bank.e would see three or four pan european banks that would cover the entire area, and being a swiss bank and global, we will continue to be a competitor in these pan-european markets and in the global markets, so you will see not just domestic markets become more pan-european you also see u.s. banks taking a , bigger stake in europe and asia because their clients will want exposure to global banking as well. francine: i don't know whether it is automatization, globalization, or finding a different language to speak to millennials that will be your biggest challenge? axel: banks have tried to drive digitalization themselves. at the core, banks are technology companies, but this disruption, banks will monitor the successful in the market of fintech and will basically integrate them into their value chain and become better banks, with the same client experience that the client is looking for outside. plus they bring the scope, size, and the globality that many fintechs would work decades to

now in banking, when i came to banking, i did not have a lifelong career in banking.s the importance of knowing where you want to go to, focus on the long-term sustainable business parts of your business, move away from high volatility in market-based finance, and really focus on things like wealth management and retail banking as core of the bank. so it really has to come with some convictions that either you go for short term profit or you go for long-term gains. going for long-term gains requires a lot more commitment. it is a tougher road. and it has setbacks. you got to live through those setbacks. i am still committed to that longevity in everything i do. francine: what was the best piece of advice you were given throughout your career, either young or less young, and who gave it to you? axel: i think i was given that by my parents. and that was, trust in yourself, because in the end, it has to be right for you. that is where i always ask myself. i do not want to please anybody if i do not think that is the right thing to do. so i have some confidence in the fac

tens of millions of dollars stolen from bangladesh's central bank via the federal reserve bank of new york and then laundered in the philippines the money and the thieves then vendor. and steve on this episode a one on one east we investigate one of the biggest bank robberies a modern times and ask how the cyber hackers got away with it. to cover the. i'm a. product of a not really. jack up the capital of bangladesh. but teeming chaotic city and one of the world's poorest. seventy million people live here a set of them surviving on less than two dollars a day. bangladesh has one of the world's fastest growing economies. it's a country on the up but one that could ill afford to lose more than eighty million dollars of taxpayers' money. bangladesh bank the country's central bank is it the heart of its economic system. it overlooks a. around about inductors financial district. high walls and tight security to stop anyone getting in who shouldn't be there but sometimes physical barriers aren't enough for this heist nobody broke in and nobody took anything away in crime was perpetrated ele

banks were sending. messages to each other using the us imagine getting ten thousand faxes a day not very secure not very automated so two hundred thirty nine banks from fifteen countries said let's use computers nine hundred seventy three. telecommunications and try to get it to work and they form the society for world bank financial telecommunication swift and today fast for thousands of banks hundreds of two hundred countries and trillions of dollars a day flow through this with that work over ten trillion a day and it was swift messaging system that the hackers access to send messages to the fed. we always realized sweet sweet spot were at the user's terminal at the end points which went out responsible for the physical security and for them keeping their own passwords safe and secure and other credentials and over time you can imagine as this cyber crime became much more sophisticated. which should have been doing more or could've been doing more as we all know that. declined to be interviewed but s

are public banks. there are over 586 public banks -- sorry,, in the world, that control $35 trillion in assets. we are not doing anything new. we are actually just joining with something that has been done for generations throughout the world. >> i'm sorry. how many coiffed. >> $35 trillion worth of assets are in 586 public banks. those figures are from the world bank. there's plenty of models. there's a public bank in costa rica, and there is public banks of people who are mentioned in brazil, in germany, from the advanced country, to the underdeveloped countries. there are public banks. so i think we can do it, and i agree with supervisor fewer that we have to push the state legislation. i understand representative weiner is supportive of it. i think that that is where we need to go. we just need to make it happen. think big. thank you so much for setting that stage. i think we will continue on and hopefully you will have something to look back on that you accomplished. >> thank you. next speaker. >>

it had a consumer bank and an investment bank.nd we saw between 2008 and 2009, the value of that diversification. the investment bank lost $24 billion in 2008. the bank made money every quarter because the consumer bank had a good year. then our credit card business in 2009 lost $30 billion and morgan made money every quarter because the investment bank had a record year that year. and that balance of having a consumer and a diversification if you're running a large financial institution, you have irresponsibly -- have a responsibility to keep, if not build. what came out of the financial crisis is u.s. regulators wanted to create universal banks so they put merrill lynch with bank of america. when you look at barclays, we have a tremendously strong consumer presence and the fifth largest economy in the world, the united kingdom. and we have a global bank anchored in new york and london. so that has that balance and we have aation that responsibility as leaders to use the diversification and decrease the risk of the banks so when

it had a consumer bank and an investment bank.e saw between 2008 and 2009 the value of that diversification. morgan's investment bank lost $24,000 in 2008. our credit card business in 2009 lost close to $30 billion. morgan made money every quarter because the investment bank had a record year that year. that balance of a consumer business and wholesale business is a diversification benefit that if you are running a large financial institution, you have a responsibility to keep, if not build. what came out of the financial crisis, the u.s. regulators wanted to create universal banks. they put merrill lynch together with bank of america. when you look at barclays, we have a tremendously strong consumer presence in the fifth largest economy in the world in the united kingdom. we have a global bold bracket bank anchored in new york and london. that has that balance and diversification that i think we have a responsibility as leaders of a major financial institution to use that diversification to decrease the risk, so that when there's

and banks that are taking over the city's banking functions, commercial banking functions. so thinking about our portfolio that's contracted with bank of america and how can we take those services in-house. the challenge them for us was nobody has created a bank from scratch that can immediately operate at a scale we would need it to operate in in san francisco. so trying to figure out how much it would cost to create a bank that would do things to make sure we get paid on time, etc. so that took some time. and i want to commend molly, because she spoke with everybody to large banks, small banks, advocates, partner banks, to figure out how to do this and how much will it cost? so that will be included in the final model. that accounts for some of the delay. >> president cohen: supervisor fewer, do you want to -- >> supervisor fewer: there is only one public bank in the country, bank of north dakota and they invest in everything that's horrible that we as san francis franciscoans would not invest in. but they work with credit unions. the credit unions in north dakota are str

bangladesh bank the country's central bank is at the heart of its economic system. it overlooks a busy roundabout inductors financial district. high walls and tight security to stop anyone getting in who shouldn't be there. sometimes physical barriers aren't enough for this heist nobody broke in and nobody took anything away in crime was perpetrated electronically. on the evening of service day february the fourth twenty sixteen the start of the weekend in muslim bangladesh most of the central bank staff had gone home the building was secure but intruders were already inside. in the interim report experts commissioned by bangladesh bank said a malicious program was installed on the bank's computer systems where possibly delivered virus infected emails collected passwords and usernames and covered its own tracks. investigators say they found considerable evidence that the hackers used the bank's credentials to access swished international messaging system used to send money around the world the hackers then generated search the five requests to transfer funds from ba

a big bank called deutsche bank.e bank that continued to lend him hundreds of millions of dollars, even after he was unable to pay that same bank back on some of his earlier loans. even after he went so far as to file lawsuits against deutsche bank when he failed to pay them back his side of the loan. he owed them $40 million and he didn't pay it, then he sued them, alleging that it was somehow their fault that he wasn't paying them back and they should pay him billions of dollars. i mean, there are aspects of the donald trump/deutsche bank relationship that have allowed seemed way outside the bounds of normal business dealings. they have been uncommonly generous to him. not just him, it's him adjacent, too. the whole trump/deutsche bank uncommon generosity story got even more strange when deutsche bank also gave jared kushner several hundred millions of dollars worth of loans in october of 2016, right before the election. one of the reasons this financially inexplicable dynamic between trump and the bank is because

banking services.owledged that threat earlier this morning. >> a lot of banks, especially in the community spaces, are worried about companies like square, and what do you do where square has a growing -- rapidly growing point of sale ending business and that is going to take money out of the revenue line of the banks. >> for them, they cut big deals like this one. d.a. davidson says it's a david and goliath situation, newer players like square to become what he calls a one-stop shop. wilf >> dee rather than it being a direct threat necessarily to the big banks, fiserv labels it to big banks already. >> uh-huh, exactly so fiserv helps banks but it is competing increasingly against the squares and paypals of the world. so, fiserv provides these fintech services to the banks but on the other hand paypal and square are providing these services to consumers and smaller businesses. >> deidre bosa, thank you. >>> ceo david solomon on the earnings call, characterizing the quarter. >> recently there's been qui

eighth hackers tried to steal nearly two million dollars from india's city union bank the bank said there were similarities with the bangladesh case. on the trail of the missing millions are visited many places from the heart of the global financial system to developing countries old with different levels of technological sophistication but their banks all share one thing the messaging system swift and hackers have realized its users can make themselves vulnerable. maybe she's a victim but but it is at the cost of the global payments this is improving but in forcing the highest standards internationally is a challenge where i think the vulnerability is if there isn't a global a more global a coordinated response to these threats and the hackers have not gone away the bangladesh heist was a wake up call for the international banking system changes have been made the distract from hackers is constantly evolving and many institutions regard cyber security as the biggest risk they face today. headlines warned the streets of melbourne australia are by. its citizens under threat but after

banks. sears in business. improved offer is valued at more than $5 billion and could preserve tens of thousands of jobs. annual car sales in europe dropped for the first time since 2013. u.k.,ing market in the where concerns over brexit turned off consumers. rules came into effect. that is your latest bloomberg business flash. we are holding onto gains. s&p 500 up 4/10 of 1%. the dow is up 6/10 of 1%. the nasdaq up half a percent. vix trading at 18.5%. goldman sachs, up 7.5%. j.p. morgan chase, up 9/10 of 1%. the airlines are performing well in the s&p after united continental beat the street readily. up 7.3%, bringing american airlines with it, up 4%. erv downformers, fis 6.2%. down 6.25%. macy's down with it. guy: the market has been obsessed. it is interesting to see the s&p going through the 2600 level. that is a line in the sand. europe similar. 50 day moving average on the stoxx 600. we have broken through. that is a key technical level for europe. that should pose the possibility of the market moving hi

banks tend to recover.you look at the european banking system, for their benefit, they need to be allowed to merge and expand in the european banking system. if they don't, it is a huge disadvantage for them for the next 50 years. i would be worried about trying to create that. >> if the banks due march, do you think there'll be a contender for you? deutsche bank is a tough competitor. of globalms investing, they need to get big or merge. we also have to compete with chinese banks. >> what role will they play in the u.s.? can they play a role in the u.s. in the future? >> 30 years ago, they were in one country. now they are in 70. their government likes them, and they have a natural home market, which is a huge advantage. they are already on the playing field. a small trading house. they are ambitious. they should be. so help me god. >> just weeks after speaking with jamie dimon, francine lacqua sat down with imf managing director christine lagarde. they discussed european issues from a slightly different p

are in favor of do it your bank merging with commerce bank. as if you're going to take you know like that and all the sudden turn it into you know something real i mean they're both trap. going towards zero whether that puts off the inevitable or not i have no idea reminds me a lot of some of the force mergers of two thousand and eight remember like merrill lynch being bought by bank of america things like that and that's what this smells of. the able to be in oregon by lehmann brothers and yeah i had all that going weddings to try to cover up all the insolvency which they claimed was a liquidity issue it wasn't insolvency these banks are good businesses they just need a huge multi-trillion dollar bailout to tide them over the next week in a dog isn't solvent i've been saying that for years stocks trading at a new all time lows they try to merge with with commerce bank which they said is not big enough that the deutsche bank probably as a derivatives book that's insolvent that's bigger than the entire euro economy they have what they have to m

the capital level of the bank, the profitability of the bank, the strategy of the bank, and the prospects of the bank, and i feel comfortable where we are. we can't fight the tape. when the tape is as strong as it is i think the question for all of us is why is the market so negative on the banking industry particularly so negative on the bankruptcy across europe >> can i give an answer? because they see the levels of debt building up globally. we had tim adams from the imf in recently let me pick a number nonfinancial corporate debt has gone up from $27 trillion less ten years ago than now $72 trillion he was 92% of global gdp people worry about the underleague business >> i think the risks are very relevant and real. the issue is how it is a bank like barclay's positioned to take on those sort of risks? we've had a very conservative credit profile in our balance sheet post the referendum vote over two years ago we are comfortable to be positioned we are an intermediary it's not like in 2007 where we take those lever loan positions and leave them on the night's balance sheets they're not

of the association of german banks could have you with. what i want to get to the stateside now for that we can bring in. our financial correspondent who has a risk in europe breaks it well it's been the talk of the town what is moving markets where you are there and new york. i would say hello to you as investors curate a bank of america's and goldman sachs earnings or which blow out estimates even though we can start seeing some signs over slowdown in the cards that believe that's what deferred to the beige book said mentioning less optimism in response to increasing financial volatility rising interest rates falling energy prices and high trade and political uncertainty happen happens at a time where investors think the fed will not receive rates at all in two thousand and nineteen meanwhile u.s. markets also reacted positively to the outcome of the reason may's vote of confidence while the shutdown continues with no end in sight in this regard or bridge or on trying to put an end to a record breaking shutdown seems to increase even amo

news, the european central bank doesn't want to see deutsche bank merge with its german commerce bank according to multiple media reports they instead want them to tie up with a european rival to drive integration in the reasonable. according to reuters, sources commerce bank is thought to be too small to make a difference in deutsche's profitability. deutsche bank and commerce bank have declined to comment having a look at the share price, as we continue this morning, we are seeing a pull-back in deutsche shards this comes after a massive rally yesterday in the shares. we also saw a big bump in commerce bank in terms of that reaction, and deutsche bank, no doubt. some short covering going on yesterday in a knee jerk reaction to the news, and now this morning we're seeing some of those gains come off. i want to get out to aneta who joins us in frankfurt who has more on the deutsche story deutsche at the moment is facing record low it share price. they've also got a number of things going on internally christian, the ceo of deutsche bank, has a lot to do to get their house in order bef

the bank did give itself. i just want know, are there concrete plans for you to do it versus just saying oh, it is just a shame, we didn't get there? i mean, i want the u.s. to step up and take the role that a major shareholder ought to take. is that the position of the u.s. treasury, that we are in the cat bird seat and we ought to be providing this leadership? it is a leadership problem. >> we have 16% of the shares. we are frequently outvoted within the organization. currently, and in my testimony, i expressed frustration with the management of the world bank with regard to its china relationship, including its position on china's infrastructure projects. i would say we are not in the cat bird seat in that at times the bank won't do what we think is the right direction to go. in particular at times, the bank management will not go any direction that we think is in the interest of the institution and both its bone o donors or i shareholders and its borrowers. >> you know, the history of the world bank and no

bank.s had some issues with accounting, the market has said that this would be happening in terms of assets, but the reality is being priced sharply into the stock today. also into the bond. -- the bonds. tech stocks under pressure. and carport with some good news -- carrefour with some good news, trading up 6.43%. take a look at the volume. this is what we find ourselves with, bang on for the 30 day average. you can see the spike on the close. it will be an interesting auction this evening, especially as the market has been nosing over into the close. vonnie: a volatile day for u.s. equity markets. we will keep an eye on those earnings, pushing some stocks a lot higher, others a lot lower. and the vix is a little bit higher, trading above 21 right now. crude oil with a big bounce earlier in the day, now down 1.25%. 109the yen is weaker today, 54. and we will take a look at global macro movers to see what else is moving. i know that you mentioned the british pound, one of the main is,rs in

of a new banking giant emerging from smaller regional banks or just the threat of the digital banks,ers coming after your deposits? >> that's an interesting question because i don't think they have to worry about another trillion dollar asset bank being created because the regulators probably won't allow it. that being said, they've competed against these banks very effectively over the last 10, 20 years i don't think they're intimidated by that but you bring up an interesting point about the digitalization and the disrupters we don't fully know yet whether you're going to see some outside player come in and be a disrun fodisru disrunptor if any of these want to be a bank, you've got to get a banking license. then your valuation is going to drop down to the bank level and no tech company wants that so right now, the barrier to entry for the non-banks is bank regulation >> all right, gerard, we'll leave it there thank you very much, gerard cassidy of rbc >>> rick santelli. sliding with equities and oil. >> exactly they've been shadow boxing yeec eac other not only today but going back

stepped out this morning now the european central bank make sure the bank continues to stay operational and find the path to a solution whether it be selling the bank or liquidating it what about the best is that they worried about the situation. well this is the first time the e.c.b. does this so it's kind of an extraordinary move really and. it has investors a little concerned about shares of the bank of fallen about ninety percent in the past three months which is why the main shareholder volokh initiative to raise capital to rescue the bank now there may be room for for more negotiation and for more and for improvement of people say what you. will get back to you in a budget because there's another story of what to do about budget telecoms father lawsuit against germany's network regulatory agency the telco is protesting against the pre-conditions but the dissipating in a next generation mobile network frequency at the agency stipulated the bid is with five g. mobile frequencies most of them based in the neighborhood that allows friends to use their infrastructure all three of germa

london based banks will no longer be able to conduct operations with e.u. ones without being subject to a whole host of other regulations one reason why frankfurt has had its very own video made looking to attract those fleeing the brakes it financial fallout. nice to meet you the name is. frank. frank. of uni modern architect the video was posted online several months ago it's aimed at the family of the briggs it uprooted banker who's not so keen on moving away from a world class city like london viber nightlife the british capital is europe's finance center and home to some of the world's biggest banks but to keep doing business with the e.u. will have to be located in the block and that means more than just a shingle on a door or a mailbox at least according to european regulators. it means moving personnel and capital about forty banks have already received a license and you city. a few of them went to dublin some to luxembourg and others to paris but the vast majority around three quarters to frankfurt starting to actually believe you. look at the seri

legal accountability you can't sue the world bank in a court of law even if the world bank is responsiblefor grabbing your land and destroying your home there's also very difficult to hold corporations legally accountable that need to be. what we need is more of the mentality of the pharma rather than the investor. the idea of foreign investors coming in a foreign land clearing people also. probably isn't the best at developing model. you know yes it may produce higher amounts of food but i think if you look at the their countries which is achieve more sustainable growth based equitable gross they've been disputed based on small scale farmers. the huge. that come here the big companies taking hundreds of thousands of head down and the effect is that local people are displaced and their entire culture is to stood all together i'd much rather see a more cautious approach. on a more human scale. the company looks on the bus she will expand their i think there will expand. decent young to be a new clear day and it would be used for the comp expansion tomorrow we'll expand everything you. know

then deutsche bank. this is a company beset by problems. when you look at this specific issue, what are we talking out with penalties for a bank like this, if they are found to be on the wrong side here? >> the federal reserve has extreme he broad powers with the institutions it regulates. typically, if it finds wrongdoing, it would start with an order to fix the problem. that could also come with major penalties, sanctions of individuals, it is uncertain right now where that will go. but the fed also, as it has shown, on one previous occasion, has an extreme power to limit, as it did in the scandals of wells fargo, to limit a bank's u.s. growth. shery: thank you so much, jesse hamilton. here in washington, d.c. we have breaking news right now, we are hearing that michael cohen is postponing his congressional testimony, citing threats from president trump and rudy giuliani. attorneying, cohen's says that he is delaying the betimony and that coehn will delaying the testimony citing threats from president

digital banking is very inexpensive for banks and loved by customers i think bank of america has theest digital interface i think that it is showing i earlier said the bank of america reminds me of amazon but makes money. >> it was clever. >> i like that >> back to goldman we knew the credit markets were essentially closed in the fourth quarter, certainly in december net revenues and fixed income currency 18% lower than the fourth quarter reflecting significantly lower net revenues and credit. at this point, and, by the way, with jpmorgan yesterday, and citi the day before, the market does seem to be willing to overlook what was not the greatest capital markets quarter. equities were okay, by the way. >> jpmorgan was down from 118. you know, it is not like these companies -- we have seen the banks near their stocks almost -- always near the highs when we come into earnings this time, jpmorgan was at 92. i think people are saying it is going to be the big retest and then we listened to -- bank of america comp score will be great. i think goldman will surprise us by saying, listen, you

better bank?es competition in germany. they have large class overhangs and both banks are probably bringing them capital. the best scenario would be it won't be allowed for a foreign bank to come in and do it. very unlikely. francine: let me show you my chart. thank you to hillary clark. this basically shows that commerzbank is more valuable than deutsche bank. are there any mergers in europe of big banks that have worked? patrick: good question. i can't answer on the top of my head. to the banking union in the eurozone would facilitate a lot of these. it looks like there is no impetus to get that done. there's a lot of overhangs for the banks, that we don't own any deutsche bank shares in french banks right now. at six-sevening times earnings. if you multiply all those by 1.5, i still view that as fair value. i like the middle ground where they are a little bit better, but still incredibly cheap. tom: i am doing math. here is what you need to know. the combined revenues,: $39 it $39 billion. i ha

of new york of the 12 banks are private banks.they are not public entities. and again, that is why but started by saying that we need to put pressure in strip away. the charter exists until con chris excites it no longer does. it is to easily strip the powers away. it is easy, doable and i think we should do it. to face it differently, i work in private banks all my life. before joining the fed. everyone of those private banks, of course they had issues but the level of competency in the commitment to setting up their actual legal and compliance programs at work in the understanding that it is important for customers and for the system that they work, was trustee to all these banks. it was absent of the federal reserve. please don't leave this room thinking that there is any shred of hope that they get it they just don't. and i think the book makes it very clear. whether they had better not, the antidote is the first to make the point. a few months dasha could've been maybe much as much of the year but i think it was less. there i

dollars rolled reserve currency including swift which is this bank to bank transfer you know a ledger that's kept amongst the big banks of the world and by cutting iran off you have forced the country to adapt and to adopt and to come up with some new ideas and to make new alliances which is net detrimental. all to the dollar as rolled reserve currency and you know the thing about kites is that they fly against the wind you know that's how things rise that's what evolution is the arc of progress is against difficulty so you give iran the difficulty like this and they will rise above it you put sanctions on russia and their g.d.p. now is ready to eclipse the united kingdom ok so you have to be careful who you're fighting with because if unless you can absolutely beat them year opening up possible losses so what she worries about is not iran like she says their economy is small and that's not the point the point is the experience and the success and the learning process that will happen to europe and they can then apply it towards china the biggest economy in the world purchase power in

banks are positioned.ams, we are in an environment where rates are rising. that will probably slow down if you listen to the doves on the fed. on the other hand, the inversion of the yield curve makes it difficult for banks to cash in on that net interest margin of power they should be able to, right? allison: keep in mind the yield curve is something that worked into the margin over time. for the important thing banks has been rates rising from unsustainably low levels. now that the rate has come up, to have pricing power. if you look back to previous times in our country, the banks were able to protect their net interest margins through pricing power and because of where short-term interest rates are. the fact that rates of come up is helpful to the bank. what is important for the story is credit remains very solid. loan growth remains healthy. it has been a disappointment over the past year. we saw decent results out of the bank so far. that is one thing will be looking for bank of america. it is loan g

david: let's talk about the world bank. dr.: there is going to be no way to buffer yourself from 2 billion people living in africa by 2050 who will have aspirations that are every bit as high as europeans, as americans, so we have no choice but to make this system work for everybody. ♪ david: let's talk about the world bank. dr. kim: right. so, we have 189 member countries. and we were founded, actually, before the end of world war ii. they wanted to stabilize currency exchange rates after the war, but they also wanted an organization that would help rebuild europe. then of course the marshall plan came soon after that, and we expanded. david: where does it actually get its money? where does the money come from? how much money do you have? dr. kim: we have a total portfolio of almost $400 billion. that means loans, equity investments we have right now. and so the great innovation of the world bank was that countries gave us capital. so there is paid in capital. we have a very, very good credit rating, so we, our credit rating i

the city of london's believing banking industry with the breaks a deal voted down the association of german banks says it's getting ready to know a deal departure also on the program turkey's currency crisis hits importers of long established foreign labels will they manage to weather the storm. this is your business update on her in a home frame but in tragic could join me well with the prospect of britain leaving the e.u. with no deal during evan nira more and more european banks are announcing their plans to move jobs out of london and to other financial centers even if briggs it hasn't happened yet it's having a very real impact in the walls of banking and once a person has officially left the e.u. london based francs will no longer be able to conduct operations with e.u. ones without being subject to a whole host of other regulations one reason why frankfurt has had its very own video made looking to attract those fleeing the brakes it financial fallout. nice to meet you the name is. frank. frank. could of uni modern architect the video was posted online several months ago it's

so you are seeing more mobile banking, more online banking.everyone banks that way, do they? there are a lot of people like my parents, for example, who still go into their local branch because that is what they are used to and they don't want to do it another way. surely it is not fair to do it another way. surely it is notfairon to do it another way. surely it is not fair on them. i think the issue here is that the banks themselves are ina here is that the banks themselves are in a very difficult position. you are absolutely right that there is evidence to say that actually the footfall in branches are still quite high. now, the material that is coming out of santander suggest they are seeing a 25% reduction in the number of people who are going through their branches. this is a very difficult and very fraught issue for banks, and it has been an issue for banks, and it has been an issue for, you know, a long time. it does help to understand a little bit about some of the pressures that the banking is under, particularly from new technology,

clearly when you see the banking system and then you deal with banks. when you see the mortgage market, you do something -- or you try to do something to down payments. so you can do it bit by bit. but what we learned in the crisis is that there are systemic aspects, while nothing is awful but interaction is not so good. and then i'm struck by what you presented or what we used. which are these financial condition indices. there are 20th century stuff. kind of linear combinations of stuff with not much justification. these now larger amount of work based on machine learning in which we get all of our information and try to see what is a combination which actually tells you danger. so the first question is, is there anything like this going on at the fed? how do we integrate this enormous amount of information into some sense of, well, things are no so the good. >> so i think -- i sort of share your sense that machine learning approaches could be very valuable in the space incorporating data that really have not yet been well incorporated into forecastin

legal accountability you can't see that the world bank in a court of law even if the world bank is responsible for grabbing your land and destroying your home it's also very difficult to hold corporations legally accountable that need to be. what we need is more of the mentality of the pharma rather than the investor. the idea of foreign investors comedian in foreign lands clearing people also. probably isn't the best at development model. you know yes it may produce higher amounts of food but i think if you look at the their countries which if it's cheap more sustainable broad based equitable growth they spend disputed that based on small scale farmers. the huge state come here big companies taking hundreds of thousands of head down and the effect is to local people displaced and their entire coach is. all together i'd much rather see a more cautious approach and from being on a more human scale. the company expand to help us to win expand their eyes i mean there will expand outside. the east young to be. the be clear danger would be used for the comp expansion to morrow we'll expand everythi

china's central bank has injected around $38 billion of liquidity into the banking system. this, as the world's second-largest economy faces a slowdown amid a trade war with the u.s. chinese officials are said to be buying as much as 7 million tons of u.s. wheat depending on progress in trade talks. larry kudlow says a deal hinges on china acting fairly. >> we are saying to them, if you play by the rules, whether they are structural rules or rriff rules, ifa you open up your economy and that americans come in, we will have a huge flood of export sales across the board. debra: and for more on how the trade war could be impacting businesses around the world, we speak to the ceo of adidas. don't miss that conversation, live, from the world economic forum in davos. the u.s. economics forum continues into its 33rd day. it is not clear if any measure can pass. tomorrow, lawmakers will vote on president trump's plan. it includes funding for a border wall as well as a democratic proposal. global news, 24 hours a day, on air and at tictoc on twitter, powered by more than 2700 journa

here was thatay bank earnings were very uneven from bank to bank.n is taking a victory lap on a q4 doing better. jon: take stock of 2018. the earnings were great. the stock performance list so -- less so. a lot of people sitting here solid,yes, earnings were i want to know what 2019 will bring, what 2020 will bring. what the possible downturn may look like. tom: it's been measured as well, the idea of a downturn. jon: what has become clear, we have this real fear that maybe it was 2016, a real profound growth fear. simon kennedy stopping by to join us. do you get that sense that maybe things aren't as bad? if it that is the lesson, is a lesson or misguided advice, they are not quite sure how we get from where we are now, amazing employment data in the recession, what that path is. whenever you get a bit of a slowdown somewhere, everyone begins shouting "recession" in the theater. a decade ago, 11 years ago, the ofe crowd was shouting impending crisis. jon: it is the policy response and the capacity that some of these countries have to deliver a poli

while in peru, you lead a protest against the world bank., you said the world bank should be shut down. dr. kim: yes. david: do you have any regrets about that? dr. kim: i just want everyone here to know that i am glad we lost that argument, and we did. [laughter] dr. kim: at that time what we were arguing is that the group was too focused on gdp growth, and that the kind of investments it was making was not focused enough on things like health and education. and this was an argument that was going on in development economics. david: you were an expert initially on tuberculosis. dr. kim: i had been working on drug-resistant tuberculosis. i have done a lot of work trying to get the global health community to change its perspective on it. and then when i went to the world health organization, it was the same thing. i mean, there were comedy overwhelming consensus, like 99.9% of all the hiv physicians in the world were saying, impossible to treat hiv in developing companies. there were 25 million people in africa who were living with hiv. and t

axel: the banks that will be disrupted are the banks which have been their business model a core modeltinguishing. many banks like ours focused on one business area -- i wouldn't say niche, because we are the largest player in the world in wealth management -- where content matters, and content will matter even more in the future. the client experience will change through technology. clients are getting more educated about financial markets through technology, they are more risk-sensitive and they have different interactions with the banks through technology. banks that will assimilate that into their business model will continue to provide content and be industry leaders. francine: do you think ubs can serve as a blueprint? axel: not necessarily because i would not want everyone to move into wealth management, and nobody has the core strength in the home market that we have. it is a small home market, but it is a very lucrative market. also, because of the small size of our home market, we were a very early force at swiss banks, to be international. and at the moment, i think that hel

as the central bank does its own monetary policy positions, obviously, they should do what central bankse danger of populism is extremely high in europe and in ukraine as a part of europe. we have extremely irresponsible politicians who can make just promises. in addition to that, we have a russian influence on the election, when pressure use the democratic instrument to make influence on democratic countries. him jonathan: are you worried about that happening this year? >> definitely we try to undertake the necessary effort to minimize or to stop this russian influence. and do you know what is the best solution? count on the responsible voting of the people, the same way the europeans demonstrating in 2016 and 2017, when everyone said -- in france and germany that him populists will win. him keep our fingers crossed this has not happened in many european countries. this is not happening in ukraine. this is not happening in the election of the european him parliament. >> everybody is aware, even here in davos, that capitalism now is no longer delivering what people expect. people expect