welcome to "street signs." i'm joumanna bercetche >> i'm willem marx european equity markets turn negative dragged down by basic resources as crude prices take another leg lower. and apple suppliers in europe feel the heat after president trump suggests iphones and laptops could face extended tariffs with dialog semiconductor the biggest decliner. shares in thomas cook hit a

six-year low after cutting their profit guidance for the second time in as many months and halts dividends. and winter is coming for bitcoin. the price continues to plunge as the collapse in cryptocurrencies gathers pace losing 75% of its value so far this year well, as you heard our big story today is that of the moves in thomas cook they announced they have cut their underlying operating profit outlook and suspended their dividend as a weak home market danled edamaged by the h home performance is being cited. the firm expects underlying profit to come in at 250 million pounds, down from a previous 280 million pounds

thomas cook also called 20198 a dpi disappointing year the stock down 30% at one point. to put this in context, the last six months or so the stock dropped more than 60%. this is the third profit warning they've given this year. the third time they adjust their target for 2018. the number announced today was 250 million. back in july the number was closer to 320 million. so the market has not reacted to this add to that the fact they announced they're cutting the dividend, this is what you get, a 30% move let's look at how travel and leisure stocks are doing we talked about thomas cook. tui dragged down as well another holidaymaker, not just an airline industry here thomas cook the leader in that regard tui has recovered from some of the losses earlier in the

session. we've seen a bit of an under-performance in easyjet, down 0.7%. ryanair, 1.5 ryanair also had cited profit guidance warning in their latest earnings release the other airlines are holding up fairly okay ia iag up 0.7%. earlier richard champion said strong travel stocks are continuing to perform well >> you have to differentiate between the strong and the weak. the weak suffered, but stocks like ryanair and easyjet, though they weakened over the year, operationally they're performing strongly easyjet was at all-time highs in terms of passenger load factor i think the strong continue to benefit, particularly in the budget space where they're not burdened by old planes,

expensive maintenance costs and the like they can load their networks appropriately. >> we'll have more on the travel and leisure industry with john strickland at 10:40 cet. in about a half hour's time. stay with us for that. let's check in on the markets. overnight a bit of a rebound in asian stocks, mostly led by the nikk nikkei this after a stronger session in u.s. equities. we saw a good recovery in tech stocks nasdaq up 2% that's not so much the case for europe we're seeing a bit of weakness again, the story in europe is one of more company focus. the micro issues rather than the macro weighing down. let's get in to some of the individual indices here and look at how the performance has been spread out ftse 100, the number is 7,030. we're trading about five points weaker again, thomas cook is one name that is dragging down this

index. we also heard from tops tiles as well the biggest tilemaker warning they will start increasing their inventory supplies ahead of brexit so more and more companies talking about the impact brexit and the possibility of a no-deal brexit is having on inventory and on management over the next couple of months the picture for germany and france muted a bit weaker ftse mib is trading up in the green. up 0.2%. this follows some of the stronger price action in yesterday's session after the government threw out the possibility that they may be considering revising that budget deficit target of 2.4% for next year so that is the picture we can see those are tilting to the green now. let's get into sectors no surprise. we will see travel and leisure right there at the bottom, down 0.6% chemicals struggling this morning, down 0.7% basic resources back in focus this is on the back of comments

the president, president trump made to the "wall street journal" suggesting that if the discussions do not go well at the g20 summit this weekend between china and the u.s. they would consider imposing an extra additional amount of tariffs on the 2$200 billion worth of tariffs already applied in china. sensitive sectors are underperforming. at the top today some defensive sectors. utilities up 0.8%. telecoms up 0.5% willem >> thanks. across the atlantic u.s. stocks rebounded on monday as the dow snapped a four-day losing streak and the nasdaq closed up 2%. the other indices are still in negative territory for the year. many of those swings have been on the back of u.s. trade policy uncertainty. steve liesman breaks down the winners and losers >> reporter: as the old saying goes, the harder they come, the harder they fall that may apply to sectors that led the charge since the

election of president trump. they mostly led the market lower. is it just a case of the market correcting itself or have investors fell out of love with the trump trade. the top three seshgts sinctors n 11%. the bottom sectors are up 3.4% and are off 2% looking at sectors, it was i.t. that led the market higher 67% from the election to the top in october 3rd it's down 15%. the leading sector up and the leading sector down. the number two spot goes to consumer discretionary, up 47% and down 13% the trump administration says the benefits of tax cuts will build over time. it will prompt companies to invest, boost productivity and increase worker wages. but among the sectors that would benefit most are industrials, they were up 33% since the

election and are off 12% morgan stanley in a commentary wrote there is a greater than 50% chance we experience a modest earnings recession in 2019 this growth disappointment is likely to be offset somewhat by a fed that pauses its rate hike campaign by june it could be that all the trade disputes are troubling the market along with concern over the fed and higher interest rates. but the optimistic view that the upside of tax cuts would reduce the down side from these other issues seems to be an open question in markets today. steve liesman, cnbc business news let's flesh out this discussion and bring in seth marin from liquidnet thank you for taking the time to sit with us. i want to talk about volatility in market. a few years ago many people were bemoaning the lack of volatility, pointed to that as a reason i would returns had been so abysmal yet now we're in this highly

volatile world, we're seeing a lot of movement in financial stock markets, and the returns are even worse is volatility a good thing or a bad thing? >> you can't say whether it's good or bad, it's the reasons for the volatility those have to be the -- you can judge those as being either good or bad today you have a situation where the whole world is in flux you have great enormous unknowns in the world you have brexit. you have trump which is just one big unknown that can have impacts throughout the globe, which are affecting volatility volatility -- this is bad volatility in my viewpoint you don't know what the outcomes of some of these massive issues are going to be. we don't know the resolution of brexit we don't know what's going to happen with the trade war with china and the rest of the world with the trump -- >> so it's just noise, this volatility is creating noise >> it's worse than noise

it's just the great unknowns that means we -- the portfolio managers have no idea how to react to it. how do you value a british company when you really don't understand what the trade barriers are going to be how do you value and model a company when trump is threatening another 2$200 billin worth of tariffs on chinese goods. you don't know there used to be some order and sense in the world today that has left the world to some extent. >> that presumably benefits a business like yours. if you have long-term focused investors trying to make huge changes to their positions, they don't want those necessarily being as visible to the outside world. you can make some of these changes during volatility and it's beneficial presumably not only to them but to your business you see increased transaction volume >> we do

our business has grown substantially over the last few years. volatility can either be a pro or a con this is the type of environment where active managers can make their returns or lose their returns. and you have an opportunity to o outperform or underperform we are a network of asset managers around the world and we help facility large block trades yes, they can get in and out of positions more seamlessly using us >> and much more discretely. >> yes nobody should know what their intentions are we made a big push into artificial intelligence and data analysis to help the asset managers understand in a more realtime manner whether their assumptions are proven right or wrong. this is where data and technology and integrated into the work flow actually helps and

combines with the human touch to be able to help them make those decision decisions. >> i wanted to ask the mechanics of the execution of a trade inside a dark pool, how does that take the edge off volatility for some of these investors. >> this is a simple supply and demand equation. so you've got, let's say the average execution side inside of liquidnet is almost $2 million the average order size is $10 million. the average execution size on the exchange in london is about $10,000. now imagine if you introduced 0 $10 million worth of institutional demand against $8,000 worth of supply, anybody that is taking economics understands where that market will go. there might be a whole bunch of supply in the ether that is not being shown on the exchanges

what we do is we gather up all of those large executions or order sizes in our dark pool so that $10 million can pair off against $5 million and not have the market move because that institutional supply and demand is not represented on the floor of the exchange. >> i would love to ask you how mifid is affecting that. we will talk about that shortly. thank you for joining us for the first bit of our show. very, very, very, very separate story here. seven months, 300 million miles, nearly $1 billion later, nasa's insight rover made a landing on the surface of mars. touchdown confirmed. [ cheers ] >> reporter: the successful landing of nasa's insight marks the space agency's return to mars an $814 million mission that came to a touchdown after

traveling 300 million miles. >> we call it seven minutes of terror you white-knuckle it the whole time >> reporter: launching in may, the first mission to study the interior of mars, insight hit 3,000 degrees using a heat shield, parachute and rockets to slow from 12,000 to 5 miles an hour. >> what the team pulled off today is truly historic. >> reporter: tonight insight has finished the harrowing journey a first dusty look as it begins its groundbreaking work on mars. miguel almaguer, nbc news. >> if you have any views on mars landings or perhaps president trump's comments on trade, or dark pools, get in touch with us on twitter, @streetsignscnbc coming up on the program, a crypto winter is coming for bitcoin. find out more about the challenges facing the cryptocurrency after this break. helped put a roof over the heads

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welcome back to "street signs. just out in the last few minutes the uk information commissioner fined uber 350,000 pounds for data protection failings the ico says security flaws allowed attackers to gain access to the personal details of almost 3 million uk customers. the company paid a $800 r,000 ransom to destroy the data we also heard from the dutch data protection authority who will also be fining uber as well this is not good news for uber now in other tech news, bitcoin has seen its recent slide continue the cryptocurrency has slumped another 10% or so yesterday. its price declined 80% since it peaked at nearly $20,000 in december of last year. elizabeth shultze has been

following this story as we discussed yesterday, there have been huge price drops across the cryptocurrency spectrum, down more than 80% again, an interesting thing about cryptocurrency and people often don't pay attention to this side of the thing, the more the price goes up is a signal of people using it and transacting. now that the price goes down, doesn't that mean it doesn't make economic sense for a lot of these miners to continue operating anymore given transaction levels are also falling? >> that's right. we heard about all of these miners, who are the people who create the bitcoins in these complicated algorithms a lot of them wanted to get into the space last year. there was a lot of money to be made if you could do this, this was a huge opportunity with the price of bitcoin lower we've seen a drop in the number of miners out there. this is something that investors have been raising as a reason the price has been dropping.

there's a term called the hash rate which measures the overall processing power for bitcoin you can see on this chart that the hash rate has been dropping in recent weeks. basically what that is signaling is that the number of miners in the space is going down. >> taking their computers off the network. >> just not worth it what is the survival of cryptocurrencies hinging on here >> a couple of things. an underlying idea which we talk a lot about. the technology of bitcoin is blockchain blockchain extends well beyond bitcoin. this is companies across tech and healthcare and finance are looking into using blockchain to make their operations more efficient. bitcoin's success ultimately hinges on its customers, buyers believing in it. it's not centrally backed. there's no authority that will come in and say we'll buy bitcoin if nobody else does. so there's a belief in the system there's enough early investors out there that it hasn't gone to

zero not a lot of retail investors getting in >> we were talking offline about bitcoin as well. i'm curious to hear your views on whether or not you think cryptocurrencies, not necessarily bitcoin but cryptocurrency as a complex will be able to survive >> i don't know what the basis for it is. people are not using bitcoin to buy things they're not using it in transactions it's not an institutional asset class. this is a retail asset class unfortunately in a lot of things retail, people mortgage their houses on the way up and lose them on the way down so when you see that there are more retail accounts opened to trade bitcoin than charles schwab has in their entire existence, that's a sign of caught to say this is a very, very speculative asset class >> all right we'll leave it there elizabeth, thank you for bringing us the latest on cryptocurrencies to find out why some investors

call the cryptocurrency market a winter, go to cnbc.com our first ever tech retreat in china will be held in an area that hopes to become a global hub for innovation we'll hear from some of the biggest tech companies in the world. live guests will appear on "street signs" for the rest of this week. our coverage kicks off tomorrow and spans across asian, european and u.s. programming facebook is fighting to contain the fallout from a privacy scandal ahead of a key executive's testimony before uk lawmakers. the policy solutions vice president will speak on behalf of mark zuckerberg in front of the british parliament's digital, culture, media and sport committee. the chair threatened to publish a cache of internal documents seized by british parliamentary

authorities as an investigation into the cambridge analytica scandal continues this week. and ibm's ceo called other companies irresponsible. gina rometty made the comments in brussels. she did not single out any individual company by name she said the behavior of the worst offenders should not define the entire digital economy and insisted a regulatory scalpel is needed, not a sledgehammer rometty praised existing eu efforts saying the digital single market laid the foundation for ai development in the region seth is still here you know a bit about ai. you also have operations in the u.s., in asia, in europe does it feel like one region of the world is ahead of the curve when it comes to artificial intelligence in financial

markets specifically >> no. i think we're at the beginning of what ai is do in financial markets. i think that clearly in the active management sector the biggest problem that active managers have is performance simply reading the same research, going to the same conferences, listening to the same earnings calls is not doing the trick. now you have an unlimited amount of data in the world from alternative data sources some people say 80% of all the world's data today was created in the last two years alone. how do you make sense of that? only through artificial intelligence and machine learning can you analyze that data to help with the analysis and proving the thesis that the portfolio managers have either right or wrong faster. >> the question i have then is where does one get the competitive edge if everyone has access to the same information, you're all analyzing the same information, coming up with the same conclusion with the information, where does your edge come from >> that's a great question to date when the -- about 70% of

the commission wallet is read with the same research when there's a new alternative data coming out -- >> what is an alternative data >> that could be a satellite company that looks at the number of cars in a parking lot or to be able to track the supply chain of a company that might be dependant on a company in china and knowing that a tsunami is coming, to be able to take that data and to be able to process it against your portfolio. in the '60s or '70s when you read a balance sheet, it could tell you about 80% of everything that went on with that company but the world has gotten much more complicated today it might represent 20% how do you fill in the other 80% of the knowledge that you need the portfolio manager's thesis may be 100% correct, but 80% of

the time maybe there is a competitor in korea that comes out with a product that can dislocate a product in your company's portfolio. those are things that you have to know about in realtime. this is where alternative data can come in. alternative data is anything not out in the marketplace today >> does this make the job easier or harder for those big trading desks at the big banks >> most firms do not have the capabilities to actually have the quants and the technologists and expertise. liquidnet has the ability to be the amazon web services, to supply that technology platform to help our asset managers leverage that kindof alternative data and technology to be able to make better informed decisions leverage that data on a more realtime basis >> it feels like finances these

days is more about coding than about financial decisions. seth, thank you for joining us today. coming up, president trump slams theresa may's eu withdrawal deal. we discuss whether his remarks will fuel the hard brexiteers in westminster.

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. welcome back to "street signs. i'm willem marx. >> i'm joumanna bercetche. these are your headlines european markets are choppy as crude prices take another leg lower with brent hovering around $60 a barrel president trump says it is highly unlikely washington will reach a trade deal with beijing raising the prospect of another round of tariffs against goods from china shares in thomas cook hit a six-year low after cutting their profit guidance for the second time in as many months and halts dividends. president macron is due to

respond to the fuel tax protests that have gripped france for the last two weeks with an address to the nation. in the last half hour we've seen european equities rebound from where we started. we opened up softer, but since then we have recovered a bit of ground again, this is on the back of positive sentiment we had in u.s. equities overnight. we saw a recovery in the asdaq up 2%. tech sector recovering nicely, still not gaining some of the big losses we saw last week in trading. asian equities firmer. across the board we have european equities trading the green, led by ftse mib the italian index putting in another good day on investor hopes that the government is beginning to rethink its budget plans for 2019

let's switch on and talk about foreign exchange we saw a bit for the greenback overnight. dollar trading strongly. safe haven flows, coming back to the president's comments about imposing an extra 15% worth of tariffs on the existin tariffs applied on chinese goods. we are trading around 1.1320, a bit softer cable is very much the focus again. brexit ongoing we know the house of commons vote is set for december 11th. sterling down at 127.60, 0.6% weaker this is a currency pair we've been watching closely. and continues to underperform as we head into the crucial parliamentary vote where it is not expected to go through let's look at how u.s. markets are shaping up a bit of a flattish picture. dow is seen opening up 10 points

higher the tech sector is coming under scrutiny here, down about 13 points or so in the tech sector we are getting a couple of news stories unfolding. one of them is that of uber, which we just found out they've been fined both in the uk and in netherlands as well. keep an eye on some of these stories as they unfold president trump says it is highly unlikely he'll reach a trade agreement with beijing at the g20 meeting this weekend he told the "wall street journal" he expects to raise tariffs on 2$200 billion worth o chinese imports as scheduled on january 1st. trump is scheduled to hold bilateral talks with xi jinping in argentina apple shares fell 2% after the u.s. president made clear that additional tariffs could impact iphones and laptops apple products are among the 7 $267 billion worth of goods that are exempt but trump said

american consumers could handle a 10% hike on personal electronic imports you look at some of the important stocks here in europe, reaction to some of those comments, they all bounced higher this morning. so far dialog is up 1% be semiconductors up almost 2% asml trading 0.9% higher interesting in terms of this ongoing dispute. the u.s. leader has also reiterated his threat of european auto tariffs in that intervi interview. the eu hosts its annual trade policy day today under the theme rising challenges and tackling those threats. we have our next guest with us if you are the chinese authorities how have you been reacting to the past year and a half of threats and actions from the trump white house when it

comes to your domestic market and your internal investment >> for the internal investment the threats coming from washington on technology have been the ones worrying beijing the most and as we've seen beijing placed technology at the core of its industrial development plan. it's five-year plan, strategic emerging industries. so technology is fundamental for the way china is hoping to develop in the future. as trump is threatening restrictions on exporting technology to china, we seen it with hauwei, and with the zte corp, we think china will double down on domestic tech investment >> the issue i have with that is so much of what they do already is not home grown. they are relying on a fast amount of supply campaign coming from abroad, whether the u.s. or surrounding countries. if president trump decides for

whatever reason to stop allowing semiconductors to be imported into china, what does that mean for their tech industry? he would literally cut them off at the knees >> it would be very damaging for the tech industry. then china is having to look to switch to korean and taiwanese suppliers it would strengthen the position of the asian semiconductor producers, european tech producers. it will strengthen their position and bring the asia trading partners closer together >> so substitution effect essentially but that will take time >> has that already started to some extent? we've had this drum beat of criticism about the theft of intellectual property for years directed at china. how have they reacted to that? what has that done to the way they organize their supply chains the way they educate the work force? >> it's changed a little bit on the rhetoric

they're toning down the focus on perhaps the 2025 strategy and focusing more on domestic innovation really throwing a lot of money at the key areas highlighted in the strategic emerging industries and the made in china 2025 strategy. so throwing a lot of money at it still domestic innovation is lagging behind the u.s., but they're quick adopters as soon as a new product or innovation comes out in silicon valley, it's quickly adopted in china and implemented. >> that's the harnessing technology coming out of the u.s. i have a macro question. we spend a lot of time talking about the slowdown in chinese data and the numbers are moderating one thing i read in your report, about 78% of the growth this year has come from consumption, not from investments they succeeded in that aspect of reshaping the economy away from investment to consumption. then again there's some warnings

signs in that sector retail sales is slowing significantly. how do you pair down that slowdown domestically with the likes of luxury companies. we hear of them pointing to the strength of the chinese consumer from abroad it looks like the chinese consumer is holding up >> the retail sales growth this year is actually the slowest since 1994 it's really turned over. that's been down to falling consumer sentiment with the trade war, narrative of a weaker economy, the shanghai composite turned over. consumer sentiment is rattled, and retail sales falling off there. also it's led by autos, which account for 10% to 15% of total retail sales on an annual basis. the auto sector has been heavily stimulated the past few years. a lot of purchase tax cuts to support auto purchases now these are coming off, autos going negative and the whole retail sales are coming down as

consumer sentiment and the auto sector weakens >> quick question what is your gdp forecast for 2019? >> 6.1%. 6.2% >> yeah. many analysts have sub 6.5% for next year. >> we'll leave it there. thank you very much. >> thank you very much all eyes will be on that u.s./china relationship at g20 meeting this weekend to find out why the event is likely to hurt the yuan, head to cnbc.com theresa may begins a 14-day traveling campaign across the uk to win support for her brexit deal northern ireland and wales are the first two stops on the itinerary. the prime minister yesterday faced a bruising parliamentary debate in which both loyalists and opponents from across the house of commons criticized her proposals. the session highlighted the challenges may faces as she hopes for a majority of british mps will hope for her version of

brexit during a crucial december 11th vote. looking forward to that? >> looking forward to talking to mps about how they'll vote and whether any of them stick to their promises. president trump inaccurately claimed that britain will not be able to trade with the united states under the terms of may's withdrawal accord. >> sounds like a great deal for the eu i think we have to do this i think we have to take a look at whether or not the uk is allowed to trade you know right now if you look at the deal, they may not be able to trade with us. that would not be a good thing i don't think they meant that. i don't think that the prime minister meant that and hopefully she'll be able to do something about that but right now as the deal stands, she may not -- they may not be able to trade with the u.s. i don't think they want that at all. that would be a big negative. downing street has refuted trump's claims and said the

political declaration agreed on sunday means britain will have an independent trade policy. the spokesman added that the uk had already begun laying the grou groundwork for a trade agreement with the u.s. and british officials met with american counterparts on several occasions. david littington said trump's comments were not surprising and said confirming a trade deal with the united states would always be challenging. elsewhere in europe, italian prime minister conte backed his country's budget targets conte said he is waiting for a cost analysis of the budget spending measures before taking any further decisions. the italian government discussed reviewing its fiscal plans because it faces possible sanctions from the european commission >> you would think given the multiple chances they had to come back to the european commission they would have already done a cost analysis >> if it were that simple.

>> all right we'll wait for those results the ukrainian president has imposed martial law in parts of the country most vulnerable threat to a russian invasion bill nealy has more from moscow. >> ukraine's president said there is not a declaration of war and there will be no mobilization of troops but that it's necessary to stop further provocations in 4 1/2 years of conflict between ukraine and russia the ukrainians have never before imposed martial law russia says the whole incident was a provocation.

planned by ukraine and its leadership at the time the united states says it is alarmed about the incident president trump says he is not happy about it >> not happy about it at all we let our position be known >> reporter: the u.s. ambassador to the u.n. has condemned it in the u.n. security council. >> this is no way for a law-abiding civilized nation to act. impeding ukraine's lawful transit is a violation under international law. it's an arrogant act that the international community must condemn and will never accept. >> reporter: but there will be no new sanctions against russia. remember, it has a veto at the u.n. security council, and next up the ukrainian sailors taken captive, they will go before a court, probably in crimea

tomorrow bill kneneely, nbc news, moscow. coming up, saudi arabia posts record output levels for november as president trump implores the kingdom to cut production in oil. more when we come back for your heart... your joints... or your digestion... so why wouldn't you take something for the most important part of you... your brain. with an ingredient originally discovered in jellyfish, prevagen has been shown in clinical trials to improve short-term memory. prevagen. healthier brain. better life.

♪ lean on me, when you're not strong ♪ ♪ and i'll be your friend ♪ ♪ i'll help you carry on ♪ ♪ lean on me.

welcome back to "street signs. corp norate news for you osram light is up 2.2% sorry, up 17%. one of the biggest leaders in the stoxx 600 today. this on the bloomberg report citing takeover interests from bain capital so big moves there for the lightmaker in germany. crude has resumed its selloff. brent currently trading just slightly higher above $60 a barrel wti at 51.31 this comes as a report suggests that saudi arabia's oil output hit a record 11 million barrels per day in

november but the kingdom is expected to seek production cuts in december's opec meeting. it's still less than the u.s. is pumping out at the moment. thomas cook cut its underlying operating profit outlook and suspended its dividend as a weak home market damaged performance. underlying profit is expected at 250 million pounds and it called 2018 a disappointing year. if you look at the share price there, down more than 20% at 38.78 pounds not a pretty picture for investors in thomas cook our next guest says airlines will face a tough winter amid softer demand and fierce competition. joining us is john strickland. let me ask about thomas cook part of their business is aviation linked. is that a reason they're struggling is that one reason they're struggling >> it's the effect of the hot summer we had in europe.

a number of airlines are talking about impact on late bookings. many people want to escape countries like the uk to get down to the mediterranean, many people booked in advance at the lower rates. those who booked in the last minute didn't do so. that fed through to the massive impact on top of that there's a lot of capacity in the market not least from the competing airlines >> i want to ask about fuel prices we've had a volatile year for energy prices. my first question is how much of a lag typically doesit take between big price moves and that again transpiring into some of these companies earnings over the summer we had prices skyrocket. many airlines were not hedged for that since october prices have dropped 30%, so presumably that should be a tailwind for an industry how much time lag will we start seeing those effects from the price uptick and the price fall? >> when we look at price

increase, it can be a lag for up to a year for airlines to catch up hedging is about managing budgets, achieving certainty, not that you're going in at the lowest point you could hedge at the highest point because of bad luck. because you're taking bookings months in advance, once those bookings are made, they are made at lower prices you're stuck with those bookings. airlines don't go back and ask for more even if they can adjust pricing or apply surcharges they come in later. so there's an enormous lag so there's an immediate cost saving if fuel prices fall still the bookings are held and airlines have already paid out substantially larger amounts of fuel in recent months. >> so you're saying come q2 next year we may start to see negative impact from this summer's higher fuel prices. >> yeah. probably even now. even in the winter quarters. they're having to buy fuel now

at spot prices some airlines are highly hedged. 80% of the fuel is hedged. if you're a large operator like ryanair, iag group, you have to buy enormous volumes of fuel on the spot market. they have been caught by higher prices some of that will come through at lower prices. hedging contrasts are going in at higher levels any way >> it's been a difficult year for the airline industry, not just because of oil prices but industrial action in ryanair, continual excess capacity. structurally do you expect more consolidation? does that have to take place over the next couple of months we heard of flybe being one of those operators looked at. >> we have had quite a number of failures in the last year. we had monic failed, but airlines bought up the slots the

airline had in its portfolio air berlin was bought in two chunks, the last chunk by lufthansa and a smaller chunk by easyjet. flybe indicated they were looking for a buyer. virgin confirmed they're in talks. there's been speculation also about iag. flybe is a sizibility player they have about 80 aircraft. that doesn't necessarily mean they fit completely with bidders, but they have a slot portfolio that is of interest. >> we have to leave it there thank you very much for joining us i want to take us to some live pictures of the french president, emanuel macron who is speaking in paris. he is addressing some of the demonstrations we had over the last couple of days, the yellow vest demonstrations protesting of the rise in fuel prices so those are live images from him. he is speaking in french, but we will keep you updated on any developments or if he says

anything that we think is worth flagging for the time being. he will be delivers this speech over the next couple of minutes. in sports news, manchester united and juventus will qualify for the knockout stages of the champions league if they each when their respective matches this evening it hasn't been a great year for man u. >> no, it hasn't in the champions league it's been happier for them so far this season. they are in a good position to qualify and can do so if they beat the swiss side, the young boys of bern valencia are up against juventus if juventus win that game they'll go through with a couple of games to spare. you don't want to finish third

in the group that's where big club like manchester united don't want to be playing in the europa league. they want to stay in the champions league they have had problems this season now, jose mourinho has been expressing his frustrations ahead of this match. this is what he had to say >> frustrating because what i want is a team to start strong, a team to go strong on the opponent, not to be waiting, not to be rejecttiive but to be proactive. that's what i want they see giuseppe told them to start slow and play easy and see what happens or be losing and react. that's the opposite thing. i want the team to start strong. i want the team to have a good go immediately >> manchester united were fined earlier this season for turning up late to a champions league game no chance of that happening

tonight says mourinho, they're staying around the corner and he says he will walk there if there is bad traffic what a humble man he is. could it be they're paid too much money >> quite possibly. there's a question about motivation and player recruitment and how much they're paying for their players as well they signed alexis sanchez in january from arsenal under the noses of manchester city, and they're paying him around 350,000 pounds a week. one league goal this season for alexis sanchez, an important one it was against newcastle but that figure total that manchester united pay their players is about $1 million les than manchester city are paying their whole squad. obviously their breaking records and are premier league champions. not necessarily value for money on the pitch >> not great ratio adam, thank you for bringing us that. i want to bring you

headlines from the french president who has been speaking in paris addressing some demonstrations that we had over the last couple of days protesting the fuel tax hikes. he has just said that he hears anger in the country, but he will not give in to disorder so that is some of the messages that is coming out of mr. mac n macron really sticking hard to their reform plans and ongoing economic agenda. before we head out a quick look at u.s. futures it looks like things will open up slightly in the red dow down about 30 points nasdaq about 20. that's it for today's show i'm joumanna bercetche >> i'm willem marx "worldwide exchange" is coming up right now place, the xfinity xfi gateway.

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it's 5:00 a.m., here's your top five at 5:00 apple shares down again after president trump threatens to slap a tariff on all chinese imports. call it the dow 32 one of the dow 30 is breaking itself into three pieces, think elevators, air conditions and helicopters. a big warning for your money. jim cramer says wall street could rally another 4% but beware if it does. we'll explain. oil alert. crude oil down again, could opec be ready to cut production and the crypto crumble continues. bitcoin lower again. it's all happeni