regime and global economic and trade orders. they maty even launch the world into recession. regarding economic and trade differences, china is committed to resolve them in a column, rational and comprehensive manner and is willing to demonstrate utmost patience and. good will should the other side act or sho respect for equal status or rules in negotiations, we will have to make necessary responses to safeguard our legitimate rising interest and uphold international justice. let me make it very clear. 5000 is a country with a year civilization. four billion hard-working and courageous people and 9.6 million square kilometers. china will not ever be cowered by threats or subdued by pressure. facing rampant unilateralism -- we will not just sit idly by. the international order needs to go by laws and rules. those in violation can only plunge the world into chaos. advances should not be monopolized by any single country and no one should obstruct the efforts of the other countries to make innovations. it is not legitimate nor just

global supply chains. i thought global supply chains, easy. it's very hard to know what you mean by that. increased trade seems to correlate with gdp growth. really fleshing out how much global supplies are increasing. i finally get how much trade there is for intermediate goods and crossing and not just one time. the measure you use in this paper, a number of different components get together, at least in my head i think of as global supply chains. global supply increases before the financial crisis, collapsed, came back pretty quickly and now at high levels and started to decline recently and i don't have data for the last year. my guess is they would have declined more in the last area. that's how you get different effects of global supply and globalization over time contributing to the period after the crisis this mode of producing things more cheaply collapsed and came back and advanced economies contributed to lower inflation in 2016 and '17 and we're having a diminishing impact. that's the time seri

dollar in this new global system. not so much free and floating, how free and floating is the system right now? strength, the dollar reflects a lot of what is happening in the global economy. whenever there is weakness in the global economy, if we are in a sunken iced slowdown, there's a huge appetite for the dollar -- in a synchronized slowdown, there's a huge appetite for the dollar. in the case of china, they have increasingly moved towards a more flexible exchange rate. right now, i would think that the global economy have to deal with the bigger problems on the trade front with domestic policy uncertainty, which is quite high in several emerging markets, and with raising productivity growth for the global economy. tom: we see the dollar weaker, may be of sterling news. the bloomberg dollar index weaker for a bit against sterling, out to $1.27. if you were to have a cup of coffee with the president of the united states right now, i am certain he would bring up the idea that the dollar is too strong. frame where th

for more than a decade, china has been a engine power in global europe -- global growth. china is now pursuing a new round opening up a higher standard that will deliver numerous opportunities to the world. as we enter a new era, we chinese are more confident and capable than ever before to achieve the great rejuvenation of the chinese nation. we are in a better position to make a greater contribution to humankind. thoughty xi jinping's on socialism, china will continue to strive and forge ahead. looking back at the road we have traversed over the past 70 years, we are full of pride. looking ahead, we are full of confidence about our future. china hasident, traveled a journey of tests and challenges. and has remained true. the goal of china's diplomacy has never changed. china and other countries have become stakeholders, sharing a common feature, facing international uncertainties. china will continue to pursue the major country diplomacy with distinct chinese features. china will continue to promote development and -- china is guided by the principle of independence. ch

issuers global efficiencies.you are a global company, do you really enjoy having to entertain the pitches of 10 or theexchanges, each selling local poll of investors they can tap or who they have access to? why would you want to have a single -- why wouldn't you want to have a single global listing that taps into all indices? it is more efficient. sheet efficiencies, regulatory and capital efficiencies, can only be successful globally. this is what the london clearinghouse has done since its ownership by the london stock exchange group. so we are seeing, i think, a continued process. sometimes these deals go through. sometimes they don't. but we are seeing a slow process by which two or three such infrastructure companies are going to achieve global leadership. guy: we will leave it there. we will be back with you shortly, xavier rolet, the ceo of cqs. the market closes coming shortly. this is bloomberg. ♪ y. this is bloomberg. ♪ romaine: let's get a quick check of what is happening in the u.s. markets. a slew of

and this is at a time when the us trade war with china has rattled global markets. trade organisation has ruled that the us is entitled to tax imports from the european union worth billions of dollars — in retaliation for state support the eu illegally gave to aircraft maker airbus. it's the latest chapter in a 15—year battle between the two sides over subsidies for airbus and rival boeing. vivienne nunis in new york is following the story. after 15 years of wrangling, the wto has handed down the largest arbitration award in history, it allows the us to apply tariffs to $7.5 billion worth of european exports in retaliation for illegally subsidies paid to abbas. president on troubles quick to claim it is a big win for the us. they think i don't like the wto and they want to make sure that i'm happy because all of those countries were ripping off the united states for many years. they know that i'm wise to read. we've had a lot of wins. this was a $7 billion when, not bad. the ta riffs $7 billion when, not bad. the tariffs will mostly affect goods from france, germany

ubs says now global growth is 2.3%.hat is a full percentage point less than i was at the beginning of the third quarter. said theren at fitch can be few presidents since the 1930's of global growth prospects being affected so significantly by trade policy disruption. the trump trade war is the most significant disruption for the global economic picture since the 1930's. do you agree? >> the logic is impeccable. you invest to produce. you produce to sell. if you do not know if you are going to be able to sell, or at what tariff you are going to be able to sell, whether you are going to have access or not at all in a market, this is what you do. you hold back. even though as a consumer, you are very cautious. the year after looks a little iffy. you are very conservative. you are very worried. you hold back. times,y that 5 million 10 million times. then you see the economy going down very fast. this is exactly what everybody is talking about. it seems to have caught up even with the mood in the united states. the united st

, could cost the global economy $700 billion next year.jing criticises apple over an app that helps protestors tracks police in hong kong, hot on the heels of the national basketball association row, we go live to our asia business hub. and right now, the only way is down for financial markets worldwide as investors weigh the escalation in tensions between the us and china. china and the us are to resume trade talks later this week to try to end a stand—off over tariffs that damaged the global economy. the new head of the international monetary fund said the global fallout of these tensions, with the added stress of a no—deal brexit would knock almost 1% off global growth, or roughly $700 billion, in 2020. my colleague michelle fleury sat down with kristalina georgieva for her first interview in her new role. two years ago you were much more upbeat on your forecast for the global economy. now the imf sounds more pleasant mistake. what happened in these two years is that we moved from a synchronised upswing, 75% of the world growing faster,

value change and global slack. that can explain some of the puzzle. not the whole story. the obvious question is what does that mean for now. my sample ends at the start of 2018. it suggests from 2018 forward, a lot of these drags that were holding down inflation and presenting some of this puzzle aren't as potent anymore. exchange rate and i won't predict what happens to oil and commodity prices there but oil slack was dragging isn't dragging as much as global value change especially as trade tensions are flaring up and supply chains could be an important factor no longer keeping inflation down which hasn't been fully incorporated in most of our standard models. to tie up i have a whole set of results making modeling inflation out of the phillips cycle and you get very similar results to what i showed you today increasing my confidence in this set of results. to summarize the point is globalization is increasingly important for understanding cpi inflation in the cyclical short term movements in inflation. wage cor

we like global reads, global listed infrastructure, but more broadly we still favor u.s.ies, high-quality u.s. equities that have business models that have very impressive positions in their industries, such as jp morgan, they are absolutely the place to be. in this lower for longer, lower growth environment, it is not an environment that is forgiving for all companies. you have to think about those companies that have dominant business models and that can't survive and thrive and a 1.5 percent to two port -- 22% growth environment -- 1.5% growth environment to two point % growth environment. but that is not something we are seeing. see interesting reaction to positive news coming out of brexit. is this a bit of fatigue from the big headlines? or is the market range bound for a while and looking for a reason to break out in this late cycle? bob: we have a modestly overweight risk across our portfolios. the risk for investors is that they focus too much on risk scenarios instead of the best case for the next year. in our mind, it is that the u.s. does not have a recession,

it is no surprise global pmi's are weak. the jp morgan global index has been declining for a long time, even though it recovered slightly in september. it is still below the breakeven line. to see the u.s. included in that mess is a shock to people. they thought the u.s. economy was strong enough to keep it out of the way. that will add pressure to the federal reserve. we are bound to see the rates market start pricing in more in the way of cuts, certainly into next year. we have a lot of fed speakers over the next couple weeks. we will get a mixed message. the fed is not united on looking for lower rates across the board, and yet they still did. they cut rates at the last meeting, even though they were divide. it will be up to jerome powell to get them on his side. if the markets keep pushing for more rate cuts at the end of the year, it is possible the fed will follow. the data is headed in that direction. the equity markets look pretty weak. the very poor finish on wall street yesterday --that is spreading across asia. oc

the whole time the global trade is being disrupted is a to me what sort of debt which are we talking about. it's i mean it's been incredibly damaging to trade we have the world trade trade organization out earlier this month and they cut their outlook for global trade this year to the lowest level since 2009 we've also seen a ton of companies sort of warning about the effects of this you know caterpillar was out this week saying that this is hurting their business b.s.f. the german company also just warns that this is really impacting their prices and their sales so we're seeing really a global impact on the economy it's really slowing every every country's trade and corporate profits everything really shows you lately for us in frankfurt thank you very much no special treatment for us asia's 4th largest economy south korea says it's time to admit to its enhanced global economic ranking and stop benefiting from its developing countries status and future negotiations with the world trade organization bowing to reality or pressure so korea's finance minister's announcement comes with g

why as a global company would you have to choose between a dozen global exchanges?i think it will be down to two or three global exchanges that will be connected, and you won't have to make this choice anymore. but i do think the company will eventually be listed in north america, in europe, and in asia. i think it will take some time. my bet, i think london and new york will be part of it. i reserve my judgment on china. the surprise i think would be shanghai. once they launch the international -- of course, if you list in london today, you can also trade in shanghai. but in the long run i think shanghai will take its rightful place as one of the top two or three global exchanges. manus: one other hot topic. let's see where we go. i have my list. so hong kong made the bid for the lse. xavier: i heard about that. manus: do you think they will reapproach? xavier: i think the economic pressure to harness and harvest the benefits of globalization, global compression, global collateral management, global capital formation, we talked about listings. access to global indi

but tens of millions of people globally have been lifted out of pop -- poverty by globalization.ou have cheaper goods and services. now as we go into the de -globalization world, potential growth will probably be a bit lower. we are not going to get into that degree of specialization, it will be on a more regional basis. different impact on inflation but from a gross perspective it will be lower as a consequence of it. guy: stick around, janet henry. romaine: let's get a quick check on global markets. abigail doolittle. offail: a bit of a risk tone today. see art off in a show we bit of a mixed session. 25 waskei 5 -- nikkei to down 6/10 of 1% but the shanghai composite up. perhaps hopes there could be a partial trade deal between the u.s. and china despite the fact earlier this week commerce department in the u.s. with eight tech firms in china and we see the response in the u.s. up 6/10 of 1%. the dax in germany leading the way up 9/10 of 1%. all of these off the highs. supporting the ideas it is risk on, let's look at the euro against the yen. probably one of the more growthie

we also got really bad pmi data out of europe, and globally we got the wto downgrading the global economicrowth projection for the third time in a row. we have a lot of negative news, you're seeing bonds selloff, yields go higher. bonds selloff, yields go higher. this is all a because the bank of japan and their bond buying speculation. this shows all the people out there saying negative yields actually makes sense in a slow growth, low growth world, where it is worthwhile paying to park your money somewhere. those get thrown out. this is purely technical. the second there is any pullback, it is going to be a global. that is significant. i think lisa is raising a very interesting point. the data has been absolutely awful on a global basis for a year now. the only asset class that really reflected that cleanly was bonds. bond yields have been falling steadily, and now you find yourself in a situation where further negative news on the economic data doesn't necessarily trigger bond buying because the price has already been priced, so something has to give. i think with this could set us for

it is positive in that to lift hangover over global markets and the global economy, but the big questions, what comes next after? ritika: still ahead, as we review the week on "bloomberg best," more on the earnings front with earnings from boeing, caterpillar and tesla. plus, highlights tesla. plus highlights from the week's most interesting interviews. and more of the top business headlines. sweden's central bank boucks -- bucks the global trend and sticks with its plan to exit negative rates. >> the right thing is going slowly. ritika: this is bloomberg. ♪ ritika: this is "bloomberg best." let's continue our global tour of the week's top business stories. in canada, the prime minister keeps his seat, but loses parliamentary majority. >> canadian prime minister justin trudeau has won a second term among scandals. >> thank you for putting your trust in our team. thank you for having faith in us to move this country in the right direction. >> he will have to govern with the support of the left-leaning new democratic party, progressive de facto coalition. nonetheless, a win for trudeau, wh

that is the trade war and this is the global, denominator.hose insurance cuts are want to because of concerns the trade war could morph into something more serious. it is the trade war that is the big threat. so many central banks, whether they will cut more has everything to do with the trade war hitting manufacturing. local uncertainty holds back investment. imf is hoping for a conclusion to this trade war and in the midst of it they are hoping central banks can do their part to keep it going. let's bring back kirk west, executive director of investments, principal global investors. said inboss at the imf 2019 they expect 90% of the world to experience a slowdown. we have other institutions, the withings institution even a more bleaker situation. what gives? kirk: it might not be so bleak. rishaad: that is heartening. kirk: the latest forecast for the u.s. is 1.7, but we will probably still go to 2.0. u.s. clearly the consumer is still alive and kicking, and we expect that to continue. amount ofge a menace accommodation. -- there is a treme

global growth, stalling.lation expectations fading fast, signals coming from the top bond markets. tumbling german and u.s. yields and bond market inflation metrics. 1.7u.s. 10 year breakevens, -- 1.47%, the lowest since 2016, down almost 2% in april. yvonne: our next guest still likes treasuries at the moment. cap mcintyre, -- jack manning -- jack mcintyre. he joins us from singapore today. great to have you in the region. tell us what is going on in the bond market right now because this tumbling in yields doesn't seem we've found a florida. jack: remember, this is a longer-term process, part of a trend. this is bond market being influenced by secular disinflationary forces that are intact. this last move, the markets are starting to reflect an increase in on's that we are going into a global recession. i'm not there yet but the bond markets are erring on the side is starting to price in a recession. we still like treasuries european bond markets, but we've cut back our treasury exposure. we are not in this

he's cutting rates because of worry about global recession, global weakness, so it is a win-win either. the market is really pricing in the fed will continue to cut. shery: we have seen this safety play, right? are those the trends that will continue through year-end as we continue to see the uncertainties? where are you finding value? >> i'm really looking at defensive names. ,hen it comes to utilities edison continue to rise. i'm looking at a lot of the consumer products companies, and companies that supply to consumer products as well as some of the big pharma names, even if they are trading at 52-weak ties. there's still room. everyone is looking for yields. everyone is looking for a proxy in order to find income, which they cannot get, which has been the big problem, right? the individual investor has been absolutely hammered while big money was able to make lots of money on the equity market. i am specifically looking at, like, gsk, for example, that has a yield close to 5%. .t's a great global plate polident, aqua fresh, i like those. it looks like corn prices are stabilizing, a

signs of a global slowdown multiply. u.s. manufacturing and jobs data are among the low lights rattling financial markets. >> there is a lot of inexplicable sellouts. there's not a whole lot of mystery this time about what the anxiety is. >> i think we are all starting to talk ourselves into a slowdown and see a little bit of a shift in sentiment. >> i've been kind of optimistic about the global economy, and it is harder to remain an optimist these days. >> yeah. viviana: china's ruling party touts the nation's strength at an anniversary celebration. >> the message is really one of unity and stability. viviana: meanwhile, violent clashes in hong kong show the extent of dissent against beijing. >> there have been pitched battles all day long. viviana: boris johnson floats a brexit plan, but it is short of a done deal. >> there are some issues that are "problematic." vivana: australia's central bank rolling out another rate cut. >> already, traders are already starting to price in another cut for december. viviana: the u.s. pla

at the end of the day, it comes down to global growth. global growth is stabilizing.ob may not think it re-accelerates but given the low levels where we are, there is a decent chance 2020 ends up being meaningfully better than how 2019 shaped up. caroline: james, give us some pushback. you are little more pessimistic on where fundamentals show we are going. james: the glass looks rather empty, rather than half-empty to me. to me, the trade war stuff has been an irritant as opposed to the underlying cause. brexit has had an idiosyncratic impact on investment in the u k, but the bigger picture story is, the economy is running out of road in the u.s., running out of capacity, labor force. that means you cannot keep the same pace of consumption. but really the big story has been china and the domestic policy choices they have made, and continue to make. china has been a huge demander of certain sectors and goods from germany. a lot of that has been a function of chinese policy choices with respect to infrastructure. they have essentially stopped and we have seen the germa

haslinda: speaking of the global economy, there is talk of a looming global recession. escaped a technical recession and the central bank eased policy, but not the expense some expected. what is driving some of the optimism you see in 2020? ravi: you always want to keep some powder dry and not deplete all your policy buffers. singapore is fortunate. we have both monetary and fiscal policy buffers, quite good. let's see how the data comes out over the next two quarters. a key assessment to be made is whether this is bottoming out and whether we will see a modest recovery next year. if that is the case, we are in pretty good shape but if things were to take a turn for the worse, i think you need some buffer, you need some ammunition, so we are keeping some powder dry and if necessary, we are prepared to use it. there is still space. ritika: bloomberg's sustainable business summit was held this week at the global headquarters in new york. the conference brought together corporate leaders and investors to discuss innovation and best practices sustainable business and financ

paul: this is bloomberg technology global link. take a look at the top global tech stories of the day. taylor: thanks. apple closes in striking distance of a record of optimism about the latest iphone. tim cook told the german newspaper that iphone 11 sales have had a strong start and he could not be happier. apple is more at 17% from an august low and 2.5% below an all-time closing high rate about a year ago. sony is slashing the price of the playstation game service as competition and online offerings uses up. the service will cost $9.99 a month and there is top selling titles like grand theft auto v. the game pass for microsoft starts at nine dollars and $.90 month. -- $9.99 a microsoft is using ships in its azure cloud service, confirming a shift away from into's semiconductors. companies have become major purchasers of service chips and turning to act as accelerators. those other top global tech stories i am watching. shery: thanks. silicon valley is looking to disrupt the ipo business. venture capitalists and corporate execut

serious risk to global growth.ou're watching bloomberg. ♪ yvonne: samsung's defacto leader plans to give up his seat on the board ahead of another appearance in court. he will remain at the helm of the company but won't extend his directorship when it expires at the end of the month. he is preparing for a retrial over bribery charges that could land him back in jail. will leave after the completion of an independent inquiry. they accepted nearly $3 million in cash and gifts from a former fficial of a town that had the power. atomic >> it is 10:29 in hong kong. i'm su kenan with the first word headlines. we start with tanker earnings. they surged above $100,000 a day on the bench mark route. the rate per ships hosting two million barrel cargos climbed re than 15%, 113,000 dollars aa day according to the baltic exchange in london. that is the highest level in 2 1/2 years. and despite a record year for migrants being take into custody in the u.s., the number of apprehended on the mexico con border has fallen for the f

tariffsx will -- the will remain, global manufacturing is declining, global trade is declining.arnings are misaligned. the earnings projections for next year are completely fantastical. they have not been cut yet. all those earnings forecasters think the growth is wonderful and there has been no trade war. the bull market will not continue unless all those tariffs are removed. matt: awesome to get your view. thanks for joining us. mark cudmore, bloomberg mliv managing editor. you can follow their work by typing mliv on your terminal. so far, so good. china expressand optimism after a day of high-level trade talks in washington, but analysts remain skeptical. we will talk more about this next. remember, bloomberg radio is live on your mobile device or on dab digital in the london area so you can tune in as you drive to work or anytime. this is bloomberg. ♪ back to bloomberg markets. this is the european open. we are 17 minutes away from the start of catch trading. --see ftse trainings down, we see ftse trainings down. gaining on trade optimism. let's get over to the oil futu

sign of a global slowdown all to play. u.s. manufacturing and jobs data are among the low lights financial markets. ofthere's not a whole lot mystery this time about what the anxiety is. >> i think we are all starting to talk ourselves into a slow down and see a little bit of a shift in sentiment. >> i've been kind of optimistic about the global economy, and it is harder to remain an optimist these days. >> china's ruling party touts the nation's strength. >> the message is one of unity. >> meanwhile, violent clashes in .ong kong >> there have been pitched battles all day long. >> boris johnson posts a brexit plan, but it is short of a done deal. quick there are some issues that are problematic. >> australia's central bank rolling out of rate cut. >> investors are still ready -- investors are already starting to price in another cut for december. quick the ultimate goal according to the u.s. trade representative's office is to hit europe where it hurts. >> plus, an exclusive conversation with indonesia's president. he pleasures

winter is here in the global economy.want bank indonesia to be able to manage monetary policy with prudence. i need to remind you that bank indonesia is independent. the government will not intervene but i think if rates could fall, it would be good for the real sector, but the government will not intervene. they know when to raise or when to cut the rate. said fall,e, you fall, fall. now you are saying, fall a bit. >> the government wants to the rate to fall but the policy is up two indonesia. paul: the indonesian president, joko widodo, speaking with john micklethwait. -- is lower in late trade after itsuncing it will slash workforce as part of a broad restructuring. tell us more about the scale of these cuts and what is behind them? >> hp announced today it would cut between 7000 and 9000 jobs worldwide over the next three years. has is a company that 55,000 workers, which is a huge base, but it is still a very significant percentage. the reason why is because hp has seen, over recent years, difficulty in its two core

the leaders of global financial institutions tell german chancellor merkel it's going to get very very gloomy and germany's leading economic research institutes agree and that they were also a statement that slashing their growth forecasts and hall. and businesses in hong kong are ramping up the pressure on them please they can lose their jobs a bit participate in the protests we spoke to one woman who got fired over her support of the democracy movement. also on the show french cops with a nose for trouble man's best friend is helping cuba clamp down on money laundering . business you've got your business i was in berlin welcome the heads of the world's banks the w t o and the international monetary fund were painting a gloomy picture for the german economy and they stopped by a berlin last night to meet. and today germany's top economic research institutes joined in and then they will autumn statement germany's top economists have lowered their growth outlook for this year to only 0.5 percent at 1.1 point one percent next year declining global demand for investment goods such as fact

a key question is whether this is a window to global recovery or global recession, and what would definet. joachim: that is the trillion dollar question. window to recession or window to recovery. it is really hard to say. normally, we economists like to express confidence in a particular forecast. this is a time where uncertainty is high, where any baseline forecast is less likely. where you have relatively large left tail but right tail risks to the outcome. our baseline is this window of weakness will give way to some sort of recovery in the course of next year because we are seeing global monetary easing, fiscal policy likely to become more supportive. but again, a lot can go wrong if the economy is in this window of weakness. if growth is slowing to globaling like stall -- growth falls below 3%, u.s. economic growth, gdp growth falls to something like 1% in the first half of next year, that is what we would call stalled speed. it does not take you much to push you over. we are watching the most of factor which remains trade policy. yes, it looks like we get a truce in the near term

it's something here for the next generation globally as the environment series of global 3000 on t.w. and online. that. says as did every news africa coming up on the show know and insights with the islamist insurgency and we get an inside view from the form of militant his message the conflict is set to continue unless the speaker on the mantle of change the government's approach toward government cannot fight the jihad just because they do not have the right policies in place they don't help the civilians could you have a spa much better organized or. contact she left the company to bring back.

we had the imf yesterday down globally -- downgrading global growth.ong direction. i think it is positive, but we need to take this with a pinch of salt that this was really a measure pushed into. manus: and you are right. 1.9%uro area, one .1% from in 2019. in 2019, one1.9% of the worst in years. a pretty bad economic scenario for europe. where is the biggest value in that scenario if, as you say, they have been pushed into physical or to reduce the what about in terms of how you allocate capital? marcus: we need to look at companies where you can be sure of the earnings, and what we have seen over the last couple of quarters is there is convergence between the high quality growth names, which are richly valued, and the cheaper cyclicals, were actually the end markets appear to be in many places deteriorating rather than improving. a company that can be good in economic environments, we have been pairing up for policy growth and opportunistically looking for various areas of the market where the underlying trends are improving. the one area that might

is positivity about global growth as well.are seeing more risky factors like value, leverage, even volatility, in the green this week. according to bank of america, this is likely to continue because what we are seeing is the end of the late cycle, of the downturn, entering an early cycle. there call for the week is to thisto value overgrowth was the most tricky part of the cycle. morgan stanley also note these factors, the correlation is rising, which means there is more volatility to come. they say there's going to be a correction in the momentum and lowball factor. saying we ever core have this backdrop of a big cyclical rally. trade is looking better from corporate earnings. they say there was risk on factors, volatility, value, that is where you want to be leaning in this market. thank you very much. dani burger talking about the actors to watch. toio draghi has bid farewell his tenure as president of the european central bank. has beenxperience intense, profound, and fascinating. if there is one general thing i am proud

manufacturing at a global disadvantage.d his campaign for lower rates, saying the governor is that worst enemy. he said they don't have a clue. pathetic. jay powell has yet to indicate whether he will cut rates again this year. global news 24 hours a day on air and on tic toc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i'm ritika gupta. this is bloomberg. shery: we are half an hour away from the open in tokyo. let's turn to selena for what to watch in the markets. watching electric which is set to disclose details of a big scandal in which they try to contain the damage from revelations executives took payments from a company that works on one of its nuclear plants. the company will identify the 20 officials who accepted gifts. we have seen the stop drop more than 25% since the start of the year over investor concerns as well as more government scrutiny and investigations. i am also looking at will surge, which announced a recent leadership change. the 25 year veteran is steppi

economy and more broadly the global economy. in addition, the core activities as a bank, we also advance our economy and society by supporting nonprofit organizations that tackles such challenges head-on. we focus on the need to close the gap between the skills of young people and what they need to be able to compete in today's workforce. the u.s. department of labor released a report last fall that found there are 7 million jobs at any one time today that employers still can't fill. our pathways to progress initiative is designed to help close the job skills mismatch by providing 200,000 young people over six years with the tools they need through training, work experience and entrepreneurial opportunities. a $100 million, it is the largest philanthropic commitment in our company's history, and i hope it shows our willingness to put our profits back into the communities that we serve. earlier this year we broadened the scope to help 10,000 older workers who feel as if they've been on the wrong side of the globalization or digit

is there a possibility of a global response?eoffrey: i think you may have answered the question yourself. let us just say we get a negative gdp from all of the major economies and the week one from china, that might trigger a coordinated response. but i do agree that that chances of that are a bit lower right now. suspending driven response where the fiscal multiplier is high. , thee watching the u.s. emerging markets, and the eurozone -- i think that is where the skepticism is right now. manus: i want to show you the empiric research you have done. do beforeuity markets an inversion and after an inversion? your take on that. give me the data on why i would want to be long equities. geoffrey: let us take a step back. given where monetary policy is -- if it works, and i hope central banks believe that, doesn't that imply that we will get inflation expectations? and then we will rip p. think that is one matter that will need to be taken into account and that may also involve the gold price. and then what you do with equities there

you have a global slowdown in terms of global trade, global manufacturing, germany is already in recessioneurope is more vulnerable. if this does spill over in the u.s., it happens at a time when growth starts already at 1% levels in the first half of next year. >> you mentioned italy. months, it is tightened by 94 basis points. that has been one great trade. do you think it is done? if we are getting close to that point, -- >> i think that there's reason why italy has been tightening. there has been less political noise. it looks in terms of the ongoing budget stuff that it will not explode again. you have the ecb coming in. italy is a clear candidate. levels,orts of tactically and think it makes sense to have a bit of an overweight but that's what we have had in some of our folios. as a long-term investment given the risks you have, what happens in europe and the -- next significant recession i don't think is a great long-term investment but as a tactical trade, there is further reported to compress at a time when you have the ecb re-engaging and on the italiane side. >> stick around wit

global slowdown.he international monetary fund points to trade was in brexit uncertainty as it cuts its growth forecast yet again. india's gaming boom. way many of the country's 500 million gamers are thinking about going professional. good morning, asia. hello, world. it isa good morning, asia. hello, world. it is a wednesday. glad you could join us is a wednesday. glad you could join us for another action packed mid week edition of asia business report. i'm rico hizon. lets kick off the programme with the world economy, because the international monetary fund's latest prediction for global growth offers a downbeat assessment of the impact of the us— china trade war, and the brexit uncertainty. the imf has cut its forecast for economic expansion to just 3%, the lowest since the financial crisis. the bbc‘s samira hussain has more from new york. the imf's hussain has more from new york. the imf‘s projection for global growth offers a bleak assessment of the impact that the trade war is having on econom

first up, global trade. the u.s.hina appear to have reached an initial agreement, but china wants further talks. global activity in manufacturing has contracted for five straight months. geopolitics tops the tensions list. oil has been whipsawed by attacks in the middle east. protests in hong kong continue. countries including argentina and lebanon faced debt crises. a squeeze on central banks with little ammunition left. putting off fiscal policy. the imf is among those urging governments to loosen budgets. countries with room for stimulus are holding back. is still withdola us. there are issues we raise. that is a very long war. can i deal with something first of all? we touched on the possibility of recession risk. the bloomberg probability and the new york fed probability. let's have a look at this. what does it take in the u.s.? have we almost double talked ourselves toward recession risk being so high? what is it that will happen to push us over the edge and take us to a recession next year? recession is a tren

apollo global management offering $130 per share in cash for tech bakdata corporation. purchase offer to acquire the u.s. i.t. company, an equipment reseller to retailers. billione to $5 according to people familiar with the matter. tech data shares are moving. they have already been hovering at all-time highs. there also be demand despite the u.s. economic outlook cooling. no certainty that negotiations will take place but we will continue to monitor that breaking news. still ahead, the u.s. house passes the hong kong rights and democracy act, giving support to pro-democracy protesters shery: shery: in the city. next, j.p. morgan leads the way with bank earnings stakes. more on that with rebecca cummings just ahead. this is bloomberg. ♪ shery: u.s. bank earnings season has kicked off with j.p. morgan climbing to a new high after beating estimates. on the other hand, wells fargo is taking another legal hit before its new ceo takes the reins. let's discuss this with whittier trust portfolio manager rebecca cummings. we have seen j.p. morgan being the standout. can you re

let's take a look at the top global tech stories of the day.r: starting with paypal. $220 million loss on investments before taxes in the third quarter, driven in large part by the bet on uber before he went public. paypal says the investment for $500 billion of the ipo price has slumped more than a third. another investment in a latin american retailer dropped 10%. analysts are predicting some ugly quarterly numbers for softbank's vision fund after a rough few months for some of the highest profile startup investments. a botched ipo from wework compounded and sharp drops. the write-down could be $6 billion and morgan stanley has switched the profit estimate to a 3 billion-dollar loss. plans to giveer up his seat on the board ahead of another appearance in court. he will remain that at the helm of the company but will not extend his directorship when it expires at the end of the month. li is putting some distance between himself and samsung as he prepares for a brief trial over bribery charges that could lend him back in jail. those are the top

to the program trying to do away with the global poverty sounds about as easy as trying to save the global climate 3 economists approach the problem of poverty and their own very unique way breaking it down into smaller aspects and issues teasing out far more effective solutions the process of their work has received the recognition it deserved. this year's nobel prize for economics goes to 3 economists specialized in poverty and how best to combat it. french born asked to do hello there indian born husband planetary and american michael kramer her help millions of children by favoring practical steps to tackle the problems over theory. that u.s. universities. why. take a broader question of why i can stop learning in school and then they break that down into many more questions and then they combined it with. things talking about online courses of forward. come back to. the royal swedish academy of sciences lord of the trio for what it called groundbreaking research into what works and what doesn't in the fight to reduce global poverty their work showed how poverty can be addressed by bre

global economy worsens.the latest arrangement, i do not know if i will call it a deal. half a deal. for what it is worth. we'll be able to stabilize global markets. that has lessened global anxiety. this helps to boost growth. which is prioritized by the present government. >> see have been encouraged by the small deal struck by trump and xi jinping. >> at the present moment we are grateful for little movement per any progress toward some sort of resolution is better than nothing at all. >> minister, given the government is deep in liabilities, how much fiscal space you have to overcome macroeconomic shocks. there is a reason we expanded the budget slightly and also increased the fiscal deficit target for next year. 3.0 and we there fixed it up 3.2. provide relaxation, to room to do what is necessary in the event that the global uncertainty worsens. deficit of 2.2 percent of gdp, when do you inspect damage or -- balance your budget? >> we are looking at the medium-term of reducing the fiscal deficit. again t

and now to some of the other global business stories making news. german flight attendants union ufo has called on move tons of cabin staff at frankfurt and unique airports to strike next sunday the walkout over wages will begin at 6 am and continue 5 hours of tons of says it is considering legal action against a strike. the united nations food and agricultural organization says bad harvesting and handing practices lack of infrastructure diseases and climate conditions cause total global food waste of 14 percent the group says central and southern asia have the highest level of food losses with over 20 percent followed by north america and your. teeth e.o.p. now and the climate there is perfect for avocado farming but its export potential has not yet been exploited a project set up by development agencies and the ethiopian government is trying to change that after all demanded europe is rising. for the 1st time in his life. as harvesting his avocados for sale abroad he is currently one of the few ethiopians to export the famous super food most farme

consumer is the global engine the jamie dimon comments were extremely important.y crack in the u.s. consumer story, that's really bad news. his commentary was very supportive, u.s. consumer holding on. >> rick santelli looking at the ten year saying next stop 190. does that flip the financials? >> that's the big under value play. if you have to make one bold play for 2020, no recession, consumer holds on, rates move up. that's a really tough call to make. it makes sense. on a valuation basis, they're under valued, all value stocks right now. it's a bold call. i don't know how strongly i feel about that idea, but if it's buy low, sell high is the game, everything is so darn expensive right now that banks and energy are the two real value plays that are sitting out there. >> big fallout for home building and consumer staples, high yielding names. >> really expensive. really, really expensivexpensiv. everybody is piled in, because that's where it's safe to be right now. crowded trades can get unwound quickly. >> we'll keep our eye on united tonight after the bell, be