pence a share. at theury shoemaker bottom as luxury goods makers report headwinds. equity markets swing violently. future starting to stabilize, pretty much flat. dax features higher by 36 points. manus cranny, four weeks of losses. >> are we going to get an update ? >> whether that holds true. you have a host of european voices speaking. that is possibly going to move markets as well. . am going to reflect back you want to go to mark barton's page. $500 trillion has been wiped out of equities. he put it beautifully. the u.k. market is worth two and

a half trillion dollars. the japanese market is worth $4.2 trillion. you are looking at the u.k. and japan in terms of market value having disappeared. -- 5.5 trillion. , over 2%.on the up you saw crude turnaround by two dollars. this happens as the u.k. regains some traction. we had some pretty strong and healthy numbers. 6.1% rise in auto sales. nice in terms of registration. that is up to the carmaker. some days.yself let's have a look at the individuals.

?ill they go for an ipo a share sale could be worth as billion, all for the ipo market. jimmy choo coming to the market. rolls-royce, these boys and that powerengines these airplanes. revenues foring the year. 940 .5.ly 1.4%.agen is up that is on the back of those better european numbers. bonds, do you buy bonds? are they worth anything? >> in a relative sense. >> in a relative sense u.s.

treasuries flipping around. 2.15%. hikeed will go for a rate near the middle of next year. haven,do have to buy a ?ould you buy treasuries even i can tell that has a higher yield. , aren'tre good at math you? it is impressive. we have the ftse higher by 26 points. what a week. europe,ty, weakness in all serious concerns for investors, but is it enough for the federal reserve to put off the end of qe? said president. take a listen. >> a long time they were saying the qe would be open-ended and

we would be able to adjusted in response to macroeconomic developments. this is a serious macroeconomic development. >> it sounds like qe4 ever. let's get a look at top markets. the global strategist at j.p. morgan. great to have you here. thoseistening to comments. it sounds like qe4 ever. when the market pops on the balance of something like this, can we start talking fundamentals? >> it is interesting we are talking about qe4 ever again. that is what qe3 was dubbed in the first place. reverlking about qe fo again. let's be honest. the data on the u.s. equity front is not awful.

that is the benchmark. it is significant improvement, and we had a very positive month of job creation in september, so i don't think the weakness we have seen is enough to deter it. >> should the -- should we be ?uestioning they start to talk about the fact that maybe we can keep qe going. >> i think there was time to .onstantly have a check maker.s one policy on the other side of the spectrum you have members

calling for it. . think they will be careful it.e doesn't get s,en you look at equity market just look at the trajectory. ?o you pick up the pieces now >> you do pick them up. i think there is too much in place. it may have been janet yellen: four volatility earlier this summer. ask and ye shall receive. valuations are much lower than they were. the surprising with it has been on par some of the other places.

that is not the relationship we have seen. we do have oversold conditions. >> this is not sustainable. >> she stays with us. later today look out for comments from fed chair janet yellen. check out sterling. sterling is lower after the bank of england official comes out and says the recent inflation is making him gloomier. after the break russia is back on top of the agenda. we had to milan as putin natural gas cut supply. in the meantime we want to talk markets. move" is back in two.

the virgins is back. do you think that continues? >> i think the divergence should continue. we have seen a bit of convergence. as i mentioned, i think the treasury yields are much higher. i think they will stay here or

go lower. that is what the ecb is committed to do. i don't think the surge we have or spanishek bonds and italian ones is sustainable. i think as a reaction, greece wants complete withdrawal from the program. i think that might have been the perception, but that is not the reality. some grounds has to stand on as far as renegotiating. fiscal balances -- greece has some grounds to stand on as far as negotiating. even the imf suggesting there might be -- we might be on the precipice of a cycle in greece. >> the market is telling greece

to forget about it. the only way is if the creditors say to them, you can have it. >> the reason greece is asking for this now is because there has been some progress, but at the same time when it comes to the streets of athens there is very little to show. are six years of recession. there is a hugely high unemployment rate, but there is nothing to show otherwise. i think what greece gets is .aybe self-support from the ecb what it is all said and done.

when we do have the second round, when the ecb is in the bond market buying the asset backed securities, i think that will be egg knowledge by the -- be acknowledged, which is another reason for greeks to not go that route. >> which makes you wonder why they came out and said they wanted to do this. i spent some time in the united states, and there was huge andmism about mario draghi the ecb possibility to do whatever it takes to buy sovereign debt. >> i think the perception is fading somewhat. market reaction has everything to do with it. i think the measures unveiled by mario draghi over the next couple months are somewhat different than we have seen in 2012.

i think investors in the u.s. may be losing a bit of patience. , bute used to show me now i do think over the course of the next two years, if the banks to take up the full allotment and if the net lending turned positive in europe, i think that will slowly and surely be cknowledged. >> that is a huge if. we are going to talk about anything. leaders are meeting with vladimir putin for peace talks. withis standing by details. >> we are in the periphery. i had a chance to do an exclusive interview with president barroso.

he said some of the countries are in his opinion doing a pretty good job. >> there are several indications that indicate -- that can suggest slow global growth. we have to take this seriously. >> here is the context. prime minister renzi has just made a speech where he said a financial crisis may be looming on the horizon. you will know it is the day before yesterday that the italian minister introduced a new plan that calls for 18 billion euros in tax cuts. something someone in his own party says is unsustainable.

he would have to have the same kinds of austerity measures. we heard in that speech a message to the new authorities that they need to correctly interpret the new climate on financial markets. be indicating he wanted it to go a little bit easier when it comes to budget deficit targets. authorities in brussels to get it right. that, and hebout clearly disagrees there should be changes to the rules. do is speedeed to up reforms. i think it is time to change the agreed objective.

this is the key for europe's recovery. you can see those have been pushing for reform. >> he did tell me he does see some room in how the rules are interpreted. >> very quickly. we were hoping he was going to talk to angela merkel. it is not happening, is it? >> it does not look like it. the the e.u. is going to discuss sanctions at the end of next week. the russian president and the german chancellor did meet last night. they met for more than two and a half hours. everybody is there.

they are trying to hash out a deal. europe feelstern the russians are fulfilling their obligations when it comes .o the cease-fire i haven't heard them suggesting the sanctions are rolled back. >> thank you very much. still with me for some final thoughts. germany on the cusp of recession. you would expect them to back down. >> i think the sanctions are weighing on sentiment. has is the issue germany

the slowdown in china. i think just as much as lifting the sanctions would help, arguably what would help is pick up of growth in china. .e are seeing a lot of steps when we talk about russia in particular, i think the biggest catalyst would be to lift sanctions. ryan made,e comments we are not going to see that as soon. >> what is it going to take? inflation is going to continue to go lower. they are screaming a eurozone recession. when do policymakers say, we have got to maintain dialogue, or we have got to change the situation? >> they are trying not to be as giving into

russia's demand. the reality is there is a cease-fire on the ground. i think there is time for the headlines to forget the crisis is on the ground. i think it might be a matter of six months. it might be a matter of the bottom line is it has to not influence investor sentiment. that would eventually cause policymakers to lift those sanctions. >> final question, is there any pressure on putin within russia? >> there is pressure building. there is more economic pressure building. with the price of oil being at 85 480, that is derailing the fiscal balance in russia. russia needs a pretty high price

of oil to balance the budget. you couple that with the fact there has been large pressure to prop up the ruble, and you have a fragile situation. the pressure is building. it has not been the driving factor behind decision-making either. >> certainly not. his approval rate is sky high. inc. you very much. in the move" is back into -- two. ♪

>> welcome back. i am live in the city of london. google may be showing its age. it missed third-quarter profits

and sales estimates. international correspondent hans nichols does a breakdown of the results. it time for google to panic? >> maybe not quite. what we have seen is growing pains. facebook went through a couple of close quarters earlier as they shift to mobile. revenue came down slightly smaller. arelarger issue is you going to have a third of all sales on tablets and phones. just a year ago that was 20%. even on their own they had increases of 20% on ad sales. a little bit of a slowdown. it may be their margins that are the biggest cause for concern. gross profit margin down to 59%. will get threshold it

bounced around, but it is clearly coming down. it is not good news for google. they don't break down their costs between what is coming in for mobile and desktop. take a look at revenues per click. it is down just 2% this quarter. this key assigned metric which had been spiraling is stabilizing. if they start bringing that up a little bit, that is an indicator google is stabilizing and they are going to be able to sell ads on mobile the same way their competitors are able to do. >> thank you very much. coming up, an investment for the well-heeled. jimmy choo chairs -- shares begin trading, but is it the best time for an ipo? check in on jimmy choo. the stock up 0.6%.

that prices at the bottom of the range. we will talk about that after the break. stay with us.

>> welcome back, 30 minutes into your trading day and this is what the markets look like. the gas is at 0.6%. way to we get a little bit, the fed saying we might pause on quantitative easing, imagine how morning,ers speak this we could get low rates for longer here in the u.k..

anna edwards has three stocks to watch. >> talk about people who are gloomy, perhaps the management of rolls-royce. rolls-royce, this is engines and not cars, they have warned on the revenues for 2014. there also worried about profits. that will take the edge off the stock down by 7.8%. they talk what economic conditions deteriorating. russian trade sanctions have tightened, interestingly, they're not downgrading expectations. if anything they are upgrading around the civil side. trends around defense not moving in their favor. we have car sales through the whole of europe this morning, we have seen some weakness in the august number and september painting a different picture a bit of a rebound in september

bouncing off of two decade lows in 2013. zhou --s of vw and q poe zhou -- peugeot cutting their prices. the biggest gainer of the stoxx 600 is a finnish telecom company, better than estimated. what more could you ask for? up by 6.5% and a bit of change. >> there are your three big stocks to watch, here are the big top headlines. u.s. stocks rallied. jim bullard suggested the fed consider holding off on ending the bond program at the and of this month. a halt to decline expected in inflation.

bloomberg they said fundamentals remain strong in the u.s. but your -- weakness in europe is to blame. >> for a long time they said the qe program would be open ended and we would be able to adjust it in response to developments, this is a serious macroeconomic development. >> vladimir putin is threatening to cut gas supplies to the ukraine if the government and kiev diver fuel for domestic consumption. chancellorthe german angela merkel criticized the government. sales, extendr the game for the 13th straight month. it hit a 2014 low in august. registration increase by more than 1.2 million in march of this year.

another top story we're shoemaker,he luxury braces for market volatility and has gone public. share, a lot of people with a slightly better share than the shoes perhaps. let's go with the luxury reporter, andrew roberts. the owner of jb has priced at the bottom of the rage -- range, they suggest that the price is right, and it is extremely brave and current conditions, that they suddenly believe they have a story to tell, shoes are outpacing the rest of the luxury isket, and jimmy choo itself outpacing. they believe that through expanding their retail network

by directly operating floors expanding their product range from shoes to higher-margin goods such as leather and handbags, and some apparel, they been a fairlyhas luxury butiment and as we come to a head, markets are getting difficult and it is becoming more difficult to subsidize the real performers. jimmy choo believes it is one of those. >> we talked about the market conditions, they are pointing to significant headwind. >> >> spending is slowing in china certainly on luxury goods.

they predicted luxury sales will fall and the mainland for the first time, that is obviously a structural shift and is certainly concerning some of the luxury goods makers but you have to look at this in terms of size. a lot of the companies we already reported our extremely large, and right now the mh is the world's biggest luxury rant. choois way more than jimmy , and i think there is room for luxury companies to grow, particularly if there offering something with strong brand value and something different the market does not have. that is what jimmy choo believes and the opportunity for with selling shoes. if you can excite consumers they will still spend their money, you just need a product they want to buy. >> thank you very much.

people are crazy about jimmy choo shoes, but given the market conditions and the headwind for the luxury goods segment, would you pull this ipo? >> irobably would have -- probably would have, it speaks volumes, and i think they are concerned that it is fully covered and they would have taken a severe downturn in the markets for them to pull it. i don't think there was concern about demand. for me it is very niche and a competitive marketplace. they are betting on a chinese growth story. they were 20% three years ago and now they are 11.9% or something like that. if you're going to plan to invest in china and you're looking to raise money on an ipo, why won't you invest in

the business. the money they are raising is not being reinvested in the business. sure find it is at the bottom and of the range, but they haven't left much on the table, when i look at european ipos, and when i see the pricing, finally a bottom and to the range but there is no post pop in the same weather has been. we getting greedy in europe? >> i have to think there is a little of ipo fatigue. pio'sve seen a lot of a this year, and the performance of a lot of them have been middling -- we have seen a lot year, and the performance of a of them have been middling at best. they might have been better waiting. >> what does the management tell you about the company that they did not wait and pushed it out even there maybe they

didn't leave anything on the table. obviously there is no problem in shipping the shares, i think they felt they had to get out the door and pulling it when it was fully allotted would send the wrong signal and now they're stuck with the decision, they have the money and are looking to reinvest, and some of the other brands they have got, and i think pulling it would send a vote of no-confidence. the brand is fairly niche, my concern is that it is to niche at a time when china is slowing down. they have a much more diverse offering, there was a slowdown in spending, it is much more broad spread. we are in the sweet spot and making shoes, solid growth and we have solid brand and solid foundation to extend. investors,h that to

the ipo is well covered, but buying in the secondary market, will you buy into that? essentially >> if you look at the performance of luxury stocks in july it is a firm downtrend. that there iscern more downside than upside, particularly if you are geared toward china. perhaps a coincidence that the equity 500 p, minutes or a few hours after, a record-breaking ipo. about ipo fatigue, just a fatigue in the boone market as well. has this run over? >> that is the million-dollar question. you flip a coin, bullard remarked yesterday, what

was he thinking? put ahe is trying to floor underneath the market. i think with the end of quantitive easing and the european central bank still politicaled up in speak between germany and europe, it suggests to me that there is more downside than upside. perspective, for it will not vote next -- next year, but of some of these rates will rise in the first quarter of next year --+ >> that is very contradictory in that it? i think maybe he is floating a trial balloon. you may recall those last minutes actually suggested the fed was worried about growth slowdown in europe. maybe other fed members are thinking along the same lines. dovishs much that was yesterday, and it was hawkish but he doesn't have a vote next

year and is retiring. it is really about what it looks like next year. i would suggest, given what is going on in europe, we will get low rates for longer. >> when it's talk about jimmy choo, a shoemaker. talking about the fundamentals but the broad of valuations. the market needs to be driven by central banks, you're having a aboutficial come out quantitative easing, and a rebound in the equity market. how long can that go on for? qe, whatd does paz message to that send? qe,f the fed does pause what message does that send? >> we've been through this fall, at the end of qe two and qe one. trying to pull back on stimulus will be equally as difficult as when you're thinking about

pushing rates up. certainly there are concerns i thinktes in the u.k., --tion is the watchword >> simply because of the political gridlock in europe. you have the bank of england and the federal reserve coming on and saying there is more if needed. choo,o talk about jimmy we end up talking about everything because you cannot value a shoe company without listening to jim bullard. let's check in on how european stocks are trading. pop ins are high, a nice the dax, 100 points higher. 1.2% higher on the dax.

20 of moves over the last five days. check out the moves over the last five days. the fits 100 down by .5%. the 600 added for a fourth straight week of losses. time to get a little bit more on the autos. 13 straight months of gains but is the industry do for a bump in the road? ♪

>> welcome back to i am jonathan ferro. european carabout sales. 13 months of gains. looking to extend the winning streak with another solid month in september. chris joins us with a story -- story from berlin. be solid butear to everyone is talking about the eurozone falling into recession. >> there was a good month for september but a lot of that growth was bought by discounts. there is a lot of uncertainty about where is the fundamental demand in the market. the forecast is excellent for the fourth quarter, it is not a lot of stability and optimism in the auto industry right now. not much optimism but look at

the standout performance for september. >> it was a great month for the industry, again 6.1% across the all the big five markets through. the biggest gain since march and but it isolid growth still coming off a historic demand low with 20 year lows last year. they're like bouncing off the bottom, with discounts in the market, fulks wagon was heavily audiunting audi and discounting germany, we up to 11.5% a big gain in discounts. there was a lot of gain in the market right now. i have to see how things pan out in the last quarter. chris thank you very much, decent number for european car sales. the european stoxx 600, auto parts index is higher. check it out on the year.

down 10%. let's talk about companies on the move. choo makes its public debut on the london stock exchange. the company opened shares at 140 pence apiece. raising 140 million pounds for its owner. the company proceeded with an ipo despite the serious headwinds facing the luxury sector. holdings, shares a lower look at its upcoming outlook for the year. that is as customers delay orders and russian trade sanctions begin to bite. apple will have a new product lineup inside the holiday shopping season. the company unveiled new devices in a second wave of product announcements the season. apple shares dropped more than

1% in new york. look atdate, the stock that performance, up 20%. let's keep it on the new products out of apple. a closer look at whether the new releases have what it takes to turn around apple's dwindling ipad sales. are falling, the question is will the new ipad air have enough innovation to bring the consumer back? >> here you have it the brand-new ipad air two, the first thing you notice it is noticeably thinner. air,hinner than the ipad you also notice the display, a lot higher quality, the retina display was made special and it has an image quality is really impressive. it allows it to do more things. to have a display that works like this you need a better chip. a much faster more powerful chip in the monitor here, inside the machine.

run faster you have to connect faster. they have a faster version of wi-fi as well as a faster lte chip for the cellular version. finally the big improvement that people have been asking for is this touch id, the ability to log into the might -- machine using your thumb. that makes it big difference for people used to logging in with their phone. it will enable apple pay as well. if this is device -- if this device is too big, the new ipad mini. it comes at a lower price. you did not get the message it is thinner. 18% thinner. it is thinner. didn't get the message question mark -- message? 1.2% higher, 5100 up by 0.75% as well. >> welcome back to "on the move

." i am jonathan ferro. as we wrap up the week for european equity trade, let's check in on one of the biggest stock movers of the week. shire. the drugmaker took a big hit over the past two days. the board has now recommended shareholders reject the deal

after tax laws made it a less attractive opportunity. we can added to the graveyard deals for 2014. half $1 trillion worth of deals go down the drain. " is coming up at the top of the hour. we will look back on this week and it will be one of the most significant of the week. backtracking,are everyone is backtracking. will we see the end of qe? a rate hike at the end of next year? we will address some of them over the next hour. he thinks germany should abandon sanctions on russia immediately. how big a problem are the sanctions for germany? greece and speak with a man in the government, --

>> again this morning question mark -- morning? >> can he backtrack and talk about what is happening with the possibility of forming the next government. luxury talk to the starting to take a hit in china, can you really spend so much money and be sustainable? is that imperative right now? >> it's a luxury. >> i like the line and i will use that. the founder and co-ceo oh going into robotics. on what isis take happening in tech land at the moment, what is happening with apple and robotics. it, as we forward to head to the break here is a picture of the equity markets

right now. we want to talk markets and greek bond yields. you know where i am.

>> the accused of vladimir putin tells bloomberg, he is always being blamed. debut,hoo's market shares of the luxury shoemaker are up. the halo seo gets out of the cab. we will speak to j greg len about his new robot business and why halo is bowing out of north america. >>