here is taylor riggs. ave killed a leader of the islamic state. they said are verifying that al-baghdadi was killed late last month in an airstrike and the de facto capital of syria. other commanders are said to have died. if it is true, killing al-baghdadi would be a military success for russia. the pentagon is taking steps to break the stale cake -- stalemate in afghanistan. hastop american commander said he does not have enough forces to help afghan troops stop the taliban. the special counsel investigating russia meddling has expanded his probe, according to "the washington post," robert mueller is investigating the finances of jared kushner, president trump's son-in-law. at first he was being investigated for his meetings with russian ambassadors. the big bang of japan cannot get the inflation to 2% and they've decided to keep the monetary stimulus in a place. they will keep trillions of yen worth of bonds. global news 24 hours a day, powered by more than 2600 journalists and analysts in more than 120

let's get straight to the bloomberg first word news with taylor riggs. i arabia and its demandsave given qatar in a three-week diplomatic standoff. according to the associated press, they must shut down the al jazeera tv network, cutback ties with iran, and and relations with the muslim brotherhood. saudi arabia and its allies accuse qatar of supporting terrorism. denies the charges. the ecb wants the authority to supervise the clearing of euro-denominated financial instruments. theon dominates most of euro-clearing business, the brexit could change that. senate republicans have roadblocks in thousand a lot awaited plan to repeal obamacare. have come out against the proposal. they say that they plan to negotiate. the senate plan largely resembles the house version which includes big cuts to medicaid for the poor and disabled, and tax cuts for the wealthy. a billionaire bond investor protects people will win out on the industry of humans versus machines. he doesn't believe machines will take over finance. he calls robo-advisors a dangerous bet. global news

tom: with your first word news, here is taylor riggs.ment takes the final vote on legislative programs today come the labour party will propose that the britions pay higher taxes. president xi jinping is expected hong kong against challenging beijing's authority while emphasizing the benefits of closer ties. in the u.s., president trump's travel ban will take effect tonight according to persons familiar with the matter. embassies and consulates worldwide will have enough time to figure out how it works. it is a 90 day ban on people entering the u.s. from six muslim-majority countries. susan collins of maine and the senator from south dakota criticized the repeal of a surtax on net investment income. mitch mcconnell has put the bill on hold while he tries to round up enough votes. global news 24 hours a day powered by more than 2700 journalists and analysts in more than 120 countries. . am taylor riggs this is bloomberg. tom: let's do a data check. what a shift on what we will call the center pack. all that we saw yesterday, including the

here is taylor riggs.says the company has helped british officials investigate terror attacks. he spoke to emily chang. kim: in cases where we have information and they have gone through the lawful process, we not just give it, but we do it very promptly. taylor: law enforcement officials criticized apple in its high -- with its high standards and encryption. the saudi, the uae, bahrain, and egypt cut off air and sea transport to qatar. -- will travel to saudi arabia. president trump vowed to cut down on the leaks of classified material to the news media and the government has made its first arrest, a former air force linguist has been charged with espionage. they are accused of sending a national agency report to the online news outlet "the intercept." global news 24 hours a day, powered by more 2600 journalists and analysts in more than 120 countries. i am taylor riggs. this is bloomberg. tom: thanks so much. let me do a data check. at negative three. .il, 47.33 -- $47.33 of the curve is flattening. i ha

with our bloomberg first word news, taylor riggs. stage is set for serious few weeks of lobby and on the bill to replace health care. senator mitch mcconnell decided to delay a vote after it became clear he did not have enough support to pass it. there is opposition from both moderate and conservative republicans. fed officials are ramping up after what chair yellen called somewhat rich asset prices. she said the valuations have risen noticeably. critics have worried the fed easy money policy could lead to a financial bubble. prime minister theresa may gauge is the first test of her minority government power. jeremy corbyn will attest the forth ad will put motion asking for it and -- for an end to cuts. the ransomware is hitting asia. the attack is being carried out by the petya virus and users are being told to pay $300 in crypto currency to unlock each infected computer. global news 24 hours a day, powered by more than 2700 journalists and analysts in over 120 countries, i am taylor riggs. this is bloomberg. guy? tom? guy: they're

here is taylor riggs. sell taiwan weapons. beijing says it runs contrary to watch its commitment to a one china policy. president trump's travel ban has gone into a fact and there is already a legal challenge. the new restrictions been refugees and immigrants from a six predominantly muslim countries. there are exceptions for those who have relationships in the u.s. been badconfidence has since the brexit vote uncertainty is keeping britain's for making big purchases. global news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 countries, this is bloomberg. tom: thanks so much. are part off you global wall street and part of investment and finance, this is the interview for the second half of 2017. is hes great about robert does warren buffett in all of these big megadeals. he grinds it out with his team. he is also affiliated with deals including staples and the drugstore right aid. he joins us now from. i want to get into the nitty-gritty. do we get a new effervescence, a

here is taylor riggs. efforts to open cuba to trade and travel. he will consider limits on travel and restrict partnership by u.s. companies. president called the deal with cuba one-sided. wantsump administration to ease a lot of the rules imposed on wall street after the financial crisis, but not eliminate them. the treasury department announced the changes last night. they called for the annual stress test on banks and weakening the power of agencies that lease consumer finance. the european union chief brexit negotiator warns the u.k. runs the risk of exiting without a deal in place. told the financial times and other newspapers it has been almost three months since the u.k. formally notified that you they were leaving and there haven't been any negotiations. yesterday the two sides failed to disagree -- agree on a date to begin talks. second nba title in years. the warriors beat cleveland to win the best-of-seven season 4-1. kevin durant scored 39 points and was named the most valuable player. global ne

[laughter] we call this the taylor riggs rule. doxy that we can blame on neil soss. we have never seen this gap in the taylor rule and where we are versus the ancient history going back. is the orthodoxy debt? ad? are we in a whole new paradigm? michelle: as many different versions of the taylor rule. one of the challenges is that it makes assumptions of where we are. all these targets are really hard to determine and likely have been changing. you can look at some adaptive versions of the taylor rule. it's not necessarily as high. so i think that's a challenge. you do have to put your own judgment on top of that. tom: here is the taylor rule for adaptive. , help me out here. myra is nehru that miss was talking about. come on, this is squishy to stay the least. neal: this is his extended. ending.cs an in the physics world, the odds are if it is learned, it stays learned. in a social life, the odds are pretty good that pesky human beings operating the social season and the economy will change. tom: francine, down here is the same ro

let's get to taylor riggs. ller's investigation into meddling in the election has taken a turn. mueller appears to be looking into whether trump tried to obstruct justice. the issue, whether the president people to back off the investigation into michael flynn. philip hammond will push for a pragmatic brexit. that would be a deal that focuses on economic growth and protection jobs. that reflects theresa may's -- ure to it gives them the power to monitor and arrest people in the planning stages of crime. the measure is needed to increase counterterror protection before the 2020 tokyo olympics. expensive and most aircraft carrier in the u.s. navy fleet has problems. the u.s. gerald ford -- the uss gerald ford has problems launching jets from its deck and catching them. has been fixed, but the launch of system cannot handle jets with extra fuel tanks. i am taylor riggs. this is bloomberg. to get up a good time to speed on a set of currency pairs. and is a good time to speak to jane foley. she joins us. there has be

here is taylor riggs. ack against two of the best landmarks. meanwhile, a suicide bomber set off an explosion at the shrine of ayatollah ruhollah khomeini. reports say security guard was killed. one of the attackers there blew himself up. a day before the british election, prime minister theresa may is practicing -- is promising a brexit cash giveaway to support business and housing. she say all of that depends on getting the best deal in negotiations. labour leader jeremy corbyn rejected the deal to fight terrorism. president trump will outline his vision for infrastructure and calls for spending $200 billion to spur $800 billion in spending. much more direct federal spending is needed to repair roads, bridges and other assets. a report president trump asks the top intelligence official to get thefbi to back off -- to get the fbi to back off. asked him to interfere with then director james comey. the president wanted comey to focus on michael flynn. coates will testify today. global news 24 hours a day, po

tom: our first word news, here's taylor riggs.s trying to with the donald trump low popularity rating. -- republicans try to cope with the donald trump's low popularity rating. karen holmdel beat john all soft -- jon ossoff. son-in-law is returning to israel. jared kushner will speak to benjamin netanyahu. both leaders say they're eager to revive talks. ground onjust broke the first weston will bank in years. settlement inbank years. european affairs ministers are the latest to resign. of the frenchrs party that is caught up in investigation. two other cabinet members quit. in south africa, the finance ministers said the independence of the central bank may be protected. at reserve bank focus less on inflation -- the said the -- ombudsman reserve bank should focus less on inflation. >> we must not take any measures that will undermine independence. it must not undermine independence. relevant the rolling national -- taylor: the ruling national african group said it is unlawful. global news 24 hours a day, powered by more than 2600

here's taylor riggs. wn in london that could signal the end of prime minister theresa may's time in office. she meets with furious lawmakers from her own party, who blame her for the catastrophic election results. in france, president and menu macron has tightened his grip on the national assembly. his party was the big winner in the first round of the legislative elections. macron's backers are expected to win as much as 455 seats of the lower house in parliament. join in has agreed to an agreement with g7 ministers that says that they u.s. disagrees with some of the environmental -- north korea says it is closer to developing a ballistic missile that could reach the u.s. north korea is not far away from testing an icbm. last week, the pentagon said its missile intercept system a testfully blocked icbm. global news 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. tom: in the equity markets, what a day. really extraordinary. futures at negative seven. the curve

i am taylor riggs. this is bloomberg. equities, bonds, commodities, quiet. data, brent way 50. 46.14. a tepid bounce on oil. no big market moves. a little current siemens. investors will try to avoid big moves as we have big events. i want to talk on what we are seeing on yen. after we heard from the boj that they want to communicate differently as they redress the balance sheet down. tom: what will the character of the questions be with the testimony of comey? >> i have spoken with top republicans who have been working on the strategy and they are going to flip the script. they are going to go after james points.r a couple of why was he keeping private written memos? with trump but not obama. pressure him on the notion for why some of the actions he took with the meddling in the 2016 election. they are ready to go. they are working with the rnc. have a high bar in order to press the president has an instruction of justice. there is no evidence, at least testimony.t tom: this stuff comes out. to theirilli goes brookings institution. let's go to what he wrote

i'm taylor riggs.s said to be close to a deal to purchase a drug research firm for $4.6 billion. the wall street journal says an agreement could be announced this morning. the prize represents a 28% premium when they closed in early may when there was a report the company was considering a sale. tesla is close to an agreement to make its electric cars in china. according to people familiar with the matter, the deal would allow tesla to build facilities in the development zone in shanghai, giving elon musk's company better access to the world's largest auto market. early tomorrow in hong kong time, msci will announce whether china's domestic stocks will be included in the benchmark share indexes. three previous attempts have wandered on concerns over excessive trading suspension. even if yuan denominated shares are added, they would be blocked by overseas listed chinese stocks, which already are part of the developing nations and next. that is your bloomberg business flash. francine: thank you, taylor.

taylor riggs starting things off. >> i am focused on apple, we spoke with tim cook, the apple developerelopers come together and work on different apps. i am looking at the apple shipped from sartre -- hardware into software him as iphone sales have slowed, a push more towards the software. you see music, icloud, those services come out to almost $25 billion of revenue in 2016. on the software side, more profitable than hardware so expect the trend to continue. next.: mark, you are high gold, seven month today and waiting super thursday, cautious today ahead and u.k.b, comey, election, a trend that has proven profitable if you have been in long gold since december, since that 11 month level in december up by 15%. how high will he go? it does not matter unless i give you a forecast, not mine, the metals focus director founding partner says that gold is headed to a four-year high, not been there since 2013. 8% upside from ae level today, his reason, lesson in recovery means the fed will not step up the pace in borrowing costs, meaning real rates in negative territory as goldman sachs push

a tie between taylor riggs and nejra cehic. saw the european markets close just about half an hour ago. let's see where they ended the day on the stoxx 600. lower biome as 2/10 of 1%. losses pretty much across the board. the dax and in lower. second day of decline for european stocks. this is bloomberg. ♪ >> it is noon in new york, 5:00 p.m. in london and midnight in hong kong. welcome to bloomberg markets. vonnie: from bloomberg's world headquarters in new york, here are the top stories on the bloomberg and around the world that we are following. >> hoover's next direction. they look for a new leader after forcing goobers founder travis kalanick to resign. a saudi shakeup. theking named his son as ruler next in line. we look at what this means for the kingdom's future. anxiety after a bear market. we are halfway into the trading day and abigail doolittle joins us now with the latest, mostly it is about oil. be getting very moment. now we have a divergence. abigail: we have the dow trading slightly lower. the nasdaq up 6/10 of

i am taylor riggs. this is bloomberg. tom: thank you.s, commodities, a day, coverage at 1:00 p.m. this afternoon. 83.98, for theg, flattening on a higher two-year yield," and as we grind towards a flatter yield curve. next screenplays. the mexican peso is the surprise of the foreign exchange market with elevated equities, peso stronger, 18.05. francine: i am looking at european stocks, extending winning streaks. i am looking at dollar because of the fed. overall, the dollar weakening for a third day and treasuries rising. pound is under pressure because there is inflation increase but wages are not following. you have brexit negotiations, hard or soft? u.k. politics in limbo. tom: amazing, thank you so much. up, onesessions showed addressed by republicans and one addresd by democrats. here is the jeff sessions that took the headlines. suggestion i: the participated in collusion and i was aware of any collusion with the russian government to hurt this country, which i have ,erved with honor for 35 years or to undermine the integrity of th

here is taylor riggs. esident trump's cabinet secretary's are ignoring his recent tweet. they say china still has a crucial role in pressuring kim jong-un to give up the nuclear program. some administration advisers want to replace janet yellin when her term expires in february. that is according to two administration officials that say the trump administration want their own person. one official says president trump likes janet yellin and feels no sense of urgency in the matter. lowest -- lower interest rates as early as next year. , thenetary policy wise seeing potentially another couple of increases this year, but they are starting to predict the interest rates are going down. inflation rates is expected to slow to less than 4% in two dozen 18. parliament can hold a no-confidence vote on jacob zuma in secret. the speaker of parliament had said she did not have the power. the opposition filed a no-confidence motion -- after he fired the finance minister. that led firms to downgrade south african rand to j

i am taylor riggs. this is bloomberg. tom: thank you so much.ions, robert mueller, james comey, the president. been gettingave wonderful briefings. kit juckes joins us. bring up a chart here. i want to go back to fundamentals on a morning morning. -- on a monday morning. economic growth is lousy. how much of the daily swirl do you wait to terrible economic growth? 3% plus gdp. not bad. for those of you on radio, it is an ugly line. we are down to under 2% moving average on gdp. everything we talk about in your world, is it just because of the lousy economic growth? leslie: the politics. by thee not being driven economic growth. they are being driven by the optics of what is coming out of the white house, donald trump's twitter feed. the economics would suggest we should have a more stable political climate than we do, which is worrying. tom: with that is the linkage over the weekend of economics and culture. can you take the american culture wars and bring that to europe, to the u.k.? are the culture wars of america distinctive to the u.s.? lesl

i am taylor riggs. this is bloomberg.st had a tweet saying they are expecting theresa may to visit talking him palace in about two hours from now to see permission from the queen to form a government. pa talkingording to to downing street. let's get reaction from downing street. talk about what we know the prime minister theresa may will do today. say, we have just had that news breaking from the press association that theresa may will go to buckingham palace at 12:30 to ask permission from the queen to try and form a government, after we were expecting her to be here at number 10 downing street about now. would bee reports she giving a speech around 10:00 u.k. time. those have been denied by her conservative government. we have still about three seats left to declare and the conservatives are clearly 313 261., labor on the best the conservatives could expect out of this would be 318 seats, short of the majority so what we are looking at is a hung parliament with the possibility of a coalition of some sort. how that would

i'm taylor riggs. this is bloomberg. jobs report moved the markets. the equities, up at highs.screen, if you would. 212 reallye dow, gets your attention. it has been a weaker dollar across the complex. if you look atnk the pound, it is front and center, and so is oil. most of it, because of this gulf crisis. oil climbed because of this political spat. paired earlier losses in the wake of the terror attack in london. treasury yields are remaining low. very quickly onto the peso, because there is a lot going on with elections. 18.3672.an peso, tom: we have a comparison of where we are now with economic growth to the 1930's. modern economic data starts in 1947, which is over here. here is the best decade, the boom of the 1950's. then we have this 3.2% consistency here. francine, this is where he are in the last 10 years, 1.3% average gdp. this shows a social shock of the moment. that is back to 1947. that is a jaw-dropping chart. francine: that is a great chart. let's turn back to london and the bridge attack. after a brief break in campaigning, a war of words between the prime mi