daimler and bmw year. why does that affect europe? daimlerand bmw in year.ffect europe? daimler and bmw in particular have big factories in the usa and export ca i’s big factories in the usa and export cars to china and bmw says existing ta riffs cars to china and bmw says existing tariffs already cost it 300 million euros last year. then, of course, the other big political cloud hanging over the industry. that is brexit. earlier i spoke to doctor nicholas painter, the chief financial officer at bmw and i asked him what he made of the current political uncertainty, political chaos in the uk? we most likely would have to raise our prices for the products produced in the uk and shipped to other markets. increase of price means an impact on the volume you sell and would eventually lead to a reduction of produced cars in oxford, in our uk plant. c0, talking in oxford, in our uk plant. co, talking about clouds on the horizon, looking into the middle distance, are people worried that the technology that people are talking about them in frankfurt could ultimately t

with germany's economy now shrinking, the likes of bmw, vw and daimler will hope that the showcase event give their brands a much needed turbocharge. according to the european automobile manufacturers association, the auto industry provides jobs to 13.8 million europeans. however, during the first half of 2019, demand for cars across the eu fell by 3.1% to 8.2 million. and there are fears that the eu could be dragged into a trade war with the us, after president trump repeated his threat that auto tariffs are never off the table as he pressures the eu for better trading terms. however, there is one bright spot, because 1 million electric cars are expected to be sold in europe over the next year, according to ihs markit. that is a 300% increase on 2018. at the show, our reporter theo leggett met with bmw's chief financial officer, nicolas peter, and asked him first about the chinese situation. definitely we are, if you look, probably more exposed than other manufacturers. having said this, we have — and this is what is making me optimistic, the most flexible production network in the indu

having many companies start to use it here at the auto show, for example, daimler, they've been using quantum system to work on different types of materials for batteries. chemicals, materials, logistics, risk management. these are the kind of applications this is an announcement i'm pleased with we are doing this here in germany. it does allow for many firms and skills to fit here >> when we talk about quantum computing, and delving into job skills when you talk about ai and the workforce, you are looking into skills replacement you are talking about unionized work forces providing a skill set to the future. >> i've said this over and over again. i don't believe ai replaces all these jobs one of the topics i'll cover is for all of the companies here, this is about reinventing the workforce. you can't buy all the skills you need either. this is going to be everybody lives at that intersection between the job they did before that slightly keeps changing they looked at almost a quarter of the work force needs to be reinvented that is over a billion dollars we have been very dedicated. i

daimler working on new materials like batteries in cars.organ is working on things like pricing different options and risk. drug discovery. we have got a huge network of clients and now is the time to get used to it. side,d add one other there is a dark side. one dark side is that quantum can break traditional encryption that has protected most of the world. we announced some new systems last night that are prepared for quantum already. security thatur runs all of those mission-critical systems are quantum-safe. so we have been building something called lattice kind ofphy, a encryption that quantum cannot break. if i'm going to build a tool that is that powerful, i/o it to society to make sure that i also address the downside. so we put effort into preventing it from being that powerful. taylor: that was part of bloomberg's exclusive interview with ibm ceo ginni rometty. and coming up, listening in. facebook confirms it will resume collecting and transcribing user audio clips from its in-home video devices. we hear from facebook's vice pres

things like you have daimler working on new materials like batteries in cars.gan is working on how to price different options. how to look at risks differently or it drug discovery. we have a huge network of clients and now is the time to start to get used to it. now you say the word trust. there is one dark side. break traditional encryption. we announced new systems last night that to prepare for quantum already, our security in them to secure what's inside our systems to run the mission-critical systems, they are quantum safe. we have been equally building something called lattice quick to -- cryptography. that is something that quantum cannot break. if i'm going to build a to will that is that powerful, i/o into society to be sure if it has a downside that i also address that. we want to prevent that thing from being that powerful. >> that was part of our exclusive interview with the ceo of ibm. coming up, let's talk sustainable investing and hear how the world's second richest man is helping those hit hardest. that's bill gates. this is bloomberg. ♪ taylor

things like you have daimler working on new batteries in cars.ng on things like how to price different options. have to look at risks for late. drug discovery. we have a huge network of clients because now is the time to start to get used to it. now you say the word trust. there is a dark side. breaks, quantum can traditional encryption. we announced a new system last night that they are to prepare for quantum already. to secureur security what is inside our systems that run all this mission-critical systems are quantum safe. buildingeen equally something called s cryptography that quantum cannot break. this goes back to responsible searches. if i'm going to build a tool that is that powerful, i/o it to society to make sure i also address the downside. we put as much effort into that into creating something that prevents that thing from being so powerful. both sides. >> that was out of my exclusive interview with the chair of ibm. tune in more this week for more of our exclusive conversation. ibm keeps people in front of tech. you can see the ent

bmw is the largest exporter of cars of the united states followed by daimler.to punish them for what? this trade issue is driving this uncertainty and the pred could correct that tomorrow. >> but expressing alarm to the extent they will no longer support this president for a reelection bid? >> well, some of them i think just want stability. many of them would say they like the tax rebut these trade wars are simply washing away or negating, i should say, the beneficial affect but the trade issue is alarming. they couldn't vote for elizabeth warren or bernie sanders but they probably could vote for a joe biden. >> you know, to and a on as ear early. is it kind of put up or shut up right now? >> well, there's a couple of things. certainly this process has been moving forward, these investigations have been moving forward. and i think what congressman nadler is trying to do here is bring this process, these different investigations and also help strengthen their hand with regard to trying to get information and compelling witnesses to could it gives the committee o

you had daimler being charged. and then volkswagen, the ceo and the chairman and former ceo all charged with market manipulation related to diesel. not a great day for these auto stocks. david: that scandal have been going on for sometime. it keeps on going. that was not the only bad news for fiat. >> it was a victory for the e.u., which is pursuing allegations regarding its tax arrangement in luxembourg. on the flipside, you had starbucks winning the case. the court saying that the e.u. did not have enough evidence. for both of the companies, it was not super financial material. only about $30 million. apple is facing a $14 billion tax bill. what the court did not do is say that the e.u. competition commission is overreaching by looking into the text deals. it is an antitrust body. the court essentially supports the right to do that. it is going to be interesting to see what happens with apple. much to kaileyo leinz. of next, president trump made tax codes the centerpiece for his economic growth plan. two years la

you have daimler working on new materials like batteries and cars. j.p.n is working on things like how to price different options, how to look at risks differently, and drug discovery. we have a huge network of clients and now is the time to start to get used to it. now you say the word trust. i would add one side of quantum. there is a dark side. quantum can break traditional encryption. that has protected most of the world. we announced new systems last night that to prepare for quantum already. already our security in them to , secure what's inside our systems to run the mission-critical systems, they are quantum safe. we have been equally building something called lattice cryptography. it is a kind of encryption that quantum cannot break. this goes back to responsible searches. that is something that quantum cannot break. if i'm going to build a to will that is so powerful, i owe it to society to be sure if it has a downside, that i address that. we want to prevent that thing from being that powerful. taylor: that is part of bloomberg's exclusive inte

daimler responded with a separate investigation.ase alleges the former ceo and the chairman were too slow to inform investors about the emissions scandal. bank of japan governor kuroda has been talking of the virtues of negative interest rates, triggering spec election he will act next month. he repeated the bank is closer to taking action than it was in july, but avoided committing himself to a move in october. he we iterated a 2016 policy review that said short-term rates have a more powerful impact than more long-term ones. rba chief philip lowe says he agrees with a gentle pickup in the australian economy, seeing policymakers are ready to cut rates if needed. however, he stopped short of flagging limited move that some markets and economists have factored in for next week. the aussie dollar rose on its comments while a cut on the current cash rate of 1% fell. >> after having been through a soft patch, a gentle turning point seems to have been reached. we are not expecting a return to strong economic growth in the near term, but

large banks, they were way down as you can see here other big cap european names like siemens and daimler and glen corps, they were also weak. this is the tale of two continents it europe versus the united states it's been a similar theme for years. lousy manufacturing numbers out of europe have revived concerns about slowing growth over there. flash manufacturing pmi fell to the lowest level in ten years in europe this has been going on for ages. european stocks have been flat for the last four years. there you see the white line on the bottom, the s&p is up 50%, there's the orange line. what do we have that they don't? we have growth and a more dynamic economy, kelly, and we have positive interest rates, a byproduct of that growth and a stronger economy there are a lot of people concerned with these numbers today, so weak in europe that germany may in fact be slipping into some kind of recession at this point there's been speculation about that for months now. >> getting harder to ignore. bob, thanks. appreciate it. >> world leaders are converging on the u.n. general assembly today. gre

lauren: a major penalty for mercedes-benz parent company, daimler.g cars that cheated on diesel emissions. the fine came in at the end of the -- lower end of the expectations. four years ago the environmental protection agency exposed volkswagen for cheating on diesel emissions. cheryl: take a look at wall street this morning. this will be the story of the day. futures, we are down 73 points right now, s&p down 10, nasdaq down 39 and three quarters. the impeachment inquiry, all the things happening at the united nations, trade talks, all of it, a lot on investors' minds today. also still ahead, there is a company that tracks how you watch tv and movies and they've just been charged with fraud by the fcc. and a popular retailer is finally joining the 21st century. marshall's finally gets to embrace the internet. lauren: i'm excited. cheryl: we're going to have details of that. i know, it took them forever. you're watching "fbn: a.m." ♪ don't go breaking my heart. ♪ i won't go breaking your heart. ♪ don't go breaking my heart. oh, wow. you two are goin

in terms of gainers, sap, novo daimler rising.f losers, even with the rising price of oil. down.r is european markets opening slightly down. really little change. german industrial data weighing on sentiment. treasury yields compounding ahead of gains ahead of job data , nonfarm payrolls at of the u.s. later this afternoon. joining us now is saker anwar nusseibeh, ceo, hermes fund managers. let me ask you what you think bonds andselloff in the jump in yields we saw globally yesterday. do you think the market has meetingaked out by the between the u.s. and china, or are they repositioning what could become extreme longs in bonds? saker: i think it is a combination of both. very clearly the market thanks the fact we have the meeting in october, and there was a phone call between chinese officials and the american treasury, all of these .2 the posturing -- point to the posturing. at the end ofe last week, we thought there would never the a trade deal and we would have a slowdown. there is, but not that extreme. there is belief now we

things like daimler working on new materials like batteries in cars.pmorgan is working on things like how to price different kinds of options. how to look at risk differently. and drug discovery. so we have got a huge network of clients, and now is the time to start to get used to it. now you say the word trust. i would add one other side of quantum. there is a dark side. one dark side of it is that quantum can break traditional encryption that has protected most of the world. we announced to some new systems last night that are prepared for quantum already. and already, our security that runs all of those mission-critical systems are quantum-safe. and so we have been equally building something called lattice cryptography, a kind of encryption that quantum cannot break. in this, to me, goes back to responsible stewardship. if i'm going to build a tool that is that powerful, i owe it to society to make sure that i also address the downside. so we put as much effort into that to then prevent that thing from being that powerful. taylor: that was part of b

lawmakers inched closer to blocking this no-deal brexit scenario daimler, bmw, volkswagen up more thancent top of mind for investors obviously it's brexit. the u.k. parliament moving to seize control of the process as the situation there continues to spiral willem marx has the latest from london. >> last night we saw boris johnson expel more than 20 members of his own conservative party because they refused to vote alongside his government. that was to take control of the parliamentary schedule today, and because opposition lawmakers together with those conservative rebels have now taken control of the parliamentary schedule, that means in a few hours' time they'll be voting on a fresh piece of legislation designed to block that possibility of a no-deal brexit at the end of october. boris johnson has insisted he wanted to hold onto that scenario as a negotiating threat as he meets with his european counter parts next month he says without that threat he won't be able to force a better concession from the europeans, something that would potentially pass through parliament after theresa

could be the luxury sector, the auto sector, daimler, be dumb -- bmw. are the stocks to watch. i would like to know credit suisse has turned overweight on global stocks. many others are not there yet. other banks are still reducing their holdings. i would say tt coulalso help, as well. anna: sam, roche, what's the latest? sam: good results from one of their breast cancer treatments this morning and also broker up grades -- upgrades from bank of america. anna: european bas, dani? dani: missed yesterday after draghi's decision, but important as investors go through the details. there was a boost for banks but the low rate for credit suisse will weigh on them. you might see that action today. we saw morgan stanley downgrading bmp, french bank at risk. anna: we'll keep an eye on that. thanks. the pound is spiking, as we look at a live shot of london. this is bloomberg. ♪ here, it all starts with a simple... hello! -hi! how can i help? a data plan for everyone. everyone? everyone. let's send to everyone! [ camera clicking ] wifi up there? -ahhh. sure, why no

matt: look, i have sampled a lot of the electric products from volkswagen, bmw, daimler.the problems is infrastructure. you can't really buy one of those vehicles if you want to travel long distances without freaking out about filling up. if we get the support of the german government, is it a win-win for the companies? ofa: absolutely, because one the big focuses will be on electric vehicles, getting subsidies for electric vehicles. in a way, it will force the companies to innovate more, and invest in alternative mobility. matt: -- nejra: i read an opinion piece that said germans will have to reconcile their love for gas guzzling suv's with the desire to move forward on cutting co2 emissions. in terms of flying, the element of this, and lufthansa could win if we have raised prices? anna: the cheaper flights, competitors being undermined, so lufthansa could benefit. but quite frankly, the air and flight issue in my personal view is one that is more emotional than rational. i think that is something that voters want to hear, but i don't expect those changes to be really si

daimler is getting an 870 million euro fine over supervisory duties in the vehicle certifications. --this comes on the news earlier from the day, that volkswagen's ceo and former chairman are going to be charged with market manipulation when it comes to emissions. so not a good day if you are a german carmaker. coming up, prime minister boris johnson rebukes that the suspension of parliament -- prime minister burroughs johnson rebuked. the u.k. court decides that the suspension of parliament is unlawful. this is bloomberg. ♪ berg. ♪ alix: the pound jumping around the highs of the session. the cable rate at 1.24 after the u.k. supreme court rules prime minister boris johnson's suspension of parliament was unlawful. joining us outside the court with the latest is bloomberg's seb salerk. what exactly happened today? essentially, it is as if probation never happened. heard fromwe the court's they went in with the order, and it is a blank piece of the paper. .hey will resume tomorrow johnson is in new york and jeremy corbyn is in brighton by the seaside for his party's annual conference. b

auto industry suffered a blow as prosecutors charged top executives with market manipulation and daimlerxecutives were too slow to inform investors about the scandal. global news 24 hours a day on the air and @tictoc on twitter powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. thanks very much. let's get a check on the markets in hong kong. asian stocks on the back foot with stocks off 7/10 of 1% as trade and political risk, given the impeachment of trump. with the trade most, we are seeing the south korean won meeting the drop in currencies. off to tenths of 1%. kiwi dollar looking softer. i want to highlight moves across the bond. kiwi yields below 1.1%. a one in five chance for a rate cut today. dovish forward guidance from the central bank on the kiwi dollar. aussie bonds looking good with australia selling 10 year debts wednesday. we are waiting on a 40 year auction from japan. i had of that, seeing the five year yield off sliding to a 2016 low. u.s. features nudging higher. paul: thanks. let's get to melbourne and bring our next guest

daimler is also a shareholder in catl. you are a major player here.is industry? how competitive is it? you make a different type of cell technology than byd or lg chem. matthias: we are pretty dedicated to lithium-ion batteries. meanwhile, two years in a row we are the market leader in lithium-ion batteries. first sure, we are ready to do everything to further strengthen that. matt: what does the supply-sider look like? i know that for a long time there were talks about cobalt prices rising and may be bottlenecks in terms of delivery. can you guarantee that you can get enough of that for all of your customer's needs? give an offer to a customer, we will be able to provide and get the necessary materials to develop this. matt: what kind of growth do you expect, though? everybody at this auto show has an electric car they are showcasing or a plug-in hybrid. it's all about battery power here. what kind of growth do expect in terms of cars on the road? matthias: we are expecting a lot of growth. that is why i am sweating in the. [laughter] the whole indus

them overall here other european stocks, big names that are out there, seeman's, glenco glencore, daimlere autos are weak as well on the news of the week pmi numbers. we'll get them here in a few moments here ipos trading this week, interesting ones, i think. some of your european banks as you see on the weak side let's talk about some of the ipos another big unicorn, peloton is coming we'll see how that does on thursday at the nasdaq deborah group, one of the big global entertainment groups, they do representation for talent, they'll be over at the -- here at the nyse on friday 19 million shares at 30 to 32. the ipo parade continues finally, the first lady was here as you saw she was talking about be best, an anti-cyberbullying group, walking by here. pleasant, of course, woman, talking by us. and asked her how she was doing. she said we're here to promote the be best organization and they're, of course, with fourth grade students at the united nations. she was here with a group of them earlier today nice to see her down here on the floor. guys, back to you. >> to the bond pits as well,

she did not sign that letter, general motors a lot of big car companies, general motors for one, daimler-benzor another, did not sign that letter only a few did look, the industry asked us to lower the regulatory barriers to safe and cheaper cars. let me make one more point you mentioned methane and so forth. the united states has the cleanest air and water of all the major industrial countries we want to look at problems for clean air and water? have a look at our friends in china. that's the issue there. >> nobody wants to go there. >> we have, we have reopened our energy industry. there is an executive order that the nec and others participated in so we will make permitting faster we will open the doors to pipelines, to various installations for lng, so forth. so look where we are and this goes right to the economy. look where we are here. >> larry, we are getting the hard wrap from your people, i'm afraid. >> plentiful and cheap energy to power america forward. i think that's zbl. >> larry, we have to wrap there. great to see you, my friend. >> thank you. >> thank you so much for coming o

siemens, daimler, all week sara, back to you. >> i just want to pick up on that data, sarah the u.s. market improved, but it's not just manufacturing and not just germany that was the standout weakness of the data, but german services pmi was below 50 as well the french numbers showed both declining, just above 50 i think this is a broadening out of the problems we've seen in the euro zone after a couple of weeks when people had started to say, okay, the international picture has plateaued, it's not getting worse again >> the question is, the new stimulus from the ecb, will it work can it turn the tide >> based on last week's takeup fo it was very tepid, showing just make liquidity available doesn't solve the problem of lack of demand so i know you asked lagarde, is this the hardest job you've had yet, and definitely is she said she likes daunting tasks. meantime, wework ceo kaum nadama is facing pressure david faber joining us now with the latest so what do we know about mr. newman at this point >> well, we know we're not going to learn about his fate today, sarah, at least. that's

when you talk to europe companies as daimler benz who are established both in the u.s. and mexico.y say what needs to be understood by the u.s. government is that we are producing in mexico not for the u.s. market only. we are producing in mexico which is as a platform for other markets, for world wide markets. and i think that one of the problems that we have now with these very nationalistic approach to trade issues in the u.s. is that there are certain areas of the u.s. government that are not open to understanding the global value chains. and on the contrary, what they are proposing is like going back 30 or 40 years to the concept of value chains and production and trade. so we have these two challenges, how to progress inside the pacific alliance in our relationships and also with central america on the one hand, and on the secondhand is how to make the pacific alliance more visible in the u.s. and make the u.s. understand both the government and the private sector understands better these opportunities. >> yes. >> yeah. i mean, i just want to say that i think that the pacific