certainly daimler.hey always said we did not do anything wrong, which is i think certainly not the case and even four years after diesel gate was opened if you want, after the case was opened, we still talk about these things and we still hear the same kind of excuses from daimler. this is certainly not good but on the other hand, the german authorities like the kba, they come four years later with still some discoveries so to say and this is certainly also everything is but positive that it takes so long to come up with these things. >> jurgen, you talk about daimler's excuses. let's talk what they said over the last 24 hours. they blamed the rise in provisions on various on going government proceedings and measures the company has given no further detail to the media or investors than that. what do you think that actually means? >> i think this is principally one diesel engine which is investigated by german authorities. this is not completely new we knew that this is german kba. if you want this auto

daimler dumped. issues a third profit warning in a year and puts out the press release on a sunday night. good morning and welcome to bloomberg markets, this is the european open. i am matt miller alongside anna edwards in london. into theminutes trading day. stoxx 600 -- 459 to the upside. the overall moves are not stunning. some of the moves coming from small names. the biotech industry, positive test results coming out for parts of that business. weekend,ng in over the late friday night, four point higher for that german distributor. h2o, that stock up. not making of for last week's losses. 2.6% as a french retailer sells the majority of its interests in china. brokers giving positive responses to that. , this business is putting out a statement talking about cyberattacks think it will have a material impact on the business. to normal returning they say. and daimler down by 3.4% on the back of another profit warning. at us get a bloomberg first word business update. the u.s. plans to announce a ma

daimler is down more 4.5%.rd profit warning for the year over at -- over emissions issues. let's do a read across across the markets. that section, autos and suppliers, are the biggest losers. attack they cyber faced in early june which affected their information system across a number of countries. materially impacted financial results. to the upside, or stead, one of the biggest gainers. it is one of the world's biggest suppliers of wind energy. buildinggoing to be this off the atlantic coast close to atlantic city. francine: annmarie hordern there with some of the major stock movers. let's get to first word news. >> the u.s. plans to announce major new sanctions against iran . this just days after trump called off airstrikes at the last minute after the islamic republic shot down a navy drone. the president says he is willing to negotiate with tehran to ensure the nation never acquires nuclear weapons. >> i am not looking for war and itthere is, it will billy -- will be obliteration like you have never seen

the third profit warning from daimler in a year. straight to get oliver. now from munich. a row fore third in this new ceo. >> the new ceo just came in on may. we had two warnings before that. these three are all coming at the same time. he has not had enough time as a ceo to change things a lot, but investors are going to start saying thereis and must be some thing fundamental here. going to start asking, what is the real reason? it is the time to look deeper into daimler and european automakers who have had specific warnings in the last year or so. nejra: for investors, it could get worse from here. >> absolutely. there are critical events coming up. set of the second emissions rules coming in september. they nearly sent germany into a recession last year. starting 2020 we have carbon dioxide rules that could spell really big fines for european automakers. many up for question how -- how much emissions their fleets will have. it could get a lot worse. nejra: great to have you with us. there are a couple stocks we are going to be watching ahead of the ope

and daimler's third profit warning.lashing its prospects again in the latest black mark for the european auto industry. david: welcome to "bloomberg daybreak," on this monday, june 24. the special representative to the united states has said we need to bring iran into line. when you talk that way, it sounds sort of like regime change. alix: true. come to the table or watch the economy crumble. really have to wonder what coming to the table actually means. david: one of the problems is you put so much pressure on the country, they come together in opposition to you rather than saying-- rather than we want a new leader. alix: there's still so much demand worries offsetting geopolitical risk. coming on to any highs into the g20. euro-dollar still up, up 2/10 of 1%, despite the german info data rolling over. it feels like a fed backstop story to me. david: time now for your morning brief, looking at a busy week ahead. secretary of state mike pompeo travels to india today in the midst of a growing dispute over tariffs. housi

daimler and other car companies are due to meet the german government about the industry's future lateroment. up next newsbriefing, we'll take you through ther stories making headlines in the global news media today. nhs england is to open its first gambling addiction clinic for children and young adults. it comes after research found more than 50,000 children have a gambling problem. lauren moss reports. 18 months ago whenjack was 24, he took his life while on a gap year in vietnam after losing money on a bed. he started gambling in sheffield with his friends when he was 17 but it was a habit that spiralled into addiction. he didn't think it was u nsafe. addiction. he didn't think it was unsafe. and i think he felt, in the end, that it controlled him and that is why he died, really because he felt he would never be free of it. jack's parents now run a charity to support other families. they welcoming the news clinic for teenagers and young people with gambling problems will open later last year in london and what has now been an adult only service. 450,000 children are regularly bettin

. >> daimler with another profit warning. huawei is the focus of deepening geopolitical controversy. >> it has distanced itself from the chinese military. there is a workaround to the blacklisting. >> malaysia's president is not satisfied with goldman's offer to settle the 1md case. >> goldman sells me a killing on this. >> the fed stays in the spotlight. top officials talk to us about policy plans. >> 50 basis points would be overdone. >> it's too early to know whether we should use the tool at all. and what magnitude we should apply. >> it's all straight ahead on bloomberg best. ♪ >> hello and welcome. i am taylor riggs. this is bloomberg best, your weekly review of the most important business news analysis and interviews from bloomberg television around the world. let's start with the day by day look at the top headlines. president trump made it clear he was ready to impose additional economic sanctions on iran. on monday, he followed through on that pledge. >> president trump today imposing sanctions on the supreme leader

that could potentially be a candidate to go public separately from dive into that's also because daimler is also facing its own problems the car sales have been down they've cut its guidance for the 3rd time in a year and also diesel good has been weighing down in it and what it does is that it the old value of the share in which the truck division play such a major role is also subdued so now analysts believe that once it goes separately the independence that it gets would actually bring the true value that the unit demand or or should be given and that's the idea behind. analysts suggesting that diamond could be a company that could look at actually splitting its division as it goes from the french to thank you. and now to some of the other global business news making headlines today. lego may already own the rights to sell the london eye as a toy but now lego's parent company is going to buy the real we'll lego on a kirkby will take over britain's merlin entertainment as holmes madame tussaud's people combine forces with the u.s. private equity group blackstone and the canadian pensio

daimler another profit warning. this is a bit of a surprise.ere's a bit in the market, pushed back for the time being. danske bank,k -- the chief executive being forced to step down. bank down 3.08%. that is look at european markets. vonnie: after last week, you are seeing a little more nuanced this week. the 10 year yield moving down through the session already, down for basis points. at 2.01 a moment ago. crude oil down 1%. barrel andd $57 a gold futures putting on the pounds, up 1.4%, close to $40.20 an ounce. if you look at the indices, you can see we are not moving a lot of broader indices. stocks moving on deal stories. celgene and bristol myers are moving. conoco phillips is there for some reason. what i meant was capital one, one of the banks the did less well on the fed stress test. capital one is down 1.7%. mgm resorts is up 2%. a halo effect on all the casino stocks. just to show you the s&p 500 is not moving a lot right now. guy: i will try to transition off of conoco phillips and we will talk about what is happening with the oil sp

you pronounce daimler in the german way? right, mr trump you pronounce daimler in the german way?. g20 starts on thursday, they will be meeting friday or saturday. there have been some quite high hopes they would get some kind of progress, we are not going to see any kind of deal, these things take weeks, months or years to really sort out. but we might get some kind of declaration or something like that. it is hopeful. but over the last few days, the hopes have been slightly fading, there is not good mood music, as they say foster we can talk to samira about this. she is down by the seaside. no, she's not! it is new york! we are actuallyjust ata it is new york! we are actuallyjust at a seaport, which is a long the body of water, we decided to come out here because what better location to talk about trade than to be ata location to talk about trade than to be at a port where you see a lot of goods coming in and out of this area? the goods coming in and out of this area ? the focus goods coming in and out of this area? the focus this week in new york for investors will certainly be

daimler shares falling more than 3% in the early trade.y're down more than 17% in the last year. >>> and bitcoin surging above the 11,000 mark early this morning. that's its highest level in more than 15 months bitcoin is now up 75% in the last year. brian, back over to you. >> frank, we'll see you in just a bit. thank you very much. >>> when we come back, we have a lot more to do, much more from philadelphia as we continue to track the fallout following that massive blast at the largest oil and gas refinery on the east coast. >>> but first, exclusive comments from the u.s. envoy to iran as president trump threatens billions of dollars and more tariffs on the republic. >>> top adviser to president xi jinping on the best and worst case scenarios for the big trump/xi face-to-face at the g20 later on this week "worldwide exchange" back on a monday right after this. rts. excuse me, where is gate 87? you should be mad at non-seasoned travelers. and they took my toothpaste away. and you should be mad at people who take unnecessary risks. how dar

. >> daimler with another profit warning.is the focus of deepening geopolitical controversy. >> it has distanced itself from

daimler says hi three digit million amount is being put to one side bottom of saturday, 6erman regulatorst the company to recall 60,000 diesel cars it found were fitted with software to cheat emissions tests. written's serious fraud office i said that five people have been arrested over the collapse of the cafe chain patisserie valerie possible investment that market investors lost hundreds of millions of dollars when the company went to demonstration in january after a black hole of around 120 mullis was discovered in its accounts which led to more than half of the chain's 206 stores to close —— 100 $20 million. one of china's top milk makers has signed a deal with the us drinks giant coca—cola as joint beverages and dairy sponsors for the olympic 6ames starting in 2021, until 2030 to put up coca—cola's previous deal ran until 2020 and the new agreement makes it the longest olympic sponsor having first supported the games way backin having first supported the games way back in 1928. let's go to asia because the french supermarket giant carrefour is to scale back its presence in china pos

daimler cut the trade expectations by hundreds of millions of euros.t said government proceedings related to diesel vehicles is a big expense. german car makers have faced years of scrutiny after the 2015 admissions scandal. the news destroyed the confidence. not even buzz light jeer could fly high enough to meet disney's expectations. >> let's kaboom. >> "toy story 4" brought in 118 million bucks in america. that was a little short of the 140 that many had hoped for. the film has a 98% rating. think the particularically acclaimed. featuring tom hanks and woody allen. more important than opening weekend is staying strong over time. that would be southerly -- sorrily needed. >> can disney keep the audiences. >>> earle whether i start continues right now with the latest. >>> i'm not looking for par, and if it is, it will be obliteration like you've never seen before. >> president trump is willing to meet with iran without preconditions. is that still true after the latest threats. >>> college debt could be wiped out from a new plan from bernie sanders. w

germany's daimler says a "high three digit million amount" is being put aside.ars that it found were fitted with software to cheat emissions tests. in 30 years, one in four of us in this country will be over 65. that's one way of looking at what called the old age dependency ratio, how many pensioners there are against people of working age. now on the face of it, that's a worrying statistic. it means that in 2050 there will be about 370 pensioners for every 1,000 workers. at the moment it's just above 300 per 1,000. but it's not as simple as it looks. increasingly pensioners continue to work after retirement age. of those thousand people of working age, how many are actually working? if all of them are it makes it a lot easier to support the pensioners. quite a complicated subject. sarah crofts is from the office for national statistics centre for ageing and demographics. this old—age dependency ratio, it is not a terribly good way of looking at the way in which pensioners depend on the rest of society to live. what is a better way to look at it? the old-age de

showing a drop in morale among german businesses as well as by mercedes benz parent company daimler. shares of the carmaker dropped 4% as it drastically scaled back its earnings outlook. wall street meanwhile has been seeing big gains for the month of june stocks tried it to stay on that upwards path but we saw the s. and p. five hundred nasdaq. both a turning down between about point to one point 3% at the closing bell shares the casino operator caesars meanwhile surged 16%. on news that its debt and business will be taken over by eldorado resorts. the price a bit coin has surged above eleven thousand dollars for the first time in sixteen months. crypto currency is seen a resurgence in recent weeks and was boosted by facebook's announcement that it was launching its own digital currency libra. that has renewed interest in and optimism about the technology despite ongoing concerns about regulation. facebook is facing congressional scrutiny over its proposal. the g. twenty summit at the end of this week could produce a breakthrough in the ongoing trade war between the world's two larg

not is down to chrysler -- chrysler, daimler, absolutely flat.is bloomberg. ♪ ♪ the let's check in with bloomberg first word news. here with the details, renita young. kailey: the supreme court --renita: the supreme court has refused to hear a challenge to president trump's steel tariffs. ae justices left in place decision that ruled against the steel industry trade group. it had argued the president doesn't have the congressional authority to regulate trade. the afghan taliban has told local broadcast outlets to stop airing ads that criticize the insurgent group. the taliban is threatening violent repercussions if they don't cease running within a week. at least 65 reporters and media workers have been killed since the 2001 u.s. led invasion of afghanistan according to the committee to protect journalists. democratic presidential hopeful bernie sanders's to cancel on $.6 trillion -- hopeful bernie cancel $1.6s to debt by of student loan taxing wall street. he will read the proposed legislation today. fractional taxes on stock and bond trades. la

. ♪ >> it's the third profit warning in a year from daimler, the automaker blaming a bigger than expectedown about the scandal for a long time. the new ceo has only been in the seat for a year. he was left holding the bag. what's the story? >> the problems have been happening for a while. the question is why are they coming. the last two profit warnings there were always different reason. once it was trade, other times it was other emissions topics, there's always some sort of reason, and today it is the diesel scandal. after three profit warnings investors will have to take a look and ask if there something fundamental they are not seeing in financial disclosures. ♪ ford is eliminating around 20% of its european workforce by the end of next year. this is the detail we've been waiting for from the original plan. >> that's right. they started telling us in a piecemeal fashion that they are restructuring the european business. $1.3 billionut over the past two years, and they were consistently losing market share in europe. now they have told us they are in effect closing a number of plants

. >> daimler with another profit warning. focus of deepening geopolitical controversy. >> it has distanced itself from

daimler is cutting the full-year profit forecast because of cost related to regulatory scrutiny overl powered vehicles. ofy say they face extra fees a high three digit million euro amount. they targeted a slightly higher earnings this year but say the additional burning -- burden will get full-year profits now forecasted similar to last year. paul: fast retailing planning to raise wages next year. they will boost salaries for management employees to encourage top workers. annual pay will be raised to $180,000 of workers in the u.s. and europe and $90,000 for those in japan. the average salary was $80,000 last year. shery: softbank group founder wants to relist with a british ship maker within five years. for $32 bought arm billion in 2016. they want the uk's largest -- they were the largest tech company in the u.k. at the time. son hasn't decided where will be held. paul: still to come, the malaysian prime minister sits down with bloomberg to talk about the exclusive -- the u.s.-china trade war and more besides. that story is coming up next. and a check of the markets as well. this i

not just because it's export oriented, but we have had a bunch of profit warnings yesterday we had daimler warning. today more bad news when it comes to the renault and nissan merger renault is trading down about 1% on that report as well that nissan are indeed turning cold when it comes to the future alliance between the two just a quick recap of the positive sectors basic resources up 0.9%. tech up 0.5% >>> the french consulting firm capgemini has agreed to buy altran technologies in a 3$3.6 billion euro deal. that could create a group with revenues around 17 billion euros annually capgemini says the deal will allow them to capitalize on altran's engineering and r & d the deal will require regulatory approval. >>> shares in some of the top tech listings plunged on monday. video chat company zoom debuted with a 72% pop back in april it closed down 11% that wiped 2$2.8 billion off its market cap 2019's best performing ipo, beyond meat, dropped 8.5%. those two weren't alone. slack, cloud strike, lyft and uber all recorded significant share price declines the ceo of box talked about the shar

daimler and volkswagen also .eighing on the stoxx 600 there are real movers in the auto sector, theyeighing on the index. china'sbreaking news on index, also entering a bear market, it has lost 3% since april. we continue -- it has lost 20% since april. china'swt i crude and chinext, and a number of indexes hitting bear markets. ecb officials meet in lithuania today. the central bank will decide whether to follow its mobile peers and turn toward looser monetary policy. investors are calling for action as the euro area faces warning signs from weak data to plunging inflation expectations. joining us now from lithuania is maria tadeo. how dovish do you expect draghi to sound today? maria: that is a good question. the elements are in for a dovish mario draghi. you look at the growth picture for the euro area, it is shaky. political risks are very much in the picture, especially in italy. what can mario draghi do? the most dovish thing he can do is change the forward guidance. the ecb has said they will keep rates low. seeg change today could 2019 move forward to 2020, that is something

meanwhile, daimler cutting its forecast, citing higher than expected costs related to its diesel vehicles record highs here in the u.s., it's worth noting two of the develop three etfs are based in europe we're talking greece and russia rallying more than 25% since the start of the year. let's also pivot to turkey, which is seeing its currency gain ground after president erdogan suffered a huge defeat in istanbul. the vote has prompted hopes for economic and political change, a slowing economy, and soaring unemployment has weakened support for erdogan over the past year. turkey's country etf, one of the few trading down in 2019 but barring any health problem or a possible coup, steven cook of the counsel on foreign relations shows erdogan staying in power until the next presidential election in 2023. the prospect of u.s. sanctions on turkey following its purchase of a russian defense system has strained relations between the two countries. it's worth noting, the u.s. stores 90 nuclear weapons at turkey's incirlik, air base and this has been a debate about creating other options for the un

bmw and daimler are working on cooperating.ose parts together, save costs in areas where customers don't really care, and then still have the separate branding and a much happier antitrust regulator. matt: thanks very much for joining us. bloomberg's german auto reporter oliver. up next, we bring you some of the stocks on the move. including european tech companies after broadcom came out with a warning that her to the entire tech sector. this is bloomberg. ♪ matt: welcome back to "bloomberg markets." 40 minutes into the trading day and looking at declines across european equity indexes. american officials have released images they say show iran was involved in an attack on the tanker near the entrance to the persian gulf. one pair of incidents that have raised tensions over the past days. spoke exclusively to the u.s. energy secretary about the accusations. thatfully suspect secretary pompeo, as well as others, havend reached that conclusion based on intel they have seen. i trust their judgment but look forward to getting back

david: let's have a look at dime. -- at daimler. of its diesel powered vehicles. --y face they had targeted higher earnings this year but says the additional burden will hit any second-quarter and four-year profit is forecast to be similar to last year. rishaad: the softbank founder says he wants to relist the british chart -- chipmaker arm holdings within five years. it was the uk's largest listed tech company at the time and its products can be found in almost every smartphone and tablet. he says he has not decided where the new public offering will be held. yvonne: let's take a look at some movers. when it comes to equities we are seeing some big movers in hong kong. here.lk it has been down substantially the last three days. tech stocks. down 3%. a lot chip stocks falling in japan after the u.s. blacklisted five chinese tech firms. a shanghai petrochemical falling 10.5%. still figuring out what is going on there. cathay pacific lowering targets when it comes to price targets. we are seeing the stock down some 2%, close to that.

. >> you used to work for ford and, i believe, also daimler, correct?he tweeted out a week ago sunday we're going to slap these 5% tariffs on mexico, they've got to do something to stop the flow of my grant across the border, it's hitting record highs, you know, certainly we can understand that. but then he says don't worry. if we puerto the tariffs in, you'll see a lot of companies down south move to u.s.. is he right on that? >> yeah, you know, this is a long lead time industry. it makes years to execute decisions like the location of an engine plant or the location of a manufacturing or an assembly plant. so, you know, it's really hard for companies to be able to move out of the way of these pipes of tariff announcements. really what we want and what we've enjoyed the benefit of is the supply chains that move vehicles back and forth across the border. this has led to more investment in the united states and more vehicle production. that's a win/win for consumers and american workers. liz: last week a letter was sent sign by 17 or so different automak

daimler cutting its four-year profit forecast because of costs with regulatory scrutiny of diesel powereds. the mercedes-benz parent faces extra fees of a three digit million euro amount. they targeted higher earnings but said the additional burden will hit the second quarter. the full-year profit is progress -- forecast to similar last year. retailing planning to raise wages next year according to nikkei news. the owner will boost salaries for management track employees to encourage top workers. any will pay will be raised to $180,000 for workers in the u.s. and europe and $90,000 for those in japan. the average retailing salary was $80,000 last year area shery: the softbank group founder wants to read list british ship maker arm holdings in a few years. he bought it in 2016. it was the largest listed tech company at the time and products are found in almost every smart on and tablet. son hasn't decided where will be held. suning.com is planning to buy an 80% stake in car for. they are paying $700 million in cash for the deal which is awaiting regulatory approval but expected to close by

. >> right i like to know how much of that is consumers not spending as much how much of it is daimlerear records, record highs suggests the economy is still is going strong. maybe slowing down but still going strong on the other hand we've bond yields that are dropping to 2% or lower which is just the economy is really slowing maybe towards recession. >> when message do you take stocks strong economy bonds weak economy. >> it is obviously, a mixed bag, excuse me, the one thing of we do tend to look at is sector performance one thing you had this year was basically, a broad participation across all secretaries of state with the exception of health care, health care is the only sector that is not up double digits, the -- the fear of missing out is greater than anything right now, that is why you've got equities rallying but also bonds doing well. and the reason for it is i don't want to bee just cash i need to be sofaed to asset class if going into equities, more low vilt defensive posture uncertainty about q3, q4 holding for me. >> one of the ones that we're keeping eye on, is the mate

i look at our investment in daimler and bmw, toyota, and our international product. they are doing the right steps to stay competitive in these areas. alix: david, always good to catch up with you. david herro, harris associates cio of international equity. secretarying up, wilbur ross says g20 is not the place for a trade deal, necessarily. we will discuss the trade conflict with republican senator and former u.s. trade representative rob portman. that is next. this is bloomberg. ♪ david: china was already the biggest issue on the international agenda with the trade conflict and the meetings coming up in osaka later this month, but now civil unrest has over extradition legislation. we welcome now from capitol hill republican senator rob portman finance member of the and foreign relations committees. let's start with the hong kong situation. we had speaker pelosi this morning saying we should revisit our trade relations with hong kong. we still have relatively free trade relations with hong kong as opposed to china. sick entry ross says he's not sure it should be pul

caroline: we saw today in europe daimler cutting its profit forecast for a third time. outperforming compared to benchmarks. what is going on? you would have thought there would be less trade exposure. >> small caps are underperforming large by about 1500 basis points over the last year. it has been sizable. it comes down to earnings. if the economy is slowing, slow cap earnings growth will slow far more than large-cap. also, you have the bump up last year from taxes. the other thing i don't always agree with is trade wars are more of a large cap issue. not really true. small-cap companies are suppliers to large-cap companies. if the large-cap companies see any problems, small cap suppliers will get hit. for the second quarter earnings look to be down about 11% for small. not much better than where we were in the first quarter. large-cap earnings will be about flat. that is a meaningful gap in earnings and performance. romaine: you mentioned the potential fed cuts we will get. how do financials perform? earlier this year, they had a great quarter. now we are expecting a

germany‘s daimler says a "high three digit million amount" is being put aside.ay out a lot of money in advance because they pay their rent quarterly. it means a lot of money being paid out today without any real guarantees they will get that money back from sales. we are talking about this a lot lately because a number of high—profile firms have had to rely on paying that rent upfront and then rely on renegotiating those arounds with landlords. we know topshop and the arcadia group, they are in the process of trying to renegotiate theirs. they have just got that deal through with their landlords. nonetheless, a difficult time for them. at the same time we know a number of other retailers have gone to their landlords and said, give us a deal or the firm may go under. a number of firms have been struggling with that. bhs the biggest casualty, failing to come to a deal with its landlord and therefore it had to close, putting thousands ofjobs at risk and its pensions concerns, too. we will come back to that story in a second. we will run you through the other busine