and speaking of french german ties zeman says confirm the deal to join forces with france's alstom to make a huge european trained builder the government there is privately encouraging the deal which analysts say is a change of tact the focus is now no longer on protecting french business but about creating a european powerhouse after all the competition from abroad is fierce. the fusion between siemens and alstom is on track to create a new european giant in the train building business. in the near future the german i.c.e. and the french t.g.v. will come from a single manufacturer siemens wants to bring its entire train division in return for a fifty percent cut of the new firm which will be based in paris but they're not doing it entirely of their own free will they're not. sure the real construction and signposting market is in a state of advanced consolidation the chinese group c. r. c. is today bigger than alstom siemens and can it is bomb body a combined the next step of this chinese group is in all likelihood continental europe where c.r.c. could rely on a purchase of a europea

cit was a chinese group c r c c is today bigger than alstom and kind of combined. pushing it up the next step for c r c c is in all likelihood continental europe where it could rely on a purchase of a european manufacturer. will be the chinese rival is already the world's leading maker of train engines that combined siemens and alstom group will speed into second place. just a merger of the lead to a more balanced killers for for instance ultimate strong enough to. the middle and south americas humans as. well as the china europe and the united states the portfolio. excellent match. german labor union see the move as an opportunity while their french counterparts fear job losses the merger is still subject to approval from the trust authorities. the results of last sunday's general election in germany have shocked many business leaders a strong showing by the far right party means forming a coalition government among the other parties will be difficult. as guns in china and what's important for us irrespective of the party politics is that it doesn't take too long

european train maker is on track across a border deal worth billions germany's zeman and france's alstom confirm their joining forces also coming up one of the world's most famous names in sports gets caught up in a u.s. bribery case and. all that glitters is not gold the democratic republic of congo's illicit mining business. i'm daniel winter and this is your business update a man manuel micron's a europe speech on tuesday has drawn mixed reaction from germany the french president says the eurozone needs a joint budget and harmonized taxes to stay globally relevant he argues that would also reduce inequalities across the bloc that he might not find the support he needs in germany one party in coalition talks here a skeptical of nikon's plants and f.t.p. officials says the problem in europe is not a lack of public funds but the lack of reform. and speaking of french german ties zeman says confirm the deal to join forces with france's alstom to make a huge european trained builder the government there is privately and courage in the deal which analysts say is a change of tact the focus i

siemens is likely to pursue a rail merge wr with alstom inste of canada's bombardier alstom shares off slightly movement comes as major rail groups in europe look to consolidate in the face of a global expansion drive by china's crrc. >>> gr befobefore we wrap up th here's a look at u.s. futures. it's been a couple of down days. the dow fell for the third straight day yesterday that follows an impressive nine-day winning streak over the last two weeks the dow this morning, though, seen up by roughly 26 points the s&p 500 is seen off by just a smidge the nasdaq rebounding from the weakness yesterday, seen up by 7 or 8 points. the nasdaq hitting the worst point since september 5th. apple this is one of the main culprits, closing close to correction territory, as there is plenty of concern about demand for the latest iphone 8 this is putting pressure on some of the tech stocks on this side of the atlantic, but also in the u.s. and in asia as well so this is also reverberating across in europe want to show you what the european markets are up to the tech sector is a key underperformer the

siemens having a decent rally, 2% to the good alstom 5.5%.esponding positively to what could be a reduction of costs in the sector i'm yet to see and hear much about what will happen on the jobs front that's something we will pore over the french government has given its blessing >> we are not looking at yesterday's world. we're looking to the future. we see a chinese giant being created with a turnover of 24 billion euros that decided to conquer markets in europe and elsewhere. faced with this, we must be united some might think europeans have to be divided to resist europe and chinese competition, we think we need to be united >>> how united will they be? two men know more than anyone. we'll speak to them on cnbc, first on cnbc. joe kaeser, siemens ceo, and henri lafarge, so stay tuned for that >>> french president emanuel macron laid out his plan for a stronger european union urging eshg u lead eu leaders to be bold against the threat of populism he pushed for great universiyuun fighting terrorism >> only the eurozone with a strong interna

the fusion between siemens and alstom is on track to create a new european giant in the train building business. in the near future the german i.c.e. and the french t.g.v. will come from a single manufacturer siemens wants to bring its entire train division in return for a fifty percent cut of the new firm which will be based in paris but they're not doing it entirely of their own free will you know. the real construction in the signposting market is in a state of advanced consolidation the chinese group c. r. c. is today bigger than alstom siemens and can it is a combined the next step of this chinese group is in all likelihood continental europe where c r r c could rely on a purchase of a european manufacturers. even after the new firm is founded the pressure on the europeans will increase siemens has considered canadian company body a but the deal was reportedly derailed by bumb body is shaky finances however if the competition authorities aren't all aboard the big european deal will hit the buffers. this some of millions and millions of eggs or recalled from supermarkets right acro

the fusion between siemens and alstom is on track to create a new european giant in the train building business. in the near future the german i.c.e. and the french t.g.v. will come from a single manufacturer siemens wants to bring its entire train division in return for a fifty percent cut of the new firm which will be based in paris but they're not doing it entirely of their own free will. the rail construction and signposting market is in a state of advanced consolidation the chinese group c. r. c. is today bigger than alstom siemens and kind of his bomb body a combined the next step of this chinese group is in all likelihood continental europe where c.r.c. could rely on a purchase of a european manufacturers. even after the new firm is founded the pressure on the europeans will increase siemens has considered canadian company body a but the deal was reportedly derailed by bomb body is shaky finances however if the competition authorities aren't all aboard that big european deal will hit the buffers. well let's talk through this now with . business good to see you that's how this wh

the alstom/stephen siegel interesting.the eight story -- bombardier series is absolutely interesting. the united states slapping that .ariff on the c-series aircraft that is an issue that goes back to brexit as well. this is meant to be a washington that is going to be brexit-friendly. does not feel brexit friendly in terms of the trade deals of what we have seen announced. you can understand why theresa may may be voicing concern is morning. president trump announce his long-awaited tax overhaul at a rally in indiana. he is expected to propose the top rate of 35%. according to people familiar with the matter, corporation tax cut. kathleen hunter joins us from our congressional team on set. good morning. this sounds great. we are going to get some tax cuts, but then i look at health care and i think "getting the stuff done is trickier than maybe first anticipated." >> absolutely, yesterday, we saw this last-ditch effort to pass and obamacare repeal bill folder in the senate yet again. said that iflways health care is suppo

is today bigger than alstom siemens and can it is bomb body a combined the next step of this chinese group is in all likelihood continental europe where c.r.c. could rely on a purchase of a european manufacturers. even after the new firm is founded the pressure on the europeans will increase siemens has considered canadian company body a but the deal was reportedly derailed by bomb body is shaky finances however if the competition authorities aren't all aboard the big european deal will hit the buffers. well joining us now from frankfurt central train station is our financial correspondent clinic on who's in it good to see what does this mean if travel is on the continent is trains and the railway system experiencing or in a sense in european travel. yes or no you know until very recently the only high speed trains you could take from frankfurt's main train station here was the i.c.e. train operated by. now in less than four hours you can go to paris from frankfurt also on the french t.g.v. train and of course this new major player in train construction will cater to all of europe st

a merger among equals this just in now siemens has confirmed a deal to join forces with france as alstom to make a huge european trained builder the government there is privately encouraging the deal which analysts say is a change of tact the focus is now no longer on protecting french business but about creating a european powerhouse after all the competition from abroad is fierce. the fusion between siemens and al stone is on track to create a new european giant in the train building business. in the near future the german i.c.e. and the french t.g.v. will come from a single manufacturer siemens wants to bring its entire train division in return for a fifty percent cut of the new firm which will be based in paris but they're not doing it entirely of their own free will they're not. sure the real construction and signposting market is in a state of advanced consolidation the chinese group c. r. c. is today bigger than alstom siemens and canada's bomb body a combined the next step of this chinese group is in all likelihood continental europe where c.r.c. could rely on a purchase of a eur

powerhouse at a time when international competition is certainly face the merger between siemens and alstom is on track to create a new european giant in the train building business in the near future the german i.c.e. and french t.g.v. will come from a single manufacturer siemens wants to bring its entire train division in return for a fifty percent cut of the new siemens joe k.'s appraise the merger at a press conference in paris on wednesday the message of. european spirit is alive to struggle european companies leading the way. joining forces and country together in a meaningful way and that's a powerful message. message. which are matched by populist. nationalism social and political rights even after the new firm is founded the pressure on the europeans will increase siemens had considered canadian company. but the deal was reportedly derailed by bomb body a's shaky finances now the competition authorities need to approve the deal. walters who through this now i'm joined in this studio by you again and that from the business and in frankfurt off financial correspondent quantified booz

long considered a symbol of french industrial prowess, alstom produced its first steam locomotive inhe new late 19th century. it later became famous for pioneering france's first high-speed train. but the company has struggled to remain profitable and has been bailed out multiple times by the french government. it was rescued from bankruptcy in 2004. in 2016, authorities spent nearly half a billion euros on trains they did d not need to prevent the closure of one of its plants. it also agrereed to sell its energy division ii general electric in 2014. even then, the french government intervened and negotiated an option to buy a 20% stake in the country. france's refusal to exercise that option, potentially allowing a merger with siemens to go through, could mark a change in the country's typical protectionist policies. and it could also be a sign of goodwill. >> take a look at what is happening next in the markets. starting with the price of oil, which hits and over two-year peak yesterday in trading. today, down slightly. the brand crude international -- the brent crude trading under

the much air between siemens and alstom is on track to create a new european giant in the train building business in the near future the german i.c. and french t.g.v. will come from a single manufacturer siemens wants to bring its entire train division in return for a fifty percent cut of the new siemens joe k.'s appraise the merger with a press conference in paris on wednesday the message of. the european spirit is a life to struggle european companies leading the way. by joining forces and come together in a meaningful way and that's a powerful message a powerful message in times which are matched by population by nationalism social and political rights even after the new firm is founded the pressure on the europeans will increase siemens had considered canadian company. but the deal was reportedly derailed by bomb body a's shaky finances now the competition authorities need to approve the deal. well to talk through this now i'm joined in the studio by you again annette from the business and in frankfurt off financial correspondent quantified booze and welcome to you both york firstly

a couple of lines have come through and they say the allston -- alstom deal kicking in.l speak to seamen ceo. and macron's ambitious plans to reform the eu including his vision for the u.k.. manus: the former u.k. commercial zones secretary to the treasury joins the bloomberg team at 9:30 a.m u.k. time. this is bloomberg. ♪ past it is a 10 minutes seven here. ,he dollar is a little stronger perhaps that is more the storied this morning given the fed commentary and the tax conversation in the u.s. let's get an update. better openingly on the euro stoxx 50. we have 10 year government bond yields and stocks are up, futures a little bit lower in terms of price yields, a little bit higher. where will we go, we get a raft of fed speakers throughout the rest of the week. we have yellen and you have dubai at six percent. the rails is to unite unit of these two big european businesses. this has been announced and we will be speaking to the ceos of these companies. against chinese companies in this area. manus: we have the conversation with credit suisse. this could be the start o

drawling stock manufacturer in the world and even though this new combined company by siemens and alstom will have a projected revenue of fifteen billion euros per year sixty two thousand employees c.r.c. is still much bigger and the company is not only growing in china it's also trying to gain a foothold outside china it has just recently secured projects in britain and in the czech republic and i and other high speed project in the u.k. so in order to meet that competition i think teaming up is a sensible move here but it's also a change of strategy from the french government in the past have been quite reluctant to companies to sell up so what been their reactions you know european side to the needs at this time up well the idea of this tie up ties in nicely with french president a model marc rawls idea of a pro-business agenda on the one side and a new franco dermont partnership the heart of a more integrated european union so this is this this deal basically symbolizes this whole vision on the. business scale backers of the deal usually side european airplane maker airbus as a as a

theow to the reaction of merger of alstom and siemens. >> a german company would take a majority stake, which means france's tvg trains would be built by a foreign company. the ceo would still be french. the new company has promised to keep french jobs save for four years, but workers are still worried. the french finance minister believes it's a good deal. >> we have some very strong guarantees for the preservation of wrench jobs, guarantees for governance and leadership, therantees for quarters and stock listings, but most of all, guarantees that all of. 's french sites will remain open. 5%.hares in all stem up slightly more muted reaction in frankfurt, where shares in siemens are outlined generally less than 2%. gains across london, paris, and frankfurt. >> the british and canadian governments have criticized decisions about trey terrace. 220%e u.s. wants to slap a tariff on aircraft made by bombarding ap washington says the company benefited from unfair state subsidies. a fifil ruling i is not due untl december. inbard ea's jets are made canada and ireland. are 4000 in northern ire

that that means job cuts they say the chinese are hot on the heels the merger between siemens and alstom is on track to create a new european giant in the train building business in the near future the german i.c.e. and french t.g.v. will come from a single manufacturer siemens wants to bring its entire train division in return for a fifty percent cut of the. siemens kayser praised the merger at a press conference in paris on wednesday the message of. european spirit is alive to struggle european companies leading the way. by joining forces and come together in a meaningful way and that's a powerful message. machine times which are matched by populism by nationalism. their social and political rights even after the new firm is founded the pressure on the europeans will increase siemens had considered canadian company bomb but the deal was reportedly de railed by a bomb body is shaky finances now the competition or storage fees need to approve the deal. back to feel well and an exclusive report from somalia i thank you ben yes the government has been struggling with the jihadist insurgenc

build trains right here near misses important dealers that it really is for a for the french group alstom and for the german group siemens. of the boards have been meeting at this choose a to discuss plans for merging their activities. the ideas to create a european train builder which capable of competing with chinese rivals. awesome and seems already discussed a possible merger back in twenty fourteen but fresh from instead chose to sell off its power generation business to general electri. manual michael's administration has reportedly given the deal a green light in a significant shift for a company long considered a pillar of french industry. to hone their sticker explains. long considered a symbol of french industrial prowess austin produced its first team locomotive and the late nineteenth century. it later became famous for pioneering the tgv. francis first high speed train. the company has since struggled to remain profitable. and was bailed out multiple times by the french government. it was rescued from bankruptcy in two thousand four. and in two thousand sixteen authorities sp

we will be joined by the ceo of siemens and alstom. morning.as jumped this the middle eastern company is weighing a bid. the paper said the move is unrelated to ongoing talks between the british company enmities on firms over sales of parts of the overseas operations . nike shares fell in late trading after it squashed any hope of a quick turnaround and ailing domestic operations. fakes expect north american sales to decline again this quarter. nike's conversation is will also drop in the current period. easyjet is developing a fully electric commercial plane within a decade. right electric is setting its sights on designing an aircraft that could fly 300 235 miles. that is the bloomberg business flash. hascine: president macron laid out his vision for the european union, including the creation of a line of defense was in the finance industry. >> a budget can only go forward with strong political leadership led by common finance ministers and a strong parliamentary supervision at the european level. only the eurozone with the strong in

itsens will transfer business making trade and transit cars and signaling equipment to alstom in exchange for a 50% stake in the enlarged company. 3 billion euros will remain based in the paris area. interesting comments from john mcdonnell yesterday. he said at a fringe event in brighton but if his party were in power we are going to be a radical government. labor has played out scenarios where if his party wins there is a run on the pound. corbyn agreed that the main opposition party should look at scenarios including a run on the pound and capital flight from britain in the eventuality that labor was to win the next election. it's interesting to see when we last saw runs on the pound. that was 1992 when the pound crashed. sterling fell by 4%. the last big sterling drop was the day after brexit when it fell by a record 8%. keep an eye on the french spanish 10-year spread. france is increasing its lead over spain for investors in government bonds. pushing through this once unthinkable overhaul of french labor code. this secessionist threat is gaining momentum in catalonia. investors dema

other parties to build that new government, as well as reported merger talks between siemens and alstoms>> the german index hardly lower yesterday. it's flat today. >> good point. >> i was a little surprised at the level of surprise people had at that result over the weekend. clearly angela merkel is weakened but did win again her coalition position will be softer than before the afd got 12.4%, or 12.6%, but that was within the margin of error of forecasts. >> i remember you talking about how it wouldn't ab market moving event going into the weekend >> a lot of op sed -eds are poi to the fact that the far right party will get seats, but that was expected people thought 9 or 10, they got 12 but it's not like we're have a brexit event or maureen le pen winning an election oil prices soft today, down a half percent we're around the $52 a barrel level for wti. dollar board, the euro did react to that german election, down 0.75%. softer again today 1.1815 the dollar is flat against the yen and stroweaker against the pound. we had the north korean news which helped support gold prices flat or

that that means job cuts they say the chinese are hot on the heels the merger between siemens and alstom is on track to create a new european giant in the train building business in the near future the german i.c. and french t.g.v. will come from a single manufacturer siemens wants to bring its entire train division in return for a fifty percent cut of the new siemens k.'s appraise the merger at a press conference in paris on wednesday the message of. the european spirit is a life to struggle european companies leading the way. by joining forces and country together in a meaningful way and that's a powerful message a powerful message in times which are matched by populist. nationalism social and political rights even after the new firm is founded the pressure on the europeans will increase siemens had considered canadian company. but the deal was reportedly de railed by bomb body a's shaky finances now the competition also richie's needs to approve the deal. we asked our financial correspondent in frankfurt conrad who is in if this is a marriage of equals and more importantly if zealand'

alstom confirming that they plan to merge in their rail units.ake a look and the major indexes. a little changer your. the dow, creeping lower and the nasdaq recovering a little bit, up one half of 1%. this is bloomberg. ♪ julia: "what'd you miss?" u.s. stocks inching higher, markets not entirely shrugging off janet yellen's speech. a 70% probability of a hike in december. i am julia chatterley. scarlet: i am scarlet fu. abigail: i am abigail doolittle. joe weisenthal is on assignment. if you are viewing us from twitter, we want to welcome you to our live coverage. with ourwe begin market minutes, little changed for the major indexes, with the nasdaq coming up a bit after yesterday's decline of 0.9%. i am looking at sector groups. technology is the big gainer when it comes to the groups within the s&p 500. fairly tepid, only up 0.1%. abigail: a rebound after yesterday's risk off. scarlet: in terms of individual stocks, what we have? abigail: we're looking at apple, a five day chart, but for the first time in five days. four days down, around the

the mudra between siemens and alstom is on track to create a new european giant in the train building business in the near future the german i.c. and french t.g.v. will come from a single manufacturer siemens wants to bring its entire train division in return for a fifty percent cut of the new siemens. praised the merger with a press conference in paris on wednesday the message of. the european spirit is a life to struggle european companies are leading the way. industry by joining forces and come together in a meaningful way and that's a powerful message a powerful message in times which are matched by populist by nationalism social and political rights even after the new firm is founded the pressure on the europeans will increase siemens had considered canadian company. but the deal was reportedly by bomb body a's shaky finances now the competition also richie's needs to approve the deal. and let's get some analysis from craig bellamy not at a one day in london craig is this a fair split would you say. i think it's as far as we were going to get i think there was a clear point that

they're coming together to make the world's second biggest train build a german is siemens and france's alstom the combined train divisions of the firms will be worth fifteen billion euros if anything it's a defensive move chinese competition is on the prowl the merger between siemens and al stone is on track to create a new european giant in the train building sector. now german i.c.e. and french t.g.v. trains will come from the same company. siemens wants to bring its entire train division in return for a fifty percent cut of the new firm the message of. european spirit is alive to struggle european companies leading the way in a mobile industry joining forces come together in a meaningful way and that's a powerful message the new company will not only manufacture trains but will also produce digital components like rail management systems this could give it a major advantage over competition from china. the need to expertise a need for software expertise digital expertise is huge and the communication of the two companies will we created undisputed leader i think on this demand particularly

increased competition in europe and north ,merica that the big players german siemens and french alstomppeared consolidation in the industry was going to become between the german and canadian countries. surprised by a lot of people watching the industry, siemens had been holding conversations with the french rival. anna: tara, thank you so much. tara joining us with the latest on these stories. we talked about gmm. manus: you have stocks in asia a little lower. the pine is kicking along. -- the pound is kicking along. we are cranking on gas against the new zealand dollar, up 1.25%. anna: negotiations set to take time in new zealand, so that is weighing on the currency generously. out on thehollowing social democrats. this is bloomberg. ♪ what did we do before phones? they save us from getting lost, getting hungry, and getting tired of places like this. phones changed everything - shouldn't the way pay for them change too? introducing xfinity mobile. where you can pay for data by the gig, and share it across all of your lines. no one else lets you do that. see how much you can save when

is today bigger than alstom siemens and can it is a combined the next step of this chinese group is in all likelihood continental europe where c.r.c. could rely on a purchase of a european manufacturers. even after the new firm is founded the pressure on the europeans will increase siemens has considered canadian company body a but the deal was reportedly derailed by a bum body is shaky finances however if the competition authorities aren't all aboard that big european deal will hit the buffers. u.s. prosecutors have charged ten people including fall college basketball coaches and financial advisors with bribery and fraud in connection with college recruiting among those charge was the director of global sports marketing for basketball and added us the german sports when they could confirm the arrest of the ana death executive on tuesday and said it was unaware of any wrongdoing on the part of its employee the manager is suspected of conspiring with coaches to pay high school athletes to play at university sponsored by al qaeda. now gold is a smugglers' drink that's because it's extrem

european rivals stevens and alstom team off.ll bring you sound from our interview with the executives. from new york city, good morning, good morning. a warm welcome to bloomberg daybreak. i'm jonathan farrow alongside david westin and alix steele. futures are positive, a resilient equity market in the face of rising rate hike expectations. we're up .2% on futures, reclaiming the 2,500 handle. euro-dollar, 1.1746, a stronger dollar story, spur bid chair yellen. treasuries are lower, yields are higher by five basis points. 2.29 is your yield. alix: taking a lock at the breakout in the dollar index, and now it's up by 4%. but above the 50-day moving average, it had a couple of breakouts over the last few months. is it going to be sustainable? the selloff in sovereigns really taking place in europe as well. and the spread getting steeper. you would have thought flatter, but steeper as she goes. they're on the longest losing streak, thank you, dollar strength. david: we're going to hear from the kansas city fed president, followed b

trading maker is on track across borders deal worth billions germany's zimmermann's and france's alstom that joining forces also coming up one of the world's most famous names in sports gets.

and francaise alstom confirm that joining forces also coming off one of the world's most famous names in.