Rubles down 52 so far this year. Jeb bush says he plans to actively explore president ial run. Senate Majority Leader Mitch Mcconnell says no matter who ends up as the republican candidate, he likes his partys chances. We believe with a great chance to elect republican president in 2016. It has been a long challenging eight years. The American People seem to have indicated last november that they have had about enough of this crowd and might want to go in a different direction, so im optimistic that whoever the nominee is will have a good chance at winning. Pressureshsa put or on marco rubio and Chris Christie to make their own decisions earlier. It will also attempt down speculation that mitt romney may run again. The new sony movie the interview. Canceling the premier says the at her chains have agreed they dont have to show the film anymore. Posting court of the revenue and profit that missed estimates. Fedex is up 21 so far this year, getting ready for a busy Holiday Shipping season. Record making that National Hockey league, the floor to panthers beat the Washington Capitals in the longest shootout in the leagues history. It went 20 rounds, five longer than a prior record. Nhl mark. Strength in the u. S. Economy, falling oil prices, turmoil in the global markets. All things that fed chair janet yellen is going to consider as she and her colleagues decide on the next move later today. Peter cook is going to attend the press conference. Everyone is talking about this report that we may see change in wording in the policy statement. I was worried a little bit maybe that janet yellen was at the hockey game last night and maybe that might affect the decisionmaking in the were choices today lets hope not. Maybe she was out there having fun. I doubt it. This is going to be a test of her language skills. The big expectations the fed will not just acknowledge the improvement in the us economy in recent weeks, but may have to go further him a signal in interestrate increase is intact on the radar screen in 2015. They need to do it in a way that doesnt spook the market, doesnt convince people the rate hike is imminent. They chose patient as the operative word. They believe they can be patient in removing its policy, nation. Some configuration of the lindt which could serve their purpose today, but not everyone is convinced the fed will drop in conceivable time. It is Janet Yellens job to balance those competing views around the table. Theyve got to be following the growing problems in russia. They have to. This is an interesting sort of drama for the fed because so many things have changed. Even in the last 24 to 48 hours, that maybe that is the excuse the fed has for standing pat, that these are the turmoil in markets, maybe justin upton to sway them to keep things maybe just enough to sway them to keep things pad. The russian economy is not that important to the u. S. Economy. We have seen the strength in the u. S. Economy, maybe this is something they can ignore and move on and focus on what is happening at home. That is the choice for janet yellen. She has to of knowledge not only what is going on in russia come o the drop in oil prices she has to acknowledge not only what is going on in russia, but also the drop in oil prices. It is a tough call and that is why theres a little more drama today at the meeting dinner otherwise mightve been a few weeks ago. Thank you, peter, chief washington correspondent peter cook. I bet you stayed up late watching the game. Back on oil. Extending the decline down to 54 a barrel. It seems high relative to my next guest prediction post up 40 oil. Managing director and Senior Analyst in the oil and gas sector for oppenheimer joins us now from his studio here in new york city. You say plan for the worst, hope for the best. As i was saying earlier, i would love to scroll back several weeks ago. Im not talking about you, but i had analysts on, economists, who said Lower Oil Prices is going to be a positive for the Global Economy and for the u. S. Look at where we are now, fadel. This is true. If the demand weakness is because of Global Economy, it is not moving as fast as we thought. So that is not a good way of looking at it. The Lower Oil Prices below the current level are not sustainable. But oil prices above 100 for equally out of reach. They overheat the prices. When prices correct, they over correct. Oil and sub 50 oil equally unsustainable. I would say 70 oil, give or take five dollars in each way, that would be the sweet spot. That will give us less inflation , but youre not going to see the shoretel capital that everybody is chasing 90 oil but we only have 70, 50, or 60. What is in your will Production Oil production . I truly believe it is an engineered rice collapse. It is a perfect storm. Technology, stronger dollar, as well as saudi arabia is fighting for market share. It is a price for between opec and other countries. The show Oil Production growth in the u. S. Will not stop. However, the rate of growth will probably be a lot lower than it was in the last year or for years. Technology will continue to bring down costs and additional supplies. My prediction here is oil prices in the u. S. Will probably grow at half the rate it has grown by over the last year or four years. Nevertheless, it will be growth. Therefore, opec will have to accommodate this new partner, cheryl shale oil. Is oning yesterday, opec the sidelines. There resigning from the job. We may not hear anything from them until the next several months. Their next meeting is not even until may. Theres only one country capable of swinging oil prices up or down and that is saudi arabia. Saudi arabia is not teaching the rest of opec a lesson that will last for years, not months or weeks. And that is, if you dont behave, you will be punished. Heirs more punishment than Lower Oil Prices. Fadel gheit of oppenheimer on oil and his production of 40 oil. Staying on oil and potential impact on the global markets, i want to bring in billion investor wilbur ross, chairman and ceo of one of the worlds top turnaround firms joining me this moment. Also is my guest host for the les. , don peeb thank you so much for joining me. So much to talk about. I want to tackle first the fed. Hought bill gross jan and tweeted something that ties every thing together that is going on in the last few weeks. He said i think they will raise rates sometime in 2016. I think you have to put it in perspective. Bill gross has been a big easy money advocate for quite some time. I think maybe youre getting your the point were he should change his direction. Is that the fed calling . No, my 12yearold daughter on her way to school. Ok, much more important. What is your take on that . I think well move up a little bit, and they should. Interest rates cant stay this low forever. It is giving something significant fuel to the real estate industry. How . Low Interest Rates are. They are compelling, i think, some bad real estate decisions in terms of what cap rates are for existing properties. Rental buildings, Office Buildings that have fully stabilized with no real potential of income growth. And theyre selling it sub 4 cap rates. When rates move, which they will, you will see those values go down. On the development side, real Interest Rates are far more were far higher than what the benchmarks are. Real Interest Rates for developers, there in the 6 to 9 zone. Why are they that high . Because the risk factor associated with making to the does notns is not justify these low Interest Rates. The small return that a bank can get and wilbur is inexpert at that it is very hard to compel them to take any risk. Say they will be in florida, miami. They could be anywhere from 9 to 12 . That is what is happening here. The movement in the fed rates will not have a significant slowdown effect on the development side. It may even bring some lenders to the sidelines and bring them in. It could very well. I dont think theres a scarcity of the Real Estate Development money right now, anyhow. I dont think youre finding that, don. I think the key to real estate, like anything, is not so much rate as availability. The reason Interest Rates have generally stimulated the economy as much as they might have is the banks are not transmitting that liquidity to the real economy. Lopez lost city low velocity to money. Is it going to bring banks into lending more . I think it wont affect the amount of bank lending so much as it will affect other speculative activities. I think theres been a real premium on risktaking that has been encouraged other low rates. When you think about it, nobody can make any money in shortterm investment. Everybody is scared to death of longterm because they note rates are going they know rates are going up. Commodities are going nowhere. Where people going to put money . Theyre putting it into equities. I think the real effect has been the looming equity market. What about you, and where you are putting your money . You talked about shipping looking at greece, ireland. With what is going on with oil and russia, does that change your game at all . Weve been getting very interested in the Debt Securities of Oil Companies, particularly, the independents and oil service. Many of those issues have been smacked to wear their yielding belowens, absolute 70. Any, reasonable forecast for oil , in many cases, very well covered by asset values. So we think that is the segment of the market where theres probably best value right now. How about you, don . Is your business affected much at all by the decline in oil prices . No. Only to the degree in the rental business, consumers have more disposable income. At that is a longerrange impact. Overall in the economy, were seeing it is the sentiment with oil, russia. Wilbur, you have mentioned this earlier in the year that we have to watch russia. This is the wildcard. And now it has come to fruition, right . Well, im not sure it is finished yet. Seems to be the beginning. What about putin . I think the sound is maybe overplaying the hannah putting too much pressure on he is not going to just fold his cards, regardless of the economy been put into shambles. I think we need to find a graceful way to bring the ukrainian seem to it and. I dont think more sanctions and more pressure on ruble in and of themselves are going to cause the end. What do think the west can do . You saw john kerry say just the other day that the sanctions seemed to be working and they will be lifted if putin behaves. Says,e question is, putin you guys are weak, im just when you keep doing what im doing and im going to continue to keep my grip on the public and perhaps even we just saw yesterday, moving nukes over to the crimea region. I dont think he is going to give up crimea, but i do think theres a high probability he stops there. I dont think this is the beginning of annexation of all the former ussr entities. I think if we can find a way to give him something of what he needs in crimea, then we can have stability. He has a big Russian Naval base in crimea. The idea he would go along with having ukraine become part of base,including his naval was an illfounded notion. That was never going to happen. Don, you hear so much about russian investors and how much even in the last 24 hours, you hear about them taking rubles and buying hard assets. Like washers and dryers, cars, whatever they can get their hands on. What about real estate . All year long, you have seen Foreign Investors piling into luxury real estate. Russian buyers are among some of the other Foreign Investors that by real estate in major cities in the u. S. , especially new york city and miami. And that is going to continue. One of the top things this country does is provide financial services. We are a safe haven for capital for the globe. In a big part of the safe haven is investing in real estate. The russian segment in new york is not overly significant. It is not going to change. I think we will see more russian investment as the currency continues to destabilize. That is generally what happens in real estate in the u. S. Are they paying cash . Yes. As foreign buyers pay cash. It is very rare to not pay in cash. Me, my guestwith has. Wilbur ross also stays as well. Still ahead, want to buy some apple Products Online in russia . The company is saying n,yet. No. Moving and shaking, American Apparels formal ceo is moving out of the retail he found it. The comedy sport has fired him. They accused him of breaking the company sexualharassment rules the companys board has fired him, accusing him of breaking the couples Sexual Harassment rules. He calls it baseless. More than 30 American Apparel is that gives have asked the board to reconsider and bring him back. They say he is what makes this thing tick. Much more ahead. Jeb bush throws his hat in the ring. We will see what his announcement means for 2016. Good morning, i am betty liu. Enough of the swings,wellsprings raising prices of the iphone 6 and russia by 25 . Ge warning the oil sample hurt profits next year. One of the big Growth Drivers is oil and gas operations. Inders wont feel the pain the year end bonuses. According to person briefed on the matter, citis youre in bonus pool will be the same as last year. Past the hour, which means Bloomberg Television is on the markets. Equity futures are stabilizing. You can see they have rebounded just a bit. Inflation numbers will be out in just a few moments. We are on the markets again in 30 minutes. Sent the beltway in overdrive yesterday. Jeb bush announcing by facebook and twitter still with me is billionaire investor wilbur ross, chairman and ceo of ll ross and also don peebles of the peebles corporation. He has been a fundraiser for president obama. Test jebr big bush supporter. He was great for florida. After a tragic attack on our toion and 11, jeb was able help steer our state through some tough times. I am a big believer in jeb bush. I think he is done a great job so the rumor doim a democrat, but i believe good ideas come from both parties. Case in point, i supported jeb two times against Democratic Candidates because he was the best person for the job. He has a lot of private sector experience and he brought that experience to running the government. He did that very effectively. And you do the same if he does in fact come from his running for president . It would be a very tough call because im a longterm clinton supporter. Bill clinton supporter. I would have to look very hard at Hillary Clinton. She is a transformational candidate as well. It would be good for the country to have those two as choices. Good choices. The clear differences about how theyre going to get to where theyre going to take this country. What about you . I think the idea of a governor becoming president is much better than just a legislator. Running the United States is the t conflict rated complicated ceo job in the world. I think some of the problems the Obama Administration has had was just growing pains was that he was a state senator . Not being used to running a big organization. Im intrigued with the fact that republicans have 36 governors after the last election. I would say about one third of imputed candidates for president. That will have to shake out quite a bit. Everybody wants to be president , but theres only one position. Jebmately with his tweets, bush is adding about half his chips to the table right now. And now telling everybody who is pretending and bluffing, ok, now step up. Not only pushing chips, i think he is taking chips away from the other players. People who were speculating maybe jeb would not run, may have been flirting with other candidates. Seemsk now that he realistic, a lot of donors are going to coalesce around him. Who do you like, jeb bush, Chris Christie, or mitt romney . I dont think romney is going to run, especially if jeb runs. Mitt running again. I think he will play a real role, but i dont see him actually running. I think you would be more kinder run if it looked like the republicans are coming with some extreme rightwing candidate, then he might want to step in. I dont think you would step in against jeb. Just as i would be very surprised if marco rubio would really run against jeb. He is been a protege of jebs and of politics, that doesnt always mean as much as it might. Hang on, derailment. Were getting inflation numbers. Consumer prices are out. Down 0. 3 . Lower than what economists estimated for the month of november. It is not really going to follow december prices. Looking for wage pressures. That leads me to some reports ive read about jeb bush, as were anticipating this president ial one, one of his weaknesses is the economy or maybe not a clear idea of what his economic policies really are. No, i dont think so. Business. N a he has run one of the largest states in the country. Now the thirdlargest eight in the United States. He ushered it through some very difficult times. As wilbur said, being president is really no substitute for being a ceo. Is the toughest corporation in the world to run. It is the toughest ceo job to have. It is not the place to learn on the job. You need to come to the office with that kind of experience in terms of decisionmaking, in terms of attracting talent, and motivating your teams, and giving them the autonomy. Jeb would be very, very capable. I think his challenge is going to be, can he get elected . He is going to come with significant baggage. That is going to drowned out a big part of the volume of what he brings to the table, which is tremendous. If his brother werent president , in fact, he was supposed to be the one who is president , jeb, but lost the first time as governor. If it is a clinton versus bush, then they both come with baggage, right . Who could win on that . In reality come all politicians have baggage. There is no perfect candidate. Not a single one. If they had no baggage, they wouldnt be a politician. President obama can to the table pretty much without scandal, without any ethical questions, without any kind of prior baggage of his familys history and no experience, either. The country will go with a fresh person versus experience. That is probably one of the challenges of how our elected system works. We pick people that we like and the American Public will sometimes pick people to run the government for reasons outside of the overall poll of occasions. There is one new idea of candidate that don has put out, martin omalley, democratic governor of maryland. I think is the former democratic governor of maryland. Not yet. He is on his way out, but he was mayor of baltimore and turned the city around. He was governor of the state for twos consecutive terms. He had great chief executive experience. And a connection with diversity. I think the electorate is diverse and growing diverse and we start looking at this discussion about income inequity and income disparity or wealth disparity, that is going to be the topic of the moment during the next election cycle. I think theres a great chance the Democratic Party will run more to the left than either a rally or Hillary Clinton hillary or clinton. Generally, parties that have lost big grounds but to the extreme of their party, to the socalled base. I think theres a very high chance that there will be a tremendous rusher on Elizabeth Warren to run. Do you hope she runs . I think everyone should get into the primaries and let the voters decide. The days of smokefilled rooms and two guys with cigars deciding things, that is obsolete. That is not the way the world is anymore. Is certainly is not. Wilbur, great to see you this mine. Thank you for stopping by, wilbur ross. Don peebles stays with me, my guest host. Much more ahead from jeb bush to george bush. Looking at a picture of the former president meeting with russian political activist and former world chess champion. He will be joining us in the next hour on why he says putin is a dictator that needs to go. Plus, do we put too much emphasis on the imports of College Education . We will be asking don peebles, who by the way, only finished one year in college . Correct. You are going to sound off on that. We will be back in two minutes. We are back with my guest host, real estate investor, developer, don peebles. He builds Luxury Properties across the country. In particular, we were talking about this one in miami, beautiful estate. Got a lot of buzz. You also joined with governments , local governments and development. You create jobs. On the jobs front, we had leo hindery on earlier this week. He kind of raised eyebrows with his comment. He says the u. S. Is too focused on creating service jobs, not enough on manual labor. It is underrated. About half of this population has no business going to college. Every young person who wants to go to college and should should have every opportunity to go. But what were so denigrated manual labor and manufacturing the plumbers, carpenters the automaker. We just dont get it right. As i said earlier, you did not graduate college. Do you agree with that . I do agree. For different reason, to go into entrepreneurship and start our company. But i believe the jobs i agree with the comment that half the country should not go to college. The pathway to their share of the American Dream and a better life is elsewhere. You can see that in the state of florida, for example. Miamiday college has set up an academy and a curriculum for Construction Industry to teach work skills of construction labor. A printer ships and carpentry and others. You look at what we need to grow in the economy, why we have this increasing wealth and income disparity is everybody is seeking the pathway to a better life is college. And racking up tons of debt. And the others who dont go to college, figure theres no other skill to develop. The reality is, one with the globalization of our economy, manufacturing economy, we lost a lot of jobs here, but there are huge number of construction jobs. We have a huge infrastructure deficit. Their other labor skills and unskilled labor jobs available. We need to start getting back to, say, the Technical Schools that were around the country in urban areas, say, ndc and new york, were you taught High Schoolers technical skill so with a graduated, they would be employable. Things they could come away with and get a job with. D regret not finishing college . In some regards, i do. But i spent my last two years on capitol hill. I was a page and in turn and a staff aide in the house of representatives. I went to school from 6 00 in the morning until 10 30, then worked all day. Then did my scholastic activities like basketball and just after school. I had a busy schedule. I was in congress were laws were made. When i went to college, was going to be a doctor. Once i decided not to go into medicine, then i realized it wasnt the place for me. What happened . What was that moment . That is a big moment for any young person to say, you know what . Im going to leave and start my own business, do something different. Had a high concentration of science. I took one class of political science. I remember sitting in class one day and the topic was how laws are made in the congress of the United States. The professor was laying out this theoretical approach to how laws were being made in this country and how they got made. He was so wrong. I thought, if you so out of touch with the real world when it comes to just government and politics, maybe i cant learn enough here and need to go out to the real world and figure out and learn. I suffer educated myself. I took different classes. Once i decided real estate was going to be my career, i took Real Estate Finance courses at universities. I took appraisal classes. I took Real Estate Finance and development classes. Some educating myself. I wasnt going to work for anyone else, so i did not need a degree. Sounds like what you from any entrepreneurs, they get the bug early and cant let it go. Look what you have built. Don, thank you for stopping by. Don peebles, my guest host. Coming up, in his eye look at Global Online scam and inside look at Global Online scam. Truly too good to be true. Consumer prices rose by the most in six months last year. Giving equity futures a nice boost them as you can see nice boost, as you can see. Were staying on the markets ahead of the opening bell. A scam that struck victims from around the world, secure investment. Com promised amazing returns at an person wound up to be too good to be true. It was first brought to light by bloomberg market magazine. It was a gamble. No two ways about it. It was a europe investing dangerously a year of investing dangerously. Spends his spare time dreaming big and day trading. A father of three living in texas, here grown frustrated with mutual funds and begin searching for new investment opportunities. It was through a wellknown blog on the internet. One of the guys posted a message, he thought hed figured out how to have an edge on making money in the market. That edge was a website called secureinvestment. Com. Huge online traffic. They had a calculator where you can put in your investment amount, then take that amount and for the back in. In seven years, you had over a million dollars. It would be shielded from any downside. Posted tens of thousands of people in 140 countries had put in more than 1 billion. Nowhere on internet could you find anyone that said they lost money or stay away from this company. He decided to invest 2500 after signing up, he was told to wire funds to an account listed at the po box and the British Virgin islands. Held by bank in cyprus. Which seemed strange because secureinvestment. Com claimed it was an animosity or trading profits could be protected from taxation. There were a lot of red flags from the beginning. It will was such a great deal, why was anyone treading on wall street . It looked really enough, but the registered address was not. Before long, he learned secure investment like licensed to trade in panama. I thought, lets just take 500 out and test it. He got that back minus a fee. He hoped the rest of his investment would be safe. Weeks later on may 1 of this year, secure investments website Customer Services and his remaining deposit just disappeared. The edge, the possibility of getting ahead, all of that just finished. Across the country, a former truck driver was also attracted to the possibility of getting ahead and where the last of his life savings to secure investment just six days earlier. I was looking for a bigger, better deal. He had found climate testimonials client testimonials. One thing was never advertised, these videos were voiced by paid actors. In total, he invested nearly 22,000 over five payments during march and april this year , looking to rebuild his life after a 2008 in group c that lost him his business and marriage. I wanted things to happen too quickly. I wanted a shortcut in life will stop just right at the point where i was willing to be able to look for something else, then i found out it was a fraud. After his investments went south, he was forced to move north to live with his father in north dakota. Over the past few months, he searched for a job in the Booming Energy sector here. All the while, angry so little has been done to help him. A crime committed against me and i need authorities to make sure i get justice and this doesnt happen to some of the else. We contacted dozens of victims across the globe, each one had wired thousands of dollars to a handful of Bank Accounts in europe and beyond held by copies registered on three different continents. I would tell anybody i cared about let me say, i would tell anybody to stay away from this market. Andare going to get burned get burned badly. The retail forex market was overrun with fraud. To be a nowin market unaware. More than 5 trillion a day trades on the highly complex foreign currency market. 100 times more money changes hands than at the new york stock exchange. Ordinary investors trade a relatively tiny volume in the Retail Market overseen by the trade commission. It is supervised by congress. Those reforms will become the law of the land. Legislation has strengthened regulation in the last decade in the u. S. , but offshore firms remain largely beyond the law. When a managed houston loses a few thousand dollars, who pays attention to that . The clear answers, not a people looking into it. To theage done relative markets is many school. At the damage done to the individual investor is huge. These are the little guys that everyone forgets about. Exactly. I blame the people who committed the crime. They decided to start a website, take peoples money, not care if these people are trying to restart their life or care that their life savings, were just going to take it. U. S. Authorities have just begun to investigate the roads taken. And who is responsible. Still ahead, twitter ceo austrias family trust just sold out the last shares. They own no more about twitter. What does that say about footers road ahead . Real problems for pimco. We will tell you how hard hit. Stay in the loop. Bloomberg is on the markets. Futures stabilizing, rebounding. Consumer prices came in tamer than what economists had estimated. Maybe giving investors that continued hope the fed is not going to raise Interest Rates anytime soon. The fed will be taking a statement 2 00 p. M. Followed by Janet Yellens press conference. Including more, on russias currency prices and what it means for president vladimir putin. We will hear from a notable critic of putin, former world chess champion turn political activist. He says the west is not reacting strongly enough to putin. Plus, bumpy skies for fedex following the earnings miss after last year shipping nightmare. Will your Holiday Gifts make it to the destination on time . You are watching in the loop. Welcome back to in the loop. Heres a look at our top stories. Futures indicate stocks will be higher at the open. Falling gas prices have an impact on inflation. I can see that at a pump. Fromtors waiting to hear janet yellen and other fed policymakers. Will they back off their pledge to keep Interest Rates near zero for a considerable time . We will hear from the fed at 2 p. M. Eastern. Swings in the ruble. Rose more than 8 yesterday then fell back. Russias finance minister leservene, buying rub on the market. Sony is reacting to the threats against its new movie the interview. Hackers have threatened violence against theaters that show the about telling north koreas leaders. Sony has cancer the premier sony has canceled the premier. Milliong to aaa, 99 americans will be traveling 59 miles or more during christmas and new years. Increase from last year. Gas prices at eight 4your love. I want to count you down with the top headlines. Alex joining me and our chief markets correspondent scarlet fu taking the helm. Lets start with number 10. Rihanna. They pop singer has been a part womens creative director of puma as they Sporting Goods maker seeks to revise its struggling brand. Who better than someone who is cool, young, rihanna. Three words. Alicia keys blackberry. That did not turn out well. She was photographed, tweeting from her iphone during the period when she was a Brand Ambassador for blackberry. The problem was more blackberry than alicia keys. I dont know if you could come up with anybody that would help blackberry. Endgamen and stage. Alicia keys is no rihanna. Rihanna is never going to wear nike or adidas, any other label, thats my guess. Slap her on they some advertisements and be done with it. Why do they need to put this out, creative director . Stroke the ego. Ask rihanna. Between Warren Buffett and king james. The billionaire investor and vs game. Nded a cab he has a whiteout or lack he has a white turtleneck on. Lebron spent a weekend at buffetts house. He has brought into omaha. Height of where is lebron going to go, that was the speculation. Did he call Warren Buffett and say let me get your device . On the face of it, lebron james and Warren Buffett there is race differences and age differences. They are both extremely wealthy. They probably have a lot of the same problems and issues. Lebron, it is similar to sign thed seinfeld and wale rapper. In the wall street journal, talking about how his assistant pays more in taxes than he does. That might be 15 years down the road when he retires from basketball. Shame on lebron james if he is not asking Warren Buffett for investment advice. Or at least a successor job. Number eight, cocacola. When it comes to sponsoring American Idol. Ending its sponsorship of the visit competition show after more than a decade. It will work with fox in other ways, cocacola says. The pictures say it all. How many of you remember the celebrities swigging cocacola. And the couches and everything. It was a big deal when cocacola signed up. It was a big risk at the time. Advertisement for American Idol has fallen 50 since 2012. By 2012, American Idol was already similar to blackberry, on its way down. Now it has dropped another 50 . Are thinking maybe he should has sales and it is time to move on. Cocacola is one of the laggards. At t has dropped completely and ford has cut by two thirds. Ocacola was the last the ratings have gone down and they are looking digital. They are looking for different ways. This is a different issue. Space drop and digital goes up. We are talking alcohol, powdered alcohol. Know about this . It exists although it has not come to the market. It is expected in the spring of 2016. Lawmakers are already getting out in front and trying to ban this substance. They say its going to promote underage drinking. I say alcohol is going to promote underage drinking period. The company says the ceo said something along the lines of i just wanted to make it more convenient for people to drink alcohol when they were going hiking. Thats exactly what they said. Thursday hikers and outdoor enthusiasts. Thursday hikers. I love that. This water is not doing it for me. I need powdered alcohol. Im playing volleyball and now i will next a powdered drink. There is a commercial application. Hotels in how ie couldnt powdered alcohol because it is Hawaii Hotels in could use powdered alcohol because it is cheaper. Kids could sprinkle it on their cereal. It sounds terrible. He did say people are unlikely to snort it has it would be too painful. Dont try that at home. Who would do that . Is an alcoholic out there, this is a bad product for you. Twitters ceo dick costolos family trust have sold their of the company. A series of other sales began last month. The trust had earned 17. 3 million in prior sales. This is not related to dick costolo himself, who still owns a tremendous amount of shares in twitter. This is a family trust. They decided they are going to get out of the stock. What does that say . Theres talk about how dick costolo is not doing well. We spoke with someone from tufts university, he named dick costolo the fifth worst ceo of 2014. Costolo has not made twitter mainstream and kept growth going. It is very much a niche product. Theres been turnover in management below dick costolo. They have a new ceo, anthony noto from goldman sachs. 2015 is going to be a very big year for twitter. No question that the pressure is on dick costolo. To your point, we heard instagram had surpassed twitter in monthly active users. It is not growing as fast. 0 fedex reporting disappointing earnings. Days left in the Holiday Shopping season. We are halfway through the countdown. Time for our deep dive. Fedex falling nearly 4 followings and earnings miss. A jump in plain maintenance costs crippled gains during its second quarter. As fedex and ups head into their of the year. D hoping to avoid a repeat of last december when that letter and a surge in shopping cut them off guard. Are they going to execute this year . Joining us is the founder and ceo of easy post, a shipping platform aiming to take a bite 26 billion shipping industry. Thanks for having me. Problems . Seeing any we had some issues with rain in california. Mudslides. We saw some delayed deliveries. We will see, we still have two weeks. Dodid companies themselves anything significantly different this year than last year to avoid troubles . Fedex spent almost 1 billion in capacity upgrades. Ups has taken on 100,000 seasonal workers. They planned for this. Betweeno you navigate the companies themselves and the fedex giant . We are agnostic. We are just a mediation layer. A customer comes to us with their rates and we pass on tracking and everything from the carrier of their choice. What is going on in your business . We see a seasonal bump. Continued growth as more and more businesses are eager to ship like amazon. . Is it more than last year your company is young. Tell me how you are tailoring your services. We made sure to have extra capacity on hand. As much as doubled a normal volume. Things are of really nicely. You are giving Companies Amazon style shipping options. What does that mean exactly . With allnect companies the major carriers. That means you can get tracking and purchasing rates, everything you need in a scalable fashion. Instead of having someone use software to purchase shipping labels, you can automate that. Why did you start this . I was trying to automate a shipping function on an ecommerce website. Ive realized some of the were dated. Is i thought there was a need for something in between. You are doing gift cards . I had a side business. You are trying to take market share away from who . The amazons of the world, the fedexs and upss . We are more trying to improve the shipping quality and integration with companies. There are not a lot of companies doing this. We see it as a green field. So much for joining us. Founder and ceo of easy post. Much more ahead. American apparels founder is gone but not forgotten. Theres a push to bring back dov charney. Apple is getting whipsawed by the ruble. What the company has done about that. We will return in two minutes on the bank. Welcome back to in the loop. Bringing you the most important stories before the bell. Alex sherman and scarlet fu joining me. At number four, i love this story. It is so juicy. American apparel names and new ceo. Company executives want to the controversial founder and former ceo dov charney, who was relegated to a consultant role, they want him back. They say he is what makes this company tech. Tick. Do they had a point . The shares are below a dollar. The company is doing terribly. What do you do . You could argue that this has to do with an ongoing saga for people who have followed this company. Part of the reason the company has done terribly has to do with the fact that this has been an ongoing problem. Hes been accused of Sexual Harassment, personal misconduct, funneling money. Not end, he filed for arbitration. He is fighting this. He has a considerable stake in. He company this will not go away anytime soon. That goes away. Airlines around the world are benefiting from Lower Oil Prices. We have seen this. You can save as much as 12 billion on glover jet fuel bills. Tricklings are not down. Jetblue is going to charge you to check index. Check in bags. Southwest is the only one not doing it. At least American Airlines is refurbishing airplanes. That is an indirect benefit. The Airline Industry is one of the worst if not the worst in Consumer Satisfaction surveys. No one has any choice. Right behind cable companies. Companies have done a lot better than the Airline Industry. Finally, they have maybe gotten a point where they are getting some money back. Maybes been a ton of m a, they will give money back to consumers in the form of benefits. You are praying it does not just go back to the bottom line. There is one middle eastern airline, etihad, that wants to add an 11th seat. 11 seats per row. Narrow seats. Dies crazy. Every day it seems like you are waking up to another strange airline story. Forgot which airline it was. Thrownight attendant got into boiling water, hot noodles were thrown in her face. Every day i feel like theres another crazy airline story. Number two, the fallout from crisis is anomic spreading. Pimco facing losses on its russian bond holdings. Apple hasnt stopped the be sale of its Products Online in russia. Stops the sale of its Products Online in russia. It is chaos. Were going to see the fallout in 2015. The economy is expected to contract. We could be looking at 7 and 8 contraction for gdp. Halt sales. Will there are cool arbitrage opportunities. If you are brave. If you went into russia and slipped it into another country. Obviously on the political side, what is putin going to do . Is he going to stand down in the face of sanctions . Is he going to get even more crazy and cut gas supplies, for instance. He has an 85 Approval Rating at home. Who is going to say that he does not. All that, he will be speaking to the country tomorrow in an anglo address. We will wait to see what he has to say on the heels of the finance ministry coming to rescue the ruble. The importance of stabilizing your currency. We had Garry Kasparov in a little bit. The chessmaster. Has turned this country into a petro corrupt country. One that runs only to serve one industry, oil. And you could argue, one individual. Bloomberg is on the markets. Ahead of thetures opening bell. Stabilizing ahead of the fed statement to the clock p. M. Eastern. 5 . Es up our top is next. Welcome back. Lets get back to renew the most important stories before the bell. Number one, of course, the fed. The said is our number one story. They are holding their key policy meetings yesterday and today. They watching russia . Are they watching will prices . What is janet yellen going to say . I thought this was great from bill gross. He said, the set is in the corner and wants to raise rates , dollar,but oil disinflation say no, no, no. Something is going wrong in some corner of the economy. At some point, the fed is going to have to bite the bullet and say now is the time. And be on that, just the metrics they are considering, a lot of people are saying that wage growth is at the price it should be. They might pay a little bit of lip service to the idea of oil and rush and the ruble, but and russia and the ruvell, but when it comes down to it, they will remove the time language. What do they replace it with, if anything . If you they were a bloomberg economist, patients. Thats sounds like that sounds like perfectly which for the fed. Just nebulous enough. I want to bring in a chief Market Strategist who just surveyed over 200 clients and context contact on the street asking for their perspective on 2015. They just released their report. [opening bell] they just had the market mix. I will give you the privilege of telling us who is the person of the year. The person of the year for 2014 is fed chair janet yellen. Pushing out president prudent. It was not just a runaway for chair yellen. Why would they choose janet yellen . The number one thing that the market wanted to see chair yellen get out of 20 14 was to reduce ues set the stage for increasing rate in 2015. And for better or worse, she managed to do it without taking the markets apart. Kudos to her. The market really responded. I wonder if it would have changed at all if it had been released later. What about putin here . We got the survey late leslie, so we did capture a little bit of the oil late last week, so we did catch a little of the oil. But he beat out jack markell jack ma. Unsurprised tb out michael lewis. That was a big deal for i am surprised cbs out michael lewis. That was a big deal for a few weeks. Quite oil probably will not figure out oil probably will not figure that much into what the fomc says today. What kind of attention do you think the fed policymakers are giving to the class and oil prices as it relates to inflation . For the moment, im sure the fed looks at Commodity Prices and market resetting and says, who knows how long it will last . The markets are very volatile. But in the back of their minds they might be thinking this could mean deflation in 2015 and we have to watch this carefully. How do you make a difference, now that all prices continue to fall it could be bad for the economy and there is a massive, or significant job loss possibility, particularly when you think of how much they make in this industry. But also a positive when looking at increased consumer spending. How do you calculate this . Did that this morning and found that you will have to offset some pretty significant declines. As in 2008. P you will have to offset anyone anywhere from zero point 1 to one point two anywhere to. 3 . Tw it is not just good news, no doubt about it. You were asked where you thought will prices were going to be next year. Where are they going to be a complex our respondents were bullish on where are they going to be . Our respondents were very bullish. Very positive. And almost half of them think it is going to go back up to 80 to 100 . They yes, they yes, saw this as a temporary result. And i thought this was interesting. Of those surveyed, the majority would have the same or better bonuses for next year. Is that facing reality, or just in denial . Especially without after what jeff said. It is emblematic of thinking markets are recovering. There is some optimism there. And the markets they think are still going to go up in the Single Digits . We are going to make new highs next year, according to our survey respondents. Over 80 believe a new high is coming in 2015. Following on what alex was asking, whether it is a net , theive for the country oil crisis, the banks that are exposed to a drop in the old crisis, they had not accounted for that big a drop, and the see a market, we could wave of default in 2015. Are we at a place where we should worry about Bank Balance Sheet over the Oil Companies are it depends on over the Oil Companies . It depends on the banks and will companies involved. Banks have a lot of exposure in this sector, but they have a lot of exposure to transport as well. And transports are beneficiaries of this. On average, it should be ok. Have you looked back at your previous surveys and figured out whether these people know what they are talking about . Are they write more than they are wrong . On average, they really do get the results right. When they expect something, it tends to come true. For example, higher volatility. We were surveying them when the fix was stuck in a rut at 10 or 11, and they were saying, no way. And we are at 23 right now. And we still think further volatility. And the vast majority think there will be more volatility in 2015. The markets are going higher, but more churn along the way, too. Summer by june is when they think they look at the rate hike by the fed . The majority thought that the 16, 17 meeting is when the fed would raise rates. For being here. Happy holidays. And also to alex sherman and scarlet fu. And much more ahead on your moves. Joining me to talk about the rumble over the ruvell and what this the ruble and what this means for russias leader. And a New Discovery in outer space that shows there might actually be life on mars after all. A while russia struggles for second straight day to avert a route in the ruvell, which has the ruble, which is on 50 so far this year, everything from surprise rate increases to a tends to sell foreign currency, they dont seem worried as sanctions are taking a toll on the russian economy, which is now facing its deepest recession since 1998 its deepest concerns an economy 1998 and could be in recession next year. Joining me now, gary kasparov, a champion inan chess 1985. He founded the new yorkbased Human Rights Foundation. Great to have you with us. You were the first name that popped into my head when i started to see this week the turmoil with the ruble and the intervention. Nownarrative out right seems to be that the ruble fell in large part because of this rafneft . Ughness inyes, to some extent, but 2008, the dollar fell, but the ruble didnt. It is only one factor. Another fact is that putin is very generous with his friends it by trying to save recession. One way or another we will end up on the currency market. Economy andl state that is collapsing. And there is a political witness weakness, a oneman dictatorship. Everything depends on one man. It is so badly in need of political reforms that cannot happen as long a season office. That he has an Approval Rating of Something Like 85 or above. How do you know . Pulling in a oneman dictatorship, especially in a country that lee that lived decay,ommunist rule to its not reliable. Imagine if someone asked your opinion, what do you think of mr. Putin . 60 saidcked that something negative. Who are they . Class yes, and we can see that and recanted at the russian people are getting very nervous. And by the way, it has not changed a bit. It is still scapegoating the west. It is filled with paranoia. An people are looking for exchange rate. And is taking a bite out. Exactly, and it will take a month or two when they realize that is the problem. And prices have gone up. The absolutely, everything goes up. Putiny, what do you think is going to do, though . Class i see no exit strategy for him. He is there for life i see no exit strategy for him. He is there for life. He will die in the kremlin. But where and how, nobody knows. What is important for us is to convey the message to his inner circle, and the russian ruling elite, and the russian people, that putin is the problem. There is no solution to be found while he is there. And then we will see what happens. That is why i was really annoyed to see secretary kerry coming out with a statement reassuring the russian public, and prudence innercircle putins circle that things could be well if everything is good in ukraine. And you tweeted out a few hours ago that the ruble is collapsing, oil is falling, and kerry keeps offering hope to putin and his supporters, amazing. People predicted the sanctions would not work. They were wrong. Finches are working. Oil is falling. The sanctions are working. Oil is falling. The russian people are getting nervous. Putins inner circle is in panic. But the u. S. Did pass a bill last week. The ukrainian freedom act, right . That is the congress and it has not been signed by obama. Its a very good deal, but if putin looks at kerry and the state department and the white house, not the congress, and he still hears word second offering hope for a deal because crimea is still there. Crime had is a big issue, and the u. S. Pretends it does not exist. Crimea is a big issue, and the u. S. Pretends it doesnt exist. Couple of articles i was reading this morning that games out a wouldenarios that putin embark on in relation to this. One is, he could retaliate, concentrate his military forces along the baltic states, maybe occupy the estonian city of just to scarea the west. And he could look toward the middle east, toward iran, for instance, and find an ally there. Quite what ally what ally . How much can iran help russia . Putin has made a deal with the chinese and with erdogan. Those deals are horrible. China and turkey, they are great beneficiaries of prudence problems today. Today, weutin does could offer him really technical itease, but strategically could push him down the road. Matthew had tried to run for president. Russia, nobody runs you had tried to run for president. In russia, nobody runs. You made a statement. Vegetarian times. Today, i could end up in prison for five years. You would not do that today and complex eye out of russia for almost two years. You would not do that today . I am out of russia promised to years. I you could not go back . Could go back, but it would be a oneway ticket. Lets what about the people in russia. They must be calling you up. What about the people in russia . They must be calling you up. Now, people just look at other things and they tried to understand what is going to happen next and we need a little time for them to work it out. With all of the propaganda 247 and the brainwashing machine, i dont think it will take long. World could putins end abruptly if the west does nothing else. Lets leave it as it is now. I will prefer to see more aggressive sanctions, but even with what is happening now, it might be enough to push putin away. Gary, great to see you. Thank you so much. Gary kasparov, the chairman of the Human Rights Foundation in new york, and former World Champion at chess. Bill ackman will be with us. He will be battling still to bring down her life her herbalife. Resident barack obama plans president barack obama plans tuesday today about to speak today about strange u. S. Relations with cuba. This is after a man was accused expanding Internet Access to the jewish community. We are looking to hear from the president at noon. Dynamics. Eresting one is the release of allen gross. President obama has been participating in that channel talks to secure his release for a number of months. He has been in prison there for five years and is in his 60s and his health is not good. The administration has long said that as long as allen gross is being held captive, there will be no push on the diplomatic front to try to better relations with cuba. What we are hearing from u. S. Officials right now is what the president will announce today, the start of the process moving toward a normalization of relations with cuba. Obviously, 50 plus year embargo in place, travel bans, bans on banking, money transfers, all of those im told now will be in play. It will not be major shifts right off the bat, but there will be conversations. That is a major step forward when you look at the history between the two countries. And the recession on the hill will be what . Mixed. A number of senators have been pushing for this for a long time, but some key senators are against it, marco rubio, robert menendez, both sons of cuban immigrants. The politics or complex, no doubt about it. This and this opening the door to cuban trade is a positive. That is it for in the loop today. Janet yellen will be holding her press conference right after 2 p. M. And one of the most difficult moments in his 15 year rule, continuing our conversation on russias growing crisis. We will bring you all the headlines and on oil, tomorrow at 8 00 a. M. It is statistics that the error and that means Bloomberg Television is on the markets. Im scarlet fu. We are 30 minutes into the u. S. Trading day and a very different picture across the markets from yesterday. Starting with u. S. Stocks, recovering from three Straight Days of losses. All three groups are higher before the announcement at 2 00 p. M. Eastern. And stocks advancing for everyone declining on the new york stock exchange. Even though we are getting a reversal of yesterdays riskoff trade, not everything has made a an aboutface. Crude oil is thinking more, a low of 5421 54. 21. The central bank in russia announced a change in the currency tomorrow. President putin will be holding a press conference. Emergingmarket stocks are falling. Currencyon russias crisis and tumbling oil prices, im joined by bloombergs chief international correspondent, Simon Kennedy in london. I was reading some of your latest articles, and you put everything into context about how there is a tectonic shift taking place within global economic. The u. S. Is on the ascent and china is on the dissent descent and you are leaving countries like russia very exposed in the decline in oil prices. This was not expected, was it . Know, and its something that officials in government have been hoping for for a long time, and the careful what you wish for, because it will have unintended consequences. There is friction when the two plates move. Andu. S. Is speeding up, china is slowing down, and it will catch the emerging markets in a scissor movement, really. One analyst put out a note this morning saying that you think the ruble is at the epicenter of this. It actually isnt. It is a much Bigger Movement in the world economy, because things are resulting from this movement, such as lower oil, the higher dollar, and all of these things are affecting the emerging markets. Oil just seems to be a symptom along here. People harkening back to 1998. There have been so many references to 1998 in the past two days. When you talk to people in the Global Economics world, do they say there is validity to that comparison . Class it is certainly a need one, but there are clear differences for now it is certainly a neat one, but there are clear differences from now to then. And economies have learned a lesson from the late 1990s that built up big reserves. Down now,running its but china and the other emergingmarket have huge reserves to defend themselves. There are differences between now and 1998. , isher difference, perhaps that the Federal Reserve might not run to the rescue as it did last back then. I remember the fed cutting Interest Rate in the wake of 1998. Stephen jen, a Hedge Fund Manager that you have been speaking with, said the love of brick markets in russia and india and china, that is over now and we are in an internet era. He was on the ground in the asia crisis and worked in hong kong at Morgan Stanley at the time, and he thinks that emerging markets could be a big fella for next year. He thinks that people have gotten used to the brick as you see in russia and venezuela and lots of the emerging markets, theres a bit of a rock going on now. Emerging markets could be in trouble, too. Simon kennedy, thank you so much. Our chief Global Economics correspondent joining us from london. We are back on a markets and 30 minutes. Market makers is next. Live from bloomberg headquarters in new york, this is Market Makers with Erik Schatzker and stephanie ruhle. The big short, two years after investor bill ackman went herbalife, he says he has more proof the company