this is "worldwide exchange". i'm ross westgate. these are your headlines from around the world. . barclays picks an insider as its new ceo, antony jenkins. does the move imply a change of direction? bilateral talks in beijing. angela merkel seeks to reinforce economic ties with its key trading partner. china says it will continue to invest in euro debt. paul ryan takes the stage at the republican national convention, attacking president obama's record and promising he and mitt romney can rebuild the gop and u.s. economy. also turn around time? japanese tech giant sonny

unveils its new tablet looking for products helping to rekindle the company's former glory. we'll hear from the company's ceo. so, welcome to today's edition of "worldwide exchange". mr. bernanke is in jackson hole. barclays point appointed antony jenkins as its new ceo. he's taking over with a media effect and will command an annual wage of 1.1 million pounds. barclays stock is down 1% this morning as far as the shares are concerned. let's get more, though, on who is mr. jenkins and what is he

going to bring to the table? joining us is kathryn. thank you for joining us. who is antony jenkins? he's always the favorite inside man to get the job. why do you think he's got it? >> i think he's got it because he's not associated with the investment banking side of the business which is where a lot of these scandals that have rocked barclays to the core in recent weeks have come from. he's been appointed and my source at barclays say he has a mandate to take a close look at what's gone wrong with the bank, how they can change, how they can restore trust in the bank's reputation. >> what's interesting about that, of course, he's as you say from the retail business side and what's gone wrong has gone wrong on the investment bank side. does he know his way around investment bank. can he fix it? >> that was one of the worries about whenever he first emerged as one of the leading candidates

because i think there are a lot of concerns if an investment banking man can't spot where investment banking has gone wrong or can go wrong, what can a retail guy say about it. this may also be potentially read as a refocusing of barclays away from this investment banking business towards a more retail focused. >> i could see why it would work politically. how much is the new chairman, he doesn't come in until november. how much has he had to do in the choosing of antonien joins? -- antony jenkins? >> he seems to be very involved in the process together with the current chairman. of course he's going to replace. seems to be very involved in the interview process, and i hear from my sources too that the treasury and the bank of england, as you know, were quite

instrumental in trying to get bob diamond step down and approved the appointment. it's a good sign from regulators at this point it's being approved. >> there's a piece on the web. >> course. check it out. a lot more detail on antony jenkins, what he's done previously and what he's expected to do for barclays in the next three to five years. barclays also being investigated by britain's fraud unit. it's related to payments made for advisory services. on today's show as well, we'll be live in tampa at the republican national convention as presidential nominee paul ryan promises to turn around the u.s. economy and we'll cross to the conference in paris where the french prime ministers said the government is working hard to avoid major job loss and also one of the key points in the louisiana coastline to assess the damage as isaac weakens into

a tropical storm. we'll hear from the ceo at the electronics fair in berlin about its new tablet and company's plans to boost growth. and we'll hear from the fed on its opening day of their symposium in jackson hole. >> angela merkel says political leaders have the political will to stabilize the eurozone. wen said beijing will continue to invest in euro debt and confident the country will survive their debt crisis. >> translator: currently the impact of the global financial crisis and the european sovereign debt crisis is deepening. as important economies are strategic partners china and germany should make consistent

efforts to promote the confidence of the international community joining together in dealing with challenges and creating a better tomorrow. >> joining us now is the founder of angeloan foundation. germany is sending a huge delegation to china. what do you make of it? >> well, obviously the first priority for the german chancellor is to get investments from china to stabilize the european market and above all to stabilize the eurozone because the eurozone at the moment is really hanging over a cliff. but from china's point of view, of course china's economy is splattering, largely due to the falling in exports to germany and the eurozone and so

stabilizing the eurozone market could also help with china's economic growth. but on the other hand, china of course has loads of problems internally and unlikely to throw away the family jewels in order to save the euro system because the eurozone system is not a question of money, it's a question of internal flaws when the whole euro project was designed and these problems are unlikely to be resolved by throwing good money after bad. >> you know, it's a bit interesting. if i was china and germany asked me to say would you awfully mind buying some italian spanish debt i would be tempted to say after you first. >> yes, quite. but as i was saying after all europe is the largest market to china, so if the european market should tank it's not good news

for china as well. so i think that there's kind of a, kind of self-preservation for china as well so i wouldn't put it past the possibility that china would really invest, start investing something in the euro bond but i think that there's a limit to it and i think china would be more interested in investing in technologies in europe which would be highly valued, particularly, for example, in the aviation industry and also in the infrastructure in europe. >> i'm sure you're right. good to have you on. you'll be with us for the entire hour. samsung unveiled a brand new smartphone. it was a number of products unveiled by the south korean tech giant at the tech fair in berlin. also there, sony has been revealing the latest version of its android tablet. takes on samsung in that device market. patricia has been speaking to

the president and joins us now. practice tricia, reremember the glory days of sony back in the '80s. maybe you might not. you're younger than me. what does sony have to do reclaim those days? >> reporter: that's the key question. i know when i was little sony was imminent. when my dad came back from a business trip and had a sony walkman. i was the coolest kid in school. i was very proud and somehow especially as of late sony has lost that cutting innovative edge which is everything in this kind of electronics business. so yesterday, absolutely right, i did sit down with the now ceo of sony basically in since april and he's launched his big turn around story. i focused this turn around

initiative he has and his products and the economy. >> i think we need to do several things at once. the first important think that we're embarking on is to make sure we're laser focused on the core business that is going to grow sony in the years to come and those areas are specifically in the area of gaming, in the mobile space and also in digital imaging, and a lot of investments we've done in the past several months are in that space. at the same time we also need to turn the tv business around which is another aggressive initiative that i'm personally undertaking and make sure we have the right business portfolio. so we're getting out of some business, acquiring other businesses again to make sure we're month focused on our strategy going forward and another very important part being our aggressive move into the emerging markets as well.

>> let's take it step by step. what i'm interested in is xpe a xperia. how do you intend to penetrate this market with the giants and what is your time horizon to say we're number three big player or we'll challenge apple or challenge samsung. >> the first important thing as far as market share goes is to note the xperia line of smart phones in japan actually, depending on the launch dates of various phones we garner top market share as we launch our x perch ria smartphone in japan. as you know, japan is a market where the customers are demanding with features and also functionality. and the xperia smartphone delivers to that market. i think we need to aggressively

expand our market share in the european market where we have a foot hold with, again, making sure that we're delivering the message of the xperia smartphone bringing the features and functionality as well as some of the inhouse sony services that really provide an exciting and compelling user experience. that message needs to get across to our customers in europe. >> i was going to say what about the u.s.. what do you expect? we had economic data looking at a little bit better economic development in the second quarter. what do you think the dynamic of the u.s. market will be in consumer electronics, in the sector itself? >> i think that just overall in the electronics segment, the u.s. market continues to be a very competitive market. a lot of innovative products are

coming. but at the same time economy has some more room to improve and so, you know, i think it's very important for sony and other companies as well to make sure we continue to innovate, to continue to bring products that excite customers. price is obviously especially in the europe and u.s. are an important factor but it needs to be balanced with, again, the kind of exciting products we bring to market as well. >> reporter: they do have a possibility to penetrate the u.s. market because that one is expected to grow by 6% in 2012 hitting more than $602 billion and overall tablet marketed is expected to increase by 83%. also we spoke to the head of brands at samsung. very interesting. they are launching the new tablet galaxy phablet. fantastic features.

it is lighter, brighter and smarter. i'm sure you're happy to here that. it will help you to multitask. sometimes it's referred to women can do it better than men but now men can do it with the right gadget. because while on the phone you can write down notes while speaking to the person. >> do i that already. i'm on the phone and i have a pen and paper. i can do that. >> that's what's not happening. statistics so exactly the moment you're on the phone especially when in you're car driving and speaking you want to jot something down and of course you won't be able to do that while driving but you can have the option. >> thanks very much. just ten minutes into trading today here in europe and we

weighted to the down side. we hit a session high ten minutes ago. ftse was down half anterprises and banking sector and all these translates into a weak market sentiment in the short term. >> andrew, more to come from you. also still to come we'll get the latest bank of england consumer credit and mortgage approvals for july. and more of barclays change of leadership.

and these are the headlines. kbla barclays picks an insider, antony jenkins. does it imply a change of direction? bilateral talks in beijing, angela merkel seeks to reinforce economic ties with its key trading partner. wen jiabao says his country will continue to invest in euro debt. paul ryan takes the stage at the republican national convention, attacking president obama's record, and promising that he and mitt romney can rebuild both the gop and the u.s. economy.

we're about to get some consumer credit mortgage approvals out of the uk. european stocks today still pretty cautious really. we're trading tight ranges ahead of the jackson hole start today and ben bernanke's speech tomorrow, people wondering what he'll suggest about more stimulus from the united states. right now we turn our attention to that data, we're looking for a bit of a drop down. uk july mortgage approvals, 47,312 versus junes 44,000. that's pretty much as expected. consumer credit contracting .2 billion versus june's plus 1 billion. that's a much sharper. we're looking for consumer credit to expand half a billion, biggest fall since february. and july mortgage lending up 1.1 billion versus june's contraction of minus .2.

better than the plus .3. money supply growth up half a percent monoand contracting down still 6.4% on the year. joining us is michael houston. consumer credit contracting. mortgage approvals fairly steady. mortgage lending up a little more than we would have thought. your reaction. >> this has been systematic of the data. it's very slightly from contraction to slight positive and i think it does underline the difficulties facing not only the uk economy but the uk consumer. i think they are very reluctant to take on new debt, to take on new loans when the economic outlook is so cloudy. >> yeah. when do we work out where the funding for lending is having any impact? >> well that didn't really start in august so we should really see some sort of effect, maybe in the august figures which will

be due out next month. i think the money supply figures are slightly encouraging. rise in july, we're expecting a decline of minus 1.5. the easing that was restarted in july could be starting perhaps to have a trickle down effect but i certainly think the funding for lending scheme will need more time to per could late through and it does seem strange, they brought in this new scheme and yet a lot of new lenders are pushing their mortgage rates slightly higher. you have to really question as to whether or not it's having the required effect. >> antony jenkins, new chief executive, and of course this investigation by the uk fraud unit over payment to british banks. mr. jenkins, reaction to him. he's an insider, but he's not an investment banker insider and i guess there are good and bad things about that. >> there are good and bad things about that, absolutely, ross.

the good thing he's not an investment banker. barclays wants to get back to basics and focus on the retail side of things but he's not totally untainted by the scandal that's happened. so that was a retail product. so i think from a broader perspective he's a safe pair of hands and he basically, makes it easier to adjust because he knows the culture of the bank rather than someone parachuted from outside. he's got his work cut out to, you know, turn around the barclays brand and certainly starting from the retail side of things is a good start. >> okay. then this other side, the stock is down today. is that less of a reaction to jenkins and more about this investigation that appears to relate to payments made to the qatar investment authority for advisory services. >> i think so. the inquiry is the latest in a

long line of scandals, if you like that have of a flicted the banking sector. broader financials, they are lower across the board and certainly you have to factor in the fact the barclay share prices are higher from the lows we saw about a month ago. so i think this will come a little bit lower. >> just right now -- interesting with the bank sector as a whole, if we get some decisive action out on the eurozone i would presume british banks would go up with everything else. >> absolutely. that's what we're waiting for. certainly with respect to barclays who had significant exposure to spain and portugal. tomorrow we got banking results and they are not likely to be particularly palatable reading for the spanish government. so i certainly think a solution is something we're looking for from the ecb next week. question is will we get it? i'm doubtful. the market is building itself up for a bit of a disappointment.

>> michael, thanks for joining us. we are a little bit softer today. we're down half a percent for ftse, yesterday currently off. xetra dax flat. ibex as well. the big focus is today in italy on the bond market. yields 5 policy 7%. new ten year benchmark will be issued today, november 2012. interesting to see if they've pay 6% yield to get away successfully. remember they've already borrowed this week in shorter dated paper. yields on those six month bills lowest we've seen. this will be interesting to see how this goes. 4 billion of that. that auction starts taking place in 25 minutes. we'll have the results after that.

euro/dollar stead iy 1.2427. sterling dollar post those numbers young changed really after that borrowing data. now turning over our attention back to japan, domestic consumption is losing momentum, further clouding the anybody outlook. we have more from tokyo. >> reporter: hi. japan's retail sales fell 0.8% in july from a year earlier. first drop in eight months. sales of beer and summer clothing were down due to cooler weather. tv sales tumbled compared to a year ago. olympic games cannot cover this decline. sales of electronic stores fell by more than 26% from the year before. on a brighter note car sales remain brisk rising 32% year-on-year. this is mostly due to the government subsidy program.

but with the budget running out the scheme could end as early as next month and analysts anticipate a further slow down in consumer spending in the coming months. back to you. earnings here in europe, frerj drinks company pernod reported its best growth. because of robust demand in the u.s. and asian markets. and danielle ricard was named new chairman. shares in wpp are lower this morning after the company revised after its full year outlook saying custo demanding better value for their money. the world's largest advertising

group said revenue slowed in north america and western europe but improved in tuck. emerging markets such as asia-pacific continue to see the strongest growth. earlier the ceo spoke to cnbc about his outlook for the election. he thinks mitt romney made a good business decision by selecting paul ryan as his running mate but suggested republicans migh struggle. >> i first saw paul ryan at a business council meeting about three year all members of the business council in the u.s. were immensely impressed by him and he's certainly very appealing. inee romney to esting choice by choose him over the other candidates and i think from a business point of vi, positive one. whether it's appealingth preach, f you ask me who i thought was is going to win the election, i think president obama who is a superb campaigner

will win the election. i'm not sure it will be quite inhe way that the republica vot. therer. ink ror punú+ sebe.

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which aggressive >>eportehk wvinm tdet 0, per piece. not whate td ouen especi the u.s. alsole apple, a system was involved and came with new product and most of them really being based on the ofcourse, is going forward whether they will rely more on microsoft mfticrosow s drivers of going forward for samsung. >> a lot of play patricia thanks for that. the l. still to come we're heading back down the big easy.

tropical storm isaac may slo maf the hardest hit areas. at bank of america, we're continuing to lend and invest in communities across the country. whether it's supporting a delaware nonprofit that's providing training of a neighborhood in the bronx, or providing the financing to help a beloved san diego bakery expand, what's important to communities across the country is important to us. and we're proud to work with all of those who are creating a stronger future for everyone.

these are your headlines. barclays picks an insider as its new ceo pinting retail and business bank chief anton tton

jenkins. paul ryan takes the stage. >> tropical storm isaac is losing strength as it moves further inland. that's where we go now. president obama has declared disaster emergencies in parts of louisiana and mississippi hit hard by tropical storm isaac. the national hurricane center expects isaac to be downgrade to a tropical depression later today. cnbc senior correspondent scott cohen joins us from plaquemine parish. what is it like there? >> reporter: well, the issue here in addition to widespread power outages in this area of southeastern new orleans is testing the flood control system. you know that in new orleans they did a massive upgrade of the system after the disaster of

hurricane katrina seven years ago. outside of that the levees and flood walls are locally maintained, locally controlled. there's some federal funding but they are being tested now. plaquemine parish is not heavily populated that's a good thing. that flood wall success tested. it connects to the mississippi river over that way where this a less vaccine there was water literally flowing over the top of the levee. they had to pull people out of their homes and neighborhoods adjacent here, rescuing them from roof tops and attics and now they are talking about maintaining this levee and also trying to get the tons and tons of stormwater out of the neighborhoods and back into the mississippi river. one of the things they are looking to do as soon as today is actually cut a hole in this levee system to try and get the water back where it's supposed to be. it's a somewhat drastic solution but one that they may have to take to try and keep the damage frk worse. that's the kind of thing we're

dealing with here is the challenge of all of the water that is slow moving hurricane now tropical storm isaac left behind. >> sounds like a long job and long shift four as well. scott, thanks very much for joining us. we have cibc announcements. going to acquire u.s. energy advisory firm griffis. terms have not been disclosed. let's remind you where energy prices are trading as we get the latest on isaac. crude oil a little bit weaker this morning, 95.36. natural gas is slightly lower. you were talking earlier of unloading positions in the energy sector. >> we were talking about over the shorter term we have

slightly more caution on oil price after such a substantial rally and potential for intervention and that makes me more cautious. >> this is about whether the world is suggesting we'll talk about putting reserves back in. is that sort of a trading statement rather than anything that will have a meaningful impact on prices. >> it is. at the moment the market is trading very much on sentiment. whether it actually has an economic impact or is not less of an issue as whether investors perceive it as that. >> paul ryan has taken the national spotlight wednesday evening accepting the republican's vermont presidential nomination. in his primetime speech the wisconsin congressman promise ad rebirth of the gop telling voters how he and mitt romney will turn around the gop and the economy. he blamed president obama important the gigantic u.s. debt

and stubborn high unemployment. >> the presidency that began with such anticipation now comes to such a disappointing close. it began with a financial crisis. it ends with a job crisis. it began with a housing crisis they alone didn't cause. it ends with a housing crisis they didn't correct. >> john harwood is pulling long hours at the republican convention in tampa. it was quite a good speech from condoleezza rice. how do you think he performed? >> reporter: i think he was outstanding, ross. paul ryan is somebody who is not experienced on the national stage. only 42 years old. he stepped up behind that podium and really electrified the delegates. the question is how well did it come across on the stage across the country with all the millions of people watching on television. i think he conveyed youthfulness, energy, conviction, the kind of

authenticity that people like to see in politicians. he's a true believer. one of the reasons that mitt romney picked him and one of the reasons why there's a lot of promise in his candidacy because the ideas that paul ryan believes in haven't been proven to be popular with the majority of the people and we're going to have to fight that out in the campaign but that's the fight we've got and it's going to be exciting. >> is it now going to be budgets front and center all the way through to the election? >> reporter: i think it's going to be taxes, spending, budgets and medicare, in particular the issue of medicare. this is a program that democrats started in the 1960s. conservatives posed it at that time. it has been difficult for them ever since because the program very popular, lifted a lot of seniors out of poverty. the question is now going to be can republicans persuade americans that we can't afford it and therefore it has to be smaller. that's the challenge. senior citizens vote at very

high rates, higher rates than younger people do. republicans in the recent past have been loathe to take on that fight. mitt romney and paul ryan are taking on that fight. we'll see if they can win it. >> particularly in the state where you're at. it's a key state and there's a lot of people that receive medicare. how are they dealing in doing in florida, do you think? >> reporter: well, they are running neck and neck with obama in florida as they are running neck and neck with obama on a national basis. remember a lot of seniors today, if you look at the polls, the republican ticket is leading among seniors. that's not because of their position on medicare it's because many of the seniors who have now moved through, who grew up with ronald reagan and for a considerable part of their adult lives are conservative, are republican leaning and the question will be can democrats pull off any of those people by making them think republicans have got bad things in mind for this program. that's where the fight is.

now republicans are saying they are going to protect people from 55 to 65, people near retirement are not going see their benefits cut, democrats are going to raise questions about that and also try to alarm people who are younger. >> okay. john, good to see you this morning. thanks for that. policemen more to come from john. and earlier this morning wpp ceo said a clear winner. >> president obama who is a superb campaigner will win the election. i'm not sure it will be quite such a tight margin as people are predicting. >> what are investors going to do because whoever wins we're still going to have a divide house and have to get over the fears of fiscal cliff. >> little uncertainty. what's going on economically and politically and what's going on at the corporate level.

we're more confident at the corporate level where cash levels are all time high. they have more room to invest, potentially m and a and et cetera. >> okay. they have the confidence to do it. >> exactly. >> we'll take a short break. still to come we'll be joined by bob mctear on the day that the symposium opens in jackson hole. >

so just in case you were wondering the fed kicks off its annual symposium in jackson hole, wyoming today. ben bern speaks tomorrow at 10:00 a.m. eastern. he's not expected to announce qe3. experts thinks he'll reiterate comment from the recent fed minutes. he may lay out the case for more stimulus and outline what tools

the fed has at its disposal. joining us on the phone now is rocket mcteer. bob, good morning to you. thanks for joining us. slightly better tone in the data we've had since those minutes were released. has that taken the pressure off of bernanke to come out and say anything very meaningful? >> yes, i think so. very awkward time for him to say anything meaningful regarding qe right in the middle of a presidential primary and convention and so i don't think that he's going to say much. you know, the symposium always has a theme. i don't know what the theme is this year. but the chairman bases his remarks on whatever that theme is. so i doubt he'll say a lot in his prepared remarks about the possibility of more qe. he'll have to respond to some questions but my guess is he'll

do what he's been doing. we'll say we stand ready to act if necessary, but right in the middle of a political convention, i kind of doubt that he's going to offer up much. also he needs to keep the pressure on the politicians to do something on fiscal policy and not take them off the hook. >> it's an unusual spot to be in because expectations have been raised from those minutes and now he's got to sort of -- how do you down play that? how do you manage what's been raised? >> well i don't know that you can. my guess is that the stock market will react negatively for a day or so to not much. that being said, so he'll just have to do that. i don't expect him to do much. >> the maid head wind at the moment is consumer sentiment. he'll be under pressure to come

out and highlight the tools he does have available. >> yeah. he can. i'm not sure how much consumers pay attention to jackson hole. i think the people like cnbc are very knowledgeable it and the significance of it but i don't know that consumer sentiment will have much to do with it. it will have more to go the convention than jackson hole. i just returned from a week in jackson hole and the weather couldn't be nicer there. maybe they just ought to go out and hike and ride their bikes. >> nice, bob, that they will get a good day. steve liesman will be very happy about that. bob, thanks for joining us on the phone. bob mcteer. that's it, planet more from the republican national convention and from jackson hole, wyoming. that's it for "worldwide exchange". "squawk box" continues the

action here on cnbc in just a few moments.

good morning. today's top stories, barclays names a new ceo to run the scandal hit british bank. the global markets are waiting on bernanke. some strategists say the fed chief's jackson hole speech can make-or-break the rally. plus a grand old party in tampa, mitt romney set to officially accept the nomination for president tonight. his running mate paul ryan making the case to standing applause last night. >> the presidency that began with such anticipation now comes to such a disappointing close.

it began with a financial