WEBVTT - Bloomberg's Wilson on Winners, Losers, Stock of the Day (Audio)

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<v Speaker 1>Global business news twenty four hours a day at Bloomberg

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<v Speaker 1>dot com. The radio plus mobile last on your range

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<v Speaker 1>is a Bloomberg Business flat from Bloomberg World Headquarters on

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<v Speaker 1>Katherine Cowery. And as that closing bell sounded down, Industrial

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<v Speaker 1>average out for fifty eight points at eighteen thousand, six

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<v Speaker 1>hundred thirty six, SMP five founded up six points at

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<v Speaker 1>nasdac A twenty nine points at fifty two sixty two,

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<v Speaker 1>all three benchmark closing at records again as traders pushed

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<v Speaker 1>back bets on higher interest rates amid uneven growth in

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<v Speaker 1>the economy. Paul Christopher Global Market started as a Wells

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<v Speaker 1>Fargo says earnings growth can continue to fuel gains in

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<v Speaker 1>the market. Ask for where that growth will come from.

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<v Speaker 1>That growth is going to come from some some combination

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<v Speaker 1>of of revenue gains that we think will be modest.

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<v Speaker 1>It's also going to come from energy flattening out. Energy

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<v Speaker 1>has been a very big drag on the market this year,

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<v Speaker 1>and it probably also comes from some further cost squeezing

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<v Speaker 1>that you may see from some fur are around the street.

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<v Speaker 1>West Texas Enemity accrued up a dollar thirty six of

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<v Speaker 1>every right now three percent trading at eight five spout

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<v Speaker 1>gold up a dollar seventy announced at thirteen nine. Ten

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<v Speaker 1>year treasury down thirteen thirty seconds, with the yield of

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<v Speaker 1>one point five. Among today's top business stories, John Williams,

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<v Speaker 1>president of the Federal Reserve Bank of San Francisco, is

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<v Speaker 1>calling for monetary and physical policymakers to rethink the way

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<v Speaker 1>they operate. He says the US is getting a taste

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<v Speaker 1>of a new economic normal that warrants a change in orthodoxy.

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<v Speaker 1>Williams urged governments to prepare to provide a stronger fiscal

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<v Speaker 1>backstop and central bankers to consider scrapping the practice of

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<v Speaker 1>targeting low inflation. Black Rock is reducing its exposure to

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<v Speaker 1>long dated U S treasuries. Increased hedging clasts from Japan

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<v Speaker 1>to Europe are making treasuries less attractive to some foreign investors.

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<v Speaker 1>Home Builder confidence climbed in August to steady job growth

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<v Speaker 1>and low interest rates boosted prospects for the residential real

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<v Speaker 1>estate market in the second half of the year. The Nation,

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<v Speaker 1>an association of homebuilders, Wells Fargo, reports it's parameter of

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<v Speaker 1>builder sentiment rose to sixty from a realised fifty eight.

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<v Speaker 1>Post properties shares at Rallied min America Apartment Communities is

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<v Speaker 1>agreed to buy the Real Estate Investment Trust for about

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<v Speaker 1>three point nine billion dollars. And now let's get an

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<v Speaker 1>update to some of the other stories we're following today. Catherine,

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<v Speaker 1>thank you from the Bloomberg News room. I'm Mark Crumpton. Milwaukee,

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<v Speaker 1>Wisconsin Mayor Tom Barrett is accusing outsiders of quote deliberately

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<v Speaker 1>trying to damage a great neighborhood in a great city.

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<v Speaker 1>His comments follows Saturday's fatal shooting by police of a

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<v Speaker 1>black man. Police Chief Edward Flynn, the community was a

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<v Speaker 1>victim of the disorder and the damage more than anybody else,

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<v Speaker 1>and large numbers of those community members, as you saw yesterday,

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<v Speaker 1>trying to repair that damage, clean up after that damage,

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<v Speaker 1>carry on as normal life as they can, despite the

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<v Speaker 1>loss of jobs and amenities that was caused by the disorder.

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<v Speaker 1>Protests and riding have taken play saw Milwaukee's predominantly African

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<v Speaker 1>American North Side. Authorities say that the man who was shot,

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<v Speaker 1>Silvel Smith, turned toward an officer with a gun in

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<v Speaker 1>his hand. Officials in Louisiana are warning residents that the

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<v Speaker 1>danger of flooding is not over Benton rouge Meyer, Kip Holden.

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<v Speaker 1>We have some homes where water is up to the roof,

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<v Speaker 1>and we have paper going in in the search and

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<v Speaker 1>rescue operation to see whether or not people may be

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<v Speaker 1>chapped in those homes and have not gotten out. The

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<v Speaker 1>flooding has left at least six people dead. The area

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<v Speaker 1>has been declared a federal disaster site. A Siena College

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<v Speaker 1>Bowls says Hillary Clinton has a thirty point lead over

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<v Speaker 1>Donald Trump in their home state of New York. The

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<v Speaker 1>survey found voters ray Clinton has more qualified and likely

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<v Speaker 1>to be more effective in dealing with Congress. When third

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<v Speaker 1>party candidates are included, Clinton's lead over Trump dropped slightly

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<v Speaker 1>to twenty five percentage points. Global News twenty four hours

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<v Speaker 1>a day, powered by more than twenty hundred journalists and

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<v Speaker 1>analyst in more than one D twenty countries. I'm more Crumpton,

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<v Speaker 1>this is Bloomberg, Katherine, thank you. And now let's get

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<v Speaker 1>a quick check of the benchmarks as they begin to

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<v Speaker 1>settle down. Industrial leverage up fifty nine points to eighteen thousand,

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<v Speaker 1>six D thirty five, smp F I founded up six

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<v Speaker 1>points to nine and as Jack have twenty nine points

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<v Speaker 1>to fifty two sixty two, and those are records for

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<v Speaker 1>all three. That's a Bloomberg business flash move around most

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<v Speaker 1>grade promotion. I feel eater move. You moved like a

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<v Speaker 1>do I've never seen anyone move that fast. Five peop

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<v Speaker 1>let's move like you've got a purpose. He's called movers

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<v Speaker 1>and shakers. They cost a little more. That name cracked

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<v Speaker 1>me up. Bloomberg taking stock movers and Shakers with pimp

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<v Speaker 1>box and Kathleen as on Bloomberg Radio. Movers and Shakers

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<v Speaker 1>for Monday, August fifteen twenty is sixteen three hundred and

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<v Speaker 1>thirty six members of the S and P five hundred advance,

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<v Speaker 1>one hundred and sixty six issues decline, and three are unchanged.

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<v Speaker 1>I want to bring in Bloomberg Stocks. Comments to Dave

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<v Speaker 1>Wilson to kick off our movers and shakers. Dave, you

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<v Speaker 1>know Twitter made this deal a few weeks ago to

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<v Speaker 1>broadcast in essence National Football League games streaming videos what

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<v Speaker 1>we're talking about, And now it looks like the social

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<v Speaker 1>media company may be able to make a deal to

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<v Speaker 1>bring its app to Apple TV, so people using that

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<v Speaker 1>service can watch the NFL games on Twitter. This is

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<v Speaker 1>a report of the new York Times, citing two people

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<v Speaker 1>briefed on the discussions. And we're about a month away

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<v Speaker 1>from the NFL season beginning, so this is definitely kind

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<v Speaker 1>of front and center for investors. Twitter shares of six

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<v Speaker 1>point eight percent on the day. Well this is on

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<v Speaker 1>the same day, of course, Dave, there's a report today

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<v Speaker 1>out about advertising social media, Twitter losing some of its

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<v Speaker 1>standing by at least one recent survey. But let's be

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<v Speaker 1>one of the home builders, the other end of the spectrum.

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<v Speaker 1>You know, I'm a macro maven, so I love it

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<v Speaker 1>when a report like this one today from the National

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<v Speaker 1>Association of home Builders. We just heard Katherine Cowdy reporting

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<v Speaker 1>on it. It's their home Builder Confidence Index rising to

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<v Speaker 1>sixty from revised fifty eight. Anytime it's above fifty, it's good.

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<v Speaker 1>So this is just getting better all the time. Measure

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<v Speaker 1>of six months sales and the outlook for that rising

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<v Speaker 1>to sixty seven from sixty six. So there's a big

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<v Speaker 1>plus there. And you know that report comes out every month,

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<v Speaker 1>but the home builders must have been poised to jump

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<v Speaker 1>on it because the Toll Brothers numbers the at the

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<v Speaker 1>close of the day up more than three percent. Poulties

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<v Speaker 1>up one and a quarter percent, Lenar up one point

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<v Speaker 1>two percent about and dr horton about point nine percent.

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<v Speaker 1>Pen Let me tell you about the shares of Twilio.

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<v Speaker 1>The shares jump more than nine percent after posting its

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<v Speaker 1>first quarterly report. Is a publicly traded company. The shares

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<v Speaker 1>of the cloud computing software business rocket it more than

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<v Speaker 1>sixty percent when it opened for trading as an initial

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<v Speaker 1>public offering. Currently, Twilio's chief executive Jeff Lawson, said that

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<v Speaker 1>new customers such as BMW, The Home Depot, Nike Salesforce,

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<v Speaker 1>dot Com, and Amazon Web Services are helping the company's business.

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<v Speaker 1>The company's technology is used to communicate with customers via text, video,

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<v Speaker 1>and voice. They posted a first quarter loss of eight

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<v Speaker 1>cents that compares to an estimated loss of fifteen cents.

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<v Speaker 1>Revenue was also higher than estimated sixty four and a

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<v Speaker 1>half million dollars compared to an estimated fifty eight million.

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<v Speaker 1>Twilio up more than nine percent, and that's just one

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<v Speaker 1>day's trading. Twilio sold at fifteen dollars to share in

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<v Speaker 1>on June twenty two, today closing at fifty seven, so

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<v Speaker 1>it's almost quite ruple from its initial public offering price.

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<v Speaker 1>That's saying something. I want to mention the best performer

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<v Speaker 1>in the SMP five hundred index today and that would

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<v Speaker 1>be Chesapeake Energy. Now, this is a company that's really suffered.

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<v Speaker 1>There's a result of falling oil natural gas prices. They're

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<v Speaker 1>dealing with nine billion dollars in debt. Well, they made

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<v Speaker 1>a move to address that debt burden. Uh. They're going

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<v Speaker 1>to banks looking for a billion dollar loan and they're

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<v Speaker 1>gonna turn around, take the money and use it to

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<v Speaker 1>buy back some of their debt. In fact, Chesapeake made

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<v Speaker 1>an offer for about half a billion dollars in debt already.

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<v Speaker 1>That came out today, and the prospect that they might

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<v Speaker 1>get their arms around their debt burden a bit again

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<v Speaker 1>went over well. Chesapeake Energy up nine point six percent.

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<v Speaker 1>Big news today in the world of apartments and reats

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<v Speaker 1>as uh, Mid America Apartment Communities agreed to buy Post

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<v Speaker 1>Properties for about three point nine billion dollars. It forms

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<v Speaker 1>a company with about a hundred five thousand multi family

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<v Speaker 1>units amid amid rising demand for rental housing. And we're

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<v Speaker 1>seeing as a result of this, actually we got Post

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<v Speaker 1>Properties having a vice pop about nine point four percent

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<v Speaker 1>in but Mid America often happens this way. Uh down

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<v Speaker 1>about four point nine percent. I'll just quickly give you

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<v Speaker 1>one more. Cisco. This is the food distributor, number one

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<v Speaker 1>food distributor in North America. The shares are up nearly

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<v Speaker 1>three percent at one point today, closing down about a

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<v Speaker 1>tenth of a percent. They're based in Houston. They are

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<v Speaker 1>looking to expense controls contributing to better than estimated earnings.

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<v Speaker 1>Another point is that Trian Fund Management increased at stake

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<v Speaker 1>in the company. It's got about a seven point eight

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<v Speaker 1>percent position in Cisco. Of course, try and run by

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<v Speaker 1>Nelson Pelts and Josh Frank. Time now for the Volatility

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<v Speaker 1>Index report, brought to you by cbo X Options and Futures.

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<v Speaker 1>Volatility can be harnessed with cbo A VIX Options and

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<v Speaker 1>Futures c disclosures. Learn more at cbo A dot com

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<v Speaker 1>slash Powerful Outcomes VIX. The VIX is closing up today

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<v Speaker 1>about point to six of a point at eleven point

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<v Speaker 1>eight one. And it's interesting, um with the VIX falling,

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<v Speaker 1>fear retreating despite some very prominent investors saying sell the

0:09:58.040 --> 0:10:01.600
<v Speaker 1>stocks you own, UM, it's the stock market, of course,

0:10:01.600 --> 0:10:04.280
<v Speaker 1>continues to climb to an all time high, but just

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<v Speaker 1>to show how much fear has retreated. Even though it's

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<v Speaker 1>up a little bit today at eleven point eight one,

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<v Speaker 1>it's not too far from her it was on August

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<v Speaker 1>nine when it fell as low as eleven point oh two,

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<v Speaker 1>not far from its intra day record low of well

0:10:16.760 --> 0:10:19.720
<v Speaker 1>pretty far actually eight point a nine back at the

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<v Speaker 1>end of all right, Dave here, Hi, my name is Dave.

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<v Speaker 1>Just what do you think you're doing today? We're going

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<v Speaker 1>for a Dave Dave Hey. Mr Wilson, tell us about

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<v Speaker 1>Select Comfort. We know, one of those betting makers and

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<v Speaker 1>retailers that kind of came front and center a week

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<v Speaker 1>ago when you had that two point four billion dollar

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<v Speaker 1>takeover offer from Mattress Firm Holding. It's sort of indicative

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<v Speaker 1>of a recovery that's really been going on in the

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<v Speaker 1>stock since February when it hit a low along with

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<v Speaker 1>the S and P five hundred. More broadly, and just

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<v Speaker 1>to put this in context, I mean, since twelve, Select

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<v Speaker 1>Comfort has been swinging between about fourteen dollars and thirty

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<v Speaker 1>six dollars, So we got to the round the fourteen

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<v Speaker 1>dollar number earlier. This year's Select Comfort by the way

0:11:14.800 --> 0:11:18.520
<v Speaker 1>trading under the ticker s c S s NOW. There's

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<v Speaker 1>a rebound going underway. As I mentioned in the recovery

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<v Speaker 1>gained some steam today after Piper Jeffrey raise its rating

0:11:23.840 --> 0:11:25.800
<v Speaker 1>to the equivalent of buy from hold, and it was

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<v Speaker 1>Peter Keith wrote in a report that he's more confident

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<v Speaker 1>in the company's fourth quarter prospects and season earnings for

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<v Speaker 1>next year, beating his peers estimates. Keith lifted his twelve

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<v Speaker 1>month price projection for the stock to thirty one dollars.

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<v Speaker 1>That's the highest amongst six analysts in Bloomberg survey, and

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<v Speaker 1>in response, Select Comfort rose to its highest price in

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<v Speaker 1>more than a year. The stock climbed almost seven and

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<v Speaker 1>a half percent. Thank you very much, Dave Wilson, Bloomberg Stocks,

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<v Speaker 1>Thomas go ahead send him an email at d Wilson

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<v Speaker 1>at Bloomberg dot net. Signed up for his daily pre

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<v Speaker 1>email newsletter. This is taking stock, I pim fox my coast.

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<v Speaker 1>Kathleen Hayes. This this Bloomberg coming up small businesses, helping

0:12:08.280 --> 0:12:12.160
<v Speaker 1>them get the capital they need to grow. Small business

0:12:12.360 --> 0:12:16.720
<v Speaker 1>lending platform Cabbage and its partnership with Scotia Bank. This

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<v Speaker 1>is Bloomberg. H