Aser cook is on capitol hill the u. S. Senate debates the keystone xl pipeline. We will get to those stories and more in just a moment, but first lets get you to the top stories that we are following. Homebuilder confidence rebounded in november. A strengthening job market helped to boost sales. The National Association of 58,builders advanced to matching the second highest level since 2005. In the meantime home depot failed to raise its forecast for sales and profit this year. Revenue through january will percent. 4. 8 the projection translates into revenue of about 82. 6 billion. We will have more on the home depot report, coming up. Two palestinian cousins armed with meat cleavers in the gun stormed jerusalem synagogue during morning prayers, killing four people before being shot and killed by police. The victims were three americans and a briton with dual israeli citizenship. We have reaction from ehud barack, former israeli Prime Minister. The government needs to bring the perpetrators to justice, is to make sure that they cannot hide themselves and make sure deterioratell not the pool the political debate with the palestinians into a religion of war, a war of religion. Israeli Prime Minister and minimum yahoo is promising a harsh response to the killings. More developments from japan as the Prime Minister there tries to rescue the economy. The Prime Minister is dissolving parliament this week and calling for early elections, delaying the second salestax increase for 18 months. I will step down if we fail to keep our majority, because that would mean that our program is rejected. The first tax increase was blamed for sending japan into a recession. The election will be reportedly held on the 14th of december. Part of parts of new york state are measuring the seasons first big snowfall in feet rather than inches. Three feet by giving the buffalo area, forcing the closure of a 132 mile stretch of the state through way. The waist high snow stopped pedestrians in their tracks and drivers were forced to abandon stopped vehicles. The storm was dumping three to four inches of snow per hour. That is a look at the top stories we are following at this hour. I high stakes showdown over the east owned xl pipeline is playing out on the floor of the u. S. Senate at this hour. Supporters are trying to round up 60 votes for legislation that would approve the pipeline. Bloombergs chief washington correspondent, peter cook, has the latest from capitol hill. Do they have the votes that they need . At this point it does not appear they have the 60, but there are still four hours to play before we see the final vote and supporters have expressed confidence that they will he able to get to that magic number of 60. Led byort was of course Mary Landrieu, who had been leading the push for this project for some time, and who had been trying to save her own senate seat, hoping that maybe this highprofile fight might allow her to hold that senate seat, but she and her supporters were dealt a blow earlier today when independent senator, angus king, of maine said that he would vote against this project. He was seen as a potential clinching vote for this legislation, says that he does not feel that the senate should be in the business of effectively issuing construction permits. Leaving the fate of the project in limbo at this moment in time. This is a sixyear effort to get this pipeline built. On the floor of the senate today we heard the divide within the senate, particularly among democrats. Vetoing an overwhelmingly popular bill would be a clear indication that he doesnt care about the American Peoples priorities. It would be the equivalent of calling the American People stupid. I brought this bill to the floor knowing in my heart that we have 60 votes. I sure hope we have the courage that supports that. You heard john weiner in those comments there, referencing what could likely happen. Even if they do get 60 votes on the floor of the senate, the threat of a possible veto from the president , the white house continues to stop short of that, even today. It seems pretty clear that the president is opposed to this action and if they get to 60 you can ask back a likely veto. Is the Energy Industry still counting on it . To be sure, the Energy Industry is advocating for the passage, but it has been along six years and a lot has changed in terms of the importance of this project, it has arguably faded since it was first proposed. First of all, look at the dynamics in the United States, the explosion in terms of u. S. Oil production, oil prices not nearly at the levels they were six years ago, down to 75 per barrel right now. Also, finally, rail capacity. Olde the pipeline was not enough bird alone, 700,000 railcars with a possibility for moving this oil other ways. The reality is that keystone is not the project was six years ago. Peter cook, live from the hill, thank you so much. More now on home depot, the nations largest Home Improvement dealer, topping analysts estimates in profits. More customers made their way into stores in the Third Quarter. . At more can you tell us first the monitoring of the report, what do we know . We know that more individuals went to the stores. So, they are buying heaters, windows, countertops. Sales in the Third Quarter are up. Important is the fact that you see stocks off today. The street was expecting them to increase their forecast for the fourth quarter, as well as their fiscal year in revenue. That did not happen. We also heard about how big his breach was. The breach was announced in september and we understand it billionact cost, 27 for the entire year. How does the breach impact Consumer Attitudes . That is interesting, customer traffic was up 3. 2 . Said that note simply 53 of individuals they surveyed in this intent to shop surveyed that they launched every two weeks in september showed that individuals who were aware of this data breach, 47 , lets caught half of those people surveyed, they then said that it would impact their shopping at this specific retailer. Intentions to shop at home depot specifically was flat for the month of november. It gives you a sense of reality versus perception. That said, i did speak to an analyst who asked people this morning and said that the bottom line is its is hard to understand where the market shift has gone as he does not have all the data, like whats happening at lowes right now. That was the latest on home depot, thank you so much. Coming up, hurt by the yen, we will look at what the big three automakers are doing to be more competitive outside the United States. Later, Olivia Sterns brings us an interview with steve forbes. It is all from our day long coverage of the cme Global FinancialLeadership Conference from naples, florida. Welcome back, this is bottom line. I am Mark Crumpton in new york. The yen hits its weakest level in more than seven years against the dollar, the currency flipping after the japanese Prime Minister called for an early election, suspending a sales tax increase. A boost to japanese industries, it could hurt other industry, like u. S. Carmakers. Matt blunt is the president of policyrican automotive council, created by the big three u. S. Automakers. Governor, welcome to bottom line. Good to be with you. Is this still the biggest impediment to free trade, in your opinion . Clearly it is the largest. Even in an economy like japan, where you have very complicated nontariff their years, clearly the devaluation of the currency is the greatest impediment to free trade and has a real impact on our industry. We have cars and parts from the United States, with 140 billion in product on an annual basis. We are on track to double exports in five years, which is difficult to do with these strong headwinds because of the unfair trading practices of japan. Given this information, why have discussions on currency provisions not been front and center . Clearly, they should be. Its important that the United States get not just in asian trade deal, but a high standards agreement with other economies that have a history of manipulating currency to gain an unfair trade advantage. To your knowledge were these types of currency provisions even discussed last week . I dont believe that they were. It has not been shared with me if they were. We think it is time for the administration to respond to a bipartisan, bicameral system of congress. More than half of the members of the house in the senate have come together to say the administration should include currency discipline in their partnerships and other free trade agreements. How does this currency manipulation impact the big three automakers . Not just in north america, but is an the borders . It unearned export subsidy for japanese automakers who ship nearly 2 million vehicles per year from japan to the United States. They use currency to weaken their subsidized overcapacity in the industry as they have not gone through the same restructuring as we have. It also affects us in these third markets where we compete headtohead with the japanese around the world. We export more cars and parts that taking else, but if we cannot do that we wont have anything close to a level playing field. Another issue being pushed his access to markets like japan and china. The u. S. Recently won an antidumping complaint against china. How much progress has been made in addressing issues such as tariffs . It is important that future trade agreement agreements seek to go beyond tariffs. They must be a part of the partnership, but when you are dealing with economies like japan, which have a history of closing their market systematically for decades, 94 controlled by japanese companies, it is really important that we have a rational approach to moving our tariffs. Beyond that, addressing these nontariff barriers that are these highly sophisticated ways for japan and other economies to close the market. Speaking of the japanese economy, the Third Largest in the world, yesterday we heard they slipped back into recession. If this impedes growth in japan, is that a possible game changer for the Auto Industry . I believe that the american Auto Industry is vibrant around the globe. A handful economies keep their exports, but to clearly in the United States important export markets, like the middle east, south america, africa, the big three, really enjoying phenomenal success, but in order to get that to consumers they must have a fair trading deal. Haveme of the growth we seen is not global because of the uneven nature of the Global Recovery. As the fact that it might be local exacerbates the fact that we dont have any even more Global Recovery from the crisis. We need to allow the market to set Currency Exchange rates. Leftr, we have a minute making an awkward pivot, your former home state of missouri. A lot has been happening since the death of michael brown, back in august. This tension between the police and the Africanamerican Community was there long before the incident took place. What needs to be done now . What needs to happen to bring both sides together . Most observers would say that governmentsd local were slow to respond. It is important to work with Community Leaders and Law Enforcement professionals to make sure that folks have solid ways to give their opinion and improved public order. I would not want to intrude on the current governors turf, but it is important that everyone be prepared for what may happen in the coming weeks. Thank you for joining me in the studio, sir, pleasure to meet you. Thank you. They say the lights from times square can be seen from the earths or writ, and other is a light bright enough to attack an alien ship. A digital screen that is the length of an entire new york city block, with higher resolution than some of the best televisions on the market. Shelby holliday gives us a better look. Nearly half of a Million People pass through this intersection every day. The giantonight billboard behind me will be at the center of their attention. This eight story tall mega feed mega screen is the biggest billboard new york has ever seen. Its digital display is giving out your advertising a hightech twist. Its pixels advertisers will be able to engage with pedestrians, updating campaigns in real time, even granting promotions to this massive audience. Companies are currently paying 2. 5 Million Dollars per month to occupy this massive billboard. Why is it so valuable . It has the audience that only times square can attack. Shelby holliday joins me here in studio. That is a huge billboard. 2. 5 million to month to advertise . Who has that kind of money . Clearly not myself. Marketers have that kind that kind of money. Taking it over from thanksgiving to new years. Clear channel, the sales agent, said they have had a tremendous marketplace response. Part of the reason it is so valuable is it is tremendously versatile. It is much more than a big screen. It has high death crowd cameras. People love to see themselves. I can only guess that that will be used in a number of different ways. It also has social media capabilities, perfect for things like new years eve, the super bowl, big events in new york. With 25,000 square feet of digital canvas, half an acre, it provides all kinds of room for multiple Television Screens and advertisements. Future of outdoor advertising, is it possible that it can only work in a place like new york city . Times square is unique. People go there in part because of these advertisements. It can also be used all over the world. It works really well in these crowded, urban areas. Places where people are shopping and spending money. People are connected to their devices and this really drives people. You could post a promotion in real time, tweeting instagram photos it pushes people to their cell phones, exactly where marketers want them. What else are these screens capable of . The possibilities are endless. You could do live broadcasts of eve crowd years camera events. Google is taking it over, who knows what they will do. They will probably sell the space to other advertisers. There are all kinds of things that we can do. I also want to point out that 57 of the people passing through times square interact with billboards on their phones already. In vegas, and ical, in these bright urban areas, that is exactly what these marketers want. Tell them to put your picture up there, shelby. I wish. 26 minutes past the hour, we have the details, but right now at stake a quick look at the markets. Lets get you caught up on where stocks are trading. The floor of the s p 500 is at an alltime high. Thats right, folks. All 10 Industry Groups are hiring right now. The only one falling at the moment, as you can see, the s p is right there. Some of the movers i want to highlight for you, keeping this stock down, shares of shares are rising even after the Company Announced it was raising the size of its secondary more thanhaving tripled since its june 25 ipo. Where thee a shakeup new ceo had more than two dozen executives expanding its core leadership team. We will be right back. Welcome back to the second halfhour of bottom line. Oh thank you for staying with us. An Israeli Company that has been in the big data business for decades, since before became a catchphrase. George soros is one of the largest shareholders. Elliott spoke with the ceo at the tel aviv stock exchange. They began by discussing the impact of the shackles strength on israeli businesses. Are hedging the Currency Exchange. We have not yet benefited in the results of the strengthen the dollar. If it does continue it will have a positive impact on our business and engineering in israel. Nowhe big engineering right is big data. Are you focusing more on that now . Is it about educating potential customers . You are right. We operate in the area of the a gigantic data. We take a tremendous amount of data, we started the company 28 years ago and we brought analytics and applications using our data. It was a, nation of having even more technology, but yes, a lot of the communication today, thanks to to the awareness of big data, is helping the business. You also said that you plan pursueessively acquisitions. What kind of areas are you looking at . When might you see a deal being made . As i said before, we are also focusing on growth, but we are not shy of positions that will be the right positions for business. We have seen two areas. One is certain markets they can still be consolidated. The other is an adjacent market. In terms of money to spend, we have been helping the company through structure and we have cash in the bank. We are debtfree and have the ability to leverage. Than 100 million . More than half a billion . Everything is right for the right company and the right price. You are listed here and in new york. Do you ever think of delisting from the exchange because of regulations that have put off many Israeli Companies . Beingsee a benefit in listed in tel aviv and here. Especially with the recent regulations, those are not helping, but we will be happy to stay more applicable. It is however not on the agenda for us to be listed. Spending the day getting some bigname interviews at the Global FinancialLeadership Conference in naples, florida. Olivia sterns is standing by with steve forbes. Olivia, good afternoon. Thank you so much for joining us at the conference. You just wrote about japan. It did not take much to wipe away the euphoria. What do you think needs to be done to pull the japanese economy out of its current ditch . They have to go for big tax cuts. Doubling the National Sales tax, they have a huge payroll tax, 37 . The highest Corporate Tax rate in the world next to the United States with high personal tax rates. They are overtaxed. They need to stop their version of wanted to give easing and you will see japan come back quickly. Is there any extent to which you think their program is working . Not at the end of the day they could not sustain it. Internale to make improvements in terms of structural changes, yes, move ahead with that, but they have got to get it right with taxes, spending, getting the bank of japan behaving. Cutting taxes on Social Security, that is sort of a demographic straitjacket and the trouble is they will have more people over 65 in diapers than babies. The way you meet the obligation is to have greater assets with Wealth Creation without a stagnant economy. Ofher taxes are killers economic growth. Japan got it right in the 50s, sixs, and 70s, but then they went in the opposite direction with doubledigit road rates into stagnation. Their average growth rate has been under 1 . They have put up the worst gdp ratio in the world, over 200 , far worse than greece. It is true. Pretty incredible. Speaking of greece, we know you this, but is of there anything that mario draghi can do to save it . No, it is beyond their ability to do so. They have to make structural changes. Spain is just starting to show signs of life. Look at france. Get rid of that 75 effective income tax rate. Changer labor laws. Reduce their tax burdens. To life. Again come if they dont make those changes they will stagnate no matter what. In the u. S. How far away is the u. S. From escape velocity . The u. S. Is still stuck in a 2 or 3 growth mode. We have got to make structural changes. There is a consensus on reforming the Corporate Tax code. I think that after 2016 we will have the mandate on the personal side. On the healthcare side, obamacare is imploding but a new system is emerging. I think the u. S. Will be poised for rapid growth after the election. Assuming we get republican president , which is much more hoping for. Lets pick that apart, piece by piece. Do you think we will see comprehensive tax reform in the u. S. . It piecemeal, what should we lead with . First you have to get a real indication that the white house is serious about doing it. Democrats are not going to make tough decisions on taking stuff out of the tax code if they dont think theyre backs will be covered politically. If the president just sees this as another way to raise taxes, forget it, not going to happen. If he indicates they will be under trustworthy negotiations, you will see a bill by next year. Is there a way to reach entitlement to form that is not political suicide . Yes, you dont have to change the benefit formulas for those on Social Security or who are about to go on Social Security. The key thing is that for younger people they dont need political liabilities to put in these new systems where the bulk of their benefits will come from the 401 k . Proper diversification, rules, and regulations. On medicare and medicaid, two big drivers of these unfunded liabilities, you get more free markets with more effective safety nets, like we have today. Those liabilities to 75 years to come down rapidly. Changes today accumulate. What are the changes to obamacare that are the most important to make . Thisf the bat, get rid of medical device tax. We have great breakthroughs in this country that we are driving offshore. Start with that. Improve the individual and employer mandates. You will have a lot of new, unnecessary costs. I finally have to ask you about keystone. It looks like senator king of maine said that he would not support it, but Mary Landrieu may not get the votes that she needs. Are you concerned that this is a death knell . Keystone may not get through in this session of congress. They may not be able to rescue Mary Landrieu, she is indeed clinical trouble. But in january with the new congress it will pass and the question is, will the president veto it . Thank you so much for your time. Thank you both so much. Coming up next in our latin america report, the former brazilian billionaire standing trial for alleged Insider Trading, it has the attention of the brazilian middleclass. That story, when we continue in just a moment. , once fizzlesa richest man, had his first day of trial today for alleged Capital Market trials crimes. The meantime 89 point 6 million of his money remains frozen after the judiciary gained access to his tax and banking records. Juliett is following the story and is joining me in the studio. What else happened on this first day of the trial . At 2 p. M. Local time his lawyer tried to get the proceedings closed to the press. They thought it would hurt his case. The prosecutor the judge denied that. They adjourned about half of an hour ago. To in the next hearing on december 10. We might actually hear from eike batista on december 17. What exactly is the prosecutions case . Accusing him of Insider Trading and market manipulation. They have it used him of selling shares on two of his six publicly traded Companies Last year. He could face as much as 13 years in prison for it those charges. Any statements from him about this . He went into silent mode about one year ago when the companys collapse. When he was actually accused he came and gave some interviews to the local newspaper, saying that he never intended to mislead investors and that he did not trade on insider information. He let off some steam, but he did say some things that riled up the middle class. What did he say . Worth,aid that his net 34 billion in 2012, was now a 1 billion and that it was a giant blow to the middle class. That was not well received by anybody, including the judge. Been innyone ever prison in brazil for this type of crime . No, he would be the first person ever to be imprisoned for that. To have been about 60 cases since 2006, when the regulators started providing the data. Any idea on when we might expect a verdict . The judge has said that he wants to give a verdict by early next year, march was his best estimate. Mia over exaggerating by saying that this case seems to be shakespearean in quality . This is a serious fall from grace here. It is. To one billion by his estimates . Brazil, nowman in he has just disappeared. As i have been following the story, one of the interesting things is the minimum wage in brazil, less than 300 per month. Is that why the outrage . Because this man with all this money is alleged to have committed these whitecollar crimes . It just doesnt sit well. He is not exactly what brazil would qualify as middleclass, money, but heof still lives a better life than the greater part of the population. To be continued. Julia, thank you so much. That is your latin america report for this tuesday. Coming up, the National Football league suspends Adrian Peterson for the rest of the season. We will look at their personal conduct policies, next. Beenrian peterson has suspended by the nfl for the rest of the season. The 2012 mbp has been on commissioner Roger Goodells exempt list since midseptember. Charged with child abuse, he agreed to a plea bargain two weeks ago. For more on the personal conduct policy of the nfl, trish reagan joins me now. I dont know if a lot of people saw this coming. The his point of view, collective Bargaining Agreement does not allow the league to do this. This is just turned into a political disaster for the nfl and for Roger Goodell. It obviously started the ray rice. Two games. Then six games. Then it went on to the Adrian Peterson issue. It is clear to everyone, i think, that the nfl has a real problem that they need to get out in front of in any way that they possibly can. You and i talked about this before. If you look at any other industry out there, this kind of behavior would simply not be accepted, tolerated. You would be out of a job. You have aize that union in there, across the Bargaining Agreement, but at the end of the day do you really want to have players on the field who are supposed to be role models for the kids watching . Having them commit these kinds of acts of violence . Should that the answer be no and i think the nfl is coming to that realization. We will of course hear more from Roger Goodell at around the time of the super bowl when they come up with more guidelines. As you well know, the attorney for peterson, and a sense they are saying that this has already been adjudicated. He pled no contest, community service, paid a fine, now its time for him to get on with his career and now the league says not so fast . Right, not so fast, they have a situation to contend with. They need to be setting an example for every other a are out there. If you adopt a policy of zero tolerance, then it is going to make it much harder for the next person to come along and do this. I think that what has been incredible about all of this, the questions that have arisen are how common this kind of violence might actually be in the league and how it is that people are able to be so well employed if, in fact, Something Like this is happening in their home life. Think about the Investment Banking example that we have been citing lately. Over at jefferies. It is clear that jeffries was not going to tolerate, you know, this type of behavior and the accusations around the type of behavior that he had. Sports is obviously incredibly different, but maybe it should not be. I think that that is an issue that the nfl has to address. Quickly, youre going to talk about this a little bit later with dick parsons . Of course. A very different case, clearly, but he was of course the ceo of the clippers during that difficult time. We are going to talk about about the media landscape and other good stuff. Stick with me, i will see you at the top of the hour. Stay with us, another check on the market is coming up. Headlines at the top of the hour, that does it for this edition of bottom line. Thank you for joining us. On the markets is next. I will see you tomorrow. The hour, meaning bloomberg is on the markets. Getting you caught up on stocks, we have one hour to go before the bell. Onres are leading the rally the s p, advancing in nine of the past 10 sessions. The u. S. Government report today showed that prices on expectedly increased in october with higher costs for food outlining the slumping energy. Oil has been on the way down. Alreadyces only led to one merger, but yesterday point 6 purchasing 34 billion. The question is, is there more consolidation to come . Joining me for todays consolidation, matthew, i guess the strong oil Means Companies keep drilling, but prices that are low means consolidation . From prices have been as high as they have been for the past few years, you just drill him produce as much as you possibly can. In the past few months we have seen prices go down 30 with companies suddenly worried about cost. That usually brings a wave of consolidation. We saw a sign of this in halliburton, but the question next year is this this is this going to take place in another realm. Do you have a sense of the Balance Sheet operators out there inclined to keep going . That is the big question, this is a one dollar trillion industry that has been funded by a lot of distress debt, high yield bonds. Much tot going to take push some of these producers into a situation where they simply cannot make money by producing oil. We never got the point where we had to figure out how to separate good producers from bad producers. We will see that next year. Some of be a chance for your Big Companies with cash and a Balance Sheet to put it to work, to start buying on the cheap. It seems like a lot of the most recent new entrants, new players, they have been enticed by the demand. Scale. Ve the economy of will we see the new entrants decrease . Are not going out there right now to organize a producer company. If you are not in my now, you probably will not get in, especially with what we have seen. That is not to say that drilling is going to stop. Last week we produced 9 million u. S. Ay, the most oil the has produced since 1983. It will probably keep continuing. The question is it that cuts into production next year. With companies struggling to cut costs, does that mean that the chinese are going to step in and scoop up these new technologies overseas . What you will probably see more first is consolidation in the u. S. , special technology that is valuable, im not sure if you will be seeing Chinese Companies coming into the u. S. You might see u. S. Majors, exxon, chevron, looking for deals, and a chance to scoop up assets, companies on the cheap. The question now is whether into other markets and impacts production overseas. Interesting stuff. Thank you so much, matthew, in washington. Anwill be here back in hour. Street smart is next. Like welcome to the most important hour of the session. 60 minutes until the close. I am trish regan and this is street smart. An alltimeing high. Plus, the ceo of transcanada joins us and ahead of the vote on the keystone pipe line. The former citigroup and