>> a plan for afghanistan. trump warns the support is not a blank check. >> we are killing terrorists. prepares toay release her position paper. this ise minister says unrealistic. what do they want with the european union? they have the best deal possible.

to streamline the assets. with shale we await the earnings. >> the preferred is a small amount of shale. >> welcome to bloomberg. ofto have plenty weversations for you and have the earnings anticipated. shortly.l be joined let's talk about the relationship.

>> what you got at the bottom is a relationship with a correlation and stocks had and falling. everybody said the rally was over. this is testing boundaries. and the the euro 6% and have drop over that theygists said will have the upside between now and the end of the year. told you that relationship is hitting the boundaries. >> putting all of this into the context with the view of a strategist saying that this is yet to come.

there are some small gains coming up. the founder of this hedge fund said he is worried about impaired government efficiency. it is this kind of thought process in the investor mindset and attitude. >> it is something that one across that suggestion and the dollar yen is in their. this is when we had towards the area where japan is worried and you have money and equity and there is a backdrop to this with the geopolitics and they threatened with a merciless revenge. >> we're looking at jackson hole

and it is sort of a "are we there yet" with this. we have commodities and this is andprice with the numbers we will keep up they focus on the mining set to later on. let's get the news right now. >> thank you. paul ryan said that donald trump messed up in his comments in charlottesville. paul ryan said that the president needed to have done better. tuesday.sed up on he was right on monday and about an hour ago. >> he was wrong? >> i think he messed up on tuesday. that don'tuchin said from may keep the tax break.

allows investment managers to pay a tax rate that is half the top rate for the ordinary income. managers were labeled as paper pushers getting away with murder. how they see the future relationship with the european union. cooperationbout ahead of the anticipated document. this is part of a theresa may attempt on a future trade deal. meanwhile, a prime minister says that he is confused and puzzled about global trading plans. he said that written wants to all of the advantages and

none of the responsibilities or costs. >> it is all those trade agreements made with countries like canada and japan and it is not clear to us what the government wants and i think we will see that and it will be very helpful. by 2700l news powered journalists. on the find more stories bloomberg terminal. investor equities today eng you have the hang sayin flat and this is still coming through. you have very low volatility and

investors are awaiting the symposium. profite the underlying exiting.ems to be china is coming up strong and this prompted a number of the top analyst saying that this could fall 27% and they reduced the ratings. very thin, and terms of economic ada. the cash rate and that means a little bit of a problem with the breakout of the

range, even if there is a surprise rate cut. >> thank you very much. announcedd trump has an open ended commitment to afghanistan to put more troops into the conflict and he hopes to keep u.s. forces there as long as it takes to get a political settlement with the taliban and. with thea will work afghan government, as long as we see determination and progress. unlimitedment is not and our support is not a blank check. >> we are joined from hong kong. good morning to you. what does the shift in policy represent and how is it different from previous campaign

promises? he left the impression that he did not want to increase the presence in the country. out andid we should get that we spent too much money. he was very clear about that and he had held that position on that. things had changed. steve bannon has left the administration and cabinet members, including the defense secretary and secretary tillerson have been very vocal that they think that then it's to be a renewed strategy in afghanistan. looking fort is something to change the conversation. it is a fairly small shift from the current policy and represents a renewed commitment. aboutumber being bandied

is 4000 troops to assist the government. >> if you were to assess the , he is goals of this tea trying to move away to a broader policy. is that a fair take away? >> i inc. that is right. he says that and he says we shouldn't want this from washington, we should see what is on the ground. he made it clear he wants no open-ended commitment with dollars or timelines. it is a complicated situation. there is 16 years of having some presence there and it has proven very challenging and a difficult situation. president trump remarked on

that. .> thank you very much we are joined here now by jeremy. is aade the point that it path when you have trouble domestically to focus on something abroad. and matters for afghanistan it matters in a broader context. he seems to have republican support and he needs the support from his party. >> you could see this as a circle of the wagons with charlottesville and impeachment started to come back into the consciousness in the last week or so. ,e appears to be getting that

should those proceedings come down and that would obviously help. paul ryan, call it a new trump doctrine. you say that there is a trust issue with trump and the markets have a big trust issue in his inability to deliver. is the point of politics and markets. 75% of americans do not trust the communications out of the white house and investors have to look at that and take that .ith a pitch of salt are they paying attention to what trump says? you look at the north korea

situation as a microcosm of that has him asicy agenda almost a lame duck. >> you have to watch him with what he can do. risk and hetalk of worried about impaired government efficiency with what trump can deliver. when you look at the the dollar, and what is your expectation? hope for the upside and the focus is getting health care done first. been dead onave

arrival and are not going anywhere soon. the savings they would make was the main driver to keep the deficit neutral. torpedoed below the waterline. seenhing regulatory may be , but the changes he was elected on cannot happen. blankfeink at lloyd and he talked about the eclipse and he says that he wish the moon was the only thing testing a shadow on the country. these are the short positions. america first.

now, the market is as short as it has 10. this market is set for a substantial correction. do you think that is a direction we are traveling? >> i would be doesested to see what it u.s. dollarer starting to support the larger andanies across the world businesses are affected as a result. areresults were good and we seeing an inflection point in the data. the glasses coming. i appreciate august.

thank you very much. you set up for your day ahead. has a position paper on partnerships. >> in the early hours of tomorrow, donald trump holds a rally in arizona. >> 100 days in office. has he held in -- held onto his approval rating? this marks a milestone. we discussed the plan to reinvigorate the economy. that is next.

>> welcome back. kong and thehong

hang saying is just shy. nothing flashy about that. >> thank you. a streamlining of the business. the company has unveiled plans delayl assets and will investment to the pot -- project. were 600 million short of estimates. isthe preferred strategy trade sales and we are keeping the options there to proceed with a reasonable amount of pace. a systemto clinching

with deals across the alternative asset manager platform. this is the latest in a string accountstely-managed in asset strategies. representatives declined to comment. earnings gainange may have involved 11 thinking employees. wasallegations come as it scheduled to go on trial next month. he is accused of illegally using knowledge in 2011. a spokesperson declined to comment. a los angeles court has ordered johnson & johnson to pay to a woman who had ovarian cancer

from talcum powder. that is your bloomberg business flash. >> thank you very much. days for the0 french president and it is also the day where they will talk about months of talks. >> they plan to shake up the labor laws to reinvigorate the economy. this matters to your universe because of the strength of the euro zone recovery. as an area where you can do some of this reform. andt makes it competitive we have to look at a eurozone and one it will go with

the jobs market being strong enough and they often take jobs there. reform thecult to system and you would almost have to say that this is feeling the effects at the moment. >> i have read what you have suggested and i think you think that he is naïve. thrust ofelected on a he is and the pros governing with is not going well in france. they want the poetry. >> he wants to shake the status quo.

we listen, it doesn't mean that anybody else has to. the political situation is enough that it is incrementally difficult. we are not talking about this arecy anytime soon, but we talking about this over a series of 5-10 years. >> they advance with what we heard from central bankers and we started the program with this chart. it is interesting to look at the past five years and the correlation with european stocks and the euro. there is a genuinely negative

correlation for the trading block. not always. >> we are extremely negative with the expectations and what whats that to snap back is you would have to say and it may not be disappointed meant. it may not be what he says late. i do not expect too much. >> this happened rapidly. >> there are a love political cannot look at .able as the cross trump has made cable a bit of a laughingstock. you had to look at the euro-dollar.

the uk'ss a bit of story. it is always about the cinderella story and the relative value. you have to take one of the sisters to the ball. whether it comes now or a couple of years before. >> it is all relative. >> thank you very much. we appreciate that. >> where we are confused and puzzled is that the premise of your question. what is the trade agreement they want with the european union? they have the best trade deal possible. >> will bring you more on the irish prime minister, who says he is not satisfied and questions the deal with the u.k. houses.

that is where some of the confusion lies. you more on that conversation shortly. this is bloomberg.

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>> welcome back everybody. you see some movement in the dollar yen. this proving with more about that shortly. let's check in on the markets. eclipsed by the eclipse. >> talking about that and the trading for human comes up here andhe topics index

volatility comes down and we are seeing this index with a little markets that are pretty much flat and shrugging off the geopolitical risks with the hang saying outperforming for a second day. higher andies are volatility is low and you were and thewing the yen greenback was holding above the support of the april low here focus andn hole is in we will see where that goes for ae rest of the week with

andy in less than 50 days this is back in the black and it has rallied for nine out of the past 10 weeks. >> the irish prime minister has told bloomberg that he was confused and puzzled by talks. remaining that the nations are not satisfied with progress. >> i think i would be right to say that we are not satisfied with the progress and we are continuing talks and the british side will have those talks continuing and we hope that more progress will be made and be

toficient to allow the talks continue. topics, wherear would you say is the most frustration with progress. iswe think that someone who italian, polish, french, they should be allowed to stay and we believe that people will who are starting a new life in italy should be able to start it. we have family members who want to relocate with their loved ones and there is no agreement on the amount of money that britain will pay. there are outstanding legal obligations to many british and there has been progress and we are satisfied will keep a comment travel area and citizens

will be able to move freely and access health and education and i am reassured by the ongoing commitment in the peace process feel verys an area i strongly about. there should not be a trade border. say the u.k. does not get the trade deal they want. how concerned are you about a hard border? >> where we are confused and puzzled is at a premise of the question. what trade agreement do they want? they have the best one, the customs union and the economic area. what they seem to be suggesting for the last 14 months is

wanting to have the advantages and none of the responsibilities or costs. we are waiting to see what they would like to see. a month from today, there will be this and britain will leave the european union and all of the trade agreements made with countries like japan and south korea. it is not clear to us what they some clarityink would be helpful. -- hat was jeremy is the head of currency strategies and i think that this is the one person in europe who has the strongest voice of objection and he makes it clear

the per dish will not be dealing with a realistic situation and this man holds a great deal of power to go forward. >> as much as any other member. morethink that he holds and he holds a linchpin. all of them have to agree. what we areid, isting out of the department somewhat a single market plus and they would get the trade deal as a member of the customer union. in the grander scheme of things, this is not something we can form a basis on and no one will come to an agreement on it. the minister said that we

happened to have significant we had significant progress in northern ireland. about thetalking trade. the positions are going to be a part. you put forward what you would like and not what you think you will get. the other side does the same and people talk about how far part they are and the conversation continues. thisat is why talk about and it is rubbish at the moment. a brexit and this is we need and i

would not be surprised that there was significant progress by october. >> that would have an impact on all of the spending and saving patterns. the numbers were coming along and they thought they would get a deal. have a look at this ratio. we are spending and not saving. modeuld go into a nervous and that would knock the socks off of growth in the country. there are a number of angles. >> you get gdp and the majority consumption and what is coming out of services. andlook at the diversions

how that was coming was with savings ratios or credit or people sticking things on credit cards with whatever it may be to continue to get that lifestyle. you were a fand of the option and the media storm with unilateral trade idea of a and this removal of trade barriers overnight to a flood of imports and that can be a shock to the economy. do you see any value in that? ande can take away tariffs you will not see a significant improvement as a result and we

simply do not have the economy to take advantage of that. >> ok. >> a reminder, if you are a customer, you can watch the show. withan also follow along charts and functions we used during the programming and you andask the guest a question ask questions to our guest. and plan to develop units cut debt. we will bring you the ceo. this is bloomberg.

>> welcome back. futures suggest a little bit of a bounce at the start of the

trading day. we have a lot on afghanistan and the support of the open-ended, but not unlimited. >> close to clinching a commitment from the pension system with existing deals across the asset manager platform. the pledge is the latest in a string of separate accounts to get pension money in multiple strategies. representatives declined to comment. involved 11 have paint employees. as theegations come global head of exchange is scheduled to go on trial next month and is accused of

illegally using his knowledge with currency transactions. a spokeswoman declined comment. johnson and johnson was ordered woman to a 62-year-old who blames her cancer on talcum pattern -- powder. that is your business flash. >> thank you very much. onfits jumped fivefold commodity prices. thanks to demand from china. in concessions, they announced plans to sell shale assets and delay investments in a pot -- project.

andrew mckenzie was asked about the outlook. >> this was a number that is often difficult to get right. we had provisions for closure and some of the ford exchange effect. it was a market beat on the things that really mattered and we had a tremendous free cash earnings werethe 1.7 -- 1.2 upom billion. we are looking at years were we from then 40 percent

cost and the cash flow can be transferred straight through to shareholders in the form of a dividend. >> where do you see the -- inued what are your forecast when it comes to china? >> it is unfair to say we are performing with the tailwind. when you take 40% out of the costs and you are able to get rid of the tailwind, even though a lot of things come off of it, like higher supply costs, i think we performed better than what a tailwind would say. i would say that the outlook is

a bit more optimistic than it reformswe see the playing well, in terms of stimulating demand and removing some high-cost supply that creates the opportunity with quality products in the market. than youes are higher think it would be, given the marginal cost and we don't see them following back to anything like what we have seen more recently. >> that was andrew mckenzie speaking to us. let's get a look at the earnings. good to see you. numbers and of the they would say that this is the ceo who is battling to the activist investor demands.

and wasl about shale that a good delivery today? right that, beyond the rebound in profits, the investors have been fixating on projecte units and the in canada. it is a real world back in strategy and there have been some expectations in the indications that they were willing to sell part and they have now come out and articulated that they are willing to sell the units and they are in talks. they are actively in talks with and thatr that unit has been a target of a lot of scorn from investors. the activist investor has called

for changes since april and it has gone down well with investors. this is a longer-term horizon project and the idea that they would enter in to this market and have another commodity is on the back burner for now and there have been lance to put a case to the board and it won't happen and it will be several years before this arrives. people appreciated clarity and it seems to be going down well. doing look at companies things that activist investors do and they say they are taking leads from that. it is interesting. what about the shale assets and what are they worth?

were a couple of deals that are not worth anything like that now. they could have 10 billion in a series of sales and the expectation is a cell to buyers and they say they want to and, if it islue complex, they will look at a word from there is analysts that they could be beating the figures. there is a recognition that this is a good time to be selling on the assets and this could be a good time for this.

>> interesting. they say this allows for a significant increase on return in capital and that will be .usic to the ears of investors the question that people are the marketselves is and how sustainable these numbers are. >> that is the absolute key. let's be absolutely clear that the thing that has driven the rebound is the revival in the commodity prices. u.s. natural was gas and iron ore. the price revival is not something in control. they will point to greater cost efficiencies and i am sure that benefitany will accept

from the higher prices. that they are more positive on the outlook to china and they see potential for good demand with commodities. if the prices fall, we could see the bottom line hit again. >> thank you for your time here with the analysis of strategy here. here. is still with us in terms of the china demand that, it was very clear they see positive demand in china. what do you see? >> we will see that over the course of the year and, if i was looking at that, i would be worried about levels we are

seeing and whether it will kind of peak out at these kind of levels. iron ore is volatile and we could see a slow in the chinese and thatll react more would be the first sign. >> it is strange you mentioned seen a rally.ve what do you make of the proposition that the markets are partying and that he is shorting stocks? that would tie into the currency topping out. d you think that the markets are partying? >> partying? elevatedhat prices are and there are a lot of commodity currencies out there and commodity risk with the

political. wentis is something that on in the background and it drifted. we got preoccupied with other things. is this a real risk? >> they said it will not be a tweak. they said it would be a big rewrite. >> yes, i think you have to and you look at the outperformance of the commodity index and that is probably be inflection point for us. and iis a lot of data would not be surprised if that pops the balloon. >> are we still looking at the tightening of the fed? trumped.eek, we got >> towards the end of the conversation, they said they were not expecting another hike. are you?

>> it will largely hinge on what is said. . don't think we will see that the inflation picture is not sustainable. >> will the markets be toppled by the height? >> have they been by the previous ones? it will be the one that push them over the head. >> rank you for giving us your time this morning. continue the will conversation about mining. a ceo at toalk to talk about some of the prices of copper. we will have numbers at the top of the hour. just one hour to go until the start of european equity trade. we will keep an eye on bhp.

session andillions the market likes what they hear. numbersbreak down the cracks if there are any in the housing market out there. there is mortgages. >> will talk about the future of all of that with him. this is bloomberg.

manus: president trump announces an open-ended commitment but warns his support is not a blank check. >> we are not nationbuilding again. we are killing terrorists. anna: beyond brexit. theresa may expects to release her third plan to talk trade. unrealistic,nce is an official said. >> what trade agreement don't the eu want with the u.k.? they have the best trade deal possible. activist pressure.

streamlining the business with the sale of its u.s. shale assets. earnings cross the bloomberg. >> the prepared strategy is number of trade sales but we keep the other options so we can proceed with a reasonable amount of pace. manus: welcome to bloomberg daybreak: europe. anna: a warm-up come to the program. it has gone 7:00 a.m. in london. manus: income in at 1.6 billion pounds in the re-text profit of 157.4 million pounds so the hittingfor persimmon the tapes at the moment. we will continue that conversation with the ceo joining an and myself very shortly.

artist joins us under 50 minutes for his conversation of the day on the british market. anna: keep an eye on the tobacco sector. to acquireco agreed assets. the agreement being announced this morning by japan tobacco. we need to talk about the mining sector, they have given this their numbers -- as their numbers. the comments of numbers around copper production and talking about the outlook ring positive. let's join our guest to joins us on set area the ceo of antofagasta. let's talk first about your outlook, the outlook is positive, flesh that out for us a little bit.

positive on the market and generally the strength of the company on the back of this first half of talks to a good outlook in terms of performance. we had a very good high-quality set of results in the first half of the year . production is up 7% to my sales are up 14%, costs are down 2% and all of this has enabled us -- cap sure the copper price which we had in the first half of the year. thes: everybody is glued to price of iron ore, this rally on the various commodities. jeffrey sees the market going into a deficit. i wanted you to take us forward. are the places sustainable and do you see deficit? ivan: the outlook in emerging market is much more favorable. we are seeing sustained growth in copper demand and this is linked to urbanization and to the move that china is doing to the consumer economy which is

more intensive in copper when it comes down to electronics and appliances and the like. we're seeing a significant change or disruption technology was. with electric vehicles in the space of clean energy and clean transport which is amazing. anna: we will come to that because it want to talk to you about that and the potential there. you said in january, has your view changed in terms of where prices go for copper? ivan: we have sustained in outlook which has been favorable. and has come forward because of the performance of the china economy and emerging markets, and also because of the changes in clean energy and clean transport which are we are still understanding but significant in terms of the impact it can have on copper demand. that is an important part of the

story. i would say on the supply side we have seen copper, the commodities more constrained than it used to be. there has then strikes earlier, export bans and the like it's means it is more difficult to get new production into the market and this is the combination of those two things that we make our -- will make our outlook for copper prices better. i wonder if this is the risk to your sector, prices rise and there is a temptation to expand. we saw it happy and -- happen previously. is that one of the biggest risks to your market and if not, what is? ivan: it is much more cautious on capital location and investing in new greenfield projects. on the back of our good performance has been productivity, cost improvement, and a disciplined approach to capital location. we will do budgets going forward which will meet return criteria which perform under a wide range

of copper prices and which makes sense under our current folio. our portfolio.er i do nothing we will be persuaded to put money into big investments. manus: the next couple of projects, are there any of those at risk that you think we might have to review those, the projected flow forward? ivan: we have to constant -- project and construction that we are finishing and we have a couple of expansions in the pipeline. we are looking at those and expect we will take approval of one of them early next year. that is our focus today. there is a low risk highway project which can allow us to develop incrementally. mentioned technology, what kind of step change does

this have to produce for copper demand globally? and about the cars themselves, this is about the network. car uses ational third of the copper content that an electrical vehicle requires. today we have around 3 million electrical vehicles. worldwide. by 2020 the expectation is we will be 20 million, 20 35 100 million. the impact on the committee, the demand on copper is significant. 200,000 tons of copper go into electrical vehicles. later it will be 5 million tons on a community basis so the impact is significant and this is something that has changed over the last two or three years. five years ago there was very little built-in to demand sections which came out of electrical vehicles so it was a significant and disruptive change that provides an important upside for copper. manus: what about the capital

expenditure side? the government to the demand side of the equation, what is the -- the quid pro quo is due we see a scale up in terms of capital expenditure on your side. ivan: we will be cautious because over the past several years during the super cycle misallocation of capital and there is that concern. in our case we benefit from the fact we have two districts. large inventories so we can develop them incrementally. they will be more measured development and capital going into projects as we move into this new phase. there is -- it is cautious and it is healthy. constrainedlatively and we have this upside in demand which is good area anna: you are excited about electric vehicles and then production will be -- you will be sensible

around the section story. vehicles the for the copper market, what percentage are we talking about that going into that and the networks because the supply networks will need to be listed. i've been: there is a network upgrade which needs to be made. 2025, thek that by community demand could be up to 5 million tons of copper, that is around 20% of the market. it is significant. you are right in saying the approach to capital investment will be sensible in the sense that it will be measured and i think that is a strength of the copper market as well as we look forward. anna: that is another one that has electric vehicles. ivan: we're not looking into that at this moment. we are a copper player and believe copper is the one that has horribly the best fundamentals. manus: you are still an organic grower, you're not tempted given the landscape you have

described. ivan: we have been very active. we commissioned a new plan to which we constructed, we purchased during the downturn. we're being quite active over the downturn and that has been on the back of a very strong balance sheet. we have project which we think are low risk and high return. we can get them with production into the market weekly so that is an added benefit our portfolio provides. anna: thank you for coming in. joining us from antofagasta. persimmon's revenue came in at 1.6 6 million pounds. johnny is now is the ceo. 30%, revenue is up but i have to get to the root question for everyone. i read the survey from the other

day, have pronounced is that slow down, talk me through the landscape and how the looks to you. good morning. guest: we cover the market excluding london. we have seen no discernible change. we saw bit of a slowdown in the lead into the referendum but since then, it has been very strong and sales have been very good. the comments sovereign first half and the volume of houses that we completed in the first half was up 8% area and we of 15%rong forward sales on the same point last year. no real signs to us of any effect from brexit on our purchases which first time buyers will be at the lower end of the market anna: when you builders, other

parts of the sector, those companies that are exposed to london, these sometimes trickle out. what are you assuming looking ahead? jeffrey: if we look at the in the u.k., the offering to the potential buyer is so good so mortgages are affordable. affordability is the key. access to the market is good create all of the house builders are working hard to meet the strong underlying demand. so the conditions for buying new homes and our industry at the present time is good for you manus: one of the big drivers has been the health divide, sales, that is a big chunk of change for you. is -- if that policy was not hit your how with that balance sheet? you must've run some numbers in

terms of the taper or a reduction of that altogether. jeffrey: it is difficult because it is due to run through to at least 2021 and the government should be pleased with the policy. ithas done exactly what intended to do. it has cross party support. introduced under the labor government and the coalition continued. a intended.what it stimulated growth. we have seen good demand off the back of that and we are keen to increase the number of houses that we build which is a big driver in the economy and a big employment opportunity. when you consider all of those aspects that have helped to buy, one would expect that it would be a good policy to continue with. we certainly have the confidence to continue investing in the land market. since twain 12 we have invested

over 2 billion pounds and we are a strong investor at this present time because we can see further growth. you continue to invest in the land market, is there a softness and prices, are you buying into any debt? are you brave? if fortune favors the brave. . werey: we are realistic see a good opportunity for us to buy and we continue to increase our landholdings. the key thing for us is to increase the number of units -- houses. as you say we are keen to and given thevest strength of our balance sheet, we are in a good position to take the opportunities we see at the current time. anna: you mentioned about what we see in the mortgage market. how stretched our consumers in the u.k., how stretched to do

consumers let? that isee anything telling you they are taking too much debt because the bank of england has been concerned about this around car loans. jeffrey: the new home mortgage market is somewhat different. affordability is very good. we are at a relative low point in that regard in terms of more --le income utilized for mortgage payments. if you have got the earnings capacity, the multiples around about four to five times to purchase a new home, the amount of disposable income utilized every month is relatively good. it, they can afford are keen to buy and get onto the housing market which is growing. manus: do you think that as you plan for the next year, do you think you're going to have to offer incentives to sustain the

level of business that you have in terms of the properties? jeffrey: there are always incentives available. we do not just sell to first-time buyers. we sell to second home movers. priced early in the secondhand market are moving very well. there is a bit of inertia there. present, anyone looking to buy new products, change works well. otherwise, affordability levels are good. are low atves levels present time. : what are your is brexit, are they around the effects on the economy and consumers or around access to the stuff you need to keep loading the houses?

jeffrey: there are a number of issues. i think confidence is the main thing. confidence is the key issue for the buyer. and confidence levels are good. that leads to the purchase of home. i think from a reasonable perspective, generally, that seems to have stabilized to some degree for those outside of london. and we are training a lot more people. we will continue to increase the volumes that were used in a sensible way as we move forward. buteconomy is important, from our consumers perspective, it is how confident they feel in their job and their earnings capacity to commit to that they purchase and by the house. manus: it is a big purchase.

on that, the u.k. is set to produce five position papers this week. our you confident that this government is doing the right thing by the country in regards to the negotiating position for brexit? are you confident in theresa may? jeffrey: it is difficult for everybody. the country has to move forward on this. everybody voted on it. we have to put our trust in the right people to deliver a good result. anna: thank you for your time. have to talk about his company. it is beyond 7:18 a.m. manus: we will have a little bit of macron. the french president reaches his 100th day in office. has he managed to hold onto his approval ratings since being elected? the challenges for macron. this is bloomberg. ♪

anna: it is 7:21 a.m. my good morning. 8:21 a.m. if you are in berlin. futures for the european equity market a little bit stronger following in the path of the asian market. and u.s. futures putting higher. a quick look at the market. yields are unchanged in germany. everyone is holding their breath, volumes are down and there's a little bit higher in terms of commodity markets. dubai market is a point two of 1%. let's get across to juliette saly. has vowedbhp billiton to ask -- to activist investors

taking a straight line on its business. it has plans to sell its u.s. shell assets which it acquired delay1 and will investment in a canadian punish project. they announced profit as six point 7 million -- billion dollars. kkr is close to clinching a $3 billion commitment in the new .ork city pension system that is according to people with knowledge of the matter. the plan is the latest in a string of separately managed accounts over $1 billion that have been formed to invest pension money in multiple strategies. declined toves comment. a foreign exchange front running scheme at hsbc may have 11 -- involved 11 employees beyond the executives who have been charged with crimes.

they are scheduled that she is accused of using his knowledge illegally to profit from a pending currency transaction in 2011. a spokesman for hsbc declined to comment. that is your bloomberg business flash. anna and manus. anna: thank you. today marks 100 days in office for president emmanuel macron. manus: it is part of a plan to laborup the country's laws to reinvigorate the economy. joining us now we have our guest from paris. we had a guest this morning suggesting that mac run campaigns in poetry and governed in prose. macron is finding that is not going to work in france. does he have a reality check?

guest: it certainly is a reality check. the overall record is mixed and the one slightly objective measure we have is the polls. macron since late june has been sliding in the polls and it leave but he is below the level that france will francois hollande was. there has been a few quirks and there have been doubts among some in the french population as to the direction of this government. we will see what happens next. anna: why does it had from here? -- where does it had from here? that could be one of the things that how government how things look in the fall.

mark: that labor market reform which is almost true now, the labor market reform and the budget cuts which will be coming up together in the next two or three weeks will be key tests for macron. toot depends on his ability get the french economy moving again. a is lucky in that we are in cyclical upturn in france and the growth numbers are good. getting that labor market reform through without too much strife is key. i think that the return from holidays in the next couple of weeks, summer holidays for the french population will be a key test for that. manus: it could be make or break. let's see what they make of it. thank you for joining anna and myself. that is it for bloomberg daybreak europe. stocks are set for a higher open. do? will mario draghi

anna: we will be talking to the former assistant u.s. secretary of defense in connection with afghanistan. this is bloomberg. ♪

tous: you're welcome bloomberg markets, the european open. i am manus cranny alongside matt miller and here's what we are watching for you. man with the plan. president trump announces and open ended him to ending the war in afghanistan but warns his support is not a blank check. activist pressure. bhp billiton unveils plans to streamline the business with the sale of its