labour have asked co nsulta nts bank of england? tants to look into a series of issues, not just do consultants to look into a series of issues, notjust do with the bank of england, and one suggestion they are considering is moving some functions of the bank of england to birmingham six and thinking about whether or not the governor should be based in birmingham. labourare also not the governor should be based in birmingham. labour are also talking about creating two new institutions, the national investment bank and the strategic investment bank and those might be birmingham. a separate financial hub in britain's second city and as someone who is hopelessly part of the london bubble, when i go to places like birmingham six for party conferences, it always strikes me that they have these really big financial centres in our major cities, it is notjust in london. we have centres cities, it is notjust in london. we have ce ntres a cross cities, it is notjust in london. we have centres across the country and i like the idea of decentrali

king: so it looked as if there was a propaganda campaign going on. ♪ for the governor of the bank of englandrvyn king. francine: in 2013, mervyn king stepped down as governor of the bank of england. after a decade at the helm, he helped steer the economy out of a financial storm, but he did not stop sounding warnings that the world faced a new crisis unless there was reform in the financial sector. where do you think the next crisis lies? lord king: i would guess, if i had to, it would be in the area of higher amounts of debt, because the amount of debt in the world today is larger than it was years ago. i think the risk is that there will be some defaults around the world, which will not look coordinated or related, but actually they will have knock-on effects and lead other people to default. and i think once that happens, you may find that the banking system once again looks maybe overleveraged or undercapitalized because the losses that they will take as a result of these defaults will eat up some of the equity capital that they have on their balance sheet at present. and i think that is

will the bank of england in no it as a temporary factor? ng when you get one little thing, it moves into all other areas of the market, oil prices going up, who benefits and who loses? do not give us the a nswer to and who loses? do not give us the answer to those questions, you will come back and talk about that later on. thank you. david will be back, including less, we will speak to one of the brains behind self driving cars. about the brains in self driving cars, we're going to be talking about how ai and how it's making the driverless cars a reality. you're with business live from bbc news. so we have been talking about the sillyjumper season. so we have been talking about the silly jumper season. in case so we have been talking about the sillyjumper season. in case you hadn't noticed christmas is around the corner and prices are going up. the british public are well into the swing of festive shopping. joining us now is fraser mckevitt, head of retail and consumer insight at ka ntar world panel. you can us through the latest figures whe

the bank of england can only control so much of that. what is the bank of england supposed to do? drew: i think the u.k. economy is quite sensitive to the exchange rate, and the exchange rate is sensitive to what the bank of england does on interest rates. across the atlantic where you are, interest rates have been rising. in the lastisen month and the u.k., but they have only just got to where they were before 2016 in the last seven years. we are getting this gradual normalization of monetary policy, and that has been bad for the pound alongside brexit. i think moore could have been done before the brexit vote to signal they were prepared to raise interest rates just as in the u.s. we are suffering from brexit and the lack of response from the mpc which has pushed up inflation. vonnie: if you are mark carney or someone on the board now, what do you do? we are about to embark on the trade negotiation part of brexit talks, and who knows how that is all going to end up or whether that will take longer than the 10 months allotted to it? what do you do as a central bank with that dynam

what does the bank of england do about that? the bank of england do about that? may be some time before the next rate increase happens. at the same time, they can't afford to ignore inflation the concern is that in time it could go higher if we see domestic factors feeding through. the bank of england at that point would have two step in to increase interest rates. so you don't think another interest rate rise for a few months? no. we think the economy will be soft enough next year that inflation will fall over the course of the next 12 months and the course of the next 12 months and the bank of england can afford to keep rates unchanged probably through 2018. kate, what would you like to see happen with interest rates ? like to see happen with interest rates? to think they need to be cut again auditing any developed? buoyancy in the marketplace makes customers feel like they can spend more. the consumer is much more savvy. they understand this is a case of choosing alternatives, finding the best price for their family. we know that families have decided they wan

and bank of england. joining us is john rate, head of u.k. rate strategy.r chance to disagree with the bloomberg story, u.k. guilds rally as cracks appear. you can agree or disagree? john: the signs are all is not harmonious as perhaps the cole pigs tigses would make it appear -- perhaps the politicians would make it appear we reached an agreement. but in the space of 72 hours there are conflicting stories about what's been agreed and how set in stone it is and what sort of wiggle room there may be and both sides are not in accord on that and safe haven demands said guilt lower as as result. mark: how does it play in the bank of england, marcus said no rate hike next year. you agree? john: we do. mark: and it's predicated on a soft brexit, the b.o.e. forecast. john: they talk of early agreement and smooth transition. yes, it is progress. we wouldn't want to pretend that it isn't. if you look at the consensus for growth forecast, the bank of england, the currency, most people's views of predicated on how brexit goes next year for obvious reasons and we're on

banking system been so close to collapse. francine: mervyn king was at the epicenter of the biggest exercise in crisis management in modern financial history. he was in charge of the bank of englandn 2007, when the credit crunch struck, responding by pumping billions of pounds into the economy. joining me on "leaders with lacqua," former bank of england governor, economist and author mervyn king. lord king, thank you so much for speaking to bloomberg tv. it is always a great pleasure. what lessons have we learned from the financial crisis? lord king: i hope we learned the lesson that this was a lot bigger than just a financial crisis. it represented a serious problem in the world economy. not sure that everyone sees it that way, but i think that is the most important lesson. i think secondly we learned we need to worry not just about the amount of equity capital banks issue, we need to limit the leverage, but we also need to tackle the problem that banks are inherently unstable. and if people lose confidence in them, they take their money out, or they do not roll over their lending, and we need a mechanism for dealing with that. francine: did we see early signs of it, or were we

for the bank of england? the bank of england, i think everything. are the bank of england, you are looking out two or three years, beyond march 2019. you are going to be concerned what happens to the trade agreements with the 67 countries the e.u. has traded agreements with, which the u.k. might not, or has to roll those over after 2019. what happens to business investment? what are the terms of the transition? what happens to employment over the next 12 months? all of these things will be of interest to the bank of england. from my point of view, i was surprised that in september they went so aggressively towards hiking rates in november. i could not see how the uncertainty for them was resolved, and the inflation they are facing is temporary. as i have said, for the next two or three years and beyond, they face considerable uncertainty about the outlook. for thee have shorthand different types of agreement that could be hashed out. canada plus plus, the e.u. minus minus, various other different shorthands. with any of those result in a very differ

a mark carney twitter feed started, who's the governor of the bank of england, and i must admit, for ht, my goodness, the governor of the bank of england is going to start tweeting. that was the only time i thought to myself, check yourself, kamal! is that really believable? and i think when you're thinking about fake news, that is probably the first thing to do. is what you're seeing really believable? and as soon as you've checked, is mark carney going to be on twitter anywhere else, everyone was saying, well, of course, the governor of the bank of england couldn't do that. so i think it's thinking about the source of the story, does it look believable, is it being reported anywhere else? and i suppose the responsibility is on us as the bbc to help people navigate this new world of news that they live in. well, let's talk about that, because people might say, why does the bbc feel it needs to do anything about this? we do have the role. the bbc‘s mission is to educate, inform and entertain. and i think, as i say, it's a responsibility on the bbc to look at helping people navigate th

the bank of england will announce their policy decisions today. trying to a nation with a chinese raising interest rates to quote their economy. the shanghai composite on the court of a percent of the japan's nikkei falling more than a quarter of a percent. lauren: t-mobile to announce its launching his pay-tv service. "fbn:am" starts right now. true to either 1:00 a.m. in year. thursday december 14th. i'm cheryl casone. lauren: good morning. cheryl casone. breaking news coming out of moscow. taking out the reelection campaign of the press conference right now. getting russian media were opportunity to ask him some questions between us were there no political opponents in russia, putin went on to talk about economic improvements made despite a drop in oil prices and of course u.s. sanctions. lauren: pruden adding he will run as an independent candidate in march when there is an election. he hopes to gain support from other political parties in the process. let's listen in. by the way, last year this lasted for about four hours ago listening to but

we have the bank of england on hold. no shock there. data we have seen, retail cells were not that bad. have the unemployment numbers. what does all of this due to the bank of england from your perspective, 2018? on hold in perpetuity, on hold until 2019? where are we? steven: i heard what you just said regarding brexit, and if i added all up, and that includes looking at the data and making productions for 2018, i get the sentence they are looking for air cover to increase rates, for whatever reason. in the last you months, there has been an inflation rationale, because there has been some upside surprise. there has been discussions about the financial stability side, worrying about asset prices and leverage. now you have got the brexit breakthrough, if you want to call it that. is pointing in the right direction to continue the modest increases in rates. i think the idea that interest rates go up is not going to be a surprise to anyone. they want to keep that in the forwards. itself,tightening in because if the bank of england points t

beautiful christmas rhyme. >>> it's the december decision for central banks with the fed, ecb and bank of england all making their final moves of the year the fed raised interest rates for the third time this year and indicated more hikes are coming in 2018. brexit threatens to overshadow the bank of england as mark carney is seen holding steady aftd first hike in a decade last month. the ecb looks set to stick to its gradual easing path when we hear from mario draghi at 14:30 cet. >>> janet yellen said that soft inflation readings should we begin to strengthen. >> we continue to believe this year's surprising softness in inflation primarily reflects transitory developments that are largely unrelated to broader economic conditions. as a result, we still expect inflation will move up and stabilize around 2% over the next couple of years nonetheless, as i've noted previously, our understanding of the forces driving inflation is not perfect. >> the chief executive for goldman sachs asset management joins us on the show it's not often we introduce our guests with a rhyme. consider yourself lucky. >>

in the way that our enthusiasm, the market had read priced the ability of the bank of england to do anothere hike. perhaps the market has misunderstood the raising of the rate and the propensity to raise more. thisave we misinterpreted carney push? i think the reaction that the bank of england was putting a floor under the pound, that's a bit of a stretch. when it comes to the pound, we need internal and external balances. too often economists focus on external balances. the pound has an internal dynamic to play. the bank of england is adding to inflation pressures. we just don't know. brexit holds the key. .hey need to do something just a gentle tightening to keep the curve steep. manus: thanks ray much -- anna: thanks ray much. can find a bloomberg radio for more. manus: coming up, could thanuries be more exciting bitcoin next year? we will break down the call. soon the euro group will have a new president. we speak to the portuguese finance members -- minister. this is bloomberg. ♪ ♪ manus: it's 6:18 here in london. it's 2:18 in the afternoon in singapore. beensci in asia has really vola

it seems in normal times that the bank of england should be thinking about raising rates again. and limited, and the market expects just to raise height in the next three years. by historical standards, that is extreme the flat. it just goes to standards, that is extreme the flat. itjust goes to show that for now, the bank of england is only holding period, waiting to see some of that uncertainty about the future deal with brexit, but also waiting to get more evidence about some of the... what what is your view about inflation? that is the point. i think the question here is, is it going to go much further down from here. if indeed, 3.1% was big. these expectations that it won‘t, although it is not driven by domestic demand pressures , it is not driven by domestic demand pressures, measures from the wages, in the labour market, it is driven by things outside the bank of england‘s control, the exchange rate, the fall in the pound, said the referendum last year. the volatility in the markets, and the investments is the difficulty... that means that the future inflation will very m

the bank of england thinks it hasn't believed that next year it will fall to around 2.5% by this timethe main reason is what is producing most of this inflation is befallen the value of the pound after the referendum, meaning that food and fuel that we import from abroad is more expensive, and that is being pushed through to consumers. that effect tends to run out of the system quite quickly, the currency effect, but there are some big upward pressures — the oil price going up, global growth being very strong, which tends to be inflationary, so it will be the play—off between those two pressures to see if the bank of england is correct and inflation will fall next year. meanwhile, warnings from an influential american think tank about the impact that brexit could have on the uk economy? absolutely. a lot of our coverage is in the umbrella of the brexit negotiations. brand corporation, a big insignificant american think tank, pa rt insignificant american think tank, part funded by the american government, has come up with a report saying that almost any other trading relationships we h

one of the most interesting ones is the bank of england. kathleen, thank you so much. lurry of central bank positions. this leads us into the next year. lots of data to consider. does this all play out when it comes to the markets? haidi lun is in sydney. heidi, i am looking at the jobs. 300,000 full-time jobs have been created in 2017. you moved there in january, so i have to thank you as well, right? haidi: keep in mind that this is one of the most unpredictable indicators coming from australia. it can be pretty wild, but it is up to the upside. we did see a huge jump in the aussie dollar. to be fair, it had been boosted by a number of factors, including consumer sentiment. the dollar hits the five-week high. sustained u.s. dollar weakness. we had it snap that long winning on the count of what was seen as a dovish hike from the federal reserve. in terms of some of the other movers, it is a pretty lackluster section. let us bring up the function in terms of movements on the bloomberg. what you see perhaps surprisingly is not the goldilocks reaction, but we did get one

in terms of the ecb and the bank of england, draghi laid out the game plan. ill be little news of this meeting. the bank of england, no decision but we will see if there is any dissent. jonathan: do you just assumed the news conference is the same but with jay how will there instead of janet yellen? oksana: i think because everyone assumes that is going to be the case, right? that powell will be a continuation of yellen. i think that it happened very quickly, or she will step down as soon as he is approved. very likely he will be at the january meeting. he may be viewed as a dove and a continuation of yellen, but he is very outspoken on deregulation. second have some ramifications for the market that are not necessarily being priced in right now. jonathan: yellen 2.0 for different this time? colin: i think it is 2.0. some decisions could be different. the fact powell came in and was very similar in conversation with respect to how yellen spoke to the markets, no change or shift with the expectation that has been sent out that they would like to raise rates thr

the bank of england certainly believes next year the rate of growth in prices will start to come downat? the currency effect, the falling value of the pound since the referendum pushes through the economy quite quickly so by next year the effects of that on prices will start dissipating. also as andy spoke about, there are some upward pressures on inflation — the oil price, there's a lot of cold weather around at the moment so demand is going up, and also global growth. we are in an era now in europe, asia and america when growth is pretty quick and that means demand goes up and that can push up inflation. but the bank of england certainly believes as the currency effect comes out of the economy, that means the growth rate of inflation will come down and actually it does suggest interest rate rises are still a long way off. thank you. police say a mother and her three—year—old girl are fighting for their lives in hospital following a suspected arson attack on a home in worsley, manchester, in which three children died. three people remain in custody, held on suspicion of murder. danny

mark: on inflation as it seems to be our topic of the day, the bank of england has a different probleminflation yesterday showing a year on year again a 3.1%. giving real wages as we saw today are still negative, what sort of position does that put the bank of england in the coming months and years? richard: on bloomberg several months ago, i used the term that the bank of england felt their policy was being hijacked by brexit and it put them in a tough spot. get the adverse effect of the depreciation of the pound on inflation, what economists call stagflation. .t creates tough choices they decided to hike in november and take away some of the easing . we do not think that carney and company are in any rush to hike rates a lot, but we could get a rate hike out of the bank of england next year. vonnie: what about the bank of japan? does it target a steeper curve, and when? richard: they had problems when they did their version of qe so they pivoted to yield curve control, trying to cap yield on the 10 year bond. esther kuroda has indicated -- mr. kuroda has indicated they may need to re

the bank of england is quite dovish, on inflation and price rises, thinks the worst of the rises are the bank predicted that inflation would hit 3.2%. it may do in december, but there is already some evidence that that inflation pressure is reducing. a couple of points on the other side, the oil—price, very cold weather we are having, is increasing slightly, pushing up the cost of fuel, and global growth, lots of parts of the world, the eurozone, america, asia, seemed very strong growth, that tends to push up inflation because we demand more steel to build things, more concrete, more commodities. could be upward pressure. the bank thinks, overall, next year inflation will be lower. pa rt next year inflation will be lower. part of the issue at the moment is the fall in the value of the pound, as you have indicated, due to the brexit vote. there have been warnings from an influential us think tank about the impact of brexit, what it could mean for the british economy. a lot of the economic discussion is under the umbrella of the brexit issue, a big issue not just umbrella of the brexit

i think where the fed and the bank of england are, that is a little bit of a tougher , especially theat lower potential growth. that is not a pleasant situation to manage. nejra: has janet yellen made the job easy for jerome powell? julia: absolutely. she has managed to the committee extremely well. she has put in the framework for managing the committee, a strategy they have all agreed upon. and keepke the reins that strategy rolling. that gradual, patient, data-dependent strategy. nejra: julia coronado stays with us. for more bloomberg stories, check out the latest issue of "bloomberg businessweek." out on newsstands friday. this is bloomberg. ♪ cannot live without it. so if you can't live without it... why aren't you using this guy? it makes your wifi awesomely fast. no... still nope. now we're talking! it gets you wifi here, here, and here. it even lets you take a time out. no! no! yes! yes, indeed. amazing speed, coverage and control. all with an xfi gateway. find your awesome, and change the way you wifi. >> everybody on wall street has wanted to ask for four years since this is

i understand that the bank of england today will say we're co mforta ble bank of england today will saytable with the current situation. those branches which can remain branches without having to sub sidrise. so it will be seen as an act of goodwill to those european operators there. also in london's interest, you don't want to boot out a bank that has 9,000 people all paying a lot of tax. self interest, but hopefully some positive mood music towards what is sometimes a fractious conversation about the future of banking in the eurozone. thank you very much. that was simon jack our business editor. it will be fascinating to see what happens to the bank stocks in europe as a result. asian stocks have had a mixed session — waiting on us legislators to rubber stamp the tax—cut package. the idea is that the money released into the real economy would help to accelerate economic growth. whether that'll happen or not remains to be seen. but regardless, we've seen global equity gauges move to historic highs. over in europe, markets have opened. the food retailers are in focus after britain's com

germany and france both down 0.5% ecb meeting is due we also have a bank of england meeting due. ftse 100 is down a quarter of a percent it's the out-performer of the major european markets week to date oil markets, pretty much flat today. 56.5 for wti the dollar board was interesting yesterday. it slid throughout the session, and throughout janet yellen's news conference. ending down 0.7% today it's a mixed picture the pound flat against the u.s. dollar, which just lost some ground it was higher earlier. we have the dollar/yen seeing the dollar higher and higher against the euro but not much movement compared to yesterday gold prices for you, sitting at 1 1257 this morning. up 0.7%. bitcoin was flat earlier still in and around that 17, 120 mark. >>> lawmakers in the house and senate say they reached a deal on tax reform. let's get to ylan mui with the details. >>> they do have a deal. they plan to unveil it to the public on friday multiple sources are telling me that the top rate for corporations will be 21%, and i'm also hearing that it will take effect in 2018. in addition to t

the interest rate setters here at the bank of england know that inflation is now above target, but thatl be an interest rate rise any time soon. the confident prediction is that inflation will come down next year and in the city, they're betting the next interest rate rise won't come until the summer of next year. the bank of england is navigating a pretty tricky course as it tries to work out how the economy is going to fare through the brexit process. so it's being ultra—cautious and, for that reason, it's unlikely that they'll make another rate move so soon after the november one. so nothing until a bit further into 2018 and probably one rate rise in 2018, and one in 2019. the hope is that down the line the inflationary effect of the weaker pound and higher oil prices will fade and that inflation is now hitting its peak. if your wages buy less than they did last christmas, though, that's no more than a crumb of comfort. andy verity, bbc news. police say a mother and her three year old girl are fighting for their lives in hospital — following what police are calling a targeted attack

the pound traded little changed, after the bank of england kept of the rates unchanged and reiterateduture hikes would be limited and gradual. they voted to keep the key rates at 45%, as predicted in a bloomberg survey. it has been a busy day for central bankers. mexico raised its benchmark rate for the first time since june. it was a split decision that signaled more inflation is ahead. policymakers in turkey raised one of their key rates, but by less than expected. they vowed to keep policy tight end tell the inflation outlook improved. indonesia had eight cut since the start of last year is sufficient for now. the philippines cap rates at a record low of 3%. u.k. prime minister theresa may is in brussels with the other e.u. leaders for a summit that is to focus on brexit. the meeting is likely to agree there had been sufficient progress to move on to future relations and trade. chancellor merkel there are still questions to be answered. other leaders say it is time for may to explain how she sees's the u.k. new relationship -- how she sees the u.k.'s new relationship with the europ

we do have the uk inflation data coming up in about a half hour and the bank of england meeting coming up on thursday. clues on whether or not the brexit development also s will something to watch there the xetra dax is down 0.2% cac down 0.4 ftse mib struggling a bit. let's take a deeper dive into individual sectors technology, one of the leaders of the past couple of days following on from gains from the u.s. session oil and gas posting a very strong session today, while the uk north seas main pipeline will be shut for the next couple of weeks which has helped boost oil and gas prices in trading. and the underperformers, travel and leisure down 0.75% retail struggling. lots of interesting news coming out of the retail sector this morning. one of the main things we want to talk about is those shares which are trading sharply lower in unibail-rodamco they will be buying westfield for 24$24.7 billion. >> we have been offered compelling price for securities of westfield corporation so it's appropriate to accept that we feel confident that the underlying price that is through cash, a comb

when you look at it in terms of q4 projections that were published by the bank of england, there are om where they should be. it may come in higher than expected if you assume we get some modest tickle in the december print. a lot of what pushed hard today was still induced by sterling's depreciation which is changing. as we sit here, the pound is the second best performing g10 currency. that is to start to be reflected in import prices. today, the biggest increase since 2013. that is not going to last. that retracement of the currency -induced inflation should reduce -- should result in inflation. tom: are these bankers managing social policy, labor, unemployment? is chair yellen would say "slack" in the economy? is the pendulum swung too much away from monetary work? so.k: i don't think i still think that is their focus but the big conundrum is what is happening in labor markets. all the major developed economies across the world, the fact that wages are not picking up. i think there's a number of different reasons behind that. very few of them are being result through central banke

the theme of the day for some of the world, central banks, this is the european central bank and the bank of englandeave their benchmark rates unchanged. the ecb underlining ample stimulus is still needed to reach inflation targets. in the u.s. politics, the tax plan roughly more feathers -- roughly more feathers -- russell -- will marco rubio joined together to build the bill. thathe massive merger could shape the media landscape for decades. disney is buying assets worth of $52 billion from fox. the reaction from london and los angeles. it is time to get to the markets. we are 30 minutes into the trading session. abigail doolittle is here. abigail: we are looking at a relatively bullish start. the dow is now higher for a six day in a row, putting it at another all-time high. the s&p 500 moved down fractional yesterday, so we don't have a record high yet. the nasdaq since late november, but bullish action. and a man thinks we are going to continue to gain right into the end of the year on two factors, the possibility of future and cast into the u.s. on tax reform that could come back in the form of

that is the level the bank of england is trying to keep inflation at. at will happen in february. 3.1% driven by the cost of highest since march of 2012. core inflation strips out food and energy, unchanged, 2.7%. later toorward speaking to andrew, the former bank of england policy maker, to hear what he has to say about inflation. let's talk about europe's biggest commercial landlord, for about 21 alien australian to 15.8 which equates billion u.s. dollars, an 18% premium to monday's close. biggest property acquisition since 2013. mounting the biggest takeover of a company in the asia-pacific region this year. seeking to contend with the relentless pressure and finally, shares jumping a record 35% today. ,ffering to acquire the company 4.3 billion euros in cash seeking to create a european leader in cybersecurity, digital technology and payment, 4.3 billion euros in cash seeking to create a european services, posing to pay 46 euros per share, a 36 percent premium to monday's close. the deal would be the biggest of the year between two europe in technolo

activity coming through some signs of mystic activity picking up, that's a trigger point for the bank of englandyou think the market is underpricing the ability of the bank of england to raise rates again in 2018? guest: the risks are that we get this may rate hike. if we get this transition or some of this momentum as we to at, that leaves it self speaker curve for the u.k. economy. not too steep, but the slightly steeper curve. manus: transition, where does that take me to? one,get transitioning onto we need transition details in q1 to stop traditions around this, building from paris to frankfurt, etc. where is my outset on transitioning? guest: sterling has two cyclical tradingso potentially at the lower of that 80 point range. manus: what brings me to the upside above the 1.40? is it the rate hike in may? i'm trying to get the sequencing. that is one story. the transition in the repricing would come simultaneously, taking you to 1.40. after that, we are back to focusing on the long run story, where is brexit negotiations heading? i don't think we will get massive details on this until early

>> i agree the bank of england is in a holding period at the moment. ling has been the prevailing factor over the last year and constituted the ball of inflation margin over the 2% industry.the however, it's a big question whether the bank of england can deliver more rate hikes. based on yesterday's labor figures, it looks like it will be 2020 before inflation falls below the current place of wages and growth. wages --the degree of it will not be reversed anytime soon. that is a big trade-off in terms of demand growth ahead and the uncertainty of activity that the effect of brexit brings. matt: we have a lot to get through with our guest post. this is bloomberg. morning, 3:30 p.m. in tokyo. you looking at a gorgeous shot of the palace there. whether every day is beautiful in tokyo. manus, you're not there. how is the weather your way? dubai, itdegrees in is 10:30 a.m.. paris it is 7:30 a.m. thensolicited bid to buy security software maker. it was a unanimous rebuttal by the board. citing doubts about the strategy . vallee.hillipe how open would you be t

joe: the bank of england said the u.k.'e strength to keep lending, even during a disorderly brexit. five of the seven banks have , and thee stress tests bank of england said the u.k.'s biggest banks have the strength to keep lending, even during a disorderly brexit. five of the seven banks passed the boe's latest stress test. two of them, barclays and royal bank of scotland below their systemic reference point. those two banks will not be forced to bolster their capital. >> this is the first time in the four years of the stress test that all the u.k. banks actually passed. this kind of day of jubilation was ruined by the fact the bank of england is asking banks to boost their capital buffers in anticipation of potentially disruptive, disorderly brexit as we move through negotiation periods. what really should of been a positive day for banks and their share prices looked quite negative in retrospect. >> shares of the big aussie banks are sliding today after prime minister malcolm turnbull called a wide-ranging inquiry into

i don't envy who drafts letters for mark carney at the bank of england.er] aramco has agreed to buy australia's westfield for $15.7 billion amid a consolidation of mobile operators worldwide. the offer, which is from the biggest commercial landlord. that is westfield at about an 18% premium as of yesterday's closing price. >> westfield is a premier brand and platforms that we believe fits seamlessly with what we have been doing at aramco, focusing on innovation and differentiation. so absolutely, this is a strategic transaction, creating the first global, premier retail landlord and the best cities in the world. digitalba and western has confirmed the end of this lengthy legal dispute that has threatened to derail the sale of the memory chip business. that was a deal struck with the consortium led by bank capital. this is a light at the end of the tunnel finally. >> it seems to have been western digital playing the long game. the final resolution seems to be a win for western digital, and i say that because basically western digital gets probably what the

we talk about the bank of england, the ecb, we talk a lot about the fed yesterday but we got a lot ofecisions from the switch national bank -- the swiss national bank. surprising markets and saying they were going to possibly hiked rates sooner than expected before the end of next year. what is your take on this? a global synchronized tightening the people worried about. vassili: there's a huge difference from 2017. we came into this year thinking the fed is going to hike, everything else is a snoozer. 2018 will be the year when different central banks move at their own pace. i think you have to pick your winners and losers here. , centralperspective banks in scandinavia are underpriced in terms of how hawkish they can get. lisa: do you think that the chrome is going to gain more? vassili: we are bullish on the region and swedish currencies as well going into 2018 because an overlookeds part of european growth story. the currencies that have their own central banks so they are not tied to the dovish ecb outlook. lisa: there was somewhat of a different take with the rate hike not doing

raise interest rates next week, we will get a final confirmation of that in today's job's report, bank of englande a tougher stance normalizing monetary policy. they will be watching the fed closely, no one anticipating big moves from the european central bank of bank of england quite just at this juncture. cheryl: riva, that's been so interesting, global markets have continue today really rally, you know, international investors are now investing, do you think in general that that trend continues into 2018? >> i think a lot of that will depend on what happens with tax, just how fast the fed moves and where the economic momentum remains, you could argue that if you continue to see such a strong economy in europe that people may start to think about investing here or in japan as well where stocks are cheaper but a lot depends on tax and on economic growth. cheryl: riva gold, we will see you monday. lauren: thank you for joining us this week on fbn:am and mornings with maria starts right now, hey, maria. maria: hey there, ladies, good morning, ladies, happy friday to you and good morning, everybody

of the stress test that all the u.k. banks actually passed. this kind of day of jubilation was ruined by the fact the bank of england is asking banks to boost theirticipation of potentially disruptive, disorderly brexit as we move through negotiation periods. what really should of been a positive day for banks and their share prices looked quite negative in retrospect. >> shares of the big aussie banks are sliding today after prime minister malcolm turnbull called a wide-ranging inquiry into the banking industry. the big four asterisk emission on rebuilding public trust and ending political uncertainty they say has been depressing the sector. >> there has been a drumbeat of course for this inquiry into the banking sector. we are talking about well over a year now. these have just intensified, almost as soon as the banks thought they had put certain scandals behind them. we had a few other things pop up. the opposition lawmakers were prepared to give up on this one. the banks and the prime minister decided whether pressure for the inquiry growing, it is better for him to be in control of it. if the government calls it, he gets to set the terms of

of them are tightening. this is bloomberg. ♪ shery: this is bloomberg markets. i'm shery ahn. and i'm vonnie quinn. a big day for central banks is the european central bank in the bank of englandread cautious week. draghi sayst mario today that the ecb will most definitely not meet its goals, even in 2020. and the bank of england also spanning its key interest rate as it looks to break through in there.negotiations more on the path of global monetary policy, let's bring in phil o'donnell. thank you for joining. as expected, except maybe a little bit disappointing on the inflation front, both in europe and here still. phil: they maintain their inflation rate, and still project three hikes for next year. in terms of yesterday's statement and press conference as well as the sep, it came in largely unexpected, but the markets took it dovish lee, not as hawkish as expected, especially with growth so robust. and at least sequential inflation starting to percolate. forward think the path is any different than when he assumed -- what we assumed a few days ago. shery: you mentioned strong economic growth. how justified is it that they though as dovish, even we saw yesterday retail spen

raised rates on wednesday, and china's pboc hiked today, we find out what we can expect from the bank of englanduropean central bank. and that really is concentrating minds on the financial markets in europe. opening down so far. and today is the busiest day of the year for the royal mail, with ten million parcels and millions of letters out for delivery. we're going live to a sorting office to see how the company is coping. today we want to know: on the day we expect a deal to be announced between disney and 21st century fox, are you concerned about getting less choice in movies? let us know. just use the hashtag bbcbizlive. hello and welcome to business live. we start in the us — where regulators could be about to scrap rules guaranteeing equal access to the internet — a principle known as ‘net neutrality‘. it was enshrined in law under president obama in 2015 — but under the trump administration it looks doomed following a huge battle in the business world. here‘s why. think of your internet service provider as a motorway. net neutrality means it‘s not allowed to set up ‘fast lanes‘ — giving

the bank of england governor says the number of companies pledging towe report reporting centers fromd in five months. the combined market cap of $6 trillion no support recommendations on climate change disclosure. people bloomberg they include some of the biggest names in the business. global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. i'm jessica summers. this is bloomberg. yvonne: to see how the asian markets are shaping up so far. david: we are getting more momentum across some markets. a lot of korean engineering firms catching up. four counts of 1%. we are not getting the kind of risk appetite we have got the last few months or so. here is your inflation story playing out across bond markets. india with an unexpected pop in inflation. we are looking ahead to the u.s.. the fed is also out with a decision. that is the story out across currency markets. nothing consistent with that. watch steelmakers in china when things open up a half hour from now. we are getting an eye on these contracts. wti is up after the early cut off.

we'll hear from the bank of england and european central banks tomorrow. d we'll be getting the inside track on how to feed a hungry planet. we hear from one woman who believes she has the solution to the issue of limited resources and it involves bugs. and as facebook fights backs against claims by a former boss that the site is "ripping society apart", we want to know do you agree or is facebook right to defend itself? send your comments to hashtag bbcbizlive. lots of comments from you already. so keep them coming in. is facebook ripping society apart? facebook says no. many of you disagree. we will talk about that later. the world's most powerful central bank — the us federal reserve — will today announce if it plans on raising interest rates for the world's biggest economy. any rise will be seen as an endorsement of not only the strength of the american economy, but also the global economy. this is ten years on from the financial crisis. there have been three rises since december 2016 and markets are already factoring in another rise later. us economic

this week the bank of england said only a third of secondary schools in the uk offer economics educationeconomics. some campaigners say it should it be statutory to teach it at primary school level as it is at secondary. steph mcgovern has been in a primary school in gorton today. hello. this is a centre for excellence when it comes to teaching young people about money and there isa young people about money and there is a lot of talk at the moment about whether financial education in schools should be compulsory. so let‘s find out what these guys are doing.jane, let‘s find out what these guys are doing. jane, tell us what you have been doing? we have been learning about currencies and when you go on holiday which currency to use. that‘s helpful, isn‘t it, for when you are on your holidays. gloria, what else? how to spend different things equally in supermarkets and how to spend in different supermarkets. that you're getting value for money and what else have you been learning about? credit card and scams when we go on websites to know what we are buying so it's not fake. you know loads.

the interest rate setters here at the bank of england know that inflation is now above target, but that soon. the confident prediction is that inflation will come down next year and in the city, they're betting the next interest rate rise won't come until the summer of next year. the bank of england is navigating a pretty tricky course as it tries to work out how the economy is going to fare through the brexit process. so it's being ultra—cautious and, for that reason, it's unlikely that they'll make another rate move so soon after the november one. so nothing until a bit further into 2018 and probably one rate rise in 2018, and one in 2019. the hope is that down the line the inflationary effect of the weaker pound and higher oil prices will fade and that inflation is now hitting its peak. if your wages buy less than they did last christmas, though, that's no more than a crumb of comfort. andy verity, bbc news. police say a mother and her three—year—old girl are fighting for their lives in hospital following what police are calling a "targeted attack" on a home in walkden, manchester, i

around the corner in parliament, it was the turn of the governor of the bank of england, also pushingis time in financial services, despite grumbles from the eu that such a thing had never been achieved before. i don't accept the argument that just because it has not been done in the past it cannot be done in the future. we would just walk away from progress if that were the approach we took to issues. the hunt for an agreement goes on, and firms like this gin manufacturer in london are keeping plans on ice until there is greater clarity. it clearly helps that the pound is not really strong and becoming more expensive, but it is not a major factor. until it is clear exactly what is going to happen with brexit, it is very difficult to commit to further investment here, because if the markets are difficult to access from the uk, it will be difficult to justify spending a lot more money growing the business. it is now all about that clarity — clarity on any deal with the eu, and clarity on the future of the uk economy once brexit has happened. kamal ahmed, bbc news. within the past hour,