tom: good morning, this is "bloomberg daybreak: europe," these are the stories that set your agenda.

the strike continues, boeing workers reject the latest wage deal to end a crippling stoppage. get bettel way maker warns it expects to keep burning cash next year. tesla shares sore after its most profitable quarter in more than one year. elon musk promises ridesharing services in texas and california as soon as next year. a dead heat in the swing states, our latest poll shows donald trump in kamala harris neck and neck less than two weeks from the election. we will have the details. another big day on the earnings front, and renault maintaining for your guidance after some of its rivals, stellantis, bmw cut

therefore your guidance. renault is maintaining its full-year guidance with revenue just below the estimates versus estimates of 10.9 billion euros. still seeing full-year operating margins of 7.5%. they had been expected to come in and see the margins of around seven point 8%, so in terms of the view on coming in softer, but in terms of the full-year guidance that has been maintained by renault. the stock up around 14% you today. the maker of packaging of chips, third-quarter revenue coming in at 156 million euros above estimates. third-quarter revenue for pe semiconductor -- be semiconductor is abuse. estimates and been for 64.1%.

to event dribbled up in the broader semiconductor space has waited -- weighed. lester: no markets. the earnings story is part of the calculation of our investors. he went the selloff yesterday in u.s. stocks. you may get a rebound today on the optimism that is come through from the beat of tesla. concerns around boeing with the members voting against the latest deal, so that could be a drag. european futures pointing lower modestly after dropping .3 of 1% yesterday. ftse 100 futures in positive territory. s&p futures looking to gain. nasdaq 100 futures looking to add .551%, they had tipped to tesla. let's flip the board and have a look at what is happening in treasuries, because you have seen a bit of respite in terms

of bonds elephant treasuries a lot. yields are currently down basis point -- three basis points. euro-dollar, 1.07. softer dollar helping a number of currencies. the pound in focus given comments from the poa governor andrew bailey on the ablation trajectory. more progress he is seeing and hinting that there are further cuts to come from the bank of england after they stood back in september. $75 per barrel on brent. the eye on the middle east crisis. let's get to a corporate crisis, because boeing workers will remain on strike after their union rejected the company's latest contract offer, which would have increased their wages by 35% over a four year period. the union president taking aim at the company.

>> it was not enough for our members. 16 years, we have had a chance to bargain every area of our contract, and trying to make all of that up in one is hard to do, what our members deserve more. they have spoken loudly, and we will go back to the table to try to achieve those things. tom: let's bring in danny lee following all of this. we know this is a blow for boeing, but helping a blow is this? >> it is a bitter blow given how much going into this about the highest prospect of potentially this deal being passed and the number of union workers rejecting this out right, so you have to look at what is the number? what is the number that will allow union members to vote through the next kind of vote and offer on the table? we heard from john holden saying the biggest sticking point is on

defined-benefit pensions, something that is more generous in nature, and corporations have generally phase this out. if the 40% originally wanted, could they offer a lot more in order to not offer changes including not bringing back the defined-benefit pension. back to square one, and it elevates the risk that they could see their ratings downgraded to junk, and that is something they would want to avoid given all the things they have been trying to do to get this business back on track. tom: the rating downgrade is a risk. the cash burn will continue until 2025. what happens next when it comes to this labor strife or billing? -- for boeing? >> boeing and the union will have to get back to the table quickly, but with the lack of

production and up but will further strain boeing and its finances. they have taken steps to shore up its defenses on the financial front, but the fact that boeing has got a slew of issues that the co wants to do to restructure the business wholesale, this strike is something you would like to see office just. tom: danny lee with another challenging day for boeing members not putting on the deal. to tesla and a very different story, some optimism, positivity when it comes to the tesla story. shares have jumped in late trading after a surprise blowout. elon musk added $80 billion to the company's value after strong quarterly earnings driven by cyber truck sales. musk also rolled out his plans to rollout ridesharing next year.

>> texas is a lot faster. we will definitely have it available in texas, and troubled we have it available in california. states actually next year as well. out is katrina nicholas, bloomberg's transport editor. break the numbers when it comes to the tesla earnings, a beat on the top line and if you as well as volumes. >> this was a blowout quarter for the electric car maker. it's most profitable results in a year. third-quarter sales were bullied -- buoyed by sales in the separate truck and a spike in regulatory tax credits other automakers pay to meet their own emissions rules.

for the third quarter tencent reported adjusted earnings of $.72 per share, and third-quarter automotive growth and margin excluding does regulatory tax credits came in at 17.1%. that was well above the 14.6% it was the previous quarter. expectations are coming into the set of numbers. after four consecutive bottom line misses we have had from tessa and a lackluster robotaxi underground yesterday, which left investors underwhelmed, and certainly with more questions than answers, so elon musk seems to have delivered the goods in this set of numbers. tom: he has delivered them in this set of numbers. will he deliver on these bold and ambitious plans when it comes to next year? historically we know we have to take some of this with a pinch of salt. how do investors read the comments as he projects into

next year? >> that is exactly right. like any tesla presentation, there were lots of fight level promises, and must spend a portion of the call talking about how we will make test of the most valuable company in the world with delivery growth of somewhere between 20% and 30%. he says tesla aims to rollout ridesharing in texas and california next year. there was talk about the robotaxi and production volumes we might see about that. this is what is calling that cyber cab. saying volume production should be well into the swing of things by 2026. he is talking numbers of 2 million units, ultimate of million perhaps. he spoke about this of portable model. he disavowed expectations they

might have about pricing about the $25,000 mark. she said that would be pointless, but he was talking a lot about that cyber cab, which is expected to come in at the $30,000 price point. musk is known to make promises he does not always deliver on, but investors seem to be happy, sending shares up in post market trading up 12%, which is raising the 14% gain so far this year. certainly investors at least for now our believing what musk is saying. tom: thank you very much in terms of the earnings coming through from tesla and looking ahead into 2025 and whether or not those plans materialize. let's check in on another earnings story, the lender over in the scandinavian space seb, coming through the mist when it comes to net interest income in

the third quarter. net interest income coming over just over 11 billion swedish krona, and the guesstimates had been for 11.3, so a gauge where these lenders slightly softer than estimates. in terms of provisions in the third quarter, that is come in shy of 400 billion swedish krona . net interest a little softer, operating profit of 11.8 billion swedish krona. let's get a check on asian markets and cross over to avril hong. what are you looking at? avril: we are looking at how despite solar earnings where they were talking about tessa or sk hynix failing to ease concerns two weeks out of the it was election. the region's benchmark today get its words its fourth session after clients despite what we are seeing from the likes of sk

hynix cannot record profit powered by a high demand, and details tells you what investors are concerned about especially with trying reversing gains from one day ago as those lingering concerns about the chinese economy weigh. we have been talking about whether the chinese stock rebound momentum can be sustained into the was election. we are seeing the japanese currency managing to snap a three session losing managing ta three session losing streak. let's take a closer look at it. it is risk --receiving a boost from the japanese finance minister. they are monitoring things with a greater sense of urgency. this is the guy calling for actual intervention. after that the boj will be the one who executes, so his words carry weight, and this is why we are seeing the gain on the yen

today. tom: general election in japan over the weekend. european pmi's today. markets will look to the data as a gauge of how quickly the economic outlook is deteriorating in the euro zone. let's bring in our guest for a gauge on what to expect in other markets are giving up around this data. valerie, what do we expect? libby repricing in terms of expectations around the ecb? >> ecb members commented recently they will be relying on the data whether they should go for a jumbo cut, so today i was because sprint will attract attention from the market. i want to talk about how badly they deteriorated in last month the bus because sprint, the first month we saw the composite indicated for the euro zone on the contraction. we saw a steep decline from france in last month's print, but we see the effects of after the olympics, but all three indicators are in contraction.

let's look at what we can expect in my next table for today's print. the only subcomponent of the in expansionist german services. it is expected to hold that 50.6 , but i would have my eye on that one. any downside could prompt further dovish language from the ecb. we have gotten dovish language and hawkish comments from ecb leaders as they speak alongside the imf. we had ever point out from orders that mentioned the ecb governing council is beginning to debate if they need to lower rates for the neutral. we heard similar comments yesterday saying they cannot exclude the ecb let's go below neutral. we heard more hawkish comments down at the bottom, one of them talking about how the market pricing of cuts is too aggressive. we could see some evidence in the day that today on whether the market pricing for the jumbo

cut from the ecb is validated. the market is currently pricing in a 40% chance that we do get that to percent cut for the ecb in december. tom: 40% chance of a 50 basis point cut in december. on the hawkish side suggesting that would not be appropriate but keeping the door open to 25 basis points from the australian central bank governors. thank you for a preview of the pmi data and the consequential nature of it and what he could mean for the ecb and eurozone. donald trump, kamala harris in a dead heat in the race for the white house. we discussed the details of our new poll next, and later on we speak exclusively with ceos on their company's earnings. ecuador -- equinor, really interesting story.

stay with us. this is bloomberg. ♪

tom: welcome back. the latest bloomberg news more than opinion poll shows donald trump and kamala harris locked in a dead heat less than two weeks out from polling day in the u.s. let's bring in pretty good down -- kriti gupta. it is a dead heat. this is focused on the swing states. kriti: the latest morning consult data, you are seeing kamala harris has a lead in a lot of swing states, nevada, arizona, michigan. michigan is the unsurprising one given that she has been courting the labor vote, so exposure to the auto sector is working in our favor, but apparently it is a neck and neck race because the margin of error could swing that

direction. this idea being voter turnout could sway the polls and anything could happen. even on the map three out of seven swing states trump has the lead in and four is harris. tom: how many of those swing states you need to get across the line when it comes to the total number of votes? the national vote are growing less important than the swing states. kriti: the number of swing states depends on which combination of the swing states, because the electoral votes are spread out. popular vote does not matter as it went in a traditional democracy. it all adds up. at the moment is electoral votes. in those four swing states which is outlined giving kamala harris the lead, but if that switches or swings back up event, and it is the combination of the states

that actually matters. it to your letter question -- latter question around strategy this is why former president trump is going to nevada and arizona today. he has given up michigan, even though he tried to court the labor vote. two out of three major trade unions endorsed kamala harris, traditional and line with what you have seen with democratic parties. now he is going to nevada, arizona. pennsylvania remains a key stepping -- sticking point. we know that trump had the biggest lead there. it is better refers to kamala harris but is closing the gap. i think anything can happen. tom: there are a lot of the electoral college votes in pennsylvania, so that is consequential. how should investors be thinking about the risks of no decisive

call on this election come november 6, that this goes to a legal wrangling between the two parties. kriti: it is a real risk, because we are going to see a lag in terms of how many ballots are counted. we want to limit the risk, and the united states and electoral officials that do this limit the risk of any sort of miss counting or fraud. note that this took a while in terms of the legal battle in the supreme court back in 2000. it took about what a week between joe biden and donald trump in the 2020 election. this time of the month of turnout and event of political pressure, because you have the legs, but the political violence depending on who gets elected, that is what gets tricky. consistently i've heard the idea is the long ball trade is when

you cannot put on enough, because this could be not only in terms of counting but political reaction and domestic violence that follows could last for weeks, months. tom: that is quite a prospect as lawyers garrett or illegal fight on the back of this election. thank you very much on the run-up up to the u.s. election. coming up, we will speak with the ceos of equnior -- equinor and another company. we will get their reactions to the earnings for both of those companies. this is bloomberg. ♪

>> overall welfare will improve less as not only if the u.s. puts tariffs on, other people would put tariffs on as well, and the economic dynamism of innovation will be significantly slowed. tom: that is bill gates, founder and chair of the gates foundation speaking at the bloomberg new economy forum. other stories making the news this thursday. u.s. officials say north korea is sending troops to russia, confirming the movements for the first time.

national security council spokesman john kirby says 3000 north koreans are trending at three sites in russia. defense secretary lloyd austin says there is a serious possibility they will be sent into combat. chinese president xi jinping and indian prime minister narendra modi met on the sidelines of a summit. xi said to both sides should strengthen cooperation and manage inferences. it is their first bilateral meeting since 2022 after easing up or to stand week. turkey says five people have been killed in an attack on a state own defense company in the capital. it was the deadliest act of terrorism in turkey in dearly two years. the pkk was likely behind the assault. reports say turkish warplanes later struck kurdish targets.

israel has confirmed a likely successor was killed. as for seen almost all of its killed by israeli strikes in recent weeks. equinor says third-quarter profit to fail. we speak to the ceo of the energy giant. that is next. this is bloomberg. ♪

♪ >> good morning.

these are the stories that set your agenda. boeing workers reject latest wage deal to end a stoppage. they expect to burn cash next year and tesla shares soared. elon musk promises ridesharing in texas and california next year. dead heat in swing states, trump and harris and neck two weeks from the election. let's check in with earnings front and center. boeing cash burn into next year and labor strife.

ftse futures lifted, s&p adding 2/10 of 1%, nasdaq gaining. you can thank tesla for that. nasdaq was down. selloff in the u.s. market has eased, dollar is softer and yields are lower, down on the 10 year. softer u.s. dollar, pmi data later in the day, the pound at 1.29. injury bailey says disinflation is moving fast.

brent is up over 1%. let's get the latest with dan in the yogurt maker coming in with third quarter sales below estimates in terms of sales with full-year sales increasing three or 5% for the full year and third quarter they came in above estimates, above estimates, a beat. some lines crossing, we watching that stop at the open. it's get to oil and energy. third quarter profit fell and a

norwegian company is among the first to repeat -- report results with week refining margins. the ceo joins me. thanks for joining us. we knew profit would ease, give us a sense of your level of confidence? guest: thank. when you talk about gas we saw 14% increase over the last three months driven by demand growth and geopolitical tension so and colder winter than normal, gas

storage will be lower last spring. price pressure in europe. tom: inventories are 95%. there will be a re-juice. geopolitical tensions gives us clarity on your outlook for gas prices. anders: with healthy demand growth of 3%, some growth in europe would help these levels. with normal or cold winter this can put pressure, this is the

dynamics we see in prices and without the storage it has been a 14% increase so there is pressure on the prices. tom: to -- to -- to the oil business, wendy's see prices turning around? anders: markets are well supplied in china. opec-plus, how much pullback will they do? increased supplies from non-opec countries putting a market which is well surprised -- supplied to the end of 2025, producing as much as we can with a low break

even and only one refinery, solesky affected by the margin and more exposed to commodity prices. tom: what -- what -- yeah, what range are you looking at? what -- what assumptions are you making as we get to -- the end of 2024? anders: last month is the range going forward but it is difficult to predict. we have a conflict with israel which has the potential to increase the prices if oil infrastructure is damaged in the conflict so setting the price is difficult. volatility and uncertainty in the market. tom: talk to us about the

investment in war stead, 10% stake in -- in the windfarm generator manager. is that strategic? where is it a tactical move to meet -- meet those targets? anders: it is part of our investment. we have a good portfolio, this is something we do investing in a good company in an industry we know well, it is premium, a part of our strategy, not in addition but apart, investing in a good company and our projects.

tom: you set a goal of -- of 12 and 16 gigawatts of online capacity. are you going to need to raise capex? anders: actually this investment in or stead gave us more, so we see toward 2030 toward the target of 12-16 or less. 12-16 will be met if we find enough profitable projects. so if we have to choose we will always choose profit. tom: ok, i -- i wonder if investors will welcome that because if i -- if i want to

invest i would just invest in them. what would you say to investors who -- who may not want exposure? >> we are long-term supportive investors. always long-term investor with industrial focus, able to create long-term value. tom: yeah, ok, ok. whether this is a precursor, is -- is that the signal we should be taking? anders: we have seen investment, a lower investment compared to organic investments. countercyclical move. to meet the target we can invest

less. tom: ok, towards -- towards 2030. how is the lng trading team doing? what -- what is your outlook? >> volatility means this quarter we have made profit with lng trading and moving between different hubs in europe for the pipe gas so we are able to increase burnings. tom: ok. anders indeed thank you for your time on the back of earnings. french fashion group warns

annual profit will slump the lowest since 2016 as weak demand hampers it. comparable sales slumps 25% in the board quarter. nine thousand staff exits after italy's biggest bank struck an accord with the trade union to curb expenses. they comprise 7000 staff in italy. christian linda urged the european union to abandon phasing out combustion engines. he ruled out further subsidies to help carmakers compete with

chinese ev's. >> the end of the combustion engine is not only to early, you do not need that date, you should be open for all technologies and even the combustion engine is possible climate neutral. tom: coming up, a cut to full-year guidance with the ceo of a french technology group. this is bloomberg. ♪

♪ >> welcome back. revenue forecast was cut for a french tech company. joining me is pascal. there are a number of challenges coming through. talking about boeing, what is

the biggest challenge? >> the auto sector is where we have exposure in europe. we have revenue so this is under pressure. the turn was during the summertime. i think we have solutions and i think this puts pressure on customers to make some choices.

this is the time to make decisions. tom: aerospace and defense? are you pushing through big deals? >> in q3 in the u.s. this is resilient. still growing with good perspective. tom: growth? >> may be double-digit because we have large deals and they will contribute. tom: boeing, we are reminded of the struggles. >> we have a long-standing

relationship and we have a commitment so the topic is how to transfer to the workers and the solution is helping them. tom: you supply small and medium-size enterprises. are you seeing caution? >> no and the reason why is different companies have a lot to reduce in it is how to deliver the order books of this has a positive impact. tom: what about large pharma?

guest: you remember i call it covid bubble, and a lot of new trials so we had contractions and now we are back to normal. tom: what does normal look like? guest: plus five. tom: how are you thinking about taxes? have you been lobbying the government? >> of course. impact will be below 20 million. we don't know but we are prepared. most important is to keep the tax credit for research and

development. the report is mentioning europe needs to invest in tech, is a benefit to find incentives. this is my push right now. tom: you are hopeful? what is happening in china? >> china is going well, growing double digits driven by the auto sector and investing manufacturing and we are benefiting. tom: are you seeing the impact? do you expect 2025 to be strong? what is the ai leg? >> what do we do?

combined modeling and data and ai is a way to innovate. reality is it gives us capability to non-experts. tom: are you integrating it? >> course, of course. we are not hiring people to develop code only, people who can design's cars, planes, drugs and ai is helping them. tom: does it mean you will have a small labor force? >> no, it is a way to do more with the capacity we have. tom: pascal on the back of the

earnings story. optimism around china in challenges for europe. to what extent that is playing frew for industrials. thank you. the weekend edition going into the context of stories in the world, scan a qr code and we will hold this up for you so you can scan it, well worth doing. stay with us, this is bloomberg. ♪

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♪ >> as a result of zero to

negative inflation expectations are changing slowly. that was lucky for us. although still taking time to get to 2%. >> bank of japan governor speaking. a reminder we should not dismiss the yen. volatility has picked up. whether or not the ministry of finance has to intervene with had softer dollar, expectations the ruling party wins. investors expect the boj with a hike in december but part of

that will come down to the fed being addressed recently. volatility is close to a three-month low. we saw wording from the owner of gucci and hermes later will have resilience, shares outperformed. are they feeling the pain? we speak to german president naugle. the opening trade is next, don't go anywhere. this is bloomberg. ♪

anna: i'm in a edwards alongside guy johns