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tv   Bloomberg Markets European Close  Bloomberg  May 3, 2021 11:00am-12:00pm EDT

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johnson and alix steel. ♪ guy: it is the european close. vaccinations mean vacation. the european commission in brussels proposing easing restrictions for tourists that have had their shots. europe puts a double-dip recession firmly in the review mirror. today, and you factoring pmi data delivered to highest print in the wendy for your history. some wind turbine stocks unwind, one of the biggest losers on the stoxx 600. let's take a look at the markets. london is out today. it is a national holiday. as a result of which, we are seeing light volume. nevertheless, we are on the first trading day of may, and we are certainly not going away. the stoxx 600 is off, and the
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euro getting up -- is up, and the euro is moving higher. alix: it was a mess, but it is still very -- a miss, but it is still very strong. the question was the price is paid, coming in at 89. that is permeating that whole margin, inflation thesis. a couple other things i wanted to point out, biotech index is flat, but one of the outperformer's is moderna, biontech. modernity is going to be giving a lot of vaccinations to covax, which is going to help vaccinate the emerging world. verizon with that very big deal to offload its media assets to apollo. it enabled them a little more flex ability when it comes to the 5g network. not a ton of movement there. i already mentioned the 10 year. and corn up by 1%, but we are basically looking at cornet the
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highest levels in about eight years. brazilian crop has been revised lower because the super cycle could still be in focus, which leads to the margin story, which leads to potentially weaker equities. guy: absolutely, but not yet. let's talk about where we are in terms of the recovery here in europe. it is gathering pace. last week we were talking about the double-dip recession. today, that is firmly in the rearview mirror. today's manufacturing pmi data jumping to 62 point nine. that is the strongest number for that series, and these are the final numbers, and 24 years. this is the best number we have ever seen. in terms of what does that mean in terms of the european ketchup trade -- european catch-up trade, we have been talking to a lot of our guest about that. >> europe has been one of the best places in the world in terms of equity markets. europe is cheap, it is how you
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-- it is value. >> we do expect that cyclicality in europe to provide stronger returns over the next six to 12 months. >> but we have seen is certainly the interest in and the flows into european equities have been reasonably strong as of late. >> that catch up trade potential could be quite lard. -- quite large. >> with the improvement in the european economy, competence from investors, consumers and so forth, i think you will see an uptick there. the question is how much of that has already been priced in. >> the challenge for europe is that when growth is firm in europe, that doesn't necessarily always mean that equities will do well. you could still believe in your catch up trade, but it is not necessarily an equity story. alix: i really don't thing i say the word catch up -- the word catch up -- the word ketchup,
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but ok. joining us now is lucy macdonald , jp morgan managing director. many are saying it is the catch up trade. when does that timing happen? lucy: even though you had quite a nice band, there is still more potential in the medium-term. as many guests have said, it is a more cyclical market. there's more industrials, more financials. this time around, the financials are surprising on the upside because they have put in good provisioning, which they are now unwinding. so you're getting a benefit of having that larger wait for financials -- that larger weight for financials. so that is that potential upside. but within europe, it is always the case of finding the right stock because many of the industrial stocks have got some
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very wide and dispersed revenue sources, so you've got to pick well. guy: how do you pick? what are you picking right now? where do you think the opportunity is? lucy: i do like industrials in europe, and i think in some areas, automation, software, all of that area has got some good medium-term potential to it. environmental technology i think is also interesting. the other area where i do think you've got some good medium-term potential is within health care. again, you've got to be extremely selective there, but where you can find some diagnostics tools, some of the areas within services and technology where you have actually had a real
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turbocharging of shifts toward that through the pandemic, those are areas which are of interest. alix: that is the sector breakdown. what about on a regional level? is it the time for a spain that has underperformed, or do you kind of by what has been working? lucy: within europe and globally, i have always looked at, particularly within europe, very much stock specific rather than country specific. so looking for those areas where you've got good topline growth in the medium-term, beyond this immediate recovery, where have you got good topline demand? that should always be the driving force when you're looking at equities. they are growth assets, and they want to see medium-term growth potential. we go about finding the right companies and sectors, so that is really what has always driven
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finding the good potential medium-term growth and the quality of the companies which are investing. guy: how much of this is already priced in? we have just seen cracking pmi data for the industrials. we have seen generally a really solid earnings season, and yet equities have just gone sideways. i appreciate we are near record highs, but nevertheless, neither of these two factors seems to have been a catalyst. lucy: devaluations overall, there really isn't much absolute value. it is very difficult to find. the only attractive way of finding some upside is looking at the equity risk premium. the growth liquidity, that is the biggest driver. you've got this huge upside in earnings at the moment, and the issue there is are we peaking on
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momentum in earnings. those pmi data in europe and the u.s. is so strong, it is going to be difficult to get much stronger. so we are singing about the recovery in the earnings moment. alix: which leads us to think of what can lead that momentum higher. do you see insufficient fiscal support in europe or sufficient? how is that priced in? lucy: it is more positive than it has been for a decade. the shift away from austerity is clearest in italy. these are all of the fiscal restraint that has been completely shifted, so i think there's more potential for fiscal support in europe and
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there's been for decades, and they need is there for it. the monetary stimulus is also there. so once the vaccines move their way through the various countries that are being dealt with nationally quite differently, i imagine you will see that big recovery and demand that we have seen elsewhere, so it will be more protracted, but i think there is good support there. guy: when you talk to investors, do they believe? i've heard the european story before. i've heard it many times. i'm wondering why this time could be different. lucy: i think it's true, and it's right that there is skepticism because there are times that europe has lagged. it is quite possible to find in a concentrated portfolio was to what you need in either the u.s.
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or asia. so often, europe can get overlooked. but there's some very good companies within europe, in technology, and as i said, industrials. that combination should yet us a decent cluster within europe, and i think health care as well has some interesting companies, too. so those particular areas, i think europe should be able to certainly find its corner. but as far as whether you want to be in europe -- i think it is very. alix: thank you very much. we appreciate it. coming up, a summer vacation stroll in the streets of rome or the beaches of mallorca, ok. we will take a look at europe's plans to reopen its borders with scott rosenstein,
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eurasia group special advisor. this is bloomberg. ♪
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alix: live from new york, i'm alix steel, with guy johnson in london. this is the european close on "bloomberg markets." europe really wants to welcome back travelers. the european union is proposing lifting restrictions for those who are fully vaccinated. ursula von der leyen tweeted about it. "if variants emerge, we have to act fast." you can imagine what she is thinking. we welcome now bloomberg's maria tadeo. walk us through the technicals of this. how are they trying to set
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something up that will work? maria: what they are hoping to do for the time being is to send a clear signal that tourism will be back, and that europe can reopen in december. this is first southern european companies that have been asking for this for a while. the commission says that in a few months, if you are able to prove you have been vaccinated with an eu approved vaccine, then you could come to europe and have a holiday. there are things to watch out for in the future. one will be reciprocity. the european union always factors in all of its decisions. secondly, this is a political decision that is probably not going to come until the end of the month which means you are
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running very tight into june, so that leaves you with -- leaves you with three months. guy: is this a political or an economic decision? from what i hear, there are many in southern europe that are desperate to get tourists back. you talk about reciprocity. there is a need to get people into countries like italy and spain and portugal and get them spending money again. is that what is driving this? there's huge pressure from southern europe to make this happen. maria: it is probably a combination of both. there's clearly been pressure from the tourism industry. this is a very powerful lobby in some countries saying that we need to reopen. last summer, it was a disaster, and we are not in a position to do this again. it would be very detrimental. but it is also factoring in the economics of this, the idea that europe feels the vaccination
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campaign is getting momentum, it is improving, and if you look at what happened last year, they should be better, so that means europe should technically be in a better position. guy: maria, thank you very much, indeed. maria tadeo updating us on the latest from the european commission. let's bring in scott rosenstein, eurasia group global health special advisor. let's talk about the risks. reopening borders so soon after lockdowns in many cases are still in place, only starting to be eased back now. this strikes me as being a very fine balancing act for europe. how big are the dangers? scott: the political and economic pressure is obviously quite high with the summer season approaching. from the health experts' perspective, there's a chance you get a premature reopening that leads to a persistent
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lower-level outbreak with some localized hotspots. that is essentially what we are coming out of in the u.s. right now, so there will be a lot of attention paid to the transmission of the vaccination, the outbreaks. all of those things are going in the right direction now, but the rate to reopen could come a little bit prematurely, particularly because the summer season is so important. there is so much appetite for that reopening. alix: also, people have got different vaccines, so it is -- so is it part of allowing travel that individual governments have to approve the vaccine that you got? or is it going to be enough to say that your vaccinated? scott: a number of vaccines have been approved by the european medicines agency and the who. those will all likely fit into the vaccine passport. it gives a little more complicated when you start talking about the chinese and russian vaccines that have not been approved by either agency. it is going relatively slow, that authorization process, and there are questions around the efficacy.
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i think in that sense, you could see some political pullback. you could see some tension between beijing, europe, moscow and europe around this potential question on vaccination authorization for these passports. guy: do you think there's going to be volatility? we have seen obviously variants emerging in india, variants emerging in brazil. europe is not emerging consistently in terms of the speed at which we are seeing vaccinations being rolled out. how do you manage that variability? we talk about it as being one bloc, but it isn't. scott: i think it is going between bumpy, both in terms of the details in the rollout of the zacks yarn -- these vaccine passport certificates, bumpy in terms of the rollout. you will probably see some localized health care strain. that is going to create political and economic tension.
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then there is overall, this question on the variants. the short-term story on the variants remains relatively positive in terms of the vaccines, but the long-term question around at what point these variants start to really evade the vaccine and bring us back to the drawing board to talk about which vaccines are working, which vaccines you allow as part of the certificate programs to allow people to travel, that is probably not a summer story. that is probably at the earliest a fall/winter 2021 story, possibly even later than that. alix: in my circles, all of the adults are vaccinated, so now it is about the kids, and no one really knows what to do about that. we are vaccinated, but what do we do with the kids? guy: absolutely. i've got a 12-year-old. alix: right on the line. guy: how do you take him on holiday? alix: exactly. guy: do you want to take them on holiday? that's a completely different question. [laughter] but nevertheless, there are going to be some really big
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challenges here. i think one of them is going to be that kind of volatility you are going to see, and i think the other one is consistency in the rules and making sure that they are digital, they can't be forged, how it works properly. the guys at heathrow, apparently, are saying that they are seeing huge numbers of fake documentation, and they only spot them because they've spot -- because they spot spelling mistakes on them. alix: how do we handle all of that, particularly when it comes to families traveling, a lot of what we see with summer travel? what do you do when the kids are not vaccinated? scott: in terms of risk come of the first question you always want to ask is what is transmission like in your community and in the community you are going to. that drives down the risk for all behaviors. if you are coming from a place that is not having a lot of transmission, going to a place
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where there's not a lot of transmission, the risks are going to be a lot lower. all of that changes if you are seeing spikes where you're coming from or where you are going to. that is a big first question that needs to get asked. people want to treat it more like a light switch on and off. can i go there, can i not go there. can my kids, or can they not come. that is really what you're going to have to look for when you start to think about the risks of things changing while you are there or for some type of public health issues, people getting infected, passing transmission on. all of those things are going to be a moving target for the foreseeable future. guy: yes or no, would you get on a plane right now and go on holiday to europe? scott: yes, i would go. i am getting on a plane to go to senegal to do some research. that was postponed in march of 2020. but personally, i feel comfortable flying. i think it is going in the right direction.
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in terms of the behavior you undertake while you are in a plane, it is worth thinking about behavio in a little more incremental fashion, what kind of risk you are willing to tolerate. guy: scott, we really appreciate it. thank you very much, indeed. looking forward to finding out about that research. new york or senegal? that is quite a big difference there. alix: fair enough for that. this is bloomberg. ♪
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♪ ritika: it is time for the bloomberg business flash, a look at some of the biggest business stories in the news right now. i'm ritika gupta. airline and travel groups want the u.s. and eu governments to lift travel restrictions between the countries. they say there should be a reopening before g7 talks
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scheduled in june, saying travel could begin to reopen as soon as this month, but the white house has kept quiet. warren buffett says if he were to step down as ceo of berkshire hathaway, he would likely be replaced by vice chairman greg abel. berkshire's board agrees. abel is in charge of the company's noninsurance businesses. buffett is 90 years old. he has kept his succession plans closely guarded secret. verizon is getting rid of once dominant brands like aol and yahoo!. the wireless carrier agreed to sell its media division to an affiliate of apollo global management. the price, $5 billion. verizon will keep a 5% stake in the business. that is your latest bloomberg business flash. guy: let's take a look at where european markets are trading. the put some hundred closed for today. national -- the foot to 100 closed for today -- the ftse 100
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closed for today. national holiday here in london. we are seeing some of the esg- friendly turbine stocks coming under a lot of pressure today. it is going to be interesting to see exactly how that trade ends up. we are starting to see maybe some onshore hits coming through in terms of that business. the offshore business seems to be performing really well, but onshore, not so much. alix: i love how you're standing in front of the ftse. that is some good blocking. this is not trading. coming up, europe's biggest direct lending fund. we will break that down. how much money is going to flow into that space? this is bloomberg. ♪
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guy: wrapping up the monday session in europe.
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london is closed. it is national holiday in the united kingdom, as a result of which we are seeing a significant chunk of volume out of the market. we used to see a lot of volume coming through london. that is being reduced, which is going to be interesting going forward. today we are seeing lighter volume. the stoxx 600 is flirting around record highs. we are around the 430 level, 439, up .5%. we saw a bit of a dip this morning. we have stabilized. a tight range. may be indicative of the moment. today the data very strong. the industrial data, the pmi, we will talk about that in just a moment. the earnings coming in fairly solid. let's talk about the individual markets around europe, that includes switzerland. the dax, the cac, and the smi
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all up. you can see outperformance from the swiss market. let's bring into to the sector breakdown. let's talk about what is happening in terms of the rotation. we are still in the midst of earnings season, which is one of the key factors that does not seem to be the driver we thought it would given the strong numbers we are getting great every single sector is in positive territory. the car sector hit last week. we are into a new month. i wonder for cyclical narrative is starting to reassert itself? insurance up, real estate up. technology, banks, travel, and leisure. the recovery trade is datsun to be manifesting itself the same way. it is a bit more mixed up. the strong banks trade, which has been a key driver of europe underperforming a little bit as well. travel and leisure not doing quite so well.
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all of the turbine makers in europe had a pretty tough day. cut the top end of its range in terms of the guidance. more offshore than onshore where there being cautious. it did send shockwaves to the entire sector. coming down a little bit. investors taking a big hit. the sector rewriting a little bit on the back of the narrative. deutsche lufthansa, sounding fairly positive. the reopening of the north atlantic pivotal. and ursula von der leyen's announcement is certainly going to help that. if we can restart the north atlantic that will certainly help. tomorrow we will get rates. for ari -- ferrari will be out with numbers. interesting how this stock performs.
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having a fairly solid pandemic so far. the car sector has come back strongly. ferrari's business model working. management starting to stabilize. manufacturing pmi is where i want to finish. let's talk about the data. today's data is superstrong. this is the strongest number, this is the final read we have had in the entire series of this data. the data had been getting stronger. today the print we saw come the strongest number we see -- europe is starting to come back. interesting to see -- certainly from an industrial point of view the numbers look good. guy: -- alix: let's pivot off of that. how are you going to leverage that in the catch-up trade? joining us is blair jacobson,
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cohead of european credit at are s management. ares has raised 15 billion euros to create europe's largest direct lending fund. it is interesting to get the perspective because we talk about a catch-up potential in european equities. i wonder what it was like to raise this amount of money? blair: first of all thanks for having us. it was quite an experience raising the capital. when we launched it was may of last year. things were completely locked down. there was a lot of covid uncertainty. we were focused a lot on our existing portfolios. when we talk to investors the themes resonated with them. we offered interesting risk-adjusted returns that are fixed income and orientation. our strategy is quite downside protected, and we are finding interesting new deals, proving we can deploy in a tough market. guy: what type of companies are you looking at?
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have the types of companies you're looking at changed as a result of the pandemic? blair: it is a question. it is not a huge surprise that over time we are not focused on cyclicals. you will not find automotive and energy and high-fashion in our portfolio. we prefer businesses like telecommunications, health care, software. once with much more predictable revenue. certainly in a covid environment that has been even more important. alix: we have seen a bunch of $2 billion plus deals in the private credit market. is this siphoning money away from banks? how do you see the market? blair: it is a great question. i would answer that question two ways. we are in the middle of a long-term secular change away from the banking sector.
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covid represents the next challenge. that is creating a lot of opportunity for firms like ourselves to make loans to middle sized companies. we estimate our market share is around 50%. that was zero when we started 14 years ago. in addition, now that we've raised more capital we are more relevant to larger companies. we can be opportunistic and suit their needs when the timing makes sense. guy: how has the ecb, and other central banks have done this as well, the ecb continues to do it in size, the ecb has tried to force money into the system to provide companies in europe with the ability to borrow, not only in size, but at super low cost. can you walk me through the dynamic of what you are doing and how the ecb is impacting that? blair: the ecb funnels a lot of that capital through the banking
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sector. the one thing they have not addressed is the significant regulations that banks face. the regime has made it must -- much less profitable to make the same kind of loans we would make to companies. when we approach a business we can provide a complete solution, write alone from 50 million to 500 million, even a billion in some instances. banks cannot compete with that effectively. alix: when it comes to the u.s., it feels like the push is to take a look at this kind of lending and shadow banks. do you feel like there will be the same kind of movement in europe as well? blair: we believe our industry is many years behind that of the u.s. in the u.s. it is more mature. from our perspective we manage capital on behalf of sophisticated investors. we regulator -- we are regulated
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by entities like the sca. everything we do is out in the open. guy: to bring this all together, you talk about the market being behind the u.s.. can you quantify that for me? talk about the scale of the opportunity that could exist? blair: it is a great question. we estimate the u.s. market size is around $1 trillion. in europe it is $300 billion, although the data is not perfect. another way of saying it, we talk to about 1000 european companies each and every year. we make loans to 20, 30, or 40 of them. we still think there's a lot left to go. when you look at the market share of lenders like ares in the united states, is 80% or 90% where in europe is closer to 50%. alix: do you have certain
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sectors you feel are better opportunities? i'm also wondering how esg plays into all of this. it is a different kind of acceptance/motivator in europe than in the u.s.. blair: esg is incredibly high on our agenda. it has been a part of our credit process for many years. recently, what we have seen is the pandemic highlighted inequalities in our society which served to accelerate change. everyone thinks esg is the right thing to do for business. it is good business. what has changed is we have really realized we are the control lender in average yield -- in every deal. we have a lot of capital at risk and a lot of influence over our companies. we are trying harder than ever to make sure they have positive esg rules within their companies to make us all proud of what they are doing. guy: we will leave it there. thank you very much, indeed. blair jacobson, ares management
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joining us. good insight into what is going on. i'm starting to read more about whether or not esg is going to deliver in the way people think it is. people are starting to question all of the motivations behind esg. it is a powerful force in europe. i beginning to hear more of people looking to tease that apart. what does it do? how does that work? alix: you basically need a standard so all of the companies can report and say this is how we are reporting. it has to come from regulators. you cannot compare apples to apples. then there is the instance of is that a new company or an old company transforming, which will change the dynamic of pay report certain things. guy: it feels like we talk about it as this catchall. it is getting more granular and that is a healthy process. alix: totally agree.
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guy: there's a terrible joke in the introduction i'm about to read. i wondered whether or not you may have written it. alix: i did not. you want me to read it? guy: demand foundation of lip gloss, foundation. alix: hate lipgloss. guy: estee lauder doing really well. if you look at the e-commerce business and extrapolate that, it might be a positive story going forward. tracey travis will be joining us. the executive vp and cfo. this is bloomberg. ♪
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ritika: this is "the european close." coming up, medley co-founder at 2:30 in newk,0 in
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london. this is bloomberg. alix: talking lipgloss, foundation. estee lauder reporting a strong gain in sales. fell short of high street expectations. abigail doolittle with dig through the numbers. abigail: it is weighing on stock , down 6.9%. profits be in a big way. sales up 16% year-over-year. falling short of the 3.9 3 million estimate. that is what is weighing on the stock. it is clear pandemic trends are still weighing. in the americas it was a fairly solid mess along with asia-pacific. you can see with europe, the middle east and africa, a little bit of a beat. net-net up 15.5% versus the estimate of 17.8%. we were mentioning how it was
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clear that has to do with the pandemic. super strong growth in moisturizers and fragrances. makeup, who needs makeup if you are sitting at home. we see makeup on the decline. i think the hope is for the online business. today estee lauder having a rough day on these mixed results. guy: thank you very much indeed. let's talk more about what is happening. joining us for an exclusive interview is tracey travis, estee lauder executive vice president and cfo. thanks for your time. i wonder if the street got a little ahead of itself. in new york life is getting back to normal. in much of the rest of the world, it is not. did you think there was little home bias and expectations built in? tracey: it is possible that is the fact. our guidance, we beat our guidance for the quarter. when we did guidance we certainly did start to see some of the trends happening in western europe, in the u.k.,
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which went into lockdown in the quarter, and some of the concerning trends in japan. though certainly did affect the quarter. we had anticipated those in our guidance. i do think we are encouraged by what we are seeing in north america. we had a strong quarter in north america. that is where we beat our expectations a little bit. the pandemic is still weighing on global markets, on india, brazil in particular, which are quite challenged. we are seeing pockets of growth elsewhere. alix: to that point i should point out that apparently may 19 will be party time in new york city. most capacity restrictions will end across the tri-state region. do your point about other regions, when do you think we will get to pre-pandemic levels globally for those makeup sales?
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this is obvious leave me asking you when the pandemic will be over. tracey: if i knew, i would tell. our expectations are we will see gradual improvement as it relates to the recovery. again, we are seeing setbacks in a couple of markets, but other markets are quite strong. when we look at china, we look at israel, we look at australia, which are ahead of other markets in terms of their return to pre-pandemic levels, we see strong growth across all categories, inclusive of makeup. and we are seeing the face category come back, we are seeing lips come back, we are seeing mascara and eyes. we are seeing that recovery and makeup while skincare and fragrance, which have been strong performers during the pandemic continue to be strong. i do think when there is a resumption of social occasions,
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when there is a resumption of more professional occasions, when you think about the u.s., there is the expectation people will be going back to school, back to work over the next few months. those are opportunities for a recovery. guy: do you see an opportunity to raise prices here? tracey: as we look at inflationary pressure, we are prestige company so we have pricing power. as we look at commodity prices that are going up, transportation costs are going up. it is our expectation, as we do every year to raise prices. we talk a lot about the shortage of soap -- alix: we talk a lot about the shortage of supply across the board in 70 different industries. can you tell where you are seeing that now? tracey: in terms of our supply? alix: where are you seeing
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rising costs or shortages? tracey: we are seeing some pressure in transportation. in terms of our own supply, we actually have not seen any pressure on our supply chain related to components or any of the inputs into our manufacturing processes other than upward pricing pressure, which we have a number of strategies to try to mitigate, inclusive of pricing for some of that pressure. guy: what does china look like? tracey: we have been in the u.s. as well as overseas markets outstanding capacity. when you think about double-digit growth, certainly we have been investing in expanding capacity for skincare and had already done so for makeup. guy: where are you doing that? china is one of the markets that has opened up the most quickly. can you walk me through where you are seeing the biggest opportunity right now, where you think you will expand?
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tracey: we announced a few months ago we are opening a new plant in japan. it will ramp up to scale. in addition we have been investing in our manufacturing capabilities in long island, as well as in canada, which is where we do a lot of our makeup production. in all of our plants, given the double-digit growth we have seen over the last couple of years outside of last year, when the pandemic it is quite suddenly. alix: when you mentioned ramping up the production, what about stores? how many stores do you think you will have for the post pandemic versus where you were before? permanent closures versus those that need to be shut due to temporary covid spikes? tracey: we announced a program at the end of last year to look
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across our store distribution globally and anticipated closing about 10% to 15%. we have about 1500 freestanding stores. we have done quite a bit of that. by the end of this year will be close to the lower end of that range. some of those foreclosures -- some of those store closures -- these were stores that were underproductive and a drag on profitability. as we also expand distribution in special tea and other -- in specialty channels and other distributional -- online grew 40% in the quarter -- we look across the distribution and try to rationalize our brick-and-mortar relative to our online distribution. alix: we really appreciate it. tracey travis, estee lauder executive vice president and
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cfo. my daughter took my lacrosse this weekend. we had a makeup party. coming up, apples epix trial underway. we will break that down. this is bloomberg. ♪
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alix: i know we are dealing with high stakes. those are the introductory remarks of the judge in the apple versus epic games trial. joining us from san francisco for more is bloomberg ed ludlow. ed: the court is in session. this is the tale of two tims. tim sweeney, the epic ceo, is expected to speak first. we are expected to hear from tim cook along the way. this argument is about the commission apple charges its developers on the app store.
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tim sweeney argues they are too high, too penalizing for the developers, and they should be changed in a way that makes the system more equitable and the seller should have options to alternative payments outside of apple. tim cook at apple argues this is a good ecosystem and gives developers access to a billions of devices that run ios and takes out the fraud element. this will last for weeks. sit tight. guy: we will continue to cover it for you day by day. thank you very much. you want to following today, is available on live go on your terminal. coming up, dr. steven corwin, new york presbyterian president and ceo joining "balance of power" with david westin. this is bloomberg. ♪
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>> from the world of politics -- >> president biden understands
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the economy is not working for the vast majority of people. >> to the world of business. >> what we do not want to see is anything that could stunt that growth from additional taxes. >> this is "balance of power" with david westin. ♪ david: from bloomberg's world headquarters in new york to our tv and radio audiences worldwide, welcome to "balance of power," where the world of politics meets the world of business. i am david westin. covid cases in the united states are down. vaccinations are up. mayor de blasio says we will open new york city fully by july 1. what does that mean and what are the risks involved? welcome dr. steven corwin, chairman and ceo of -- thank you for being back with us. just a few moments before we came to air there was a report the tri-state area, new york, new jersey, connecticut, will release

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