our preference would be much more outside of europe. annmarie: outside of europe. what about the banking sector? would you agree that u.s. banks are better than european ones? suzanne: well, they certainly are in much better shape. obviously, since the global financial crisis, there have been a huge amount of regulation which has improved lending standards. that is reflected in a number of share prices as well. in terms of the european banks, it's not an area that we particularly favor. we do own some of the contingent commercial bonds of some of these banks, which is a very attractive opportunity given the yield that you can get on those types of banks. obviously, the european banks have been somewhat hit by various scandals including the hedge funds. some of the lending standards for some of these banks perhaps could be improved upon relative to the u.s.. manus: therein lies the risk. some would say no, but thanks. great context around the global portfolios. suzanne hutchins, our guest host on rates. breaking news coming through. socgen's luxor for 825 million eu

and europe. travel is picking up. i am seeing every day in the u.s., we are beginning to see more people going through airports. this week, more than one million people going through tsa checkpoints in airports in the u.s.. so slowly, the demand is coming back. jonathan: tom deliberate italy -- tom deliberate italy choosing the word "rigged." for our audience on tv, look at this chart. 2011, glencore comes to market. the stock never got back to where it issued. the issue was always that ivan glasenberg knew his company better than anyone else, and when he was going to sell it, it was the top of this market. the research you have done, isn't that the story here, that these are the guys with the edge? and that if you are doing a deal with them, you might be on the wrong side of it? javier: i think you are right. one thing of the ipo was how much the company was making. people knew that glencoe was making money, but the billions of dollars they were making, a lot of the counterparties, how is it you

is dealing with -- in europe. europe does not have as much fiscal stimulus and they have structural components of their economy that make it more difficult to achieve growth. all of that leads to lower rates for longer than what we are going to see in the u.s., we are here, we are recalibrating to this much better both vaccine and economic growth. jonathan: i know you are thinking about this, also divergence within europe. can you peg me the picture you are expecting to materialize this year? marilyn: we are seeing increased divergence within europe as well and we have improved our overall view on the u.k., we think the likelihood of having negative interest rates from the bank of england are significantly diminished given the rollout of the vaccine, which has been very quick, given the data. it seems like they are at the end stage of this current lockdown and opening up the economy by the end of june. if it happens, it will be positive. we have seen a die down of the uncertainty around brexit. i think in other ar

it is "daybreak europe." let's get the latest from india, battling the world's fastest-growing covid caseload. the country of nearly 1.4 billion people facing soaring infections, health care system under strain, india reporting a quarter of a million new cases and more than 1700 deaths. let's get to our mumbai bureau chief. thank you for joining us. what is different about this wave of the virus? i have seen worlds like parabolic used. >> this seems more virulent. india is reporting more than 250,000 new infections every day. there is speculation we might be battling a new mutant variant. india has not sequenced enough to know, but all indications show india might have a so-called double mutant which is more infectious. annmarie: what does this mean for the government? do they have plans to tackle this wave? >> yes. prime minister narendra modi is under fire across the political spectrum because he has been holding massive election rallies. the health care system is reeling. last night we had a flurry of meas

particularly in the u.s., to a lesser extent in europe. i think european yields get dragged up a bit, but we think europe is going to be lacking. the u.s. is a special case. shortening duration, we are more positive on high-yield. we also like private debt markets and we have some important private debt payers and those alternative markets are interesting. people are getting driven more and more into riskier asset classes and it is inevitable, in a sense, at a time when the quiddity is this abundant. finally -- when liquidity is this abundant. finally, we like em. jonathan: what about you? gene: if you look at the last six months, the tug-of-war between duration risk and credit risk has been skewed towards credit risk and that has been the place to be. now, when we look at the optimism in markets, we see a lot of that reflected in prices, the barclays index spread yon 300 basis points for the first time since pre-financial crisis. we are stunning to balance that out more, taking advantage of the fact that interest rates have gone higher. w

new lockdowns in europe. global news 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i'm karina mitchell. much more to come. this is bloomberg. ♪ so you're a small business, or a big one. you were thriving, but then... oh. ah. okay. plan, pivot. how do you bounce back? you don't, you bounce forward, with serious and reliable internet. powered by the largest gig speed network in america. but is it secure? sure it's secure. and even if the power goes down, your connection doesn't. so how do i do this? you don't do this. we do this, together. bounce forward, with comcast business. >> it is pretty clear that the u.s.-china debacle is here to stay. but i think you will see a lot more dialogue when the new administration comes into play. tom: mr. tannenbaum is better than good on sanctions and the punishment they can cause areas of course, these are tangible issues with china. we welcome all of you on bloomberg radio and bloomberg t

unfortunate for europe, it tracks investors at cyclical points. investors will come to europe looking to put their money to work in cyclical terms in the market. that not only leaves a little bit dysfunction, with long-term markets, if you're looking for long-term investments in europe, you have got to be focusing on the structural growth areas. consumer goods, luxury brands, those types. dani: when sector we have yet to go over is travel and leisure, recent days it has been hit because of the delta variant. it will point, do those concerns go from something idiosyncratic that affect those stocks to a more general macro issue for europe? ben: i think has been one of the fascinating elements of the covid crisis, we're having this conversation this time last year, talking about covid winners, would be focusing on companies where demand is resilient against the top backdrop. the real covid winners in my opinion would be those greasy supply disrupted, the has created levels of pricing power for those industries. that is where you see some of the more

that's get an update from here in europe. france is the latest country to record 100,000 deaths due to covid-19, a humbling moment for president macron, who refused to walk -- to lock down the country for a third time before eventually being reports to bring in more restrictions. that's get more from france. what is the current strategy now after this grim milestone for the government? >> france is the third country with the most deaths behind a u.k. and italy in europe. a national lockdown for at least the next two weeks. the situation has not really improved in the hospitals. if you look at people in intensive care units, it is close to 6000 at the moment, and we only have 10,000 beds, it is higher than the peak of the second wave and approaching the peak of the third wave. the situation is not improving. the vaccination rollout is quite slow, only 70% of the french have received -- only 17% of the french have received the shot. the economy could reopen, and two thirds of the french people do not trust president macron and

caroline: even that we got a little push up higher and talk between europe and u.s. travel. it looks like delta will have an issue with that. thank you. meanwhile, disclosure dilemma. we got a great conversation for you. this latest blog, you got a deep dive on it. it is about disclosures, requirements and whether any of it muddies the water. this is bloomberg. ♪ romaine: we are heading into earnings seasons. a time where investors pour over these earnings reports. everybody pours over the big sec filings. there was a blog post from and talking about the idea of disclosure and maybe we are getting too much of it from these companies. maybe that is causing trouble for investors. joe: took up this chart. they just want to tell you more and more and more. this is the number of words. crystal, right? 20,000 words in a filing. 40,000 must be really good. romaine: that looks le chart of the day. joe: joining us with more insight is professor of finance at nyu. professor, investing should be easy. we have all these words now. what is the catch? >> i think we lost the distinction

pointing up. 0.4% is what you're seeing in terms of the stoxx europe 600. gains of 0.5% for the cac 40. basic resources at the top of the list, utilities the only sector in the red at the moment. your euro-dollar is that 113. christine lagarde saying we should not overreact to inflation, and in terms of your u.s. 10 year, up by two basis points, 1.6. 2021 was a blockbuster year for capital markets, but it also exposed the work until you drop culture in mobile finance, with high levels of burnout plaguing many workers. one company is offering staff unlimited holidays. we are pleased to be joined by the ceo of finncap. happy friday, and i hope you are gearing up for a good weekend. what was your employee reaction to this pretty significant announcement? how did they react? guest: they all knew about it, so what we do at finncap's work out what the problem is, come up with some ideas, and this idea came from our markets division, the managing director. weirdly come up when we first picked up with it, the problem was they were not taking enough breaks. not nece

in europe, controversy from the beginning with astrazeneca, how do we restore confidence in europe? oksana: yes, again, incredibly important to emphasize the risks from covid, a known risk is much higher, not only from a hospitalization and death, but we are only one year into this to see what the disability burden will be versus anomalies around blood clotting. we will hear more about it tomorrow. the regulatory expertise has been pooled together and data scrutinized further. in some counterintuitive way we can see these regulatory bodies in germany and other countries are scrutinizing the data. they are doing their job, but to an extent when we are in the middle of a pandemic. we have heard from the who the more that we allow community transmission to carry on, when we suspend vaccinations, other countries do not have vaccines in their hands -- that is another issue -- this promotes the variants. we have to be extremely cautious around this, and i feel the damage has been done. manus: should europe export the astrazeneca vaccine that they are left with that people do not want? if

jon: what is your take on europe? greg: because the rollout of the vaccine has been slow in europe, the economy is not opening up as quickly. there will be a drag on economic growth and you will see a very accommodative ecb to make sure they are doing all they can to stimulate the economy and boost the market. we are not expecting much to come out of that meeting. until vaccine rollout starts to take hold and have more of an impact and the economy starts to get back to normal, you will continue to see very limited growth happening in europe. jon: it has gotten better and we hope it gets better. mike, final word. i would love your thoughts on what happens in europe. mike: i think europe is already stuck at negative rates. even after the rebound, europe is one of the few big regions of the world that is going to continue to be in negative growth for the entire two year period. there basically going through a two year recession, indicative of a potential growth rate, which is really muted. japan has been stuck in 0420 ye

in europe, it is mixed. the stocks europe 600, the broader european index is gaining what the ftse is down about 0.2%. the dax is up fractionally. the cac is falling this morning. a little bit of up and down on optimism for stimulus but concerned about the pandemic -- that concern about the pandemic and inefficiencies regarding the vaccine rollout. the industry groups on the stoxx 600 -- tech and telecom stocks are gaining as well as defensive stocks. travel and leisure taking a big hit as well as banks and retail stocks. let's get the bloomberg first word news. laura: protests have erupted across russia demanding the release of alexei navalny. tens of thousands have gathered in dozens of cities according to monitors. at least 3500 people have been arrested. the u.s. and the eu are calling on them to be freed. the top inferno -- the top environmental lawyer for trump tried to cost out the election results. he was planning to lend support. the world is witnessing the greatest rise in inequality on record. acc

caroline: we have loved losing money on sovereign debt in europe for years now. joe: here to discuss, john, the story, when the reflation story started. spending, recovery, reversing the 40 year bull market and treasury. in the last two and half months, it is all gone. >> it's interesting you frame it around georgia. that may be the single most important factor here. people got very excited about inflation, it is possible this is all been about biden getting much more backing than he was expecting to. and steadily running into trouble, as you almost inevitably expect any present to do when they realize they have overstated the potential fiscal impulse. they overshoot both directions. i think probably, the single biggest factor here is excitement subsequently dissipating about what we used to call a blue wave. caroline: excitement around inflation i feel like has reason still to be there. oil was at $76. blink and you miss it, it comes down a little bit. i don't understand why we are's all of a sudden thinking that inflation is not a problem. >> that is what most

flows to europe -- curbed gas flows to europe. does it seem like we might get more supply from russia? >> yes, i think that is what traders were expecting yesterday. there was an indication how much more russia could send, and those numbers were disappointing. flows will continue to be capped in january, maybe slightly better than in december, but it is not looking good. today specifically, russia has not -- it looks like we will have zero flow into germany again. dani: how much political power does this give germany with the european union, if they are dependent on them to help solve the energy crisis they are facing? isis: the whole of europe is depending on russia. most analysts, when you look at it, it does not put europe in a good position when it comes to bargaining for anything politically. europe is hostage to the gas crisis, and that does not put them in a strong position. we have not seen europe do much these days. dani: as we look forward to 2022, what can european governments do? what structurally can they change to ma

matt welcome to "bloomberg etf : iq europe." i'm matt miller. over the next 30 minutes, we will be your guide to the region's thriving market and the exchange-related funds. everything you need to know about the funds and the flows.

welcome to daybreak europe. the deliberation is, why is the yuan at the strongest level in three years? is it because you have constructive trade talks? this traits are is moving to competitiveness. the strength in the yuan is much more to do with the pboc's tolerance for a stronger yuan. is that a political weapon? annmarie: we saw that on the front page of one of the state run newspapers this morning. what's interesting is, what was the best that they could do? joint recognition that trade is important. that was a quote. there's more divisiveness between washington and beijing. you mentioned those comments were quite a blow from kurt campbell, about the fact that he sees this paradigm shift between the united states and things will not continue to go as they had. he talks about competition between the two. potentially, happy talk on the front page headlines. when you look beyond the surface, there's more divergence. manus: where did they collaborate? where do they compete? my guest says there was a huge opport

and europe. in the u.s. you had a commitment to purchase the same amount every month, and this is a clear-cut commitment. tapering means something. in europe there is flexibility. >> the situation in europe is different from the united states. the economy was not performing well, there was a lot of slack, inflation was too low. it is a different situation in the u.s. >> what we are seeing in inflation now, and the hawkish ecb members are once again too short-term focused. >> there will be hawks being vocal on this, which is to be expected given the new guidance. >> we need to watch to see if they are switching, but there could very well be a reduction in purchases this week. i do not think lagarde will do anything else but stress the dovish point. tom: let's go to maria tadeo on the ground in frankfurt. the ecb is expected to provide growth and inflation projections. what is the focus? maria: when you look at the gdp and inflation projections, we expect to see changes to that forecast. in terms of growth exp

in europe down. u.s. futures lower by 1.3%. that is the state of play as investors way up this new variant and the implications across these risk assets. ok, let's switch back to the consumer story, the strength of the retail and households. today, of course, is black friday, when the shopping season reaches its peak in terms of that shopping frenzy. in person shopping has returned after a long pandemic induced hiatus. it could boost sales to record levels. but a series of uneven reports are feeling concerns about the sector. for more, we are joined by charlie wells. charlie, black friday major retail event, what do we know about how sustained the spine is going to be, a lot of footfall, that retail is going to profit from this? charlie: interesting you mention freefall here. black friday has been here for about 10 years, very much and american import started by amazon. and what we know is consumers here today in the u.k., for instance, 29% of them plan to shop in-store. compare that with 45% of amer

in europe, we are seeing this lack of earnings momentum. the question, how much people will travel again, so i think personal travel is definitely coming back. i, for one, am desperate to go on holiday. is my company thinking about sending me on a business trip? probably not. business travel will probably be subdued. if you think about most oil-producing countries, i am sure they are desperate to increase production. we know that opec is being disciplined for now. but ultimately, they really want to increase oil revenues. i think that's coming sooner rather than later. subdued demand, restricted supply, that makes me long-term pessimistic. but like i said, i've been wrong. matt: you have to be right on the supply side. i wonder about the upside surprise on the demand side. you're desperate to go on vacation. everyone who can afford it who has not lost a job as a result of this pandemic has been looking to see, when can i first flyaway? and how far can i go? how is that going to be for travel and leisure companies? how is that going to be fo

europe and asia ended in the red yesterday, europe saw more than 1%. the u.s. got a late time boost from the debt ceiling headlines. they ended up higher, hence why we see a little bit of outperformance. tech is the big outperform or. it is despite the fact we see yields climb higher. we are looking at a move of more than a basis point when it comes to the u.s. 10 year yield. . nearly two basis points. it is not enough to derail the more optimistic outlook we are holding. people happy to buy the dip. looking at a euro at a july 2020 low. oil easing off from the 2014 highs. to the u.k., where boris johnson put forward his vision for new britain at the conservative party conference. >> we are embarking now on a change of direction that has been long overdue in the u.k. economy. we are not going back to the same broken models. we have low wages, no growth, low skills, low productivity. all of it enabled and assisted by uncontrolled immigration. >> his plan to turn the u.k. into a high wage, high skill economy face immediate problems from inflation. one gauge of ex

europe wants to engage china. so there is a difference of view who need to discuss about that because of the strategy question. juliette: president biden says the number of unvaccinated americans remains too high, and he's calling on more businesses to impose mandates. biden also said u.s. health officials will soon decide on pfizer on biontech covid vaccines to kids age five to 11. >> we're going to continue protecting the vaccinated. this work, this week, the food and drug administration and the fda is reviewing data on moderna and johnson & johnson boosters. we expect a final decision from the fda and the centers for disease control and prevention, the cdc, in the next couple of weeks. juliette: a weather roiling amina emerges across the pacific, setting the stage for worsening droughts and california and south america. frigid winters and parts of the united states and japan, and greater risks for the world already strained energy and food supplies. the u.s. climate prediction center says the phenomenon could c

. ♪ manus: kid is "daybreak europe" -- it is "daybreak europe" and i am manus cranny. we are still with janet mui from brewin dolphin. cpi in china is still very strong and deeply embedded. much more sticky -- how much more sticky and enduring is chinese inflation relative to american, british and european, is it more stoic? janet: i think that the chinese inflation will be repeating because a number of commodity prices -- it is a global phenomenon. we are expecting that to continue moderating. china has been going with a strict covid strategy. the economy, the operational side, supply issues, those issues may linger a bit longer. china has not really opened up yet. i think there are some concerns. judging from commodity prices on the investment side and we have to slow down the economy. i do believe we have passed the peak on china inflation. dani: how do you position in china? we have had people come on the show and say that as a whole the investment community is under in china, do you think that is true? should people up their exposure to the region? janet: i think

versus europe. whether you are talking about the actual economic growth or the inflation development and expectations. the u.s. still looks better. we expect -- expect that it should continue to pick up. right now, it is fluctuating at 1.2. we don't doubt that will -- it will go up in the next 12 months. in the euro area, because of that ultra dovishness from the ecb and the fact that inflation is going nowhere, we believe that that differential between u.s. and europe could divert. dani: i have to say, it's nice to hear optimism on the economic picture on a friday morning. we will's -- you will stick around with us. that's janet mui. another take on inflation. john great things price pressures will persist for some time. setting a higher level than even before the pandemic. >> we are definitely seeing signs of inflation out there. commodity prices have moved up. that's impacting costs. we are seeing it in wages, particularly in areas like hospitality and leisure. finding workers is difficult. compe

and europe is "tight." also on the agenda, increasing the availability of coronavirus shots to lower income countries. after the g7, the president will attend nato summits in brussels. next week, meet with vladimir putin in geneva. the eu could impose trade tariffs on the u.k. of the brexit agreement relating to northern ireland is not correctly implement it. the u.k. says it is willing to work with the block if they agree on a pragmatic solution. >> today, i can say we are at a crossroads in our relationship with the u.k.. [indiscernible]-- the heart of partnership needs to be restored. that is the eu approach.

., maybe to a smaller extent in europe. once we get to a level where you start to see more of that in europe and asia, do you think that will be enough to help those countries catch up? >> sure. i think the real question is when that will happen. that may not happen until well into next year and possibly a year after that. the question becomes -- how long can folks put up with that? how much economic disruption can you put up with, and what are the scars that come from that? we really are still trying to figure out what the damage is from this pandemic, and it's even more complicated when you start looking at emerging markets. caroline: just break it down. is it india that seems to be the most outside hit here? if you are a company that has been betting on certain parts of the emerging market and the middle class therein, where are you most affected by the shrinkage? >> first of all, we have had this amazing kind of exception to the rule, which is china where the economy never even contracted last year versus most other eme

see a lot of the price increases we have already started and that is going to pull additional's into europe to help to backstop and open that up so that we will see additional imports. >> we have seen freeport lm geez -- stopping sending it out. do you think that we will see a clampdown? romaine: it's an ability to protect a certain amount of gates. is the issue about getting nerdy and the whole thing talking about coal gas and other gas, but there needs to be in integrity system and when we start looking through it and it moved on to protect residential industrial. alix: you are in good company, we are nerdy here. are you playing at all? >> some of the ones that we played on this were on the upside, general, a longer-term play as the people stay home and want to increase their reliability as work from home becomes more unstable. to be honest with you, i have not been wearing the bearish chat. things moving higher and we have seen some adjustments. that's one that we think has a lot of face and natural gas is one where we think it will start to fullback. alix: when we take a look at what ca

it is where europe tends to come together. why do we care? it really means that when you're talking about list football and carolyn can back this up, he was football is a religion of sorts there. in her country. it is basically taking them a step further removed from the national league. from the english premiership. it will take some revenue away from the smaller teams and i saw somebody say this is money versus sentiment and money is winning. caroline: money talks, jason. there's been his frustration for about a decade. as you saw menu and other foreign buyers russian, spend the cash, and get the great players and then it felt like an unfair game in some way. -- man u. they are looking about monetizing to a different audience, the asian audience. reporter: it is. it is a global audience and it speaks to how popular the game is. but also, the power of these superrich teams who have been pulling away as it were in terms of evaluation have drawn huge money. the owners of liverpool are the same owners as the boston red sox. they are involved in

let's look at the futures in europe. a little bit of catch up with the futures picture looking a little rosier than it does in the united states. futures in europe up by half a percent or so. the picture in the u.s. has looked more negative. nasdaq futures pulling themselves into positive territory. we are pretty flat on u.s. futures after that strength. negative on wall street yesterday. it's interesting to see these competing narratives. we dealt with strong earning stories in europe yesterday. that seemed to, for the first day, move to the front of investor markets -- minds. i wonder if the global narrative is different. terrible reports in india of the level of infection in india, lack of oxygen and the like. whether that is on a global basis dominating the narrative a little more for an international investors. mark: i think it depends on your geographic perspective. in the u.s., you are right that earnings came back on the radar. that was certainly relevant after being ignored at the start of the week. the earning

could ultimately happen in europe and the united states. vaccination rates have come up in europe. u.k. is still ahead but the u.s. and europe are not too far behind. there's the risk, as biden has been talking, that vaccination rates are slowing. that's a risk as well. herd immunity success in the u.k. would be an important turning point in the covid crisis. dani: if i can dig into that tail risk a bit. if there are concerns about the delta variant, variants in general, where you hide out? where do you want to own and that type of uncertain environment? derek: as you mentioned at the top of the hour, price action in the u.s. treasury market before this rapid turnaround, that's your obvious port of call in terms of if things start to worsen and we have a drop in 10 year yield as treasury markets tailed. a massive turnaround. 17 basis points since the day before yesterday. the corporate earnings results are quite positive. we are going into august. historically, on a seasonal basis, that tends to be favorable for the u.s. dollar, the japanese yen. we are into an environment where ri

this is bloomberg daybreak: europe. these are today's top stories. the house passes a resolution demanding trumps cabinet remove him. mike pence says he won't do it. representatives vote to impeach him again. the dollar weakens as fed officials put -- pushback at taper talk. joe biden is set to aim for a deal with republicans on fresh covid aid. italy's government teeters on the brink of collapse as the former prime minister says he'll decide today on whether to abandon the coalition. let's get you straight into the market action. a sense of caution. incremental gains for the s&p 500. overnight, we were slightly higher on the s&p 500. bear in mind that we are looking ahead to the thursday announcement of stimulus measures that are planned under a joe biden administration. a little bit of stabilization. strong demand for the treasury option. limited appeal of the option yield. the highest since february. the bloomberg dollar index is flat. goldman sachs is arguing that anybody that's worried about the melt up and a lot of the afore area plays well. if

we also see strong flows in europe and the u.s. we also have deployed some inflation protection strategy. they're coming from mutual funds, europe, the u.s. and they are going to fixed income alternative strategy. manus: are you adding to inflation protection? we are seeing tips hit record lows. are you adding incrementally or substantially to inflation protection? giulio: what i was referring to, they are offering -- from a general account. we had inflation protected tapes that we had in the portfolio, they are not adding to it. the weight we decide how we structure our portfolio is based on -- it is a structured decision on how much to per -- deploy and protect against inflation. we are not taking a position on inflation to go up or go down. we have a hedge in position on our general account. manus: you are dealing with a probe from the justice department on the structured elf of funds, you have not made any revisions. when can we expect an update from you on the position in regards to the alpha funds? giulio: we are collaboratin

>> we are looking more and more towards europe and developed countries outside of the u.s. because of lower valuations. as we look to the income space and look for exposure, it makes a lot of sense for us. taylor: everyone will be sticking with us because next, it is the auction block. corporate issuers are awaiting the new year. that conversation is next. this is bloomberg. ♪ taylor: one of these years, i will be named this, but i don't think they would be happy with me. it we will get to that in a moment. $61 billion for the first to be a weeks of the month. pricing nearly about $9 million this. marking it as one of the slowest decembers in three years. strong demand for the treasury action 20 year, taking down a record portion. joining us around the table, maybe in person, one of these days. talking about not having a stagflation environment. only 300 and high-yield. is this adjusted return? >> yes. i think tight yields will do well. i think people will be looking. i think it will be a boring market. as a whole, i am very comfortable. you will not get hurt their. just

don't go there seems to be the message from this europe -- from this government in europe. if you are british and you are not a permanent resident in the united states of america, you can't get in. tom: you can't go. jonathan: you would have to go somewhere else, stay there for two weeks, and then come across to the united states. and the airlines have been pressing, particularly over the last week, to say we need to get prepared. the president goes to europe next month, there's a hope he talks about opening things up, but i have seen very little on either side of the conversation. tom: british airways just saying let's go. i don't get it. jonathan: i don't get it either. we have basically got a vaccine passport in new york, the excelsior pass. it is basically a vaccine passport. lisa: don't say that. [laughter] jonathan: you are not allowed to say that. it exists. it basically exists. lisa: and actually, if you look at the business is, that is what they are doing. back to yankee stadium? jonathan: 8:30 a.m., mark mccormick of td securities. i got some skin in the game here

the trend is now migrating to europe. for us, it is a tool to invest finance private companies and have them go public and grow. within tikehau that is what we are doing. we found the spac very appealing. it gives access to restricted markets. we decided to join forces with them to make sure we can align very strongly. dani: what is the process like when you look for people to partner with? what is the checklist you go through? antoine: depending of the firm, we have a culture of partnering with people. they bring something different than money, there is money all around the world. it is bringing added value, sector expertise, geography, in this case, entrepreneurial drive and spirit. one of the best entrepreneurs in europe in the last decade, partnering with them is ringing that on the table. also, bringing short expertise on top of the drive of everybody. dani: do you think there are still more opportunities left? would you offer more specs? antoine: yes. we think it will be a series of specs -- specs. it is really a to

it is daybreak europe. the feds sees heights next year, a grain that they might be sooner than you think. -- talking tightening, the feds raphael bostic sees heights next year. they think it might taper sooner than you. saying goodbye to its most hawkish member, a former policy member says the bank does not have an inflation problem, yet. results of the feds stress test, the biggest wall street banks are all set to pass, paving the way for them to double their shares of the payouts, over 100 and $40 billion. good morning. it is now clear who is made 2022 club. you have a growing dissidents as you coined it yesterday. dissidents but no mutiny on the fed. bostick, all in the 2020 camp. i put it to you, dani burger and that the fed has a communication problem. williams and powell, hammering home the taper, these guys, trotting along with hikes. good morning. dani: good morning. i agree that this is an issue if you are investor trying to figure out the environment. if i can play devils advocate, what if this al

sonali: i'm glad you brought up that point about europe paying more. where does that leave the u.s.? especially on something like gas, where you see there is more production. but perhaps less in terms of what people are willing to pay on the demand side. fiona: the u.s. is pumping out natural gas like it never has before. a lot of that additional gas is actually leaving the country as lng. and natural gas prices, the index up a bit over 100% year to date. that compares to prices here in the u.k. which are up 300%. it is still a big increase. but i expect as we come into the winter and the heating season, and with stockpiles where they are, we could see increased pressure on the u.s. natural gas pressure -- price. caroline: having to have the country send the army in to petrol stations, that was a logistical nightmare because there are not truck drivers -- not enough truck drivers. is that something unique to the u.k.? how are things delivered everywhere and how will we see the infrastructure being improved to support that? fiona: it has been a logistic

and europe, but also in asia. domestically the vaccination program in japan is accelerating as of late. we think the domestic reopening should and that market. as i said earlier with energy and financials, if you are looking at a global market that benefits from rising u.s. yields and tighter u.s. policy, it is japan. a market people tend not to own much of, we think it is a useful hedge when you think about concerns about u.s. interest rate. dani: in general with china closed, japan has been hit hard, perhaps as a release valve. we have seen asia high-yield debt get hit hard by evergrande. your choice. do you think some of the second-order effects are overdone? kiran: i think in terms of the second-order effect, we would say that is overdone. there are genuine challenges china is facing, but in terms of regulation in the property sector, does that transmit beyond china into markets like japan? we think not. china will need to adapt to a different growth dynamic. that will have effects on individual companies arou

the stocks at europe 600 are down. make a cup from some of the heavier losses, but is red on the screen. "bloomberg surveillance: early edition" is up next. this is bloomberg. ♪ >> the reason for today's hike is threefold. consumer price inflation is seen to increase. a risk of buildup of financial imbalances. >> i don't think jay powell is going to push people in

as well as europe more broadly. the central bank in europe, the ecb and the bank of england, maybe not quite as dovish, but generally speaking still on the dovish side, has allowed real interest rates in europe to remain extraordinarily low. contrast that with what's going on in the u.s., with real interest rates having risen, we are seeing this decoupling that we have been expecting between real interest rates in the u.s. and those in europe. the investment buyer meant -- investment environment in the u.s. looks more attractive from an interest rate and growth perspective. those factors do raise the attractiveness of the u.s. dollar as a currency with which to ultimately put your money to work in. we think that's why the dollar has been appreciating of late. jonathan: that raises some questions about how any move to the upside would be on 10 year yields in this market. in terms of foreign participation in treasuries. your thoughts on that currently? matt: i think all year, we have been expecting interest rates to r

the story around europe and the divergence between europe and the u.s. is so well-known, is it well priced? euro-dollar year to date comes in 2%. euro-dollar 1.1932. but the banks in europe are at 19.5%, largely off what we have seen on rates. when it comes to the economy, does the outlook in europe justify the gains we see in the financials on the continent? tom: the book value of jp morgan leading the way, world-class. the others, including ryan moynahan, at 12:00 noon today across bloomberg. i go to the red paying -- european banks, .23 of book value. that is a different number. jonathan: a big repricing here in europe and in the united states. romaine: good morning. over in europe right now, we are seeing all those travel stocks -- i did not know where you were on friday, tom, but welcome back. they were nice to me when you're gone. we saw the travel leisure index reclaim those -- reclaim those hides from the pre-pandemic levels, which is pretty encouraging. looking at u.s. travel stocks, we reclaim those highs in the u.s. three or four weeks ago. we

europe it's not a laggard on stimulus that europe is not a lack art on stimulus -- europe is not a laggard on stimulus, but they have not put in as much. caroline: the ecb has been talking about listening more to the fx rates, concerns about where this is going. what are they thinking about sending pat, is particularly since fed chair powell? tom: there will be a meeting coming up in june. the first question for them, how is the recovery going? if things are moving in line with our forecast and the vaccinations are rolling out, that's going to embolden the hawks on the ecb board. even so, we think what we are going to see is the pace of ppp , pap purchases, coming back later in the year. we think the european central bank, if the recovery is in place, if there are new concerns about bond yields, they wie confident to pull tack little bit. joe: when you think germany, cars, we know the global situation with cars is not going to be resolved anytime soon, and that's the way semiconductors are hampering production. how big of a drag is that, the industrial disadvantage due to all the things we

in the europe -- in europe, gaining 0.2%. we are looking at infineon, the chipmaker expects another left to revenue profitability as it benefits from strong demand for semiconductors. dani: i'm checking out the oil majors. this civic sector story. you have brent crude above $81 a barrel. wti hovering around the highest since 2014. it stands to reason that in terms of what sectors outperform, we could see some of those big oil companies, royal dutch shell, bp, total, there is a lot to choose from. tom: in terms ofpeople's favorite sandwich choice and sausage roll stock, greg's. indicating momentum. investors raising it to buy. earnings estimate of 6.5%. that is the u.k. chain of sandwiches and sausage rolls. dani: for what it's worth, vegan sausage rolls, not that bad. i will have one again. we will see if it does move on their earnings. futures pointing slightly higher. we are going to have the open for you next. this is bloomberg. ♪ dani: a minute to go until the start of cash equity trading. i'm dani burger in london alon

europe is a capital-like model. the medical business in europe, it is absolutely legal in the eu, so we don't have to build these operations. we can build a centralized operation in portugal and spain, which is where we are, to distributed through europe. romaine: once you get the distribution level, you're not worried at all about impediments with regard to member states deciding they want to set their own parameters? you're certain we will have that blanket rule coming out of the eu? >> under the united nations charter, medical is legal and the eu has taken the position you can cross borders with it. there is no impediment today on medical. it can go from germany to italy to spain, to france, and to israel, so there is no impediment in europe. but i don't use, as you have heard recently, switzerland and holland announced adult use pilot programs. the reason they call it pilots is because of the u.s. charter. recreational and adult use cannabis is not yet recreational, but if you can -- if you call it a pilot, you

joe: i think they will trade futures in europe. caroline: tune into the pound. joe: right. caroline: that does it for "what'd you miss?" joe: bloomberg technology is up next in the u.s. romaine: have a great weekend. this is bloomberg. ♪ ♪ emily: -- >> this is bloomberg technology. some of the biggest tech companies often under antitrust acquisition -- scrutiny. plus, social capital founder and ceo is known for

that's your headlines in europe. let's get over to london.

and up in europe by more than 1%. some of these markets have a little unwinding to do to reflect what happened in the united states. markets expected to open on the back foot. the ipo opens for deliveroo. it is opening fairly flat this morning. h&m shares dropping 2% at the start of trade. a miss versus estimates. the ftse is open, the dax is open, down 0.2%. the cac quarante is down less than 0.1%. u.s. futures fairly flat. we did see money going into the dollar and out of commodities in earlier parts of the session. now we see commodities looking brighter. oil prices moving to the upside, and the dollar has come back down and is retreating a touch. we will keep that in mind as we go through the session today. let's look at the latest blow to the eu vaccine rollout. germany will hold astrazeneca for younger people today. it is another hit for the troubled vaccine and as to the risk facing europe's economic recovery. joining us now is shamik dhar, chief economist of the bank of new york. what is your thinking about th

looking at some of the technology stocks in europe, but they are leading gains. when the implications of soft s. inflation data. tom: let's begin with jens nordvig. his work is absolutely inspirational. when the facts change, the market changes. there's a wall of cash out there. we saw the stunning move. jens nordvig, his book on the euro was -- requires a reread. good morning. i want to talk about the two year yield, the wall of cash. jp morgan has a vector to lower and lower yields. what are the inflationistas have wrong? jens: we have liquidity at the short end of the curve. it is ironic what is going on. all the talk about use economy in the long and moving up, but the last several months, downward drift in the short end. this cycle is different from any other cycle. we did go into negative rates and in the u.s. release of liquidity coming from essentially technicalities about how the u.s. government managed -- now being released. it is a very interesting situation where we have concerns in the long end and opposite dynamic on the short end. it is certainly i

>> europe is already way ahead. you just need to look at the financial institutions in europe , what they are doing versus the u.s. this year we see most u.s. banks and several investors commit to net zero, but yorty had several european banks and investors doing that years ago. they are behind the trend in that regard. another major barometer embracing the climate agenda is fossil fuel finance, something climate activists look at closely, but also those who follow the esg agenda more closely. the u.s. banks are lending way more money to fossil fuel industry than banks in europe. that industry is going to be hit hard by the transition, by carbon taxes. the u.s. is the one that needs to be catching up. that is really up-to-date. manus: thank you very much. you do not want to be on the wrong side of this trader left behind. updates on the green agenda for europe. coming up, the u.n. trade secretary on the trade deal with the u.s. that is next. this is bloomberg. ♪ >> i have never passed a deadline for any trade nego

., europe, and some south american companies, some pushback. taylor: and the tension in california, which is on appeal. i will have to look at the cases , but the battle is ongoing on the war is still further in the future with no decisive thoughts yet. romaine: this sets us up for another monthly labor report in the u.s. tomorrow morning at 8:30 a.m. eastern time. taylor: our producers want to remind you this is the end of the show. this was final thoughts. caroline: this is bloomberg. ♪ so many people are overweight now, and asking themselves, "why can't i lose weight?" for most, the reason is insulin resistance, and they don't even know they have it. conventional starvation diets don't address insulin resistance. that's why they don't work. now there's release from golo. it naturally helps reverse insulin resistance, stops sugar cravings, and releases stubborn fat all while controlling stress and emotional eating. at last, a diet pill that actually works. go to golo.com to get yours. ♪ >> from the heart of where innovation, money, and po