Andness inventories earnings. Scarlet is going to be busy today. Sachs at 7 30. Johnson johnson at 8 00. After the bell, yahoo , intel. David wilson suggesting next week is busier than this week. A couple of items to note. Today testimony begins. Virginia, at 11 30, president obama will be speaking on the economy. One other thing. Baseball. The kids it should be able to watch it. We have to be in bed early to get up at this crazy our. We have a lot. 10 year yield does nothing. Hydrocarbons, quite stable. The equity markets off of wells fargo, a terrific move. Dow, a Certain Authority to it. Up six dollars right now. A pullback the last couple of days. Here at the 1300 level. We have rolled over a little bit , away from the moment for the gold bulls. That is a quiet for the Asset Classes correlated yesterday. Equity markets moved up. Gold locked in with the equity. Equities are still the place to be. Growthnt and 9 earnings. It will be interesting to see what will happen. Look for that on bloomberg surveillance. The website. D at scarlet fu has made judicious decisions. Diplomacy around the world. Development overnight in israel and ukraine. Israel accepted an immediate but hamas rejected the plan. You see the headlines come across and it was painful to see lineeality of single headlines showing how failed this truce was. The latest article that just came out, there is debate within hamas as to whether or not this should be accepted. I wonder with the u. S. Role will be. A movable story right now. U. S. Pressing European Union to enact sanctions against russia over ukraine. Massacres were called to the white house yesterday. The Obama Administration is prepared to act alone. A claim shot down yesterday in eastern ukraine. Russian forces may have shot down according to is the real question. The reporting is a best efforts basis. We are keeping an eye on iran. This has been a Big Initiative for secretary of state john kerry. Perhaps it has been distracting attention from everything else. People we talk to make it clear that iran should be front and center. It is the one venue where the u. S. Can assert itself and have an impact. You think about what is happening between hamas and israel, or between russia and ukraine, iran is the one place we may have an edge. We will keep an eye on these efforts. The second story is in our wheelhouse. To earnings reports coming out. Jpmorgan at 7 00 a. M. We will see if that plays out. Citigroup made a similar warning and it did not turn out as bad. We may get an update on jamie dimons health. Clearestan is the press release. Goldman sachs is not bad either. Much more of a play on the Capital Markets rather than the overall economy. Analysts expect revenue at Goldman Sachs to drop 14 . About loan a debate demands. Clear he is an enthusiastic about this year and into next year, they staunton boring bank business. Citigroup reported 4 loan growth. Of consumer blended as well as c and i . We have citigroup report yesterday with the 7 billion settlement. Look for something from bank of america. There may be some commentary on how they are making progress. Citigroup bicycles in front of the plaza hotel looked gorgeous. That was successful branding. It looks good. Lets move on. Microsoft planning the biggest round of job cuts in five years. It could happen this week. It could be bigger than the 5800 cutback in 2009. It will be in areas like nokia and divisions that overlap with that business. Satya nadella put out a memo that hinted at all of this. Thousand microsoft, 120ishia employees, total. We are going to keep an eye on it. Those are the big stories. I would like to see microsoft product out there. I look around the do not see it. Where theashington day starts at about 8 30 a. M. Guest host, Phil Mattingly has decided to come to new york. We welcome him this morning. 8 30 . It is more like 10 00. I was trying to cut you slack. Tell me about the white house response to israel. Is it the same response we would have seen three years ago or five years ago or 10 years ago . They have been waiting for what you have seen over the last 24 hours. The government to step in and start the process of negotiating a ceasefire. 2009 and 2012. The wrinkle is the military backed it Egyptian Government does not have a relationship with hamas. That is where you see complexity. The Obama Administration has supported what egypt has put out and supported israel accepting the ceasefire. They are in wait and see mode, like we are. To we have any voice in the region . I mean within jordan, israel. What passes for some form of palestine, do we have a voice . It exists. When you see is john kerry very active amidst this time in vienna working on the iran nuclear negotiations. He has been active with the Egyptian Government and israel. Hamas is the wildcard. And not a great relationship between the u. S. And hamas. Adam hit on this at the beginning. There are elements of hamas that seemed open to the ceasefire. The military wing is the one that said no. It is tough to know who you are negotiating with when one entity does not exist. Roger cohen writing in the , arabs should study the holocaust. Goes on and on. The dead die for nothing. That is my morning must read. There are so many voices and so much noise and so much misunderstanding. Is there any central truth that washington is trying to cling onto . Quickset is tough. The Obama Administration went all in on trying to figure out a way to negotiate. John kerry, with all that is going on, got criticism for putting our sin for being on the plane so often in the region. Is therefore in a policy overload right now, our Congress People drowning in International Relations . Covers people wish they did not have to deal with foreignpolicy issues. It would like to speak about domestic issues. Lookbama administration, at john kerrys travel schedule. It has been major issue after major issue. It is crises. It is not just an issue. Is lacking and the administration is stretched thin. We will talk more with Phil Mattingly. Right now, lets get to company news. We begin with a dublinbased company. Boredom must sign off. The drug maker is backing the offer. A former Credit Suisse mergers executive held out. They could cut the tax bill by moving space to u. K. Boeing collected 21 billion in sales. Most of the buyers are taking in the new model. Airbus tripled boeings total. Boeing is expected to bounce back today with a 9 billion order. Expanding a u. S. Plan that was once the scene of a labor dispute. Vw will build in a factory at tennessee. Against joining the union. Vw will invest in chattanooga, creating up to 2400 jobs. That is this mornings company news. Will Congress Approved president obamas requested resources to deal with the children at the border. 1000 come in per day. The stakes are very high. We will discuss here on bloomberg surveillance. We are back momentarily. Clicks futures negative three. Think of the word exclusive. The former saks fifth avenue chief executive offer as in the loop with betty liu. Stephen sadove. Things on the white houses plate is immigration and how to resolve that. Two lawmakers offering a bill to deal with the border crisis. President obama request for emergency funds has turned into a partisan proxy fight. Politicians struggling to compromise on a fix. s longterm reform a far out fantasy . It is not just politicians struggling here. It is a struggle and split within the Democratic Party. It is no longer a republican abstraction. It splits within the Democratic Party and that is what theyre going to do with these 50,000 plus kids. All the news organizations talk about putting the mothers and children on a plane to fly them back to honduras. What happens to them when they land . Thehe understanding is that department of Homeland Security work with the government where they send the individuals back, to have some type of arrival greeting party. After that, it is up to the party. If you send these kids back, what are we doing as a party. The House Democrat in this bill, his parents were fifthgrade educated Migrant Workers and he is one of our smartest congresspeople. Extremely intelligent. An interesting point is it is a bipartisan bill. A conservative member of the u. S. Senate. Turned byot be anyone. Does nancy pelosi listen . She listens to the hispanic caucus. What henry says, generally should reflect what the chc is saying. There is a split within the hispanic caucus. Henry is a border congressmen looking for a solution. A solution that does not fly with the majority of democrats in the house. A wonder few could talk about the process. It would effectively bring 40 being, it would commission them to try to hear cases. Is that what might cause the resistance . What democrats want. This is a surgeon us in the administration. It is a severely lacking in resources and in individuals. They have a backlog. 240 judges right now are handling the backlog. Is heyre looking for we will give you more Court Resources to deal with these kids and not a republican side, they say we will give you that as long as we get the legislative fix. Theyre trying to find some sort of middle ground. The president did not visit the border. He is having trouble getting the money he requested. What are his next steps . Talk about what is going on internationally. The president wants to focus on the economy. He wants to focus on domestic issues in advance of november. These issues crop up. He has to the public sphere is the only lever he has to push forward. For whata wait and see House Republicans decide to do. I was with Carlos Gutierrez the day of the collapse at immigration, where senator kennedy got crushed on the senate floor. What is different now . To be honest, i think the republican as much as that you had a republican president in 2005. You had the amnesty issue. It was no different this time around. The difference is there were republicans in the u. S. Senate that because of the republican president trusted the president. Ted kennedy trusted george w. Bush. Republicans in the senate and the house have zero trust with the white house. This frustrates the white house. Theblicans do not trust president. Democrats dont trust the president. Phil mattingly, our white house correspondent. Quickset like the way you put it. The huge deficit of trust in washington. Grisanti will join us. We will get his take on the financial sector. Good morning, everyone. Our twitter question of the day, the ability worldwide to answer who wins in five years uber or licensed taxis. The yellow taxis of your city. This is a contentious issue. This is bloomberg surveillance. I am tom keene. With me, scarlet fu and adam johnson. A profilehman wrote on janet yellen. She has her hand on the lever of the economy. The segment on too big to fail. This was key to her being nominated and approved. In public speeches, she has used the phrase too big to fail, but treated it as a concern, rather than as a description of reality. It goes to show how much regulating the banks has taken federalone of the reserve. The fed does more than an fomc meeting. Is the new financial the role has gotten much more bigger after the financial crisis. Much of the critics of the chagrin of the critics. How many bills have passed this year and how many fewer is that than in past years . We are in Single Digits at this point. The interesting part about the said and regulation, reluctantly, the fed regulates. Luckily, they have taken on all of this power. Janet yellen is in a tough spot. She has so much to do on the monetary policy. The yellen testimony will have that for you later this morning. Coming up, throughout the week, we are going to be focusing on challenges facing millennials. Why income for this group of young adults is on the decline. This is bloomberg surveillance. We will be right back. Good morning. I am tom keene. With me, scarlet fu. Let me do a data check. Off a little bit. Jpmorgan and Goldman Sachs will move numbers around at the 7 00. Ing iof onit is a millennial week bloomberg surveillance. Millennials fare when they have less education or more education. Incomes the rising disparity, depending on whether you have a College Degree versus a two year degree. Versus a high school diploma. For millennials, you could do better if you have a bachelors degree. But income tends to rise, the same cannot be said for lesser degrees. We had to drag a millennial onset today. A smart millennial. Phil mattingly, this is something that plagues your generation. How much discussion is there that college is not worthwhile . I think the issue here is that for a lot of millennials, the idea of what is it worth when it comes to the cost of college, when it comes to the amount of things you can do at a young age. No one will argue. It shows a perfectly. A bachelors degree, a College Education is still the way to succeed. There are a lot of options out there. If there are other options, r pathways, lets bring in a wreck friday. Our chart has shown that if ifrn a College Degree, you have gotten a high school diploma, your earnings stops. Quickset has a widened in terms of earnings. Typical millennial will get about 35 grand a year. Earnings are about 32 grand a year. A 17,000oking at gap. As opposed to that, if we go back to the boomers back in 86 or 79, you will see the divergence was much narrower. It was about a 10,000 gap. One distinction we should mention is the challenge of getting a fulltime job in the first place. Getring that job to fulltime earnings is a different story. Whether we look at the seeployment rate, you will that millennials, compared to gen xers and boomers, they were having a harder time finding work. Real diversion version is not so much before the collegeeducated millennials and the collegeeducated boomers and has gotten harder for the College Educated, but it has gotten harder for the less educated. I am looking at some of your other data. Boomers, 8 were in poverty versus millennials. That rate has doubled in effect. Down, government falling is the economy falling down . Millennials sang about that. Economy is much different than it was 30 or 35 years ago. You can get a good manufacturing job at a High School Education for the boomers. That option is gone. Who is more likely to be by a trade union question a given the rise of a ,ublic Sector Trade UnionCollege Educated millenials are more likely to be educated in college boomers. The loss of manufacturing, the decline of trade unions, this is why opportunities for millenials to and their education after high school has dramatically dropped. There has been a big push for both parties on the federal and state level 2 if you cannot get into a Fouryear College or options are,r there are other options. Do you think that is misguided or what do you attribute to the disparity . I do not think it is misguided. Fouryear at the millenials, there is a different outcome. We say that about bachelors degree holders. The same thing applies to young adults who get two year degrees. It depends on whether they are vocational or academic. There is a different variety of outcomes. Some are quite lucrative. Others do not pay so much. In those charts that you see, there is an average over a lot of different pathways. Some of them are quite renew more it is. We talk about millenials is there any sort of conversation . There is a problem here. Millenials have a bad. Millenials are a key voting bloc. Do people try to figure out policy prescriptions. Where you have seen the rates had the most is in the student loan debate. That is a major issue trying to figure out how to do something. The broad issues they do not have as big a voice. There is a couple of generations above us that look down and do as big an impact. Quickset looks like we Pay Attention to the millenials generation because theyre baby boomers. E given the challenges they face, projectile for five to 10 years, what will look like for the generation as they mature. There is a lot of attention focused on the student debt issue. For good reason. For the collegeeducated, for many of them, student loan burdens are manageable. They are not in default. Goingf them, earnings are to hold up. They will get married, they will form households, and they will Start Building wealth. Where i think the averages, one needs to be concerned, the less educated millennials they may not be burdened with student loan debt. Earnings are much lower. Are not getting married. 70 of high school educated boomers were married. Only 40 of high school educated millennials get married. Given low earnings, you are right that theyre going to struggle to build wealth. The gap widens. Thank you so much. Coming up, we speak with the former new York City Taxi and limousine commissioner and chairman about uber and lyft. That brings us to our twitter question of the day. Who will win in five years from now . T, a it be uber, lyf competitor, or your average licensed taxi . Tweet us. We want to hear from you. Good morning. This is bloomberg surveillance. I am tom keene. With me, scarlet fu and adam johnson. A rebel attack destroyed nearly all planes at the airport in tripoli. Rockets hit aircraft part near the runway and set them on fire. Two people were killed. Rival groups have been fighting to take power. A shakeup in britains government. William hague will quit. He wants a lower cabinet position. He will stay on until next years selection. David cameron is expected to announce a successor later today. Bowe bergdahl is back on regular duty. He is getting a desk job at a texasbased. Investigators want to know about his disappearance in afghanistan. He was held captive for five year