1
00:00:01,760 --> 00:00:06,800
Speaker 1: Global business news twenty four hours a day. If Bloomberg

2
00:00:06,840 --> 00:00:11,560
Speaker 1: dot Com the radio plus mobile l is a Bloomberg

3
00:00:11,640 --> 00:00:16,080
Speaker 1: business from Bloomberg World Headquarters. I'm Charlie Pellett, folks from

4
00:00:16,200 --> 00:00:19,640
Speaker 1: Zoe's kitchen, ringing that closing bell. On this Thursday, I'll

5
00:00:19,680 --> 00:00:22,280
Speaker 1: losing day for US equities. And this update is brought

6
00:00:22,280 --> 00:00:25,880
Speaker 1: to you by Sector Spider e t FS. Why buy

7
00:00:25,960 --> 00:00:28,920
Speaker 1: a single stock when you can invest in the entire sector?

8
00:00:29,000 --> 00:00:32,360
Speaker 1: Visits sector sp d rs dot com or call one

9
00:00:32,440 --> 00:00:36,879
Speaker 1: eight six six Sector e t F stocks move lawers

10
00:00:36,960 --> 00:00:41,640
Speaker 1: results from companies including Intel and Southwest Airlines disappointed, casting

11
00:00:41,680 --> 00:00:44,640
Speaker 1: doubt on whether corporate earnings will be healthy enough to

12
00:00:44,720 --> 00:00:48,520
Speaker 1: sustain equities at all time highs. Hillary Kramer is chief

13
00:00:48,560 --> 00:00:51,040
Speaker 1: investment officer at A and G Capital Group. She was

14
00:00:51,080 --> 00:00:53,840
Speaker 1: our guest moments ago right here on taking stock. I

15
00:00:53,880 --> 00:00:56,920
Speaker 1: think it is going to end really badly ultimately. But

16
00:00:57,000 --> 00:01:00,360
Speaker 1: for all those investors staying on the sidelines, just keep mind.

17
00:01:00,760 --> 00:01:05,000
Speaker 1: We can stay moving upwards for months like this. The

18
00:01:05,080 --> 00:01:08,920
Speaker 1: June index of Leading Economic Indicators advanced three tenths of

19
00:01:09,000 --> 00:01:12,200
Speaker 1: one percent. Ken Goldstein is an economist at the Conference Board.

20
00:01:12,240 --> 00:01:14,920
Speaker 1: He was also interviewed today right here on taking Stock.

21
00:01:15,040 --> 00:01:17,039
Speaker 1: One of the things that we're seeing right now, and

22
00:01:17,120 --> 00:01:19,720
Speaker 1: you saw this in the CPI just last week, is

23
00:01:19,760 --> 00:01:21,720
Speaker 1: that the only thing that's moving in the CPI are

24
00:01:21,800 --> 00:01:25,720
Speaker 1: rents in home mono cost because vacancy rates for apartments

25
00:01:25,720 --> 00:01:29,800
Speaker 1: are so low, and because demand for homes is being

26
00:01:29,959 --> 00:01:33,480
Speaker 1: you know, is exceeding this supply. So these builders are

27
00:01:33,560 --> 00:01:36,440
Speaker 1: out there trying to build new apartment buildings, new homes

28
00:01:36,440 --> 00:01:39,240
Speaker 1: as fast as they can, and that's giving this economy

29
00:01:39,280 --> 00:01:41,840
Speaker 1: a little bit of a spark. Mario Drownki says the

30
00:01:41,840 --> 00:01:45,319
Speaker 1: European Central Bank will not hesitate to add fresh stimulus

31
00:01:45,360 --> 00:01:47,680
Speaker 1: if needed once it has a clearer picture of the

32
00:01:47,720 --> 00:01:51,000
Speaker 1: economic impact from the UK's vote to leave the European Union.

33
00:01:51,440 --> 00:01:54,680
Speaker 1: We are waiting the latest numbers out of PayPal ebays,

34
00:01:54,720 --> 00:01:57,560
Speaker 1: surging today after its report last night, up ten point

35
00:01:57,640 --> 00:02:01,680
Speaker 1: nine percent. Today we did see shares of Intel down

36
00:02:01,760 --> 00:02:07,040
Speaker 1: four percent, Southwest Carolines down eleven percent, SMP dropping eight points,

37
00:02:07,120 --> 00:02:10,920
Speaker 1: to st drop of four tenths of one percent, Gold

38
00:02:11,160 --> 00:02:16,639
Speaker 1: up twelve ninety one percent four oh two on Wall Street. Now,

39
00:02:16,680 --> 00:02:20,519
Speaker 1: let's take a look at other news from around the world. Charlie.

40
00:02:20,560 --> 00:02:23,120
Speaker 1: Thank you from the Bloomberg news room, I Mark Crompton.

41
00:02:23,520 --> 00:02:26,240
Speaker 1: Last week's deadly truck attack in the French city of

42
00:02:26,360 --> 00:02:29,040
Speaker 1: Nice may have been in the works for months. That's

43
00:02:29,080 --> 00:02:32,280
Speaker 1: according to the Paris prosecutor, who says it appears the

44
00:02:32,360 --> 00:02:35,799
Speaker 1: driver had been plotting the attack and that he had accomplices.

45
00:02:36,320 --> 00:02:40,160
Speaker 1: Speaking to his state's delegation in Cleveland this morning, Texas

46
00:02:40,160 --> 00:02:44,280
Speaker 1: Senator Ted Cruz, who last night refused to endorse Donald Trump,

47
00:02:44,560 --> 00:02:47,520
Speaker 1: said he told Trump three days ago he wasn't going

48
00:02:47,560 --> 00:02:51,040
Speaker 1: to endorse him and doesn't plan to. Cruise has attacks

49
00:02:51,080 --> 00:02:54,280
Speaker 1: on his family during the primary season changed his mind.

50
00:02:54,480 --> 00:02:57,800
Speaker 1: Now now this is not politic. I will tell the crew.

51
00:02:58,320 --> 00:03:00,960
Speaker 1: I will not malign, I will in salt, I will

52
00:03:01,040 --> 00:03:03,040
Speaker 1: not attack. I will tell the truth. This is not

53
00:03:03,120 --> 00:03:07,200
Speaker 1: a game. It is not politic. Right and wrong matters.

54
00:03:07,280 --> 00:03:09,919
Speaker 1: We have not abandoned who we are in the pumper.

55
00:03:10,840 --> 00:03:14,920
Speaker 1: Donald Trump will officially accept his party's nomination for president tonight.

56
00:03:15,400 --> 00:03:18,960
Speaker 1: An appeals court has ruled on the Texas voter I

57
00:03:19,080 --> 00:03:22,560
Speaker 1: D law. The voter identification law in Texas must allow

58
00:03:22,639 --> 00:03:25,600
Speaker 1: for people without an approved I D such as a

59
00:03:25,680 --> 00:03:29,280
Speaker 1: driver's license or another form of photo i D while

60
00:03:29,280 --> 00:03:33,240
Speaker 1: a judge hammers alternatives. The ruling weekends a statute in

61
00:03:33,280 --> 00:03:36,360
Speaker 1: Texas that critics had called the harshest voter I D

62
00:03:36,520 --> 00:03:40,200
Speaker 1: law of the nation. Bloomberg's Michael Barr reporting New York

63
00:03:40,280 --> 00:03:44,000
Speaker 1: City will install USB ports for Staten Island ferries and

64
00:03:44,080 --> 00:03:49,040
Speaker 1: terminals after shutting off electrical outlets because passengers were fighting

65
00:03:49,040 --> 00:03:52,240
Speaker 1: over them. A ferry worker was punched during one of

66
00:03:52,280 --> 00:03:56,400
Speaker 1: those disputes. Local News twenty four hours a day, powered

67
00:03:56,400 --> 00:03:59,600
Speaker 1: by more than twenty six hundred journalists and analysts in

68
00:03:59,680 --> 00:04:04,920
Speaker 1: more in one twenty countries. I'm more Crumpton. This is Bloomberg, Charlie,

69
00:04:05,520 --> 00:04:07,960
Speaker 1: and we thank you, and again recapping, I'll move forward.

70
00:04:07,960 --> 00:04:10,120
Speaker 1: For US equities with the S and P five hundred

71
00:04:10,160 --> 00:04:14,640
Speaker 1: index down seven a drop of four tenths of one percent,

72
00:04:15,040 --> 00:04:18,400
Speaker 1: nan stackdown three tenths of one percent down, industrials down

73
00:04:18,440 --> 00:04:21,360
Speaker 1: four tenths of one percent. Moments ago, we did hear

74
00:04:21,400 --> 00:04:24,600
Speaker 1: from eight T and T it reported second quarter adjusted

75
00:04:24,640 --> 00:04:28,720
Speaker 1: EPs of seventy two cents. Estimates were for seventy two cents.

76
00:04:29,040 --> 00:04:33,040
Speaker 1: I'm Charlie Pellett. That's a Bloomberg business flash move around

77
00:04:33,160 --> 00:04:39,880
Speaker 1: motion gremotion. Move you move like they do. I've never

78
00:04:39,880 --> 00:04:46,159
Speaker 1: seen anyone move that back hired people's good luck to

79
00:04:46,160 --> 00:04:53,840
Speaker 1: get a purpose that was called movers and shakers. It

80
00:04:54,000 --> 00:04:56,240
Speaker 1: cost a little more about that name cracked me up.

81
00:05:02,120 --> 00:05:06,360
Speaker 1: Bloomberg taking stock Movers and Shakers with Bim Box and

82
00:05:06,440 --> 00:05:11,120
Speaker 1: Kathleen As on Bloomberg Radio. Movers and Shakers for this Thursday,

83
00:05:11,200 --> 00:05:14,520
Speaker 1: July the twenty one twenty A sixteen one hundred and

84
00:05:14,600 --> 00:05:17,560
Speaker 1: fifty one issues in the SMP, five hundred advanced, three

85
00:05:17,640 --> 00:05:22,480
Speaker 1: hundred and fifty one fall and three remain unchanged. Dave Wilson,

86
00:05:22,480 --> 00:05:25,440
Speaker 1: Bloomberg Stocks Columns joins me now to begin our Movers

87
00:05:25,440 --> 00:05:28,479
Speaker 1: and Shakers. Dave Well, I gotta mention Starbucks because their

88
00:05:28,520 --> 00:05:32,680
Speaker 1: fiscal third quarter results are out adjusted earnings forty nine

89
00:05:32,680 --> 00:05:35,880
Speaker 1: cents of share match the average estimate of analysts and

90
00:05:35,920 --> 00:05:39,840
Speaker 1: Bloomberg survey revenue, though really not measuring up to what

91
00:05:40,400 --> 00:05:43,320
Speaker 1: investors and nailis we're looking for. Uh. He had net

92
00:05:43,320 --> 00:05:45,880
Speaker 1: revenue of five point to four billion dollars the average

93
00:05:45,920 --> 00:05:49,760
Speaker 1: estment five point three four billion, and sales at locations

94
00:05:49,800 --> 00:05:52,200
Speaker 1: open more than a year comp sales as they are

95
00:05:52,240 --> 00:05:55,640
Speaker 1: called up four percent when the average estimate was five

96
00:05:55,680 --> 00:05:58,479
Speaker 1: point six percent. You got Starbucks shares down about five

97
00:05:58,560 --> 00:06:01,240
Speaker 1: percent in late trading in the wake of those results.

98
00:06:01,680 --> 00:06:05,040
Speaker 1: Shares of Sherwin Williams down more than six and a

99
00:06:05,040 --> 00:06:08,200
Speaker 1: half percent today. The paint maker wants to become the

100
00:06:08,200 --> 00:06:11,680
Speaker 1: world's largest with its pending acquisition of valves Bar. The

101
00:06:11,760 --> 00:06:14,640
Speaker 1: decline today is the biggest in four months. Had posted

102
00:06:14,680 --> 00:06:18,159
Speaker 1: sales and earnings that trailed analyst estimates. A second quarter

103
00:06:18,200 --> 00:06:22,320
Speaker 1: adjusted EPs of four dollars and six cents missed by

104
00:06:22,440 --> 00:06:25,360
Speaker 1: ten cents. Revenue, though was up two point eight percent

105
00:06:25,440 --> 00:06:28,719
Speaker 1: to three point two two billion. In that too, was

106
00:06:28,800 --> 00:06:31,200
Speaker 1: less than analyssessments. They were all looking for more than

107
00:06:31,240 --> 00:06:34,000
Speaker 1: three and a quarter billion dollars in sales. Once again,

108
00:06:34,040 --> 00:06:37,760
Speaker 1: the shares of Sherwin Williams down six and a half percent.

109
00:06:38,160 --> 00:06:41,000
Speaker 1: Let's take a look at Kinder Morgan, the gas pipeline company.

110
00:06:41,040 --> 00:06:43,640
Speaker 1: You know they cut their dividend at the beginning of

111
00:06:43,640 --> 00:06:46,239
Speaker 1: this year to twelve and a half cents a share

112
00:06:46,320 --> 00:06:50,000
Speaker 1: from fifty one cents. Last week, on a conference call,

113
00:06:50,279 --> 00:06:53,120
Speaker 1: Kinder executive said the company was moving closer to a

114
00:06:53,240 --> 00:06:58,120
Speaker 1: higher dividend or perhaps stocked by backs. Today different story.

115
00:06:58,640 --> 00:07:01,719
Speaker 1: Kinder said the divd then would remain at twelve and

116
00:07:01,720 --> 00:07:04,120
Speaker 1: a half cents a share at least through the end

117
00:07:04,160 --> 00:07:07,960
Speaker 1: of the year, and Kinder shares down five point two

118
00:07:08,000 --> 00:07:12,400
Speaker 1: percent on that disappointment. Shares of Visa will be watching

119
00:07:12,440 --> 00:07:15,480
Speaker 1: those because visas third quarter adjusted earnings for share comes

120
00:07:15,480 --> 00:07:18,840
Speaker 1: in at sixty nine cents, beating the average analyst estimate

121
00:07:19,000 --> 00:07:22,080
Speaker 1: by two cents. The buy back has now been moved

122
00:07:22,160 --> 00:07:25,920
Speaker 1: higher to more than five billion dollars worth of shares.

123
00:07:26,240 --> 00:07:30,120
Speaker 1: The company also reporting revenue of three point six three

124
00:07:30,160 --> 00:07:35,120
Speaker 1: billion versus an estimated three point six five billion. We'll

125
00:07:35,120 --> 00:07:38,480
Speaker 1: be giving you more details as Visa shares start trading

126
00:07:38,480 --> 00:07:41,120
Speaker 1: in the after hours. During the regular session, shares of

127
00:07:41,240 --> 00:07:44,600
Speaker 1: Visa they were down about three quarters of a percent. Well,

128
00:07:44,640 --> 00:07:46,880
Speaker 1: let's talk about a stock with a Visa tie in.

129
00:07:46,880 --> 00:07:50,720
Speaker 1: In that case, PayPal Holdings, the online payment company UH.

130
00:07:50,720 --> 00:07:54,480
Speaker 1: They announced an agreement with Visa in which PayPal would

131
00:07:54,560 --> 00:07:58,960
Speaker 1: stop discouraging customers from linking accounts to Visa cards and

132
00:07:59,080 --> 00:08:01,640
Speaker 1: share more day it out with the card network and

133
00:08:01,680 --> 00:08:04,600
Speaker 1: return they'll get more certainty about fees and other incentives.

134
00:08:05,040 --> 00:08:09,360
Speaker 1: UH PayPal announcing disagreement along with second quarter results, UH

135
00:08:09,720 --> 00:08:13,040
Speaker 1: revenue two point six five billion dollars, beating the average

136
00:08:13,120 --> 00:08:16,000
Speaker 1: estimate than a Bloomberg survey. UH second quarter l is

137
00:08:16,000 --> 00:08:19,560
Speaker 1: pretty much in line fully your revenue though they're forecasting

138
00:08:19,680 --> 00:08:22,400
Speaker 1: ten point seven five to ten point five billion dollars

139
00:08:22,400 --> 00:08:25,400
Speaker 1: and the average estimate just eight point nine three billions,

140
00:08:25,440 --> 00:08:29,200
Speaker 1: So UH a positive there, and PayPal holdings up five

141
00:08:29,240 --> 00:08:31,920
Speaker 1: and a half percent in late trading. Let me tell

142
00:08:31,920 --> 00:08:33,280
Speaker 1: you a little bit about what's going on in the

143
00:08:33,320 --> 00:08:39,480
Speaker 1: airline industry right now. Southwest Airlines down eleven percent today. Uh.

144
00:08:39,520 --> 00:08:42,120
Speaker 1: The reason, well, it has to all do with fairs

145
00:08:42,320 --> 00:08:47,800
Speaker 1: and UH with the sort of continued competition for airlines.

146
00:08:48,040 --> 00:08:49,880
Speaker 1: And we take a look at Love which is the

147
00:08:50,080 --> 00:08:54,680
Speaker 1: symbol for Southwest down more than eleven percent today. Let's

148
00:08:54,720 --> 00:08:58,320
Speaker 1: love luv. Yeah, well love Field right, that's where it comes,

149
00:08:58,440 --> 00:09:04,439
Speaker 1: Luv luv star plunging, fair weakness, oblique view, sharper competition

150
00:09:04,559 --> 00:09:07,760
Speaker 1: that everyone thinks it's gonna drive down air fares more

151
00:09:07,800 --> 00:09:10,199
Speaker 1: than the previous quarters. Prices have been softening all year

152
00:09:10,240 --> 00:09:14,240
Speaker 1: once again, shares of Southwest there down more than eleven

153
00:09:14,280 --> 00:09:17,440
Speaker 1: percent today. Dave, just really quickly, I'll mention the former

154
00:09:17,520 --> 00:09:20,559
Speaker 1: parent company of PayPal, and that would be eBay, the

155
00:09:20,600 --> 00:09:24,760
Speaker 1: online marketplace, beat second core profit in sales estimates, raise

156
00:09:24,840 --> 00:09:28,079
Speaker 1: full your forecast, increase the stock buyback program by two

157
00:09:28,120 --> 00:09:31,480
Speaker 1: and a half billion dollars. eBay up almost eleven percent today,

158
00:09:31,480 --> 00:09:34,400
Speaker 1: the biggest gain in the SMP. Alright, it's time now

159
00:09:34,440 --> 00:09:36,920
Speaker 1: for the volatility Index reported, of course, brought to you

160
00:09:36,920 --> 00:09:40,720
Speaker 1: by cbo E VIX Options and Futures. Volatility can be

161
00:09:40,760 --> 00:09:43,719
Speaker 1: harnessed with cbo E VIX Options and Futures a C

162
00:09:43,960 --> 00:09:48,160
Speaker 1: disclosures and learn more at cbo e dot com. Slash

163
00:09:48,200 --> 00:09:52,040
Speaker 1: Powerful Outcomes VIX. The VIX higher today, up more than

164
00:09:52,120 --> 00:09:55,520
Speaker 1: eight and a half percent. It gains one point o two,

165
00:09:56,000 --> 00:09:59,920
Speaker 1: settling at a twelve point seven nine, and that ends

166
00:10:00,160 --> 00:10:04,320
Speaker 1: a succession of declines for the VIX. In addition, we're

167
00:10:04,320 --> 00:10:08,680
Speaker 1: passing along this news that Fox Broadcasting says that Roger

168
00:10:08,720 --> 00:10:13,040
Speaker 1: Ailes has resigned as the head of Fox News. We'll

169
00:10:13,080 --> 00:10:17,360
Speaker 1: have more details as they become available. All right, Dave,

170
00:10:17,480 --> 00:10:23,360
Speaker 1: you're uh hi, my name is Dave. Just what do

171
00:10:23,400 --> 00:10:25,760
Speaker 1: you think you're doing things? We're going for the prank

172
00:10:25,800 --> 00:10:33,040
Speaker 1: found the door to Dave. Dave Hey, Mr Wilson, give

173
00:10:33,120 --> 00:10:36,360
Speaker 1: us the big picture. Absolutely you know. The new movie

174
00:10:36,440 --> 00:10:40,120
Speaker 1: Star Trek Beyond previewed across the US and Canada last

175
00:10:40,240 --> 00:10:43,559
Speaker 1: night in Imax theaters. Want to be more precise, the

176
00:10:43,559 --> 00:10:47,600
Speaker 1: film was shown with IMAX's equipment in IMAX's large screen

177
00:10:47,679 --> 00:10:50,640
Speaker 1: format at IMAX's own theaters. That spells out what the

178
00:10:50,679 --> 00:10:54,120
Speaker 1: company does. Imax based in Canada. Company dropped its local

179
00:10:54,160 --> 00:10:56,520
Speaker 1: stock listing about eighteen months ago and now has its

180
00:10:56,559 --> 00:10:58,360
Speaker 1: main listing on the New York Stocker Change and the

181
00:10:58,360 --> 00:11:02,959
Speaker 1: ticker surprises i'max. That's I am a x Imax. The

182
00:11:03,000 --> 00:11:05,320
Speaker 1: stock price has been up and down since last year's

183
00:11:05,320 --> 00:11:08,400
Speaker 1: stock peaked at forty three hours eighty cents in June

184
00:11:08,840 --> 00:11:12,199
Speaker 1: and dropped forty two percent before sending a low in February.

185
00:11:12,480 --> 00:11:15,720
Speaker 1: Now today was an update thanks to well received results

186
00:11:15,760 --> 00:11:19,400
Speaker 1: for the second quarter. Earnings that Imax were eighteen cents

187
00:11:19,400 --> 00:11:22,960
Speaker 1: of share, which beat analysts averagestment in Bloomberg survey, and

188
00:11:23,040 --> 00:11:27,680
Speaker 1: revenue exceeded projections for the seventh straight quarter. Put that

189
00:11:27,760 --> 00:11:30,839
Speaker 1: all together, i'm next shares rose about fourteen and a

190
00:11:30,920 --> 00:11:33,920
Speaker 1: half percent, and that's their biggest game since two thousand

191
00:11:33,960 --> 00:11:37,120
Speaker 1: and eight. The rally lifted the stock to it's high

192
00:11:37,480 --> 00:11:41,400
Speaker 1: for the year. Thank you very much. Dave Wilson, Bloomberg

193
00:11:41,640 --> 00:11:46,080
Speaker 1: Stocks commist and once again twenty one century Fox says

194
00:11:46,160 --> 00:11:50,640
Speaker 1: that Roger Ailes has resigned as the head of Fox News.

195
00:11:51,280 --> 00:11:54,640
Speaker 1: He said this in an emailed statement. Will have more

196
00:11:54,679 --> 00:11:58,840
Speaker 1: details as they become available. I'm PIM Fox and this

197
00:11:59,240 --> 00:12:07,839
Speaker 1: is Bloomberg. Bloomberg taking Stock is brought to by Cone

198
00:12:07,880 --> 00:12:11,959
Speaker 1: Resnick look Ahead, Gain Insight, Imagine more. Get forward thinking

199
00:12:11,960 --> 00:12:15,640
Speaker 1: advice that can help you turn business possibilities into business opportunities.

200
00:12:15,880 --> 00:12:20,200
Speaker 1: Find out more at Cone Resnick dot com.