"squawk box "squawk box welcome to "street signs." these are your headlines european markets on the rise, solid manufacturing numbers out of germany, france and italy saudi arabia and its gulf neighbors give qatar another 48 hours to meet their ultimatum. and china opens its $9 trillion bond market to overseas investors as hong kong and china launch a fixed income trading link

good morning, it's monday and let's kick it off with data. eurozone factory pmi, 57.4, manufacturing growth coming in at the strongest level in over six years and forward looking indicators are positive, as well we had encouraging numbers out of italy, france and germany this morning let's have a look at the stoxx 6700 up by 0.7% and that follows a pretty dismal week for european quit i did mequity markets we were off by roughly 2%, maybe because central banks have been turning more hawkish we'll talk much more about that with our guests in the next couple of hours. and let's also show you what the markets are doing one by one some buyers are coming back in

ftse 100 up by 1.5%, and the cac 40 also pitting utting in a faiy strong performance most sectors, in faskt all actun the green. oil and gas also up by 1.4%. we had a fall in the u.s. drilling activity and that has been propping up oil prices. real estate, food and beverages some of the more defensive stocks moving a touch lower. head of macro strategy at state street has joined us so we have just kicked off the second half of the year, third quarter. what is the playbook for the second half of this year so far we've seen bonds, equities, bitcoin, be gold all going up in tandem >> i think the key question is around europe. european equities have been the outperformers.

you mention the word encouraging around the pmi data and i think that is right. it's encouraging, it's not enough to give the sense that europe is overheating when you look at the inflation data, so if i think there is a carry-through into the second half, it's too make sure that fundamentals in the developed world and big emerging economies continue to improve. >> if we take a look at the performance of the stoxx 600, up by 6.5%, it's actually a little bit worse than what the s&p did, that was up 8%, yet in dollar terms, euro outperformed because it has risen so much against the dollar so what do you do when you try and pit the two against about each other do you have to make a choice between the european and the u.s. markets >> well, most investors probably have a little bit of both. i think the question is do you hedge your exposure. i think it's come a long way on fundamentals which are clearly

better, but have maybe not necessarily overtaken those of the u.s. and more importantly, the policy dynamics in europe have not necessarily meant we're having to think when rate hikes which we already are in the middle of the cycle in the u.s. and are pricing for further rate hikes. europe i think it is still a little ways away notwithstanding remarks from dragdy last wehi lk >> do you think last week was a turning point? we had the comments from draghi and carney and the ecb is trying to push back, but we saw yields have spiked higher and government bonds have sold out is it time to become more cautious about stocks and bocnd? >> on the stock side certainly you had three things valuation, earnings improving and you didn't really have a lot of positioning and then also in the background, you have a central bank that was very, very easy and you kind of took it for given that they were going to be easy and supportive

of risky assets. you still have thefirst three factors, i think they are more crowded now. the question mark is over the central bank i suspect they will be quite delibera deliberate hence the walking back of the rhetoric, but it is significant that draghi is probably the more st cautious wh his words. so the fact that he is sounding more upbeat does i think make a difference the earnings trends in europe are still quite good, the valuation case is still there certainly on a relative basis to the u.s. it isn't there as strongly in absolute terms the question mark over the central bank i think will be delayed in that inflation remains quite low, so i think that they will be very comfortable with policy. >> let's talk about some of your key calls. you're overweight italy and poland, underweight the u.s. do you want to be overweight italy even if we see tapering by

the ecb? >> if it comes, no and that is reflective of what i just said that we don't think it is necessarily imminent. we think that it will probably take place in the fourth quarter as opposed to the third quarter. and in the meantime, you still get decent yield which is what we see people chasing. but even with the rhetoric starting to ratchet up, there is demand for fixed income and spread product elsewhere and performance of corporates and high yield corporates kind of bear that out. someone's you do get the policy dynamic change, then no, you want to start to focus elsewhere, maybe the emerging world where central bank policy isn't as hawkish but i think for the time being it is still reasonably safe. >> and your fx overweight in the u.s. dollar, and that is not necessarily consensus. but yields are barely moving beyond 2.3%.

why is the dollar not higher >> yeah, this is kind of the anti-consensus view which is that there is so much bad news priced into the u.s. i don't think there is any stimulus priced in from the u.s. government and that is so far been a very good view to have. but at the same time, we aren't that far away necessarily from getting a few more senators on board. and that opens up the door to tax reform band i donand the dos very much decoupled from rates if you start getting higher rates, that can help the dollarer to. >> all right tim, stick around. hong kong and china have launched a much anticipated bond trade program with china's $9 trillion bond market emily filed this report on the first day's trade. >> reporter: northbound trading of the bond connect officially commencing today come compaincie with the anniversary of hand

over of rule it effectively opens up the $9 trillion chinese boond mnd marko overseas market. when they sell, it will be done by a clearinghouse here in hong kong we had several bond issuances as well to coincide with the start of trade ar and less than 2% of china's bond market is held by overseas investors. we currently have just a northbou northbound connect what about the southbound? this is what he said >> translator: we need to assess the operation of northbound bond connect and we need to assess the market demands we will make these assessments in due course. >> reporter: he went on to say that hong kong will play an important bridge are as china

continues to open up to the outside world. there will be no investment quotas for the northbound bound connect. telly tan reporting from the stock exchange back to you. and let's get tim's thoughts.exchange. back to you. and let's get tim's thoughts is it still going strong >> it seems to be. a lot have moved stretch valuations, but the backdrop i think is still reasonably support i have i think there are a lot more challenges if we do get a true shock that is sustained, that is a threat but the investor inflows into some of the markets remains strong and the environment, the backdrop for carry as far as low levels of correlation or declining levels of correlation across assets and low volatility combined with that is reasonably construction difference for some markets and you can starting to see signs that the emerging

world is not necessarily crashing china data gives evidence that their tightening is maybe having an impact on shadow banking, but not necessarily hurgt the real economy and they have policy tools i think still to utilize if things to get a downturn. so i think -- you never want to be comfortable, but i think we're in an environment where what will next blow up emerging markets is still a ways away inasmuch as they are talking about tighter policy, that is more 3 to 6 months from now thaern right rather than right in front of us >> it's never a broad brush story. do you really need to be so specific when it comes to country and stock picking? >> i think that is a good thing though because it tooek speaks to the notion that we're out of this risk on/risk off type of environment. i think idiosyncratic risk, people having to do their home work about local stories makes a lot more sense for a healthy market where it's just not this

correlation ever one kind of everything moves in concert type of market. the more dispersion you have across markets, i think the healthier that is. so if that is the case where the local shocks remain local shocks, i think that is a decent market for the asset class generally. >> any top picks >> continue to like fixed income in eastern europe in particular. they along with the ecb will be slow to tighten. >> all right tim graf, trahank you so much shinzo abe's liberal democratic be policy has beaeeen defeated will they lost more than half of its pre-election seats scoring its worst ever results it follows a series of favorite tim allegations involving the prime minister and senior members of his party meantime japan's business confidence has increased for the third con secretary due difference quarter hitting a three year high. this according to the bmj survey and saudi arabia and its arab

neighbors have extended the deadline for a qatar to accept its demands by 48 hours. they instigated a blockade last month accusing it of funding terror they have asked doha to take a number of steps. qatar's foreign minister says the demands are made to be rejected and said his country is ready for the fallout. >> there is no fear from whatever action that is being taken. qatar is prepared to face whatever but have i have mentioned to you that there is an international law should not be violated and there is a border which should not be crossed >> e-mail the show if you have any thoughts on the program or any thoughts about what could be performing well in the second half of the year we want to hear from you

street sin streetsignseurope@cbnc.com and you can also find us on twitter. still coming up, the second half kicks off with a string of deals. we'll bring you the latest on iran and also the happiest place on earth

shares rising on the back ever a $4.8 billion gas deal it signed are iran, their first major energy contract in more than a decade. a con sosortium led by total is developing their biggest gas field. this is only week after the u.s. senate approved sanctions against iran and vivendi has arrived a 50% stake in havas

the french media company now says that it will make a full buyout offer and verizon communications could be contemplating buying disney accordinged accordi to at from the new york "post. one source says not to count verizon out of a potential deal for disney now, over the last 20 year, stocks have generally been positive during the final six months of the year with large cap tech stocks powering the outperformance dominic chu takes a look >> when it comes to the outlook for stocks at least in the u.s., it turns out the bulls may still have something to smile about at least if recent memory has something to do with it. so we asked our data partners to take a look at the best performing indices and how they do in the second half of the year and it turns out it's a predominantly winnerin intrade.

if you look at the nasdaq composite, its up on average 4.3% a year in that second half of the year with a positive rate 70% of the time. also up there, the dow industrials, about 3.2% for the up 150itrade, 70% of the time and s&p 500, up 2.7% it's positive 65% of the time the russell 2,000 is the laggard, up about 2.5%, positiv only 55% of the time but if you are talking about the biggest influence overall, if the historical trend keeps intact, keep an eye on what happens with mega cap, large cap technology stocks and biotech. because the nasdaq 100 index, the biggest nasdaq companies, actually turn out to be the best performing of the indices during that time span, it's up about 6% on average during that six month

stretch and positive 75% of the time optimism is starting to return to hedge funds. yes, overall hedge fund performance has achieved its 7th straight monthly gain. this is its 14th gain in 15 months outflows are still an issue. $9 billion left european managers in the first quarter of this year. let's talk about what is in store for hedge funds in the second half of the year wi so what are we looking at in the second half of the year? are we at a turning point for hedge funds which have had a really tough time with subpar performance, with competition for passive and high fee structure? >> yeah, it's certainly right. the last couple years have been challenging. depending on the strategies you look at, obviously it wasn't easy, but we've seen a good pickup in performance this year.

krech strategi credit strategie come back and sentiment has recovered a bit. i think now the investor space is generally a little bit concerned with not only exposure in bonds and equities and we're hearing across the board that people are getting a bit more careful. they want to on be more diversified and i think hedge funds are still a valid strategy so to that is end, i think we see a bit of consideration >> what has triggered the rethink? is it the reflation story or is it the fact that qe is being taken off the table which is something that has lifted all boats at the same time what do you think it is? >> i think it's a combination of factors. coming off the biggest equity rally probably for quite some time and people realize and certainly qe is one factor, but also the fundamentals that thin things are cooling off a bit

and i think that is also where one of the challenges was for the hedge fund industry. when you get bench marked against an equity mar a ket ake strong carry on the bond market, it's obviously hard. and i don't think the fee composition was a bat od one because things have been excessive and it's part of also a maturing industry. so to that extent, that is all fair and square. the rifle arrival of some cheap products i think investors are aware of what they are getting themselves into because ultimate l ly you get what you pay for. that is fine to use it as a base component, but i strongly believe that you still need the idiosyncratic. >> one criticism is that stocks

in brexit haven't performed as well as they should and this is the job ever hedge fufr of hedgo perform well when the market isn't. and maybe the performance has been down to the fact that there hasn't been any major shock. how would you respond to that? >> it depends what strategy you look at. if we go back to 2008 for example, it was also a criticism that hedge funds had not performed which is not entirely true there are certain strategies that benefit from a more volatile environment and they will also benefitted last year june 2016 was very good for systemic strategies, good for us as well. it's not necessarily good for strategies that have an inherent high beater and i don't think that is necessarily a down side, it's just a character of the strategy so as long as investors are aware and so that is why it is important to have a good construction around many different strategies, be then you will be very well positioned >> what about the market, where is it headed

you run a high frequency cta and you have very high turnover, but i wonder with some of the long term models that you work with, is there any indication that we're headed for a correction sometime soon? >> well, i can given you my pre personal view, but i think there should be a correction because of a range of factors pointing towards that we have inflation numbers and i think we do have an exit price inflation across many levels it's not only equities, it's all real estate, collectibles, and what has been fueled by an easy quantitative policy by the central banks and this eventually has to come to an end because otherwise it does create a bubble so i think to that extent there will be a cooloff. i don't think that there will be a crash. a crash could only be induced by a geopolitical risk situation. i think that is definitely not priced into the markets appropriately. as long as i can remember after

the german unification, the political situation we have at the moment is as unstable as i can remember >> what about missteps when it comes to monetary policy i guess we're not really factoring that in. we talk about the first signs of tapering, tightening the fed is fully 00 track a when it comes to its tightening mode. are some moving maybe too quickly? >> you know what i think is critical that you have a consistency here and i think that is what the fed has done very well. they are basically pursuing what they had originally laid out and think to that extent it's priced into the market and it's a smooth process i think what we want to avoid is any big surprises because that is to nobody's benefit and as long as draghi is managing that from a communication point of view, it should be fine as long it's support difference underlying fundamentals. but what is not helpful is if

you just become too reactive.di underlying fundamentals. but what is not helpful is if you just become too reactive >> a the what point do yt what buying opportunity >> i think buying opportunity always exists when you have an overreaction so for example after brexit as well as quickly after the u.s. election, those were clearly buying opportunities i think that if we see any surprises to the political front, there will be a bit of an overreaction in the market because geopolitically risk is not appropriately priced in and those would create the buying opportunities. >> thank you so much for that. i appreciate it. a couple other on stories we're watching for you this morning, the tesla ceo elon musk says the company's model 3 sedan has passed regulators testing as the company looks to begin production on the high volume sedan this month musk says it's two week ahead of

schedule and he expects to make 20,000 per month by the end of the year musk said they will be priced at around $35,000 each. and dropbox is considering going public they are talking to investment banks about potentially underwriting an ipo. it was valued at $10 billion in 2014 it would be the largest tech ipo since snap and deliveroo is the latest to get unicorn status. it would be valued at over 1 billion pounds we'll gee foro for a quick brea. nshrgheck out the blog which ru tou trading day we'll be back in two

. welcome to "street signs." these are your headlines it's a field of greens as european markets start the second half on a high note this as strong manufacturing numbers come out of germany, france and italy saudi arabia and gulf neighbors give qatar another 48 hours to meet the demands. and beating them to the punch, president trump takes his fight against the media to a new

level, tweeting a mock wrestling video portraying him bashing a cnn logo i'm looking at fairly disappointing june manufacturing pmi numbers for the uk they came in at 54.3, that is for the june a forecast of 56.5 and we're seeing sterling-dollar retreating on the back of this off by 0.4% on the day now we're seeing exports disappointing the export orders came in at a 5 month low and keep in mind this is not the crucial one. we're waiting for services which accounts for roughly 70% of the economy to give us a better indication let's have a look at some of the other. euro a such weaker against the dollar as the dollar still

hovering around a nine month low. and dollar-yen at 112.86, so a little bit of dollar strength as we start the second half of the year and we are expecting a slightly higher start to the trading session. it will be a short day of trade for the u.s. given that we're going into the fourth of july celebrations tomorrow. this week we have fed meetings, the u.s. jobs report, but that comes after the holiday of course s&p up by 9 points, dow up by 73, and the nasdaq could add on 25 equity indices closed out the week by a mostly positive note on friday. and european markets has a sea of green ftse 100 is supported by some of the mining stocks, those are the top performers after better than expected data out of china and xetra dax and cac 40 also up four ex-barclays executives are in court in london facing

charges connected to the 2008 emergency fundraising in qatar explain to us what is at stake here and what are the charges? >> reporter: the reason this is so high profile in the news is because it's the first time that a global bank and its leadership team has been charged in relation to the activities related to the financial crisis. so not just the four form xerk differen exec about differences, it's also barclays bank itself facing trial. all five defendants, the four former executives and the bank sfefl, are facing the first charge which is conspiracy to commit fraud by false representation in relation to the june 2008 capital raise. and then three of the defendants, so barclays itself and former ceo and former head of the middle east are facing two additional charges, one similar charge in racket to the

october fund raise and one charge ever unlawful financial assistance which pertains to a $3 billion loan extended to the qatar. and in 2008, there were two big capital raises by barclays during which the guitarries contribu contributed. and bar classclays leapt or gav billion pounds of financing. the question is did they lend or give the money simply so they could reinvest it straight back into barclays itself the this has issues in regards to disclosure because market participants did not know whether all investors were getting the same terms it also raises concerns as to what was the exact nature and purpose of the deals and one relates to an advisory service agreement where barclays gave qataris, a $3 billion loan

that was mentioned anyway, we're waiting around for 2:00 p.m. when the trial gets going. >> thank you so much that is a lot of info to get through. but i wonder if it happened in 2008 and it's now 2017, why has it taken so long to bring those charges? >> well, the fraud office has been looking at this case since 2012 it's notoriously underresourced, so it has taken a while. they also have interviewed many people in relation to it before they got to today. remember of course that the financial conduct authority had alrea also a case going on simultaneously and separate to that, an but another investment on the other side so certainly

not coming to a conclusion >> thank you and barclays has he chosen dublin as its eu hub the badge hnk high school pical staff there. they agreed to rent a property that can hold over 400 workers and this is a great story this morning the uk will pull out of an agreement that allows some european countries to fish as near as 6 miles from british shores the environmental secretary told bbc that britain will pull out of the fisheries convention a deal from before the country joined the european union. the chief negotiator says that the move changes nothing arguing that the eu's common fish ris policy supersedes the london agreement. i'm glad we're not just fighting about fishing but also about plenty of other things i guess fish would be the least of our problems at this point.

luxemburg is emerging as a hot destination for insurers companies including aig and rsa has made the country their new european hub and some have consolidated their presence there. sbse swiss re has operations in the country saying that they are more business friendly and we're joined by the ceo for luxemburg for finance. very flattering indeed from the likes ever swi s of swiss re. what dove them to luxemburg? >> there are a number of factors. the general factors about luxemburg and then the general are factors in the insurance sector luxemburg obviously first of all it's international die mentiome. it's a multilingual country. you can speak english for instance with the authorities

even though it's not an official language second, luxemburg is a very stable country from an economic and from a political point of view and what maybe explains in the insurance sector the attractiveness is two things first, we have a separate dedicated insurance regulator which means that they are specialized in insurance and don't switch there bafrom banki insurance to something else. and then second this insurance regulator is specialized in cross-border business, which is exactly what the companies are looking for when enough to move out of london and set up a new entity in order to serve the european market. >> it all sounds well and good at this point, but to me the question that comes to mind is scale. lux up boring up boring is p l company. do you have the right infrastructure when it comes to

soft factors like schools or accountants or lawyers >> l >> lux up boring has over the last 25, 30 years built up an international financial center and obviously luxembourg also is with the likes of the eib and editors has a very large infrastructure when it comes to sbh international schooling. the development for the last kooer couple couple of years set up a new international baccalaureate curriculum in public schools so for free in english. should frso from that point of view, it is no problem so people who think that they should visit the country, we may

be small, that is an obvious fact, but luxemburg city has 2%. >> and it is a beautiful country. but i've never been to the financial center one of the criticisms that is sometimes leveled in the post-brexit negotiations as you try and attract some of the insurers is that you are using regulatory arbitrage and you've pushed back against this, and you're saying hey, this is not possible even under the eu rules. why would you say that this is not something that you have used in the past? >> first of all, i don't think it's only us saying this is not possible two very senior officials of the irish central bank said that the european regulatory framework does not actually allow any room for maneuver for regulatory a

arbitra arbitrage. ceo of insurance ireland was quoted as saying exactly that. i think it is rumor, because it is nothing but that, comes from a moment when an outgoing irish government had to for political reasons explain why jobs they had been promising did not materialize. i'm quite confident that the new irish government will not have to resort to this sort of communication by the way i think they have been doing very well themselves and luxembourg obviously and this is the important part is strongly committed to supervision of its financial center we are as i said the number two financial center after london. you only get to become this important when you attach great importance to credibility. and that is what we do so we are all in favor of sound regulatory supervision, we are all in favor of a level playing field in supervisory action.

>> at this point it's very uncertain what brexit will actually look like we don't know whether we'll be looking at a soft or hard brexit, something in between i guess the cabinet can't really city on that they can't really agree. we don't know how long theresa may will be leading the talks in the first place. is there some uncertainty when it comes to the businesses that you are talking to about what they should be doing, how quickly they should be looking for a new hole when it comes to their eu operations? >> no, i think one of them put to me very eloquently by saying that yes of course there are a number of things that are still uncertain, but then he said but we are not in th uncertainty. we are in the business of certainty. so all the businesses that we speak to, they are looking at setting up an operation that will allow them to be ready on day one of brexit. now, in most cases this will be rather contingency operations that then on day one of brexit they can decide whether they need to beef up in the light

ever what sort of relationship the uk will have with the european union and especially what degree of access the uk will have to the single market but they need to have an operation to be ready on day one of brexit. so that there is no uncertainty on that. >> this morning we heard barclays is choosing dublin over frankfurt. some of the big banks choose to be choosing brank furthfrankfur, but not luxemburg. do you have an issue with that >> on the banking side it is true that you have heard quite a lot of announcements, but on the other side maybe you have also period jpmorgan for instance say that they will dispatch some of their activities to frankfurt, others to dublin, others to luxemburg. and i'm relatively confident and satisfied with how we're doing in this. maybe that is why you don't hear

so much from us. but on asset management sirde, e have big and important names you mentioned the insurers there are many more in the as is the management field that because they already have presences in luxemburg, they are simply beefing up these presences and consolidating their operations in luxemburg. they don't need to make major announcements. >> all right nicholas markell, thank you to making the case. what is the best culinary delight in luxemburg >> cuisine has been defined as french cuisine with german portions >> all right i'll have to try it out. thank you so much. german chancellor angela merkel says world leaders should focus on sustainable growth as they march to protest poverty

and climate change speaking in her podcast, merkel says leaders should fee cuss on wealth distribution, free markets and vienvironmental issues and emmanuel macron is set to lay out are his agenda before a rare joint session of par areally chlt aides have said that the event will set the tone and direction of the brd's mpresident's mandas coming up, we'll talk about andy murray hoping for a hat trick as wimbledon gets under way. we'll explain how companies and marketers are looking for a big win as well. whoooo.

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xi jinping and shinzo abe also discussing trade trump and abe restated their commitment to increasing pressure on north korea. and president trump has been busy on twitter once again he hailed the strength of the economy tweeting that he expected high employment rates to spur wage growth. however it was his tirade against the media that has attracted the most attention jennifer johnson filed this report >> reporter: this is the video the president tweeted edited to show him at a wwe event beating up on a man with a cnn logo on his face cnn called it a sad day when the president of the united states encourages violence against reporters. this after the president personally attacked "morning joe" host mika brzezinski and joe scarborough last week. mr. trump continued his media assault. >> the fake media tried to stoups from going to the white

house, but i'm president and they're not. >> reporter: mr. trump is he his use of social media is modern day presidential, but some republican lawmakers are calling on him to lay off. >> it's unfortunate and people are now begging the president not do this and he should stop doing it >> reporter: as dozens of impeachment protests are held around the country sunday, the white house denies the president is distracted and is working to getting the stalled gop health care bill passed >> the president has held multiple meetings within the white house, with physicians, with small business groups, with other folks who have been harmed by obamacare >> reporter: but some republicans say they can't vote for the current plan because it's too much like obamacare >> the bill is being lit up like a christmas tree full of billion dollar ornaments and it's not repealed >> reporter: the president says republicans should consider repealing obamacare now and replacing it later this week the president heads to the g-20 summit in germany where are he will have his first face-to-face meeting with

vladimir putin since taking office jennifer johnson, nbc news, washington and in tennis news, andy murray will open wimbledon centre court as the famed tennis tournament begins with murray gunning to become three time champion the british number one also in action and along with venus williams and rafael nadal. andy murray says he's into on win it >> i want to try to win the competition. when you maybe adds a few more nerves on especially at this slam the way the scheduling is, urt first one out there on centre court you know, you feel like you're opening up the tournament a little bit and that adds a few more nervous but i feel okay. >> let's talk more about what we can expect out of women bell

do wimbledon. thank you so much for coming in wimbledon. thank you so much for coming in. has it ever been more exciting when it comes to the men's field? up the top four and the next two weeks should be fascinating. >> it is great stories everywhere you look. i think also it's a combination of the generations coming together so you have the old guard who is still very much at the top of the game, but then the next generation and even to be honest the very young guys coming through. so a lot of great stories. >> what is your best bets from about a personal view on who will make to the title >> i think i can answer that question saturday next week. there has been a few injuries. nadal, murray obviously. but it's hard to bet against murray in england. >> there is currentlythat they battle for on the number one nadal, djokovic, they all have a chance to take number one away

from murray. again, we'll see whether they can actually do that when it comes to the female field, it's a lot less suspenseful in a way yes, you have serena williams out because of her pregnancy, but then a few other contenders haven't been that impressive on a trailing basis, she's actually only number 15 because she's done so poorly we have big potential, but no one is really dominating the field in the absence of serena, right? >> totally right again, it makes it really exciting i think that you have some winners in there still you have some stories of some comebacks. and british fans will be behind her. so a great tournament for the women, as well >> and you represent the number

three who has done extremely well she's won eastbourne do you think her chances are good >> i think she's probably very happy where she is she's coming in without a lot of people talking about her and winning eastbourne is the best statement that you can make. and she plays great with a brinbig powerful game. >> and you're seeing all the official suppliers and sponsors there. and you have some stellar names. women beimbledon has bean hugent fbl. it has so much prestige and it's set apart from many of the other tournaments on the tour. how much is this disconnect between wimbledon and some of the other tournaments growing? >> that's a good question.

i think tennis does a good job of making sure that it's a year-round sport and wimbledon is one of the highlights and the players, you know, they do hold wimbledon in a special place but i think that without the other tournaments, wimbledon isn't anything so i think that it's a good relationship between all the events there is as you say prize money is very high, but it's still part of a bigger picture for sure >> what do you think about the demand coming thefrom cooperate? obviously everyone wants a piece of the cake. it's quite expensive now to buy yourself into that is there as much interest in some of the other tournaments apart from the other big three grand slams? >> it's a good question. i think each tournament brings something to the party, so if you take for instance turkey is this year running three successful events and obviously that is the rise of some turkish players. but wimbledon delivers big audiences and you may get

involved with another tournament for different reasons. lowell pl local players for example. >> thank you very much and before i wrap up the show, let's have a quick look at u.s. futures once again the s&p 500 up by ten points roughly, dow jones could add 74, nasdaq seen up by 23 this is after equity indices closed out the week on a mostly positive note on friday. and finishing the quarter with modest gains that is it for today'sshow i'm carolin roth "worldwide exchange" is up next.

good morning we're halfway there. today kicks off q3 with nasdaq coming off its worst week of the year and steve bannon is reportedly floating a tax hike on the wealthy causing a stir in the white house. those details coming up. and plus the former ceo of barclays and three other ex-bankers are in court facing fraud charges. we're live at the court with the latest it's monday, july 3, 2013 and "worldwide exchange" begin