tensions soaring let's go now live to jerusalem where our correspondent tanya kramer's standing by dani what's the latest you're hearing from gaza well as you said you've seen over the past seven weeks these protests always on fridays and today is the big day all of the organizers that are all political faction have called for people to come out to the border area and we seeing more and more people in the thousands going to what steve border area in gaza they getting first reports from the palestinian health officials there the red crescent saying that over twenty people at this time of eighty have been wounded by teargas but also by sniper on the mission sniper fire now israel has saying they're fearing that masses of people might reach the fence that's why they have strengthened their forces more stocks to just have been brought in more troops have been stationed around this. heavy machinery as far as we understand now what the protesters there one there were talking recently about you know making the words look back what's happening in gaza is mainly these young people going out to protest

guy: be careful what you wish for. danivolatility -- you can make money on volatility. rightit has to be the kind of volatility. that is the trick. it would seem this wasn't quite the right type. it is not to say they plunged like in february when you had the sharp shift in trends. instead, they have been moving sideways and's february. cta's as a whole have unchanged. but more so, this is indicative of what we saw in the market. we saw change in the dollar's direction, commodities direction, rates direction. again and again, it is not that trends are choppy, they almost don't exist. there is no clear direction for or for any of quants investor to capitalize on. you see a trend in the dollar and how important is that for your investing? predicting currencies, you are asking inequity guide to do that? because it has been one of the big trends we have had for a while. i scratch my head at times wondering why the dollar has weak.o weak thing -- we are heading toward potentially 4% unemployment in the u.s.. it wasn't long ago t

dani: i was i can tell you exactly what it would be. that would be wonderful.that markets are complex. these alternatives are not really great at digesting some of the complexity. take what is happened in turkey and italy.these are events with a lot of moving pieces. if we do get an event and the outdoor cannot decide what is moving the market, they might step back. and like that of gratitude of if you can't spot the sucker at the table in the first 30 minutes, it's you. that is the sort of mentality these hsp's will take on. spreads will widen and investors would not be able to buy, it sort of snowballed from there. guy: to questions. implications for investors, talk to me about -- markets are different. the implications for investors in what? dani: i think the thing is not to panic. you need to know these risks are there otherwise you will panic. don't be bold by security because of these strong macroeconomic backdrop. guy: thank you very much, indeed. coming up next, the eu slams the u.k. describing its brexit plans as little short of fancy. what does it mea

burger,nk you, dani talking about what is happening with this em story. delivering commentary in zurich. we are waiting for him to speak. l talkalk about -- we wil about conversations with shire reaching a megadeal, next. this is bloomberg. ♪ matt: 42 minutes in the trading day. we are looking at losses in frankfurt -- frankfurt and paris. what's go to sebastian. -- let's go to sebastian. sebastian: two data -- takeda has reached an agreement to buy shire for 46 billion pounds. the move will transform takeda and boost its have to the united states. comcast is looking to carry on its brand and services if it is expected to take over sky. companies are lighting up financing for potential payments -- lining up financing for potential payment assets to compete with disney. it is talking to investment banks about obtaining bridge financing approval. have agreed to sell its stake in oil plans for canadian natural resources, with the goal of reducing debt. million shares.6 in canadian natural for 3.3 billion u.s. dollars. shares are being offered at $34, 10 each

dani burger joins us. what is behind this rally in this week that? talk about this move into havens. not classifyould as havens. a whopping 30 basis points this year. a lot of this is foreign investors moving into this. goldman sachs, they like to use this expected loss, it shows that triple c -- are the most overvalued since 2007. very overvalued. investorsy of saying are not getting adequate compensation for the risk they are taking. matt: absolutely, this chart you showsus on tv how tight the spreads are. hit hard thiseen year. if you are not willing to take on duration risk as an investor in the current climate and where it seems like the fed will raise rates, an investment grade, longer duration than triple c. matt: what do you see investors doing recently? yields have then going all over the place. volatility is back big time. it had been but it is incredible what we are seeing today. you are an investor outside of the u.s. and want to buy credit, you will not by investment grade because you need adequate yield considering what hedge costs

let's get more from dani burger on this issue, and our markets and quants reporter. what it impossible? dani: this is how much you could lose any given day. if you are a bank, an investment house, a real money investor, typically you have more complicated models to judge your risk. if we have a crazy day like earlier this week and the amount you lose in day goes beyond what you have in var, that is when we shock of risk managers saying to reduce your position. i brought a chart with me of the italian two-year bond. lot, but in this a have charted it in terms of standard deviations. 15 standard deviation moves here. matt: unbelievable. i love this chart, because you are looking at one day moves in a bar graph. it is always great to see how crazy that was but i have never seen anything that i remember moving 15 standard deviations away from its 90 days score. dani: it is supposed to be one in 3 trillion euro event that is supposed to happen. you look at the sensei may be my models are off. maybe i need to know these things might happen. matt: smack some investors around on

mark: [inaudible] were we take a look at some of the most telling charts of the day, what they mean for investors. danius today. ani: a growing emergence of investors and hedge funds, which have fallen for three consecutive weeks straight before this week. let's take a look at what they have done. you can see that over here, hedge funds started the selloff e.m. shares as real money investors held steadfast. in fact, real money investors are here at the end, on the blue line. this is the most bullish they have been on record. and this spread out here, this 2010e biggest spread since at least. this is as far back as the data goes. they both can't be right. so far, e.m. is rallying. it looks like real money has the win at this moment. this is that btv 1318. the tubeame in on today, which gives danny a bit of a bonus point. it is equal and fair, what do you have? to do withe has argentina. we have not had much to do with argentina, but we have talked a little bit about emerging markets. out, yesterday, we saw the 100 year bond plummets, back up to 8%, a level we have not seen for a while because the ims is

. >> dani burger, thank you. this is what we are looking at in the markets.the biggest fall january 2017. down by 8.5%. next trading higher. unicredit on the back of its numbers, eating all expectations, treating -- trading higher by 2%. p at a significantly lower level. rbs up by nearly 5%. we are not done yet. we will be talking about italy, silvio berlusconi, not standing in the way of the five-star party. talking aboutre this being a nightmare scenario for the italian economy. will markets price it that way? we will talk about italy next and how they will price this. >> settling subprime. theears after the crash, stock has agreed to pay $4.9 billion to settle securities claims. the numbers from australia in the moment. way of atanding in the populist coalition being formed in italy. the five-star and silvio berlusconi finding common ground. with thesia shocks election of a 92-year-old prime minister. we are going to focus on the voices -- forces roiling in emerging markets. european markets are quite mixed at the moment, fairly flat. there are some really

dani and workers are paid just about to want to know what chinese workers receive the equivalent of just one hundred euros a month this year in china as you know the global economy is not that well you see a lot of factories shutting down moving to southeast asia. we're going to be are now moving to indonesia malaysia those areas you see especially in the tomato paste business you see a lot of pressure moving to africa countries. but so were the world the first to talk in this stuff to establish our presence was closer to the market. can chinese tomatoes are cheaper than fresh tomatoes grown in ghana. so purchasing chinese tomatoes destroys the local market.

now i turn, as promised, to stereotypical danie stormy daniels' lawyer, michael avenatti. what does this mean, why is this happening? and is it partly because of your litigation? >> well, ari, i think there's no question that it largely stems from our litigation and the amount of pressure that we have put on the administration, mr. trump, and mr. cohen over the last eight to ten weeks. you know, some people take an issue with the way that we've approached this case. i stand behind it 110%. i think it yielded tremendous results on a number of different fronts. but, look, what does this show? here's what it shows. it shows that the american people have been repeatedly lied to by michael cohen, by david schwartz, the gentlemen that was interviewed by megyn kelly. he lied on this network repeatedly, lied on cnn repeatedly, lied on panels that i was with him repeatedly. they've been lied to by white house spokespeople. and they've been lied to by their president. the president stood on air force one, on videotape. and you had me on that day. i remember it very, very well. you had me

what is out? let's find out. joining us, our markets and quants reporter, dani burger. dani: they don't like banks.jpmorgan, citigroup, bank of america, all three were among the top most sold stocks among these reports. a lot of this is a valuation play. we have seen a lot of institutions move to various regions in europe because it looks cheaper. it is a value play and when we look at the charts, they sold right when financials were topping out. if you look up the momentum of these financial stocks, they topped out in about february. banks start to lose favor with various hedge funds and other institutions. no sign of relief as we continue to see the yield curve flattening and other forces going against banks. guy: is apple out? that was a surprising takeaway, how bearish institutions seemed about apple. they reduced their holdings in apple by the most since at least 2008. that is as far back as we have data for these filings. apple,y one who liked warren buffett, piling and 75 million shares. perhaps he kept apple afloat. guy: somebody likes them. let's think about the macro trends that hedge fun

danie daniels payoff, but as it turns out he did. >> i have no idea what he was up to for the better part of january 2017 up through april of this year. you're talking about a 16-month time period. and during that time period michael cohen is holding himself out as the personal counsel to the president of the united states, and the president is agreeing with that all the way up through april of this year on air force one. >> but he's also calling himself the president's personal lawyer in e-mails. because you put out this e-mail today and tweeted it out. michael cohen sent to keith davidson, stormy daniels' attorney. let's put it up there. and michael cohen writes i lost all my contacts as i had to get a new phone. please send me all your contact information. also why did anthony back out of abc to do the story? let me know how you want to communicate. and again it says personal attorney to president donald j. trump. >> right, he's holding himself out, and this is two hours after the fbi raid. so even 48 hours after the fbi raid he's continuing to represen

what do they mean for you, the investor? dani burger is kicking things off today. back. >> the dollar is falling for the first day this week, but the damage is already done. we are looking at the carry trade in emerging markets. that is the white line right here. it has done very well, but the blue line, the dollar, as we have seen it rise the past few weeks, the e.m. carry trade is officially in the red. this is a 2% decline for the year. -- is at mark: and what do you have, vonnie? vonnie: the thinking was going that there was it's been chilled for a massive short squeeze in viewsllar because bearish had risen to a record and treasury yields were likely to go higher. treasury bearish bets are also at a record. but you are converging right down there. that might cap any kind of topping, increase, or appreciation for the dollar. it will be an interesting dynamic between those two sets a -- those two sets of very bearish investors. title. loved dani's yllogismie jumps in s to her part. the winner is both of you. this is bloomberg. trade, only one third reserved for

look i have all just thought i wasn't getting this in lopping what i meant to pick up more than two on that a little sheer poor dany be. the result slavery continues to infect charcoal production and the entire supply chain that feeds. this is the industrial zone on the outskirts of modern where most of the pig and factories are located and according to the evidence that we've been given and the testimonies we've heard one of these companies is allegedly still involved in buying illegally produced charcoal made by slave labor. because of. the. element as a good engine. will do so and. yes and that is a lie the needs as much americans. produces three hundred and thirty thousand tons of pig on every year relying on charcoal to heat its furnace it's. in the slave camps of the amazon it's an open secret where some of the charcoal comes from first. and do you know to work companies or weigh the truck always go out i will quote one if in my little book. in two thousand and ten called the pot executives were photographed with his then brazilian president lula to get the company has a lengthy record of using slaves tainted

what we're saying."until recently...danie lle's home was completely wired in every room with the amazon echo.used the alexa app to do everything from turn up the heat to turn off the lights.but danielle told us via skype that two weeks ago-- their love for alexa changed with an alarming phone call.danielle / amazon alexa user:"the person on the other line said 'unplug your alexa devices right now!'"that person was one of her husband's employees-- calling from seattle."we go around and unplug them all and he proceeded to tell us that he had recieved, audio files, recordings from what was going on in our house."danielle says her amazon device in her portland home recorded a private conversation--and sent that recording to a random contact--which was the employee in seattle.and she repeatedly called amazon. she says an alexa engineer investiged."our engineers went though your logs. they saw exactly what you told us, exactly what you said happened, and we're sorry." "we're sorry?" (catherine) that wraps (catherine) "we're sorry?"we're sorry." "we're sorry?" (catherine) that wraps up kron 4 news a

danieli the italian steel manuf. china and russia are jumping to a very bad because that is exactly what i was watching just that period and scoop up they're going to dinner before the break there are plenty of players to fill the breach here for me this is why sanctions or. sections are a blunt weapon yes it will not achieve policy objectives go ahead and basically it's one there and you know these sanctions are a bomb around. with mark that one thousand nine hundred six measure is old date that precisely because the e.u. achieved its aim everything is now digitalized you could not escape control there is no will bend can secret the e.u. officials have recognized that three months ago that you cannot keep your information your bank information secret it's on the record in the united states and in the west globally i'm afraid that you sanctions are going to make a masochist out of me i love the sanction russia some more six months or more but even such an issue some more sanctions tell it will go to chile going to go there we're going to go to the break here but this is really gets down to it's law it's law fair it's l

giant alliance the german insurance company danieli the italian steel manufacturer and china and russia i just think you very much because i did exactly what i did just that bit and soup up that we're going to give you for the break there are plenty of players will that will fill the breach here and this is why sanctions are is a sections are a blunt weapon yes it will not achieve policy objectives go ahead of basically it's one there and you know these sanctions are a bomb around. i agree with mark that the one thousand nine hundred six measure is old date that precisely because the e.u. achieved its aim everything is now digitalized you could long to escape control there is no more secret the e.u. officials have recognized that three months ago that you can now want to keep your information your bank information secret it's on the record in the united states and in the west globally i'm afraid the e.u. sanctions are going to make a masochist out of me i love the sanction russia some more six months or more but even. more sanctions south korea tell it will go to chile going to go to war with me that it's going to break here but this is re

giant alliance the german insurance company danieli the italian steel manufacturer and china and russia i just think you very much because i did exactly what i did actually exist that bid and swoop up then you got to get everybody out of the break there are plenty of players who will that will fill the breach here this is why sanctions are .

giant alliance the german insurance company danieli the italian steel manufacturer and china and russia i just think you very much because i did exactly what i was watching just that period and soup up that we're going to give over the break there are plenty of players will that will fill the breach here only this is why sanctions are sections are a blunt weapon yes it will not achieve policy objectives go ahead and basically it's a bomb there and you know these things are a bomb around. with mark that the one thousand nine hundred six measure is old date that precisely because the e.u. achieved its aim everything that is now digitalized you could not escape control there is no will bend secret the e.u. officials have recognized that three months ago that you can no want to keep your information your bank information secret it's on the record in the united states and in the west globally i'm afraid that you sanctions are going to make a masochist out of me i love the sanction russia some more sanction me some more but even such an issue some more sanctions korea tell us we're going to be going to go to our view that alex is going to break

giant alliance the german insurance company danieli the italian steel manufacturer and china and russia i just think you very much because i did exactly what i did actually exist that period and swoop up they're going to give everybody the break there are plenty of players who will that will fill the breach here only this is why sanctions are. a blunt weapon yes it will not achieve policy.

. >> what's new is the allegations were larger than the payment to danie daniels which got him in so much trouble. >> we also asked if that could create more criminal exposure. >> do you believe any financial dealings with these women were properly reported at the time or like stormy daniels, do you believe they also might create other exposure for donald trump? >> i think they may create additional exposure. >> that's the view from michael cohen's antagonist. but in another twist, fitting for 2018 today, "the new york times" reports avenatti looking at teaming up in a deal with an ally of trump and cohen's -- former white house communications director anthony scaramucci, the two reportedly pitching a joint tv show to cable networks, including msnbc. it's not clear if such a show is anywhere close to an actual formal pitch or how stormy daniels might feel about her lawyer working in partnership with someone on the trump team. cohen's troubles reports he tried to get qatar to pay him a million bucks. "the new yorker" reporting cohen's financial records were leaked by a whistle-blower

dani danielle pletka and jon mecham. let me start with your colleague, robert, dan balls and what he wrote friday morning. larger reaction to everything we have learned. does it bother anyone that president trump has been caught lying, does it bother anyone that the president has been shown to be a liar? that's not somebody who throws the "l" word around. >> one of the best. he brings up an important question. for republicans i'm covering, they do not seem to be breaking with president trump. they have bought the ticket. they're taking the ride. they're sticking with president trump. for those suburban voters who watch this with the misstatements, lies, you do wonder, do the voters who may have went from the middle to president trump in 2016, do they flip back this year? >> danielle, "the wall street journal" editorial page. a dispute over speaking with special counsel robert mueller, mr. trump should worry americans will stop believing anything he says. >> this should bother us from the standpoint of leadership as americans. we want a president who we can trust. that i think is very separate from the pol

what is the positioning like? cta people are going to go with the flow, they are trend followers. but it looks like the market is short dollars. daninitely seems like it is to the downside. -- buy definitely seems like it is to the downside. there was a big headwind of automated funds buying the dollar. now that they are neutral at this point, they don't have that headwind. if it is just they are going on, because that is what the traders, this is much more gradual. what the trend is, this is much more gradual. people are talking about the rest of the year being much quieter. below 15 would indicate a big shift in terms of the signal the market is expecting. could we see that? is that effectively what is happening, transitioning from one. to the next? periodsitioning from one to the next and now the markets are coming down? -- calming down? >> the markets needed to adjust and now they are neutral. that would indicate a more calm market. guy: dani burger, joining us, our markets and comms reporter. head ofth us, the strategy at ubs. we are atlking -- talking about turkey, argentina, a big week for argentina. even indonesia, teh darl

what is said to the press. that's political. >> are you confident that michael cohen never told president trump that "i made this payment in order to keep you out of trouble with stormy danie daniels"? >> why would i be when it wasn't for campaign purposes. it was in addition to campaign purposes, end of case. >> michael avenatti is responding to giuliani's whirlwind interview this morning. list ton what he told cnn. >> i want to ask you about the latest this morning from rudy giuliani on abc news. take a listen. >> you said thgsis is a regular arrangement he made to michael cohen. did the president make other arrangements with other women? >> i don't have knowledge of that, but if necessary, yes. >> do you think there might be other women we don't know about? >> jake, when all the facts and evidence come out, there will be evidence of payments to other women. i think that's going to be laid bare for the american people. but i have to tell you, this interview that rudy giuliani gave this morning is just the latest in a series of train wrecks for rudy giuliani and the president. they can't get their facts straight. they keep changing every interview they give. the facts tak

dani, you stay up nights thinking about arms control -- >> i can't believe you just said that about me. >> i know but it's secretly true. >> not a secret any more. >> what emissary to new york? where are we? >> think -- forgive me for saying this tv world, you think donald trump actually negotiated quite strategically in this regard. he basically told the north koreans you're not going to jerk me around. it's not going to be that way, if you think you're getting your version of the jcpoa that's not going to happen. they got the message but at the end of this and we've all talked about this before, at the end of this the reality is the north koreans know there's a good deal to be had with donald trump -- >> too good of a deal? >> possibly. >> that's a question is, you know, when donald trump -- i think is doing pretty well so far, but we've seen the bumps in the road that happen when you announce a summit without doing all of the grunt work that needs to happen in the lead up to the summit and when that happens, you get a summit without clear understandings of what is to be achieved and when donald trump has his eye on that nobel peace prize and just use