Transcripts For BLOOMBERG Bloomberg Surveillance 20141125

President obama said there are larger issues to be resolved and they wont be fixed by throwing bottles or breaking car windows. He spoke last night. The situation in ferguson speaks to broader challenges that we still face as a nation. The fact is, in too many parts of this country, a deep distrust exists between what enforcement and communities of color. According to prosecutors, the most credible witnesses told the grand jury the teenager Michael Brown charged that the Police Officer just before he fired the fatal shot. Turns out that chuck hagel did not put up a fight with president obama asked him to resign as defense secretary. One pentagon official said he was ready to go anyway. White house officials disagreed with hagel over policy. Hagel was frustrated with the white houses management style. None of that came up when the announcement was made yesterday. It has been the greatest privilege of my life, the greatest privilege of my life to lead the most important, to serve, to serve with the men and women of the Defense Department and support their families. I am immensely proud of what we have accomplished during this time. Among his possible replacement, former defense undersecretary Michele Flournoy and jack reed. Honda may face a record fine for failing to tell u. S. Regulators about injuries involving its cars. More than 1700 claims are involved. Honda could be fined up to 35 million. This came out of the investigation into those airbag incidences. We have a story of Insider Trading that comes from the files of the fbi. In analyst at the hedge fund giant citadel told agents he made millions of dollars trading on information from an insider at del. Neither the analyst or dell employees were sued or prosecuted. People familiar say the authorities did not have evidence to charge the analyst but nine people at five firms were eventually convicted for trading on tips inside dell. Buffalo, looks like a snowstorm in the east may make thanksgiving travel miserable. As much as eight inches are expected to fall from virginia through new york, north of new york city. It may be worse by the time the storm hits western and central new england. Those are our top headlines this morning. Let me do a data check. I am gasping. There we go. Futures up 2. The markets are barely moving. Crude oil sort of returned. On to the next. A better performance by the russian ruble. Over to the mac monitor, something to i cant get the right word out. Forget it. Draw your attention . Yes, in india, the regular currency is weaker, weaker, weaker. It is really not that bad. It is back to average on a trade weighted basis. You have to be careful about the certitude of what currencies do. India thanbetter what you would see most of the time. I have no idea why did that chart today. Come on, tell me my bow tie is out of work. Your bow tie is just the start of your problems. Thats true. Ok, lets look at ferguson, missouri. Very serious for the nation and watched around the world. Chaos erected last night with reports of heavy automatic gunfire coming later in the evening as well as protests across the nation. In new york city, protesters walked from union square up 6th avenue north to times square a verylice monitoring peaceful demonstration in new york city. Is a point of discussion this guess. , with us, to this really goes to a year geopolitical unrest, whether it is ukraine or whatever or ferguson, missouri, there is been a lot of surprises this year with unrest. On the ferguson issue, i want to say i think theres really an issue here that protesters are concerned about inequality, concern about racism, and i think we can do more as a country on those two issues and i think we should do more. Lisa, when you look at this idea of inequality, everything i read says, yes, it is getting worse. Is it getting worse for good reasons . Or d. C. Real step back for the nation . Fundamentally when you look at history, there has been a lot of income inequality whether it is in the United States or quite frankly in other countries. Certainly as we look at the recovery this cycle, it has gotten somewhat worse. Is it reaching outside the u. S. . Globals absolutely a story. It makes the u. S. Look very bad on the global stage. We do need to keep our house in order. We need to project a positive image of america to the world if we want to lead on human rights issues, on democracy issues globally. We have got to have our house in order here in the United States. Did obama misstep last night and his remarks calling for peace, asking for people to retrench with the people who is beaten to were in the streets, not watching, like we were come in their homes . I think obama said exactly the right thing in terms of asking for peace. Think wee same time, i as a society need to take the steps necessary to combat racism and to improve decreased inequality in the country. It is something you see when you live abroad and travel abroad, people are shocked that there could be race riots in this country. They think of this country is the one effort got to abolish slavery for next 80 years. Feds responsee to the crisis has been fueling any of this inequality that were now seeing in action of fury toward . I dont think so. I think the feds responses been extraordinary. I think history is going to in in herggest that done road job. Outorgan stanley has been in front of this as well. 20 or gdp of 3. 6, 3. 2, even up to 4 in boom times. My kids dont know that. Theyve never lived that in the business world. There is an urgency to getting Economic Growth going. Do you see that urgency in washington . I dont. Point, weve got to the point where Monetary Policy is absolutely everything. It is time for fiscal policy to step up. You have been critical about the president s leadership. What would you like to see them do to actually spur Economic Growth away from the emotion of ferguson . What can a president six years in do . I think a smart reconfiguration defense spending would be something. And i think in terms of backing off from afghanistan, backing off from iraq, those are very ensive wars and i think we did that nine months ago there was a column headline, we will take the Defense Budget back to 19441930 nine. Chuck hagel said, wait a minute, we do have these things going on. Was he thrown under the bus yesterday . The inside politics of the chuck hagel issue, i have no idea. What i would say is Ashton Carter and Michele Flournoy, the most likely successors, jack reed i think is indicating his not interested, but those two are great choices. Are strong on policy. I dont see how you can affect a defense policy and cut the budget at the same time. Youre talking about complete easy gridlock were nothing is happening anyway. More and more people at more senior levels are pointing the finger at one another. Lisa, when you said you think it has been heroic efforts in terms of the fed and saving the economy from a great recession, do you think your average american would say that . Clearly, professional investors benefited from it, but if you walked on the street of st. Louis, missouri, would one agree . I dont think the vast majority of america believes that the recovery has been what may be some of the data says it is, but i think we are at the brink of it. When i say that, our perspective is were just at the point where we are really one to see employment tighten up, that 5. 9 of employment rate, just at the point where we think wages are going to start going up. Starting to see gasoline prices at the pump come down. That is something that benefits every single consumer in america. I think were right at the brink of it. We are about 183 point rally on the dow away from 18,000. Fury,u not surprised the the chaos were seeing unfold in the midwest is not readily investors . Not being reflected in the stock market . I think the markets have been extraordinarily resilient this ande to geopolitical exogenous shocks. We have been able to shake off everything from ebola to russiaukraine do things that have happened whether their protest in hong kong and etc. So im not surprised that the markets are looking to yet another upset. Lisa shalit with those, underscores as well looking at international relations. We have a twitter question on ferguson. Tomtom, we have to take it to social media. It will be fergusonfocused. Us bsurveillance. Good morning, bloomberg surveillance. Withis ferguson, missouri too many elements of what i witnessed in 1963 and 1964 and another time as a child, the firetrucks are out putting out fires in ferguson near st. Louis, missouri. That image from a this morning. Good morning, bloomberg surveillance. I am tom keene with Olivia Sterns and Stephanie Ruhle. Scarlet fu and Brendan Greeley demanded to have this tuesday off. Olivia, with the discussion on ferguson. Are you claiming you were a child in 1964 . I was deadly serious. I let that go. You could feel the sweat. It was totally different than ferguson. You could feel your parents shaking. It was like a pen dropped thing. I remember the sound of guns. I remember the helicopters, which back then sounded different. You could smell the smoke. Did you ever think 50 years later, no offense, we would still be having absolutely not. It is a polygon to be different levels. Ferguson is burning. Kay also rubbed it in the Missouri Town after grand jury declined to indict a white Police Officer for fatally shooting an unarmed black teenager. Businesses were looted, police cars burned, dozen buildings went up in flames. We go live now from the streets of ferguson. You were there. Describe the chaos you saw unfold last night. What was your experience . It was very similar dow time described the 1960s tom described the 1960s. It were smoke, fires, gunshots in the air. A couple of police cars were burned down. Several businesses were broken into. There was generally a sense of chaos on the streets. There have been nightly protest for more than three months, but last night was unlike any previous night here in ferguson. There was significant damage done all across the city, including, as you mentioned, about a dozen buildings that were burned to the ground. President obama came out about two hours after the indictment is the to the country. Or his comments heard by the people on the street were his comments heard by the people on the streets . The situation on the ground had are ready changed by the time the president began speaking. As soon as the decision was announced by the prosecutor, people at taken to the streets, some of the looting had are ready begun. Some businesses had a ready been attacked. I dont think people were listening to the president at that point. As you say, there were not listening to the president. There were looking at the immediacy. What is the catalyst to see a continuance of this violence and protest into tonight and the coming weekend . People have been waiting for this decision for several months , and what we saw was kind of a now spelling of emotion that has been pentup. I get the sense that will be continued demonstrations. People will continue to take to the streets. There will be more National Guardsmen being brought out. We have a potential for more significant clashes between the police and the activists. What does it look like right now . There are still businesses that fires are trying to be put out, and there are still fires at several businesses. A lot of people have cleaned up the streets, but there are ready calls for 7 00 a. M. Demonstration here at the courthouse in clayton, missouri where the grand jury met. It looks like people are gearing up to come out to the streets once again. What do you think we will see today in terms of looting . In the light of day were people could be arrested, how do you compare that to what we saw last night, the rage, the fury . That was midnight. At 9 00 a. M. , people will be back in the streets. Do you predict it will be more peaceful . That is likely, especially given the governor has called on more National Guardsmen to show up. Were likely to see more heavy Police Presence guarding some of these businesses in the light of day. But no one knows what is going to happen when night falls. It is pretty cold, but that did not stop people from coming out last night and it is likely people will continue to come out until everything fizzles down. What happens now to Darren Wilson . He is unlikely to walk the streets of ferguson ever again. Weve heard he is likely to resign from the force. We heard yet time to get married in the last month. What happens to him now . Nott is likely he will return to the force. We also have to remember he is still the subject of an ongoing federal investigation as well as the Police Department could be hit with a civil lawsuit over how things played out back in august. Were unlikely to see him return to ferguson as a Police Officer. People are still going over his testimony. You likely may be doing interviews he likely may be doing interviews, but we dont seem likely to return as a Police Officer. But what about his personal safety . For the most part, he has not been very visible in ferguson, so we probably expect him to continue to remain in hiding. He may do an interview on television, but i dont expect to see him out and about in the community. It is likely he will relocate and position himself far away from these protests. We will leave it there. Thank you for joining us live from the streets of ferguson. We will speak to you again in about an hour. Are twitter question of the day bsurveillance. Coming up, investment in 2015. We will alsos big about the geopolitics of the moment. Stay with us. Good morning, bloomberg surveillance. Imt umpteen. I am tom greene. With our morning mustread, Stephanie Ruhle. Im going to go with a grand slam. S,od t to the headline , he intended to send a direct message to an individual but like you and me, big dog fat fingers, and he tweeted out lets back up. Having beverages of our choice, this is the one guy who would never do this would never do this. We dont know what company he was speaking about but, clearly, your some savvy startup who was scheduled to meet with the twitter top brass december 15 and 16 and they have a bid for you. Do you direct message . Ive got too much to say. I shouted across the newsroom. Morgan stanley . No. Andf i am on the sell side im saying, you dont do this, you dont do charity, you dont do personal life if you are an executive at twitter, there encouraging you to use twitter. But this is a bigoops. And i assure you his former colleagues at golden are laughing or heads off right now. He actually misspelled. What is so important, people who criticized twitter for not changing, this one event will make them change the algorithms of direct message. Ont use direct message do you think it is going by way of snapchat . Know, be your friend, if i say Stephanie Ruhle is smoking hot gorgeous today pay h ey out to the public, people may know about my crash. Terrible. Anthony noto did this . Unbelievable. Dmfail. He has never direct messaged in his life, we are honored to bring you Allan Meltzer in the next hour. Without question, the modern feds greatest critic. ,llan meltzer and David Malpass the day the fed build out the nation. It is bloomberg surveillance. Good tuesday morning, i am tom keene with Olivia Sterns and Stephanie Ruhle. They will be off thursday, i will be working. Top headlines. Your headlines, violence or rubs in ferguson, missouri, protesters looted businesses, torched police cars. Chaos broke out moments after the announcement that a grand jury would not indict the white Police Officer who shot an unarmed black teenager there last august. Police used tear gas to try to break up the protest. Several people were arrested. Feel guilty about eating a big tub of popcorn at the movies . It will get worse. The fdas moving to new menu labeling for many theaters for movie theaters, restaurants, Grocery Stores. They will have to disclose how many calories are in snacks and meals in an effort to fight obesity. A film biography of apple cofounder steve jobs finds a new home. Comcast has picked up the project less than a week after sony bailed on it. It is based on the best selling biography which was just published weeks after jobs debt in october 2011. In october 2011. Do either of you know the curse on this thing . What is it about this movie that it is so hard getting it off the ground . I heard many have turned it down. Aaron sorkin, i just saw emily chang to view him and now that i know him he takes a shower six to eight times a day, that is like taking a to another level for me in terms of it was a conjugated project. You know what else . Has been lost on me. I used to like that show. Have you seen i cant believe youre not watching it. I love it. I love that theyre using a bloomberg terminal because it was the only way to break business news. I just feel like at this point the characters are unlikable. Who are you rooting for . Um, that is a good question. You always want to root for jeff daniels. This season, he kind of a bystander. The newsroom does a bloomberg terminal. This is the secret of bloomberg. Be careful. These are individual headlines that were invented 25 years ago. A guy like anders corr can get russia andrg and go ni know what is going on. Were going to talk central banks. We are. Lets talk u. S. Stocks. They eat out record highs yesterday. Eked out record highs yesterday. Allan meltzer lisa shalett is with us. Japan is finally stirring. Are we celebrating too soon . Dont think so. European markets and japanese markets have really lagged yeartodate. The concern about Global Growth has been pretty profound. So i think the fact markets are starting to perk out, particularly outside the United States, they trend i think will characterize 2015. U. S. Markets have been outperforming for 6. 5 years. That is a pretty long trend in the global context. So our sins at Morgan Stanley is that in 2015, we may invite see u. S. Markets doing ok, maybe up 5 , 6 , 8 , but International Markets potentially have double digits. When it comes to japan, it looks like all it took was one measly sales tax hike to knock the country back into recession. Isnt that evidence that abenomics isnt working . Absolutely not. If you take a step back, what knocked japan into potential technical recession really has to do with what is going on in the global stage. Dont forget during this whole , china was also slowing, emerging markets were slowing, europe was slowing. I think it is really symptomatic of a much broader conversation rather than the sell your of abenomics. When we going to get find a mental improvements . Fundamental improvements . I think you need to take a step back, take a look at what is going on with the yen, take a look at the fact exports have just really started to accelerate in japan. Their banks are in very good shape. The dividends policies from the japanese banks are quite attractive now. I think what were going to see in terms of the next year is actually investment, which is going to be the next phase of this japanese recovery. What about the demographics . This country selling more diapers to seniors and babies. Of all the data and examples it is the key set of data. Diapers. Why would you invest in real estate . I think it is a question of thee do we think immigration policy is really going to come from. I think that is when to be another piece of the puzzle. Theres no doubt the fundamental growth in population is slowing and in fact, declining, but i do think that is not a c great that is been known for 25 years secret that has been known for 25 years. It depends on immigration. Are in the new mediocre. We are in search of nominal gdp. Do you presume investing that we will see in elevated nominal gdp and elevated animal spirit world ride worldwide . I do. I think over the next two years we will break out of this malaise and see fundamental productivity driven investment that does drive real and normal growth. But why should markets go up simply as a result of the low yield . Doesnt all this easing mean things are in the dumper . Not necessarily. Growth is certainly disappointed, and i think we need to provide liquidity to keep the system going. But as we have talked about very often this year, if you look at the u. S. Markets, what has paced the u. S. Markets to new record highs is record high corporate earnings. We have to pay homage to steve roach who built Morgan Stanley economics. You are not concerned about asset bubbles . Well, you want to talk about asset bubbles, tom for 20 seconds. Lets talk about the bubble in the bond market. Lets talk about the surplus of savings around the world. Wheres that money going to go . Japanese spending on diapers. That money is sitting on the sideline. That money needs to be invested. That is why we have to get back to the question of fiscal policy. We need investment tax credits. But isnt their so much money and corporations on the corporate Balance Sheets of the because of cost cuts, not because of actual Revenue Growth and investment . That is not entirely true. Ok . Particularly when we look at u. S. Copies. This past quarter, u. S. , israel to grow their top line about grow theire able to top line about 4. 5 . We will bring this back to anders corr in a bit. Investors can count on having a lot to be thankful for this thanksgiving. We will tell you why today in sickles in todays a list chart. We are streaming live. Good morning, bloomberg surveillance. With oliviane sterns and Stephanie Ruhle. Scarlet fu and Brendan Greeley are out, out, out. Single best chart. If history is any guide, Equity Investor should be think of this will be a bullish week in the u. S. Stocks. This chart comes from the spoke Investment Group going back to 1945 showing the s p 500 has gained on average two thirds of a percent during thanksgiving week and from their three year end, the returns remain positive with an average gain of 1. 8 . You might think in years or theres always our divinity percent rally, the market has gotten ahead of itself. It is the opposite as shown in the chart were the years the s p was up 10 heading into thanksgiving week, the s p 500 averages a gain of three quarters of a percent. Within the gossip, is wall street taking off the Holiday Season earlier this year . Do you get the sense that people are like, ok, that was great, lets go . No. Side has been horrible grind, but the truth is, they probably wont be paid very well this year. Re definitely not taking theyre not taking off earlier. Jobs are at a premium. Even at people at banks that dont like their jobs, they certainly need them. Morgan stanley, any number of executive positions on the street, what is the mood theres that january 3, oh, yeah. I would describe the mood as constructive. I think people are realistic and i think people are still very thankful to have their jobs. I think people are killing it, working really hard, and they know in the brave new world of working really hard, that doesnt mean it will be a lottery at the end. , in your world, anders corr is there a was crisis fatigue now . There is one point in july i think we had venezuela was on the back burners because nobody cares. Americans definitely feel crisis fatigue, but it doesnt mean other countries are feeling the same way. The islamic is feeling energized. Iran is feeling energized. The Ayatollah Khomeini as his own twitter account and has been about the success of the negotiations for iran. Does john kerry have a twitter account . Yes. Scary thought. Can you make sure the boat gets into dock 4 that is nasty. Sears events in ferguson, missouri. Police officers marching by a Burning Police car during those demonstrations last night. A st. Louis county grand jury has decided not to indict ferguson Police Officer Darren Wilson in the death of Michael Brown, but sparked riots across the nation. At least a dozen buildings were burned and looted, including restaurants like little caesars. Police officers used tear gas and nonlethal shotgun rounds to disperse crowds. When you talk about what the violence was in ferguson, the majority of injuries were as a result of all of that teargas. There it is. You wonder what will happen again tonight. Our team reporting from ferguson. Give us another photo. Number two, nypd commissioner splattered with fake blood at a ferguson protest in times square. Oneypd spokesman confirmed arrest has been made. Crowds marched from union square, Washington Square park, and throughout new york city protest of the court ruling. Important to note, it was a peaceful protest completely silent after the verdict here led by interesting. Commissioneree the with fake blood on the side of his face. Number one, hundreds of activists also marched in chicago. They started at chicago Police Department headquarters and up to lake shore drive. Streets were closed down and marches continued into the night. It was the weather in chicago and atlanta that caused it to be a smaller turnout than was anticipated. And that weather coming east. We look for that on wednesday. Rain up to eight inches. It is on the bloomberg terminal. Where stephanie keeps her horses. There is our twitter question of the day bsurveillance. We say good morning. We will be right back wil. August 17 2007, i did an interview with Allan Meltzer and David Malpass. In minutes, Allan Meltzer and David Malpass on where we go in this 2014. Really looking forward to that discussion. We say good morning at bloomberg surveillance. Top headlines. Hong kong police are pushing as hundreds continued to block argyle street. Authorities arent forcing a Court Injunction to open the road that would pave the way for future action at nathan road. That is the main occupation area were some of the most violent clashes have occurred. Z its newse alvare chief executive officer. He has been cfo of spains largest bank since 2004. His appointed the first Major Management change since the chairman in september after the death of her father emilio. Buyers exploring the sale of a diabetes device, according to people familiar with the matter. They say buyers working with the potential sale that could be worth 2. 5 billion. It is part of the German Company strategy to shut peru for units in order to concentrate on its more lucrative life science business. Those are your top headlines. China tests the boundaries of its military might, defense can tip to offense as islands of the pacific are considered. One example of the need for a nato in the pacific. Considered the need for Pacific Treaty organization and also chinas response to a coalesced pacific. It is an interesting idea. Why do we need nato in the pacific of the nato in the atlantic doesnt know what it is doing right now . If we did not have nato in the atlantic, he would be a lot worse. China is action more powerful nation in russia in terms of defense spending. It is very smart in the way it is being territorially aggressive. It is trying to do so outside of the tv cameras. It is very slowly and gradually using tactics to take over island by island salami tactics . Take you have a salami, i a little piece and you dont want to get upset, and pretty soon your salami is gone. That can be the tension between islands in taiwan or with the philippines. Yes, in doing the same thing in hong kong in terms of eroding democracy in hong kong. By the way, let me take about hong kong. China is reneging on their agreement. When Great Britain gave hong kong back to china, they agreed to allow hong kong to have baton 2047. 2047 autonomy to what about the replacement for chuck hagel and the president to take the romance of the pivot and turn it into an actionable policy . Are really calling the pivot a romance . A dance . It sounds romantic to me. The pivot needs to be strengthened using a Stronger Alliance system. Right now we have a bilateral alliances with all of our democratic friends in asia. We need to actually have a multilateral formal Alliance System in the same way we have a Multilateral Alliance but the crisis which countries . Wheres the crisis to coalesced that . Theres a crisis in asia because china is grabbing from japan, grabbing Maritime Territory from the philippians we have veteran alliance with them. China is even to their friends like vietnam. Lets bring up the map and tell us which countries you would like to be in the asian alliance. Similar to toms. We think about what form the dna of nato, the sheer devastation and destruction of world war ii the creative the glue. Where is the glue in asia . We have a shared value system in asia . In democracy. Democratic. South korea is democratic. Australia and new zealand are democratic nations. All of these nations are challenged and threatened i china, which is a dictatorship or a talker see. How realistic is this grand plan . I think it is totally realistic. Not having a defense against china to me is unrealistic. Lets get to the morning mustread. You are going to like this. He writes about china, russia, and the sinatra. When doctrine. You may have noticed, there have been some alarming headlines, although, they have not been big news, the chinese navy appears in the mediterranean next bring a joint exercises with the russians. This plan a naval exercises from beijing last week after a russianchinese meeting devoted to monitor cooperation between the two countries. Russian, chinese nation exercises in the mediterranean, will that affect your plans to go to the south of france . I dont know about that. Within the holiday spirit of america, this continues to fester. Russian troops shifting in and out of ukraine. Give us an update, anders corr, of what the European Response should be to what we continue to see across bloomberg. I think we should take much stronger action against russia for its does secretary hagel want to do that . Im not sure what he wanted in that sense. He is been soft on isis, i think, but in terms of ukraine, i think were got to take strong action. I think the first action we could take would be to remove russia from the swift inner banking system. Does Vladimir Putin give a flying fig what we do . Absolutely. The people care. The people are feeling effects, the ruble is feeling an effect. Because hestep it up is not acting according to how we would like him to do. Olivia sterns, 15 minutes ago, picking a you and meeting, the donetsk rebels. Saying nato is trying to force ukraine for membership. , i just saw henry kissinger, 91 years old. You have been critical of what of kissingers new book. He has been soft on russia. He is talked about his friendship with putin. He had a Washington Post editorial [indiscernible] he did not take a stand. We need to cooperate with them on iran and syria in the desert greater threats than ukraine. It did not work. We lost the negotiations. Those negotiations are going. The centrifuges are still spinning. There close to getting a nuclear weapon. Thank you so much for your help this year. I thought it would be a quite geopolitical year. Anders corr, thank you so much. Lisa shalett, thank you so much as well, with Morgan Stanley. The me put my glasses on so i is 118. 01. The yen stay with us. Next, Allan Meltzer and David Malpass on bloomberg surveillance. This is bloomberg surveillance. A reps and, missouri anger and protest. Police deploy smoke and gas and a Police Officer will not Face Criminal Charges in the death of Michael Brown. The mistakes of the fed in this hour, a conversation with David Malpass and alan meltzer. And the organic bird i symbol, some cooking required. We are live from our World Headquarters in new york. Im tom keene. Joining the Olivia Sterns, Stephanie Ruhle is here as well. Lets get to our top headlines. Here is elizabeth. Violence erupted in the city of ferguson, missouri last night. Protesters looted buildings, burned buildings, and torched police cars. This came as the grand jury announced they would not indict the white Police Officer who shot and killed an unarmed black teenager there last august. Used tear gas to try to break up the protests. Several dozen people were arrested. President obama said there are larger issues and it will not be fixed by throwing bottles are breaking car windows. The president spoke last night. The situation and ferguson speaks to broader challenges that we still face as a nation. The fact is in to me parts of this country, a deep distrust exists between Law Enforcement and communities of color. According to prosecutors, the most credible witnesses told the grand jury that the teenager Michael Brown charged at the Police Officer just before he fired the fatal shot. And chuck hagel do not put up a fight when president obama asked him to step down. White house officials disagreed with hagel over white house and syria. None of that came up when the announcement was made yesterday. It has been the greatest privilege of my life, the greatest privilege of my life to lead and the most important to serve with the men and women of the Defense Department and support their families. What weensely proud of have accomplished during this time. Replacementels ideas are senator jack reed. More than 1700 claims are involved, and honda could get fined up to 35 million. This all came out of the investigation into those airbag accidents. And we have got another story of Insider Trading that comes from the files of the fbi. An analyst at the Hedge Fund Firm said it all told agents he made millions of dollars trading on information from an insider at dell. Neither the analyst nor the dell employee was sued or prosecuted. People familiar said authorities did not have enough evidence to charge the analyst but nine people at five firms were eventually convicted on trading from tips inside dell. As we approach the holiday weekend, thanksgiving travelers on the east coast, there may not be at much to be thing for what as he said at jfk or laguardia or logan. As much as eight inches of snow are expected to fall. From virginia up to new york. Maybe worse by the time the storm hits western and central new england, up to one foot of snow in some places. It is rumored that the storm will reach the far south as the dominican republic. [laughter] i do not want to gloat because i do plan to go to the dr, but irish are you if i gloat, the only place that snow will be hitting is over jfk airport as i am sitting there with my coat. We have a full report that snow hit hardest in pittsburgh, pennsylvania. Carnegie mellon university. [laughter] joining us this morning, Allan Meltzer and David Malpass, an important interview we did in august 2007, and as we know, it is interrupted by what we saw in ferguson, missouri last night for supper we speak with the two esteemed economists. We sell protests and not only in ferguson, missouri but peaceful road tests in new york city, moving through new york square up sticks avenue to times square as well. Sixth avenue that you and i were on, but going back to your academics at ucla half a century ago, going back to the riots of the 1960s, nothing has really changed, has it . Oh, yes, things have changed enormous lee. X in what way . Increased the rights of people. The johnson legislation we really have increased women now have a much larger role, blacks have a much larger role than they did before. We are never going to get somebodys idea of perfect equality, but we have certainly made a tremendous amount of change. Is the broadening inequality of the nation due to policy or say, such, i should as text legislation and fiscal legislation, or is it a broader inequality due to better educated the haves doing havier each year . The books tell us what we need to do is raise tax rates and redistribute more. That is exactly the wrong answer. I have worked on this problem a lot, and recently with my friend, colleague scott richard, the answer is the other way around. Reduced tax rates. The reason you want to reduce tax rates is because it increases productivity, and when you increase productivity, you increase jobs and opportunities. Is it fair to say that we have made a tremendous amount of progress, especially in terms of education, if Martin Luther king was alive today, and he saw what education for africanamericans in urban centers looked like today versus the 1960s, i think he would be devastated. I agree with that. I think he would be honored to see there is a black president by shock that we are still having race riots on the streets of the u. S. That there are always people who are going to be protesting. Of when i think grow up and lived at college in the south, blacks and white were totally segregated. Duke university did not have a place for blacks in its curriculum, in its college, and so on. That has totally changed. I mean, we educate people across the board. We do not do things perfectly, and we never will. I did a speech the other day, David Malpass, and i let off with the waging debate, that people like you overweight wage growth. Others are adamant we see better than good wage growth. My view is that we have had a very weak recovery and the Median Income has actually been going down, which we have never really seen during an expansion, so that is the core of the problem on income inequality, that even though there has been gdp growth in the economy, Median Income has gone down. Which growth has been very weak, and that is the core of the problem and the dissatisfaction around the country. I think a big part of the problem has to be laid to 0 Interest Rates and to the saids buying of bonds. The feds buying of bonds. This causes the allocation we will talk about this in the next segment, but the greatest portion of 0 Interest Rate has to be in history 10 years and 20 years now a huge issue. X of course, and it goes back to the heart of the argument that the current market economy and the crisis is fueling the inequality. What is your thesis . We do not have a allan, please. Last week i was in brussels and i debated someone about the pick any book. He did not say a thing to defend the book, he criticize what i said but nothing to say that he has the right answer. Short charge, this is a long chart of the number of bodies employed in america, and the slope matters, and the slope is up from world war ii, there is melzer at rochester and with carlmellon bruner, and stephanie, the slope changes in 2000. We go from up to flat essentially unemployed in america. So what does that mean . Changed something we know what changed. David, what changed . Low,e fed moved to a very real Interest Rate environment, often negative, and the dollar began weakening, so the capital moved away from the u. S. Into a boom. Get it was very distorted to growth in the u. S. , and that has continued and gotten worse. Professor meltzer . Set back can look at the following thing which countries in the world have been successful . Capitalist countries. Name a socialist country china. China, but china is the one exception, and it is an exception where they have growth because they take our technology but no freedom. The only country in the world that have growth and freedom are capitalist countries. That tells you something very important about the piketty book, that it is totally wrong. China has built that on liberalizing prices, even though they are socialist and they have a communist governments, so we do not like that. That is not democracy. But they brought one billion people out of poverty and they did that through quite a bit of market techniques in terms of having money that people can actually use. They went from a barter economy to a rather sophisticated financial economy for setbacks we will come back, Allan Meltzer and david now pass, and we will discuss and David Malpass, and we will discuss his controversial paper. Like i have a feeling it will be a spirited conversation. Our twitter question of the day Will Ferguson change the conversation about race and inequality . Tweet us at bsurveillance. Don good morning, everyone. Bloomberg surveillance. Tom keene with olivia state lens thats with Olivia Sterns and Stephanie Ruhle. He has written 1400 pages on his and our federal reserve, alan melzer is University Professor at Carnegie Mellon, recently staged a contentious speech called recent major fed errors and better alternatives. Professor meltzer chastised the fed. Speechch returned the returned muted applause to be kind. We looked at the fact that we fed had the largest by far expansion in history and the slowest recovery. So we want to ask the question why is that so . The answer is because the problems that the fed is trying i amal with after 2008, all in favor of what they did in 2008. After that, they were doing things which had nothing to do with the problem. The problems are real. Ant is we have administration which is antibusiness, the economist had a cover issue saying the criminalization of american business, we have tax rates, regulations coming out the kazoo. That is why growth has been slow , and investment has not recovered until recently. Let me go to my morning mustread, this is from the meltzer speech, he does not mince words, the fed gives excessive attention to very shortterm data, the shortterm lacks a strategy for achieving longterm stability of output, employment, and the price level. Olivia, you studied this at lse, shortterm is him and longterm is him. Sure. Ism andtterms longtermism. What did you think of his speech . Be critical. I will not be critical. One thing that concerns me is the fed has expanded its role massively, so we have created an institution that was supposed to be involved with Monetary Policy and with price stability, and now what it has done is become a major, one of the worlds biggest asset buyers, one of the worlds biggest asset managers. It is moving into regulation of the Insurance Industry and of the Asset Management industry. It is expansive. We will continue with you, david. I want to get this, Allan Meltzer. When does this end that we have seen. Do you agree with bill gross it is out a decade . We have to change the fed come and that is not going to happen soon. You son meltzer, thank much, with Carnegie Mellon university. Coming up, thanksgiving is stays away, and that means massive sales from your favorite retailers. We will discuss black friday and cyber monday coming up on bloomberg surveillance. Good morning, everyone. It is bloomberg surveillance. I am tom keene. Joining me Olivia Sterns and Stephanie Ruhle. We just had a guest parachute into our set. The one thing this Network Needs more than anything the commercial cam. [laughter] i promise here if they were is a commercial cam, things would blow up. That is true. Lets get to our top headlines. With buyers exploring the sale of diabetes devices according to people familiar with the matter. They say buyer is working with greta sius on the potential sale, which could be they say bayer is working with Credit Suisse on the potential sale, which could be lucrative for their businesses. And Antonio Alvarez is new executive officer. Alvarez has been cfo of spain since two bank dozen four. It is the Major Management change since the chairman switch. Will replace over us as ceo. And Comcast Universal pictures has picked up a project less than a week after sony bailed on it. It is based on the Walter Isaacson s selling biography, which was published weeks after jobs death in october 2011. The script is cowritten by aaron forin, who won an oscar cowriting the screenplay for Deception Network or co for the social network. House asking dan loeb, who formally put me in my race, who said i sold out of sony for alibaba, what you think of that trade . And you cant really respond to that. It makes a lot of sense. Tom, you will like this. Black friday is a reminder days away, and americas biggest retailers are looking to top last years blowout, which brought 45 Million Consumers in stores and online. On thanksgiving itself, the horror, and the 92 million more people on black friday, all according to the National Retail federation. The founder of coulter of profits, of culture of profits, what is going on . We saw a rollback on princess wag. Frozen s is this an walmarts best interest . First of all, you have consumers doing very well, but you have desperate retailers who are pushing. Right. Last quarter, you had amazon raising prices, and terrible, they lost half a billion dollars, with copies i have done well, target and best buy had lowered their prices, so you are seeing the commoditization of price. Who is going to win the discount wars . Is it amazon . It is consumers amazon has a hall pass and nobody cares if they actually make money. They are starting to care, so after their Third Quarter results, their stock tanked, so amazon has entered tremendous pressure to deliver this quarter, so they are going to be really pushing discounts. You saw walmart, they had a fiveday sale, there are now matching on my prices. It will be highly competitive. This is great for the consumer, but what retailer is this actually going to be a positive for . When i look at the gap across the street from us every day, it says they are having a 75 off sale, and they were down 2 last quarter. Who is this helping a fat mikes who is thisir helping except my kids and their school close . What you are seeing in retailers is a commoditization like oil. The ones that are going to win are the ones that are specialized. David malpass at Encima Global, you both to microfoundations. You bring down price, can you sustain unit growth or even improve unit growth, but are they going into a zerosome u marketm a zero sum market, is that the really issue . The world dollar gdp is going to be less than in 2014, so that is a nominal stagnation. And retail is pushing into that. What that means is survival of the fittest in retail, that there is not enough demand to go around. Prices, nation, you are the king of this, who is going to win this Holiday Season . I saw 70 off, maybe a gap, i cannot remember. Gap across the street every day, it is amazing. First of all, it is important to point out that Consumer Confidence is going up, so what you are seeing is increasing price discrimination, so people who are prices and if well get a good deal. There are people doing well in one are less price sensitive. Havent we all become addicted to discounts . At this point, people who shop in Luxury Stores are still saying i want the discount. Nobody wants to pay retail the way they did even three years and four years ago. If there is a clear segment of customers that are less price sensitive, so you want to find rising tactics to get the price sensitive people oh, you met my household. [laughter] Something Like jumping over a hope to come on black friday or get in on thursday night, those are hurdles, which allow people to identify themselves as being price sensitive. What is your working gdp number for this year . As far as the second half, i think he will be at 2. 7 . Your world is not get it done, does it . No, what you are seeing is the retailers prisoners dilemma, so everyone has this incentive to set a low price, and it is just that for retailers. Underlying this is what we were talking about earlier, the inequality. So the way the policies are set up right now has a huge event is for people who already have access, who already have wealth, and so they are still buying. And three dollar gasoline. Retail numbers have been falling. And it is global. Lets come back with our esteemed guest. We will come back. It is bloomberg surveillance. Good morning. Stay with us. Good morning. This is bloomberg surveillance. I am Olivia Sterns here with tom keene and Stephanie Ruhle. Scarlet fu and Brendan Greeley have the day off. Img plans to shed about 1700 jobs in the netherlands over the next three years. Img says it is too simple fire and automate the processes in the home market. Have 398ays it will million in the quarter. And opec is preventing Oil Production cuts. Iraq, iran, and libya would not have to should opec members agreed to do so at the next meeting in vienna. Crude has plunged into a bear market this year amid the highest u. S. Production in more than three decades. And a major oops moment. A public tweet about a plan he has to buy a Company Including how he wants the deal to happen at a meeting next month. The problem the message was meant to be private. It is unclear who meant to receive the message or which company he wants to buy. Those are your top headlines. This matters now to our guest toes, David Malpass, Encima Global advisors, scant inflation, yet the inflation worriers still worry. What do they get . Whathappened with meltzer, did they get wrong, should they eventuate . It is a reigning theme and economics. This is a big debate. Exit certainly is full stop in 2008, 2 thousand nine, the fed made major changes in Monetary Policy and in regulatory policy, so at that time there was a huge expansion of bank reserves. Beenrically, that has inflationary, so the transition that the fed made to regulatory overlay, they are controlling theeconomy now through banking system. I think people looked and said boykin, they have put a lot of money available, that is going to be inflation. In reality, what the fed ended up doing was keep it all real. Iswhat you are so good as, parsing inflation in the Service Sector from inflation in the good sector. The we have disinflation or deflation, or is it really a working inflation in the Service Sector. I think it is better to think of what the world is doing, disinflationary, and the reason for that is there is not very much money growth, and if you look into my supply, which is the original concept, too much money chasing too few goods. We do not have that. In the u. S. And in other countries, the end to growth is muted, and that is because the regulatory overlay is so powerful. Anything that moves, the Bank Regulators are now regulating and being skeptical of a muscle that causes banks to pull on their horns, not lend to small businesses, and that is the core of the jobs problem. I see you and questions and answers with martin speln felstein. Where is their out there . I think the damage that is being done is right here in front of us. We are just not seeing it in price change. Not enough investment taking place, so growth, nominal growth in the world is slowing and slowing, even as the fed is creating a big Balance Sheet for itself. That is not getting into the economy. So there would be inflation in the future if the fed suddenly changed its tune and said banks can leverage all they want. Do you agree with others that price change and Price Inflation could migrate over to that asset side where you get asset inflation . Is that a fair follow on . Else view is something happened. In 2009 in 2010, we were rebounding from the recession, and asset prices were being bid up properly, and then by 2012, there were some very good things that happened in the world. In europe, they guaranteed the that, ando draghi did in the u. S. We did that major tax bill in january 2013, and that caused an increase in the value of assets in the u. S. The problem is wages are not going up and there is not enough median. Sure to help the 10 seconds do you have a tip point on yen . En tip point120 y for David Malpass . No. Japan have a lot of assets abroad. Olivia . Stock markets will open slightly higher setting no record. Good morning. This is bloomberg surveillance. I am Olivia Sterns here with Stephanie Ruhle and tom keene. Ferguson is burning. Chaos erupted in the Missouri Town after a grand jury declined to indict a white Police Officer for fatally shooting an unarmed black teenager. Bloomberg News Reporter joins us live from the streets of ferguson. You have been there overnight. Describe your syrians, chaos you saw unfold. I saw what basically look like the impact of a riot, people running through the streets, we saw many businesses have their windows smashed out, several of them were burned to the ground, a couple of cop cars were burned to the ground, and police and protesters and activists squared off and in several cases, terry s was shot into the air for stop we also heard rounds of live bullets. One wasas killed, no seriously injured, but there was a lot of vandalism and damage done to the community. You are not seeing any violence in terms of people hurting one another, it is strictly cars, streets, terry f by the police, and buildings. That is correct. Police did say they heard a lot of gunfire and gunshots were fired. No one as far as we know what struck, but police were under fire foremost of the night. As the legal fight goes beyond the grand jury, there is a civil investigation. Will the Justice Department be under pressure to bring civil rights charges . People have been since august thinking the grand jury would bring the indictment. When i did not happen, people are now putting their faith in the federal government to see if that will lead to federal charges and that is the a lot of the pressure coming from the community. When you look at the Greater Missouri community, what response should we see today and into the week from missouri, from st. Louis, and from other institutions . You see a couple of things coming from the public officials. You see them talking about the greater, the broader issues beyond this one case, issues of distrust and communities, police, issues of inequality, issues of poverty and education. They are looking to launch into a field of issues. In the more immediate sense, theyre looking at how to keep the community safe. There we more National Guardsmen, more police on the street, and a broader response from public safety. < i think it is important for our global audience i think it is important for our global audience to frame st. Louis in ferguson. Why is st. Louis and ferguson . Thoseguson was one of societies that was upper middle class and white, and it is now a largely black city, but it has remained governed by a white governing majority in terms of the political class, and that has led to some unrest and also the fact that there is a high level of poverty, a lack of jobs. People feel that they are repressed by the government, and for that reason, they have been lashing out. Do we know anything about the physical whereabouts of Darren Wilson, the Police Officer . Do we know what is coming next . Obviously he is unlikely to be a in a Police Uniform and walking the streets of ferguson. We dont. We do know that he has said that he fears for his family and that he will not likely be making any sort of public appearance, and here in the streets of ferguson or in the missouri area, he likely will be behind the scenes. He may do some television interviews, but we probably will not see him come back as a Police Officer here in the region. Did anyone in ferguson hear president obama last night . Did they see him . The images we saw on the news, obama calling for restraint and peace, and on the other side of the screen, people rioting in the streets. Was there any affect, did anyone hear his message or care . They were largely oblivious to what the president was saying. As soon as the decision was announced, people took to the streets some of the looting and the writing began. So people did not listen to the president. And those statements and i seem to get through. Toluse olorunnipa, thank you so much. Ex coming up come out or request of the day Will Ferguson change the conversation . Good morning, everyone. Bloomberg surveillance. I am tom keene. Andrns and ruhle in, fu greeley out. Streaming service brought on by the Supreme Court for violating copyright. Yers proposed an asset betty liu joins us now on set. His exitkind of interview. He joins us for this exclusive discussion, really the first time he has spoken out since the Supreme Court essentially buried the company. They can thank the Supreme Court really for going out of business. They filed for bankruptcy protection on friday, and they are going to go through the process, and eventually their assets might still be sold. It could still be it is still very valuable, the technology, so the various candidates could this technology. He did not name who exactly, but you can guess the Big Companies that are really pushing into video. One of the things, or libya, that i thought was interesting its you look at aereo and threeyear trajectory, it is a lot like napster. Uhoh. Obviously sean parker and others who had been fighting on the legal front, being accused of stealing music, but eventually everyone is streaming ereo isright, so maybe a ahead of its time. Nojia if he felt he was a napster reject. Here is what he said i think both copies and others in this area can think of them is not necessarily causing the change but respected but reflected of eating, articulating the changes required now because it is already happening. You can certainly say that aereo is articulate and the trend these days, which is video streaming. Ttys analogy to napster does make sense, vienna three was moving toward streaming, now is moving towards shaving the industry was moving toward streaming. You will see this technology in the future. Technology will be adopted by someone else, and assets will be sold, and you will see this in the future. Where is the pricing on cable tv . Spends 482 on retail for study at the frozen hl. Work, the n i will have you know i have the nonfrozen network. You are seeing increasing competition in this area. Studios are starting to stream on their own. You have netflix why do i have competition . I only have one thing in the house, maybe two. It is a sellers excuse me, it is a buyers market where the price it will be sold at will be what consumers are reall willing to buy for this content. Content providers are essentially looking to find their way in the next few years. Sec views satellite composition as real competition with cable, which i do not think is realistic. Founder and ceo of aereo will be on in the loop talking about possible bankruptcy and bidders. This is bloomberg surveillance. On Bloomberg Television, streaming on your tablet, your smartphone, and bloomberg. Com. We will be back in two. Good morning, everyone. Bloomberg surveillance. Futures up three, dow futures up 22. Lets get to our top tuesday headlines. X troubled times in ferguson, missouri. Protesters looted businesses, burned buildings, and torched police cars. The us broke out following the announcement that a grand jury would not indict the white Police Officer who shot an unarmed black teenager, their last august. Police used tear gas to try to break up the protests. Several dozen people were arrested. And eating that big tub of buttery popcorn at the movies will stone fill a whole lot worse. Rules forabeling movie theaters, restaurants, and Grocery Store started today, those places when i have to disclose how many calories are in snacks and meals as part of the government was the effort to fight obesity. And u. S. Retailers and mall owners are ruling out all of the stops to lure Holiday Shoppers through the doors. Frozenl be eight themed ice palace, plus free Uber Car Service to and from the malls. Missouri speck in their best holiday sales as a three dollar gasoline puts more money in shoppers pockets. Here is that works us,mingdales, next door to they did their holiday kickoff in a wonderful atrium last night, and the woman saying let frozen, orest john to roll to likes to say or as John Travolta likes to say [mumbles] all i would have to do is take myself back to halloween. The disney sold 36,000 elsa costumes the first day they were for sale for halloween, and halloween is tiny compared to the christmas boom. Disney frozen sales, princess elsa sales are outstripping barbie. It is so hot it is cold. I think it is remarkable to observe its, the one in the middle, for those of you on bloomberg radio, the dress in the middle where is what tom keene war for halloween. Comeback is from the wall street journal, not only elsa gets all the love and anna, the but younger sister, is really out shadowed. Anna is the queen alice. What you think of frozen mania . Last year, black friday weekend sales were down, so there is increased competition to make this yours black friday good. It was down 3 . And they use two sisters to do it. Guess what . It is not about black friday. Black friday would not exist if it was not for thanksgiving. Days away, and for many wealthy turkey day are scum of they are shelling out more than ,200 and for many wealthy they are shelling out more than 200. Their names are like bourbon red, standard bronze. Their medical ball go and their Metabolic Rate has not been changed, it may cost as much as 10 a pound versus 1. 60 a pound for a conventional bird. What does this say about the Luxury Consumer because those farmers out there they are not really making that much more money when you think about what goes into feeding these birds, breeding them, taking care of them, it is huge requirements on them. They are not making more money. Who does this matter to . The value, much like beauty, is in the eye of the beholder. Are knownntion turkey for being tastier, there are no antibiotics, no steroids in them. They are very scarce, so there is value to saying i am having a aretage turkey, there 30,000 produced versus 200 40 million regular turkeys. And they are not genetically modified or less genetically modified. I like the fact that small breasts are more desirable. [laughter] i sunday night is when celebrated thanksgiving full stop i was not so much focus on the breast size of the turkey yes you were. Back i would rather see my antibioticfree bird. I do not think 200 is a lot to spend on a turkey. I think for a lot of people in a elite america, and at the upper 1 but the upper 10 , it is just a new thing to do, but what it does go to is aspirational america. In your research, professor abouts, what do you see this strange word, aspirational, or do we aspire to stephanies turkey . Hold on this turkey is not necessarily a luxury purchase. It is antibioticfree and it taste much better than a turkey infused with a needles worth of butter. At the end of the day, you like what you like. I still think stovetop stuffing is delicious. What does your research say about americas aspirations as we go into the new year . One of the things is to have an aspirational product, and when you do that, a lot of people move up the spectrum, so instead of just getting an you often use that as a way to increase frankearned this in first, germany, sitting in a bar with our wonderful heather , that people in germany save everything just to buy the bmw and mercedes. Right now we are saving every thing to buy a fancy iphone. Do we see a shift in overall american consumption because we aspire to stephanies turkey or to an iphone 6 plus . What you are seeing in Consumer Trends as people either buy in high or low. The middle is getting squeezed out, so you are seeing people who are buying the best. Really quickly run a table, darkly, likght meat . Dark meat. Tofurkey. White meat. I get a heritage turkey just for the white meat. Are you really going to eat a tofurkey . Death really not. I will be eating stuffing without meat and creperie sauce. Definitely not. I will be eating stuffing without meat and cranberry sauce. We look forward to tomorrow. My agenda is snow. How about thanksgiving . Up to eight inches. It will not land in new york city, boston, washington, or philadelphia, but he gets in the way because the pilots cannot fly safely, so be prepared for stopping attention. We arefigure out what going to do. This is a wednesday storm, not a thursday storm. Blackt for you, rafi, friday promotional creep, it is happening. The black friday retail look ahead in online sales, the deals started over the weekend for the people prepping because black friday has now turned into a weeklong experience. We are seeing online sales climb 16 to 18 above what we saw last year, and you noted malls arearlier now offering these experiences, not just cheap deals. They are becoming a destination, a reason to go there. What are you going to do the day after thanks giving betweesides eat . Enjoy a mall experience also if i can get a free uber ride to a mall where i can get a frozen experience if there is a cinnabon in there and ferguson, missouri, there is still fury across the entry, we saw protest in st. Louis, san francisco, new york, all over the country. No word on the whereabouts of the white Police Officer, darren black, who shot unarmed teenager Michael Brown back in august will stop stay tuned to Bloomberg Television and radio throughout the day as people try to figure out what these events will try to innspire tonight ferguson, missouri. Out twitter question of the day Will Ferguson change the conversation about race and inequality . Here is what you said. When i changed the cover station, may change attitudes over a long time. Second answer it needs to start a conversation about the militaristic way all of our police are now trained. That is a good point. No, the outcome of this case should not be influenced by a civil unrest, the entire system should be. It was interesting, we all spoke Toluse Olorunnipa who said the protesters are not hear his message. This is a moment where all Police Officers need to be pro cameras. It might be a great idea, but where is that money going to come from . Good question. Stay with Bloomberg News throughout the day. 20, rafi mohammed, t why so much for assisting us thank you so much. Stay tuned for betty liu on bloomer is tuesday,ning, it november 25 and we are live from bloomberg headquarters and i am betty liu. Missouri, at a rep a grand juryfter refused to indict a Police Officer for killing an unarmed teenager. They said it was the worst violence and buildings were torched and police cars burned for more than two dozen people were arrested. St. Louis county cheap prosecutors held a lengthy press conference last night where he revealed the decision. Suggest that somehow its not a full and fair process is unfair to these people. They put their hearts and souls into this. Of,meanwhile, president said the protest should express anger in peaceful ways. They said police should use care. He spoke last night. First and foremost, we are a nation built on the rule of law