It is sometimes a good indicator of what we will see on friday. There may be blacks backlash from boys. Flash boys. Will face more questions about gms failure to fix it ignition switches. She used her appearance to stress that todays gm puts customers ahead of anything else. Matt, overall, what has been the assessment of her performance. Did she do well yesterday . A lot of people were surprised that she refused to answer or did not know the answer to a lot of questions that these congressmen were asking her. She put out a statement the day before saying she was going to be as transparent as possible. Up was clearly not giving all of the information she had, or if she was, she had not done a lot of research. Read thes she had not documents that the congress had forin front of her testimony. It was interesting the lack of preparation it seemed. Maybe she doesnt want to implicate herself or make herself liable. Did give up the right to bring in an attorney with her. She had to be very careful. What does the hiring of ken feinberg indicate . That falls on the positive side. She was contrite. There were tragic incidents here. She was sorry about that. Feinbergg of ken indicates that General Motors is going to go down the road of compensation willingly. It talks a lot about the. Ankruptcy does, legally. But if you bring in ken feinberg, youre getting ready to write big checks. They want to do her best to make up for these things. She really wants to bring gm forward to the come more customer oriented. Thank you. Matt miller in washington. I want to bring in my next guest. Our guest host for this halfhour. Kari neel kashkari. Great to see you. Perfect timing. Were seeing all of these faces from the 2008 bailout. 10 feinberg and now you. What did you think about the testimony . It is a tough thing. The only way you can approach it is to be completely open and transparent. I think she did her best created as a tough situation. She was not ceo at the time. She is taking the right actions now. What you think of ken feinberg . He is a trusted hand. When you bring him back, it that youreage someone that everybody trusts. He will make sure the right things are done. Does that mean big checks . I think so. People lost their lives. That is serious. Gm should be held accountable. Of course there on the hook and they owe it to their customers. I have been a gm customer since i was 16. I expect to see gm step up and take care of their customers. Are any of your cars recalled . No. It is interesting to see gm back on the hill for another issue. In washington quite often for the bankruptcy. To seerd is it for you this again . Is gm a new company . Employees, itany is hard to change the culture. I like the way theyre calling it the new gm. I think theyre trying. For governornning in california. Some people say it is a long, uphill battle. How is it going . Memo we have to fight to turn the state around. Jobs in7th in california. We are 46th in education. We are number one in poverty. Ebody has to fight to be rebuild the middle class. California is number one in the country. The housing cost. You dont get to wave away the housing cost. It is a real factor from the u. S. Government. Jobs andlogan is education, that is it. Very simple. Pertinentnt two points. Areare to porcine you two percent in the polls. Your message, but for some reason, it is not being reflected right now in voter support. Voters in california are not paying attention to the race. We have an aggressive land to reach voters over the next couple months. Hang with me. We will speak more about washington. Republicanri, candidate for governor california. Says he plans he to expand aereo into every major city, only if they win the Supreme Court battle. Schatzkern with erik for an exclusive interview. Eric asked about reports that amazon is about to unveil a set top box for television as well. For those of us that have , roquev, no set top box who were any of them. Wires, amazon will be a player in this. Many others will be. I think it is great. More news on this. This would amp up the rivalry on netflix and pitted directly against google. I cannot get everything straight. What will make it good for used tos is people buying or downloading movies can do it more easily. They can sling it directly to their tv. It will go head to head with apple tv. That is a sweet spot for amazon and what they are trying to get out of consumers. How popular has it been for apple . The numbers are a mystery. They called it a hobby and now millions of people have apple tv boxes. Things to think about jeff bezos is not out to reinvent television. His aim is to sell more product. If it means selling movies and a carte basis, all a ca he will find a way to do that. It is just additive here in terms of services. It is another note into his store. That is with the kindle fire had been for him. He does not want to reinvent television, but for some people goneatches moves, he has into original programming, he is trying to take on netflix. It seems like he is trying to. Thing tox is a good bring up. They are trying to change television. If they are going to get paid, theyre more concerned about if youre going to buy something. That is how bezos tends to think about these things. We also dont know how he will price the box. He may make it free or make it a minimal cost. That will give you a sense of how important it is for him to upsell the customer into products versus selling hardware. Thank you for joining us. As amazon makes that announcement, turn it tune into bloomberg west. They will have the analysis. That is all coming up on bloomberg west. We have more guests i had. Plan calls forn a cut in programs. We will talk about it with scott rigell. Were focused on jobs this morning. 190,000 jobs created in march. That compares to 195,000 jobs. They are pretty much right in line. A bump up in what we saw from the prior month. Mike mckee has been going through the numbers. Staying with us as well. This is what economists want to see. A snapback. It is the first robin of spring in the Economic Data we hope. Over januaryvity february as the weather warms, we saw yesterday in auto sales. Adp, a payroll processor. The number of additional jobs they count in the month of march. Their methodology is different than the governments. They count only privatesector jobs. It is the best indicator we have of what might happen on friday. By a factor off about 30,000 a month. If they are off to the downside, the will be good news area Industry Snapshot shows much of the activity would be in construction. That is what you would hope to see. In professional Business Services includes the temp workers. We are seeing some job growth ahead. Companies at those before they go on to other hiring. Thank you. Is running for governor in california. One of the main tenets of your campaign is we need to create jobs. What is missing with the labor market . There is an overhang nationally of failed government policies. The Federal Reserve is trying to do everything they can to boost the economy. Monetary policy has run its course. We need Economic Growth driven by the private sector. I am focused on the oil and gas sector dirt they have huge potential on bringing manufacturing back to california. Small, relative to the United States, but some issues are similar. Theyll want to create jobs. What is different . Plan rolled out a detailed. They were surprised there was so much detail. Political campaigns rarely have detail. We do. Is that your banking background . Exactly. Production is almost 80 . 100 . Dakota is up it is because the governors not moving aggressively. 17 of californians have no job or are stuck in a parttime job. If the governor had urgency and fought to unleash the private sector, we could create a lot of issues. His taxes the issue . What would you do . Reverse the tax policy . Member no state taxes for 10 years, no businesses are moving to california. This is not revenue we would be sacrificing. It would be new revenue we bring into the state. Do you believe obamacare is a jobs creator or destroyer . It is a jobs destroyer. Healthnt workers to have care, but they cannot afford it. Theyre cutting back worker hours, reducing if you were governor, would you stop the expansion . I would be fighting for washington and fighting to replace it with something better. Important, is really but when 17 of californians are looking for work, we cannot have a Major Program that is disincentive rising employment. This is what he said about the impact of Health Care Reform on economy. Millions of our citizens know the Economic Security of health insurance. They did not a few years ago. That is something to be proud of. Politics orf your your feelings about me or your feelings about this law, that is something that is good for our economy. That is good for our country. There is no good reason to go back. Is there something to be said for that . No one can deliver soaring rhetoric like barack obama. 40 million americans in the United States are uninsured. They need the Economic Security. I agree with that, but we have to look at the cost and the benefits. I met with a pastor in southcentral l. A. Who railed at me for how evil republicans are for trying to undermine obamacare. I listened to him. By the end of our meeting. He said i want obamacare, but i cannot give it to my church workers. It is very real. He was angry, but he wanted somebody else to pay for. I understand the dilemma he faced. Health care is important. We need to put people back to work. The best list we can give to someone is a good job. T understand how your members of your party are using it as a flash point in their own campaign . Absolutely. Theres no question. Mamet would you do that . It would not work in california. I am focused on jobs. When i mean families across california they are concerned because they do not have work, kids are graduating college with thousands of dollars of debt and no job. My key to success was that i got a good education. I want every kid in california to have the same shop that i have had. That is why im running for governor. Hang on. We will be talking more. To yogap, from coffee pants to healthy foods, we will talk to the woman who runs the start up lulo. You are watching in the loop dear co i am betty liu. It is time for this versus that. Blackberry will not renew its contract with tmobile. This is john leger. Hes the ceo of tmobile. Tmobile has been offering blackberry models since they were introduced last year. In september, tmobile put the phones out of the stores and required customers that one of the blackberries to get them by mail. John chen has had enough of those tactics. Encouraged users to switch to apples iphone. The first challenger to blackberrys dominance. The two companies do not have complementary strategies and it will not renew the contract with the mobile when it expires. It sounds like it was going to be a breakup in the making for wife sometime. Bloomberg television is on the markets. Scarlet fu has your check before the open. Much change in futures. Not much impact from the adp employment change number either. With jobless claims tomorrow. Within the cash market, the s p 500 closed at a record high. Was about 44 points away from its record as well. Outside of equities, we are keeping an eye on copper prices. They are higher than one percent right now. This is after the 8. 2 magnitude earthquake in chile. Therecific copper says site suffered no damage from the quake. Here is a look at the top headlines. Irtu delaying its ipo. Plans to later this month following the scrutiny of the release of Michael Lewis bbook. Lufthansa canceled flights this week. Theres a dispute over retirement benefits. This is the biggest disruption in the companys history. They tried to rebook customers on other airlines. They offer them a chance to use their plane tickets on trains. It has been a rough couple of months for bill gross. His company came under intense scrutiny and it now, we learn that his total return fund return. The worst that is according to the bloomberg ranking. Net withdrawals from this fund. I want to bring back neel kashkari. Knew Mohamed Elerian while youre there. Is it fair, all of this negative publicity . He is a terrific investor. Great guy. He has done a great job and will continue to do a great job. I am not worried about bill or pimco. He is writing a book. That is his slight second act. Think where is he going to end up . He has a lot of options ahead of him. Go work in a government agency, nonprofit, he will do great. Nobody better to write a book on Central Banks than Mohamed Elerian. It sounds like all of you guys na li pimco go on to that leave pimco go on to interesting things. Paul ryan recently introduced a budget plan that could frame the coming election. It shows a Republican Party that wants to eliminate the deficit by cutting social spending. Democrats are looking to boost the safety nets. We are joined by scott rigell of virginia. Great to have you back on the program. What did you think of this budget from paul ryan . I supported. There was a debate in whether we should bring one to the floor because we are under a two year agreement. I was convinced that the American People need to hear the alternative. Markup. An allday the democrats say this is just the same thing they have heard from republicans. It is inciting class warfare. Is categorically false. Says therent himself is a lack of follow through on his part. That is why i am proud of our conference. We put fax out facts out. The American People can handle the truth. They are ready for it. This is a debate that i want us to have. I would echo what he is saying and say that the best social program in the world is a good job. The Obama Administration has been pushing more temporary measures. It needs to be a bridge to a job. In ministrations has not had a jobs program. The house leadership is working hard to create jobs. They would say we have not been able to get certain initiatives through because washington is so divided. Kind oficans need those bridge initiatives. They need Employment Benefits extended. There needs to be a progrowth jobs definition at the end. That is how we give everyone a fair chance of the future. That has been lacking coming out of the investigation. Out of the administration. We could create 25,000 local, good paying jobs, but we are locked out because of the administration. It would be easy to work on the administration of the things if they get out of the way let the american entrepreneur creates some jobs. I would assume you are both dialed into the same issues. Let me pivot quickly to another topic, speaking about job creation. It does boil back to that. We have been reporting about how tesla has been fighting all of the states to try to sell their cars directly to consumers. From your own state of virginia, they banned tesla from selling directly. You own to dealerships in your state. Do you think that is is that probusiness . We need a clarification of facts. Can sell direct in virginia. I am proud of the virginia auto dealers association. They came to an agreement with tesla that initially requires ,hem to they can sell direct but they have to transition to a dealer model, which protects customers. It is a great product. In it yet,written but the idea is the way to go. I have not ridden in it. It is the way to go. They cannot sell direct right now. This is a model that other states ought to look to. Is high profile. Not just with his teslas, but with changing the whole transportation industry. From space to cars. Thething he talks about is height remove. Do we have the diagram . It was a 50 page report. That is because he, like you, does not like the highspeed rail transit project in california. I thought it was great Governor Brown wants to spend the 70 billion to build the strain. It makes no sense. Musk has a better idea, i am all for it. Lets get it. I dont think the highspeed rail makes sense. Shouldnt the government be funding Something Like that . Infrastructure is important. We are in the worst drought in california. We are not building more storage to capture water and snow. That is where i would invest taxpayer dollars. Droughts happen frequently california. We need to be prepared. Rank you for joining us. Thank you for joining us. Neel kashkari. Congressman scott rigell virginia, thank you for joining us. The former ceo of lululemon has a new job. We will have more in a moment. Christine day is back. She has taken the helm of ceo of luvo. It is looking to change the perception of diet foods. They have started selling in new york and new jersey. It has also partnered with delta airlines. Great to have you here. You have the food here. We have some of our breakfast items. Tell me about the company and why you decided to join them. Luvo is about bringing nutrition back into food. Those the food drives, but nobody talks about putting nutrition back in food. So much of what we even a processed food world does not create contain proteins fiber that you need. All ofare saying that the products we see on the shelves are mislabeled . They are convenient, but they are not nutritious. They are high in sodium and sugar. Our mission is to say you do not have to sacrifice the well. Everyone to cook fresh foods, but that is not when youre traveling, in the air, those options are not available. In everyinventing food channel, everywhere you need us to be. Perspective, looking at what is going on in the food industry, my sense is that everyone is jumping on the f healthy food bandwagon. Glutenfree, vegan, all of that is out there. I think it is great. I would like to see more. There is more to be done. Particularly on the nutrition side. When we send our children to ahool with a sugary cereal or waffle with syrup on top, theres no fiber in those products. What were trying to do is say how about a sweet potato hash and a frittata. It is spicy, high in protein. Oure working out, spicy is hard to be in the morning. Hard to eat in the morning. We have done the same thing with oatmeal. It has about 300 grams less sodium than a typical packet of oatmeal. You are selling this in stores . In about 7000 grocery stores. We are also serving this product on delta in the morning. With have an exclusive delta and we do a fresh row graham and the frozen program in first class. Airports tong with bring it into their ports. This has team while in the oatmeal. Youre getting six grams of protein. If you have your child the this in the morning, what happens when you combine protein and blood sugarmanager throughout the day. This is healthy to eat. To add this to restaurants. We are opening beast rose. We are opening bistros. Our mission is to bring healthy food everywhere you need us to be. I am glad i got to eat. People think i dont eat. Stay with us. We want to tom or about the Retail Business with the former lululemon ceo. Up, tory burch is the latest fashion empire. We will talk more about retailers in a moment. Is planning a resort area and we will give you a look at the plans. Stay in the loop. Expandlemon said it will into global markets. Is a former lululemon ceo, christine day. The the helm of a Health Care Company called luvo. You know about the retail environment. I know a little bit about hong kong. It was incredible the retail environment there. J. Crew will be expanding in asia. Kicked out a mcdonalds and theyre going to be placed at their firstr with store. It is a huge market. Highe tower is one of the profile places. You have a lot of chinese consumers visiting because taxes are lower. They are keen on luxury items. What i also see is a shift. What i have observed over the last few years it is is it is beyond personal style. Shopping is important to the chinese consumer. Being healthy, working out, fitness, a lot more tension attention to your personal style and health. I see those trends accelerating. Understand it. There are so many luxury retailers. I have seen it before. It was incredible. I took a photo of this tiny camera store. It looks like a know nothing a no nothing store. It sold for 23 million. I cannot even count the number of cameras they would have to sell to pay that rent before. The rent is extreme. Over 3be talking million a year in rent and some of the prime districts. It is crazy. Premium brands and Luxury Brands with high margins and high ticket items are going to be the ones that can afford that. What is really going to get squeezed out of the marketplace that is not even highend. One of the Real Estate Broker said it is likely it will be replaced by a store that sells purses or pharmaceutical items. It has to be higher and and it has to have highmargin and high traffic. Vuitton has six Standalone Stores in hong kong. London only has two. Is a regional shopping center. You would see people come in from indonesia, philippines, you would see families come in and do huge shopping trips. If you are a highend brand, i feel like you cannot go wrong. The customer is there. Thank you for joining us. Ofistine day, the former ceo lululemon and the current ceo of luvo. Want to know about highfrequency trading, you can always watch superman 3. We will explain. We will talk to the chamber of commerce member that is leading the charge up to the west coast. Will he be welcomed . Stay in the loop. Bookchael lewis latest talks about flash trading. Latest bookewis sets its sights on highfrequency trading. The practice performed by the most sophisticated investors armed with the most powerful computers. It is not that complex. It was a plot point of superman 3. Richarde one with pryor. His character engages in a little fiduciary malfeasance known as salami slicing. Here is how works. Downployees paycheck is rounded down. Question, where do all of the fractional cents go . In each case, the individual festivus small. In the aggregate, and thats in a ton of cash. In many ways, this is what like highfrequency traders do. They buy stocks and small and sell them a small increase. Like pryors paycheck scheme, each transaction is so microscopic, no one would notice or care what is going on. Over thousands or millions of trades, it adds up. All you need is a very highspeed data connection and a computer. Just like richard pryor. Michael lewisch today at 10 00 a. M. Eastern time on Market Makers. It is 56 past the hour. Bloomberg television is on the markets. A slightly higher open. Adp payroll report out. 191,000 jobs created last month. Again inn the markets 30 minutes. As aereo makes its case, we asked harry diller if he thinks the provider can survive. Exclusive details on the billionaire about to hire 8000 people to work in his new resort in macau. You are watching in the loop. You are in the loop. Heres what we are working on. Open slightly higher. The s p starts at a record high. The onlyotors, automaker with quality issues. They are they are not the only automaker with quality issues. Ysler is recalling jeep some jeeps and a dodge durangos. Will take the chain the stage at the developers conference. We will watch that closely. He is not the only developer shaking up the tech world. Erried diller barry dill defends aereo. Erik schatzker had an inc. Sluices had an exclusive interview with them. He is at the breaking point. What does diller say about the case . About odds. Alk the odds of winning or losing are no better than 5050. Now is unknowable right which way it is going to go. The thing is this. Certain to be a black or white decision. Yes or no. I asked he covers it is black or white, does that mean it is life or death . Heres what he said. I believe so. If you lose we are finished. There is nothing you can sell this . You can salvage. Aereo it would probably i cannot see a path for. It would probably not be able to continue in business. You have a platform. You would be ruled a multiprogramming distributor. You would be like a cable company. Could you not compete for content with Cable Companies . If we could make a deal with broadcasters, we probably could. The Value Proposition would go out of the game. Aereo is a lowcost method of receiving over the air broadcasting. That is the platform. That was his worst case scenario. I was surprised he said that. When you talk to the ceo of aereo, he says he is not even thinking about failure. We do not have a plan b. He believes we are going to be successful. Neither does barry diller. He knows if they are not successful, it is over. The thing about aereo, it is a lowcost alternative to the cable or satellite or files tight solution. Things asll of those closed systems. He sees the internet as an open system. Aereo takes advantage of the open system. That raises interesting questions like what happens if they win . Legal . It is ruled all, they will spend a lot of money. Aereo is available to a limited number of u. S. Customers. He believes the Addressable Market is approximately a third of the people who pay for programming, mostly young people. He does not think he can get one third of the Addressable Market, excess ofnding an 100 million, he will be a will to get to the young people and they will have a choice. Then he decides what happens when aereo grows up. Fox or cbsppens if lives up to the threat and turns of their channels into cable . He says, go ahead and try it. I would love to see it. He likes a fight. You can catch more of the interview at 11 00 a. M. On Market Makers. Hong kong billionaire lawrence ho, who plans to hire 8000 people to work in his new casino in macau. By the endrt hiring of the year. I talked to him last week when i was in macau. We toured his city of dreams resort. It has record low unemployment and he plans on Offering High pay and scholarships for workers and children. Resort costs almost 3 billion. Joining us now for more, bri an miller. See howncredible to transformed. It is not just lawrence ho, but it is when resorts in mgm. They are all there. Is the biggest Gaming Market in the world. The big thing is the city which has undergone a transformation. Inh one of the six operators macau is building another casino. There is a lot of supply coming into the market. The biggest risk . China might close the door on visitors and that could be that could collapse the economy . China is one. They have a high exposure to china. Very concentrated. Think china will close the border, but you need to think about that. The other big one is unemployment. You have unemployment under 2 . Certain jobs can only be done by residents of macaw. Macau. Nowhere near the sheldon adelson. Is a joint venture and they used to have a monopoly in macau. Ho gave that up, but they have their fingers in very deeply in the market. See how interesting to it has transformed. We will have more about lawrence ho a little bit later. We will certainly be talking more about that. Really incredible to tour those resorts. Thank you so much, brian miller. Know what gm did wrong in handling its massive recall. Waiting 10 years to fix the deadly problem. Flight 370, there is still no sign of the jet. Tells us whyof . So it could take years and millions of dollars to find the wreckage. Forhy did it take a decade gm to recall flawed cars . How do recalls work . We are in washington with the mechanics of recalls. You looked under the hood about what it takes for a carmaker to recall their vehicles. One comes from a ntsa investigation. Then you have the ones that are voluntarily initiated. It is the second type that i want to focus on. Each company has its own method, but here is how it works. Once a potential defect is noticed, either through a Critical Mass of customer complaints or through a discovery made by the manufacturer in a routine checkup, a team of engineers investigates. They do a series of simulations and test runs to determine whether the defect creates an unreasonable safety risk. If they identify such a risk, they have five days to notify safety regulators. What do they do during those five days . Nears gather to make a recommend engineers gather to make a recommendation on what needs to be replaced and recommendations for dealers. It is getting this far, it will almost always be a call to act. When a recall mandate is made, they give a heads up to the dealerships and finally craft recall notification letters, written with the help of nhtsa. It is up to the manufacturer to make the fixes in a reasonable manner in a timeframe under the watchful eye of regulators. Although this could take months, 10 years is not considered to be an acceptable time frame. Barra iss why mary being hauled to congress. How should Company Leaders respond to recall . Joining us is just hazel it. Great to see you. Zlett. F hayes she is saying is being scrutinized. I think she did a good job. She said they were accountable but she stopped at being responsible for it. That is a great way of being able to say it. We are talking about billions of dollars. She is trying to convince people this is a new gm. What does she need to do to convince people . Under the old gm, she was in charge of product development. We talked about to the former she was in charge of product development. I want to know where she has some role. First, sohis was the where did this come up from . Not surprised because of the way they were cutting for years. They eliminate a lot of these positions. Stock took a hit when this came out, but since then, it has made up some of the gains. What i have been surprised at is the amount of slack investigators investors and Companies May give to carl car recalls. It is the second biggest purchase that you make in your lifetime. For most people, it is the second biggest thing. Makesy the same kind of and models year after year, not going outside of that. That is part of the. I am i have said this and not defending the company, there has only been 113 complaints. That is all the complaints that were given to the National Safety board. You would think there would be a lot bigger issues. Want to mitigate the deaths. We do not know if there are dozens or hundreds of deaths. That is the big thing that will be shaking. Joining us. For just hazel it. He is the host of c suite out on hishy speaks second day of grilling mary barra. Ceo gets ready to take the stage at the build conference. What the Satya Nadella have up his sleeve . We will find out. They loop bang. State loop bang. Loop. N the takes place build in couple of hours. Satya nadella will be on stage to discuss the company. I am joined by cory johnson. That is a lot of stuff to talk about. Tell me what will be the big highlights. Their attempt to compete with siri and the notion they will have a vocal search. We think of siri as a clunky attempt to navigate the phone. When the Computer Science people look at siri, what they see as a different way to do search. Microsoft hast their own competitive product and could announce that today is the focus for this conference. There will surely be some new phones announced. The functionality of the phones and the incorporation of a new Voice Control may be the focus of what comes out of the meeting today. How has Satya Nadella done so far . It is a little early to tell. It was interesting that they broke up a couple of things by having microsofts build conference this week. Last week, the separate announcement, only a couple of blocks away in San Francisco. He announced something. And talked about last week about a product that microsoft developed. Application for microsoft office. That was an important thing because it showed and openness from microsoft of opening up their work, their software to other platforms, the way that microsoft has tended to shy away from. Satya nadella insisted oracle databases be able to run on the microsoft cloud. He asserted the same kind of thing with the ipad. Has made several Management Changes already. Turmoil and amore big turnover in c suite . Microsoft is not a place where you see enormous management turnover. People go to microsoft and work there for decades. You will find people that have been there for decades and they are thought of as the newcomer. What you want to see is a lot of innovation. They have the people to do it, but they have not shown the inclination. Cory johnson, thank you so much. Frome a few minutes away the opening bell. We have the top 10 trade you do not want to miss. Keep it here on in the loop. Welcome back. It is time to go on the markets. Scarlet fu has the latest. Futures are little changed. We are in the home stretch. Adp employment showed a private payrolls increased more than economists anticipated. Mara we have jobless claims. Tomorrow we have jobless claims that on friday the Big Government report. A look at copper prices. They are climbing by more than 1 . Chile is the worlds biggest loser of metal. People are concerned about what the earthquake means for production of the metal. A couple of Mining Companies said their sites were not disturbed. We are on the markets again in 30 minutes. Lets count down to the open with the top 10. Number 10, goldman sachs. Looking to sell their New York Stock Exchange marketmaking unit to a dutch firm. Up to 30eeking million for it according to people familiar with the matter. , charged with 12 Pipeline Safety violations. A gas explosion destroyed more than 100 homes. They were charged with knowingly breaking federal safety rules. Out alcoa being called overvalued. They announced plans to spend millions to expand its mill. A japanese maker of smartphone chips apple may pay as much as 42 million for the unit. Blackstone. The firm is in talks to sell Office Properties in boston. According to a person familiar with the matter. They are reportedly Holding Discussions with buyers, including metlife. Apollo education group. They reported lower than estimated quarter revenue. Enrollment fell 17 at its Flagship University of phoenix. Amazon. The retailer is set to unveil a tv viewing device at an event in new york. The device will put amazon and closer competition with apple tv and escalate the rivalry with netflix. The Biopharmaceutical Company diabetes treatment winning the backing of an fda panel. Has spent almost eight years looking for approval of the drug. The stock doubling and almost one day. Monsanto, secondquarter estimates. P analyst nearly 80 of the quarterly growth came from its seeds and trade business. Number one, gm. Barra set to testify on the ignition recall. She will be grilled on her second day of testimony. As u. S. Chamber of commerce, reported yesterday is doing something that it has never done before since it was founded. The enormous business lobbying group is going to be opening a weighing in Silicon Valley. It is an effort to expand its the man who made that initiative, at the chamber of commerce, the executive Vice President and ceo peer also with me live from San Francisco is the general partner at venture capital. Some doubts about the chamber posses latest move. The two ofan to kid you against each other but you both have strong opinions on strategies in Silicon Valley. Thinking about the chamber opening an office in Silicon Valley. The Tech Industry is facing a host of Public Policy challenges, many for which we already work on, like immigration and tax reform. Of theot have enough tech voices in our membership. We want to go where they are and let them know the things we in theo for them Nations Capital around the world and get more of their class in our membership. How do you think they will be received . Class i think they will be received warmly, but there is a question about the andrnment in general Government Agencies and how much they could actually really help the Entrepreneurial Community here. It remains to be seen. We have had all of these frustrations with washington and froming another Group Headquarters in washington out here to try to help us, it could theonstructive, but i think jury will be out for a while and we will see how effective they can be. I hope they are successful but i am a little bit skeptical about everything related to Big Government these days. That is the prevailing viewpoint. Around . Ou turn that class we are not for Big Government either. We are a membership driven organization. We tell the story that businesses the answer and not the problem. Free enterprise is the answer and not the problem. Some of the best damsels answers are right there in Silicon Valley. Talking towill be Tech Companies in the valley and around the country and what we do driving Public Policy debates and how we can help them. He is a chairman and he does not want to be to direct. Very plainly. I do not think you will be welcomed in Silicon Valley. This view that the chamber of commerce is a fairly conservative organization, as a policy the chamber has lobbied for in the past, they are in direct contrast to what you have seen come out of the ceos. Apple has declined to renew their membership in the chamber because of this. Lets look at the actual policy initiatives as opposed to the rhetoric of the politics. We are leading the fight on Immigration Reform. We are very vocal about the need for comprehensive tax reform, infrastructure investment, trade liberalization. If you get a path for rhetoric and the media hype and look at what we are really working on, a lot of those issues are critical to the Tech Industry. We have more than 300,000 members. We have disagreements everyday. If you look at the value we present, i think it will be attractive. How will you reach out to companies that might be skeptical at first. Howdy reach out to a yahoo or google or apple to convince them it is better to be with you then against you or not with you. As discussed, talking about the issues as opposed to the politics or the rhetoric. Anybody coming from washington and our headquarters here in washington, will be viewed skeptically around the country. Does not change the fact a lot of things happening in this city are impacting and will continue to impact the Tech Industry and someone has to be a voice for them. I know you are a rare republican in Silicon Valley. Whoyou finding more friends agree with you on your politics . I am beginning to want to think of myself as more of a libertarian. Issue ofthink the Party Affiliation is what matters in Silicon Valley. What matters, it is always, it is we need to do the things in the best interest of our should be apolitics secondary factor. From all walks of life and all political affiliations. Everybody has got Immigration Reform as the number one thing to help ouro country. That is where i stand. I do not think there is any shocking revelation with you on that. Me and we will talk more about tech and Silicon Valley and asia Tech Companies. Thank you for joining us. The chief operating officer for u. S. Chamber of congress commerce. I noticed something on my trip to asia last week about how people are using social media. It is different than here in the u. S. And were spoken to about the search for the missing Malaysian Airline flight. My travels in asia, people using social media differently. Not so much in asia. No one used it in a for or hong kong, who i talk to. Many people there said they preferred a version of twitter of japan all these mobile messaging services homegrown in asia they on thestronger hold market than twitter at all. I want to bring in cory johnson. Interesting to see the lack of people using twitter in asia. Twitter is banned in china. Really takes away any possibility in that market next door that market. That is the whole thing about a social network. The notion of Network Effects is so important. It is important for a New York Stock Exchange and ebay. There is a parallelthat is the a social alternative that happens in china where the they want works hard to encourage this and make it difficult for them to do business in that country. They want to encourage his encourage one of of. It is interesting to compare the number of users twitter has. It shows you yes, there is this opportunity. At the same time, there are also doubts about twitters growth and potential. Lets bring out some of the users. Whats at, brought by faith bought by facebook. Chat, 272 million users. In last place. In remember in their annual report, they said International Growth would be the one day, if they in lastfailed to his band internationally, it would harm potential. Numbers,look at the public. Filed to go the numbers are half that of twitter even though they are in one country only. You look in places where twitter is not growing, and china have the perfect opportunity for twitter and facebook. It is a country that does not want their citizens to say whatever they want to say to each other and and them to the quake the great firewall of china. I think it has changed the notion of social media. U. S. Investors have decided as they make decisions whether to invest in alibaba and understand forrules are very different those securities. Just as the users are banned, owners of those securities are prohibited from enacting the same isa confessions. You cannot deny however that there there there is a huge growth among the Companies Given a lot of factors. That potential growth is what has gotten u. S. Investors salivating over the ipo from ali baba. People are becoming more familiar. I talk to people there in a very populous is just figure and businessman, but henson was a company mentioned almost in the same breath, much more lowkey. Also considered equally as big a visionary with his company. He made interesting moves a vers rivaling alibaba. He has the we chat messaging service area some people are saying, it is not just alibaba but all of them are trying to break in to the new markets and are all looking very similar. Gotes, they have always . 50. When i was reading the filing, it struck me the social media trends in china are very similar to the trends we see in the u. S. It struck me reading that perspective that this is not just a fat social media. Interest people all over the world in similar ways and appeals to methodologies and communication connection that seems universal. Thank you so much. Great to see you this morning. We will be back in two minutes. Lex i want to bring in dixon again. We talked over the years about how much we invested early in the Tech Companies. You must be last laughing at how were discovering alibaba. These are very vibrant tech startup culture in china. How is that playing into your own investment . They have already from china,panies public in the United States over 7, 8, 9 years, that is an incredibly significant, schmidt. I also wanted to point not just in china. We are proud investors. Company. Reat corey atting with little bit ago. We are very excited. Class i know cory mentioned this several times. I heard that locally as well about the involvement of the government. How i heard over and over again from some they are messaging corey a little bit ago. We are very platformsclass you E Investments with your eyes wide open and you have to do it with partners like we had. It was a team of people who really understand the chinese culture. It is not something you can do in a short time. A fabulously successful investor was one of the operating executives and knew all about wave oh as it was being hatched. Fortunate. N very really more than anything else, it is about hiring people in your Chinese Office that really understand the local ground rules and are great investors. If you do that, i think you could be successful. We have obviously done that. Thank you so much. We appreciate you joining us from San Francisco. It is now time for our global outlook. More than three weeks after the Malaysian Airline disappeared with people on board, we have no idea what happened to the airplane. The grandson of the famous oceanographer, says, it may take years to find the. Reckage thank you for joining us. If anyone knows how to find something in the ocean, it would be you. The messaging platforms were hacked. , a lot of private investors are into that right now. It has obviously been funded significantly by the government. Much on the oceanside. Class that is correct. It is about 100 times more dollars in space exploration. The Ocean Exploration budget has been cut significantly over the last two decades. We have a lot to stand to win to gain from expiration not to belittle space exploration, which is fantastic. Much left down there they need to understand. The private and Corporate Industries need to fill out the gaps where the government dropped the ball. Class thank you for joining us. To get right to capitol hill with the news of the day. Matt miller is joining us there. By the chairman of the panel that heard yesterday from tim murphy. Hear i am here with the congressman. He looked yesterday Like Congress was so wellinformed and marriott had not even read put forward. E was that shocking . It was alarming to me, yes. The response was 200 thousand pages long. My staff got through it all. There was even more. Nonetheless, that was important. The response was 200 thousand pages long. My staff got through it all. There was even more. Nonetheless, that was important. At least with the Important Information there about what went wrong. . Lass what do you think though she seemed genuinely sorry and did meet with the family. A meeting with ken feinberg. Class i have no doubt she is deeply sorry and ice the kylie of her. Is highly i speak highly of her. But she is going before the senate today and there is a lot of pressure on her to find out a those issues and is vaguely part costs less than a dollar and why could she not replace it . That will cost a lot more now. Issues seems to be the Corporate Culture at General Motors their time and time again, they are and about cost. Yesterday, he said the new gm would be focused on the consumer. She has the ability to change the company the way it needs . A couple of things they have to look at in the Corporate Culture. If somebody an engineer and made the decision and the cost was too much, that information was not put into balance with safety concerns, that is a Corporate Culture that has to change. Corporate culture success, we do not want to hear bad news about, that has got to change. That will bring any company down. People were not passing up and down the chain of she has the ay to changethat is a bad situatio. Indirect command. Reference. I wonder what you expect to hear from the Senate Committee here today. Are they more focused on the consumer issue . What will be the issue between what you cover yesterday . These issues, what do you you going to do differently . I hope they throw more into the Corporate Culture. That ite idea she had is not acceptable to have someone except a part that does not meet their standards, i think the senate can do deeper now because we have had another day to look into those things. Hear congresspeople asking for information coming in later. She said time and time again is under investigation and is helping to look into it. When they that report finished their internal investigation. The interviews of people who signed off on those documents saying it is ok. We need to talk to them directly. Back to you. It is 56 minutes past the hour. Bloomberg television is on the market area thank you. With the dow within splitting difference, can the market continue . Itinvestors use a lot of tooo it wasout where invested. Here with us this morning is the bloomberg stocks editor michael region. Still relevant now . It is more than 100 years old . And was created in the 1880s. She basically look at the two main sectors at the time. You have manufacturing companies, industrial stocks, the Dow Jones Industrial average was, and the transportation companies. That both sectors it was invested. Need to reach new highs to confirm the rally has a lot of confidence behind it and will keep going. At thenow looking transportation average. A lot has changed. People still look at this indicator and the transportation average set a new record in march. The Dow Jones Industrial average is within about 11 point yesterday. People are looking at the dow to reach new records to confirm the transportation average and give confidence that the rally will will keep going. Is this a primary tool they use . There are a million different technical tools people use now. That kind of was the expiration the inspiration for many of them. It does have detractors. Right when you start with the dow average, people have a lot of problems. It is 30 stock, price weighted. Tradition andf respect, people Pay Attention to it. Right now, theyre waiting for the industrials to confirm the record high. I talked to richard, who edits the newsletter, and he said the thing that worries him is if they retested the lows and the dow since the great, about 15 576. No, that at the closing high in december. It is about 12 points below that in february. Bearishs it will be a signal. He is bullish otherwise that the industrials will get to the record. Thank you. Bloomberg news stocks editor. We are on the markets once again in 30 minutes. Market makers is up next. From bloomberg World Headquarters in new york, this is Market Makers with Erik Schatzker and stephanie ruhle. It is the book wall street cannot put down. Michael lewis has raised an uproar with his indictment of High Frequency trading. Paints a picture of heroes and villains and the victims are anyone that thinks the stock market is a level playing field. Did the author get it right . Some on the street say he is not even close. On this special edition of Michael Lewis is with us for