daimler in the fast lane.t nearly doubles after rising demands for mercedes been -- our cities benz cars. plus, rex tillerson's mission to moscow. no sign that the kremlin will change its stance on a sad. what will washington do next? we are in the capital for the latest. welcome to "bloomberg markets: the european open." guy? guy: 30 minutes into the trading day. very different story than what we saw in asia. european equities bid this morning across the board. p asoutperforming, but the cac up nearly .8%. some of the miners are stop -- soft this morning. sanofi, daimler, ally and's and novartis is where the weight of money is right now. that is the story. a very different one, i have shifted the gears. asia was looking at the u.s. yesterday and europe may be looking forward rather than backwards. matt: absolutely. it is interesting to see where the money has gone. news outusly have good of daimler, a lot of activist act to the in axon noble. bhp billiton, but it is interesting people are buying consumer disc

daimler shares are moving up on the news. there you go.erformance is driving european equities, helping to push the stoxx 600 high today. joining us to break down the numbers, bloomberg europe managing editor. you know when a company releases earnings early that they are going to be good or bad stop these are good, stronger than expected. what is behind it? benedikt: the numbers came out last night after the markets closed in europe and they were in for a positive surprise. they were due at the end of the month. what we see here is a solid set of numbers. the mercedes-benz division is up, trucks are up, buses are it across the board, really a very good picture here. they have one-time gains from asset sales, taking fewer write-downs. the company is doing extremely well right now. this is a company that last year completed a very positive year, a very upbeat year. they managed to take that momentum into 2017 and continue in the first quarter along those lines. mark: overtaking bmw as the biggest seller of luxury cars. the question for this

bolstered by strong q1 figures from daimler. >>> we are not going into syria. donald trump says the u.s. will not enter the syrian civil war, while i had administratihis adms the russian government of defending syria. that as rex tillerson visits moscow. >>> all right. we're waiting for some uk wages data. before that comes out, want to tell you that you're looking at live pictures as u.s. secretary of state rex tillerson and russian foreign minister sergey lavrov are meeting in russia. some challenging discussions about the u.s. attack on a syrian air base. >> plus 25,000 month-on-month, the largest increase since july of 2011. the poll was for a drop, but we're looking at an increase. unemployment rate, 4.7%, which is bang in line with what the expectations had been. average weekly earnings, that's the one that a lot of economists like to look at. weekly earnings plus 2.3% year on year in the three months to february. that's a bit above what the poll expectations had been, 2.2% for february alone. almost 3% year-on-year. plus 2.9% year-on-year. average weekly

anna: daimler, strong outlook.ood news in terms of the earnings story this morning, coming through from europe. let's get a bloomberg first word update. credit suisse has announced plans to raise $4 billion abandoning its attention to hold a initial public office it -- offering. they ran to opposition from analysts and investors. at the same time credit suisse announced first-quarter net income beating analyst estimates. .anko santander is benefiting. and comers to a .7 billion euros beating estimates. profit from brazil and its biggest market jumped 77% from a year earlier after president -- the president boosted the economy following the encouragement of dilma rousseff. u.s. president donald trump sense to propose a 10% tax on more than $2.6 trillion in earnings. that american companies have stockpiled o offshore. gary cohn and treasury secretary steven mnuchin met congressional leaders last night to preview the tax proposal. chief economist had said he sees trumps tax reforms increasing the u.s. budget deficit.

we hear from a volkswagen, bmw, and daimler. we have world coverage on daybreak asia.e are live across asia and the u.s. to look at the u.k.'s snap election in the latest growth report. betty: and here in new york to break down the latest on the banking. tech earnings in year. this is daybreak asia live from a bloomberg's asian and u.s. headquarters. i am betty liu in new york, it is after 7:00 p.m. yvonne: it is after 7:00 a.m. here in hong kong, i am yvonne man. -- imf raising their forecast, it is a different tone. betty: markets are actually down. was micro-news, so to speak that dragged stocks lower. that focused on the banking sector. in particular, goldman sachs leading financials lower. we will dig into that in a few moments. yvonne: a surprising miss. again, that snap election we are preparing for in the u.k. on june 8. we will see if the pound can continue to rally, holding at 128 against the dollar. new zealand trading so far, seeing pressure in stocks. wall street down 4/10 of 1%. .44.kiwi holding to 70 the key thing to watch is this industrial route. anoth

daimler's board member that is eager. -- daimler board member britta seeger.n influential group of investors voiced concerns about ties to this -- to elon musk. they wrote a letter to tesla's lead independent director. eeted that he already announced that tesla was adding more independent members and that this letter had nothing to do with this decision. coming up, u.s.-russian relations usually make no difference to the astronauts working together on the iss. with a renewed focus on russian hacking, how is nasa securing its data? this is bloomberg. ♪ caroline: in this edition of "out of this world," the next frontier for hackers could be outer space. that's the top concern of nasa's cybersecurity unit, which has the unique task of securing things like email servers on earth, but also the massive amounts of data beamed back and forth from its spacecraft. nafeesa spoke to nasa's chief investment security information officer. -- chief security information officer. it's like about what and the steps they have to take. why would nasa be different from other govern

. >>> daimler shares shifting up a gear. they lift guidance with strong mercedes sales, helping to double profits. >>> good morning. welcome. glad you're with us for "street signs" over the course of the next hour. we have a lot to talk about. we see quite a few great stoke moves. when it comes to the european markets, we're being called higher when marketed opened, and now on the mixed side with the ftse, the xetra dax and the minute lower, the cac just delicately bucking the trend there. a bit higher after we saw the election results coming through after this weekend. when it comes to the sectors out there, to the upside you're seeing buying into the likes of chemicals, household goods. to the down tidside, banks, rea estate and autos. we will talk to the ceo of santander in about six minutes time. >>> but one of the biggest stories this morning shares in credit suisse sharply higher after announcing the best quarterly profit since the restructuring plan under tidjane thiam. shares are up 3%. carolin is there with more. it

the german group daimler is teaming up with the supplier bosch to develop autonomous vehicles. they hope to have cars on the street by the start of the next decade. falling short of apologizing for controversial remarks, last month saying countries that -- it's partouts calls for him to resign as head of the group. one frenchtown has built some of the world's most famous cruise ships including the record-breaking harmony of the seas. an italian rival is in talks to buy the shipyard. it kind government wants more guarantees for jobs at the site. they are considering nationalizing the company as an alternative. reporter: it's this one final push to protect strategic french industries. the goal is to make it 100% state owned. for months, the french government has been demanding a guarantee that it will maintain jobs at the site. the negotiations of all but stalled in paris is considering temporarily nationalizing the owner of the shipyard in which the state has a 33% stake. itwe want to have temporarily nationalized while we wait for potential stakeholder that has a real industria

everyone probably drives one of these, ford, gm, honda, daimler.kswagen, big names, so a big index. up more, mazda, porsche, kia. here's the etf. i think you can draw the lines like this, but i think ultimately we're going to break to the down side as least to there, if not more. let's peck a stock. gm, one way to draw the lines. here's another way to draw the lines. let's put them together. i'm looking for a move to these lows at 30. >> all right. gm reports earnings next week. what's your trade? >> i'm looking at the june 33 put spread. you can spend 80 cents with that. we have that catalyst. it takes us out to june. this is a technical trade. because on any of those. many of these stocks are cheap. we are talking about a big secular shift that's going on here. >> this is a short that feels like it should be pressed. ford is down almost 10% in the last month. i think the long-term trend line that you drew, that gm, it had a bounce earlier in the year. it's come back. that a bit of fundamental news will take it through there. >> deteriorate winner

ford, gm, toyota, honda, daimler. it goes on and on. volkswagen, subaru, renault peugeot, big names, a big index. up more, mazda, porsche, kia. now, here is the etf. i think you could draw the lines like this. and i think ultimately we're going to break to the down side, at least to there, if not more. let's pick a stock. gm. one way you can draw the lines. here's another way you can draw the lines. let's put them together. i think you get a break here. gm, 10% down. i'm looking for a move to these lows at 30. >> and gm reports earnings next week, so mike, what's your trade? >> i'm looking at the june $33-$30 put spread. you could spend 80 cents for that. the catalyst takes us out to june. this is a technical trade more than based on the historical fundamentals, because based on those, many of these stocks look cheap, but we're talking about a big secular shift going on. >> and this is a short that feels like it should be pressed. look at ford, down 10% almost in the last month. i think the long-term trend line that you drew, gm had tha

he created a transportation app that he sold to daimler, which owns mercedes benz. kopser will also focus on education and jobs. >> if we don't get science and technology policy right, what's at stake is even more people falling out of the economy. so, a good example of that looks at what's going to happen to society when autonomous vehicles, when machine learning, when advanced materials eat away at even more jobs. and if we continue this anti- science or anti-stem rhetoric, we're just going to leave people behind. it's just going to make it worse. >> reporter: by running, would >> if you run, you run as a democrat, it would be a partisan campaign, would you risk sort of politicizing some of these issues more? >> yes, unfortunately, but that should not be a determinant that would keep you out of the >> yes, unfortunately. but that should not be a determinant that would keep you out of the race. >> reporter: but some scientists say maybe it should be. >> i think it is problematic when scientists are lumping together scientific issues with other points of advocacy th

daimler almost doubled with surging demand for mercedes cars. earnings before interest and tax climbed to 4 billion euros. daimler has been reaping the benefits of a rebound of its product line after supporting an expansion of its suv's. i morning that the u.s. auto market has peaked and will shrink this year, despite unprecedented interest from outside. ,ark carter said industrywide it may fall from a record last year. he said toyota's incomes were the highest ever after auto sales in the u.s. declined in the first three months of this year. that is the business flash. francine: that january, ecb president mario draghi said that a marker of healthy inflation would be broad-based price gains across the euro area. bloomberg calculations show there are large discrepancies from country to country, in the impact of the 2.8 trillion euro program. there is still decline in parts of the region, with high unemployment and structural reforms outstanding. still with us is the former ecb president, john tree shea. how difficult -- john country --uld -- sea

this is record sales in the first quarter for daimler!bout this drink that i have no idea about, but you do? vinto. south korea's hyundai motor posts a 21% fall in first quarter profit dragged down by weak sales in china. south korean car maker hyundai has seen regional tensions take a big bite out of its profits. leisha chi is in our asia business hub. china wants to, i guess, show its might, you got problems as a car maker. you've got problems if you've got problems with china so to speak. exactly, aaron. china is flexing its muscle and it hurts the bottom line. this is a very good example of how political problems can spill over to affect companies like hyundai. they've reported a 21% drop in quarterly profit. they are rating $1 billion. this is due to a costly recall in the us over defective engines, but the main reason is due to these political tensions with china, its biggest market. it stems from this controversial us missile defence system called thud. as we have been reporting today, korea is hosting this defence system, but chin

another bright spot, the german auto, daimler, prereleasing strong earnings, underpinned by mercedes benz which saw a double digit sales growth. bmw volkswagen reporting an uptick in deliveries helped by growth. a positive in china and german autos. european investors watching for developments with russia as secretary tillerson meets with russian foreign minister, sergei lavrov in moscow. still awaiting further details on whether tillerson and lavrov can see eye to eye on the topic of syria. a quick check on the russian etf, a relative underperformer when you take a global snapshot of markets. it is down nearly 1% in today's trade. oil not helping the story there as well. carl, back to you. >> thank you very much. let's get over to contessa brewer with a news update. >> at least five people were killed in a suicide bombing. the bomber on foot carried out an attack in kabul. three others were wounded in the blast. isis is claiming responsibility for that. security stepped up in front of the stadium in dortman ahead of today's soccer match. he c explosions forced the postponement. they

daimler reporting better than expected results.res up about 2%. >>> let's check in on some other asset classes. the ten-year yield for you, just below 2.3 -- bang on 2.3. it was below. it was at 2.29 yesterday. fractional move today. some buying of safe haven assets like the treasury market in light of some geopolitical concerns. that buying did not lead to significant selling of equities. low volumes this week, holiday-shortened week. currency boards for you, the dollar was higher yesterday. it was up 0.3%. for the most part, as you can see, slipping a bit today against the pound and the euro. a little bit higher against the yen. not much movement in the dollar board today. gold prices which are up over a percent yesterday, are up again a bit more today. but not too much. 1,275. oil prices have been a big driver. they gained on geopolitical fears last friday and held those gains this week. 53.71. oil was up about 0.6% yesterday. >>> let's discuss oil markets further with john kilder. i suppose the first question in the short-term

daimler is still bullish on this market as are all of the luxury brands.the mass market, it's a bloodbath because the demand for entry level suvs, that pricing has been cut into by the chinese automakers coming out with brands at a lower price point. that's manking it tough for all suv sales in this country it will be interesting to see what happens for the rest of this year and total demand for automobiles. >> phil lebeau for us, great stuff. other takeaways, it's even more windy in shanghai than on downing street for theresa may. >> i'm sure that got a lot of attention, but it was a good speech, citing the economic backdrbac backdrop as a reason for the election. >> it was a good speech. also a great hit from our phil labeau in chang high. > shanghai. >> coming up, why adidas is saying i'm sorry. >>> welcome back. a developing story. former president george h.w. bush is being treated in a houston hospital for a mild case of pneumonia. a spokesman said he is ekt pexp to recover. the 92-year-old was admitted on friday with cough. president bush is in very

daimler lifted. earnings climbed to 4 billion euros.rofit at mercedes-benz jumped 60% driven by a surge in sales during the quarter where it sold 60% more cars than a year ago. toyota is warning that the u.s. auto market has ached and will shrink this year despite unprecedented incentive to attract buyers. president bob carter said industrywide livers may fall from last year's record, 17.5 million. the discounts are at their highest ever after total u.s. sales declined in each of the first two months of this year. that is your bloomberg's no/. matt and manus. matt: thank you. president trump held a meeting with cabinet members and several ceos to address issues such as taxes, manufacturing, and a dog frank reform plan. we spoke to the man seated on the presidents left in this video. to expect a plan from the white house on tax reform. >> i am not sure because it is very complicated. if the numbers were easy someone would have rented it and sent it to you. to accomplish something in that area, there has to be something taken away. from o

matt: daimler raised its earnings forecast. what is the outlook for the sector?in is with the chairman, carlos ghosn. haslinda? that is that southeast asia will contribute to that growth going forward. , a growing people middle class. aspirations of wanting to own a car. given the uncertainty in europe, given the possibility of a hard brexit, given the possibility of over negotiation of nafta, asia makes sense. carlos ghosn, are you excited by what you saw? what is it you saw that made you excited? know,: first, as you there is a growing economy in many countries in the southeast of asia. on top of it for us, there is a very low level of modernization, something i can go up. i was in indonesia, which is hitting one million cars per year now. no more than 50 cars per 1000 residents. president, we are 10 times as level. states, 15 times this level. you can imagine our excitement. we need to make cars which are adequate for this market. affordability is an important issue. market continues to grow. haslinda: what targets my you have. toyota is leading the pack with

turned around a little this morning. , stocks leading the charge in money on the downside we have daimlera and bp. there are some of the names leading the downside move. , worthe bank's off paying attention to. let's get a first word update with juliette saly. juliette: thank you. russian investigators suspect a immigrantlamist detonated the bomb in st. petersburg yesterday. the cited a spokesman for government agency for national security. the river -- explosion in the metro killed at least 11 people and injured dozens more. the blast happened during a visit by resident puking. -- president clinton. putin.in the u.s., immigration rules are making it harder for foreign tech quarters -- workers to enter the u.s.. the immigration services committee said it is aimed to combat what it calls fraud and abuse in the program. firmsrce -- outsourcing slipped in new york trading. senate democrats have set the stage for confrontation, assembling enough votes to block president trump's supreme court nominee. packing as republicans advanced judge gorsuch's nomination in the judiciary committee, cleari

gains for daimler, shyla -- shire also trading on the upside. where the weight of the money is on the upside. saying,nd i have been seven stocks ex dividend this morning and you can see on the stoxx 600. aftereenback fell president donald trump said the strong dollar is hampering the ability of american firms to compete. he also said he won't brand china a currency manipulator. joining us now, the head of at statetegy for em ea street. he also talked about janet yellen and what we saw with the bond market and currency market. this is the one that caught my eye. that is where he was elected back in november, this is the big steepening we saw. now we're hurtling back towards the 100. what you make of it is the disappointment with what he has been able to deliver on legislative agenda thus far and that therefore challenging what he can do on the fiscal side. this is a big motivation for a lot of these reflation trades, particularly the ones put on in the wake of the u.s. election. of breakevens rising before the election due to the cyclical recover

as you look at shares of daimler, the parent of mercedes-benz it's because in is the biggest market fore most important. so the luxury market is still going strong here in china even as the overall mass market starts to slow down. guys, back to you. >> hey, phil, it's david. you know, this morning we got news about baidu about opening up on autonomous vehicles, sort of the open software platform. how important is that in terms of the chinese and what they're thinking about in terms of autonomy and sales there? how quickly are they moving on that front? >> . . >>> the future of samsung, new phone, big >>> adidas is showing an apology. after sending out an e-mail to those that survived the boston marathon race. given that three were killed and more than 260 injured in the boston marathon bombing back in 2013. boston globe reporting that a few of the survivors ran in this year's marathon. it has been a spring of marketing fails. it doesn't xhar compare to peps united. it is problematic. >> they are selling lots of stuff. >> this is an insensitive mishap, i would say. >> taking a look at st

daimler is off by almost 2% and bmw and vw. fiat is muted but that stock fell 5% in the u.s.sion. and we are also seeing a ripple effect through the japanese automakers as well. nissan off by 3%. we have the yen rising for a third day that is hurting autos and banks in japan. and wrapping up with kind of a car story. by 3% with cuts underway. they are talking about the need to transition to diversify away from videogame so we are watching that stock as we head into the open. jonathan: coming up, carlton everhart joins us on president trump's budget. up next, we talk about emerging markets and how the yield shakes off political risk in south africa. this is bloomberg. ♪ jonathan: from new york city to our viewers, worldwide, this is "bloomberg daybreak." futures are soft. losses on the s&p 500. weaker there. down one third of 1%. we switch up the board. the dollar is stronger. treasuries had a big big yesterday. we are at the bottom end of the range so far. reversible -- what a reversal. we talk about that in a moment. let's take you up to speed on the headlight outside the bu

numbers out of the companies, daimler had mercedes sales in the u.s. up 2%, volkswagen had u.s.es up 2.7%, not bad numbers but all down in sympathy for what happened yesterday. we have this risk-off width to the market. gold at 1,57 on gold, the highest level since the election in the beginning of november. ten-year was 2.31, it's up earlier since stocks opened. the lowest since the end of november. the vix up a little bit, not much but was 11, just a few days ago. ten-year is a problem, you look at the sectors, the banks are down again, the kbe primary bank etfs got 10%. banks just went positive a moment ago, they were negative at the open and the reflation trade, your industrials and energy all having trouble sort of moving into positive territory. tech which has been the market leader slightly to the downside. the hot topic is the ten-year. when traders talk about something besides the stock market pay attention because normally they don't and of course, why this is happening, this flattening of the yield curve a lot of people are attributing to the unwinding of the trump tra