. that's all for this edition of "dateline." i'm natalie morales. thank you for watching. [music playing] good morning welcome to "street signs." i'm joumanna bercetche >> i'm julianna tatelbaum. these are your headlines chelsea trade and european markets after the fed is poised to bring inflation back to target the fed is still ready to act. >> our risk is inflation doesn't come down or react --

reaccelerating vladimir putin welcomes the top diplomat to moscow and antreasury secretary janet yellen talks about aid >> and in the coming months, we expect to provide $10 billion in additional economic support for ukraine. the b9 leaders band together sweden's defense minister says the alliance is stronger together >> also join the application for nato that is why we are getting into this thalliance we have assets to make nato stronger and beating annual profits

after the strong december with revenue above pre-dempandemic levels >> a combination of business and pleasure we have the ability to get the people to do that kind of activities and working from the hotel. the best compromise between

the hard or soft landing the minutes flagged the they are st -- restrictive policy hinting larger hikes could return. james bullard told cnbc in the interview that he sees economic strength continuing. >> markets have overpriced the recession in the second half of 2022 and overpriced recession in the first half of 2023 maybe the chances of recession of 2023 with china coming on board and stronger europe than we thought it seems like the u.s. economy might be more resilient than markets thought. >> u.s. markets with the dow and s&p with the down day. u.s. markets today are opening

up in positive territory bucking the trend of the last couple days. here in europe, we are trading more positive. a lot more green on the heat map today. yesterday, we managed to recover the deeper losses in the session. the stoxx 600 did end mildly in the red. we are up about .25% again as markets come to terms with the hawkish comments from central bank policymakers everywhere not just the fed minutes with james bullard and talks of further interest rate hikes and talk about getting bigger again if we don't get back to target that is something markets are focused on there are individual names we are focused on and from the macro perspective with the eurozone inflation data that comes out in 45 minutes time

let's talk about the individual boards the dax up .50%. a good performance with the stock up 3%. and we saw yesterday with the healthcare stock down 5 points today. really taking a beating. cac 40 in france up .30% stelantis leading. the ftse 100 is down .30%. one name in focus today is rolls-royce. up 18 points today less on back of their car production and more on aviation. that is one of the names we are watching in that space moving over to secretartors tech up 1.4% taking the cue from nvidia in

the u.s. that was the reason for the nasdaq ending the day in the la performance in the day it is translating into europe. auto up 1.1% stellantis in focus. on the down side, miners and food and beverage. from markets to geopolitics, president vladimir putin says the country will boost nuclear forces after the withdrawal from the last remaining nuclear arms treaty from the united states. putin said russia will continue mass production of the hypersonic missiles and conduct exercises alongside china in south africa russia's war in ukraine has already cost germany 2.5% of the

gdp. less than had been expected, but still pushing europe's biggest economy toward recession one prominent business lobby group expect more down side. the chamber of commerce forecasts it could cost 4% gdp by the end of the year for germany. the bank warns output in q1 to be lower annette joins us with more on how it is impacting germany and the economy. annette. >> reporter: thank you we are going to talk about the need for more financial aid for ukraine coming from germany and what it means for germany's role in the world as political leadership i'm joined by the executive director here in the society in

berlin we talked about a lot of money for the war, but more is to come what do you think in terms of financial aid? does ukraine need more money over the next couple years >> ukraine needs more money. germany is among the big donor the question needs to be prepared and institutions and governments are on it and that is to think how we constructi ukraine. ukrainians made the case that reconstruction has to begin in some parts of the country while the war is still ongoing the destruction of infrastructure, which happens every day, needs to be handled otherwise people didn't live there is a huge task germany is a big donor country it plays a big role. we will see over the next few

months with the institutions and european investment bank will play their role with governments and eu and the united states the next important question is how can private investment be brought back to ukraine in governments alone can't rebuild the country. that is a question of peace and stability. that remains high on the agenda. >> if you talk about reconstruction and how big the volume will be because there are estimates that range from 200 to almost 1,000 billion euro. >> it really depends on how long the war lasts. russia puts most of the attention on destroying critical infrastructure in the country. those are essential parts of making the country work and it obvious they need to be rebuilt.

rebuilding civil infrastructures and schools and hospitals. the longer the war last, the more quickly we will get to the highest estimate. again from public sources and private investment >> we are here in berlin because tomorrow we have the one-year -- i don't like to call it anniversary. one-year landmark day since the start of the war we have the organization here in germany. what has changed >> tomorrow a year ago the war started. three days later, the chancellor stood in the german parliament and gave a smepeech which said have to redesign our policy towards russia

he accused russia of being the aggressor and wanting to destroy ukraine, but posed a threat to europe and democracy since then, the government shifted policies changing russian policy meant changes defense and security approach and also changing energy policy. at the moment that putin started the war, germany was dependent on russian gas flowing in russia oil. the government really put a lot of time in diversifying energy resources. it couldn't just leave gas gas is an important energy source for the time of energy transition which is high on the government agenda with the green participation. the goal for germany to be neutral co2 in 2045 is still there. it has accelerated, but on the other hand, the bridging energy

has to be redesigned liquid gas is coming into germany now. they rapidly build floating terminals on the baltic coasts the whole energy set up is being redefined. >> let's look also on germany's role in terms of political leadership do you think germany has woken up with the war in europe with the war in ukraine that we need to be able to also be active in terms of political leadership and geopolitical interests >> the speech outlined the risk assessment with germany policy germany was criticized by eastern european neighbors and baltic countries and also the u.s. for having an important energy independence with the

pipeline that became sabotaged the government was pursuing that strategy it was strongly criticized right now and shifted policy it still has to justify its own role again and again because there is mistrust in europe in our partners germany can play a stronger role it has cleared the path f for arms now the commitment to deliver the leopard tanks is very important. it tries to make sure there is a transatlantic alliance around that because the concern is not to escalate the war and actually reinforce transatlantic partnerships some think this is going too slowly if you look at tanks and other eu countries are slow in clearing the delivery. if germany wants, it can take a positive role.

it has, you know, the chancellor said many important things on the future of europe now we see those speeches, but it is important we build coalitions to follow through the elephant in the room is how does emmanuel macron and olof scholz work together and can there be a dynamic with the central and eastern europeans. >> that would have been my next question the french and german corporation with the spending is crucial. plans to build tanks together and form fighter jets together what do you think? >> they were at a low point toward the end of last year when the summit was called off. you know, there was no clear agenda for joint projects that can be brought forward then there was this year with a celebration of the treaty which is the french and german treaty. that put eyes on france and

germany to show the couple works. the senate wasn't a big show of new announcements of projects. what is happening behind the scenes is cooperation on a armament projects. europe needs to take care of security in the future right now, we are living a transatlantic unit president biden shows commitment in ukraine right now, we are doing well in the transatlantic alliance we know the concern for the u.s. is not russia, but chinea. there may be reallocation of defense resources, but also money to tackle that challenge that will mean that eventually europe has to play a stronger role in its own eastern neighborhood russia will stay and not go away which ever way the war ebnds.

if europe doesn't work together, we are not in position to take the role that the americans expect us to take. >> thank you >> reporter: it is crucial to actually monitor the situation that if european nations, especially germany, will also put money into the situation, but what they are talking about. military spending would be crucial and key topic this year. >> putting their money where their mouth is annette, thank you now china's top diplomat wants to remain a key partner with russia. >> under the guidance , the chin and russian partnership has begun operating at high level.

the hungarian parliament will begin on the application to begin nato next week with sweden and finland. we have sylvia on the show we talked about the hurdle thes t -- hurdles they have to cross what is the latest and what can we expect from the meeting happening within hungary >> reporter: we are out in the snow and i have been here the week and the feeling is sweden has done enough to join nato it is up to hungary and turkey to say yes to its membership of the defense alliance as you rightly pointed out, hungary is working toward that they expect to have a vote on the issue in march the question mark is when will turkey say yes to the

membership the feeling in stockholm is not so much if they will join nato, but when they will join the defense alliance i want to take a closer look at the comment we got this week from the russian president putin because he announced the end to the very important nuclear arms control agreement with the united states. yesterday, i asked the swedish prime minister what does this mean and he told me he is aware of the nuclear power that russia has and this makes sweden's nato membership more important. >> our joint efforts and joint commitment has been there before the last year. that is nothing new. it has been the same for quite some time. i think it is quite obvious that the more russia poses a threat to us, the more borderless we

need to be able to defend ourselves and use all assets with the harbors and military capabilities we have. we realize we have very heavy russian nuclear armament there is very good reason for us already now, but more so within nato to cooperate in the specific part of the world >> reporter: so while sweden is waiting for this full membership of nato, they are already increasing cooperation with neighboring countries in northern europe, but with the broader nato alliance. i have to say that yesterday i had the chance to speak to the swedish defense minister i asked about the increased cooperation and i also asked about what sweden is doing to support ukraine more ukrainians have been very specific they asked sweden for fighter

jets he told me that for the time being sweden cannot help ukraine in that way. >> supporting ukraine is really investing in security. we provided air defense and we provided training and we do it in ukraine we do a lot of that. fighting is difficult because once we need to maintain territory integrity. when i look at the russian capability, they are downgrade right now. when it comes to the as is setas right now, it remains unchanged. >> would you say that you are also slightly more concerned about russian posing a threat to sweden at this stage >> we take note that russia has a low threshold for use of military force and it takes

great political and military risk sweden, together with finland, and also join the application for nato that is why we are getting into the alliance and with the security we can provide this coto the alliance we have fighters and submarines and strong defense base. there is no other country of 10 million that can provide that and artillery systems. we also have great russia expe expertise in our intelligence community. >> reporter: you heard it there. sweden things could be a huge asset to nato. we will see how it unfolds in the coming months. for the time being, i have to say sweden and finland are working under the assumption by july they will be full members

of nato. let's see. >> thank you so much for the reporting and hopefully you can stay warm outside in stockholm today. we will take a quick break coming up on the program, alibaba investors are looking to see if they can keep the firm earnings going when they post numbers today. why are 93% of sleep number sleepers very satisfied with their bed? maybe it's because you can gently raise your partner's head to help relieve snoring. so, you can both stay comfortable all night. and now, save 50% on the sleep number 360 limited edition smart bed. ends monday. when we started selling my health products online our shipping process was painfully slow. then we found shipstation. now we're shipping out orders 5 times faster and we're saving a ton. go to shipstation.com /tv and get 2 months free.

welcome back to "street signs. let's get into corporates. accor beat expectations. the french hotel group reported 675 million euros. shares up 1.88%. the cfo and deputy cfo told cnbc this morning that the sustained post pandemic rebound was a surprise >> it is the first time in 2022 that we are above the 2019 level. if you just sit back and look at

omicron at the same time nobody was focusing on the ability to deliver there was the reaction that we all lived which is all we wanted in life. the demand after many years of shut in. i can confirm that q4 was better. heudelberg sales with profits dipping as it expects higher sales this year although profit may not fall as raw material prices remain high. speaking to cnbc, the ceo says he is optimistic on the outlook for 2023 >> it continued to grow revenues on the back of strong pricing. it is entering the year cautious on the development let's wait and see we are positive for 2023.

in chip maker space, nvidia surged after the beat on revenue and margin adjusted eps. it came in ahead of expectation as they look to cash in on the a.i. arms race they are seeing signs of recovery in the chinese market speaking of the chinese market alibaba is expected to post results later today with analysts expecting modest revenue growth earnings per share are seen falling more than 10%. arjun is joining us around the desk how much with alibaba will be a function of a play on the return of the chinese consumer now the economy has opened up? >> that is key the zero covid rules were scrapped in december the back end of the quarter

we went see much impact there. the market will be focused on the forward guidance for alibaba and the impact of the opening up of the chinese consumer as well as the broader macro story in china. given the fact that the commerce accounts were the majority of the revenue. the markets will be focused not just on that story, but also the way alibaba has been disciplined in the cost. a couple of quarters ago they will do cost optimization which is reducing head count and trimming food deliveries and overseas markets i think the issue is how alibaba is moving forward with discipline with spending those are the key focuses today. >> what do you think where the broader macro fits in as were you saying the restrictions for covid only started to end toward the end of the year and now

things are picking up. mobility is back to normal alibaba is an online company with life back to normal, is that a good thing or bad thing >> it is good. alibaba has entrenched itself further into the daily lives of people think of ali pay the payment system is ubiquitous across china and get through the pandemic and grow with the grocery and food delivery business if the economy does pick up, you will see businesses begin to spend again. that is key for the cloud computing. that is 9% of sales. it is an important growth driver it will be in the future businesses will start to spend again. you could see reacceleration of cloud. >> also big for u.s. as well

arjun, thank you hong kong exchanges and clearing posted a 20% slump in profits for 2022 as ipos dried up similar everywhere around the world and trading slowed at just over 10 billion hong kongdollars. that is a beat in the space. >> it was a tough year globgloby we had 97 ipos. it is true the sizes were not the same when you look at the amount raised, it is lower. the reality is think about the market that hong kong can attract 90 new companies in a year we had ten additional companies. i'm excited about the opportunities going forward.

all of the companies that want to raise capital and create opportunities and i think it is very exciting to have that momentummost men -- momentum going into 2023. that is exciting with the positive momentum in china itself with the economy starting to post consistent fiscal policy and it seems like the real estate issues we have seen last year are starting to be addressed. lots of positive vibes coming from the mainland. >> in terms of the ipos and pipeline, how is that looking? come march 31st, the crc will require any with an offshore listing to have crc approval do you expect this to hold up the ipo process?

>> probably what we see is a lot of companies that will be filing over the next few weeks so there is an expectation of the amount of filing will pick up by the end of the first quarter in the medium and long term shows consistency crc is taking can the international listings it is a welcome change and we look forward to continuing to have companies that can list in hong kong and mainland and internationally and in the u.s. and anywhere around the world. >> the report that china called on the phase out of the big four auditors not using western firms and chinese companies could lose international investor confidence and investor backing. is this bigger than before >> i don't know how the listings

will proceed or if there will be that is a necessigotiation that take place there is volume in international reaction we are the window that connects china to the world we doing all we can to make sure there is more interaction and connectivity we are haenhancing our connect program. we are expanding companies that are qualified to be purchased by international investors. investors will be able to buy more companies the investors from the mainland will be able to buy international companies. that is a major thing because it is the first time that we will have a market where a company can list and investors from

onshore can have access to that opportunity. the only market in the world and those investor bases are great to access efficient capital. coming up on the show, the insurance outlook after the quarterly break. we'll be right back.

welcome back to "street signs. i'm julianna tatelbaum >> i'm joumanna bercetche. these are your headlines >> choppy trade after the central bank is determined to bring inflation back to target jim bullard says the fed is still ready to act >> our risk is inflation doesn't come down or re-accelerates and then we have to move. and russia raises the possibility of boosting nuclear forces u.s. treasury secretary janet

yellen flags key aid for ukraine. >> making it possible in the coming months where we expect to provide $10 billion in additional economic support for ukraine. b9 leaders vow to shore up the eastern flank as sweden and finland push for membership. >> together with finland and also have a joint application for nato we are looking to get into the alliance and we can provide this to the allalliance we have assets to make nato stronger. accor beats profits after the strong december with revenue above pre-pandemic levels. the cfo tells cnbc the rebound is ongoing >> we see more people over

weekend staying for personal reasons. do so-called pleasure. we have capabilities to basically get the people to do that activity. working from the hotel we are over an hour into the trading session. we are seeing a mixed picture in europe ftse 100 down 0.4% similar for the swiss market we do have some green on the board elsewhere. dax up .40%. ftse mib up 0.7% after a fairly subdued session yesterday. the stoxx 600 clawed back after losses earlier we did get more evidence of an improving economic picture in europe

yesterday, the german survey coming through and painting a rosier picture than many have been expecting that is underpinning the positive sentiment now turning to currency. we have the dollar trading firmly against the swiss franc euro on the back foot against the dollar and sterling trading weaker it is a story of dollar strength this morning do dollar/yen we are holding steady at 134.82. u.s. futures here is the picture for wall street all three majors are pointing to a positive start we saw stabilization state sside s&p closed lower the nasdaq with a modest gain. in terms of the sectors, real estate and transportation and food and staples under performed

yesterday. similar to what we are seeing in europe today, the auto sector catching a decent bid. >> one thing keeping in mind is we talked about policymaker and language with james bullard and the fed minutes indicating that the fed is not ready to stop with the hiking path most members agree at 25, but a few calling for 50 the next event is the core pce number tomorrow. all of the other inflation prints have come out hot cpi and ppi and the breakdowns of the ppi numbers last week that will be a tell for markets and where they go from here. >> absolutely. we get insight into the job market not as big of a deal as the core pce. we have weekly jobless claims

due from the u.s. later today. i don't know if you had a chance to listen to "squawk box" yesterday with james bullard he is not a voting member. u.s. economy is stronger than we previously thought our risk right now is if inflation doesn't come down or re-accelerate, then there is a possibility of the replay of the 1970s which many have been making >> it is funny i spoke to a fund manager yesterday. he was saying it is almost going to be impossible for the central banks to craft a soft landing. you can't get inflation back to 2% without the unemployment rate ticking higher it is a matter of when and how economically damaging it will be to growth. we are not quite there yet all of this will play out in the next couple months janet yellen, u.s. secretary

of treasury, spoke to central bank governors in india. she highlighted the ways the biden administration has been helping with the efforts in ukraine. >> it is making ukraine's resistance possible by supporting the home front with critical services and helping keep the government running. in the coming months, we expect to provide around $10 billion in additional economic support for ukraine. >> finance leaders are meeting this week for the first major event of the india g20 we have tanbir with us tanbir is having technical issues we hope to get back out to her shortly. joumanna, bringing it back to

the conversation about the focus for markets right now. you raise a really important point that it is not a matter of if of weakness in the u.s. economy, but when. if we don't see the recession scenario materialize for 2023, doesn't mean it is off the table. it pushes it down the line into 2024 >> i just think of it, perhaps, more mechanically. it is difficult to envision the situation where inflation gets back down to 2% and the unemployment rate at 3.5%. i was speaking to a former fed policymaker months ago he thought in order to get back to 2% inflation, the unemployment rate needs to be as high as 5% we are miles away from that. that is millions of jobs it will have a knock-on effect for the economy. we are in a hot inflation

scenario it is impossible to imagine how policymakers send out messaging that mission is accomplished we are far from that this is the realization that markets have come to in the last week or so pencilling back in the policy restricted for longer. >> let's get back out to tanbir. hopefully she is connected >> reporter: yes, indeed i'm online now julianna, thank you. i'm coming to you live from the g20 finance ministers. i have a special guest with me let's get to her the vice president and economy minister who joins me for a quick chat on the outlook for the economy. great to have you on the show. growth in spain is looking good. i want to understand the growth drivers and momentum the overall global growth is

somber >> spain is having a strong recovery with gdp growth of 5.5% in 2021 and 2022 the beginning of 2023 is also quite positive on the labor market the outlook is relatively positive all institutions seem to see spain as a strong group in europe that is due to the strong response to the pandemic and we are making a massive recovery plan luckily, last year, we managed to bring inflation down five points in five months. the key concern now is food inflation. particularly because of the impact on families we should continue on the same line and continue to bring it down to have a strong and sustainable growth >> right i want to talk about the energy side of things spain has had some massive lng

import capacity coming through that is not translating into distribution pipelines and reintegration to the world what is being done as a group for the eu to come together to solve the problem? >> spain has a relative advantage on the energy side we have one-third of the lng capacity a very diversified supply portfolio. we managed to have a lower retail price thanks to more appropriate energy regulation. that is creating a strong competitive advantage for respo spanish firms. >> that is helpful for spain what about the rest of the europe >> we don't have inter connectivity we are supporting the initiatives from the eu and working with france and germany to try to push forward rei reinforcement of pipelines.

>> where do conversations stand on that front? >> it is difficult where the pipelines being built of we made good progress last year with france and also connection with the south of france through the sea. we are going to have to work on building these infrastructures so spain and iberian peninsula can contribute to europe >> time is of the essence. everybody is talking about the next winter. how europe decouplies with the supply from russia how will you see the nations in the eu >> the sooner the better there are many things happening. energy efficiency is relevant. green hydrogen and other green

methanol and other elelements. the deployment renewables. all of these things happening at the same time. i think in a matter of a couple of years, we will see a significant change in the way europe is going. so far, i think we have been able to also stop the energy bl blackmail that was important for the eu. >> we have the french finance minister highlight it is important for europe member nations to come together on the policy talking about those tax levlevis the u.s. is resisting that move because it is counter productive for their tech companies doing business in europe where do you stand how much support are you willing to give the french government? how united are you on the issue? >> spain has been the first one

tax ourselves. we have a strong policy with the breakthrough in setting up a minimum tax at the global level. we need a coordinated approach throughout the world theive and we reefd reached that agreement we are doing it on the eu side i think it is for the rest of the world to also make progress. >> europe has to do it alone >> i don't think he believes that i think we are all the agreeing that we need a global approach if we don't manage to do it at the global level, we need to press ahead at the european level. we have ever interest in fighting a race to the bottom. >> fair enough thank you for speaking to us on cnbc julianna, back to you. >> thank you for bringing us the

interview. fascinating comments there. rising interest rates are positive for savers and ret retirees, but it could change for the insurance market that is according to the next guest who is ceo of accor. thank you for stopping in. let me start with the scene seating question for you we're operating at a significantly different financial environment than a year ago over the last decade with higher interest rates how has that impacted the operating environment for the insurance sector >> for insurers, it is positive for the financials in our sector, the savings space in europe, it spreads more than the absolute rate. you haven't seen in the traditional innvestment grade a widening of spreads due to a lot of reasons the size of the funds don't do research in what they own.

they become a commodity. can you generate a spread that is a benefit to investors? >> viewers will know you from prudential and current business athora which is different in many ways. we talked about the long-term private investors. how does that affect how you go about the strategy for the business and what opportunities does that afford running a company like prudential didn't have >> if you are going to go into the long-term savings space in europe, these are promises you make consumers over 20 years our shareholders are long-term capital. no pe fund in the capital stack. we have a variety of southern

wealth funds you have alignment with the capital backing and promises you make the consumers that is hard for a public ceo to get to because of the variety of shareholders in the stack and they have a variety of ambitions and opinions of how you run the firm we have tight alignment and that is extraordinary as a ceo, it is a luxury >> i want to bring it back to what julianna was asking at the beginning with the operating environment. we talk about the cost of living crisis how is that affecting the environment for premium? >> it is the biggest impact on the market for premium which actually looked at policy changes. if you look at the u.s., the demand for products is up 47%. in europe, it is down 40 that is more supply issue than it is demand issue

u.s. insurers had access to capital and counter cyclical from private and public. proper european insurers looked to capital light that segment is impacted by the source of capital over consumer demand. >> i'm going to ask about solvency there is talk about reforming regulation in your view, is that leading to easing of the capital requirements for insurers? >> it is always a work in progress we operated in dozens of those solvency has an issue that global leads need to address take investment quality bonds. i would guess most of the guests suggest different risks. you can get adverse consequences and someone says put all of the

high quality investments with a different risk level there is not parity with the capital requirement and risk taken. now privates have escalated. the private is treated differently than public at the same credit. >> mike, we have one minute left in the program what is outlook for m&a? >> we are the largest investinvestor i think there is other capital coming in. you will see it in the pace. >> what is the geography if i may ask? >> nope. >> hopefully we will have you back on if you have big news thank you for coming in. mike wells ceo of athora. let's look at u.s. futures before we go over stateside.

we have the three indices looking to open higher this morning. after stabilization with the nasdaq post a gain of 0.13%. the s&p closing slightly lower in terms of the day ahead, we are looking out for u.s. quarter 4 estimate and jobless claims due out. kansas city fed manufacturing for february and host of central bank speakers due to deliver comments something else to look out for today. that is it for the show. i'm julianna tatelbaum >> i'm joumanna bercetche. "worldwide exchange" is coming up next.

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it is 5:00 a.m. at cnbc. here is the top "five@5. we begin with stocks trying to stake a comeback dow having the longest losing streak in months right now, futszures are higher. a new issued warning from chanos they are not over yet. and shares of nvidia getting shifted into high gear we have a anothe