>> complacency concerns. some fed policymakers say they may be getting too relaxed about the economic outlook. chinese exports trailing estimates reigniting the conversation for more stimulus. a potential $20 billion deal for airbus. the biggest indian airline is in talks for 200 more a320 jets. welcome to "countdown." ins just gone 6:00 a.m.

london. i'm joined by ryan chilcote and manus cranny. manus, what are you focused on? >> this is typically a non-news event. think of england rate decision. -- and bank of england rate decision. what could stop it? goldman sachs says it would happen. next we get a budget in the india, the very first for the prime minister who took power in may. the finance minister delivers it in about half an hour. one guest later in the show says indian is on the verge of a multi-year bull run. with the topt story. federal reserve chaired janet yellen moving closer to a rough timeline for the end of quantitative easing. jonathan ferro had all the details. complacency, word of the morning perhaps.

>> on the qe side of things, at least they have a date. october, november. we have a date in the next question is -- what next? they did give us some color on .he exit strategy they said they would not and the reinvestments until at least when they hike but certainly not before. you have to say with a bit of .olor >> they're going to try to communicate that policy. before the end of the year and it was a generally dovish sentiment. in mywas really dovish reading. when they talk about complacency and the is sufficient -- insufficient --

>> what does that mean? carney, ads like mark strong worded message to say think about monetary policy and then i read the . monitor policy needed to continue favorable conditions required. low rates for longer. surprised of the uncertainty when you guys are the reason it's there? about how talking they will develop and communicate their plan later in the year in terms of how they're going to egg it from this easy money strategy. they call later in the year well before the first steps are taken to normalize policy. army on course now where we have to try to figure out what "well before" means? -- are we on a course? >> the market pretty much wrote it off. >> treasury really.

>> thanks for that. another central bank in the focus, the bank of england. that is what i will focus on. i don't think at 12:00 today you will get something prophetic. no one is expecting a rate hike. there are a couple of things that have come to the fore. bit think about it a little more, a couple of images, something coming up in september. everyone is saying that rates will rise in the uk's sooner than anticipated, the actual interest rate curve which tells you a rates will be by march of next year will possibly go up. mark carney has thrown volatility into the mix. janet yellen must've had a phone call telling him to stir things up. what's this? the bagpipes are playing. you have a referendum in scotland. i don't think anyone is saying for one moment that the nationalists will win and scotland will go out of the union, but you just don't know.

it's the elephant in the room according to jefferies. it could blow the possible thinking of a very early rate hike. >> i was looking around for some anecdotal evidence of where the looming vote on scotland, a state agency and the u.k. talking about how they found anecdotal evidence that scottish homeowners are delaying plans. is can imagine how that where they say 1/5 of companies say they have this vote as one thing influencing their business decisions. the there in the back of mind and consumers and investors and also at the bank of england. interesting look at québec because we have a canadian leading the bank of england right now. they have an independent vote and that was pretty close. >> i think mark carney has oh is his jumped on his back for

term how it threw a bit near the communication from the bank of england. he's got people at least thinking on their toes and people are now thinking about rates rising before the end of the year. havese market conditions tightened here in the u.k., maybe that's one of the reasons he does not need to hike rates later this year. the other thing is this. if they don't go for something by the end of the year, that's the first point leaving them in the spring. what happens in the spring? we have an election and this is the issue for carney and the bank. they do not want to be seen as a political foot all. , they promisewin a referendum and that gives you two years, 2015, all the way through. are we in? collect that's a worry for business and we discussed that with deloitte. the biggest where he is

political risk. it is not a scottish referendum. that was way lowdown. >> states and. we will bring you that rate decision at 12:00 london time. i do not think it will rock anybody's market. conversation around that certainly. earlier this morning, beijing turned out trade data that was worse than expect it, imports and exports coming in lower than analysts had expected and we are joined now by zeb eckert live from hong kong. does this have anyone rethinking their forecast for china? steven gunn goal said it was a bit of ho-hum data earlier this morning. engle said it was ho-hum data. is another reminder, perhaps as you were saying from the fed and the bank of england, reminders of the global economy not quite as strong as people would think, the chinese economy not quite as strong as someone

like to see. trailing in june and take a look at the numbers. exports up 7.2% but the estimate was for 10.4%. global demand is not a strong as it used to be. the estimate was a 6.6% increase leading us with a trade surplus of artie $1.6 billion. does this leave the chinese policy makers to introduce additional stimulus? let's keep this in mind. as of late, most of the important data point of indicated stabilization. we have to take this all together and remember also that last year we saw distortions of the first months of the year because of fake invoicing by some chinese manufacturers and that distorted the trade figures. you have to take all this into consideration as you look at the holistic extra the chinese economy. it says that they need to stimulate domestic amanda the face of very lackluster global

growth. christine lagarde highlighting that point a few days ago. >> she did. thank you, zeb eckert. let's talk fashion. >> the biggest luxury company burberry will unveil its latest results of this morning. caroline hyde joined us and we will get our very first numbers christopher ceo, bailey. >> he did help present last year's full year. he's already on the run but this .s his first first quarter she has been moved to apple to head up the retail base there but this is said to be a pretty strong set of numbers. growth.like for like not as good as the previous year but remember, burberry is front and center of the digital revolution we're seeing happening in retail whether it is in fashion but a little lackluster in getting hold of hitting the target audience.

they have been streets ahead helping them win over as is added interest from china, shall we say? see the china interest always. >> it was cooling off and we want to see a resurgence in growth particularly in china. what might be a concern is the amount of people coming over in terms of tourism. i will get you those numbers. what i will be talking about at length is all eyes on how much bailey is getting paid at the moment. there is a quandary about whether he is the serving this 10 million pound potential pay package. >> he better have good numbers then. break, a budget for more than one billion people as its latestnveils fiscal policy. we speak to the ceo of one indian company on the risk and rewards in the world's largest democracy. ♪

>> time for today's company news. india's biggest domestic airliner is said to be in talks with airbus. the order may be worth as much as 20 point $6 billion.

they are seeking to buy 200 mark a320 jets and the purchase may be announced that last week -- next week's airshow. airbus is also preparing to introduce a revamped version of .he wide-body a 330 it will have more fuel-efficient engines. airbus has lined up enough early buyers including air asia to proceed with a new model, but the final go-ahead requires board approval. lufthansa will create a long-haul discount arm. they are in advanced talks with a turkish airline about partnering in the venture. the carrier will fly to cities in asia. the ceo says high-end travel also remains a priority for him. >> we are focusing on high-end re-fleeting with a new business class. we are well-positioned with the

fourth lowest overhaul for the upper end of this will us in the long range as well. welcome back to "countdown." i'm an edwards. >> i'm ryan chilcote. >> let's talk about india. >> the next budget for india will be unveiled. bloomberg tv by india correspondent who joins us . what can we expect today? >> not too much. that's the view that most of the brokerages say because the government has been in power for just about a month. the announcement of the budget is expected to start in the next 20 minutes or so and fiscal prudence will be on top of that agenda. the fiscal deficit has been in 4.5%t at 4.1% versus the

announced in the last budget. that said, the fiscal deficit has come in for the full-year target just for two months. the finance minister will definitely have to have that on the top of his agenda. he's also gone ahead and said he's going to have to administer pills to ther economy. we've seen that already in the form of rates. that caused a bit of discussion. the lower half of parliament is concerned but the finance minister says the buckle up a cause they will announce more that going forward and a detailed roadmap is not being expected. it could be more an intention of how the government is trying to rein in the escalating deficit. >> thanks a lot. we are joined now by an

india-based group founder. thank you very much for being with us. a pretty sizable food business in india. what are you looking for out of the budget? global company. we list on the new york stock exchange. india is our production homebase. products and tesco and more by the year's end. changed. india has expecting somebody to present a budget and do miracles within the first 60 days i think is a bit unfair. there is a strong mandate. >> to provide such a strong mandate after many decades. i believe what we are looking is a hint of the future but we will not judge this government by this very budget but by the next.

give them enough time to put things into place and i think that's what the world should be doing. will your emphasis be on infrastructure? is that what you're looking for the government to invest in at the moment? >> food is the biggest opportunity. india is not yet a common market, unlike europe. the gsc will make it a common market and that could bring about a couple of basis points on india's gdp. .dd to that we have a saying in our company, connecting people with the language of food. the current u.k. delegation to india has been talking about many things and we believe food is something that could lead to final retail. >> you have touched on some big subject there. have osborne and the

government in hague. when it comes for doing business in india, listening to some of who has gone outwards from india, what can he deliver in the next six months to a year to make a destination to boost? >> first and foremost, the clear has alreadyas delivered a euphoria of people looking back to india rather than looking away, number one. >> at least they are looking. >> the feel-good factor is back. >> he is a great statesman and he is proved that in his own ability in running his state. i'm sure given time he will prove the same for india. he has a clear vision and a clear mandate. >> is britain on the front foot? as the third-largest investor, switched on a was

few years ago. how do indians view the british relationship to trade? >> the britain-india relationship is strong, whether it is built on trade or investment, i would say it goes more toward investment. britain is one of the largest investments and that is poorly known. china is one of the largest trade partner is but a very poor financial partner. you need to india, lead with a sign of confidence and give an example for the food is miss we are in. there are barriers of protectionism is that the u.k. still follows, for example. we have some of the best rice. is classified in india as basmati but not here. orin india they know a thing

two about rice. >> i would hope so. there is a protectionist policy. the point i'm trying to make here is if you lead by example and say the indian farmers can have access to the western markets and get that kind of result from that, why not supermarkets like tesco go in and have a bigger footprint? give and be a little take. you have the right man at the helm in india to show that two. collect the secret of good rice is to leave it to maturity. quacks like a wine. quacks wine and champagne. -- >> like a wine. champagne.ine and >> karan, thank you. if like me, it you are a parent ., your child is not

in school today. one of the thousands of public workers on strike. that's next on "countdown." ♪

back to "countdown." i am an edwards. more than one million public-sector workers are striking today. response to a pay rise offer of 1%.

there are a number of industries involved in this strike today and a number of grievances. meantt of austerity has the public sector and wages have taken a hit to my cap door frozen and it's been a number of years. they would like to see increases. we have one of the union saying they want a 5% increase which is something we can bring up with one of the world's largest recruiting agencies. sector scene 5%? is that fair for the private sector? these people have not seen meaningful wage increases and a number of years. some are saying this could be the biggest walkout. like this could become an electoral issue. david cameron says he months to put into the conservative manifesto a change in some of the rules around strike actions. -- yountil recently, could still hold the vote and need not to get 50% of your

union members to actually say, yes, we want to go on strike so this is a very political issue most assuredly and civil service areas. to change the rules to force unions, if you are going to call a strike, you need to get more than just a cohort of voters. you need more than 50% of your members to say yes. this whole cost of living argument here in the united kingdom, as you say, 1% pay rise in the past five years and cost of living has certainly gone up more than that. domestic.ready there are a lot of people today looking for day care for their kids. this is something people will be discussing today. >> it has thrown the chilcote family plans in the air. coming up, the titans of tech from google to facebook are united in the battle to address what mark zuckerberg called the challenge of our generation. find out more about that coming

up next on "countdown." ♪

>> welcome back. update on you a quick the foreign exchange as we await the details on the indian budget. actually, no, we will start with the aussie dollar. it rises to a decade high. fitse the aussie dollar, highs.- come off its let's take a look at the dollar

index. a little bit of a change, a little bit of a lower trade on the dollar. 80, as you can see. the fed minutes were a little more dovish for the market. >> the are bloomberg's top headlines. in indonesiaooms as both presidential candidates have claimed the three in the election. the rupiah is at its strongest level in seven weeks. more than one million public sector workers are striking in the u.k. schools and tax offices will be affected by the walkout. ceos and leaders from tech and finance are meeting in sun valley.

major media deals have been hatched in sun valley, including last year's sale of "the washington post" to amazon's jeff bezos. zuckerberg takes center stage at the sun valley conference, let's take a look at what he has called the challenge of our generation. two thirds of the world population do not have access to the internet and the challenge is providing those people with an internet connection. we meet now with a man who is trying to address that challenge. much forank you very joining us, for bringing your rockets and your settlement with us as well. how close are we to connect the other 3 billion to the internet? we will be a lot closer

tomorrow. we can then connect populations across the world. we are already deployed in places as far as the cook islands, papua new guinea, and as of tomorrow, we can now deploy on a global basis to any customers around the world. that will certainly improve on it to be to the other 3 billion who are not well connected to the internet today. >> is this a charitable endeavor or is this something that will make money for your business and for your investors? google has invested in your company. it is not a charitable endeavor. forthis to be successful, us to successfully connect to the other 3 billion, there has to be an incentive to do it, we

can connect to the other 3 billion and make it a profitable endeavor for all involved. thealk to me about satellites of that already provide productivity around the world. i understand they already have global reach, but there speed is more comparable to fiber. that is exactly right. it is about delivering the same performance as fiber but doing it over satellite. the two main ways we do that is bring the same amount of capacity as fiber does and we do it from satellites that are much closer to the earth so you don't have that delay that impacts performance, the satellite delay that is normally associated with satellites. you just don't get that with o3b satellites. >> are they going to have an internet experience that is incredibly different from what

we have seen in the west where mostly a mobile internet where the west has a fixed line? >> that is exactly right. rest fieldch less technology and almost all of the internet distribution in the markets today is through mobile devices, through three g and four g networks. really directt type directly into the networks that can then distribute broadband internet to the population who are not well-connected today and art distant dentist as a ripped out and are disadvantaged as a result. >> talk to me about the corporations involved in this. the rockets you are in front of now is russian. you are talking to me from south america.

this is in part a european project. we are talking daily about geopolitical tensions between russia and europe, russia and the west. there are a lot of international operations going into this project. >> there really is. it has been seamless. as you say, we are lunching on a russian system, with a french launch provider. we are a company from the u.k. and we are providing services on a global basis. this is truly an international cooperation. >> are you nervous? will it all go as planned? it will all go to plan. just excited. if you don't get excited about satellite launches then you are probably in the wrong game. looking forward to everything that is going to come as a result of this launch. >> thank you very much for

, networks, ceo of o3b thank you for persisting on what is a delay to french guiana. >> porsche is building a sleek suv for the family. here is my situation. i live here with these people. i drive this. i am not your typical porsche customer. but porsche now has a family-friendly car in its lineup. so i went to check it out. here, on the angeles crest highway in southern california where porsche has arranged a long drive to a racetrack called willow springs. ♪

some questions you may have is who it is and for? we know what other portions were for, mostly men. but this is a family car. to talkreally likes about the dna that is in all of their vehicles, how there is a strong family resemblance. personally, i think every car they make keeps wanting to look like a 9/11 even though it has -- a 911 even though it has changed altogether. the exterior design is so sleek it makes you wonder where is the handle to open up the rear hatch. porsche has cleverly put a button right here. voila. you would expect a porsche to handle well.

can be good for handling and makes the car what they like to call neutral. everything is moving in a predictable, safe, and reassuring way. yeah, i am in a porsche! it has a top speed of 104 miles per hour. that is great but who is ever going to get up to 164 miles per hour? carmakers have a test just like this one where you drive to the top of a mountain. the fact of the matter is, blame no one will take it to the top of a mountain. furthermore, porsche probably knows that. but what they are selling is the security. i think they will be doing a lot of this in the hamptons. created one of the best compact suvs on the

market? probably. is it meant to scale mountains and run on racetracks? of course not. if you want to see it in its true habitat, come here. and whole new customer for porsche to consider. here is the front of the latest "business week." guess which ceo that is. >> it's racing. >> it is. the american apparel ceo. grobart's story about cars. i see a miniseries coming on. >> i want a webcam in the car with you driving. [laughter] >> as long as there is a road in front of us and not the kids. no tears for argentina. team fight for the world cup title.

>> argentina has secured its place in the world cup final. the july 13 world cup final at the americana stadium in rio de janeiro will be the third

between argentina and germany. argentina beat germany in 1986 while the germans events of the defeat four years later in 1990. master services says the arrest of a director of its hospitality unit was arbitrary and illegal. match says we landed not complete any illegal sales. for -- from sports fans to one of the gamblers one 2500 pounds on a five pound that. the odds were 500: one. 500:1. >> the uk's against luxury company is burberry.

caroline hyde is with us now. what should we be focused on? the new ceo pay or the numbers? >> i want to focus on the pay to begin with. >> he is going to be paid a lot. >> already, he has been granted shares worth 20 million pounds but that was before he became ceo. that is something that will start investing next year to 2018. already, investors are concerned about the money he seems to be racking up now there is a new pay packet associated to his new role as chief executive. it could reach 10 million pounds per year. that is if shares are vested at a certain level. at the very least, if he misses all his targets, he still gets 1.9 million pounds. pounds a cool 440,000

for closing. >> if he doesn't deliver, he gets nearly 2 million. >> we talk about investors rebelling and they are. if we look at last year versus the so-called shareholder spring had012, last year, they investors objecting to pay. wpp, it's me to come its drugs, banks as well, barclays. >> that there was not a single company that had a geordie disapproval. so the -- a majority disapproval. so they complain and they still go forward. >> they could be a minority once again. compared that overpaid to some of the other luxury companies. angela rent was paid a significant amount compared to the 5100. she was the top paid out there, four times the general average.

but if you line them up to other still payshael kors its chief executive more. that is what happens when you get to this kind of level. you start talking about how this is an international market, not just in the u.k. and you have to be able to compete. >> talk about bailey's strategy. we don't want to sound too in ti-pay.-- too an meant toquarter, he is outperform the rivals. it will come down a little bit compared to the previous quarter. we are expecting about 8% growth. that compares to 12% in the previous half of the year. but it is outperforming other luxury peers.

sterling strong and emerging markets has been where an awful lot of demand has been for luxury clothing. we have had a lot of weakness in some emerging markets. you get less bang for your pound, less bang for your buck. this is a company that has taken risks that have worked. they are far more fashion forward in terms of digital, keen to embrace social media, targeting the younger audience early. analysts say that is a great strategy. asia sales are to improve, particularly in china. the concern is less tourism in europe. the russians are not traveling as much. new engines in fresh order for the a320 mio.

airbus will be at the air show that kicks off next week. remind us who is facing these orders. >> this is indigo, the indian carrier. they already fire about 78 airbus is. orderre talking about an for these new planes to be costed out in catalog rises. that put you $20 billion. the price is in dollars, not euro to the consternation of some european executives. -- indigo faces competition from new rivals in asia. but it is such a growth market. takes that's one american takes an average of one point five flights a year. in china, it is 0.2.

clearly a growth opportunity. remember, this is the a320, a single aisle plane. it has the fuel efficient engines. it has been the best seller for airbus. they may do something similar with the a330. >> always trying to turn challenges into opportunities. tell us about the a330. >> the big winner is rolls-royce because they will be making the new fuel-efficient engines that will be underneath owings of the a330.330 -- the they could be bad news for boeing. model,e taking the a320 putting new nice shiny engines on underneath, trying to resell, have a longer lease on life. then you can fly double aisle across the atlantic. i know you would never be caught

dead on a single aisle planes across the atlantic. worst experience ever. don't ever do it. >> thank you very much. i think he might've been teasing me. >> the single aisle is not good enough for you. >> i say. -- i see. india is keeping its budget goal had 4.1% of gdp. audiencelobal proposing raising the cap. >> coming up, wave got some famous characters like spiderman and elmo. if you have been to times where,

you probably want to know about the naked cowboy. we will have that and more next. it will be exciting. you've never seen the naked cowboy? he is in his underwear. [laughter]

i haves newspaper time the daily telegraph.

now has an't adore better chance of winning the tour de france. it won't be as exciting because his nemesis won't be there and much of britain was voting for froome. caroline, we mentioned your story before the break. you got him talking about naked cowboys. >> this is all about elmo. times where is hitting back. at one count, there were 76 fancy dressed people arresting, they say, tourists for -- harassing, they say, tourists for photos. apparently, there were two statues of liberty brawling last month. harassing aicted of

young mother and two children. and a voice or a character was seen relieving himself -- and a toy story character was seen relieving himself. does anybody not know who the next king of england is? he is in the big picture. then you have the younger prince. that is prince child. [laughter] >> very nice. we will bring you results from burberry. caroline has been giving us a preview. the big picture for u.k. unemployment. we will have a discussion about

that. we will talk about the u.k. job market and wages. we will be back after a short break.

>> complacency concerns. some fed policy makers say that ceos may be getting too lacks about economic outlooks. reigniting talks of stimulus in the country. indigo, india's against domestic morene, is in talks for 20 jets. christopher bailey is hoping his first sales numbers will justify his a packet. those figures are breaking now.

welcome to the program. 20 to get through -- plenty to get through. let's get to burberry. we have the numbers coming through from this high-end fashion company. increase.ve 12% that is against estimates of 8%. again, burberry outperforming not only its own estimates but the rest of its peers. they say they are doing particularly well in asia-pacific and they have double-digit growth in the americas. low single-digit growth in europe. europe is a little bit sluggish at the moment because we have fewer trips -- fewer tourists

hitting shops in milan. but digital continue to outperform in all regions. this is a company that has embraced social media. they have 50 million likes on facebook and far more followers on twitter that any of its rivals. buyers,aspirational they have now taken sole control of the beauty as a real area of growth for them. they are trying to get you longer term.y a clearly, this is an area of growth for the company. we want to hear how japan is performing. that is another unit they want to take control of once again. it, 16 sayts say buy hold, only two say sell it overall. they have been very optimistic about their future.

baileyl see christopher as the executive director leading the charge for this company. maybe investors will not be that hard on him for his nearly 10 million pound pay packet for next year. >> a lot of trenchcoats. [laughter] we have ab foods. it is not just food. >> sugar prices continuing. pri is a business that owns mark. top quarter sales rise by 22%. 40-week revenue dips ever so slightly. they give a bit of guidance for the earnings.

sterling was stronger. the most of the major currencies in shock in the first half of this year. but strengthening market for the end of the period. the euro was also weaker. they are referring to the issues of currency strength based here in the u.k.. 16 week sales on the retail side, the primark division. at 14% it rallied. int is going to attract terms of locations. 16 week sales for primark up 19%. fast retailing, unit load -- uniglo is one of their

divisions. they tend to focus on the forecast. they are cutting the forecast. >> hayes is one of the largest recruitment companies. they hire about 50,000 people a year. they are reporting fourth-quarter sales. interesting. 7%.s growth last quarter .5% -- looking for a 8.5%. but if you look at them as a bellwether for the professional market, compared to a year ago, it is a lot better. going back into last year, we were looking at 3% and 2%. so they have turned the corner but they are missing the target. it is mostly dominated by mining

companies. mining companies have not been hiring. they see things stabilizing but there is trouble. asia-pacific, they say, is flat. we will be joined by the cfo of hayes in just a couple of minutes. he will talk with us about the u.k. market, about the bank of england meeting and weigh in on the whole interest-rate debate. we will be digging more into hays a little bit later. hays will be joining us in a little while. onio draghi has weighed in the austerity debate. was casting my mind back to of july in 2012 when mario draghi made that infamous

speech. the ecb is willing to do whatever it takes to preserve the euro. believe me, it will be enough. >> it certainly wasn't as momentous. it was an infamous -- an intimate event. but last night, it was not about money policy. draghi got very political. there is a big debate in europe. one hand saying these guys need to focus on reforms. reggie saying mind your own -- renti saying mind your own business. mario draghi said these countries have got to speak to their reforms. there will be no fix ability. we have rules to honor. that is why we have this thing called credibility and it is very important. things,onetary side of unless you make reforms, our monetary policy is not going to work. if you open a business and it takes nine months to get the business up and running, how is

a business going to get credit anyway? it does not matter what the us -- what the ecb does. at the eu level, maybe they could push these countries together to make reforms. there was a big push last night on the political side of things and i find it very compelling. >> he wasn't drying and persons with the role of the imf. was drying comparisons -- drawing comparisons with the role of the imf. if you get somebody else to do it, you have somebody else to blame. where that leaves democracy. >> the whole debate with cameron pushing against the younger decision. messagely, this kind of , if you can get it out the right way, might lend something of support to cameron.

but he is interfering in politics and you cannot deny that. >> the eurozone needs someone like yonkers to leave them. is looking for more integration, they need a federalist meeting the eu. if you need integration, of course you need a federalist. away at the moment is the ecb is clearly very sensitive to the measures they unveiled and a push on the other side to get some folks ability. is it a surprise you see this noise from the likes of france -- want more puts a belly more folks ability just a month after the ecb almost capitulated. now it is not just periphery. it is not just germany.

it is france. his point is he sees some brightpoint even on the unemployment figures. we have seen how depressing some of those unemployment figures are. they have done the reform. they are starting to have an impact. john, thank you very much. >> we will talk about the u.k. i don't necessarily think the bank of england -- i don't think we will see a rate hike. we should begin to think of what might roadblock the trajectory for the u.k. a referendum in september time. can assure you these wind instruments are hard to play. basically, you've got this

nationalist vote. the nationalists have not, head in any of the polls. if the bank of england did not go -- and by the way, sonja says is will be a rate hike as well -- the interest-rate market here is london. goldman sachs brought forward their view that rates will go up. you've got the scottish reform. if they don't go in late autumn, if they do and dammed if they don't. you have the u.k. election. what you've got, if they don't go late in this year, maybe early next year, you become a political football because you have the u.k. election. what if the tories actually one? -- actually won?

this goes back to cameron promising the country a euro vote. so you are in a state of chassis. it is not crisis and it is not unknowing. it is a stated chassis. >> we were talking to the chief investment officer at credit suisse. the strength of the recovery has been so quick. a lot of people looking to see what other central banks around the world do, may be taking their cue from the bank of england. >> one of the meetings in spring have been moved to accommodate the election. the bank of england very sensitive to this. stay with bloomberg because we will bring that rate decision at 12:00 today. >> i wonder how mark carney has been looking at his history the -- history books.

up, recruitment company hays has just reported fourth-quarter results.

>> time for today's company news. the mistakeest airline indigo is said to be in talks with airbus. the order may be worth $36 billion. indigo is seeking to buy 200 more a320 jets. is also preparing to introduce a revamped version of its wide-body a330. it will have more fuel-efficient engines. airbus has lined up enough early buyers, including air asia to proceed with the new model. lufthansa will create a long hold -- a long-haul discount arm. it is in advanced talks with turkish airlines to partner in the venture. the carrier will fly to cities in asia. says that high-end

travel also remains a priority for him. re-fleeting with a new first class, a new business class, also an economy clas s. bes will potentially [indiscernible] welcome back. the british recruitment company hays has released its fourth-quarter statements. take us through your numbers. last time you were here was april and we talked about how you were seeing an upbeat picture. the u.k. was looking strong. is it the same message or has things changed? >> it is the strongest

recruitment market in the world in the professional space. permanent recruitment, which is , leave theiriment current employer and taking your rest is up 17%. london is the slowest area. the further you go away from london, the larger amounts of growth. were also saying the key for you is in the finance jobs. you are suggesting that finance professionals don't like to take unnecessary risks. if they start feeling confident, they will take new jobs. >> no company wakes up in the morning saying i want to hire more finance people. i can see finance up 17%. every -- i can't see finance up 17%.

everything continues to move forward. no areas of weakness. >> we were talking about the strikes today. this may be the biggest strikes since 1926. one of the unions is saying they would like a 5% pay increase for their representatives, for the people in the union. not in the public sector, but in the private sector. can they count on 5%? >> no. 1.5% to 3.5%. we talked about this before. companies are focused on retaining talent. the moment they do that, they will look to increase wages. in the private sector, we are looking at 2.3%. >> you talk about retention. we had a conversation this morning are halves at a different level with the ceo of

burberry and a 10 million pound package. what about offering new entrants and to retain people? is it just about money? what is at the top of the agenda when people go out to look for a new job? >> i'm not sure there is a uniform answer for that because it depends on what sector you are in. more fees, you get more commission, it is a beautiful model. isthe broader economy, it what stage you are in your life and what employers are looking for, the it of flexibility to meet their needs. a good brand, some opportunities, some social life and benefits are also important. >> what would you say that people coming out of university should be looking for?

coming into the city or [indiscernible] >> they say everybody was to come and work here. it is all about jobs in technology startups. >> get as much relevance feels as possible. you need strong i.t. skills, good communications. if you can relay that with a bit of sales possess, you will have a successful career. but the stronghold right now is strong technology and strong communication. construction property is a tough market. space in the professional and we are talking about architectural engineers. a good person will be getting 5% to 10% but five years of nothing. that is a backdrop. >> i think he is looking for more than 10%. >> expense of times. thank you so much for joining us.

come, will china boost stimulus after june trade data misses estimates? can the premier really hit his growth target?

>> welcome back. morning,- earlier this

china shared trade data. is anyone reevaluating whether china can get to the growth forecast of 7.5% on the back of these numbers? >> i wouldn't necessarily bet against china. officialthat determination when he visited the u.k. a few weeks ago. his official promise. but the export numbers today indicate their is still hard work ahead. trade is difficult. the rest of the world is not necessarily taking up those exports and domestic trade in china. the numbers out of china today coming in at 7.2%. imports up 5.5%. the estimate was for a 6% gain. the trades are -- the trade surpluses just under $31

billion. domestic demand is the key issue for china, a key metric that needs to be improved because he can no longer rely on the rest of the world to buy all of the chinese products and certainly the number of products that it used to buy. so a changing global economy. that's not forget christine lagarde warned that there are lukewarm economic growth and we may see some revisions to their forecast for the global economy. , we may seeese further ups and downs with these monthly numbers. >> thank you. 200 clients,ome, $20.6 billion, details of airbus -indigo deal in the next 30 minutes.

>> welcome back. time now for a quick check on the foreign exchange markets. india is delivering their budget. you can see initially the rupee was gaining going into this budget. giving back some of those levels. we will talk about that in a moment. let's look at the aussie dollar-dollar. hitting a decade high in australia. it is still on the lows of the session. full-time workers are being cut

and the china date also missed. exports missing their target from china. the dollar, post-fomc minutes. yellen and her buddies are still being quite friendly in terms of the dollar sentiment. these are bloomberg's top headlines. uncertainty lives in indonesia as each presidential candidate claims victory in the election. the rupee is at its straws level in seven weeks -- the rupiah is that it's strongest level in seven weeks. andols, courts, libraries tax offices will be affected by the walkout in the u.k. tech executives are meeting in san -- in sun valley.

major media deals have been hatched at sun valley, including last year's sale of the "washington post" to jeff bezos. >> in india, a new budget is being unveiled right now. the finance minister is speaking. he said all sorts of things in the past our. there is a little bit of a gift in his comments for foreign investors, particularly in manufacturing, particularly when it comes to defense technologies. there is a tappet 26 are sent equity for foreign investors -- 26% equity for foreign investors. he just ease the restrictions on foreign investment the 49%. this is interesting because that is good news potentially for the likes of bae, rolls-royce, boeing. it is the very first budget of the new prime minister who has been in power now for two

months, narrow and promoting -- narendra modi. looking for a little bit of simplification of tax rules. also looking for some easing of restrictions on investment and they got some of that just now. >> the priority has been about investment in infrastructure, including getting a more reliable energy supply. guest sees india on the cusp of a multiyear bull run. he's got some pretty strong views in terms of how you want to be positioned in some of those emerging markets. new engines for airbus a330

and new orders for its a320 neo. hans nichols is loud -- is back from lufthansa's training center. remind us who is placing these orders. the -- is in there go, this is indigo, the india airline. for 20.laced an order that is a valuation of $20 billion on the catalog price. no one actually pays the catalog price. we are talking about the a320 neos. this is a new engine underneath an old plane. it has been one of airbus's bestsellers. when you look at growth in asia, it is clear there will be growth. the question is how fast and how sustainable.

clearly, opportunities for growth and that may be good news for airbus. >> tell us about the upgrades to the double aisle, the a330. been a lot of speculation and talk about when and how airbus is going to take the a330, which has been a bestseller, and make it more fuel-efficient. they will drop just -- they will drop new engines underneath the wings. that differs slightly from the old model where carriers could decide which engine they wanted to put underneath the a330. now this is a double aisle plane. they could open a business for long-haul budget travel. there is a lot of talk with lufthansa yesterday about that. is there space for long-haul travel on the cheap?

some airlines think so. others don't. be cheaper0, it will than the dreamliner from boeing. >> they uk's biggest luxury company burberry are ported sales this morning. christopher bailey will be delivering strategy at the agm. although he may be a little bit less willing to be in the spotlight when it comes to discussing his pay and options. we have had the numbers. they are quite good. what has driven the numbers and what do you think of bailey? >> very strong numbers. the stock might rise as much as 5%. he can breathe easy for a little bit because they are doing very well in digital, very well in asia, in particular china. it is hong kong that is driving these sales. america is as well very strong.

europe has lower growth. perhaps less people coming from china and coming from russia and spending. but overall, this company is doing phenomenally well. this in the face of the rish pound being very strong. -- the british pound being very strong. they say profit could be hit as much as 55 million pounds. headmans when it comes to currency no headwinds when it comes to sales. squeeze help them to that a little bit easier on friday because there has been so much talk about christopher bailey's paycheck. >> this is one of those moments when institution shareholders see a set of numbers like this. does it make it harder for them to challenge baileys renumeration package? >> he is paid so much more than

many of the others. u.k. investor base that we generally have or an international investor base? if they are looking internationally and they are looking appear groups, or bury outperforms. so maybe the chief executive should outperform. if he over delivers, which he already is on track 2, 10 million pounds is how much he could receive. 1.9 million is no matter what. that is his base salary. they say we gave him this cash allowance because it stops the rest of his payments being driven out. it stops the annual bonus being driven higher. it is still a lot of extra money. [laughter] maybethe luxury industry, it is not necessarily a faux pas to make a lot of money. >> ralph lauren, these institutions pay their chief

executives. but the objectives -- but the objections are not about the number about where it is more or less but whether it is linked to performance. part of this, he gets anyway regardless of how the business does. >> one other thing that i read that was for burberry, the director renumeration is a .25%. -- 8.25%. it is what rankles. this year,s are that about a fifth of investors have rebelled over how much their ceos got paid. yet not a single company has had a majority disapproval. >> margolin has been coming under pressure. been comingn has under pressure. this isn't just about the luxury industry. this is industries across the

board when it comes to the united kingdom. >> we will take a look at india next. we will zoom in on the india budget live and in progress as we speak.

>> time for today's company news. fast retailing has cut its forecast for annual profits for the second time. net income will probably be about 700 -- $760 million. india's they use domestic airline indigo is said to be in talks with airbus. the order could be as much as auntie $.6 billion -- as much as $20.6 billion. is preparing to introduce an advanced version of its neo which will have more fuel-efficient engines. enough earlyned up

buyers. >> in new delhi, india's new budget is being unveiled as we speak. live pictures from india. the finance minister has been speaking. it is a very long business this india budget. he is talking about the challenges that the country faces and the opportunities. he is talking about the need to revise growth in manufacturing and infrastructure. .et's take a look at the budget thank you so much for coming in to talk to us. in terms of the highlights we have seen this morning, we see him reforming the cap for foreign investors and comfort those who are worried about retrospective taxes.

one to you are the highlights coming out of the budget or the priorities? priorities are what you want from them medium and longer-term perspective. the production economy was doing well. the supplies i was always looking. you are supplying this consumption by imports. we saw what happened to the rupee in september last year. they are putting fiscal discipline in place. they are winning enough supply-side response. your forecasting -- you are forecasting a multiyear bull run in india. ist you heard this morning, it consistent with your forecast? >> the economy started from a very low point. so it will take two years for all these things to be felt in the economy.

so you watch these guys. that is where you get an extreme level of comfort. they are making sure the subsidies are directed well. arrived twowth years later, you don't have this nagging issue of inflation coming later. modi.'ve met to some of us here and to some of our viewers, who is this new leader of a huge, huge country, who is he to you? many have tried to reform infrastructure, cities, and rural landscape in india and may have come [indiscernible] >> clearly something stands out. in willingness to lay out the red carpet for mr.

spencer. >> there was some restrictions in foreign investors. >> you talk to these guys and i think in due course you will see those restrictions eased away. he will not do everything overnight. the look at the key challenges in the direction he is having. >> what is the secret to unlocking manufacturing in india? i know india and china are often compared to each other. in india is only 15% of gdp which pales in comparison with china where it is more like 30% plus. >> you have to see how this happened in china. in china, it happened because these leaders moved up the party because of gdp growth. what you see here is india states competing with each

other. in terms of markets and how have seen andia, we lot of money go into this area. talk to me about the currency. the rupee has real strength. but we have the fed on easy street overnight. what do you make of the rupee? >> anywhere from 50 to 62. after demand picks up, the trade deficit will go up. [indiscernible] >> that is good news for the currency. >> because of the higher inflation, every [indiscernible] two years from now, we have all

of these productivity tools, then you will say -- >> your forecasting the economy to grow. do you think some of the foreign investment will flow after this or will it take time? these issues of tax bills from the past. >> look from a global foreign investor perspective. there is rule of law, technology safe. the problem is it took years to get it off the ground. >> i think i've got a few rupees lyingfew around. thank you for joining us. we are going to talk about

draghi. [laughter] he weighs into europe's austerity debate. the fed hints at a paper timeline. we will look -- a taper timeline. we will look at what it means for the market.

>> welcome back.

let's catch up with jon ferro. you don't know which way -- which is exciting you more? >> the french status does not upset me. industrial production down 1.7% on the month. you're looking for manufacturing production to stay flat. draghi last night, when he delivered his speech in london, was very political. yes, we have done all these measures. but forget about budget flexibility. you need to drive through some reforms. this fresh data illustrates his point. these guys have got to change their economic trajectory because these numbers are terrible. it doesn't matter what the ecb does. unless this french economy changes fundamentally, there is nothing the ecb can do. there has been >> structure of

-- there has been charter reform. matteo renzi looking for budget cuts ability. he is also looking for structural reform. >> yes. is, if thek structural reforms are not frontloaded and they get the flexibility first, they do not follow through. it is a big risk for the likes of france because they have been talking about her forms for five years. the only thing we see from the french recently is tax hikes. >> so we will get fresh data working its way into the european equities stage. we had a strong session in the u.s. overnight. fed minutes are 20 pages long and you can pick out what you want.

but if you look at the certain damage elements that came out of the federal reserve last night is, yes, we are concerned about some of the risks, some of the froth. >> i like what i heard. they will look at macro potential weapons or tools rather than rate hikes. futures are fairly indifferent this morning. we have had the minutes. we've got the bank of england later on. and the china data which missed estimates. they talk about it all they want until it's ready to raise rates. connie turns on a dime. -- carney turns on a dime. >> deliberate or not? >> when it comes, what kind of reaction do they expect? "on the move" is next.

have a very good day. we will see you again later.

>> moments away from the start of trading. investors focus on central bank. that really minutes last night -- the fed release minutes last night. there with me now is jonathan ferro and caroline hyde. hans nichols. let's start with you. -- >> the big is

is in. the focusered it -- is in. they delivered a speech. the government. you want budget flexibility. forget about it. you have a warm to -- you have reforms to get through. >> thanks. barely over delivers. burberry. digital dominance helps drive the sales. is it enough to calm concerns about the hefty paycheck? i will be back with more a little bit later. >> thanks. we'll will be looking at airbus. new plane. could be changes to the a 330. new fuel efficient engines on the bottom.