Processing more oil, up 7 10 of 1 , and if you take a look, as i oil versus theof s p 500, the s p 500 is in yellow, and not a perfect correlation, but oil not hurting with the action we have seen in the s p 500, and i also want to call up the set errors. Call up the sectors. Chor we can see that the mining stocks are doing the best, almost a 50 gain for those stocks year to date. Also andergy energy also. They are keeping the major ones in float. We have been monitoring all day Chesapeake Energy, the company that Aubrey Mcclendon founded. He was killed in a car crash in Oklahoma City and was in died because of alleged collusion with another company over the whereeing paid for land drilling was taking place, so we are seeing those shares up 34 right now. Other oil providers have also been rising, and these aims have been even amid a sharp decline in natural gas. It is trading at a 17year low, Morgan Stanley coming out predicting a recovery, but that is not helping prices in todays session. Anchor ok, julie. Much appreciated. Look from the first word news desk this afternoon. Mark crumpton. Super tuesday, ben carson telling supporters he does not see a path forward, and he will not attend the debate in detroit, ben carson instead speaking about his political future on friday at a Political Action conference in maryland. Marco rubio is still insisting he has a shot at winning the republican president ial nomination, speaking to reporters in english and spanish after he and his wife cast their early ballots in the florida primary. He said tuesday was positive with his win in minnesota, even though donald trump took 10 states, and ted cruz took three states. Looking for hackers, the defense hackers tois routing expose any vulnerabilities in its Computer Systems through a program called hackney pentagon that gets under way next month. They will look for issues on websites and networks. The top democrat in the Michigan House is calling for the governor to resign due to the water issues. The first state lawmaker to call for the resignation of rick snyder. Meanwhile, a document shows that they were blocked from switching back to the water system under the terms. Guzmanawyer for el chapo says he now wants to be extradited to the United States as soon as possible. It is said that they will not let him sleep at the maximumsecurity prison. To have confinement at a medium security prison. His lawyers had previously vowed to fight extradition as long as possible. Global news 24 hours a day powered by our 2400 journalists newsr more than 150 bureaus around the world. I am mark crumpton. Anchor thank you, mark. Former Chesapeake Energy ceo Aubrey Mcclendon was killed in a car crash in Oklahoma City. Prosecutors said he was allegedly involved in bid rigging. The Oklahoma Police are saying that the car he was in a loan, a going fasterwas than the speed limit and crashed in flames. To follow thise story. At a chief economist and strategist is joining us. Thank you. We have got a little bit of a mixed picture on the economy. Reporting better than average growth, but there was a little bit of mixed news also. Reporter the facebook reporter was giving qualitative reviews. You obviously do not see that in his report. I think most clearly, the convergence we have seen from petroleum producing industries and other industries is the largest we have seen, with the exception of times when petroleum was holding up, and the rest of the economy was cratering. It has not slowed down at all. You take a look at the employment report and similar news, and we have seen this in the last couple of months in the eye is some report, and it is at inventory problem and an exports problem. We have seen this in the last couple of months in the ism report. Has continuedmy to grow amid all of the panic. Bottomingether we are , where are we in manufacturing . There could be another fed rate hike. Externalthink from an perspective, there is enough risk around the world, the very large take we have had that the Federal Reserve is very unlikely to feel comfortable enough tightening again. I think they will feel that comfort again before the end of the year, probably at midyear as we are seeing more and more evidence of collapse and shock around the world, but there is enough reason for the Federal Reserve to decide for the time being. Lousy, moderate recovery we have across the world, but there has been an expectation for shop and collapse, that the world would look very much like the Petroleum Sector across all of these industries, and that is the exaggeration. the exaggerations you were talking about, do you see them continuing . With oil, we do not know where it is going from here. i do not think you can say that the correlation is gone. There is some recovery that we price,d in the crude oil and we have seen run and shoot markets rally around this, but you should not be seen Transportation Industries or looking atonsumers this, only because very strangely, unrelated industries are looking at the oil price on a generalized pass over the last couple of months. Are goingat about we to have a few more quarters ahead with disappointing earnings . Do you still see equities steve an estimate for the quarter ahead, the estimates have been beaten since 2009 every single quarter, and the story gets written about a collapse in earnings because of the earnings estimates, and then they clearly beat them. There was a drag from the decline in the Energy Sector. It is not Getting Better on average in the Energy Sector, but it is simply not getting worse. That drag will not be repeated. Low, singleist the digit eps growth rate, and in an environment of low growth expectations, i think that will exceed target market expectations. Anchor all right, steve, thank you very much, and investment strategist. Coming up, we are continuing to follow breaking news on the death of former chesapeake ceo Aubrey Mcclendon. Much more. Anchor you are watching bloomberg markets. I have alix steel with me. Chesapeakeer of energy has died, killed in a car crash, according to Oklahoma City police. He was in a chevy tahoe when he crash. There was a jump in the market value from its 1993 debut, with in 2008, and, of course, he had a long career with many ups and downs. This is truly an unbelievable, earth shattering event that took laced today. Aubrey mcclendon was a pioneer, guysf guys one of six who helped to make just the energy what it was today. This is why this was such a huge story. He did make a Statement Today saying it was all wrong. Anchor the indictment came down, and they were saying they were colluding with another company to keep land leases lower, and you go to a house and say, im going to release your land and drill for oil and natural gas there. Chesapeake would rent the property and let the other company rented the property all for the same price, and that is what he was under indictment for. Like you said, he came out and said this was not true. Also, they said they have been doing that for over 100 years in the world. Basically, yes, guys, people do it. Inre was Something Different another state, and it came with some heavy fines and a possible criminal sentence. Anchor the technology had been around for decades and decades and decades, but it only began to be done with innovation. Aubrey mcclendon started it basically with tom wort, and they would try to rent your land company rerent it to a , and they were doing this in pockets of oklahoma, trying to make a living. They both lived through the crash that happened in the 1980s, and they ended up paring up together to create Chesapeake Energy, which became the biggest user of natural gas here in the United States, and it has been a very difficult road for chesapeake area Aubrey Mcclendon had not been there for a couple of years, and he started a different company, American Energy partners and through that 10any, he spent more than billion of other peoples money acquiring other acres in ohio, oklahoma, texas, to continue looking for oil and gas. And they are no longer chesapeake, so this is a striking, unbelievable wrench in the shale revolution. They were out there saying, you guys are crazy, and they were, no, we are not. Anchor like cowboys. Walkedterally doortodoor, starting with nothing and built up a multibillion dollar company. Just to give you the headlines bring mcclendon, who cofounded or founded chesapeake way back more than 25 years ago, has died in a car crash in Oklahoma City. This is according to Oklahoma City police. He was driving a chevy tahoe, and the car was exceeding the engulfed inand was flames. Alix and we are getting a statement from Chesapeake Energy. I reached out to the company to see if they had a statement on this, and they said, we are deeply saddened by the news today, and our thoughts and prayers are with the mcclendon family. Of course, their relationship did not and very well, Aubrey Mcclendon and chesapeake, using it to get some money on a loan, and that was causing some difficulties between him and the company, and he eventually ended up leaving the company and starting another one, but again, they are riding that chesapeake is deeply saddened by the news, and our thoughts and prayers are with the mcclendon family at this time. Anchor it was a really tumultuous time, it it was trading below four dollars, and today it is up 30 percent. This is presumably unrelated in many ways, but the stock is seeing a comeback from the bottom, i guess, in the price of oil. What is happening with chesapeake talk . Chesapeake stock . And the saw the dead selloff. Once they were able to prove they could make a payment, the was better. That is why you have seen that rally. Chesapeake is also a heavily shorted stock. You can see something very nonetheless, from when Aubrey Mcclendon started chesapeake to where it is now, it has been a huge shift for this company would be run up in intraday, but it does go to show that not only did he leave this world not in the company he under what and bled for many, many years come but a lot of other shale pioneers are also not with their companies, one being fired, and Aubrey Mcclendon and another no longer with chesapeake, and another had to move on, sort of a big shift in the industry. Or and we should mention he step down about two years ago. Forbes,ermed by americas most reckless billionaire, but that is one of of thesecteristics cowboys, if you like. Once again, Aubrey Mcclendon dead at the age of 56. There was word this morning that his car crashed and engulfed in flames. First, a look at the s p 500 and we are seeing it up about 7 10 of 1 . In fact. He financials, the S P Energy Index is up 1. 8 . And is an eight point game, materials not having such a great time today, down about half of 1 . You are watching bloomberg markets. Anchor breaking news that Aubrey Mcclendon, the former ceo of chesapeake, killed in a car crash at 56. And there was the federal indictment on tuesday. Alix julie hyman has more. Unnamed company in that federal indictment that was released yesterday, and it alleges Aubrey Mcclendon and another worked together to rig bids for drilling rights in oklahoma. This is according to three companies, so it was sandra john along with mcclendon who colluded on this, and a company, not named by name, and also its chairman and chief executive part inallegedly took these antitrust violations between 2007 and 2012. , the cofounder of Chesapeake Energy in 1989. Sandridge did not immediately respond to a voicemail. If you look at the sandridge shares, they are lower in the wake of these headlines coming out. They had already been trading lower before this came out, but now they have taken another lake downward leg downward, a 7. 2 , anddownward, chesapeake shares soared today. Anchor one of the absolute pioneers in the Energy Sector said i have known Aubrey Mcclendon for over 25 years. Alix he was part of the renaissance, charismatic, a true entrepreneur. No one is without flaws, but his impact on American Energy will be long lasting, so alluding to the difficulties that mcclendon boj indictment, and nonetheless, t. Boone pickens saying he has known Aubrey Mcclendon for years and that he was part of the Energy Renaissance in america, charismatic, a true entrepreneur, and that his impact will be longlasting, as well, so a huge, huge loss for the u. S. Energy community today. Thatr and we have heard sandridge is the company that in thatmed as to date in. Net, and it alleges that the fracking pioneers, mcclendon and another entity, worked together. Or rigging so once again, this car crash. Julie, you have more . Julie well, i wanted to give some history adding to what we have been talking about with Aubrey Mcclendon. I just pulled up a 10year chart of Chesapeake Energy to give some perspective. Bewas april 1, 2013, to specific, and that was the date that mcclendon had agreed to step down, so we are talking early 2013 in this chart, under pressure from carl icahn and eastern asset management. Shares had that the followed going into that struggle over his leadership at ie company, and then alix know has been following his career subsequent to that when founded another company essentially in the same business, trying to stay in the business, so it seemed he wanted to keep working, wanted to keep a hand in the business that he high in neared. That he pioneered. Alix he founded American Energy partners, acquiring thousands of acres in ohio, west virginia, oklahoma, texas, all for oil and gas exploration, and as i was saying earlier, that is how they started. They were going around and leasing land and renting it out. This was their bread and butter. This is how chesapeake became what it is today. Anchor ok, we want to bring in 70 who has been working on these stories, and the sandridge just came out bring in somebody who has been working on these stories. Reporter it comes down to if they are alleging collusion, who is the other party, and the department of justice was not naming the other party, so our our contacts are telling us it was sandridge energy. Anchor this is a stock trading for pennies. Reporter their shares have been in a freefall over the last year due to the drop in oil prices and thered debt load. Their debt load. Alix the indictment comes down yesterday, and we are looking at millions in life, and you also have jail time, and then the next day, you have Aubrey Mcclendon basically running into a concrete wall. It is a very difficult situation to wrap your mind around. Reporter and obviously, events are happening really quickly, word thatight, we got Aubrey Mcclendon said the charges were false and that he would fight them. And heelse was involved, was driving above the speed limit. Do we know anything about the company and how it was responding to the indictment . Reporter yes, we had heard that people were backing away from him and that they no longer had a ceo, so there was the money that has supported him through thick and thin before was steering away from him due to the indictment. Anchor she will stay with us, a reporter from bloomberg news. Phone have someone on the now. Thank you for joining us. What more can you tell us about what happened in oklahoma . Far as the accident is concerned, it is pretty cut and dry. as vehicle, a 2013, was traveling northbound in Oklahoma City near a farm that he owned, and it was traveling way above the 40 mile per hour posted speed limit, and it went left of center. We do not know why he went off the road and collided into a concrete embankment on the west side of an overpass at a high rate of speed. Infinitely engulfed in flames, and unfortunately, mr. Mcclendon died at the siena. There is nothing left inside the vehicle. What we have to do is pull the toa from the vehicle itself determine if he hit his brakes, exactly how fast he was going, he was wearing his seat, things like that. Anchor were there any skidmarks at the scene . He was traveling a short difference, enough for him to correct the vehicle, so there are questions as to why. If there are no skidmarks, doesnt mean he did not try to stop the car . Does it mean he did not try to stop the car . Balderrama we will not know. Finding out more information about what, indeed, happened. Ma with todays vehicles, weekend download the data, so we can determine how fast it was going, if he use the brakes, and if he was wearing a seat. We do know that it was long enough for him to correct himself, but we do know he went into an investment at a high rate of speed and that the car engulfed in flames. Anchor any sense of where he was going . Erramo we do not know where he was going. This happened in Oklahoma City, and we responded. We were there within minutes, but at that point, it was too late. Completely was engulfed in flames, and we could not retrieve him until afterwards. Us more about this story. Have other vehicles crashed into this embankment . Balderramo it is kind of a wooded area, definitely be outskirts, suburbs, so not heavily trafficked. Anc