head to aerotrainer.com now. now it's your turn to lose weight, look great, and be healthy. get off the floor and get on the aerotrainer. go to aerotrainer.com, that's a-e-r-o-trainer.com. manus: good morning from bloomberg's middle east headquarters in dubai. it is "daybreak: europe." nancy pelosi says the house will move to impeach the president again, unless mike pence invokes the 25th amendment to remove him from office. the equity rally positives after the u.s. stocks hit a record on friday. on the vaccine front, the u.k. ramps up the rollout as new

virus cases top 50,000 yet again. bank d lists 500 -- delists 500 products as president trump's ban on chinese companies take effect. it has just gone 6:00 a.m. at home in london. it is 10:00 a.m. here in the difc. there is a narrative that is shifting. the dollar is changing direction. the question for markets is, are we at a frenzy? are we in a full-blown mania? you look in the backseat of the car with the kids and they say, are we there yet? are we there yet? let's take a look at the s&p 500 because this is a repricing. have you reached an exhaustive point? there was a beautiful piece this morning, an op-ed, where they

talk about the frenzy of companies like microsoft and amazon in 1989 relative to where we are now. we are in a full-blown mania. the bull market does not make it safer for us. equities are lower. we will have a look at perhaps the culprit. the unseating of the bullish narrative. 13.5% thisdown morning. that kind of demolition, we last saw this drawdown on bitcoin last year, and that was auspicious because we dropped by six trading sessions. to be fair, that was around covid. question, is this an emblem of exuberance exhausting itself? and the oil market comes back by 1.25%. and the kingdom

of saudi arabia all raised their prices. is on the turn, but is that a sign of exhaustion? the president of the united states, it is his final week in office. the fallout from last week's chaos in washington is still to be felt. speaker nancy pelosi says the house will move to impeach trump unless vice president mike pence and a cabinet invokes the 25th amendment to drive him out first. let's bring in derek wallbank, our senior editor. what is the latest state of play? i think we are at 200 senators who have gone for articles of impeachment. derek: we have had about 200 house lawmakers say they are signed onto an impeachment push. you should be seeing articles of impeachment drop as early as monday, with the house possibly acting later this week. speaker nancy pelosi said they would act later this week. the things that could get in the

way of that would be if donald trump resigns, which he is not going to, or if vice president mike pence invokes the 25th amendment and tries to rally the u.s. cabinet to get rid of trump, which you can tell by the sound of my voice how likely that is. pence has given no signals really that he is looking at doing that in any way. understand this is all a bit of a longshot thing. but democrats are really incensed by what went on at the capital, the violent insurrection by trump supporters. they understand full well there is not that long left in trump's term of office before january 20, when he leaves. they are not willing to stand by and do nothing. manus: they are not willing to stand by and do nothing, but the risk is this. biden has said, get me into office. the risk is if the democrats go after impeachment, what they do is set themselves up perhaps for

making it much more difficult to roll out the biden health initiatives in this first 100 socialiven the scenes of unrest that were displayed in the united states of america last week. derek: and i have heard that argument being raised a bunch. maybe there is some strategy in terms of what if the articles of impeachment are sent to the senate? there is just not much data that suggests it. i do think that biden's folks thinks they are going to start off with a couple popular things. checks are a popular thing, and joe biden wants that. they are looking at infrastructure. there are some of those things. the clear and present issue in the united states right now is this division that led to this storming the u.s. capitol, and it is not a both sides thing

that was primarily supporters of the president who were egged on in so doing. it is that pressing issue that the biden folks, who have been preaching bipartisanship for years now, are going to have to contend with. it is as polarized as ever. manus: indeed. and it is not going away. the genie is out of the bottle with the storming of the houses of congress. our senior editor derek wallbank. the next big ticket item for us to assess in markets is the u.s. cpi later this week. that follows the job report, which showed a drop in payroll since the april decline. it was not enough to unseat the equity rally on friday. stocks punched in another record. some analysts are warning of a full-blown mania. we will see what karen ganesh says.

great to have you with me. let's try to square away a portion of the political theater we are facing at the moment, impeachment and stimulus. markets are absolutely obsessed by the stimulus narrative and ignoring the political and social dislocation. is that a foley? is a: no, i think that good assessment of where we stand. we saw in the price action that markets will go through the impeachment process, the incident on capitol hill, and provide the belief that president biden will be inaugurated and we will see the extra fiscal stimulus coming through. very much the focus of the markets at the moment is looking ahead to fiscal stimulus coming through from president-elect biden. it is a question of looking through that. there is some repricing this morning and everybody goes into this frenzy of are we in a frenzy? are we in a full-blown mania?

we are looking for data and i am drawn to this story we have. one group says it is a full-blown mania. the bull market's relative youth does not make it safe to climb aboard. they identify a number of various issues they are looking at. bullish trading on the nasdaq. what we are showing our clients is the volume on u.s. equities at a record last week. do you get the sense of mania and frenzy? kiran: just to take it a step back, we have a loss of preconditions in place to see these bubbles and manias emerging. we have an incentive to engage ity becauseiv we have easy access due to the ease of online trading, with retail being a much bigger share of overall equity flows. there are a lot of preconditions

in place and we think there are individual manias, individual bubbles occurring. if you look at the price action across the range of indo jewel assets, that is happening. but whether the overall market is in a mania is another question. that is nothe s&p, cheap but it is far below where we got to at the peak of the dot-com bubble. when bond yields were 1%, investors should be willing to pay up more for equities because the alternative simply does not have any yield. manus: let's talk about the bond yields, because i would imagine this week we have seen some repricing if there is an equity drawdown. the fundamental narrative about real yields and breakevens, is the trajectory to the higher level. i want to get a sense from ubs, what is the core alpha of that? i question that because standard

charter is saying the rise in the breakevens is erratic, possibly a one-off, and moves in the oil and the dollar. it does not signal inflation expectations will rise rapidly. how do you jump off in 2021 in the inflation narrative? kiran: we would agree. in the first half of the year, are we going to get occasional jumps in cpi because we have interesting comparisons with what happened last year? we might have a sudden revival of demand. we could get an increase in cpi in the first half. but does that represent something core and structural? no. what we think we have seen in the past few weeks are the markets pricing in the impact, and fiscal stimulus we talked about coming in. that is what is getting priced by the market. we think that is now largely enterprise and we are not really

expecting to see much further increase in yields with lots of structural forces, which are supporting bond markets and suppressing yields remaining in place over the course of 2021. genash, ubs wealth management. laura wright is back with the team. happy new year. some of wall street's biggest banks are pausing clinical contributions in the aftermath of the riots on capitol hill. goldman sachs will probably limit donations to the politician who tried to overturn the 2020 election results. jp morgan is planning a six-month suspension to both republicans and democrats. citigroup is temporarily halting all political contributions for the current quarter. the u.k.'s has its coronavirus vaccine rollout will accelerate with the opening of seven

regional hubs at conference centers. the health secretary says the country is on course to meet its target of more than 200,000 vaccinations every day. the total stands at about 2 million. the trump administration is removing decades-old restrictions on how officials interact with taiwan chinese state media is speaking about the move. the global times editor says this is a window of opportunity to teach a heavy lesson to taiwan. the island is defect oh independent, but beijing considers it a part of china. global news 24 hours a day, on air and at bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. manus? manus: thank you very much. laura wright with the latest round up on the headlines. coming up on the show, a race against time. the u.k. ramps up its vaccine

rollout as cases surge and hospitals are struggling to cope. more on the story. this is bloomberg. ♪

."nus: it is "daybreak: europe the u.k. is ramping up its vaccine rollout with the opening of seven regional centers this week. that comes as the nation's hospitals struggle to cope with surging cases. it is a race against time to administer shots. we aregood news is, getting to over 200,000 people a day, which is significant progress. amongst those we need to reach most among the over 80's. we have now vaccinated around a third of the overall over 80's. very good progress. manus: matt hancock, the health

secretary. across the channel, the european countries are administering the first shots of moderna's vaccine. maria tadeo is our reporter in brussels and she joins me now. how does the u.k. plan to get 15 million vaccinations in a month's time? is that a stretch, or is that we don't understand the ramp up? you look at the numbers, 200,000 people. he played it on that clip. the total is 2 million. you have to get from 2 million to 15 million in a matter of weeks. is it a stretch? we will have to see. but it is a big ask the government is putting forward as a target. how do you get from 2 million to 15 million? that is something the mis-direction will try to explain. the focus is on the mass vaccination centers so people can get the vaccine.

the u.k. also has three vaccines approved for use, the astrazeneca, the pfizer, and the third one escapes me. it has three, but that should roll it out quicker. that is what they want to lead with. when you look at the europeans, they are rolling out the moderna one today. they bought 6 million doses of that. that should give the momentum just on distribution alone. manus: you know what i find interesting, we talk a great deal about the lack of confidence in the u.k. administration. i look at the story this morning by phil serafina. 52 percent of those surveyed in france lack confidence in the government's ability to effectively deliver on the pandemic or manage the vaccine. it is not a u.k. only interpretation. what i want to do is understand

where the u.k. is, relative to the underperformance. macron has been vocal about this. maria: we knew there has been distribution issues in europe. we know there have been logistic issues, and that is the reason why they are behind. they say this is not a competition, but to some extent, you have to get there. the u.k. has done three vaccines. regulation is coming with a lag. then you have the politics coming into this. the europeans do not want to force the vaccine on citizens. they are worried about the anti-movement. in the u.k., they are more pragmatic. there is an entrance for everyone to get the vaccine out. we have seen the logistics that come with us. the dutch had a big i.t. mess at the beginning of the rollout, and that means they have a two week lag. just to sum it all up, you have

the european commission that is betting on a number of vaccines. the problem is they bought vaccines that have not been approved yet for public use. when you look at sanofi, it has not been approved. pfizer, they had to double that last week. there has been an issue in terms of the strategy. maria tadeo with the latest updates on the vaccines, our reporter in brussels. genash. of yourhis is one topics, but we look at some of the metrics. we had the best start in a decade. is it the search for value, or is it the rollout of the vaccine a more momentous recovery? is it a triple the narrative that draws you to the u.k.? kiran: the u.k. was one of the top picks because we have seen it as the epicenter of a number of pieces of good news coming

through. it is a relatively cheap market, so well exposed to that reflation trade that we were talking about earlier. the u.k. itself has been somewhat ahead of the curve on the vaccine, so investors are willing to look forward to the u.k. perhaps getting back to normal a little more quicker than parts of europe as well. toward the end of last year, we had the agreement on brexit. there has been a lot of good news and we see that strong performance coming through. something we expect to see continuing. if you look ahead, the equity markets have done well. we expect to see that translating further into british pound strength. it has appreciated over the past few weeks. given that is undervalued, particularly against the u.s. dollar and the small scope for the british pound to appreciate. manus: generally, looking at this vaccine narrative for

global markets, maria was pointing out perhaps the laggard in timing for europe. how do you view european equity markets? the narrative would be for many global strategists that if i look for value versus growth on the vaccine, europe is in many ways that. then you have an 8% growth in china. i think when we are looking at the value trade globally, elsewhere we see emerging market value is looking interesting at the moment because emerging markets also relatively cheap assets, especially in asia. the coronavirus has been probably better managed and less of an overall concern for the economy. we think that is the place to go if people are looking for value trades at the moment. europe, much more uncertainty around the economy in the near term. the only thing we have to layer on is the fact that the euro has

depreciated a lot against the dollar over the course of the past few months. traditionally, that does prevent a block for equity market growth. we still think european markets can move forward, but looking at a global context, we think places like the u.k. and parts of emerging markets in asia do look more interesting at the moment. manus: give me a sense of how you think about commodities at this time of year. we had quite a good run on the oil market. that has come under the agreements made at opec-plus. on the commodity fronts, we have had a fairly good uplift. that is linked to the dollar, which is repricing this morning. do you think it is too soon to call it the end of the death of the dollar? kiran: we think the dollar will keep depreciating this year. we talked about rising yields. but we think that overall, the risk on trade and the recovery from the pandemic is going to be the bigger force that will be

shifting away from the dollar to other assets around the world as the safe haven trade that we have seen last year. we also think in the first half of the year, given the big production cuts announced by saudi arabia last week, we might get a squeeze in the oil markets if you get the production cut coming at the exact same time as the lockdowns start to end, demand for oil starts to increase. we still think we will get higher oil prices over the course of the first half. manus: and you are quite right, death of the dollar is quite a tragic phrase. let's go for j.p. morgan, much more eloquent. debasement. kiran, thank. ubs wealthh, management. wall street is getting bullish on commodities. find out why. we extend your morning call on

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wall street is getting more bullish in commodities. demand from china is helping to boost the outlook. juliette saly has your morning call. bullish, the most bullish from a number of analysts when you look at their net long positions in a decade. this is 19 commodities that bloomberg tracks, including the likes of oil and corn. we have seen corn and soybean futures hit a record. position,ok at this investors are so bullish they are holding. this is the most contract since january 2011, on the back of

china's economy recovering, and also this expected huge stimulus package from the biden administration. this is a turnaround for a market that has struggled to lore investors since the last china driven super cycle. we have seen a little bit of a pullback coming through in oil prices today due to the stronger dollar. but we have got citi announcing a pretty solid boost for brent oil forecasts by five dollars a barrel over the course of next year. this strategy has average prices of $59 a barrel, a climbed to 60 later in the year. this is due to the fact that we had additional supply cuts announced by saudi arabia last weekend. all of this flowing through into equity momentum as well. you have morgan stanley upgrading the european energy sector, but overweight. manus? manus: juliette, thank you very much. lovely ramped up.

top american banks coming up on the show. they are removing hundreds of structured products in hong kong. this is bloomberg. ♪

manus: good morning bloomberg's middle east headquarters. its "daybreak europe." nancy pelosi says the house will move to impeach the president unless mike pence invokes the 25th amendment to remove him from office. the equity rally pauses after u.s. stocks hit a record on friday. up the. ramps

rollout as virus cases top 50,000 yes again. u.s. banks delist 5000 financial products as trump's ban on chinese military linked companies takes effect as beijing shoots back on u.s. sanctions. it's monday morning. it's just gone 10:30. ofare at the beginning repricing in equity, the dollar, and bitcoin. bitcoin's drawing down, the dollar is rebasing. equity markets are just pausing. there is exhaustion of frenzy, one could say. let's look at the market. ands&p 500, nasdaq, european stocks all trade lower this morning. a note out this morning that we are in a full-blown mania in the market. the stock market jackpot keeps ringing. what justifies the use of the

word mania? the nasdaq is down 0.5%. one fund manager i had earlier talked about a stock he had that rallied 400%. what was he to do? take some money off the table? he needs to deploy that capital. you begin to understand. there is whiplash in bitcoin. to a certain extent, down 18% over the last couple of sessions. that could be a barometer for risk. we thought this drawdown in bitcoin was most of last year. we went on for a six-day demolition on the s&p 500 of over 20%. it is an emblem of exuberance, my favorite double this morning he,ouble e i would double -- thend saudi all

dollar is up 0.4%. dollarto show you the turning around. it shows itself most in that second column, about a turnaround. the dollar rises. the leroy drops by over 1.3%. the indonesian rupee, this is the trade that has been a darling of the trade in the back half of 2020. commodity trade, everyone is talking about copper down by 2.2%. oil lower. as the dollar replaces, the positioning changes. equity is just holding. let's talk about china. would define the 2021 narrative. may ease control of capital

outflows given for demand for overseas investment. that is according to eugene, the china head of ubs securities who at the ubsoomberg greater china conference in shanghai. >> you will see continuation of the inflow into the chinese government bonds and also finance company bonds. this is where you offer the international investor a reasonable deal. the other thing is continuation of the flow into the chinese equity market. continuation of the percentage in certain indexes globally. chinese companies on the whole have been doing well with the chinese economy bounce back faster or recovering sooner. a lot of the sector playing really well.

that will be reflected in a large number of companies already forecasting a big earnings jump in 2020 versus the first half. you will see continuation of those >> i believe that is the first time you have talked about outflows since we talked to you at the ubs greater china conference. how comfortable are policymakers with allowing greater outflows? what are the opportunities for a business like yours? >> there is a demand from the chinese population to pursue global diversification. geographic, asset classes, what have you. with that demand growing stronger and the relatively stable yuan as well as the chinese capital market, there is less of a concern on the regulatory side to say, maybe now is the time to relax a little bit.

with those kinds of relaxation on the policy side, you see the genuine demand more likely to be satisfied in 2021 as opposed to the more recent past, where the exchange rate was in question and the yuan was weakening. going forward, the trend is very clear. china wants to see the two-way capital flow and china does want to see more international investors invest in china and see there is no reason to hinder them from leaving any time, freely. from that standpoint, the free flow of capital, partial relaxation, i think is kind of happening. >> you have been a beneficiary of the ipo's. what is your outlook for ipo's for 2021? to what extent are we seeing capital market decoupling between the u.s. and china as a capitalist -- as a catalyst?

a larger number of chinese companies seeking domestic ipo's as well as ipo's in hong kong as opposed to those trade to u.s. as a one and only choice. on the other hand, the decoupling puts pressure to return to hong kong and return to tengion -- to shenzhen in the next year or two. i would still say that will remain chinese private sector companies who may not be too sensitive or who may still see u.s. markets as a more natural home for their listing. we will continue to have those in our pipeline. we will play in all three locations, domestic, hong kong, and u.s.. that will remain strong in the new year. >> wealth management as part of this for ubs. what is the progress? what are the restrictions? what hurdles? what is your target? is ourth management

group's premier, our first and foremost business. we are the global number one wealth manager. in china we have long set our strategic goal to expand our onshore wealth management business on the back of exceptionally strong global a wealthas well as management. progress in good 2021 on the back of a strong asian market performance. in flow and growth climb investment activity last year already. i would like to see this trend continue. into 2021 within the two way, again. there is more room for chinese well, ultra high net worth, to freely move offshore. the same time, the bulk shall remain onshore and will skew

looking for more attractive investment opportunities domestically. we see more growth here. qian, ubsene securities chairman speaking with tom mackenzie with real people in a real auditorium. that is a blockbuster in 2021. china is continuing to push back against u.s. sanctions, issuing new rules to protect firms from unjustified foreign laws. aree top american banks delisting hong kong products because of u.s. sanctions on the city. dan, let's talk about the banks. 500 products. walk me through what they are delisting and the potential significance. 500hey are delisting structured products, basically anything that could, in the way

of this executive order from newp, or he has banned investment starting january 11. it is a vaguely worded executive order. the banks are basically taking precautions and trying to make sure they don't run afoul of these laws. these orders. we are seeing them take action today. you look at the likes of state street, they have a $14 billion tracker fund and they are not going to take anymore positions that could put them at risk or in conflict. isn you look at china, it continuing this pushback against u.s. sanctions. they are issuing rules to protect firms against foreign laws. what impact could that have on global companies? >> companies could find themselves caught in the middle. theave seen that with national security law where the

u.s. is essentially told -- has essentially told them not to do business with leaders like , who has not gotten a new bank account due to the sanctions. what we are seeing in hong kong is even chinese banks are complying with u.s. sanctions and kind of chinese edicts statements saying they should not follow the actions. when push comes to shove, it is kind of a choice for companies which rules they want to follow. this remains to be seen how china will enforce this, but we have seen them over the past two years or so try and increase their arsenal, their toolkit of how they can respond to the u.s. when it comes to export controls, investment bands, sanctions, all these financial penalties the u.s. is giving them. manus: thank you so much.

wright is standing by in london hq with your first word news. >> germany's health minister is out of the running to replace chancellor angela merkel. he said his goal is to become deputy chairman of the ruling cdu. that implies he is not competing for the top job as a potential springboard to candidate for chancellor. aircraft investigators in indonesia have found the site where a boeing passenger jet crashed on saturday. data indicates it was still intact when it struck the water, reducing the likelihood of a terror attack. teams are pulling up debris from the boeing 737 500, a decades-old model that was carrying 62 people. apple and google are removing social media platform parler from their app stores. amazon will no longer host it on the cloud.

the app came to prominence in last week's storming of the capital in washington. it is popular with far-right groups seeking an alternative to mainstream services. parler says does not condone violence. global news, 24 hours a day, on air and at quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. thank you very much. , marketp on the show mania? bubble? warnings are coming. the klaxons are rising. investors flock to the altar of bitcoin. bullish auctions. we discussed. ♪

--us: it's "a break europe

daybreak europe." managers rushing to cash in on the 10 month old meltdown. at once the markets most risky bets, things like bitcoin call auctions. they have taken on a whole new meaning. a whole new world. dani burger, justified bubble mania? >> you and i talked to a lot of people who are trading in these markets are just observing them, and you might agree -- i feel like everything we have heard his concern over assets that are retail oriented. things like tesla, even companies that elon musk mentions in a tweet that sound like the company, not quite the company, we see things like that. call options have been taking off. fifthl the fourth and highest days on record last week alone. these are the things professionals will look at and say, these are concerning. we heard multiple groups calling it a full-blown mania.

just because we have speculative corners does not mean this market rally is doomed. by all accounts, we have people who say, look, there is a lot of bearishness. bank of america, they have a checklist. they say 67% of things on their checklist fit in the narrative of a bear market. i think it is these corners that we see the speculative action. they tend to be individual investors. we see things that indicate they are small investors using small option sizes. there is a story like we saw in the second quarter of last year. we see this big liquidity-fueled rally. i should emphasize, not necessarily one that dooms the entire market. absolutely not. what does doom the market is when i called the pension manager and i say we need some gold and esg. that is when you know. i am the contrarian. well done. dani burger contextualizing mania.

many fed presidents have been vocal on equality and diversity, in the wider world and their own profession. says economics needs more diversity to represent the public. >> economics is such an important field. it touches everyone's lives. policymakers make policies that touch everyone's lives. business people higher, make hiring decisions that affect everyone's lives. because it is such a broad field and it really is important for everyone, i think it is important that we have a very diverse group of people going in to economics. i don't know how you feel, but my own feeling is that we can do better along those dimensions. >> so much of it is role modeling. it is great that young women can look to yourself, can look to the likes of janet yellen and think, there are roles at the top for women in economics

globally. with that the case when you were glowing -- going through, rising through the ranks? did you have a female role models? but i did not feel the lack of it. i had a lot of men who helped me. that is the other thing i think is important to realize. we don't want to wait until it is diversified to say now we have role models. it is important to get to that diversity stage, we are going to have to rely on men. we are going to have to rely on them to help women, and that is happening now, and that is the great thing. you can see it happening in the field. the session i was in, some of the researchers doing this work are not all women. this is broadening out. there are a lot of males who are interested in diversifying the field. another reason we really care is, if you want the field of economics to be growing and to be taking on new challenges and

methods,g, using new interested in new questions, you have to have diversity, or else it is going to be stagnant. i know that sounds silly, but we have seen that in other disciplines. it is really important that we not think of this as just women helping women. it has got to be everyone helping to diversify the field. similarly with minorities, we don't have very many african-american, black economists. they are just not going into the field and we need to do better there as well. 700he fed, we have about phd economists. we hire a lot more bachelors and masters degrees. we have a vested interest in making sure the field is diverse because we represent the public. we work for the public and it is really important we have all people represented when we are evaluating policy. diverse decision-making is

better decision-making. the cleveland fed president loretta mester. coming up, wall street's biggest halt political contributions after the chaos on capitol hill. ♪ ♪

manus: it is "daybreak europe." u.s. equities lower futures this morning. are we in full blown mania? the dollar's repricing higher. you can debate that with anna and matt in the next hour. some of the biggest names in wall street are planning to halt all political contributions after the riot at the capital. tony gardner told annmarie hordern and myself that companies should have known better.

>> phenomena like this depend on many people, not just voters. business leaders. business leaders who gave money to this repeatedly when it was known, or they should have known where this would end. believing they would enrich themselves. i find it very disappointing behavior. gardner talking about having to look into your own soul on funding. our senior finance editor from asia, thank you for being with us. why are the banks second back now? -- stepping back now? >> it is clear this is a ramping up of corporate america in their condemnation and frustration with what happened on the hill last week. they it is normal to think would withdraw support from trump given most polls show americans believe he incited the violence, this is banks going

much further, taking it to the next level, withdrawing all support for republicans and democrats who have been -- you have jp morgan with a six-month suspension, citigroup says they are stopping all contributions, at least temporarily. others are more targeted. morgan stanley says they are going to withdraw support from those in congress who voted against the certification of president-elect biden. this is a significant move by significant donors for the political parties in the united states. say they wereld very happy with the deregulation, the dividend policy, and it is disingenuous to do it now. what does it mean for contributions going forward? >> the question is how long does this go on for? jp morgan and citibank are saying maybe six months. the question, is this a rethink

in general of critical contributions? if they did, that would be significant for the political parties. thisstreet donors alone, is rank and file bankers, contributed $125 million to the majority democrats, and that does not include the big spending that goes to political action committees. these are big donors, and if they do any rethinking, it could be very significant for parties. manus: there is a cracking story, thank you for that, david scanlon. it is written by bloomberg. talking about wall street, if you are willing to overlook bad characters who do good things for you, that can come back to bite you. cracking article. annmarie hordern is out for a couple of days. she left me in control of the wheel and the gearshift. dangerous times on "daybreak

europe." anna edwards and matt miller take you from london to frankfurt, paris and beyond. the european market open. this is bloomberg. ♪

anna: good morning. welcome to bloomberg markets "the european open." the markets say it is full blown mania. the new year melt up shows signs of stalling with futures pointing lower and bitcoin albeitg 10%,