Stocks in stories making headlines today. Peter cook focuses on the technology being news to hunt for the killers of american journalists. And willem marx takes on a two or of iraqs americanstyle village gone bust. Her firsten gave jackson hole speech today. Her focus, the u. S. Job market. Michael mckee is in jackson hole, and has details. This was a status quo speech, breaking no new ground. Janet yellen didnt change the debate, but she outlined it. For the fed, the damage to the economy from the Great Recession makes it very hard to know where unemployment and inflation should be before Interest Rates go up. As she said in a speech, as the recovery progresses, assessments need to be more nuanced, because of the considerable uncertainty about the level of unemployment consistent with the Federal Reserves dual mandate. Most of the speech outlines those nuances, the drop in the labor force but dissipation rate, elevated levels of parttime work, slow growth in wages, and inflation. Recipe of themple Federal Reserve here. Policy will be guided by our assessments of how far we are from our object is of maximum employment and to present inflation as well as our assessment of the likely pace of progress towards those objectives. She concluded by referencing the feds most recent statement. If the economy picks up faster than expected, and it has been doing that, then rate increases could come sooner. If not, the phase gets low. Nothing to see here from jackson hole. Keep your eye on the Economic Data instead. Get a live report from Michael Mckee in jackson hole at the bottom of the hour. And also, European CentralBank President mario draghi speaks at the symposium 2 30, new york time. This is been a boom town in iraq. Developers pouring billions into the segment into the sector in recent years. But the threat of the Islamic State has put these ambitious expansion plans on hold. Just a couple of hours from the iraqi conflict zone since this small slice of the american dream. Kurdistans first selfproclaimed subdivision. How much does one of these houses cost . Around 3000. 300,000. He is a courteous but this time between virginia and iraq. See most of the developers in this area, even in lebanon or turkey, they start to move to do business here. Sank 6 million into this gated community, and received another 10 million for water, sewage, electricity from a private lending arm of the u. S. Government. Then, sectarian bloodshed hardly encouraged outside investments. But in recent years, the oil economy has helped reveal erbil develop at an impressive rate. The Oil Companies are important to improve kurdistans economy. Projects are supplied by family members of these will companies. Businessreate cash and to the area. Today, many of the cities cranes stand still, and Construction Projects have been placed on pause. Decided to attack the kurdish area, this makes people worry about the situation. They dont invest. In 2000 12, the most excellent the property sold for 6,000. Local kurds, 600,000. Local kurds wanted to rent the houses to employees of Big Companies like gas prom. When they are leaving, everything has been slowed down. The cafe here currently caters to far fewer customers. It leaves developers to debate kurdistans future. Businesses need political stability to run. Then, we will be taking over business and the whole reason best region. But stability may not return for some time. From erm marx joins me bil. Can you jell me about the development is there regulation or government funding . I think it is fair to say toucht is a light regulation environment here. The city has been exploding over justast three years, even four years ago. So many more highrise buildings you were seeing on the skyline. A lot of the funding for the the larger of a structure projects come from the government. But these businesses have made their money with the u. S. Military was in this region. They started off supplying generators and building camps for them. They have diversified, and now they are doing very well as real estate developers. Any of the businessman that you have met in kurdistan, that they expect that they would be facing this kind of situation . No. It is a question i asked quite a few people that i have met over the last few weeks. No one said they would expect to see these guys in their doorstep. They were operating businesses outside of the city. Within the Islamic State 20 or 30 kilometers of their business made it very difficult for their staff. A lot of them were leaving, heading to turkey. Trying to get those businesses back online becomes a challenge. It was a big surprise. Based on conversations you have been having over this past week, what are the challenges of running a business in iraq currently, even when you discount the violence . I think one of the big problems is political uncertainty. We have that here for over a decade now. Dealing with government projects in particular where you have to deal with different political parties. To figuret confusing out who you should be line offer pandering to. Trying to figure out who is going to be a person on your side, if you are going to invest a huge amount of money, will government pull a lot of money out from under you . Theyre having to invest in these projects with large files of cash. Willem marx reporting live from iraq. Good travels, we will see you here in new york. Islamic is on for the extremist to brutally murdered american journalist james fully. Foley. Looking athas been the clues left behind. There is a trail to follow. Absolutely. It starts with a video of james leys horrific murder, and the militant who carried out the killing. Says he french hostage may recognize that man. The hunt is on for jailer john. To Law Enforcement officials, including a former cia case officer. He told me that technicians are going to be scrubbing a video for any metadata left behind. Specifically, looking for a timestamp, and other identifiers on the equipment used to shoot the video and upload it. To know who may have download the video right away. They could tell them something as well. Next they will focus on the production in the background of the video itself. They say the panorama cinema style shooting in broad daylight is most distinctive and bold on the part of the terrorists. They werent worried about being spotted from the air. They werent worried about a drone. That tells us something. Buzzer at and the the desert background, says to him that he was killed in syria. Landmarks, weather conditions, anything that can ident by the time and position of his murder could be important. That could be critical in the manhunt Going Forward. The biggest clue of all on the video is the voice. Citizenis an american of your country. The British Voice with a slight accent suggests a linguist to a linguist that this person is likely from london. This could be matched up against audio databases in the u k and the u. S. It is not a shoe thing. A sure thing. The voice ine that the manner the video may not be the same person. The executioners face was covered. Anything they can do with those images . Difficult. But not impossible. He says Intelligence Analyst will go over every single inch of that image, the physical appearance in particular. No chance for a match, given the distance from the camera. But the eyes could lead to a facial recognition match if british authorities have a passport picture in their database. Maybe it could be a match on those guidelines. The as can provide best the provide 70 of the info you need. How is his murder change things for the United States . Weve not had a specific policy change. Certainly change the debate here in washington. The tone coming from the administration an example, listen to chuck hagel yesterday about the imminent threat isil now poses to the u. S. Are beyond just a terrorist group. They married ideology, a of strategic and tragical military prowess, they are tremendously wellfunded. This is beyond anything that weve seen. Again, the debate continues today, even the National SecurityCouncil Spokesperson speaking in Marthas Vineyard in the last hour or so, being asked about whether the u. S. Would consider airstrikes in syria to deal with isis. Again, not ruling it out, but is not u. S. Policy. Peter cook, thank you. Join us on monday, we will follow the latest on the Islamic State and the air strikes in iraq. Director ofner, special projects at the supergroup, and former cia case officer, will join me from savanna georgia. Thats coming up on bottom line. When we continue, we will discuss the fed chair Janet Yellens remarks in jackson hole. Janet yellen speech kicked off the jackson hole some posing. Her message or is still slack in the u. S. Labor market. Chief advisor to ollie ounce, and a columnist for bloomberg view. He joins me from california. What was your take away from chair yellens comments today . Did it do enough to satisfy the market, and to give transparency to the debate on the open market debate . Ncyagain with transparen on one thing. As mike mckee said, that is a key input into the future of Monetary Policy. Very good for working around the next corner and seeing how complex that is. The good for looking around corner after that, which has to do with Financial Stability and the global applications of what the u. S. Is doing. How much weakness remains in the u. S. Job market, and what the economy needs right now to achieve maximum employment . The biggest weakness is the failure of wages to respond. As jenny ellen pointed out today, all other indicators are stunning to move. We saw that in the minutes that were released two days ago. What hasnt moved his wage growth. That remains the big puzzle if you like. It is important to achieve wage growth. In terms of how you do that, that is a big issue. I dont think Monetary Policy is enough. I think you need other policy, andtural or in particular unfortunately, they are paralyzed by this function and commerce are now. You mentioned wages. If they do begin to rise at this point. Would inflation rises well . There are two times of inflation good inflation and bad inflation. Wage growth in todays environment essentially good inflation. We do need good inflation in the system. The issue is when does it come and how quickly does the fed respond . Janet yellen said if progress in the labor markets continues to be more rapid than anticipated, and Interest Rate increase could come sooner than currently expected. And further increases could be more rapid. What type of progress does the fed need to see before it starts to raise rates . She wouldnt be specific on that. And for understandable reasons. And even other federal officials, including the ones that spoke with us today, didnt want to be specific. There is a good reason. While the tone of the fed is moving towards a more hawkish tone and we saw that today. There was a lot of disagreement within the fed as to the details of policy. No one wants to commit themselves to anything specific at this point. Im speaking to the former ceo of pimco. What happened to the coordination wheezed to see from the world centralbank . Some have lowered Interest Rates this year. But rates were raised in places like russia and south africa. Is this a cause for concern . It is certainly a major change. I call the multispeed world of central banking. Central banks are no longer on the same side anymore. In fact, just look today. This morning, Janet Yellens main challenge was how quickly should she lift her foot off the accelerator. Draghiw minutes, mario will be talking, and he has the opposite issue. How much should he step on the accelerator, and when. We have these competing paradigms happening. I worry that because other policies are frozen, that will result in a lot more volatility in the effects markets, and more generally. Speaking a volatility, lets continue on a geopolitical track. Nato said it is seeing an alarming buildup of Russian Forces near ukraine. There was also reports of Russian Forces in ukraine firing artillery. You wrote a recent column about this as well. Why should Central Banks be concerned about the situation there, and one of the Global Economic consequences of continued sanctions and said counter they should be concerned for three reasons. First, they cannot argue that they shouldnt be more sanctions because this is a political issue. They are out of the game on that aspect. Second, it is a queue mode of affect. You mentioned sanctions and counter sanctions. Every time europe and russia take a step, they keep getting closer to something i could push both into recession. Thirdly, this is the worst type of external influence on economy. It is stagnation. It slows down growth, and it contributes to bad inflation. Central banks are right to be worried. But there isnt much they can do about it. We have about 30 seconds left. I must ask people here in the United States day say this is happening over there. How will that impact me . House innnot be a good a deteriorating neighborhood. The u. S. Is linked to the global economy. We are going to recession if youre goes into recession, we will feel it here. In what way . Lower growth, and the fed will be forced to reconsider. The fed will realize it hasnt got the right instruments for the task at hand. O, and ar ceo of pimc columnist for bloomberg view, joining us from california. Always a privilege to have you on the broadcast. Thank you, mark. And on the markets update, next. Its 26 minutes after the hour, which means bloomberg is on the markets. Olivia sterns is standing by with the details. Good afternoon. Good afternoon. Lets get you caught up on where stocks are trading this afternoon. The market is pretty much flat. By 2. 5 points. Still trading just above 1990 after closing at a record high yesterday, the dow also little changed. The nasdaq is in the green up by. 2 . Cellulite cure it. We want to tell you about coffee. Craft controls the means the go out under maxwells coffee. Stock we are watching is dynegy. They sent our plant shares higher. The transaction will double, it is generating capacity. Will be on the markets again in 30 minutes. More bottom line, after the break. Welcome back to the second onhour of bottom line Bloomberg Television. Thanks for staying with us. We are getting headlines from jackson hole, wyoming, where European CentralBank President mario draghi is speaking at the fed economic symposium. Michael mckee is in jackson hole, and he joins me now live with the details. Mario draghi much more direct about policy and the ecbs intentions fan janet yellen was in her address earlier here today. He outlines the causes of unemployment talking about europe being struck by two recessions, one that began in 2008 with the financial crisis and a second one that largely involved the peripheral countries, greece, ireland, portugal, spain, and italy. Unemploymenten rates up to see the kelly high the has to he warns do whatever it ecb takes, saying ,he risks of doing too little cyclical unemployment becomes structural, and that outweighs those of doing too much, and there is excessive price pressures. He is not worrying too much about price pressures are not because inflation has been falling precipitously. That brings him to another pledge for the ecb to do more, acknowledging the drop in unemployment. The governing council would use unconventional instruments to safeguard the firm anchoring of Inflation Expectations over the medium to longterm. These are not new comments for mario draghi, but it is strong reinforcement of where the ecb is at this time. He says that as far as what the targetedlanned, there longterm repo operations he said, i am confident the package of measures we announced in june will give the intended boost to demand, and we stand ready to adjust our policies further. Does not say when, but Everybody Knows they are working on additional lending packages and some shortterm asset packages. He said those are proceeding nicely. He concludes that a very strong call for european governments to do more physical work to lower taxes and reduce structural issues, turn to build european economies on the fiscal side. He said there is a risk that Monetary Policy cannot do enough. Michael mckee joining us live from jackson hole, wyoming, thank you. With trish regan is coming up. She joins me with a preview. We have a packed show with you. We will talk about Central Banks around the world. Mario draghi, of course, in the fed. We will target of the relatively flat today. Ebay saw big gains yesterday after the paypal news, following a report of carl icahn and his campaign that has encouraged ebay to do exactly that earlier this year. To see quite a push these split off from each other, ebay being one company and then another. And panasonic. Yes, the chief Technology Officer from panasonic will be on. Scoreboardstalling in sporting venues across the country. We will talk about the Technology Behind all of this. That is coming up at 3 00. All right, that is at the top of the hour. Thank you. Coming up, a u. S. Court calls argentinas latest move to settle its debt illegal. We will look at what argentina plans to do next to settle its obligations. Bottom line continues in just a moment. Welcome back to bottom line. Take a look so we the most notable newsmakers from this past