and vladimir putin remain divided and turmoil grips cities in the ukraine. russia gets threats of more sanctions. cutting back after the lending boom. new credit falls in china. money supply goes to the lowest 2001. doubling investment in the united states. -- united spirits.

>> hello and welcome to countdown. i am mark barton. good morning. anna is away. our bloomberg reporters are standing by across the world and are ready to deliver the stories that will drive the your day. -- drive the day. caroline hyde has details on the offer for a majority stake in united spirits. the biggest maker of cancer drugs. the company says that grows sale is coming in at 11.5 billion. that is in line with expectations. the sales in the diagnostic division are two point or six billion -- 2.46

billion. they said that revenue will rise to a low to mid single-digit percentage and they projected that earnings will increase at a faster pace than sales. this is a company that is benefiting from news of regulators that have approved other breast cancer treatments that could benefit the prospects for the biggest cancer medicines. it is the biggest maker of cancer medicine and, the company expects to further increase dividends, as well. from the ukraine. the ministers agreed to have new facingn a list of people sanctions. they declined to go any further. david tweed is in berlin.

what would it take to introduce wider economic sanctions? >> if you look at the discussion going on, you can see that there are diverse views. they are waiting for actions from russia to move their troops into the eastern ukraine. for now, ashton, really compromising. she is waging a war of words. >> we condemn the actions by the armed individuals in the cities of the eastern ukraine. these destabilization's of ukraine must stop. we support the unity, sovereignty, territorial integrity of the ukraine. to next thing we are going look out for is if we are going orsee any action by troops by the acting president.

if we do not see that, the action moves to geneva. we will have talks on thursday. minister isoreign saying that it is possible that the european union will put into place wider economic sanctions next week. president barack obama says that the united states is ready to ramp up economic sanctions. night states goes alone and imposes sanctions, what is the likely economic impact of russia. >> the economic impact is going to be less than if they did in conjunction with the european union. think about it. trade was billions of dollars last year and the u.s. was $38 billion last year. , even the actions that

have been taken so far are having an impact in russia. you can see what is happening to the ruble. it is down. the stock index has lost 10% so far this year. is having a big impact on the ukraine economy. increase theced to benchmark. of economic sanctions. and said, we had a meeting a telephone conversation between obama and vladimir putin last night and obama said that he wanted to see russia stop supporting the pro-russian separatists in the ukraine. said that it was up to united states and their allies to make sure that there is no bloodshed in the eastern ukraine, as well.

, positions are intransigent and divided. >> a credit crunch in china. declines as money supply grows. we are joined from hong kong with that story. good morning. >> good morning. fellmeasure of new credit and aggregate financing came in at $330 billion. at 160 $9ng in billion in the month of march and the money supply raised. estimates.low policymakers are trying to rein in a credit range and prevent defaults from spurring broader financial volatility. they are targeting economic expansion at 7.5% this year. atre are more released notes

-- on these figures. money and credit data is in line with slower growth momentum and they are maintaining that you that the gdp will grow at 7.3% in the first quarter. tomorrow, that is the big piece of data we will watch. the government will have to ease policy further, particularly on the monetary side. that is something that the government has shown intent on doing. ratio said reserve grow in theply will second and third quarters. reported onal bank foreign reserves. how did they look? >> it is an and port number. it is the largest. 2.3 from 2.8 at the end of december.

how do you interpret this if you look at these figures? to increase shows that the weakening as a result of heavy .ntervention that is figures that came out and the big one that we're counting down to is the gdp that will be released tomorrow. >> hong kong. state lasto increase year and trying to luer spirit investors again. let's bring in carolina hide. increasing significantly. >> more than double. 3030. the equivalent of 26%. over a quarter of united spirits. this is to gain certainty of control. the biggest distiller in the world already says that they have effective control and hold

29%. them to 55.s what a nice big round number. they say they are not the listing the company. they want to gain certainty of control, they say. the 18% looking to pay premium to get all hold of the company. >> why the focus on india? it is that little glass with ice. is whiskey. >> india is the biggest market for whiskey drinkers. we saw yesterday. we see it today with getting further into india and emerging havets and the desire to increased consumption and alcohol and the biggest was the

market. we know they have johnny walker. they are adding to that. be adding to that portfolio, in terms of whiskey. sadly, they would have to andoad 400 million pounds get the course, have to regulators to say they will not drive up the prices and they will offload those. >> very quickly in india right now. >> pretty stellar. deals have been done in india and that is 260% higher than this time last year. that is ahead of where the world is. 260%. >> thank you. china.ey supply and we will focus on the weakness and the gdp date. stay with us.

>> time for company news. the biggest distiller wants to raise stake in united spirits. billion in the.9

indian-based company. they hold a 29% stake. it would be the biggest consumer product acquisition in india this year. the maker of high altitude solar powered satellites. . the drones provide high resolution images and monitoring systems. the terms of the deal were disclosed. iron ore production rose to a record high. still missing estimates. estimates and cutting

costs. the biggest contributor to earnings. the prices longed during the quarter as the inventory grows. welcome back to countdown. new credit for last hello. good to see you today the broadest pace since 2001. the efforts to rein in the credit and is working. >> yes. working hard to slow credit growth. every endemic statistic i have is slowing china faster than i mentioned. yes.

do you have a worry? are using minor measures to support growth. it is a plan to have less reliance on credit and less reliance on exports. it turns the economy onto a more sustainable path. >> throwing the market a bone. is it worth cutting. >> at the margin. two weeks ago, there was more spending. it is the kind of thing you can expect at the margins. making sure that this does not slow down too fast. it is a small effort to offset a necessary adjustment. >> getting some breaking news from the food maker.

organic growth is crossing the bloomberg terminal. caroline hyde is here. we have a 4.2 increase in hownic sales and it shows the organic markets are so superior for returns. they are up 0.6% and that is why we are seeing these companies. nestlé is pushing into china with some of what they offer. they have buxton. coffeehey have taste in in china. strengtheningthe frank is way airing on the desk is weighing on the sale -- is weighing on the sales.

it is far less in value. you also have other headwinds. notably, rice deflation. 2014 withntinue into a lot of the food producers prices.o reduce their it fell in the first quarter last year. >> it will be consolidated in the second quarter. >> coming from nestlé, it will be what they do. >> stay there. we will see you later. before i ask you, finishing off with china. it is $3.82 trillion, the world 's biggest. is that proof of the weakening in the first quarter being a

result of the heavy intervention by the central bank? >> the biggest driver of the reserves is how much money in investment goes into the country. although, if they have been , they know near the four percent false by the currency. it is driven by the central bank, rather than the market. think that we can infer that they have been doing massive intervention. >> that was the first quarter since 1994. could that be mirrored again in coming quarters? >> the plan is to stabilize the value around and about here.

terms, since 2006, i cannot see why china would want to forever have an appreciating currency. still, thestays current is appreciating. >> i am talking about currencies. i'm not going to ask you about kit kat and nestlé. they say the strengthening of the frank is continuing to weigh on sale. swisss something that companies are going to have to continue to worry about? markets?e emerging >> yes. they can stop the strengthening against the euro. to get it to weaken requires needing to focus

on sales overall. of, the fact that the number swiss francs doesn't look as good these days. that is just a reality. holds a hugetill current account surplus. they seem to be pretty competitive. >> thank you. kit stays with us. german investor confidence is out today. a lot to discuss. stay with us.

>> welcome back. this is countdown. falling one half of one percent yesterday. did the comment on the euro actually do it? what do we think? >> i will give him half a percent. what's that is not much. >> no. between 135 and 139. i will get another cup of coffee. the ecb lines that

furtherif it increases deposit rates. that might be semantics. i think they will use currency strength as a reason further out if it continues. talking about it for a long time. i do not get excited about yet. >> a short-term dollar. >> the cpi data. >> it may be marginally held. there is unemployment data on the way. >> wages will rise. >> yes. the economy is recovering. we are going to get post to the

point where wages are increasing. >> good for pound or bad for pound? >> we are hammering away. economy with ad tendency to borrow money in short-term and those are all going to be problems. i'm sure we are all rushing. was looking at the front of the daily telegraph. >> probably isn't. , you have to see the numbers within the context of the improvement in the labor markets. >> the global strategist. up, banking on. and. we take a look at the price that

will be paid and the relationship with the russian president.

>> welcome back. let's get to the fx check. the dollar. the weakest rate since september. the chinese currency. the dollar is getting stronger and the chinese currency is getting weaker. on the year, the chinese credit fell from the year earlier.

the bigger slowdown. you get a couple of answers for the questions. the gdp, industrial production in the next 24 hours in the world second largest economy. >> the bloomberg top headlines. warned vladimir putin. talking about the crisis on the phone after -- turned deadly. -- told putin to old obama. the government has nominated a new chief executive for the largest state patrol companies. the prime minister chose internal candidates for the top the top post.ed the numbers on lending.

the broadest measure of credit. the move comes as policymakers are trying to rein in a credit page -- credit binge. threatening tougher sanctions against russia. we look at the business that has been targeted. vladimir putin has tied to the bank. we are joined with the story from moscow. choose at the.s. only company to beat sanctions? of vladimirsymbolic putin and what his government symbolizes at the moment. arebiggest shareholders vladimir putin's allies.

bank and a% of the very powerful media conglomerate in russia. that they have driven up the popularity to 80% from 65% in january. ther shareholders include andof russian railways another person on the u.s. sanctions list. it is a powerful natural gas producer. it is that company that includes the closest allies of vladimir putin. >> how did it rise from nothing

to have all of these assets? >> that is the remarkable story behind this thing. vladimir putin was directly responsible for this. it is currently by deposit. it is not before vladimir putin came to power. it did when vladimir putin became president. what is interesting about this bank is that most of the loans, i mean 99%, go to powerful corporations. less goes tor citizens. that shows you that this is a

special bank. >> thank you. we are joined live from moscow. let's stay on the topic of international tensions. . am joined by a list thank you for joining us. vladimir putin and barack obama have spoken on the phone and the european union has and lamented further sanctions. the united states has threatened harsher sanctions. how far can they take the sanctions, taking into account the fragile economic recovery. >> they are divided and we know that there are countries that are more in favor of strict sanctions, whether that is due to animosity, like poland. that are other countries

think that the economic impact would be significant. it is going to be difficult. we saw the first round of negotiations. similarly, if we are looking at sanctions in russia and access to financial markets with oil and gas to panisse, that is going to be more difficult to achieve. theill pushes europe to go extra mile, when it comes to sanctions. is it a military invasion by russia? what is the line in the sand? >> i think that is right. if we see the troops going into the ukraine, that is that. and there to step up will be a lot of pressure. >> what are the intentions right now? >> we know what their interests are.

we are less clear with the intentions are. russia acted out a strategic interest in holding on to a significant territory. clear what is happening. what we do know is that russia wants the ukraine with in their orbit. inis stabilized east is with their interest. it gives him a stronger hand when it comes to negotiating. >> do they have support for a federalized area? the support is there. it has not reached critical mass. the dramatic events that we are ofing and the taking over

buildings are not necessarily supported by the broader population when they call for active secession or federalization, only 20% or 30% of poles suggest that. >> the margin of error is small right now for the government. if excessive force is used. tipping pointa that would necessitate russia to act. >> the deadline came and went. >> it did. it shows how little control they going on and is that the threats and not being taken seriously. we have continuing action in more and more towns and cities in eastern ukraine. >> you think a gas prices is on the horizon? >> potentially. we are reaching a critical point

where they say they are not going to pay for the gas and there is an open question. russian -- one thing the russians hold. not used that leper because of the obvious consequences. >> thank you. ihs. output. ore the company may need to diversify.

>> time for the company news. the nature of brands. they are expanding into burgundy. they add to the holdings. the first quarter sales of wines and spirits. novartis and shire is said to be part of this.

they are considered the most likely buyer because of the partnership. may value the company as much as $1.3 billion. reporting the weakest quarterly sales in four years. slowing demands for consumer products. it is a small escape. >> welcome back. this is countdown. 6:43. iron ored-biggest in production. joins us news reporter now from sydney. good morning to you. run us through the numbers. >> it was a record. a staggering result. it was not the record that

analysts were after. duke -- a miss in the the jewel of rio tinto. january and february is cyclone they didn't take a battering there. there is still healthy numbers. there are good signs from rio tinto, apart from the iron ore. they made a return to form. spots aroundot he aluminum. a was very flat and quite disastrous play for rio tinto. the bottom line was a good result. modelontinue to be a real

of ceo. success in mma. >> you'd have to say that the history is a shocker. they went into the global $40ncial crisis and had billion on the balance sheet for a performing asset. now, that did not go over well. and they over to that have not returned the investment they originally sought. see the iron ore doing those things well. they haveing that done poorly in the last five years and any analyst will screen this at you is buying assets at the top of commodity

cycles. they want to merge them with the andany along the timeframe it is a case of learning from the mistakes of the past and doing what is best. go forth with iron ore. >> thank you. dan in sydney. >> foreign investors are returning to the country and bond markets. the prime minister is counting on that to sustain growth. here is jonathan. the timing of this interview. the 10 year yields are at a record low. >> would have to say that to be the chief of one of these agencies is one of the biggest jobs in europe. it is expected to rise to a post this year andgdp it is absolutely massive. is look at the bond and it

down, down, down. it shows that they are not paying much attention to the numbers. there is an appetite for a tying debt. this is what they had to say about that appetite for foreign investors. we have noticed a strong presence of u.s. investors and, as usual, the european component is the most important one. between the eurozone and non-eurozone countries. particularly the united kingdom are quitenavia important. >> the appetite is there. not just domestically. >> traditionally. they are trying to extend the borrowing costs for a longer amount of time.

would like to see this around 6.5 by the end of the year and has a little bit of work to do. paying do they say about more euros to companies this year. >> 470 billion euros this year. she told us that the difference is manageable. it is 33.6% of financing needs already in the average yield is 1.62%. she is optimistic and i have to say that we interviewed the chief two years ago. if we had done that, we would have a different image. >> things have changed massively and i called to ask what had changed. he said, things had gotten a little bit better and the recovery had gotten a little the better. they said it is early days. it is going to change everything. i don't think so. the bottom line is that italy

and the problems will take a lot of time and patience to sort out. >> you may not recognize the name. you will know the work. it is an italian designed firm. maserati,our a, rolls-royce. this business is still a family affair. jessica howard reports. >> it has to bring a strong personality. car, itave a successful is 20 and you start again like it was the first. >> the patriarch and the chairman of the company that bears his name. he has extraordinarily big shoes to fill. never taking is for granted what has been done. batista inunded by

1930. a visionary inventor and invented a style amber and and a family. >> he may have. into a transformed it globally revered brand. he led the brand for 40 years and became known as the godfather of a tiny design. sergio was determined to change the perception of cars as merely functional and wanted people to love them. we are following this vision. it is not enough for us. >> some of the most beautiful ins were first imagined here the headquarters in the northwest of italy.

rolls-royce and, for ari. >> the relationship with farah rate is by far the most important relation in the history. 1952. the model was named sergio after his father. a tribute in the best way that the company knows how. >> it is very special. it is a family business. the history of the family is the history of the company. >> coming up, we tell you why in naples, italy. that is next.

>> welcome back. this is countdown. 6:54. it is newspaper time. john, what is going on? ed in the new op york times. i have a lot of family in the south of italy and this is not meet looking down. there ist say because nothing there. some of the most beautiful coastline in italy is down to the south.

go to the south of italy. we talk about reforms in italy and italy needs to reform. italy this and italy that. look at the tourism board. what percentage of their budget salary? >>s spent on is obviously high. >> 98% of the budget goes to salary any other is for them to do their job. there are great numbers in this story and i suggest that you read it. not got the numbers. it gives you an idea of the scale of some of these problems and you get characters and the job they have to do to turn things around. these problems are big. so many people go to sorrento. >> on the other side.

absolutely stunning. foreigners.et many it is starting to change in little bit. >> tour is him out there. there. not want people >> exactly. >> there you go. there is the issue. >> this is the interesting one in the times. this is about 3-d printing food the attritionone among the elderly in care homes. puréedt processed and food. they are trying to three print food to make it look more appetizing. hopefully, malnutrition will be on the downside. massive commissions from an indian engineer to have a 3-d printer. they have published the history of buckingham palace and

bests bought in 17 69 1769. it was acquired by george the third. i have run out of time. see you later. the details are next.

vladimir obama and putin remain divided and turmoil grips the city. russia gets threats of more sanctions. cutting back after the lending boom. money supply grows at the slowest rate is 2001. --sing spirits, offering the in united spirits. >> welcome back. i am mark barton. anna is away this week.

agreed ton ministers add new names to a list of --ple think seeing sanctions facing sanctions and declined to go any further now. david tweed is in berlin. what would it take to introduce wider economic sanctions. move will take action to some of the troops that they have on the border into the ukraine and we do not have that yet. actionhave is a gray he isvladimir putin, supporting the pro-russian separatist and not doing anything. in the meantime, the european union. the actions by the armed individuals in the city of eastern ukraine. these attempts of the

stabilizing the ukraine must stop. we support the sovereignty and territorial integrity of the ukraine. >> the reluctance to put into place sanctions by countries like germany are a reflection of the fact that there is a hope that there will be an outcome to the meetings that will take place on thursday. the european union is said to be ready to step up sanctions next week. the united states is considering ramping up economic sanctions. alone, what ist the impact on russia? >> not as much as there would be if there was a coordinated economic sanction coming from the european union. last year. the pressure-united states trade was quite a big difference.

the other thing is that we are seeing impact on the russian economy. you see them down 10% this year and you see the ruvell -- ruvell ble down. they are trying to stop a route in the currency and does not seem to be stopping. that is a difficulty. all eyes will be on what happens in the eastern ukraine and whether we will see ukrainian forces taking action against the pro-russian separatist. it will be geneva on thursday. >> thank you david tweed in berlin. trying to whom united spirits to gain more control of the indian distiller. let's bring in carolina hide.

they have increased significantly the offering. >> more than double. they are offering 3040 rupees per share and doubling the amount they are offering to pay to get their hands on a larger part of united spirits. they arty have 29%. that would give them more than half. they want certainty of control. they have executive control. they want certainty of control in holding more than half of it. $1.9 billion is the amount offering and they are offering above what the market currently values united spirits at. >> yes. it will take the shares above 50%. why the focus? i don't mind a dram of whiskey.

india is the biggest market for whiskey. the biggest distiller -- brandswn bands like bagpiper and mcdowell's. the world's biggest distiller is johnny walker. they want to use the distribution network to drive they own guinness and smirnov. they are the sort of brands that they could get further with in india and it is a fast-growing middle class. these are the sort of areas that we're seeing in growth of demand. >> while you were talking, i was seeing where the big deals are. >> phenomenal. far above what we are seeing in the rest of the world. it is up about 40% across the world.

basically, is the increase thinkingly, people are about what it offers and also the government changing its if you are a retailer, for example. you can expand to other countries. it is fascinating to see what they are doing. one issue that they are going to a white rum. >> they have to offload that. >> there are a lot of whiskey regulatoryse concerns. i got into it in jamaica. i am not going to live. it is nice. >> it is. >> it is all the range -- all the rage. maybe a bit of water.

>> yeah. ok. thank you. , credit is declining. we are live in hong kong with the details. hello. >> hello. water exciting as coconut . this is also an important measure that we have been watching. this is a broad measure of new credit that fell and it comes in million for the month of march. the money supply is a little bit below estimates. policymakers are trying to rein in a credit range. in terms of financial turmoil, they are trying to target the gdp growth. the latest note says that money

and credit data is in line with growth momentum's in china. they are maintaining the view that gdp is going to slow in the first quarter and we will be watching that number that comes out tomorrow. they continue to say they believe the government will ease policy on the monetary side. i mentioned that that is with in contrast to what many think the government is going to do. they say that, without a reserve cut, it isment ratio likely to slow further enter gdp. this quartering and the following one. >> the central bank reported on reserves. how did they look? >> yes. everyone knows that it is the largest and foreign exchange oferves went up at the end

march. the endoff from 4.82 at of december. why do we care about this increase? it shows that the weakening as a result of the heavy intervention and we saw a lot of it in the first two months of this year. >> thank you. live in hong kong. swiss chocolates are not selling as quickly as they were. we will have more on the outlook and the strengthening frank for low sales.

>> welcome back. it is 7:12. let's talk about business. there is a minimum wage vote coming up. for a look at how this might impact companies, i'm joined by the chief executive of capital management. good morning and thank you for joining us. >> good morning. how are you? >> good. let's talk about the slowest first quarter sales growth since

2009 and that is on pricing pressures in europe. sharese a company that trading on earnings and a couple of frank's from a record high. does this justify levels? >> you know, if you take a short-term view, it would be easy to feel that way. it is one that could be almost a bond with a growing coupon. as cane about as solid get and the key is to move past the short-term blips. it was a lot smaller. it is likely to be a lot bigger. it is a high valuation and i think, in many ways, you can justify it.

>> a deal with continuing deflation. having to worry about things depreciation the in emerging markets. can swiss companies continue to deal with those factors? >> i would tell you that what is is that they continue to be a strong currency. and the emerging markets, what i would say is that the european base for a company is getting smaller all the time and when you have brands like they do, they are able to take a whole number of actions and move their costs around. more and more of the production

is happening in the economy where they are selling their goods. with priceo deflation and enormous strengths. it is easy for us to be worried about the things that are close to us. the global nature of these businesses and the levers they have to pull. costs, wesubject of are speaking about the upcoming referendum on the minimum wage that will be 22 an hour and the world's highest. are you a fan or not? i am not a fan of minimum wage. i am someone who believes in minimal government intervention and economies and forcing people shows thatrtain wage

it restricts the size of labor markets. like nestlépanies and many others that choose to headquarters here in switzerland. they have all sorts of other benefits to being in switzerland. i do not think it will have a huge impact on the swiss ability to attract a high-quality workforce. i think that if i was somebody hour, the at 22 an units and the socialist parties that have push this forward and claimed to be serving these people are not serving them. >> a lot of people talk about the propensity of this referendum and this ballot. they could drive away.

they could undermine stability that is the key to the wealth of the country. i am not just talking about a move to curb that measure and the flow of foreigners. more ofhave more and them? can we take the presence for granted? >> is a great question and something that was expressed on the right of the political spectrum. amongis a consternation most of the political elites as they tried to translate the will that is expressed by the people and do something rational for the overall economy. the people voting in these referendum are the people who are not the beneficiaries of globalization and they have a voice.

the voice is well heard and it is a contribution to stability of the country that, early on, by hearing the voices, they can start acting in a way to allay the fears that are on the minds of politicians on the right, in the middle, in the administration. how does switzerland developed the rules and regulation in a way that reassures people so they feel like they benefit from globalization. >> file question. i want to get a question in. what is happening in equity markets? i suppose it is dominated in declines of technology stocks. is your take on the selloff we are witnessing and have witnessed within technology? >> yeah. i think that where i come from is that, let's not forget where

we were and a lot of us were not ruling out something like a 1930's style depression. there is a sort in sort of euphoria when we realize that the worst of our fears have not come true. the eurozone did not fall apart and greece is working through its problems. spain is working through their problems. there is a lot to be optimistic about. valuations did get a little ahead of themselves. that does not mean that we are about to go back to 2009. it means that things are not extraordinarily cheap and we can expect volatility. that is what happens in equity markets. >> it is always good to chat. thank you. joining us live from zürich. we had to the break. take a look at this. total.he first of four

this will be happening in the next couple of years. the blood moon. the light bills over the earth. i did notice it when i climbed in my car this morning at 2:36 a.m..

>> it is time for the company news. u.s. andevenue in the markets. russia is getting new medicine. byenue this year will rise low to mid single-digit percentage. russia is the largest maker. the second biggest brewer. one percent and back in line with estimates. the revenue is up by two percent and castle light. over 100 million euros. it is a tiny and liquor. a distillery to expand.

>> welcome back. this is countdown. lowest sales since 2009. caroline is here to tell us about the details. >> headwinds. largely one that keeps happening. of course, if you are a big exporter, you are selling your kick cats and smarties abroad. at home, there is less bang for the buck and there is an issue of strengthening. there is also deflationary pressure in europe and we know that they have not been growing limitedre seeing ability of the food companies to push up prices. 1.6% in total and they were negative in europe. issue. the nextr will be here

weekend. nevertheless, organic sales are back and are the lowest since 2009. emerging markets are in terms ofg and water distribution, the biggest in the market. theaying that, despite negative deflation, switzerland is amazing and the emerging --dle class in the lights likes of china and india. theyere are headwinds that have been quite vocal about. talk us through the business environment. there are some egg things taking place that are not always popular. >> two votes have passed that have shocked many businesses. rule. the fact cap

and onlders have a vote executive pay. the chairman has been vocal about this and said that this gives more control to foreign shareholders. they are worried about the ableration cap and being to limit immigration. people drive over the border during the day and come to work. the chairman of nestlé says that they higher him 19 different countries and that this is a problem. he needs freedom to recruit. lastly, really interesting is the minimum wage. the most in the world. however, only 10% of people are

actually paying less than that. . >> there you go. returning to the bond market and we will see how this plays into the growth plan next.

>> welcome back. i am mark arden. >> this is one of the things we are talking about. china and the chinese currency. why does it matter? the weakest rate since september of last year. you see the dollar getting stronger and the chinese currency getting weaker. is there a bigger risk of a slowdown? the chinese credit.

three key pieces of data. you get industrial production the second largest economy is coming up. >> base of the top headlines today. president obama is warning vladimir putin of further consequences. talking about the crisis. vladimir putin told barack obama that he should use the american and abilities in the escalating crisis. thew chief executive at largest controlled companies. the prime minister chose internal candidates and he toposed francesco as the power producer. since 2001.st pace

the broadest measure of new credit fell 19% from the year earlier. try to rein in a credit hinge and prevent. -- prevent default. moore will return to the bond market. the prime minister is counting on that to sustain growth. here with more is jonathan ferro. >> is one of the biggest jobs in europe. you are managing the debt of a country that is a 2.1 trillion euros and that is huge in a post-war record of debt to gdp. you only have to look at how far the yield have fallen and investors are not putting a lot of weight on the yields. they have half and are invalid above right now. what is interesting is coming from abroad. the debt agency

chief and this is what they had to say. >> we have a strong presence of u.s. investors. component european that is the most important one when divided between the eurozone and non-eurozone countries. particularly the u.k. and also .candinavian quite important. >> she sounds optimistic. she is trying to extend it at a time right now. that is what she has to do. treasure expects it to be more than 6.5 years this year. >> what did she think they have to do to pay more. >> they want to pay back the company's to do that.

470 billion euros. the market is positive. yieldhe average cost and of this year is 1.62%. she has positive if we interview the head of the debt agency. .> it was very different >> a very different conversation. >> the key is to strengthen those maturities. stay there. on the move starts at the top of the hour and he is back. >> we do not know. >> you tried. >> you would like that. three big themes. i think the ukraine is the top of the agenda in the exchanges and emerging-market currencies where the dollar is.

the conversation with your just. we were talking about your exit and meltdown. >> a lack of earnings growth. >> a few years later, we are beginning. >> some valuations look stretched. >> absolutely. whole specter into morning, this is coming in from state street global and he says that we are in a stage with equities. and wereaching euphoria have goldman sachs asset management. interesting notes. she talks about india and a deal

going down. >> caroline was telling us that it was a rise on deals. i --am looking to use am and a go -- ma go. you talk about equities. a lot goes into peripheral bonds. >> yes. you have seen capital flows and .hat is one of the things money is coming in and pushing the yields down. what interested me was retail sales been better than expected and strong numbers out of the u.s.. wincing about what is happening. we are four or five years into the crisis and access about what central banks are doing. you do not have a recovery until central banks get boring.

>> i don't think they will get boring. >> the federal reserve could go quicker and earlier. i know that john is all about the debt. >> it so happens that janet yellen -- plus the economic club of new york. the back of our chat yesterday. >> let's take his comments. >> i will go and make another cup of coffee. >> at has to do with retail sales. but i think that the market will the new china and credit. is it really adjusting and economy? it is about gdp numbers and

investor production. we will have a greater complexion of what is going on. the inflation data is in the united kingdom. >> we all know about the story. the problem with china is the growth target and we know that it is not europe, to the extent that you can run unemployment and maintain social sustainability. they have to maintain employment numbers. they mean it is the bottom line and to maintain the government and the current form over the next couple of decades. >> a quarter by quarter basis, rather than year-by-year. >> far weaker than the year-by-year data. they will come in and you will not see growth go below

seven percent. it is about employment and social civility is critical. >> on the move is in 20 minutes. we have bulletproof fashion. hot shots is next.

>> it is time for hot shots and a look at some of the most compelling images of the day. safe.ou can never be unveiled his life-saving fashion. described as the armani of -wear.proof ready-to where pyongyang was filled with runners. the race has been held annually for 27 years. they decide to allow for an recreational runners to hold a grander race.

$20,000. 3.85 caret diamond. arkansas, up to 16 through the field. a jellybean. the money from the sale of the diamond will be used to pay for college. welcome back. let's talk about the macro theme of the day. what is the most valuable thing that you have found? >> goodness. giveully, they will incredibly valuable things throughout my life. in general. i have never found anything. >> we were walking down the road the other day and my wife went down to pick it up. it was stuck to the ground. she was determined.

let's get on to boost. distillers biggest joining. you name it and they make it. india, at the moment. they are doubling the impact for united spirits and want another 36% of the company. that 29% and a want to certainly control it. and the 18% premium. people seem to think that they are not paying too much to grab hold and the biggest whiskey and the brands that united spirits owns. they use the network of the rest of the labels that they own. >> sticking with news.

>> the have just come out with ther own numbers and largest exposure to emerging markets out of all of the brewers. is very dependent on emerging markets and it is working. they were up one percent last year and europe was pretty terrible, and terms of volume. infell and it is rising africa, asia, latin america. that is offsetting the weakness that we are seeing. net producer sales did miss and they confident about the ability. >> the south african. the south african brewery is converting the dollar and it will be a concern.

ingely, this is a company emerging markets. >> exactly. the emerging markets will eventually work out. at the moment, and why do foreign currency weakness. the larger term is exposed to growth. more on the prime minister's shakeup, we are joined. talk us through the changes. >> good morning. is thehat is interesting appointments for these companies . there are political takes in the past and the biggest energy company. sleevest manager and a rolled up kind of guy.

mr. strategy. the head of the green power unit. we're getting someone from the inside and not a political appointment. >> what is behind the changes? you.cuse me, i cannot hear >> what is behind the changes and why were they made by the new prime minister. to reform andtted changing the way in the country. i'm not sure that new picks constitute reform. >> how have the choice is going to? think it will be received well. it is early to say because the announcement came yesterday.

another interesting wrinkle in the story is the number of women named. mr. red sea is committed to gender diversity and has named three women. themost notable of which is former head of the powerful employee lobby in this country. i think that pick was well. >> thank you for joining us and good to hear about the new .ominations just ahead, our next guest announced -- sales figures earlier. there would love. -- stay with us.

>> welcome back. we are nine minutes away from the start of the european equities action. and and givesws here. the senior analyst. good morning. >> good morning. let's start with the sales figure in line. it is the weakest in five years. the stocks have had a good run. a couple of more.

what is the outlook today? >> it was a little bit of a miss. there is concern about the numbers. a one-offa bit of because easter is falling later from weatherered conditions. a littlehe numbers are bit of a mess today. what is the outlook going forward. particularly in the euro zone. it is a important market and the consumer is under that. when you look at nestlé, you have to consider what is happening in the supermarket sector. the big brand is really suffering at the entrance and

taking the markets say -- taking the market share. a little bit of that happened with nestlé and people are not buying the premium products and brands. the sales were not as encouraging as one would have hoped. apefully, there is not terminal story of the klein with the bigger brand as people traded down. a little bit of a miss and a concern. things should pick up as angst go forward. is that thee sign eurozone is improving. is up and in line with estimates. the net producer is to percent higher and there were forecast for a gain of four percent in a mixed batch of figures. globale is a big

operation. it is wide across the spectrum and connected very closely to the emerging markets. we had this earlier in the year has notshare price performed particularly well. there is a story and consumer stocks, as well. it is not a similar. there is a global brand and a global company that is well-positioned. you have the major events this year and you have the football world cup, as well. it will be, from the english point of view, a lot of beer being drunk and that should assist going into the later part of 2014. inspiringis not

numbers. >> drunk in england. >> i'm afraid you are right. andot to be too negative, talk to me about cpi. this is coupled with the average it will definitely throw something up. have a quick look at it. there is potential for downside pressure to this number and we could see 1.5% year on year because you can compare last year and the petrol prices. they continue to decline. andol is falling further across diesel and federal. there is pressure to the downside of the cpi. >> the senior analyst. seven: 55.

stay tuned -- 7:55. stay tuned. we will be watching it. inid for a majority stake united spirits. have a look at the lunar eclipse.

i am mad granny. france makua is out today. cranny.manus francine lacqua is out today. our european business correspondent caroline hyde. jonathan ferro is on the markets and a european editor david tweed joins us from berlin. data has come.

gdp and production, retail sales, they're going to be big numbers, depending on how much weight you put on the chinese data. people question it. if it is good. if it is bad they really question it. by onid, you're standing the rhetoric in regards to ukraine. curve on so behind the this. >> i have just been having a look at the [indiscernible] russia is calling on ukraine to stop quashing the protests which are taking place in east ukraine with the pro-russian separatists there. they would hope the geneva talks . looks like that's what we're looking out for one, what is happening on thursday.