Injected cash for the first time in over three weeks. Japans nikkei his six or higher, climbing about 16,000 for the First Time Since 2007. In Economic Data in the u. S. , at 7 a. M. , mortgage up, durable goods and new home sales. We will get the Richmond Fed Manufacturing index at 10 as well. What is on the schedule . The new york stock ehange closes at 1 p. M. For the Christmas Eve holiday city can make it to the 2 30 at the 21 Salvation Army lunch. Crack for those of you rushing to trade this morning, you will be opening higher. S p futures up by a point. Oh, look at this 10 year yields. Two point 94 . It is optimism on the economy. People tell you is good news but it is a little reminiscent of the problems weve seen in the past. We will see what it does to mortgage rates. Volatility continues for currencies, this time it is the dollar on top. We saw yesterday complete reversal of the dollar trading higher against the yen, pound and euro. Gasoline and oil prices. Oil is up again today, that is pushing gas prices up . 16 over the last 10 days. A quiet move that will bother people as they go over the river and through the woods. Gold futures trading down trading up from yesterdays close but down below 1200. All the Holiday Season, scarlet, is not cold. I wouldnt complain if i got any gold this Holiday Season. Gold jewelry, it is all good. Plug. Ess we scoured the pages for stories. Our first store is on chinas cash crunch. Money rates tumbled as china inject it cash into the economy for the first time in three weeks. The peoples bank of china pumped almost 5 billion into the system. This is a second cash crunch and about six months. It really highlights the risks we are seeing in chinas economy. There is too much lending, too much credit creation off the books. The question is, have a gone too far . They are worried theyre losing some control because of banks dont have enough funds at the end of the year when they need extra cash. They have been injecting this extra money and it hasnt been going far enough there it is the biggest operation in sometime is a try to make up for that very they want to make sure the money goes to the right places. Its darts to work a little bit. It starts to work a little bit. The rally that we have seen driving the s and the two new highs driving the s and p two new highs. Investment bankers, especially those involved in ipos, but bond traders, usually the guys who win, are looking so good this year. That is what special about the shift we have seen. If banks had a good year, everybody gets paid. But with this different model, why should you see mortgage guys , investmentraders bankers are slugging it out to bring these deals in, theyre the ones that need to get paid. When you hear from bank ceos, they have set top talent will continue to get compensated very it is a cant do that than the carlyle and kkrs are going to hire anyone that is halfway decent. Talent stays. There arent enough hedge funds out there to absorb these guys. But theyre paying anyway. Between private equity firms exploding in the last five years, youve seen huge shift from really talented people on the south side moving out. I must banks. Talent, banks, it is all about human capital. It is not like they are selling tvs, they are selling the skill of humans. Death to pay them if they want to bring in the dollars. Investors at jpmorgan could very well get a big heyday. Sign up for to healthcare. Gov covered starting january 1 was extended by one day. If youre signing up, you have until midnight tonight. This is an obama correction. We are not in the wrong here. This came about because it was a recordsetting crush of last minute shoppers that dissented on healthcare. Gov and it didnt work, not because of glitches but because there was too much folly him. Overall there were like 50,000 people on at the same time and the website cannot handle the traffic. Is the white house just rigging the system to make it work or are they really trying to do right by the American People who are trying to get on that website . They would argue that theyre trying to do right but they need a little more time. That wraps up our frontpage for now. But we do need to bring in more on this topic heard are just as today to discuss all of this, including all the talk about obama had, the manner tracks all, bloomberg contributing founder, ttaxonomy techy founder, jim taylor. R. That me start with you, david. And ask about the fact that the Obama Administration had to extend this because some people were using the website to read we didnt see any stories about the website crashing. In the psyche fix the problems . No, they didnt fix all the problems. Ity have bandaided together. When you trying to provide service for the entire country, you would think they wouldve built a system that wouldve handled more than 50,000. Helmick and amazon have let any one time . I dont know, but it is way more than 50,000, especially at this time of year. That should be the model and it was intended to be the model, but not by some of the people who were designing it. How much of a social cost does it impose in the country to have a system like that that doesnt work even if you are not signing up for this insurance . At a really know the answer to that, but i would say it imposes a huge social cost in the executiveat branch of our government doesnt understand Technology Well enough to have anticipated how significant the website would be in the rollout of the signature program. Delegate, delegate, delegate. No one expects a white house to understand tech, but they do understand enough to bring in people who do. Thehe one caveat is that situation is so horrible that they are hamstrung. The same problem with tying to build a new air Traffic Control system with the health care system. Five percent of tech oriented governments for german products have succeeded in recent years. It is shocking how much this set of rules impairs our country when it comes to tech oriented projects which increasingly is every project. Tim taylor of harrison group. On to say the social issue really was reflected in the polling results yesterday where women have become very reluctant to accept obamacare and women make the decisions and household about health care. They have been the least. Nclined to get angry a socialeally was effect. The oneday extension of the deadline doesnt help at all. Not extend for the whole week . 50,000 users stock simultaneously zapping solve the problem. Think anybody can really explain the full opportunities are available to americans on this. It is not clear even to me, who is a professional observer, what exactly this is supposed to accomplish and who it is supposed to serve. The fact that is is so complicated and youre saying women are accepting it, if women are saying at her feel safe or comfortable with this website, you can screw around with peoplesoft. Women are finally turning against it. The thing that makes it creepy is that they have introduced a rule that if you didnt clear in your program by january 1 they will offer some vague catastrophic option and there is no system to hand the paper down so somebody is actually ensuring that catastrophic option, i think were looking at major epidemic of lawsuits. We will see what happens at the end of the day. We do have one more day to login and signup. One big day. One final shopping did. One final shopping day. Pay a cu er taking a cut. Mininges have giant free point mcnamara the company says he is not going anywhere. Freeport has been criticized for executive for executive excessive executive pay. A thousand dollars are now allowed. After targetases disclosed that breach. That is todays company news. Were just Getting Started on bloomberg surveillance. Introducing step kids to binging this Holiday Season. Here on bloomberg. Com and also on apple tv. This morning on bloomberg television. The governor of Washington State will be in at 11 45 a. M. Eastern. Were talking about christmas. Just in time for christmas, netflix has a present for your kids. Today the video streaming site offers turbo fast. Is based on racing snails. I saw this movie. It wasnt a huge hit, but it doesnt matter for fiveyear olds. If pixar made it, theyre going to watch it. What is interesting is that netflix is only releasing five episodes at a time. I guess he dont want kids to binge too much at once. The reason netflix gave is because they say kids watch tv differently than adults. They can rewatch episodes. They dont necessarily watch them in sequence. What is interesting is dreamworks. They say animation takes time. Thates it matter despicable me too, which came out this summer, was in a stronger movie. Does it matter or is there such a limited amount of these movies that kids will watch anything . What is interesting is that this is a gobetween strategy. They had this big deal with viacom to provide conference tent. This is just something to bridge that cap until it gets to all that disney content including four new tv shows about marvel characters. Using this as a way to hold things over and keep that kid demographic in their. Marvel characters are bit different. There you check kids and fan boys and grown men urged turbo, youre talking about true kids here. How important is his demographic to netflix. Other just taking a flyer to see what kind of traction they can get or do they have a core audience that they need to win over . It is a core audience. They estimate that half of netflixs customers have a kid in the household. Ownon is coming in with its programming for kids. Netflix has to watch out for and of course hulu plus. This may be the way that netflix can raise prices on customers by offering a kid friendly package we pay next to four dollars a month, for instance. Netflix has an incredible track record with the quality of its shows. They have not had a real failure yet. They are really doing great as a content company, which no one would have expected even a year and a half ago. I was looking at the reviews of this new television program. Barely it is not as good as the movie which didnt get very good reviews in the first place. The question is, do kids care . Saturday Morning Television might suggest no. Theyre probably blocking out the times in the day when nobody is watching netflix except possibly kids and flashing in cheap programming for really critical time slots that are not part of that is why theyre introducing a during the Holiday Season. Everyone is home from school and parents want them to be preoccupied. Exactly. Many parents feel comfortable with what pixar puts out. In terms of content, if you look when nickelodeon has gone, it has taken another level. People say it is fresh and many saves not appropriate. You can put someone in front of pixar and the comfortable. A spongebob is rude. Are you going to let your im trying to get my kids to watch brave. Redhead power chick . Mikhail kota koski was released from prison. Khail khodorkovsky was released from prison. This is bloomberg surveillance. Happy Christmas Eve. Tom keene is off. 20 of lastwere minute shoppers, they were shopping for obama care. A record one million users visited the Online Health Care Exchange yesterday. The deadline was extended from yesterday to midnight tonight. Some people are in luck. The mpr of duct honesty is valued at 500 million. That takes into account Television Ad revenue as well as merchandise sales. A e suspended family patriarch robinson after he made disparaging racist remarks in gq magazine. Retail sales drop three percent in the week that ended saturday. All of this according to Research Firm shoppertrak founder it those are your top headlines. Everyone is waiting for today, just like need. You are not waiting for today. Youre stillhance shopping. Right after work i am still running out and getting stuck. It is time for the morning must read. We have a morning must listen. Withberg Ryan Chilcote recently sat down with the recently released mikhail kohodorkovsky in berlin. Maybe most difficult day was when i learned that the companys Legal Counsel had died. Day was the toughest when i got knifed in the face. He looks pretty relaxed for someone whos gone through so much over the last 10 years. Good fors look pretty his experience. But his experience was not something anybody wants to go through. The Jerusalem Post is saying what everyone is thinking. They come out and say no one following russian politics can seriously entertain the idea is anything pardon more than a concession to world opinion. Hard not to take the cynical view, given what putin has done here. Theres also a review in the new yorker this past weekend that the putin government is being sued by Foreign Investors over the dissolution of you close and that this is an effort to throw them off because they have been losing these cases. David kirk hat trick, i know you have something to say. The Jerusalem Post quote is so apt. Either putin is so astonishingly corrupt that is really scary and i think it is endangering the whole world, to be honest here it is total windowdressing what theyre doing with right and khodorkovsky. What they are doing with puss. Youand khodorkovsky cant take this as them moving towards democracy. The only Prison Inmates to have let out word thepussy riot people. We will continue this conversation with david kirk hat trick and jim taylor of harrison group, a guest host for the hour. We will also be discussing retail. It pretty tepid recovery so far. We will examine this next. Bloomberg surveillance. This isbloomberg surveillance about the size of staffs Christmas Tree. I wonder where she stores all the lights in the offseason. But that is a situation. That is an excellent bloomberg surveillance. Question. Atthe stock market closes one today. You have to trade fast. People are going into the day wearing some other holiday green with s p futures up. Durable goods coming out this morning, supposed to be good. Another economy Getting Better story. That leads to talk of another fed move. We have the euro weakening against the dollar. Dollar up against almost all currencies. Oil prices up to almost a hundred dollars. Twitter upe almost eight percent. Closing at a record high. Facebook as well. A lot of optimism that social Media Advertising will increase ad sales. Michael kors down three point 3. 67 . Performer that perhaps is losing a little bit of steam. Scene, with the retail kanye west gave his fiancee kim. Ardashian a diamond ring she should not expect a Louis Vuitton bag for christmas. That is ironic since he did a deal with the company. Out of it is irony or hypocrisy. Iron off it is irony or hypocrisy. That is what he is known for. He tracks the Shopping Patterns of the rich. He is an outlier here. I dont think he gave a pot to what he said in a moment he said it. Vuitton isk louis irritated about the fact that they have a deal on one side and you scorching the brand on the other side. Im not sure that it has any real impact. Havetrongest Luxury Brands tried to fix her Balance Sheets by getting prices up to what they wouldve been like that had not cut them back in 2009. That is interesting because the story we keep telling every day is about retailers cutting prices. Americans holding out for bargains. The people you track really dont care. The worlds of affluent shopping is split into people who are dedicated to looking for deal but another group of people, almost half the market are looking for something they call worth, which means extraordinaire quality, service, artistic amplitudes. Those sorts of things. That side of the market is not so concerned with discount as youre concerned with the true essence of the product. Has been a big winner in this process. Source private aircraft and automobiles. It is interesting where the money has gone. Calexico is back to that idea of experience reigning supreme. Idea that is crossed over into retail. Experience matters more than the price you get it out. I would love to make a point that takes it further. It was more to the people who arent shopping. I have a theory as to why people are not spending as much at the tail holiday. That is because these devices are sucking so much value in from all of us and theyre so exciting to own the people increasingly dont feel they need a lot of other consumer products. Page piece in New York Times is saying that three and fouryearolds are asking for devices. If youre talking highend, if youre talking about that altra one percent. Care of that handbag is or 20,000. Got a one percent is shock in 2009 unknown is got over it yet. What sucks the oxygen out of the market is a 35 savings rate of the top. In 2006 and the 35 now, the fines would equity markets and the rest of it is going into savings. We passed the 7 trillion point in cash savings. There is a hundred billion dollars in checking accounts are now as opposed to 100 billion in 2007. Huge amount of money sits there and waits for Something Interesting to do with it. A lot of fascinating things in your survey. The number one gift that always rich people are buying is gift cards. Teenagerscause your are happy with them. Your aunt separate them. You have an control the agenda for shopping. You dont know what they really want. The interesting thing between men or women come a where men can predict what women want pretty well, women are in some ways offended by what men really want. Women are offended tackle why, what do they really want . Blues, electronics and toys. You want to give us a new tiein books. And things objects that dont disgrace household. My husband just wants me to call him less. Question about your survey because you do talk about the rapidly growing dominance of the one percent and how income disparities have grown tremendously. You people with this kind of money to spend in your survey expressed any regrets or doubt or guilt about how much they have and how little other people have . 95 of the wealthiest americans grew up in the middle class. Theyve all got brothers and sisters that didnt make it like they did, so they all experience a lot of pain from the distance, the social distance between themselves and others. The first thing that happens when you get your first liquidity event is the phone call from aunt or uncle needing a loan. There is a certain amount of guilt is probably the wrong and then thece, desire not to be fingered publicly for their assets. So stealth wealth, the desire to keep it under the table is a significant part of this life. Therefore, one of the things were seeing is that for example the return of the second house. Not very stealthy. No, it cant be seen. To build the house on christo harbor in st. Kitts, it cant be found. Theres a way you can materialize good spending without having it to become something that gets you fingered. Now you can gilt . A good she andhermes. Now shopping online. We have this National Garage sale going on line on ebay with really significant objects. Or the you go to basel significant auctions, it is surprising how much money is being spent typically on things that are really worth it very firstclass picassos are nine figures now. Lousy ones are still 20,000 bucks. One of the high points it does get discussed that much is first dibs which is a really highend antiques website like and ebay for rich people. Everybody wanders around with a mental awareness of how much your stuff is worth. Is it any impulse to charity among these people . Decline in the extent to which people feel engaged with their community as his clasping has begun. That is bad. Are continuing to donate, but the proportion of income that is donated by middleclass people is far greater than the proportion of income unaided by wealthy people. The bill gates programs at all therestanding are some great philanthropists new york city. To it is time, we want you send us your responses to the trivia question of the day here on bloomberg surveillance. What is you go to store for lastminute gifts and why. Illance. Bsurve your cue from David Kirkpatrick and go to first china, werading with will show you just how much next. Bloomberg surveillance. This is bloomberg surveillance. Bloomberg surveillance. Stephanie has a top headlines is morning. Hedge Fund Billionaire Steven A Cohen suspected years ago there was a government investigation into Insider Trading. Cohen warned a friend about the probe back in 2009 very his firm sap capital has pleaded guilty has agreed toding pay a whopping 1. 2 billion penalty. The pentagon is investigating one of the militarys biggest suppliers in afghanistan. According to the wall street the pentagon broke the law by moving u. S. Applies to iran. In bangladesh a 40 Million Relief Fund has been set up for the families of those killed and injured in a garment factory collapsed. 1100 workers were killed in the factory which made clothes for western retailers. Says it is focused on making sure no more disasters happen in the future. Those are your top headlines this morning. It is time for our single best chart. Very appropriate because were buying all this christmas stuff from china. Made in china. This is the scene for our best chart. It shows that china is the worlds biggest trading partner or second biggest trading partner with basically the entire world. China in white, the red countries are those where china is the largest trading partner. The orange china is the second biggest and the yellow the third. Premuch the whole world. The data behind this map is gross trade flow. Value added done in china is fairly modest. China imports parts and semifinished goods and exports of final product which is also which is usually of a higher value than what it imports. Regan of tom brown so we havent been this nerdy this week. Their questions about the us trade statistics because we counted as full value coming from china and a lot of it is just of that is made here or other countries and then flows through china. As one of the questions about china and its emergence as a Global Manufacturing power. They make things but they dont design then there. They dont begin the process there they just assemble the components that are designed elsewhere like in the United States. They have the skill and ability to turn on the finished product at a speed no other country in the world can do. China is a source of Global Technology production from a hardware point of view. The chart andat thinking how interesting it is. Ive read a lot recently about chinas focus on europe. Europe is the one Major Economic region and the Worlds Largest economic region by some measures, which is not dominated by chinese trade. Theyre focusing very aggressively on moving into europe for trade, both import and export. Does europe eventually become red over the next 1020 years . Think it will appear to the chinese are very focused on areas they have a lot of savvy when it comes to trade. They are becoming the global dominant economy. It is dangerous to think of china as an endpoint manufacturer, northern mexico. That the land on the moon this week. Thereve been very clever things on the design side and in the luxury space they are about to launch their own brands this year. Well see what happens. I think chinas formidable leadership in manufacturing is going to be a formidable leadership in intellectual property soon. Theyre innovating in some fascinating ways. Watch a video online about a train that is not to stop at stations. You get any pot at the station and the pot gets onto the train and gets off of the neck station. The train never stops, the pods move between stations. Well continue this conversation. We will discuss technics. Well take a look at the big biggest tech themes. This is bloomberg surveillance. Bloomberg surveillance. This is bloomberg andeillance. Lefties company news now from the files a bloomberg west. Tesla motors will keep its five star government rating. Shares of tesla have fallen 26 from a record high since the first fire back in september. Meantime, antitrust lawyers say regulators are likely to take a handsoff approach to an acquisition of time warner cable. The companies rarely can compete among themselves. To bid on expected time warner cable. Mobile willh china boost apples marketshare by just three Percentage Points to eight are sent. The problem is that iphones are still too expensive for most chinese customers. That is todays company news. The thinking there is apple does have room to lower the price on continues. To focus on tech. With 2013 winding down, some of the biggest stories have been in the tech world. Twitters ipo, microsofts ceo stepping down and dealt going private. Ahead and asked a question if tech is going to dominate the zeitgeist. David kirkpatrick, what do you think is most important in the tech world next year. Were spent so much time talking about mobile payments, does that mean there will be an ipo for square . Are probably will be an ipo for square and it is one of several companies that is thinking intelligently about payments. Were going to see amazon go into competition with square, probably. The question rises in my mind, however merchants who hate amazon so much all over the world feel about accepting some kind of payment mechanism in realworld retail that amazon dominates . People worried about hacking. Isnt going to make anyone back off on the mobile payment front . There is no absolute liability for payments of fraudulent. The Credit Card Companies are worried about all this online crime. The targeting was shocking to everybody. 40 million cars is a lot of cards. August mobile payments aside, isnt a bigger issue that credit card fraud is it easy because of that Magnetic Stripe . Is based on technology from cassette tapes. The Magnetic Stripe has got to go. They took it away long time ago in europe and use a chip embedded in the card. It is absolutely necessary. Im sure we will see big Movement Toward that in the u. S. This targeting probably was the Tipping Point that will cause people to say lets get the technology right in cards. What about phones. You can do with an apple iphone yet. Iphone six going to incorporate this technology so that by the end of 2014 we are Walking Around holding up our phones to pay for things that go theres been a lot of technology to allow you to a with your phone up. And i think people care that much about that sort of thing. A credit card is a relatively easy way to pay. I think we may get to a point where we user fingerprint. That would be something that reads or iris in her eyes. I think at the moment we are still at a point with credit cards with their simple enough for most people. Iee it huge push dont want to read the iris. That is a little too gattaca for me. In terms of actual jobs created, that is not really doing it. This worries me a lot, especially for this coming year where there are a lot of signs the economy is rebounding. Think of market will do well because companies will do well. It doesnt mean that ordinary workers will necessarily do so well. We were talking before about how the rich are doing great and dont even know where to spend the money. Increasingly the middle classes savings, you said that savings for the average middleclass the average savings for the middleclass families 32,000. And we lost a million members of the upper middle class over the last year. That is mostly the eradication of jobs because technology has eliminated the role of supervisor. Isi think automation significantly at fault for that and will continue to be a major negative for employment, even as Economic Growth and Company Health continues upward. Is our policy prescription for that . I would say the longterm ascription is obvious vastly improved Education System in United States which we clearly dont have enough focus on. n people tire lever skills, we will be in trouble as a nation. Theme is the Quarterly Report for twitter. Every metric for twitter is way higher than any other Internet Company and twitter has yet to prove itself as a business. No one cares, known is asking them to prove themselves. Until it care think twitter stock prices a crazy gamble until the future shows. Look at the stock adeno, we call the facebook deal a disaster and look what it is trading at now. They have are impressive quarters or were substantial in the areas are looking at. David kurt hat trick assist themes for 2014. Thank you for joining us. Dollars higher, Economic News is good. People are thinking the fed will get involved. This is bloomberg surveillance. An early Christmas Present from the president. The white house extend to the individual enrollment deadline by one day. Whyches being damned every one of us is becoming an epatient. As you get ready for holiday travel, brace yourselves for new fees, higher fees, smaller airplane seats and decreased leg room. Good morning. This is bloomberg surveillance. World headquarters in new york this tuesday, december 24, Christmas Eve. Im scarlet fu. Tom keene is off for the week. Joining me, Stephanie Ruhle, birthday girl, and Michael Mckee. Joining us for the hour, David Crowell David Kirkpatrick, talking about the biggest tech and social trends of the year but you will get a started with a morning brief. Overnight news . Chinas benchmark money market rate the lowest since february 20 11 after the peoples bank injected cash for the first time in over three weeks. Japans nikkei hit a sixyear high, climbing above 16,000 for the First Time Since 2007. Economic data in the u. S. At at 7 00 a. M. , mortgage applications, 8 30 a. M. Eastern, durable goods orders, 10 00 a. M. , newhome sales and also Richmond Fed Manufacturing index. On the schedule today, you are lucky if you are in the equity market gusts the New York Stock Exchange is closing at 1 00 p. M. For Christmas Eve holiday and it is also my birthday so if you are done at work early it is still time to buy me a giftepoo. Maybe bob eiger can buy you something. A cut. Aking a 15 the disney ceo will still take a little more than 34 Million Dollars this year in salary, bonuses, and stock awards he can still afford the kanye west sneakers. He made 40 million in 2012 but disney failed to meet targets so it is cutting pay. It is adding twitters cofounder jack dorsey to the board. Awarded its moran ceo stock valued at 36 million. In return, he agreed to give up rights to severance pay that could hit 60 million. He has been ceo for 10 years. He says he is not going anywhere. Freeport has been criticized for excessive executive pay. For those of us to make a little bit less, jpmorgan has good news. Limits off on the imposed on debit card customers due to the target breach allowing purchases of 1000 dollars. Jpmorgan impose limits of 100 in cash and 300 in purchases after target exposed the breach. The weeksl damages in or months ahead when people find out whether their accounts were hacked. And there are reports of very few instances of that happening. We will see how it plays out. Toething we will continue monitor. An early Christmas Gift for all procrastinators. In response to heavy traffic on healthcare. Gov yesterday the white house extended either day the enrollment deadline for obamacare. For anyone who wants coverage article january 1, 2014. Washingtonhief correspondent peter cook joins us with the details. I know the white house had ambitious numbers in once it wanted to get a certain number enrolled by december 20 third. Now they extended the deadline. Are they closer to meeting the goal . We dont have the final numbers at this point and the thele have until 11 59, 11th hour shift at the white house with healthcare. Gov, allowing people an extra 24 hours. The reason is they got record numbers yesterday. By the afternoon, some eight hundred 50,000 people had been on the site in some form or fashion. We dont know the final numbers. The president said more than a Million People signed up through december 20. But this is below where they had hoped to be. The target had been 7 million by the end of the enrollment period, march 31, so the idea that 3. 5 million could be signed up by the end of the calendar year. They are not there yet. We will see exactly where they stand. But this extra 24 hours will help them boost the numbers. Health care got no healthcare. Gov had problems because so many were on it at once but the president did sign up for a Health Care Plan as well. Give us some details. Well, sort of. The president does not need to go go to healthcare. Gov, he gets health care through the military. But as a symbolic just gesture they didnt roll them in. Bronze plan this is to respond to criticism from republicans that urged the white house and president to go through the same process that Everyday Americans are going through, so he has done it. Not going toe is use this coverage, he does not need the coverage. But it is something the white house wanted to show the president had in fact gone through this process just like a whole host of other americans. What are we getting from the Insurance Industry about all of this . Are getting some confusion and from americans thats right. There was this extension that caught a lot of them by surprise. Some have not daft, for example, to have people working today because the deadline was supposed to be midnight last night. Now they are scrambling to have people at their call centers actually manning the phones and computers and making sure everyone is enrolled in time and to get the paperwork in time for january 1. Enrollment is one thing but youve got to pay for it and you have to have all the information confirmed and backed up id insurance companies. Some are scrambling. Dealing with that by and large, the message from the industry, and the big thing, of course, is paying for it and the Companies Giving americans until january 10 to do it. Peter cook, thank you very much. We will keep an eye on what is happening with healthcare. Gov, as does our guest host for the hour. He is here with us to discuss the biggest social trends of 2013, including the whole health care debacle, and looking ahead to 2014. A bloomberg contributing editor David Kirkpatrick and we also have the founder and ceo of group andl marketing a marketing professor at Georgetown University and a. Rofessor of epatient you fit into this healthcare. Gov question. We talk about the technology failures. This is a marketing failure as well because it goes beyond whether or not i can use the website, but whether or not i want to touch the whole thing. One of the most basic marketing blunders at all if you dont show people having success with something, and the people having failures are more vocal, people think it is a failure. This and this time is the white house is dealing with a big problem because there are so many people want to sign above the net effect is the same people can sign up, whether a glitch or too much volume. That is part of the problem, we hear more and more that people can sign up and then you have president obama himself who does not need to sign up going through the process saying, look, it works. Cover ing cover, pr i wonder if he actually did it. That is really unlikely. If the pr factor is so important, the fact we are here and was so much demand they had to extended for the the a day, is is positive. But this, for all of the unpleasant problems is a positive step toward a more ed health care system. We inevitably will make tremendous process by moving for the House Health Care system where technology plays a much bigger role. And finally we are slowly getting people into the system using technology. I think when we get further we will find that technology is really helping us to treat people. Spent a lotknow you of time looking at its peak in the best and the brightest in Silicon Valley and here in new york there it if you were one of Silicon Valleys best and brightest, would you want to be involved in the obamacare writ rollout . The president said, help me fix this mess, is it helpful or whole . Hurtful to your career . I think they are very patriotic and a lot will rise to the challenge. I think i would if i were one of them. They mostly still like the guy. And not so much a question in my mind of technology, because there is a lot of technology in medicine, but it is knitting it all together so it works together, which is the goal of the whole program. Patiente a book e 2015. You talk about the ability to access records will transform medicine. A lot of times when people hear the term epatient today think of people going online but to us e band for empowered. It is not just going online to being more active at as a participant, whether you are sick and dealing with the something or regular maintaining. Can you give an example . Found,of the things we something called accelerated trial sourcing. The idea buzzword, but that Clinical Trials, which used to be the closeddoor thing, now patients are aggregating on social networks, using tools to bring themselves together and saying, hey, we all have these conditions and fit the parameters do a Clinical Trial on us. They are doing half of the work of the Clinical Trial which its really to find the right people, which is a huge problem in health care because you have to focus people out and patience i taken that on themselves. You are going to stick with us to talk more about e patients, and David Kirkpatrick, i guess kos for the hour guest host for the hour. Host of christmas past. As mp the and nasdaq futures have turned lower. Ghost ofee if we get a christmas future to change that. Remember, the equity markets close at 1 00, the bond market closes at 2 00 and the 10year note holding in at 2. 94 . And a note from peter cook, the white house staff signed up obama over the weekend. He did not sign up himself. Our twitter question what is your go to store for lastminute gifts, and why. Tweet us. Im scarlet fu with Michael Mckee and Stephanie Ruhle. Tom keene is off for the week. I will take handed over to stephanie, our birth a girl. We sat down with x oil tycoon exoilafter being locked up. He spoke about his worst days in prison. Dayaybe the most difficult is when i saw them start destroying the company. Or maybe the most difficult day was when i learned the companys Legal Counsel had died. Day was the toughest when i got knifed in the face. For me, and no worthy, when he said the toughest day, when the companys chief Legal Counsel died. I wonder died or killed . One of the questions. Mostrkovsky said he would likely settle down and switzerland now. But he is not going back to russia, not with that. Everybody is questioning why he is out of prison. But Jerusalem Post is saying what a lot of people are thinking. Our morning mustread this morning not a sea change from ultraconservative autocracy to more democratic form of government as russia prepares to host the winter olympics. David kirkpatrick, we have seen things like this in the past from vladimir tputin. I had a runin thats runin with him myself when i asked the question he didnt want to answer so he talked about this turquoise ring i was wearing and made fun of me. It was wouldve a joke. People were saying, watch your bedroom tonight. Did indeed take somebodys world series ring and not give it back . From the owner of the new england patriots. He did not like that ring as much as your turquoise. Up through, he came the kgb. Master the selection, freeing khodorkovsky before the sochi olympics. Much more coming up on bloomberg surveillance. Coming up, as you can believe in, we are wrapping up our 12 days of bitcoin. Sad. We are doing it in the christmas spirit. The most important things you can buy with bitcoin this season. Matt miller is it to tell us what it is. This is bloomberg surveillance on bloomberg television, radio, streaming on your tablet, your phone, and bloomberg. Com. Welcome back to surveillance. E for our twitter question what is your go to store for lastminute gifts and why. Tweet us bsurveillance. Unfortunately it will be cvs, to be honest. I have to pick up a very specific gift card. Lastminute christmas Christmas Gifts top but were talking about birthday gifts for Stephanie Ruhle. Peoples and not wait until the last minute. Today should be the day to deliver it. Mrs. Bloomberg surveillance. Fu with Michael Mckee and Stephanie Ruhle, the birthday girl. Tom keene is off for the week. Our guest host, bloomberg contributing editor david k pratchett David Kirkpatrick. A report that hedge Fund Billionaire steve cohen suspected years ago there was a government investigation into Insider Trading. According to the New York Times he warned a friend about the probe backing 2009. Capital pleaded guilty to Insider Trading and agreed to pay 1. 2 billion dollars in penalty. Maybe that is why he suspected there was an investigation. Amedispute between cables network and duck dynasty family threatening an empire taking into account Television Ad revenue mercantile sells. The familynded patriarch after he made antigay remarks in gq magazine. This counts were not enough to get americans shopping last week. Store traffic down a total of 21 and retail sales dropped in the weekend ending saturday. According to Research Firm we toldrak founder you yesterday it was the last day to sign up for obamacare. We live. Correction. Or valence correction tonight at midnight on the deadline for americans to sign up for the program through the exchange and to be guaranteed coverage. Cost seems to dominate the debate on health care, our next guest is focused on innovation within the industry. The founder and ceo of Influential Marketing Group and a marketing professor at Georgetown University and also 2015thor of epatient would you say is the idea of empowered patients. Empowering ourselves to access and control the costs of these things. Most of the debate about health care right now is literally about the cost, who pays. Our group tried to take a bigger view, saying if the future is just about who pays for it, we are all in trouble. Its got to be more than that. We talk about the future of technology and we talk about new innovations and ideas and health care seems to always be about politics and costs. We do not feel like it told the whole story. What is the biggest trend in this area . The fact that we go on to a site like web m. D. And look up symptoms and try to find our own dr. That matches those . One of the trends we talk about in the report is something taking care hacking the idea of hacking which is familiar to people and technology, applying it to health care and using it to describe the phenomenon of patients and, yes, finding out their own information but also finding their own doctors and solutions and advocating their own patient support networks. All of these are signs that patients are figuring out the system to get better care and also to save money. The oldest and sickest group that need to do with the most are the ones least capable of doing it because of their discomfort, perhaps, with technology and the shift to doing everything online. How do we help that group . It is funny beard we tend to assume the older people are not on the internet, yet all the fast aswe look at group on facebook, people over 50. Fastestgrowing people hitting their health care . Get theiressarily to health care but to get the information to make it better. That is really what the trend is. Ultimately you ask people if you read blogs, they say no, you asked them if they read an article online, they say yes. They dont realize it is a blog but we put the terms on these. Isnt doing triage in a successful way will we get healthier as a result . First of all, we try to look beyond the u. S. One of the benefits is you get more chances for optimism because you see what is happening in other places. The u. S. Has been so far down the list when it comes to health care metrics in so many key areas. You dont see it changing as a result of renovating our approach . In theill not change very shortterm. We put the tagline of 2015 because we wanted to look at the future but not the far future, because that is almost impossible to predict. But if you look at the next 18 months you can see what is happening now and what is going to happen. That is the lens we want to put on it. Inwhat is the medical space 2015 . How am i as a patient going to review relate to medicine . Things, it will creep into the parts of your life. One of the trends, augmentin attrition, the idea that, sure, you have the nutrition label on everything you buy but one thing you get you hold your phone up and all of a sudden it unlocks all this information about what this product will do to me, how was it manufactured, what chemicals are in it . This information that can ultimately make us healthier. And online mother youre not really going to eat that. I have something i wear all the time it is incredible. So exciting. Behaviord my dramatically. I take taxis less, i walked more. I try to sleep more. I am more aware of how little i sleep. I love the fit bit it is a breakthrough. Funny, another trend, all hadt this idea that people too much data. Too much data that we would have to sift through. Kirkpatrick, our guestbook for the hour. Much more coming up. 879 millionyou , how much American Airlines collected baggage fees. This is bloomberg surveillance. Im scarlet fu with Michael Mckay and Stephanie Ruhle. Tom keene is also for this holiday shortened week. Ashton knocks are 25 minutes into a spacewalk and i doing it are 25ow astronauts minutes into a stakes walk. The first spacewalk to fix the pump saturday lasted five and a half hours until a small spacesuit problem forced them to stop. If all goes well, nasa expects them to finish the job with this spacewalk. I cant get George Clooney out of my mind, though. [laughter] zach ember peter or g the Government Satisfaction is high is that nasa. It is super cool. Wouldnt you love to work at nasa . Also not a big part of the government anymore. Fairly small compared to, say, department of commerce. That is superlse cool and actually said today the final and last of the 12th day of bloombergs 12 days of bitcoin. We thoroughly enjoy and watching our own learn about and spend the Digital Currency over the long last two weeks. On his journey he bought everything from pizza to groceries and beer at a bitcoin bar in brooklyn. Little bit of bitcoin money he had left, our own matt ventured back to the streets of manhattan to see if he could buy a Christmas Tree. You take bitcoin . Yes, we do. This is the second year last year nobody heard of it yet so nobody bought a tree. Into bitcoin in early 2010 and i have been in the busiest ever since. Lets see what youve got. This tree is a douglas fir emma which is less expensive as the fraser for but not as nice. The big one is the trophy. Will feed and a few inches. 12 feet and a few inches. This is what we decided on. The 12 footer may be an absolute pain in the to transport. Sendingt transaction. Donesville. Now mine says received. There we go. Back from the is streets of manhattan. He joins us now. I braved the streets of manhattan. How tall is this little pup . I do not measure i guess three feet. That is not three feet it is not a chair out Charlie Brown tree, but how much was it . Tree was 40, the stand was tense i told henry,0. 08 bitcoins. The funny thing about henry and they had the Christmas Tree corner 26 years in a row he takes bitcoin directly. For merchants take bitcoin stuff, they dont ever see a bitcoin. If you buy a tesla or dealer sees the dollars because a third party that steps in to help the transaction goes smoothly. Henry romp hang takes untold bitcoin and keeps it. He is a bitcoin enthusiast but did he give a picture how many others are buying the trees with bitcoin . I was the fourth person this year to buy a tree from henry using bitcoin. And you heard him say last year nobody had heard of it did you get a discount . No, actually. He knew we were a Big Television operation. You should have gotten a discount for days before christmas. I wonder what it does for him . It is anause he thinks investment and he wants to accumulate them so he can hold them . Things. Number one, he thinks of it as an investment. He has been doing bitcoin for a few years. Last year he got 35 bitcoin. I dont know what else he is selling. Is and heng wanted to remain fairly conservative about this, but he has issues with the Federal Reserve on principle. This guy conservative charging 500 bucks for a tree . Supposed to trust debasing currency like it is their job undeniably. A political statement in part from him. I think he just does not trust the central bank. He thinks they are robbing everyone through inflation. Henry made a great point to me so many people think bitcoin is just for buying drugs and getting hitmen beers and pizza i wanted to point out on my last day of bitcoin so many pointed out that there is a Great Charity that is able to feed thousands of Homeless People a week. Victorias secret takes bitcoin. There you go. You should head over there. Michael, we need to get to a data check. I dont have a bitcoin quote for the day yet, but we do have the marketing little but lower as we had to the open. This is bloomberg surveillance on bloomberg television, radio, streaming on your tablet and smartphone and bloomberg. Com. Im scarlet fu. We have Michael Mckee and Stephanie Ruhle with me and tom keene is off for the week. Our guest host, David Kirkpatrick, bloomberg contributing editor. Airlines ringing in the new year with more fees and less legroom. Virgin atlantic charging passengers to preselect a seat and united doubling the fees on oversize bags and spirit increasing bag fees, on top of the 880 million baggage charges ticket changeon excesses they collect the last quarter. What you are squished to think about when you are squished up against your seatmate because between seats are down about a 10th sense the 1990s. Helaine becker joins us, managing director and Senior Research analyst at how one and company cowan and company. These annoyinged charges, saying and allows them to keep fares low. The numbers very now, is it really the case . Well, the costs are going up so fares are going up. They are not going up as much as they would have if they did not have the ancillary fees to offset. Yet we are all paying the ancillary fees, so it is really a disguised way of paying for it. When does it become too much . Hitting me you are with so many fees, i dont care about the low fare so i understand it. The think as long as airlines are being transparent for what they are charging you for, it is not as onerous as you think. Most people, because they either have the Airlines Credit card or they have status, they dont pay the fees. They may pay a second checked bag fee but you probably dont need to bring all of that stuff with you anyway. Best Business Class, such a contrast to coach class. Amenities, extra legroom. I wonder if the Business Class experience will keep improvement improving as they pump money into this valuable group or did a look at them as a cash cow to squeeze more out of them . You are already paying so much. There is such a differential between coach and Business Class that it is hard to keep pushing those costs up. To doat the Airlines Want is change your behavior. Those 200 change fees for changing a ticket, a lot of times it is more than what you would have paid for the ticket to begin with. Bookif you wait longer to your ticket, you are going to pay a higher fare. If you pay a higher fare, you often dont have the change fees. Alternatively, is there any airline you know of trying to compete on a Better Customer Service and experience in coach . Jetblue kind of does this i was going to say, nobody really delivers a great product and coach to be better, to be more friendly it is not about the experience anymore. It is really about getting on the plane, getting to where you are going in a timely fashion. What people are willing to pay for is reliability and timeliness. I think that is key. Spirit airlines charges people for carryon luggage but is it the worst offender in fees . They are. Think the carryon bag fee and overhead bin works for an airline like spirit or allegiant but i am not come in stable work for united i think at that point the government steps in and says enough is enough for the charging. Back onry to bring you the plane or you could charge not to bring it on the plane. Now that people dont want to pay, everyone and their brother is jamming every piece of luggage on the plane and it is causing flights to leave the late. The further development, the infamous standing seats, is that going to happen based on what you sent . I dont think so. I think the faa has put a stop for charging using the restroom and letting people stand up on plane. No one can ever be transferred using a restroom on a plane among because i dont want anyone to not use it. The seats dont recline anymore. A lot of seats dont recline. It is ok. You dont really need the person back in your knees and everybody is uncomfortable and there are fights. But you want to sleep on the other hand and you need to recline for that david needs to recline a little bit. You can pay for Business Class. Becker fromcowan and company, happy Holiday Season. Coming up, our agenda. We will have more on bloomberg surveillance. This is bloomberg surveillance. Im scarlet fu here with Michael Mckee and Stephanie Ruhle. Tom keene is off and on this Christmas Eve, Michael Mckee has a tie with the grinch and stephanie has a ribbon my son gave this to me. Red. Tty liu is wearing kirkpatrick, green and red. Festive have on this in the loop today i just noticed, tom keene is with us today. [laughter] not a bow tie i mean the grinch. Only today can might get away with this. We are going to be all over the holiday sales, shopping season. Michaud, he has literally gone every weekend to hundreds of stores to talk to customers. Going up to them and asking what they are buying. He will have insights of what he heard. He said one of them one of the things he was surprised that, people were literally grabbing Television Sets at walmart and gifting them out because they were less than 100 each. 32 inch screens. Have all the details. Amazing what a discount will do. Betty liu in the loop starting at 8 00 a. M. Now time to look at very special photos making news. They will be christmas themed. I will take you to china. A diver dressed as santa claus a slam with fish at an underwater world Christmas Even over in china. Check it out. That is a little bit stressful if you are walking by and you see this guy in the tank. He surprised kids by lowering himself outside a hotel window in indonesia. Youve got to see this one. Ut he also brought gifts and britains only reindeer herd prepare for christmas. That is the guy from indonesia. You dont have pictures from santaconn . That is really a gross holiday if you have Young Children on new york city and on that saturday they are running in the streets dressed downtown new york, but it has gone national, i understand. International. 44 cities. A condition where people dress up in santa claus suits worse than halloween. You dont want. Any use for reindeer . Reindeer meat . Thehey bring santa from north pole to my house tonight. You are the greenwich. What to do with reindeer . He is saying that on Christmas Eve . Here is a picture from the u. K. Only reindeer herd. Besides a lovely photo moments, what do you do . A festive set of photos. That is our first look. Coming up, and number for you, 150 million, the number iphones apple sold this year and more ahead following its big eel with china mobile. We will talk about it on our agenda next. Not exactly sure why but they are giving us the day off tomorrow. Thursday,oming up on the council on Foreign Relations senior fellow and former Deputy Commissioner of the new York Police Department richard discussth joins us to cybersecurity. A lot going on in this field. We could do an hour, two hours i still have purchases made on my credit card did you shop at target . C about to the big shopping atvs. Dont knock it. Big shopping at cvs. This is bloomberg surveillance. Our guest hosted David Kirkpatrick, Bloomberg Contributor and editor. Lets get company news out of the files of bloomberg west. Tesla motors and said the model safetykeep its fivestar rating. The government has been reviewing the cars after fires caused. Shares have fallen 26 from a first fire after the in september. Antitrust lawyers say regulators are expected to take a handsoff approach in the acquisition of time warner cable. They already vacated a cap on the size of companies and the companies rarely compete amongst themselves for customers. Charter communications seem to be preparing an offer for time warner. Apples deal to sell iphones with chinas biggest carrier does not and the problems in china. A researcher estimates of this deal with china mobile increases market share for apple from three percent just to eight percent the problem is the iphones i just too expensive for a lot of chinese customers. More on apple. Apple has had a roller coaster year. Shares commented on the believed they could not Grow Market Share and then the new iphone launch confirmed the demand for tech innovation. A deal withnked china mobile giving access to 700 million customers. Where is next . Lookahead our 2014 series we are speaking with david David Kirkpatrick, the author of the facebook effect bloomberg surveillance. The facebook effect. Apple will be the standard for technology globally. In china, despite the fact the market share percentage number will be low it is an incredibly in demand luxury product. People wanted. The last time i was in china was just before an upcoming apple iphone release, and the first question the person asked me registering in my hotel was what that i think would be in the new iphone. His people remain upset. It is a very high quality well respected product. The low end estimates are 15 million shares of new iphones in 2014 come as i think it will be great for apple and i think apple stock will slowly continue creep up, possibly not what about the lowcost chinese handset makers . I think cap fantastic company will continue to thrive. It is a crowd sourced design for mobile phones. It is based on android, but it is very cool. Apple doesnt mean not have a great opportunity in china. There is a huge difference still in the User Experience between iphones and android phones, in my experience. I still think the interface is better. I think a lot of people still prefer it and it is a higher status product. In china, status matters very much. In terms of apple, do they have a counterfeiting problem in china . Cannot do but you successfully counterfeited iphone. But there are fake iphones out there. Arees a lot of things that made to look like an iphone that are not a faux iphone. They bootlegged my book there. There was a pdf of the english version. But it was also published in china very successfully. What about apple and the Technology Front in 2014 . Do you think there is a new innovative product we should be focused on . What will they do to shake up tv . Bloomberg excuse me, bloomberg on apple tv. About the real apple tv, and not apple tv technology, which is a little box like the set top box. One of the things people are excited about is the watch idea. We were talking before about the fit bit wristband. Probablynk apple will get into Wearable Technology in some fashion in 2014. It will be be big, good, and well designed. Wearable technology when we say watch, maybe we dont really know what they think a watch will be. Didnt tim cooks memo for 2014 get leaked . Exciting things for 2014 i think he is on a very good track despite the loss of jobs, who we mourn. Apple is still an Innovative Company with the best Technology Hardware bar none. Point. A very high price lets get to our agenda as we take look at some of the stories shaping the day. You have a lot of Economic Data coming up. 8 30 a. M. Goods at frames my agenda. We have been spending more as consumers, particularly this time of year. When the Company Start spending more . All that cash on Balance Sheets, will they start investing . Chicken and eight. Waiting forre consumers consumers waiting to get more money from companies. An increase in durable goods orders after a betterthanexpected retail sales report . , capex,pentup what Jason Trennert from strategias has been waiting for. In the meantime, they are spending on buybacks and dividends. Mike mckee, you are headed to the radio studio where we continue i will get the studio warmed up. I will join you shortly. Stephanie, what is on your agenda . This is a near and dear to me , including my husband. Canr dog a network that lead to 22yearold grad to a sixfigure job on wall street. Women dont have a shot at this connection. Bloomberg spoke to three dozen Fraternity Members that tell us wall street alumni make sure the applications get to the top of the heap. Frat guys get tutored on interviews and the best way to answer questions. Frat alumni at wall streets biggest banks say they are often trips. Campus recruiting i applaud the fact that there is a network, that they are reaching out to help one another. I can only hope we can see the anna edwards why now so it is not just any guy q4 sororities, why not . Notnfortunately we are seeing another woman interested in wall street. There have been huge strides made and if you look at what wall street firms are doing, they are targeting schools like smith and vassar and seeing women who are freshmen and sophomores to educate them on the industry. What men have in their corner, there are so many lacrosse dudes and frat guys in the business that reach out to guys that are younger there is an idea you have to see it to be it. When you see guys 20 years older than you are in the business they help you. We need to see more women in it and then the younger women want to be pi gma winner seemse big to be game consoles. Are sold out in a lot of stores, even with the stores reporting not so great foot traffic. Also proving difficult to find, if you have not gotten. Xbox one both are fairly difficult to buy and they know it is all about the control of your living room. David kirkpatrick, did you have a sense that these game consoles would be such a big hit is Holiday Season . Gamech of these two console sold more than 2 million in the first week. Which is a record if either one had been 2 million, it would have set a record. People still want to play sophisticated games that they cannot play on their mobile. People who want to play unsophisticated games on the console, my kids, but they aint getting one. Put a question of the day, what is your go to store for lastminute gifts and why . Best buy, because they match online prices. S, just like scarlet. Overstock. Com. We go did tom keene tweet in . Of my exwives like the vacuum cleaners on the site. Thats why they are your exwives. Onbloomberg surveillance radio continues. David kirkpatrick, thank you for joining us this Christmas Eve. Great to get your take. A very festive David Kirkpatrick on this Christmas Eve. Betty liu and in the loop is next on bloomberg television. Have a great holiday, everyone. Lastminuteg deals dont appear to be bringing shoppers into the malls. 21 andaffic plunged the week that ended saturday. Retail sales dropped three percent. Jpmorgan plans to boost bonuses for investment bankers. Some jpmorgan bankers will get an average increase bonus of 6 10 . It is still money in your pocket to buy gifts. The former russian oil tycoon is opening up after spending a decade in a russian prison. You will hear what he has to say. Lets get down to washington, lastminute Health Insurance shopper still have a few hours left to enroll under obamacare. The Obama Administration pushed the deadline act again 24 hours until midnight tonight after a crush of lastminute signers. Peter cook has more. This was the deadline that was not supposo