it comes as daimler posted an 80% plunge in first quarter operating profits. daimler restarted machines at its mercedes plants this week, but as the figures show, the return to work is by no means business as usual. >> workers trickled through the gates of the dialer plant after four weeks of coronavirus closure. just a few steps into their workplace, staff are reminded that these are not normal times. however, mask work no mask, many planned to be back. finally a return to evereryday life full everyone is healthy and we are glad to businesses running again and we can get back to work. volkswagen staff are also getting back on the job. vw reopened this plant in slovakia and it factorory in a n eaeastern g germantown. otother sites will follow soon. bmbmw is the last of t the germn giantsts to reawaken. it hopes to open idled plants next month. the return of workers to production lines like at daimler plus engine factory is crucial not just for the carmakers themselves in the showrooms they supply, it is also essential for the rest of the supply chain which is

has warned by a first quarter sink up to 70% you can see daimler shares are holding up up about 0.7%underperforming in the auto pace let's get out to annetta with this story from frankfurt. it seems as if the share price reaction was already baked into the price. what more can you tell us? >> caller: that's exactly the case it seems investors seem to be quite stable they have that credit line today, we are reassuring investors of the liquidity to get through the crisis and that they think they are in a good position to weather the storm and restart successfully after the crisis is over talking about restarting their production on monday as the majority of their plans. demand for their vehicle is still low. demand is around 15% we can always speculate the first quarter. because the demand in europe being more or less locked down people are not going to buy a lot of cars especially in the luxury sector. in terms of guidance, there is no clear guidance. they are skipping their guidance and just saying sales will be below last year. already last year was a very bad year for daimler to gi

daimler arend trading strongly.vel and leisure sector in without sector, but the auto sector is trading strongly. these are heavyweight industrial companies. to a certain extent, after the briefing last night, which was so dramatically grim, volkswagen and daimler saying things are bad but relative to ford they look ok. that is the market interpretation. the autos have done relatively well. ford was so bad. the sector was hit incredibly hard by the prices and we are trying to figure out how to reopen showrooms and factories. the banks have done ok. they are bouncing back. of 4.88%. at the bottom end of the market, it is the defensive sectors not trading as strongly. they are not being sold. the health care sector is down a little bit, food and beverage sector is doing ok, it is not being sold, the staples are not being sold. it is interesting to look at the market dynamics on a day-to-day basis. those sectors hold their ground, and the most beaten up sector leapfrog. it is interesting they continue to hold their gro

daimler just reporting their first quarter results. a lot of focus on their liquidity and free cash positions. daimler announcing per luminary first quarter -- preliminary first quarter figures are in line with a trend they communicated earlier. the group coming in for 2020 below the prior year, and per luminary first quarter 10rcedes-benz coming in that 5 million euros. bloomberg intelligence had anticipated significant industrial free cash burn and the first half. management already confirmed it against daimler reporting results with first quarter ebb milliong in at 617 euros. let's get a quick check of the broader markets and how trading is getting underway in asia. seeing a move to futures this morning. to slightly under pressure. nikkei futures in chicago just holding study, but heading slightly lower this morning. keeping and i on chipmakers after solid results from texas instruments. the euro ahead of the european uterus -- european leaders meeting. checking in on the hong kong dollar stained of the strong and -- end. the intere

daimler out this morning, as well as volkswagen. huge daily of earnings today -- deluge of earnings today. it will be interesting to see how that affects the market, which opens in 20 minutes. anna: we will look to that market open. let's talk about the coronavirus right now and sweden's strategy to contain the spread of covid-19 has garnered international attention as europe's outlier. unlike in the rest of the continent, schools, gyms, cafÉs, barbershops have stayed open. sweden's death rate is higher than elsewhere in scandinavia at nearly 22 per 100,000 inhabitants, but it is well below the levels and other european nations, both in absolute and relative terms. let's talk now to lena hallengren, sweden's minister for health and social affairs. really good to speak to you, minister, this morning. why do you think that the swedish death toll as measured per head of population is worse than your other scandinavia neighbors? >> good morning. i think it is a bit too early to or the swedish strategy and the death toll with any specifi

look at what is happening with daimler.oming out with positive statements in terms of the fact it believes the current crisis will accelerate its restructuring. it finds itself in a fairly good situation. dime lurked catching a bid. the car sector trading strongly relative to the market. , but relative.3% to the market outperformance coming through. the biggest story may be european equities being low-volume. different than what we are seeing in the u.s. in contrast, the s&p is up on the day and the energy sector is the upper former along with the real estate sector. new york route is up 4%. brent is negative to flat. we saw a huge bill within the commodity complex in terms of oil last week. it was 15 million barrels. so big i had to do three double takes. the u.s. is still able to export crude. production is showing some signs of rolling over already as demand continues to crater. bad news already priced in. the dollar losing some steam, although still stronger against the euro. guy? guy: let's get back to the breaking new

daimler closed factories in march to reserve cash.started a gradual ramp up in production. that is your bloomberg business flash. vonnie: let's get to futures in focus now. we are going to chicago to be joined by phil streible, chief market strategist at blue line futures. we have wti now trading at a whopping $16.45 a barrel. what is your sense for what the oil market is signaling right now? phil: i think really come of the contract you want to focus on is that july because it broke through $20. june has a lot of restrictions on it. some are putting june on liquidation only. that seen a lot rollout of june contract, but i think july is somewhat supportive here. we are working your way out of this phase two in the economy right now. this is kind of the bridge between the liquidation going into more of an economic recovery. we think the supply and demand is still in balanced right now. we are seeing some movement into the strategic petroleum reserves, but we do think that will prices probably upset their low at the moment. vonnie: you

daimler has joined major companies scrapping its forecast amid the coronavirus pandemic.will talk earnings and about with andrew season from morgan stanley. that's next. ♪ anna: welcome back to the european market open. 85 minutes ago -- 35 minutes to go to the start of the equity trading day. let's talk about earnings season. daimler joins major companies scrapping forecasts after the coronavirus pandemic takes its toll. the carmaker is abandoning a projection for significantly higher annual profit that was made just two months ago. that announcement came alongside a slew of corporate earnings and oil prices rebounding for a third day. the chief cross asset strategist at morgan stanley with us. i've been reading your notes ahead of the conversation. i felt quite uplifted. you talk about how it is in the interest of the global economy to tackle the pandemic properly. whilst that might sound obvious, there's a lot of economic pressure coming to bear on policymakers to change course. liftingd be cautious of lockdowns to soon from an economic perspective? >> i would. this is

daimler and volkswagen -- bmw are also behind this. opinions vary how such a scheme would be.t: a glimmer of hope for soccer fans, the german soccer league on thursday to outline a proposal to restart the bundesliga season without spectators. the league may need special permission from the german government. there is one sticking point. the coronavirus testing could be key to any proposal for soccer. >> the german football league wants to get back to business. if the season fails to restart, they stand to lose 300 million euros in tv money andnd estimatd 700 50 million euros overall. contact in football is inevitable. the league has drawn up a plan with hygiene guidelines to play the remaining league games behind closed doors. it w would include limiting the number of people on the stadium grounds into 300, split into three zones. the german health minister has expressed openness to restarting the league on may 9 under conditions. >> if it can be achieved with a reduced or as far as possible excluded risk of infection, it can happen. it needs to be evaluated. >> one of the con

the pmis we are seeing a big reaction volkswagen down, daimler, bmw down 4%.ravel and leisure has been the hardest hit over the last month or so. we are seeing more losses accumulate for the airlines as well as the accumulation intercontinental being one of the hardest hit. banks are also in focus in a very big way major u.s. lenders will scrap dividend payments. you can see we'll show you the bank stocks. first, let's get out to steve to round out this move for what this means to be scrapping is this the right move steve? >> it seems to be the right move you've got a situation where the economy could be in greater crisis than we saw in 2008, 2011 it could well be from back in 1930's territory the last thing banks need to worry about is bonuses, buybacks and dividends. one of the big criticisms in the last financial crisis, 10, 11 years ago was the fact that the banks pulled a lot of credit lines to individuals who could have been okay if they were given a little bit of leeway it is logical that if the economy is facing a crisis, the banks are facing a crisis.

provisions for bad loans, and saying it may have to make further allowances. ,he parent of mercedes-benz daimlerficantly higher -- predicting a significantly higher profit but saying it is hard to tell how much earnings will fall. that is your bloomberg business flash. tom: with us is jeff currie of goldman sachs. i have been watching the collapse of ethanol and hydrocarbons, but far more interesting is sugar indra bill -- in brazil buttressed up against the challenges of politics and the riau -- real. give us the goldman sachs call that links into a diminishing brazilian real. jeff: the entire commodity complex is facing a similar story. the supply is sticky to the downside. the demand has collapsed in the current environment. now,ook at the plantings they are likely to suggest a normal harvest in the northern hemisphere across the complex if you look at ethanol -- complex. if you look at ethanol, demand has collapsed. it is not just the demand of demand. is the food sugar is not big enough to offset that, so the key is some of the agriculture commodities, particularly corn, you are looking up

this comes a midst a growing list of companies including tesla, daimler, ericcson and others advise against the use of the app as security concerns begin to mount >>> harvard rejecting the roughly $900 million in aid. las vegas workers rejecting calls from the mayor to reopen citing safety concerns union representatives say employees should only return when security is secure an employee adding, we are not test subjects. >> we will discuss this off line talking about how huge alcohol sale have gone up and people talking about nips throughout the day. >> i know nothing about that >> not us. we are on tv >>> every tank, every hole in the ground in america is filled with oil there is almost no room to store it tanker ship companies are reaping a windfall because producers are paying huge money to keep their store off shore. euro nav is one of the leaders joining us here, the numbers here we heard yesterday were staggering the question is how long do you foresee these kinds of rates and the demand for your services and storage now lasting? >> thank you for inviting me we believe it is going to

in the case of daimler and erickson, they use microsoft software, which competes against zoom. really for meetings with clients, meetings with partners, external meetings and internal meetings between employees who just prefer zoom. curious about your thoughts on whether zoom stacks up to these other companies. significantly more insecure than some of these other platforms? or do some of these users, are they just not taking the proper protections? you should not be putting in open zoom link out there without a password, right? >> there has been throughout this process a great deal of user error when it comes to zoom. --ot of the features zoom emily: i have to jump in. the president is stepping up to the podium at the white house briefing. the way in soing many different ways. i am pleased harvard and stanford and princeton and numerous other universities and colleges, large businesses have sent funds back to us. we are pleased to report the out. have either not gone renegotiated. in a couple of cases, they are sending it back immediately. i think it was very nice. i want to th

nejra: daimler confirming its 2020 guidance.ted with a gradual ramp up of production and net liquidity of industrial operations down to 9.3 billion euros at the end of the first quarter, but it's really the guidance line to draw your attention to. we just had a conversation with standard chartered cfo, and we were both trying to get guidance in terms of credit loss provisions for 2020. he said it is hard to predict those, but they will clearly be higher than recent years. he would not commit on the dividend, the buyback, guidance. what we can tell you is people a lot less branding. remy cointreau sees sales dropping. , currentull year 5.25ting profit is a lower. it's a pretty stunning blowup number. revenue drops 25%. full-year profit down, so they are giving guidance, and you know where people drink remy cointreau. it's in china. he got a little bit of vw. you got the car is what happened? nejra: i know. for someone who doesn't even have a driving license. severely below 2019, that is the red headline, so seeing sales revenue s

shares are trading about 1.7% higher >>> daimler is expects mercedes to book higher this year despiteutbreak the full year earnings will fall adding that it faces a difficult second quarter that may include, a quote, prolonged down turn carrefour posted first quarter sales of almost $19.5 billion euros. saying the crisiser in the four-year plan >> iberdrola, the spanish renewable firm got a boost providing a 484 million euro capital gain speaking with us this morning, laying out how the company is laying out the model for the company's lockdown >> caller: we are aware of the problem and in the condition for payment in those countries especially in those countries where people are able to pay most of those places they already paid by the bank and others by the check. they are not able to leave the house or pay their bills >> looking at spain more broadly, the country has unveiled a plan to lift its lockdown announcing a four-phase feature carrying from province to prove insurance. it has no date but is expected to carry out to june the infection rate and number of care beds will be con

let's take a look at autos you can see daimler shares up 6.3% volkswagen up 7% porsche up 8.1%. we've heard from automakers taking steps to shore up their balance sheets to shore the crisis investors responding as well renault up 12% some major moves the china angle, one of the more cyclical move, china let's take a look at european banks. a lot of debate around dividends with the ubs coming out defending its dividend you've got a stronger moving uni credit up 6.4% and over in germany commerce bank and deutsche bank both trading more than 4% higher. let's take a look at airlines as well as the aerospace defense sector this part of themarket very much in focus. rolls-royce, shares up 15.5% they have come out they have scrapped their guidance for the year. they've also suspended their dividend and they have announced new measures to shore up their balance sheet. investors like what they see there. this was widely expected by the market that is providing a bit of a boost to the aerospace and airline stocks >> fascinating example of how investors at the moment are just trying to dis

auto stocks this morning we are seeing green there for the most part across the auto majors bmw and daimler are bucking trend, trading in negative territory. volkswagen up 8% renault up 1.7%. we are now seeing some au automakers who stood down production as the coronavirus hit begin to reopen their factories. a few announcements to highlight for you, but that's a theme auto investors are now factoring in when it comes to trading those auto stocks. on that note, let me give you a bit of detail around what we've heard over the weekend and the last 24 hours. volkswagen will begin gradually resuming work at two of its major european factories today its decision to open replants in germany and slovakian capital how they can bring the industry back to work after the shutdown. bmw plans to reopen european factories. the germany auto giant reported an 81% drop in first quarter profits and withdrew its outlook for the year the germany premier and prostive successor to angel merkel, he said he wants to see more support for automakers >>> volvo cars is set to reopen factories and offices in sweden aft

volkswagen saying they're restarting productions, daimler restarting production. again, it's an interim success but hopefully it will stay like that back to you. >> i know the entire world is watching annette, thank you very much just what annette was talking about, they call it the rt, to put things in perspective, at the height of this, the transmission ratio in new york city was over four in new jersey it was close to that, one person was getting three or four other people sick. that's why it expanded so quickly. >>> when we come back, it is back to business and a potential bankruptcy for a big retail name you know and potentially a very big red flag for department stores everywhere. >>> plus, congress racing against time to refill its already tapped out small business loan program. we have a live report on how likely it is we inject another $310 billion in that program and soon we're back right after this. awesome internet. it's more than just fast. it keeps all your devices running smoothly. with built-in security that protects your kids... ...no matter what

clarity and instead we got more confusion, both on the supply chain and on these new cdc recommend daimler-chryslers. i have a couple of doctors with me as well as kristen welker. let me start with dr. lehner is with me. let me start with you and try to get some understanding of the president presented this new cdc recommendations on face cover g coverings which some might argue he might have undercut when he said it's voluntary, i'm not going to do it. is that a message that helps convince people to wear a face cover? >> no. it's actually characteristic of every other mental we've gotten from president trump since the beginning of this whole pandemic where he for many, many weeks inappropriately was reassuring everybody that everything is fine. it will be over by april. the magical cure will happen and so on and so forth. this was the latest and overtly hypocritical message i've ever heard from anybody that my government just announced new recommendations that everyone should wear a mask, but i am not going to. i am flabbergasted how people will even interpret that message with a coupling with what

reopening some shops and a daimler plant. resuming bund is leg a soccer practice and advising people to wear masks in public. german chancellor angela merkel who has a doctorate in kem tri is urging caution. despite the fragile success, germany is still at the beginning of this pandemic. peter, kristen? >> sarah harman on the ground for us in london today. thank you. >>> how about a little good news this morning. >> we could take it. >> we sure can. how about that. our routines have all been disrupted due to the coronavirus, of course. but it hasn't stopped one young boy from continuing his morning ritual of reciting the pledge of allegiance. >> pledge allegiance to the flag -- >> could not be cuter. that is 4-year-old cj in staten island new york reciting the pledge which was once part of his routine at preschool. now he says it at home every single morning. >> guess what he's inspired more than 50 people to join him through zoom, including teachers, friends and family all across the country. some health care workers and mem

we see gains in volkswagen and daimler.les dropping the most on record, car shares are up. also gainingres after production and capex update that made the market more optimistic. you can see investors buying those shares and boosting them more than 4%. man group facing redemption after $10.7 billion of losses. looks like that bow is rising with the tide. don't forget, we will interview the ceo of man group after 9:00 a.m. u.k. times to stick with us for that. anna? anna: talking about things on vmh move, looking at the l and l'oreal the biggest gainers on the index right now. both reported numbers and said the recovery could start soon. the optimism sent to both stocks climbing this morning, as we see in the first 15 minutes of trade. that is despite the coronavirus causing sales to plunge in the first quarter. the pandemic shutdown luxury boutiques across the world. while much of europe and the united states remains in lockdown, shops have been opening up in china. joining us now with more from new york is annmarie hordern

daimler, ericsson, and bank of america are those banning zoom because of security concerns. tesla and government agencies in asia they d -- that deem zoom to be unsafe. zoom now claims 300 million daily users. india's looking at 10-year note as it surge after the reserve bank announced plans to redeploy debt operations similar to the fed's operation twist. let's get more from our asia credit reporter in mumbai. why has the r.b.i. returned to ins tool that it used last january? >> the r.b.i. is redeploying this operation because the nation's debt market is showing signs of strain from the government borrowing plan. traders are worried about issuance because foreign funds have been fleeing. the world's largest democracy is under a lockdown to control the outbreak of coronavirus. after the announcement, we saw government bond yields plunging by the most in a month. just to share some numbers, under the debt operation, the r.b.i. will be buying $1.3 billion of long-term debt. that is basically government bonds maturing between 2026 and 2030. still in equal -- an equal amount. th

earnings from volkswagen, daimler, and tesla will show the extent of the damage from the pandemic andt is shaping their plans. wednesday is also a big day on the economic front. u.s.ll get a reading of first-quarter gdp, expected to drop for the first time in six years and on the same day the fed will hold its first monetary policy meeting since january. europet our attention to , where the ecb will announce its latest policy decision. is expected to leave rates on hold, it could boost its bond buying program. matt: deutsche bank says its first-quarter results will beat analyst expectations. the lender announce parliament re-figures overnight, posting surprise profit for the first three months of the year. ouring us now for more is german banks reporter on the phone from frankfurt. talk me through the biggest surprises here. >> the biggest surprises certainly a very strong revenue reporting. they did not say with the are, but fixed income trading is probably -- anna: so fixed income trading, looking for positives there. when we look at what u.s. banks have told us, the bad debt story,

daimler says sales and operating profit slumped.as startedsays it a gradual ramp up of production. ford forecasts in the second quarter, more than $5 billion loss. that is about $2 billion more than analysts projected. it is one more sign of how the pandemic is hammering the auto industry. ford expects to see in every region significant sales declines. the company also says it will delay until 2022 start of its self driving vehicle service. shares of alphabet higher today. cloud and parent's you do business is kept growing amid the pandemic. sales rising 14%, beating estimates. crumpled,, ad sales but still weren't as bad as expected. alix: thanks so much. 'sr more on alphabet ourings, we are joined by bloomberg analyst. a second. ads for do we have visibility of what it will be like in the second quarter? reporter: the pain is going to continue. we have some visibility for the .onth of april from strong in january and february 2 almost declining by mid-march, and that trend continued into april. there are some signs that some aspec

sources say daimler ericsson and bank of america are among those banning staff from using zoom becauseoncerns. they join tesla and government agencies in asia who have deemed zoom to be unsafe. zoom shares have surged in the work from home era and it now claims 300 million daily users. haidi: we are setting up for a mixed open going into this friday. final session of the week, new zealand seeing modest upside, just up .3%, rallying for a second day. we spoke with the finance minister earlier on who was fairly optimistic going into the partial reopening of the economy. at gets underway as of monday night after this knocked down that they have had that has taken the economy to a standstill. futures in australia were looking pretty mixed across the rest of the region. futures in australia were looking pretty positive but now kind of looking fairly flat at this point. we are also looking at a little bit of upside when it comes to the start of trading in hong kong, this after u.s. stocks coming under pressure again amidst the volatile session after jobless claims again. 26.5 million jobless

daimler resuming work at an engine plant that had been shut down for one month.,000 infections. france had you just link to the virus making it forth country to record more than what he thousand tallies behind only italy, spain and the united states. unappointed in hong kong rose for a six-month adding the highest level since october 2010. the total figure for people and work slumped by 3.6% extending the longest stretch of rises since the aftermath of the financial crisis. the coronavirus and months of anti-beijing protests that economy with the labor force tricky by 2%. in the city -- the labor force shrinking by 2%. will hanh is rejecting any role in spreading the infection around the world amid speculation in the u.s. and elsewhere. disease laboratory tonight the virus escaped by mistake or was liberally released. telling the china state meet at that the patient your had no contact with staff. global news 24 hours a day on air and at quicktake by bloomberg. than 2700 more journalists and analysts in more than 120 countries. i am carita mitchell. this is bloom

to better protect against tampering as a growing list of agencies and companies including tesla, daimler and bank of america are reportedly advising against concerns stocks have been on a quarterly tear as people are wondering what is happening with the encryption situation >> that is giving our producer here ideas you can't get decent information from six people. you can't. you need like eight. pretty soon, andrew, we'll have 40 -- just put them all there at once let them all talk at the same time get it out of the way. anyway, coming up, eli lily just reporting. we'll bring you all the numbers on that reporting. plus crude prices are rising this morning we have that going we'll talk to a ceo of a major tanker company that's coming up these days, it's anything but business as usual. that's why working together is more important than ever. at&t is committed to keeping you connected. so you can keep your patients cared for. your customers served. your students inspired. and your employees closer than ever. our network is resilient. our people are strong. our job is to keep your business c