barclays is bid. they reported full-year avenue. the institution shareholder onside and happy and making those options not everybody has in the bank. a little bit sweeter. this is bloomberg. ♪ manus: welcome back. the european market open. this is angle of approach all speaking in parliament in the bundestag. she says the world is not she says thehe -- world is not waiting for the you and germany. the world needs european answers to fundamental questions. this is before the e.u. summit on friday. we need a new start for europe. she is the lady with the purse strings for europe. the u.k. heads towards the exit. there is a moderate-sized h ole in the e.u. budget. this is the lady that will make your pay and cut costs to get there. she says we must take advantage of europe's economic growth, which is the strongest and 10 years, it has to be said, with the euro trading just below 125. messages from merkel for europe. ahead of the summit this friday. stock stories to watch, and anne-marie martin is with us. a full suite. where do you wan

barclays has reported earnings. jes staley joins us now, barclays ceo.ve you on the program, as always. i know you want to tell me how well the business has done in your view. but also update me on what has been happening since january. more volatility in the market may have added opportunity for you? we: very quickly, on 17, closed with profit before tax up 10%, which we are comfortable with. the big news was week ended restructuring of the bank. no more assets we are looking to sell, no more businesses we are looking to close. we begin 2018 with a clean operating model, the first time in five years for barclays. also, we closed 17 with a very strong capital position, 13.3%, above our target and the first time we have done that in a long time. what that is going to enable 18 we plan for a dividend of 6.5 pence for our shareholders, more than double what we paid in 2016 and 2017, so we feel good about that. the markets are right. the first part of january and february, volatility came back, as some of us thought it might, and that is good for the markets

some may remember that barclays was charged injune of remember that barclays was charged in june of lastas the holding company. this time it is the bank itself. that's right. the holding company was charged last summer. holding company was charged last summer. along with four executives. including sirjohn vardy, the former chief executive. there are a number of charges that were made on that occasion, particularly in relation to the holding company, the specific charge of unlawful financial assistance is the one that is being put in addition against barclays bank, the actual banking operation. there is the possibility of very large fines. barclays has been trying to defend itself. thanks very much. alibaba's entertainment arm has signed a deal with walt disney to show thousands of its animations on its china streaming service. the deal comes after disney shut down its own streaming service in 2016. monica miller is in singapore with more on this. monica? the chinese are about to get theirfill monica? the chinese are about to get their fill of monica? the chinese are about to get theirfil

barclay's ceo on the record. jeff staley talking earnings and the overall markets. >>> plus unstoppable amazon. the stock soaring to an all-time high we'll get an analyst's take on this latest leg higher it's thursday, february 22, 2018 "worldwide exchange" begins now. ♪ >>> good morning a warm welcome t

that the loan was used either directly or indirectly to buy shares in barclays and it says that that amounts to unlawful financial assistance the same charges are made against the banks holding company last year for former senior executives have also been charged with fraud the bank says it intends to defend itself against the charges earlier we spoke to robert rhodes who is a barrister specializing in business crime and fraud he described why barclays had to take such action and how it may affect the bank's future. ten years ago our financial system almost went under the british government had to invest over one trillion pounds into banks including something like forty five billion pounds into r.p.'s and the taxpayers salut over twenty billion pounds barker's saloon of the big banks managed to avoid going to the government for assistance and it had its own fund raising methods in two thousand and eight it raised twelve billion pounds most of it through katter and little is generally in october two thousand and eight barclays lent catarrh holdings it's a three billion dollars billion

billions of pounds worth of shares were bought and barclays was a paid cattle holdings three hundred thirty two million pounds for advisory services what the government is saying is or there's a first say look this was unlawful financial assistance because this money was went round in a circle simply to prop up its share price which is illegal so how bad could this be for barclays could they lose their license or was isn't really that fighting. if convicted barclays bank would be at risk of its problems with this licenses wherever it operates out the world for example in america but given that this was ten years ago has been several changes of management since and many banks have been convicted in the states of three serious offenses and they haven't lost their licenses i'd be astonished if barclays had that sort of problem and what about the investors in barclays or ordinary customers should they be actors about this whole business or is it something that's already because of what you describe as a change of management it's unlikely to affect the future of our work is unlikely to af

cleanin 2018 with a operating in the first time in five years for barclays.losed with a very strong capital position at 13.3%, above our target for the first time. it is the first time we've done that a long time. with that enables us to do is the announcement we had this morning that in 2018 we plan for /10, so we feel.5 good about that. first parts of january and february, volatility came back as some of us thought it might. that is good for the market, but it is way too early to really give any indication. thatter: in terms of market business then, what are your expectations? is that a challenge? is that going to be a stretch? guest: i don't think so. we generated return equity of 5.10%, so about 150 basis points to go. really50 of that are advantages we will have an refinancing liabilities of the bank. we have a lot of expensive liabilities that are rolling off. higher yield interest rates in both the u.s. and u.k., and i will plan to that number. there's improvement on the tax basis for us. over 600 billion pounds in 2017 that will not be there in 2019.

so, if barclays was found guilty, it could lose that crucial licence.f positive money, which campaigns for change within the banking system. it was ten years ago but it is a symptom of how dysfunctional our banking system was then and, from our perspective as an organisation set up after the crash, how dysfunctional it still is. ten years ago we saw barclays doing a dodgy deal with qatar to raise £11.8 billion to avoid a government bailout so it wouldn't be in the same category as banks like rbs, but it was in serious financial trouble and it had to opt for what could amount to criminal charges for its operations. the public at the time, not only did we see too—big—to—fail banking, which we still have, but too—big—to—jail bankers. in other business news... alibaba's entertainment arm has signed a deal with walt disney to show thousands of its animations on its china streaming service. the deal comes after disney shut down its own streaming service in 2016 but neither side has disclosed how much the deal has cost. up to $5.5 billion of criminal money in

serious ford office has charged barclay's bank with providing unlawful financial assistance to qatar investors during the banking crisis a decade ago in two thousand and eight to avoid a bailout from the u.k. government barclays borrowed more than sixteen billion dollars from qatari backers and other investors under the deal barclays loan three billion dollars back to cats our holdings well the british government says the loan was used either directly or indirectly to buy shares in barclays it says this amounts to unlawful financial assistance with the same charges are made against the bank's holding company last june and four former senior executives have also been charged with fraud the bank says it intends to defend itself against the charges for robert rhodes the barrister specializing in business crime and fraud he explained why barclays took this action ten years ago our financial system almost went under the british government had to invest over one trillion pounds into banks including something like forty five billion pounds into r.p.'s and the taxpayers salut over twenty bil

deal barclays loaned three billion dollars back to cattle holdings the s.f.o. says that the loan was used either directly or indirectly to buy shares in barclays it says this amounts to unlawful financial assistance the same charges were made against the bank's holding company last june for former senior executives have also been charged with fraud the bank says it intends to defend itself against the charges robert rhodes is a barrister specializing in business crime and fraud voters about why barclays had to take such action and how it could impact the bank's future and that of its shareholders. ten years ago our financial system almost went under the british government had to invest over one trillion pounds into banks including something like forty five billion pounds into r.b.s. and the taxpayers salut over twenty billion pounds back is the learn of the big banks managed to avoid going to the government for assistance and it had its own fund raising methods in two thousand and eight it raised twelve billion pounds most of it through katter and little is gen

barclay's ceo on the record. jeff staley talking earnings and the overall markets. >>> plus unstoppable amazon. the stock soaring to an all-time high we'll get an analyst's take on this latest leg higher it's thursday, february 22, 2018 "worldwide exchange" begins now. ♪ >>> good morning a warm welcome to "worldwide exchange" on cnbc. i'm wilfred frost live from london this morning. let's get straight to the global market picture futures are pointing lower off the back of some declines elsewhere in the world we are down around 100 points or so on the dow. improving a bit. down about 80 points the s&p down 5 points. the nasdaq down about 30 points. a big intraday turnaround yesterday. a 450 point swing on the dow initially markets liked the fed minutes and then they decided to focus on the word further being added to the line of further policying tighteni inin ining ly as we come in to today, down 1% for the week as a whole for the dow and s&p. all 11 sectors were lower yesterday and a lower week to date as well d

barclays has reported a 10% rise in annual pre—tax profit to $4.9 billion.y a reduction in costs over the year and the rise in the value of the dollar and euro against the pound. todayis today is one of those very busy days as so many companies have come out with the latest results and announcement. among them, anglo—american with profits doubling, no surprise there. it's a similar story with commodity prices going up. heathrow reporting results, a fall in profits, and reve nu es we re results, a fall in profits, and revenues were something like $2.9 billion up, by 3% but pre—tax profit was down. the number of customers going through the airport group to 78 million. that is a lot of people. if you go to heathrow, you know about that. the fourth quarter earnings out in four —— full swing today. markets have fallen in asia, following similar moves in the us, after the federal reserve gave an upbeat view of the economy, fuelling fears of more interest rate rises. first, let's go to our asia business hub in singapore where leisha sa ntorelli is following the sto

>> yes barclays is particularly well placed the difference is in the ratings with the bank like barclays, you're at much lower ratings than hsbc. rbs not quite so much. but much more to gain from those banks from that steepening, particularly in barclays >> looking ahead to tomorrow when lloyds reports, how much exposure do they have to the uk? is that potential danger for them >> i think for lloyds it is. it is profitable books, but as that unwinds it's more exposed to the challenger banks, and others taking part in the business it's also much more exposed to mortgages and consumer credit. and i think there may be more pressure on the uk, and i think lloyds has more to lose than other banks. >> we'll leave it there. colin mclean from svm asset management for more on hsbc's rut results,a online to cnbc.com >>> deutsche bank reportedly plans to cut up to 500 investment banking and trading jobs ahead of its bonus payouts. the bank has been under pressure to cut costs as it works through a five-year turnaround plan. some high profile bankers in new york and london are on the list of cuts. >

barclays up 0.1% as well.g after complaints about a scene in the much—loved classic. during one part of the story peter and his friends throw blackberries at a boy, who is allergic to the fruit, even shooting one into his mouth, until he is forced to use an epipen to treat his reaction. it has prompted a furious backlash and calls for it to be withdrawn from cinemas. allergy uk says the film, due to be released in the uk next month, "mocks" allergy sufferers and trivialises a life threatening condition. we can speak now to carla jones, chief executive of allergy uk, and the writer liz fraser, a mum of four, who doesn't agree with the criticisms aimed at the film. she's in our cambridge studio. good morning to both of you. why do you not agree with the criticism?” have not seen the clip or the context in which it is running, so they may have some sort of resolution, but basing it on what you have just said and what we have heard this morning, for me this is pa rt heard this morning, for me this is part and parc

vonnie: that was the barclays ceo earlier today. 10 year treasury will hit 3% of -- will hit 3%? we are determining whether the three decade bond bull market will continue. if it really all about the 3%? there is positioning around the 3% level. 2.95% we hit yesterday. that is the level to watch. the psychological 3% is what is going to be focused on next. when it comes to fixed income, having run numbers means a lot. two-year.25% on a auction earlier this week, which had a buzz on twitter. we have been waiting for that for years. we are seeing some other crucial levels passing 3%, around the high marks from 2011. what are the parts when you look -- puts when you look at the open interest on the two-year yield? >> we are probably headed to 3% next. at the close yesterday, it would likely might get there in the asian session, that we bounced back. once we get to 3%, it is an open question where we go from there. what would it take for someone to say the 30 year bond bull market is over? brian: it depends on how you define it. heard p

let‘s touch of the barclays story.ite the legal case against it. out this week — inflation data in the uk and also the us — market watchers say those will be key to future movements. can we see the american markets? no, but they are doing better as well. there we are, as if by magic! recovering some of the losses they saw last week and that is what the pound is doing for you against the dollar. on that note, with the american markets, we will leave it there. you're right. quit well you are behind! laughter —— whilst you are behind. that‘s it from your afternoon live team for today — next, the bbc news at five. let‘s catch up with the weather with chris. a lot of sunshine out and about but lurking on the satellite picture this area of cloud to our west, it will be bringing a mixture of rain and some heavy snow for summer us of rain and some heavy snow for summer us overnight tonight. more on that in a second. firstly, the evening forecast. england, wales, scotland, largely clear skies but the wind is picking up in north

stephen: barclays was charged by the u.k.ge with a $3 billion loan a gave in the financial crisis. they were charged with fraud. what happened today is the operating company has been charged with all lawful financial assistance. we have a less serious charge, but at the operating level, that is where barclays holds its licenses to conduct business. the banking license could be threatened. nejra: is that the biggest implication here? stephen: we don't know how likely it is to happen. no british bank has ever been accused and found guilty of fraud before. regard test case in that . it would be an extreme step for authorities to take away the license. this is more bad noise coming from barclays at a time that it doesn't need it. .or results are out next week measure.nother strong they just released the regulatory investigation for trying to unmask a whistleblower last year. they have a lot going on on the legal front. more settlements in the u.s. as well. stephen morris, thank you so much for updating us on the latest news. u.k.

there has been a big provision barclays had to make for getting out of their africa operation. sighs of relief all round for that i suppose, but they still have to worry about what will happen to them in the united states in relation to the investigation into the selling of mortgage—backed securities, then there is the stuff we have been talking about on the bbc biz live twig about the way they have treated some of their small business customers. a varied picture from the banks. as for the miners of the world, more promising for them? a more consistent picture, not to say there are not some issues there. we have had metal prices rising dramatically over the last two years and, surprise surprise, so have profits of mining companies and their share prices, just to take some striking examples in the case of anglo—american the share price has increased sixfold over that last period, glencore is up by something like four fold from early 2016, so inevitably they have been making profit as prices have risen but also doing a lot by way of selling off assets that have not been performin

banks of the beginning of the year that barclays did not have -- at the beginning of the year that barclays did not have. we will see moves away from plain vanilla yellow -- lending and more high risk trading. that seems to make the hairs on the back of my neck stand up as we oversee investing. we will see how that goes. david: should we get nervous that the banks will get overextended? like the scars from 2008 have not faded. of human nature, because of how things are cyclical, there will be a point when banks kerley extended and make all the same mistakes again. that will permanently be a part of the landscape. by and large, it feels like we are still in this -- when is the next crisis? there are variations on that. my guess is that it will be a while. alix: a great article says that is fine, but there are still problems with it comes to barclays, like target profits. david: they're still having litigation problems. they have not gotten that behind them, yet. alix: thank you so much, peggy collins and joe weisenthal. coming up, kristina hooper, invesco chief global market strategist. this

barclays says the u.k.' is to charge it over a $3 billion fundraising during the financial crisis. and heineken forecasted margins will grow by less than targeted as the world's second-largest brewer integrates its brazilian business. good morning, welcome to "bloomberg markets." i'm matt miller in berlin alongside guy johnson in london. guy? guy: matt, markets open in 30 minutes. we are seeing a bid in the market that feeds through from what we saw, both in asia and the backend of the session in the united states friday. most sectors are trading in positive territory. basic resources are leaving higher, insurance, health care, auto-parts, construction. a reasonably eclectic mix. indicated,ave already keep an eye on the bond market. that will be a useful clue as to the way the rest of the week will be trading. we are seeing yields pushing higher. let's get the first word news update with sebastian salek. sebastian: the u.s. is ready to engage in nuclear talks with north korea. the comments signal a shift in

where does his barclays fit in?rovement in the investment bank and get returns above 10%, the bare minimum that an investment bank is expected to own in today's environment. tom: i don't mean to interrupt, but new york is gaga over the fortress dimon that will be built. every floor will have 14 bloomberg terminals. i love that. what will barclays be like when that building is done in 2024? stephen: barclays is doing the opposite, shrinking its real across londonnt and squeezing employees into the tower on canary wharf. that will be less glamorous than jamie dimon's. it will be smaller and more focused. it will probably still have an investment bank, but will not be competing with the jp morgan and the rest of the big players on wall street anymore. thank you, so much. our blackbird banking reporter in london. we will be back with kallum yu.ering and geoffrey you log onto tv and the message tom and i threw the theen -- and i through screen and will put those questions to kallum and g eoffrey, this is bloomberg.

the barclays ceo sees better things on the horizon.he british lender put fourth-quarter trading revenue marketsys the bank's business is doing better than it did a year ago. that is your business flash. update. julia: let's go to the white house press briefing. >> harry truman said this. the economic report is an opportunity for self-criticism. a challenge to the president and congress to determine the causes of whatever promise we face and to find the solutions of those problems. that's what we endeavor to do with this report document yesterday -- that came out yesterday. i encourage you all to read it. the economic report has eight chapters. the first chapter is an economic thatok where we project our policies will create a 3% growth rate going forward for the next 10 years. to trillion dollars higher -- does go trillion dollars higher -- $2 trillion higher. trade withlobal innovative policies for america's health. how our go into policies will affect growth -- we can get to 3% growth with our policies. we're supposed to come up with

it says "brooklyn burger cheeseburger." >> both: "barclays signature prime beef." >> that's not barclaysture beef. >> it's ours. >> did you see that before? >> no. >> but see, these are the details that matter. we're spending $180,000 a year. as i walk around the stadium, i don't even see $18,000 worth of value. i see the batchagaloop burger. >> it's made with a brooklyn burger-- >> so they have a burger in here that's not called the brooklyn burger? that's a problem, right? the sports contracts that we have don't justify any sort of investment. i've made the decision to terminate all of the sports contracts, and save over $400,000 a year. we're gonna focus on selling these burgers in grocery stores around the country. look, i'm as enamored as you are by the glitz and the glam and the logos and all the fun stuff that goes with it. but at the end of the day, it's a business decision, right? >> correct. >> so it just doesn't-- although nice, the economics just don't work. >> and who gave you the p.o.? okay, let me check with frank and i'll get back to you. okay, bye. frank? >> yeah? >> you

it is a story not just the barclays involved in some ways.her it is loa n big one—off items, whether it is loan repayments, conduct and litigation charges for things like ppi, they have been costing these banks billions, i figure ppi, they have been costing these banks billions, ifigure was ppi, they have been costing these banks billions, i figure was about £6 billion in totalfor barclays in the year just £6 billion in totalfor barclays in the yearjust gone, about 25 billion in total in the last five years. if they can keep their nose clean, keep down and cut down on the loan repayments underlying there is a widely profitable bank looking to get out. the question is can they keep those costs down, particularly on the legal side? despite that £127 million hit on the collapse of carillion, i think of the five lenders barclays was the least exposed, so we will see more of the ramifications as more banks bring out their results. but looking at ba rclays out their results. but looking at barclays specifically, it is the top prize on the footsie t

the serious fraud office is to prosecute barclays bank over a loan of more than £2 billion it gave tol crisis. investigators claim the money was used to buy shares in the bank, which amounts to unlawful financial assistance. barclays' parent company was charged with the same offence last year and both firms will contest the allegations. from tomorrow british tourists will be able to resume package holidays to tunisia for the first time since a terror attack claimed the lives of 38 people at a beach resort in 2015. the first fully—booked flights from manchester and birmingham will be operated by thomas cook. 0ur security correspondent frank gardner has just returned from tunisia with this exclusive report. tunis by night, and a national guard unit prepares to raid a suspected terrorist hideout. since two devastating attacks in 2015, this country has found to stamp out terrorism and make tunisia safe for tourists. well, they've just gone into a house here. we can hear some shouts. we're in a tiny little backstreet, and they're looking for members of an isis cell that has been in libya,

operate in a highly efficient and world class environment for the twenty first century meanwhile barclays the british bank headquartered in cannery wharf in london is cutting back and streamlining operations after a two thousand and seventeen significant earnings lost just reported barclays lost two hundred sixty seven million dollars last year in part due to the us tax law hit the losses despite a two percent increase in deposit barclay has been shedding its interest in africa and has recently taken other streamlining efforts in internal restructuring efforts according to c.e.o. jeff staley who said in a statement two thousand and eighteen will be the first year in five years that this bank begins with a clean operating model. and sticking in the u.k. a spokesperson for british prime minister to resign may has said that britain will be able to sign trade deals with other european union countries during the brics a transition period but leaders continue to contend and say that such trade deals with e.u. members must be agreed to by all of the twenty eight member nations making any such tr

barclays on wednesday. rbs on friday. for more, let's bring in stephen morris. you can't banks reporting this week. are there any themes that we can draw? stephen: one of the major themes we have seen the last few years is just how long and has taken the u.k. banks to restructure themselves and really get themselves on sound footing and a position to grow again. we are seeing that at lloyds, which is preparing to unveil a new strategy. it will be interesting to see what they have to say. unfortunately if you work there, it will probably involve more job cuts. onlly we are focusing barclays later on this week, which faces a lot of the same questions that steve just talked about over there and fran in frankfurt. does that cut costs? does it abandoned the investment banking strategy? does a double down and gamble on be in the last man standing in europe? yielding revenue down the line. the question is whether investors will have patience for dnother backorders -- ba quarter of earnings at berkeley. -- barclays. nejra: hsbc the first of the four to report. is it lik

40% left about barclays services the holding company its 29% less. and assorted. this will be a story we won't be talking about in a couple of years' time, hopefully because it will have been fixed. and sent headlines of 4000 job cuts and profits down and yet the share prices rise, why do investors have confidence in them. markets look forward , confidence in them. markets look forward, not back. shares in centrica have been awful in the last two years. it is a reflection of what has gone on and the company. they've been backed into a corner, forced to make huge cuts to the business to survive. this is what they have come outwith business to survive. this is what they have come out with today and they have come out with today and the market is saying, at least that isa the market is saying, at least that is a credible plan for this business to survive. unfortunately for any utility business, they are in a difficult position, it is politically not acceptable for them to make the returns they need, not out yet but centrica are making a good effort to g

barclays says it will defend itself.ity firm and a dutch pension fund are making a bid for akzonobel's specialty chemicals unit. the ft says the fund would be a minority: investor alongside apollo global management. the unit could be valued at more than $12 billion. a new deal will ensure that heir press -- airbus keeps producing its a380. the deal has a list value of $16 billion. last month airbus said the program could be terminated if there wasn't a new sale soon. that is your bloomberg business flash. tom: thanks so much. with the zeitgeist over the weekend of all the distractions of the white house, there was no other topic in american economics. that is the budget deficits of the united states of america. it is good to get a view from a distance with francine lacqua. erik nielsen of unicredit group, i would love your thoughts on the chronic nature of deficits. is america becoming like europe in that we are getting chronic in our fiscal irresponsibility? erik: far from it. you past us a long time ago, tom. the ameri

economy and barclays?> the outlook is constructive when you consider we are getting a double dose of fiscal stimulus and the tax-cut package coming in year end and the bipartisan budget act of 2018. it will gradually bring in a lot more fiscal spending. billion ining $70 additional spending this year and up to $180 billion next year. that bodes well for the growth outlook. i would agree that the issue will be when the fed thinks about moving from three hikes to four hikes. march is due soon but later in the year you could get the message. shery: we will see financial conditions tightening as the effects of the tax cuts fade away as we go into next year. how much of a risk is there of a hard landing for the u.s. economy? ,> i think the risk is growing you are putting a tremendous amount of fiscal stimulus in flight when the unemployment rate at 4% and the fed is starting to normalize policy and financial markets are reacting in a way that financial conditions are starting to tighten. bringing in $2 trillion

will hobbs joining us from barclays.nse of whether there are the cash balances to do that. you are running what, 10%? between 5-10%. this is a chart that shows, and the blue line shows by the depth mentions in mainstream news feeds. they are at a record. main street wants to buy the dip. is main street about to get sucked in to a difficult story here? will: good question. the problem is, still, and this is a discussion we have had many times. what do you do with your money? do you put it in cash? return, your best chance of inflation lie? probably not. still, that is the thing people are looking at. once the dust has settled have it the making people are -- has settled. the wanting market people are saying, is it a market problem? is it fit for purpose? even if it is not out of control, it's still approaching 2%. you have to be that 2% number. guy: maybe they have already done it. u.s. markets are so strong and so high. will: they are. i agree. but i think we can contest is that they are fixed. debate ise valuation trade

. >> barclays has said the serious fraud office has brought charges against its barclays bank operating case linked to a 2008 fundraising at the peak of the financial crisis. we thought barclays had faced charges on this. explain the second leg we are seeing here. >> in june, the serious fraud office in the u.k. charge the holding company and four of its top executives, including the former ceo, so what has come up now is that the operating company here is being charged as well. all banks receive their operating licenses based off the operating units, so that is why people really care about what is happening to the operating company here. >> on to the fight, comcast mulling another bid after its initial offer was turned down for a deal with disney. >> if comcast wants to come back him a they will be a credible bidder. i think rupert murdoch and 20th -- 21st century fox people prefer the disney deal. one, they believe it has less regulatory risks than a comcast deal. comcast is not the most well loved company in washington, d.c. i think rupert murdoch prefers to own disney shares. he and

the barclays note, and i give credit to that guy, and i called him today is this, barclays thinks there's5 billion, michelle, tied into these strategies, and if we need to meet the liquidity demands, barclays thinks we need to sell $225 billion more worth of equities that's the power and pain of leverage >> the memo you just read waw from this morning. >> two memos the second part was from today the first part was from december 22nd of 2014 where they're like, hey, we're getting worried about these strategies and by the way, it only got bigger in the 2 1/2, 3 years since then >> it's important to note that this xiv strategy is not the only way you can short volatility the other etf we mentioned, not the only way hedge funds are shorting volatility in other ways >> cash equity >> so that $3 billion exposure we have seen in those two securities is not emblematic of that entire trade. it's much, much larger that's really important to pay attention to >> clearly, the knxiv is the inverse of the vix, isn't it >> it is >> they turn it around >> not the roman numeral xiv >> a lot of traders goin

pretty tough chic the traditional british afternoon tea but he dressed up it's sort of daily at the barclay a five star london hotel for around sixty euros a head to his sweet treats are inspired by top designer brands. in. fashion and food things they have a lot in common first is the visual thing if you look at the dress it looks beautiful the flowing everything the colors are bright so then you put the dress on and you get the feel of the dress and it feels really right and this is for me like it's pretty much like when you the desert is out that you get that feeling in your mouth that. this passion runs in the family he learned the skills from his father who was a pastry chef in canada. more like he had has been working at the barclays since two thousand and seven a luxury hotel in knightsbridge and a stone's throw from sloane street which is lined with the designer shops that inspire him. the shape for me and the callers is the first thing that i look into a shoe like you know what if it's you know it's got a details on it and it's the shape is slightly different from here. it will sho

. >> the first to do that was barclays. that report pursuant to british law shows women at barclays earned 26% less than men and received bonuses that are 60% lower. i know some of those reasons toht have reasons as position but it goes towards the idea of equitable distribution of benefits of the economy. are you familiar with a rule proposed by the equal employment opportunity commission in 2016 that was supposed to go into effect in march that would have required similar reporting by american companies over 100 employees, on the basis of race and ethnicity? chairman powell: knows her. >> the term administration stopped it. it was proposed in 2016. companies were given two years to work their way in. last august the trump administration said no. we dealt want to know how you pay women, how you pay people of racial groups or ethnicity groups. i personally think that is her renders. i would say again, if you are interested in an economy that there is some degree of equitable and the community need statistics and numbers. nu

we'll get the barclays of the financial crisis. the barclays results later, keep an eye on those. the bank of england yesterday signalling there could be an end to the altar are cheap mortgages we have got used to, interest rates at record lows at the moment, the governor of the bank of england suggesting there could be four rises over the course of the year, the first one we think could be in about may. did he actually is a four be in about may. did he actually is afouror be in about may. did he actually is a four or hint? he said something more than three. —— did he actually said four. more than many expected. what the bank is careful about is raising them too quickly, if interest rates go up that means it is more expensive to borrow, especially mortgages, so we're just coming out that squeeze, if you're paying more for your mortgage you might feel the squeeze. it's worth pointing out, mortgage rate rises can make things difficult for households but even if there were fourin households but even if there were four in the space of

when it comes to buying stocks, it is america's second for barclays. replaced america.any, the ceo of georgia force says the exchange has its sights set on a quarter of the cleared market next year. he has a strategy of learning business away from london. >> i believe the markets are oblique. we can live with different euro clearance. we can deal with different approaches here. frankly, the markets will sort this out finally. kailey: that is your bloomberg business flash. alix: three things that wall street is buzzing about this morning. first, unknown investments. a stain pension plan for florida teachers held more than 40,000 shares of the firearms company used in the weapons used in last week's attack. hsbc's new ceo exploring all options for their unit. and finally, let them drink tap. 25 years at the everglades foundation. joining us now is jason kelly. you have to know what you own at the end of the day. this is a store that dug into of state pension plan florida teachers, and it turns out they hold a lot of guns talks. jason: this is some great reporting from our

the serious fraud office is to prosecute barclays bank over a loan of more than £2 billion it gave toar during the financial crisis. investigators claim the money was used to buy shares in the bank, which amounts to unlawful financial assistance. barclays' parent company was charged with the same offence last year and both firms will contest the allegations. in south africa, leaders of the governing anc party are meeting to decide the fate of president jacob zuma. mr zuma has been resisting calls to stand down, but over the weekend the party's new leader cyril ramaphosa said the question of his position would be finalised today. 0ur africa editor fergal keane is in johannseburg. we've been here quite a few times in the last few weeks but is there any sign ofa the last few weeks but is there any sign of a final decision as to president zuma's fate? not yet but there will be. i wish i could tell you when. they've been talking for over six hours. that's not unusual with the anc and especially the national executive committee, which has 90 members and everyone is entitled to their say. th

barclays bank has revealed one off costs prompted it to lose 1.9bn pounds last year.barclays was a key lender. but when these one—off factors are stripped out, the bank's underlying profits actually rose to £3.5 billion, up 10%. passenger numbers are up and expansion must be prepared for take off — that's the announcement from europes biggest airport this morning as heathrow posted full year figures. the number of customers passing through the airport grew 3.1% to 78 million. and chief executivejohn holland—kaye told the government to "crack on" with heathrow expansion calling for a vote in parliament before the summer. centrica, which owns british gas, is cutting 4,000 jobs, after what its chief executive called a "weak" end to 2017. iain conn said plans for a price cap was one reason for the job losses, just over half of which will be in the uk. the energy supplier, which also operates in north america and ireland, said group profits fell 17% to £1.25 billion. british gas lost 750,000 domestic customers in 2017. that a fall of about 9%, the company now has just unde

barclays bank has been fined by the serious fraud office in relation to a £2.2 billion loan, providedhe bank has been accused of unlawful financial assistance, which is banned in the uk. its parent company barclays was charged with the same a government report suggests politicians and industry leaders have exaggerated the potential of fracking for gas in the uk. the industry said a fracking boom would see 4,000 wells drilled by 2032. but a newly—released document predicts fewer than 200 wells will be constructed in the next seven years. british tourists will be able to resume package holidays to tunisia from tomorrow for the first time since a terror attack claimed the lives of 38 people at a beach resort in 2015. the first fully booked flights from manchester and birmingham will be operated by thomas cook. 0ur security correspondent frank gardner has just returned from tunisia, with this exclusive report. tunis by night, and a national guard unit prepares to raid a suspected terrorist hideout. since two devastating attacks in 2015, this country has found —— vowed to stamp out terrori

carol: former barclays chief bob diamond is taking on a risky bet.: an opportunity for small business lending in italy. here's our reporter, elisa martinuzzi from the line. >> this is with barclays, investment banking powerhouse. he has been tiptoeing another business areas. he tried to replicate banking but didn't quite go according to plan. it's the turn of italy and southern europe. he seeing the opportunity to fund a business that has been the backbone of italian economy, which is bank lending to small-medium-sized companies. >> when you think about italy, you think about the struggles of the banking sector. set the scene force us: is this situation improving here for nonperforming loans in italy? >> i think what's interesting is the timing. for the last couple of years, the focus has been on that banks have built up. they've all been focusing on purchasing some of these bad debts, prices in the hope of being able to sell those and the assets behind them for profit. now, suddenly, as the economy starts to turn, investors are seeing the opportunit