they office for the executives at barclays bank. they decided they we re barclays bank.s is now fair and proportionate and this is roughly half what they we re and this is roughly half what they were looking at originally. the share price has gone up, it will still cost them a lot of money, but investors will be very relieved that it has come in at a lot less than before, and this is the first settle m e nt before, and this is the first settlement we have had under the new trump administration, and there was a feeling that the european banks we re a feeling that the european banks were treated more harshly than the american banks but it looks as if there has been a slight change with there has been a slight change with the new administration with donald trump. and they are pretty happy about where they have got to today. it could have been worse, but many people looking at that financial crisis and the difficulties since, they will say, this was down to the bankers, and now we are supposed to be relieved they are not getting fines as heavily as they might. that is true,

in the us political system well you know stuff to part time in south africa was the boycott of barclays bank so when you apply pressure to corporations you can affect great change and this movement generated put together mostly by teenagers and high schoolers to fight back against the n.r.a. have been shrewd in attacking corporations and saying corporations if you support the n.r.a. we are going to put a lot of pressure on you this forces corporations to disclose to shareholders they have a material risk that they must deal with and that has a snowball effect and it can be quite effective now as far as delta airlines it was happening in georgia and these parties are now in a struggle one might call a countable mystic struggle of a bunch of rats in a pit trying to survive ending up becoming basically cannibals because the corporations have run out of runway to use in airlines metaphor in which to grow their businesses without encouraging absolutely horrid policies like giving the n.r.a. a blank check to. exploit the fearfulness of our lawmakers to do battle against what is obviously a scourge

in the us political system well you know stuff to part time in south africa was the boycott of barclays bankso when you apply pressure to corporations you can affect great change and this movement generated put together mostly by teenagers and high schoolers to fight back against the n.r.a. have been shrewd in attacking corporations and saying corporations if you support the n.r.a. we are going to put a lot of pressure on you this forces corporations to disclose to shareholders they have a material risk that they must deal with and that has a snowball effect and it can be quite effective now as far as delta airlines it was happening in georgia and these parties are now in a struggle one might call a countable mystic struggle of a bunch of rats in a pit trying to survive ending up becoming basically cannibals because the corporations have run out of runway to use in airlines metaphor in which to grow their businesses without encouraging absolutely horrid policies like giving the n.r.a. a blank check to. exploit the fearfulness of our lawmakers to do battle against what is obviously a scourge

in the us political system well you know stuff to part time in south africa was the boycott of barclays bankso when you apply pressure to corporations you can affect great change and this movement generated put together mostly by teenagers and high schoolers to fight back against the n.r.a. have been shrewd in attacking corporations and saying corporations if you support the n.r.a. we are going to put a lot of pressure on you this forces corporations to disclose to shareholders they have a material risk that they must deal with and that has a stubble effect and it can be quite effective now as far as delta airlines it was happening in georgia and these parties are now in a struggle one might call a countable mystic struggle of a bunch of rats in a pit trying to survive ending up becoming basically cannibals because the corporations have run out of runway to use the airlines metaphor in which to grow their businesses without encouraging absolutely horrid policies like giving the n.r.a. a blank check to. exploit the fearfulness of our lawmakers to do battle against what is obviously a scourge

going to be expensive three hundred billion dollars to cover the united states is an estimate by barclays bank the majority of countries won't be able to afford five g. widening the global digital divide millions of people already don't have reliable access to the internet as a result and locked out of the digital economy jobs market so while this new wave of technology promises a better future it doesn't promise an equal future charlie angela for counting the cost barcelona. now let's take a step back for a second and ask who really benefits from five to one it's closely linked to the survival of the telecoms industry last week got a reported the first year on year decline in smartphone sales for the critical holiday quarter since two thousand and four the industry needs new technology to trigger a new burst of profitability and growth they want consumers like you and me and global businesses to buy equipment and mobile services and here's a word you may also hear a lot about spectrum this is how companies use the airwaves for communications spectrum is actually a a sovereign asset and govern

the us political system well you know it's tough to part time in south africa was the boycott of barclays bank so when you apply pressure to corporations you can affect great change and this movement generated put together mostly by teenagers and high schoolers to fight back against the n.r.a. have been shrewd in attacking corporations and saying corporations if you support the n.r.a. we are going to put a lot of pressure on you this forces corporations to disclose to shareholders they have a material risk that they must deal with and that has a snowball effect and it can be quite effective now as far as delta airlines it was happening in georgia and these parties are now in a struggle one might call a countable list and struggle of a bunch of rats in a pit trying to survive ending up becoming basically cannibals because the corporations have run out of runway to use in airlines metaphor in which to grow their businesses without encouraging absolutely horrid policies like giving the n.r.a. a blank check to. exploit the fearfulness of our lawmakers to do battle against what is obviously a scour

we will talk about capital markets, brexit, banking, we also have barclays chief executive, and the cohead bank and co-chief investment officer of deutsche bank. julia: i will take care of your show over the next half an hour. can't wait to watch later on. this is bloomberg. ♪ ♪ julia: this is "bloomberg surveillance." let's get to the bloomberg first word news. illinois, a billionaire has won the democratic primary for governor. huge fiscalth challenges. he will face the republican governor in november. a new study indicates that first-time homebuyers in the u.s. do not have it easy, according to u.s. real estate website truly a, starter homes are smaller and scarcer than they were a year ago. the median price for starter homes has risen in the last year and supply has fallen to a new low. for the fourth time this month, the midwestern u.s. -- the northeastern u.s. is bracing for severe storms. airlines have canceled over 3005 in school kids across the region school kidshts and across the region are getting a break. this is bloomberg. ♪ julia: breaking news. bayer has won approval for the

mark: in banking news, barclays has agreed to pay $2 billion in civil penalties to settle a u.s. igation. stephen morris is here, u.k. banking reporter for bloomberg. this paid off didn't it? n: most banks stood in line but barclays took a contrarian bet. takedecided they would say us to court because we don't think we should be paying more money than this and it is -- it has paid off. we reported they wanted to cap the penalty and that is exactly what happened. this goes in the good newsletter, doesn't it? stephen: it is good news for barclays. this is a victory for the bank strategy and its legal team. we have a different president now, different people at the department of justice and there has been speculation that they are sort of less into getting eye-catching settlements from foreign banks than they were in previous administrations. vonnie: the investigation was targeting 36 deals involving $31 billion worth of loans and half of those roughly defaulted and that is why the doj was investigating in the first place. come?ere more fines to stephen: there are. royal bank of scot

who may have been avoiding paying taxes on crypto currency profits has now opened a bank account with u.k. lender barclays the six largest global investment bank in the world the new signifies the first major relationship between a large investment bank and a crypto currency exchange banks have been reluctant to exchange in crypto currencies or the exchanges themselves on which they trade due to myriad factors including but not limited to concerns about money laundering on unregulated platforms with unregulated currencies. and now we turn to investing and focus on millennial are they different and are investment advisors doing what needs to be done for millennia lots of questions and we have just the person to answer all of our queries april ruden the founder and c.e.o. of the routing group april thank you so much for being here before we get into it let me ask you just a quick if you have a quick take on the news that larry kudlow will be taking gary cohen's job and the white house as director of the national economic council any reaction. well thanks for having me bart first of all second of all i would

there has been this perception the largestome that foreign banking organizations, like barclays, ubs, deutsche bank has been talked about already, will be released from enhanced prudential standards. i fundamentally disagree with that. i think that those views are a taxed in asnly not 2155. i am a dirt farmer, ok? i read things as they are, don't read a lot into it. you are the man on the fed. i need to know your opinion. does 2155 or higher the federal reserve to weaken any of the dodd-frank enhanced prudential for the fbl? such as deutsche bank, ubs, or barclays? not, to powell: it does my knowledge. >> can you elaborate on how those are applied to the largest fbi owes? -- fbo's? chairman powell: it looks at the global consolidated capital. now we have intermediate holding company requirements for these companies and none of them would be affected by this. they are means is that required to keep capital liquidity in the united states commensurate with their activities. they are subject to the living will and things like that. it is a range of enhanced prudential standards, the holdi

oversight of foreign merchant megabanks operating in the united states, such as bark -- barclays and deutsche bank. these three institutions which have over $150 billion in assets, will be subject to 165 of dodd-frank. that means that foreign banks will still be subject to foreign banks stress test requirements, liquidity stress testing and basel iii requirements. it subjects foreign banks u.s. operations to requirements similar to those imposed on u.s. banks. chairman paul, again, in the march senate banking committee hearing was asked about this, and he said he did not believe that this bill would exempt foreign banks from tough oversight under dodd-frank. additionally, the substitute amendment for this bill has affirmed that large foreign banks do not escape dodd-frank supervision. i think it's really important that we debate the actual merits of this bill and not the bogeyman merits, the statements that this bill will somehow lead to catastrophic downfall of our financial system. as i said, even barney frank disagrees with that evaluation of this bill. it's important that we set the record str

barclays. firmctivist investor's acquiring 5.2% of voting rights. the bank says it welcomes him. s known for targeting a number of money management firms. we are joined by stephen morris. why now? >> barclays finds itself at a crossroads in the decision about investment banking. can it create an investment bank capable of competing with wall street or will it have to shrink? it looks like this is what is prompting investments from the activists. mark: what does he want? does he want them to spin off the investment bank? >> he has not said what he wants. it is not his style to say much others who wage campaigns in the media. it remains to be seen. they said it was not going to be passive. nobody i've spoken to knows what it is. vonnie: give us the history of the brabson -- bramson character. what does he typically do? >> this is the biggest target he has taken on. it is usually mid-cap, u.k. financial institutions. with previous investments, they did nothing and made about 38%. is where activists forced their way on the board and sold off many of the assets making shareholders a hu

banking reporter. waiting to settle this case paid off her barclays, didn't it? banks pay whatever the department of justice asked. barclays was really contrarian and decided to take us to court because we don't think we should pay any more money than this and it paid off. the reported in october 2016, they wanted to cap the penalty at $2 billion. a rare gamble for a bank paid off. ♪ ♪ bigail: "bloomberg best." they met in berlin where lagarde spoke about strengthening the european union. why has european integration been so slow? >> i would not say that. in times of crisis when it was necessity they eventually moved very fast. the europe area was incomplete and needed to be strengthened. they put up a firewall. they reinforced the banking system. i think they came to close accountability, but it is still sort of what is needed. they need more trust, more accountability. i think most of the point is they need to strengthen three things. one is the capital markets. two is the banking union. three is essential capacity that will signal to the rest of the world that

who may have been avoiding paying taxes on crypto currency profits has now opened a bank account with u.k. lender barclays the six largest global investment bank in the world the new signifies the first major relationship between a large investment bank and a crypto currency exchange banks have been reluctant to exchange in crypto currencies or the exchanges themselves on which they trade due to myriad factors including but not limited to concerns about money laundering on unregulated platforms with unregulated currencies. and now we turn to investing and focus on millennial are they different and are investment advisors doing what needs to be done for millennia lots of questions and we have just the person to answer all of our queries april ruden the founder and c.e.o. of the ruden group april thank you so much for being here before we get into it let me ask you just a quick if you have a quick take on the news that larry kudlow will be taking gary cohen's job and the white house as director of the national economic council any reaction. well thanks for having me bart first of all second of all i would s

who may have been avoiding paying taxes on crypto currency profits has now opened a bank account with u.k. lender barclays the six largest global investment bank in the world the new signifies the first major relationship between a large investment bank and a crypto currency exchange banks have been reluctant to exchange in crypto currencies or the exchanges themselves on which they trade due to myriad factors including but not limited to concerns about money laundering on unregulated platforms with unregulated currencies. and now we turn to investing and focus on millennial are they different and are investment advisors doing what needs to be done for millennia lots of questions and we have just the person to answer all of our queries april ruden the founder and c.e.o. of the routing group april thank you so much for being here before we get into it let me ask you just a quick if you have a quick take on the news that larry kudlow will be taking gary cohen's job and the white house as director of the national economic council any reaction. well thanks for having me bart first of all second of all i would

chapman here in london before she went to new york, the famous female spy, she was working at barclays banklly going to die from this. would you agree with that assessment, said tony brenton? i agree with bill it is the terrorist incident. i dealt with the litvinenko affair in 2006 and there are lots of parallels. there were public safety issues because the russians used polonium that time, a radioactive poison. we took the decision that the likelihood of an early repetition was low so the threat to public safety was low. and we took the view too that in order to act effectively, to minimise the possibility of a recurrence, we needed clear evidence as possible to get that it was the russians and then we set out the policies in response. i am then we set out the policies in response. i am sure then we set out the policies in response. i am sure the authorities will take exactly the same approach this time. you look at the evidence, assemble what you hope is a clear case that it is the russians, and if it is, it is not yet proven, but highly probable, and then you have a firm basis for your o

banking reporter. so waiting to settle this case paid off of barclays, didn't it? >> that's right. ks pay whatever the department of justice asked. barclays took a really vet decided to take us to court because we don't think we should pay any more money than this and it paid off. we reported in october 2016, that they wanted to cap the penalty a $2 billion. and that is exactly what has happened. so, a rare gamble for a bank paid off. ♪ ♪ abigail: welcome back to "bloomberg best." i'm on. francine lacqua down exclusively with imf managing director christine lagarde trading met in berlin were lagarde gave a lecture on strengthening the european union. she said the euro area integration is still short of what is needed. why has european integration been so slow? lagarde: i would not say that. in terms of crisis, when it was necessity, they moved fast. the euro area was clearly incomplete and needed to be strengthened and put up firewalls. they reinforced the banking close, and they came to accountability, but it fell short of what was needed. they need more trust, or accountability, a

about libor, and they kind of fell flat until the middle of 2012 when one of the world's biggest banks, barclays -- which is based in london -- announced it had reached an agreement with u.s. and british prosecutors in which it admitted trying to manipulate libor. and they paid a very big penalty. but the more interesting thing was that the ceo of that bank had to fall on his sword and resign. and this was one of the first times since the financial crisis that we'd seen an example of an actual human being being held accountable for misconduct at his institution. and the guy in question was a pretty colorful character. he was an american, bob diamond was his name, a brash, quintessential american banker in london. and i don't know if you guys know london or the u.k. very well, but, you know, those types of people don't generally go over very well there. the british don't like the brash american bankers very much. and so bob diamond's resignation was a cause for celebration in the u.k., and it was finally the thing that got on the front pages of the american newspapers, including "the wall street

there has been a perception being floated by some that the largest foreign banking organizations, such as barclays bank has been talked about today, will be released from enhanced prudential standards under the economic package brought forward called s-2155. i fundamentally disagree with that i think it's -- those views are a myth and certainly not the text that is in s-2155 but i'm a dirt farmer, okay. i just kind of read things as they are and don't read a lot of extra stuff into it. you're the man on the fed. so i need to know your opinion does 2155 require the federal reserve to weaken any of the dodd-frank enhanced prudential standards for the fbo, such as douch ba deutsch bank, ubs, or barclays >> it does not, according to my readings of the text >> can you elaborate, briefly if possible, on how those standards are applied to the largest fbos? >> well, currently what the bill does is moves up to 250 for these institutions, but it looks at their global consolidated capital. so you know, now we have intermediate holding company requirements for these companies, and none of those will be affect

first up, banking on barclays. activist investor edward branson takes a 5% stake in the bank. push. john paulson returns capital to investors and continues to cut staff and:'s conundrum as it dominates exits point72. david: joining us now is jason kelly. let's start with this barclays investment. jason: so interesting to look at that. you mentioned edward branson here, a well-known but a secret to figure in terms of activists. we see his handiwork and this is part of a mini trend. european banks drawing interest from activists investors. we saw using activism, steve feinberg go in last year and commerzbank and european banks seem to be a little more right than their u.s. counterparts. daily -- jesjust staley is a mix of 2017. barclays seems to be getting back on the right track. branson said the stoxx could double. alix: the stock is at its highest level since april. david: does it double because jes staley is doing a good job? style, he is fairly quiet. takes a board seat, a chairmanship if he can get it. he goes on a listening tour and makes suggestions overtime. one thing he

barclays. the u.k. bank says it welcomes investors.a number of british money management firms. that is the latest bloomberg business flash. vonnie: facebook under pressure. shares are down following reports of a data breach. facebook weighing on the nasdaq too. the dow, the s&p 500, the nasdaq and the stoxx 600, also having a down day. mark: live from london, i'm mark barton. vonnie: facebook is falling off the back of another social media scandal. the data from that helped elect president trump is said to have private information from 50 million users without their consent. government officials in the u.s. and europe are demanding -- sarah frier joins us now from san francisco. how is mark zuckerberg avoided the spotlight until now? seems to have made no public comment on this. sarah: lawmakers in the past have mostly said we want to hear from whichever executives can get us closest to the answers. facebook has sent its chief legal counsel, it's policy executives, but now, this is one last straw. lawmakers in the u.s. and europe are s

there has been an exception floated by some that the largest banking organizations such as barclays will be released from the standards under the economic package brought forward. i disagree with that, but those are a myth and not the text, but i am a farmer. i just kind of read things as they are. does 2155 require the federal reserve to weekend any of the enhanced standards such as the deutsche bank or barclays? >> it is not according to my reading of text. >> can you briefly as possible show how those -- >> with the bill does is move up to 254 thes 250 for these instio look at the global console located capital so now we have requirements for these companies and what that means is they are required to keep capital and liquidity in the united states commensurate with its activities and they are also subject to the living will and things like that. it is a range of standards. the holding company we gave them. >> i'm also frustrated at the conclusions of what might happen if the holding requirements. just to clarify from your perspective, the creation of the ihs was not included, correct

it says the median gender pay gap for its uk banking operations is 29% — more than double that of barclaysn it comes to bonus payments the gap rises to 61%. shares of snapchat owner snap have fallen sharply after singer rihanna urged her fans to delete the app. she spoke out after snapchat carried an advertisement which joked about her beating by former boyfriend chris brown — who was convicted of the assault in 2009. snapchat later took the ad down saying it was "disgusting and never should have appeared on our service." let's leave you now with the markets. it has been a shaky week across the board. thank you for watching. egypt is sending a delegation of mps to the uk, to monitor investigations into the death of a female student in nottingham. mariam moustafa died three weeks after being attacked by a group of young women outside a shopping centre. jeremy ball reports. a teenager whose future looked so bright, whose family is now in morning. they'd brought her to britain for an education but she is gone. she was amazing. i feel like i have lost my other half. she was so kind. she will w

such as deutsche bank, u.b.s. or barclays? jay powell said it does not according to the text -- i would say the text of the bill. next. senator crapo, who has put together this bipartisan legislation that led the way with a lot of help from senator tester and others. senator crapo asked, this is a hearing from last july. he is asking, the woman who is the chairman of the federal reserve. i think janet yellen did a great job. senator crapo asked chairman yellen, there appears to be growing consensus that congress should consider changing the $50 billion sifi threshold ; also, changing the volcker rule, exempting certain institutions from company-run stress testing requirements and reducing the burdens on community banks and credit unions. he went on to ask her. do you agree that it would be appropriate for congress to act in each of those areas? that's what he asked her. do you agree that it would be appropriate for congress to act in each of those areas, changing the volcker rule, and reducing the burdens on the community bank

speculations are that barclays and foreign banks will not benefit from benefits to help regional lenders a reprieve from a post capital requirement. governor brown says jeff sessions is trying to get back on his bosses good side. sessions have sued california over state laws to protect the largest population of undocumented immigrants. president trump has repeatedly questioned sessions' competence. president xi jinping says proposed changes to the constitution reflect the will of the people. wonder appeals the ban on the president serving for more than two terms. that is the only barrier to him staying in office. powered by global 120ysts in more than countries, this is bloomberg. francine: mario draghi is expected to air on the side of caution. and the global economy against a potential trade war, the exit strategy is liable to stay solo. .- stay low joining us is matt miller with the latest. good morning. how many questions will mr. draghi field on the elections and on trade wars? he is certainly going to feild dozens of questions on a possible trade war and tariffs . 50re will probabl

. >> barclays has agreed to pay $2 billion in civil penalties to settle a u.s. civil investigation. stephen morris is here, u.k. bankingorter for bloomberg news. waiting to settle this case paid off for barclays, didn't it? >> most paid what the department of justice asked them. barclays took a contrarian bet -- take us to court, because we don't think we should be paying any more money on this, and it has paid off. in 2016, they wanted to cut the penalty to $2 billion, and it paid off. a rare gamble for a bank paid off. ♪ >> welcome back to "bloomberg best." bloomberg sat down with imf managing director christine lagarde. they met in berlin, where la rgarde gave a lecture on strengthening the european withg director christine union. >> why has european integration been so slow? >> i wouldn't say that. i would say in times of crisis where there is a necessity, they eventually moved very fast. the euro area was clearly incomplete and needed to be strengthened. they put up a firewall. they reinforced the banking system. i think they came to a close accountability, but it is still short of what is needed. they need more t

it looked like it was a great for barclays but when you look barclays islater, not doing great in trading despite what it got from lehman. bankught merrill lynch harbaugh that required a bailout afterwards in the u.s. government had to give bank of america to bailouts in a few months. is in good shape. they had more capital than other ne intond had not go the risky stuff, even with rockets trailing and it was under pressure it was not playing along with everyone else. and that helped. it was stronger and could weather the crisis and could incorporate them into its network and had a great yield with bearish stearns. vonnie: that was a hard-fought deal was a bit? n't it? --man: during the crisis they were getting together and sunday evening before asian markets open they had done everything. vonnie: we had the reaction before market movement. mark: and coming back to what worked and what didn't, the bank of america and merrill lynch deal didn't work out so well bid did it? a lot ofhere were losses and bank of america paid billions of dollars to buy merrill lynch. it was an industrywide problem at the time -- and that is why ban

puts the focus on deutsche bank funding, assets and a large investment banking franchise opposed to a safe deposit base. barclaysead with their investment bank and keeping faithful to that. i think that is where the heart of it is. where does deutsche bank's future lie? he hasn't got any traction. he has a very blunt manner and perhaps his faith doesn't quite fit at the moment but you could say that about the chairman. it might be between the two of them. who knows which one goes first? tom: we'll have to see. thank you so much. greatly appreciate it this morning. jeff, you standing silent on the bank of switzerland on these matters as well. n the mex hour, william butler and catherine mann will join us. what is going to come from tax cuts. we look for growthiness. it is beautiful in new york. everybody has a better bracket than i do. ♪ tom: tom keene in new york. futures up 17 two days in a row. dow futures up 144 points right now. on our desk in london, jeff and marcus are with us. christopher joining us now as he lways can on russia. global political research as well. christopher, when we're done throwing dip

if you are a bank in east africa, your composition might be people like hsbc and barclays, and you ares. what challenges do you face working in these markets? sometimes it is security and we had to put on fla k it is security and we had to put on flak jackets and helmets it is security and we had to put on flakjackets and helmets and go in people like baghdad. sometimes it is corruption and in some parts of the world that has meant we have lost a lot of work because we never pay a bribe for work so the list ofjobs we have lost is quite long! but we believe that is changing the in africa where it has been an issue, and being there as a clean option in and being there as a clean option in a long one will pay off. and the third is everywhere and that is the challenge of cultural understanding, going into these markets as a westerner and trying to understand local tastes and consumers. what about being a woman, is that a challenge? i have not found it a challenge, i put on a hijab and go to react. is that because you are a western woman? groans from crowd react. i believe things are changi

barclays ceo jeff bailey being interviewed and deutsche bank the deputy ceo is also there. making some headline saying we are making progress in the investment banking and it is focusing on returning capital to shareholders and not taking longer than they thought for the banks revamp. they are considering buybacks as well. this is bloomberg. ♪ ♪ caitlin: bayer has cleared a big hurdle for $66 billion takeover of monsanto. the european union has given its ok for the deal. one condition, bayer have to sell its seed, pesticide and agriculture to dss. annualas increased its profit forecast for the second year in a row --second quarter in a row. fedex and its rival ups are cashing in on higher demand caused by rising online buying but there challenges that deliveries to holmes are less profitable -- homes are less profitable than those two businesses. profit will be in line with 2017. bmw is ramping up all of this investment in new models and electric vehicles. that is your bloomberg business flash. ♪ kaylee: we are just moments away powell's think usa chairman. should we expect

bank. third of trading at a one. barclays forinst citigroup, it is getting annihilated. one of the big beast stories. what -- where does the tentacle of this go where -- if cryan moves on? chris: this is difficult to compete in water even more highly regulated, even more challenging markets. the expansion which cryan led in terms of improving market share of the investment bank is to be taken away, they are having to circle the wagons and protect businesses and the core strength they have got and make sure they can make those parts of the business profitable. takingrld where mifid ii it harder for investment banks to obtain the levels of trade and volumes and profitability they have seen in the past, i do not think it is surprising that a man like cryan is being put under pressure. matt: a pleasure having you in. we are not run with you yet. you can catch more from him on , bloomberg radio shortly. you can use our bloomberg plus radio app or tune into london dab radio. or radio . there is more ways to get more from chris. the european open is next. this is bloomberg.

stephen: barclays is like a number of medium-sized european banks that has not got a property strategy still trying to retain the universal banking model. at a time when investment bank revenues were affected, we would never be the same again. we got caught up with the whistleblower story. it's arguable he may be at some surge-vulnerable area. -- at some stage vulnerable. tammy change directions here? has done what ubs successfully, which is to kind of revamp barclays? probably largely downscale. i think investment -- wealth management. that is what is coming. it's inevitable. we had a great chart earlier, 9457, which shows the spread has gotten so flat and needs to change in an upward way little bito get a more vertical. if that is the case, the old value stocks could start to outperform overgrowth stocks. do you see that? stephen: i don't. the 10 year is not really responding to the movement and short-term rates. the market is short of it and has been so for some time. something like record shorts. my view on that one is they are going to get filled in by the treasury. it is so extra

barclays of find itself at a real crossroads once again, can it create an investment bank which is capable wall street this is what is prompting the investment from the access today. >> the fact that they went up to 5.2% seems to get a clear message to the market for the media at they want something changed. do you know what that is? >> i wouldn't say that. branson has been said that. we look forward to hearing his thoughts. any major organism that has a interested iny what the bank is doing, we will have to see what our shareholders think about it. we look forward to articulating our vision and seeing what shareholders have to say. ♪ >> it was another blowout from chinese tech company tencent. this time it came with a warning. that is not the whole story is it? >> no. it is not. it is the same story as mobile gaming and pc gaming revenue and profit. the problem is on the revenue and costs are starting to soar. they are paying for a lot of content. whether it is videos or music, and they are also investing heavily in new areas to challenge alibaba. they want to challenge and they are getti

barclays has agreed to pay $2 billion to settle a lawsuit brought by the us government over the sale of mortgage—backed securities. the us alleged that the bankthe quality of loans backing the securities in the runup to the financial crisis. and apple has updated its i0s, macos and tv0s operating systems to give people more information about how their personal data is collected and used. the change comes ahead of new eu data protection rules, which take effect on 23 may. apple also plans to let people download the data it has stored about them. and let's have a look now at what's trending in the business news this morning. from quartz, nine out of ten analysts think that facebook stock is still worth buying. that's despite the fact it's lost well over $90 billion in market value over the past week or so. as for the wall streetjournal. tesla recalls 123,000 model s cars over that bolt issue. it says the carmaker discovered that certain corroding bolts in cold weather climates could lead to power—steering failure. as for bloomberg, they focus on the sportswear company under armour saying 150 million myfitnesspal accounts were hacked. itjoins a

with traders from other banks to share intel and push the market up or down in whatever direction profited them and now this congress is offering to help lucinda oversight on barclays. last year, the fed caught the same game. $146 billion in assets and they could be cut loose by this bill and now congress is offering to help loosen oversight on pmb. finally, there are the banks that caught violating sanctions. the bank of tokyo has $165 billion in assets that can be covered by this bill. in 2013, the bank of tokyo mitsubishi settled with the new york department of financial services for $250 million over charges that had cleared tens of thousands of transactions. they estimated that the bank wired moreo than $100 billion to countries that were under u.s. sanctions including iran, sudan and burma. the bank specifically tried to evade sanctions by telling employees to leave destination information out of the money going to those countries so they could fool the regulators and now this congress is offering to help lucinda oversight on the bank of tokyo mitsubishi. let's pause on this one. washington thinks this bank needsve less oversight a year after it got caught fu

itself, barclays fines at a real crossroads once again and a decision about investment banking.global of competing with wall street, or will it have to shrink like it's european peers. this is what is prompting the investment from the access today. >> the fact that they want up to 5.2% seems to be giving a clear message to the market for the media at they want something changed. do you know what that is? >> i wouldn't say that. and branson has not said that. we look forward to hearing what his thoughts are. but i think in a major shareholder, whether it is capital or tiger who has a position in the size, position keenly interested in what the bank is doing, we will have to see what our shareholders think about it. we look forward to articulating our vision and seeing what shareholders have to say. ♪ >> it was another blowout from chinese tech company tencent. this time, it also came with a warning. the profit nearly doubled, but that is not the whole story is , it? >> -- >> no. it is not. it is the same story as mobile gaming and pc gaming revenue and profit. the problem though

oversight of foreign merchant megabanks operating in the united states, such as bark -- barclays and deutsche bank. these three institutions which have over $150 billion in assets, will be subject to 165 of dodd-frank. that means that foreign banks will still be subject to foreign banks stress test requirements, liquidity stress testing and basel iii requirements. it subjects foreign banks u.s. operations to requirements similar to those imposed on u.s. banks. chairman paul, again, in the march senate banking committee hearing was asked about this, and he said he did not believe that this bill would exempt foreign banks from tough oversight under dodd-frank. additionally, the substitute amendment for this bill has affirmed that large foreign banks do not escape dodd-frank supervision. i think it's really important that we debate the actual merits of this bill and not the bogeyman merits, the statements that this bill will somehow lead to catastrophic downfall of our financial system. as i said, even barney frank disagrees with that evaluation of this bill. it's important that we set the record str

barclays has been fined $2 billion in the united states, to settle claims of mortgage fraud. it had been alleged the bankto the financial crisis. the fine, from the us department ofjustice, was less than had been expected. a woman who was critically injured after being struck by debris from a crane at a building site in east london has died. 29—year—old michaela boor died in hospital this morning, two days after she was injured by falling bricks close to a building site in mile end. housing benefit is to be restored for 18 to 21—year—olds claiming universal credit. from april last year, young people were not automatically entitled to the housing element of universal credit, the payment which brings six existing benefits into one, and is in the process of being extended across the uk. housing charities had warned the policy would lead to rising homelessness. the drinks company conviviality, which owns bargain booze and wine rack, has announced plans to file for administration within the next two weeks. the firm supplies more than 25,000 restaurants, hotels and bars. around 2,500 staff could lose theirjobs

barclays has dropped out of the race and a winner will be picked within the month. the bank up for sale last month. it has scaled back trading and focused on retail services to clients, hoping to complete the sale this year. to westbe talking bank's robert rene who says he is more cautious on the u.s. dollar in the short-term term. do not miss that conversation. it's on the way. this is bloomberg. ♪ mom you called? oh hi sweetie, i just want to show you something. xfinity mobile: find my phone. [ phone rings ] look at you. this tech stuff is easy. [ whirring sound ] you want a cookie? it's a drone! i know. find your phone easily with the xfinity voice remote. one more way comcast is working to fit into your life, not the other way around. ♪ david: what would you say are the greatest pleasures you have received? or what you are most proud of? >> ok. this is good. thank you. this is good. [laughter] david: well, i watch your interview shows. i know how to do some interviewing. >> i was really busy. i was into building this company. >> if all the diseases have been taken, why s

bank's role in the financial crisis. e penalty settles a lawsuit alleging bclays misled investors over the quality of the mortgages it sold. barclays's ceo called it a quote fair and proportionate settlement end quote but the department of justice was reportedly looking for a fine of $5 billion. >>> spending on television ads fell last year for the first time since 2009, which i will point out we were in recession at that time. little more unanimous a billion few dollars were spent on advertising in 2017. that according t research firm e marketer. and the trend of falling dollars is expecte continue at least the next two years. the shift to cord cut asking streing video were t main reasons for that decline. >>> and, bill, more and more of cutting the cord. steve liesman decided to take a look at just how many are making that switch >> reporter: i stream, you stream, we all appear to stream. the cnbc all america economic survey found that 57% of americans subscribe to more streaming service. that's compared with 43% who do not. that means this relatively new technology or media has gone from 0 to just about 60 almost at the speed of l

banks. that's barkley, that's up today. still trades 0.8 barclays a nice one, it is now 6% >> how does it work over there someone takes a stake and is there anything that -- i bet you know this guy? >> i met him a few times and trying to get him on soon. there is a lot of barclays, it is facing a number of investigations but it is trading here the question, of course, is this activist support of the strategy at the moment or not we don't know that i understand from sources they met one with jeff dailies so far. >> i tend to not to go to the one -- >> they're doing well. >> i was looking at your holdings >> goldman sachs is trying to build up, why? because we have the most volatile market that i have seen we have many session in a given day. we open down badly but it shocks me if we rally we have moving up after europe closes this is what goldman is born to. when i worked at goldman sachs, we talked about this concept we are drying clear. we are dry clear we don't take in the clothes and keep them. we take them in and we give them right back don't ge

barclays has said the firm led by edward granderson has acquired 5.2% of the voting rights in the bankhe is known for targeting a number of british money-management firms including electro private equity, one of the country's oldest private equity firms. ae bank is emerging from messy 2017, saying last month it will return of evident to itsious levels -- return dividend to previous levels. that is your bloomberg business flash. guide. matt -- guy. matt. has named its first central bank governor in 15 years. they voted to approve the appointment, a long serving deputy governor with deep international links. the move is a signal that china is seeking continuity at the tedious see. -- at the pboc. the main mission is to enact stable monetary policy, and at the same time, push for financial reform. maintaining the stability. let's get more with hayden brisco, head of asia-pacific fixed income at ubs asset management, joining us from hong kong. hayden, first off, does he signal continuity completely or do his international ties may be ignore also a bit of a peace offering to wall street and

barclays, jordan rochester of nomura. coming up, a conversation with the south african central bank governor. that is coming up shortly.ies a market update brought to you by etf securities -- here is a market update brought to you by etf securities. ♪ francine: good morning everyone. "bloomberg surveillance." tom and francine from london and new york. let's focus on u.k. banks. cforoyal bank of scotland's has signaled further cuts are imminent. speaking with bloomberg's nejraive -- bloomberg's cehic -- >> i think it is inevitable that there will be job cuts, but we are not going to talk about figures. i think within those restructuring charges he will see a lot of that relates to office buildings we are in today, some legacy technology costs like data centers that we are planning to get out of, and there's also some of that related to things like brexit planning. reporter: will there be more branch closures? guest: i think we are comfortable with the shape of the branch network as we have announced it, but again, i think we've been very public if we are going to shut branches. there were be up to six months notice and

barclays' chief executive officer. that interview at 6:00 a.m. in new york. we'll be talking about the banking industry.his is bloomberg. ♪ francine: good morning, everyone. this is "bloomberg surveillance." guy and francine from london. britain and the e.u. have reached a draft agreement. according to the blocs, the e.u. may offer the u.k. improved equivalence for financial services after brexit. it's a system the u.k. has previously rejected. jing me now is our editor. still with us is erik nielsen. emma, i'm so glad you're showing up to give us clarity on what's going on. is this unilateral, and does it mean that the u.k., that this is a bad deal for the u.k. yet again and they'll have to reject it? emma: the u.k. has already rejected equivalence. bathesly it's something that's unilateral. the commission says your rules are the same as yours, therefore, you can trade in the e.u. the problem is if the commission decides that they are no longer equivalent, then they can withdraw that. that almost of short notice is why the banks hate it, because you can't run a business, they say, on something that can

banks now for example, trading at significant discounts. the book value we had a couple years ago -- but yes, those restructuring continue and to name a few that would probably include barclays k and some of the italian lenders as well. they are doing well in germany, but not in the u.s.. is that symptomatically of european banks or is that a deutsche bank problem. 2016 was a problematic year for the lender. we were asked about the stability of the lender and that is probably what was behind some of those outflows. tom: since we have got you here. does the italian banking story change the outcome of the italian election, or is it discrete removed? add a cloudes because the banks are a proxy for the economy and the recovery ande is still very nation lags behind some of the other european economy. this is not what the banks need right now. they are tackling the bad loans. they do need economic growth to help them along the way. francine: is he going or stay ing? it was one of the funniest tweet exchanges. this was a wall street journal story, not a lloyd the story. elisa: there is some distance from the story, per se, though you have named potential the president. and there ar