manus: i'm manus cranny. anna: lots of earnings coming through, keeping and i'll the transatlantic m&a. we have sap numbers coming through, reiterating the 2017 forecast and giving us a host of numbers. q1 revenue beating estimates, that is one of the headlines. it's coming in at 5.2 9 billion euros against an estimate of 5.16 billion. it does seem as if that is where we got the sap story. jousting with longtime rival in thecore, this is context of the software says it ishe company being run in their data center and cloud computing software delivered online, for all those different products on different platforms. oracle reported a big jump and that competition is key. watch out for software license sales, that is what the big factor is, and the prophets number is 1.2 billion against an 1.20 3e of one point 2 billion. in novartis, they're looking at $1.11. they have been spending money on their hard drugs, so marketing costs have been core. they confirm the 2017 outlook which should be low single-digit growth

manus: i am manus cranny. breaking news, we have felt.hillips is hitting the take coffers quarter revenue 5.7 billion euros. it -- pencilpencil and 5.69. that is progress in line. -- 442.sted that is the everest. they canity, they say flow 412 respectively. the abundance coming in ahead of the two estimates. first quarter comparable sales rose by 3%. euros, we are waiting to see if there is any, at all from the defibrillator issue going back to 2015. that is one of the things that the ceo can give us a little bit more light on when we talked to him. we are going to have a conversation with phyllis, we will speak to the ceo and the programming.r in we will, of course, have those subjects at 6:30 a.m.. the outlook remains unchanged. three point one 7 billion u.s. dollars. an update on the big m&a deal with china. they look forward to closing the transaction in may 2017. that is narrowing down the window where they expect to see. now they are saying made for a 17. april 12 they have chinese go-ahead. now they have china, u.s., eu. this is a

manus: we were talking about this morning.t depends whether they want to actually make an approach. you can follow all the results on top . find out about president trump's plan for repatriation for tax breaksy inside america. this is bloomberg. ♪ manus: it's daybreak europe. today were going to get details of what has been one of the great driving forces of the truck rally. it said it will include a 10% tax on more than two point $6 trillion in earnings of u.s. come preset are stockpiled offshore. down from about 40%. the plan is expected to include a 15% tax rate for corp. rations. joining us is a cheap economist at g plus economics. is there a risk that if the tax reforms don't deliver similar to what we describe, markets will be disappointed, or have they been quite happy going with other factors? >> i think has april comes to a close, there's been a distinct team for the markets this month which is been a remarkable: really that coexistence of political uncertainty and resilience. the various setbacks in the that pres

manus: there is not. have to wait and see what happens after this triggering of article 50 and the brexit negotiations take hold. we will bring it back to you. this is a hugely competitive landscape from your vantage point. what happens next question mark we surprised by tesco going after, will lewis have a tough time justifying that to the shareholders, could it fall apart? andrea: tesco shareholders do not like it which i personally was surprised about. because of the two parties. i think tesco gets the better deal out of this. they are not paying a huge premium. it was highly valued and it is a quality operation. for tesco it has a lot going for it. shareholders are not so sure. lewis has got to convince them. manus: they have been scarred by many issues and maybe there is that trepidation on the board. thank you for joining me and breaking down the numbers. let's stay with the daybreak team. we will bring you some of the biggest names in global economics and they include a rollcall to end all roll cal

and i and manus. manus: thank you. the u.k.'ion is likely to get the green light from parliament. jeremy corbyn has expressed his support. the surprise announcement marks a sharp u-turn for theresa may who previously opposed an early vote. she is hoping that the general election will broaden her majority in parliament. the pound jumped to a six-month high. anna is standing by to decide all of the news of the past 24 hours. anna: i am pleased to say i am can help our guest who us decide what is happening. which rebels -- is she going after? guest: she is going after all rebels. what she wants is to not have any difficulty from infections and her party. she is divided over the issue of europe and she realizes it will be complicated negotiations around brexit. she has a small majority at the moment. it an extreme group of people who wish to remain or leave. she does not want any of those groups to have undue influence over her to hold her to ransom. of importante numbers here, 17 is the majority she has. 20 or 21 lead she hasn't ca

manus: you're right.is about what happens next and what are the priorities of the president, whether he remains. the inflection point for you and fitch. what is the next downgrade? we could look at the different indicators. we don't have one label of the gdp. certainly a failure to stabilize would be something that we would be looking at quite carefully. a significant weakening of the governments of state enterprise would be something that we could be quite concerned about. those are two of the main things we will be looking at. would zuma's resignation -- go ahead. matt: i was wondering the same question you were about to ask. is there something that could stabilize -- i know your outlook is stable but there is there something that could stabilize the political uncertainty or bring that to an end? for example, sumas resignation. damageink a lot of the has been done. there will continue to be a lot fighting between the zuma camp and the other camps. that will continue to be very difficult to have all of t

manus: very good. our guest stays with us.rotesters clash police ahead of this weekend's french presidential elections. we had to paris to find out how the race is shaping up. who is the lady behind melenchon's runs to power? be long risk in a french election? those are questions we will put to our guest. it is a beautiful day in the city of london. stocks down 0.5%. pressure on markets today. a shortened trading week. what will happen next -- we will discuss french elections. ♪ matt: a fight for france. less than a week to rumble for french polls open. still, a third of voters are undecided. is it still a macron, marine le pen race? the u.s. treasury secretary says a strong greenback is a good thing just days after president trump talked a down. what is the direction for the dollar? next stop, tokyo. u.s. vice president is in japan after delivering's turn earnings in seoul. mike pence says the u.s. is deeply committed to japan's security. welcome to bloomberg markets, the european open. 30 minutes into the trading day. a shor

manus: i'm manus cranny. is this a warning sign? this isre so passe, but the relationship between auto sales of the united states of america and the s&p 500, and they are virtually lockstep. but that relationship looks as if it could be just beginning to turn. should we get alarmed at the fact that auto sales have dropped, and still the s&p 500 careers higher? car sales slumped to the lowest level in two years. if you believe it will close the gap, one of them is going to aove, and that could mean 10% drawdown. is it a warning shot? anna: does the s&p fall, did car sales bounce? is that something in the past, and other other indicators? is the sector not offering what they want to buy? let's have a look at the radar risk. this is something that was a feature of the trading day. in particular in japan, some of the auto sectors were week. weakness in the u.s. auto sales, strengthen the yen, the has an impact. asia-pacific down. manus: when you look at dollar-yen, is yen strength sustainable? morgan stanley says no. they say a global r

manus: thank you very much, david.e bank reported first-quarter earnings that beat estimates. matt miller is standing by. focusing on the net income. the market was looking for 336 million euros in litigation charges and it came in at 31 million. take us through what you've seen so far. litigation, will continue to be a burden in 2017. the cost will be lower than in 2016 but it is still a problem. they are still dealing with litigation and trying to win clients back that they lost last year. of trust issues, for lack of a better term. they are still really struggling to win market share in this all important fixed income and currency trading business which is the lion share of their revenue, and get a bigger foothold into the equities trading business in which they actually lost some ground. it doesn't look good as first the trading businesses are concerned for deutsche bank. frankfurt to in talk about deutsche bank and to cover the ecb story. let's get a quick word on that front. a history lesson that mario draghi mig

manus: the fed shifts gears. chair yellen says the central bank's focus has moved away from crisis management and is now slipping into neutral. stocks slump. asian equities take a leg lower, treasuries rise, and the yen is on the up. risk off for investors as they approach the european session. declinefaces its third for its third deadline to report earnings. how bad will the numbers be from the embattled electronics empire? and tillerson's trip. the u.s. secretary of state arrives in moscow later today as the trump white house steps up the warnings in syria. welcome to "daybreak europe," our flagship morning show here in london. i'm manus cranny. matt: and i'm matt miller in berlin. manus: good day to you, good to see you. it is risk off by a variety of measures, but none more so prophetic than this. btb, 7694. euro-yen, dropping for 11 straight days. that is the longest losing streak on record. what are you looking at? this is the 200 day moving average. we managed to close below the 200 day moving average, a w

manus: we are back together again. how anxious are you, you have read about syria, you have read about china, you have read about north korea. you have tried to observe the risk, do not reach for this annex just yet. this is the bank of america mobile inch stress index. we're picking at to the highest levels, we have gone from the lowest levels to the highest levels. we put on a quarter of 1% muster but we are nowhere near we were at the brexit moment in the middle of last year. somersaulted peak that you saw when china and the equity markets collapsed last year. anxiety is rising but it is nowhere new the brexit deke, nowhere near this time when your ago when china was the core focus, we are more anxious, yes, but these markets did not fall over. losing 1.1% the s&p last week and gaining zero point 9% in yesterday's session. let's show investors were we have been. mnuchin talking about the timetable around tax reform. we heard something different from the president of the united states. we saw some strengthening and t

matt and manus. manus: thank you. have a great easter.global recruitment has released their update reporting an all-time record in quarterly net fee performance. we have the finance director what -- paul venables. strength coming from, what is pushing the numbers up? paul: most improved market is europe across the whole of europe. our -- 50% of our group and we were 18% in the quarter including germany where we are a dominant player in the marketplace at 23%. the common nation of improved economic backdrop, we have put a lot of investment into that market. a pickup ineeing i.t. and engineering which bodes well for the broader economy over the next year. do you expect brexit to help your business, moving people around and between the u.k. and europe? guest: you will be around the edges. 98% of what we do is people taking jobs in that country. it might be one or 2%. issuethe bigger exit -- here. as you know that is quite a bit better than the previous quarter. the positive part of it outside the u.k., we have seen no real weaknesses in the

manus cranny from zurich.sector to come through. 7:23 in london, eight: 23 in paris. the presidential face-off is in its final round. france alexa new president and emmanuel macron and marine le pen step up, turning combative. macron told voters they must take a side. the one who today has to create unity within a fractured france against mrs. le pen who is the face of the national front. a party we have known for decades. thefortunately grew up with french political landscape marked by this party of hate, the refusal of the other and a shrunken france. pen: i am telling you my friends, this presidential election is a referendum for or against france. friends, you to choose platformacron, whose is about the dissolution of france. his horizon is the deconstruction of france. anna: we're joined from paris. you have been tracking the story for us. great to have you on the program. we have seen macron still leading in the polls but slipping a little bit. how is he trying to turn that around? >> the challenge is to

manus: is the formula. manus: you seem to be leaning more toward south america than south africa.k: we have a little bit, but we are more conservative there. some of the markets came under some pressure. more so we do like places like brazil, argentina. indonesia, there are some opportunities. less so in eastern europe, but more so in latin america, but also parts of asia. manus: thank you so much. we're going to talk in a very short time downstairs. that is rick rieder, global cio for fixed income at black rock. we cover a broad church from davos. guy: yeah. sort of better weather as well. at least you got away with that. thank you very much indeed. the hail came out earlier. rick rieder making some interesting comments. nothing in fixed income is cheap. interesting what he said about emerging markets. look at this chart. this is foreigners piling into indonesian bonds. these are local bonds as well. that is december. just sort of shooting higher. whatig takeaway has been has been said by the ecb. mario draghi making it very clear that is qe first. we will wind that down, then st

manus: the list on market, china is on holiday.ack of that the survey. .1% -- .05%.up by and hong kong. a switch up on the close in australia. their clocks have changed. 58.61.flat at the meeting between the president and trump later in the week. the stocks are watching in the region, shiva may miss the earnings that line once again as soon as we thought toshiba had got its act together but the shareholder approver -- approval including westinghouse filing for bankruptcy. 42%, china is planning to set up a new area, a lot of construction players very strong. ceo.h scope has a new the cash expected to rate but if you look at the you can see the balloon --blue line -- tomorrow really expected to show dealing as to how it is with the aussie dollar versus it's very hot property market on the east coast with property of the percent over a year. expected. an update from hong kong. a and nicola sturgeon says second scottish independence referendum is the right one. a resistance will delay from the u.k. government untenable. >> scotland sh

manu, there's a lot going on, all of a sudden, w

hey, manu. take it away. >> reporter: hey, thanks, kate, and thank you, senator schumer, for sitting down with us. >> great to be here, manu. >> reporter: so, we're heading into day 100, of course, of the trump presidency. >> yes. >> reporter: he's talking tough on north korea. he said last night that there's a chance we could end up having a "major, major conflict" in north korea. what's your reaction when you hear the president of the united states raise the specter of war? >> i wasn't -- i don't think those were the right words, but handling it all wrong.he's - the only way to really stop north korea from doing what it's doing short of war is to get china to fully cooperate, because they control all the trade. they control the entire economy, really, of north korea. my view is to get the chinese to do something real, you have to be tough with them on trade. trade is their mother's milk. they care more about economic exports and vitality than anything else. so, when the president's sort of nic

our manu raju working his sources on the hill joins us with the latest. this is a huge deal. >> reporter: yeah, that's right, three new issues for michael flynn as a result of these records that have been released today by the top democrat on the house oversight committee, elijah cummings. these three issues confirming foreign payments that he received from sources. as a military officer, he was required to get permission -- a former military officer -- he had to get permission from the departments of state and the departments of army to get those payments. allegedly, he did not receive permission for those payments, including for a trip that he took to moscow in 2015 from kremlin-backed news station rt, in which he was pictured also in that same trip next to vladimir putin. now, these three pieces of information that have been released, this 2014 letter from the pentagon explicitly warning michael flynn that he had to get permission. so, it shows that he presumably knew that he had to get permission, and apparently, he did not, because a second newly unc

manu's there for us. thank you so much, manu. >>> this is happening at the same time, the president's daughter facing a rough reception during her first official overseas trip as a white house adviser. ivanka trump was asked about her role and her father's treatment of women during a summit in germany. she was invited there by the german chancellor, angela merkel. here is the moment that brought about a reaction from the crowd as ivanka defended her father. >> sadly, the united states is one of the only countries in the world, the only developed country in the world that doesn't have a pay policy for the benefit of families, so that is something i'm very, very proud of my father's advocacy, long before he came to the presidency, the campaign and the primaries. he's been a tremendous champion of supporting families and enabling them to thrive. and the new reality of -- >> you hear the reaction from the audience. >> i certainly heard the criticism from the media, and it has been perpetuated, but i know from

mark: the ubs chief executive being pushed by manus cranny.uropean companies are finally living up to -- well, as we know expectations and joining -- earnings.heir best let's get insight on the banking sector from bloomberg's european finance managing editor. manus pusho see sergio, but the focus seems to be paying off. >> absolutely and there were quarters last year in which the money flow was not as strong. the trends that were behind that, including the push toward getting tax compliant money and you have seen this very strong quarter of 20 billion plus that puts them on a very good cost to reach target, which is around 50 billion, and the market is rewarding that as we are seeing today. mark: it's been a busy week, so let's rattle through them. barclays today, as with credit suisse earlier, disappointing on fixed income revenue. why are european banks lacking their u.s. peers? elisa: we are seeing the broad takeaway that they have obviously pulled back delivered lead from some areas. in other areas, they are struggling to maintain that mar

manus: they are talking about shrinking the balance sheet.erday morning and he said the fed are scarred from the taper tantrum that they will be glacial. what did you make of the comments? it is an extrapolation into the dark? their balancew sheet is too large. they want to do what they can to get it lower. i think this fed is always going to over communicate. i think rick is right about how the federal reserve was shellshocked by 2013 and have been able to get that to 1%. yound that interesting when look at to your treasuries at 120 when the federal reserve is talking about three more rate hikes this year, it seems like i am missing something. the bond market is almost countering the fed saying we don't really believe you and when you look at the yield curve, you can see it. the risk for fixed income investors is the market has it wrong and the fed is going to do what they say they are going to do and are clearly committed -- communicating that and rates are far too low in the u.s. and in other areas. manus: the market -- they bid up the mar

let us go to manus cranny who is in davos. manus: thank you. we talking about populism and markets.morning on the geopolitical situation. joining me haefele now. welcome to bloomberg this morning. thanks for having us here. we have this new geopolitical move this morning. donald trump sending missiles into syria. your immediate assessment as a global cio to this event. mark haefele: we always look at these kinds of events as a first step in a longer process that takes time to work out. we have seen the typical, reflexive, defensive moves but we think this event is within the bounds of the typical scenario that we would expect. we do not think this upsets our global picture. manus: from a global perspective, i have the chinese president sitting next to me at dinner. i am donald trump. i'm sending a clear message to the man sitting beside me, the people in north korea and the russians. or is that me being overly subjective. mark haefele: we should talk k of this inalpoliti a second. first, we need to acknowledge the human tragedy. there needs to be some responsive even if they would d

manus: it will hear from mario draghi.ed to see how much he gives.k draghi need to be to reassert the ecb? think he very well understands that if the ecb starts to hike interest rates that would anchor the curve, you could get a short backup and yield spreads could widen. this is why you'll hear a dovish speech and he will reemphasize the sequencing which is gradually taper the bond purchases then reassess and at 2018 orge later, late 2019 start hiking interest rates. the fed asdo not see having gifted an easier path? >> i do not think so. it depends on how the currency acts, if the dollar were to strengthen, the euro were to weaken it would be easier for the ecb to exit. yesterday the exact opposite happened. manus: thank you for joining us. that is the latest from pimco. we deal with everything live, unscripted. we do it all for you and with a little bit of love. anna: -- love. from mario draghi in about 30 minutes. we will bring you his speech live from brentford at 8:00 a.m. u.k. time, that :00 a.m. europe. [ engine re

manu, what are you hearing? >> don, tonight both democratic and republican lawmakers and aides casting doubt on the claims made that obama administration officials improperly requested the names of u.s. individuals who had been redacted in intelligence documents. cnn sources say these lawmakers have seen the same intelligence documents that nunes reviewed and tell us that they see no evidence that the obama administration officials did anything out of the ordinary and certainly nothing illegal as the president alleged. a congressional source described the request as, quote, normal and appropriate, don. >> so, you and jim schuto talked to sources who have seen the documents. what are they telling you about their contents? >> well congressional source tells me, quote, there's absolutely no smoking gun in these reports. as nunes suggested and in fact the person saying the white house to declassify the reports to make it clear there's nothing alarming in it and currently classified documents but a lot of questions h

our manu raju joins us now. he had this breaking news. manu, how much trouble is the general in?ignificant. remember, earlier this week, when they announced some other issues in which he did not disclose some of these foreign payments as part of his 2015 security clearance application -- sorry, 2016 security clearance application -- that that could be a felony. that could be punishable for up to five years in prison, if, of course, he is found guilty of that, which his attorney so far has denied any wrongdoing. but new revelations here, specifically about him not getting permission from foreign governments, from the pentagon and from the state department for accepting these foreign payments from any foreign source, including russian-backed entities. he was warned explicitly that he needed to get permission, and allegedly, he did not. very significant development here that we're going to hear more about shortly when elijah cummings, a top democrat on the oversight committee, plans to discuss this a little further. >> manu, why did the white house not see this or catch this in the

i think talking about manu, what he said earlier. yes, in is an investigation. as i said before, it's really like kind of unbelievable and it will be difficult for him to do his job, but let's just get real. if this wasn't such a public mess, such a frankly public embarrassment for nunes and for the republican leadership, he would still be leading this probe. that's just the bottom line. if he didn't become as controversial as he has, than ethics investigation or not, he would still be doing it. i think that's just the reality, despite the fact that, you know, we have these comments from nunes from the house speaker and now from the ethics committee. >>> when you look at where this goes from here. now yo have this ethics committee investigating what paul is saying may be the revelation of this. making public. do you believe? it sounded like jackie spear democratic on the committee sounded like she thinks the committee can move forward now. schiff has coverkchd on the guy the russian investigation. can the american people have confidence in the investigation in t

spoke toe business, he manus cranny. manus joins us now from zurich.tty positive picture from him. absolutely. just look at the stock price, up 3.6%, smashing it out. you talk about the other two institutions. have bet the house on fixed income commodities and currency. he pulled back from the business and reduced the amount of capital he would allocate to that business. he talked about money coming into the bank, wealth management. there is nice momentum coming across from the fourth quarter. talks about-- he the ability to get to a sustainable level of business with a concrete plan, a danger of fatigue with the private clients. wealth management as a whole, profitability up by 19%, so that is the real story here, but the investment bank is key for ahmadi. he reshaped it, changed the dynamic and pulled back from certain orders. he questions the prophet bill daley -- the profitability of the other institutions. >> it is something you have been seeing for the last three to four years. the superior return on reallocated capital. we had a 24% return on ca

let's go to cnn manu raju on capitol hill. you were there when the speaker said that. news to everyone even though he was sitting there when the statement came out. what are you picking up. what's going on. >> >> reporter: this is actually shock not just for people following the investigation, but actually members on the house intelligence committee. i talked to a number of them after this news broke. they had a meeting. regular meeting they have twice a week. thursday morning, today, as this news broke. chairman nunes did not even brief his members on this information. in fact, the way they learned this is that the members got a statement handed out by the staff members from chairman nunes saying he was stepping aside. this came of course a surprise because for the last week or so, you've been hearing democratic calls for him to recuse himself from this investigation because they believe he's been too close to the white house because they believe he should not have briefed the president on the surveillance information he said showed indental collection of trump team c

>> all right, manu raju, manu, thank you very much. as you heard in manu's piece, while secretary sean spicer, jim accosta joins us now from the white house. you pressed sean spicer about flynn today. what did he say? what answers did you get? >> anderson, white house officials are offering up a new explanation of vetting of national former security advisor michael flynn pointing out he had a security clearance review under the obama administration last year. i asked white house press secretary sean spicer why flynn did not have an additional review before coming into the trump administration. spicer said that would not have been necessary comparing the security clearance process for flynn to that of white house reporters like yours truly who received their entry passes at the white house every couple years. spicer pushed back on the attack from elijah cummings that the white house is engaging in a cover up. here's what he had to say. >> congressman cummings accuses this white house of a cover up. you say what? >> i say -- i was frankl

manu raju is up on capitol hill for us. manu, i mean, you've talked to him so many times.e sounded like he wouldn't and then finally this about-face. why? >> reporter: it was this house ethics investigation turned out to be the final straw, the straw that broke the camel's back. not just this but his handling over the surveillance information that he received that he said showed incidental collection of trump team communications and then the decision to brief the president of the united states before his own committee fed those accusations that he was too close to the white house, that he could not conduct an investigation that was looking into the issue of any coordination between trump associates and russians during the time of the presidential election. and not just that, his decision also to cancel a public hearing into russia and which we probably would have heard from people who would have raised concerns about trump connections to russia and that decision to cancel a hearing led to a lot of those calls from democrats for nunes to recuse himself. brooke, even in ligh

caroline: that was, of course, microsoft cofounder bill gates and manus cranny.g to create a google maps for health care. the google life sciences are is launching a four-year study. the study is aimed at connecting the dots to why people transition from being generally healthy to becoming sick. the symptom value-based company is working with partners, including duke university, to enroll 10,000 participants from diverse backgrounds at half a dozen study sites in carolina -- california and north carolina. coming up day two of facebook's , conference. details on how they plan to help you hear through your skin. up next. this is bloomberg. ♪ >> it's 11:29 a.m. in hong kong and 1:29 p.m. in sydney. the fed says the u.s. economy continued growing a motorist to moderate pace in recent weeks, although consumer spending was mixed. the beige book says household purchases outside automobiles was softer. picture of the economy maintaining a steady expansion without the rapid take-up among consumers and businesses. a welcome boost with japan's both smashingort expectations.

manu, thank you. manu's all over that. there are more developments on the russia story. for that, i want to bring in cnn's jessica schneider with more on this. jessica, these new reports about trump associates and ties to russia, lay it out. what are you hearing? >> reporter: well, kate, various new revelations today about people loosely associated with president trump having these sort of back-channel meetings with the russians. so, let's start off first with carter page. he was a foreign policy adviser who worked briefly with the trump campaign. page now admits that he was in contact with at least one russian spy back in 2013. page, though, says he thought the spy was working for moscow's u.n. office. page says he shared research on energy policy. you can see there he's an energy executive. but that russian that he shared it with was charged by the fbi as part of a spy ring. the trump team all along has tried to distance itself from carter page, but take a listen to then candidate trump last march. >> perhaps we heard you might be announcing your foreign policy advisor

wolf. >> manu, thank you. manu raju up on capitol hill. >>> now another legal blow for president trump and his threat to cut off money for so-called sanctuary cities throughout the united states. our senior white house correspondent jim acosta is joining us with the very latest on this major development. jim, we've just gotten new word of a legal decision in california. >> reporter: that's right, wolf, another setback for the president's executive withholding grant money from so-called sanctuary cities that don't cooperate with immigration authorities. that has been blocked by a federal judge. the judge has now frozen that executive order saying those cities would have been harmed by the president's decision. president trump on another immigration front, now he's insisting that he's not backing away from a position on the wall on the u.s.-mexico border, but the white house and republicans up on capitol hill are signaling that's exactly what he's doing at this point in order to avoid a government shutdown. a so

jim sciutto and manu raju are here with what those committee members are now saying. jim, what have you learned? >> tonight, anderson, both republican and democratic lawmakers and aides are casting doubt on claims by nunes that obama administration officials improperly requested the names of u.s. individuals that had been redacted in intelligence documents. cnn sources say that these lawmakers have now seen the same intelligence documents that nunes reviewed last month, and they tell cnn they see no evidence that the obama administration officials did anything out of the ordinary or illegal. one congressional source described the request to me as, quote, normal and appropriate. >> manu, i know you and jim have talked to sources who have actually seen the documents. what are they telling you about their contents? >> one congressional source telling me there's, quote, absolutely no smoking gun in these reports. in fact, this person even urging the white house to declassify these reports to make it clear that there is nothing alarming in them. now, a lot of questions hav

caroline: that was, of course, microsoft cofounder bill gates and manus cranny.g to create a google maps for health care. they are launching a four-year study. the study is aimed at connecting the dots to why people transition from being generally healthy to becoming sick. the company is working with partners, including duke university, to enroll 10,000 participants from diverse backgrounds at half a dozen study sites in carolina -- california and north carolina. day two of facebook's conferen ce. how they plan to help you hear through your skin. up next. this is bloomberg. ♪ alisa: i'm alisa parenti, and you are watching "bloomberg technology." in france, one of the suspects arrested for allegedly plotting an attack has been on the radar of belgian officials. the federal prosecutor says the country opened an investigation into the 23-year-old after his family alerted officials that he had been radicalized and possibly planned to go to syria. the united nations secretary-general will attend internationalhe monetary fund and world bank in washington later this wee

manu, thank you so much for being with us. we'll talk about this and many other things on capitol hill right now. senator richard blumenthal is a democrat from connecticut. he sits on the judiciary committee. and senator, we heard you yesterday speaking as you voted against neil gorsuch to be the next supreme court justice, and you suggested that the fbi investigation, the various investigations, congressional, into possible ties between trump associates and the russians, that that in and of itself is a reason, perhaps, not to confirm judge gorsuch. is that the case? >> well, here is the link -- it's judicial independence. never has judicial independence been more important or more threatened than right now. why more important? well, the possibility of the united states supreme court enforcing a subpoena against the president of the united states is far from idle speculation. it happened in united states versus nixon. it could well happen again. as you just heard, the intelligence committees of congress are moving forward. so

manus: a cliff edge situation? critical one because that will lead you into space where it is not clear how you go on. the prime minister emphasized no deal is better than a bad deal, so we have to think about a situation where there could he know deal. manus: disaster recovery, what does that force you to think about? relocating staff? >> the way we are set up, there is no urgent need to change anything. we have entities in europe, we conserve our clients. in a broader context we want to be closer to our clients any help. we spent a long trend to be closer to our european clients, that sector has grown in importance. we will continue that. brexit could accelerate that depending on the outcome. manus: before we started the conversation, deutsche bank got above 98% commitment to the capital raising. did you support the capital raising? >> i certainly welcome the increase in the capital base. deutsche bank is an important part of the european banking situation. manus: are we getting to the point where europe is nonpe

this is bloomberg. ♪ manus: the fed shifts gears. the central bank's focus has moved away from crisis management and is now slipping into neutral. stocks slump. asian equities take a leg lower, treasuries rise, and the yen is on the up. risk off for investors as they approach the european session. declinefaces its third for its third deadline to report earnings. how bad will the numbers be from the embattled electronics empire? and tillerson's trip. the u.s. secretary of state arrives in moscow later today as the trump white house steps up the warnings in syri

here is manus cranny. manus: a very good day to you. let us start with the closing shanghai.is the manifestation of whether the reflation trade is dissipating or under pressure. where will the one go next -- the yuan go next? on shanghai trading has lost nearly 3.7 percent. you are touching levels you have not seen since february 8. these global equity markets have many more question marks than they have enhancement or pursued on the upside. what happens next in the great balance sheet debate at the central banks? let us have about these stoxx 600. you have european car sales coming in absolutely storming ahead. the highest level of new car sales in europe on record. up 11% in march. 1.9 4 million new cars. -- 1.94 million new cars. financials a bit up, quarter of 1%. compression -- consumer -- materials of .28%. talking again about the side,cts for opec -- and the stock overhang doing everything possible to get that down. .6%.own when it comes to brexit and the pound, we have brent above the 200 day moving average. deutsche bank through in the towel. there are calling 105 on

manus: you have had a couple meetings with him.you folks are confident with? the ceo hat, the olympus hat, the bill gates at thehe philanthropist hat, bill gates hat. is he a president, and you have met many of them, is he a president you can do business with? bill: certainly, he is the current president. he is pragmatic on a a lot of things. it means giving him background he may not have had through his past work, it is probably as important with him as with anyone. ♪ nejra: u.s. inflation expectations took a hit this week, and investors are scaling back their forecast that the federal reserve will raise interest rates as soon as june. fed officials shared their thoughts on monetary policy on bloomberg television, beginning with the kansas city fed president esther george. >> the fed seems to be divided into a camp that says we can do one more, a camp that says we can do two more, and even one that says there could be three more. where are you pitching your tent? ms. george: i am looking at normalization, and that requires that yo

chance they can take back the house next year. >> manu long night for you thank you very much. you soon. it's getting close to midnight on the east coast and still waiting for final results in that special election to fill that final open seat. want to bring in my analysts and commentator john phillips what's wrong. >> i feel left out you're all in new york i'm here in the sunshine all by myself of. >> that's the last question you will get in the panel. >> all right. so, i gave away your thunder a little bit because you were texting me. >> yeah. >> you were like next time i'm going to say it's off the record. >> on that ground. >> you said you know jon ossoff. he's 30-year-old former congressional staffer, documentary film maker. >> i didn't know the film making side but we worked together on capital hill i got to work with john with congressman johnson and lewis came together to plan our jobs initiative when black unemployment was sky high at the time and we wanted to go out and do something in the community and john kept his head down, got the work done, he's an amazing guy.

manu and i spoke to democratic and republican lawmakers. senates and congress men and women. on the senate and house intelligence committees who reviewed the dodcuments that wee the basis of the devin nunes claims. they reviewed the documents at the nsa. they said nothing illegal and nothing improper. we spoke to people from both parties to get greater confidence. nothing we have seen yet and nothing they have seen, people with security clearance to see it, to back up the president's claims. >> can i just add -- >> it has to be said, jim, you have to make the points you are making. yes, he is the president of the united states. he is held to the same standard of truth as everybody else. he has no to snow. chris cillizza, go ahead. >> very quickly to bolster jim's point. this is not a he said-he said conversation. this is a federal court saying yes, there is enough information here we are willing to grant a wiretap on carter page. these are senators and lawmakers saying we did not see what devin nunes said. add that to the fact that you have james comey and jim clapper. devin

manus: it's utterly unthinkable.2 took where he said i'm going to apply capital in my investment bank where i make money. he's got a great business. lighter on credit. whereas, credit suisse is relatively speaking in a quagmire. they're four years behind. i don't think the regulators would even allow a sniff of it. guy: yeah. you think about what has been created and the fact that ubs is a creation, already started that merger back in the day. the regulators may have issues. great work this morning. manus cranny joining us from zurich. alberto, six months ago if you talked about european banks the only thing you were obsessed with was the -- ratio. how strong was the capital? how do i judge european banks now? alberto: we are in a reflationary phase. you have to look at those banks where the net interest margin is more linnked to higher interest rates. we are shifting the focus from capital or nonperforming loans to revenues. can earn their way out. there are business models that are more profitable than others. we'r

manu raju. let's dig deep we are our experts.democrats and ossoff were to win tonight, how big of a deal would that be as far as trump is concerned? >> i think -- no doubt a big deal. it would be a blow to him. getting more and more involved on twitter. you saw the robo call that the rnc put out in manu's piece. i think it will be a seismic shot if ossoff pulls off the victory you would see very public and-wringing and public worrying among republicans that perhaps the political electoral landscape is shifting beneath their feet, that trump overhang is a thing, that they need to worry about for november 2018. that's what republican party leaders are most concerned about is making sure that they don't have a bunch of nervous party members who start looking for the exits away from the president because that could still his agenda. >> jackie, can the democrats though count on their clear anti-trump enthusiasm right now to carry them through 2018? >> i don't think they can count on that quite yet. if they win this race, that is going

manu, thanks very much. this is confusing and shocking, there's some partisanship involved.so a lot of questions that will take some time to get through classified documents and general flynn now under investigation by the fbi, by the defense department inspector general, by house committees and by senate committees. he rightfully so has a lawyer and this will take time. what does it mean for the president and the white house that this investigation is clearly going to go on -- investigations, plural, are clearly going to go on for months and months and months? >> it suggests to me that the white house doesn't know where this goes. they didn't seem to have much of an idea of what michael flynn was up to when he was working for the campaign, when he was in the transition, and even when he was in the white house. and so it's not surprising that they're trying to kind of limit the scope of how deep this investigation is going because if you don't know what investigators are going to necessarily find or what they're looking for, it's hard to want to open the door to them. that's

i want to bring in manu raju.nu just learned that nunes actually mate with house speaker paul ryan about this decision. what else are you learning? >> that's right. they did meet. speaker ryan does support his decision to accept aside i am told. one thing ryan office and ryan himself are not saying is whether or not the speaker himself urged nunes to step aside. i tried to ask paul ryan that at the press conference earlier today and he did not respond. his office has not responded to that question either. but saying that they believe that his decision to step aside was to avoid becoming a bigger distraction on this committee. one of the reasons why he became a digger distraction was the announcement by the house ethics committee was they were investigating devin nunes for possibly revealing classified information. it is determined to investigation these allegations in order to fulfill its institutional obligation. this comes in the aftermath of mr. nunes going to the white house, briefing the president of the unit

. >> i want to get to cnn's manu raju.if this race wasn't already about president trump, he sure has now made it about him. >> yeah, no question about it, jake. it would be a huge repudiation for president trump if ossoff were to get more than 50% of the vote tonight and avoid a runoff and win this seat. that would also set off major panic among republicans as they try to keep the house in next year's mid terms where they cannot lose 24 seats if they want to say in the majority. one reason why republicans are nervous, jake, is apathy. apathy among the republican base because of their concerns of not as much getting done under all republican washington as had been promised on the campaign trail. earlier today i had a chance to speak to one of those republican candidates karen handle about the frustration that she's hearing from voters. >> yes, there's a little anxiety about congressional inaction, if you will, and -- and, you know, there's a real desire for people to see the republicans in congress move from vocal oppositio

poppy and john. >> manu raju from the hill, thank you. we appreciate it. got much more ahead on this crucial day and crucial week for the trump administration. >> you're looking at live pictures, the senate judiciary committee arguing over neil gorsuch. will he be the next supreme court justice? stay with us. there's a more enjoyable way to get your fiber. try phillips' fiber good gummies. they're delicious... and a good source of fiber to help support regularity. mmm. these are good. nice work, phillips'! try phillips' fiber good gummies! various: (shouting) heigh! ho! ( ♪ ) it's off to work we go! woman: on the gulf coast, new exxonmobil projects are expected to create over 45,000 jobs. and each job created by the energy industry supports two others in the community. altogether, the industry supports over 9 million jobs nationwide. these are jobs that natural gas is helping make happen, all while reducing america's emissions. energy lives here. all while reducing america's emissions. remember when you said men are supeyeah...ivers? yeah, then how'd i get