france and germany look to lockdowns in a month. italy may be next. stocks rebound after yesterday's fallout. economists expect christine lagarde to signal she stands ready to act. blackrock's vice chair philipp hildebrand joy does this hour. prop -- profit mrs.. -- profit misses. market could the be good for trading. good morning and welcome to "bloomberg surveillance." i'm francine lacqua and london. tom keene in new york. we have a number of stories we need to look out for. lvmh and thing is tiffany, after it was on, off. opera oflike that soap a marriage breaking down and being revived by marriage counselors. it is amazing they are still buying and. about $400t was million.

reporting doing some on bloomberg news outside the old nike store. it is a pop up for tiffany's as they blow up their iconic fifth avenue 57th street shop. you wonder what the french will do with tiffany's. it's going to be fascinating. in new york, i know on bond street is a different layout. icons arese luxury within literally two buildings of each other. it will be fascinating to see where they are after the pandemic. francine: same here, tom. here it is bond street, and we talk about that segmentation, different jewelry categories for different segments of the population. always a good it did to buy jewelry. tom: i thought schlumberger a was an oil company. that's how dumb i was. francine: more luxury throughout the day, and politics. let's get to first word news with ritika gupta.

zeta hasurricane weakened to a tropical storm as it heads through the southeastern u.s., battering new orleans, left to million people in the dark, and left president trump to declare an emergency for mississippi. hurricane orfth tropical storm to hit louisiana this year. -- bank of japan stood trimmed its economic forecast for the current year. the japanese economy is expected to shrink 5.5% in the fiscal 2011. that is up .8% from the previous forecast. global news 24 hours a day, on air and at bloomberg quicktake, powered by more than 2700 journalists and analysts in more i'm ritikauntries, gupta. this is bloomberg. francine? tom? tom: we have a packed hour for you. it is important. there are some stunning distinctions in the data check this morning off the carnage yesterday, and it is

transatlantic, and he goes to the tension of christine lagarde speaking this morning. simply, germany, everything considered doesn't rebound. the dax is flat, in the u.s., futures up 28. i can say that about germany, and i would also note, to keep this short, german two-year yield, as jonathan ferro was mentioning moments ago, really is anannot get a bid, ever negative statistic. we will watch that carefully through the morning. francine: i am looking at the german ten-year bund. this is significant because you see a lot of banks putting out notes saying this will not actually move on the back of what the ecd be -- the ecb could do, but it will move on the severity of the lockdowns and restrictions in europe and in germany. the selloff really hit all asset classes, including gold, so i want to to look at gold, another haven, which is yen 104.24. joining us is steen jakobsen.

thank you for joining us. two questions. first of all, are we going to see more selloff days like yesterday, was it profit-taking, and why have we not been expecting this? what are the market so fearful about -- what are the markets so fearful about? steen: the second question i cannot explain because there is so much going on with covid-19 and the surge we have seen. the market is underestimating, they always thought the second wave would be less important and less of an impulse for economics. i think they are forgetting we are still living with the fallout from the first part with covid-19, so the compounding effect, although we will see less rigid measures this time, it is still a huge impact on the economy. ecb insay, it leaves the a very hot spot. francine: on the ecb, there is a lot of market chatter, the ecb rates stand more.

someone at ubs, paul donovan, said something that was an outlier but was very clever. you have governments trying to stop economic activity. why would the ecb at this point try to restart it? is it not up to physical to make sure that if you close the economies, people have jobs to get back to work when they reopened? that is an easy question to answer because central banks now take it upon themselves to be going for full employment rather than inflation targeting. maybe it is the fact that they have an inability to control the inflation, but what we have clearly seen in the terms of the fed is that they are leading a theoretical charge, which is that full employment is more important. that is the thing that will persuade -- and sort of the remit of lagarde is to make sure that the fiscal policy is enacted as a support to monetary policy. what is interesting is that the main article in germany today we don't know when the

ecb recovery money was going to come through. there is still no real transparency on how much and how everye fiscal impulse for country is coming along. and then i'm looking at my desperate measure during covid one, which was the $1.35 the distribution key was diluted, and even accepted what i will call poor quality collateral was given, and -1% lending rate. come on, they have -1% lending rate? the amount is thrifty. if that doesn't get the juice going for companies and credit, it will not work. that is what the banking sector showed yesterday. tom: interesting that you mentioned that with the copenhagen bank. what are your great charm -- you come from a trading background, which means you all that you are more acute about what is going on in the markets. how is this drawdown different

from september or even the more modest drawdown of june? what is the nature of it versus the other surprises we have seen along this bull market? responsee, the policy is, what are they supposed to do? what are they supposed to do in terms of the response function? they have done everything they can. the only thing lagging is money to the market. what is also interesting is that the market is the only asset that really works in these panic conditions, we used to belong volatility. we continue to see coming even early on, in the later part of the december drawdown, the volatility remains high, the mid part of the cycle, the curve remains very big. this indicates we have underestimated the compounding effect of a covid one and a covid two impact on the economy. tom: the way to get true demand

back, to clear the market by mergers, a combination in europe. is, and we need the banking union in place, we need a uniform fiscal policy. because what we see right now is a southwest divide versus the north during relatively fine. but if you take the banking data, i think it is very telling. tighteningitions 40%. but there was a drop of 60% of demand on the banking system. clearly not even giving money to the bank that is going to give and create money. tom, you are right, what we need is a different take, a different take, which is that you leave it to the government to do what they need to do and step up as a central bank because your losing integrity by continuing to play to the first question, which is what our governments even doing, trying to get the juice of the growth and the employment backup? does this mean

for german bund yields? does it mean what the ecb says, or are they just looking at virus? steen: they are just looking at a safe haven. they are a very small correlation to the actual data and the ecb. most traders think that the ecb is just stuck, and the reason that we hold bunds is that it is the most liquid, the deepest market, the best credit rating you could get relative to everything else. overall, we are buying buns -- german bunds because it is cash like assets. there were know people around saying more mothers should actually be portfolio managers, because if you have a young family, you know that viruses take hold in the winter months. coming up next, guy johnson speaks with the airbus chief executive, guillaume faury. that is coming up shortly, and this is bloomberg.

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ritika: this is bloomberg surveillance. yearer takeover, a record for chip industry deals. bloomberg learned that marvell technology is in agreement to buy -- they will pay 60% of the price in stock. cisconts microsoft and among its biggest customers. samsung elect -- samsung is warning that the third will decline. they blame that on intensifying

competition and weakening demand. in the third quarter, samsung said net income rose a better than expected percent. ofd is riding a wave earnings from new management. there is more demand in north america for pickup trucks. overseas markets are still a drag for ford. there were losses in china and europe. the company still expects to stay in the black this year, a reversal from an earlier outlook. that is the latest bloomberg business flash. francine: thank you so much. and a lot of the markets. we will do extra checks throughout the day. we are seeing a rebound with european stocks that could filter through u.s. stocks. gains are modest. record coronavirus infections in europe emerging across the world's biggest economies, and that has a lot of markets questioning what that means for future inflation expectations and future growth. i also want to mention credit

suisse, slipping after profit missed analyst estimates. and it is ecb day. richard jones -- to put it sibley, bunds are caring more about the virus impact than the ecb timing of the moment. you can see the german 10 year yield negative. tom: futures up 31, dow futures up 2.12. , south.t to note oil there is no other way to put it. brent crude down $.74, west texas down. euro-swissie, that is down. i want to point out the soap opera at the moment, i will say it is turkey, the turkish lira 8.31 on turkish lira. that is a weaker lire. we are going to regroup and come back with an extremely important conversation. is with airbus,

the chief executive officer. this after the difficult cash burn that boeing announced yesterday. guy johnson with guillaume faury. that is next. this is bloomberg. ♪

tom: bloomberg surveillance. from london, new york, five days before the election. francine lacqua and tom keene.

u.s. a lift, less so in europe. pristine lagarde later this morning. yesterday there was -- christine lagarde later this morning. yesterday there were some challenges, including boeing with a $40 billion revenue shortfall for the peak of four years ago. ebitda attended, 7000 layoffs as well. it is of note come on the continent of europe and particularly in toulouse, with the gentleman from airbus, our guy johnson. guy: it is the comparison, isn't it? relative to expectations, a good set of numbers. the company is saying in q4 there will be at least cash flow neutral, looking for something more positive. as you say, guillaume faury is the ceo of this company, the ceo of airbus, and he joins us from to lose. good morning. thank you for your time. q2 was tough.

it was really tough. q3 looks so much better. are you now comfortable with where you've got the company? have you weathered the worst of the storm? guillaume: good morning, guy. we are quite satisfied with the third quarter. we have delivered what we wanted to achieve, which was no longer burning cash in the quarter. that is what we have achieved, and we think we are in the corridor of expectations. that we have set for ourselves. so i cannot say the worst is behind us, but i can say that the plan put in place, the adaptation plan, is where we were expecting so far. talk about your biggest program, the a320, the narrowbody that drives the bulk of the world's airlines. at the moment you've got reduction at 40 and you are can going that you're going to

continue that until the summer of next year, then wrap up, and you're going to ramp up circa 47. what gives you the confidence to do that? your friends in chicago yesterday sounded quite downbeat, and they were talking about a new reality. why do you have the confidence to ramp up the 320 line? guillaume: we have a very strong product with the a320 family, and the demand before the pandemic. as we can see also be on the pandemic, he remains very solid. we have not been facing cancellations, and that is a very positive sign from the markets. 40 aircraft a month in terms of production. at objective was to converge the end of production, which is what we achieved in the third quarter.

we continue to stay at the rate, 40 per month, for the foreseeable future. ,e have now a supply plan wrapped up from 40 to 47 come at the beginning of the third quarter of 2021. it was earlier at the beginning of the second quarter of 2021, so we have pushed that point in time by one quarter away, and we have continued to monitor based on the backlog that we have today come in based on the contracts we have with our customers. this would require in the second half of 2021, we will keep monitoring. we are in a very dynamic market with the evolution of the pandemic, and we remain very focused. but short-term, we think this is the right one. guy: i want to come back to that dynamic approach you are taking in just a moment. which regions are giving you the confidence to be able to do this? is it all china? no, it's not all

china. you make a good point. china is recovering very well and is very strong at the moment. they are back to 100% of what it was in 2019 for the domestic flights. that is very positive. there is a combination of what we see globally around the world, and when we look at the other one, it is fast changing. sometimes with good news, sometimes with bad news. so we have to remain prudent locally. what comes for us is the overall markets, and the overall market tells us that the rate seems to forgain the right position the position of the airbus a320 family. you mentioned a moment ago the dynamic approach you are taking to matching production and deliveries. that is critical for the kind of cash flow story you have been discussing here this morning. how challenging is that to make

that happen? guillaume: it was very challenging, on the outset of the crisis. we are producing far more planes then we could deliver, and we are therefore -- we have inventories. , notre at 145 planes delivered by the end of h1. by the end of the third quarter. that is an important indicator of the situation, because what we deliver is now slightly more than what we produce. that is why we have reasonable confidence for q4. that is why we issued guidance eminent cash flow for -- for the fourth quarter. guy: in terms of limitations for production, are you anticipating any issues as a result of the new lockdowns being imposed? we saw the french president

speaking last night, the idea is that the factories and workplaces remain open. but as we work our way through the winter, do you see the further restrictions could impact production? we have learned to adapt to this new environment in the first phase of the pandemic. that was by far more brutal, and we had no time to adapt at the beginning, so we had to learn. we invented new ways of working, to be able to produce in a safe way. protecting the heads of employees. now we have this in place, and by the way we have maintained those measures even when the pandemic went down. we think we are prepared. the governments have well shown that they pay a lot of attention to make sure that industries can keep working, and therefore my most likely scenario is that there would be up and down in the measures to continue to operate in this more challenging environment, again, an

environment to which we have adapted. guy: let's come back to your friends in chicago, yesterday announcing fresh job cuts. is there a danger at this point, given your outlook, of cutting too much? you warned back in july, when the 50,000 job cuts were announced at airbus, that was not the worst case scenario. do you think that that worst-case scenario has now been taken off the table? do you think you can rule out for the job cuts? is there a risk if you did that, that actually you would not be able to come back when you need to? i think we have to remain prudent and humble. nobody can discard any scenario, given the complexity. this being said, we think we have taken the right measures, including when it comes to the job adaptation. we are implementing those measures now, and we are finding a lot of good ways of dealing with the situation.

in particular, on the 15,000 jobs, we are very happy that we can protect part of them with the long-term partial unemployment schemes that have been put in place in europe, by some governments, where we can maintain some key skills. to pay for it in the pandemic. but those people will stay be with us -- will still be with us when we are ramping up again. it was very difficult in the ramp up to find this people, to find those skills, to train people, and it is important to retain some of them. with, what we see in 2021 help things play out, we think we are positively geared for the moment, and now it is all about the execution. guy: i have heard you say time and time again that tariffs are a lose-lose. how important is the election in the united states going to be to airbus? would a biden win make you more

optimistic that the tariff dispute between the united states and europe could be resolved more amicably and more quickly? what makes me very optimistic that there will be a resolution moving forward is the wto, which proves what we were saying, that there were illegal subsidies on the -- this is clear that the e.u. has obtained the right to put tariffs on up goingbillion of goods from the u.s. to the e.u., and this is a way to rebalance the situation and to come to a de-escalation. we think that is the major reason that will drive the evolution of that dispute. as you well know, sustainability is a touchstone for investors. i understand that boeing is now shopping a new conventional aircraft. you have come out with plans for

three hydrogen powered aircraft. do you think -- how confident are you that the next airframe that airbus produces will not be a current generation aircraft, and it will be an aircraft that is powered by an alternative source of energy? >> we think we have the privilege to have four modern platforms. 82 20, the a330, and a350. we keep modernizing those planes so we will be more and more friendly. when we look at the long-term future, we believe in the need and investing big time in the -- and we are putting our money where our mouth is. always a pleasure.

thank you very much indeed for giving it to us. that is the ceo of airbus joining us tom:. tom:interesting guy to see -- join us. tom: interesting guide to see. notincome statements are that much different in terms of being hammered by the pandemic. guy, inform our waking american audience of the government support for airbus. boeing doesn't have that, do they? this is the genesis of the entire wto, one side claims there was airbus getting into claimingbody market that boeing got subsidies via not loans but military subsidies. ruled onary -- the wto

that slightly in favor of boeing but in favor of both sides. theory, we- in should approach some resolution. it will see if the outcome of the election has a material impact on that. the wto ruled both sides -- tom: you're an expert on this. my major travel issue is to they have all of its onboard or not and you are into the airplanes. there is an uproar about the ,etirement of the boeing 747 finally putting it to bed. is there any romance about the airbus design? guy: i'm a big fan of all of them. i think the 747 is a decent airplane. 747 will continue to continue. they are retiring the older ones, but will can you to operate the 747. if you want to fly to this part of the world, you will have to go frankfurt if you're looking

for a 747 flight. the 747 was built an awfully long time ago. the 747 was designed very quickly, one of the most beautiful planes ever built. and guy johnson with airbus quite knowledgeable about this air travel we see worldwide. here is ritika gupta with our first word news. ritika: it's the fifth time this year louisiana was hit by a tropical storm. zeta came a storm -- came on shore before heading into -- intosoupy mississippi and alabama. the former chief of staff at the wholemeal -- homeland security department says he is the official that wrote an op-ed in book riddick on the president.

those under the byline are anonymous. while he resigned from the agency back in 2019 area angela merkel defended the decision to severely restrict movement. she told parliament the country is in a dramatic situation with the rapid spread of the coronavirus. starting monday, germany will oppose a month-long parcel shutdown. taiwan achieved a different record in terms of the coronavirus, 200 days without a locally transplanted ace -- locally transmitted case. relied on strict border control, contact tracing, and mask. global news, 24 hours a day, on air and on "bloomberg quicktake," powered by more than 2700 journalists and analysts in more than 120 countries. i am ritika gupta in this is bloomberg. printing: up next, -- francine: up next, we talk about these

lockdowns and what it means for volatility going forward. we are going to be joined by the blackrock vice chair. this is bloomberg. ♪

>> lockdowns are unfortunately atopic again. in most countries, there will not be hard lockdown like a will, but the impact on the economy is certainly not going to be great. on the other hand, in most jurisdictions like switzerland for example, people are focused to keep restaurants open, stores open. it's a bit too early to say.

we are prepared for it, but one means more volatility in the market, which is not necessarily bad for our business. >> that was an official on preparing for new lockdown measures. the swiss planet -- the swiss businesses were worse than expected. they did say they were targeting a buyback for january. let's talk about banks, negative rates, and the u.s. elections. we are delighted to be joined by the blackrock vice chair. a fellow, thank you for coming on. we always value your insight. it's always a little bit for and take to what we hear otherwise. when you look at the market now, it is a blip or are they catching up with the economic reality that will be in these

restrictions, lockdowns, quite some time? good morning, francine. i think it is all driven ultimately by hospitalization rates. that is what the market is focused on. it is clear that, once again, the health aspect of all of this dominates, economic policy follows, lockdown follows, infection rates -- phillip, i think were having a couple technical difficulties. we will try to reestablish the connection. it's easier to do these interviews in person, but at the moment, we cannot. if you look at the markets, there were a couple things we were talking about. one is what is driving that. also, we are expecting to hear from christine lagarde after she

was optimistic back in september about the path ahead. i don't know if this changes anything. for philippstion hildebrand is whether central banks at this point can do anything at all. francine, you're an expert on this and this comes back to an attack on the city in the mediterranean. i think we are seeing a second terror attack in these moments ago. this comes at a difficult time for the president of france. this comes at a difficult time for relationships with turkey. we don't know what the perpetrator -- who he is or the attacker is, but we found out that it was an attack with knives next to a church. we are looking at twitter, sources on the ground, and it seems it is a terrorist attack. i do not know if it is linked to

the beheading of a schoolteacher in france. that happened about 2.5 weeks ago, but we heard from the interior minister of mance -- of france saying a police investigation is underway. it could have repercussions on the relationship between france and countries that have called for the way france is dealing with muslims as not effective and appropriate. that came from the president of turkey. tom: this is a developing story and we will have much more through the morning as we attempt to continue with dr. hildenbrand of blackrock. up 166.res stay with us. this is bloomberg. ♪

francine: this is "bloomberg surveillance," tom and francine from london and let's get back to phil hildebrand from blackrock. we have a number of things to ask him including the lockdown and the impact on the markets. good morning again. when you look at the market and the selloff yesterday, are they

worried these restrictions or lockdowns will last much longer than we thought? what are we worried about? philipp: first of all, it is clear the hardest part of this recovery is ahead of us. far, theave seen so easy bit. it's a killer early it is the hospitalization rates, that will drive the perception of how many several lockdowns we have coming down and what kind of lockdowns we might see. it is once again the paradigm we saw in the spring where the public health system dominates or drives policy around locking now restricting mobility to the economy. hopefully, we can stay away from full lockdowns, but we will see restrictions and hospitalization rates. francine: in this environment, what can central banks do? if we are trying to slow down economic activity, stimulus from the ecb would do what? philipp: first of all, they have

done an enormous amount, and they will continue to do whatever it takes, but i think the emphasis here is around fiscal policy, both to support the economy would also transform it, then manage the health aspect. first and foremost, this is a public health support and transformation of the economy story. monetary probably -- monetary policy has done an enormous amount. they will do more if they need to but the real story is around the health and structural policy of transforming the economy. and off of the eiffel tower across the sand, there is a small institution called the oecd that helps economics and on the global inscape they represent 1.3 billion people, you are being vetted among others -- people. you're being vetted among others to take over and drive that

institution forward. tell us how switzerland fits into the oecd, as a nation of sentries of neutrality. is that part of the discussion of who the next director will be? philipp: that would be left to the countries, but i'm very proud to now be the candidate for switzerland and has so -- switzerland, and have the support of the government. if i were to be appointed for there for allre countries not just your own country. switzerland is a founding member of the oecd and has been very engaged with working groups and committees. i used to attend meetings myself and share one of the committees. it's clear for any small nation, multilateralism is incredibly important. transparency is important, openness is important, and the oecd will be in critical spots, as we need to transform the

global economy and address these long-term changes, once we emerge out of covid. most importantly, i think climate changes first and foremost the challenge. tom: i think your point on that. part of this, doctor, is the idea of making it more inclusive of 1952 where india is tentative about being part of oecd. what would be a mandate or way to make the oecd more global? philipp: i think the oecd has been on an expansion course and rightly so. at the same time, it sets certain standards of democracy i think it's, and important to maintain those

and have a plan for the long-term. i think on hell has done that has done that well. global cooperation is on the back foot. it's important we we -- it's important that we reinvigorated. it's good for growth, and therefore i believe the oecd will be in an important position in the years to come. francine: on the oecd, one thing we have heard over and over from angel is the crackdown on tax havens. is that really the best use of the oecd if we do not have commonality or if people can't do much with it? philipp: i think the tax haven story is a story of the past, past history, particularly the story around private banking secrecy, which was an important piece in switzerland. the country is fully compliant with current oecd standards,

full information exchange, procedures and plays. i think the real challenge going forward is fair and equitable taxation of global and digital companies, where our national tax systems are clearly lacking. the world needs a new global framework for the digital age. if we don't get that, countries will run in their own directions often in conflict with each other and at will undermine global prosperity. that will undermine global prosperity. francine: what do you expect for the u.s. election? not the turnout or who wins, how much volatility can we see into the lead up in aftermath? philipp: the market remembers four years ago when you had an enormous amount of volatility. i think the challenge years and we have very different outcomes, very dependent on not just the president but also on the senate. this isthe outcomes -- a very consequential election in

so many ways, but also in terms of financial markets. you think of the fiscal piece, the transformation, addressing climate change, these are very -- you will have very binary outcomes, particularly depending on where the senate goes. tom: i was talking with our eu banking team, and it is a delicate question. and i'm grilling you on this not informer head of s&p, almost asset management and not banking. -- muchs much worth's worse pandemic of october, in true point of consolidation in eu banking, are we had a point where ratios are untenable and we finally need to see cross-border consolidation? we do need a unified european banking market. i've argued this for years and i think that is clear. that is a very important piece

still missing. steps are gradually being taken, but it is too slow. until european banks have the ability to be clear about operating at scale across europe, they will be at a tremendous disadvantage. so yes it is coming and it has to come. there are still obstacles as you know, and it is critical for european banks to consolidate and ultimately operate at scale, particularly given the amount of investment we will have to see on the digital front. that alone requires to be operating at scale, and you can only do that if you operate across the european union. banking union is critical for the future of the european union. tom: do we need a little clearing of markets? are we finally going to either take losses that can literally go back 13 years, or are we going to at least restructure and expand duration, lower

interest rates, and do some sort of cram down to clear the debt and debris away to get to a better productivity? christ always accelerates things. that is true of covid. -- crisis always accelerates things. that is true of covid. if you look at european banks prior to covid, something in the structure of the european banking market is not right. is happeningis anyhow. covid will probably accelerated. we will see the losses down the road. i think the key is the political system puts in place the right structure and incentives for banks to be able to look at a scalable, comprehensive european market. francine: overall, our european banks sanguine about the environment? we are looking at lockdowns but we are talking about resumption

and share buyback. do they also need to put aside more money for bad loans like the u.s. banks? philipp: i don't think they are sanguine about it. i don't think global news, 24 hours a day, on air and on "bloomberg quicktake," -- i don't see any buddy that is sanguine. ultimately, it is the cumulative loss of gdp that will determine how big this impact will be and how big a potential impact on the balance sheet would be in terms of losses going forward. is the hard part of the recovery. the number one priority right now has to be to get these hospitalization rates, and infection rates down. can achieve that, and i think the measures taken by the french, german, swiss, and other governments in the last few days can do that. if we can do that, i remain optimistic we can prevent this terrible health crisis for mutating into a financial crisis, which was the part that was so terrible in 2008.

that is the key, and the measures being implemented as we speak in europe will hopefully be constructive in this regard. so this is not a total lockdown. i think it is important to indicate that. the authorities have learned from the spring, and they are trying to keep as much of the economy open as we reduce mobility and infection rates, and improve the situation in hospitals. francine: thank you so much for joining us, philip hildebrand from blackrock. our viewersring up and listeners up-to-date if what is happening. this happened 15 minutes ago, a knife attack. i think we are looking at live pictures. the antiterrorism prosecutor's office said there was an investigation open into an attack with a possible terrorist connection but has not been confirmed. the motive of the attack is unclear, but france has been

under alert for islamic extreme terrorist attacks amid tensions muhammadophet caricatures produced by a paper. those are live pictures coming as we speak. off from theed basilica of the notre dame, the history of this is remarkable. this is to the southeast of france on the border, frankly a territory that francine know so well. this was not part of france until the 19th century. this basilica where these murders took place was built .nly in the 19th century francine, what is so --cinating, it was do we perceive in the modern age of this being part of france, or is it a little separate way down the mediterranean? francine: it is 100% france.

to my hometown, about 2 hours drive from northern italy. it was unified very late. at the time, it was part of italy and not france, so this is very much part of france. one of the concerns is this could be linked, so we are speaking to reporters on the ground. this could be linked to threatening conditions spread out on social media and the last couple weeks. tom: a second set of murders, we will cover this as all of france and mr. micron react. futures up 24, this is bloomberg. ♪

marketss morning,

stabilize. they hold onto a bid, but the dax in germany struggles. american markets do better. --s one's frank, the dollar the swiss franc, the dollar shows instability. we need to hold on, says the menu micron. hospitals, they fill. be mortality rate lower than in spring. go, biden antron, they recalibrate their separate messages into the weekday. good morning, everyone, "bloomberg surveillance" from new york and from london, francine lacqua and tom keene, and an extraordinary newsday. a mediterranean and another terrible set of murders in that city on the mediterranean. francine: yeah, tom, this is a developing story, so i want to be careful what we tell our, you know,