>> cameron's warning to russia. economic sanctions on russia are having an impact will stop capitals have slowed down. the russian stock market and rubel has fallen significantly. >> face to face, president obama meets of vladimir putin and xi jinping at the apec summit. >> it is single day. the chinese holiday that is a multibillion-dollar bonanza for alibaba. ♪

>> welcome to "countdown." i am mark barton. >> i am anna edwards. >> i am manus cranny. >> we will start with strong words on russia. that annual speech is usually a platform for major policy statements and ceremonial trappings, cameron did not disappoint. he condemned vladimir putin's actions in ukraine and sanctions he said were not only right but in the uk's economic interest. russia's actions oppose a grave danger to the rest of europe. here in this building, with its history shaped by the blitz, we should not be reminded of the coincidence of turning a blind

eye within countries in europe believe smaller countries. chilcote joins us. are there more sanctions to come? >> there may be. we will find out on monday. we heard from angela merkel and she is the first to suggest that sanctions should be expanded so we heard from the americas yesterday. we heard the british prime minister say if russia does not change its actions, there must be more action to take a listen. has warned we are on the brink of a new cold war. that's not an outcome we believe to be inevitable or one we seek. i will make it clear to resident putin this weekend. i will also be clear that if russia continues on its current path, we will keep pressure and russia's relations with the rest of the world will be radically different in the future.

>> russian action in ukraine and you could argue that really has not happened if you believe what some of the western countries are starting to believe. we saw tanks that may have come from russia in the next as the pressure -- donetsk and the pressure continuing. theas after the election in east of the country that the german chancellor started talking about the need for more sanctions. would've had more aggressive action from the militants. is monday, expect and is almost complete, a lot of countries believe there has to be some action. is it going to be sanctioned like or will it be more aggressive? >> cameron goes on to say there russia poses a grave danger to europe and the stock market has dropped. they have had an impact on the currency, happened today?

>> there are a few things. the issue of funding for banks is certainly something that has been a problem. that is a direct result of the sanctions. the problems with economy and the stock market and the currency have also been impacted by the sanctions. as we discussed many times i so have they been impacted by things like oil and concerned about the economy from russians and themselves and to explain the capital flight. he is right that sanctions have on the russian economy. a bit of a perfect storm situation and cameron and the other leaders can thank the fact that we have a falling oil price. >> wci down. >> thanks for the moment. >> tensions between russia and the west will be after the apec summit in beijing. stephen engle is live. president putin and obama

sharing a brief, frosty encounter? would nothat scheduled to have formal talks, anna, but they had a brief, informal conversation, publicized as they call it in diplomatic speech. they exchanged a few words but no official talks, none scheduled either. the obama administration said it did not allow the two men to discuss any issues certainly not ukraine. it was the same for putin and tony abbott at aipac who had boasted last month he would putin with a short front over the crash of the malaysian flight over the ukraine and no such chest but happened. they had a cordial i guess it described as cordial. i. the interpersonal drama with so many of the world leaders and

the greatest economies represented by their leaders and vladimir putin made the at is the most intriguing part. and obama with the rivalries. and xi and shinzo abe meeting. shaking hands with the gloom faces and x and putin trying to show their friendship that is more than gas deals. reportedly, putin showed some chivalry at the dinner last night by casting his jacket over the shoulders of the first lady of china. something caught on the camera by local media been scrubbed from the internet after many jokes that it happened in wife.s was hitting on his a lot of interpersonal charm a relay out. >> absolutely. one of the ones you refer to

has been innzo abe office is 2012 and he is not met with the chinese government in that time since it is their biggest trading partner. the changes are very obvious between the two. what else have we got on the agenda? yeah, they are trying to bury a long history of animosity between japan and china and it was the first step. xi jinping in his mandate. shinzo abe had more difficult problems with the economy that he had to handle since coming into office. opportunity and not a pleasant meeting for what was happening behind closed doors, we are not sure. they is that was that they met and shook their hands. what else is happening. xi jinping pushing his original

trade pact while president obama flew in yesterday and immediately, almost within hours, he met with his partners if you will for his proposed trade, tpp. two sides pitching the difference traits. putin, by the way, endorsed a beijing's raposo. that is another development. is in the united states that they have a breakthrough in information technology agreement with china which could open up for trade a very key products. the u.s. is claiming a victory there. had potential one trillion -- tag on that. do not think of hitting on your host's wife. >> i will remember that at the

next summit i go to. i missed that one. >> i was feeling a little friendly. >> she never hugged me. >> i am speechless. >> that is why i sit in the middle. -- >> cominger -- up later -- the chief executive as they report earnings. ls, first on bloomberg. >> you can join the conversation. tags for us. three he is coming off the ratings, anna. a probably inappropriate tweeted this morning. , inappropriate. the ecb could be ready to buy asset purchases by next week but

when we'll see what long qe and we will put that to our next guest. ♪

>> time for company news. london's two biggest airports are head to head with rival bids for expansion. the airport commission will consultationlic with the latest calculation of expansion plans at heathrow and glass with. a final recommendation on which is not expected until next summer. a shakeup in uk's payday loan market. there may be priced caps on along this morning. earlier this year, the regulator said it was planning to him at interest rates on short-term loan to 0.8% per day and was considering cap the total fees and charges at 100% of the loan. blackberry is interested in expanding into china. and striking a new partnership deal, according to the ceo. he's already met the hats of the

corporation and -- heads of the corporation and lenovo. china was the largest market. >> opportunity where somebody would like the technology and somebody could use some of the technology and products and all of that is not really friend at this point. i am looking at this market and i know it is important to this market. i know privacy probably will get more and that is what we do best. obama. president barack and vladimir putin greeted each other briefly after the apec summit in beijing. the u.k./eu and united states have directed to tighten -- have sanctions to tighten against russia. what does it mean for the economies involved? jointly is full of sure. -- joining me is

philip shore. the economy grew barely. what does an escalation of tensions between the west and -- andme for primarily russia mean for primarily the economy? >> for the eurozone as a whole, it should not be a huge impact. eurozone exports to russia are under 3% of total exports. fundamentally, it is not huge. if you go to specific economies, that is different in particular the baltic states plus phil and and they are being hit -- finland and they are being hit very hard. front,he economic removing tariffs from 19 isducts into china and that

progress report. a lot to focus on big trade deals. whether at the apec summit word transatlantic, do they hold a not iney or are they focus at the moment? it is autely, longer-term thing. more free trade could be a good thing. the reverse on tariffs and sanctions. what you want is more free trade ocs and inrious bl these things take time. great potential for the global economy. chris one of the big relationships that obama focus on was [indiscernible] most of the intellectual capacity is building the relationship. chinamportant is that u.s.- axis for growth to america?

>> it is. if you look at european trade numbers, a big increase in export to china from countries like germany, the u.k. numbers have been quite strictly. -- quite striking. seeing rapid expansion a very much in the same in and if you are exporting to europe, your market is sluggish at the moment a you need to find more dynamic areas. not just now but to keep your industries going. one of the dean's ecb will be keeping an eye on. in light of the meeting mario are you intouch suggestions of internal strife within the governing house? >> there's certainly a lot of tension appearing between mario

draghi and individuals on the governing council. , a lot of thesay stories are probably true. having said that, drive he is in charge -- drive he -- mario draghi is in charge and he said we agreed on a lot of things. >> a good dinner. [laughter] agreement. the ecb saying, they have covered bond buying and ready to buy assets . the asset buying program? started thet really yet. i think the program is an interesting one. saying, we can make most more liquid and get credit flows going. i am not sure how that's going in terms of the securitization of the loan.

is a interesting that it big capital charge that the bank holds. the central-bank is buying either directly from the banks or the collateral with the ecb. it will actually free considerable capital and that is toonstraint to lending corporate sector and that should help economic growth. >> if you take steps, it takes time for asset buying a enough negative interest rates. a whole lot of unconventional measures. thatwould you read reasonably expect inflation to bottom out and some type of turnaround in growth? here, we ask, when is it going to happen and why not do qe? what is reasonable to expect? >> the first question is, is it going to happen? it will happen in a reasonable

timeframe. we are now looking at the japanese situation. difficult and we will probably see something more visible in the second quarter of next year. and it is no magic bullet here in terms of driving the economy and pricing forward. you have a number of policies coming together which should be traveling in the right direction. the fact that in these big asset purchases have been witnessing -- weakening the currency. having an effect on the currency. >> philip, stay with us. mark carney, 500 days governor. a bit of an anniversary. it comes with the inflation report. that is coming up. ♪

>> welcome back. this is countdown. i am mark barton. >> i am anna edwards. >> i am manus cranny. is here. shaw the 500 day anniversary of omar carney -- mark carney. we have talked about what he has achieved. operations anded

produce forward guidance. maybe he will focus on the meetings next rather than have a meeting at the beginning of each month. he should push it back to every six weeks. do you see that happening? is at the next push? >> it is quite possible. it is something that has been talked about. interesting that the fed from in the ecb is moving 12 meetings a year or 28 totings in 2015 -- a year eight meetings in 2015. that might be an appropriate time to move it. having said that, it is a financial crisis and you are quite happy at having a meeting every month. it is not to change policy and

in between meetings, you have more emergency meetings which is not good news. i can see the argument on each way. >> what about the inflation report expected tomorrow on his he willy and maybe reference it. what type of forecast do you expect to see? downgrade inflation expectations? >> on growth, i do not think we have seen a big change. arguably, you are seeing a little bit of a slow down in the manufacturing sector compared to four months ago. we were saying expecting some sort of slowdown in the second half of the year. the growth outlook looks probably the same as it did three months ago. on inflation, it is very different. we have had a dramatic fall in prices. to comeave continued down. more competition and superstores. inflation down at 1.2%.

i would imagine that the bank of england will lower its inflation projections. and that would be consistent with a rate. >> talk about me about the position. ready billion pounds worth of cuts. have we forgotten there's a bit of a deficit problem? >> we have. the deficit is very much an issue. probably looking at it a little bit below 150 billion pounds. -- must -- month's numbers suggest it is lower than the previous one. a sustainable fiscal policy aide to keep your foot down and absolutely [indiscernible] >> great too happy you with us. philip shaw.

thank you so much. coming up, you may have heard of it. singles day. alibaba certainly dead. the giants.s for -- alibaba certainly id. what it means for the giant. ♪

>> welcome back. 6:30 a.m. in london. it has turned around. it was a little bit lower through the session as you can see. the bears will take comfort. new technical basis, when york went home. is ready to buy asset-backed securities as part of the stimulus program next week.

stringent when it comes to quantitative easing. there is no decision to buy government bonds. step towardser taking the currency a little bit lower. that is the euro, a bit flat. yen, weakening, heading to the seven year low which is 115 .59. berkeley say that the recent that correction is more or less complete. their view is we run up to a number of roadblocks or speed bumps in terms of dollar yen. growth numbers for japan on november 17. doeswill evaluate what abe with the sales tax. dissolveay decide to

parliament and go for a vote before christmas, december 14. no attribution on that. the bloomberg con stories. david cameron used his speech to warn that russia's actions in ukraine pose a great danger to europe. the prime investor says sanctions on russia are morally right and in the u.k.'s economic interest. >> russia's actions posed a grave danger to the rest of europe. here in this building, with its history shipped by the blitz, we should not need to be reminded of the consequences of turning a blind eye when big countries in europe bully smaller countries. beenesident obama has meeting his chinese and russian counterparts on the second day summit in beijing. encounters with one more hooton where brief and informal

in'srding to put spokesman. while obama has been in china, he has called for the strongest possible rules to protect the open internet. companies such as comcast, verizon, and at&t argue that only light regulation is needed. obama says there should be a ban traffic.anes for web >> weather use a computer, for -- phone, or tablet, internet writers have a legal obligation not to block or limit your access to a website. >> the captain of the south korean very that sank in april has been jailed for 36 years. he was found guilty of professional negligence for not doing enough to save passengers. 304 people died in the disaster. prosecutors had been seeking the death penalty for lee, who was found not guilty of murder. >> singles day.

for the chinese retailer alibaba, it means business. the e-commerce giant has already topped that figure for this year. here with more. it has taken the headlines this year is the biggest ipo ever on wall street. how does that tie-in to its singles day ambitions? >> the company has global ambitions. they have already conquered china. and nine at 10 of those people with alibaba. they are well-positioned. they want to take over the rest of the world and this is if you will the vector they want to do that through. singles day, double 11. it started at -- as this holiday that students came up with for thenn the 1990's and alibaba got hold of it and

commercialized it. and now they want you and you and all of us to celebrate singles date. they have a couple website set up to help them do that. if you go to the main site this is happening on you will that it is indid chinese. ali express,y -- they are also in portuguese and russian as well as english. ali express is the biggest online shopping site, so says the company and brazil. what you will discover is that it is not going to be easy. have you gone to ali express? it is a slightly complicated side to get your head around. get your head around. you have amazon and ebay. we did a survey last week in the united states of online

shoppers. 3500 served and two out of three had never heard of ali baba. despite the fact we had this huge ipo. it is something that resonates with our crowd but not necessarily with choppers on the street or wherever they are shopping. analysts saying if they want to get traction with this idea of all of us celebrating singles day because it is kind of nice because it is selfish and everything. >> i yourself a present. a holiday where you are supposed to pursue people, kind of like ballantyne's day so i might i something for you but everyone through the hands of and we will buy for ourselves. it is for bachelors and spinsters. a derogatory term. are trying to increase

the profile of this. there is nothing that international retailers like more than another day when they encourage you to buy presents. is the deal with the international community on this one? rex they get another opportunity to sell a stuff on this holiday which is, whatever, fine. the big opportunity more immediately, while ali baba is in the process of rolling out cole,press, kenneth allco, they are cooperating on double 11 or singles day. the challenge is clear. if you look at the scoreboard. throughout the night in china they have had a good essay big scoreboard. -- they have had a big scoreboard. about -- theyng

show the top-selling brands. at it.at look the mobile phone maker was the biggest seller. apple was fifth. it is still make it place where chinese brands are supreme. and so if these western brands -- has madehich is inroads but other ones like american eagle, and i went to their website, they have a dog's apparel line coming out. there is a lot of dogs in china as well. if you want to sell your dog's apparel this is a good opportunity. they provide a platform so retailers and sell it. >> could you give us the weirdest deal you can find? >> buying yourself the weirdest present. that sounds dangerous. >> there is other -- one other

line that has come out on cctv. ali pay is definitely going to go public. pa -- that is the part he hived off for himself. mind.e springs to onhave seen the crackdown .orruption has hurt some the vineyards producer of the world's most famous red wines. last year, one of them was bought by a chinese energy company.

her goal, maintaining the quality of the french wine while providing chinese direct access. >> for the vineyard, quality. production.sons on market has soared over the past 15 years to nearly 14 million drinkers. but a crackdown on corruption in aina has given bordeaux little hangover. fewer officials are willing to toast with expensive french wine and exports are suffering. >> between 20 and 30 it dropped because the government wants to the consumption. >> this has not stopped the chinese from buying bordeaux vineyards. there are nearly 100 of them. >> every week i have one or two

visitors with my chinese clients. >> with lavish spending controlled, she now advises her clients to buy chateaus that make more affordable wines. wines there isl increased. >> many believe the drop in exports will not last and that chinese investments will help more french vineyards resist growing come petition. -- growing competition. >> if it is not the chinese it will be someone else. for now, it is then. those who have sold our happy to find a buyer. sometimes after market -- years on the market. >> for now it is time for wine tasting. the world's second-biggest phone company reports their earnings with a slow down in its

african unit. caroline hyde talks us through from what we can expect. of being themantle biggest. >> it has tried to steady the ship in one particular area. you take your eye off one area and the other one starts to lose balance. you have europe for eight consecutive quarters. declined quarter after quarter. the bright part has always been the emerging markets. last quarter they said, we are starting to see a stabilization. service revenue is not turning around. there is still a decline but it seems to be stabilizing. we have improvements and italy, germany, and the u.k. and all the sudden africa starts falling over and we see a profit cut in terms of their for your target. is big in south africa.

also getting into sub-saharan africa and western sea of it of a slowdown. customers are not spending so much and there is a regulatory issue. it is called termination fees. they are not managing especially if you want to use different networks, you have to be charged through the nose through it and vodafone is not allowing that. service revenue still set to decline for vodafone. likely to see profitability start to stabilize. we could see every data -- ebitda earnings pick up. i want to say about the next part of the year. morgan stanley says this is as bad as it will get. the 19 billion pounds improving their network, adding internet and tv services, that should start to reward them in a year. >> coming up next, talk of more sanctions against russia and the ruble is getting punished. where are the real risks in foreign exchange rate now?

joins us for our risk conversation. that is next. ♪

>> this week we're taking a look at risk across a variety of markets. the get more perspective on the foreign exchange market. our guest.now is for joining us this morning. volatility is back in the levels exchange game, at we have not seen since 2013. that must be good news for volumes but it is -- has an implication for risk. the two together for us. >> it is much more interesting markets, definitely. -- manys no volatility correlations with data from fundamentals had broken and what we have seen recently [indiscernible] monetary policy has become a key market theme. these processes work in -- will continue next year and we are

shifting from a suggestion, we will keep interest rates low. tells us regime that focus on the data. monetary policies are diversion and correlations with data and fundamentals are coming back. these are more normal markets. >> we will see this great emergence in monetary policy, but at the same time you say that there are risks for the dollar rally. does that not mean that the dollar goes higher than if we see the fed putting a way in the different direction to the ecb and bank of japan? >> that is a good point. [indiscernible] fed will be tightening next year and most likely the ecb will [indiscernible] the market iserm long the years dollar. recently we have seen the dollar failing to rally substantially

in response to good data which again has to do with positioning. flows, look at our own we see european-based corporate's buying european dips. this is a good level to buy. they may buy more toward the end of the year. at least for the dollar, a bit of the downside. when the dust settles we will buy the dip. boj announced that surprising monetary easing a week ago. how low can the yen go before authorities start to get uneasy about it? is it the pace or the level? >> that was a big surprise. nobody had expected that. they wanted to surprise our kids. it was very well coordinated.

they also announced the new investment plan of the state pension fund. the market is not as short yen anymore as people are believing. compared to other currencies, , the positioning in dollar yen is not is stretched. clearly the market has moved quite a lot. we will remain a list all yen. our projection is 120. we will see a squeeze of the dollar positioning the short-term. once we see the dollar yen declining. the dollar yen will pick up. the other currencies is the ruble. yesterday the central bank said we are not going to stand in front of this train anymore. we will step back. this is the worst performing market currency. does the market continue to challenge the central bank in russia? >> it was the right move by the central bank for what they did. consistentand it is

with the drop in oil prices. from this point of view, there is no reason for the central bank to stop this. it was consistent with fundamentals. it does not overshoot. looking forward, [indiscernible] but oilecting the ruble prices are much more important for the ruble. >> what about the swiss franc? vote.ike a it seems to be taking us to close to the 120 double for the euro against the swiss franc. >> that is an interesting story. the market is short the swiss franc and the swiss franc is moving the other way. there are two questions. on the one hand, [indiscernible] given that inflation is very low. there is no limit to expand their balance sheets. perhaps there is a risk.

the problem is not the commitment to keep the share of reserves and the balance sheet to 20%. it is the commitment that we will never be able to sell. if in the future they have to defend the floor, they have to buy gold and that will keep for ever. >> thank you. >> coming up, the latest movie "hunger gamesthe " saga. stay with us. ♪

>> welcome back. let's have a look at the newspapers. >> stylish, intense, and satisfying. what am i talking about? >> is it me? >> it is the latest "hunger games" film. is, jennifer lawrence. she plays ever been -- katness everdeen. the reviewer says the best part of the final book is the second the, though this part is

set up for the juicy bits. it will be the final film. want juice in action, wait for the bigger -- the second part. the biggest geopolitical challenges right now? for the west, russia is the biggest challenge, not the middle east and not rising china. >> i have gone with this. takes band aid in a new direction. this is the 35th anniversary. some viewers may not be old enough to know this. it was before one direction were born. they will adjust it because africa is doing well.

>> countdown continues. more on russia. after the break.

>> the british prime minister said conflict in ukraine poses a grave danger to europe. >> economic sanctions are having an impact. capital has flowed out of russia. banks [indiscernible] and theian stock market ruble have fallen significantly. >> obama meets vladimir putin and president ping. tensions andobal trade. we have an exclusive interview with the chief executive of [indiscernible]

-- of talktalk. hello and welcome to "countdown." a.m. here in london. we have earnings crossing the bloomberg terminal. beatens at maersk have estimates. analysts were estimating 1.3 8 billion. the company has confirmed it will reach its target for the entire company, for the mers line division -- maersk division. they have been battling with overcapacity in the container division after a boom order

trigger the worst slump in containerization became global in the 1970's. they have cut cost and it is evident in today's earnings. we will be talking to the chief executive of maersk. don't miss that. and breaking earnings from vodafone. seems to overall be a bit of a mixed picture. on the first half basis we are seeing that revenue actually climbed and sales up to 20.8 billion pounds. organic service revenue have fell in the first half but if you look in the second quarter, organic service revenue only fell 1.5%. this is far improved on the first quarter.

on the second quarter versus the first quarter, we are starting to see that stabilization but a phone started to promise about. we are not seeing an uptick in organic service revenue but we are seeing a stabilization that is not falling to the extent it used to. we are seeing that they are improving somewhat on there for your targets. earnings will be 1.6 to 11 -- [indiscernible] are revising that scale slightly higher saying we will be at the top end of the four-year profitable range. organic urging -- earnings margin is down. where trying to see this mist and fog. what you take away his sales are climbing in the first half of the year. they're raising their full-year target and the second quarter service revenue is actually better, much improved on the first quarter. we are seeing them down 1.5%. nowhere near the 4% we saw

overall. u.k. is still down in spain not looking good. many analysts had thought is not there. reported numbers this morning, talktalk [indiscernible] at 46 million pounds. they see revenue growth and strong growth in ebitda. and they will invest more and customer acquisition costs and see reinforced confidence in 27ieving their full-year target. that sounds fairly confident statement from talk talk. we have an exclusive interview. u so much for coming

in. to be fairly -- sound to be fairly confident. you must feel you have some visibility in the future. >> absolutely. ours is a going business. what you have seen a lot -- the last quarter is the fastest growth we have seen. added more time, we tv customers than the rest of the market but together. >> are you under serious rusher in pricing? -- pressure in pricing? is this market getting to a base thel in pricing or is it further you go? >> we're always looking for opportunity to save our customers might -- money. line and brauned

-- broadband tv bundled together. that is the way the market is going. we have one third of our customers take tv. that is a long way to go. >> how long to go before we step up these deals? most of us are still on just broadband or just mobile. you acquiring these customers? >> we have gone from nothing to over one third of our customers taking tv in two years. in the next two years with expect the best majority to jake peavy from us. mobile is, it is early days. find rapidyou will growth over the course of the next three years. >> where do we see fixed line phones in that? how many, how generational is that? fixed line much

to the consternation of elder relatives. line? taking a fixed >> you have to have a copper wire or line close to your house. why people like it bundled together. we see fewer people making landline phone calls. consumers and businesses. that has been the trend for decades. it continues. >> how big is that trend? >> it has been a very predictable trend. so for a long time. that has been more than outweighed from the revenue growth for people taking additional services. hook?t is the marketing in? is it that draws me it is not mobile service for

customer like me. what part is the core to get right? >> our customers would say get all four pieces. answer.t the real >> if you take our tv which is the fastest-growing part, our customers are coming to us because they do not want to have to pay for full on premium pay-tv service. they want to take the content they want to watch. you do not have to pay for entertainment to get access to sports and you do not have to commit to a premium contract for 12 months. >> that is what i find appealing. >> if you want to watch sky movies over the christmas holidays, all you have to do is pay for month. no commitment to do more than that. if you want to watch a movie on christmas day, just pay to watch that one movie. why we are the fastest-growing tv business. >> how much are you paying to

develop your tv content? offering -- content offering? competitors,o our that is not our route. we are a founder shareholder in newview. the public service broadcasters and our approaches to do it that way and to be assertive amazon marketplace for content. we do not think we need to own content lines. creating your own content? >> you have to be a better of, not a worse then. we can be everybody's incremental distribution channel. that is what our customers are. they do not want to be committed to the big contract that come with companies that spend billions of pounds. >> that is one side of the cost. someabout, you pay for

serious high-profile advertising. how much is that worth, spending on that kind of hype profile event in a linear tv environment around big events like that? but it end a fraction is our core customer base. if you look at the live final, talktalkity will be customers and employees. it to train. if you look at our effort -- adverts, that is our staff. make it something that is core of what we do. >> just break away from the business for a moment. hoping -- a harry s

baroness. winscomb. this constant consolidation talk. alternative companies are tied up with each other. there is constant speculation. cannot say much. are you talking to people, the people of such as vodafone? are you open to conversations or do you wish to stay independent? everyoneindependent so enjoy speculating. there is space in the market for value for money quad play providers. we're adding customers. we are different. are happytell but we

doing what we do on our own. ceohank you, dido harding, of talktalk. >> join us on twitter if you want to tell us what you think of the program. not a worse, than. own is the our message from dido. join us on twitter. on equities?llish you will be in company with our next guest area and joining us at -- with our next guest. joining us after the break. ♪

words on russia and sanctions. the gilded hall in london is usually a platform for major policy statement and amid all the ceremonial trappings, mr. cameron did not disappoint. he condemned vladimir putin sanctions in ukraine, sanctions he said were morally right and in the uk's economic interests. >> russia's actions posed a danger to the rest of

europe. here in this building with its history shaped by the blitz, we should not need to be reminded of the consequences of turning a blind eye when big countries in europe believe smaller countries. our expert on russia joins us with more. how likely will it there are more sanctions? >> we are women -- and one of those scenarios where the question is what are they going to be? chancellor went to see an expansion of the individuals that have been sanctioned. will we see more restriction of russian companies' access to markets? we have heard from the british prime minister. the foreign ministers of the european union our meeting on monday. there is a danger of people like cameron crying wolf and not the littering on their threats. we will see something, the question is what. >> we have heard cameron talking about sanctions hurting russia.

>> the ruble has actually weakened today from 45 to 46. yesterdayt 10 a.m. morning. that is when we saw come down from 49 to 46, really strengthening. i was discussing this on twitter with muhammad ali arian and he said that is the market repositioning itself after the huge depreciation. 28% depreciation. the ruble has declined against the dollar. regaining control of the foreign currency. we know what that reaction might be. we were told by the central bank they are saying that going to stop intervening on the market with these $350 million , buying rubles from the population. what they are going to do is they will restrict rubles to

russian banks. the russian bank can go through repo operations to the central bank and get rubles off it and what the central bank says as they have been using those rubles to buy dollars fueling the decline of the ruble. the downside of this approach is that when you restrict rubles to the banks you also restrict the ability to lend rubles. that does have an economic consequence people thing we might see the ruble stabilize where it is right now. >> thank you very much. 500 closed at another record high. our next guest says he has been bullish on equities since 2012. our guest.now is you were buying on the dips in october when the world seemed to be [indiscernible] what was your conviction?

>> we were buying equities during the correction. we got to the point where we were -- had to be careful we did not reach the maximum exposure. it has paid off very well and back to more normal positions. they were three things that we were looking at and they were sentiment, seasonality, and stimulus. investor sentiment was in a real panic. they were ways of measuring how panic evil are and this is one of the seven most panicked episodes since 1991. it seems hard to believe. the fundamentals did not seem that bad. the oil price plunge made people think that something bad was happening. it was more served -- supply driven. october to april is when global equity returns happen on a seasonal basis. >> it is a part-time job. >> i just show up twice a year. msciu go up 44 years, the world index has gone up 9.8% in

dollar terms a year. 9.5 between october and april. and and stimulus. oil is plunging and all the central banks either move toward stimulus or moved away from hiking and that is what we needed. >> we still have got big moves. ironroup are saying that ore could hit 60 bucks next year. the commodity component and thoseindices and commodity stocks, are they under pressure, are they part of your portfolio, do you stand back or they are still in play? >> we are underweight material stocks. we are underweight emerging markets. we're talking about russia, this environment is like the 1990's were you had generally falling commodity prices putting pressure on the emerging markets and you had a kind of rolling series of crises throughout the decade read we are in that kind of environment at the moment. there he much focused on developing equities. japan is -- there is a rumor

they might dissolve parliament and reset the clock create four more years of abe. and postpone the sales tax rise. >> im sure we will come back to central bank stimulus but to look at these earnings environment at the moment, what do you see there? i have been moving about jerome leavy. heat sold his stock fearing that corporate's would not deliver the profit. he did very nicely after that. 2007, the business he left hind also had a good track record. now apparently they are saying there is a 65% probability of a world wide reception, contraction in the u.s. by the end of 2015. it is not a certainty but are you worried that things slowed down to that extent? >> i am not.

anything out.lly 65% seems ago high number. recessions are created by financial imbalances or inflation and central banks tightening interest rates so inflation is not showing up. the bear cases -- case is wait until inflation starts getting going in america. that, and someone is slamming on the brakes, coming from zero to a high number, you can imagine there could be something more serious. wages is key. intonationnot the from the fed. that -- happen that way. the markets will see them as normalizing interest rates rather than slamming on the brakes. you could get a deflationary shock. if there were a hard landing in

china, the markets would take that badly and you could get recessions in countries serving china. what central banks will flood the world with more liquidity and cut interest rates and it will be like 1998. a lot of dying opportunity. >> japan is already doing that. you said you liked japan for obvious reasons and the pension funds will affect all sorts of assets around the world. how do we as investors best expose ourselves to what is going on in japan? >> you want to be exposed to the stock market and not the currency. the exposure, we're going short yen. difficult to do is individual but you can find exchange rated funds so you can get the nikkei without getting the yen. >> are you long the japanese

stock market because that is the ultimate intention of the boj, to lift asset private -- prices? they warrant a rising equity market or does that not matter now? quite powerful. bernanke said he wanted the s&p to rise at it tripled. -- and it tripled. there is a point where all the policies are trying to get asset prices to rise. it is trying to get nominal gross to return create if nominal growth returns the stock market should be doing very well. it is important if they do not keep raising the sales tax. we will see what happens. there is a good chance that [indiscernible] massiveuch supplementary budget next to it. >> you mentioned, is a hard

landing possible in china? is that a possibility? >> it is always a possibility in any economy. is a lot of things going on in the financial system. , theyerybody understands are quite open about that. doing is taking the 1990's japanese approach. rather than the lehman approach that the americans were doing, ripping out big organizations to see what happens and reset things that way, there is money printing and secret deals. china will find itself gradually slowing down rather than collapsing. that gradual slowdown is what keeps the downward pressure on commodities. >> underweight the u.k. a different road. he says do not worry about market volatility.

he also said look through this volatility and move on with rates. >> i did used to think that the bank of england would raise rates before the fed. it is a bit more hit and miss because the housing market is slowing down. then is to do with the mortgage market review and backlog of deals being processed by the banks area did -- i the banks. is cooling market off. the uncertainty around the election is not helping and i do not see the bank moving into a tightening circle is house prices are dropping. >> good to see you. thanks ford dropping in. in.hanks for dropping the chinesein capital as obama and putin meet briefly at the apec summit. ♪

>> welcome back. a very good morning to you. let's have a look at your dollar. it is flat. mersch is ready to buy asset-backed securities as part of the stimulus program as early as next week. there is no decision to buy government bonds, that is a theoretical consideration, not a reality. .24.20

euro trades tohe the rest of the day. we had an interesting conversation with trevor greetham from fidelity. that interview into tell the later. yen out right and be long the nikkei in terms of equities. barclays says the correction you're seeing in the dollar yen may be completed and there are a couple of the risks that gree tham mentioned. the bigger issue is this. abeh -- will shinzo dissolve parliament? that is part of the speculation that he could go for an election to go another four years of tenure on december 14. that is an interesting one. a big call from fidelity on

dollar yen. that is your fx. >> david cameron eustis beats at london's guildhall to warn that russia's actions in ukraine pose a great danger to europe. he said sanctions on russia are morally right and is the uk's economic interest. >> russia's actions posed a grave danger to the rest of europe. here in this building, with its history shipped by the blitz, we should not the reminded -- not have to be reminded of the consequences of turning a blind eye one big countries in europe bully smaller countries. captain of the south korean ferry that sank in april has been jailed for 36 years. ofwas found guilty professional negligence and not doing enough to save passengers. 304 people died in the disaster. prosecutors have been seeking him, who penalty for murder.ound guilty of

president obama has been meeting with chinese and russian counterparts on the second day of the apec summit in beijing. encounters with vladimir wooten were brief and informal according to his spokesman. there were no talks between the u.s. and russia. let's get more. life and the's chinese capital for us. -stephen engle - is live in the chinese capital for us. no sign of any thawing in the relationship. >> the only thing they had in common was the burgundy colored familythey wore in the photo. they did have a brief, informal conversation. speaking a few words to each other in what you would call a pull-aside.

the brief encountered in not allow the two men to discuss many issues or any issues. certainly not ukraine. it was the same for putin and the prime minister of australia. no such australian chest butt they dide cards but have a chat. no personal drama. this is perhaps the most intriguing part of the summit in china. pitching-- they are rival proposals.

trying to show their attitude is more than that pastels and defined west. and comprehension. the internet is that in china right now. what was on the internet, photos of vladimir putin putting a jacket over the bare shoulders of the first lady here in china in what many online had been joking that may be was a pass by to the first lady. the censorship in china is in full swing. they are scrubbing any impromptu moves by mr. putin on xi jinping's wife. >> that sounds tricky. what about the business side?

the u.s. is focused on the i.t.al of paris on some topics. have we seen a breakthrough? >> forget about those regional trade pacts that are rival proposals. that will take a long time to get done and there is the bilateral investment treaty that they will try to get movement on. one movement -- area they have seen breakthrough on and that is that information technology agreement. ita. it is a move forward to have onks on eliminating tariffs $1 trillion in global sales of information and technology product. officials are saying could be finalized as soon as december and would mark the first major cuts to tariffs at the of ut oh in 17 years. they have agreed to move to talks but that is the breakthrough today. in terms of trade,

no doubt. thank you. fascinating personal relationships at the center of things. stephen engle joining us from beijing. >> president obama took a stand for net neutrality, announcing his land for an open internet and citing himself against the cable companies. am asking to reclassify internet service under title ii. i am asking them to recognize that for most americans, the internet has become an essential part of everyday communication and everyday life. >> joining us now is hans nichols. what does this mean for the average user and the cable companies themselves? will be no there fast lanes are slow lanes. president clearly calling on the fcc to have more regulations. enough with this light regulatory approach. have more of a heavy hand so you can ensure that companies and

these are the cable companies, the broadband providers, do not try to charge a premium for that high content. companies like netflix cheering this. the cable companies saw their shares decline yesterday in large part because this will not allow them to charge more for providing a lot of this content. it is clearly falling along partisan lines in the u.s. you saw congressional republicans talking about not regulating the internet. here is a pretty incendiary quote from ted cruz. he said "net neutrality is obamacare for the internet." we may not have heard the last of it at least on the regulatory front. >> similar debate here in europe. who is winning the argument? the forces ofke

net neutrality are winning in europe. last spring in brussels, a past a pulmonary bill to impose net neutrality, but it seems and i am reading a little bit on the tea leaves, chancellor angela merkel is a little bit less convinced that the neutrality is the way to go. just last month she said she would not even weigh in on net neutrality until germany increased its broadband, broad enough to faster speeds so she seems to be holding her fire a little bit at the way of the u.s. >> thanks a lot, our international correspondent hans nichols. in rivalhead to head bids for expansion. facing 12 weeks of public scrutiny. commissionrports unveiled its analysis of expansion plans. virgin atlantic's ceo told bloomberg he was sure which

airport would be chosen. >> we believe and i believe that heathrow is the best decision efficient and economically viable solution to that problem. telik is a different question and i think all of us are interested in looking through more detail at the proposals they have made to understand the case for an additional runway. >> a very clear call from virgin. have been looking at the report. what were the key points? the chairman of the committee was trying to be very evenhanded in the report this morning. he did not announce this as an option to the second runway. runway at heathrow or an extended runway. the analysis was interesting because one of the things he pointed out was the assessment that the airports, the proposals

that were submitted have underestimated the costs and have underestimated what the potential airport charges could be. they have all sort of -- they , a little bit of fudge and in terms of financing. the financing may be more challenging. and these seem to be gaining traction. there are three on the table. >> they are ramping up their efforts. the ceo of heathrow and ga twick, they are trying to burnish their low-cost carrier credentials. that was one of the strongest points in favor of gatwick. heathrow is pointing out that over 80% of traffic goes out of heathrow. there are six airports that have 50 long-haul destinations are more. heathrow is in that group. focusing on that power and that importance for the british economy. various groups come out, the cbi

has come out in favor of the hub and some polls suggested that mp' s might be in favor of heathrow. >> what is next? get a resolution, in the next couple of years or will we have to wait another three -- threeuestion mark decades? >> looking back at some of the history, in the mid-1970's and they had [indiscernible] will beummer, we getting something out of howard davies, his suggestion as to what the best thing is. has come outlondon against heathrow. you have to wonder his future --stituency is in helling 10 hisington, you wonder if

rhetoric is going to change. it becomes all about politics. the >> coming up, the owner of the world's biggest shipping company just reported third-quarter analyst -- earnings that beat analyst expectations. nils andersento of moeller-maersk. ♪

bar chart. today's how low could iron ore go? this is iron ore over the last 12 months. a globalhe price, benchmark. it has fallen 44% to below $76 a metric ton. glut as the chinese economy slows. the commodities slumped to $75 30 eight cents. the lowest since september 2009. $16group says it could sink to $60 a metric ton next year as global supply increases and

demand remains weak. it splashed its ford early -- quarterly forecasts as much as 26%. surplus will more than double next year. has cut its forecast. macquarrie said in september the global market is in the midst of a transition without precedent in recent commodity history, as supply jumps, as higher cost mines shut. goldman sachs declared the end of the iron age. says -- mckenzie said prices might be in the $80 to $90 range next year. the market will improve in 2016 and by 2020, prices will be higher than they are today. you cannot get away from the fact that iron ore is down by 44%.

this year, we will have to see who is right over the next 12 months. .ore from ap moeller-maersk they beat estimates. we be speaking to the chief executive -- we will be speaking to the chief executive. ♪

>> welcome back.

vodafone posted earnings which analystser than expected. here with morris caroline hyde. is that stabilization, the message to take away? >> encouraging progress. , two thirds of vodafone sales and we are seeing a service revenue is declining. it has been for nine straight quarters but not as bad as previously had been. everyonebig number focuses on. the money they are getting from data and data on the internet. down 1.5% but not down the 4% we saw in the first quarter. germany, the u.k. and similar. india is where the growth is at the moment. sales come in line, earnings eight, even though they fell on an organic basis but they are lifting their full-year profit

target. the problem now is, europe is stabilizing. what about africa? we are seeing a slowdown. and contraction in reduction for profit targets. europe is looking better. >> the owner of the biggest shipping container company is reporting earnings. fromandersen moeller-maersk. you -- know you h ad beaten estimates? how did you achieve it this time? >> we are very pleased with the result for the third quarter because it is an improvement over last year which was already very good. the formula is a little bit the same. it is a lot of focus on the customers in the container market and in the constant

effort to reduce costs and be ever more competitive across all the divisions. we are very pleased with the result. what our trade flows telling us about the global economy, what is the take away from the flow of trade around the world? a i think one thing that is little bit concerning, if you look at the overall global -- we called the growth markets. the developing markets grow relatively little. growth in 3% container traffic which is relatively little. europe is surprisingly good. -- asia to europe is the strongest growth corridor which is surprising but we think it is due to a bit of stock building. the u.s. is starting to pick up now. but has also been a little bit

slow than you would expect when you compare with growth figures. do nottainer flows exactly reflect the global economy. stable, -- a stable and not too exciting global development. >> when i last spoke to you in august that day you said that profits at your oil division will be helped by higher oil prices. as we know it so happens since august 19, crude has fallen by 20%. how is that going to impact you? basically, you can say on an annual basis, $10 price drop cost us about $200 million. 20 --talking about somewhere around 35, $40, $1

million. it does have an impact. he did improve our results in your business in the third quarter because we had higher production and we also had some reduction on the expiration costs. -- exploration costs. >> your --[inaudible] alliances?ct more and we look forward to more mergers in the industry? >> we are [indiscernible] that gets the approval so i do not think there will be further important steps in this sector. it is a trend we have been saying over the last year and in a way, it is a consolidation at cases because you can share capacity without giving up your company. i think that plays well in particular. with some of the smaller players. >> thank you very much for

joining us, nils andersen, the chief executive officer of moeller-maersk. next. the move" is ♪

>> welcome. we're coming off of fresh highs in the united states and let's get to the morning notes. said thisster cameron before he had to ditch a dinner and make the early exit. we will tell you why. a gold mine. the online retailer said they sold merchandise within 40 hours

of the promotion kicking off. beats expectations and had slower declines in revenue than many had expected. those are the things we are watching and futures are higher. and it looks like we are going to get a higher open with the market open. >> the yen is down and the next bigs your he is will shinzo abe go to the polls there? you ands it mean for brent oil with the relationship? should you be more worried about growth or think of it as a