annmarie hordern has the breakdown. we're seeing is energy, mining, travel under pressure due to the coronavirus. brent crude trade flows $60 a barrel, a lot of concerns. what does it mean for consumption? burberry down three-putt 5%. even last week, we saw it hit the luxury market. china is a huge market for the luxury space. now we have that restricting travel, many staying home. luxury is one that's biting. lufthansa down 4%. all the airlines, a lot of exposure to asia are really taking a hit. many decide they are not going to travel. china restricts a lot of travel. matt, anna? matt: annmarie hordern with a look at some of your movers. turning now to her home country, and away, italy -- in a way, italy. salvini had hoped taking romagna would deal a fatal blow to the primitive stir sophia contact dexter seppi can't take, -- giuseppe conte. james is still with us. someone was telling is earlier people might get used to political volatility in italy. i would say that's already happened. here we have the opposite and awa

annmarie hordern. >> french food in focus.f the outlook has to do with protests, the end of the year. says this warning is material and might affect them at the open. both of the companies coming into play. bernstein says both of them are dealing with the tough domestic market. on the other side, protests have been paralyzing. we have seen the impact to the bottom line. >> annmarie hordern. here are views in contrast with boris johnson, who has insisted a deal is possible. supriya, you have moved u.k. stocks to overweight. extent, it has to do with the political winds we have had. the prospect of reduced political gridlock. that should drive some stabilization of risk sentiments. deadlinethis looming at the end of the year. moment, we have a cheap market and a cheap currency. companies looking to buy assets in the u.k., i think that looks compelling. indeed, the makeup of the market. i am drawn to it. we do have an allocation. risks,s of the political we have a little bit of a window. the spring ofrds the year. the attention w

joining us to discuss is annmarie hordern.im jong-un is he is starting the new year with an ominous message, claiming he was no longer bound by his pledge to halt missile tests and would debut a new weapon. to sufferfor the u.s. the pain imposed by sanctions. it marks a shift in policy after three meetings with president trump. trumps response was quite muted, saying he and kim had agreed to do nuclear is asian -- nuclear de-nuclearization but it is keeping the world guessing on what he plans to do next. nejra: europe's primary bond market posted a record-breaking 1.3 8 trillion euros of deals as brexit risks, economic concerns, and trade tensions locked-in lower borrowing costs. rallylso enjoyed a credit fueling total returns. so what can we expect in 2020? let's get back to william porter. we talked about what we can expect in 2020, but what about the primary bond market issuance? william: we have got an interesting situation. around andsticks increases asset purchases, we think it might double its corporate purchases. that

for that we go to annmarie hordern. kick it off with oil and gas companies, up zero .8% on the sector, the only sector in the green today after the airstrike killing a top iran ian general. the worry for the oil price is the geopolitical risk premium. no oil facilities were hit, but it is the risk of further escalation that is seeing prices tick higher. travel and leisure down by more than one and a half percent. all these companies are taking a hit because the higher lawyer price does not bode well for airlines. it could be a big hurdle for them this year. cellnex up nearly three and a half percent. a spanish tower company extending into or trickle. -- into portugal. anna: coming up, we will talk about the auto sector. tesla drops prices for its model three-car in shanghai the same week as its chinese lunch -- chinese launch. this is bloomberg. ♪ matt: welcome back to bloomberg markets. this is the european open. we are 52 minutes into the trading day and looking at declines across the board, with the dax down by more t

annmarie hordern on the tech sector.st word news update with leigh-ann gerrans. >> china's economy stabilized in the last quarter. that is after annmarie hordern e tech sector. slowing to the weakest pace of growth in almost three decades. gross domestic product rose at 6%, the same as the previous three months. china also sold the first accelerated investment since june. it signals a firmer recovery could be underway. president trump is "obsessed" with the u.s. trade deficit with oc'seu, according to the bl trade chief. the comments came during his three-day visit to washington. lawwhite house broke the and withholding aid to ukraine, according to an independent congressional watchdog, saying the president should not have delayed the money appropriated by congress. this is a key part of the impeachment case against president trump. global news 24 hours a day, on-air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. matt: thanks very much. lei

in beijing and annmarie hordern in london. let's kick it off with you, selena.t are we seeing in the asian session? we have seen equities reversed earlier gains. >> that's right, but overall we have seen this trend where msci emerging markets have really rallied. take a look at this chart. bearhave rallied 20% off market lows and developing nations stocks are firmly in that territory. by rally is being fueled confidence the u.s. and china will reach a trade deal with some saying the signing will happen january 15 and that china's rrr cuts are boosting investor sentiment. this chart also shows dollar weakness is helping to aid stocks. the index declined 2% in december, the biggest in almost two years. while there is some automated rebalancing going on, you will see a bigger boost as investors look more actively to emerging markets. nejra: thank you so much. and you are looking at nifty mid-caps. >> absolutely. what we have seen as far as this morning, a little bit of dampen sentiment when it comes to benchmark indices. however, they have had a stellar run through

we have the team standing by including annmarie hordern in london. saly is resident singapore. first to you. the asian market reaction this morning. juliette: looking at a risk off mood across asia. specifically, a flight to the yen. it could be the biggest beneficiary of the attention in the middle east. sinceat its lowest level october. the movingng below averages. the yen's correlation with the volatility index climbing to its highest in almost three years. analysts say you may not see much further upside for the yen against the dollar. it is unlikely to breach 105 unless we see further retaliation in the conflict. nejra: the jump higher in oil not helping indian equities. >> it is not. and good morning to you. we started out about 1% lower. that is the correlation we usually have. discussion -- the one interesting note. niftys a chart of the small-cap. you are seeing the current like which is similar to what we saw in 2008. most think this means the small-cap well rally. the question i have is what if it is not the small caps that rally? that wou

let us get over to annmarie hordern. in a moment but i want to start with electrolux which is down more than 5.5% even though it eat estimates. citi said the 20 -- revenue is coming in above guidance. and today they announced a contract with the european space agency. 31 million euros. 25% surgingrtin up this morning with the lifeline of 500 million pounds from a billionaire. some of this will be used to build a new suv. i know you are looking forward to this. matt: i am a big fan of course of the aml but i really do not have the space in my garage. my microphone fell off. anna edwards, please pick it up for me. anna: i will. that is what i am here for a. let us talk about aston martin. we will talk about a story that has gotten his attention today. aston martin has managed to secure this financing. lifeline.0 million let us talk about the investor. let me ask you a little bit about lawrence stroll. late stepping in at this hour for aston martin. what is the story? participating for in turning around companies like tommy

annmarie hordern is looking at oil today. what are the spreads telling us? 's what i'm looking at this morning as we have brent hovering at $70 a barrel. use spreads are showing march delivery are taking off and becoming more expensive than if you were to buy oil in december. the spread is really widening. premiums for near-term oil, showing a physical -- tighter physical market and brent hovers around $70 a barrel. bloomberg daybreak middle east was told he sees the flat price three dollars to $10 could be added to that. right now, this is geopolitical risk. ast is the worry, especially the state department says there is heightened risk around u.s. particular,d in saudi arabia. many people will think about what happened in september. anna: bloomberg's annmarie hordern with the latest on oil markets. let's get into a broader conversation about assets in the tensions.litical will start with the oil prices and what that does for the asset you look at. on the short end, we are looking at oil dipping below $70 a barrel on brent. as we see oil play a more central

with more is annmarie hordern. detention we are seeing in libya and iraq come very different in nature. what is the impact of these on oil supplies? annmarie: they are both geopolitical risks to the oil supply. in libya, the government says we could go to 72,000 barrels a day. this has to do with the eastern military commander. he has a blockade now on the port, so actual supply is not disrupted. the market may be shrugging off a little bit because in days or hours, that blockade could be lifted. iraq, while it is a minor disruption, which is producing more than 4 million barrels a day, it opens up a window of worry. just last thursday, the iea says iraq remains very vulnerable. it is more about could the supply threatened become much bigger. anna: they are overproducing their opec target. annmarie: this could bring them back into opec compliance. anna: that leads into how much impact this is having or not having on oil prices. we saw oil prices jump up, but they have come off highs. annmarie:annmarie: this is the t

annmarie hordern is speaking with the ceo in just a bit.initely an interview you don't want to make -- miss. thanks fortt: joining us. you can get your latest stock stories from the equities team. app,e bloomberg mobile you can get your bloomberg first word news. let's go to leigh-ann gerrans. leanne: president trump has announced his peas plan for the middle east. he says it will make the region safer. the palestinians have said it's a nonstarter. the two state solution would leave an undivided jerusalem as israel's capital. it would give a green light for israel to annex existing west bank settlements. >> over the last couple of years, we have consulted with all different parties. the biggest thing we were able to do today is bring the israeli government together to agree on different parameters to put a two state solution optionality able for the palestinians. has sharedapple results from holiday season. a rebound in iphone demand. the tech giant reported $92 billion in revenue for the first quarter. for the second quarter, apple has iss

annmarie hordern has a breakdown. wealth management. europe will be divided into three regions, which they say can double the amount of clients. they will also be shedding about 500 jobs. premier oil up more than 13%, buying north sea assets from bp for $62 million. analysts said this is significant and could lock value in their portfolio. 3.75%,t aviation down saying they delivered 40 falcon jets last year and were guided towards 45, saying this was because of a difficult market. matt: annmarie hordern looking at some individual movers, almost one hour into the trading day. so far, marked by a darling back of concerns about further escalation out of the middle east. looking ahead, data, economic data is likely to nominate -- dominate. the low-inflation that dogged mario draghi at the ecb may show signs of revival. ism nonmanufacturing numbers are due from the u.s., and on friday we get the granddaddy of all economic statistics, is that right? yes. joining us to talk more is raterd jones, mliv fx and strategist in ber

annmarie hordern is on location. you have got this gathering.national technology conference taking place. has beenman of aramco making comments. saudi aramco chairman says oil has missed some serious competition. it is safe for the moment. this is bloomberg. ♪ manus: "bloomberg daybreak: europe," i am in dubai. nejra: i am nejra cehic. here is what you need to know today. manus: let's get this set up. everybody needs to know a little bit about ubs. a fairly big year for the offshore chinese bond issuance in 2020. the asia-pacific head of investment banking. he spoke to bloomberg. >> people have to be realistic typese after the we work of issue, investors will be more cautious. they will be buying anything and everything. with that, the companies will definitely come to the market so we are very hopeful. manus: tom mackenzie has been on the ground. he is our china open's coanchor. good to see you this morning. progress in terms of opening up the financial sector, myth or truth? tom: it's true. this is one sector where there is concrete evidence t

lacqua in london. 1.5 hours into the trading day, let's check on european stock movers with annmarie hordernarie: a lot of earnings impacting individual movers. one of the biggest gains on the stoxx 600, up 4% per net income beat estimates. have enoughthey money put aside in case of any potential fine if there is an investigation into money laundering. 2.16%.up about bribery allegations. with -- this has really shadowed the company for years. s.a.p., down 2.5%. even though they raised their 2020 guidance, the fact is these cloud numbers really came in less bullish than many were expecting. it is all about the cloud. francine: it is. thank you so much, annmarie hordern. let's get to bloomberg first word news with av hurtado. viviana: hong kong limiting travel from china, aimed at the coronavirus outbreak. curbing that spread. it is stopping individual travelers from entering the city as well as shutting high-speed rail. the dental from china's coronavirus increasing to at least 100. the number of new cases soaring to more than 4.5 -- 4500. in the u.s., some republican senators are leaning tow

we've got annmarie hordern. ?hat is the latest what kind of retaliation should the world be expecting? waiting.test is we are we are seeing more verbal reaction from the iraqi officials and iraqi militias. there seem to be unanimous on the nation of israel. we have seen some reaction from lebanon and hamas and the gaza strip. as well as expressing support for the iranian position. how are they going to react? the irradiance seem to be thinking -- the iranians seem to thinking. -- they will be discussing the options that they have. the iranians have shown in the last few months they do have capabilities. they have made it clear they are not willing to just take the pressure that the u.s. has been applying on a ron. -- on iran. there are so many attacks on tankers. iran relationships with militias across the middle east may also come into play. matt: the reaction of the oil market has been clear. they are buying up futures today , but is this a long-term price action? should it be short-lived? >> that remains to be

bloomberg's annmarie hordern is here with the bloomberg chart that matters. they raised their growth projections. a lot of that to do with the fact that shinzo abe unveiled a $120 billion stimulus package. but trimming the inflation forecast, making this 2% goal the boj has as their target ever elusive. economists are scratching your heads and asking the question how do you have growth strengthen when at the same time, prices weaken? the former head of the boj statistics division. he says even their 2021 target of 1.4%, he says it is still so much weak for the bank of japan given that we've had years of massive easing. he says it might be time for them to start rethinking the price target. haslinda: annmarie hordern, thank you so much. now, back to davos where the diversity of views in 2020 will be thrown into sharp relief, as president donald trump and climate change campaigner greta thunberg compete for the spotlight. least 119 billionaires meet in switzerland this week for their annual pilgrimage to the alps. they appear on the guest list, 3000 names repres

juliette saly, tom mackenzie, it annmarie hordern. let's get the bloomberg first word news.liated against the u.s. killing of its general. the escalation coming hours after president donald trump said the u.s. was totally prepared for an attack. iran's foreign minister tehran isn't looking for war but will defend itself. ray dalio's flagship fund has suffered its first annual loss in two decades. the fund dropped 0.5% last year. despite many peers posting their best returns to the financial crisis. it was the only fourth annual loss for the fund since it began in 1991. the fund has returned 11.5% on an annual basis. the u.k. wants a fresh trade deal with the eu by the end of the year. that's what boris johnson reiterated to ursula von today. expressedef skepticism it was possible to reach a deal on such a tight schedule. 10 years ago, it was the biggest story in the world, but now the saga is coming to an end. the international monetary fund is ready to leave greece for good. closing its office. last year, he repaid some of the ipf -- i met. it plans to pay more this year to

. -- annmarie hordern. annmarie: we have the movers screen up. 33%, surging as annual -- annual american is in advanced talks to buy the company. thanll value them at more $500 million. poly metal also to the upside, with a flight to safety. gold surging passed $1600 an ounce. clearly that is a trade given the geopolitical tensions in the middle east. and nmc health to the downside, down more than 14 points 5% -- 14.5%. you remember, this company has had a rough last six months. carson block had this report out in december saying he would be shortselling them. but nmc health did come out and say those claims were unfounded. nejra: let's get to bloomberg first word news with viviana hurtado in new york. viviana: iran firing a series of missiles at iraqi airbases housing u.s. troops. this is a retaliation against the u.s. killing of its top general. the escalation coming hours after donald trump says the u.s. was totally prepared for an attack. iran's foreign minister says tehran finished its retaliation. this

let's check in with annmarie hordern. ie: risk of the coronavirus is hitting a number of injuries. energy, mining, travel, luxury. thes go to iron ore on singapore contact ashdown 6%. areworries about demand being played out in the oil market. or bury down more than 5%. we saw luxury -- burberry done 5%. we saw luxury take a hit. with fears of the coronavirus spreading, there will be less people out there spending. of down more than 5%, a lot exposure to asia, similar to air france and also similar to lufthansa, all these airlines down as china is stopping a lot of travel between a number of cities. more people just want to stay the, given the fact that coronavirus is spreading. francine: annmarie hordern with some of your biggest stock movers. let's get straight to the bloomberg first word news in new york city with viviana hurtado. hi, francine. we begin with a deadly coronavirus, at least 80 people have died. beijing has as extended the lunar new year holiday. cases are reported in 15 other countries. president xi jinpi

let's get to top individual stock stories with annmarie hordern in london. rnings. up overr to the upside, 4% as total sales met estimates even though they had a dip in the home market in france. a a lot of this was priced in. saying of analyst notes, protesters would hurt the french market. carrefour able to weather the storm on total sales. 8%, thentreau down over biggest drop since 2015. revenue fell 11%, twice as much as forecast. another protester story, this one in hong kong. hong kong sales were really dented around christmas time. everythinglling 6%, to do with soft u.s. sales. companies are reluctant to spend big on next-generation wireless there is more certainty about the megamerger between t-mobile and sprint. anna: thanks very much. annmarie hordern. , another interview from davos next. your group's -- eu rogroup's president, next with his thoughts. this is bloomberg. ♪ matt: welcome back. 40 minutes into the trading session, gains of over 1%, a risk-on friday. goldman sachs chairman and ceo david solomon told bloomberg he doesn't expect much fro

annmarie hordern is looking at phillips.llips test -- capturing sap and looking also at airbus. what is the story with philip? >> the sales missed estimates. you would think the shares would fall at the london open, but we could see a bit to the upside. they are looking into the sale of domestic appliances. this is coffeemakers, air. fires generating $2.5 billion u.s. let's come to you on sap. european tech has a big focus on apple in the news but what have we heard from sap? europe's largest technology companies raised the profit outlook for 2020 but what is really encouraging is the cloud unit. they had a big boost from companies migrating over to the cloud which was a theme we saw last year. the sales in the unit rose around 25% sap today. the strong point in europe, analysts said it would be quite a soft spot compared to the u.s. and asia for the cloud unit. on the next two sides, the margins are lower. this is because of the acquisition made around a year ago which cost $8 billion. they say across related to that deal i

annmarie hordern is here with this intriguing story. versy for the house of saud. jeff bezos' personal cell phone after a conversation with mohammad bin salman on whatsapp. it was first reported by "the guardian," which say it started in 2018 with an infected video file sent to bezos. the revelation will raise a question of if this had anything to the u.s. tabloid "the national enquirer" publishing personal details, including text messages of bezos having an extramarital a fear. also around the killing of jamal khashoggi, a dissident working for "the washington post" which is owned by bezos. the saudi embassy in a tweet said the reports are absurd. anna: indeed. story this morning. president trump, arriving in davos. we saw his helicopter landing yesterday. there he is in the corridors of ready -- getst ready for day two of the delegates in davos. he is meeting and greeting a little bit. climate change, a big part of the conversation at davos. of hisay, he spent a lot speech talking about successes behind the u.s. economy right now and s

bloomberg's annmarie hordern is looking at oil stocks. sam on stead focused on chipmakers. urger is covering sainsbury's for us. let's start with oil. what is the story with these retaliation, hopefully behind us. annmarie: we now see that geopolitical risk premiums are back on the oil price, spiking through $70 a barrel. watch the big names. shell, bp. on top of that, a tiny u.k. company as well as norway's dno. both were cut by rbc. they have assets in the kurdistan region of iraq. this is a region to watch out for. anna: we will return to the oil story many times during the program including getting comments from opec. what is the latest on chipmakers? samsung is a major chipmaker. their results beat expectations. it was primarily due to memory chips. pricing looks to be turning around. demand is good because we are moving into a super cycle for funds, upgrades as chips are coming in the future. this is very positive especially on the pricing front. it may well be on the face of it that none of this shows through because of the short-term reaction to the rainy intentions.

coming up today, annmarie hordern speaks to the ceo of aramco.or the first time since the companies ipo, that conversation will take place at the international petroleum technology conference in saudi arabia. other panelists include chief executives from baker hughes, halliburton, and woodside energy. we will bring you that panel after the open. when you are traveling to work, tune in to bloomberg radio. it is live on your mobile device and dab digital radio in the london area. this is bloomberg. ♪ anna: welcome back to the european open. past 7:00 in london. the european futures points to an undecided picture. u.s. futures points higher. we will keep that in mind as we progress towards the market open. the bond market wrapped up its biggest week ever with over $100 billion of new debt sold. 2019 was a record year for corporate issuance but last week lifted 2020 sales ahead of 2019. joining us to discuss is the cohead of capital markets at deutsche bank. good morning to you. we are talking about the strength of corporate issuance. is 20/20 going

annmarie hordern has a look at how the maximum pressure campaign has been working. annmarie: the first thing to look at is how the maximum pressure campaign has been working. looking at the oil sector, it has really crippled the economy, oil exports coming to unprecedented lows. you can see throughout the world have a sanctions have worked on the iranian economy. now the trump administration says they vow more sanctions against the country, and a close sources that will be focused on the metals industry. in may we already saw the administration hit the metals industry. copper, aluminum, steel. the administration says outside petroleum, it is the biggest export revenue for iran, about 10%, and a big workforce in iran around the metal industry. it remains to be seen what is left for the trump administration to sanction. but it does seem that will be the new focus, the metal industry doubling down. nejra: let's get to the first word news with annabelle droulers in hong kong. contradictory reports emerging about what caused a ukrainian boeing 737 to crash in iran. tehran

we sat down with annmarie hordern and started by discussing the blockade against the country. have loved to sit here with chatham house. more -- have give a brief, maybe five minutes, i said we succeed in 2019 to have good production, good revenue. some -- and we launched or finished the deal qatar. tart -- with this is a setback for our plans to sustain the production. i am here in london to discuss with my partners. we will share with them what the next step we can do. >> what about long-term production? what does all of this due to .hat -- do to that >> our engineers and technicians 2.1 billion.use we have a budget for this. even the normal budget will not be received as normal due to the crisis. are scared this shutdown will last longer and then they have no more money or reserves in oil to supply. --?hat about they were supposed to come in. they did, even with the blockade? libya is losing production. i am sure you have seen the oil market. we are below $60 per barrel on brent in the wake of this coronavirus. what do you think opec should do? >> good question. the prices

annmarie hordern has the details.ommerce giant estimates, posting a 21% jump in sales to $87.4 billion while consensus was for under $87 billion. the street was shocked because amazon has been spending big in key parts of its business. the main concern was the cost, especially on one-day delivery. but the investment paid off and did not dent profits. adding to enthusiasm as well, jeff bezos announced the company has 150 million time -- prime subscribers. these customers pay monthly or annual fees for shipping discounts and other perks. key for amazon because these members spend twice as much as any other customer. jeff bezos added just over $13 billion to his fortune in 15 minutes. $880 million in one minute and nearly $15 billion for every single second -- $15 million for every single second. nejra: an offer to buy the rest out a shareto carve of the truck market. they have offered $35 in cash per share. navistar say they will review the offer but there is no guarantee. ibm has named a new chief d krishna. arvin the

annmarie hordern has the details on the man, his triumphs. >> he is an absolute icon for the nba andinspiration for those even outside of basketball. we are seeing an outpouring of love, support, and sadness, including tributes from both presidents trump and obama. kobe bryant wasn't one of 9 -- kobe bryant was one of nine people killed when his helicopter crashed. his daughter was among the was as well. won five championships with the lakers. he joined the nba right out of high school, at the time making him the youngest player in the league. won two gold medals at the olympics, received an oscar for a short film based on he was a wrote, and focused investor. those who worked with him said he showed the same intensity in the office as on the court. >> royal bank of scotland is planning to eliminate thousands of jobs at one unit according to the sunday times. it is part of a cost-cutting measure seen by newly appointed ceo. the newspaper says one idea being discussed could see 3700 retail banking jobs cut. the times says that a spokesperson said the bank did not recognize the -- the

annmarie hordern has a cracking day ahead of her. taken away -- take it away. >> good morning. of the earnings and the 2020 outlook, we want to get his insight on the coronavirus. is there anything in the novartis pipeline are anything they can do to help with this response? what does it mean for novartis and really the pharmaceutical industry as a whole's supply chain? what about devices, medical devices? what is the impact on the supply chain? finally, novartis has exited their vaccine unit. the chief executive officer is a medical doctor who graduated from harvard medical school. he led novartis' response to the h1n1 virus when he was in the states. he was under immense pressure to get a vaccine out for the swine. we are going to have to see any insights he can give on the technology and the response of the pharma industry. manus: we look forward to the interview. good luck again. 7:30 a.m. u.k. time ♪ nejra: good morning from bloomberg's european headquarters in the city of london. i'm a rich a hitch. manus: i'm manus cranny in dubai. these are your top headlines on daybrea

with all the details, annmarie hordern is with us. >> huge blowout.f the huge things everyone was looking at, what will they say about 2020? they said they can comfortably exceed 500,000 units for delivery. elon musk must be elated. earlier this month, the stock was one of the most bet against american companies. short sellers a percentage of equity, dropping compared to the share price. gene munster says the shorts are just eroding. elon musk, as personal fortune just after yesterday grew north of $2 billion in just 60 minutes. thank you very much. talk about turnaround in your fortunes. we broke the deutsche bank numbers but the bank joins its wall street peers, writing that intain -- writing that surge fixed income trading. we speak to the ceo. you don't want to miss that conversation. the top line is that ecb is starting to mitigate the impact of negative rates. this is bloomberg. ♪ nejra: this is "bloomberg daybreak: europe." i'm nejra cehic in london. manus: we broke the top line for deutsche bank. the key lines are this -- fixed income trading

here is annmarie hordern. annmarie: i want to start off with the oil and gas sector.g oil is on the big move higher. it is the only sector in the green. brented crude prices, hovering around $70 a barrel. premium,eing that risk the geopolitical risk premium over the price of oil, the state department saying there is heightened risk around u.s. military bases. boding welle is not for airlines. they are under pressure. air france, 4.5%. all these airlines are under pressure, we do not know when or how long this increase of oil price will stay. againstlines can hedge this, but for the most part it is out of their control. francine: we will have more on those movers and what that means for airlines. annmarie hordern with the biggest european movers. let's get straight to the liver first word news in new york city with viviana hurtado. viviana: iran is no longer abiding by any limits on uranium enrichment. iran pulling out of the 2015 nuclear deal, marking a widening fallout from the u.s. killing of a top iranian general. also devotedment to expel troops from the iranian c

. -- with annmarie hordern. downrie: the stoxx 600 is ahead of key risks coming up this week. the cac 40 and france down nearly 0.5%. u.s. futures pretty much muted. we are seeing relatively low volumes given that the u.s. is on holiday for martin luther king jr. day what they are saying about key risks coming up for the week, central banks are in focus. fresh of that, we have corporate results to watch for, especially european banks, and policy makers and top executives gathering in davos. we have to look out for any key issues brought up there. we can look at what is going on across assets. brent crude above $65 a barrel, just barely. we are seeing these risks to supply in libya and iraq. you were talking about this. the fact is the market just keeps shrugging off a lot of the supply risks because there's too much oil in the market, notably u.s. shale. $1.2997d right now, against the u.s. dollar. a lot of speculation about an imminent bank of england rate cut. we also have u.k. jobs day tomorrow to look out for. flat, but-yen barely there's been a little bit of weakness. tha

he spoke to annmarie hordern in saudi. >> i don't think we are in the brinks of a war.ion is continuing. andink what i see from afar you see end everybody sees is a type of de-escalation which is happening. withry much comfortable what is going on. fromnot a big jump to go oil contracts to the ftc. tarbert --- he's , chairman at the ftc, is joining us. talk to me about how you see -- sorry, the business you look at, and how it is going to change as a result. heath: well, the derivatives markets have traditionally been, particularly when we are talking about commodity classes such as oil, agriculture, hav always had some degree of volatility. so i think we are going to continue to see the futures markets develop and respond to global volatility, particularly those that may be caused by geopolitical events. guy: we are about to go through brexit. we are about to deal with our own regulatory structures that allow this to be competitive. what are you expecting from london? how much more competitive you think we will be after brexit? it is really a question for the authoriti

in london is annmarie hordern. annmarie: i have a bunch of british names for you.em is berkeley group, one of the biggest gainers -- barclay group. they have amassed a huge project line that is under construction and they say those buildings and homes will such more. even on the surface, earnings looked quite well. they raised their forecast for sales. the holiday season was very well. ricardo t she, the creed the creative director. hong kong and protests are weighing on sales. and just thinking as well the fire us that the virus sweeping across asia. everything has exceeded inventory, francine. francine: annmarie hordern with the main stock movers. "bloomberg surveillance continues. in the next hour we will have more from the world economic forum in davos. we will have great conversation with the bosses of bp, all those -- also the chief executive of morgan stanley. this is bloomberg. ♪ --lue can be particularly person on the discount. francine: coronovirus concern -- the number of cases tops 440 and spreads to the u.s. and hong kong. the world health organization

annmarie: -- annmarie hordern. missed key targets, and on top of that they saw assets leave the wealth management unit. this is going to be a big overhaul. talking about the challenges he faces. lvmh is lower. it also has to do with the devastating illness taking hold in asia, similar to sars. the worry for the luxury states is what does this mean ahead of a lunar new year? luxury depends on asia pacific. this comes on the heels of those protests in hong kong, which definitely hurt them as well. hugo boss up 4%. it is a highlight in the luxury space because fourth-quarter results beat the highest analyst estimates. on top of that, hugo, the line underneath hugo boss has a new collection out, dedicated to david bowie. i have not seen it yet, but i will look for it when it comes out in february. francine: annmarie hordern with stock movers. coming up, president trump's keynote speech. 10:30 a.m. london time. that is coming up next, and this is bloomberg. ♪ out if something is changing. if they get a picture of what i

francine: get a look at your stopovers with annmarie hordern with annmaries hordern.e: i want to start with richemont. they were able to make up sales in the crucial holiday season while they faced a decline in hong kong. the whole watch sector has been facing troubles in the hong kong market. 8%.no is down more than warning out init france. the strikes are hitting the bottom line, especially during the sales. cd project is plunging today. they were the biggest gain or across the stoxx 600. berpunk, ao do with cy new videogame. there's a lot of anticipation but they would have to delay it. it will still be historic, but it loses a bit of credibility. slightly after passing the $1 trillion valuation mark. joining the club with microsoft and apple which respectively have 1.4 at $1.3 trillion valuations. amazon has not quite join the club yet you can see the tech sector is the market-driving force. s&p is made up of these three stocks. francine: thank you very much. let's get more on these tech valuations. so with us is david stubbs and alex webb who writes about tech fo

the top individual stock stories with annmarie hordern. a lot of trading updates today. that is why we see a lot of individual movers on the move. hellofresh is on the move. beat the highest analyst estimates and that is why it is giving the german company left. up nearly 8% this morning. theyy much in line but expect better cash generation in the second half. pearson plunging, down 12%. biggest louver on the stoxx 600 this morning. it has everything to do with their coursework for the u.s. higher education system. another drop in that demand that is weighing on the stock. anna: thanks. interesting moves, big moves in fact for the fairly sizable company. let's focus it on the world's biggest economy. dallas fed president robert kaplan told us the capacity of the united states consumer remain solid. be months: there may where the consumer pulls back, saves more, does not spent. but the capacity of the consumer to spent is solid. household balance sheets are in better shape than they have been in 10 years. not perfect. we know the job market

annmarie hordern joins us. >> what you need to know is all ite, all-male is not cutting anymore, at leastman sachs. the biggest underwriter in the u.s. will no longer do business with a company lacking a director who is either a woman or diverse. the board must have at least one person who is not white, male, or straight. next year, the bank will raise the threshold to two diverse directors. the decision came after it learned that more than 60 u.s. and european companies in the last two years went public without a woman or person of color on the board. a professor at boston university says for goldman and wall street, this is a seismic change. we cover diversity and equality a lot here. questions will remain. how will other wall street firms follow goldman sachs on this? will they, will they not? is this just the beginning to bring greater representation to boardrooms around global wall street around the world? nejra: great question. let's get to the first word news with juliette saly in singapore. china's virus is not a global problem yet. the world decided against declaring the new coro

tom: annmarie hordern, thank you so much.is planning -- then you simply get lucky. she has been a wonderful guest for us over the many months and years. we are thrilled she could join us. an important economic and investment team with great respect, i'm going to rip up the script and i want you to explain this city in central china. say we went tos china, we went to the mandarin hotel. we are going to beijing over go --shanghai and look at the how does it fit into the mindset of china? >> is a very special place. it is been an inspiration for poets and artists it also easily it is become a technology center is fascinating. china's tech centers are not centered in one place. very special expert kind of buts and so it is quite sad it is very important city in the south. francine: what do we misunderstand about cities. rural parts in china are as big as our biggest metropolises. >> we think about the coastal provinces but we really forget the enter, central western part of china are still very important. when we think about grow

for that we go back to annmarie hordern in london.: we have a risk at the start of a new year, the minors more than 1%. therekinds of financials this comes down to china, china moving to inject more capital into the economy. theses why we are seeing sectors pushed higher. airbus up 3.5%. they delivered a record number of aircraft for december and are expected to exceed their 2019 goals. performer forst the stoxx 600 for 2019, now starting 2020 on the back foot. they discovered oil in guyana, that they not enough anticipated before they started drilling. matt: i believe earlier this morning, it was off almost 20. annmarie hordern, thanks very much for that. let's get to first word news with karina mitchell. an air recce -- that comes after the fighters attacked of the compound earlier in the week. the move could ease tensions between tehran and washington. says he willnyahu seek immunity from prosecution on corruption charges. that essentially blocks the start of his trial for months because there is no functioning government to consid

francine: thank you so much, annmarie hordern.get straight to the bloomberg first word news in new york city here is viviana hurtado. viviana: hi, francine. backing away from the u.s. -iranian conflict. tensions remain high. a pentagon report indicating the missile attack was aimed to avoid casualties. in a speech yesterday, president trump promising more sanctions on iran. carlos ghosn's criticism of the nation's legal system is "intolerable," according to the japan justice minister. she is also pushing back against carlos ghosn, accusing him of spreading lies, this after the former nissan chief also hit out at president emmanuel macron. he blames the french leader for sitting in motion of the chain of events that led to his downfall. the world bank cutting outlook for global growth due to worsening prospects in china, and the your area. but it says gdp may pick up a little bit. -- and the your area. but it says gdp may pick up a little bit. youquestion for you -- if are looking especially for a pay raise in 2020, check out some

joining me for more is annmarie hordern in london. walk us through some of the details of the report. annmarie: that potentially vulnerable supply on a rocky production is what everyone is talking about. he heard this before from -- on iraqi production is what everyone is talking about. we heard this before from the iea. what is worrisome is they are the second top producer, and they rely heavily on the strait of hormuz to get production out, mostly to asia, china, and india. when we see tensions in the gulf , the big question now becomes what does the group do when they meet in march? how is a rock, which is supposed -- how is it -- how is iraw, who is supposed to be -- how is iraq, who is supposed to be complying, going to deal with more cuts? in september, they didn't comply. they are hoping the group comes more into line with january numbers, but this will be a focal point leading into the position. alix: thank you. turning now to a tech bellwether. taiwan semiconductor beat earnings above estimates. strong results show how it is i

just over 1.5 hours into the trading day, let's check on the european stock movers with annmarie hordernie: it is an earnings bonanza today. than 9%, beating estimates on cost control. the story is the management changes. the chairman is stepping down, the billionaire patriarch giving the reins to his son. and we have a new ceo, the first female ceo to run h&m in its seven-decade history. i look forward to the conversation you will have with her, francine, in the next hour. volvo boosted their dividend. they seem to be wait -- able to weather the storm with the demand drop we are seeing, cap -- theyith ring will be pushing for changes. we do not know how big the stake is yet, but the market likes it. we have some big followers today as well. royal dutch shell down more than 3%. slowing the pace of share buybacks as they missed expectations. ceo said that the buybacks will slip beyond this year if the macro environment stays weak, setting a gloomy tone to all of these big oil majors we will hear from. bt group down five point 8%. hitei is expected to get with charges based off the fact th

let's check in on european stock movers with annmarie hordern. ie: a lot of trading updates, a big move on individual names per hello fresh up 7%. beating highest analyst estimates, giving a boost to the german food service company. outlookupdates, the remains pretty much the same, but they did say there is better cash generation for the better -- for the second half of the year. pearson plunging, down 10%. it has everything to do about their u.s. higher education. the coursework, a dropping of demand there. we are seeing pretty big moves on them, francine. francine: let's get to first word news in new york city with viviana hurtado. viviana: many of the big issues in the relationship between the u.s. and china remain after the per limiter stage of the parade -- of the trade deal was signed yesterday. it outlines a 200 billion dollars spending spree to close the trade imbalance. blackstone's steve schwarzman says the deal is significant. steve: what is important as a business person is to know that there is positive momentum. there are countries t

lisa: annmarie hordern joins us in london for more. right now, it seems like markets are kind of tempering their expectations for any kind of disruption. annmarie: that's right. no supply has been disrupted yet . what we are seeing right now, especially in asian trading, we saw brent go through $70 a barrel because of geopolitical risk premia. we should note this is a different market than 5, 10 years ago. the middle east is crucial, but there are still other oil supplies out there, most notably u.s. shale. if you look at what the call options are on wti, the premium is the highest it's been against the attack against saudi facilities, so it looks like investors are trying to protect themselves against any geopolitical risk, but right now, the market is still calm because until supply is disrupted, you're going to have a bit of spikes here and there. but do have these remain elevated for a duration of time, you're going to have to take supply out of the market, and right now we are not seeing that. lisa: thank you so much for that. also

companies into this discussion because following the airstrike -- was -- thatll, that was annmarie hordern, with the chief executive of saudi aramco. we are getting breaking news out of the u.k. the u.k. economy unexpectedly shrinking ahead of general elections, casting doubt over whether there was any growth at all in the fourth quarter. this is from the month of november, so gdp so 0.3% in november. economist expected unchanged output. was needed to prevent contracting in the fourth quarter. just over 1.5 hours into the trading day, let's check into your european stock movers with dani burger. dani: we have some big moves from carmakers, starting with aston martin, which last friday saw a big drop after a profit warning showing it needed a fresh injection of cash. billionaire lauren strohl said putting as much as 200 billion pounds into the company, he is carn for racing points, the his son drives. the chinese company also looking at making an investment in aston martin as well. the downside, we are looking at renault, falling more than 3%. we were talking of with your reporter -- after

. -- speaking with annmarie hordern. bloomberg. ♪ francine: this is "bloomberg surveillance," a live from madrid, where we just spoke with the ceo of santander. talking about the history behind us -- let's talk about luxury, slowing in the fourth quarter with the protest in hong kong. the outlook is further crowded by the spreading of the coronavirus. let's talk about luxury and the sectors impacted by the deadly virus. let's get back to julian chillingworth of rathbone, in our london studios. you have the protest at hong kong and they are likely to be impacted by the coronavirus. is it one of the sectors that will hit the most, as chinese citizens stopped traveling to the rest of the world? julian: undoubtedly i think we have to factor in some of the earnings pressure across the whole sector. some of the luxury companies are more exposed than others to the asian markets, and one has to take that on board as well. but i do think that having seen in certain cases valuations getting quite stretched in the last six to nine

just over 1.5 hours into the trading day, let's check into european stock movers with annmarie hordernto start ubs. they are changing the european region into three different regions. they can double the amount of clients. to do this, they are shutting about 500 jobs. premier oil surging 13% this morning. they are buying the north sea assets from bp for $62 million. and analyst says this is such a good idea for the company and it will unlock value in their portfolio. nearly 12% this morning. they had a rough 2019. the share price over the severe has been down 60%. ,his is due to a weak economy brexit uncertainty. and they still do not have an suv just yet, francine. elon musk's motive truth has arrived. model three sedans were made in shanghai. the car maker's first factory outside the u.s. be hoping this marks a real -- a beginning of real competition for electric. i guess joins us from shanghai. what is the significance of the ceremony? >> i am here right outside the shanghai plant. moments ago you saw elon musk dancing not once but multiple times on stage. to give away the first chi