to 815 million euros. the big question is on slower earnings growth next year. three things will will watch a this monday morning. future markets higher. i am looking at my else. the ftse 100 and the dax. we may get a higher opening. straight to manus cranny. >> only so much of the viewer can take. equity markets, the best since 18 that in 1989. european equities arose by over 70%. first-place germany. the germans win. -- european equities rose by over 17%. if the euro stays together, germany wins. the omx that was up 7.8%. i have omitted the fsi.

we are waiting for that to open. china the market has shaken up the contraction, the worst in two years. a wave of european manufacturing. greek remarks trying to women them elves off a drug addiction in terms of -- trying to wean themselves all of a drug addiction in terms of cash. individual names who would've thought that tarmac and cemented would be so interesting. paying 6.5 billion euros for lafage. issuing share capital they are introducing some new debt a use a little bit of cash. the market the likes it. they like what do they are hearing. lafurge is up 0.6%.

we will see where it goes. a couple of other individual stocks we are keeping an eye on. we had julius baer, and the ceo interview and he talked about euro/swiss having 105 to 110 would not to be bad. ryan air is dying and that was the best-performing airline stock in 2014. you have the buyback and second-half profit as a postal a loss of the year before. they are saying their affairs and dropped. -- said to have profit as opposed to a lost a year before. he sounded optimistic and you have to find out what happened. >> a great work manus. it is about athens and london.

greece back into focus. the finance minister is calling europe criticizing the size of the original bailout. >> the problem with the greece bailout or series of bailout is not that our creditors have not given us enough money. i have been saying this you have given us too much money. >> more money, more problem seems the be the message from the greek finance minister at he likens the country to a drug addict. he has promised to cut greek debt and promises to go cold turkey. our news reporter, some strong language out of the finance minister. he is in london today. what exactly is he trying to do and how is he trying to achieve this? >> well, the government is looking for allies and a difficult approach. in the past government, they

have said we will talk and try to get some kind of tweaking of the terms of our bailout as what happened in 2012. you have a government coming in clearly saying look, we do not just want to modify the terms of the bailout admit austerity easier. we completely disagree with the entire logic of the bailout. some type of paradigm shift so that all concerned. clearly, the reasons for this talk is not trying to convince the counterpart to get people the current bailout expires in february and do not want an extension on the ballot. they want some type of agreement on to lome -- until may to get something to replace it. the problem is there's a crunch

with no clear indication of how they will get through this. and a lot of goodwill from the ecb to keep the banking system of float. the ecb is unlikely to come up with liquidity and a political education today should doing that because it is a drastic step. that brings us back to where we started. >> they need some allies. will they have an ally in germany? that will be a big question. the negotiations will be in germany. international correspondent hans nichols joins us from berlin. with the talk all day about the greek foreign minister. the big question we are touching upon is what the ecb won't take the -- will take the tap and turn it off? >> we got a little hint, the

vice-chair said the greeks should expect and no surprises. let me read the quote and they will not give. he said there will be no surprises if we found out a country is below that of reading and no longer a program and disappears. john, right now greek is able to draw ecb liquidity because they have this waiver. if they exit from the eu bailout, they will no longer have that waiver and a clear indication from the ecb, absent an official waiver they do not get access to the funds. marcus is right, what they will be looking that is a sign from brussels which is why the leader's summit is so important. >> thank you very much. the investor take, a member of the investment committee.

he helps service about 50 billion euros in assets. great to have you with us. the big question as we approach the bailout deadline will the ecb turn off the tap if there is no agreement? >> what is important is to look at facts a rather than knowledge and there's a lot of posturing. i think it is way too early to make any judgment there. for greece, a very toxic garbage and of high debt with a deflationary pressure. not just a greek problem but a problem affecting the entire euro zone and why we feel we have committee ecb to find the problem. >> i want to talk about greece. the finance minister imply that greece is insolvent and an insolvency problem. down the road, another debt, why should it could another haircut.

i look at italy, it's unsustainable. what is your view? >> nominal growth. we all know that in order to handle the debt burden, you need to have reflection. this is something which is relevant for japan. behind it that plan of 2% inflation target lies not just a willingness to support, but the that the japanese government desk is not sustainable. it is the same problem in the eurozone. we are at a tipping point where we will challenge whether or not the central banks have the capacity to fight deflationary pressure on his own and the remain something uncertain. >> deflation making it unsustainable. at what point do we consider that fact for the likes of italy and spain? >> the markets are questioning

central banks. that is why with a rising volatility. we are already in a situational for other eurozone countries where obviously deflation becomes very toxic together with this level of debt. once we have probably is coming closer where before we had bad news/good news. people were expecting further support from the central bank and now people are questioning whether central banks will be able to tackle those. >> you personally, personal debt ? what will done this basically for two months already. global portfolio this is still quite a sizable position. this is something i intend to gradually --

>> what have you been selling? >> mainly italy and spain where's the ball -- which is where the bul medium long-termk is. maturity where web the increasing our location and we were on the short term because you know the ecb where that is the short-term maturity as we get more visibility. we have extended the maturity and that's where we are selling right now. >> that was personal debt and talk about the yield on the 10 year. it keeps going lower and lower. you'd think it is vulnerable, why? >> i am not sure. obviously you have a very low side in a very significant. that is the case where we'll see

a spike in the short term. the action and deflationary pressure we are in and what web team -- and what we have seen is actually showing very strongly. that is stays relatively lower for longer. >> jean you will stay with us and we will talk china. china we will discuss that next. a quick check on ryan air shares. another target beat, but temp expectations. ers will have more later. the stock is down. -- tem expectations. pers -- tempers expectations. ♪

this is welcome to quest welcome back to welcome to "on the move." a very different story. across the region, down after the chinese made that trade contracted in more than two years. is that good for investors? less ask -- let us ask jean. the official pmi contraction casino revenue in macau plunging

it doesn't look too good. what is going on in china? >> china is slowing. something that is going on for a while. we do not expect a massive stimulus program because the government was clear they do not want to halt the rebound process. but, what we are expecting is more accommodating monetary policy. it fell and inflation is running at 1.6% and there is a leeway. >> is it a week pmi, more monetary stimulus, do they add up? you touched that the deflation is what we need to look at? >> it is the main threat which will remain relatively [indiscernible] we do not expect the global gdp growth to would celebrate this

year. we think we might have a little bit of its celebration in europe but not very strong. -- a little bit of acceleration in europe but not very strong. we are expecting closer to 2% advantage 3%. >> everybody is talking about the u.s. being the single engine of growth. how do you position with that? >> we have to keep in mind how the stronger dollar is affecting the u.s. economy. yesterday 2.5% one of the stronger job markets over the last 15 years. 3 million none payroll jobs with the strongest numbers since 1999. lastly everybody is expecting to lower oil prices to boost global growth. i think people are right. we do not have the kind of price

supported by the economy because the oil price is not driven by cheaper resources but driven by supply and demand. more winners than a losers. producers winners and losers consumers. we had a stronger consumption. investment was accelerating very sharply. this is not surprising. >> the federal reserve aims to be ambition to get away from 0% for various reasons. potentially if things develop in the way you think they will? >> the fed is still of the view that in oil shock will be temporary. as long as they do not see any effects like lower inflation expectations from consumers employers and employees they will probably consider the rate hike. the key question for they'll

will be whether or not there is a rebound effect and if people inc. the oil shock is dragging core inflation down and not just headline inflation? >> just before we go, your thoughts on of the united states, a concern about the week oil price. -- weak oil price for you if you borrow money when oil is l $100 a barrel, what is your view? >> it has been shaken. very attractive yields. what we are expecting is probably at some stage to see a kind of rebound of the oil price. and probably an interesting sentiment to have a look at the u.s. jean medecin always a pleasure to have you on. as we head to the break, a

picture of the markets. 20 minutes into the session. the ftse here a little higher. the dax elsewhere, across the board up 0.3%. italy, just in the green. a lot to talk about. oriole after the break. stay with us. ♪

>> welcome back to "on the move ."

we are seeing volatility and the oil market. joining me now is caroline hyde. a strike. what is going on? >> we have a nine sites that are striking, 10% of all of the fuel produced in the united states area it is driving the price of gasoline and diesel higher because people are worried about production slowing. this glut of oil we are seeing a largely in the united states from show production all of this excess oil with a nowhere to go. where is it going to go? oil prices falling in terms of the wti contract. mixed reaction in terms of pricing. this is 10% of production being affected in the u.s. it could get as high as 64% if we do see all of the united steelworkers union refineries

the terminals, the pipelines, if they all get hit by this strike action, we could see 64% hit. it looks like more strikes could be called. more refineries are thinking about standing up and taking this position because they are not getting anywhere in their contract negotiations. shell negotiates on behalf of and they are locking heads. five contracts have been offered up and rejected. what do they want? better pay and better protection of this none your workers and getting their jobs and better health. not an agreement here. when we saw it before we saw three months of action back in 1980. they are really worried. what trouble upstream and downstream and how are companies reacting? >> we have the key negotiator here, when he got a statement saying we are committed to

resolving this and we want to go back to the negotiation table. what of the companies affected and settled we have plans in place tuition ensure we are not hit too badly. continued operation. in place to ensure we are not hit too badly. they're trying to keep on producing. and another, confident in the ability to continue to produce transport fuel. it is heading drivers. this is diesel. >> a big question, oil production obviously, $50 a barrel will hurt and go downstream and look at refining. the site of a business that was meant to help and now there's a problem. >> exxon mobil giving results later today. the likes of bp is going to be announced its results tomorrow. there's usually depend on refinery.

their overall profitability as we saw diving down in terms of profitability because of the/in -- slash in price. how much strength it does the union have? they would have a far stronger voice, give us more money. we have the right to demand higher pay and better health. now, look at that. oil up by half. these companies have been trying to negotiate and battle for higher pay are not in a great situation. perhaps not quite as tough a stance as previously. back in 2012 wouldn't that negotiated previously on this, they reached 4 contras and got 3% uptick and their wages and lasted about a month. now, we have been going since

january and rejected the five contracts. how much it they come to the negotiating table? and how much paper to exert take get more money question mark they are playing hardball. >> caroline hyde, thank you. brent, $51 a barrel. a big spike higher on friday. the recount in the u.s. falling off of a cliff. when it will a hit production? problem of street, problem downstream. facing thousands -- facing volatility. let's check in on shares at the ryanair. a boost in its profit goal and they have lifted their forecast for this year. a share buyback but they have cautioned on a slowdown in earnings growth. they are hatched at $92 a barrel. oil much a lower. a picture of the equity market in london. the fuzzy 100 up higher.

deputy ftse 100 up higher. we will talk markets after the break. we are back in 2. ♪

>> welcome back. 30 minutes into your trading days. the ftse 100 is up a little higher. the chinese is in contraction territory. look out for that. stoxx 600 pushes higher. it is time to get some stocks to watch. >> cover the leaderboard.

look at that. the profits are looking good and assets under management are rising. 36 billion. net income is up and almost doubled. we are cutting costs at home. the top of the leaderboard when it comes to the stoxx 600. on the downside ryanair is down and profits are pretty good. they are listing the profit goal and traffic is up.

there is a big but. 2016 is hedging the oil higher. they will be hitting the numbers there. it is well above where they see them the optimism with earnings. do not get over excited. dragging ryanair down and some of the laggards out there today. this is a u.k. retail company. a lot of analysts have a recommendation that is driving lower. kingfisher is no longer in the running. back to you. >> thank you very much. these of the top headlines. chinese manufacturing signaled

contraction. the week data add speculation that the chinese government may take additional monetary easing measures. the finance ministers says the nation will reject the bailout plan. they said the bailout was excessive all stop >> the problem with the greek series of bailouts is that creditors have not given us enough money. >> leaders across europe will rally support for the debt deal. falling crude comes after the walkout adds to a global supply

glut. oil is great much spilling into the top story. they lifted the target. for more, we are joined by john strickland. let's shift and talk about oil. >> we have seen ryanair talking about reducing unit costs for the coming year and you pointed out it is much higher than market prices. reflecting now, a lot of the

other competitors are hedging at high levels and allowing percentages for the year ahead. the concern is that those guys come out and attract more customers. >> do you think that could happen? >> ryan air is the biggest and the most adept at using low prices. >> the stock is down. leave profit forecast is back in there. this has been some run for the company. the charm offensive. is it bringing dividends? >> there is an interesting slide in the company presentation. they have come in to glass cow

and they have drawn the comparison between them and easyjet. there is a big difference with ryanair up there. it makes a point the price will always win over brand. that seems to be a cheeky statement. they would normally avoid going up each other. they have announced more bases in new airports and are talking about coming to heathrow. maybe to see the legacy airlines. >> let's talk about the assault on the airports. you have the assault and a big push for business passengers across the budget space. what does this mean for the legacy carriers? >> we have seen them try to establish and they have had

pilot strikes. they are going through an ongoing time of industrial unrest and it seems that they have only really made progress. they have cut and have a successful dwelling. ryan air and easyjet are going to continue to put pressure. >> i look at the aer lingus deal and ryanair has a stake. what is the incentive? >> we should know. the appeal to give the u.k. regulator to sell down to 5%. ryanair was facing a fire sale and there was interest.

there is serious interest. it would be galling it to do so. they have made three attempts to buy it. will there be a final reluctant? let's put the firepower in more. i would be inclined to think that is what happens. >> we have two different animals. they have competed today and there is there is a way for them to coexist. >> it is safe to say the business story is done now and ryanair had the big push.

what is next? >> they are offering products out there. ryanair is in the early stages. we have airport costs. they have said "why not?" let have more to do with technology and social media. they are doing it. we see the early rewards this morning. >> let's wrap this up. >> only as a carrier. they have the customer and they

see the legacy losing money and what they said is they could lose less money and that is interesting. in the past, the question has always been how do you share the revenue stream? if they can do it in a way that costs the legacy lasts, that could happen. >> could they become part of the alliance? >> it is unlikely. this brings costs and the idea of the allowance is buying power. quite exciting for the industry. >> john strickland, the director. a stock on the move is a bank that will cut costs. we spoke to the ceo this morning. the details are next.

>> welcome back. the footsie gets a nice little pop this morning. greek equities gets a big boost. there we are. up by almost 6%. i am not going to say investors are not as nervous as they were.

the markets took a battering for the first days of last week. the volatility is going to be key in the months and weeks to calm. another equities and securities. julius assets under management. a record 36 billion swiss francs. they will cut costs because of the surge in the currency. manus cranny joins us. investors seem to like it. >> this is where the banks were facing a sort of damocles. it was a wake-up call and we had a conversation this morning with asset management's. the stock is rallying and the

market likes what it sees. the costs were coming. there is a sense of swiss banking. has the central bank done damage? >> i do not think i can say. i can say that it started in a different market and short-term increased the stress level for many of the market participants. in time, the market overreacted and we will see it was the right thing to do. >> of course, everybody will see where in the next couple of months. there will be --

>> a big plunge of with the back of the decision. >> the markets have tested the appetite for the range. the swiss bank has an unofficial bandwidth and a soft floor. 105-110. intervening in the market and having a tolerance level off of the bandwidth. they feel like the market overreacted. >> it is massively overvalued and i think it is going to be more natural.

if it is 110, it is lower than when it was at the floor. i think we should be able to compensate for productivity measures. >> banks deal and are not passing on negative rates to customers yet. it was tongue in cheek. >> a moment man. do you think there is something in there? >> i do not know. >> i tell you what i think is interesting. there is a soft floor between 105 and 110. we creep into the -- the sweet spot. >> thank you very much. obama proposes a new tax plan.

reputations as tax havens. we will discuss that after the break.

>> welcome back to on the move. some breaking news to deal with. the french pmi comes in as a mess. it is below the previous number.

they got the final reading and contraction territory. the italian pmi came better. so, just below expansion territory. the chinese manufacturing data is in contraction. we will bring you the german reading. we will get the u.k. pmi. i want to talk about the tax policy. barack obama makes an opening bid and it is released today. he will propose a minimum on future foreign earnings. nice to have hans nichols joining us now. give us the details. >> the budget proposal is

normally a one-day story. you mentioned 19% on the future foreign income and there is no need to get excited about that. this is different because it represents an opening bid on corporate tax reform, something the republicans want to work on. we talked about a corporate tax rate for all earnings and the numbers are complicated here. this is not a sheer repatriation. it does represent a step towards repatriation and taxes regardless of whether or not you bring the assets of home. you'll still pay 14%. a little bit on the future

earnings. this would happen whether or not you brought it home or not. you will get a tax credit. if you are paying 19% in the u.k., the effective tax rate would be about zero. this is the most significant and gives you a sense of the opening bid. you could see the deal. >> let's talk about this a little more. will they necessarily be agreed to? >> no. you get the tax budget and his aspirations and hope. this could be different because of the money that comes from this. $260 billion would go to rhodes and infrastructure. he wants to spend $238 billion.

he wants to spend that total on roads, infrastructure, bridges. democratic priorities. he lowers the corporate tax rate and you could see how it could work. it is the beginning of a process that has an outcome. corporations might not like it. they could except it. >> great work. thank you very much. we are joined by guy johnson. tax havens in europe. they should be worried? >> yes. the list is probably fairly long. the money has been used to fund a lot of mergers and acquisitions and it is something that will be on the radar screens of a lot in the city of london.

>> they would be interested or entertained. >> the reason for that is the greek finance minister here and maybe we will get clarity on that later. we hope we will get some questions. we are live outside downing street will stop the question everyone wants to know is when he will meet. there seems to be a hands-off approach with the greeks. >> the german pmi is coming in as a mess. unlike france and italy, there is expansion territory and it is not a pudgy number. you have germany and the rest of europe. you can see why.

>> some would argue that germany has been a huge beneficiary of the process and helps out some of the less fortunate brethren. we will see. >> they said greece was insolvent on friday. >> they came close. >> many would say fine. it is a big deal for a finance minister to say it. >> he says enough. we are not carrying on. how much more is a critical can -- is a critical question. if you end up with a liquidity crisis, it changes the metric as to how quickly the debate happens. >> guy johnson and francine will be all over that. here is a picture of the markets. the greek stocks are getting a boost.

the dax is up. if you want to continue the conversation i am on twitter.

>> addicted to debt. greece's finance ministers says his country must quit its debt dependency. he's due to arrive at downing street shortly. >> ryanair's high hedge of the discount carrier upgrades its full-year profit goals but warns it may trim next year's earnings. >> crh seals a deal with lafarge and holcim. we will speak to the ceo this hour. good morning.