Right now we are at session highs. We have been sticking to those for most of the day, especially after some data that came out this morning, including betterthanexpected u. S. Consumer sentiment and the drawdown in u. S. Oil inventory, a surprise drawdown, really. Lets look for the board is right now. Lets go ahead and take a look at the daily intraday chart right now, if we can do that. This is the oneyear right now. The dow is up more than 100 points for the sixth time in eight sessions. At the same time, the s p is well on its way to the second threethey rally. Take a look at the s p yeartodate, hopefully we have that we are now in the green for the year. There we are, about 0. 25 of. If we can hold onto that, we will be on for four years of gains for the s p. This is just happening today. Some really interesting developments today. So much of the days market events have happened because of oil. Nymex crude is up three days in a row, and it is still climbing, up 4. 25 . This is off of three days of gains. Brent crude is also seeing a tailwind here, up about 4 . Betty as you might expect, you see people going into the riskon trades, and then they are coming out of the safety. Ramy something i want to show you on my bloomberg terminal, this is the historical spread between the s p and the safe haven of gold. In your own terminal, this is the hs function. You today, the yeartodate, the s p has risen by about 0. 25 . But you can see this dropoff at the end of october, where gold has fallen and it is now yeartodate down 9. 7 , losing that momentum. Taking a look at gold intraday today, it is of course a similar story. Gold futures right now are down about 0. 5 . This is the second consecutive loss in a row. Investors are definitely in riskon mode. In addition to the other safe haven of treasuries, they are losing their attraction, the second day in a row. Two10year yield is up by basis points, 2. 26 , the highest in one week. Betty Ramy Inocencio at the markets desk. Lets check in on bloomberg first word news. Mark crumpton has more. Mark austria says that two syrian teenage brothers have been arrested on suspicion of involvement with terrorist organizations. One of the brothers is suspected of having fought for islamic state, and the other is accused of belonging to an Extremist Group in syria. A Human Rights Group accuses russia of killing hundreds of civilians in syria. Russian jets have conducted airstrikes in syria since deploying to a base in late september. Amnesty International Says russia is using cluster musicians munitions and unguided bombs. Some parts of cluster bombs often remain unexploded long after the fighting ends, killing or maiming civilians later. Three people, including two children, are dead and three others including another two children are hospitalized following a collision between a car and an amtrak passenger train in louisiana. Amtrak says the Sunset Limited from los angeles to new orleans when it hit a car on the tracks in new iberia, located about 115 miles west of new orleans. No passengers or crew on the train were injured. Prosecutors in new york city say stole movie and tv greg ipts, accused of hacking the email accounts of over 100 celebrities. He said he offered to sell scripts and private sex tapes to undercover agents. He is being held on Identity Theft and Copyright Infringement counts. Global news 24 hours a day, powered by 2400 journalists in more than 150 news bureaus around the world. I am mark crumpton. Betty . Betty thank you. As we saw earlier, oil is spiking on Inventory Data showing a fall of 5. 9 million barrels. However, supplies are still abundant, and opec predict lower demand for exports through 2020. What is ahead for oil . We have been talking about that today. Vince piazza joins me, the Senior Analyst on oil and gas for bloomberg intelligence. How do we impact reconcile what opec says about phone demand with the huge drop in stockpiles . Vince the drop in stockpiles is a shortterm, nearterm issue relative to the broader dynamics out there, the global oil market. Betty right. Vince even with the large drop of 6 million barrels, you also have to consider that imports were down about one million barrels, and gasoline down by roughly one million barrels, so you still have this issue today, vated inventory cross across the Petroleum Value chain. Crude and refined products. That will be the issue as we move into 2016, well into 2016. 35 above the fiveyear average on crude oil inventories. That will be the story to discuss. The story to focus on as we move into 2016. Betty vince, why are oil prices reacting so much, though, to what is considered just to be a shortterm data point, right . Liquidity less liquidity during the holiday season, perhaps. These are transitory, shortterm issues. We need to focus on the bigger issue. We sell have these robust, elevated inventory across the value chain. Not only in oil, but also natural gas as well. Crossing the hydrocarbon chain. Betty is anything going to change the longterm story at all . Could anything change the longterm story . Vince theres always the unknown unknowns. Perhaps geopolitics enters more in 2016, with issues with respect to the resurgence in iran, the resurgence in iraq, perhaps libyan barrels coming back online at some point in 2016. But i think the bigger issue is how the u. S. Reacts as well. We have been very resilient of the production site here in the u. S. Maybe that changes in 2016, when these hedges in 2016 roll off and Bank Liquidity also enters the picture as well. The Capital Markets were wide open in 2015. Ifld that change in 2016, they are more heavily lover vered . Betty why do you think opec has said they expect demand to continue to slide into 2020 . What is to be gained by talking about that . Vince this is an issue for opec to decide. What it will look like in a few years, in terms of their ability to control market share, not only today, but also in the near future. Betty vince, thank you so much. Vince piazza, Senior Oil Analyst at bloomberg intelligence. Thank you. New homes in the u. S. Sold at a slower pace than projected in november. We saw the data at 10 00 a. M. This morning. Is momentum in housing cooling as the year draws to a close . Joining us from french from bloombergwith intelligence. Drew, sales were down 10. 5 , and today we understand expectations. Whats going on here . Drew if we go to yesterdays existing numbers, there was a little extra noise, more than the usually is, and that has to do with the implementation of the new mortgage disclosure rule, the truth in lending. Basically, it is requiring lenders to provide documentation sooner in the closing process, at a more detailed level to borrowers. A lot of lenders have not been ready for this. It requires new systems to be put in place, requires the rollout of new software programs, so its creating a nearterm bottleneck in terms of the closing process. Betty i know that we were kind of preparing ourselves for this. We knew that it might hit the Housing Market. How long will it take to, you know, channel those issues to the Housing Market before we start to get to some more normalization . Ew i would expect as we get to the early part of next year, this will be behind the industry. It is pretty much just a process that has growing pains in it. If we look at the broader financials of the market, there is still place for stay growth in the Housing Market, both resale and new homes. That is strong job growth. Still low interest rates, you have mortgage credit which is tight but expanding, so overall we are looking at 4 growth in the resale market and 10 growth in the new home market in 2016. Betty drew, outside of that, what is the outlook for a specific market in the United States . Theres no reports coming out about how there are some problems surfacing in certain markets, in particular frothy iness. The journal had a report that theres three cities to watch, new york, san francisco, and denver. What markets are you flagging as maybe having too much of a bubble . Drew good question. This recovery from the Home Building perspective is becoming much more regionalized than in the past, and its being driven by job growth. We are seeing stronger job growth across the sun belt markets in the south and west, and we are seeing relatively weaker job creation in the midwest and northeast. As a result, those markets are lagging. The ones i would flag as the strongest across the u. S. Are really northern california, san francisco, driven by the tech boom. Parts of the southwest, thinking of colorado, and improving markets like las vegas and phoenix. Betty drew reading, who follows housing for us on bloomberg intelligence. Much more ahead in the next 20 minutes. Star setting box office records. I finally saw the movie last night. It has not helped disney shares, though. They are underperforming lately. Is now the time to get into disney . And, generally increasing security measures after another scare over e. Coli. How can it reverse this pr disaster . Betty welcome back to bloomberg market. Time for the Bloomberg Business flash, a look at the biggest business stories in the news right now. Auto safety investigators identified in a fatality linked to a faulty takata airbag. The latest crash occurred in july, in the pittsburgh region. A minor driving a honda accord under recall was killed. Takata faces what might be the largest Highway Safety penalty in history. Staples made its opening salvo to block its takeover against the case to block its takeover of office depot, calling it financially flawed because they compete against numerous vendors, w b mason and amazon. Com. F says and office depot the federal trade commission failed to show their merger will harm competition. Comparable sales will be less than forecast. Bed bath beyond said profit dropped short of earlier projections. The company says fewer store transactions than anticipated, including the critical thanksgiving holiday and the two days after that. Retailers are responding by giving consumers a holiday gift free shipping. 93 of retailers are giving free delivery this year, up from 70 last year. Some are providing it on every purchase. Thers require a 50 minimum that is your Bloomberg Business flash. Up next, disney underperforming the market despite record breaking numbers from star wars. Betty more than 100 million americans are expected to travel this holiday season, nearly one in three americans and 1. 4 more than last year. How are airlines preparing . The ceo of Spirit Airlines was on bloomberg this morning to talk about this, and how the industry is benefiting from all this low oil. Ben we are 30 bigger than last year, so we will carry a lot more passengers this year. A lot of people are traveling, and with christmas on a friday, it spreads the travel over different times. Some people leaving until the weekend. Betty 30 sounds like a good number. But the last time we spoke, you said you had your site set on sights set on the model of ryanair. Where are you in terms of reaching that plateau . Ben ryanair started their Business Model a number of years before we did, and they are now 350 airplanes. We will end the year with 80, so we are very early in our growth cycle, on pace to grow 15 to 20 per year 15 to 20 per year. We will be 150 airplanes by 2021. Erik are you getting a big benefit from reduced fuel costs . Ben they are a mixed bag. On the one hand, it lowers our largest cost, which is great, allowing all airlines to be profitable right now. On the other hand, its inviting more capacity into the industry, so all carriers even those with less efficient, cost structures, are growing. That poses a little dampening in the event that Energy Prices increase over time. But overall, its a good story, obviously great for consumers, because it means much lower prices. Is it fair to say this is the best of times for the Airline Industry . I cant imagine in my lifetime a better scenario for airlines than now. Fewer competitors, lower fuel costs, higher capacity, all the planes are full. Can it get better than this . Ben did some of the best times, but there is still uncertainty in terms of the overall capacity situation, so they could be a little better. But its pretty good times right now. You talk about capacity. What do you worry about from a competitive perspective . Who do you worry about . Ben our biggest competitor is probably amazon. Com, or someone like that, because the reality is we carry the truly discretionary travel. The people on spirit are people with a little extra money in the pocket, and we want them to use it to make a trip to see friends or relatives. Well think of the rest of the Airline Business as much of a competitor. Weekend to have a large cost of we tend to have a large cost advantage against anyone we compete against, so it is more about stimulative the discretionary traveler. Betty investors are growing more, with stocks, with the s p rallying for a third day ahead of christmas. Trading volumes are staying under normal levels, as you might expect with a lot of Market Players staying home and enjoying the holiday. Ramy inocencio is standing by with how the Options Market is trading. Ramy joining me today is an Investment Advisor at equity armor investment, joining me from the cboe in chicago. Joe, thanks for joining me on Christmas Eve eve. Talk about oil and volatility. The big surprise this morning was the surprise drawdown of 6 million barrels. How to me about the vix and that is coming into play with the drawdown in oil. Joe this morning, we saw a lot of people saying the bottom for oil was in, 34 at the end of last week. People say it will only be higher from here. Theres some Technical Analysis you can do with the ovx, the Oil Volatility index. We saw oil dropping to 37 in august. We saw higher levels of volatility in oil, the ovx with higher. This time around, were seeing it not trade as high. People say theres a little less fear, a little more complacency of their, and people are hopeful the future will be higher for oil, which the market is trading onetoone. Ramy a people say we might have hit a bottom for oil. Y . You agree, and whu joe i cant tell you one way or another, for sure. In the past when we have seen this indicator, it has been a bottom. The one caveat i can throw out there is that because its a holiday week, christmas and new years coming up, that sometimes dampens volatility and might be why the bottom, that might be a reason why this indicator might not be right this time. But historically, this has been a sign of a bottom. Ramy looking at disney, star wars, is all anyone have been talking about the last couple days. What is attractive about disney . Take us through your trade. Joe disney has been trading over 120 several times this year. Going all the way back to 105 even after the fantastic blockbuster of star wars. Of course, they were downgraded on espn, saying that cable the scriptures will be lighter. Will bee live sports supreme. People will always want to watch the nfl. I want to get into disney in a lowercost way. Stock todayhis at 105, and i will sell the 3 ch 110 call, give me a cushion to the downside should just the fall further. And i have 5 outside on this stock alone, cut out on 110. That gives me an 8 return in the first three months of the year. Ramy we will leave it at that, joe tigay. Thank you for joining us. Coming up next on bloomberg market day, we have a look at what is moving the nasdaq higher. This is Bloomberg Markets. Dont go away. You are watching bloomberg television. We will get a check on the news this afternoon. Mark crumpton has more. Are walking ats the mall of america chanting, what do we want injustice. When do we want it now. They will be outside the massive suburban complex in minnesota. More than a dozen Stores Closed ahead of the protests by likewise matter. They are demanding the release of video of the killing of an unarmed black man. Present obama will host a summit in california with Southeast Asia leaders. In november, he invited leaders of the association of Southeast Asian nations to meet in the u. S. But the summit could annoy beijing which also seeks to develop and improve relations with the leaders in the those nations. David cameron is looking into claims that officials prevented a muslim family from flying to disneyland for a family holiday. Officials gave no explanation for refusing the family for boarding the flight. And a woman accused of plowing a crowd through pedestrians on a Las Vegas Strip sidewalk over the weekend has been arraigned. The 24yearold stood in shackles and it did not enter a plea during her brief Court Appearance today. She is charged with murder, hit and run and child abuse. There is a genuine 20 date january 20 date for a further hearing. Journalists line betty we will get to abigail with more on the rally we are seeing for a third day in a row. Abigail a lot of strength. Three days in a row. It is up 1 and it is causing and it is caused by selgine. This is the top influence. This is after the company settled a patent dispute for the topselling drug. Jpmorgan has an overweight rating on the stock. Now the consensus price target is 100 for four dollars, suggesting it may move up by 15 . And the secondbiggest influence on the composite index is apple. Shares are solidly higher ironically as other analysts bump their estimates. They are concerned on the supply chain. One analyst downgraded their stock this past summer when it was about 19 higher than current levels. Yesterday he was out with a note suggesting that it could be too bearish on the march quarter and that the guide is not awful, there may be reason to ge