still what this is james athey of aberdeen standard investments.s, i keep hearing that europe is now more attractive than the u.s., but the u.s. economy was at a different cycle before covid hit, so what is your take? james: yeah, that is one that does the rounds or has been doing the rounds periodically for a few years. there is a lot going into that valuation, and i have some sympathy with that argument. if you strip out a small number of incredibly large, incredibly impactful, incredibly, um, overvalued or highly value stocks from u.s. indices, then the valuation spread does not look quite so egregious, but including some of those names, it does look like u.s. stocks are incredibly overvalued relative to the rest of the world, and europe as part of that. therefore i might understand why people might look for a narrowing of that gap, and it goes back to tech. you have a value versus growth proposition there. if you are investing in growth, really you are investing in a small number of tech stocks. if you are investing in europe, you are investing

alix: staying with us, james athey of aberdeen. banks to, the ecb asks keep dividends and buybacks on hold at least until the end of the year. we will break down what that means for banks. from --oined this is bloomberg. ♪ john -- indon, i am am guy johnson along with alix steel in new york. let's turn our attention to what is happening with the ecb extending its defective ban on stock dividends and buybacks, to keep payouts on pause until at least january. joining us now for more is filippo alloatti, federated hermes international senior credit analyst. thank you for your time today. why has the ecb done this? gone for a one-size-fits-all decision on bank dividends? some banks say they have more than enough capital to cover the costs coming down the road. good morning. [indiscernible] protecting the weaker banks, weaker and capital. are some openings between the lines. are lowering 2019 catch up in terms of dividend. [indiscernible] alix: is it a good thing in that a lot of the banks are writing off less loan-loss reserves than th

james athey of aberdeen investments joining us.e weighing fundraising options. atentially, that is mechanical thing to see. hong kong filing its first charges under the new law. we bring you the implications of what this ultimately means. the geopolitical implications. this is bloomberg. ♪ . ♪ let's talk about hong kong. welcome back. tensions continue to flare in hong kong. this, as we see the new national security law that imposed on the terror ash that was imposed on the territory. joining us now is robert matheson to give us the take on what we need to talk about. let me just say, what we have seen is the first arrests coming through. the big problem here is that we don't know what this law actually implies. it is deliberately vague as far as i can tell. as a result, it is easy to fall foul of it. breath is wide in terms of what the hong kong and chinese economy can do with it. this seems to be the problem. i imagine lawyers will test it over the next few days after arrests we have seen. let's get your take on this. what do we

an win on athey c particular point, but if it is just a matter of you should leave this to ask, courts will say, no, bring us in individual case. we are not going to represent this balance of power tug-of-war. host: let's go to ralph from washington, d.c. good morning. caller: i have been watching this and the major media, and they tend to have a bias. lockso not show bicycle smashed on people's heads, they do not talk about the mother that was shot because she said the wrong thing. riots have been going on for 57 days in portland. the mayor thought they were posturing. i have tears in my eyes because i was exposed to comcast, what a hero am i. it is ridiculous. the media is pumping this. d.c. ror in washington, "black lives matter" on the street. that is a political statement. you are supposed to bring domestic peace. it does not matter whether or not you believe the protesters are right or wrong, you are supposed to protect the citizens of the state and city. you are supposed to protect the businesses. and they are not doing that. they are taking sides and they are promoting this stu

vonnie: joining us now is james athey. she could not be clearer or more appealing in her sincerity. why is it taking so long, why can't the different parties, including the dutch agree that this is necessary now? good evening. if only it was so easy in european politics. europe's future was to be decided by the views and desires of the political class in europe , then these things would have been put to bed and decided a long time ago. unfortunately, there is this inconvenient reality, which is democracy and the electorate's that the leaders represent. that is where you run into problems. again, neutralization was not something that was sold to electorate's, neither was dramatic hardship which would come with an internal devaluation and a lot of structural reform. if none of those things happens, the eurozone bumbles along. in this case, while there is a huge crisis facing us globally, that still does not mean that you can just me as the domestic electrics in northern europe. to be colloquial about it, their hard earned tax money is not just being sent to southern europe, which they

coming up, we will talk with james athey to take on gold, real yields, and the fed. bloomberg. ♪ alix: live from new york, i am alix steel with guy johnson in london. we are counting you down to the european close on bloomberg markets. a little bit of movement treasuries but i am not seeing a lot of conviction right now. guy: things have moved pretty fast the last couple of days. we have seen huge moves in gold. it is not being backed up by some of the other state papers. swiss franc down there at the bottom, gaining a little traction against the u.s. dollar. gold is flat. european stocks are actually big. the spanish market is catching a bit as well. the s&p down by 1/10 of 1%. a huge day tomorrow, the fed coming up. you have the tech story on the hill, plus all the tech earnings we are going to be

at this, 61% of americans say they disapprove of the way president trump is handling his job. 38% athey it's become a famous reelection mantra for coined by ronald reagan. are you better off now than you were four years a ago? for many voters in 2020 the answer at least right now appears to be no. just 20% of americans, by the way, say the country is heading in the right direction. right direction, wrong direction, only 20% say it's heading in the right direction. that's the lowest percentage than any time during president trump's term of office. so let's talk about the state of the race right now. the impact of the coronavirus with our topical pain reporters. cnn's ryan nobles is following the trump campaign for us. mj lee is covering the biden camp. ryan, these are pretty bleak poll numbers for the trump campaign right now with only 100 days to go. so what's their strategy? what are you hearing from your sources? >> well, it's pretty clear every time you present these bleep poll numbers to the trump campaign, what the trump campaign immediately does is take you back to 2016 and show y

some rather wet weather pushing into the fosse athey supercilious every class sliding across the northeast of argentina through a year ago i continue to push this while little further north which just nestling into that southeastern corner of his elice we go on through the next couple days cold enough behind just 12 celsius there and want to say this but at least it will be dry if a little breezy in a similar pitch was a go on through sunday that right still in place waiting a little bit but some rather heavy rain that is like a pretty wet weekend for this particular part of the country further north a few showers around the east coast showers up towards the other north and west of the country pushing up pain to ecuador into colombia into have venezuela and on into the caribbean as the heavy rain there from time to time across cuba what's this weather will be across central america some big and heavy showers still in place the costa rica nicaragua is seeing some heavy showers and also seeing some rather what weather into the fosse out west of mexico over the next couple of days they'll be

athey are mothe veterans and mayors.this moment, real leadership would entail de-escalation, collaboration, and looking for ways to peacefully resolve our differences. instead, you use pepper spray and trunches on american tizens. lisa: barr defended the response asecessary, pointing outro police andrty have been rmed and a federal building has repeatedly been targeted in portland. >> we are on the defense.oo we are not outng for trouble, and if the state and the city would provide the law enforcement services that other jurisdictions do, we would have no need to have additionalth marshals icourthouse. lisa: above it all, a broader question about policing. >> does the trump justice department seek to end systemic awcism and racism in enforcemen i just need a yes or no answer. >> w t don't agrre is systemic racism in police hisartments or generally in country.lisa: but in a separateg today, a d.c. national guaut member spokegainst the federal police response to protests. major adam demarco told the sause natural resources

an win on athey c particular point, but if it is just a matter of you should leave this to ask, courtsl say, no, bring us in individual case. we are not going to represent this balance of power tug-of-war. host: let's go to ralph from washington, d.c. good morning. caller: i have been watching this and the major media, and they tend to have a bias. lockso not show bicycle smashed on people's heads, they do not talk about the mother that was shot because she said the wrong thing. riots have been going on for 57 days in portland. the mayor thought they were posturing. i have tears in my eyes because i was exposed to comcast, what a hero am i. it is ridiculous. the media is pumping this. d.c. ror in washington, "black lives matter" on the street. that is a political statement. you are supposed to bring domestic peace. it does not matter whether or not you believe the protesters are right or wrong, you are supposed to protect the citizens of the state and city. you are supposed to protect the businesses. and they are not doing that. they are taking sides and they are promoting this stuff.