and to have a better life, then you don't stop. we have been able to reach over 100 million people impacted and affected, and at risk of hiv. the rocket fund takes all of the work that we're doing, all over the world, and looks at the most effective ways, to get resources to them, to get services to them. the idea that we have saved five million people's lives, it's overwhelming. it's everything. tom: good morning, this is

"bloomberg daybreak: europe." i am tom mackenzie in london. the ai fueled really rolls on, nvidia delivering on the high, reporting results beating already lofty expectations. shares a surge in after hours trading. >> the industry is going through a major change. let me give you some perspective on the importance of the transformation. the next industrial revolution has begun. tom: u.s. and european futures point higher on renewed tech optimism. fed an policymakers rallying around the higher for longer view on the rates, plus the ukip hopes for brighter days ahead, staking his political future on an improving economy as he calls a surprise summer general election. labor leader keir starmer says it is time for change.

let's check on these markets, it is a risk on an thank you to nvidia for that. looking past the fed minutes and hawkishness of baked into those comments, nvidia and to be coming through for the first quarter and forecasts around the second quarter propelling the momentum in european equities in european equities and u.s. stocks as well. let's show the pricing, it is said to be a decent day for these equity markets pointing up by .3 of 1% on futures. flat on ftse 100 picture. the commodities story is likely to be weighing on the major index. s&p 500 looking to build on gains up .6 of 1%. nasdaq futures looking at a full one percentage point and gains. let's look after hours at the nvidia pricing on the back of the beat and the forecast in the current quarter revenues will come in at about $28 billion

u.s.. upside aftermarket, 60%. $140 billion u.s. being added in a market cap. that is the market cap of intel. let's flip the board in the cross asset. nvidia will be threaded through the show. let's look at what is happening the treasury market. you did see a bit of a reaction to more hawkish minutes, but those minutes came into before the slightly softer cpi inflation print out of the u.s., but there were many who questioned whether or not rates are at restrictive levels. the 10 year at 4.42. the pound and a focus on the back of the decision to call the election july 4. 1.27. $81 on brent. let's cross over to asia where avril hong is standing by in

singapore. how the asian markets faring? avril: it is a mixed bag despite the tailwind from nvidia helping ai and chip related stocks, and that is happening in japan where the nikkei is outperforming along with a further boost we are getting from south korean chipmakers against the backdrop of a government that just unveiled a $19 billion chip support package that helped the kospi flip into the green. there are headwinds to contend with, geopolitical angst, china holding the largest military drills off taiwan in one year, and sentiment turning toward the tech sector. alibaba stuck a big drag on the hang seng. materials underperforming on the csi 300 is the likes of copper and iron ore retreat from recent highs. let's flip the board because we talked about how the fomc

minutes sounding a bit hawkish, maybe not particularly concerning given how the cpi print given softer, but we did see an initial reaction in asia fx, and feeding into the story of delta resilience, ebsa -- pboc coming through the fix allowing the currency to weaken. dollar-china moving around the 7.25 handle. the yen is in focus. let's take a look at asia chip stocks, and the ones benefiting from nvidia's stellar scorecard as we saw the likes of tsmc and sk hynix bucking the trend where most of asian stocks are treading water or in negative territory. these are the ones in green. really feeling what we got from nvidia. tom: avril hong, thank you very

much indeed. staying on the story and getting more analysis, the chipmaker at the center of the ai boom surging in late trading after smashing expectations and delivering a bullish sales forecast. the ceo further stoked excitement by talking about the dawning of a new era. >> the next industrial revolution has begun. countries and companies are partnering with nvidia to shift the $1 trillion installed base of traditional data centers to accelerated computing and to build a new type of data center, ai factories, to produce a new economy, artificial intelligence. tom: let's bring in matt bloxham from bloomberg intelligence. any other ceo who described

their sector at the next industrial revolution would be looked at as concern that was hyperbole, but the numbers suggest you have to take this seriously. how long can they keep up this incredible growth? >> that is the question people are asking themselves a lot more given the massive ramp up of their revenue, tripling of revenue in that quarter and still going on. the ceo said they have got more demand than they can meet, and that will carry on into next year, so for the near term that kind of excitement will be sustained and push the bigger picture thoughts further out. when you think about what is coming up next and the broader tech space, the apple ai update in june that will inevitably's joke -- inevitably stoke even further, and the rolet in september which will be avenue -- even newer ai features.

data centers are not data centers anymore. the i factory is a complete rebranding of the whole sector, so for now the momentum is with them. tom: you see the momentum sticking with nvidia for now. we look at some of the competitive threats. there is still quite nascent or are they catching up? what are the challenges? >> there are two ideas, you have the chips, which is their current bread-and-butter and this new black chip which is super events, so a lot of the ketchup is the current technology level, and they continue to keep ahead of the competition with advanced chips, and that will drive quite a bit of the revenue. they are even more expensive chips, so that helps nvidia's revenue and helps to keep the lead for now in terms of the cutting edge, and if you were

doing large language model training, complex inference on that data, and you will need those new black chips that are coming, and that will help them sustained against for now. tom: and the pricing around 70,000 dollars. matt bloxham with the deep dive on the earnings coming out of nvidia ended with occasions. u.k. prime minister rishi sunak's surprise call for a july 4 election sets up his conservative already for a six-week battle to stop the labour party opposition from taking power. >> now is the moment for britain to choose its future, to decide whether we want to build on the progress we have made or risk going back to square one with no plan and no certainty. earlier today i spoke with his majesty the king to request the dissolution of parliament. the king has granted this request, and we will have a general election on july 4. tom: i am joined by lizzy burden

who is on the ground at downing street yesterday for the surprise announcement. i guess the question will be why choosing july the fourth? why has he come through the summer election? >> why on earth would you call an election when people are on their summer holidays? rishi sunak is diminishing put a pen and all that speculation of her when this election is going to be and to will lead? it is fair to say he surprised most people in westminster with this announcement yesterday including many of his own ministers, including his chancellor jeremy hunt, but why has he chosen july the fourth? it was no coincidence that yesterday it was announced inflation fell back to 2.3%,

back to normal. not quite so in the eyes of markets. they think inflation is so sticky a june cut is off the table, but sunak is going to present to the country that he has been the prime minister that managed to recover the u.k. economy, and he will have had an eye on the polls and labour party's pole lead has only widened, despite inflation. maybe it is because of the bank of england's contribution, and back to 2.3%. now it is keir starmer's task to turn that pole lead into votes, and to guess biggest turnaround in postwar electoral history if he is to get in because of that dismal performance of his

predecessor jeremy corbyn. tom: lizzy burden all over this story. now to central-bank policy from the boe to the fed, minute signal officials are in no rush to cut rates with many questioning whether a higher for longer policy was restrictive enough? let's bring in garfield reynolds. the markets did react to this and it came in before the nvidia results. how much of a surprise wasn't relative to the fomc minutes? >> it was definitely a surprise. a lot of people were saying this sounds a much more hawkish than powell sounded when he came out of the press conference immediately coming out of the meeting. the market had gone into the meeting very worried there would be a hawkish pivot, that there would be rate hikes discussed

and when that did not have been there were strong rallies into bonds and stocks, so there is a bit of a feeling powell undersold the way the fed was firming toward a more hawkish view, and even if you take into account the idea that these minutes come after those softer jobs and cpi numbers, wallace was describing the most recent report as a c plus, so you still got a strong move toward staying , it will be faster going into the next meeting when we get a dot plot update. the current calls for three cuts. are they going to go for two or one cut? the market sees 1.5, so the outlook is very balanced, but we have had a strong move this week toward a more restrictive in general attitude from central banks not only in the u.s..

we also read australia, new zealand expressing something along those lines, and the uk's cpi report, which was slower but not as low as what was wanted. so bonded investors are not in a great spot at the moment as they worry about how far inflation can come down and therefore how soon and how many rate cuts you can see from the various central banks. tom: excellent context, garfield reynolds and looking afford -- and looking forward to the importance of the dot plots. i will be speaking to the former press advisor to the conservative party about whether this could be the end of 14 years of tory rule. that is next. this is bloomberg. ♪

tom: welcome back, u.k. prime minister rishi sunak has set the date for a surprise summer general election, july 4. it gives the conservative party six weeks to overcome a labour party poll lead averaging more than 20 points. >> our offer is to reset both are economy and our politics, so that they once again serve the interest of working people. we totally reject the tory view that economic strength is somehow gifted from those at the top, and for the past 14 years throughout the crises we have had to face, sticking with that idea has left our country exposed, insecure, and unable to unlock the potential of every community. tom: for more on this, i am pleased to say i am joined by the president and managing

director of hanover communications and has importantly held a number of senior roles on the conservative party including head of their rapid rebuttal operation. your reaction to the way this was handled yesterday by the prime minister and his team? >> the optics of yesterday were nothing that any of us would've wanted if we had been setting up the launch of the campaign. the do it in the rain, things could only get better. they did not take control of the situation, and when you look fine him he did not have his party there supporting what he was saying. tom: a lot of questions coming from his own party, members of the public as to why he called this for the summer, july 4, and not give more time, his and his team to see better data and push

it into the autumn. >> this is left many people in disbelief. many reasons why she should not have gone ahead in july, not only scotland being a mess, labour party will dominate their . the fact that they do not have legislative programs through parliament in time, and they do not have the candidates in seats , so they will have to scrape around to get those in place. the only two reasons for doing this now is they may be did not think the economic situation is going to get any better in the long run and they do not have the fiscal room they might have to make economic announcements in autumn. but also the truth is rishi sunak wants out. he has not been happy about it since christmas, and this is a get out of here. tom: you think this is a prime minister who is giving up rather

than a prime minister taking a brief gamble? >> absolutely, after the local elections the prime minister announced there might be a hung parliament. he said we will not win the election, we can only hold the labour party off. it gave the labour party something to turn up the boat. the worst thing that could have been for the labour party is they look like they will get a massive landslide and people do not turn out to vote. rishi sunak knows his party will not win, and this is a terrible campaign for them. their only hope is the labour party finds a reason to self sabotage where they are. tom: very briefly, is team would suggest to the growth prospects of the u.k. turnaround, the imf sees 0.7% growth, inflation is

back with the two handle. they can build on the economic momentum. is there even the possibility of that? is that a rational case for the team? >> it is a rational case for rational people, but there are two perspectives. the conservative perspective, which is why i am making things better. ultimately the other argument is the country needs change, and that is what rishi sunak fears from keir starmer, and the reality is we might be rational by economics, but the voting public at large just once -- wants change. tom: gavin, president at hanover communications and former head of the conservative party's rapid rebuttal with a scathing take on the expectations and

implications of this july 4 vote for you cape and his conservative party. thank you very much. coming up, two other matters in the mining space, bhp winning an extra week to get evinced -- to convince anglo american on its takeover. will that be enough time to iron out a deal? this is bloomberg. ♪

tom: welcome back to "bloomberg daybreak: europe." bhp has won an extra week to convince anglo american on its $49 billion to go -- takeover plan. bhp raised the value of its proposal for a third time earlier this week. let's get to martin ritchie.

it looks positive for bhp. they get this one-week extension. talk to us about how the agreement or discussions are moving forward. what tends we get from both parties? >> the saga continues. we did think it was a make or break time yesterday, but as you said bhp gets another week to come up with the firm bid, and the most important thing here is the anglo management are talking with bhp for the first time. the world's biggest mining company has produced three offers already, all refused, but now they are still in proper negotiations at least. that is looking at it positively from that bhp point of view. the most important part is

ironing out complexities around the deal in south africa. anglo is a company dedicated -- is a complicated company. it is a multistate bid where some assets have to get sold first. tom: $49 billion question, what will it take to get this deal over the line? >> it is all about south africa really. anglo is a complicated company partly because it has majority stakes in two major south african companies, an iron ore producer and platinum miner. bhp wants anglo to sell those companies. it leaves shareholders exposed to regulatory risks if the south african government were to impose conditions on the spinoffs of the company's after, so bhp really has to address

that to reassure anglo shareholders and reassure regulators in south africa that its plan is satisfactory from their point of view. at the same time, they have to be mindful of bhp's shareholders. i think there is less room for them to lift the offer some more, but there may be wiggle room in the conditions. tom: martin ritchie on this proposed potential deal and how it is moving forward and a one-week extension. thank you very much indeed. a company is keeping its contract with a russian aluminum giant despite sales volumes dwindling and international sanctions. bloomberg understands the deal for delivery of one million tons of aluminum has been rolled over into early 2026.

the company has been shipping only a fraction of that amount. let's check in on the commodity space, because there is pressure coming through across copper, oil, and iron ore. hawkish comments in the fed minutes not helping, but also chinese buyers bulking at a record i prices. now it 10348 on copper. fourth straight session of losses for oil, $81.46. plenty more coming up. stay with us. this is bloomberg. ♪ her uncle's unhappy. i'm sensing an underlying issue. it's t-mobile. it started when we tried to get him under a new plan. but they they unexpectedly unraveled their “price lock” guarantee. which has made him, a bit... unruly. you called yourself the “un-carrier”. you sing about “price lock” on those commercials. “the price lock, the price lock...” so, if you could change the price, change the name! it's not a lock, i know a lock.

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dom: good morning, happy thursday, this is bloomberg daybreak: europe. these of the stories that set your addenda. the ai fueled rally rolls on. nvidia delivering on the hunt reporting on lofty expectations. the chipmaker shares surge in after-hours trading. >> the industry is going through a major change. let me give you some perspective on the importance of the transformation. the next industrial revolution has begun. tom: u.s. and european futures higher on renewed tech abdomen. policymakers rally around the higher for longer view on rates. plus, the you cape hopes for greater days ahead, putting his political future on an improving economy as he has a surprise summer election. it is time for change. let's check in on these markets

then. a bit of a mixed picture across the asian session. a selloff over in china. in europe you are looking at gains. largely that will be propelled by the optimism coming through from the beat on nvidia. it was the forecast around the second quarter as well that was crucial. $28 billion. gains coming through from nvidia, after hours. european stocks looking at a lift. ftse 100 dragged lower by the commodity space where there was softness. s&p futures looking to add 5/10 of a percent. nasdaq looking to add 9/10 of a percent with the tech story in focus for that index. let slip the board and lacrosse asset. there was a concern from investors at the relative hawkishness around the fomc minutes. the point that many officials apparently had been questioning whether or not rates were in restrictive territory to get to the 2% target. u.s. tenure at four 42 after yields on the front end, the two

year edge higher. down in focus, volatility coming through from the pound. there's also the factor on the boe and great expectations being pushed back on that higher than expected cpi print yesterday. brent, $81 a barrel. oil down. copper also taking a hit for the third day in a row down 10,000 330. let's get to u.k. politics. that surprise summer general election being called for the u.k. rishi sunak making the announcement on downing street in hopes that voters will give him credit for what is a relatively right economy. a full six months earlier is then officially required. the global business columnist for bloomberg opinion who has been writing about this. adrian, your take on this decision by rishi sunak to go with july the fourth, rather than waiting.

>> a very surprising decision. i think everybody was expecting november, his own party was expecting november and it was a very personal decision. the party hasn't even got candidates in place in those seats. he basically is throwing in the towel. he has given up on any good news. he just did not want to go ahead. there is no good reason. tom: so his team might counter and say the economic decision has turned a corner. the growth of 0.7%, inflation with a to handle at 2.3%. they would suggest they would be the case that this shows there is stability now as a result of richie sunak at may could matt. quex inflation was 2.3, which was not as good as they hoped, but certainly heading in the right direction. it did seem to have the refugees under control.

people don't think the economy is turning around. and they confronted with the bill for 10 billion pounds, which means that they haven't got that much money to give away. i think they were looking at the ottoman didn't have enough cause for things turning around by the autumn. they just decided, why go through the pain of continuing to govern when you haven't really got that much to offer the country. when you are constantly embarrassed by mps crossing the floor, by political scandals, just no more upside to being in power. tom: you some very colorful and creative language. the conservative party has been a pointless charade for months. i'm quoting from your piece. it has been bleeding out in public. put this in the context of this conservative party. what it means when historically when an election winning party

has very few rivals in the scheme of history. >> the chances of this party, of rishi sunak winning the next election are vanishingly small. i think we are looking at a labor government and with a reasonable majority we look at the end of 14 years of tory and what an extraordinary 14 years it has been. we have been dragged through a lot of trauma and a lot of crises and a lot of psychodrama's of an extraordinary fallout. it was very interesting that he said he would put an end to the chaos. i think the feeling is the desire for the political chaos to be finished, the associated stability of the tories is not with good strong government, which is with a time of chaos is very strongly on the voters minds. tom: thank you very much, global business columnist for bloomberg opinion, well worth reading his columns on bloomberg are, from

the terminal. working with the u.k. and doing a bit more of a deep dive on the economics of this nation. a measure of the pound expected swings jumped as traders prepare for that earlier than expected election in the u.k.. currencies two and three month volatility rose over 20 basis points yesterday, the most since april. it has to be said that it did spike up the volatility around the pound. at this point, let's bring in our european economist at ubs investment bank. good morning, thank you for joining us, let's talk about the prospects, the poll suggests there's a 20 point me. i want your views on the prospects politically. if we assume, if we make the bold assumption that we have a labour party come july the fifth, what is sent mean for your forecast, your expectations around the u.k. economy? do you adjust your forecast, do you expect to pick up in fiscal stimulus? is there anything that changes for this economy?

>> at this point it's difficult for macroeconomic impact given that both parties are yet to announce more detailed policy agenda. but of course going into the election, the key uncertainty in the key risk is indeed the fiscal outlook. having said that, we know that the fiscal headroom in the very near term is limited, pretty much exhausted, so in terms of risks around potentially big fiscal giveaways and the very near term, the risk seems to be very limited. however, over the medium term, over the coming years, i think it makes sense to expect a bit more fiscal spending coming through. tom: in the six week time frame we are talking about the volatility around the pound, should we be bracing for volatility from that six week timeframe or as a lot of this priced in? >> the key focus at the moment is on policy that's likely to come

through in the next few weeks. depending on what both parties are going to announce, in make sense to expect more volatility. tom: we have a higher than expected inflation print, 2.3%. you are still backing a june cut from the boe. that seems bold given the pricing. i think the first cut was priced in by the market, september, less than two cuts priced in by the market for the year. what is your rationale for sticking with june? >> we actually changed our call from august to june after the last nbc meeting. yesterday's inflation print was a disappointment, stronger-than-expected services inflation and following the print we did flag risks. and we said that once we get more data, and just a reminder, we will get another inflation print in the labor markets report ahead of the meeting, we will see how the risks pan out. but essentially the argument is,

looking at our own inflation forecast for the next may prince, we think headline and services inflation is likely to come in just a 10th above the npc's forecast. we think that could still allow them to go ahead with the june rate cut. tom: what about the sequencing. if you think this june, what is the sequencing and how many do we expect over the next 12 months i was -- as we push into 2025? >> this year we expect three rate cuts. in june, august and november, the last great cuts of the year during the npr meetings. next year we are more aggressive and we think that towards the end of the year we think it will gain confidence about fading rank -- risks of inflation and will accelerate the basic rate cuts. we expect them to cut rates at every meeting next year. tom: down to 2.7%. it will be welcome by those holding a mortgage.

talk about the euro zone. data has improved from a low base. what is the sustainability of this turnaround that we see in the euro zone? >> we see divergence between what they are selling us and we will get another flash print later today. what we are seeing is that q4 and q1 pmi's were more pessimistic than the actual gdp outcome. we did get an upside surprise according to g1 -- q1 gdp. in terms of sustaining the stronger pace of growth we are cautious, and we do think we will see moderately positive growth rates and it's unlikely to be the repeat of what we saw on q and. and q1 we go down to around 0.2 for the next couple of quarters.

tom: can the ecp do a victory lap with inflation at levels that we currently see across the euro zone? is there any risk for europe with inflation outlook? >> i would look for inflation over the next six months as inflation will be bumpy. there are number of base effects coming through. we have a temporary drop close to 2% around october and january. we expect a re-acceleration towards the end of the year. it's a bit more mechanical, at the moment we think that by the end of the year, inflation will still be around 2.3, two point 4% in the euro zone. so it seems, based on this forecast, it's a bit too early to say that inflation is sustainably back to the target. however, looking into 2025, we do expect inflation to approach 2% throughout the course of the year. tom: what is it do in terms of the constraints on the ecb what we fully expect a cut in june?

>> even the ecb's projections to anticipate the acceleration that has been clear in terms of the communication, also emphasizing the niceness in the debt -- the date over the coming months. the focus in general we talk about monetary policy is about medium-term inflation outlook. it's not necessarily the next six months, but where the forecasts are pointing over the course of the next few years. tom: how do you factor in the european elections into your views around the euro zone economy? whether it's a question of fiscal support or shift to the right within the body politic, how you thinking about factoring that into your forecast? >> the focus is on the fact that the right-wing parties are gaining popularity. we don't see an immediate impact in terms of our growth trajectory, but we do take it into consideration the potential shifts within the competition within the eu parliament could imply some changes in terms of policy agenda.

a bit more push back against a green agenda and more pushback in terms of further integration within the union. however, we would need to see the outcome of the election and we don't think that it has immediate implications. tom: thank you very much for joining us in the studio to walk through the economics of the u.k. and eurozone with politics feeding through. much of that discussion, european economist at ubs investment bank. other stories making the news, consumer spending growth may have slowed, not for taylor swift fans traveling to europe for the singer's errors tour. bank of america said its customers spent 22% more in paris this month when the singers tore was in town. swift performed in the swiss capital from may the ninth from eight to 12 just when the jump and spending registered, european cities could look forward to a similar boost as fans flock to upcoming tour dates including london, milan and vienna. it's still a major factor.

shares of live nation falling in late. bloomberg revealed a justice department move seeking the breakup of the business of our antitrust violations. live nation, the u.s. -- biggest u.s. ticket promoter merged with ticketmaster. it related to ticketmaster's unrivaled control of concert ticket sales. the merger for the two companies has been the subject of several antitrust investigations in the past. bloomberg has learned that they are studying a sale of the 20% stake in refining units. the italian energy company is working with advisors and has said to value the whole business at 10 billion euros in is in the midst of a reorganization to help fund the transition to gas and renewable energy. plenty more coming up. stay with us. this is bloomberg. ♪

>> nvidia is supply constraint meaning demand for ai accelerators is still outpacing its ability to supply. when you look at the guide for the fiscal second quarter, sales of $20 billion plus her money is 2%, it's also interesting to look at where that demand is coming from. the story to this point has been nvidia selling high-performance gpu to the hyper scalars. three or four big names that operate data centers behind cloud computing. but that's changing, they are starting to do business with consumer technology, enterprise, government customers in the market for generative ai in that sense is growing. the 10 for one stock split is also interesting. this is a stock that trades north of 950 u.s. dollars a share. there's a lot of interest from the retail investor in the ai story of nvidia. you just need take a cursory

look at reddit, ex or even google trends in real time during the earnings quarter. it's what people are talking about. beyond that, the big piece of news is probably that we will see meaningful revenue, lots of revenue from blackwell this year, blackwell is the combination gpu cpu, the latest generation of ai accelerator from nvidia. just becoming much more of a systems vendor. but the chips will start shipping in the current time, ramping the fiscal period and actually go into data centers in the fiscal fourth. and nvidia is proving that if the demands there could keep up in terms of just innovations, bringing a new products market into cadence of one a year, all eyes continue to be on in video -- nvidia. this is ed ludlow for bloomberg news in san francisco. tom: ed ludlow reporting on nvidia earnings. let's bring in bloomberg intelligence. results underlying the continued strong demand momentum for nvidia's ai chips, despite

investors being nervous as big tech reporting season's on whether the big ai boom has run too far. most of the concerns have been delayed for now. let's bring in the analysis with matt from bloomberg intelligence. we will get to the question about the broader tech sector. the start with how these results position nvidia going forward. it was talking about the be 100, the blackwell that comes on line, q3, q4, that could prove additional momentum. as you project towards the end of the year and 2025, how do you see the fortunes of this company adjusting? >> in the near term it will go from strength to strength. it's a massive company in terms of revenue and it's huge. i think what we are seeing here is diversification of demand, clearly those big hyper scalars the googles, the microsoft, hugely important companies, customers for nvidia. particularly that black rock

chip. nvidia is positioned as a leading edge of the ai revolution. and there's another chip coming beyond that up for the one-year cadence for those upgrades. so they will continue to keep that leadership with the ai processing. but it's also a current generation of chips to corporations and governments. that's going to bring in new demand as ai kind of seeps into the fabric of what we do on a day-to-day basis. so i think, together, those things are going to combine the kind of sustained momentum. tom: on the broader earnings pictures across these big mega tech names, is there a divergence, do we get clarity, reassurance and there isn't a gap between the spend, capex and tens of billions of dollars for meta, microsoft, amazon and others on the hardware and the revenue drive that they get coming through from that, essentially, could they sustain this, do they have the revenue

coming through to justify this enormous capex? >> it's a good question. definitely a lot more pressure on google and meta to generate some kind of incremental return from the sector investment they are putting into all this news -- new hardware. it's a hugely transitional time for companies as they try to figure out where that generative ai searches something different for some of google is now merging that into their core search engine, which is dominant cross market across the u.s. we heard yesterday that meta is spending to get training data for its own platform. you will see it around even more between these big tech companies as they chase more revenue to justify this investment, so i think this is going to be a very unpredictable, volatile sector for the next 24 months as the ai environment kind of shakes it down. tom: so volatility will still be

there. very briefly, are there any names that jump out across max seven that we should differentiate between the west of the basket or should we loop them together going forward? >> it's difficult one because they overlap in different areas. a massive search but also try to be a massive data center to catch up on microsoft analysis and web service. you have it there with google, amazon, microsoft and it overlaps with meta on appetizing. so there's all these different interplay is going on. they've got apple, which is slightly detached and you see much more of a hardware company, but trying to get much more to services with this well wide development company, big question, how do they integrate software and hardware? is that an ai iphone, that will be the difference between. tom: matt from bloomberg's intelligence on the deep dive of nvidia in the private tech space. we will do another deep dive in terms of the numbers coming

through from nvidia but also a quick look at the volatility around the pound in politics. this is bloomberg. ♪

tom: life before nvidia and the focus was on the fed minutes and there was a market reaction, a selloff and that's why markets ended in the red. four basis points on the two-year. that's because the fed minutes quoted officials, many of them questioning whether policy is restrictive enough and quote unquote, various officials discussing whether or not further tightening was required. this chart is based on an algorithm, the crunches that headlines from fed speak and it shows you build by bloomberg, and it shows you that the fed

speak has become more hawkish in the recent weeks. fed minutes coming in before the most recent cpi data that softened to some extent. that is the context. the relative hawkishness from the fed officials. let's have a look at the u.k., volatility on a 2-3 week volatility expectation in terms of a 20 basis point move. it's already priced in. the pound is in focus. we will speak to our ceos in the next hour. that's just a few minutes away on markets today. plus, the ceo of ferrari. stay with us. this is bloomberg. ♪

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anna: this is bloomberg markets today i'm anna edwards alongside guy johnson and kriti gupta. cash trade is less than an hour away, here's we need to know. nvidiar