>> good morning. this is bloomberg daybreak: europe. stocks push higher after a nasdaq record as the tech rally continues. pfizere news for a vaccine serves as a tailwind as jobless claims increase. joe biden says he will end the quote darkness.

he promises to support working-class americans and reform the tax code read michael pompeo notifies the u.n. of demands to reinstate sanctions against iran while slamming european allies who oppose the move. good morning morning and a warm welcome. there is a lot for investors to digest. hope in the vaccine front. a rise in joblessness. the tech sector is pushing stocks. ms asia-pacific up 1%. z --q futures, up near nearly three point -- 0.3%. joblesset shrugging off claims. tech is the right spot. dollar index under some pressure. 10 year yields, pretty steady.

that is what is going on between asia and the futures market. now to politics. joe biden has accepted formally the democratic national nomination to challenge president trump. vote for aericans to new leadership that will overcome local division in the the current> president has -- american darkness. too much anger, division. wordand now i give you my you can trust me with the presidency, i will draw in the best of us, not the worst. i will be an ally of the light, not the darkness. it is time for us, we the people, to come together. make no mistake. united, we can and will overcome the season of darkness in america.

>> that was joe biden, the democratic nomination for beendent kailey leinz has tracking this. staying up late. you rune waking up, can us through the main themes from the speech this evening? thate biden emphasized theme of light versus darkness. it was arguably the biggest moment of his political career, which has expand nearly five decades. starkd it to promise a contrast to president trump read even though he is a democratic nominee, he wants to be an american president. painting the picture of a country at an inflection ointment retaking direct aim at , saying he has failed the american people. leiden focused on the pandemic

in particular, going after trump for what he called a failure of leadership. he laid out what he would do day one in office. he said it would include a national plan and mandate as well as rapid testing. i would say there were some speeches -- questions about his ability to deliver. he is not known as a great orate or. he was able to give a relatively stirring and emotional speech in the last night of the democratic convention read >> a lot of people, especially in d.c., are saying he really passed the bar in terms of the trump campaign made it sound like there would be issues with his speech. we also heard from other speakers. what was their message? >> a lot of the speakers were his former competitors. running against him. buttigieg., peter

michael bloomberg. they are trying to show they are rallying around their nominee. a coalition of moderates and progressives, trying to bring back some of those swing voters. trying to bring those people back into the full. -- fold. does a trump campaign do next week? what is going to be their strategy after the dnc? >> the dnc spent four days coming after the president on the economy. they are going to have to flip

narrative, focusing on the strength of the pre-pandemic economy and the recovery. the dnc has prerecorded speeches, he was not happy with it. there may be more pomp and circumstances in store. with going to coincide president trump's acceptance speech. >> thank you for joining us this evening. we should note, michael bloomberg is the founder and majority shareholder of this network. i want to get to janet. she is a director there. quickly, i am not sure if you woke up early enough to hear the speech. he did talk about tax cuts. takeaway frommain biden's speech?

think he is making himself stand out from president trump's policies. president trump is a supporter of tax cuts. posing tax raises for especially the wealthy. should appeal to his voter base. he is opposing to raise the so that seemsrate to be a bit more unfriendly to businesses and there would be more regulations on for example pharmaceutical companies. antibusiness than trump rate it would be difficult to implement all of these in a struggling economy. i think ultimately these

fullyes would not be implemented. >> what assets are you going to be watching as we head into >> it is still -- who is going to be in the white house. put adifficult to strategy trading in the outcome. what we think is generally speaking, we could still have upside no matter who is in the white house. moreally for trump, he is friendly to businesses. up ifrket could still go he is in the white house. biden, a unified democratic government, that makes it fickle for stocks. also, as a nation, his priorities are raising corporate

taxes. potentially, there could be some correction. be aink there should still buying opportunity. house,'s in the white there will be more fiscal stimulus and that will be positive for the economy. some of the antibusiness policies like raising taxes, that may not go through because of the difficult economy. >> is it more worrisome and terms of the democrats having a full sweep of both houses of congress? three,were to have all you could really have regulatory changes. is that more scary for the markets? >> yeah, absolutely. if you analyze the historical market data of whoever's in the

white house and whether there is a unified government, history shows a unified government is more negative for markets. that is a risk we are watching. i think the situation is pretty different from history. there are racial issues, social divides. unprecedented in modern history. that is a difficult situation for any president in the white house. any aggressive policy or agenda would be a bit more moderate. >> keep those thoughts there. i want to dive into what we are seeing in the tech space. thisour first word news's morning. the u.s. has handed the u.n.'s demand to reinstate global

sanctions against iran. michael pence pale -- michael pompeo hitting out at european allies. back, saying the u.s. is attempting to mislead the world. brexit are deal on fading. sources say british negotiators sought to break the deadlock. agreementtted a trade based on what they see as common ground, but it has not led to a breakthrough. belarus's's -- authoritarian leader is rebuffing efforts to -- i was hasr lukashenko -- he refused calls from western leaders. lukashenko is hanging on after a crackdown on protesters. federal reserve officials are are calling-- they

in the senate to reject her nomination. it says her views are so extreme and oh considered, she would be a distraction. blinder.nclude alan global news, 24 hours a day. powered by more than 2700 journalists and analysts. tech shares continue to drive gains. the nasdaq hitting a fresh record. this is bloomberg. ♪

>> good morning. this is bloomberg daybreak. molly shares rose after fool recommended buying shares retailer.nese

juliette saly has more. what is going on? >> we saw that call coming davidh from motley fool's gardner. the shares have raised to a record today. call.ing this essentially saying the call business is booming and jd.com has unmatched ability to deliver goods. there topgave out five reasons to buy u.s. shares. let's have a look at how jaded m is comparing to alibaba. the revenue cap is growing. move in alibaba's growth. boxaba is the white

impaired to jd.com. jeffries thomas chong saying he maintains a buy on the stocks. he has raised the price target for u.s. shares, to $314. 21 buys, one hold. just to add to the overall text value willng outperform growth long-term. japan.ooking at asia x >> 21 buys. thank you so much. janet, i wantis to pick off where jules just left in terms of value outperforming long-term in growth. if you look at this chart in the bloomberg, you can see growth outperforming.

zoom, peloton, shares skyrocketing. does value have legs to run? thee don't think environment is favorable for value stocks yet. if you look at the circumstances favoring value, you need a very strong economy. near the kind of strong growth that would support value stocks. numbers are still quite high. i think based on the environment, it would not be supportive of that. interest rate is a very important driver for value stocks. we are going to be stuck in a low interest rate environment would not just u.s. but globally. verynk that will be beneficial to growth. that is why you are seeing so investorows and retail

interest in growth stocks. i don't think value is going to outperform growth anytime soon. >> you are also overweight u.s. equities. why show that? we have actually intrigued u.k. equity exposure early in the month. somee there has been progress in the european economy. out short-term basis, it informed the u.s.. euro has been stronger. after the recovery fund has been investor there is more interest in this region.

that is going to be used for a long time. there is some support for that growth story. especially china, where growth is not a price. it is more oldest and terms of exports to china. >> i wanted to ask you about inflation. expectations are rising rate if you get the breakevens. about thehey talked worry of disinflation. is it premature to have this debate? bit think it is a premature. we are not worried about the inflation in the short term, although you do see that. the u.k. has been picking up

everything is because of the basis -- i think it is worth having that discussion read ultimately, if you are a long-term investor, you do have to make your plans regarding that. we think longer term, inflation could emerge as a problem. beinge so much money thrown into the system. it is going to be quite inflationary in the longer-term. we have such a big output gap. we are looking further down the line. see more people foreople are planning ahead

the future and not necessarily caring about the risk of inflation in the near term. >> some may roll their eyes, but is it possible to start worrying about stagflation? look at these unemployment numbers in the u.s.. we saw them go higher. the economic recovery is going to be bumpy. >> in a worst-case scenario when the economy has a more permanent could be an it issue. we are still in a nation to recovery. the data can still be quite fluctuating. people focus a lot on the initial jobless claims. it is disappointing to see it is above one million, but these are weekly data. what we think is the economy is

still in a recovery stage. we think the third quarter, fourth quarter of gdp should be strengthening and double digits. it is too early to be too pessimistic for now. joblessooking at these claims data, there is a lot of improvement in the data that is encouraging. it is already back to pre-covid levels. thinka bit pessimistic to we are going to be in a stagflation where meant. with the glass half-full. thank you for your optimism. the u.s. on a collision course with u.n.. and demanding the return of sanctions against iran. we discuss that next. this is bloomberg. ♪

good morning. this is "bloomberg daybreak: europe." return. is amending the of global sanctions against iran. like pompeo formally handed the demand to the u.n. yesterday. several members say they remain committed to the deal that eases sanctions on iran. as the u.s. seeks these sanctions, the islamic republic unveiled new missiles. they announced a ballistic missile named after general solemani. let's get more on this. to guru when it comes geopolitics.

this does seem to be dividing the u.s. and its allies. is it likely this could ever go through in the security council? >> we can say from the immediate response from the your ends and others that they all were opposed. embarrassingite results where they try to extend indefinitely an arms embargo. of all the members of the security council, only one voted alongside the u.s., china and russia vetoing it. there is a response of negativity to the u.s. move. they say the u.s. walked away from the iran deal and 2018 so can it still be a participant? they say it is important to keep the deal or some semblance of it alive because you want to have the ability to monitor iran.

the immediate reaction from the rest of the world is no. of course, the fundamental thing here, the heart of it, is the fact the republican party would like this deal did. problem atses a big the u.n. and it is collateral damage, so be it. >> how is it received in europe? is it being taken as possibly this is rhetoric for the november election? >> it comes against the backdrop of four years of sustained criticism by the trump administration. france,arly germany and saying that is not going to be enough to contribute to collective defense. they have not done enough in trade. europe is used these comments, whether from donald trump or michael pompeo. it has contorted to an unwinding

of the alliance. you can see how that is going to play out no matter who wins the election in november. plex thank you for your time. we are going to discuss the d&c next. this is bloomberg. ♪

annmarie: good morning from bloomberg european headquarters, i'm annmarie hordern. -- stocks pushre higher. the tech rally continues. positive news serves as a tailwind after u.s. jobless claims also unexpectedly increase. joe biden tells the democratic national convention he will end the darkness.

to support working-class americans and reform the tax code. u.s. secretary of state michael pompeo formally notifies the u.n. about re-imposing sanctions on iran while slamming european allies who oppose the move. a lot going on in terms of the market. unexpected rise in u.s. jobless claims. we had this tech rally and this potential for regulatory approval in october. what would a vaccine mean for the markets and the economic recovery? up.aq 100 futures we had the fresh record yesterday. a lot of stocks, all the stay-at-home names still getting momentum. the bloomberg dollar index is up this morning. price action, politics, that was the big news overnight. joe biden has officially

accepted the democratic nomination to challenge president trump in november. he urged americans to vote for new national leadership that will overcome divisions. of thell be an ally light, not the darkness. as president, the first step i will take is get control of the virus that has ruined so many lives. and understand something this president has not understood from the beginning. will we finally wipe out the stain of racism from our national character? i believe we are up to it. i believe we are ready. it is long past time the wealthiest people and the biggest corporations finally paid their fair share. we can and we will deal with climate change. isis not only a crisis, it an enormous opportunity, an opportunity for america to lead

the world in clean energy. make no mistake, united we can this season ofme darkness in america. annmarie: joe biden. now joining us is the director of the center of u.s. politics at university college london. another american in london. the view from d.c. i have been seeing is that biden has met the moment. they say it is one of his best speeches in politics in decades. he went for this presidency in 19 72. it is a momentum moment for him. to trump set the bar too low for biden? >> as one commentator said, it looks like donald trump is actually going to have to face off against a real candidate and not a caricature he has built himself. it is possible that by setting

the bar so low and biden by all accounts doing extremely well last night in his speech, that it is going to make it even more of an uphill battle for him. conventions are all about fostering unity, bringing the creatingether, enthusiasm and articulating a consistent and coherent narrative for the campaign. i think biden's speech largely achieved those objectives. it avoided any topics that might highlight underlying risk within the party and it kept a fairly relentless focus on the main goal, denying trump four more years in the white house. annmarie: that was clearly the message over the course of the entire week. a lot of unity in this party is what we are seeing. will it fade as the election campaign continues? we see typically what coming out of a convention is a few percentage point pump. so that does eventually dissipate.

whenever we going to next month with the republican national convention, it is likely donald trump will get a similar bump. a lot of experts think these conventions by and large don't have a huge impact, but i think they are important substantively forgiving voters a reintroduction to these candidates and ensuring that the choice is very clear between what the democrats and republicans stand for in this case. bigarie: as you said, the message is focused on president donald trump. , what policygo on should the democrats be aggressively complaining on? -- campaigning on? thomas: that is a good question. in many ways, i often feel like they want to make it more about character and fitness to lead rather than about specific policies. that are some policies achieve broad consensus within the party. gun control, climate change, and

end to some corporate tax cuts and so on. i think those are big themes that democrats and joe biden will hit as we get further and further into the election season , but by and large, i do think the democrats just want to make this about a referendum on trump. they want to make voters ask themselves, are you better today than you were four years ago? they are hoping for many americans that the answer is going to be no. annmarie: i wanted to ask you because every day we get these back and forth trade headlines between beijing and washington. what does a biden presidency look like in terms of relations with beijing? thomas: that is a really great question. i think one of the ways to answer that is that we just don't know. most consensus in washington is that joe biden would be more likely than not to roll back some of the tariffs against

china. if anything, if there is one clear difference between biden and trump it would be that he would be more likely to give a degree of predictability to the markets. one of the criticisms of donald trump is that he kind of imposed tariffs in an ad hoc way. he did not really outline a long-term strategy for how to deal with beijing. i think we would see a lot more moderation and rejecting out of what the long-term plan is if joe biden is selected. annmarie: the next thing to think about is the rnc. i was looking at the consumer comfort. america is a consumption economy. feel theys actually are more likely to go out there in terms of spending as opposed to democrats. do you think this election is going to be won by republicans that cross over the line to biden? who was his audience today? where do you see that relationship fitting in in terms

of republicans who are willing to maybe take this chance and vote democrat? thomas: that is another great question. i really think that biden is trying to take a big tent approach. he really wants to convince moderate voters, he really wants to convince middle-of-the-road voters, he wants to convince some voters that he better represents their values. by contrast, trump has really doubled down on the strategy he has taken since day one and that is to mobilize his base, galvanize 30%-40% of the population that has been with him since the outset. i think that is a risky strategy and that is one reason why you see joe biden with a fairly significant lead in the polls right now. right now, biden enjoys a roughly 8% lead in the polls. i don't think biden is taking anything for granted and that is

the message party leaders emphasized repeatedly over the last several nights during the convention. annmarie: this convention was very different because it was virtual. i noticed they kept a tight shot on biden. kamala harris accepted the nomination, there was this very long almost deadly pause and i quickly looked up and remembered we are in the middle of a pandemic. these rallies for president donald trump in 2016 crucial. how is he going to perform virtually next week? thomas: i think that is a great question. as you know, for donald trump, one of his marquee elements of appealing to voters is being in these large stadiums, talking to voters in very large numbers. it does present a challenge for him logistically because that is

where he most connects with voters. that is where he feels most comfortable. i think that that is a disadvantage for trump simply because that is more of his style. i think joe biden is probably comfortable in these smaller venues. i think he did just fine in a virtual setting every it i think that could affect the dynamics of the race in a real way. annmarie: i've seen a lot of people talking about the fact that the democratic national convention was very diverse. we have the first black and southeast asian women as a vp pick. even joe biden speech, he took from irish poet shamus haney, but also halep acre -- ella baker. how is the rnc going to look in terms of diversity next week? i thing we actually lost thomas. we thank him so much for his

time. , another u.s. politics american in london. we are going to stick with the u.s. and go over to new york with what is going on in terms of the postmaster general, louis dejoy is set to be questioned. that is as he has become embroiled in a political fight between the democrats and president donald trump over voting and integrity about the election. we are joined by our bloombergquint take reporter. why is the mail service cutback so contentious? >> you know, this year, we are expected to see voters voting by mail more than ever before of course given the pandemic. president trump over the past few weeks has really waged a war over voting by mail and tried to come out and say that voting by mail is in some ways fraud or it is not what people should be doing. that coupled with the fact that louis dejoy, who was also a

former trump donor, came out earlier this year and made several cost-cutting measures to the usps, including limiting overtime work for workers has really put him in the middle of a political fight between democrats and president trump leading into november. multiple speakers this week at the democratic national convention came out and tried to reassure voters that voting by mail is ok and that there are no errors they have seen with it at this point. notably, president obama came out and directly made an appeal to voters saying, do not let them take away your power. i thought it was interesting the democrats are trying to hone in this message and still over the next few days, it will be telling what we hear from louis dejoy. house speaker nancy pelosi has called back house democrats for a rare session to vote on additional spending for the

usps. president trump is not happy with the timing of these hearings we are going to hear. notably, he had senate majority leader mitch mcconnell in a tweet, wondering why he would allow these hearings to go on on the first day of the republican national convention? we will be paying close attention to this given the unprecedented numbers of voters who are going to be voting by mail this year. annmarie: on saturday, maybe we will get some information regarding the potential next release stimulus package. quicktake is going to be all over this. what are we expecting for the rnc? jennifer: it is really interesting to see what we are going to anticipate from the rnc? i anticipate it will be drastically different. the details are still trickling in because president trump was holding out hope to have many in person rallies or crowds, which he is so much use to, but

eventually had to decide on the fact to do this virtual convention. of the speakers we know, there are several rising stars, including nikki haley, senator tim scott, then also some unconventional speakers like the missouri couple who waived at peacefulons protesters earlier this summer. and also, the high school student who made a knowledge -- a lot of national attention for getting into a confrontation with native americans. i think we are really going to see a strikingly different tone. president trump has been watching the dnc very closely this week. he has been tweeting about it nonstop. he has said he wants to do more live than pretaped packages. he also took the unprecedented step of wanting to accept the reelection nomination at the white house, which is not something we have seen before. it is something many people have

expressed disagreement with. we will really have to pay to how the republicans compared to this message of unity we saw from the democrats. i've been reading a lot about how president trump might mirror his own speeches to what we heard from him back on july 4 at mount rushmore. he said he is the president of law and order and wants to continue to champion safety and security for americans. it is going to be something we have to watch really closely and that is something we will be doing on quicktake. annmarie: thank you for joining us, staying up late in new york. coming up, we look ahead to the federal reserve chairman jerome powell's speech next week at the annual jackson hole symposium. this is bloomberg. ♪

annmarie: good morning. this is "bloomberg daybreak: europe." i'm annmarie hordern in london. a good job done keeping markets functioning -- take a listen. >> the lesson is that the fed was unwilling to take prophylactic steps to stave off the global financial crisis in 2008. there were a lot of things the fed could have done that would have made the impact of the global financial crisis a lot less devastating. they learned from that. very quick to pull the trigger here to get the markets liquid in march. i think that was a great move. i know there has been a lot of criticism about the fact that it bailed out the banks. the reality is like them or don't like them, the banks are a critical supplier of liquidity

in the market. if the liquidity in the market freezes, all bets are off. i have to praise chairman powell and the fed for doing the things they needed to do to maintain some market functioning while this thing played out. then it is really up to the fiscal policy. >> i want to bring us back to the election. it is the biggest thing people will be talking about once they come back from labor day area what is the biggest concern your clients have as we approach november? jeff: i think people are talking about it now. we have been encouraging our employees to take a week off. it is really hard. i think we are in the throes of it already. people are expecting to come back after labor day. how are you not focused on the election now? to focus onnd places where there is remarkable consistency. sentiment is embraced

as bipartisan. job creation domestically. that is a republican and democratic tenant. that willndustries create american jobs. there may be some disagreement, but they both want to see jobs. republicans tend to be focused on the industrial sector. be mores tend to focused on sustainability where we can create new american jobs, focused on climate change and other things like that. when you look at it, there is an intense focus to do the things necessary to get americans back to work and that is a really positive element regardless of it. people can focus on the differences. i think they are largely rhetorical and political. i think there are very large social differences. it does not matter who is in the office. this is a problem that needs to

be solved. there will be increased stimulus. >> how is business? what is your visibility in the back half of the year? jeff: business has been pretty good. it is a function of the fact that our clients have chosen finance. some new businesses have emerged. way for a lot of private companies to access markets. sensation 25night years in the making. now, they are the flavor of the month. we have chosen to focus on those. it turns out those are good businesses to be in in this type of environment. i don't see that changing anytime soon. i certainly don't see it changing whether it is a republican or democrat in the

white house. i think at the end of the day companies need to make sure they have the resilience the two operate as the crisis goes on and the best way to do that is to have access to capital. coming up, football in focus -- or soccer, depending on where you live. howlubs bleed to billions, some are looking to profit. this is bloomberg. ♪

annmarie: good morning. 6:55 a.m. in the city of london. this is "bloomberg daybreak: europe." sports are no exception to the pandemic. finalsek, the european may be taking place behind closed doors, but the allure of

the game still excites football fans around the globe. joining me to discuss is david hellyer. me.k you for joining what kind of game can we expect in the middle of a global pandemic? >> kit will be a very competitive game. it will be strange because there won't be any fans, but we are kind of getting used to that. two very powerful, very financially strong teams, but quite different in a way. qatari's.ed by the a huge amount of money has been invested in the team. two players cost 300 million more than the whole of the bayern munich team. but bayern munich is no minot. it is the top club in germany. it runs away with the german competition each year. in terms of how the

game will continue to change, when will we see fans back in the stadium? david: i did not quite catch that. annmarie: how is the game going to continue to change? i'm thinking, when can we go watch another football game in person? david: i was quite excited yesterday because in scotland they announced that september 14, they are going to start letting fans into grounds. there won't be many, something like 15%. these are baby steps. we are all learning, aren't we, to live with covid? prospect of the allowing some fans back into the game, into the grounds is exciting. annmarie: thanks so much for joining us on the foot all beat. that is it for "bloomberg daybreak: europe."

european open is up next. .&p 500 this is bloomberg. ♪

anna: good morning. welcome to "bloomberg markets: european open." i'm anna edwards in london alongside matt in berlin. matt: good morning. the markets say it is just a pause, not a change in direction. stocks and futures continue to rise despite an unexpected it again in u.s. jobless claims. european pmi data is due out this morning, asel