>> concerns about the timing of future interest-rate increases. >> importing less, exporting less. china's trade unexpectedly contracts as merely says his country won't resort to short-term stimulus in the economy. heart leadhe security from that has people thinking twice about how they store their information. >> hello, and welcome to " countdown." >> it's just on 6:00 in london

this thursday morning. bloomberg recorders are standing by around the world ready to deliver the stories that will drive your day. jonathan has the highlights on the federal reserve minutes. >> at the premier's comments today on growth, and caroline hyde has the story of the heart bleed security bug. >> manus cranny is live from the ubs wealth management summit" with exclusive energies -- from the wealth management summit with exclusive interviews. x we will speak with the ceo of .bs don't miss the conversation with the companies cio for ultra-high on the pulse. is >> let's get back to our top

story, the federal reserve released minutes and play down forecast by some of its own policymakers of an earlier than predicted rate rise. jonathan ferro has the details. a tale of a cold winter, a videoconference that happen march 4. but start with the dots. i'm going to pull up this beautiful chart for you. we have the dots representing the official view on when the interest rates will be next year and the year after. significant because this is up from the december forecast. we look at the minutes, and perhaps we should not pay so much attention to this. it was noted that the increase in the meeting projection over the shift in the projections. for me, the federal reserve long, and weages

always excess over one line. if you look at that paragraph and read the next line, in addition, a number of parties could observe an upward shift. it was obviously warranted. more weight is put on the former line because yannick yellen -- janet yellen herself, that line that she used in the conference is nowhere to be seen. that should be the take away. >> the some of these parts does not equal the message that someone it to communicate. >> over the last few months, over the last year, the minutes have been a platform for a lot of hawkish members to get their point across on interest rates. the statement in the press conference that followed was hawkish and people that -- expected that to be reflected in the minutes. >> it has become more hawkish because of the turnaround.

>> were going to get a decision from the bank of england. >> the meeting happen yesterday. cut short because the policy ministers were going off to the meeting in washington. a lot of reason for others to say the same thing. the bank of england, is it on autopilot for the rest of 2014? free reasons are picked out for why a lot of people think that. inflation is below target. fuzzy guidance, no clear threshold. the bank of england talking about spare capacity. no agreement on how much there is there. you officials come on board starting in june. knows whatody really the composition of the bank of england is going to look like in the next 12 months. unknown quantities

coming from the imf, joining the monetary policy committee. what does it look like over the next 12 months? >> and you have an x remember that hasn't even been nominated yet. >> if you ask people how it's going to play out, they don't know. they might not change decisions for the rest of 2014, but over the next couple of months, things could get very interesting. >> thank you very much. >> china is underscoring the depths of an economic slowdown with exports and imports both falling. john dawson is in hong kong with the details. , ahas been a bit of a shock slight miss. exports have been very disappointing in february, dropping on expectations of again.

this month again they were set to rise for about 4.8%, but in march it fell. rise twoere meant to point nine percent. they fell in 11.2%. what about the 1.8 billion forecast coming in at 7.7 billion? in february's deficit was the first deficit in 11 months. there were concerns about that. we mentioned the distortion on the exports, that the company was filing fake in voices -- fake invoices. overall the figures mostly a shock. the markets are quite sanguine, but clearly a weakness in industrial production and consumer spending, imports and exports. >> meanwhile, china's premier

also commenting on the country's growth outlook at the forum for asia today. what did he say? >> he was talking about, just to reassure those involved in looking at china. 7.5% is the big figure talked about. the figure is about 7.5%. he rim -- he reemphasize that once again. it implies stimulus. china's development has strong resilience, he said. they are not resorting to short-term stimulus. >> john dawson in hong kong. name of bleed is the the latest security bug that has left many of the world's largest websites vulnerable to hackers. that youhyde has this need to be aware of. what exactly has been going on here, caroline?

>> it's all about the safeguarding of your data and your e-mails and the like. open-source where called ssl is used by about two thirds of all websites. what it does is to julie mix up your data when you send an instruction to your bank, as it travels to your bank software. some sort ofs scrambling service. it has been found that basically there has been a bug for two years. the reason it is called heart lead is it is about the area that is vulnerable in open ssl that websites get a license for. it is the heartbeat, a series of communication sent between your computer and another device. >> this is what the confusion is. no one knows to what extent it is bald herbal or the vulnerabilities -- to what extent it is vulnerable.

security and another security company revealed the issue. and facebook,ogle before it became public fixed it before it became public. at amazon andlook bank of america. it appears from their homepage that they are not vulnerable. now who iss vulnerable, for how long have they been vulnerable. the issue that goes out to consumers right now is, please don't have the same password for everything. , and if you update

them before the fix is done, you're even more vulnerable. wait a day are two. >> let's get more detail on it. you mention one of the businesses involved in discovering this heart bleed bug. along with google, they did discover this bug. david johnson joins us on the phone from san francisco. thank you for joining us. give us some context. how serious is this issue for users and people who operate businesses on the internet? >> this is probably one the most serious bugs we have seen in the last five years. the reason it's so serious is, it involves -- allows an attacker to come in and take your crown jewels or your encryption keys which are used to scramble all your data so it cannot be seen. it also allows the attacker to

access the memory of the machine , using open ssl. we have been able to take usernames and passwords from our own system and we did the test and lots of other data that ended up in the memory. in your report, what makes it really serious is, you cannot tell if you have been hacked. it doesn't leave any forensic and see if after somebody has been there. david, will it be the advice of businesses that operate using the web, from small businesses, small retailers, may be managing their own website, to large retailers. there are websites where you can go and check where your are vulnerable to this. >> exactly. if you're running a business, basically your i.t. department or provider should be able to tell you very quickly what version of open ssl you are

running. if you're running an old version, you need to patch that very quickly. out the to throw encryption keys you are using and have new keys issued. then you can tell your end users to change their passwords. consumers change passwords now or wait until they have had confirmation from service providers that all the necessary patches have been put in place? >> to actually need to wait. they need to ask their service provider if they have done the patch and wait for it by on when they should change their password. you don't want to change it too doesn'tcause then it help you. you should follow the guidance of your provider. >> we have seen security reaches at u.s. retailers, the nsa scandal, and now this. are you still checking online and sending e-mails this morning?

>> i'm still doing it. the internet today is a lot safer than it was a week ago. hundreds of houses of the main andites of social media commerce sites have now upgraded and fixed this bug. i.t. security the community throughout the world has really been active at getting out the word. hundreds of thousands of sites are using it, but the word is going very quickly and people are updating this and fixing it. the internet is a lot safer today than it was a week ago. that is the big take away for everybody. >> thank you very much, david. speaking to us from san francisco. >> the bank of england releases its latest rate decision today. we will see how much their capacity may mean to the economy. >> four exclusive interviews davos.d almost -- rom

>> i am back in davos with the wealth managers from ubs. opinion.or cio that is a little later in the day.

>> welcome to "countdown to cope policymakers trying to gauge how much room there is in the u.k. economy to grow the fed. minutes released last night. our guest is based dreaded just at bank of america erol lynch joining us. us.ur guest is joining >> quite confusing. dots have been an important part of the fed's communication strategy for the past couple of years since they introduced them. obviously the ideas to try to guide the market not just what

is happening now but where things will be over the next couple of years. when you see that sort of congregation of dots around certain levels, the market is entitled to believe that is where the fed things they are going. to then be told you should overlook them is slightly puzzling. if these are the parts, how can some of those parts not add up to the overall message? >> this is more about putting across the view that this is where re-think rates might be going, based on our current outlook for the economy. that may prove to be too optimistic. it is just a reminder that they intend to air on the side of trading very carefully. if they have any doubt at all about whether the economy is ready for a rate hike, they will back away from it. that is the way the reaction function has been involved in. next the other thing that confused many was the part that

rates remain low for a considerable time after the asset her kisses. janet yellen suggest -- after the asset her kisses in did. purchases inasset did. quick six months was stated in a way that it was supposed to mean is not coming for a while. when you come up with anything as specific as that, it tends to focus in on it. this is a way of de-stressing the market to saying we will carefully continue with asset purchase slowdown. when that stops, we will reconsider and think again. they have deliberately taken out that time contingent guidance because they want the data to decide for them. >> this is evidence that the central banks are feeling their way in the dark feed they don't

know how much damage has been done by the crisis over the past six or seven years. they think capacity, there is still plenty, but they don't want to commit to that, so they are watching everything very carefully. the fact is inflation is continuing to slow down, and that is nothing evidence for central bankers that there is no need for them to dark tightening anytime soon. if there is no inflationary pressures, which seems to be that case, it tells you there is some slack. >> one of your colleagues talks about confirmation from the they are that is insisting inflation will rise, when actually it is ending. is that really the case? inthere is a concern that all the major economies, inflation is the low target. most of them tend to try to get inflation, there is evidence of

demand perhaps being soft. if you look at the demand for chinese trade overnight, for example, we will talk it up. we will talk about the bank of england when we returned.

>> welcome back. let's talk about the bank of england. none of the economists surveyed by bloomberg expect any change in interest rates today. we can move on. >> there are still plenty to talk about, it seems. what are the big message is going to be for you? going forward, how is the committee going to evolve as it goes through changes in personnel? how will it respond to changes and in what point does it start embracing the market for rate hike? that is the interesting conversation that is coming. with the market or not? been focused on around february of next year as the time of the first hike.

the market has and and flowed around that. it is currently a little bit later. within a year, the bank of england will be looking too carefully and cautiously start aging rates away from the current settings. >> so about a year from now. quick something like that. it does seem that the data is strengthening. the recovery is spreading from the consumer to corporate u.k. and hiring. investments are picking up. that is what the bank needs to see. going -- it's going to be the longest established internal member of the mpc. he clearly therefore becomes even more first among equals than he has been up to now. i'm sure the new members will speak their minds when they see fit. it is likely they will take their lead from the governor, and he seems very set on this. suggestsic research

people are more hawkish when they first join, but we will wait and see how they behave. even if it gets back above, you don't panic? >> that is the difference, that we have genuine strength. inflation is falling much faster than the bank expected. that has enabled them to keep control of the front end. face-off,inues the the front end will stay where it is. usjust ahead, manus joins with his first exclusive interview of the day. he will speak with the head of ubs wealth management. >> the ubs wealth management .ummit, right here in davos join me for interviews and

opinions from the chief investment officers from around the world. how do you navigate these markets? hopefully, we will have the answers. ♪

>> welcome back to countdown. let's go over to jonathan. >> ozzie dollar. check out this. up this morning. week china, you get this data goes one way. not this time. unemployment numbers out of australia. rba to drop the their numbers. the median -- production -- prediction is for

the auusie dollar to fall. >> these are the top headlines. the u.s. dollar dropped to a five-month low after a release of the fed minutes. undercuts prospects for an interest-rate hike in the near future. the us trillion dollar as at a five-month high. traders are reacting to it the possibility of an interest-rate interest rate increase after australia's unemployment rate fell. and a car bomb exploded outside the bank of greece. no injuries reported. the explosion comes just as greek officials returned to the bond market. golfers are just hours from teeing off on the first major

tournament of the year. the masters has 24 rookies computing, but the biggest name is out. tiger woods is recovering from back surgery. welcome back. i'm anna edwards. it is 6:31 in london. interviews from the wealth doublesnt summit in -- in davos. >> very good day to you, anna. she is the cio from asia-pacific. great to have you with us. we have had some china data. we have been talking about it. how concerned are you about this day -- data? below date that did come expectations, but it is heavily distorted by the overreporting last year. if you take a look at the data,

exports are still rising at 4-5%. domesticritical -- variables. closely to make sure that mr. growth is not fall. >> the seven percent level is what you say is the most important. preparedms, are they to sacrifice a lot of growth for the reforms? >> i think the reform will happen in the context of growth. if china cannot afford to let growth fall below seven percent because that is the enough -- level that is needed to keep the urban unemployment rate from rising. china is producing 7 million graduates a year. >> you have a population growth. they need to create a rebalancing of the economy. we are seeing some issues and shadow banking.

toleratemore will they in terms of default and rebalancing? government does want the market to allow a role in the relocation of really -- resources. what that means is they will through, but come we think it will be small-scale and manageable defaults of corporate bonds as well as financial products. the last thing they want is to engineer their own so-called a demon moment. >> you have to look through these nuances of the onshore default. thinking ofugh your the opportunity to invest in china as you look at the data. >> we are running a modest -- we do think that the opportunity, the narrative on china gets binary.

if it is not loose guy, it has to be collapsed. if growth is threatening the seven percent level, the government will come with a policy response. there comes the opportunity to buy into the market. they think it could trade eight times to 10 times. of winners and losers. on the winning side, there are structural beneficiaries. we are talking about health care, consumer staples, clean energy. investmentstrading or longer-term structural takes? they are technically opportunities as well if the markets it to bearish. another way of playing china is to look at the deep value market leaders. thanks and property companies.

banks and property companies. >> emerging markets have been the top of our news since the start of the right to recovery. how does china play into that near asia emerging markets story? our view on asia has been it will underperform the develop the markets. it is at aecause less benign stage of the profit cycle as well as monetary and fiscal policy which will stay tight. the news is not all bad. asia is geared towards an export recovery. countries like taiwan, korea, will be the ones who will benefit. on the other hand, the more defensive markets like malaysia

and the tile be the ones we will see -- >> we have about 30 seconds. the to me about the ring in -- renimbi. where do we go with that currency? appreciation -- structurally, because of the accounts are place -- a surplus, we will be at the -- >> ray to have you with us. looking forward to seeing you later. hope you guys do work out the best way forward. the cio i/o for the -- for the asia-pacific region. that doubles as

not just for january. it exists all year round. thank you. jumpingustralian dollar after a fall in unemployment. the job forecast continues to confound. it will what is -- what is going on? >> that is a good question. the jobs number has a reputation for surprising us. that march was no different. the market was expecting unemployment to be at 6.1%. instead, it dropped to 5.8%. 18,100 jobs were created. if you look at the figure, you need to start asking questions about the quality of those jobs. jobs were lost. part-time jobs were created. if you look at the participation

rate, the number of people looking for work, that fell. masking a different story. however, the australian dollar powered through the $.94 barrier after the data was released. it has fallen back a little cents. no denying the numbers are something of an antidote to the have had onews we the job front. the manufacturing sector where the carmakers announcing they are shutting down. high-profile job losses at qantas. service industries are recovering, especially health and tourism. but the dollar may have pushed through the 94 centenary or on suspicion that the reserve bank a be looking at raising the cash rate sooner rather than later. now that the economy appears to be turning around. the start of a trend or a big correction next month? i'm not brave enough to predict.

>> we will find that out. paul in sydney. >> ahead, jamie diamond weighs forn what regulation means bank clients. ♪

>> time for today's company news. luxury goodsargest company reported the fastest growth in two years russia -- years, cushioning bad news. are introducing more expensive projects while increasing investment for some of its fashion brands. ve who steve jobs calls his spiritual partner is gaining more authority at apple. the move coincides with the retirement of greg christie who left the software department. discounting convertible

models from their current ranges. worldwide sales have longed 44% from 2004. buyers in the u.s. and europe are opting for more pragmatic vehicles while consumers in fast-growing markets such as china and india prefer suvs and sedans. countdown, i'mo anna edwards. >> i mark barton. >> you have a bad experience in a convertible? >> i just have a bad head every day. >> that is really the reason behind that. it gives people bad hair. >> had year. after three years of declining sales, mns releases the latest figures. k retailer-- the u

will report earnings in 15 minutes time. this will be 11 in a row if it is a declining quarter. >> general merchandise, close and homes -- clothes and homes.it is put up or shut up. he said,ed in 2000 -- i promise you 30% growth in sales. that forecasth and realized he was not on target. he said i will get you 11.5 billion pounds. not expecting that. too optimistic. it is likely he has only managed to drive up sales eight percent since 2010.

significant amounts of money at the situation. he is in the steam big, two point 3 billion pounds he is putting into revamping the stores and is trying to get us to reengage. it is not working. putting out new adverts. on trend, musician -- still, too expensive and frumpy. 50-70-year-olds that are critical. they see it as too expensive. it is about putting percent more -- 20% more on average. >> the u.k. is part of the story. &s has international ambitions. renewed international ambitions. is trying to distract us

from how poor u.k. is getting on. stores sounds like a lot. that is their ambition. expansion across the board. they are doing what works well in the u.k. why not declare that -- deploy that? theirre reducing year -- food business. that is where they have dominated. that is what they are focusing on. food stores, laundry and beauty. those will be unveiled in india at and saudi arabia. that is what people walk in for. for their knickers. and some quite luxurious products. for your beauty. why not do that in the u.k.? it is interesting how much they are going into china and trying to reinvent themselves. they have 15 stores.

they want to stick to 15 stores that relocate them. go for beijing rather than shanghai which is where they are. we will have more on the story. caroline, thank you. onjamie dimon has weighed the price of regulations means for banks. which clients will end up paying more? inaccording to jamie dimon his annual letter to face it,ers -- let's he is talking about the united states but we can extrapolate there will be changes across the global banking system as a result of the regulations that banks are increasing their capital buffers -- he is talking about municipalities. clients with large amounts of trade.

credit only clients. some specific financial companies. he gets a couple of numbers that are interesting. the costfor example, of an unrolled balding credit line may rise as much a 60 basis points. short term trade finance. those cost could rise 75 basis points. this is an area bankers have been discussing. german bakers have been meeting in berlin monday and tuesday. all discussing the cost of regulation and what those potential impacts will be on the business. jamie dimon says there will be drastic changes to all of the banking businesses. >> what?? will be the upshot of this? will be banking landscape change? >> the landscape will change according to jamie dimon.

it is most likely to benefit shadow banking, the unregulated part of the industry. he says the shadow banks are becoming more sophisticated. their asset managers. pretty aanother point, motive. emotive. the lower and middle income consumers will have to pay more for mortgages if they can get them. language.g emotive she said, he would say that, wouldn't he. >> thank you, david. live in berlin. >> 10 minutes until seven in london. dreams for another team. that story and more in newspapers, next.

we will try to stop mark from crying in the football discussion. ♪

>> welcome back. 6:53.e in london, just over an hour from european equity trading. a lead is in tel aviv. kick it off. avoid a storyo

that has been dominating the news here for a week. and talk about exporters. monday night is the start of the festival. i want to talk about matzoh. exportsly experts -- declined 14%. a exports.ing matz sales to the u.s. dropped to the u.s. dropped by a fifth. mark and anna, because matza is the unleavened bread jews around the world eat to commemorate the exit from egypt and slavery, they did not have time for the bread to rise, that is why they you'd expect exports

to be flat. that is a little matzoh joke. >> his jokes have not improved. >> thank you, elliott. that was enlightening. >> that was clever. >> levity. >> stop. you can't be serious. this is the headline in the times. to do with a club in london. you are not a member, are you mark? >> i'm not a member. >> i could not be a member. women are not allowed to join. they can go as guest. apparently the members have allowed us to keep with tradition. they feared that the mail congeniality at the bar and smoking room would you destroyed. shrill voices would be heard

during -- heard. i am sure you feel that way at work every day. and also saying they decided to stick with the existing rules because the club is a place where a cap can take sanctuary. takes x-ray -- take sanctuary. >> caroline hyde went there the other day. the dream is over. have a look. manchester united lost to munich. leg, all theyt needed to do was draw or preferably win. but they lost. munich scored three goals in 17 and -- minutes. >> don't cry. >> the season is over.

" continues in the next hour. we will talk about their international ambitions. ♪

>> fed minutes ease concern about the timing of future u.s. rate increases. >> importing less, exporting less. chinese trade contracts. but the country will not resort to short-term stimulus. flaw that has people thinking twice about storing information. >> and sales figures. we will see if the billions of pounds spent on revamping have paid off.

," i amome to "countdown mark barton. .> i am i'm anna edwards caroline hyde is waiting for the sales numbers to be released. highlight from the federal reserve minutes. >> the latest china trade data. an exclusive of interview from the ubs wealth management summit in douglas. >> stay with countdown this hour. first, sales numbers from hays. we will be speaking to the finance director. that is a first bloomberg interview. >> live from doubles, we will speak to the -- davos, we will

speak to alexander friedman. >> we are low -- waiting for numbers from m&s to come through. in fact they're coming through right now. >> not as bad as expected. ngneral merchandise, clothi homeware, not, -- as bad as had been feared. straight the 11th quarter of decline in that area. an area they tried to bring around. bringing in new fashions and trends. but it is not making much impact out details -- at the kills. -- tills. food is up. that has been the standout. >> we are talking about

competition. owner is announcing their cutting therefore your forecast -- their full-year forecast. it plays into the comments you are making about cheaper businesses and the level of competition at the u.k. high street. since 2011,arket 2012. clothing retailers are saying weather is getting in the way. christmas was hard because many brought out discounts. there has been an improvement in general merchandise. clothing sales are only down by -- they said, we are encouraged by womenswear. you --omen sure that

share that view? you were saying that the core market group -- >> frumpy and expensive. that is what the analysts on the stock feels. and my generation is not going into by the clothing. they are buying shoes and lingerie. beauty products. but not the cardigans, skirts, suits. that is why they are using faces senses rita. fashionable models to who were in the younger buyer. but the food business is another great quarter. easter is later. that will be impacting the food. it is interesting is the international expansion. they are up some five percent. there are were 250 new stores. they are doing what they do vest in the u.k.. going into the food business in france.

unveiling standalone lingerie beauty stores in saudi arabia and india. have to baby question -- why not in the u.k.. have two date of the question -- have to beg the question -- uk?not try that in the >> more breaking news. hays releasing its numbers. quarter upre dear -- 40%. europe and the rest of the world, six percent. on a light basis, 11%. asia, which includes australia -- down 21%.

fees down four percent. we will talk more about the numbers, the u.k. economy as well. as we head to the interest rate decision when we speak to the management of hays. >> the federal reserve played down forecasts by some of its policy and makers of a rate rise. jonathan has the details. >> maybe you should be. minutes.ages of i will show you the dots. i will take them away from you. look at the dots. the dots tell me the forecast for 25 -- 2015. from december. the minutes tell me this does not matter. several participants noted that

this overstated the shift in the projections. my question is whether that is a fair reflection of the minutes. in the following line, it says that some officials say it was worded. -- warranted.. don't ask me that, mark. developedings have the extended that people are taking away that line as a dovish sign. it goes along with what janet yellen has been pushing. no mention of the six-month -- rates might rise after qe ends. this is a is taking dovish sign. >> bank of england -- >> one-day. >> they are off to the imf. >> more evidence it will be a nonevent. maybe a nonevent for the rest of 2014. it everybody discussing whether for the is on autopilot

rest of the year. a few reasons. one is inflation. of fuzzy is the kind guidance. moving away from clear thresholds. talking about something like sure -- share capacity slack. >into new officials will become on board in june. perhaps a suggestion they are on autopilot. is not clear how these guys will vote. they may go with art carney. other people saying they may push for their views in try to be -- >> show their credentials as inflation fighters. >> the longest serving member has been there a year. >> when you look at these fingers -- figures, moving from the financial policy committee, this is a man that is not just looking at inflation but stability.

housing markets. putting his view across. if you ask anybody, nobody knows -- consensus, no change for the rest of the year. the interesting thing will be when votes start to change. >> that is what investors -- >> this is the central bank that has more tools than it did last time. be interesting to see if they are on autopilot as far as rates are concerned. trade data in china is underscoring the depth of an economic slowdown with exports and imports falling. we are in hong kong with the details. >> hello. ais is a bit of i blow -- blow. companies were filing fake invoices. on the see the numbers

screen. experts for march once again falling. to rise 3.9%.et they fell on next actively -- unexpectedly. february's deficit was the first multi-deficit in 11 months. you can see a bit of a change. recent figures are industrial production, we also saw exports as well. credit risks, cultural changes. structural changes. the market reaction was quite neutered -- muted. is good news, if you like, the surplus of $7.7 billion. not so good news, exports.

>> the premier giving an address to the forum. saying a lot of things. we have heard him down play the 7.5% growth target. we -- he seems to be going along with that message. >> what he was saying, it will be about -- magic word, about -- 7.5%. he is concerned about the slowing down. but they are aiming for it. he said, we can handle all risks and challenges. not resorting to short-term stimulus. can handle all possible risks, china doesn't fly giving us longer-term -- does imply stimulus longer-term. >> exclusive interviews live from the wealth management summit in doubles. manus cranny is there. mark, today date --

in doubles, wealth advisors. a public representation of what happens at the meeting every month. behind closed doors. ringing the guys and girls to go out there and talk to the voting errors. -- to the billionaires. we just heard from part of the asian office. next up is alex friedman. ceo.lobal seat eeo -- is?t that what ubs and then simon. how worried are they about russia. he has been on the road for a couple of months. we will get the lowdown later on. >> thank you, manas. >> we will be talking to the finance director of -jhays.

they have released their numbers. more details when we come back. ♪

>> time for today's company news. the french supermarket is seeing

a revival of the spanish unit. sales in spain gained 0.1%, marking the second consecutive quarter of growth. add hong kong flights operated by cathay pacific airlines. manchester airport group has expanded the network of largest terminal with seven new long-haul routes in the past 12 months. supplieriggest pork and its owners are seeking as much as $5.3 billion from an ipo. the ipo the chinese company will be the biggest of a hong kong company since 2010. they bought smithfield foods in september in the biggest chinese purchase of a u.s. firm. the time in london is 16

minutes past 7:00. .lways good to see you, paul what changed since the last time we spoke? >> better everywhere. the last four quarters have gone from one percent, two percent from a three percent, eight percent. a marked improvement in growth. the highlight is the u.k., 14%. the desk being growth in six years. -- the vest bank growth in six the -- the vest dane -- best growth in six years. see growth inn we finance. there are no businesses across the u.k. that say they went to hire more people. finance business was up 21%. >> we spoke to somebody early this week.

a survey of finance directors. they felt like investing in their businesses. a market change in mentality -- marked change in mentality. more about putting money back into businesses. is that what you're businesses are telling you? lose somebody in their business, we will replace them immediately. u.k., some ofhe the jobs that were lost, those companies are adding one or two people. we are seeing that uniformly. >> are they hiring now? >> they survived to the downtown. they know they need to grow their business and improve their manufacturing business. we have seen drunker in engineering and i.t.. the consumer at the end -- the

qualified accountants. we are seeing them move across the markets. >> what can you tell us about wages? we were hearing that real wages might get up to zero percent after five years of being squeezed. that is a lot of ground to make up. >> what i was here in january, i see anfident we would increase. we have seen an increase in construction property. there is a phenomenal candidate shortage. -- architects getting a 10-20% uplift. broader -- expected to see a three percent increase. that is a common theme across europe into asia. >> one of the quandaries the bank of england is pondering his how much like there is in the labor market. they announced their latest rate decision today. what is your assessment of slack

in the labor markets? >> it depends how you did -- to find that. a lot of people have not moved in four or five years. i'm confident we have three or four more rapid years of growth to come. when you look more will sleep in skill shortages, there are areas where we're heading that. in thengineering -- engineering space, companies like jaguar are looking to increase. there is a skill shortage that will play into increases. we have a long way to go before we have to worry about overheating. >> for the rest of europe, how do we square the dreadful unemployment figures with the messages you are giving? are spanishnd -- business was up 18%. europe countries going up by more than 10%.

this is about people being more confident. they are confident to take a risk and move from one company to another. if they are going to do that, they will buy houses and cars. they will shop. what we are beginning to see across europe is it in absence of bad economic news, we are seeing an improvement in sentiment. >> austria -- australia. >> i would expect to see some growth prospects in the next 12 months. >> thank you, paul. joining us from hays. bugoming up, more on the biting the big internet giants. stay with us. ♪

>> welcome back. there is a computer security bug the has left many of largest websites vulnerable to hackers. we are here with the story. what is going on? >> what you thought was protected isn't and has not been for two years. there has been a bug related to the open source software. it is a program that helps protect -- when you send your e-mails and the bank data. an instant message. it scrambles the data so no one

else can access it well troubles from you to the recipient. for two years, there has been a code problem. they have been able to access this data. we don't is what -- know whether they have or not. they leave nor trail. -- no trail. we know that since it was made public, now hackers are on this. they are on the lookout. they are trying to get into our information. the people that found it, google security. a finnish security company. now the internet giants are coming out and saying, we are fixing it. we are looking into it. . that were affected but are now protected our companies like facebook and

google. they have updated for this open-source software. yahoo! was late to the party. they said, we have been able to prevent problems. originally, you could leak passwords. the concern here is that two thirds of all websites in the world use this particular -- you have the little padlock symbol. >> that does show on competitors as well. there are a number of competitors. but they are the most prolific. >>?what should we do as consumers >> they say change your password. if you are like me and have a dober of passwords, don't that. but while this is being faxed -- fixed, you shouldn't change

your password. wait until they have fixed it. >> thank you ray much. >> -- thank you very much. >> just ahead, we will leave speaking to the global chief investment officer. ♪

>> this is "countdown, i am mark barton. ">> the australian dollar up today. usually when you get week data, it goes one way. the projection is for the us trillion dollar to fall. it is doing anything but. it is the second best performing major currencies so far. unemployment that are then many forecasts, falling, a surprise

for many people. the reserve ain't ended the reserve bank-- the in the main easing cycle. the u.s. dollar has dropped to a five-month low after the release of the fed minutes. in contrast, the us trillion dollar -- the australian dollar is at a five month high. the unemployment rate unexpectedly fell in march. a car bomb has exploded outside a building belonging to the bank of greece in athens. no injuries were reported. returnspens as greece to the on the market. about to tee off for the first major of the year.

the tournament in augusta turn 24 rookieshas competing, but tiger woods is out, recovering from a back injury. >> the wealth management summit in doubles -- davos. we have alex friedman. great to have you with us. hope you have a good date and -- day in davos. i have china, which is potentially slowing down. qed. russia. what worries you the most? or concerns you the most as a cio? >> the biggest concern i have is to avoid the short-term concern. we read the headlines and say, oh boy. does this change our fundamental view? short-termot

investors. we have conviction there is a global recovery underway. the equity markets will and higher than they started. fundamentally, nothing has changed. >> we have not had a big market correction. when you get together with the other cios, you say that is a risk for 2014? or an opportunity? >> let me make it simple. i think the markets will and the year higher than they started. volatile along the way. it if there is a 5-10% opportunity -- correction, that is a buying opportunity. it will help us pick up some assets cheaper. >> we were talking about the federal reserve and the dots. only what you think -- tell me what you think. >> i will get in trouble for this. >> no you won't. is a little like the emperor

with no clothes. if i look at what the fed has done, they are going back to all be red and green lights. the dashboard. we see a lot of red lights, so we are not moving too quickly. the six-month is not something you should worry about. janet isl see whether right. technology in the headlines. are you oneugh -- of the cios that says, i am concerned about our technology holdings. interesting one. if you look at the overall industry on a valuation basis, it is down. what has gotten the headlines is the consumer tech. it is going down substantially more. this is a rotation from newtek to old tech.

overall, tech should do well this year. ceos have a lot of money. interest rate are going up. they have to put the money to work. technology is one of the big beneficiaries. 75% of the sector is enterprise. business, not consumer. that's translate into spending for the business side -- that should translate into the spending for the business side. the cheapest sector is technology. trading at a discount on the s&p. trying to discern, as you said, slightly older -- we have validity ofned the forward guidance. that is a fair debate. the reference to slack, the the centralves of banks. that has longer-term

applications. take me through your view of that divergence. we are in the proverbial inflection point. we have been in a uniform central-bank policy. loose monetary policy everywhere. now we see a different chance. -- divergence. i would say canada and the bank of england are mostly will -- most likely to raise rates sooner. u.s. is in the middle. and then we have the bank of japan. truly depend on the fundamentals of the economic recovery. we are confident that the u.k. and canada are doing well. we are confident that the u.s. is doing ok. europe is still uncertain. wey are heading more where have two ees. everything i read in terms of what the ecb -- negative rate's, simulate quantitative easing.

it is probably not what europe needs. what is your sense of what will have a dramatic impact for investment here in europe? >> we need a cheaper europe. that is a huge job -- drag. >> how does he get the euro down? >> the dollar will go up. it will accelerate on the back of a tighter monetary policy. >> mario draghi needs to be -- he can't live on a hope and a prayer. the sense that the dollar is going to go higher. >> he can inject liquidity. well ago to negative interest rates or bond buying? he is waiting for another three months of data. >> rate to have you with us. -- great to have you with us.

alex friedman, the global ceo. we will try to have a selfie. --will get technology >> very good, manus. you are a disruptive influence. davre pleased to see that os exists outside of january. >> the world's most famous cycling race takes place. the were they from its -- tour couplece kicks off in a of months. >> we are gearing up for the most important a bike race. the 101 tour. beginning in the united kingdom. why? that is a question we can put to the director. thank you for being here.

success thate cycling had with the olympics? >> jumping back to the start of the tour. it was an unforgettable. huge crowds. that is what we thought we would be 10 years after. british writer any tour.- rider in the we decided we had to come back as soon as possible and we are here in 2014. >> what was the end of the? the- what will stand out in tour? guyerhaps the new colombian who won -- i don't know. it will be 29 years.

>> your money is on? [laughter] >> i don't know. as an organizer, >> that would be better for business. how was the business of the tour de france? especially after the departure of lance armstrong? >> it is different from all the other races. the tour is very different. have only -- the tour is different. it is not only -- >> is there more money in professional cycling now or less since armstrong left? >> i have no answer. difficult to organize races apart from the tour. misshical issues, do you

lance armstrong and the star factor he brought? he is a very special character. but we have to look at the future, that is the most important to read the past -- that is the most important. the past is the past, we can do nothing about that. i am confident in the future. >> how huge -- confident are you this will be a clean race? >> you can ask that for any event in any sport. >> it is fair to say, that is not a promise you want to make. we have not had a completely race.-- clean >> you can do that for any event in the world. quite asselling not

badly as anticipated. the analysis of the largest apparel retailer for you -- the u.k.. ♪

>> first. bloomberg. l&m -- the report of the

fashion --ther and they are introducing more important -- expense of our ducks while increasing investments at some of the smaller fashion brands. jony ive is-- getting more authority over the look of the products. he is taking more control over the look of the ios software that powers iphones and ipads rea -- several carmaking's are continuing convertible models -- discounting convertible models. worldwide sales have lunch to 44% from their 2004 peak -- have % from their4

2004 peak. consumers in fast-growing markets such as china and india prefer sedans and suvs as a barrier from east -- the street. is 7:46. let's get some analysis of the figures. brian, morning. generalretail, merchandise down 0.6%. the 11 straight quarterly decline. u.k.he ray of light, apparel up six percent. >> this is the first time we have seen them split out. aside from the broader general merchandise category. on the face of it, some good news. the menswear in particular is growing faster than the rest of the clothing business.

ofcan take that as a sign genuine good news. green shoots of recovery. i would be -- what precisely is included in clothing and excluded. to get insight into how well the rest of the business is performing. >> do get the sense that there is a right size for m%s? cane have seen market share -- suggesting they are losing share to they're more nimble competitors. they are growing slowly compared to h&m. the sense will be that they will help model the -- have bottomed out. there are individual pieces of the womenswear collection. you see them quoted and selling

out. thisu see the benefit -- is a fashion merchandising design. a much better job of segmenting. quite expensive items in their. >> british made items. >> that helps them appeal to a different array of shoppers. the leading lady's campaign may have landed quite well among the upper-middle-class is of london. is it really going to resonate with younger families across the u.k.? you probably don't know who have these people are. by theld be encouraged broad direction of the business. >> he has been there since 2010, the sales target. the reduced sales target. analysts say it will be missed. it's his job safe -- is his job safe?

>> this is timely news for the patients investors have. some good news for women's wear. that is the engine of the business. good timing for him. this recovering -- recovery in clothing sales. getting people in the door and shifting some of the less popular past the range. the margins will be lower for the year as a whole. some good news for shareholders in terms of the direction. >> what about cash? year.andmark next has become more profitable then m&s. m&s is up and down like a yo-yo in terms of the scams they are offering.

news for clothing. bad news on margins. >> they are focusing on the international business as well. >> they are justifiably excited. it is a low cost, low risk -- >> they have been there and retreated. kept hold of have some of their big flagship stores. is a lot ofk there exciting franchise opportunities. they are growing strongly. the recovery in western europe. that gives them a good sort of upside for growth on a global basis. they are becoming an international multi-channel business. in london. checking in on china's data. that is next. ♪

>> welcome back to "countdown." looknathan joins us for a at the big scenes to watch out for. china is at the top of the list. >> a terrible month and mom --

in february. that ain't other figure, -6.6%. iswere expecting -- what bad, the data or forecast? everybody is talking about how much does that blue or the figure. that is a weak number. everybody missed it. figure.ia had a jobless paul allen came and almost dismissed it. >> correct me if i'm wrong, but there are are a lot of people -- the balance between part-time and full-time jobs -- >> we see a big shift >>. -- >> the headline was better than expected. the australian dollar rose after that number. for traders, the australian dollar for the next year goes lower. right now, it is not going

lower. second test in performing major currency this year. it is not going anywhere but higher. what pushed it? lower? , is what happens with china and the federal reserve. interest rates. >> the dollar in new zealand, best performing currency. >> was talk about what is coming up later on today. they met yesterday afternoon. >> they have been on autopilot for 2014. a a debate about what happens over the next 12 months. look for higher rates. the markets will have to adjust. >> personnel is changing. >> is hard to understand how they will vote. quick slots we do not know --

lots we do not know. >> stay tuned for the interview with -- >> that is coming up in a few minutes time. 755 and london -- 7:55 in london. ♪ . .

welcome to "on the move." i'm francine lacqua in london. coming up this hour, alex with the conversation from davos. we will hear from the chief executive of ubs wealth management, juerg zeltner. we are moments away from the start of european trading. our markets team has everything covered. here with me now is our european business correspondent, caroline hyde, jonathan ferro. and manus cranny from davos. futures are up after we heard

from the fed yesterday. >> we got a minute yesterday. there is probably more nuance. iny are focusing on one line 25 pages. perhaps those forecast push higher baby thamaybe that is unwarranted. weak chinese data. >> very weak. another surprise, although it has not had much impact on markets which is why we have manus in davos. you have a special interview coming up. youill be about how reconcile this chinese data with everything else we have seen on the markets. >> yeah, francine. we have had two conversations. one on the whole chinese aspect. he said the chinese will support growth at seven percent. you have to trade those markets. alex friedman, globally his message was that the euro was the biggest chall