you've heard the name but may not realize how big bnp paribas really is.argest in the eurozone by assets. it employs nearly 200,000 people in 70 countries and has 2.5 million clients. a huge retail presence in the united states. bnp paribas owns the bank of the west and first hawaiian bank we are joined in a cnbc exclusive by the ceo of bnp paribas usa, jean-yves fillion thanks for joining us. >> thank you for having me >> we are going out worldwide, so you will be speaking to clients and investors around the world. i want to ask you, many of your compatriots in europe have been pulling back from the united states bnp paribas made a decision a few years ago under your leadership and others leadership in france to expand in the united states. how do you compete with rivals like jpmorgan? morgan stanley, goldman sachs? >> the u.s. banks are extremely strong, well capitalized, well managed, they are in the most competitive market in the world. the key risk factor for an international bank in the united states is to be targeted to be targeted with your clients

we have got much more to talk onut with jean-yves fillion of bnp paribas.oek. , it is a frontier economy, to you it is a right?ty of economy, nick: the fact that you've got oil prices up is helpful to the russian economy. tom: with bnp paribas, other moscowave done more, is a place where it wants to project or do you just look to asia? has-yves: i think the bank tried to position itself strategically in europe. france, belgium, italy we own some of the largest banks there. we have continued to run a business model diversified across the region's and the americas happens to be one of them. francine: very quickly, when you look at the way the u.s. economy is performing, is there anything that worries you? we talk about the fiscal stimulus coming in late cycle. from the indicators you are seeing, is it going to be smooth? stronges: this is still and we're looking at it from a inflation. the question is, have we gone through a full cycle? , ifhe meantime, i believe we look back 10 years ago, thelators are in charge, fed is hiking regularly and systematically wh

bnp paribas joins us with their claims next. david: welcome back. red headline crossing the bloomberg terminal at the time of day when the boj comes out with the open market operations. they are listing the purchase as one of three and three to five, normally a very big deal. i am not saying it is not, but it was expected because they are tweaking the way they do these things. the short version if you want to talk about bonds, they want to add a little more flavor to what is happening, really just responding to criticism they killed the markets. let's bring in our across asset managing editor to talk more about this. help explain what the boj is trying to do and what those exact changes are. sense is here, david, that the bank of japan isn't doing anything particularly dramatic to follow through on what governor kuroda has said is an issue, which is diminishing liquidity in the japanese government bond market. theyst friday, they said would be cutting the number of onrations this month based two to five compared with six in previous months. the ques

bnp paribas and charles watson's with us.any players like david solomon see -- we will break that down next. this is bloomberg. ♪ ♪ alix: the biggest voices in business warning of a turn in the market cycle. here is what they had to say at the global business forum yesterday in new york. >> we probably have another 18-24 months minimum in this cycle on the back of the adrenaline rush from trump's policies. chances of something happening in the next 12 months, low.nths, not zero, but 15%, 20%. as you get out to 24 months, the chances go up materially. >> the market is pricing in a little more risk. our our guest. is when do you see it and how do you rotate? >> i don't know. there are a lot of markers. some markers tell you the end of the cycle could be closer. of thosey, one indicators is the surge in consumer confidence, which had extremes which one could argue are there. maybe we go to further extremes. it tends to happen in the immediate before hand of a recession. leading indicators a year and a half ago took out there pri

hsbc, bnp paribas, ing becoming embroiled as well, and then that unsavory affair with one of the baltic banks, ablv, latvia's third largest. would you like to know how many staff the anti-money laundering at the banking authority have? two. two staff. now it's up to ten quite appalling. let's move on, china has been quick to respond to the latest u.s. escalation in the trade war. according to a front page article in the peoples daily newspaper the chinese government says it will use the tensions with the united states as an opportunity to replace imports and promote localization the former pobc governor said exactly the same as this, we will change how we do business that's the message coming from china. we will change who we do business with as well. that's a theme i picked up in barcelona the last couple of days this after beijing imposed a 5% to 10% tariff on $60 billion worth of american goods. over 5,000 products are targeted ranging from agricultural to industrial so next monday at 12:01 beijing time these will take effect. >>> china's u.s. treasury hole g i -- holdings, i wonder

let's get back to stephen say well of bnp paribas.r start hitting carmakers and that will hurt the german economy. who becomes the ecb president. should we become more optimistic than we were three weeks ago? >> the bank has written a lot about this. europe is a big focus for us. i would focus on the last topic you mentioned, italy. strategist our rate is that a lot of bad news is already in the price. you have already highlighted the italian government is not going to be as aggressive. when we do get the budget on september 30, our view is that it is likely to be below 2% of gdp. that is a good outcome. btpview is that we should spreads narrow on the back of that. you mentioned the effects. euroe more focused on swiss here. euro-dollar is being driven more by trade concerns. euro swiss is being driven by political concerns. francine: where do we go from here? >> we think the swiss is likely to weaken from here. we think euro swiss will move higher from our perspective. bethink these metals could attractive buying opportunities. as fr

ceo of bnp paribas joins us. this is bloomberg. ♪ ♪ nejra: 6:30 a.m. in london.ake a look at what you should be watching today. mark carney is due to make his first speech since agreeing to extend his time at the central bank. there is a policy announcement. after the european close, we get a sovereign rating update for e.u -- thetfromt he e.u. >> with asian stocks at a two-year low in valuation, that is helping put a bid in the market. kospi up even higher than 1%, 1.2% this morning. even though we have those economic data numbers in china, markets barely changed. for now, barely changed. australia a bit, also coming into the market. another things traders have had their eye on is the hurricane that hit the u.s. east coast. i want to take you into my terminal to show you what the path looks like. this is hur gilt. . i have charted its path. that's all i have here. you will see a lot of affects to soft commodities. in the carolinas, we have a lot of agriculture plants as well, so i want to show you what futures are doing. the second-biggest home to hogs in th

if you look at bnp paribas or socgen's trading operations in london you're in honestly impressed by their i guess that's what people mean by the way they have become anglo american. i think we may see rather a change in that in the next five years. tom: thank you so much. we greatly appreciate it. i want to show turkish lira here right now. we have had an explosion in weaker lira. we explode out right now to 6.51. this is of course after explosive erdogan comments. to our first word news with taylor riggs. taylor: hurricane florence is being called a once-in-a-lifetime storm. power as itsome approaches the coast of the carolinas and is now a category two storm. it is expected to stall before making landfall and battering the region with catastrophic wind and it is expected to trigger historic flooding and cause a 13 foot storm surge. it is unclear exactly where it will come up short. some lawmakers from both sides of the aisle claim that president trump's executive order on election meddling does not go far enough. the president has threatened foreign sanctions if form powers interfered -

when you are with bnp paribas, you are way out in front in the american slowdown and the word right nown. julia: the ones we are seeing dollar stress is the ones exposed to dollar liquidity. i think there is a direct linkage to fed tightening and fed liquidity. it was one of the catalyst back in 2015 when the fed started rate hikes for the first time. that was one thing adding to the stress of a lot of other things. i think right now the fact that ae fed is proceeding at fairly steady clip with rate hikes is tightening up dollar liquidity globally. that tied going out reveals the weakest players. they are wrestling between these things and it will continue to be. we may be stabilizing right now, but ultimately these conditions will not get easier from here. they will continue to tighten. tom: within that is the dollar call and whatever you believe about developed countries. then there's the em country where there is assumed dollar strength. you stay with that? michael: on the dollar right now, you have to also look at the relationship between the euro, for example, and the em currencies