achines, no expensive memberships. get off the floor with aerotrainer. go to aerotrainer.com to get yours now. manus: good morning from bloomberg's middle east headquarters in dubai. with me, manus cranny, and annmarie hordern at london hq. u.s. futures follow asian equities lower amid concerns over a rise in global coronavirus cases. this as j&j restart shipments of its vaccine to the e.u. airline stocks slump as the u.s.

state department says it will tighten traveler advisories. netflix falls after hours as it sees the pandemic boom slow. europe's soccer rebel league crumbles as the six english clubs involved all pullout. good morning. 6:00 a.m. in london, 9:00 a.m. in downtown dubai. this morning from the world health organization. cobit is rising everywhere except europe and the risk is in the shed and the warning is about india, where we see 200,000 cases in the space of a daily basis for the past six days. good morning. annmarie: mark cudmore saying if you are looking at the rate of this, you will see potentially 300,000 cases per day before the weekend. what is so interesting about

that line about europe is cases are not rising because europe is still in law down when you look across the region. india is really going to be this or point for the world. we saw the reverberations in the markets yesterday. u.s. airlines, hotel stocks plunging. the state department saying it will tighten traveler advisories as the can down make -- pandemic continues to pose risks. a recovery in europe's summer travel is expected as more people globally get vaccinated. take a listen. >> with the vaccination starting to roll out successfully, you will see that we are going to move into more of a recovery phase but what we do not know yet and what consumers do not know either is that what type of framework will be in place and what type of restrictions will be in place and what will those restrictions mean in terms of complexities and costs for the consumer? annmarie: a lot of different

signals coming out where you are in the world looking but as you say, india is the store point. let's get a quick data check on what is going on this morning when you look across equities. we are seeing a little bit of risk off this morning. virus concerns front, back, and center. these are some of the stocks that moved. marriott down 4%. let's flip up the boards. msci asia-pacific under pressure this morning, down 1.3%. potentially a state of emergency and we are seeing some money move into the treasury market and the yen this morning. joining us now to conceptualize all of this is the investment director at aberdeen standard investments. james, all of this, you are seeing, are we going to see more risk into the market? are covid concerns going to come back and potentially, is there

going to be risk to the global growth we are seeing and good it appoints? >> good morning. that is a good question. it is the right question. the market has really been seeing this as quite a binary issue for some time. as soon as we started to see results from vaccine trials which suggested high degrees of efficacy, the markets really worked with the presumption that we have a vaccine that may be giving delays to the process but ultimately, the endgame is full and complete vaccination of populations and eradication of the virus and unfortunately, i think that was a bit too simplistic and hopeful a view. we really do not have much of a probability distribution placed into equity markets. they are price for the best of the best in terms of outcomes. whether what we are seeing now in terms of virus data is really sufficient to shake the markets ultimate belief that this is

just a journey to a known destination, i am really not sure but again, when you look at the growth into value rotation as well you see what i always point out, you have a cinema operator trading 30% higher than it was pre-pandemic and i just cannot rationalize that given what we know but more importantly what we do not know about consumer behavior and obviously, the deterioration of the balance sheet. i think markets were very much in need of some of the air coming out. manus: we will see just how much air does come out. sometimes, i think we are in various stages where we have this obsession with numbers on cobit but there is a whole different narrative on the vaccine rollout area we are nearly at one billion shots. india does have nearly 14% of the world's vaccines. let's talk about the other narrative which is pervasive,

the dynamic of inflation. i am drawn to coca-cola, procter & gamble, and kimberly-clark, not the biscuits. they are talking about raising prices. that raises a flashing light for me which means i'm going to get a touch of inflation psychokinesis again -- psychosis again. james: yes, it's really one of the most important if not the most important but the most difficult to answer. we have macro investors looking into the future. i base case at the moment is the conditions for self-fulfilling, self-sustaining inflation are just not there. there is a heck of a lot of cost push inflation, a lot of which we would very much expect to be transitory. i am not used to agreeing with central banks in general or specifically but on this issue, i agree with the current assessment that a lot of what we are seeing relates to temporary

factors. disruption in supply chains, commodity price changes, which we know, unless they continue at the same rate of change will be less inflationary in the future. what we need to see is mastic demand and labor markets returning to normal and that means not being propped up by fiscal policy which is completely unsustainable. they with dan on their own two feet. enough tension in the labor market that there is sufficient bargaining power on behalf of workers that they can demand high wages not just in highly skilled roles but across that. 50% of the population working in jobs which have not seen a lot of wage growth means that inflation is a headwinds to consumption for that group and that is not sustainable over time so, yes, we can see inflation in the near term for a number of reasons but i think most of that is likely to be transitory. when we see very low unemployment and strong

economies which are not being propped up artificially by policy, potentially, you could see the conditions which would be more inflationary. annmarie: james, when you look at what is going on in india. massive supply chains. do you think that india right now is idiosyncratic or does this have global risk to it? james: as a general rule, india is one of those markets that does appear more idiosyncratic than most but i think in general, you know, notwithstanding the virus situation, which obviously in india is so tricky to deal with because it is such a huge, populous country, and in terms of vaccination, they are nowhere near as enhanced as some of those at the leading edge. so the virus, as soon as you lift any lockdown measures, the virus is going to spread. in terms of the supply chain story, i think this is one of those secular forces which

periodically we are going to hear about but which is not necessarily going to be obvious on a day-to-day basis but over time, i think that the way in which companies and countries choose to interact with each other will evolve to reflect the fact that security will become a higher priority. what i mean by security is dealing with fragility in supply chains and certainly in any sort of goods which could be described as having a security aspects to them. so i think this is one of those stories which is going to run. manus: a bit has come back to the bond market. when i look at treasuries to bunds and i find it fascinating what you say, that the near-term peak of u.s. exceptionalism is tightening treasuries to bunds. on any drawdown in treasury to bunds momentum, do you read buy the dip in compression in the spreads? do you look to that to

return to a higher ground? james: ultimately, on a medium-term horizon, the u.s. growth prospects, in my opinion, are significantly greater than they are in the eurozone. it's very difficult to tease out the underlying secular forces because obviously, there is so much going on from a pandemic lockdown and certainly fiscal policy perspective. ultimately, i believe that spread is justified in being wide but i think what is happening in the short term is that everybody is piled into the short treasury trade in a number of forms, one of which is long bunds versus treasuries. if you look at how the market has reacted to some of these massive growth we have seen in the u.s., it is indicative that in the near term, in the short term, positioning has got way ahead of really what the economy can produce and justify in treasuries, treasury shorts

particularly, so it has not surprised me to see that spread coming in. the other side is that a lot of bad news is baked into the cake from a european perspective and highly likely they get their act together now with respect vaccination. we see the pace picking up and that will raise growth expectations among investors and you see some upward pressure on yields so i think we can see that spread narrowed somewhat. that is the position we have on but ultimately, i don't think we are talking about a structural change in trend. i think the u.s. economy is way better positioned to generate better growth outcomes even absent further gargantuan stimulus from the biden administration. manus: we are not going to see a monster collapse in that spread. james,. position is held. stay with us, james. we have much more to do. let's get your first word news. annabelle droulers is with 15. annabelle: thanks.

derek chauvin has been found guilty of the murder of george floyd. a jury convicted him of that charge and two lesser ones. it deliberated for less than 11 hours over the killing that sparked nationwide protests over racial inequality in the u.s. he will be sentenced in eight weeks. in germany, chancellor angela merkel's conservative bloc is heading for a tough election battle in september. a new poll shows the green surging ahead. the most popular party in the country. unlike the bruising battle for the conservative nomination, the greens maintained unity in taking her. 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. this is bloomberg. annmarie. annmarie: thank you so much. annabelle droulers in hong kong. we just had some breaking numbers from asml come in and quickly, the topline,

second-quarter net sales forecast beating estimates so looking very good. growth at 49%. estimate at 50.2. a little bit lower there. overall, we are seeing the beat. of course, this plays into the shortage story, doesn't it? manus: it does indeed, and the whole discussion in the white house. annmarie: exactly. just ahead, europe's rebel league is left in pieces after half of its founding team members pullout. we will bring you the latest, next. this is bloomberg. ♪

annmarie: this is "daybreak europe." manus cranny in dubai. europe's rebel football league crumbled days after its launch. all six of the english football clubs are withdrawing after

massive outcries from existing league politicians, players, fans. you are hearing it from every side of this story. maria tadeo joins us from brussels. the project has been suspended. that is what is happening now. what comes next? you have half of these teams withdrawing. maria: the super league project did last for about less than 48 hours, essentially, and what you see here is huge pushback from the english fans and the six teams that would make up the english unit in the super league decided they wanted to pull out of the project and this brings a huge question mark as to what will happen with the italian teams and spanish league spirit barcelona, real madrid, and atlantic were supposedly part of this. are they also to pull out and put an end to the super league which, at this stage, looks doomed to fail? the other thing to consider is the reaction from

-- the two of them had been in a battle for two days. they probably feel that they have the upper hand so it will be interesting to see how they react. while this whole thing is happening, there is a conversation as what to do with the champions league and how to revamp that. in 2024. that will be interesting to see how they react to this whole tobacco. manus: -- debacle. manus: does that signal an end to the billionaire owners in football? maria: that conversation is already happening. the fact that he signaled he wants to leave before he gets pushed out, this is someone who masterminded to some extent the operation, who was one of the leading figures in creating the super league. it shows that there is some concern. we can see it with real madrid and this could be a conversation that could escalate given the pushback from the fans who say

we need to reclaim football from the rich billionaires. manus: thank you maria tadeo. tracking the football story. time and billionaires love trophy assets. this is one of the most beautiful stories in that regard. let's get to james athey. what drove this? the brits folded first. what happened? james: yes, honestly. every club came into this with a slightly different justification for why they thought it was a good idea. it seems incredibly poorly conceived from my perspective. in order to participate in the competition, it has to be sanctioned by a domestic football body. they were never going to sanction this because it was a rival organization and that meant these clubs were always opening themselves up to not

being able to participate in their domestic leagues which was one of the stated aims of this project which is naive at best, to say the least. but the lack of concern for existing supporters, for me, as a supporter myself, i just find that to be the most distasteful part of this. it seems to be entirely driven by greed. big clubs have realized they cannot guarantee their success and they do not like that and there is huge overhead. a couple of bad seasons and the club looks like it is in trouble and nobody likes that so i'm not necessarily sure that this is the end of the billionaire owners but it might well be the end of ownership through companies seeking purely to make a profit. annmarie: i'm going to be the boring one and move onto the other big event we have coming up this week. the ecb tomorrow. are you expecting a change of

tone from christine lagarde? james: it was always dangerous to get me started on football. manus: no, we like it. we know you lost your manager last night. [laughter] james: don't get me started on that but let's just say that i feel fairly confident about the future now. ecb i think is a tough meeting actually. getting to the stage now where the ecb is likely to be trying to edge itself away from uber, dovish policy and language, getting into that transition. we have seen some signs of that, huge disagreement on the government counsel. there is the need for every message to be nuanced to keep hawks and doves on board. makes it a very complicated one. communication has been awful of late, awful for investors trying to work out what on earth they are doing so it is a tricky one

and we could see some missteps. annmarie: one to watch out for tomorrow. thank you so much for joining us and your insight on football this morning, james athey, investment director at aberdeen standard investment. just ahead on the program, about one in six of the u.k. workforce remains for load or out of work on the pandemic. they're going to speak to the ceo of a company, next. this is bloomberg. ♪

manus: it is "daybreak europe." i am manus cranny in dubai. annmarie hordern alongside me. 1.6 of the u.k. workforce remains for load or out of work following the pandemic. the covid employment gap totals more than 6 million people including 4.7 million people who are receiving government for low

pay through their workplaces shot in the crisis. our next guest runs one of the biggest agencies. we have the numbers in front of you. $5.53 billion and that's up year on year and certainly beating the estimates. we get together and talk about how health and logistics have led you through the plandemic. are they plateauing and is there any light you can tell us about in terms of green shoots? good morning. >> good morning. good to talk to you. you presented us as the world's biggest. that is the detail. nothing is plateauing actually. normally, we would compare our numbers to last year, but of course, last year was such a -- it was such a funny year. we are actually getting closer to 2019 so that means that growth is increasing throughout the quarter so, no, fortunately,

we do not see any plateaus currently. annmarie: how is the current wave of covid-19 impacting your business? james: it is in some countries still a bit of an issue but we see a lot of rebound certainly in the u.s. it is tough to find people. the dutch market grew 12% in the quarter or the last four weeks so we are really getting off because there are, as you said, some people still on furloughs but those aren't centers which have been flat all through the years so nothing happening there. on the contrary, you see the sectors you mentioned. health, life sciences, that's really strong, so we are quite optimistic for the rest of the year. manus: hsbc are going to hot desk including the senior executive suite all over the world. talk to me about the new contracts that are being offered and that employees are asking

for. is it an integral part of the new contract negotiations? >> i did not get that. manus: are employers offering flexibility to work from home and our employees asking to work from home? james: definitely -- >> definitely, definitely. as a company, you need to have a strategy for two reasons, first of all, because it tough to find and hold onto people in the coming months or years and secondly because people appreciate it so you need to be there. you need to be offering at. i always say the workforce of the future for any company is 80 to 70 years old. one third is not on the payroll and probably a quarter is working from home so those are the challenges of the employers for tomorrow. annmarie: if you think there's going to be more work from home, what does that mean for your

business? >> nothing much. we don't really care where people are working from. what we see is that there's going to be an increasing mismatch. it's increasingly tough to find people so to engage a workforce, to engage someone, there are going to be less and less active jobseekers so we are holding profiles so we can dive into the passive job seekers to technology and still find people. we are offering workplaces facilitated from home to our clients and they do not have those means. annmarie: thank you so much for joining us. ceo of a company. coronavirus cases rise in all regions except for europe. india battling its biggest wave of infections yet. we look more into covid-19. this is bloomberg. ♪

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annmarie: good morning. from bloomberg's european headquarters in the city of london, i am annmarie hordern. manus cranny in dubai. this is "daybreak europe," and here is what you need to know. concerns over a rise in global coronavirus cases. this as the j&j shot will restart shipments of its vaccine to the e.u. airline stocks slump as the u.s. state department says it will

tighten travel advisories. netflix also falls after hours as it sees its pandemic room slow. europe's rebel soccer league crumbled as the six english clubs involved all pull out. manus, very good morning to you. what we are seeing this morning across markets, a little bit of anxiety. investors need to start pricing this in, the resurgence of coronavirus cases. the world health organization seeing cases everywhere around the world pickup except europe. europe is still on lockdown. manus: that is the point you made, which is that europe is in lockdown, india is the eye of the storm. you said india is the manufacturing hub of the world for the vaccine. what i find interesting from narendra modi, the prime minister, is that he has taken a lot of political flack and i will not have an opinion on that but what he did they was to everything but do not shut down and i think that is the rub of

the issue. do everything to avoid a shut, push on with the vaccine. annmarie: a really good point coming from mark cudmore this morning is that you are seeing in india the covid cases surge in the city and then potentially what he sees happening, a lot of those people want to migrate back to their communities outside the big cities. this is what we sow this time last year happen. i know so many anecdotes of this happening in italy where you had all these workers going back to their families and infecting people that potentially would not be exposed and for him, that is a big risk. india starting to spiral. manus: the other thing i know that we are both going to touch on is this warning shot from the u.s. state department in terms of limiting travel. that will be a shocker if it happens, isn't it? annmarie: certainly is and that is what we saw yesterday move markets. u.s. airlines, hotels stocks, they plunged after we had that moment from the u.s. state department saying it's going to tighten travel advisories and it

said the pandemic continued to pose unprecedented risk to travelers. in europe, easyjet's ceo told bloomberg a recovery in summer travel is expected. take a listen. >> now, with the vaccinations starting to roll out successfully, we are going to move into more of a recovery phase, but what we do not know yet and what consumers do not know you there is what type of framework will be in place and what type of restrictions will be in place and what will those restrictions mean in terms of complexities and costs for the consumer? manus: joining us now is rachel chang. she is the bloomberg asia health care consumer editor, tracking the story. when we look at what we just talked about, it is about india, which is where the real global focus is but talk us through the world health organization's topline guidance. good morning.

>> yes, that's right. the world health organization is saying something that people are starting to realize which is that vaccines are not going to turn things around the way people hoped. in fact, in many parts of the world, we are seeing these variants drive surges. india is a good example. what is concerning now is that people have noticed and identified a new mutant which may be coming out of india and driving a surge. we have already seen that identified in the u.k. and other places. what is happening with this virus is it is spreading so quickly that some of these variants are new and we don't know how vaccines will stop those viruses and that is why that moved around the pandemic has really turned around. annmarie: and what about in japan? there is potentially a state of emergency on the way. do we have any more details about that? rachel: exactly the same thing

happening in japan where the spread of the variant first identified in the u.k. has come really quickly in the country had the emergency only a couple months ago and now they are talking about going back into it. what we know is that the olympics is only a few months away and they are quite determined to hold the olympics. with the variants going around like this, it could prove to be a super-spreader event. japan is talking about doing things such as closing all restaurants just to try to get the situation under control. manus: rachel, thank you very much, rachel chang, health care and consumer editor on the very latest and as we hear from osaka and tokyo, we will bring you that news if there is any developments in the markets. risk is in the shed. garden shed, sleeping, resting. s&p futures are lower. money flows into the yen. wti lower. we had a conversation on the iran risk of oil coming back to

the market. our guest in the first hour said there's not going to be any great iranian supply even though the topline on the oil market is that iran is cautiously hopeful of a deal. let's get the first word news headlines from around the world. annabelle droulers has those. annabelle: thanks. the plans for a breakaway european football competition look to be imploding just 48 hours after being announced. the super league says it's looking at how to reshape the project to offer the best experience. that follows all six english clubs pulling out after a gerard of opposition -- barrage of opposition from fans. boris johnson says britain must be ready for another wave of the coronavirus later this year. he is insisting the country is still on track to end restrictions by june 21 but his morning we cannot delude ourselves that covid has gone away. cases have been falling in the u.k. since january. still, there are concerns that

the new variants could knock britain off course. johnson & johnson will restart deliveries of its covid-19 vaccine to the european union after the drug regulator said the benefits outweigh the risks of a possible link with rare blood clots. review from the european medicines agency echoed its comments on the astrazeneca vaccine. 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. this is bloomberg. annmarie: annabelle droulers in hong kong, thank you so much. jay powell says the fed does not have the tools to directly deal with homelessness but that homeless americans need to be in the room with the fed as they make monetary policy decisions. take a listen. >> there are two different issues, differences and similarities. both of them, we see only through the lens of our existing mandates. we have not gotten any new

mandates so take climate change, for example. the reason we are focused on climate change is our job is to make sure financial institutions, banks, particularly the largest ones, understand and are able to manage the significant risks that they take in the public will expect us to do that. climate change is just another one of those risks and increasingly, the large banks very much realize that. if you talk to leaders of these large financial institutions, they are very focused on what climate change is going to mean for their business, for business model over time so it is within the scope of that mandate. it is similar with inequality. we have these persistent disparities. racial, gender, and other disparities and in economic outcomes and our economy and they kind of hold the economy back. we all want an economy where everyone has the ability to contribute to and benefit from the prosperity that we have in our great economy so really, with our focus, it's on the gaps

that we face and we call them out, talk about them. we have tried to incorporate into our monetary policy framework the thought that maximum employment, our statutory goal, is a broad and inclusive goal, a reference to those issues and i think we now realize that unemployment can go low for quite a long time without inflation being a problem, which will tends to help those groups. on that, i would just stress we cannot be the primary policy organization that treats either climate change or inequality. we see it through the lens of our existing mandates but those are very much issues for elected representatives and other parts of the government more than they are for us. >> when you come to work sometimes, you see people in tents, homeless people living in tents. is there anything you think the fed should be able to do or

should be given more power to do to help people who are really suffering in the pandemic? >> we are not seeking any new authority. we are not the agency that has the most direct authority over that. i just happened to see it right here on virginia avenue. there have often been a couple of tents at this end of town where there is some open space, but now, it is big. it's a lot of tense and it's a lot of people and you cannot miss it. you drive by and you think it has to be because of the pandemic. it has just grown a great deal and it really struck me. it strikes me every day as i go buy it. so how does that play into what the fed does? i think we need to keep those people in mind, really. we do not have tools that deal directly with them but those are people -- many of them probably were working in february of 2020 before the pandemic hit and i think they need to be in the room with us as we make our decisions about monetary policy.

we need to be thinking that it's not just a headline in the aggregate. it's also the people at the edges. keep them and nine. manus: jay powell -- in mind. manus: jay powell speaking to david rubenstein. you can hear that thursday at 7:00 p.m. on the david rubenstein show. peer-to-peer conversations. coming up, angela merkel says the situation at the ukrainian border is very worrying. the estimated 100,000 russian troops are now deployed ahead of president samuel s. we will discuss the situation in russia. that is next. this is bloomberg. ♪

annmarie: good morning. this is "daybreak europe." i am annmarie hordern in london with manus cranny in dubai. angela merkel says the situation on the russia-ukraine border is

extremely tense and very worrying. there are now 100,000 russian troops deployed in the area and that comes ahead of today's annual address by president vladimir putin. he is expected to announce measures to get the russian economy moving with a boost to government spending. joining us now is the partner at dpw. thank you for joining us. i know you talked a lot with investors on how to invest and deal with russia. what are you expecting today from president putin? what is the tone? 2018, it was about hypersonic weapons that can reach florida. what is his message today? >> we are likely to see today is he will be talking about the measures he is going to take to recover the economy and also what we are likely to see is how he is going to be confronting the west and the situation in ukraine. obviously, the situation has gone extremely tense on the border and there's been a lot of harsh statements being thrown between the u.s. and e.u.

against russia and back and forth. manus: good to have you with us this morning. macron went on face the nation on sunday and warned of redlines and responsibilities. do you think that there will be a substantial escalation from russia into ukraine? is that the biggest risk? livia: at this point, it's very difficult to tell because russia's actual intentions are very unclear. this was really triggered by the fact that putin wants to take a stance against president zelensky, who is showing an increasingly confrontational rhetoric against russia and he started to engage in talks about nato and that is a clear redline for russia. also, i think president putin really took advantage of this point to show biden, to show the west that this is his backyard and he is willing to really flex

his muscles on this front. annmarie: what is the next step in terms of sanctions? are you expecting more sanctions because of the most recent russian aggression? livia: so we have seen a lot of tough talk and certainly the sanctions last week. biden did roll them out. they did not have quite as much fight as one would have thought they could have so they targeted the debt market but it was the primary debt market, not the secondary, and then we saw the usual expulsion of diplomats and nothing really major. there does not seem to be a real appetite to have sanctions that could really have repercussions for global markets. this is in part to restrict oil and gas exports. that would have a major impact on energy securities for europe. in ways, there is not that much room to have harsh sanctions and it is not clear who they could really be targeting next. what we see from biden is harsh

words with softer actions. manus: i like the way you have couched it. not gone for the nuclear option. but navalny it's state of health is critical. the u.s. administration has warned of serious consequences. i want to understand whether there is huge sympathy for navalny inside russia. livia: that is an interesting question. i definitely believe that navalny, he is not as popular domestically as he may appear in the western media. there is no doubt that he is a real threat to the russian government. he has built a genuine grassroots political movement in a country that had very little opposition before. his corruption episodes days -- exposes force investors to understand who they are doing business with but if you look at even some of the polling, only

19% of russians actively approve of what navalny is doing and also most recently, his own approval ratings were about 60%, which is pretty high compared to what most european leaders have so i think we cannot really put too much weight on what the protests -- i don't think that these protests that could be triggered today, you know, could trigger a regime change, for example. annmarie: you have been advising western investors on russia. are they running for the hills? what kind of advice are you giving them? livia: many of the investors left when the first sanctions were rolled out in 2014. the ones that are there at the moment are the ones who are really used to dealing with the russian government, but certainly, there is a lot of fear among investors, especially in the oil and gas sector and clients who are dealing with

high-profile russians, whether they could be targeted, whether we could see some of the major oligarchs appear again on the list, and that would create major obstacles for their businesses. so that is what they are all on the lookout for. who are the next big names who do have such a strong market share of the russian economy that it would directly impact them if they were to -- if there were to be sanctions? manus: that could be the football club owners, given the story at the moment. we will not take you into the global football story. our guest this morning, livia paggi, partner at gp w. europe's rebel soccer league has crumbled after half of the founding teams pullout. who blinked first? this is bloomberg. ♪

manus: it is "daybreak europe." with me, manus cranny in dubai and annmarie hordern in london hq. speaking of the wealthy, europe's super league is on the verge of collapse as on the english teams have pulled out. the move comes after a massive backlash from the sports authorities. the players, the politicians, the fans. david has been tracking the story. good to have you with us. why did it take just 48 hours for the biggest, most read story to implode and crumble? david: i think there's a number of reasons, but essentially, the league itself suffered some appalling pr. it released the statement on sunday evening after hours of rumors and counter rumors. they had no front person that

had an affinity with the fans and then you had this incredible coalition of opposition from fans all over europe. there were tv companies that were -- sky, for instance, which is in england the main sports broadcaster. virtually every single interviewer was against it. and very powerful tv from former legendary players. and then you had the leads and the authorities, the royal family, the politicians. but the main reason it fell apart was because the concept was just such an alien 12 european fans and nobody really explained the merits of it if indeed there are merits.

it was taking a concept from america, bringing it over here, no relegation. i don't know if they thought about consulting ahead of it. annmarie: we are just looking now at the super league, reconsidering the plan given these circumstances. what happens next? english teams are out. what about the spanish and italian teams? david: they have issued a statement to say that. what happens next? essentially, it is dead. i was talking to a source yesterday who was saying, you know, basically admitting they got one or two things wrong, fundamental things wrong, and they were saying, you know, football is going to change. we are here. we can listen. we want to talk to people and get their views. i mean, that should have been done months and months ago, but you know, they are willing to

talk, although to be honest, i think their credibility is pretty low at the manus: where do we go from here? the chelsea fans were screaming, "we want our chelsea back." billionaire club owners are as old as time and sin. they love trophies. they are not going to go away. they are not going to leave, are they? david: they are not going to leave their clubs. manus: yes. david: yes. i mean, i don't know. they were talking last night about come on sky, about liverpool being unlikely to show about the grounds again. the anger will probably die down by the time fans roll into stadiums but there will be a helluva lot of repair work being done. but where we go from here is,

you know, there will be changes in football. the big clubs will demand greater flexibility on how they show their content, how they share that. they are desperate to use their apps, visual devices, to show games direct to consumers. you know, change will go on as ever but i think the change that was being proposed was probably two seismic -- too seismic. annmarie: 48 hours and you already have a massive collapse. david hellyer will be on the story throughout the day. let's take a look at vladimir putin gives his annual address to the nation this morning. want to watch as protests are taking place across russia. manus: yes, and the bank of england governor, andrew bailey, he will deliver his speech on diversity, market intelligence. that will be 12:30.

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>> good morning. welcome to "bloomberg markets: european open." i am anna edwards in london. mark cudmore joins me in singapore to take us through all of the market action this hour. the cash trading is less than one hour away. here are your top headlines. agents docs and u.s. futures decline as virus cases rise around the world. pandemic boom and