he lost his temper a lot, but when he played bjorn borg, he never lost his temper once. david: i never really knew john mcenroe as a tennis player, but when i practice law, the office next to mine was held by man named john mcenroe senior, and he always said his son was a high school tennis player, but then i finally realized he was not exaggerating. [laughter] david: let's talk about golf. a man named tiger woods came along and you signed him up relatively early in his professional career, so was that hard to convince him to do this? phil: tiger woods, you could see him coming from way back, three u.s. amateurs in a six-year span from the time he was 15 to 20, so he would play occasionally in the portland area and we would always invite him and his father out to lunch, so we were working on that for three years before we sign him. david: when you signed him up, he wears your shoes exclusively, but then you begin to make golf equipment as well, so you make golf balls and golf equipment, but now you are out of that business. is that because you want to focus on shoes and

he had a bad temper. but i always remember that arnold palmer had a bad temper. but he would keep it in control. you see him standing there ready to lose it and john went over. that didnold palmer not keep it in control. he was probably the most exciting player of his era. it was just that he was so intense that it would get away from him some time. he lost his temper a lot. he never lost his temper once. >> i did not know john mcenroe the tennis player but the office next to mine was held by a man named john mcenroe, senior. he told me his son was really good. you always roll your eyes and i realized he was not exaggerating. .o let's talk about golf a man named tiger woods came along and you signed him on relatively early. was it hard to convince him to do this? tiger woods you could see coming from way back. from the time he was 15 to 20. occasionally in the portland area and we would invite him and his father out to lunch. so we were working on that for probably three years before we signed him. sign him up, he was your shoes exclusively. you also began to mak

phil: he had a bad temper. but i always remember that arnold palmer had a bad temper too, but he would keep it in control. you could see him standing there ready to lose it. john went over. he was arnold palmer who did not keep it in control, but he was probably the most exciting player of his era. in private, he was a perfect gentleman. it was just that he was so intense that it would get away from him sometimes. he lost his temper a lot, but when he played bjorn borg, he never lost his temper once. david: wow. i never really knew john mcenroe as a tennis player, but when i practiced law, the office next to mine was held by man named john mcenroe senior, and he always told me his son was a high school tennis player and was really good, but then i finally realized he was not exaggerating. [laughter] david: let's talk about golf. a man named tiger woods came along and you signed him up relatively early in his professional career, i guess at the beginning of it, so was that hard to convince him to do this? phil:

temper once. and i think he played him 25 times and he never lost his temper once. david: wow. i never really knew john mcenroe as a tennis player, but when i practiced law, the office next to mine was held by man named john mcenroe senior, and he always told me his son was a high school tennis player and was really good, but then i finally realized he was not exaggerating. [laughter] david: so, let's talk about golf. a man named tiger woods came along and you signed him up relatively early in his professional career, i guess at the beginning of it, so was that hard to convince him to do this? phil: tiger woods, you could see him coming from way back. that he had won three u.s. juniors and went on to win three u.s. amateurs in a six-year span from the time he was 15 to 20, so we -- he would play occasionally in the portland area and we would always invite him and his father out to lunch, so we were working on that for three years before we actually signed him. david: and when you signed him up, he

temper once. and i think he played him 25 he never lost his temper once. david: wow. i never really knew john mcenroe as a tennis player, but when i practiced law, the office next to mine was held by man named john mcenroe senior, and he always told me his son was a high school tennis player and was really good, but then i finally realized he was not exaggerating. [laughter] david: so, let's talk about golf. a man named tiger woods came along and you signed him up relatively early in his professional career, i guess at the beginning of it, so was that hard to convince him to do this? phil: tiger woods, you could see him coming from way back. that he had won three u.s. juniors and went on to win three u.s. amateurs in a six-year span from the time he was 15 to 20, so we -- he would play occasionally in the portland area and we would always invite him and his father out to lunch, so we were working on that for three years before we actually signed him. david: and when you signed him up, he wears you

he lost his temper a lot. i did not really know john mcenroe as a tennis player but when i practice law, the office next to mine was held by a man named john mcenroe senior and he always told me his son was a high school tennis player and was really good. i realized he was not exaggerating. let's talk about golf. a man named tiger woods came along. you signed him up early in his professional career. with that hard to convince them to do this? phil: tiger woods, you could see coming from way back. he had one three u.s. juniors and three amateurs and a six-year span. -- he would play in a foreign area are and we would always invite him and his father to lunch. we were working on that for three years before we signed him. ,avid: when you signed him up he began to wear your shoes exclusively russian mark --? businessre out of that . is that because you want to focus on shoes and other types of equipment? money for 20 years on equipment and balls and we realized next year was not going to be any different. so we go

they pray that the inflation andctations must improve there seems to be a temperance coming. is the euro fully priced? priced? >> you have ande a little bit cautious that will bebate reduced over time and i wouldn't be surprised to see a different sequencing in the policy. >> great to see you. by the be joined spending commissioner for more on the banking story. >> clear and present danger. the u.s. confirms an intercontinental ballistic missile. >> looking for crew -- looking for clues on when the central bank starts shrinking the balance sheet. andhe deadline counts down cairo posts a meeting of the block later. >> the german chancellor posts the president. .> a warm welcome to use here i am manus cranny. we're looking at how the market we pricedopen and some of this into the markets and we saw this yesterday continuing to be a bit of a story. >> these are the lines that talk risk and geopolitical worried about a lack of progression and there is the splendid isolation and the personification of where it ends are. we rallied in the first quarter gold as anes undernce cover a

that is a bit of temperance on that. anna: that is one of the corporate's. let's have a look at the broader market. . your stocks 50 is down by -- the euro stocks 50 is down by 8%. there are a host of individual earnings stories behind that move. we had 85 of the stoxx 600 are reporting. the bund yield, you can see some movement. 53 is where we trade on the german bond market. manus: this is awesome like -- ozram licht. making iris scanners for smartphones. great to have you with us this morning. momentum.ding to this samsung are telling the world they expect to see more spending going on, more capital expenditure on the chips part of their business, your third profit -- quarter profit beat. take us through the quarter. ingo: thank you for having me. we delivered a solid quarter with their growth for osram. if you went for a special pre-buying situation the underlying growth is north of 8%. the profitability on an adjusted andda level was positive cash was positive despite a much higher capital expenditure level went can -- compared to a year ago. we expect

i think what draghi fears is that we will see a repeat of the temper tantrum. that's why i think in his jackson hole speech at the end of august, i think he will try again to send a clear message that they will be gradual, the they -- that they will be patient, but the time will come soon to remove accommodation. i am not sure the markets will take this smoothly. we will be talking more about your business as well, and the possibility of a slowdown, recession coming in the next several years, and how you adjust your folio for that. more to come. this is bloomberg. ♪ mark: senator john mccain says the revised health care bill today, "does not include the measures i have advocated for," and he intends to file amendments raising -- with concerns raised by arizona. are not able to reach a consensus, the senate should return to regular order, hold hearings, and receive input from leaders of both parties, and introduce a bill that provides americans access to affordable and quality health care." the latest changes are geared toward increasing access to bare-bones p

charles: i temper myself when i because there was segregation involved in it. black people wanted to be separated but white people didn't want their children to go to school with us. it wasn't a negative. we had history on our side. it was the oldest school in that area. we came into spaces carrying that, understanding that whatever kind of history you have, or your school, whatever, what you think it is, i have 100 years of amazing black people doing amazing things against all of the odds, and they are on my back, and i am on their shoulders. that idea, i carry all the time. if they could do that in the what isf nowhere, then impossible? i could not get over the idea that something could be impossible to me. it did not make sense to me. william: that was reinforced by went,to grambling, you you said the entered -- in 4 -- you said that reinforce this idea. charles: i wanted to run away. william: what did you go to -- want to go to? charles: i wanted to go to william & mary. i don't know why i had that in my mind. i got a brochure. i never applied. it was someh

senate this afternoon -- the house of representatives is set to vote today on temper sanctions against russia, limiting the ability of president trump to lift sanctions unilaterally. joining us for the latest from capitol hill is sahil kapur. how did this bill come about? just focusingfrom on russia to include these other countries as well? sahil: initially, the bill was about russia sanctions and iran sanctions. it ran into a bunch of unexpected hurdles. sail throughed to both the house and the senate, but it ran into an obstacle, a procedural one in the house called the blue slip issue. the house republican leaders said it doesn't comply with the constitution. over time, it expanded to --ctions around north korea i spoke with bob corker moments ago. he says that was not quite agreed to in the senate. he sounded a note of skepticism about that, saying it won't pass the senate as a result. the senate is more likely than not to take it up. there was initially some protest from the white house about having its own hands tied in pursuit of relations with moscow about being able to unilate

. >> the may 2013 temper tantrum still haunts central bankers. the backpedaling from the meeting was very visible. this is a very delicately worded structure. dateid it was an autumn and would give us further guidance. nevertheless, tiptoe he will. quite a lot of uncertainty and i don't discount another. >> bloomberg has learned robert miller is the special counsel investigating donald trump's campaign. possible ties to russia and out examining a broad range of transactions involving the president's businesses and some of his associates. give us the details we know for certain. >> we know that bob mueller is looking at a lot of transactions that involved not president trump but developer going back at least a decade or further. anything going into russian banking for trump apartments, miss soho, the 2013 universe pageant in moscow and the sale of a luxury property in palm beach almost 10 years ago. >> the legal authority that bob mueller has is very broad. the language says words to the effect of matters around the russian campaign collusion ques

peter: tempers were raised, nerves were frazzled. they said, this is crazy. we should take a break, gather ourselves, rejuvenate, talk to constituents. so they put this in. from the beginning of august through labor day, they are off. you always get some puritans saying, no, we have the people's work to do. oliver: speaking of vacations, and the pursuit section, a five star resort in thailand. carroll: and it's a must visit for elephant lovers. >> a lot has been in the news recently about elephant tourism. being not a good thing to do. you spend your money on, to go to places where you can ride elephants because elephants are not treated well in a lot of these resorts. in africa, there is a lot of poaching. in asia, where this resort is, there are a lot of elephants held in captivity and becoming street performers. mistreated. anyway, this place, as you said, does not do that. >> it was created 15 years ago as a sanctuary for mistreated elephants. and of the elephants there are rehabilitated. you can interact with them in a way that is not cruel. carol: so, h

although my optimism is tempered right now. we came into 2017 extremely optimistic. 2016 hadquarter of $500 billion of mna deals coming into the quarter. and coming into 2017 with that optimism we were disappointed. we had about $600 billion in the full first half of 2017, which is up a little bit from the first half of 2016, which was also a bit slow. volume, number of deals is down substantially. so, you put that in context with a very high stock market, which makes people a little bit nervous. will it maintain, continue to run? it creates high valuations. combine that with the real acertainty created by trump's parent, so far, inability to get his pro-business agenda enacted. one could start to feel a little bit pessimistic. >> is your pipeline i just into that -- adjusting to that, maybe the demand will not be there? or in other words, the buyers are another. john: i was a sort of the demand is always there, because of the dramatic amount of cash that both corporate and pe firms have, as well as the requirements of both pe

was an agreement the qataris were going to stop supporting the brotherhood and be more cautious and temperate in what they used al jazeera for. the contents of that secret deal were made public, and his that it wasaudis correct, which means they leaked it, probably. these countries have had serious problems with qatar. charlie: so why does qatar do it? because they want to play above their weight? they also do it because they have a lot of money. they feel it we are the junior party here. ian: partner in the region. that's right. that's been the case very long time. they feel like balancing and hedging between the iranians and other -- charlie: and the gulf countries at the gcc also feel like al jazeera had been on the one hand stirring up things against their own autocratic power. ian: correct. with the exception of al jazeera's treatment of qatar itself, pretty much everything else in the region, if they see something else in the region to criticize, they can. have seen the muslim brotherhood as the future of the region. even though they are a monarchy, they think long-term the monarchies a

to the extent that trump doesn't need china to help him execute some kind of temperance on north korea. as the days go on, as the tweets come out, it's almost as if he is focused on a unilateral solution, his own solution for north korea. absolutely. that's the most important point is that the world is focused on but thep-putin meeting, other meetings are much more important. indeed, donald trump held meetings yesterday with japan, and south korea, to try and put a little bit more pressure on china in order to the escalate the situation in north korea. and as far as erdogan is concerned, he says if he is not allowed to speak at rallies, it would be german suicide. take from that what you will. manus: matt, thank you very much. j foley is on the ground here, currency strategist at robert bank. 54 hours ina punchy terms of news flow. g7's,ou go into g-20 and how do you go in with risk? is that just to bunch at the moment to carry into a big meeting like this? guest: it's been so used to political risk, which this is all about. with respect to risk, i expect you get to the yen and north k

people say, wait a minute, let's have somebody like emmanuel macron, somebody who is more of open inte, temperate, thinking, and we will say, yeah, we went through a time of poison and divisiveness, so let's try being sensible again. a lot of candidates in both parties are of that ilk. my own personal belief is the country is not quite there yet. i know we will see it in the next 4-6 years. julia: something that has been pivotal in many of these election campaigns is the use of social media and technology. i want to ask you about artificial intelligence. i know that was talked about as a theme. i want to get your views on whether we are talking about algorithms, autonomous driving, big data. how do think ceos need to adapt to embrace this technology, and is there an inbuilt reluctance to appreciate the impact from a positive or negative point of view? questions such a good and it reminds me that we have spent a lot of time in the past couple of weeks talking about it. these are the types of questions our country should be addressing instead of the poisonous partisan things we are. the main questi

manus: i can't remember the analogy, essentially a replication of a temper tantrum. i zoomed in on the bottom of your note. you talk about a reduction in qe starting in january 2018, although a rate hike remains a possibility in december, but we may have to wait until later on 2018 for that. why do you think there could be a rate hike before the end of qe , and are the bond markets remotely prepared for that? holger: first of all, it's fairly unlikely that the ecb does anything on rate this year or early next year. if you think about the seat, if the economy were to do so well that cb would get really restless, which is a risk given the numbers on confidence in growth, that what would the the easiest compromise for the ecb, and that is probably doing from -04 from minus zero 25. they don't like negative interest rates, to put it mildly. and that is something that inually would not slow down any way the euro zone economy. you could argue that it -- the slightly less negative deposit rate might be good or many banks, the financial sector. it would mean the economy does

whether this temper tantrum will deliver this correction or not remains to be seen. there is now good value to be had in europe. was wrongly oversold last week. the only reason draghi is sounding more optimistic is because of the eurozone rates are picking up. we still like japan. japanese yen continuing to do the right thing by japanese exporters. that is helpful and still a bit cautious on government bonds. haidi: it sounds like nothing changes in terms of macro fundamentals in terms of policy going into the second half. you have this convergence and tightening but it is going to be excruciatingly slow. everything continues to rally? >> it does, you really worried are goingal banks from neutral. we have been talking about a sitting from ultra monetary policy. qe andey start unwinding then the stocks are up and then you see them reversing some of the qb. -- qe. is gradual andll the economy is improving. in europe they will start talking about it and then do something. monetary policy in four years time still relatively easy. haidi: the key unknown is still china. it

europe from mario draghi seems like the elephant in the room, whether he will announce anything or temper the taper tantrum we have seen in europe that is dragging treasury yields higher. mark: europe is fundamentally behind the u.s. by two or three years. we are seeing the announcement of eventual taper by the ecb. that will likely not happen until next year. any rate rise in europe is probably two years away. we are seeing this consistently around the globe. that because the global growth is decent, the private sector -- because financial conditions are supportive of markets, this allow central banks to eventually reduce accommodation. they are doing it primarily from reducing the balance sheet. what they are not doing is aggressively raising rates. that is because central banks around the world are embracing the slower neutral rate pimco has been talking about for years. low inflation is meaning these short rates can stay lower longer. that is why bonds around the world are being supported. yvonne: you mentioned foreign appetite's on treasuries. but it seems it has been waning when it

do we have to handle around whether this will be a tempering program down to zero or whether to 40-- we take it down -- those are two of the options that we have heard. is the council -- you can do this and then decide. this is what may happen today september and in the council will decide. from thea long way council. i find it plausible that these you have never discussed the possibility of tapering. of course they have. no one think thing you could -- there is a complete understanding of the options on profound and a very effects. this is completely clear. we are talking about the governor and council which it probably isn't because you have a lot of governors -- -- you think about president draghi. nervousness.t the who is more nervous? the guys in the driving seat or on the other side? >> the investors for sure. people talk.r you say things. they hop up and down, but at the end of the day, remember they are about providing stimulus price for the economy. volatility is within reason and they wonder tremendously about. get thatle you talk to very well. >> is eric nelson going to lo

do they see more tempered? they have been communicating so much over the last couple of years that they can't stop. that would give the markets a bit of a shot. draghied to find what once from the market and how he work in hisket to next few moves. we will start to talk about tapering and moving rates higher , they be that is sometime next year. i would expect more and more for us to hear from the ecb. they are very adamant they don't want to take more impact. they want to push the market in the direction they feel most comfortable with, which is smooth from the low bond yield. that could be a challenge for them. francine: it's certainly good. need to offeryou to get some of his more controversial policies through. we will discuss that next. tune into bloomberg tonight at 8:00. willsteel and matt miller host the boston pops fireworks spectacular. this is bloomberg. ♪ francine: this is bloomberg surveillance. let's get straight to the bloomberg business flash. nejra: the deal to take over the failing bank will

we looked back at the 2013 temper tantrum this morning in a report because the market seems to be trading on oh, what's going to happen? bond yields are going higher? we've had a sell-off in the 10-year note. back in 2013, we had more than 100 basis point selloff and it created a lot of volatility and worry for in investors. but the one thing that saved was it reinflate expectations for economic growth going forward and that helped overcome the rising borg cost evident by increase. so this helps a lot. alix: earnings are going to off with j.p. morgue on friday. but my question was this that unit labor cost a month ago, we would have been having a conversation of what is going to happen with them? are we going to see an increase? is that still going to be the conversation? ritter may be the conversation but it's not the reality. what usually happens cyclically is sales growth improves and that improves the labor costs and you see margins remain higher and higher and higher because that sales growth rate goes higher. they're passing it along. they're not spontaneously increase wages to keep

expectations for a weaker yen have been tempered with the federal reserve showing a dovish stance to rate hikes them before, and corporate earnings, expectations have been high. if earnings come in on par with expectations, investors believe forill not be a huge driver the overall market, though it could push up individual stocks. why are some investors still overweight on japan then? >> it has a lot to do with violations and earnings. topix is still 14 times, europe 16, and the u.s. at 19 soes estimated earnings, japan could look cheap, even though it has been rallying recently. 130% over five years, but has hit a snag recently. what would bolster japanese equities? short-term? >> in the near term, the yen. towards theple look yen for cues because it could boost stocks, but for the the-term, going back to discussion over abe it's important that the government push for reforms stays over the long run. that is what foreign investors look towards when they look for long-term investment targets, better corporate governance, efficient management, and more profit margins. arrow we'vethird

happening soon, which is potentially keeping july on the table but also likely a reference towards the temper. david: did you read what lael brainard was saying as a difference between raising rates or raising balance sheets without having much effect on the strength of the dollar? it is him of free shot but rates may be a different matter. stewart warther: it has something to do with the signaling effect and if you tell the market it is not a big deal, hopefully it won't he of the deal because it is unprecedented territory. no other central bank has undergone such a significant tapering after such a long period. they are setting up the market to not react but at the end of the day, we will see where that goes. the key concern will be something like a taper tantrum but if you look at the s&p overall, the impact was not that great. it was really on emerging-market equities and growth year equities, not necessarily the large-cap stocks. alix: what is the level on the 10 year that if the search for yields to unwind? stewart warther: i would say anything over 250. if it keeps going lower, really

the ambitions of being a global investment bank on par with goldman sachs, jpmorgan, those have been tempered a bit. there is a retrenchment back to germany, basic principles. i guess you could call it a regrouping, but that is an important part of this turnaround strategy that he and his team have unveiled in the last few months. ed robinson.ou, really enjoyed reading that story. if you have a bloomberg terminal, check us out online, check out our charts and graphs, interact with us directly. this is bloomberg. ♪ jonathan: futures are bit and the earnings look solid. here is the picture of global equity markets. we are up six on the s&p 500. how many beats have we had this morning? mcdonald's, eli lilly. alix: you said mcdonald's. raising guidance, too. we have seen a lot of guidance raised. is the story. elsewhere in the bond market, let's get to treasuries. bonds slip, yields higher by four basis points. 2.29 on the u.s. 10-year. german business confidence flying for a sixth straight month. german business climate index climbing to a record high. here to take us through what to expect in