paul: i am paul allen. shery: i am shery ahn. sophie: i am sophie kamaruddin. we are counting down to asia's major market open. ♪ paul: the top stories we are covering, deutsche's savings plan, ceo's -- the loss of $3 billion and elimination of 18,000 jobs. the turkish lira slumps as president are to want fires the central banker. he wants policymakers to support

his view on rates. criticism of the fed, president trump renews his attacks saying jerome powell and his team don't have a clue. let's look at how markets closed. the dow fell for the first time in five sessions. session,thin trading after the independence day holidays. s&p 500 down .2%, led lower by health care and utility stocks for the main focus during the session was on the very strong u.s. labor report. 224,000,ayrolls rising leading expectations to pare back some of the fed rate cuts. you have treasury yields, 10 year yield also retake the 2% and u.s. stocks falling from record highs. let's see how u.s. futures are looking unchanged. see how the asian markets are shaping up. sophie: futures are looking at a mix of potential gains in tokyo

but we could see declines in kiwi stocks under pressure but marginally to the downside. asian stocks could take cues from wall street action after the u.s. jobs report. speaking of jobs, deutsche bankers across the region will learn their fate after the board decided to shut down its equities business. mind, southo top of -- to discuss japan's export curve. let's get a quick look on the lira area we did see it slide as much as 3.5% after her to one -- after president are one -- reading the 582 handle against the dollar and threatening the currency. thanks very much. let's check in on first word news with lindo wing. -- selena weighing. reporter: the conservative democracy party has won a

sweeping victory in greece, giving a mandate to rebuild the economy after 10 years of crisis . they took 40% of the vote compared with 31% for the leftist party. he lost support after agreeing to demand for more spending cuts with international creditors. top what has economic advisor larry kudlow expects u.s.-china trade talks to be back -- they haven't held negotiations since mid-may. they resumed talks on the phone. they agreed to review -- revive contact when they met last week. the u.s. has held off imposing extra talks for the time being. >> they are on the phone, the leaders, senior people from china, ambassador lighthizer, secretary mnuchin for the usa, they will be on the phone, have been on the phone, will be this

coming week area i don't want to get ahead of that story. reporter: a small group of protesters clashed with riot police in hong kong sunday night. tens of thousands marched against the controversial extradition bill. the protest began in the tourist district and moved into the city's high speed rail link to china. carrie lam suspended the bill last month but protesters want it withdrawing. personiest for this looks set for a laugh like victory in the race to be the next u.k. prime minister. almost was backed by three quarters of the conservative party members and the support of other candidates. the winner is expected to enter downing street in the week of july 22. global news 24 hours a day, on air and @tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries.

i am selena weighing. back to you. shery: one of the most radical overhauls for deutsche bank since the financial crisis in its latest plan. 18,000 jobs, post a second-quarter loss and quit the equity sales and trading business. the decision to retrench and step back from elements of the global markets franchise, especially equity sales and trading. that is a significant step in reorienting. shery: let's bring in the banking reporter. what is the impact of this restructuring plan for investors? costly, 8000is dollars in euros. -- 7.4 billion euros, that is half of the market cap, and it will require them to forgo the dividend payments for a while so investors will have to be patient for this while it happens. we will what market reaction says but it will be telling if

they believe this is something that will be good for the long run. there will be a lot of upheaval at the top. who is getting out and who is getting promoted? reporter: we found out sophie is on her way out. we will also have frank strauss, ahead of the corporate division out as well. up, stiffen hoop is moving leaving the corporate bank. we have mark, one of the heads of the investment bank and rom who is a head of fixed income moving up. there is no commitment to the investment bank at large, certainly not equities, and there will be changes in fixed income. we don't know how sweeping those changes will be. they will be in the rates business but we don't know how far else. equitiesiting business, cutting jobs, focusing on the investment bank, what will the company look like once this is done?

this is the part of the bank that incorporates global transaction banking moving money around the world for global customers and then german retail as well. they haven't stepped back from saying they are focusing on private wealth and asset management. there is talk of selling the asset management in the past. there,see resources put and the fixed income division, i have got to say, they are resizing it, but how much? that is unclear, but they will be there at the least. paul: investment banking reporter, thank you for joining us. criticism of central banks is another major theme today, president trump taking reserve bashing to a new level while the lira slumped. policybal economics editor kathleen hays watching developments, so let's start off in turkey.

did the move come out of the blue? kathleen: it did, even though the president has been critical, he suppose moves by the central bank of republic of turkey in the past. nonetheless this was not expected. it was expect that announced saturday, he said he was using executive powers to do so. donald trump wishes he had those. he replaced the deputy governor who had only been in place from 2016. said higher interest rates cause inflation. you can see this picture here. the firing, surprising. secondly, his term was marked by a lack of central bank independence, he kept rates low until inflation was rising so he had to do something, slow

response to the crisis and the lira. the meeting on july 25, they were expecting to cut rates anyway. this makes it more difficult. if it is attacking the central bank's credibility, that is what we are seeing the lira falling today. how easily can they cut for the next couple of days? the decline is pretty abrupt, and evil are -- i am showing you the inflation. we show this a lot in 2018. it rose rapidly from april 2018 up to 24%. this very tight policy has managed to start bringing inflation down. this is why they were getting ready to cut rates presumably. and now the central bank chief has been fired, this is why we can move on to our next chart showing the turkish lira the last couple of days taking a hit . look at the big move down as it

weakens. looking at a longer-term chart, you can see how unfortunate this is because the turkish lira had been doing well the last couple of months. that chart, imagine the line going the other way. you would see the turkish lira buying more and more dollars. this is what president heard a one has interrupted -- the president has interrupted. investors think maybe they will not do what they should do, there is that beautiful chart, the lira versus the dollar, see how this plays out, but president heard on has all the -- the president of turkey has all the power. do you think you will oppose him? taking -- talking about central bank independents, president trump hasn't called on the turkish president yet but -- kathleen: it is interesting as he was leaving for his big central-bank fourth of july speech and celebration, started ouring to reporters about

most difficult problem is in our competitors but the federal reserve, they raise rates too soon, too often. this continued through today and they think one of the reasons he is concerned is because the strong u.s. jobs support he applauded as evidence for his policies is making investors think the fed will not cut 50 basis points at the end of the month. they cut 25. toy went from 72,000 in may 24,000. let me show you my chart. the yellow line is the moving average. these are what are important because you go from 72,000 -- raising concern about a big slowdown in jobs. average hourly earnings slid -- slowed down. maybe you will not post

inflation much, but the next chart is interesting. flat -- in the chart made this one because it shows you the outlook or fed rate cuts has gotten weaker as it gets back to this question of how much will the fed cut, when will they? the bloomberg economics team thinks when jay powell starts is testimony to congress, what he will signal is a rate cut more likely to become instant timbre after the qualitative tightening, the unwinding of the balance sheet. people have said, does it make sense to unwind it? this is something that will be a big deal for the markets and central bank independents, step back, people are concerned may be the era of central bank independence -- maybe the era of central bank independence is ending. paul: kathleen hays, thank you

for that. we have a lot more on the fed coming up, ubs asset management head of fixed income and anderson joins us. shery: on daybreak australia, president trump warns iran to be careful as it scales up iranian -- uranium enrichment. this is bloomberg. ♪ ♪

paul: the strong u.s. jobs report is pushing trade, the fed will lower rates by a half point when it meets at the end of the month. there are still bets for rate cuts. the stifel make the chairman's testimony to congress -- this shift will make the german testimony -- head of fixed income and investment solutions area thanks for joining us today. i will start by bringing up this chart. it refers to what i mentioned, the jobs report, strong rebound,

nice problem for the fed to have but it is a problem. what does jerome powell do now? i think the testimony will be crucial around the evolution of the u.s. economy. monthly to look at data. clearly,average it out u.s. jobs growth has decelerated and we are not seeing as we saw friday night growth in the wages, which the inflation is crucial. it is still missing, and adding to the pressure president trump, piling on again, calling the fed the most difficult problems, saying jerome powell doesn't have a clue. does this theme of attacking central-bank heads disturb you at all? we are seeing it in turkey and india. anne: it is unhelpful, particularly when faced with

challenging signals from the economy, not just domestically but globally, enabling them to focus on the job at hand which i am confident with powell and his colleagues will do what is appropriate as he said he will act appropriately to support growth. what does working appropriately mean to support growth? it would be hard to understand what the fed means when it comes to how much is appropriate and when is it appropriate? it is a matter of finding the balance between not scaring people there is something deleterious going on, moving ahead of the curve. not 50 basismaybe points, but that can't be ruled out 25, see how it goes, another quick follow-up, and then use

the communications to guide the economy and mark -- market participants to support the sustainable growth and underpinning inflation expectations. shery: investors have been hedging for the bond markets especially given we were expecting a strong jobs report. this on the bloomberg showing the put to call ratio, and the blue is the daily, the white is the moving average. the yield has been rising. is this the right call given the strength of u.s. labor market? since we don't know the direction the fed could go in terms of amount of easing that could be expected? anne: we have had an amazing rally. it is not just in the u.s. but elsewhere in the world. the direction of travel is price., seems a decent

i thought it was a good thing because it restores some form of equilibrium. the market was getting carried away, not just in the u.s. but saw veryurope, we significant declines in yields. paul: i want to get your thoughts on chinese bonds, have another chart to show you, this shows the yield premium between one year aa and -- aaa really starting to widen. you don't think china will last? anne: it is a challenge. some of the last week's pmi notwithstanding the good news as it was characterized with the g20, the weakness to me has been discordant to some signs of strengthening credit growth. intra-asia, the trade is clearly being disrupted.

there is still this balancing act, and we have got pockets of partners in liquidity, so it is something to be watched carefully, the narrowing of the current account balance also dips -- gets problematic. paul: do you see easing on the way? anne: yes. the pboc will be able to follow down and provide some relaxation. mhat will be supportive for e markets more generally. its use a little more -- it skews a little more support and jay powell will reference this with weaker global growth more generally. shery: to your point of european yields falling, this shows how bund yields have reached a record low, not to mention others dropping to the expectations of a dovish ecb. will this be preceded by another

christine lagarde appointment? anne: it has created an expectation, and the markets arguably are now pricing in a full restoration of the qe. that is maybe 30 million dollars to $35 million purchase program. it is ahead of time. the markets are being described as formulaic. they are pulling forward expectations before any words have been uttered by the new incumbent. they are a little bit ahead, as i say, direction of travel correct. there will be support, but the markets, having a correction last week, i think it was healthy. shery: a lot of one-way bets. thank you for that, and anderson, head of fixed -- anne anderson. this is bloomberg. ♪

has surpassed the uranium enrichment in response to what it says is europe's failure to honor the terms of the deal. european powers are urging iran to reverse the situation but stopped -- but stopped short of sanctions. european leaders have tried really hard to keep the iran nuclear deal alive even after the u.s. withdrew from the agreement. does this mean their patients is tience isut -- their pa running out? than it was,inner but it seems like france, germany and the u.k., all signatories to that deal, would pull out or stop to avoid putting on the snap back sanctions the u.s., israel and

others are urging. we will have to wait and see about that. iran is open to diplomacy. not know it would be open to u.s.-led diplomacy -- don't know if it would be open to u.s.-led diplomacy. there certainly is as you say plenty of pressure from the u.s. , president trump you saw late this afternoon warned iran to be careful. make ipo -- mike pompeo tweeting iran's enrichment move is going to lead to further isolation and more sanctions. also late this afternoon, the officialministration basically said iran is engaging in nuclear extortion. tough words from the u.s., but there is still some doubt whether trump, pompeo and the u.s. officials can bring the allies along on this because

there has been so much tension about the iran deal, the u.s. pulling out so dramatically last year. the talking is underway at least with china, the trump administration saying trade talks starting up again -- any potential for a breakthrough? ros: it is interesting. comments onvague the talks with larry kudlow, when has economic director and trump himself this afternoon, larry kudlow is soft peddling this. he says there is no need for speed, although secretary of treasury mnuchin and the trade chief robert lighthizer have spoken to chinese officials, no firm plans for a meeting in person. that will come at a date to be determined. the biggest thing is china has basically laid down the law, that theviews known

commerce ministry officials said if the two sides are to reach a deal, or impose tariffs, must remove, and that is a hard line for the u.s. to cross. lighthizer and some of the other trade hawks in the administration want to see the tariffs continue on china as a key element of enforcement, once any deal is reached. don't know whether to say it is a blind alley, but there is a long way to go. i think president trump would like to see a deal. been cheerleading the stock market as it has made new hires, and that is tied up with china and the u.s. making progress, so that is one factor pushing towards a deal, very hard talks still to happen, i think paul:.

,loomberg washington editor thank you for joining us. up next we will hear from deutsche bank cfo on the german lender's plans after a massive restructuring plan. this is bloomberg. ♪ mberg. ♪

sydney, is 8:30 a.m. in the market open 90 minutes away, futures are weaker. i am paul allen in sydney. shery: i am shery ahn in new york. let's get the first word news with selena weighing. -- selina wang. reporter: president trump resumed his attack on federal reserve's, saint jerome powell doesn't have a clue -- saying jerome powell doesn't have a clue. himself -- he has accused the fed of not doing enough to bolster the economy and claims he has the power and authority to fire powell at any time.

the turkish lira slumped after the president fired the central bank governor and demanded the policymakers support his view that higher interest rates cause inflation. he also was top -- he also talked of unspecified consequences for other things. breachedofficially agreed limits on uranium enrichment in response to what iran says is europe's failure to live up to the deal. the government will resume. fighting iranian -- resume purifying uranium. people are struggling to deliver relief from u.s. sanctions. the usa soccer team has wwon the women's world cup beating the netherlands in france. the star of the game and tournament was megan rapinoe who opened with a penalty embedded six goals across the competition

. it was a back to back triumph for the usa and a record fourth title. they will fly back to a celebration parade in new york city wednesday. global news 24 hours a day, on air and @tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am selena wang. shery: the asx going for a soft open. here is sophie. sophie: checking in on the aussie dollar, it is in stasis early and the session unchanged after flipping back below 70, giving back some of the mouth's advance. -- the month's advance. the currency could go lower unless there is a rebound from the decline. westpac forecasting the aussie dollar at $68 in late 2019 and $66 in early 2020. the iron ore outlook looking good. looking at the stoxx to watch,

iron miner's are in view, raw material, also gps holdings after closing with $3.65 a share. the last close at $3.58. eyeing a $1.5s billion australian product in chile. paul: let's get more on what we should be watching as trading is underway in asia. adam haigh is with us. testimony from jay powell, moved to the dial for bond and equity markets, seeing big rallies. that in saw some of bonds adding a little bit -- ebbing a little bit. you saw the softer jobs report and the series of months, the u.s. jobs market clearly is calling. the testimony this week from jay powell will be very crucial,

especially to a bond market that is leaning towards slightly more aggressive cut profile from the fed, a few of those bets as you can see here in the library, they got wound back late friday, given the softness of the jobs report. clearly july is very live if not a done deal on 25 basis points. expectations from the market waivers over three to six months as to how aggressive the fed is, but they are watching the data, inflationary problem is the big hiccup for the fed. anything from the fed wednesday and thursday over how the inflationary outlook is developing, but also on the growth upside, especially the global growth story and whether he makes any more comments that lead to what is happening in china and the trade tensions, that is what will set the bar for bonds later on in the week.

for equities we get off on a reasonably weak start, the s&p 500 coming off those highs friday. looks like a cautious tone. shery: given all the uncertainties, no wonder investors are pouring money into volatility funds, betting on escalation. how prudent is this when we have seen the vix fall this year? adam: indeed, it has come down quite a bit, and that is maybe what you would expect given stocks have been on a decent run . we have the s&p 500 at all-time highs. certainly plenty of people thinking it is a prudent place to add some hedging exposure. this chart shows some of the flows in to one of the etf's that tracks volatility in the s&p 500, so clearly moving money in to that area is something people are keen to do and it

depends on how much you are paying for the hedges. by some measures volatility pricing looking relatively inexpensive compared to the last six to 12 months but taking that back a number of years, it is looking not too bad considering equities are at all-time highs. given the bond market and implications from what jay powell might tell us with the humphrey hawkins testimony to the house and senate later this week. interesting to see money is going into the hedging space, given just a little bit of uncertainty creeping into the market especially with benchmark treasury yields around 2%, feels like the next catalyst for equities would have to be some kind of -- something on the growth front or earnings to get us pushing on higher from here. paul: thank you for joining us. check out gtv library for the charts here. you can find them on gtv .

shery: let's return to the radical shakeup announced by deutsche bank. several top executives are being cfo will door, but the be staying. he tells us how he sees deutsche's next growth driver. reorienting the company to historical franchise strength. we are a german bank, german roots. we are aligned with the strength of the german economy which are trade and investment. we are going back to what i say is the dna of the company which is corporate banking, creating the fourth division of a corporate bank is a sign of the emphasis and our plans to invest in that franchise, which is core to this organization. >> the drivers are -- [speaking simultaneously] you are going to look back in a few years time, so -- >> corporate banking will be the

greatest growth driver in the franchise as we see it going forward, especially in today's interest rate environment. we see great growth opportunities that have existed now for several years, and we have not been able to participate as much as we should or could have. we have seen growth in the private bank, the german consumer banking franchise as well as italy and spain. asset management has recovered after a difficult year in 2018 and is back on a growth trajectory. we see underlying growth. we are taking the decision to retrench and step back from elements of the global markets franchise, in particular equity sales and trading, and that is a significant step reorienting the bank. i am a german client or global clients, are you still going to be able to certify names? >> many of our clients, and it is the nature of the german

economy a significant portion of ournues earned international revenues, something like 80% of the dax 30 revenues are outside of germany. sme's have business outside of germany. they will be around the world and will service their needs. they could be risk management, they could be fx, and those are areas where we excel, and it is around those strengths we are seeing the banks. >> how will that be affected? >> one of the concerns we have always had about retrenching from equity sales in trading was the franchise impact and the potential it would have not gone impacts in other businesses. and manage to grasp through that. we are retaining a targeted

equity market as well as research and distribution, in order to serve clients' needs around equity financing. the sales and trading decision has been difficult for us of there willognizing be knock on implications. >> as we look to client by this and other businesses, we will keep a fair number of clients and continue to be able to serve needs. we will reduce the client franchise as we try to focus on the core clients who would devote our resources. the impact if you like of clients that are uniquely served is surprisingly small. >> you will be operating with a smaller purse then when it comes to capital. are the regulators comfortable

with that? it is a slim margin, not operating with. .> i would not call it slim even 12.5%, and for the business mix we are orienting towards, we would remain among the highly capitalized of our global and european peers. we have prepared this restructuring and transformation of the bank, in close collaboration with our red raiders globally and in particular -- our globe is -- our regulators globally and here in europe. thatonsultation has meant can express a view about management's decision to target a lower capital ratio of 12.5%. that represents a significant margin against our minimum levels, and the hope is overtime minimums travel down in line with changes in the business model. >> you said in a statement there will be no cannibal race. long,rst question is how

18 months? this will feed on to my next question which is about what is happening more globally. you have capital and you will not have to go back to the market. >> we are very confident in our planning and also jubail it -- the ability to manage downsides -- paul: that was our conversation with deutsche bank cfo. , theng -- coming up next turkish president didn't like a central bank governor holding steady on rates, so he fired him. we will discuss what this means. this is bloomberg. ♪

paul: the turkish lira slumped after the president fired the central bank governor. we can weigh the implications of this move with the director of the institute of global finance

and professor of finance at university of new south wales in sydney. thank you for joining us. that was exciting, the central bank fired -- fired -- central bank governor fired. >> it is interesting if you are close to the european continent, and you are part of european continent, we know that when investors want to look at a particular location, the first question is, is central banking independent from the bank of the day -- government of the day? they are able to control inflation. so i think the current policy and the way basically the president surprised the market will not short implications but also long-term implications for foreign direct investment, for the perception to work towards turkey and the future of turkey in the european union.

i think it has been a very unfortunate i have to say policy , and when you look at the bank, you look at bank of japan, why germany and japan became so successful over time, one of the independence of their central bank and control of inflation. if you don't have these factors, investors within turkey and outside are not going to be willing to invest. paul: let's get to the broader theme of central bank independence in a moment. we have the central bank governor in charge for the time being, what does this mean? >> it means uncertainty, because if the governor is back, the next person is, would i be the next? alternative, i obey to what the president says, and it is a wrong signal to the market. so the damage is done, and it

will not be rectified in the short-term matter who will be in charge of the central bank. shery: let's talk about the central bank independence we have been talking about because this is not only threatened in turkey but also here in the united states, trump again tweeting about the fed, talking about a strong u.s. jobs data but saying the federal reserve doesn't have a clue. he goes off on the central -- going into the most difficult problems, not our competitors, it is the federal reserve. has the heyday of central bank independence died? is it already gone, and what does it mean to the markets and investors around the world? you are not only seeing this in the u.s. and turkey but also in india. think it is a new

experience for the old economy and financial market, but the good news is that there are many people like us, many policy makers, many central bankers are countering if you like this type of negative attitudes towards of the central bank. it also raises the awareness of people that the significance of central bank for financial stability, economic prosperity in the long-term and also not looking at the short-term gains. of u.s., which was a symbol when the establishment is the federal, the u.s. fed in 1913, 1 of the cornerstones of the success of the u.s. has been the independence of central bank. i think if it comes into question, the same issue, in the u.s. it is receiving massive amounts of foreign direct investment from overseas. the u.s. dollar is a major world

currency. if people start questioning the integrity of the federal reserve, the question will be the value of u.s. dollar. its potential in place in as well as interest rate which will affect not only the u.s. economy but also global economy. shery: it looks like investors could find relief in what happened over the weekend increased. -- in greece. a clear parliamentary majority. will this help the greek economy turn a corner with a more pro-reform, business friendly government? >> i think that is the very reason why we are seeing that new government is going to be in place. the reason was because people wanted to have first of all much faster economic growth, far better reform, which is conducive for investment,

particularly foreign direct investment, and the new has promised during the election process that they are going to cut the tax on , alsoss, middle-class increase the minimum wages, at the same time encourage foreign direct investment as well as reform central banks. talking about central banking, the same issue applies to the commercial ranks in the case of i think theso signal given in international communique and the investors from europe is a very positive one. in addition it is the beginning of the end of populist movements in europe, if you like. that is a separate issue of course. paul: we will have to leave it there. director of the institute of global finance and professor of finance at university of new south wales in sydney.

you can watch us live and see past interviews on the .nteractive tv function, tv go you can dive into the securities and functions we talk about, and have a part of the conversation by sending us instant messages during our shows. this is for subscribers only. keep it -- check it out. this is bloomberg. ♪

♪ paul: the easy money for managing australia's $2 trillion of retirement savings coming to an end, fund managers being squeezed in the largest pension funds pushing to cut fees and move investment functions in-house. matt burgess has the details. how is this affecting fund managers? , it lookspretty badly like. a lot of them are cutting management fees, performance phase, some of them are shutting

shop, this one had a bad portfolio performance so they have pulled the pin. aussie equities managers, the australians -- pull the mandate from them. big talent, they have been in housing quite a lot. uni super managed 70% in-house, and john pierce, he knows how much it costs to run and equities team and how much it costs to run a portfolio. the bigger issue that is happening in this space is more of a question around when it comes to the asset base or percentage fee. when you are talking about a fund manager, that is coming under question by a lot of these pension funds. australia was pretty

highly rated when it comes to competitiveness and service, whether it is on their fees or taxes. what is going on? morningstar, they have got above average rating when it comes to fees and service and taxes and regulation, it is a good environment to do business in. when you got -- it is a dollar value, when it comes to performance under management, funds under management. if you are managing $20 billion, you don't necessarily need a half percent of that to be able to do your business. it costs less than the numbers i have been hearing, $2 billion to achieve scale and go from there. australia also has a lot of fund managers as well in the immersive database, more than 300 strategies. this is just strategies when it comes to managing aussie equities alone, there are more strategies than in the asx 200

benchmark index. paul: how about this trend of moving fund management in-house? is that going to be as competitive? will they perform as well? matt: that is a good question. we have only seen it for the past few years, that has been happening. been doing pretty well, but they have also got quite a lot of assets in the unlisted markets when it comes to infrastructure property, private equity, so the performance is more opaque when it comes to assess the performance in those investments. with aussie equities, global equities have not been able to jump through that data at the moment. time will tell when it comes to performance. when theret will be is actually a market downturn and how the funds performed it has you can't exactly, you have a poor performing portfolio manager inside a pension fund,

it is difficult to say, you need to leave this fund because you are not performing than it is a mandate from a manager. shery: thank you for your time. let's get a quick check of business flash headlines. boeing has lost its first 737 max 8 contract since the plane was grounded following two deadly crashes. saudi arabia and budget carrier flying deals offered -- they will replace them with airbus a320 neo planes and will only operate and airbus fleet. the best-selling 737 has been grounded globally since march after people died in different crashes. paul: barrett gold working with advisors to find a buyer for its gold project in senegal. they acquired the site as part -- a purchase of january. it is worth $500 million.

they are targeting $1.5 million in asset sales through 2020 to sell off smaller, unwanted operations. shery: we will speak with the medley global advisors next. this is bloomberg. ♪ we're the slowskys.

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paul: good morning. i am paul allen in sydney. we are an hour away from the australian open. shery: good evening from bloomberg's headquarters in new york. i am shery ahn. sophie: and i am sophie kamaruddin in hong kong. welcome to "daybreak: asia." our top stories this monday, a radical shakeup at deutsche bank. in a billion-dollar plan including the elimination of thousands of jobs. the turkish lira slumps as