>> there's going to be a lot more unemployment coming, a shift from temporary to permanent unemployment to some degree. >> these companies are now starting to hunker down for a longer, more protracted recovery , so they have to right size their businesses. >> not everything is going to turn on right away. we will find out some things that were turned on will be turned back off for a little while. it is going to be bumpy. >> this is "bloomberg surveillance" with tom keene, jonathan ferro, and lisa abramowicz. tom: good morning, everyone. on bloomberg radio and bloomberg television worldwide, hot and steamy in new york city. hot and steamy for day

conversations in europe to some level of success. of course, the stimulus discussion in washington, all of this wrapped around a market that will never, ever go down. futures up 25, dow futures up 186. we have a 23 print on the vix now. just to go to the equity market for one second, come on, jon. 32 to 23 on the vix is really something. jonathan: it is an equity market that has got away from so many, particularly on the tech side. amazon up 70%. microsoft, apple up 30%. we have had monster moves. tom: your thoughts on europe, you spent eight tour of duty in -- you spent a tour of duty in fractured, germany -- in frankfurt, germany. jonathan: europe is demonstrating that they can borrow at the commission level

and distribute to places like italy. that was unthinkable in the depths of the crisis. i don't think it is that goal bullet, the. this is part of the journey. that's how you should view it. it will take a while for the story to build. the keyword is crisis. it took a crisis to take this step forward. i imagine it might take another crisis down the road to take the next step forward for the continent. tom: our maria tadeo in brussels. lisa abramowicz, a look at all that is going on, and the fixed income market is the litmus paper. what did the spread do offices agreement? lisa: you can see this encourages further risk on. when you talk about stocks, you also have to talk about the fixed income market. perspective,you 1.3 trillion dollars of investment grade credit was issued in the u.s. in the first half, more than all of last year alone. the question is how much is this supporting equity valuations, and how much further does it have to go?

are we going to see some stalling out as the pace of borrowing fades away? mayor gimenez: some real mysteries here into the second -- tom: some real mysteries here into the second half of the year. our kevin cirilli is monitoring senate lunching in washington. this is without question the most important conversation of the day if you are just flat out curious about this market. stovalle all -- the family has been doing this for decades, leading to sam stovall, cfra chief investment strategist. i think i can say the stovalls have never seen a market like this, have the? jonathan: do we have same with us? have we got sam on the line? sam: yes, i'm here. jonathan: carreon, sam. on, sam.-- carry sam: we have not seen this since

the early 1920's. we've had many different bear market challenges, but none like this one. jonathan: let's talk about the next steps in washington, d.c. there's a $2 trillion spread between democrats and ripple lukens -- and republicans. is it the base case that we get something done in the next two weeks? sam: yes. i think they do get something done. they realize they have to do something. i think it is in their best interest for the incumbents who want to get reelected. but at the same time, they don't want to be tagged as a laggard dragging back both monetary and fiscal stimulus that is required, especially as corunna cases are ramping up again. cases are ramping up once again. tom: i want to go to the dynamics of the sectors you study each and every day. what is the message we can glean by the absolute and relative

performance of sectors right now? sam: well, that tech is your friend, and the old adage is the trend is your friend, so you will stick with it until it ends. technology, as we have been seeing, is doing exceptionally well, not only just in terms of price, but also in terms of fundamentals yet expectations are that earnings will decline, but in the single digits, as compared with a 45% shortfall for this quarter area tech is the -- lisa: i think we may have lost sam's audio. really interesting as we look at what we are seeing right now with respect to tech versus the rest of the world. sarah ponczek of bloomberg coming out with fascinating material, talking about the more than 2% rally in the nasdaq 100 versus the equal weighted s&p, losing 0.5% get you just have to wonder how much further that has

to go, given the fact that earnings are expected to go down. jonathan: i jumped in once, so i didn't want to jump in twice just in case he was still there. hopefully we can reconnect to sam. that was sam stovall of cfra. rally ofgs up the tech the last several months. in fact, the last several years. the for his that existed going into the pandemic are still alive and well. have had jetthey fuel put into them. we have seen some of these names get away from themselves. tom: there is something separate going on here. at credit suisse a zillion years where he page paper said the winners will win big. that there will be few winners with a vengeance in this crisis we have seen selected tech

winners win big. ist is so important is it not just about revenue growth. below you look at microsoft, amazon, apple, and the rest of them, i hate that word is so theke, but it works here -- resiliency of their cash flow is stunning. jonathan: i would use another word, the dominance of these companies which is going to get them in trouble with a regulator in the future. i side with standard oil and million years ago. if you just extrapolate out that growth, i do agree there is a regulatory mass that is the critical moment. jonathan: sam stovall is back, joining us from cfra. we talked about the tech dominance of the last decade or

so. i know this is a difficult western to answer, but just explore the question with us. what are the limits to the rally we are witnessing right now? sam: the limits are that sooner or later, the leaders end up running out of steam. right now, the technology is when he 5% of the s&p 500. at the peak of the -- is 25% of the s&p 500. at the peak of the left financial crisis, it was 7.02%. today's numbers nowhere near the 35% we saw back in the peak of 2000. but one statistic i look at is the difference between the -- jonathan: i thing would lost him again. sam, we are going to let you go this time. sam stovall of cfra. lisa, big tech dominance is one story. tech connections is another. i can do nothing about the technology connection right now. let's talk about the dominance of big tech driving this equity market higher. lisa: my questions about the

dominance of the likes of or alphabet,gle, google's parent company. there's a question of advertising revenue being old , especially if you have a declining economy. at what point does that lead into the returns of some of those companies, and we get growing distinction within big tech? i think we are starting to see that, but i wonder how much more going forward. tom: we should also note the fever coming in. i don't mean to say it is tesla, but it is not like 1999 or 2000 or 2001, until maybe the last three months, four months. jonathan: let's talk about what companies you are talking about. i do think that is critical. if you compare now to 1999, these companies now are minting money, the likes of microsoft. they are a different beast. tom: but is tesla minting

money, and the other robinhood stocks? jonathan: i will let lisa answer that question. [laughter] lisa: obviously they are turning a profit. yesterday, i was walking down madison avenue. one retail store after another, know in their. all of a sudden, there was a line around the block, and it was the apple store. people were lining up around the block to spend $1000 on different items, and that is currently the present and the future. the question is, are we seeing an increase in revenues due to the pandemic, or does this have longer-lasting legs? tom: no, the question is i am on a first name basis on the guy at the door. eonathan: how tom keene-esqu to skip a line at a store on madison avenue. we had conversation after conversation with so-called real estate experts that tell us at some point, we have to reset the rents. surely coming out of this, we reset the rents.

tom: we say good morning to all of you on bloomberg radio and bloomberg television. i believe it is a retail apocalypse this nation. jonathan: for many, many retailers, and it continues to be. lisa: yesterday, a report showed that the rent was going down substantially in certain sectors avenueattan, lower fifth saul retail rents slide 30% year-over-year. too.han: about time, alongside tom keene and lisa abramowicz, i'm jonathan ferro. coming up on this program, deborah fuller, university of washington school of medicine microbiology professor. that is coming up shortly. equity futures drifting higher in the united states. s&pew york, up 0.75% on the 500. $1.1444.ar, int risk on cents reflected

the aussie dollar. to round things out for you when the bond market, you treasury market shaping up as follows. yields not up even a basis point. from new york city, heard on bloomberg radio, seen on bloomberg tv, this is "bloomberg surveillance." ritika: with the first word news, i'm riddick at -- i'm riddick at -- i amro to could toup. -- i'm riddick a group gupta.ritika european leaders have agreed on a deal, being paid fo hundreds of billions of dollars of common debt. that is the first time the eu has done that. treasury secretary steven mnuchin in and house speaker nancy pelosi begin talks today on the next virus relief plan. "kids andhase will be jobs and vaccines."

there may be pushed back to getting schools reopen and businesses hiring area president trump's controversial pick to join the federal reserve or is set to clear a key hurdle. senator kennedy said he would back to the children's nomination area the full senate would still have to vote. at carlyle group, the co-ceo is stepping down after less than three years. says he's decided to focus on public. ofid rubenstein is the host "the david rubenstein show," which appears on bloomberg. its has agreed to sell online classifieds business for $9.2 billion to get ebay will get $2.5 billion of cash and 540 million shares in the norwegian

firm. global news 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. i'm riddick is a -- i'm riddick upta.up to -- i'm ritika g this is bloomberg. ♪ ♪

now aope as a whole has chance to come out stronger from the crisis.

today we have taken a historic but we can be all proud of, another important step remains ahead of us. jonathan: i think we all hope europe can come out of this a lot stronger. ursula von der leyen there, european commission president. alongside tom keene and lisa abramowicz, i'm jonathan ferro. one hour and 12 minutes away from your opening bell in new york city, here's the price action. it is risk on worldwide. equity market up 25 on the s&p, 0.8%. treasury market unchanged at 62 basis points on the 10 year. foreign exchange, it is that bid into the aussie dollar, really capturing that improvement in risk appetite this tuesday morning. tom: i really want to make clear, we have seen an uplift, but it has continued. 23, 24 spx, and he fixed at 24 -- the vix at 24. we talked to a lot of fancy and of at johns hopkins,

course, deborah fuller of microbiology at the acclaimed university of washington school of medicine. i can't say enough about her accolades. dr. fuller, i want to talk about the guys in the trenches, the people working for you. i want to focus on jesse arrest .ess -- on jesse erasmus someone like jesse erasmus is finding a vaccine, in your case with primates. what does mr. erasmus do every day? erasmus is adr. post-doctorate scholar in my laboratory. he is really a superstar. joined when the study that found covid-19 was published. he thought, hey, can we make this vexing? hourly -- this vaccine?

our lab really requires this sequence of the virus to make, so i was like, sure. within a week, he had a series designed and was already immunizing animals within three weeks. so he is a superstar. he's in the lab every day. tom: he is a superstar, like on the tottenham hotspur's in england. i get that. but what would you say to the president today as he starts his virus conference? you guys are the doing of it. what would you say to any given politician? dr. fuller: i don't really get so much into politics, i guess, but certainly i think we really need to continue to address this pandemic. obviously, the research not just for vaccines, but it is going to

be critical for shutting down the pandemic also to follow the science in terms of how the virus is transmitted and what we can do to reduce that transmission and to control it until we have a vaccine. we are going to all have to work together in public to wear masks, follow the guidelines of the health care professionals, and science as to how best to control this. lisa: when will we get a vaccine that will be widely enough distributed to put an end to the pandemic? dr. fuller: the last few weeks, in terms of vaccine research, has been really groundbreaking. there were four manuscripts published in the last four weeks , clinical trial results from pfizer, from dharna -- from moderna, from a number of companies, including the oxford

astrazeneca.th all of the data indicate positive results in the initial clinical trials, phase i and phase ii, that they are getting sero-conversion antibody response, as well as t cell responses, and all of the data has supported them continuing forward into the next phase of their clinical trial. this is really critical because this is the stuff you have to take before you can bring a vaccine into the market. you have to confirm that they are safe. you have to confirm that they are effective in the initial clinical trials. all of these groups met their end points, their benchmarks to be able to the next step. , therajectory right now projection is early 2021, lake 2020. people are even predicting right before 2021, that maybe they will have some of the initial

several, millions of doses going into the public. but it remains to be seen. there's always potential hiccups before we can bring them to the public. jonathan: let's talk about what we still need to learn as we investigate and research this particular virus. do we have a firm handle on how the immune system responds and why this particular one is unique? dr. fuller: we don't have a firm hand on that. one of the things we are lining our two important aspects when it comes to vexing develop at -- to vaccine development. more waningg antibody responses then we hope for. bet could mean that infected might not build up immunity.

from the perspective of the vaccine side, we don't know whether vaccines are going to do better than that. we try to make vaccines do better than nature, but most or all of these clinical trials have not followed the response long enough to know whether the vaccine will be able to do better than that. a second piece that is really exciting, there is data emerging of immuneher types response, cellular immunity to cells could eliminate infected cells from body -- from the body, they are associated with better recovery and people who have become infected with covid-19. if they had better t cell responses, they can have less disease and recover more. that means that is the kind of mean response we are going to likely want to have our vaccines induce, both t cells as well as antibodies. those may be able to work together to before -- to afford

-- to avoid infection. jonathan: thank you. immune system response to this virus is where all of the research is going right now to build a vaccine. tom: politico had a nice summary of this today, hugely complex. it is not a binomial thing, one or two ideas. it is 5, 6, 7 outcomes you could get. it is a huge mystery right now. jonathan: lisa's question as to how this eventually gets rolled prospecte's a real that once we roll this out, there's another challenge in and of itself. tom: there's people already working on this, to have distribution of it. weaker dollar breaking down. jonathan: the equity market breaking up, higher, up i 0.8%.

coming up on the program, we will head down to washington. the senate banking committee today with a controversial pick in the mix. this is bloomberg. ♪

,onathan: from new york city this is "bloomberg surveillance." we are live on bloomberg tv and radio. alongside tom keene and lisa abramowicz, i am alisa -- i am jonathan ferro. futures, off .7%. yields unchanged. withuro doing nothing euro-dollar 1.1451. the attention away from brussels and onto washington, d.c.. tom keene, we will get to the fiscal stimulus conversation. , judyng under the radar shelton, fed nominee potentially being confirmed. this story starting to move forward and progress in away

people did not anticipate a couple months back. tom: this is an interesting moment for economics and for the federal reserve system. i have interviewed michelle a number of times. n- i've interviewed ms. shelto a number of times. it did not get nasty but there was a lot of back-and-forth. a lot of it is about academics. he is from one of our most esteemed families with three generations in academic. his father, our ambassador to as lanka, now he serves senator from maryland. chris van hollen joins us. this will be interesting. it is almost cultural warfare in economics. lton has her own qualifications and they do not fit the job. where's she deficient?

sen. van hollen: primarily in two areas. one is economic theory which is way outside the mainstream, which is great for a private conversation and writing columns , but we are talking about the federal reserve, the machinery of the u.s. economy, at least the biggest part of it. when she talks about the gold aboutrd, when she talks getting rid of federal deposit insurance, these are things that are scary. the other piece of this is if you look at her statements over the last 10 to 15 years, the only pattern is a political one. she criticized ben bernanke and janet yellen for the measures they took at the federal reserve. she was very opposed to lower therest rates, but now that president has been calling for lower interest rates, all of a

sudden, there she is calling for the same. at the federal reserve we want independence and what we are getting is somebody who is more political than anybody we have seen, at least in my time on the federal reserve. jonathan: is that the more important dimension. it is not the caliber of the candidate. it is eroding the perception of central-bank independence? sen. van hollen: that is a big part of it, and that is why you have republican senators also opposing the nomination. i do not know if the white house brought political pressure to bear or what, but the reality is if you look at the statements of my republican senate colleagues, they expressed exactly the same concerns. blurring ofs been a

the line between federal reserve , between monetary and fiscal policy to combat the effect of the coronavirus. there is a congressional commission questioning the use of federal funding to buy corporate bonds by the federal reserve. how concerned are you about that being a precedent going forward, given some of the plans that have been implemented this year? sen. van hollen: the issue with the fed actions when it comes to corporate bond purchases goes to the gray line between what is their authority and not their authority. i think the fed has done a good job during this time. i think there are legitimate questions to be asked regarding their purchase of junk bonds and the question about whether or not they are purchasing bonds from companies that were already in trouble and very overleveraged before the coronavirus hit. what we need to be focused on is helping companies that have been hard hit of the coronavirus, not

those that took risks and were already in trouble before the coronavirus hit. that is the intersection of fiscal and fed policy and it goes to the question of what the fed's mandate is. if you listen to jay powell when he comes before the senate he is careful not to wade into fiscal policy. the fed continues to have jurisdiction over monetary policy. jonathan: let's talk about monetary policy. $2 trillion spread between what republicans have asked for and democrats. negotiation, you start with your boundaries and redlines. what is yours? sen. van hollen: i am supporting the heroes act, this is the bill that passed the house weeks ago and now we are coming down to the last couple of weeks before things like the unemployment insurance run out.

my view is we have to find a way to come together. i think the house bill is the right starting point. we have not even heard from senator mcconnell in the white house, other than a few press statements. hopefully today and tomorrow we will be able to get a lot more definition as to what they want to do. i look at this fiscal debate and overlay upon overlay. to -- scoop jackson, hubert humphrey would be appalled, lbj would be appalled. how do democrats adapt and adjust to the deficit that is to come? sen. van hollen: in this case, the challenge we face is doing economyand allowing the

spendings case, we are money to try to keep afloat. there is no doubt this will add trillions to our deficit. i've been one of those who argued we need to be prudent when it comes to deficits. i think we will have to look at a variety of things. the $2 trillion addition to the deficit from the trump tax cut put us further in the hole. that is not my number. that is the congressional budget office number over 10 years. we will have to figure this out going forward. probably the worst thing for the deficit at this point would be for the economy to be even harder hit. -- tom: i look at the past and i think of pat buchanan, richard nixon, and a

gentleman from maryland named agnew. what he did was identify a silent majority. how does your candidate when the silent majority this time around? the president assumes he owns it. sen. van hollen: joe biden has a reputation and a career for listening to working men and women, and his policies come from that center of his character. i believe that at the end of the want thatamericans sense of opportunity, they want a sense everybody in america can make it, they also want to sense of decency. who --nt a president they do not have to hide the kids every time the president makes a statement. i believe the silent majority also believes that.

i think when it comes down to it, people will go that voting booth and they will look at the economic platforms of the candidates. i think joe biden will do very well. i think they will also use a measuring stick of common decency. what kind of character we want in the white house? lisa: when people go to the voting booth, will they be voting for higher taxes when it comes to vice president biden, given the fact that his latest proposals include higher fees on high earning individuals? sen. van hollen: when it comes to high earning of individuals, yes. we were just talking about issues with the deficit as well as issues of investment in opportunity like early education. what vice president biden has talked about his folks at the very top can contribute more. they got a tax cut under donald trump.

that was not something needed for the economy. now we need to make important investments. the vice president has called for a reversal of the tax cuts for folks at the very top. i think that position is supported by the overwhelming majority of the american people. jonathan: one final question. china. the chinese communist party. how difficult will it be for joe biden to convince the electorate he can influence the behavior of beijing after being in government for eight years with president obama and failing to do so? sen. van hollen: when it came to issues of standing up to china human rights and those important issues, standing up for the principles we believe in, the obama/biden administration was much stronger than the trump administration. we have a president, we know from john bolton's book who praised president xi's approach.

we know when he was a private waszen, president trump envious of the ability of the government of china to crackdown at tiananmen square. this is the president who did not want to stand up to china when it came to hong kong's human rights. the trump administration proposed the bill right to the very end. it is only because there was an overwhelming bipartisan vetoproof majority the president signed the bill. i would put the joe biden record up against president trump when it comes to standing up to china any day of the week. jonathan: what i would love to do is carry on this conversation on china. we would love to get you back on. senator chris van hollen of maryland. important to point out that senator van hollen is one of those china hawks on the democrat side. i think we need to get a better flavor in the coming weeks and months. tom: no question it is one of

the few bipartisan issues. all the research shows this is something foundational, there is a bipartisan nature of this thrust against china. jonathan: coming up, a conversation with meg maclennan, j.p. morgan asset head of asset management. this is bloomberg. european union leaders 860 agreed on a landmark billion euro plan to rescue economies hit hard by the coronavirus. emergency fund is almost equally split between grants and low-interest loans. joe biden has unveiled a $775 billion plan for health care and to care for the elderly. it would be paid for with taxes

on real estate investors. alsoandidate would increase tax compliance by high income earners. president trump is sending federal law enforcement agents to chicago and he warns he could have them and other major cities as well. [indiscernible] governors and other elected officials compare the presidents action to authoritarianism. ubs says it could be willing to share buybacks as soon as the next quarter. in $9siness brought billion. what impacts the u.s. election will have on his clients. >> 61% of our clients are thinking about changing their asset allocation on the election

no matter who wins. ritika: global news 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. . am ritika gupta this is bloomberg. ♪

>> the problem is that developing countries are under immense pressure because of the global recession, the economic

shutdown in the advanced countries, and the pandemic itself is still spreading. they also entered this problem with a lot of debt already on their books. jonathan: an important conversation with the world bank president. from new york city, good morning . as we advance the conversation towards the opening bell come equity futures up 22 points. i'll be catching up with mona mahajan in around 15 minutes. that will be very good. in terms of balance between equities and bonds is front and center. meg mcclellan of jp morgan has written a note on this. particularly for those of you who are behind. there may be a few people who do not own amazon and apple up to their eyeballs. meg mcclellan is at j.p. morgan asset management. i love what you wrote about the 60/40 traditional split.

everybody knows it is out the window. there is a panic i am not participating. how do i participate? how do i catch up? meg: i cannot take credit for writing that. that was our investment bank. talking to a lot of clients about the topic. the way you can diversify a traditional 60/40 folio our credit. that is a great diversifier. neglect to look at to look at of the private credit market. right now the private credit pickts offer a significant and yield income and i think the private markets are extremely compelling. lisa: let's talk about the fundamentals in private credit. they are less visible than what we are seeing in public credit. we are seeing ongoing concerns about a lack of revenue. company shut down by the pandemic.

potential bankruptcy starting to swell. how bad is it in private credit versus public credit? meg: that is one of the challenges in private credit is the lack of data to look at. where we start is looking at some of the public data. by the pandemic and the lockdown will become evident in the second quarter earnings. will be looking at debt ratios and purchase multiples. in those types of trends, what we are seeing is in the that type ofce -- a trend is positive for lenders. we are still seeing big ebida adjustments, earnings adjustments near all-time highs. that could be a -- that could be completely appropriate when we are making adjustments for the pandemic. when the pandemic is longer-term, the ebida

adjustments have potential negative impact. the other thing we are looking at is the we downgrade and recovery rate. significantly lower recovery rates of around 45% on loans versus long-term average of 77%. of some ofndications the impact of the pandemic, and the indicators we are watching closely as we think about where to help clients put money to work. lisa: there is too much debt in the corporate sector based on where we are seeing growth. perhaps we will see an uptick in global growth. it is unlikely, based on what people are saying. who will bear the brunt of the losses when there are the inevitable haircuts, the write-downs, companies will go to their creditors and say we cannot pay you back. how much will we pay you to make it worth your while? meg: this is a unique time for private markets to step in. we know there will need to be significant restructuring.

we expect opportunities for debt restructuring to grow significantly. you will see the public lending programs mature. you will see banks starting to take loan-loss reserves. you will see public market companies. you will see fallen angels. you will see more potential distress in the market. we think over that period, private capital will need to step in and help those companies with capital solutions that give them the flexibility and the ability to restructure their way out. thinking about where i would put a marginal dollar, you want to look for things that pre-pandemic were trends already in acceleration, potentially accelerated because of this impact, and steer clear of places, i am thinking retail aware we have been underweight, the traditional retail has been -- the decline accelerated by this pandemic. those are the places i would look for opportunity. is ithe shell game here

can be smarter than the street. i do not have to do traditional securities analysis, i do not have to do traditional portfolio management. is the shell game over? is the end result going to be this wall of private money buys more s&p 500 companies in merger or roll up or outright ownership? i would say there are number of research points that in the private market you tend to have more depth and understanding of and ability to work with individual companies to tailor needs for their lending outlook. if you think about public markets, if you are buying into an index, i'm not talking about active managers, i am talking about buying into an index. your subject to whatever is in

that index. in our market, each one of the loans that were originating, you are getting to know the borrower and the borrower profile. we have a lot of research on our return of platform around things like the real estate backing it where the health care company backing it. deeperth of research is because you can get into more idiosyncratic individual conversations with private loans versus participating in more public index deals. tom: meg mcclellan with jp morgan. on private money. bring that up again. this is the blended bloomberg dollar index. very good mathematics. i am sorry, this is a breakdown back to june levels with serious week currents. lisa: a lot of it is driven by the euro starting to strengthen a little bit further to those highs we saw, the highest yesterday since january 2019.

it goes to a fundamental question we have been talking about. can we see a weaker dollar and the stock rally continue indefinitely? the idea money continues to come into the united states despite the fact there is a risk on feeling and the feeling the rest of the world needs to catch up. index, theanilla dxy british pound 12% waiting. sterling out to a stronger pound sterling. that is worth watching. futures up 25, now up 20. lisa only looks at the bond market. the bond market is churning. a little bit of curve flattening. up, it is interesting organic sales growth. the headline captured my attention. the coca-cola company. they have unique challenges in this pandemic. they have unique challenges in product marketing. james quincy and the 11:00 hour.

stay with us through the day. a most eventful tuesday. this is bloomberg. ♪

♪ jonathan: from new york city for

our viewers worldwide, good morning, good morning. the countdown to the open starts right now with 30 minutes until the opening battle. equity futures up .7% on the s&p 500. we begin with the big issue. eu leaders reaching a landmark stimulus deal, setting up a 750 billion euro recovery fund and sending the european commission to borrow in the capital market. ursula von der leyen addressing the continent. >> europe has now a big chance to come out stronger from the crisis. today we have taken a historic step we can be all proud of. another important step remains ahead of us. jonathan: angela merkel echoing that sentiment, saying "we have come up with a response to the biggest crisis the eu has ever faced." joining me from brussels is maria tadeo. fantastic to catch up with you. we have an agreement.