Gain for the close. Julie a could be a gain for the month of september. We will not know until the close. All three major averages are at the height of the session. What is contributing the most we are seeing the financials strong eddies of are the stocks that are singlehandedly contributing the most to the gains. Bank of america, citigroup, represent in the financials, coming back after losses yesterday. Pfizer as well. We saw broad weakness in the pharmaceutical industry yesterday. Amazon another record for amazon. It has been day after day for that company. We have also been watching outside of stocks, what has been going on in the bond market, currency market as well. Note, look at the 10year the moving we have seen in the 10year there, too, we have had some reversals going backandforth this week. I think we are having some technical difficulty on that front. There, too, we have seen a turnaround. There you have it. Point 1. 59 ,s reversing the declines we have seen in recent days. This is helping the financials today. We have been watching the euro today. We have also seen this turnaround a little higher. What does this come back to the turnaround, it has to do with Deutsche Bank. Deutsche bank, as we talked about yesterday Bloomberg News reported Hedge Fund Clients were pulling collateral from the banks, sparking concerns about its liquidity. The ceo, john cryan thought to reassure investors overnight. That did not necessarily seem to work, but now the french press is reporting the company is nearing a settlement with the department of justice that is much, much smaller than initial reports, closer to 5. 5 billion, versus 14 billion that was initially reported. We have not confirm the report. Citing people familiar, but the market is paying attention and reacting. Out he talk first came the stock is still down 12. 5 , but you see the bump up in todays session. The rebound. Just like yesterday, when it was going down, its rise is also having a ripple effect. David julie hyman, thank you. Setting up perfectly what we will talk about for the next hour or so Deutsche Bank coming up. Lets check in on first word news. Mark crumpton has more. David, thank you. The National Transportation safety board, the ntsb, says investigators are having trouble extracting a recorder from the forwardfacing camera on the train that slammed into a rail station in new jersey thursday. The recorder should show what was ahead of the train before it crashed before the morning rushhour pier 1 person was killed. Over 100 others were injured. Hillary clinton leads donald trump in michigan. The latest poll has clinton ahe 35 in a fourway race. The survey was conducted after the first president ial debate. Hurricane matthew has strengthened to a category three storm, as it swirls through a part of the caribbean that rarely sees such activity. Rain and wind is within through aruba, monad, and carousel. The hurricane is expected to turn north saturday, and ahead toward jamaica, cuba, and haiti. The European Union has cleared way for ratification of the paris climate agreement. Eu nations agree to a fasttrack vote the most sweeping a court to fight global warning could come to force next month. The eu has come under pressure to ratify after the u. S. And china agreed earlier this month. Day,l news 24 hours a powered by more than 2600 journalists and analysts in over 120 countries. I am mark crumpton. As his bloomberg. Scarlet thank you so much, mark. Deutsche bank, after telling to a fresh record low yesterday, shares of the german lender sharply. G of as much as 14 today on volume three times the daily average over the last month. French press is reporting that Deutsche Bank is nearing a 5. 4 billion settlement with the department of justice that it would be a considerable discount from the governments initial request of 14 billion. To be clear, we have only seen this number cited by afp. Bloomberg has not confirmed this. For more on the struggles, lets bring in yelm an owner and. Do we know, or have a sense of how long these kinds of negotiations can drag on for . They can drag on for a long time, but yesterday we did see the news the Justice Department was trying to reach a deal with other big European Banks before the election. They actually want to get to the bottom of this pretty soon as well, because there is going to be, potentially, government changes in the u. S. So, they want to do it soon. Aybe they are nearing the end also, when the first number came out for Deutsche Bank, there were if you compared it to other banks that reach beforeents with the doj like goldman sachs, it starts around 14, 15, and comes down to 5, 6. It is not unusual. Too,che bank said this, they were not what you pay is much mobile people were afraid because litigation reserves are only around 5 billion. Anything above 5 billion says they go above their reserves, which means means they need to come up with more money, and a bank that is not really making profits these days and that becomes a problem. Where you get the initial dish additional money. Everyone is scared, they have to raise capital. It did not have to be 14 billion, but 10 billion, 8 billion, 7 billion anything above 5 billion would be a problem. This is close to 5 billion. That is why it is great news and shareholders are rejoicing. David how wellequipped Deutsche Bank would be to pay a fine of this size if they were to expand legal reserves, talk about other legal challenges they face outside of this u. S. Challenge from the doj. Yalman all the banks are not Deutsche Bank there are legal issues lingering parents some of these are settled. There is libor reagan. There is liborrigging. Fx reading. Multiple regulators not just the u. S. , but the u. K. , the European Union there is more that is going to come. Again, u. S. Banks have faced many times more amounts of fines in the last several years. Kbw has a tracker. Rangein the 250 billion that the banks have paid. It is a lot of money bank of america, citigroup, jpmorgan, they have paid enormous amounts, but meanwhile they are making money. They are making 20 billion, 30 billion, despite the fines they are paying. When you can make money, you can deal with the fines. The problem with deutsche is they are not able to make money. They are going through a big restructuring. In that depressed moment of profits, it is hard to come up with 1 billion or 2 billion here and there. Scarlet im glad you bring up bank of america every cycle quarter was a kitchen sink water. As you said, they continue to make money. John cryan leads Deutsche Bank and his predecessor wanted to make this bank a Global Investment bank. He came from the Global Investment side, ran fixed income in trading, ran the clientele side with hedge funds come emerging markets what are john cryans credentials to get this bank act on track for growth . Yalman he is trying to clean up shop. He did all these legacy issues all these fines coming from the crisis of 2008, and before that, the u. S. Housing market. But, you know, he is trying to do the right thing. He has a big, aggressive restructuring campaign. All of these things are a little bit late. I mean, when i look at the number of jobs that disappeared on wall street the biggest banks, european and u. S. By the end of last year, half of one million jobs since the crisis, but Deutsche Bank was not among those banks. They had not decrease their numbers. So, all these years eight years everyone has been restructuring. They are, sort of, late to the game. They said we need to do this. Now they are trying to reduce numbers they are trying to get out of certain businesses. They might be able to do all of that, but meanwhile, they have to pay these fines, so they cannot make money they have to restructure the combination is bad timing. Also, the combination with some banks like rbs, which was not really bankrupt, but it was bailed out by us government. They retrenched to the domestic market completely and the u. K. Pad they do nothing else. They are all out of the other markets, including the u. S. Overbanked. There are so many small, retail banks, savings banks, and there are mediumsized banks, and there is commerzbank, which is not doing great either. So, Deutsche Bank does not really have a domestic market. It can, just heard a marie trench and make money on. Domestic market it can sort of, just retrench, and make money on. David how much further do we have to go until we have a better assessment on the health of a bank. Yalman stress tests have become very crucial in all of this. They do not stress all of these penalties. Scarlet they did not test for negative Interest Rates, for instance. There is plenty to think about. To thinks needing about whether they need to put a negative Interest Rates. There are some he had once for banking around the world. The u. S. Has gotten over some of the issues. Europe is still dealing with legacy, as well as current environment. Negative Interest Rates seem to be helping the economy, finally, but while it is helping the economy, slowly, eight years after the crisis started, the banks cannot make money. Then they have to deal with legacy. So, you know, all of these problems it is tough, and to know the health of the banking system, with so many headwinds, it is not easy. Scarlet in your 10 years of covering the banks the Global Banking industry, what you think will happen question mark Deutsche Bank, john happen . Getsche banks john cryan a little bit of a breather what does he have to do next week . Yalman if i were him im not an advisor. I do not know if he will listen to me. Come up with asset sales. Lehman brothers try to do this at the very last moment. They were really, really late to the game. I the time they announced they would sell the Asset Management business, it was the last day, and to be but he had pulled out. They had run out of cash run out of options. Deutsche has a lot of great assets. It is a big bank with a lot of different units in different countries. They are profitable. So, yes, you do not want to get rid of too many profitable things, but if you need capital, and you dont want to turn to your shareholders, you get out of some markets that are not that crucial, and you get money for them. Asset management it is wonderful, great, maybe it makes great money, but maybe you can do without it. So, those are things they can do. Scarlet consider shutting this is his. Thank you so much. David how an opec production freeze might hit the high yield market. We cut up with david fully, who says the opportunity is wide open. David you are watching Bloomberg Markets. I am david gura. Scarlet i am scarlet fu. David foley is in charge of one of the Biggest Energy allocated funds in the u. S. Among his top deals, should near , oil and gas cup and, geithner, and david foley joined alix steel earlier today to discuss the Energy Market now that opec has an agreement. Mr. Foley fear has diminished from the first corner. People forget how suicidal they were in february if you are in the energy business, and hope is spring and again. The highyield market is wide open. Highyield spreads on energy went from 90 19 . They are down to 9 . Jon the debt market is open alix the debt market is open. Mr. Foley we want to focus on companies that need our help, in a period of transition. They need capital. In those cases, we can come in as a partner, or weekend by. You not what we can buy. You do not have to buy the whole company, that we made an investment in a firm, backing we are, really looking for to that. Issue,art of the Everyone Wants to go there it is the place to be, the best asset, so valuations are expensive. Acreage is double what it was a few years ago. Are you having to pay up for those opportunities. Deal i wasthe referring to we signed in april. The price fell before that. If it continues to run, you cannot price the return out of good acreage. Permian is headed in that direction and we are thrilled he made some investment in that area. Alix we are not there yet, but we are getting there. Mr. Foley tommy what oil prices are. [laughter] alix 60. 50. Mr. Foley at 50, good returns how much of a premium do you want to pay to get the acreage over that . Alix how much of a payment you want to play pay, david foley, blackrock . Mr. Foley [laughter] like to get in on the ground floor. We will spend time to the Technical Analysis to discern either to see someone come in, pitch for an investment when they do not have 20 returns on each well. Nobody has bad wells. Of course, the truth is somewhat different. By doing a substantial amount of work on the geology trying to discern how much of your acreage is in the suite spot. Quickly, paying up for that the second deal we did was in the delaware basin, which is less mature, less understood. Littlewe have to be a ahead, would have a little different view that the vast majority. What kind of returns do you target you need 50, 70 . Mr. Foley we are looking at building a business over time. It is not just a well. You can get suffered in on a well. It is more of a Retail Investor thing to do. We want to build an important business, put individual acreage together, so we can have a an Efficient Development plan over the years. We want to build a business that can be attractive to a strategic buyer something of real substance. The deals we have done no debt. So, the returns you could say what returns and we have Financial Leverage or not. In an environment we think is going to have low and volatile Commodity Prices for the next two years, we want to take all the risk out of it. Stayingtsoever power, we want to earn double or better over the course of a fiveyear period. Alix there is pe money in the system ready to be put to work. Do you feel there are assets do partner say david, lets go, you only have a few more years question mark few more years . Mr. Foley i got a call at the end of 2014, thanking us for being cautious. They know we are cautious and discipline, and thats what they like about us. Once you deploy capital it is not easy to deploy it. It is easy in the sector the hard part is getting it back. We try to be disciplined about it. You do not swing at every pitch. You have to be disseminating. What they are saying now they are very happy we deployed the capital that we have, and we continue looking around the world for new opportunities. That was david foley. Wantst Sheryl Sandberg women to lean in, but according to a new report, they are not necessarily getting anywhere when they do. Why women are still being held back in the upper echelons . Scarlet this is Bloomberg Markets. I am scarlet fu. Time for walk the talk, will be looking at a Pressure Point of social change in corporate america. Hillary clinton aims to defeat donald trump to become the first female president of the net estate. Whether you are a critic or an admirer, her ambition is well known and well documented. That is not the case in corporate america, where a new study has found there is an ambition gap resulting in women trailing manion c suite jobs. Joining us to discuss this is it seems like the problem is not at the start. When you look at the number of women and nine at entry level positions, it is pretty even. The gap start to widen as you move up the ladder. Lareina yee absolutely. By the end, we see 19 women. What is really surprising is we see the equity the lack of equity started very early in fact, actually 30 men are more likely to win to actually get promoted for the first manager role off the bat. Scarlet so, it starts early, and you also find a distinct difference between the number of men and women that want promotions. 80 of men want a promotion versus 70 of women. 50 of women want to become a top concept executive versus 40 of women. How do companies go about fixing that narrowing the difference . There are a lot of things happening first of all, men and women want to be leaders they say they want to have a substantial role. Them,allenges, if you ask do you want to be a very top leader, you see a drop, and in the numbers you should come you see a substantial drop in women, and a substantial drop in men. Only about 60 of men actually want that, too, and when we asked men and women why you are not understood in the very top leadership roles in your companies, they both said family, stress and pressure, and they both said politics. Site politics. It speaks to something we want to take a closer look at what is happening in the day to day work expensive does not make it as inspiring to become a top leader, and take advantage of the talent we have been developing in the Current Company question mark company . Politicsthat brings in as well. If theres Public Policy as well. Is there something, and is a not doing to inspire women and men . Ms. Yee the good news is we have a witness. 70 say this is a top business priority, i understand this is imperative for talent and better business, not just social change. The challenge is men and women in copies do not buy it. Lesson 4 of men and women say i see that. The, less than 40 of men and women say i dont see that. They say i do not believe my company has a plan. I might be aware they care, that they have this as a priority, but i do not know what the plan is, and i am not confident it will take us there. I think we are at a place where we pick about execution. We have an idea of where we want to go, but Companies Need to execute, just like they would when they develop a new product, a new market it takes a lot of work. Scarlet it certainly does. Lareina yee iq for joining us. We will speak to the Cantor