this is bloomberg. ♪ alix: live from new york, i'm alix steel with francine lacqua in london. in the next 24 hours, president biden meets with ceos at around 2:00. antony blinken will hold a press briefing around noon. we get earnings from dick's sporting goods and snowflake plus 61 million dollars of five-year notes coming down at 1:00. francine: then president biden meets with the israeli prime minister tomorrow. something we need to watch out for. the other thing we need is gdp initial jobless claims. you are a great student as tom keene would say of commodities and you've seen a pretty wild ride for commodity rich currencies and some of the commodities. i do not know how plays out on the back of jackson hole. alix: it comes down to the dollar. there is a disagreement in the commodity community as to how much demand there has been from delta and how much there's been china releasing its own oil rather than buying more. there are some technicalities. i'm also interested in the triple down in the bond market selloff. you pointed out it started in europe, the trickle down to t

-- bloomberg markets with alix steel and guy. alix: 30 minutes into the trading day. my cohost today is francine. welcome to bloomberg markets. francine, volume is so light. how many people are in the office right now? francine: good luck, guy johnson, with the weather. we have so much news and the market is a little directionless. alix: in the u.s., it is a similar story. barely up 1/10 of 1%. the financials are leading the way. you could think -- thank higher yields for that. the big move, the underperformer is italy. you have volatility remaining subdued. we saw the powerful valley and then the retreat. where are we? francine: next week, traders will be back at their desk. delta airlines could impose a $200 per month fee on unvaccinated employees. thinking corporations said, if you want to go back to the office, delta airlines saying this would apply through the health plan. joining me with more is a vaccine reporter. thank you for joining us. does money work better? consumer have to see, but the most interesting thing is that the fee is intended to address the fin

alix: thank you. the other market action comes to metal gains, aluminum futures are hitting a decade high. we are doing commodities. kriti, it's not just aluminum, describe the price action. kriti: this is a 10 year high, just for you. this is a combination of factors, and a lot of this has to do with a seasonal power crunch in general. this is leaving the supply and increasing the demand. you also have a lot of story coming from china where there's a crack down on pollution generally. aluminum is an energy intensive industry and that crackdown has made a product that specializes in aluminum production which is cutting down on their supply. you could see that show up and it's another reason for prices to go -- to grow. you mentioned commodities broadly, the year today performance for things like oil. oil has been up 50% for year-to-date. this is a 22% rally as we talk about global growth around the world picking back up. why is this important? especially when we talk about inflation this week? we comp

alix: sure.ughter] goldman sachs joining its wall street rivals in boosting pay for junior analysts. numbers wall street correspondents are nelly bassett has more. does this actually change the burnout? sonali: well, no. ash correspondent sonali basak -- bloomberg wall street correspondent sonali basak has more. does that actually change the burnout? sonali: well, no. these banks have been hiring more young people, really carving out the balance between people who are known to leave a very high attrition category of bankers, but also remember that goldman, for the incoming class of 2021 had about double the amount of applications for firmwide analysts as in 2018, so we are seeing applications rising, but still, the competition with crypto, fintech, other knology firms really rising among this younger class. when you are looking at a firm like goldman or morgan stanley, you are starting to look at those jobs as early as a freshman or sophomore in college , so that pipeline builds very early. this

alix: you have it easy.ty mayor bill de blasio mandating vaccines for museums and stadiums. he will not impose a mandate for schools. why are they not going to impose it for child care but for theaters? what is the logic? drew: what you are seeing with these mandates from new york city is basically it is saying if you want to go to these places, you can choose to go and recreate and have fun, places where you being there is not related to your employment, you have to be vaccinated. these are also crowded spaces and lots of intermingling. when we talk about offices, schools and childcare, that will deal with employment issues, union issues as well. it may be those are harder to execute right away. we have seen a lot of employers require mandates already. i wouldn't be surprised if the conversation about those places is ongoing. that may be a much harder bridge to cross than what we are seeing right now with more recreational venues. guy: is there a sense in the united states that companies are going to be bet

alix: true.t also winds up happening is a country where one operates wants more piece of the pie, like more taxes, where it basically becomes nationalized overnight. you have worked in africa and i wonder if governments want a bigger piece of your pie? how do you manage it? and is this different? mark: it is not. when you take over, that is not sharing the pie, that is taking the whole pie, so that is different. but the emerging markets and the developing world are financially extremely stressed. and, again, it is the point i make the fund managers, we have to balance of the returns, the cash value to our fund managers, and equally we have to be supportive of our host countries , who certainly now are under a lot of pressure. and you will see that barrick gold corp has advanced in multiple jurisdictions, including in nevada, in the united states. it is not inclusive to the developing world. it's behind you keep your social assets and partnering with all of your stakeholders. that's the new good g

alix: more coming up. this is bloomberg. alix: hi from new york, i am alix steel. a day where we have a lot of news. the u.k. summer bank holiday is today, plus here in the u.s., tuesday morning over in china, and that will be interesting. francine: a lot of this crackdown comes unannounced, so watch out for that later. tomorrow, u.s. troop withdrawal, the deadline, we have been told since the very beginning and it seems like they are sticking to it. and we have a lot of speakers, the central bank of that netherlands, and it will be interesting to get their view on inflation and also talk about some of the pmis, and then the cdu economy day. the germany election, and at the margin we do know the cpi was trading upwards, not great. inflation is going up, and may be the polls feel like the economy is getting better and a europe. alix: we had the manufacturing index that came out this morning, and it dropped. the read from july was almost 28. that is a huge drop. the sentiment continues to roll over how far we had gotten -- we kind of have to readjust our expectations

alix: thanks a lot.ou had the better services number, the message from clarida, and yields now paring some of that decline. let's turn to the virus. the cdc extending a ban on evictions in areas of the country with high transmission of the virus. that is extended until october 3. we want to get to rdc reporter anne-marie -- our d.c. reporter annmarie hordern. annmarie: a huge turnaround we knew look at the fact that the supreme court basically said that congress would have to legislate this, and now you have the cdc not really extending that moratorium. this is a brand-new you fix and moratorium that will go until october 3. starting yesterday, 80% of counties, 90% of renters will be included. this is really affecting counties where you have a spike in covid cases. what is so interesting about this, and what many have said is quite bizarre, the president alluded to the fact that it is likely going to face legal hurdles, but they seem to be saying at least if we can get an extension, that will be enough t

alix: it is 10:00 a.m. in new york, 3:00 p.m. in london. new york, i am alix steel. guy johnson is still off. francine, we had record highs for the nasdaq and s&p but volume is so light, even in the u.s.. francine: volume is even lighter in europe. good afternoon and good morning. this is a u.k. bank holiday my traditional in august, the last time european traders go away which is why we are seeing moves exacerbated compared to a normal day. alix: a very big holiday week for most travelers. in the market, there are things i want to take a look at. you have health care and consumer discretionary leading the way. 10 year yield pretty much goes nowhere. we are below the level we traded at last week. the dollar index goes nowhere. a lot of the action is going to happen in the commodity market because you have gasoline futures up by 5/10 of 1%. ida and the destruction it leaves in its wake is going to have a short-term, medium-term effect. we will break that down. francine: we are getting data out of the u.s.. pending home sales worse than expected, down 1.8% for the mont

guy: and alix takes her point yet off -- pointy hat off. alix: until the next market check.] guy: we will take a look at what is happening with the delta variant. we were hearing about the third shot. it is certainly something that moderna is gearing up for. the vaccination effort looks like it is going to be continuing for quite some time. a conversation with the cofounder of moderna. that is next. this is bloomberg. ♪ laura: this is "bloomberg markets." you are looking at the principal room. lincoln motor's president will be joining. this is bloomberg. ♪ alix: the biden administration will start offering booster shots in late september to all vaccinated americans as the coronavirus delta variant continues its nationwide spread. we want to go now to bloomberg's john bowerman, who has been following that story. lots of questions -- lots of questions to unpack with this. does a j&j need a band -- can we mix shots come or does a j&j need a j&j booster? reporter: we've already heard a little bit on this topic, when the cdc gave its recommendation on third shots for people with

this is bloomberg. ♪ alix: this is bloomberg markets. i'm alix steel.ime for stock of the hour. pfizer beyond tech's vaccine is the first to receive full fda approval. day wilson is looking into the decision, seeing a nice pop for both stocks. dave: we are talking about a vaccine that really has reshaped in these companies, established biontech as a company and really give a lift to pfizer in terms of their revenue. first quarter, 28 percent growth, second-quarter quarter, 60% plus. by the year and, analysts are thinking revenue will double. that shows you how dramatic the effect has been. $33.5 billion in vaccine sales this year. that was just last month. it was up 30% from the previous forecast three months earlier. it just goes to show you what is happening in terms of how this is playing out, having the full approval will only help in that regard. it is a big world out there. certainly, the u.s. is a big piece of that but there are a lot of other places that are big pieces. india, mainland china have their own vaccines. india's was approved today. i

♪ alix: it is 10:00 a.m. in new york, 3:00 p.m.n london, 30 minutes in the trading day in the united states. in new york, i'm alix steel. my cohost for today, francine lacqua. guy johnson's offer the rest of the week. we have some geopolitical issues now surfacing in afghanistan francine: this just happened -- in afghanistan. francine: this just happened for five minutes go. we first heard from depressor terry of the pinta gun, saying there was an explosion -- the press secretary of the pentagon, saying there was an explosion just outside the airport in kabul. we heard from officials that this was probably the most hectic, dangerous phase of the evacuation. we don't know the size of the explosion that happened outside the airport, but the question is what does it mean for evacuation efforts from now on. alix: let's get your quick check on the markets. the news earlier this morning, it came from mr. michael mckee in his interview with esther george, saying let's get the party started. not a lot of taper fears clearly. where you are

alix: a little bit.quity high for the s&p coming on materials and financials leading the way. tech seems to be dragging everything lower. yields go nowhere. this is bloomberg. ♪ guy: coming up -- alix: coming up, we hear from kansas city fed president esther george, new york lieutenant governor kathy hochul will be speaking later on this afternoon. you get the earnings after the bell, bumble, lordstown motors, and ebay. still a busy wednesday. guy: friday for you. alix: i am off the next two days. guy: you can tell. alix is feeling chilled out. alix: not the case. [laughter] exactly the opposite. guy: jetblue will take out tonight. jfk to london heathrow. lb catching up with robert hayes first thing tomorrow morning, tomorrow at lunchtime. it will take quite a while to clear london and heathrow. we are also getting disney. my producer has been telling me about the new star wars hotel that sounds really cool but quite expensive, and doordash, u.s. ppi, u.k. gdp tomorrow, also a turkish rate decision. turk

this is bloomberg. ♪ alix: live from new york, i'm alix steel, with guy johnson in london.erg markets." new york city mayor bill de blasio is saying you have to be vaccinated if you are a teacher or staff in new york city public schools. i can't tell if this is buy the dip, if it is a pfizer approval vaccine bump. i'm not really sure today. guy: the nasdaq is outperforming, which i think is interesting. i think the delta plays into what is happening with the fed. maybe the fed pushes out taper a little further because of what is happening. maybe it needs more information. schools, we don't know what is going to happen. there's the expedition that labor supply was going to pick up. maybe that doesn't happen now. lots of things on the table to discuss. chris williamson joining us from markit next. this is bloomberg. ♪ >> the countdown is on in europe. this is "bloomberg markets: european close," with guy johnson and alix steel. ♪ guy: monday the 20 for -- this one he third. what do you need -- the 23rd. what do you need to know out of europe that this hour? luxury retail name

and alix steel. ♪ alix: here is her thing you need to know in europe at this hour.n search of coordination, italy pushing for its g20 extraordinary summit to try and manage the prices. -- the afghan crisis. allowing travelers to skip quarantine a girl of vaccination status. and powell's devastate birth. chair powell reassuring -- and powell's devastating taper. i am here in the u.s. joined with francine lacqua. powell seemed to deliver what he wanted. a dovish type of taper. some tried to say it was not dovish at all. he is very clear on what the timeline is to some extent. francine: i know twitter has people staying it is a dovish comment. if you look at the initial market reaction, stocks up, yields down, dollar weaker, corporate credit tightening. all things equal to a dovish speech. this is what the markets are doing in europe. there is a little bit of assurance. monday is off -- also a holiday in the u.k.. you can see the european stocks 600 probably traders taking a little bit of assurance from comments of jay powell that they will guide the markets through th

alix: i appreciate the plug.will be leaving the table a little earlier than normal to do that show. i feel little bit of grief that front. commodities edge is coming up today of all days. today is a perfect today to watch. today in particular is a perfect day. alix: it does feel like tensions are going up in the commodity market. even if you are not a commodity person definitely watch at 1:00 p.m. guy: european stocks, we are done for the day. we have seen a fairly negative hit being generated by the commodity stocks. the commodity stocks have been under pressure, luxury down as well pretty hard. that is why the cac 40 underperforming. alix: coming up, let's get back to the delta variant. the u.k. regional five month high in covid hospitalizations. i.e. -- a new study out of the cake that says vaccinations been not be as effective -- out of the u.k. that says vaccines may not be as effective as we think. that is next. this is bloomberg. ♪ karina: this is a live -- laura: this is a live shot of the principal room.

this is bloomberg. ♪ alix: live from new york, i'm alix steel. guy johnson is in london.it through his first day back but it will be a busy next what he four hours. jay powell be hosting -- 24 hours. jay powell be hosting a town hall in the next 24 hours we get durable goods in factory orders. guy: big numbers on friday, but you will be off by then. alix: just the one day. not two weeks. guy: the first time in 10 years. i feel european and wasn't it great? tomorrow is a smorgasbord of earnings. standard chartered. socgen is out with numbers as well. i think the cfo is joining the team first thing tomorrow morning. bp on the show tomorrow as well. and of course, alibaba out with numbers as well. i'm looking forward to seeing those numbers overnight, and exactly what they tell us about what will be happening next in the relationship with the chinese government. alix: i think that is something all investors are trying to figure out. what kind of risk premium you need to rethink when you're dealing with that. the commentary will be quite interesting. obviously i am into watch

alix: thanks so much.ng to throw it to you, to make fun of me trying to get to montauk and back this weekend. guy: thanks for the opportunity. i will take that with both hands. alix has decided that this weekend, she once to go to montauk. my understanding is that long island is in for quite a sunday. i expect you back here on monday. that's all i'm going to say. [laughter] alix: if i get stuck in montauk and guy has to anchor solo monday, he is going to have a field day with that. because apparently the -- shuts down 35 mile per hour winds, and the storm is going to start saturday night. if it was sunday afternoon it would be fine, but saturday night? that feels a little dicey. guy: it is going to be quite a weekend for you. henri. are we doing henry or henri? basically, you guys are going to get knocked around by a french storm. [laughter] but yeah, it is an interesting weekend to have an open air concert. and i think it is a further factor that is going to delay people coming back. all those people that

alix: mike, thanks you. president biden is now expected to sign an exec it aborted today that will call for half of all vehicles sold in the u.s. to be capable of emissions free driving by the end of the decade. here is more is bloomberg's correspondent annmarie hordern. what can we expect? also, is this binding? annmarie: this is an executive order, so we will await those details in that announcement. it is really the requirement the administration wants for the auto vehicle world. but the carmakers say in order to do this, we need much more infrastructure in the united states when it comes to charging. how do you get consumers to buy electric vehicles if they say there isn't enough places to charge them? that is where i bring it to the infra structure agreement. that is how you can really see an ev change in the united states. biden asked for $15 billion to go to building a charging grade across the unit -- charging grid in the united states, and got $7.5 billion. some of the big detroit powerhouses are go

alix: interesting.initely not when i've heard so far you mentioned earlier the pay fors in the human infrastructure package. what did you make of the crypto tax being thrown in at the last minute? the lobbying effort clearly failed to get any softening. where does that leave the crypto industry in terms of legislation right now? isaac: the crypto industry did very well in terms of ramping once we knew that this tax was in the bill and they were up against the ropes. from advocacy perfect, the goal is to make sure that you don't get pushed up against the ropes, so i think the crypto industry is going to be much more engaged in washington because they are going to have to be given their size and the regulatory scrutiny we are seeing. from a tax per spec, i think it is important to note that it looks like this language that is going through as is, there are some opportunities to change legislatively. i think it is going to come down to how the interpretive guidance and how the irs comes through. that is so

oh yeah, alix. alix: so weird. it is like my mom or something.laughter] guy: let's talk about what happens over the next few months as well. how much turbulence are you expect in the markets as a result of what the fed is going to do? we are going to hear from jay powell a little later on. the expectation is that we will get a taper in the next few months which at least the details of it. how much turbulence is that going to cause? julie: for our higher valuation companies, the interest rate expectation is going to play out. we have seen that the higher valuation companies have risen, and part of that is i think that no one really expected interest rates to decline the way that they have. i think there's more indication and more solidifying around the idea that interest rates are going up, and that tapering is going to happen. that could impact the highest valuation companies. but i think in the near-term, interest rates are probably staying around here, and the volatility is going to be more around the tapering and what we are tapering, mortgage

alix: how do you play that?he playbook seems to have been buy stocks near record highs, and also buy bonds. both can't be right, can they? alix: i think there's a little bit of a challenge, but we are going to look at on 2021 to be one of those years where it is just a great year to be an equity owner. on one side you have a high-end terms of growth. at the same point, you have central bankers that are very cautiously moving towards, as chairman powell told us, it is going to have an extremely slowly. the ecb is in a very similar position where there's a new monetary policy framework. we are going to see the major central banks of the world stay extraordinarily easy. there's very strong growth for central banks. it is a great place to be for investors because it is very unusual that we don't see yields moving up in this kind of environment. guy: there's one theory out there. the market is incredible positive at the moment. the attitude for stocks were maine's very high, but people are talking about a peak basica

alix: emily wilkins of bloomberg government. this intensely points out that we could have trillions of dollars coming over the next eight years for the u.s. economy in many different packages. that is an enormous amount of money, and it will dwarf the you recovery fund -- not individual countries but overall -- will dorf the you recovery funds -- not individual countries, but overall. guy: you wonder if monetary policy is having much of an effect at the moment, particularly on the labor market. this could have a meaningful impact on the labor market. we have talked long about this idea that we need a hand over from monthly to fiscal. this is exactly what this is, at scale. alix: 100%. even if it was $2 trillion. that is ongoing. coming up, moderate but pacey inflation. go micex head of e.m. strategy research -- this is bloomberg. ♪ rick to kit: senate democrats have opened the wayfair president biden's economic agenda. they have passed that $3.5 trillion framework that would expand federal efforts on poverty, the environment, an

alix: you never say that.ed there would not be anything on tapering but now they may have to incorporate covid. i did do my own jackson hole meme. the fed tapering plan. this is the michigan sentiment, this is philadelphia fed, that is the empire index. you can see the how it is going now part all of take a dive on covid concerns. therefore the fed may have to worry about it. the big news for you is jay powell is going. he will talk virtually from washington to the conference. you can probably stay on nantucket are out of the hamptons. alix can go back to montauk. he will be live on bloomberg at 10:00 eastern time, 8:00 mountain time. guy: mountain time. that sounds very glamorous. i think will be a great deal of fun. michael's not going alone. important people are going. i had forgotten about montauk. what else do we have coming up apart from the big storm that will hit montauk? tuesday, lie harris is in asia. wednesday -- tuesday kamala harris is in asia. i think we get personal u.s. consumption data on frid

alix laid it out really well.here are a number of moving parts at the moment, and we can figure out what they are going to mean for the global economy. we know delta is rising. we are seeing inflationary effect. there's a labor shortage associated with all of this as well. how are you thinking about if we are going to get in inflation pickup, what it will mean in terms of the way you're going to manage money? sonja: yes, i think you laid it out nicely in terms of the framework. if you look at the latest earnings season, clearly we are seeing the reopening and the normalization trade, and you have mentioned already the delta variant that clearly has seen upgrades stalling and the peak growth coming in. i think one area we need to add to the equation is valuations, and clearly the starting point, as we just heard, the equity markets are near all-time highs were bond yields are near record lows. so the invoice neri pictures continuing to surprise on the upside, and this obviously needs to be analyzed very carefully.

alix: it is amazing. it is really slamming the brakes on the global equity rally, yet the potential to buy the dip in u.s. equities is still there. the s&p is now down only 0.1%. we were down four times that earlier in the futures trading session. obviously, energy and the cyclicals getting hit hard yet again. rent off by over 2%. the big mover i think in the catalyst for this is the dollar. the dollar index at its highest level in nine-month, up 0.3%, and that is reaching some havoc across the equity market, very much in the commodity market, which explains why european equities are getting hit so hard. it was a real -- if there was a real bid, i would expect yields to be down more in the u.s.. you are seeing very modest buying coming in. as we go through the session, we are going to see that by the dip reversal. guy: we've seen it time and time again. what is also interesting is that gold is not moving that much, and volume is not picking up that much here in europe. it is the middle of august. we are a

alix: thank you so much -- your business flash. alix: thank you so much.ng us now is darius adamczyk, honeywell ceo. it is a pleasure to welcome him right here on set. i feel like i am getting spoiled now. inc. you so much for joining us. darius: thanks. it is nice to be here for person -- here in person for a change. alix: can we do that in a couple of weeks? i'm asking that in terms of the delta variant. you have your eyes on so many different businesses. what do you see? darius: we just saw the cdc issued new guidance, and we are monitoring the delta variant very closely. i am still very hopeful that maybe after we get through august, things will improve. we have to drive the vaccinations up. we have gone through a full masking policy within honeywell, and i am hopeful that as we drive those vaccinations up, we are going to be able to get through this delta challenge that is throwing us a curveball. guy: it certainly is. good morning. so fantastic to see this. you have a huge business that is embedded into hundreds of offices, thousands of offices aroun

johnson and alix steel. ♪ alix: from new york, i'm alix steel, with my cohost today, francine lacqua.uy johnson is off. in the gun confirming there was a second blast -- the pentagon confirming there was a second blast in kabul in afghanistan. also confirming multiple u.s. civilian casualties. that second blast is near the baron hotel. francine: there are a number of reports, and we are trying to go through all of them to see what is confirmed, what is not concerned. the u.s. has said there are a number of casualties. there are no records of british casualties so far. the incident we know has just taken place outside the abbey gate, one of the checkpoints to get into kabul airport, where troop forces have been stationed. we are looking at live pictures of the airport from afar. we will get you those as soon as we have them. alix: in terms of the market, we are seeing some kind of risk off feel. we are seeing the russell 2000, the nasdaq, the dow, the s&p all rollover. you not seeing at a bid into the bond market. in terms of the equity market, maybe the fx market, it does feel like we

alix: it does.his is the final read for june durable goods orders, a tiny bit better than the previous reading. but again, it is a backward looking indicator. we want to get a deeper dive into that with michael mckee, bloomberg international economics and policy correspondent. michael: one problem is that the census bureau is having trouble getting this data out at the moment. the only other number we have is a revision to durable goods numbers, up 0.9%. it had been up 0.8%. the rest of the numbers stuck somewhere in a government computer. hopefully those will be out soon. this is a backward looking indicator, so it isn't a major piece of news for either the markets or for the federal reserve area it however, we do have some important news this week that we need to pay attention, and i'm gold to shift gears entirely here. for the first time in five years, the treasury department is going to be scaling act its mammoth quarterly bond sales of notes and bonds. a shift that is so large, it is likely to

alix: thanks so much.n event today, jay powell be speaking in a town hall on education this afternoon. joining us for preview is michelle meyer, bank of america global head of economics. are we going to have any clarity as to what substantial progress means today for jay powell? michelle: i think similar to what he has explained in the past, which is the fed needs to leave and they're well on their way to ensuring they have maximum employment where they have broad-based improvement in the labor market. the population ratio recovers and they have healing in the economy, which can guarantee they continue to see at or above target inflation. i think he will be very descriptive in his commentary. this is supposed to be a conversation where he takes a look at what the fed is trying to achieve. i do not anticipate he will give much in the way of new guidance around when the taper might begin or what it will look like. guy: what is the relationship between qe and the labor market? we seem to be shifting towards a

alix: it does.t does not make sense to me is why biden would be talking about that when inflation is at 1.9%. they have not even overshot the target. 1.9% is not even to percent. i understand biden being worried about inflation is a no-brainer, but nonetheless, which central bank is heading for the biggest policy mistake? kit: look, i don't think the fed is headed for a significant policy mistake. the ecb could be, but they are not going to. they do what they do and that is where they are at the ecb, and that is not mean that translates into actual genuine action in the real world. they are not going to tighten aggressively. they have gotten to a point to nominally -- but remember, they are already in various forms of so far as i can see, and i would almost step away to the asset purchases and say, what's going to happen with interest rates? we are over a year away from the first rate hike and much further away from that for the first ecb hike. the question in the european union is will we ever get

alix: thank you very much.s is bloomberg. ♪ anwiti: it's time for the biggest business stories in the news. the u.s. government is doing a formal investigation into the tesla autopilot system. there been a number of collisions. the national highway traffic administration said they will do this after 11 crashes. after stillness much is 5% of the national airline, that's one quarter of the government's current state. they will quickly and the government's role in the company. that would allow the airline to handout management bonuses and pursue acquisitions. the u.s. government is opening an investigation into tesla's autopilot system. we covered this one. that is your latest is this flash. guy: thank you very much indeed. one of the pieces of news that a lot of people are talking about is a cooling in the u.k. housing market. i read this this morning. this is data coming through. my take on this is we are in the middle of summer. people don't like to leave house in the middle the summer. you will see some of the

i know alix is interested in this.was the june meeting when the fed suggested a 2023 taper was possible in the dot plot. this is august 4, when vice-chairman richard clarida said he could see that as a strong possibility. so the fed starts talking about the possibility of raising rates, the dollar goes up. at this point, there's pretty much nothing more to do except talk about raising rates. they can't cut them anymore. they may delay it because of covid, but if they are going to be talking about tapering, it will be interesting to see what happens with the dollar and with interest rates as the fed goes forward. alix: perfect set up. thanks very much. so what was the question mark last week was what we see for the dollar. we are seeing that come off a little bit, but the question was , is there a safe haven trade? or was this really a fed minute taper conversation rally? joining us to break it down is kristen macleod, barclays cohead of global fx sales. in order to understand what we do with the fed into jackson hole,

this is bloomberg. ♪ alix: live from new york, i'm alix steel with guy johnson in london.ore on what to expect when president biden speaks later today on afghanistan. joining us for more is david westin, host: bloomberg's "balance of power." lots of rhetoric. the taliban saying august 31 more of a hard deadline. what are you watching for later today? david: there's a lot that is fluid. the first question is whether they will stick to the august 31 deadline. there reports they are recommending to it. the reports out of the washington post that perhaps the taliban is saying you cannot get to the airport if you are an afghan citizen, which is very troubling. we'll be looking for whether they stick to that august 31 deadline or not and i think the g7 is pressing for humanitarian activity to try to help the afghan people. we will see what if anything the united states committed to with the g7 in that meeting. guy: as the president makes that decision, who is he listening to? who is the foreign policy team in charge of the process at the moment? i am wondering how influential bo

alix: how long does that last?terms of labor shortage, the cost increases, what is your expectation? emmanuel: we think we gradually dissipate, but not all sectors will be impacted the same. we are seeing the auto sector very much in the eye of the storm. yes, the market is more aware, so we have seen finally some de-risking of this sector recently, but we are seeing the margin and profitability really be constrained for a bit longer. so as we get into next year, we see normalization in the supply chain, but for now, we see visibility low. guy: in terms of the liberation ship -- the relation ship between pmi's and european equities, we were just running through the pmi data they produced over there. chris williamson thinks pmi they're holding up better than u.k. pmi's, but nevertheless, there are challenges going forward. in your work, what is the relationship between what happens with the pmi numbers and what happens with the equity market? could this time be different? emmanuel: pmi's give you a good sense of whe

alix: that was amazing. through that whole thing without liking fun of me because i had to have a tutorial there on football. as we had to break, we are taking a look at the senate floor, where senators are making their final vote on a bipartisan infrastructure bill. we are going to bring you the results once the voting is done, then a budget resolution vote--- vote-o-rama takes place. this is bloomberg. ♪ [laughter] [applause] -- this is bloomberg. guy: this is a club that looks like it is built for the champions league, not for the french leak. maria: 100%. i agree with you on that. on one hand, it is a question of money. he's walking away with 35 million euros on an annual basis. he is signing on for two years, and potentially extending to a third season. of course, this is a team that is also glamorous in paris, and he's going to be back and reunited with his best friend. what i think is interesting here is not so much messi, but really the impact this has on the spanish league. when you look at the bigg

and alix steel. ♪ alix: 30 minutes to the close in europe, here's everything you need to know.aper tantrum, european bonds -- emergency stimulus, while inflation hits a decade high of 3%. aluminum suspense, the highest prices since 2011. goldman sachs upgrades its price target by 10%. no trips to paris. the e.u. imposes travel curbs and germany tells americans to reconsider airline travel. francine lacqua is joining me in london. it is all about ecb officials talking about paring back pep that is causing moves in the bond market. francine: you said it perfectly, we are seeing a meanie taper tantrum. -- mini taper tantrum. one of my favorite headlines was when we had inflation that beat expectations, inflation makers are b deflatingund -- deflating bund -- as soon as next week when the ecb meets, they could be talking about taking accommodation away. there is a debate on whether the pep or the emergency program, but the idea that this could come more quickly than expected because of inflation. alix: there is a ripple effect in the u.s. s&p is flat and weimer we were much lower.

alix: thanks so much.terling seeing some gains here after the bank of england said it sees modest tightening coming up in the next few years. boe governor andrew bailey says they are confident about the uk's economic recovery. joining us for more is fabrice montagne, barclays chief u.k. economist. can they eventually taper without rocking the markets? fabrice: well, can they, will they, when will they are all different questions. i'm so surprised that the bank of england appears so eager to discuss all of these quite come >> issues in apparently much quite complicated -- quite complicated issues in apparently much detail. what are we talking about? rates approaching 0.5% virtually forever? are we talking about qt in a way that is not 100% defined? i think the main takeaway of today, the main takeaway in my view is with risks being a bit more symmetrical, the policy discussion has also become more symmetrical. the details, the timing, all of this, we will have more to discuss. guy: they significantly raised

this is "bloomberg markets: european close" with guy johnson and alix steel. ♪ alix: here is her thing need to know in europe at this hour. in search of coordination, italy pushing for its g20 extraordinary summit to try and manage the prices. -- the afghan crisis. allowing travelers to skip quarantine a girl of vaccination status. and powell's devastate birth. chair powell reassuring -- and powell's devastating taper. i am here in the u.s. joined with francine lacqua. powell seemed to deliver what he wanted. a dovish type of taper. some tried to say it was not dovish at all. he is very o

alix: i'm alix steel. welcome to bloomberg's commodities edge. let's get right to data dig, the top market stories of the week. crude got a relief rally when the oil inventory numbers helped on wednesday. stockpiles dropping to pre-pandemic levels, the lowest since january of 2020. a big decline in padd 3, and gasoline demand was strong. fertilizer prices near decade highs. demand is fierce. farmers are putting more fertilizer onto their fields to get bigger yields. prices are so high now we could be at a tipping point where farmers may need to curb their purchases. one other topic this week throughout the market, supply shortages. whether you are looking at things like milkshakes, labor. these are spot rates from china to the u.s., and china to europe. operations are not back to normal yet in china. the take away, your christmas shells may not be fully stocked and you better order early. let's get into the ring with brent versus wti. joining us now is fernando valle. why the underperformance now from wti? >> a couple of aspects. we are still see

alix: can we consider diamonds green? how does fit in the world of decarbonization and the esg push? >> 75% of all the diamonds that will ever exist are already owned by consumers. the new supply of diamonds is only about 40 billion a year, compared to 1.2 trillion above ground. we have to buy, over time, the majority of our diamonds from consumers. we are benefiting everybody who has inherited a diamond, got divorced, simply did not use their jewelry anymore. we are creating much more price discovery, liquidity, and fairness. alix: how important is being able to store, track, where your diamond comes from? where does that come in? >> we are very much cleaning up the entire supply chain. we force all of our suppliers to be esg compliant, anti-slavery, which is a serious problem still, adhere to the kimberly process, for example, to avoid any conflict diamonds. we believe we are benefiting all members of that supply chain. alix: that was my interview with a diamond standard ceo. time for commodity kicker. it is not necessa

alix: let's talk about storage. the rhetoric after the texas deep-freeze was you cannot really store wind. that was credited as part of the problem. it was not the only part, but storage is a significant issue. why is it so hard to get done? >> storage can be an important component of how we create backup energy when the sun is not shining, the wind is not blowing. it's also important to say, because cost are going down, because the innovation continues there, when it comes to storage, the possibilities for additional deployment are huge. but as i said, it has to have the infrastructure and support to to that. that is why we have prioritized a standalone tax credit as a key policy that will really unlock storage going forward. alix: the other part you were talking about was transmission. what does that mean, what is the problem? >> transmission is really important to move from the windy plains tohe population centers on the east coast. similarly with the southeast and solar. it is really all about how to be connect

alix said it best.ld jewelry so we're very happy with the gold >> speaking of gold jewelry, i don't know if you know this, but you've picked up a fan along the way. he's known as mr. t. the a-team and he started a-team and my personal favorite, it says in part, i pity the competition. what do you guys think, are you psyched to have mr. t on your team >> so psyched. mr. t is legendary all his gold chains felt like a good omen that he was watching us and keeping track we feel like he blessed our team he was the original a-team and now we can fully be the a-team >> you know who does a good mr. t impression, mr. roker. he's right here. give it to us. >> i pity the fool we were with you when we were watching it in the rain, you guys were taking it all the way! yeah >> oh, wow >> that was so good. >> and if you can find us -- >> well, we are so proud of you guys april and alix, congratulations on your medals you made your country proud. thanks again >> thank you guys so much. >> all right >> bye, guys bye. >>

april, what i read is you didn't make it that easy for alix at first.play together in the future and she's like, no, you told me i wasn't good enough yet and i needed to work harder. >> in a nice way >> what's your version of the story? partner for the next olympics and i was like, yeah, obviously i'm down she was like no, get better first. >> she had literally been on the beach for like three months at that time. >> and you had to actually, like -- it's technical, but earn the points to be able to be at this level and get to the olympics >> yeah. i mean, alix had zero points and to have a chance to qualify for the olympics, you have to get into international tournaments, you have to have a certain number of points i knew that was a risk and we barely got into our very first tournament, but then ended up winning the entire thing she's only the third person to do that, win her very first international tournament after that, we were pretty good. but it was a little touch and go at first >> i got to take in a number of events in tokyo. the highlight was wa

alix: it's a new dawn. [cheering] ed: and new race. for space. >> liftoff for the falcon nine crew dragon. go nasa, go spacex.

alix klineman and april ross have made it to the gold medal match.esh off their big win. >>> we begin with breaking news. a fast moving wildfire has destroyed a small town in northern california. this is the dixie fire. it is burning in butte and plumas county. it flared up again this afternoon and engulfed a large part of town of greenville. it is a town of about 800 people located in the sierra. about 120 miles northeast of chico. video shows large part of downtown area destroyed. several homes leveled. the dixie fire has been burning for about three weeks and is now one of the biggest fires in california fire history. the winds picked up this afternoon which pushed the flames into greenville. the entire town remains under evacuation order along with the nearby town of quincy. less than 150 miles from there, a new fire broke out that has left a trail of destruction. burk near colfax. cal fire said 35 to 40 structures have been damaged or destroyed. thousands of people are under evacuation orders. the biggest challenge for firefighters, spot fires t

and then alix klineman and her partner, april ross, they will play australia tomorrow for the gold. for so many years we had jennings in beach volleyball, and now the torch has been passed to alix klineman. >> thank you, guys. we love you. >> alix, you want to say anything to your family. >> i love you guys, and thanks for cheering. >> reporter: those are tears of joy. congratulations to them. big basketball news. within the last 15 minutes, team usa advancing to the gold medal match. that's coming up on friday night here on nbc bay area. ten machines ago, france beat slovenia. france beat the americans just last week in tokyo, and they will play france. when you come here to japan, you have to do this. put on your hot pink shirt and go across the street, not just any street. this is the busiest intersection in the world. this is the shibuya crossing, and at its peek, 3,000 people cross at one. imagine that. here are the rules. you can cross every 90 seconds and you have 45 seconds to get to the other side and you are with a whole lot of people. this is in kind of like the union squ

i mentioned april ross and alix klineman. i love their story.is the final step in a journey that began for them back in the spring of 2017. they ran into each other at a moose pick festival. ross the bronze medalist in beach volleyball in rio was looking for a partner. klineman was an indoor star thinking about making the move to the beach. they took a chance, teamed up, and today they play for gold. that gold medal match is coming up a little later on. and more relays, men's 100, a bunch of events taking place. then diving from tucson, arizona, delaney schnell in the women's platform. she won silver in the synchronized platform earlier in these olympics. all that have coming up. we are going to start with skateboarding. the men's park final. final event of the sports olympic debut. for the rules it's pretty simple. the competitors get three 45-second run. only the best score will count. so medals on the line as we check in with todd harris, paul zitzer and tina dixon. >> the men's park final is set. eight membership battling it out. american co

. ♪ kailey: alix steel is off today and this is that european close.et she will be really bummed she took the long weekend because we are going to talk about one of her favorite subjects, lord of the rings. amazon is moving the second season of the television series out of new zealand to the u.k. this move aligns with the studios strategy of investing in production space. this is one of the most expensive tv series ever made. i bet she is so excited to watch it when it comes out. i think it is 2022. it will not be filmed in new zealand. guy: i'm not sure she would blow off a long weekend just to come and talk about this. you cannot get in, and that's the problem. this is a straightforward story. new zealand looks lovely, but you cannot get in, so there will be an issue. they are building a lot of real estate in terms of the moment. this is a fairly nice landscape here. kailey: for the record, she just rode and that she is super excited about this. -- wrote in that she is super excited about this. ♪ in business, it's never just another day. it's the big

>> reporter: in beach and alix klineman dominated volleyball, american's april ross and alix klineman dominated switzerland, playing through sweltering heat, now going for the gold and out of the hospital after suffering a head injury during this scary crash in last week's semifinal. that's the latest from track and field and all the olympics craig, i'm going to send it back to you >> thank you, tom. thank you, good sir. we point out many of those gold medal winners joining us live throughout the morning here in tokyo. and back to beach volleyball you can watch that a-team. april ross, alix klineman go for gold live tonight here on nbc. coverage starts at 8:00 p.m. eastern. ladies, back to you in new york. >> a good one. >>> a lot more to get to, including the latest effort on california's largest wildfire, so-called dixie fire tearing the town has about 800 people. the fire has been going about three weeks fueled by intense winds and grown to more than 400 square miles across two counties thankfully, no reports of injuries the area had been evacuated earlier this week. al, they're ob