joining us for more is charles allen and caroline hyde.are feeling good about sainsbury's this morning. >> even though is the fourth quarter we have seen like for like sales decline, it was better than was feared. it only fell 1.7%, better than expected. it seems to be the taste the difference range that really outperformed. a 5% increase versus last year. people clearly trading up. the numbers are hilarious compared to what they have been sailing. 30% uptake difference between tesco. 69 million men spies. that means 60% of the population could have had one mince pie each. fourth quarter is challenging. food deflation not going anywhere. the price pressure is growing. we have to see how competitors react. sainsbury's has promised 150 million pounds in price cuts. last year was double that in one corner. sainsbury's is promising that for the whole year. many feel they are not doing enough. sainsbury's it well over christmas. >> talk to me about marketing position. we talk about this squeezed middle. you are stuck in the middle. yet discount

let's go to caroline hyde, what are you watching?oking on the brighter things when it comes to the market and shareholders in the same thing after they released their earnings are you looking at the leaderboard, this tech company up by almost 4.6% because earnings the analyst estimates. and the bank that analyzes it says the 2015 guidance and cash returns are ahead of expectations. meanwhile phillips getting a nice little push of almost 4%. as for phillips, getting a little boost from private equity companies. this is being reported in the german press. they are not saying where they got their information run but maybe we could see an alternative to enter a initial share sell. shares are up 3.9%. not on the bright side of things is william hill. investors not liking the report up by 4.5%. sales were up higher and net revenue growing the first win margin up a percent but generally this is not being accepted well. william hill currently off by 4.5%. >> these are the bloomberg top stories. denmark's economy minister says they will not f

caroline hyde with that. is there a rights issue on the way? what will dave do? what parts of the business will he sell? lots of speculation. this is brent crude, down. what you're seeing is volume of crude traded is almost double the 100 day moving average. the volume of crude getting transacted is on the move. these five-year bubbles, they have just come back to flat. what does that tell you when the world has decided to give germany their money and be charged for the privilege of it? we have seen negative rates on five-year german government bond bubbles. that is telling you something very big about risk. dollar, the message is simple. long dollar was overrated equities. the dollar index is at its highest level since 2005. bloomberg posts the percentage of a high. lots of fed voices this weekend. alan greenspan not calling the recovery great. saying the patient and forget about the rate hike. it's all about the pace. >> what a busy first week back. some breaking data coming out of spain. spanish unemployment. jobless claims down by 67.4 thousand. we were looki

caroline hyde? >> the pain, $2 billion wiped out of its market capitalization in two days.e frantically trying to work out how this hit private banks in public banks in switzerland because of the sudden appreciation in the swiss franc. julius baer profits they say will slump, credit suisse will see its profits hit high 15%. so says barclays. julius baer really the worst performance because of the sudden appreciation, sudden end of the cap down 9%, as do most swiss stocks today. let's look at retail carrefour up, france's largest retailer is dominated in brazil, an international player, sales up 3%. this company is doing something right. minneapolis praising the management and the new format. the only issue is china. chinese sales have fallen. the company says clearly this is one to watch. meanwhile ,spectris, basically they test gear, whether energy or automotive. they will test your gear that you make in most industries. shares up 7%, the best performance. why? fourth-quarter sales are looking bright, up 5% year on year. they say the macro economy is not looking too great,

caroline hyde joins us for more. plenty of changes announced.'s tackle what it looked like over christmas. >> because at last, good cheer festive good cheer for dave lewis. he needed some after a horrid 2014. some of the changes that dave lewis put in place before christmas getting 6000 customer-facing staff in the stores extra, really did boost sales. sales are down ever so slightly but not as bad as had been expected, just dropping 0.3% over the christmas period. like for like sales actually improved in europe. asia, still a challenge. the u.k. was much better than had been expected. tesco was able to hold onto its full-year target. pretty optimistic in that front. >> this was more than a trading statement. what did we learn? >> many expected dave lewis, nicknamed drastic dave in his previous role at unilever, he was drastic. perhaps not as drastic as he could have been, but he made major changes that are being announced today. he had three priorities. one of them was to boost competitiveness. behind me, signs are going up that they promise to

let's get to caroline hyde. give us some of the numbers.igh bar, and they beat. >> the investors wanted records set. they smashed them. $18 billion in profit. that is up 30%. put that in perspective. what is $18 billion? that is the same size as the entire yemeni economy, the entire botswana economy. it exceeds those annual economies. it beats microsoft and google's profits all rolled into one. this is the size of the profit the company is rolling in. it makes more in one quarter than general motors makes in an entire year. why is it so much growth? the new products, it's about the iphone six. it's all about the biggest screens, up to five and a half inches. we saw china go wild. the asian community in particular loves bigger phones. chinese sales are up 17%. 25 unveiled in the next two years. more students buying computers at the moment. look at those stats. ipad is the area of weakness. we are likely to see iphones eating into the ipads. you need a slightly bigger screen. there is also caution about the strength of the dollar, which you k

also here is caroline hyde. let's start with you. >> $5.2 billion is the price tag.hat is a 10% premium on nps when it closed on friday. this all got heated in terms of reporting in december. they are paying up for this company, but it is all about synergy when it comes to rare diseases. they want to build their expertise, shire does, so that is not only a strategic fit, but also it is growth enhancing. they say, we can afford it. it is interesting what they are going for and the risk they are taking. there are two untested drugs here. there is a hyperparathyroidism drug. the worst-case scenario with this particular disease is that you have seizures, and people can die. it is that medicine which nps has put forward to the fda. it is set to have the yea or nay on january 24. why go into this particular asset if you haven't got this deal signed off yet? according to shire, they want to help with the introduction of this drug and the price tag as well. they also have another drug, a treatment for short bowel syndrome. that, they predict, will bring $300 million by 2016.

caroline hyde is tracking all the action. >> the stock has been quite volatile.ters, we have like for like sales declining. we saw sales fall off 1.7%. there is a little bit of relief coming in. people have gone to online and it is all about trading up. one step that amazed me, 57 million men's ties sold. that is enough for 89% of the u.k. population. >> i have to say, i have more than one. >> it evens out. i don't even have one. >> i may have more than two. >> there is a caveat. they haven't done as badly as has been expected. last year, their share price was the worst since 1989. but they are warning that things aren't getting easier. price inflation is here to stay, they say. they have the fourth quarter likely to continue on a sales decrease. >> [inaudible] >> this is what everyone has to work out. they are pulling in one billion pounds over the next three years, which means 300 million pounds in the next quarter. half of that over the entire year. it has a lot of catch-up to do in terms of price. when people start analyzing the quality, they go to the price.

caroline hyde take you through the story later. i will give you a quick look. do we have time? i think we have time. up for the fourth day. that is where the dollar yen is. it is behaving beautifully, for once. it is a risk on and risk off. you put your money into the yen. >> i was have time for a little bit of dollar yen. let's keep it on the move. down at a low. we are seeing the story play out across the commodity sector and that feeds across into the bond market. the record low yields in japan and dropping to a 2013 low. it adds to concerns over night and slashes forecasts to 3% for global growth. here is how the chief economist puts it. the economy is growing on an outlook. let's take the investment take. we are joined by the chief investment officer. you were a little more optimistic. but did not sound very optimistic. >> i am optimistic. there is a world of difference between global growth and what companies are able to make for shareholders. >> i look at the commodities market and it is a flashing red life. i see the slide edit predates the oil. >> i have had a couple o

here with more, caroline hyde.e happy with the amazon numbers, which have been volatile of late. this is a company pushing aggressively as it has done historically, putting the money back into the business. >> and still, investors are buying into jeff results' vision. you've got to splash the cash to do that. my a euphoria in the market after these numbers. 12% rise after hours in terms of share price. $200 million profit. $18 billion from apple. but they are getting $29 billion of sales. they are managing to spend most of it. they are still believing that amazon is no longer an online retailer. it is also a media company, a software company, a consumer hardware company. it is not just ebay. it is netflix. it is time warner. it is microsoft. it is everyone. they want to see them spend as long as they still by the vision. what they like in the numbers is the fact that people are willing to go premium with amazon. 53% uptick in those buying amazon prime. not only do you get the video content, you get your deliveries

and a $3 billion stock buyback that will help investors. >> caroline hyde with the latest on ebay. big day for the ecb of course. >> the man who handed up -- headed up the bundesbank, he resigned because of the ecb going ahead and launching a bond buying program from countries like reese. -- like greece. we will be hearing his views today. >> we will see if we get any insight into that fraction -- friction. the headline, we're expecting 1.1 trillion euros in monthly installments of 50 billion euros per month. that has vigorously been a prose -- been opposed by some. >> this share is very important, how much will national central banks take on to their own allen street? -- balance sheet? or how much will the eurozone as a whole share the balance of fear. who pays the bill? >> there are a lot of politicians weighing in on the subject, that it is not for the central bank to decide how much those risks are shared and others say something different. we will look to see whether they use those interest rates to incentivize banks to getting involved with quantitative easing. quincy will be

we have more with our european business correspondent, caroline hyde.s there always been a concern -- has there always been a concern? >> all the rating agencies have warned they were worried about tesco's overall debt levels. it seems that even though we are starting to see -- it wasn't enough to alleviate fears. the cfo got up in front of those meetings, trying to show the moves they were making were improving the balance sheet. not enough. moody's cut the rating of tesco to junk. it is now rated ba1, late last night. interestingly, the debt market may have preempted this. we saw a rise ever so slightly on tesco's bonds yesterday amid all the euphoria. its competitiveness in the market -- this is what really gave euphoria to the stock market. soaking in that price market means that the operating margins and profitability are under stressed. profits are going to be improved. and it will take time for the balance sheet improvement to work. all the things -- cutting the final dividends, they also plan to sell the analytics behind the club cards. but it w

caroline hyde. right, let's bring it back to davos. it like to attend davos for the first time? jon ferro hates to be called a davos virgin. >> but it is so funny. we can't remember what it was like the first time. >> ancient history. >> jon ferro can. find out his first impressions. find out where he thought the best networking places were. it is day one for davos 2015. ♪ >> so, welcome back. the world economic forum kicking off today. the sun is coming out. but what is this place like? >> we followed our reporter, jonathan ferro, around during his first visit to the world economic forum. >> here i am at the world economic or an in davos. it is my first time and i'm in good company. it is the first time for president hollande and prime minister renzi. i'm going to take you behind the scenes. come to davos, they said. rub shoulders with world leaders, billionaires, and central bankers. all i've met so far our security guards and freezing cold temperatures. now, i'm in the world-famous conference center. supposedly, this is where the ma

. >> caroline hyde, thank you very much.ies in russia this morning are in focus but they are actually a little higher. for more, let's get to moscow where we are joined by anna entry in over -- ana andreanova pretty neutral this morning. >> first of all, s&p postponed its decision we expected it january 16 and it was postponed so yesterday still came like a native -- negative surprise, especially where the ruble. but opening this morning the ruble strengthen, trying to compensate what happened yesterday. and the index has not changed much and the rts dollar did move a little bit indicating it is connected to the exchange. >> outside financial markets what does the downgrade mean for russian officials? is this an embarrassment? >> yesterday, the finance ministers issued a statement saying that it is an excessive specimen which s&p said it was not. they're saying that it doesn't mean that investors will be leaving russia right now. the finance minister saying that companies sometimes find two agencies the downgrade russia. bef

here with more is caroline hyde. what do you think was the final thing that made the credit rating agencies say, it is time to cut? >> i think it was almost what gave euphoria to the stock market the fact that they were going to get even more competitive. the fact that they were going to be cutting prices was what moody's seems to have focused on. moody's is the one that has moved here. 9:00 p.m. last night, they cut their rating to junk. one step below investment grade. they say the issue was the fact that margins and profitability were under pressure. tesco is adding fuel to that fire. yesterday, we heard dave lewis drastic dave, it was them that reduced prices across branded goods. the likes of coca-cola and the like cut on average by about 25%. that is going to hurt profitability. that is a keyword he from moody's, as is the slow burn to improve their finances. even though the cfo got up in front of the credit rating agencies on wednesday, giving them his case am i saying why he felt the company deserved to the i

here with more is european business correspondent caroline hyde and charles allen. you for joining us. caroline, we have some figures from john lewis. >> building on a trend that we saw from next is online is where its at. we saw john lewis performing very well, like for like sales up almost 5%. 777 million pounds. one million pounds spent per hour in the five weeks up to december 27. we had a slight downtrend, then a pickup in the panic buying before christmas, then the sales after boxing day. online growth, up 19%. one third of all john lewis sales are going online now. that is where the growth is click and collect. more than half of all purchases being done online but then picked up in the store. many people felt that doing online would mean people wouldn't buy in stores at all. john lewis had flat sales in-store then a big pickup online. it was all about the new espresso machine. interestingly, one other area was discounters. little, it was reported, had 20% growth in like for like sales. more champagne sold than milk. i love that. >> and the nutribullet. >> you

caroline hyde, our business correspondent. those figures are due at 11:00. caroline will of course be breaking that. we will be crunching the numbers with john rogers of sainsbury. >> tell us what you're following today. tell us where you prefer to shop. are you a discount person? a tesco person? a sainsbury person? >> prices at the pump this morning. we talked about when the fall in oil prices is going to be really reflected at the pump. part of that story is already happening. we're going to go through on the bloomberg website. r- >> annaedwardsnews. >> speculation about quantitative easing in the euro-zone. what about the other big markets theme? the decline in crude oil prices in the u.s.? it has been trading at the lowest in more than five years in the u.s. it comes amid rising stockpiles in the u.s. on speculation that extra inventories will add to the global glut. our next guest thinks greek people don't want to exit the euro-zone sand predicting a lot of market noise and oonks prior to polling day. ♪ >> time for company news. the worst performer is in

for more, let's bring in caroline hyde. a sense of how much this growth is about the bigger screens. >> the innovation, phenomenal. tim cook called this spectacular. investors seem to be agreeing. investors say these numbers are phenomenal. $18 billion in profit. the most on record in terms of corporate history. they are making $200 million a day. by the time i finished speaking, they wrapped up another half million dollars. they are managing -- look at where it is compared to its competitors. it takes ibm an entire year to make what apple has made in one quarter. it takes hp 20 two quarters to make what apple has made. if you had what microsoft and google have for this quarter, apple still smashes both of them combined. pretty phenomenal. it is the iphone 6 that came to the rescue. bigger screens. up to 5.5 inch screens. suddenly, you are getting the appetite from asia. samsung led the way. they always had these bigger phones. now, we are seeing sales up 70% in china. they are going to roll out far more stores. only issue

caroline hyde is also here. we should probably also mention that. good morning.n a whole load of companies. that's great. we will talk about that. in the survey angel investing has become a bigger and bigger theme in the tech sector here in the u.k. and backed up by some really phenomenal tax incentives. can you give us a sense of whether are not great texans and tips been greater levels of investment? >> from everything we've seen from the survey, and it looked to 400 investors and asked them detailed questions about their investment appetites, how much they are investing, and details about tax incentives they're taking advantage of. one of the overwhelming pieces of information i came out was just how much they're working with the enterprise investment scheme in the seed enterprise investment scheme. 90% of all of the investors were taking advantage of those schemes. >> that is huge. a the problem is, the people that know, no, and take advantage of them. the people that don't know well, there are lots of those out there. >> that's right. i think the government

here is caroline hyde.umber of trading companies have reached out for help. >> it is quite phenomenal, the damage that has been raked. -- wreaked. many out there in the market would. some of these brokerage companies, they have retail investors excited about trading foreign exchange. how do they do that? putting a small amount on the table to be able to take big positions. you could have two cents on a trade that was worth one dollar. you had a very small amount but you have to deposit at the brokerage company. who will fill the gap? they said on friday they would have to look for going into insolvency. they said, no, we will not. they are looking for a buyer. it could be pepper stone from australia. we have the biggest u.s. retail foreign exchange broker, a million-dollar lifeline they have been given. >> banks? >> banks are being hit hard. deutsche bank $150 million they have lost. barclays, slightly less than $100 million. we spoke to the european banking authority, the chairperson, and he tried to make

joining us for a take is caroline hyde.e mark barton bought trenchcoats. >> they sold fantastically well apparently. it was also about their cashmere. those were the products flying off the celts -- flying off the shelves. they matched their previous quarter. they are sounding more positive on sales but not on profitability. we are still seeing -- a slightly revised their four your outlook for sales. marginally up. they're saying they will add about i percent to their sales. before it was low-to-mid single digits. everything else remains the much the same. in europe and the middle east, in europe and the americas. they had double-digit growth in all those regions. in china, hong kong there were disruptions. concerns about the protest. that dragged down the margins and profitability overall. even though we are seeing a better mood in terms of or in exchange, this is a big problem for many u.k. based companies. that has improved in the second half, says burberry. more than upset by the disruption in hong kong. also, it seems

caroline hyde brought us the news from morrisons at the top of the hour.ut steak and cheese rolls. >> 400 calories. >> a lot of mince pies. >> we are not here to talk about that. >> how low can copper go? ♪ >> time for today's bar chart. how low can copper go? it fell to its lowest level since 2009. it is yes -- yet to post a closing gain. it has fallen every day since 2014. it is down 5%. last year it fell for a second year. falling 14%. it is the worst performing industrial metal over the last year. you see its peak. i cannot reach it with my pen. that was the peak in february, 2011. that could continue. deutsche bank predicts that china's copper consumption will grow at its slowest pace since 2010. traders and analysts the lowest on copper since august. interestingly analysts are forecasting a higher price. the median price forecast is 69.72. that is in the fourth quarter of this year. they are the most bearish with a $6,000 forecast. the most bullish is $7,476. a partner at t commodity in malan predicts a drop to 1500. he says the $6,000 price is a psy

caroline hyde is -- >> @carolinehyde. mario draghi is likely to unveil qe policies.uro is likely to weaken against the dollar. both of those in an exclusive interview. stay with us for more on that. >> volvo is poised to become the first major automaker with exports to the u.s. market. they plan to start exporting as part of efforts to boost u.s. sales by 67%. check your -- jaguar plans to add to the sport-utility vehicles. the british carmaker, which is owned by the company, plans to create jobs. jaguar will make the announcement at the auto show. the rising u.s. dollar is catching up with apple. the company raised prices in the app store. the changes took effect last week and put entry level prices and the eurozone up $.10. it is one of apple's are honest -- in the eurozone up $.10. it is one of apple's broadest. mario draghi is likely to reveal qe. weber laid out his predictions for the year to come. >> you can see the discussion around having such a program has already helped the euro come down from one dollar 40 to one dollar 18. we're likely to see some depreci

caroline hyde is here with more.ine consecutive quarters speeding estimates. >> let's dig into it. this is one of the biggest rockets. -- profits. $18 billion in the quarter. it. this is one of the biggest rockets. -- profits. $18 billion in the quarter. microsoft made 5 billion. it is more than triple what google is expected to be making an more than what general motors would poll in an entire year. profit is rising 38%. it's all about the new iphones. they are bigger. they are 4.7 inches. asia loves them. chinese sales up 17%. because the new iphones are more expensive, you are pushing up your margin, you are pushing your profitability. apple pay is interesting as well. >> i did read the story. >> two thirds of all purchases made in this way. -- apple already owns. carl icahn says i want you worth more than a trillion. >> no one wants to focus on the downside, but there are some. >> apple is saying this is going to be a bit of an issue. they say the sales could have been 5% higher in terms of the forecast if it was

our resident expert caroline hyde.ive is that fairly -- >> they chose the biggest trade organization 160000 people over two miles of space. this is where kazuo hirai the chief executive of sony, decides to make his first public statement about the hack and the u.s. increasing sanctions against north korea. all involving the hollywood film studio and "the interview" film and he spoke of pride for his employees. >> they were unfortunately the victims off one of the most vicious and malicious hypertext we have known certainly in recent history. i have to say, i am very proud of all of the employees and certainly the partners we worked with as well, who stood up against some of the extortionist efforts of the criminals that attack sony pictures and its employees. >> talk talk the pr disaster. and they reversed their decision and they ended up putting out the film "the interview" and said let me stand by freedom of expression and speech. amongst all of this, he unveiled products and was about ultra high definition, atv and

caroline hyde. >> let's gets more -- get more on swiss watchmakers.reat to have you on the program. thanks for coming in. the swiss national bank is abandoning its floor. the swiss is at 1.04. that must have an impact on expensive swiss watchmakers. >> for sure. the cost for switch watchmakers is in swiss francs. -- swiss watchmakers is in swiss francs. you have a cost base, you have inflation, you have income. richemont would be more supportive. the euro will probably go down. all the labor links to swiss francs there is precious material. that is denominated in u.s. dollars. the equity market is overreacting to the news regarding richemont,.. it is not good news for the swiss watchmakers. >> let me cut you off. but's get a sense as we were talking about this yesterday. -- let's get a sense as we were talking about this yesterday. are these watchmakers rich enough that they don't care if it goes up by 25% or will it make me think twice, even if i'm a russian oligarch? do i say, 25%, i might shop somewhere else? >> the point is that there is no altern

here on this subject is caroline hyde.hese are actually pharma companies. >> they are splashing cash. investors were euphoric. shares have driven of 12% -- driven up 12%. they like the prophet. it sounds pretty good. compare that to the sales that are $29 billion. it's just a fraction. jeff bezos is still spending big when it comes to amazon. this company isn't anymore and online retailer. it wants to be ubiquitous. it is an immediate company, a consumer hardware company. its competition is no longer just ebay and other retailers. it is netflix time warner, microsoft, google. they are trying to be all things to all men. they want us to watch the television and by all the products we might need -- buy all the products we might need in our home. we can also buy everything from that as well. they are investing in speedier package delivery drones, original programming. woody allen is on board. another thing paying off, prime. it is a premium product. you're able to access video content. they are taking some of the new business

here is caroline hyde. what is the maximum? $13.7 billion is the maximum fine, and the maximum amount therefore of barrels of oil spilled said the judge, was three point 2 million barrels, a quarter less than the u.s. government had originally thought. the judge says the u.s. government has got it wrong. i think 3.2 billion barrels of oil went into the sea, a dramatic oil spill in 2010. interesting comments coming from all professor from the university of michigan saying that today's ruling is a major victory for bp and reduces by billions their potential liability. bp was more optimistic. they thought it was 40% less into the sea than the u.s. government felt. it is a bit of a ray of light. >> this is about closing off one of the biggest issues. this sets the scene for next week's trial. >> the trial starts next week in new orleans. the question is will the judge now set the maximum amount of fines, will he say yes, $13.7 billion is what i want. that is based on $4500 barrels per oil spilled, which is with the clearn water act

here with us is caroline hyde. happy new year to you.e have already had a look at the john lewis numbers. what do they say? >> it looks like online is where it is at, and they have done well. we had something last week where we saw sales up from estimates an online really didn't see the bulk of the uptick, so we're seeing very similar sales trends here. in the five weeks to december 27, just after the boxing day frenzy, they have taken in 770 million pounds, and to break that down, that is about a million pounds per hour they were taking in over that five weeks. the christmas rush the boxing day sale, and it is now one third of all of their sales, a big growth so that you do buy online and then go and pick it up in the store. also quite interesting, not many cannibalizing in-store sales. they remained flat, whereas online picked up 20%. it was all about health, the neutral bullet, and wearables. there was a baking theme when it came to the kenwood mixer. >> i have to say, i did a little bit online and a little bit -- >> omni-channel. >>

let's get some details about how the legal story is going to play out with caroline hyde. >> a quarterinto the ocean, that is what this judge has ruled. therefore a quarter less of the fine.l next week when the trial kicks off, bp are facing about $13.7 billion that is the maximum that could be levied at them by this judge, a u.s. sister. district judge many are saying this is a victory for bp. many feel it could be some double-digit billion figures -- sub double-digit billion figures. it will be interesting to see what the judge takes into perspective. he has been critical of bp. he called than out to say it was their fault, basically. he said it was gross negligence that was causing the largest ever offshore oil spill in u.s. history. he laid 67% of the blame at bp's feet. he mainly said bp was culpable. they spend billions of dollars trying to clear it up. he will take that into account and therefore see how heavy defined could be -- the fine could be. bp sounding optimistic. they are sounding optimistic that the $13.7 billion that could be waged at them probably will not be. they f

. >> let's bring in caroline hyde. good morning. big numbers. >> big spending as well.bers are impressive. maybe that is why shares fell overall. certainly, there were 11 digit figures for what they hold in in terms of revenue. beat estimates by 49%. they are adding monthly users 40 million for review have 1.3 one billion people checking in on our profiles every month -- you now have 1.3 billion people checking in on our profiles every month. expenses up. it is about sales and marketing. this sort of spending -- they are going to add 70%. the focus is clear. this is what investors have got to buy into. making yourself larger than what your original business is to read it no longer just about social networking. this is about thinking big. the future. mark zuckerberg says, we are building new products. profiting is going to take time. they are betting big on the fact of messaging. advertising across all devices. this is a company betting on artificial intelligence. mark zuckerberg has try to paint the picture clearly. he said, three years, we are building our business esp

. >> caroline hyde has joined us on set. the u.k.unced it is going to return to the public markets. it's valued at around one billion pounds. the size of the portfolio they have 44 investments in infrastructure. >> 781 million to manage another 961 million in assets. they are going to sell shares at about 130 million pounds. a primary offering up 100 30 million pounds, and it is going to be -- offering of 130 million pounds, and it is going to be public. they were looking at how to exit this particular deal. they already sold off parts of the company. now they are looking at potentially selling it to macquarie group. now it looks like an initial share offering is what they want to be doing. they are expected to sell a portion of shareholding in the offer. this is an interesting take on the fact we are seeing initial share sales boiling to the surface. it was a busy 2014 in the u.k., and this is a company that is wanting to expand. it is the united states they are targeting, and it is a business that has changed a lot under the curren

our european business correspondent, caroline hyde has been speaking with paul.king howie merging markets were impact the the business. >> we have about 60% in the emerging markets. that for us is still a very good position. despite what you read in the papers. the emerging markets are still growing. it is difficult to come by in europe and the u.s. we think growth is 2.5%. about 60% of our business is building share. with low growth in this environment, you need costs to be better. you have seen the results of 40 basis points core operating margin on 11% share earnings growth is a good environment. you saw the i.m.f. lowering the growth forecast. europe is difficult to get growing. risks of deflation quantitative easing coming. we will have to see what that does. limited effects in the u.s. u.s. growth started to pick up a little last quarter disappointing in overall markets. then we have the geo political challenges, the middle east, and that obviously affects the markets. >> let me pick up on where you say quantitative easing is coming. they are braced in the

here with more is caroline hyde. they are calling it francoge ddon. a number of companies get into trouble. >> if you were betting basically against the frist -- the swiss franc, you were going to be hurt. if you were thinking it would decline, you were smashed. they are closing the oldest and biggest main fund. we understand it is being closed because they were betting the swiss franc would decline. there is one hedge fund. who has really been hurt? we have the largest u.s. retail one now $300 million. they have been given a lifeline. their clients basically couldn't get the cash for their losses. what happens is you usually use a lot of leverage. suddenly, who sits in the middle? they said, when they have to go into insolvency. a bit of a problem for the sponsor. >> the regulatory problem could be big. we are finding out about the losers. we are finding out about some of the big losses of some of the big financial institutions, the big banks in the city. >> they have set aside some money, but they are not in any great trouble. some of the big losses

here is caroline hyde. what is the worry given total sales that beat estimates?en you are pulling in $26.5 billion sales are up 8% why are shares down by more than 4%? there are concerns particularly with the slack with the release. you are talking about an earning of the u.s. dollar strength it is going to hurt making a prediction in a multinational company and the u.s. strong dollar continues to hurt their overall sales going forward and matt and weaknesses they highlighted -- and macro weaknesses they highlighted. they have anti-monopoly investigations of over in china and offices raided and the government is not really looking to buy from u.s. suppliers. they had a number of one off. windows xp was coming to an end and no longer supported by my first out. some businesses had to renew their licenses and that helped. -- no longer supported by microsoft. overwrought trying to -- overall, trying to move the company and how it works. no longer going to be a money spending software licensing and upgrading a usually pay a licensing fee. now it is software as a servi

caroline hyde. retail is getting the christmas results from the top players and big change manage overhaul at w m morrison. we like the fact that it is waving goodbye to the company. he will be leaving in march when the full-year earnings are released. will they speed up the pace of movement into convenience, online? and overall company they said it's the next chapter in our development and we need new leadership. there've already got a new chairman. he will be joined january 22. andrew of tesco will be taking over. sales slightly better than expected. morrison [indiscernible] meanwhile, german retailer metro doing well this morning, up more than 3%. people liking what they see when it comes to the trading results. the biggest publicly traded retailer in german. sales are up more than 2%. all divisions, over christmas electrical retailers and they have one that set a record for road. good news for the german retailer and national exposure as well. asos up 6%. it is on the alternative listing and a u

caroline hyde joins us with a more. plenty of changes in the market likes what it is here. it is up 6%. >> yeah, the trading over christmas and we saw much better than expected, drastic dave to the rescue that is the nickname of the new ceo dave lewis. he does put and changes before christmas which seems to have helped sales and they fell marginally over the christmas trading period, much better than expected. 6000 more customers. we saw u.k. improve, europe post positive sales. asia was a challenge. it was online black friday giving it a boost. tesco says it is helping the stock in an particular. quarks will do more -- >> will get more from you. let's break it out retail specialist and a chief investment officer at a management company. we'll start with you first. any surprises? has he done more to you expected? >> know, a little has been brought forward like a closing tensions and we expected it, it is just an announcement. it will happen. all of the other things, store closures these are things we have talked about before and expected. >> richard, you've manage the money

caroline hyde, don thompson is off. >> welcome, steve easterbrook.son, less than three years as ceo. he managed to push the shares up 1%. the rest of the market was up some 33%. people have run out of patience. sales falling. in they bring a fresh change. cool brittania, in a quintessentially american brand. taking the helm is steve easterbrook. he is the first ceo of mcdonald's who hasn't completely institutionalized mcdonald's. really successful u.k. brands. now, maybe he can sprinkle a little bit of je ne sais quoi over the brand. >> the background to all of this is, rather like tesco, mcdonald's apparently, you can start as the guy at the drive-through and make it to the top of the company. >> don thompson started as an electrician. he worked his way up over 25 years. he did try to change things. we are seeing the problems mcdonald's is facing. you've got sushi, you've got mexican, you've got so many other types of fast food that seems healthier. you also got other burger brands to dominate. you've got shake shack, five guys. all of them have a f

first, caroline hyde joins us to look at why burberry has some unexpected numbers this morning. >> ink optimism being founded there on the profitability side of burberry. sales did climb 8%, matching the previous quarter. many analysts thought it would slow down. when you dig into the regions europe, middle east, africa looking strong. we also saw strength in the americas. robust even in china. perhaps that is a sigh of relief for many investors. hong kong was where the problems were. disruption because of the protests that we saw on the streets pro-democracy protests surrounding the golden week. the issue is profitability. >> caroline, we will get back to you in just a second. we are getting breaking news out of italy. the italian president has resigned. in terms of how these things happen, they are right ceremonial. the secretary-general will take the letter he has signed and go first to the senate, then the parliament. he is in a car right now, i imagine, taking that letter. >> making his way across rome. the possibility is that we could see our first female president of italy. lo

let's get the specifics with caroline hyde. >> it seems to be about the italian steam showed today.ing moves by prime minister renzi yesterday. this is the leader in terms of the stoxx 600. these are cooperative banks. these have been shaken up by the italian government. they have become joint stock companies in 18 months. it basically takes away the power of the few in terms of shareholders and abolishes rules that restrict the size of a single investment holding. clearly they are moving to make it easier to file for the companies. m and a good be right. this is transformational move by renzi. banks are now more attractive in italy. the most sweeping italian banking legislation in more than two decades. keep an eye on bonk upon velarde -- banca popolare. you should be speaking to john farrell if you need the tie-in cannot -- the italian pronunciation. this is the company that makes chips that going your smart phone. of over 4% because profits are good. they say it is going to keep on building. they want more chips for data storage information processing. companies are buying up the

let's check in with caroline hyde at the touch screen. >> let's check in at where the optimism is. 5.5 hours to go will we get a full scale sovereign bond of buying? could it be up to $1 billion to avoid deflation here in europe? to stimulate the economy? u.k. trading day little higher on the optimism. the honest is if it will be individual to do the buying? will it work? we will speak to chairman at ubs. he is saying, you need to fix the bank. it cannot be done by only throwing money at the situation. it is opening a flat. let's look at the euro. last time i checked, near an 11 year low. priced in toward quantitative easing by the ecb. down a by 0.25% against the dollar. a look at oil. it has been driven by the collapse in oil prices. prices have been under pressure. we see stimulus across the board. we had a stimulus fest yesterday. china, the central bank has been throwing money at the situation as well. oil is lower by 0.5%. brent is down. clearly, supply is still outstripping overall demand at the moment. a quick look. not all about central banks that will be driving specific stoc

caroline hyde has been tracking the story. >> they probably decided to put off a public statement untilhe biggest tradeshow in the world. this is where they come out and say where their view is. it is focused on the hollywood studio and the film. he is putting his support behind his employees. >> they were the victim of one of the most vicious and malicious cyberattacks we have known in recent history. i am very proud of all of the employees and the partners that we worked with, who stood up against some of the extortionist efforts of the criminals that attacked sony pictures and its employees. >> sort of admitting perhaps the initial decision to pull the release of "the interview" was a mistake. clearly, he is standing behind the decision to release "the interview" in the end. >> cars are in the dna nowadays. seven years ago we saw some car companies making keynote speeches. ford unveiled a mustang. this year the big automakers trying to steal back the spotlight from google. now, we get mercedes owner making a keynote speech, unveiling a prototype. front seats swivel, the steering whee

one of the biggest luxury brands it is caroline hyde has been pouring over the numbers.he headlines, it is a mix. it really begins to tie up to the story from orion in terms of what people are spending. >> and it ties in with the burglary yesterday. many -- burglary yesterday. -- many of them -- burn very -- and it ties into the burberry yesterday. originally, -- regionally, europe is doing very well. people are spending more. a better exchange rate. 9% sales growth. america not as strong as expected but surely growth. up 7%. many felt it will grow and a double-digit. jory doing well. -- jewelry doing well. asia is adorable -- is brutal down. th ea -- the watches fell the most. and distinction between wholesale and retail. [indiscernible] somewhat also go to department stores. those relationships, single much caution from their wholesale partners. there have not been wanting to act to the lineup. concerns when it came to watches. it seems overall this is a company that is feeling quite a bit of pain. watches are down 4%. we are seeing growth in other sections. they have

caroline hyde. coming up barclays.'s talk about that after the break. ♪ >> you are welcome to pulse pulse live from bloomberg's headquarters in london. i'm manus cranny. bloomberg's top headlines. chinese growth figures out today show that the fourth quarter g.d.p. rose slightly ahead of forecast. china's full-year growth figures were close to the government's target for the year. they show that 2014 was the country's slowest year of expansion since 1990. chinese stocks rose on the news rebounding from their biggest loss in six years yesterday. denmark's economy minister said his country will not follow switzerland in severing its ties with the euro. he said any comparison between the two countries is "impossible." his comments follow yesterday's surprise move to cut by 15 basis points to .2%. they are expecting the central bank to lower interest rates today. the country's deputy prime minister made the comments at a news conference after a cabinet meeting headed by the president. the turkish central bank is due to pub

. >> the telecom consolidation trend continues with news that -- here with more is caroline hyde. >>t man is stirring up what could be the biggest mobile player. if we see -- we have the biggest player. 31 million subscribers leapfrogging the biggest in the u.k.. they did try to sell themselves to bt. telefonica who owns them is trying to pay down their debt. 9.2 5 billion coming in cash. 2016 is when they are looking for the deal to be wrapped up. we will have regulatory issues potentially. also, private equity could get skin in the game. the financial director saying perhaps they would like a 30% piece. europe is playing the game of consolidation. that seems to be what it is all about. >> all these companies need to invest. improve their networks. customers are demanding one player to provide not just mobile but also your tv, broadband. this is why we are seeing deals being done. you have sky, the biggest pay-tv operator thinking about potentially teaming up with o2. with vodafone, buying the owner of virgin media. but they do a deal as well? so many deals could be done. so many de

caroline hyde is outside one of tesco's stores in central london.fit -- to get the number for this year. note -- no dividends. they are selling blinkx box. christmas at tesco's. christmas was good. no final dividend. they are sticking to their full-year numbers. and matt davies is the new ceo at uk. what is your take? >> yeah, a flurry of news. the takeaway is in terms of trading, better than expected. christmas brought some good cheer to dave lewis. known as drastic dave, because of the changes he made it unilev er. he joined tesco september last year. already making big changes. progress in sales. though in terms of investors they will be upset by the lack of dividends for next year. he's try to tackle those three key points. improving competitiveness. they unveiled price changes. a new chief executive for the uk unit, matt davies moving over from halford. they are also restructuring their office in. the headquarters as of now will be closed down. they will be moving their headquarters to garden -- they will also be shutting down on profitable sto

. >> caroline hyde is in the newsroom. she has been looking at the headlines. caroline, tell us what you know. >> interesting reaction, isn't it? it does seem to be underwhelming the markets. we understand in a meeting that ecb members, staff, presented the policymakers with models. they were just modeling what would happen and what bonds they would have to buy. they just modeled 500 billion euros of investment grade sovereign debt being bought. you hit the nail on the head. that does not include greece. we don't know whether it will be the ecb buying the debt, whether it will be up to national central banks but what we have heard from many analysts is that you need wholesale quantitative easing. you need to reinforce mario draghi's consistent claim that he will stand behind the euro no matter what it takes. just 500 billion euros being spent, just investment grade, is that showing as wholehearted a view that this is doing whatever it would take to support the euro? the suit does say that it would be modeling as much as 500 billion euros of investment grade asse