british american tobacco the world's 2nd largest tobacco company is expecting sales of they ping andeast cigarette products to accelerate this year the producer of lucky strike and dunhill an ounce it will reduce the number of secret brands and instead focus on dating and e. cigarettes including their glow and 5 lines company management says it expects of revenue to grow by around 30 to 50 percent this year. all right let's bring in our financial market correspondent in frankfurt only in large parts of europe smoking is prohibited it buildings like offices restaurants and so forth how big a business is they paying an easy grits than going to be. well it's growing that's for sure while conventional cigarettes are on their way down british american tobacco presented figures that were respectively showing out but the investors aren't convinced that you're going to see that kind of growth with babying with you cigarettes the share in london and the london stock market is going down by 5 percent in fact when you look around who's vaporing they're not all that many people i took a short po

british american tobacco falling. almost all stocks are falling. anna?yes, so oil and definitely the sector losing most grounded today. european markets opening -- most ground today. european markets open lower. joining us now is michael head of macroal strategy at state street bank. as we head towards the g20 meeting, that seems to be something of significance on the agenda. what are your expectations? what is your risk appetite heading towards that meeting? michael: well, defensive, i think. there is a theory that these negotiations always get taken up to the brink and then the deal is done. we have seen that in north korea, most recently in mexico. you could assume the same will happen here, but unfortunately, you just do not know. that's one of the reasons why cash equities are quite high still. there is a. that the deal gets done or if eorye is optimism -- th that the deal gets done or if there is optimism that the deal gets done, i would have to say why? has said he will raise tariffs on xi if they do not meet at the g20. you know the chinese do no

british american tobacco. down 1.5%. defensive play. hsbc is down as well as ericsson. volkswagen.t see daimler on there just yet. what happens to the stock when it opens? not only did they release their third profit warning in the year , they did it kind of stealthily , on a sunday night when few people are in the office. interesting move from the press team on daimler's new profit warning. european markets opening mixed after a similar session in asian markets. is acomes as there high-stakes meeting between president trump and president xi. bob, what do you expect from this meeting? do you expect this to be at? will there be a deal? is this argentina part two? anna: is this going to be our ginny -- argentina part two? n buenos ng import u aires went well. i think the probability is virtually zero. i say that because the trade talks stalled 2-3 months ago and little contact has taken place recently. do not expect a trade agreement this week. my central case though is that we will end up with a standstill agreement which in english means the proposed tariffs of an additional $325 b

if you take a look at the losers here, british american tobacco has gone ex dividend. see a few stocks yesterday was the last today you could buy the stock and get the current dividend. we have 10 others. andalso see nestle glaxosmithkline following, as well as unilever. some of the defensive stocks are down this morning. european markets in general higher on optimism for some kind of trade trees, as president -- ce, as president trump said substantial additional tariffs will be placed on china if there is no progress with president xi at the g20 summit. joining us now is daniela russell, head of u.k. rates strategy at hsbc. are you pricing in a truce? do you continued -- do you see this continuing to drag on past the weekend? daniela: markets have rallied a long way recently. it is only right we stop and take a pause here. clearly in markets are waiting for the g20 summit and what that means for fed response and whether perhaps they move by zero or 25 or 50 in july and what that then subsequently means for longer-term rates. right here, the markets pricing in the kind

look out for british american tobacco, imperial brands, who both sell electronic cigarettes, likely toessure today. anna: thanks to all of you. plenty of sectors to watch and indeed, individual stocks. you can get up to your speed -- up to speed with all of the stock specific stories. bca marketplace, not as big as some of the other companies. this company out of it germany. we have seen key shareholders exiting that. rps looked a little bit light. it seems that u.s. futures are pretty flat. matt: yes. u.s. futures have been pretty flat most of the morning. let's take a look now as we head to break at european futures. they continue to point down. not quite as bad as they were about an hour ago. you see ftse futures down a little bit less than 0.2%. the open is up next. this is bloomberg. ♪ ♪ anna: a minute to go until the start of cash equities trading this wednesday morning. welcome back to "bloomberg markets: european open." let's have a look at the market position. at the asian session was a little lackluster, down on the msci asia-pacific. maybe it is about a lack of progress comi