up next, the conversation with bill mcdermott, this after the company's profits topped estimates. is happening in the software space? we're about to find out. we'll also get the take from bill on how he sees brexit moving forward and what effect it is having on his business. that conversation is coming up next. we'll also take you up towards the market open. that story is next. this is bloomberg. ♪ guy: good morning. you are watching "on the move." i'm alongside caroline hyde, in berlin. caroline has your morning brief. mostine: europe's two powerful leaders size one another up. can they see eye to eye on brexit. pimco approacpoaches. and a beat for sap. the software maker tops analyst estimates after a rocky start to the year. we will be speaking to chief executive bill mcdermott. if you are seeing some green on the screen, that is futures, guy. guy: we are getting the right screens to show you what is going on as we can you down into the european open. let me take you through what happened at the close yesterday. a very volatile start to the day . at the close, we did see a litt

we've got bill mcdermott. that is the conversation in the next 15 minutes.move it is 7:30 in london. i am guy johnson. i'm alongside caroline hyde over in berlin, which is where theresa may is going today. may meets merkel. europe's two most powerful leaders size one another up. can they see i to i on brexit that is the big question? timko poaches ceo many roman after three years on the job. he's going to californi

david, we haven't mentioned sap and it had a remarkable quarter and one of the reasons they did, bill mcdermottthank you, european strength. a continuing theme. the trades are too low in europe and anyone who buys the german 10-year is an idiot. i shouldn't say that. >> what do you mean buy? you pay to own the german 10-year. >> you agree to lose money. >> don't contractually buy that. >> it's a contract to lose money. make a contract and lose money over a 10-year period would you take that? >> i would not. >> lots of people are. billions of euros worth. >> trillions. >> luna. >> i around the world. >> lunacy. buy our treasuries, you make something. everyone in this room agreed to lose money. >> finally microsoft is up. the extent that microsoft is not just about that but a reflection to a certain extent of growth within technology spending, jim, to our earlier conversation about the economy and whether -- >> correct. >> 20 multiple maybe will be justified by a period of growth that is to follow, can i make that argument? >> yes. and what i think you have to do is say first there's a dip as peo

bills. but as mr. mcdermott and others on this side of the aisle have said, we still have a lot more work to do. this bill is really just the first step towards true reform and if we want to make a difference, congress really does need to provide the resources needed. we have heard people talking about overfilled jails. we have heard people talking about parents who want find beds for their tremendously mentally ill children. we heard about the lack of truly educated professionals. these things can only be achieved with resources and money. and so i truly see this bill as the first step towards a very robust mental health system in this country. the last thing i want to say is, action on mental health legislation does not excuse inaction on gun violence prevention legislation. period. we must do something as well as passing comprehensive mental health legislation to respond to the gun violence epidemic. americans, my constituents, want us to take these steps. they have made that abundantly clear in the last few

quarter could also like bag log of future business and book to bill ratio including big projects in saudi arabia. this, after cuts mcdermott the company right sized the ship. the 750 target is about 50% more upside on a stock already at 50% this year. however keep in mind it was a $33 stock in june 2008. >> what's mcdermott do? >> oil services. >> like off-shore? >> no, onshore. so they might do a little bit of both but they've got three big projects they are working on in saudi arabia. down a couple of bucks. >> now 5. >> now 5. and they think they are going to 750. >> so when you buy. >> yeah. been a great stock if you owned it for about four months. >>> street talk. now time for trading nation. let's take a look at stocks as a whole as the market digests the statement. chris with stra teeth ib research partners, larry, earlier in the show, i said during our fed seg amount that who cares a quarter point rate hike means nothing. and writing in politely and saying brian, like it but you're completely wrong even quarter point with the leverage in the system is a bad thing. he is right? >> he is spot on right. one of the thi