i'm david merkel, campus planning. cca is fully accredited, nonprofit, independent college of arts and design, founded in the east bay in 1907 in the aftermath of the great earthquake and fire. we still do that stuff, the drawing classes. we offer a broad curriculum in the arts that attract students and faculty from around the world. when we established our san francisco campus in the showplace square area three decades ago, the neighborhood was dominated by light industrial and many undeveloped parcels. since then, cca has played an instrumental role in transforming the area into a thriving arts, design and innovation district and we're especially excited about sf maids presence next to us. our updated master plan shows a plan to unify the plan in san fan and 2/3 of our operations are here. this would co-locate all 1,950 students, 480 faculty and 260 staff in a single location. its currently logistically challenging to maintain campuses on both sides of the bay and campus unification will make life easier for students

david. chancellor merkel proved that once again she is the queen of the all-night negotiations.en in europe. she emerged at midday here in berlin after more than 24 hours of talks with her counterparts to say that they had reached a tentative deal. that tentative deal on an international level appears to be a response to president trump's america first agenda, calling for a stronger eu and a look at corporate taxes here in europe in response to the tax cuts that have passed in the u.s.. this is a significant step forward for sure, but it's only per limited deal. the social democrats have to take it to their party members and many of them are still reluctant to enter into yet another coalition with chancellor merkel. that vote will take place over a week from now. then they have to get down to the nitty-gritty of forming a government and deciding who will so while itstries is a significant step forward, probably some weeks away from actually forming a government. david: chad, thank you so much. that is bloomberg's bureau chief for germany. we want to turn to steve wood actually a

david westin. german chancellor angela merkel have been trying to put together a governing coalition since electionsber. she tried with one group and then another. finally, after an all-night bargaining session, it seems she may be making some progress. they announced she has negotiated a broad outline for a possible deal with the social democrats, the largest party. we welcome our german government reporter rainer buergin in berlin. can you hear me ok? i cannot hear you. this is huge drama, a very large, important economy over in europe. spikedwe saw the euro because of that reaction, that this could be good news for the economy in germany and the rest of europe, the euro now at 1.21. the chancellor now moving to a fourth term, said that her time was running out. david: you wonder whether the difficulty of putting together this coalition may actually marked the beginning of an end for a remarkable chancellor. look around the world stage today, how many world leaders are there of the caliber and stature right now of angela merkel? shery: suffice it to say, it is not a done deal yet. a key vote is co

david mercer al-jazeera in mexico city. germany's chancellor angela merkel says she's optimistic the social democrats will give the go ahead for coalition talks to take place she was speaking on a trip to paris for talks with france's president emmanuel macron she's been unable to form a new coalition since germany's election back in september. i understand why especially in france people are waiting for us to form a new government in the negotiations we have put europe high on the agenda to make clear once again the specially in terms of being able to take action in europe it is very important for germany to have a stable government. hundreds of thousands of children in south sudan may die if emergency action isn't taken to boost food security that's according to the new executive director of the un's children's agency unicef who is visiting the country millions have been displaced by fighting between forces loyal to president salva kiir and followers of his former deputy riyadh machar a ceasefire was agreed last month but it's been violated repeatedly. lon

earlier today, i talked to the cdu mep david mcallister, a close ally of mrs merkel and himself involved have liked to have seen a so—called jamaica coalition be successful with our party, the liberals and the greens but it wasn't possible. and now we will continue, hopefully, the grand coalition and we need a stable government in germany, not only for national reasons but also because we have two is our responsibility for the future of element of the european union. afd will then be the official opposition and i regret that they got such a good result at the national elections but we will treat the afd according to the rules but we will also make sure that the german parliament will never be a platform for racism and extreme nationalism again. weird as the sleeve angela merkel? —— where does this leave angela merkel? is she wea k this leave angela merkel? is she weak in the eyes of the german voters ? weak in the eyes of the german voters? she's a strong and well—respected chancellor, leader of my political party. she won for the fourth time in a row in a national election which is some

david: the government seems a little less dysfunctional in germany. the second story is angela merkel. she got the go-ahead to go to the next round. breathed a sigh of relief and picked up a little bit, not for medically. >> she only got agreement from the spd leadership i-8 56% margin. they still have to negotiate the terms of the agreement, what the spd will want as a platform. they will want loosening of labor and immigration restrictions. angela merkel will have to walk a tightrope to get that, and then they have to put that to the vote of the spd membership. government is expected to be formed, but probably not until mid-march. lisa: another story we are tracking is ubs, which kicked off with a disappointment as shares plunged the most since july after reporting weaker than expected earnings. in its wealth management unit, which is its hallmark. this is what has been doing well for all the banks, and ubs has a strong wealthy unit. what does this say about what we can expect from other european banks? >> this is a particular ubs issue. they have had that emphasis on wealth managem

angela merkel's party and its main rivals key sticking points have been refugees and immigration they have agreed to limit the number of people arriving each year including for family reunions david chaytor has more from berlin. the political limbo does appear to be over for the moment there is an agreement that formal coalition talks will now take place and there is of course the problem of exactly what the comprehensive statement will see today does contain because there are crucial issues hurdles as are called by merkel that they were discussing and those discussions went on throughout the night more than seven hundred seventy people have been arrested across two nazir following five days of anti-government protests demonstrators burned on a security base near the algerian border they're angry about plans for tax rises and higher food prices here is president has caused a stir over comments he's reported to have made during an oval office meeting speaking about proposed protections for immigrants donald trump use a swear word while referring to haiti el salvador and some african nations united nations humanitarian chief says he's deeply worried about civilians caught up in vio

september this is merkel's christian democratic union party and the opposition social democrats have been trying to find common ground to begin formal negotiations on an alliance david chaytor has more from berlin. this has been an unprecedented political limbo for germany so it's crucial these talks do reach some sort of result and remember that only talks about talks and now the main issues that are separating the parties are perhaps the refugees the crisis in two fifteen when one million refugees started coming into the country are they going to allow refugees to be reunited with their family also taxation taxations another real issue that separates the two sides but talking to political analysts here they say that this political limbo actually is is masking what is a lot of common ground between the parties in the grand coalition but the real problem is that there's no chemistry between the parties and as far as the social democrats are concerned no chemistry within the party itself now the that means that there's no real vision if they do come to agreements on having coalition talks there's no real vision that the party can present to the country no real vision

these talks are being described as pivotal david chase our correspondents already raise the prospect of what could happen if indeed they fail but angela merkel marcion shills both seem optimistic. yes i think the first thing to point out is that these are actually the preliminary talks before that if they can find agreement and they will go ahead and start the official coalition talks that this is something that's going to take a while i think there are obviously certain points of contention but this given that coalition building in germany usually takes some time but this is unprecedented because it hasn't been a situation like this before nonetheless i wouldn't go too far the other end and say that this is the worst political crisis that germany has suffered in its post-war history if you actually look at the mainstream parties they're remarkably similar on a variety of issues and the refugee issue although it's very contentious it is not one where the s.p.d. that's the center left party and its. party are hugely different machall is under pressure from her barbarian sister party that has to to to tighten down perhaps on the numbers of ref

merkel's conservative party has made a deal with that center left rivals to formally open government coalition talks later say they're hoping ten months of political uncertainty following september's elections david schaper reports from berlin. the breakthrough came after an exhausting twenty four hours of negotiations between the parties concluding more than five days of talks the political limbo in germany seems finally to be over it's it it was steve the c.d.u. unanimously approved a paper or the results of the exploratory talks at which many participated and which was based on a broad funday sion and we will recommend our party begin talks on forming a stable government. as the s.p.d. we have decided unanimously to give the party leadership a mandate to negotiate a coalition the biggest hurdle in the talks was to reach an agreement on refugees and migration the open door policy championed by angela merkel led to more than a million refugees being granted asylum in germany during the years twenty fifteen and sixteen the political price for that decision was the entry of the far right alternative for germany who gained more than one thousand seats in the parliament the border stuck by good numb

probably would have reconfigured the european union in a way that merkel wanted to reconfigure it, at the time she was trying to convince davidore patient in terms of what you wanted to do. francine: how would that have helped with brexit? to go back and understand the underlying causes of brexit, people feeling left out, how would diplomacy have helped? >> i think ben franklin would have done a better job. he was one of the first media magnets. he published. he would have been a more transparent communicator during brexit and everyone would have known in advance what the issues of brexit were, the referendum might have gone differently. tom: were we hearing about a second referendum? john, what would that do to markets? it is unimaginable, isn't it? >> my understanding of the polls since brexit, public opinion has not moved that much in terms of favoring the remaining camp. if the polls have been shifting over the past 1.5 years, you might think a referendum would supportive of u.k. assets, especially sterling. since it appears to be a close case, whether a second referendum would vote to stay in europe or exit, it means vol

david: when you look at theresa may's future, how much is internal and how much is external? have an ideas to about what she should or should not be doing. you have these reports that merkelg, there was a group of journalists, saying she .as no idea what she's doing there is an impressive and -- impression that may is very weak and can be mocked and made fun of. shery: progress out of montreal. we will recap the latest news on nafta and the latest rounds of negotiations. we are headed to canada for that. this is bloomberg. ♪ ♪ david: this is "bloomberg markets: balance of power". i'm david westin. shery: i'm shery and, let's get a check of the averages. the doubt and most major averages down. the dow is down 3/10 of 1%. the only sector in the green, utilities and real estate leaving the game in the s&p 500. 1%.nasdaq down 1/10 of earnings from microsoft coming this week. hasrter: the european union told the u.k. it will not have any say in eu decision-making during the brexit transition. ministers met today to improve a new set of orders. the transition runs from march 2019 to the end of 2020. floodwaters have reached a peak in paris and are threatening towns downstream f

david: thank you so much to bloomberg's jason kelly and lincoln ellis of northern trust. coming up, will german chancellor angela merkeler grand coalition, or will we have to go after what is behind door number 2? alix: if you have bloomberg terminal, check out tv . interact with us directly. scroll through and we watch something you may have missed, especially lincoln ellis, who i have not seen him for years. great to see you. this is bloomberg. ♪ ♪ david: this is what i have watching. we are talking a lot about yield curves. i am focused on germany. a big event sunday, where we figure out if this second-largest party will go along with angela merkel for this grand coalition. it is really important for angela merkel and germany and, therefore, europe. by is how i am struck much of the markets do not seem to be responding to that at all. you look at the euro-dollar -- still aroundare the highs we have seen. i am curious as to why. david: and it feels like a binary solutions. grand coalition, that she has to gather with micron. everything looks great. if she does not, then there may be another election, she may have

and brexit secretary david davis have travelled to berlin to persuade — for the time being, remember, the german government isn‘t yet fully in place, carousel german leader angela merkelition government, after her disappointing was out in september‘s german election. that is not resolved yet. for the view from westminster, ben wright. just before christmas, there were high fives around westminster among government ministers when the broad terms of the divorce bill between britain and the eu was agreed, including the financial settlement britain had the papers. but that was just the first app, the first hurdle that have to be cleared. what we are seeing now is the beginning of the second phase of brexit negotiations, and it‘s all about the future relationship between the eu and the uk, in particular the trade relationship. so we are seeing two key ministers, the chancellor and the brexit secretary, who were on different sides during the referendum, showing a united front on this charm offensive in germany, putting a chummy arm around german businesses, saying even though britain is leading the singles market and —— the single market and the customs union there can stil

merkel's conservative party has made a deal with that center left rivals to formally open government coalition talks leaders say they're hoping ten months of political uncertainty following september elections david schaper reports from berlin. the breakthrough came after an exhausting twenty four hours of negotiations between the parties concluding more than five days of talks the political limbo in germany seems finally to be over it's it it was steve the c.d.u. unanimously approved a paper or the results of the exploratory talks at which many participated and which was based on a broad funday should and we will recommend our party begin talks on forming a stable government. as the s.p.d. we have decided unanimously to give the party leadership a mandate to negotiate a coalition the biggest hurdle in the talks was to reach an agreement on refugees and migration the open door policy championed by angela merkel led to more than a million refugees being granted asylum in germany during the years twenty fifteen and sixteen the political price for that decision was the entry of the far right alternative for germany who gained more than one thousand seats in the parliament the border stuck by good nu

merkel's christian democratic union party and the opposition social democrats an agreement with break a political stalemate that's left germany without a full government since inconclusive elections in september david chaytor has more from her land. this has been an unprecedented political limbo for germany so it's crucial these talks do reach some sort of result and remember that only talks about talks and now the main issues are the separating the parties are perhaps the refugees the crisis in two fifteen when one million refugees started coming into the country are they going to allow refugees to be reunited with their family also taxation taxations another real issue that separates the two sides but talking to political analysts here they say that this political limbo actually is is more skiing what is a lot of common ground between the parties in the grand coalition but the real problem is that there's no chemistry between the parties and as far as the social democrats are concerned no chemistry within the party itself now that means that there's no real vision if they do come to agreements on having coalition talks there's no real vision that the party can present to the country no real visio

on the one hand, merkel and micron -- macron and i you have italy, who knows where they are going. and the middle european countries pressing in a different direction. davidhe end of the day, it would be interesting with the u.k. leaving the e.u. whether that forces integration within the -- also the u.k. leaving changes the mix of the e.u. level. companies -- countries like poland -- particularly germany, france, italy, and spain. levele voting at the e.u. once the u.k. leaves will be more driven by the very large countries and poland coming into the mix will have quite a big say in a you development. at the end of the e.u. 27 should come together and form a block and there should be a move to more of sort of a single european market. alix: is back on to lead to inflation? david o: at the end of the day, the ecb remember is changing -- its focus has moved away from inflation in a way. super coreot inflation, which in germany did touch 2% in the summer and they will be using that communication tool to exit their policies we think later this year. qe could stop at the end of september and the market will stop discounting the ecb raising the rates before ma

david: that was saudi aramco's ceo amin nasser speaking with our francine lacqua. i want to bring you up to speed on two points. first of all, german chancellor angela merkeling right now in doubles. she is saying -- in davos. she is saying the eurozone cannot bear the risk of individual countries. electric'seneral john flannery, the chief executive officer, he is on an earnings call saying they have .o move quickly to adjust they will stay ge well into the future. talking about selling or disposing. cash is big. frankly, they did a pretty good report on cash. you can see the stock is actually up your live from new york, this is bloomberg. ♪ david: ford is out with its earnings of afternoon at 4:15. car man.ch is our what are we looking for? david w: we are expecting earnings to go down. surprisingut more than that, commodity pricing, steel and aluminum have gone up am a to the tune of $1.6 billion next year. that is affecting shares leading up to today's earnings. it is sort of interesting, to, because other automakers have not said so much about this affecting their earnings, so it will be interesting to see what else in there will be hitting profits to