought the information to carson. From there, formulated this hypothesis. Its totally unprecedented in the Cyber Security space. Tell us how you would make money off of passing on information to muddy waters . Do you make money regardless of whether muddy waters goes through . Are you paid a fee . We have pick on a fee basis and as consultants and our is connected to his investment. Markets and economists on standby as we get set for Janet Yellens speech. The formal topic is a run is aroundcy Monetary Policy. Many looking for clues for the central bank to raise rates. Janet yellen doesnt put a timetable on it but says the Economic Data has improve and quote the case for an increase in the federal funds rate has strengthened. It is the most optimistic and direct janet yellen has been about Interest Rates in quite some time. The labor market has improved she says and inflation is still subject to the transitory effect of energy. She goes on to caution the outlook is uncertain and policy is not on a preset course. She calls disturbances in headwinds continue to buffer the economy. Run, she addsr forecast shows the federal funds rate challenge settling at about 3 in the higher run, higher than most people on wall street would put it. She goes on to say that this point, we need those tools Going Forward although she says the fed is not at this moment studying the idea of a higher inflation or nominal gdp. Matt we have much more from jackson hole a little later in the program and interviews with several significant figures. And we hear from howard marks on the hunt for yield and dig into some surprisingly sunny home reports. Ready for a test love that can hit ludicrous speed ridiculously quickly. This is bloomberg. This is bloomberg best. Im matt miller. Lets continue our global tour of the weeks top is the story starting with a major acquisition by one of the World Largest pharmaceutical companies. Youve got pfizer clinching the purchase, valuing the company of about 14 billion. This gives pfizer a block west are Cancer Treatment already approved for sale in the u. S. The one who kicked it off wwas sanna p. , youu are saying that p are in a bit of the distress. You are way off on your expectation of violations and pfizer came in and blew them out the door. Pfizer has mentioned its looking to split up at some point. Does this purchase make that more or less likely . One of the interesting things about pfizer is they are so big that even when they go out and doing almost 14 billion deal, there are analyst saying this doesnt really move the needle for them. Another crisis on the horizon for volkswagen. Following an unprecedented , thete with suppliers carmaker has to halt production of its most popular models. Talk to us about what is going down. To have shut down production they have shut down production of the gulf. Unusual. Volkswagen is known for squeezing suppliers and it seems like they have gone too far with this one supplier and the damage could be as much as 100 billion a week. Shares of europes largest automaker rising after it negotiated through the night to reach a deal with a supplier. Work had been halted for a most a week. What did the deal look like . Details are sketchy so far. All we know for sure is deliveries of those parts are being restarted and they will be resumed in the coming days so production can restart. , this action wont sit well with volkswagen named they will likely seek second suppliers for these types of parts. Investors in tokyo having to deal with a new whale. A 1. 3 billion Government Pension Fund has become the main shareholder of the to be she and more than 100 other companies. The fund is huge to say the least. They own about 5. 8 of japans stock market and they are a top 10 shareholder in about 99 of japans biggest companies. Take a look at this chart. Not of the 500 companies, you can see they are the top owner of 121 firms. What does this mean for individual companies . As the fund has billions of theyrs worth of shares, more than double their holdings. Lets move to turkey centralbank, moving to add more stimulus to its economy. It cut the overnight lending rate for six months. Matching the estimate of economists. Take us through the market reaction. The initial reaction was a bit higher. There was some relief that the central bank did not move on with the higher than expected rate cut. Any sign of what will come next . Many Analysts Expect anything to keep cutting rates as long as the Global Environment permits. The central bank look to be taking advantage of that environment to keep cutting rates. Elon musk than thing up the tellingdel s and x, investors to expect new versions with powerful batteries that can cover up to 315 miles on a single charge. To sportsappealing car enthusiast, saying the new models will accelerate to 60 in 2. 5 seconds. In terms of technological advancement, what he spoke about today is marginal. There is some significant marketing news. He can say he has the first car that can go over 300 miles on a single charge and brad that the model as will be the fastest car in the world that you can buy at retail. South africas finance minister says he wont obey a police order to present himself for questioning. Robert gordon was summoned in connection with allegations of the authorization of a special investigation unit. He has tonight any wrongdoing. More ground after the announcements. What should we take from this is squaring off . The finance minister made it clear he wants to carry on with his job to focus on the mandate of steering the economy through difficult times. Was expected to make an address in the evening and he did. What we do know is to other officials implicated have presented themselves to the police as requested this morning but as to where the financial minister will be called in again, we are watching closely to see how that develops today. Saysvestment veteran helicopter money will be japans next big monetary experiment. They are going to be much more circumspect and they will probably wait until the yen action. 90 before taking the last time the yen reached 90 was in 2012. I dont think this is a decision the doj can take lightly and i dont think that will happen in september. What will happen in september is say it isll want to out of ammunition. I will expect them to indeed talk up some easing or possibly deliver something. But i think the boj would need to be in panic mode and for that, we probably need the dollar yen to be well below 100. My linens stock up this morning my land stock up this morning. The volume got turned up, the company backed down. How under thing is this . Howell andlook there are seeing is this . It doesnt look good. There when i many drugmakers coming under fire for raising their drug prices so high that a affordpeople cannot them. They reacted fairly quickly and offered patients some assistance in trying to afford the high prices for this epipen. Investors were afraid my when mylan might take a hit and prices would have to come down so they wont beginning as much revenue but ultimately, no one i spoke to thought they would be irreparably harmed from this. Bloomberg news learned uber said to have lost 1. 2 billion in the first half of the year after turning a profit in the u. S. In the first quarter. We are in uncharted territory. Even if you look back to the biggest excesses of the. Com bubble, amazon lost a little over 1 billion a so it looks like you will surpass that. Uber has been spending hugely on driver subsidies in the u. S. But mostly overseas. Good news is they just made a deal with their largest competitor in china that will. Llow them to exit the market people familiar with their finances are telling us in the second half of the year we will not see those losses. Over command and extraordinarily high valuation in the private market. How does the market justify these continued high valuations . Market share. Cooper has 85 of the u. S. Market and people think this is a big industry. It is growing really fast. Huge growth but also huge expenses. Matt you are watching bloomberg best. Lets turn to the latest installment of our small to big terry. Not every company we profile follows a Straight Line to success. There can be serious setbacks like a Global Financial crisis. Factory 360 has had quite a ride opening 2007. The ceo tells the tale. Factory 360 is a marketing. Agency. I have been working for a number of years and corporate america. Entrepreneurial itch to go out on my own. In fall 2007, i got a bonus and thought its now or never. The first year was great. People taking meetings with us, small projects. Then september of 2008 happened in the whole collapse. It was like building a boat in the eye of a hurricane. We were forced to be creative with less and make it into more. By 2010, we could see something was shifting and things were starting to loosen up. We really have found a niche within Silicon Valley and the tech center. We worked with paypal, ebay. Silicon valley lived online, operated online and people came to them. They are no longer growing online, they have to go offline to grow online. We have had to really compete with so many other industries for great talent. For us to keep running our business, we are constantly recruiting. We have ads on so many different verticals all the time. To meet who is out there and we want them to meet us. It has worked well in that is part of our secret sauce. We went from two employees to 45 employees. We opened an office in San Francisco in 2014 and we have billings 200,000 in to over 10 million. We would like to double our revenue in the next five years and we would look to open more offices in broaden our international presence. This industry continues to grow and we see a lot of upside. Matt still to come, powered marks on the challenges of investing in a low return world and conversations from jackson hole with the latest on whats said leaders are thinking and highlights from the weekss earning reports including a pleasant surprise from best buy. This is bloomberg. Hey hows it going, hotcakes . Hotcakes. This place has hotcakes. So why arent they selling like hotcakes . With comcast Business Internet and wifi pro, they could be. Just add a customized message to your wifi pro splash page and youll reach your customers where their eyes are already on their devices. Order up. Its more than just wifi, it can help grow your business. You dont see that every day. Introducing wifi pro, wifi that helps grow your business. Comcast business. Built for business. We started the year off quite strongly and there was a slight slowing down towards the brexit mode vote. Trading has been robust and we see numbers up 20 . Is not in the path of the country and market for away from this business . It certainly not reflective of this. Nonetheless, we havent seen any real change in buyer behavior. The lenders are keen to lend. Matt shares of the biggest u. S. Luxury homebuilder. Every region for us was up this quarter. We had 18 growth in the third quarter. We had 23 growth in the deposits for the first three weeks and its nationwide. And the overall environment is pretty supportive. Compare and contrast these strains with the booms we have seen in the past. We are in a strong, solid, improving real estate market. Not easy. Oney is builders are not building too much inventory. We dont have wires coming in who are investors. So solid steady, market but this doesnt compare to the market of the mid to thousands that was completely overheated and had bad fundamentals. The nations largest president ial developer saw a decline in income and an ongoing ownership battle. First half, up 10 on the rising property rebound in china. Up 49 . That is kind of offsetting the negative impact of the shareholder struggle. The management was not pleased with this. Even the chairman at one point said the stake is unwelcome. You have ever granted increasing its stake and they are arrival. We dont know what their intentions are. Shares in blue scope steel higher after the minor reported forecast for 2017. Reported underlying net profit at 220 two million dollars, below estimates. Is the steel market out of the woods or are people thinking we will see another slump in china . I think there is still too much supply in the world. That is what we will make sure our Balance Sheet is bulletproof. We have taken 327 million. Besthas moved us into the cost competitive steelmakers. We have a future there that is somewhat insulated from the global Steel Industry but i think it will be facing challenges Going Forward. And big hit from weak oil prices. Profit in malaysia stateowned in thecompany fell 96 second quarter. Is there still a light at the end of the tunnel . No light yet. They are looking at a gloomy outlook given that they will be oversupply and a slow demand for oil. Best buy up 19 today. The largest he was Electronics Retailer reported earnings that boosted confidence after years of sluggish growth. Profits will over what was expected. Maybe expectations. They had projections for this quarter. In raised small gain a profit outlook for the year. Best buy basically said the overall Electronics Market is somewhat weakened a lot of the categories are down. Are we seeing the beginnings of a turnaround here . For a long time, the story has been they have a good quarter or a bad quarter and microsoft is really paying off in that they offer a better assortment. We a