spot pricing took micron down. now micron catching up. the big question will be the outlook, the last quarter with they guided down. the outlook will be key. the bigger question is are we looking at another dram pricing cycle. if we are, it could be positive. joe: thank you. fedex beating estimates on earnings-per-share for the fourth quarter, but the guidance . the forecasted trail wall street expectations. let's get a breakdown of what the company is saying. for more insight into the results, let's bring in tom black. help us make sense of this. all kinds of crosswinds affecting fedex. the stock up a little bit. y?at do investors sa >> they beat on fourth-quarter earnings, but fiscal 2020 was lower than expected. there are some things in there that people can latch onto that are positive and some negatives as well. caroline: we were talking about micron's relationship with huawei. china mulling a fedex blacklisting of huawei. they said they started delivering once again to huawei. what do we know about fedex? productsdon't have that are

oems buying in advance micron's inventories, we don't know inventories so, look, i don't think micron should recover to its old highs. let's not forget about all that came out and said we have a $100 price target they're jumping over themselves each day this is going to the moon. so i still own skyworks. i sold most of my smh. still a little left because it's a little overdone for now. too much beta coming ahead of trump and g20. >> but if, doc, a lot of the negativity around this space i built around trade, if you get some positive headlines, to steve's point coming out of the g20 this weekend, why wouldn't these stocks continue to work? >> yeah. and they will if that's what -- >> i agree with that i think one of the key phrases in here, scott -- >> my point is if you're getting out of part or all of your smh, why do you want to be so negative in that space ahead of what could be a positive development this weekend >> i put smh on as a trade, and it was a good trade. i took my money off the table. i still own skyworks and bought more skyworks over the past week that's where i'm playi

. >> this is micron. >> micron specifically. >> we showed you, some semiconductors can maybe jump on this. >> i'm sure if i looked right now, i haven't looked, i'm sure intel is higher, knee jerk reaction, this, to me, is a very micron specific report >> okay. now, a fast look at other earnings, movers, as we head to break. fedex higher off its numbers conference call in the next 15 minutes or so. the company last night announcing a lawsuit against the united states over handling of huawei the latest plus, oil at the helm of geopolitical tensions. one talk energy watcher says a key event next week could send the commodity surging. mike bradley is here and biotech m&a heating up pete says there is one name in the space that could be the next breakout stock he'll give you his fast pitch. we're live as always from times square much more "fast" right after this al: hi everyone! al roker here. as a guy with his own catchphrase, i appreciate that after 75 years smokey's only said... smokey bear: only you can prevent wildfires. al: but, i'm filling in because there's a lot more to report! l

micron reported last night. they said they have resumed shipments to huawei because their lawyers found that some components aren't necessarily included in the ban. when you think of the extent of revenue for micron that comes huawei, it is very large, 13%. 57% of revenue comes from china alone. it is not just micron that has resumed shipments. we heard from intel. micron up 13%, the best day for the stock since 2011. we also saw intel up, and every stock in the index higher, so broadbase gains on the back of these hopes. emily: how does this fit into what has been happening over the last weeks as the threats of tariffs have escalated and we wait for this meeting at the g20? sarah: it is a wait-and-see moment. it has been a wait and see couple of weeks. investors are holding and waiting to see what comes out of the g20 meeting. are we actually going to see a delay of the next $325 billion worth of tariffs? there have been hints from the administration saying that even if they don't come to a deal, and most inves

micron is our stock of the hour. thanks to kailey leinz. time for our latest bloomberg business flash. the european union has launched an antitrust investigation into broadcom's sales tactics for tv box ships. the european company says -- the european union says the makers may be forced to buy the chips exclusively from the company. broadcom says the concerns are without merit. elon musk says tesla could be on the verge of a quarterly record for deliveries. employees a memo to saying they will have to go all out. buyers may be voted -- motivated by a -- that is your latest bloomberg business flash. time.t is that it is nearly that time. up next, our global battle of the charts. this is bloomberg. ♪ guy: 53 minutes past the hour. that means it is climb -- that means it is time for your global battle the charts. you can find these charts on bloomberg if you run gtv . eric balchunas here to kick things off. eric: the number one best performing long on the etf is tan, the solar energy etf. not anyone even that close. that is a bomb of a r

back to you. >> and let's get to josh lipton for a preview of micron. >> so micron is expected to report q3 eps of 79 cents on revenue of 4.69 billion. stock down hard from its intra day high rbc mitch steves puts it much on huawei huawei does represent some 13% of micron's revenue. steve remains positive on the stock though and he sos nan pricing potentially bombing as soon as q4 >> and dow on pace to close near the lows of the session. down 197 up next, we're covering all the angles of the market >> and here are the winners and losers in the dow. for your heart... your joints... or your digestion... so why wouldn't you take something for the most important part of you... your brain. with an ingredient originally discovered in jellyfish, prevagen has been shown in clinical trials to improve short-term memory. prevagen. healthier brain. better life. (osamah) cancer is... the ugliest disease mankind has ever faced. (henry) i thought it was unfair. when-- when you hear those words that you get diagnosed with cancer. (osamah) successfully treating it still remains one of the most enormous c

so finding a bit of relief >>> micron is one of the u.s. companies that the "new york times" reports has side stepped the trump administration's ban on huawei. intel and other chipmakers have also been funneling products to huawei for three weeks to take advantage on the provision of labeling of american made goods. white house officials are said to be aware of those sales >>> several rural u.s. telecom carriers that use huawei gear are reportedly in talks with ericsson and nokia to replace these products reuters reports that the carriers are looking for discounted prices and support from the u.s. government, but they have yet to reach an agreement. ericsson and nokia declined to comment on that report arjun joins us from shanghai you have been speaking to some key people involved in these deals. >> absolutely. look, ericsson and nokia are key players in the 5g rollout. 5g really is front and center here at mwc shanghai one of the biggest shows for the mobile industry globally not only those two, but also huawei, one of the rivals very much

do the regulations incentivize a company like micron to move more business overseas? >> you know, these are a complex set of regulations that are a part of export regulations and restrictions, and there are all kinds of ago pegspects in curre terms of technologies as well as country of origin, where you manufacture, what your supply chain looks like all of those considerations are important. micron is a very diversified company across the road, spread out across the globe, as well as our manufacturing footprint. and certainly that helps us in this situation as well but we are absolutely continuing on the strat zwri that strategyi terms of a strong global footprint that already exists for the company and adding diversified markets and diver diversified set of customers because the application for memory that micron makes are really growing fast in terms of when you think about artificial intelligence, machine learning, autonomous, iot. all of these are going to require more memory and storage in the future, and we have a strong product roadmap, strong technology and ma

micron leading the charge there after good earnings. s&p 500 did close the day flat, which masks some strength we saw in groups like energy. the dow was higher for most of the day. it does just close about nine points it was up 111. we lost some of the china optimism pretty quickly. it also masked some weakness two sectors up real estate and utilities down more than 2%, so a lot of divergence today, despite markets ultimately ending flat as you said, energy topped oil prices higher, apple also sort of stands up 2.4%, not really clear why, almost as if rallying on those comments from secretary mnuchin, as if they were more positive about trade than they seem to be, but a lot of focus certainly on the trade issue >> just in general, i think the semiconductors are in the eye of the storm here they are still off more than 10% from the 52-week highs on the trade news, they have a glimmer of hope, micron saying they can actually get around the huawei rules and start shipping some of the packages to them don't call it a loop did up hole, but t

micron, best day in three years. amd, all soaring, are they giving the market an all clear sign, guy? >> welcome back, scott. >> thank you, guy. >> we missed you last time we had brian we have you back. >> what would the show be like without that greeting. >> i don't think it gives the market the all clear the micron numbers were better than the street was anticipating b on revenue, steve knows this, 64% of the company's revenue down 45% year over year. so you're saying how does the stock rally off of that because this time last year, it was a $62 stock. it becomes a math problem. the rally today makes sense. we discussed it last night, but to think you have the all clear based on this, i think is foolish. i think you're having a relief rally, analysts will catch up. i think there's going to be another leg down over the next couple of weeks. >> the guy says you're way off the highs for names like micron and western digital, and vidia we're talking double digit percentage points. >> western digital has the story. micr

at micron headquarters in boise, idaho 11:00 a.m. here on wall street "squawk alley" is live ♪ ♪ ♪ >>> good wednesday morning welcome to "squawk alley." live from post nine, the new york stock exchange. great to have you, andrew. >> nice to see you. >> carl quintanilla is on assignment we begin today with social media. the first democratic debate set to air tonight with companies like facebook and twitter in the spotlight. the president just this morning claiming big tech companies are, quote, all democrats and are purposely repressing his reach julia joins us from los angele

you are seeing now a rally in micron shares and other chipmakers. there's a little bit of a relief rally here. this is just one step in the process. it's unclear how this is going to play out over the next weeks and months. amanda: could this effectively make the huawei been irrelevant? >> it opens up a bit of a window for these companies to resume some of the shipments. the companies are not going into detail about what exactly they have resumed shipping to huawei so it's not clear if this is all the technology they need or only some of it. we don't have a lot of those details. it's not clear if the companies are going to talk about it or leave it to lawyers and the trade groups that have in the communications point people for this issue because it is so sensitive. amanda: good to have your thoughts on this. just a reminder, bloomberg users can interact with all the charts you've seen on the show and other shows at dtv go. you can see all the analysis that goes along with it and browse past charts as well. from toronto and new york, this is bloombe

reports they saw a revenue drop by almost 40 percent and then just in the 1st 6 months of the year micron got about 13 percent of their business or of their revenue from why when the band got to emplace in may micron stopped selling components to you ben they had a closer look at it and found ways to still at least sell some components to you i'll buy on and that was the stock actually gained by 13 percent yes go to new york thank you. the united states has been trying to calm its allies over another of its trade conflicts during a visit to india u.s. secretary of state might pompei a promise deli the u.s. would ensure it continues to get enough oil despite sanctions on iran and has stopped buying iranian crude in line with the white house's restrictions mr visit follows in the introduction of increased tariffs on some u.s. goods in retaliation for washington dropping new delhi's preferential trade status . and out of some of the other global business stories making the news bitcoins resurgence is picking up steam the price of the crypto currency has soared to its highest level since janu

micron reported last night. they said they have resumed shipments to huawei because their lawyers found that some components aren't necessarily included in the ban. when you think of the extent of revenue for micron that comes from huawei, 13%. 57% of revenue comes from china alone. it is not just micron that has resumed shipments. we heard from intel. up,aw micron and inteel and every stock in the index higher, so broadbase gains on the back of these hopes. emily: how does this fit into what has been happening over the last weeks as the threats of tariffs have escalated and we wait for this meeting at the g20? >> it is a wait-and-see moment. it has been a wait and see couple of weeks. investors are holding and waiting to see what comes out of the g20 meeting. are we actually going to see a delay of the next $325 billion worth of tariffs? there have been hence from the administration saying that even if they don't come to a deal, and most investors are not expecting a deal this weekend, they expect a kicking of

i think president trump figures out a way to close the loophole, not good for micron. it means in my world is stock is going down you know what we're doing here, tyler? a little tag team. now mike is going to tell you how to trade it. >> all right let's take a look here it is kind of the theme of the show that i don't like to layout a lot of premium i am looking for higher probability of profit. essentially what you are looking at here is if you think that this move is too far, too fast, meaning it is presumably going to stop here or around here, let's look at a couple of bullets here we are looking at a trade with a heyer probability of profit. this is a trade when you sell a call spread three things can happen, two are good and one is less bad than shorting the stock. we like the high probability of profit the other thing by selling a call spread rather than shorting a stock or selling a naked call is limiting our risk the other thing is, of course, we are trying to play off guy's thesis that the stock is currently exhausted. what is the trade here we are looking out

when the band got to emplace in may micron stopped selling components to you ben they had a closer look at it and found ways to still at least sell some components to you all why on and that was the stock actually gained by 13 percent yes court in new york thank you. the united states has been trying to calm its allies over another of its trade conflicts during a visit to india u.s. secretary of state my pompei a promise delly the u.s. would ensure it continues to get enough oil despite sanctions on iran and to stop buying iranian crude in line with the white house's restrictions mr previous visit follows in the introduction of increased terrorist on some u.s. goods in retaliation for washington dropping new delhi's preferential trade status . and out of some of the other global business stories making the news bitcoins resurgence is picking up steam the price of the crypto currency has soared to its highest level since january last year an asian trading on wednesday bitcoin jumped 10 percent to a price of just under $13000.00 it has now risen for 8 trading sessions in a row african cou

everybody's all giddy about micron and i get it. the quarter was fine, but wedbush just came out and initiated with a $30 price target i can do that math in my head, but that's a lot lower in terms of percentage. number one, number two, why? because revenues keep declining. d ram revenue which is like 61% of the company down like 45% year-over-year nan revenue 31% of the company down 25% year-over-year, and those numbers aren't getting any better if you look at their guidance you have declining revenue, not good that's number two. and number three, i don't know how they pronounce huawei with an h in front of it. what i'll tell you they are in a loophole, they can still make sales. if all things go appear shaped at the g20, which i think they will by the way, i think president trump tifigures out a way to close this loophole not good for micron. you know what we're doing is a little tag team now mike's going to tell you how to trade it. >> let's take a look here. it's kind of the theme of the show that i don't like to lay out a lot o

>> some we do, some we don't micron, i'm not sure you'll get back to the old highs. pretty confident you won't, as a matter of fact i think what's much more important than individual names is the market. that's what's driving it joe's right. it's been a narrow advance we've been saying that already for eight, nine years, that it's driven by buy backs, the most hated rally we've ever seen, et cetera, et cetera. it doesn't matter. the only thing that matters at this point is china. >> well, the fed matters. >> but they're sort of out of the way. >> not really. they're in front of us in july but you also made the point that if they move in july, if they cut rates, you don't think stocks go up are you rethinking that? >> no. i think stocks go up short term on that. a knee-jerk reaction, you're right. but longer terming, i don't think that's the catalyst. yes, i am rethinking it because i think right now with the ecb coming out so dovish and with the fed coming out so dovish, i don't think they have to cut all they have to keep jaw boning they will cut. they took the word

. >>> micron higher on earnings. more coming up, and here we go again. bitcoin continues to break out is the crypto comeback for real? it seems to be, it's above 12,500 on this wednesday, june 26th as "worldwide exchange" begins right now ♪ >> afternoon, good evening and welcome from wherever in the world you may be watching. i'm brian sullivan you heard from treasury secretary steven mnuchin making headlines on china, trade, and everything in between. first breaking news. reuters reporting that philadelphia energy solutions, the operator of the largest and oldest refinery on the east coast and the site of that massive explosion where we were yesterday and fire on friday is exploring closing. a shutdown would cost thousands of jobs and squeeze gasoline supplies in the most densely populated area of the united states the refinery could still change its plans, but according to reuters it is expected to begin layoffs as early as today. as we reported on monday, that refinery is as much as 27% of area gasoline supply gasoline futures are up 3% on that news

report essentially, you have huawei being able to purchase some of their micron chips which sent the whole space up and you have western digital having a huge power outage that stock is up another 3% or 5% now memory's coming off a bottom you have data center coming back, you have amd gaining share and nvidia coming out, a new product coming out in the second half so i think that the chip stocks in general, you want to be long synopsis and amd and long micr n micron those are the big three names of the second half. >> a lot of focus with the g-20 talks this weekend on huawei and how that plays into discussions between the u.s. and china it seems to be, based on, i know kayla tausche, our own kayla tausche is reporting yesterday that huawei and the ban against them would need to be dropped, according to china's wish list on the flip side, though, you have quite a number of lawmakers here in the u.s., this is -- that there's bipartisan support for ongoing pressure against that company how does this play out for semis longer term? >> longer term, i've got the view that they'll get a dea

she it was quite a touching moment when theresa may was introducing the queen to president emmanuel micron from france. and people that have not helped her. it must be estranged and for her that again, hopefully a bit of context on her way out. thank you so much i know you will be back at half after 11. we'll be back at half past eleven for another look at the papers, and don't forget you can see the front pages of the papers online hello. the rain receded in scotland and northern ireland will ease to a certain extent as we go to the night, elsewhere something a bit wet 01’ night, elsewhere something a bit wet or close to the english counties in the east. north sea coast this he's in wet weather pushing its way northwards in a few showers and land, elsewhere most places become partly clear with the mist and fog patches and a little bit on the fresh side to start your commute, temperatures in single figures away from most cities. but primarily, it will be addressed to the vast majority, will see some rain in the northeast of england and then i will spread into parts of northern scotland,

micron was asked that repeatedly. there are some caveats here, in clearular, it is pretty these companies cannot offer services support, so if they they areoduct because able to take advantage of this loophole, they will not be able to service it the way they had in the past. paul: that is it for "bloomberg technology global link." don't miss bloomberg technology at 7:00 a.m. in sydney, 5:00 a.m. in hong kong and 5:00 p.m. in new york. tonight, 20 democratic candidates who want donald trump's job. we will have that story in a moment. this is bloomberg. ♪ we're the slowskys. we like drip coffee, layovers- -and waiting on hold. what we don't like is relying on fancy technology for help. snail mail! we were invited to a y2k party... uh, didn't that happen, like, 20 years ago? oh, look, karolyn, we've got a mathematician on our hands! check it out! now you can schedule a callback or reschedule an appointment, even on nights and weekends. today's xfinity service. simple. easy. awesome. i'd rather not. paul: it is 8:30 a.

tuesday, a fulcrum day why, we hear from lennar and fedex and micron, gigantic semiconductor company. if you want to know why the fed is taking a dovish approach listen to these three. it's going to tell you everything that you need to know lennar didn't have a glowing report but this quarter it has the benefit of lower mortgage rates. get a surprise, that's one less reason for the fed to cut. but i don't know if we'll get one. fedex will tell the tale of a slowdown and tariffs companies that sell merchandise overseas have had a hard time lately fedex frays that how about micron this commodity slammed by price targets all week, the problem, micron misjudged the level of demapped and thought it would start to exceed the supply for their basic chips as soon as the second part of the year and thought it wouldn't recover. instead prices keep going down that means the estimates are too high when they report. sometimes i think micron represents a bargain trading at five types earnings but like that, that's a big neon sign that says earnings are going to collapse sometimes it doesn't happen.

micron's numbers were not good at all. i don't trust them that much because they are always saying great things. nothing bad happens when semiconductors have the bid. let's hope that continues. of course there is loopholes, you just can't stop commerce with these companies. if you do, it is what is known as or else, that would be troublesome. charles: gary, we always appreciate your thoughts. thanks, my friend. >> you got it buddy. charles: president trump blasting fed chair jerome powell how he made him, how he wishes the ecb president mario draghi was the fed chair. we have more on those comments. >>> congress working on a humanitarian border package as the humanitarian crisis worsens. we'll have the latest after the break. ♪ that move us forward. every day, invesco combines ideas with technology, data with inspiration, investors with solutions. because the possibilities of life and investing are greater when we come together. ♪ it's a revolution in sleep. the sleep number 360 smart bed is on sale now during our lowe

this is a big deal for micron. over 50% from china, and the semiconductor stocks were so heavily beat down on the news regarding the trade war because they are so right in the middle of the fire. there is a bit of a concern. find a loophole, will president trump find that loophole and close it? carol: you know there's going to be some kind of response. cudmoreloomberg's mark sarah ponczek, thank you very much for being with us. coming up, more on fed chair jay powell's case for lower interest rates. citi global's chief economist will join us next. this is bloomberg. viviana: this is "bloomberg daybreak." says the elon musk electric carmaker could be on the verge of a quarterly record for deliveries. musk writing in a memo for employees they will have to go all out in the month of june. buyers may be motivated and a deadline of july 1, when the tax credit for electric cars will be cut in half. today bitcoin resumed its rally. the digital currency went above $12,000 for the first time in almost a year and a half. cry

dram and micron went up. last year, dram started to take down. we see dram back down towards those 2016 lows. let's check in on more global markets. we are going to see the stoxx 600 tech sector really not participating in what we are seeing in the u.s.. the nikkei had a down session. crude oil bouncing higher on a positive report out of the api. gold getting a bit of a breather, down 1.1%. no breather insight for bitcoin. let's take a look at a year-to-date chart. this is really pretty extraordinary. a parabolic uptrend, up 250%. according to physics, at some. point this will not hold think about gold -- at some point, this will not hold. think about gold and silver in 2011. guy: it will be interesting to see how this one ends again. we will watch with interest. thank you. coming up, we hear from the mayor of orlando, florida on how the city's massive growth is affecting its fiscal health. that is next in muni moments. this is bloomberg. ♪ guy: from london, i'm guy johnson. vonnie: from new york, on vonnie quinn. this is "bloomberg markets." g

. >> it was big in the smh >> and they gave back 5%, that's micron today, down 5%, i believe applied materials also down 5% so they gave back most of what they had gained in the previous week i'm not saying that now you jump in and buy them with both hands. i think there is -- >> the question is, should you sell them? >> i did >> weiss did >> like weiss did. >> not whether you buy them, whether you sell them. >> part of where i added exposure >> but he didn't get short, right? >> no, no, i'm not short it's crazy to short anything in these markets so i sold half of it yesterday, sold the other half this morning, obviously regretting but but i haven't sold any of the sky works i bought and i had them down lower when they had huawei is 10% to 12%. that was well known. so look, i don't want to be completely out of them but i think you'll get a better opportunity in smh >> i agree with that they traded at premium soto the sector they're exposed massively to the global supply chain. they were up 14% in revenues last year. they're down 16% year to date. i don't know how you buy that sector

lifting technology stocks, memory chip maker micron technology. ticker symbol mu. the stock is on pace for its best day in two and a half years. it smashed earnings expectations. look at this, 12.75% gain. it is the top gainer when you put it all in that basket of philadelphia semiconductor stocks that is put together to an index. giving a nice boost to all the chippies here. nvidia, qualcomm, everybody moving higher, 3.75% to nvidia, up 5.25%. >>> when we talk about micron's story, it's about weathering the huawei storm. after that u.s. ban on selling to the chinese telecom, wreaked havoc on the semiconductor sector, micron was able to restart shipping some of the orders of its parts to huawei again after it determined it could legally get out from underneath the restrictions. right now, micron's figured out a way to still do business with huawei. >>> elsewhere, poultry processors under pressure as price fixing allegations come home to roost. look at tyson foods right now, down about half a percent. pilgrims pride down 3%. then you have sanderson farms down about

micron ine of those companies caught in the mid of the u.s. does arade wars since i lot of business with that country. josh liptoonjoins usht from san francisco. what was the one key take away from that? >> heading into the earnings report, the stock has really taken it on the chin. it was down more than 20%rom its intraday highs in early april and a big reasont there, was huawei or specifically the t fallout from tmp administration's for the decision to blacklist the giantt an important customer. makes about 13% of revenue. when executives on the call said though was listen, they reviewed that ban. shipping some subset of their current products to huawei. i checked in with rbc, they said listen, this waso a lead investors at least didn't go completely to zero. also more broadly, executives said they were seeing early signs of demand improvement and inyou can see that stock m sharply higher in the afterhours, bill. >> josh lipton in san franciscoh ks, josh. >>> well there might be a fox guarding the hen house. and that's where we begin tonight

welcome back to the program present a manual micron is taking the fight to curb climate change to the g 20 in japan he's refusing to sign any final statement to the catherine but doesn't commit to climate goals describing it as a red line issue. you need to have a red line if we do not talk about the power schooled and if in order to find agreement among the 20 in the room we're not able to defend climate ambition it will be without france. in 205196 states signed an agreement on climate change in paris under it each country must regularly report on what it's doing to fight to global warming 2 years after that however president trump allows his intention to withdraw america from the agreement but even a watchdog that emanuel micron created says the french government is dragging on its promises to help the planet and measures are too weak adding that emission targets of failing in 3 out of 4 sectors the report concludes that france is unlikely to meet its 2050 carbon neutrality target and elizabeth new take the sunday telegraph columnist who believes the climate change initiative is fa

here's the thing we know micron is going to report next week, it's really important, two weeks after broadcom's negative guidance so let's see what they have and let's see what they have into the g20, because if micron and the g20 stuff is disappointing, this stock is likely to be right back in the low 100s >> and the real thing is everything was up in june, and semis adjusted for beta and risk, underperformed the market. not impressive stay short. >> mike, what do you think >> yeah, no, i agree we're taking a look as we were earlier at relative performance. i mean we obviously saw the market performing very well yesterday, not quite as well today, but also very well, and some of these things are not performing well. they're doing exactly what they have been, which is acting terribly >> all right back in march, mike and carter said the homebuilders would hammer together a rally. >> if you take a look at all of the stocks in the shb, s&p, select home olders index, etf what you're going to see is the valuation of that whole group is trading right now about 12 times forward earnings, a

welcome back to the program french president emanuel micron is taking the fight to climate change to the g. 20 in japan he's refusing to sign any final statement to the government doesn't commit to climate goals describing it as a red line issue. but you knew i have a red line if we do not talk about the power schooled and if in order to find agreement among the 20 in the room we're not able to defend climate ambition it will be without france. in 201-5196 states signed an agreement on climate change in paris and really each country must regularly report on what it's doing to fight global warming 2 years after that however present from analysis intention to withdraw america from the agreement but even a watchdog that emanuel micron created says the french government is dragging on its promises to help the planet and measures are to wreak adding that emission targets of failing in 3 out of 4 sectors the report concludes that france is unlikely to meet its 2050 carbon neutrality target and elizabeth may take the sunday telegraph columnist believes the climate change initiative is facin

we know micron is going to report next week, two weeks after broadcom's negative guidance so let's see what they have and let's see what they have into the g20, because if micron and the g20 stuff is disappointing, the stock likely will be back in the low 100s. >> and the real thing is everything was up in june and semis adjusted for beta and risk, underperformed the market. not impressive stay short. >> mike, what do you think >> yeah, no, i agree we're taking a look as we were earlier at relative performance. i mean we obviously saw the market performing very well yesterday, not quite as well today but also very well, and some of tehese things are not performing well, acting terribly. >> in march mike and carter said the homebuilders would rally. >> if you look at the stocks in s&p, select homebuilders index, etf, you will see the valuation of the whole group is trading about 12 times forward earnings, a cheap multiple the homebuilders themselves, which are a sub set, are actually much cheaper. you could look out at the june '38 calls, essentially at the money, about a buck and a hal

we know micron is going to report next week, two weeks after broadcom's negative guidance so let's see what they have and let's see what they have into the g20, because if micron and the g20 stuff is disappointing, this stock is likely to be right back in the low 100s >> and the real thing is everything was up in june, and semis adjusted for beta and risk, underperformed the market. not impressive stay short. >> mike, what do you think >> yeah, no, i agree we're taking a look as we were earlier at relative performance. i mean we obviously saw the market performing very well yesterday, not quite as well today, but also very well, and some of these things are not performing well. they're doing exactly as they have been, which is acting terribly >>> all right. back in march, mike and carter said the homebuilders would rally. >> if you look at the stocks in s&p, select homebuilders index, etf, you will see the valuation of the whole group is trading about 12 times forward earnings, a cheap multiple the homebuilders themselves, which are a sub set, are actually much, much cheaper. you could

now french president emanuel micron is taking the fight to climate change to the chain 20 in japan he's refusing to sign any final statement to the gathering that doesn't commit to climate goals describing it as a red line issue. you need i have a red line if we do not talk about the power schooled and if in order to find agreement among the 20 in the room we're not able to defend climate ambitions it will be without france. in 201-5196 states signed an agreement on climate change in paris under it each country must and regularly report on what it is doing to fight global warming 2 years after that however president trump announced his intention to withdraw america from the agreement but even a watchdog that emanuel micron created says the french government is dragging on its promises to help the planet and measures are too weak adding that emission targets are failing in 3 out of 4 sectors the report concludes that france is unlikely to meet his 2050 carbon neutrality target and elizabeth these sunday telegraph columnist believes the climate change initiative is facing a pushback from

micron technologies in the u.s. says they are still shipping some products to huawei. that is some good news and positiveness in terms of the test positive news in terms of the chipmaker market. up -- positive news in terms of the chipmaker market. adidas is up. anna: thank you very much. there may be some reprieve from the next round of china tariffs. the u.s. is open to delaying the duties as both sides prepare for the meeting of president trump and xi at the g20 some. both sides still want -- g20 summitt. this weekend's meeting is a crucial juncture in the nearly two-year-old trade war. seems like longer sometimes. monica defend still with us. i want to ask you about the relative risks and rewards for the markets at the moment. at jpmorgan put quite nicely the top process that the market is going through. there is so much the fed can do to cushion investors from a trade war. would that be your thought as well? monica: on a longer-term perspective, we really don't like the fact that the financial markets, in particular the equity markets, our that engaged -- are that

entire semiconductor industry and micron stock down just under 3%. that is not all. there was also more disappointing data out of china this morning with two key readings slowing to the lowest level in years let's tie this all together with eunice eun corporate america and the chinese economy starting to feel some pain? >> absolutely. there is definitely more evidence of pain of the property sales here dropping by the b biggest amount since october 2017 a fixed asset investment cooled down retail sales raising 6.8%, compared to april's 16-year low. so analysts say that the better figures are probably because of higher inflation also government incentives to try to boost consumption, but probably not recovery that we're seeing in consumer confidence. now, the weak readings are raising expectations that policymakers were probably going to roll out more stimulus measures, but there is a lot of concern now about the second half of the year today, chinese officials were saying that the big uncertainty for the second half is the trade conflict i spoke with

i agree with mark 99%, but if you look at micron, it is depending on d ramp pricing. if you get a pop of 10%, take it, sold, get out of your position because d ram has done nothing and i expect micron to retrace the mobile mower. >> i don't have exposure i understand what you're saying about if the market -- if they go up 7%, the market goes up something like 4 is what he was saying the flip side though to me would be that these go down significantly more than the markets if the market goes down, let's say, 4%. i don't love -- it is not like screaming to me. >> we keep talking about macro we keep blanketing trade war dynamics, smh obviously at the center of the storm. but what we're hearing bottom up company by company is the inventory itself end of cycle. suddenly trade war is the pan see panacea for the whole sector i don't think so basically it was a chart that kicked down to the day and looked like it was in trouble. if you look at the mega cap tech, it has outperformed and that's with the reforms on the reg la attorney front. to me, would you rather, here i go do

as we don't know exactly who said it but it's a member of microns team the two twin towers of french politics the right and the left are. basically an infra in in in inside somebody exactly on the ground i there are a few floors laughed a few stage left on the rock on the rice on the political right -- but it's basically these two structures have collapsed european elections so a put eight point 4% for i live a pretty cal and social party got six p point 3% which is a bit it would have been impossible to picked up.. at just a few years ago -- you ve all of these kind of heavy weights in the in the lre m. party and peas and others making an appeal now far. to become members to jump ships at this is as a minister in -- in michael's government basically saying calling on mayors around the country who are parart of the republican party to to to to come over on and joined the sid. other members of a you be cannot jack bouvier basically saying i have forget about it and you know you're you're you stop trying to take advantage of this proposal situation -- you know if there's a lot of push

now to micron, the largest u.s. maker of memory chips reporting profit that beat estimates in the third quarter, a sign the company has been weathering the fallout of the trade war better than expected. huawei was one of micron's previous customers. coming up, whatsapp and messenger have more than one billion users yet generate no cash, how the cryptocurrency libra could change that. if you like bloomberg news, check us out on the radio, the bloomberg gap, and in the u.s. on sirius xm. this is bloomberg. ♪ emily: facebook hopes its new cryptocurrency will change industries, but if it's likely to change anything, it will be its messaging business. mark zuckerberg could be taking a page out of wechat's playbook. it has almost one billion users, but make no money from those essaging services. will libra be the answer? ith us we have our guests. ever since facebook bought whatsapp, the question has been how are you going to make money on it. the same with messenger. how could libra help? >> there is speculation this c

downgrade in guidance for broadcom last week they specifically cited headwinds from demand in china micron is a stock that is literally, what, up a few percent in the last couple of weeks off of the lows that it really -- six-month lows here. look at the one-year chart that's the year-to-date. it is banging along the bottom there and down 25% from the highs in the spring. one reason why this trader -- maybe it is protection or maybe it is targeting a breakdown lower. look at the five-year chart of the thing. $32 to $33 seems a big long-term technical level here obviously this micron if they report next week, the options market is implying an 8% move in either direction, that's hefty this will be a very, very closely watched report. >> in terms of earnings estimates for the s&p 500, jeff, do you have the sense that it includes a potential tariff further impact or no >> i don't think so at this stage. i think it includes some sort of deal getting done. i mean look at where earnings estimates have been for the entire year, somewhere between 168 and 170, they haven't moved. i think you are pri

reports they saw a revenue drop by almost 40 percent and then just in the 1st 6 months of the year micron got about 13 percent of their business or of their revenue from. when the band got to emplace and may stop selling components to you or why but then they had a closer look at it and found ways to still at least sell some components to you of my aunt and that news and the stock actually gains by 13 percent yes quarter new york thank you. the united states has been trying to calm its allies over another of its trade conflicts during a visit to india u.s. secretary of state might pompei a promise deli the u.s. would ensure it continues to get enough oil despite sanctions on iran and stop buying iranian crude in line with the white house's restrictions the supreme bears visit follows in the introduction of increased tariffs on some u.s. goods in retaliation for washington dropping new delhi's preferential trade status . and out of some of the other global business stories making the news bitcoins resurgence is picking up steam the price of the cryptocurrency has soared to its highest leve

micron's news -- u.s. chip stocks higher in the extended session. 6.3% gain. some of the biggest winners on the nikkei are related to those semiconductor issues. want to get quickly to the overall positions. yen continuing to weaken. good gains for the nikkei, 0.8% higher. the topics, 0.9%. the lunch break in tokyo is upon us. ♪ >> it is 12:29 in sydney. first word headlines. the white house has released details of president trump's schedule of the g20. saturday he will have a working breakfast with the saudi prince mohammed. after the murder of jamaal ishaqi last year, then he moves on to a high-stakes meeting with president xi jinping with trade talks at the top of the list. of huawei, despite its inclusion on a trump administration blacklist. when companiess are based in the u.s., they may use subsidiaries to classify tech as foreign. less than 25% originates in america, it may not be covered by the ban under current rules. conservative front runner boris johnson seems to be softening his no deal brexit stance, saying there is a million to one chance it w

estimate,he median micron announced shipping some products to huawei. some: fedex recovered regular session losses in late trade after fourth-quarter earnings-per-share topped expectations. as the traderecast as trade talks continue. it includes reducing reliance on the u.s. postal service. paul: the hsbc boss says the bank has not yet felt the impact of the trade war on its earnings but says continuing tension could lead to more investment decisions. income.perating flint says china's rapid .xpansion in the global economy >> when we get past trade, it's clear there is a broader desire to see china contained in some way. i think we will move into ,hapter that covers technology there may be a bifurcation of technology and technology standards. on a: microsoft slumped report that called it materially overvalued. saying cloud computing products are too high. the drop marks microsoft biggest one-day law since january, but the stock has still had a strong month, with an eight day rally that took it to record levels. gates is always forthcoming about the comp

sales generate about 13% of micron's annual revenue. it was forced to halt to them after the trump administration added huawei to its blacklist. that is your bloomberg business flash. francine: thank you. jay powell warned about rising threats to the economy. onaking of the council foreign relations, he said the lack of progress in the trade war and economic data are stoking concerns. havee crosscurrents reemerged with progress turning to greater uncertainty and with incoming data raising renewed concerns but the strength of the global economy -- about the strength of the global economy. market seven pricing and 50 basis points, but james bullard spoke about expectations in an exclusive interview. >> 50 basis points would be overdone. i don't think the situation really calls for that. i love my fellow committee members, but by not cutting, we're putting high probability on the july meeting. slow down tod to something below 2% in the second half of the year. that is not the end of the world. francine: joining us now is the global head of

it's important to note that for intel and micron, they have operations around the world. if they can move production or intellectual property to other areas, they can get below that 25% hurdle and resume shipping products to huawei. huawei has has worked more closely with the chinese military than previously admitted. the telecom giant has collaborated with china's armed forces on at least 10 research projects in the last decade. they include efforts to identify emotions in online video comments and analyze satellite images. how much is this a surprise? >> it should not come as a surprise. why we think it's remarkable or notable is for the very simple reason that huawei has gone to great lengths to distance itself from the chinese military. they have said, we have no substantial relationship there. what this shows is that there is a handful of employees who have done some research and have done in collaboration with the military. >> the lira has jumped after the turkish opposition candidate had a landslide victory in a rerun of mayoral elections in a stable. the original

it's important to note that for intel and micron, they have operations around the world. if they can move production or intellectual property to other areas, they can get below that 25% hurdle and resume shipping products to huawei. more closelyked with the chinese military than previously admitted. hastelecom giant collaborated with china's armed forces on at least 10 research projects in the last decade. they include efforts to identify emotions in online video comments and analyze satellite images. how much is this a surprise? >> it should not come as a surprise. why we think it's remarkable or notable is for the very simple reason that huawei has gone to great lengths to distance itself from the chinese military. they have said, we have no substantial relationship there. that there is a handful of employees who have done some research and have done in collaboration with the military. the lira has jumped after the turkish opposition candidate shook your to landslide victory in a rerun of mayoral elections in a stable. the original that had been overturned after the par

reports they saw a revenue drop by almost 40 percent and then just in the 1st 6 months of the year micron got about 13 percent of their business or of their revenue from. when the band got to emplace in may michael and stopped selling components to you all by about then they had a closer look at it and found ways to still at least sell some components to you all why on and that news the stock actually gained by 13 percent yes court in new york thank you. the united states has been trying to calm its allies over another of its trade conflicts during a visit to india u.s. secretary of state might pompei a promise delhi the us would ensure it continues to get enough oil despite sanctions on iran india has stopped buying iranian crude in line with the white house restrictions mr palmer has visit follows in the introduction of increased tariffs on some u.s. goods in retaliation for washington dropping new delhi's preferential trade status . and out of some of the other global business stories making the news bitcoins resurgence is picking up steam the price of the crypto currency has soared to

netherlands particularly where the spearhead here if fighting against it and shrink wrapping president microns version of the european budget into something that is now so tiny if you know how do you see it anymore. they have agreed on a on a quote structure of management for the budget but the key question where will the money come from who will pay for it and how much is still an answer any indication about that it is. it is an answer because again the dutch they're fighting against of putting tax money into it because they were suggesting that the new digital techs who are there the financial transaction tax are the new sources of income could be put into this budget and that would mean that it could secretly grew into real budget because the only figures that are being thrown around here are 17000000000 at the moment and that is not only not a big bazooka that is large and not even it peashooter in the strands of european money. in luxemburg thank you very much. and at that meeting in luxembourg he'll finance ministers not only talked about the block's food future budget and other reforms

and a german lawmaker accuses the french president of anti german bias after emanuel micron opposes berlin's candidate for the president of the european commission. the latest on these stories you can head to stay with us now though for cross talk to u.s. peace plan for the middle.