>> the race to january. green, the dow rallied to record high on the hopes that a trump stimulus plan will boost the economy. alibaba is on track to smash it sales record. we are alive with the latest -- we are live with the latest. welcome to bloomberg

daybreak europe. i am an edwards. friday.we made it to >> let's break those numbers down for you. an estimate of 1.5 9 billion. a beat on the net income front. first positive net flow since 2013. solvency ratio, 86%. profitees 2016 operating . the outlook for 2016 is confirmed. a miss in the last quarter, but in this number, a beat to

operating profit. the estimate was for 2.6 billion euros. we will have no other than the cfo. he will be joining us for his first interview of the day. you can catch him at 650 u.k. time. anna: let's talk about the week that was. to donald trump being elected as u.s. president. he has already had a big impact. yousef: the kinds of moves we have seen our unprecedented. two leagues of more than 200 points in the last couple of days. of more than 200 points in the last couple of days.

the bond drought continues, of course. only the second time we have seen this in two decades. we have seen interesting moves in u.s. treasuries. the chart.t up on -- we have that up on the chart. first time since january that it has happened. anna: the markets reacted very quickly to the news around donald trump. let's have a look at what we have got for you on the risk radar. this is how the session over in asia has been shaping up. we have the bloomberg dollar index, it tracks the dollar against 10 major peers. suggesting despite the strong equity sessions, maybe they floor under that

put a floor on that today. yousef: the other big story has been the metal story. 1.56%.up its biggest back-to-back gain in three years. all of this tide to the comments donald trump has made to his plan for an vicious infrastructure investment. an ambitious infrastructure investment. >> demonstrations against donald trump's victory have continued across the united states.

new york city, hundreds of protesters gathered outside trump tower on fifth avenue. they chanted angry slogans. called theni has protesters a bunch of spoiled crybabies. donald trump has told his british counterpart he wants to rick kendall the kind of relationship -- wants to rekindle the kind of relationship margaret thatcher and reagan shared in the 1980's. the central bankers said political uncertainty was waiting on growth prospects. the only thing i could say is

that i would first advise staying levelheaded, let's take the newly elected president by his words. >> alibaba is on track to smash billion inecord, $12 takings around the halfway mark of its annual shop-athon. alibaba enlisted top celebrities to promote the spending blitz. leonard cohen, the canadian died atongwriter, has age 82. he got into music because he could not make a living as a poet, he said. just and rideau tweeted -- justin trudeau tweeted --

global news 24 hours a day powered by over 2600 journalists and analysts in more than 120 countries. you can find more stories on the website. this is bloomberg. anna: some breaking news from the ecb management board member, talking about volatility in markets. he is closely monitoring financial markets reaction. interest rates are low because -- growth is wea k. what next ordinary week for markets. -- what an extraordinary week for markets. a big fall coming through in emerging markets. at the same time, the shanghai composite is rallying in late

trade. it is an bull market territory, up from 20%. coming through from those copper players. this big rally coming through in metals this week. goldman sachs has said that cannot last. still sing a lot of upside for rhink and nickel -- four zinc and nickel. rupiah, it at one point, it was down 4% against the u.s. dollar. now only down around 1%. the bank of indonesia intervened in the market. we are seeing weakness on the nikkei.

but a lot happening. bonds being dumped across asia today. stay with our top story, donald trump has been welcomed at the white house by president obama as they met to discuss transition plans. both pledged to work together in the transfer of power. you want to emphasize to are going to want to do everything we can to help you succeed because if we succeed -- if you succeed, the country succeeds. >> trump was optimistic about his plans for office. i think we will do spectacular things for the american people. we cannot get started fast enough.

anna: guy johnson joins us from new york. trump has over 4000 appointments to make, lots of speculations over who the secretariat of the treasury will be -- the treasury secretary will be. there are a number of names out there. learned, former goldman sachs, the guy who ran the fundraising for the trump campaign. he is being seen as one potential candidate. donald trump said he would make a great secretary of the treasury. he is a little bit more cautious than the president-elect on dodd-frank. the wall street journal is talking about a guy called jeb

hensarling. he's incredibly close to wall street. he has talked about dodd-frank in the past and has talked about watering down that legislation. he is being seen as a serious contender for this role. he was a big credit of the expert-import bank -- critic of the export-import bank. he is well known to wall street. very close relationship with wall street. the jamie dimon that was knocking around yesterday caused a few smiles around wall street. many people -- it was listening

to -- it was interesting to listen to lloyd blankfein talk about this yesterday. lloyd was joking. that caused a ripple of laughter. it will be interesting to see how this progresses. the other name being talked about, not for this role. the parlor game in full swing to see those key roles. from newoining us live york. we will check back in with you later on in the program. anti-trump protests are continuing. these are live pictures from oakland. there have been rallies across the united states. still with us is simon, chief

currency strategist at ny mellon . what are your initial impressions? the contours of this new cabinet taking shape. thing we genuinely know was what was in those pledges. things like dodd-frank, we have seen. , callingcture spending china a currency manipulator. let's get a little bit more details about those things before we start making judgments. yousef: the foreign exchange market, simon, somebody described the reaction as brexit on steroids. there was a knee-jerk reaction.

it was unwound around the dollar. talk to me about the dollar and where it goes from here. do you see a much stronger dollar? simon: so many unknowns out there. thatyou are right, we have knee-jerk reaction. it was to do with the timing as well. when clintonhift resigned and trump gave his speech, suddenly, it was risk on. anna: because he said infrastructure and did not threaten trade wars. simon: i do not see it as being straightforward. we can see why the dollar is going up. look what he is doing in

emerging markets. we are right back to where we were in 2011. all these things build together. is it simply a dollar that goes straight up? yousef: we have seen some massive moves this week. is this a paradigm shift for expectations? simon: you are absolutely right, that is taking place. that there the view is half $1 trillion worth of spending, ife attacks tax cuts are going to cost between -- if the tax cuts are going to cost. who is going to lend it?

from 14 already gone trillion in terms of u.s. government debt. you are helping foreign investors, you think your foreign sovereigns are going to be big buyers. -- you are turning around and saying to china, you are a currency manipulator. who will buy that? deal seeking europeans may well be there. anna: that asian holding of treasuries was often seen as something that kept both parties calm. we will see whether that holds up. do you think the fed moves in december? haveome reasons -- they more reasons to do so.

-- i am justk edging toward they do not move. thank you very much, simon. here are some highlights for your day ahead. it is the veterans day holiday in the united states. stock markets will be open while bond trading is closed. a meeting of eu trade ministers meet to discuss anti-dumping roles. -- rules. yousef: a two-minute silence across britaind for armistice day. resurrecting the past, donald trump hopes to reason

mays will play the iron lady to his leading man ronald reagan. ofbaba enlists the help david beckham and kobe bryant. this is bloomberg. ♪

yousef: welcome back. juliette: lloyd blankfein says assets to donald trump asking jamie dimon to serve as treasury secretary. he said he would be a great treasury secretary and he has

been a terrific competitor. days after the election of donald trump, bob iger has called for new tax policy. the company predicted renewed growth. sales,blamed lower early saying the period that just ended was one week shorter. >> we have been talking a lot as a company and lobbying a lot for the need of new tax policy. the corporate tax rate in the united states is the highest in the world. it needs to get lowered and loopholes need to get closed. we would benefit from that happening. are adon and shanghai step closer to connecting their

exchanges. u.k. chancellor said it will bring mutual benefits and open up new sources of investment for london. that is your bloomberg business flash. anna: donald trump has told his british counterpart he wants to rekindle the kind of relationship margaret thatcher and ronald reagan shared in the 1980's. he told the prime minister the u.k. is a very, very special place for me and our country. it would be the greatest possible honor to host or in washington -- to post her in washington as soon as possible. a lot of people writing quite excitedly about the trump post-brexitbe in a world could be good for the u.k.. high point of the

special relationship, going back to reagan's time. i am not sure if it tells you very much. the strength of relationship between the u.s. and the u.k. >> i am fascinated by that chart. pound is a the predictor of u.s. politics. : sterling was crashing coming into the u.s. election. i do not know if it makes a huge amount of different. i do think sterling performance is absolutely fascinating. here we are in a world where so many currencies are under pressure and sterling is holding up very well. anna: does that surprise you?

simon: one of the things i straight to feel -- i started to feel, i thought there was still a possibility of a dip down. the one thing that was becoming quite clear, sterling was looking quite competitive. simple as that. suddenly, sterling did not look right. that was the thing that stood out. yousef: we are seeing the italian 10 year bonds move up sharply to the highest level in almost 40 months. the italian sovereign curve -- great job. it showcases the 10 year as

well. you can see that it is at the highest level in 14 months. as we look ahead to the referendum in december, is the smart money betting this is going to sweep further across europe? simon: the financial markets poor in pricing and political risk. -- maybea realization we priced that in incorrectly as well. two-year -- when you look at the risks, the referendum, that makes no sense. anna: thank you very much. up next, $1 billion in five

minutes. alibaba moves to break it single day record. this is bloomberg. ♪

yousef: you are looking at a live shot of the imperial palace in tokyo where it is currently 3:30 p.m. in the afternoon. fairly clear skies, as it were. have you been to the imperial palace? anna: i have not been to the imperial palace. the topook at some of stories making get in to today's edition. rip it up is the title of daybreak today.

in connection to donald trump's plan to rip up the dodd-frank plan. the other story we are watching is singles day. takings bybillion in the halfway mark. the company and listed celebrities -- enlisted celebrities to promote the blitz. anna: daybreak looks ahead to today's meeting on eu trade representatives in brussels. the transatlantic trade partnership will be in focus. yousef: emerging assets continue to tumble since donald trump's win. caroline hyde joins us. carolyn: what a selloff we are seeing.

concerns that he might be dismantling some of the trade relationships and we are seeing concerns that may be the capital outflows could continue to ramp up. check out this 4% slump we have seen over the last four days and the fx market is being affected. it slumping about 2% over the course of four days. emerging market continuing to be rattled. we have also seen the selloff of u.s. treasuries. 1.875, we are seeing half a percentage point rise in yields on united states. germany has not moved nearly so significantly. a big difference between what is happening on either side of the atlantic. a quick look at what is happening in china.

we are entering a bull market when it comes to chinese stocks. copper, one is oversold, the most oversold since the 1980's. anna: u.s. equities have been on the rise since donald trump's victory. here is how some top ceo's reacted. >> i think it will be pretty pragmatic. he is a businessman, he has a lot of experience in property development. i think he will surprise on the upside. i think he will be a good president. >> there is a good opportunity when the government and president want to rebuild the infrastructure and. >> the policies of improving dodd-frank, or getting rid of it, the idea of getting fiscal

discipline, those are things that are positive. >> the media played a positive role in his campaign and the .ense it was ever present did the media get it right? no. that deserves some scrutiny. how did they get it wrong? >> maybe it will not be quite as bad as some people think. the short-term, the immediate impact, many companies will be with making decisions. >> donald trump is pro-business and pro-america. former advisor to president george bush, great to have you on the program. candidate trump versus

president-elect, how much of a shift can we expect? two skillresident has sets. one is campaigning and one is governing. the honest answer is we do not know yet. we have never had a president who has never been elected to office since eisenhower. we do not know yet what this will look like. everything is conjecture. person who was not as surprised as many others as for the tuesday -- over the tuesday night development. did anything surprise you about the extent of his victory? the way that support in some of the blue wall states crumbled for clinton? ago thatritten a year

people were writing trump off. i am not a supporter. i saw a groundswell of the demand for change and we have seen this from every sector of society. what has happened is bigger than it looks. his votes cost him five dollars each. he has blown away the whole business model of fundraising. he has demonstrated that you do cash to do this and you do not need any pollsters to do this. he has this intermediated the entire political game. yousef: we have heard things thrown around as the new administration takes shape. what is your read on these individuals?

>> loads of speculation about the individuals. you hear a lot about steve being a potential candidate. he has been the head of the fundraising. what he is going to do is absolutely raise the entire political --raze the entire political establishment in washington. we have never seen this before. traditional analysis of what policy might unfold is simply not applicable. anna: does that limit him? the fact that he has fallen out with somebody in the republican party, to they cling to that? >> it is not that he has fallen

out with them. his job is to remove them. this is the message the american public has sent. guys, who i have worked with for many years, they believe they have some influence and control. they are already retired and .hey just do not realize it the door is open for a whole generation of people who we have never heard of. yousef: some of the anti-trump protests continue. what is your biggest concern? >> all presidents make mistakes. all presidents have accidents. all presidents have less than 100 days where they get to push their agenda because after that, you are spending most of your time responding to things.

he does not have a machinery and his style is to do everything personally. that is time-consuming. this is what concerns me, the advent of how you will manage. quitesimon, it sounds radical in terms of the ripping up the script in many areas of u.s. politics compared to the market. has the market missed some side of this? simon: yes. one of the things people did , the on tuesday morning people have not recognized that this is a radical shift. that it is a idea burning down of traditional politics.

we do not understand -- the only place that perhaps is recognized is the bond market. get yourted to thoughts. we know you have just been to italy. >> it is going to be a no vote. if you understood the detail of what the public is being asked to vote on, downsizing the size of the parliament, you would not vote for it either. it is not that they are against change but they are not for this particular change. anna: thank you very much. alibaba could break another singles day sales record. worth $1 billion within just five minutes. the event has become somewhat of

a barometer. tom mackenzie joins us. has a slowdown in the chinese economy done anything to dent the sales? numbers we have seen so far today, the answer would be no. in fiveon worth minutes. in two hours, $7.2 billion worth of sales. i looked at this green behind me, the number was over 13 billion u.s. dollars. we are still 9.5 hours out from the end of the day. looks like they will smash through last year's record quite easily. that is just for one day of sales online. this speaks to why this platform has become such a great importance to western companies

trying to sell it to china. it is also somewhat of a litmus test on the health of the chinese consumer. despite the slow down, the chinese consumer remains bullish and these numbers speak to that. it has not been audited yet and there are authorities in the u.s. looking at last year's numbers over concern of fraud. trumpgiven what donald has said about china and trade, how concern are alibaba executives about trump in the white house? alibaba is a poster child for globalization and jack ma has touted the benefits of cross-border trade. it is a huge concern for them when you look at the anti-globalization sentiment that was articulated in brexit and with donald trump moving

into the white house. when we heard from executives last night, this is the u.s.-china trade relationship, the most important and defining of the century. others said alibaba may look to extend its footprint in the emerging markets. if donald trump goes ahead with the pledges he made on the campaign trail. offor many, this is a case wait and see. yousef: thank you, tom mackenzie. still with us on set is simon. offimplications for china the back of this trump victory, i have been reading this bloomberg editorial. this one arguing a very contrarian case. china had been set to benefit from a trump victory.

china is over building the iphone's come all of this is history with the cost rising. out of this. simon: there is a huge spending boom in the u.s. on the back of this. chinese goods are relatively cheap. side tothere is a flip this and that is historically one of the things in china, rising inflation. that might not be the thing the chinese government is that keen on. think there are potential issues. we were just talking about

alibaba and singles day, this -- alibaba online shopping index and white. in the red, chinese disposable income. the story around disposable income because of rising real estate prices in china is not a good one. simon: from that perspective, you have china in the squeeze at the moment. go back 12 months ago and everybody was worried about the destructive effects of a sharply declining remember the -- rmb. if you are going to be called a currency manipulator, you might as well be a currency manipulator. --other issue

yousef: how much leverage does the u.s. have in this equation? if they want to put money in infrastructure, they probably need the chinese to buy some of those bonds. >> that is a hugely significant part of this. the reality is, if you are , overg for fresh demand the long run, that is a big issue. you need to have the support of those foreign sovereigns. anna: looking at the moves in the foreign exchange markets since trump was elected, the mexican peso stands out.

what was interesting to me, a lot of selling of emerging market currencies, but china, not so much. look at the brazilian real, the yen. and the you look -- the fact that it has moved to the same , you as the aussie dollar would have laughed at people. is, in terms of competitiveness on the world stage. anna: a bit of breaking news.

getting some breaking news, they are rejecting the offer. they say the bid is not sufficiently compelling. you oncome back to something you are talking about earlier. you are not convinced the fed moves in december partly because of the strength in the dollar and what we have seen in the emerging currencies at the moment. simon: one of the core stories is the fed becoming increasingly sensitive. last september and

then in january of this year. look how yellen was so sensitive to a strong dollar back then. we are right back to the same levels of march of last year. i think they could hold off perfectly well. what happens in international markets over the course of the next week, it will have significant impacts of what the fed does. anna: simon, t why so much, spending his -- thank you so much, spending his early-morning with us. joining us now for the first interview of the day is the company cfo joining us live from munich. great to have you on the program. give us your topline thoughts on these numbers.

>> good morning. started with a very strong third-quarter. supported -- asset management and are pnc -- and our pnc business competed nicely. it is a positive development. growth quite good in a world of flat growth. we're looking forward for a good year end. anna: how happy are you with the performance you see at pimco right now? your report some better numbers in charge -- in terms of net flow. what are the new year end targets? >> thank you for asking.

it is the first positive inflow quarter for pimco. since the tapering started, a strong are valuing franchise and the performance of pimco and it is paying off and we are turning the corner. sorry to interrupt. in 2017?ened to pimco what are your expectations? >> i think stabilization and growth continues, 4.5 billion inflows probably not the full story. we have done a very successful

placement on private funds. counts -- i think we are on a good -- can i ask you about the implications of trump victory in the u.s. election? how will he change the investment strategy? are you protecting yourself from more inflation? is that one of the key developments in a trump presidency? >> in general, insurance business having an easier ride and more inflationary environment. interest rates are up and our life liabilities outperforming -- are performing better with high inflation. at the moment, i would say we

see a lot of technical reactions in the market. when you look at the difference between 10 year and two-year, for example, and that seems to be the market is pricing in a change from monetary policy to fiscal policy. these: we are seeing massive political tectonic plates shifting around the world. how are you dealing with that in your business? sure whether any democratic election creates a risk for business. market isee that the assuming better growth in the u.s., it is also an opportunity.

the brexit referendum has created a volatile market, but in the end, it stabilized. the only victim of the referendum seems to be the british pound. otherwise, the world stayed pretty stable. aboutwhat you were saying higher interest rates could be good for the insurance sector, is that sustainable? have we seen the end of a strong bond era? >> i think it is certainly an easier time for active fixed income managers. activepetition between and passive fixed income will be

interesting to watch. i believe we are well prepared. yousef: what about your plans for growth? are you sticking with your 5%? we will do it in 2018 , we still have some time to make the 15%. delivering on our strategy. haveo business margin we achieved. track in alln aspects of our strategy. anna: in the hunt for growth,

does that take you further down the road of m&a? >> yes, that commitment is unchanged. having an acquisition fitting our strategy or wheat -- or we do a share buyback and stick to our promise. yousef: thank you for joining us this morning. anna: speculation grows about who the president elect which -- will choose for his new cabinet. we are live in new york. these are pictures coming through from oakland, california. antitrust protests continuing. saw donald trump at the white house yesterday, but people are

not convinced. here in london. this is bloomberg. ♪

promises top steam -- trump's team promises to dismantle dodd-frank. bond drought continues. day surge, alibaba is on track to smash it sales record, hitting $12 billion. we are live with the latest.

yousef: welcome to bloomberg daybreak. i am alongside anna edwards. anna: german inflation numbers coming through. looking at some context, the prior increase was 0.2% as well. the year on your number coming in at 0.7%. both of these numbers are completely in line with estimates. in line with estimates on the cpi numbers. all of it very much in line with estimates. we started off this week with some disappointing german data. sifting through the numbers, let's run through those

numbers briefly. estimate was for 200 74 billion. a beat on that front. for 44 point 4as billion rubles. quite a significant miss. some interesting numbers. we will continue to digest those. let's see how we are set to open. anna: when you consider how we were set to trade an hour ago. in our ago, we had -- an hour tradee had use -- u.s. numbers in negative territory. the ftse 100 could be a little

bit of a laggard. we talked a lot about what stocks have done with the dow. we talked about what the yield has done over in the united states, yields going higher. here is what we have got for you this morning. the s&p 500 turned positive since just an hour ago. yousef: still getting a battering overnight. currency index down to fifth of 1%. 2/5 of 1%. copper ofring story, 3.2%. we are also seeing gains on the aluminum front. anna: the copper market is really motoring. that was one analyst this morning. demonstrations against donald

trump victory has continued to crossed the u.s. -- has continued across the united states. for a second night in new york city, hundreds of protesters gathered outside trump tower on fifth avenue. they raised banners that said "not my president." rudy giuliani has called the protesters a bunch of spoiled crybabies. donald trump has told his british counterpart he wants to rekindle the relationship margaret thatcher and ronald reagan had in the 1980's. trump added it would be the greatest possible honor to host her in washington as soon as possible. bundesbank president has urged people tuesday calm about the

u.s. election results. medical uncertainty was currently -- political uncertainty was waiting on -- eighing on prospects. >> i would stay levelheaded and calm. alibaba is on track to smash it singles day sales record after $12 billion in takings around the halfway mark. alibaba listed -- enlisted top celebrities like david beckham and kobe bryant to promote this blending blitz -- the spending blitz. died atonard cohen has the age of 82. he once said he got into music because he could not make a living as a poet and did not

release his first record until he was 33. the canadian prime minister tweeted, no other artist music felt or sounded like leonard cohen yet his words resonated across generations. yousef: global news 24 hours a day powered by over 2600 journalists and analysts in more than 120 countries. let's check in on the markets in asia. it has been an extraordinary week for markets. have a look at this rally you are seeing on the shanghai composite as it closes out the session. lows wed 20% from those saw in january. copper and mining stocks leading the gain. red,here, a lot of particularly in emerging markets. what it means for

exports in these emerging markets when president trump comes into power. strong dollar means a week in -- weak yen. inaustralia, the rally mining stocks lifting the asx 200. we sell investors jump out of bonds once again today, particularly on the 10 year. yesterday, we saw the yield rising. 2.6%.turn is we have not seen this level since april. yen up by a third of 1% against the dollar. a little bit of fluctuation. anna: thank you very much. let's get back to our top story.

the u.s. election, donald trump has been welcome. the white house by president obama as they met to discuss transition plans. both pledged to work together in a transfer of power. trump was optimistic about his plans for office. >> i think we will do some absolutely spectacular things for the american people. we look forward to starting. we cannot get started fast enough. anna: guy johnson has been in new york all weekend joins us now. trump has over 4000 appointments to make. lots of speculation over one position and that is treasury secretary. guy: they are trying to see this through the prism of dodd-frank, whether or not the person who takes that role will be replicating or watering down the president-elect to use on

whether or not -- the president-elect's views on whether dodd-frank should be withdrawn. the goldman sachs fundraiser for donald trump is being seen as the possible front runner. the wall street journal writing up that the republican from texas may be the guy that fills this role. he is the chairman of the house financial services committee. he is incredibly tight with wall street. he was a big critic of the export import bank. it will be interesting to see how his relationship works with wall street. jamie dimon was a name floating around yesterday. it would seem and on fit in fits of ideology -- an odd in terms of ideologically.

i think it will be interesting to see how this one works. it is being seen through the prism of dodd-frank and how that story will work from here. you saw the huge rally in financials yesterday. yousef: the chinese stocks have entered the bull market after rising 20% from january lows. another indicator of how sentiment is evolving. anna: the u.s. stock markets have been going gangbusters on the back of the trump news. yousef: just to bring you back, guy, the cabinet is taking shape. trump is speaking to leaders from around the world, including a meeting with japan. how does this fit in his overall priority list?

abe is requesting these two have a meeting. he is concerned what exactly this relationship will look like. the u.s. is a big underwriter of japanese security in the region, a bulwark against the push out china has driven over the last two years. it will be interesting to see how that one works. if we do see a more isolationist america, that will leave part of europe and japan in a very difficult place. i suspect that is what shinzo what -- i suspect that is abe wants to know. anna: the chinese stock market entering a bull market. this is a nice chart that shows you where we have been since january.

the theme in emerging markets is nervousness about global trade. sitting a little aside, a little removed from some of those global trends. let's talk about what we have seen a markets with regards to the u.s. election. us. joins great to have you on the program. head of fixed income, you must've been kept very busy by watching what trump has had to say. do you buy into this story that he invests in infrastructure? >> i think it suits the scenario we have drawn up for trump as

well. we do not know exactly how his policies will pan out. for now, this is the base scenario and the bond market is catching on to more fiscal stimulus, which is all inflationary. yousef: where do the yield go from here? those for massive repricing's. seee will have to wait and what donald trump is actually going to do. there is a fear of the u.s. economy being overstimulated, perhaps, because the u.s. economy was already doing well. anna: inflation was not at target, but it was creeping up? >> you can sort of see the growth underneath on the line was not all that bad. unemployment, doing very well. there is a fear that donald trump is going to push the

economy into overdrive. something we talked about, who is going to buy the treasuries that might meet -- might need -- >> there are always willing buyers of u.s. treasuries, i think. especially at higher yields. that is an issue. you are referring to the debt sustainability and that is much further down the line. we will have to see how much spending he is going to do. yousef: what are you telling your clients in light of the volatility? what is your advice? >> we told them, it is very

inficult to do anything volatility. you should look at the fundamentals and the fundamentals of the u.s. economy are actually fun. when the dust -- actually find. when the dust settles, it is an opportunity. for brexit, it took a couple of days for the dust to settle. for trump, it took a couple of hours. what about emerging markets? a lot of people are concerned about what donald trump means to the global trade agenda. if you believe everything he said, the global trade norms could be under threat. that could be bad for emerging market currencies. >> emerging markets are getting a bit of a beating. we will have to wait and see if that is going to pan out. emerging markets, that is a

tricky one. it depends on the currency, very sensitive to the currency. it will also be sensitive to what the fed is going to do. anna: thank you very much. juliette.t's get to said third-quarter profit rose. the company confirmed at target of 10-11 billion euros. it was helped by higher earnings at its health insurance unit. the dutch operator said the offer does not represent a sufficiently good deal for shareholders. adapt tong to declining volumes in their

domestic market. lloyd blankfein said he sees of view terrific aspects of the prospect of donald trump asking jamie dimon to serve as u.s. treasury secretary. trump advisors are considering the jpmorgan boss for the position. he said he would be a great treasury secretary and has been a great competitor. with that move, he would kill two birds with one stone. bob iger has called for a new tax policy. the company predicted minute growth next year after a rare stumble. disney blamed lower quarterly sales and profits on its fiscal calendar, saying the period the just ended was one week shorter. lot asave been talking a a company and lobbying a lot

about the need for new tax policy. the corporate tax rate is the highest in the world, and it is not competitive. it needs to get lowered and loopholes need to get closed and we would benefit from that happening. bloomberg your business flash. anna: the election of donald trump has led to speculation the transatlantic trade and investment partnership negotiations could be dead in the water. the eu trade commissioner's say it is too early to assess the impact of trump's win. who are we expecting in brussels? >> good morning. we are expecting ministers to arrive in this building behind me. we're expecting germany and

slovakia and junior trade representatives, diplomats, someone from the u.s. side as well, as well as the eu trade commissioner. what she said in an interview was that it is totally impossible to say what donald trump's victory means. it was not high up on the election agenda. they want to know what these negotiations and if they will continue. they have their 15th round of negotiations in early october and this is very much up in the air. the eu says it is still keen to come to a free trade agreement with the u.s., one that is balanced and comprehensive an ambitious. the big question mark is over trump. all that sounds

conciliatory. how important is the u.s.-eu trade relationship? >> it is conciliatory from the eu side. euterms of trade between the and u.s., it is very important. u.s.ent report said the alone accounted for 40% of the growth in eurozone exports last year. they are each other's biggest trading partners in terms of total trade, $700 billion in total two-way goods trade last year. if you look at where the u.s. imports come from, the second-biggest source is the eu as a whole. a lot of people see that germany is most at risk if there is a breakdown within this possible free trade agreement between the

eu and the u.s.. a lot of things they will be focusing on today. anna: thank you very much. sweden's trade minister speaks with bloomberg markets at 7:30 a.m. u.k. time. alibaba really getting on board with singles day, trying to break all sorts of records, rolling out the stars to help them do that. year's has broken last gross merchandise volume record. by 3:19 p.m. in the afternoon, breaking the record they previously set. unbelievable. yousef: never seems to end, incredible numbers coming from

alibaba. through thes inherent risks that exist in the post donald trump world. brexit.ly after how concerned are you? italy, austria, the netherlands, france, and germany. 75% of government in place over the next year. >> we have already reduced some of our peripheral holdings. that shows we are somewhat concerned about this development. we had brexit, now trump. some of his populism might wash ashore on continental europe. it shows you the

.urve on italian sovereign debt if i play around with it, we can zoom in and you can put it on any period that you want. that is what you are responding to. market nervousness around whether -- >> very nice picture, by the way. anna: we will send it over. how concerned are you? >> we are looking at the spread of italian sovereign bonds over germany. it has widened from 100 basis 155.s to something like what we saw on the election of trump was that the spread was widening, which is justified. there is still draghi standing behind the eurozone.

there is clearly the risk of some tension building in the eurozone. "risk,"when you say define that risk for me. ron,mart money got brexit got the u.s. elections -- got brexit wrong, got the u.s. elections wrong. playing for the same agenda. yousef: do you see the populist taking over? >> that remains to be seen because elections need to be held. partially on an anti-european agenda. let's face it, europe is not very popular as a project. that appeals to a larger part of

the public and that is the agenda they are running on. anna: what kind of success is he going to have? >> he has been there for a long time so he is not a newcomer. he has an appeal. in the netherlands, you have to form a coalition government and he will find it very hard. even if he gets a strong part of the vote. . am not that overly concerned i am more concerned about italy coming up first and then france. anna: what about austria and germany? you do not see the populist faction as much of a shock as france, for example, or italy. in austria, it is a different

type of election. more of the presidential ceremonial role. anna: we have been talking a lot about china this morning. are you concerned about china at the moment or excited? concerned, relieved about the stability. the concern is further out into the future because a lot of that growth is built on debt. anna: we see chinese stocks entering a bull market. thank you very much, mary, for joining us. it for daybreak. the european open is up next. plenty more to get through. this is bloomberg. ♪

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you wouldn't pick a slow race car. then why settle for slow internet? comcast business. built for speed. built for business. ♪ guy: welcome to bloomberg markets: the european we have your first trade of the day. i am guy johnson in new york. caroline hyde is in london. what are we watching? who is on the team for donald trump? we will be talking a lot about this story. china enters the bull market and copper has its best week. is the market getting ahead of itself? pimco