is next.g west," emily: this is "bloomberg west" live from the 2016 bloomberg technology conference in san francisco, bringing together entrepreneurs, investors and corporate leaders around the globe with minds behind the game-changing products, processes that will drive the next wave of innovation across the tech industry. we heard from a global founder, drew houston, the twitter share just a few of the voices today. but we will also be bringing you -watched moments throughout the next hour. stay tuned for much more coming up on this edition of "bloomberg west." first, from its founding google has been at the heart of dysfunction in the tech industry. one of the way they help to -- at the heart of disruption in the tech industry. they help toys continue to drive change is through gb. they have made a range of consumer tech advances like uber. they are developing a portfolio in the life sciences debate. joining me now on which industries look rife for disruption. thank you for being with me today. mark enters something interesting. spacee intersection is a that is very rife. i am curio

let us check in on the bloomberg pound index. of course, this is about understanding the real risk of brexit. alan, we had this bounce, checkers set 79% is the risk. sterling is a five-month high. what is the risk-reward for sterling if we remain? alan: good morning. yet, i had a look at your pound index. it does round with your odds checker indexes. you have to go i think with the central scenario, notwithstanding what we had last week, is remain. and the cost of protecting yourself, in terms of options, if you try expenses, for my mind some of that is unwinding. seeing sterling strength, we have done is celso cell phone or dollar assets. we sold some gold, some u.s. equities in the low one 40's, and come back into sterling because if you look at the really long-term graph of sterling-dollar, not many pounds below 140. so there is a value in terms of an version here. anna: talk to me about the level of risk, or the perception of risk at the moment in the markets. i know that you like this particular barometer of fear, alan. barom

that is the bloomberg business flash update. the markets desk where ramy inocencio has the latest. ramy: if it is from the ground up, it is up. let's take you to wti crude. more thany a little 2% right now. it has been jumping for the marked -- for the most we have seen in the past seven months. this is the first 2% rise in the past three weeks. we did see earlier when janet yellen was talking, a leg down. we have recouped most of that over the course of the afternoon. we did see this problem on signs supply isl oil receding. militant attacks in nigeria of course as well as the weaker dollar pushing interest on commodities priced in dollars. it fell off of what is happening, let's see the other oil makers. halliburton up more than 4%, phillips also 2.7%. these are food commodities. take a look at what is happening with wheat, corn, and soybean. they are all up. , this is getting a november high. the reason is whether-related. a lot of rain in russia is slowing down the planting season and raising concerns there may be fungal dise

it is 1552 on the bloomberg terminal. is is, the labor force participation rate in the united states. is it down at the lowest point since 1977 because of disgruntled workers who simply can't find jobs, or is it because of demographics? this is a different look than you typically see. this is the unemployed leaving the workforce. as you can see, we have had huge spikes up -- the one that we reported on on friday was the biggest spike up we have seen in two years. i have shaded the recession areas here in red. the reason that unemployment number has come down so low, 4.7%, is because so many people are leaving the workforce. yoge, do you think that is because simply because of a demographic issue? people are just getting older and retiring? for the because frustrated workers can't find jobs? >> probably a combination of both, but it is an important chart because it highlights the 4.7% is moreto about capacity. that payroll number was really quite bad and you can't really say the unemployment rate went down to 4.7%, we are a

mark: time for the latest bloomberg business flash. court away an appeal from the government of ecuador. billionontesting a $96 award to chevron. chevron bought texaco in 2000 one. chevron claimed ecuador violated provisions of the 1970's investment treaty by failing to resolve a loss in a timely fashion. -- the lack of deals in spain is fonica buying power. it is asking banks to take 30% yes -- less than usual to revise on the deal. itsays it is rethinking tradition of annual raises for employees. the company says it will scrap staff on af rating five-point scale. chief executive jeff ml says he is seeking to streamline decision-making. facebook founder mark zuckerberg briefly found his twitter attack hijacked. facebook released a statement saying that nine of the company's systems -- that none orthe company's systems accounts have been accessed. that is the latest bloomberg business flash. coming up, it is battle of the charts. tiny nation, big return. why the luxembourg stock market -- joe weisenthal, i am hoping it will happen. ♪ v

that is the bloomberg business flash. let's have market checks and's we are about does go hours into the trading session. we are seeing a little bit of dollar strength. you can see overall probably the story of the day and the week is a lot of these yields under pressure. we have a new negative record low for the 10 year japanese bond yield. stay with bloomberg, "surveillance" is next. that is not in negative territory, but it is that 0.02. we have an interview with a former ecb president and we will be asking him about negative rate and corporate bond buying. i will be joined by tom keene from new york. ♪ francine: the big bond theory. yields hit record lows. the 10 year bond makes headlines. of monetary policy is needed to fix the euro area. european stocks could lose a quarter of their value in case of a brexit. this is "bloomberg surveillance." i'm francine la

that is the bloomberg business flash. ancine: as mario draghi makes the case for structural reform to meet inflation targets presidenthe european says he is confident he also brushed off the brexit risk. >> economically speaking, we can see the economy is recovering. what we are now discussing is what needs to be done to strengthen the economy. british referendum, of coarse we hope for a positive outcome. that is much more positive from an economic and political point of view if the u.k. stays in the eu. dombrovskisldis will be speaking at the forum and we will bring you the headlines on the bloomberg terminal. now, let's get more from jonathan bell, the chief investment officer at stanhope capital. we spoke about political risk and we just mentioned the monetary policy risk. first of all, where do you see the bond market? >> is being pumped up by central banks across the world. that is an area where you have to be concerned about the returns you can get long-term. francine: but a bubble that will remain for five or 10 yea

the brexit vote. mark: i am looking at our bloomberg terminal. the weakest projection today was from the national bank of canada. jobs. no one got close. how come no one got close? nick: to begin with, numbers closer to zero in this data series tend to be noisy with data revision. it is a fairly wide range. the even against those backdrops, -- but even against those backdrops, it is a miss. so markets have to reset. this is something we have to focus on a couple of days. betty: but is the economy rolling over? it is rolling over from a 2% growth rate last year the second half of the year to more 1% to 1.5%. betty: but we kind of knew that. nick: that is why this is not damaging to equities. support equities. this forces bond yields to rally further. so i am not worried about equities, because yields will continue to decline. so if this does not change the economic view, does that not still make the case for the fed to raise rates? nick: that is where it is troublesome. the fed is focused on capital market behavior the same as it is on consumer beh

the pulse." live from bloomberg's european headquarters. rst thing is first. 10:00 and central european countries. we need to get your asset check. this is what european stocks are looking like. a little bit of a rally. the british pound also .ebounding slightly this is ahead of the federal reserve policy review. i want to show you some of the other indices and asset classes that we are looking at. , pounds, and that is the rebound we are seeing. you want trading near a five-year low after the msci decided to keep chinese equities out of its benchmark indices. that is the market. we'll get plenty more data checks. let's get to first word news with nejra cehic. nejra: china's domestic equities have been denied entry into msci its market indexes for a third time. whose emerging market index is tracked by investors with $1.5 trillion assets says the company's desk says the countries -- says the countries policymakers -- it is a setback for the presidents effort to make the yuan and international currency. the uk's chancellor will warn that leav

that is the bloomberg business flash. rest rates to remain low for an extended time, that was the message from ecb president mario draghi yesterday. here are some of the highlights from his news conference in vienna. >> we continue to expect them to remain, at present, at lower levels for an extended period of the horizonll past of our net asset purchases for stub looking ahead, of the business of current futures arees, inflation rates likely to remain very low, or negative, in the next few months before picking up in the second half of 2016. start makinge will purchases under our corporate sector purchase program. starting on 22, june, welcome that the first operation ,n our new series of targeted longer-term, refinancing operations. the governing council will closely monitor the evolution of the+++ foreign did to achieve its objective, will act by using all the instruments of -- available within this mandate. it is quite clear, however, that we will not hesitate to act. anna: mario draghi at the ecb, there. let's bring b

you are my -- you are watching the european close on bloomberg markets. we are going to take you from new york to london in the next hour. here is what we are watching today -- stocks in europe rebounding from their lowest levels since february while u.s. markets are getting a you -- muted but spirited performance. decision andomc statement at 2 p.m. today at a press conference at 2:30 as fed watchers are ready to dive not only into the rate decision but the fed's up dated forecast and chair yellen comments stop mark: brexit backers launch and our motto while the chancellor warns of a leak future if written votes to leave the eu. eight days to go until the u.k. referendum. vonnie: those pictures are phenomenal. let's head to the markets desk for the latest. stocks are climbing from that route we saw. we are seeing the s&p 500 up .3% and the dow jones up by as much .4 the nasdaq gaining percent. we see calm resurfacing in the market ahead of the fed decision this afternoon, but take a look at the s&p 500. it has been building momentum overnight. they are up

emily chang will be interviewing the ceo on bloomberg markets at 11 eastern. brazil economists expect the central bank to cut the benchmark rate less aggressively. this after a series of negative inflation rises. they will end the year at 13%. 13th 25%.at -- at 14.25%. to openpple wants retail stores in india, it must promise to bring factories to the country. the indian government may loosen existing policies that would require local sourcing to companies that want local stores, but apple would have to provide a time frame for manufacturing. that is our latest bloomberg business flash. julie hyman has been keeping an eye. andrew of citroen, who has now become a well-known short seller, has spoken to bloomberg and said he is sporting shares of facebook. he says the company is losing relevancy. they are gaining is not as valuable as the users it has lost. take a look at the bloomberg here. you see the price in short interest ratio. here's the short interest on absolute value. left in the minority is we are atng sure -- we are looking apple, not is because of the

this is the bloomberg close -- this is the european close on bloomberg television. nnie: 14 minutes left until the european close. let's check in as we had into that. the 10 year yield dropping a .ood bit now the dollar index, still a little pressure there and the yen continues to strengthen. we had the revision of gdp data in japan. nymex crude oil futures just off its highs of the day. fiat has started a partnership with ridesharing service uber. the venture could be announced by the end of the year. uber is holding similar conversations with other carmakers. our reporter at large joins us from italy. this would not be a particular surprised. he has been dying to do a partnership with anybody from detroit for a long time. guest: yes. it is part of the strategy of the new fiat ceo. first tos one of the sign a deal on a self driving cars and then he wants to make a new partnership with other tech giants. he started discussions with uber but had initial conferences with amazon, so he is quite active in this deal now. to beis there an argument made that fiat should be

tom will put it out on the bloomberg cap. re we going to finally understand what janet yellen will say to the world? will brexit mean she is right? >> no, definitely not. i agree with the people michael is citing. the primary effect of the united states is the strength of the u.s. dollar, partially upset because of pushing down rates. hike.ning a rate on balance, it will be a drag of a couple tenths but it is not a game changer. the way they are the central bank it to the world, the u.s. let's the dollar rise when other people are in trouble. please.hael, jump in michael: because interest rates are lower because of capital flows, we may see a benefit in housing. mortgage rates make a down. they problem we've had is there is not much housing stock for sale. but it could help. me clarifyne, let this. he stopped in chelsea, london, jimlook at three- six-fireplaces. >> chelsea is on sale. does this mean, francine? >> chelsea is having a fire sale. francine: overall, what does that mean? >> overall what that means is -- dean and to

welcome to "the pulse" live from bloomberg european headquarters in london. it is 9:00 so we have to look at the markets. we have quite a move overnight in asia. currently our top story is the pound. pound-dollar, 1.4425, the pound tumbling after that jobs report in the u.s. everything is linked back to what janet yellen can or cannot do this summer. the european stoxx 600 almost flat. at 49.2.r in new york let's get to the bloomberg first word news with caroline hyde. caroline: the pound has fallen to a three-week low after goals suggest britain's favor leaving the union. surveyg weekend after a found 45% of voters would choose to leave. 41% said they would vote remain. another poll shows the leave campaign ahead. the race has tightened in the past week, spooking some investors. china must improve monetary policy communication as it takes on a larger role in the global economy, so says u.s. treasury secretary jack lew. >> i think when you talk to the economic policy, there's no question that they understand what they need to do in terms of having market force

gap.ina plug the this is bloomberg surveillance. i'm francine lacqua with tom keene who has been here for the week. an interesting day. .om: a historic day will state repeatedly across the five hours of surveillance this morning, what we can and cannot say. let's go through it. of -- in fact -- welcome to the u.k. next line here is an much andra. >> citizens are voting in a u.k. referendum. prime minister david cameron is among those casting ballots. u.k. prevents of reporting while the polls are open. on capitol hill, republicans adjourned the house after 16 hours after the start of a protest by democrats. the democrats staged a sit in on the house floor demanding that republican leaders schedule a vote on gun control measures could one of the democrats, john lewis, is a veteran of protests going back to the civil rights movement. >> i crossed a bridge, not just one time, but it took us three times to make it all the way from selma to montgomery. we have other bridges to cross ,nd when we come back in july we will start all over aga

let's get the bloomberg first word news. s rosalind chin. rosalind: well, coordinated attacks at istanbul international airport have killed at least 36 people. prime minister said islamic state is likely to be responsible for the killing. , the attacks which also injured 150 went off in rapid succession at the airport around 10 p.m. local time. european union leaders have told britain there is no turning back after the country voted to leave the bloc. angela merkel says there is no time for wishful thinking, but rather to grasp reality. her comments came as the u.k. prime minister david cameron used his last eu summit to express disappointment to win the referent of the call. prime minister cameron: it was one of sadness and regret, our partners in the european union are genuinely sad that we are planning to leave this organization. and that was very much the tone of the discussions at the dinner tonight. rosalind: in the run-up to the englandendum, bank of governor mark carney warned that a vote for brexit would trigger a re

this is the european close on bloomberg television. rtugal is the only bond market to lose money in the euro region. that is according to the bloomberg world bond indices. the yields have risen since october election to spread with greece, whose bonds do not qualify for the ecb's bond buying program. they have been narrowing to qe lows. vonnie: joining us is mario centeno. obviously said is true. of portugal and greece are narrowing. do you look for more relief from europe? mario: that is not in our plan. we are very much focused on a competition that targets we had for a fiscal deficit for this year. we presented a very demanding but ambitious stability program. the diamond trends we saw in 2014, we think that is the way to go and we will be very strict in our execution in terms of the budget. vonnie: the 10 year yield is up 3.13% and your debt to gdp ratio is significant. how do you anticipate meeting that without imposing more austerity measures? mario: we do have a vision in terms of our budget which is to accomplish most of what we

you can find more stories on the bloomberg. nk you very much -- francine: thank you very much, caroline hyde. manufacturing surged. what this tells us is the data is in stark contrast to what we saw in previous surveys, be it gdp or investment showing that lackluster activity with settling in the u.k. this goes against everything the we know so far with u.k. production posting largest monthly gain. i do not know if we have an impact on pound. we did see pound-dollar quite volatile on the last couple of days. british pound, i think this is in u.s. time but the correct figure, 1.4564. markets have been shy this morning. mark: shy after two days of getting. as you said earlier, we are seeing gains in utilities because the ecb is said to be buying corporate bonds of utilities. among the few industry groups that are gaining today are basic resources and utilities which are up by 6/10 of 1%. -- igo back to the ecb will go back to the ecb in just a minute. exportsta out of china, stabilized in may with a weaker currency giving some sup

let's take a deeper dive into the bloomberg terminal. you can find, by the way, all the charts we are talking about on your has -- terminal. you go into the chart library and on the charts have individual numbers. if you are listening on the radio, type in the numbers, you can follow along it truly. we'll tweak is out as well. -- tweet these out as well. the bloomberg pound index, which compares the british pound 27 of the most important trading partners, it is trade weighted, a quiddity waited. like the dollar -- the critically -- equity weighted. stunning from the february 20 the, this is the day referendum was an outcome of date was set for the brexit vote. of course, the action we sound, the massive drop with so many of the trading partners, all of them took it down. it had been above 100% since february 20, and is now down 7% since then. the dollar gained some strength as a safe haven play. a good segue, i'm looking at gold, one metal that had a big breakout day. rsi,ng at bloomberg, the the relative strength in the index tells you w

that's the bloomberg business flash. ancine: and i thought it was "frozen," the most popular ever cartoon. thank you. we will get back to the india central bank governor stepping down shortly. overall, global equities rallying, the pound strengthening, with signs that britons are willing to stay in the eu. let's get back to our guest, guy monson, and simon kennedy also joins us. thank you for sticking around. when you look at brexit, we were talking before the break about how you position yourself ahead of that referendum. ? i would position myself broadly for a remain, for three reasons. i think that markets have consistently underperformed, and europe is at a 25 year performance discount, and a 10 year valuation discount. we are tilted toward quality, high yields, and within many cap tilt. francine: the base assumption being that brexit will not happen. what happens if it does? >> if he gets voted through, your european and u.k. equities are protected by weakness in the euro and in the pound. 71% of earnings come from a

i finally want to show you one more screen on the bloomberg, guys. g you trade flows in and out of countries or regions. you can put the yellow drop-down box. i chose the u.k. you can see the most important trading partners across the map. china is the third biggest for the u.k. germany and the u.s. is important, but china very important as well. it is cool. anna: very cool. based on the results of the day, we will see today and tomorrow how that map changes. matt, thank you very much. 43 year membership in the eu is finally here, whichever side wins, we will continue talk about the pound no doubt. manus has the chart of the hour. we cannot talk too much about the pound today. manus: you can never have too much pound. i will see matt miller and raise chart.terms of my pound you get to decide if you're more interested in long-term inflation will the ramifications. 30%most accurate forecast, drop on there. some of this in context for you. back when the financial crisis hit, as low as 1985, we are rocketing out on the pound. we are up 4%. we had the stro

we are live with our guest from fits rating. ♪ mark: let's get the bloomberg first word news. he euro area is lackluster growth is said to continue as the economy calls for a strong first quarter performance. it's gauge of new business growth fell to a 16 month low in may. the survey suggests the 19 nation economy will grow .3% this quarter, down from .5%. surged -- thend poisedes for the biggest one-day gain since they were sold. 13%, the is as much as most since the announcement. they also said the chairman and founder plans to go within a year. see an sachs accelerating risk of capital outflows from china as the yuan and a could open a global selloff similar to those seen in january and august. the yuan is poised for a fifth weekly decline. global news 24 hours a day powered by 2400 journalists in more than 150 news bureaus around the world. time thisthe second year, japan's policy makers have performed a you term -- be you turn on the key economic strategy. this week's delay in a sales tax the faith undermining in debt. how disappointing from a debt perspective was it that

to get back to opec, look at the bloomberg. is is a chart we have been looking at this morning. 15:27. we've been looking at the failure of opec to come to this agreement. in the past they have come to an agreement and nonstop to them. -- and not stuck to them. you are looking at production in this aqua color. excluding iraq going back to the end of 2011. and in the group production target that was sent late last year. as you can see, opec is pretty consistently asked needed the targets. opec is notorious for not sticking to its production targets when it does even in fact agree upon them. let's get back to stocks. all major averages down but not as much as they were even an hour ago. only about two tens of 1%. energy continuing to way here -- that could be mitigated following the weekly inventory numbers. the s&p energy index is down over the past couple of days sharply. a drop of about three quarters of 1%. it is also coming back up a little bit in the wake of these numbers. in terms of the energy point movers, the exxon mobil

you're watching the european close on "bloomberg markets." we take you from new york to london in the next hour. continues to face an uphill battle after its massive emissions and scandal. sits down withr bloomberg television to talk about what his head for the automaker. betty: the opec meeting kicks off tomorrow and the oil producers are showing some optimism overpricing, adding that demand is growing faster than anticipated. mark: we bring you an exclusive sitdown with the south african finance minister. plus, global issues like brexit. betty: we have 90 minutes in the trading session in the u.s.. julie hyman has the latest on this slight climb. julie: the pullback has moderated. averages areor still lower but the nasdaq in particular is down less than .1% as we've seen stocks come back a bit. energy has been a drag. utilities and health care of the create the list major averages. the nasdaq was the best performer yesterday and the dow was the worst. oilre seeing that slump in that is also moderating to some extent. still down 1.4% at $48.4

that is the latest bloomberg business flash. willn, release results of the second part of its annual bank stress test. we will learn whether banks will be able to distribute capital to their shareholders through dividends or sharing purchases. joining us with a preview is michael moore. he covers the finance industry at bloomberg. banks have the capital to expand economic shock. r.day is all about cca what is it going to impact? >> it is the key point in the year for the bank investors. the fed gives a thumbs-up or thumbs down on the capital plan and the big thing that has been introduced over the last couple of years is what the banks have started calling the mulligan, which is when you ask for two big of a capital distribution and the fed can say no and you lower your ask without failing the stress test. you get a little bit of a do over and the fed indicated they would be punishing banks if they had to use the mulligan on multiple years. i think you will see the banks start to get a little bit more aggressive and maybe more th

you can find more stories on the bloomberg at top . francine. ancine: the pound has fallen toward an eight week low -- put the campaign to leave the eu ahead of remain. the sun, the country's biggest selling newspaper, has on its to vote tothe urge leave. -- to stay in the eu. >> there is such a strong case for the u.k. to remain as a member of the european union and to remain a part of the single market. geopolitically, economically, -- many aspects francine: first, speaking at the event yesterday, the best campaigner, boris johnson says remain campaign is misjudging the british people did ask -- people. >> i think that they are woefully underestimating the ability -- the francine: the lack of concern of the brexit is a little puzzling. -- think it'sy is a much for coming on to do the markets are starting to fear the possibility of a brexit more. richard: the concerns are finally starting to come through because the results is now perhaps slightly less obvious than it appeared to be a couple of weeks ago. that is showing through in developments

this get to the bloomberg first word news with nejra cehic, nara. jra: the yen jumped to a 22 month high and japan extended losses. governor kuroda says he will not hesitate to ease further. the swiss national bank has kept interest rates unchanged, conserving animation -- conserving ammunition. it has the potential to come to kate monetary easing desk to complicate monetary easing -- to come to kate monetary easing. the frank reminds -- the frank reminds overly valued. minister saysy there is a need for his country to cooperate in the oil market at the moment. speaking to bloomberg tv, alexander novak also said oil prices averaged $50 a barrel in 2017. we'll bring you highlights later in the program. investigators say they found the main wreckage site of egyptair flight 804 which crashed last month with 66 people. egypt's aviation ministry says the search mission has obtained images of the airbus's wreckage but did not specify the location. global news, 24 hours a day, powered by 2400 journalists in more than 150 news bureaus around the world. find

let's get the bloomberg business flash. ingnestle offering in china with the bets on e-commerce. they have unveiled 67 products new to the china market on the platform. they are not available in shops. bentley andler of bugatti in the uae is closer to the ipo that's been in the works since 2000. the ceo spoke exclusively to bloomberg tv. >> we are closer, but we spoke about it a few weeks ago. we have all of the comments are ready and all we need to do now is it all the information. some of the projects that we have in our ipo are still not finished. we are finished and ready so that will be a plus for investors to look at it. finishy look at the revenue-generating project. rosalind: suffering its biggest intraday decline in foreign half years after they said they were ceasing coverage and noble group is looking to raise money. the ceo quit last week and they are tailing as the chairman says he will step down within a year. north korea group is going to see delays with its hotel unit an executive will be facing charges. hope

now, let's get straight to the bloomberg first world news. voting has begun in the historic referendum and polls close at 10:00 p.m. u.k. time the first result will start coming at midnight. we will be following all the action during the day with a special coverage, which begins tomorrow. the ecb has reinstated greek banks, using the junk debt as collateral. the european central bank also said they would examine purchases of greek bonds under qe at a later stage. havee u.s., republicans hastily returned from the house for a weeklong recess. nearly 16 hours after democrat held a sit in. republicans have dismissed this as a publicity stunt, but it has the potential to shift the dynamics of an already volatile election-year. and the federal reserve releases the results of the animal u.s. think stress test tonight. u.s. stressnual tonight.ess tests janet yellen says she does not expect to have to force banks to boost capital, however. global news 24 hours a day, powered by 2400 journalists in more than 150 news bureaus around the world. now, let's

the 12:45, we get ecb policy at and the in a. bloombergustomers can fall of the developments at top . at the same time, we get u.s. initial jobless claims, coming ahead of course of tomorrow's key payroll data. and half an hour after that, bank of england governor mark carney launches the new u.k. five pound government no. that might not sound like some to focus on. but mark carney will be quizzed by reports on brexit. we may have to wait and see if he does comment on brexit, but you can be sure the u.k. politicians will be weighing in on the debate. we will get warnings about what, up next. ♪ anna: welcome back. 1:19 in the afternoon if you're in hong kong. if you have the pleasure of that youthful view, that is victoria harbour. hang seng up by 2/10 of 1%. let's get the bloomberg business flash. rishaad: that view is right. uber saying it picked up a $3.5 billion and saudi arabia, the biggest investment today helping the ride handling company go public. saudi arabia has been looking to diversify interest e.on oil -- beyond oil. the p

♪ emily: i am emily chang and this is the "best of bloomberg west." crosoft adds linkedin to the professional network and we speak with the ceo about one of the largest acquisitions in tech history. apple's blueprint for the next generation. the tech giant renews its commitment to the tech giant at the conference and ask developers to get in on siri. and the must watched moments from the bloomberg tech conference. that, and much more later in this hour. first, to our lead. we kicked off the week with microsoft announcing the acquisition of linkedin. 26.2 billion dollar acquisition, one of the largest ever seen in the tech industry. microsoft is paying $196 per share in an all cash deal, taking on $25 billion in debt. for details about the megadeal i , sat down with the microsoft ceo and the linkedin ceo and asked about the synergy of the deal. >> it is about really bringing together the professional cloud, which is at the core of microsoft and the professional network. the dream we have always had is how can we connect these two worlds so that our mutu

on to the bloomberg. i am using my take by take tone by tic tone.c i did not move the blue line over on the right and the idea here of sterling strength in the last few days breaking down strength,terling shows you the move we have seen and the last two days. francine: i chose something a little away from brexit. this is a benchmark, the blue line is two year treasuries versus the jgb and the white line is the currency spread between the yen and dollar. in 1995 there was an international trade dispute that inped drive a 25% plunge dollar and investors say we could see the same again. that is my chart of the day. britain's referendum on eu membership remains too close to call with two days left prior to the vote. quite put myot finger on whether it is too close to call because of the undecided on whether it is just too close to call. anna: too close to call is certainly the way to sum it up this morning. 2% poll puts the leave camp ahead and another part the remain camp at 7%. who eventually gets themselves

let us get the bloomberg first word news. nna, a few federal reserve officials now expect the bank to raise rates more than once this year. policymakers painted a mixed picture of the u.s. economy, but growth is picking up while job gains slow. chair janet yellen also cited britain's referendum on eu percent next week as one of the uncertainties discussed in a two-day meeting. upcominglen: the decision on whether a not to leave the european union is something we discussed.and i think it is fair to say that it was one of the factors that factored into today's decision. campaigners are continuing to protect the governors vision of the proposed gove was one of the house campaign leaders, criticizing the austerity budget that they remained camped would be necessary to shore up finances if the u.k. votes to leave. the plan may offer george osborne a growing rebellion from the tory party, right up to the rejected height and spending cuts. denmark has unlimited firepower in the form of currency intervention, to ward off any threat to

the world. i'm emma chandra, this is bloomberg. up, breaking his coverage after the break to vote just ahead. -- brexit vote just ahead. stay tuned. ♪ ♪ mark: this is "bloomberg markets ." vonnie: i am vonnie quinn. asia because the nikkei 225 had a rough session. down 7.9%. that was a big drop for japan. and you had hong kong down 2.9%. a little bit less of a drop for the shanghai composite index down 1.3%. we saw them movie the china currency which we can dramatically -- weakened dramatically. you have the dollar-yen weakness. yen strength is not at all pleasing to the rank of japan. the minister would not comment specifically on the yen itself. we know it was flirting with the 100 level. the chinese currency at 6.63. the korean is experiencing some difficulty. the bank of korea called an emergency meeting that will affect korea's exports if there is not a quick trade deal done with london. you can see the gold futures experiencing inflows. they were much higher earlier overnight. ouncealling for $1400 an due to the lack of limit

let's get the bloomberg business flash. haidi: u.k. prices have continued to climb in june, with only the capital experience a decline at this week's referendum on eu membership. the cost of new property london felt like 0.2% last month. the property website operator report also said that london is the most vulnerable to a brexit. five employees on leave as credit squeeze conducts -- credit suisse conducts an investigation. the southwest and israel test focusing -- israel desk posting on ipos. declined to comment aside from confirming that the staff had been placed on leave. long-awaited sequel, "finding dori" -- " " makes $136 million in the u.s. and canada, topping the box office this weekend. manus: thank you very much. let's get into one of our main stories. vladimir putin is considered to be selling part of a company to china and india. a stake in to sell russia's oil champion. a possible reelection bid in less than two years. very good morning to you. tell us a little bit more about this potential deal, selling rosneft. this would

that is the bloomberg business flash. sident joins us to discuss how hedge funds are managing take moves in the market. george magnus is also with us. welcome to the program. i do not know how you deal with these yields. is it distortion, distortion, distortion, and how do you look through it? >> the short-term effect on the yen with the brexit vote next week, it is very clear the bank of japan, they cannot do anything until it is out of the way. in a broad picture, the answer is that type of chart with the n is annd on dollar ye opportunity to make money. the longer-term picture is that it is hard in a world of zero rates out of at the swiss bank has out to 32-years of zero rates, it is hard to allocate capital when capitalist free. -- when capital is free. francine: we could see these negative rates being in place for a long time, or certainly normalization taking longer than we thought three months ago. that my own view is normalization will not happen in a nice, gentle way. we are probably stuck with them for an extend

she's got the bloomberg business flash for us. yvonne: thanks. bama has formally invoiced hillary -- endorsed hillary clinton. it comes after obama met with bernie sanders at the white house. president obama: i want those of you who have been with me to the first to know that i am with her. i am fired up. i can't wait to get out there and campaign for hillary. yvonne: clinton said the endorsement was a treat. ms. clinton: it just means so much to have a strong, substantive endorsement from the president. obviously i value his opinion a great deal personally. as i've said repeatedly on the campaign trail, i think he has been a very successful president who has made our country stronger and fairer and it is such a treat because over the years of knowing each other, we've gone from fierce competitors to true friends. yvonne: the israeli prime minister has pledged to defeat palestinian militants after a shooting in tel aviv. he also called on palestinian leaders to condemn the attacks. netanyahu said he was reinforcing troops on the border with west b

that is the bloomberg business flash, francine. cine: just to recap one of our top news that came up five minutes ago good germany's top court has rejected the challenge to the monetary transaction by the ecb. this is the ecb bond buying program. positions --in the the provisions that he could do it. the court is rejecting it with some caveats. judge liberates more, we will bring it to you. let's talk more about europe and entrepreneur. luke johnson is with me. we talked a little bit before. for the viewers that are just joining us, you are for brexit. you think coming out of the eu would benefit the u.k. because you get rid of nonsense loss and you cut the red tape. what would it mean for european on spinoza? luke: i think -- european entrepreneur. luke: i think it would be a good signal. it would give the european union a good shock. it would force them to reform. when david cameron went before this referendum to get changes, nothing was given. -- seemedto compete to continue to be the right word. -- the watchword. rather than hav

let's head to the bloomberg with mark barton. lly these markets are trying to look for direction. mark: little changed for sterling after the gdp report, .4%. the big question is to what extent will the economy slow and the current quarter? the expectations are this year, we will see a recession post-brexit. this is the bloomberg pound index. it is rising for the third consecutive day. it fell 2.9% on monday. in rose tuesday, wednesday and it is up on thursday. the total five-day decline, 9.3% 9.3%. on monday, we were sitting on declines, 11%. the is a chart showing differential between the u.k. ten-year and the u.s. 10 year. wind the most -- it widened the most since 2000. the widest since 2000. u.k. bonds are heading toward a 12% ain't in the first half. double the return of u.s. treasuries. that is on the concern that britain will enter a recession will require -- recession which will require further easing from the ecb. the u.s. ten-year is only 12 basis points from a record low. there has been a lot of talk about the ftse 100

that is the bloomberg business flash. ancine: we are joined by's even king, senior economic executive with hsbc. -- stephen king. we have u.k. yield in blue, germany in white, and we have the u.k. a are -- an article that came yieldsay, it means that have dipped below zero. germany maybe next. what does it mean psychologically? stephen: what we are seeing is kind of a convergence towards japanese-style behavior. we used to think japan was a unique and peculiar country but the rest of the world is delivering outcomes that are very similar over the last 25 years. very low growth and very low inflation, not much in the way of policy stimulus and continuing yields falling. francine: what is the prescription to avoid that? stephen: if only we know, because japan is been stuck like this for 25 years. it is difficult to escape from this trap that has come through. what is interesting in europe and the u.s., nominal geeking dominic at -- common economic thenity has come in lower people forecast, and this is what we saw in japan ov

thanks for watching bloomberg television. ♪ ♪ emily: i am emily chang and this is the "best of bloombergt adds linkedin to the professional network and we speak with the ceo about one of the largest acquisitions in tech history. apple's blueprint for the next generation. the tech giant renews its commitment to the tech giant at the conference and ask developers to get in on siri. and the must watched moments from the bloomberg tech conference.

take a look at the bloomberg. when you break it down into sectors, you have attained main desk you have 10 main groups. companies faring better. the losers are financials, the big banks. we want to show you within the dow the big movers. the dow has 30 members. the only gain is up by half of 1%. stock is down. alix: now let's check in on bloomberg first word news this afternoon. mark crumpton has more. mark: german chancellor angela andel is calling for a calm measured response to the vote. sentiment in the u.k. is often seen elsewhere in the eu area . see ourselves confronted with the fact that he will have basic doubts about the direction the european unification process has taken. mark: she will meet with the president of the eu and francis hollande. david cameron says a new leader should be installed by october. david cameron: the british people have made a very clear decision to take a different path and as such, i think that country requires fresh leadership to take it in his direction. i will do everything i

scarlet: let's take a deep dive into the bloomberg. matt: i'm looking for my deep dive at chart 1813. it is prescient for our european viewers. the red between italian 10 year yield in spanish 10 year yield. spanishy, we had the boat which didn't really go much different than anyone would have taught, today, a total shocker -- italy beat spain to do nothing in the european championship and not them out of the tournament. spain was favored to win the entire thing and with them out of the way, it looks like germany could edge out. here, you see the yields rat and i wonder -- i don't have any experience with soccer and sovereign debt yields, but do you think that will change the picture at all? if it does, that would probably be an opportunity to arbitrage that scarlet: england is losing to iceland right now to the one. matt: england is losing to iceland. think only one soccer team amount of people lives in iceland. scarlet: the streets of france may be dangerous for any soccer fan. across the developed world, the yield curve is flattening

let's get to the bloomberg business flash. rmer barclays director is being accused of taking tips for cash and a new bathroom. he faces conspiracy, wire fraud, and conspiracy fraud charges. the largest investor in alibaba will sell $7.9 billion of its stake to bolster its cash position. they stillthe sale, remain alibaba's main shareholder. shares''s u.s. listed have gained 20% since 2014. shares of bob aviation have raised $1.1an ipo billion. the company plans to use the proceeds to purchase new planes. the region is set to overtake the u.s. as the world's largest market with aircraft. offer will trade under the name british deal. the business employs 4000 peoplein the u.k. and 400 in france. that is your bloomberg business flash. anna: opec oil ministers are gathering in vienna. brent crude of holding around $50 a barrel, while all but one of 20 bloomberg analysts said they don't see an agreement on freezing output at the meeting. ryan, you have been catching up with some of the ministers. you have been talking to the energy

i have a great map here on the bloomberg. ype in china and the drop-down menu, i'm sure you have used this a lot, you can track chinese trade with a number dutch number of other companies around the globe. -- with a number of other countries around the globe. japan, south korea, germany, australia. they only do $80 billion of trade per year with the u.k.. could we see that relationship pick up? could it do more with china? we were talking about that issue the other day. now that eu is out of the way, might there be more direct bilateral discussions? the map it just showed is right on. to be used by these asian countries, they are not exposed to the u.k. but they are to europe. about the currency? it's the last thing they want. betty: exactly. carol: chinese officials taking moves to shore it up. could we see moves coming forward? betty: people are betting on it, right? absolutely, don't forget that it comes later this year. they are looking very much towards the imf and very much towards the basket of currencies that they want

the eu. ian onr. larry bloomberg in a bit. headline, was david cameron and his discussion on the bbc this morning. on winstoncussion churchill. here he is. cabinet: i fit to away from where winston voted -- he did not want to be alone, he wanted to be fighting. he's not quit on europe, on european democracy, on european freedom. tom: this is not the movies. this was for real. he was livid about what the gentelman said in the audience about mr. chamberlain. let's remind viewers. neil chamberlain had promised peace and what out saying this was peace, and actually -- tom: all of our audience had seen the speech. francine: not everyone, but this goes to the point, you saw david cameron who was almost angry. there have been accusations on both sides of the camp. if you are a voter, you lose the kind of middle ground. economics,rse we do and a bit of british history here. we bring in some terrific european perspective. your thoughts on what the prime minister said their? for me, that was without question a desolate moment off of the