. >>> commerzbank ceo man fred knof is going under a strategy review.e called for a stronger outlook amid higher rates and said it may end up making around 9900 million in euro payouts this year. annette will conduct the special interview. >> reporter: thank you. i'm joined by manfred kknof. good morning. my colleague said you were looking for higher interest income. you are benefitting from the higher interest rate environment. are you calculating that throughout the next year? >> the interest rate is causing us to uplift our communication. there is more to come. this gives us tailwind, but we also give it to our clients. they will benefit from the situation. going forward, interest rate and provision income will carry com commerzbank going forward. >> will your clients benefit from that? >> there is inflation all over the place. we have a good solution and personal advice and everything on to what is best which is now available for our clients. they are definitely benefitting from the oveffering. >> let's talk about the general economy. commerzbank is

commerzbank up. puma bouncing on the back of nike. alix: i acknowledge you said nike. nike is up 7%. inventory story. they have to discount less to get inventory off shelves. it is still a topline risk. are you still spending money? it held up in august. loan payments coming due. carnival stock down 5%. they turned a profit last quarter for the first time since '20 but fuel prices put a dampening view on their outlook for the fourth. that's a trend. s&p up, nothing to see. 10 year yield down by 4. we settle out third-quarter. what kind of volatility will we see when there is uncertainty in the market? guy: topline numbers, some of the indices in europe. in some ways they don't tell the narrative of the whippy action below the surface. huge rotation. stoxx 600 only down 1.2%. goa layer lower and you see a huge move to energy and out of luxury stocks. those names later on. significant rotation within the market. headline level not much different. real movement this quarter, the currency markets. euro, dollar, pound. the euro-dollar rate below 2%. the range has been in no

you have deutsche bank down 3% of the commerzbank down 4%. socgen down 3%.ou have another downgraded. over all, a pullback in the banks. on to luxury. cac 40 is leading the losses because of the pullback in luxury. lvmh down 1.8%. part of the reason we have seen novo take that position as the largest stock by market cap in europe. lvmh has gone down and novo has appreciated. chris matian dior down 1%. let me hand it over to joumanna with data from the ecb. >>> julianna, we have been piecing through the signals on the pmi side of things. we just spoke about the composite numbers coming in lower than the flashes estimate. we are also getting results of the ecb survey with the respect of inflation. expectations for inflation in the next 12 months are unchanged at 3.4%. that is higher than the 2% target. expectations for three years ahead have risen to 2.4% from 2.3%. why am i emphasizing the word rise? this is key for the ecb and what it is trying to achieve. when they tighten interest rates, the aim is to bring down expectations of where inflation is going to

commerzbank is expecting a payout ratio above 50% between 2025 and 2027.he german lender cut the work force as part of the overhaul to cut costs. the stock support more than 10% today. this is the news that investors were hoping for, julianna. >> incredible reaction. 10% higher. not every day you see that. >>> when we come back, we will talk politics as the spanish leader feijoo will have another chance to get parliament to vote for him today. we'll break it down next. you deserve better than that. i'm hungry, i'm in a hurry, i don't have time to make anything healthy. you could if you had a blendjet. blendjet? it's the portable blender that makes the healthy choice the most convenient choice. i don't know. it seems like a hassle. hahaha! wrong. just pour in some milk, add some frozen fruit, and bam! you've got a nutritious and delicious smoothie. mmm! that is good. you're welcome, sad office guy. get yours today at blendjet.com are we in in an ad? we sure are. ah, these bills are crazy. she has no idea she's sitting on a goldmine. well she doesn't know th

quick check on commerzbank.intends to return $3 billion to shareholders as the german lender details his long-awaited capital return strategy. commerzbank has been a key beneficiary of the ecb rate increases as it relies heavily on lenders taken -- on lending to consumers for income. things to put on your agenda, at 7:00 a.m. in london we are going to get a final print of second quarter u.k. gdp. 7:45, a preliminary reading of french cpi, followed by italian cpi at 10:00 a.m. u.k. time. also a preliminary reading for september. 10:00 and we get the full euro area inflation print and 1:30 u.k. time, u.s. pce data falls upon us. coming up on the program we take a look at nike first-quarter earnings after the u.s. sportswear brand profit beat estimates. that conversation next. this is bloomberg. ♪ at ameriprise financial, our advice is personalized, based on your goals, whatever they may be. all that planning has paid off. looks like you can make this work. we can make this work. and the feeling of confidence that

and head to frankfurt where annette weisbach wrapped up one of the big interviews with the ceo of commerzbankr: shares are up by more than 23% since a year's time. at the same time, they have the fintechs on the ground which play a dominant role in the general german sector. that puts them into a worse situation than the u.s. peers. the mood is rather sober and the outlook is not great. the watch dog president is warning that the next year is tough for the banking industry. they need to invest in digitalization and to make the house sound against cyber attacks especially from russia. it is a mixed picture. on top of that, the german economy is challenging. we are talking about this being the sick man of europe again. that is a topic which i tackled with the ceo. take a listen to what manfred knof said over the situation. >> i still believe into the power of the german economy and german sme. there will be a way out. i think the situation is no doubt challenging, but not hopeless. we have the energy and power to find the solution. >> what he is calling for is another act or regulatory or stabi