It is more of a trend. We are seeing stocks decline this morning extending yesterdays decline. Yesterday, we finished well off the lows. A lot of investors wanting the tax debate in washington for cues on what to do with their money. Particular interest is that Corporate Tax rate cut and whether it is going to be delayed or not . Elsewhere, we are taking a look at earnings rolling in. The Media Industry did see shares higher. They fell last night after earnings and then rebounded. Estimates. Es missing that was mostly because of onetime items that the company is spending quite a bit like on star wars. News corp. Also out with its numbers. Those profits Beat Estimates and saw growth in its Real Estate Services group. The ripple effect, viacom, which is yet to report their shares. 21st century fox is higher a continued speculation about some kind of potential deal that company. The retailers as well, we continue to watch those. Were jcpenney up big time. Nordstrom is down. Both out with their numbers. You know, this illustrates the unevenness of the retail landscape and the Department Store landscape right now. Liquid id massive massive inventory liquidation. Analysts say they do not have to do that kind of liquidation in the fourth quarter. At nordstrom, caught sales fell worth and analysts had estimated. And a quick look at how you that is gotten a lot of attention. Proceedingselloff the stock selloff. Etf that tracks a highyield credit market. You can see it as had a decline over the past few days and is rebounding today. Investors starting to pull their money out before the decline began. That is interesting. Schilling jitters leading into the declines we have seen. We will be talking much more about highyield etfs in just a little bit with our eric balchunas. Nejra thank you so much, julie. 90 minutes into the close of equity trading in europe. Jitters continuing in the European Equity market. Nonetheless, quite a lot of red. The ftse 100 is off. Sterling on the front and cable up by. 5 . The euro higher by 2 10 of 1 . In yields continuing to move higher in the sovereign space. A little bit of a picture a little bit of a different picture in the periphery. Looking at the equity declines i was talking about, it is a little synchronized selloff in europe. This chart is selling major european benchmarks. The dax, the cac 40 and ibex 45, all poised for their worst week since august. It is a selloff we are seeing quite broadbased across europe in the equity space. When it comes to sterling, i said we were up by. 5 . Gain, heading to a weekly meaning sterling is snapping three weeks of declines. Where we are trading right now come into session, we have seen sterling hit the highest level since the level a hit after the bank of englands dovish hike. There is a little bit of optimism around the brexit negotiations we have an hear from david davis, looking like both sides are working to move those talks on to trade by december. And of course, we have had data from the u. K. , perhaps supporting sterling, too. Finally, looking at the fixed income space, we said sterling was moving. Another two basis points up. Vonnie thank you for that. Lets get to tax reform. The Senate Finance committee revealing a proposal yesterday, which will will which it will pick up monday. Director management Mick Mulvaney talked about the tax of eight. Every time we hear more details, what we learn is that it is reinforcing our fundamental principles are still being met. The concept we set up six weeks ago, eight weeks ago, said look, the two things were focused on is that the middle class gets a tax cut in their tax code gets simpler on one hand and a Corporate Tax rate is as low as we can get it. Vonnie joining me in new york now is republican senator pat toomey of pennsylvania. Welcome and thank you. The house plan is gone. The senate plan is just out. Which plan will be end results most favor . That is not knowable yet, but there will be elements of each. The important thing is the big fundamental things are the same. These bills have the same architecture in the sense that as Mick Mulvaney pointed out. There is direct actually for middle income families on one hand on the individual side. Together with some Movement Toward simplicity. The business side, we got the same, big policy change, dramatic reduction in the corporate rate from 35 to 20 . And moving to a territorial system for the international party. Vonnie could there be some similarity . When he gets actual details, there are massive differences. Like reproductions, for example. On the senate side of thing, full repeal. Some republicans in the house dont want a full repeal. Sen. Toomey i would suggest there is a lot of overlap, right . We disallow the reduction for state and local taxes. The houston is the same thing, except there is a carveout up to 10,000 in property Tax Deductions. That is the difference. We will haggle over that and we will figure out way to resolve that. Vonnie is there some wiggle room . You are from a state that it will potentially punish them quite a bit. Maybe a swing state in the midterm. Sen. Toomey yes, they voted for the bill in the ways and Means Committee and im supporting it because it is good for pennsylvania on balance. It is a good policy to get rid of the state and local tax reduction lets be honest, it is a mechanism that taxpayers subsidize tax measures. That is not good policy and we will move away from that. There are differences, but they are not wide chasms. Vonnie will the senate bill address carried interest . An amendment . Sen. Toomey the text we have does not. But the committee is going to work its will and in the senate floor will work its will. I spent there will be amendments. And i expect that some amendment will be some changes on carried interest and will probably prevail. By the time is over, there will be a change in the policy. Vonnie the mortgage interest adduction stays in sodas the estate tax. Sen. Toomey the mortgage deduction remains. And it remains with the cap of 1 million. Of house take that out 500,000, so we have to have a discussion on that and we will work that out. The estate tax, we both take the same initial step, which is to double the exempted amount. Beindividual will be able to completely exempt from the state tax on 11 million. A couple, 22 million. Thateyond that, we leave to policy for the duration were as the house will appeal it over time. Everything wenow, talked about, you said yes, there is a big difference in there should be compromise. Where . Sen. Toomey on all of these things. The corporate rate goes down 20 immediately in the house bill and 20 on january 1 of 2019. So, there is 12 months difference of when we get to the exact same place. We are going to find a way to reconcile that. One of the challenges we have is there was a limit on how much revenue we can forgo in the budget window. It is a matter putting the pieces together, but we have been working with our house guys for many months. Vonnie speaking of which, you were a member of the supercommittee back in the day . Remember that . [laughter] sen. Toomey i do. Vonnie and you want to washington with the goal of reducing spending. You, you know, sit with this 1. 5 trillion deficit . I am convinced if we pass this reform, we will shrink the size of the deficit and here is why this is not just a tax cut. This is a complete reform of our entire corporate system and significant reforms on the individual side. It is a Family Program to lower the Corporate Tax rate from 35 to 20 . To move to a territorial system where we are not double taxing overseas income. We are going to create incentives for huge influx of investment to the u. S. , both foreign and domestic investment. All it takes is. 4 of extra Economic Growth to fully fill in this revenue hole. I think it will get much more than that in response to this tough reform. Vonnie so you said happily with this 1. 5 trillion . Sen. Toomey absolutely. Vonnie is there any bipartisan support that may help with the negotiations . Unfortunately, 45 of the 48 Democratic Senators sent us a letter early on in this process, pretty much taking themselves out of the room, stipulating terms under which they would negotiate has reform, terms that were not reasonable. But the democrats did not sign that letter. And so, i am hoping there is some opportunity, and when we get to the finished product and they see this as a tax reduction for middle income families, this makes our business tax code competitive, i think it will be hard for all the democrats to vote against it. Vonnie who are you most banking on . Sen. Toomey i dont know which. The three who chose not to sign that letter is a good place to start. So, that is a good place to start, but i think other democrats are going to be interested in what we are doing here. Vonnie the kind of Economic Growth do you imagine if the senate bill does get past . What kind of Economic Growth are you helping that will engender . Sen. Toomey above and Economic Growth could approach full Percentage Points for a number of years. I really do. The increase in incentives to put capital to work, there is a broad consensus among economists , if you have more capital investment, you get more productivity growth. More productivity growth is more gdp growth. That is what we will encourage here. We will go from being one of the worst places in the world to invest from a tax point of view to one of the best places in the world to invest. How does that not attract a lot of investment . We will see a significant bump. York, whichdoes new pays a lot in mississippi, for example, you know, which doesnt , how does it all balance out when we had midterms coming up next year . Sen. Toomey i have nothing the statebystate breakdown. That will be available soon. But i will say, the state and local Tax Deduction for him since, doesnt make economic sense and it is not fair. What should my constituents in every county, pennsylvania be subsidizing the very high taxes that People Choose to pay when they decide to live in San Francisco . That should be borne by the people locally. By the way, high local taxes often are a payment for services that money is appellate is provide in other jurisdictions. People have to pay for those services directly in another jurisdiction. It is not the dockable if you dont pay for it directly. Vonnie the senate has not even marked up this bill yet . Does this get them to share . Sen. Toomey i like our chances. The house passed it out of the ways and means this week. Next week, it will probably pass on the house for, and next week, we will pass it out of the Senate Finance committee. After things giving, we go directly to the senate floor. We are having discussions with our house colleagues, so we will have four weeks to iron out the differences. I think we have a good shot of getting that done. Vonnie i have to ask you about in alabama. If the sexual allegations are substantiated, should he withdraw . If thereey i believe is any truth to these allegations at all, he needs to step out of this race. Vonnie for concerns would you have for losing alabama . And then to the five district of philadelphia that look incredibly like alabama at the moment . Sen. Toomey well, im not so convinced they look like alabama. Vonnie four like virginia . Or like virginia . Sen. Toomey first of all, if there are any truths to this allegation, then roy moore should step aside. In pennsylvania, i feel good about the seats we hold now. We will have competitive races, but we have great incumbents in washington doing a great cover presenting their districts, and they will run great campaigns, and we will hold every one of them buried vonnie final question, how do you feel the president s trip is going in asia . You have been a free market person your entire life. Sen. Toomey i still am and i will be honest with you, i get nervous sometimes when the president starts talking about trade because i think we come from different perspectives on that. But trade is only part of what this mission is about. I think hes absolutely right to be pressuring the chinese to be more cooperative with this terrible problem we have a north korea. I am glad he is visiting vietnam, country i think we can have tremendous economic trade with, going forward. I think the trip has been going well so far. Vonnie senator, thank you for joining us, particularly as we celebrate veterans day. That is senator pat toomey of pennsylvania. Lets check in with emma chandra. You. Thank it is the moment Financial Institutions around the world have been waiting for. China has agreed to release limits on banks and security firms. The plan will give overseas banks and president access to the Worlds Largest economy. Trump wont meet formally with russias president Vladimir Putin this week. Both leaders are in vietnam, the secretary of state Rex Tillerson says there is no point in having a meeting if there isnt a chance of progress on the number of issues. In brussels, brexit talks it ended for the week with no breakthroughs. That is according to European Union chief negotiator Michel Barnier a. Reached he has given the u. K. Two weeks to come up with a better offer on the financial sacrament. Global news 24 hours a day powered by more than 2700 journalists and analysts in more than 120 countries. Im emma chandra. This is bloomberg. Nejra thank you. Coming up, this week, oil has risen on saudi tensions that gold has gained on u. S. Tax concerns. U. S. Futures in focus is next. This is bloomberg. Live from new york and london, im vonnie quinn. Nejra and im nejra cehic. This is Bloomberg Markets. Time for futures in focus. Oil is holding for a fifth weekly gain amid of people in saudi arabia. Gold is set for a weekly gain as a u. S. Tax debate fuels uncertainty. Joining us from the cme is scott bauer of trading advantage. Scott, great to see you. Fairly steady in todays session, but oil is set for its best weekly gain. Hedge funds have already placed that opec bet. Does oil have the option to fall from here is that bet is disappointed . Scott you are actually right about the hedge funds. This month, opec will meet and they will decide whether to extend those cuts, which right now, they expire at the end of march of 2018. That is our he priced into that is already priced into the oil market, as you said. This rally stalls. I am not saying we cut back down to 50 here, but i think the rally stalls for a while. And if we get to the next week or two without any political upheaval, without any geopolitical concerns, i would not doubt if we see oil start to really back off made below 55 55. Nejra you mentioned geopolitical concerns. Let me ask you about gold because that is heading for a weekly gain. They have not had a weekly gain in four weeks actually. What i continue, do you think . Scott you know, i think gold is in the middle of this push and pull. You got the push because of the geopolitical concerns, so that is propping it up. It has been propped up over the last six months because of dollar weakness. That stabilized somewhat. With impending Interest Rate rises, which is only going to boost the dollar and put pressure on gold, i think gold is really in a, i dont want to say do or die, but it is in this critical area here. Without any sort of geopolitical concern, i think there is going to be downside pressure. If we do see something happen, got for bid, we will see gold trading 1300 again. But i do think the impetus right now is to the downside here, given that the dollar has really stabilized, we will see an Interest Rate hike probably next month. I do think we see some pressure on gold. Nejra all right. Pressure on gold. Thank you so much to scott bauer of trading advantage with todays futures in focus. Vonnie thank you. Great stuff. Next. Iday is this is bloomberg. This is Bloomberg Markets. Im garrett edge in london. Vonnie andy new york, im vonnie quinn. Julie yesterday was all about junkbond etfs. We talked about this earlier. We saw wild trading. Is ericdiscuss balchunas, senior etf analyst at bloomberg intelligence. Era, you say what we havent seen at the same time is a big deal and not a big deal. Lets start out with why it is a big deal. Eric when you add up the volume for junkbond etfs, we were talking about 5. 2 billion yesterday. Apple was 5. 1 billion barely, but that is significant. This is a new word we are entering word junkbond etfs are trading that much. For jane k, it was the biggest trading day and 1. 4 billion. There was a crazy selloff in december. What is interesting in this speaks to etfs in general, jump about 400 Million Dollars in outflows yesterday. In other words, of the 5 billion, it only result in 400 million. Typically, 90 of the trading is just on the exchange. Only 10 involve the underlying. That is part of the reason you see higher trading on these volatile days. The junk bond market, you know, you dont have to go there every time. Julie and Jeff Gundlach weighed in on the junkbond market. Eric gun lock has been honing in on Jeff Gundlach has been honing in on jnk for a while. He looks at it as something that might predict what will happen in the market. It is interesting looking at the volume in the moving averages and the flows of these etfs, can tell you look, people in hyg, there are some big movers in there. You have hedge funds, bridgewater, you got some of the most sophisticated investors trading at hyg now. Julie so why isnt it a big deal now . Eric i referred to the famous Rolling Stones song it is just your 19th nervous breakdown. The reason that junkbond selloffs are shortlived is because of the yield. It is building 5 , right . 1. 5 . Ries are it was in a big selloff and i think people will come back. Again, we have seen this before. Julie had to get the song lyrics in. Eric balchunas, thank you. Vonnie and be sure to catch the new bloomberg show etf iq. This is bloomberg. Live from bloombergs brought headquarters in london and new york, im nejra cehic with vonnie quinn. This is Bloomberg Markets on bloomberg television. Lets get emma chandra. Trump is willing to make trade deals with asian nations if they play fair. He said the u. S. Will no longer join multinational deal site the transpacific partnership. Instead, the president wants oneonone agreements with countries that wont cut it take advantage of the u. S. Moments after President Trump spoke, chinas xi jinping made the case for more globalization. Nationsese later urged he is continuing his stripe to cast himself as a champion of former free trade. He can seeon says the u. S. And north korea agreeing to stop talks at some point. Tillerson told reporters that it would be a conversation with kim jonguns regime. North korea has not launched a missile in almost two months. Tillerson says he does not want to over interpret that. And in alabama, republican e thee candidate roy moor buying allegations he had a 14yearold years ago. Mitch mcconnell and other republican says if the claims are true, he should withdraw from a special election that month. The Washington Post reported the allegation. Global news 24 hours a day powered by more than 2700 journalists and analysts in more than 120 countries. Im emma chandra. This is bloomberg. Vonnie , thank you. A special segment. Tomorrow is veterans day all around the world where we celebrate living veterans of all nationalities of all wars. And the u. S. , them or almost 21 million veterans living here last year. That is about 9 of the copulation population. One in 10 of those were women. 450,000 were unemployed. Rates ranged greatly from 120 in indiana the 7. 6 in washington d. C. Many wall street firms were working on this, but one tries to offer meaningful Employment Opportunities is disabled veterans and disabled veterans more recent is drexel hamilton. John was an army captain serving in Infantry Special operations. He did seven towards in iraq. And earn three bronze stars among many other accolades. Welcome and thank you for joining us. Why this is sot special for veterans. It is a truly amazing place for wall street. There are so many remarkable people. And you gave so my stats overseas. Aboutk some people joke iraquch time i spent in and afghanistan, but there are so many people that are great at our firm. Like scott smiley. He lost an eye because of a suicide bomber. And we had a black hawk army pilot in rescue missions the puerto rico. Truly, truly remarkable people. Service members working on wall street. Vonnie lets talk about drexel. They are gaining market share. Congratulations because you have been made copresident with two of your colleagues. That is correct. Rexall hamilton is a Service Disabled veteran owned and operated brokerdealer. The owner was a decorated vietnam veteran, a remarkable man. He never forgot those who helped him in the real estate and Land Development business. Back in the 1960s and 1970s, it was difficult in terms of how the treatment of veterans were. He never forgot that. He was doing a lot of work down in bethesda with walter reed. He said these young men and women, although they may have combatrelated injuries, they still use their brain and a crystal crunch numbers using membrane and they can still crunch numbers. Been of these folks have in a lot of risky situations. That is important on the trading floor. Vonnie have you found that the culture and wall street has changed, now there is a push to hire veterans . The spirit, the mission has always been the same. I will tell you what, the wall street veterans that work there, james taylor retired this month. He lost his sons in 9 11. The spirit of the place is still intact. He is so dedicated, him and his wife to the blood, sweat, and tears to the place. The overall wall street, the banks have really rallied around us. Firms, the Equity Financial law firms, and the buy side. We are conducting an event that is call to action. A graphic just showed that shows because your consider a minority firm, you do get benefits when it comes to getting some business. , right,ge bar is drexel or the red bar on our graphic. You want that to grow . One of our strongest businesses is the Capital MarketsUnderwriting Group at our firm. The primary issuance. There is a lot of great diversity and inclusion mandates from corporate issuers and municipalities to get veterans involved. That graphic you just saw, to have our inclusion. Especially the veterans women combatwounded. That is a great way to get into the deal. We have worked so hard to build our distribution and maintain a unique order flow. It has resonated with corporate treasurers. Vonnie where are you going to business . Capital markets group, but we have five to six businesses and we are focused on all of them. Vonnie such as . Capital markets in underwriting. There is one more thing we noticed that we saw in the previous segment with senator pat toomey is tax reform and the uncertainty around it. We dedicated a lot of technology and capital towards the build of our money Market Distribution funds. Tax reform, if there is a repatriation of cash, 2. 6 trillion i think is what is estimated right now amongst corporations. Though we are people are in wellpositioned for all of that cash to come back to help service our clients. Vonnie ok. You are building at niche in that area assuming that happens. I dont know or you put the odds of that happening. That is what you are seeing so much uncertainty in volatility in the market yesterday. , buteing pushed to 2019 that onetime tax bracket that 12 , we are well prepared and we will help our clients with that repatriation of cash. Vonnie talk about todays charity day. You are celebrating it down at jackson hole. This is our super bowl week. What a better way to give back to veterans and veterans creating revenue today, commission dollars, to give back to the veterans we serve. One of the charities is the Travis Manning foundation. A lot of our marines in the office have served with Travis Manning when he was killed in 2007. Our commission dollars will contribute to his fund to get back to families and service members. The other charity is the foundation for women warriors. A lot of emphasis, you talked about the percentage that the lower percentage. We are highly focused on our women veterans. That is another Great Charity that will benefit from our trades today. The last nonprofit we are working on his catch a lift, another Amazing Charity that treat stress with physical fitness. Vonnie for anyone who is come back and stumbled upon this interview, john, what will be your advice . You had a bit of a background in finance, but if you have no background in finance, where do you start you come back from serving . This is the other thing that has happened on wall street. Just around 2010, 2011, there are so many amazing programs that the private equity firms, all Financial Institutions have built out. Start to network and find another veteran. There are some he advocates out there. We will plug you inning get you networked. Fit foryone is a great wall street or finance, but that is ok. There are so many other approaches we can do. Portfolio companies have so many different ways and ability for us to help introduce veteran to a hiring manager. Vonnie thank you for joining us. I work with so many marines at our firm. I want to wish them a happy 241st birthday. Vonnie there you have it. All of41st birthday to the veterans that are on wall street right now. Thank you. Vonnie wonderful conversation. Nejra coming up, china thrusts opens the doors to its financial sector, giving foreign firms unprecedented access. More on chinas historic moves. That is next. This is bloomberg. Live from london, im nejra cehic. Vonnie and from new york, im vonnie quinn. This is Bloomberg Markets. China will remove Foreign Ownership limits on banks and Asset Managers. It will allow overseas firms to take majority stakes on ventures and insurers. Asia says jpmorgan the move is a winwin for everyone. This is going in the right direction. These types of conversations are very positive and is good for china and International Players who want to have a part in that market. Vonnie joining us is david goleman. Is he lived in hong kong for a long, long time. Nexteffort should be the up for china, or should Something Else take precedence . It is a part of a set of steps to make china a global park it just me china a global market. It requires a lot of twoway flows on the capital account. It is an important step towards that kind of open. It is a step towards improving governance in the chinese Financial System were governance has been a major concern of the world. Vonnie china says it will do this. Will it followthrough and do it handsoff . Absolutely. It is in interest to do it. What china wants is for the world to invest in chinese assets. Chinese stocks and bonds. Global investors will increase portfolio allocation. On the other side of that, china needs to allow its citizens to be able to trade in global assets. Has a jointnow venture with massmutual to sell american Insurance Products into china. You will see a great do more of that, but what that will do is make it possible for the r b, like the dollar or the euro or other international estimates, which the world once to hold. That will give china immense benefits and having people hold its currency. Is one thing to invite Foreign Investors to invest in china, but what about crossborder flows . What if for investors at some point want to pull their money out . Whether the difficulty around that . David china is open to liberalizing the account. A significant account surplus, so they are not at risk for a crisis. Inhad a bit of a flutter august of 2015 if you remember, and during 2016, when reserves were declining. There was a lot of chatter. That was never the case. It was simply portfolio adjustment. All lights are great for china to move in this direction. It is a winwin. Point, ifthat winwin we look at the benefits for china, there is something thats there was something similar that happened in the 2000 when china invited foreign banks in the domestic market. Are there any lessons from that that can be applied here . That wasnt there a different world in the early 2000s. May Portfolio Investments in chinese thanks, the same way Hong Kongshanghai now has a stake in bank of communications. This will allow institutions to run securities security firms and Life Insurance companies. The Insurance Market within aging population will explode in china. And that will force Chinese Companies to adopt best practices in terms of government governance and advance the reform agenda. Vonnie who will take china up on this . Which banks will jump in . David you are ready heard from jpmorgan their enthusiasm about it. I would be surprised to see them on the sidelines. I think hsbc, which has the longest experience in that area and the biggest commitment. Did a jv withjust the main chinese sovereign wealth fund. I think they will be looking to be on both sides of those flows. I think all the majors will be enthusiastic. Vonnie where do you imagine the renminbi going . When we heard that big speech from xi jinping and talked about how socialism was going to be the epicenter of china rule over the next five plus years, if that is the case, how much can that women be move . How much can the renminbi move . David when the dollar rose so promptly in 2015, when he 16, chinese currency was attached to it, so it appreciated. In august 2015, they allowed it to depreciate. That adjustment is behind us. The important thing for china is to make twoway flows much freer. For example, if the saudis except r b payment for oil, they have somewhere to invested. Renminbi, if you get what are you going to do with it because the markets are two limited markets are too limited . I think that is what china is aiming for right now. This isou talked about about opening of the economy, liberalizing the currency as well. What does this latest that tell us concretely about what might come next on that part . David concretely, nothing because it was obvious a time for President Trumps visit and a gesture to help improve the current account surplus in china by allowing Financial Services to make more money there. It is important to get the key players who move money and influence Asset Managers to have skin in the game, and a chance to profit from this. That is what drives markets. And cleverly opened this up giving people a chance to make money in china to help them accomplish what they want to do any massive sense. Vonnie is china swamped with debt . We have two different stories on that. David most of chinas debt is attached to infrastructure, not attached to speculation or consumption. So, it is a manageable problem. Vonnie david goldman, thank you. Former managing director of a security firm. It is time for the Bloomberg Business flash, a look at some of the biggest business stories in the news right now. For the first time in more than shares soared a jcpenney and reported a smaller than expected loss in the third quarter. They Beat Estimates, too. In london, uber has lofty legal battle over whether its driver should be treated as employees. Uberbunal has ruled that employees should be benefits like paid holidays. There is a new ceo in yours Second Largest Airline eject. He will replace carolyn who was leaving to run itb. That is your business flash. Vonnie still ahead, we hear from the shale pioneer. This is bloomberg. Live from london and new york, im nara take. Vonnie and im vonnie quinn. Wildcate it cant a oil spill is a risky venture to some, but the payoff can be enormous. In a special report, the neck shale revolution qamar alix steel talk to a Continental Resources chairman and ceo on wildcat is took on drilling. We had used kind of a pump and pray method. Herald and the other while the herald and the other wildcatters released a quarter of a million acres, a bit this was going to happen. Now, his portrait hangs in oklahomas hall of fame where he is called the Great American wildcatter. But back in the 1990s, no one was buying in. It was hard to get the market to believe what we were doing. In the 1990s, the oil and if it out of a terrible crash, and shale drilling was a money pet. Most producers would not touch it, but harold but it may work. That is why we want to the rockies. That being primarily north dakota, montana, wyoming. So, do people think you were crazy . Pretty much at that time. Fat, a lot of the operators in fact, a lot of the operators in montana and north dakota, we were the only ones to do this. Burlington resources and continental develop the whole 75 the mid1990s with horizontal wells that others were afraid to try. We knew that it was a huge breakthrough with what we were doing. We did not have any idea that it would be this extensive. What was the moment when you realized, i win in this business, it takes a lot of faith. So, we believed strongly enough that we actually started with two rigs at once. In 700 plus barrels per day. Well,l production from a which was, at that time, you know, very economic. It was a great discovery. How did it feel . It felt wonderful. Know, we were you really hung out on a shoestring, if you will. , almost, with risk everything the company had to prove the company to pull this off. Herald began looking for the next big field. This time, it was the willing stand basin in north dakota. We thought, wow, this may work. Horizontal drilling would not be enough to make it economic, but injecting water into the basin would. It took 18 wells. Finally, they got something that worked little bit. We had quite a bit of land and expanded to a lot of the area. Vonnie and that was harold hamm, wildcater at one point. He was with our own alix steel. She explores the new york rise of shale he explores the meteor it rise of shale. Coming up on the european close, following equities. 35 minutes until the end of trading and we are seeing a bit of a broadbased selloff. A synchronized cell up if you will with the main indices in europe heading for their worst week since august. The stoxx 600 fell for a second day. Lets look at effects, the euro and sterling moving higher. We are seeing yields moving higher in the core and the periphery. Equities and bonds selling off. This is bloomberg. Vonnie 11 00 in new york, midnight in hong kong. 30 minutes left in the equity trading day. Nejra im nejra cehic. Vonnie im vonnie quinn. This is the european close on Bloomberg Markets. Here are the top stories we are covering from the bloomberg and around the world. European stocks threatening to extend their losing streak to four days at the stoxx 600 has its worst week since august. Is this another reason to buy . With europes robust economic expansion, have european policy become too complacent . We look at one morning from a major ecb policymaker. Burberry gets a rescue line from brussels. A billionairehy is raising his stakes a day after burberry tumbled on concerns of its move and upmarket luxury. Lets have a look where european equities are trading right now, just under 30 minutes to the