learn a lot about deutsche bank.l us about the relationship between these two and how that kind of tells you a little bit maybe about the risk culture at deutsche bank. >> exactly. the approach we took is a historical thing, what happened at deutsche bank through the decades as it built up risk. deutsche bank used to be a lending bank, and starting in the 1990's, expanding in the 1990's, expanding in the u.s., built up its risk, doing derivative deals, buying investment banks to compete with the big global investment banks, and that leads us to the early 2000's where monte dei paschi de sienna, after hundreds of years, a 500 year old bank, decided it wanted to expand and starts buying of bankshares and needs to generate cash off of those and made a perfect match in deutsche bank. deutsche bank was able to do a complicated derivatives deal with them that instead of sitting on the shares, they were able to get cash out of them, but it was a bet. when the financial crisis started to crest in 2008, that bet went bad, and

the highest penalty went to deutsche bank, at $7.2 billion. in second place was switzerland's credit suisse, at $5.3 billion, followed by american investment bank goldman sachs, at $4.9 billion. after the settlement with deutsche bank has one less problem to deal with. the $40 billion penalty originally planned would have made deutsche bank rely on government aid, which would have also caused the collapse in deutsche bank stock prices. >> tend to bring you up-to-date with the latest on the economic forum in davos, switzerland. helena humphrey is standing by for us. we know that the forum is about ideas, concepts, and in the end, economic growth. what are the proposals so far to make economic growth happened for the world? helena: it is day two of the economic forum. time to get down to some nitty-gritty and come up with solutions to global economic growth and how sluggish it has been at around 3% for the past few years. imf chief christine lagarde says that further monetary policy was needed. that will be a bitter pill to swallow for ecb head m

the litigation side from deutsche bank. ainly another one off the books for john cryan. let's see how the stock reacts to that. i think the bigger issue for banks is donald trump's latest that to the world, saying he will do something huge to dodd-frank. deutsche bank settles early. 163 million pounds. let's get to juliette saly. juliette: manus, thank you. nomura's third-quarter profit doubled after an earnings revival abroad made up for a drop in brokerage commissions. japan's largest brokerage says net income climbed to $620 million in the last three months of 2016. the firm is on course to post its third annual profit abroad in seven years after eliminating 900 jobs. pharmaceuticals plunged in new york after a court ruling invalidated a patent on its top-selling multiple sclerosis drug. the ruling could open the door to generic competition for a drug that accounts for almost 20% of sales. generic drugmakers had argued that the patent never should have been issued. teva says it will appeal. unicredit estimated 11.8 billio

more bad news for deutsche bank today. 's central bank has finished its first meeting of the year by leaving interest rates unchanged, but upgraded its forecasts for the world's third—biggest economy. the bank of japan cited rising exports, easy lending conditions and stronger government spending ahead of the 2020 olympics for the improvement. the former brazilian oil and mining tycoon eike batista has been transferred to a high—security prison in rio dejaneiro after being arrested on arrival from new york. once brazil's richest man, he has been accused of paying millions of dollars in bribes to secure contracts with rio's state government. mr batista has denied any wrongdoing. general motors and honda say they willjointly produce hydrogen fuel cell power systems in the us from 2020. the firms say they will invest $85 million each to expand a production line in michigan. the firm says the fuel cells could be used in self—driving cars, as well as by ride—sharing services. shares in sony fell by as much as 4% during early tra

banks like deutsche have got to outperform. our banks like deutsche going to outperform? early like european banks. strategy is more of a long-term view. we would probably prefer invest on the fixed income side rather than the equity side. banks in europe are still in the resisting mode. i would argue that the main difference between european and japanese banks is not in valuation the from the gross prospect. the main japanese institutions in the region of 66%. you obviously have a lot more leeway to expand your book and grow your earnings. are in thethey de-risking mood. nonperforming loans like in businesses like the asset management of deutsche. , you areoss front still a bit constrained. i would argue you have a much better risk reward if you want on thest medium-term corporate bond side been the equities side. guy: it is picture asset class. european curves have been steepening up fairly sharply. this is the portuguese ten-year. the german curve has been steepening up. peripherals have been steepening up more because of the ecb. in the states, that has proved to be a

deutsche bank's former co-ceo is restarting his career at a much smaller firm. tzgeraldng cantor as president, where he will help oversee expansion of trading and prime brokerage. he helped build deutsche into europe's biggest security firm in two decades. before stepping down in june 2015 amidst mounting regulatory problems. singapore's economic growth quickens to the fastest pace in more than three years last quarter as manufacturing rebounded. months from the previous quarter. more than double the expansion estimated by economists in a bloomberg survey. global news 24 hours a day, powered by more than 2600 journalists and analysts in more i'm juliettetries, saly this is bloomberg. up itsina has wrapped restrictions on foreign exchange. chinese citizens must pledge converted money won't be used for overseas purchase of properties, securities and insurance. our chief asia correspondent is live from hong kong from us. -- for us. >> it is really starting the new year where the old one left off. they are quite concerned about the lx -- acceleration. we are not near

deutsche bank's 100,000 something people now and cantor is at 1000 people.ir brokerage is only about the 200, so he can bring a lot of growth because they do have a lot of legroom to grow. in prime brokerage, in debt and equity sales, trading. is it posesis does that wonderful question, what do you do when you manage one of the biggest banks in the world? he is not alone, he has had bob diamond, and others, how can their paths differ, the past they have chosen not to running these big banks, which have been colossus, especially since the financial crisis? sonali: there are two huge trends, one is many are joining boutique investment banks so they can work solely with the clients, or quick large corporate transactions and that is what different [indiscernible] has been doing, for example, john mack, this is similar from merrill going into cit and helping bring in around. the big difference with cantor fitzgerald is it is a lot bigger than other firms that people are gone to and it is on the up and up, or as cit was not. it is a little different to what we hav

sebastian: deutsche bank considering an unusual approach. the seven point $2 billion settlement with the u.s. government, lending money to private equity firms and hedge funds. according to a person familiar with the matter, one option is considering it, which specializes in in buying bad ones from the government. a spokesperson declined to comment. macy's plans to cut dog fight lead 2017, 4% of its work force after holiday -- they cut the annual earnings forecast for 2016. macy's shares 10% in after-hours trading. volkswagen has been told it must face claims it led u.s. investors after installing so-called deceit devices in diesel vehicles used to cheat commission task. a judge rejected the request to shareholder claims against the chairman. could notvestors prove he knew the extent of the company's diesel issue. vw spokeswoman did not -- a spokeswoman did not comment. it adds to the iphone maker's name to a growing list. that is due in london this year. qualcomm says that according to a person familiar with the matter, foxconn and oracle i

dilemma foregal beleaguered deutsche bank. e german bank said it's willing to cooperate and pay over $600 million in fines for its connections to alleged russian money-laundering deutsche bank will pay $425 million to u.s. regulators and $204 million to you k regulators. york's department of financial services said the bank had been aware of a string of red flags facing -- dating back to 2011 and it had numerous opportunities to investigate and stop the scheme. on -- andgation covered evidence of so-called mirror traits with the bank between 2011-2015. in a statement, the superintendent said the trades like economic purpose and could've been used to facilitate money-laundering. deutsche bank is facing a series of fines and penalties in recent years. earlier this month the bank paid over $7 billion to the u.s. department of justice for its role in ms. selling mortgages which contributed to the 2008 financial crisis. reporter: let's take a look at some business headlines. expectations.ssed net income fell to 1.68 billion dollars

deutsche bank did not really have a retail and does not have a retail banking here.he way they used to do over the crisis when mortgages were they think, they were funding mortgage originators and packaging them and selling them immediately. they do not have these mortgages so they have to go buy the mortgages that they need to help relieve. this is another way of helping. vonnie: it seems so convoluted. mark: yes. it brings me to the question, is the government going to allow this or not? banks: i mean, all the have the different ways of fulfilling these duties. they get court-appointed monitors looking at whether they are sticking to the point. i would be surprised if at the beginning this of the rejected just as a way to do it because if the monitor looks carefully how the mortgages that are being relieve, the consumer is getting relief, whether it is really happening and whether the amounts are meeting the amount they promise so if they manage to do it at the monitor says you are meeting the test, that would be fine. monitorsachs has had a just like that for exam

from the former ceo of deutsche bank, one of the largest banks in the world to the number two at cantor anything about a broader shift in the business away from heav heavily regulated banks to less regulated banks? michael: i think you have seen that trend happen on a few individuals, but i would say that is still at the margins. if you look at the market shares in those businesses, the big banks are still dominant. certainly there has been some ground made up by the smaller firms. david: why did he take the job? zeke: interesting. i think this is a case of title inflation. he is the president of cancer, but in interviews, the ceo says no one will be reporting to jain and that it will not be an operational role. this might be more of a situation where he is coming in to meet with clients and regulators, but maybe not actually running the firm day today. jonathan: from a broader perspective, x ceos of large financial institutions get there and lose their job and typically they go somewhere else and do something very different. antony jenkins on the board of block chain now. how different

before deutsche bank announced $7.2 billion settlement with the u.s. tom keene spoke with davos and john cryan. as part of the panel, he asked him what he expects banking to look like in five years. cryan: we are placing our outlook on technology. we are not sure of the fundamental product of -- nature of products will change much. we don't think the demands of clients and counterparts will change too much for the delivery mechanism. that will help us protect ourselves to use technology to produce our own controls. we can improve our efficiency, and we can use technology to improve the cost. major bank? ut a have you pull in technological innovation? i was here to three years ago. -- two or three years ago. how do you pull on that innovation first lower developed economy banking and finance. -- first lower developed you ower developedl economy banking and finance? john cryan: we are a multinational corporation. it is not an institution young people want to work in these days, so we find new ways of working particularly with younger people. they want a

deutsche bank has faced a series of fines and penalties in recent years. rlier this month, the bank paid $7 billion to the u.s. department of justice for its mortgages,-selling which contributed to the 2008 financial crisis. after that news, a deutsche bank settlement says -- obviously investors are relieved that the lurking issue has been resolved. european markets are trading up at lunchtime. news from her cotto. do.from mercac inflation rose to a four-year high of 1.8% in january. in france, economic growth rose to 4% in the last three months of 2016. for the whole of last year, the french economy grew by one point 1%, slightly lower than in 2015. the finance ministry is saying that the booster growth at the end of 2016 should continue into this year -- that the boost of growth at the end of 2016 to continue this year. the european -- is inition commissioner dublin discussing the ruling which said the irish government had given apple illegal state aid in tax arrangements. apple and ireland are appealing the decision. >> what we saw working through the wa

if we make our way further uptown, we find ourselves at deutsche bank, one of mr trump's biggest lendersan bank continued to work with him even as several of his businesses went bankrupt. deutsche bank is also facing billions of dollars in fines from the us government, stemming from the financial crisis. regulators could rule with a softer touch given the bank's history with the president—elect. we need to make one more stop on our new york tour. i've shown you two examples of potential conflicts but move overjust a few blocks and you end up at ground zero for the trump business empire, with the potential conflicts of interest multiplied many times over. the company's multiplied many times over. the compa ny‘s massive global multiplied many times over. the company's massive global holdings and international ties mean opportunities for corruption go far beyond new york city. foreign countries could question how their treatment of the president—elect‘s business interests will impact diplomatic relations. this is truly unprecedented territory for an american president. democrats are proposi

deutsche bank holds its reserves electronically. but this will get extended to a much broader group. that might sound technical, but it has profound implications for the system, people being to go directly to the central bank instead of through the government to fund itself. more broadly in the private sector, these invasions provide ways to do legal contracts, ways for banks to transact with each other without going through a third-party. it's a very exciting time in innovation, but i have a feeling the regulators are probably way behind what's going on. tom: david, comment on the parallels here from the 1930's, this idea of combination. does the end result of this future of finance, that there are simply fewer players involved, and we assume it will occur soon rather than later? >> actually, what has happened is the number of banks in the united states has consolidated after the great recession. we have relatively fewer major banks and we used to have, and that occurred in the 1930's. what you are finding is that banks are importan

of cover story -- the return deutsche bank's former co-ceo.ovely title i thought would be from banker to broker. he is joining cantor fitzgerald. i worked there for a number of years. institution.g he will oversee the strategy and expansion of the fixed income equities as well as a number of other areas of business. story, chinese manufacturing pmi. we have 30 covered this. data fromnflation a.m. lender.5 -- london time. finally, and this is a harrowing story, a manhunt continues for the attacker that shot the nine people celebrating new year's inside in istanbul nightclub. the islamic state claimed responsibility for the massacre. raid resulted in no arrests. those are the main stories on the daybreak a dish in. -- edition. inusing on the stock markets asia. trading hide. a very happy new year. nejra: very brisk trading. asia markets getting onto a firmer footing a racing earlier losses. we are not getting a full picture because japan, new zealand, and thailand are closed because of holidays. excluding japan, looking at the some gains.n see m

it is the only thing that will attract people to deutsche bank, the bonuses and money.is country is so massive with investment banking. a lot of it is to do with money. what is it about? link in? i think it is new. if you apply for a job, we know that your prospective employer will look your media profile. now they do it before, they are looking for people on social media and then they come to you and say, it is a lovely place to work. media and then they come to you and say, it is a lovely place to worklj wish they would come along and say that. don't say that! the fact is, this is the other side of things. before everyone says, be careful what you write on social media will stop if you try for a job, you might not get it. this is a fact of going towards it and focusing on getting people ready for careers in different areas. ok, so some teams who would have qualified for the last world cup under the scheme fifa wa nts to last world cup under the scheme fifa wants to introduce, qatar, omagh, jordan, senegal, iceland, these teams were not in the world cup, would you like

let's begin with the deutsche bank and the bonus story which has been confirmed by deutsche bank themselvese senior employees that most of them would not get a bonus. what's the spillover? , do i say,man sachs there are going to be unhappy people that i want or do we replicate this? allison: i would say, for deutsche bank, it is not a surprise. they have had a tough year. they have been broadcasting. the third quarter conference call, they talked about it. perhaps moving more towards deferred. they will push payout to the out years. as far as goldman, everything is supply and demand. for fixed income trading, it is a good quarter. that is helpful. in general, we did see a headcount decline at goldman. 7% year-over-year. in the fourth quarter, we did see a 1% decline. that is a bit more than we saw in the fourth quarter last year. the questions are going to be, what is the mix of that? is this compliance coming off line? they looked at the staffing for dodd-frank, they compared it to y2k comparing it with the bulking up. perhaps there would be a little bit of a reprieve when things went into

it was deutsche bank that made the headlines. bankers will not enjoy any bonus for last year. she has the latest from the story. there is warning that it could continue. ? >> anytime big bank kills businesses, it will grab attention. deutsche bank has been a rocky ride. down the last two sessions. the revolution -- revelation, canceling bonuses was also combined with reports from people close to the matter. managers have been asked to identify the bottom 20% of employers. different source within the bank saying the global markets is this is making front office cuts this week. hascurrent business plan been to eliminate 9000 plans through 2018. not clear if these are on top of that. there was nothat tie between the bonus cuts and the doj settlements. the multibillion settlement settled just yesterday. the entire settlement process and negotiations are long drawn out. let's talk about goldman. headline late in the day that cut 60% of london staff according to in unnamed source. ascounted by goldman, spokesman by bloomberg says no dec

there are further job losses for deutsche bank.arts of the bank have been asked to identify the bottom 20 percent of performers for possible cuts. he also scrapped bonuses for top executives for a second straight year and slashed the competition for other senior employees. this is also af billionaire, shares at 16% up. the mumbai-based vendor is recovering from a low ratio. the bank reports third quarter have recovered from eight 10 day plunge in september. in september.unge global news 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. shery: thank you. spike -- saw a spike after janet yellen's talk. the stronger greenback could be a big risk for the emerging markets. the stronger dollar is the main risk for the economy and markets in 2017. not only would it cost headwinds to growth and earnings, it would also fuel protectionist tendencies. shery: right. , the get the latest here maritalast ceo for the asset management. he breaks down the moves in the market. thanks for joining us. the r

deutsche bank spokespeople declined to comment.nna: global news, 24 hours a day, powered by over 2600 journalists and analysts in more than 120 countries. you can find more stories on the bloomberg at top . manus: let's get straight back to francine lacqua, in davos. thshe is joined on set. francine? francine: thank you so much. three more days after this of live coverage of the world economic forum. two big speeches you are mentioning -- the chinese president later on, the first time he has shown up in davos, and then the theresa may speech in london. we are joined by the ceo of enel. thank you for joining us, good morning. thank you for braving the cold. when you look at the share price -- it is of the highest it has which has ledar, you into bonds and equities, in the highly integrated utility once. can this continue? will your price go even higher? startedinly, the price peaking when we saw this rotation, but i think we were also lik lucky. consensus of analysts sees the price go up quite a bit. we seem to have a long way t

deutsche bank says it'd it is pleased to resolve the claim.che bank agreed to pay 7.2 billion dollars to settle another u.s. government probe. if you have ever driven through germany, you would have seen the huge wind turbines peppered across the countryside, but i bet you have never seen anything quite like this. in the past four weeks, four of these giants have come tumbling down or the rotor blades have broken, so how safe are they? >> the wind is still blowing, but this turbine is out of commission, the rotor blade is damaged and nobody knows what happened. this is no isolated incident. just this week near hamburg, a turbine that had received regular maintenance completely fell apart, cause unknown. in mid-december, this turbine in eastern germany collapsed after a broken part apparently caused harmful vibrations. was the wind too strong or the turbines to old? so far, no one has any answers. we are conducting a thorough investigation to find out which part cause the problem and what conclusions we can draw from this. the informationweek o

francine: deutsche bank set aside money to cut jobs. >> the sentiment is bad.he results are really bad. we were expecting some pain. it's a turnaround. it's painful. >> deutsche bank says it won't pay the money sought by the u.s. justice department to settle an investigation. that is triple what some analysts said would be a worse case. we are not going to have an outcome until we are there. in the run-upent to the financial crisis. credit suisse will pay authorities $5.3 billion to resolve its probe. >> if you send year ago they would settle for $7 billion, i don't think investors would be thrilled. i think this is a bit of relief. the european central bank also went through an eventful year. this was despite a massive stimulus program in 2015. in 2016, the ecb continue to reap punish to get growth going. cut all of its interest rates, qe has been boosted to 80 billion euros a month. they have increased the assets available to include non-bank corporate debt. >> the last few months or year or so, it's been an ethics game. it was about extending the balance she

scarlet: he helped build deutsche bank into a wall street giant. rom one of the big bracket firms to a boutique investment bank, before that he was doing something -- >> he was. he was an advisor and we do not know whether or not he will stay in that role. it is something a lot of banking executives have been doing. we see people investing a lot of companies. he did see a lot of that and now, he has returned to the banking world. thanking looks a little brighter with president-elect trump. oliver: is that the mindset behind this? do we know whether or not he had been wanting to get back into the more core financial aspect of the industry, or is it saying, here's what we're looking at in the next four years, the oldest truck the about deregulation, banks coming back, why not be a part of that? >> a lot of things we were talking about is the ceo at fitzgerald, having conversations in the spring of last year, friends for about five years. in spring, they said, this is what the financial landscape will look like. there will be a lot of clients moving aw

could jpmorgan have stepped in and helped deutsche bank and offered to buy deutsche bank during thoseents? >> obviously we do not discuss here strategies of jpmorgan. i can talk to you about the importance of a strong financial sector everywhere including in europe. i must say, if you look today -- i'm not avoiding your question, but only directing it to the areas that are my competence, the u.s. financial industry today is much more robust than what it ever was before. capital in the banks is higher. d leverage is lower, some are constructive, some are not constructive. one of the reasons for the extraordinary optimism in the markets now in the post election is exactly the fact that people have the feeling that the policies will be somewhat more plansed, more business friendly, and without strong business sector, you don't have a strong economy. without strong banks you cannot have a strong economy. it's in this regard -- jpmorgan of course is one of the strongest banks. i'm proud to be associated with it. it is always being contributing to the strength of the society and understandi

deutsche bank is facing billions of dollars in fines from the us government stemming from the financiald rule with a softer touch given the bank ‘s history with president elect donald come. 0ne., i have shaded to examples of potential conflicts. move overjust a few blocks and you end up at ground zero for the trump business. these conflict of interest and multiplied many times over. massive global holdings and international ties mean opportunities for corruption go far beyond new york city is. foreign countries could question how their treatment of the president ‘s business interests will impact diplomatic relations. this is a truly unprecedented territory for an american president. democrats are proposing legislation that will force mr trump proposing legislation that will force mrtrump and proposing legislation that will force mr trump and his family to sell any assets that could cause any conflict that it is unlikely to pass. german carmaker volkswagen is set to make a deal with the us authorities over the diesel emission scandal. the settlement comes after the company admitted to fi

francine: we talked about deutsche bank in the past. s model? for deutsche7 mean bank and finance stocks in general? sarah: -- patrick: there's always got to be concerns. they are clearly articulated by everybody. we haven't bought deutsche bank outright. we've bought some debt in the summer. i don't think there is much question around the profitability. there are questions on the extent of fines and nonperforming loans. i think it is reflected in the stock price, trading at about half of tangible book value. and we forget sometimes that when we have a monetary system, it is the banks that are the primary conduit of this. can they do their job properly in lending the cause of regulation and concerns over share prices? sarah: this is the big worry. encouragingly, we have seen bank lending picking up across the euro area after a long period of deleveraging. clearly it is a very slow process. bank lending to corporate's is still growing under 2% a year. you can argue that there's more scope that is required. the good news is that the cost o

the italian lender said its ct 1 ratio would fall 8%. >>> and more spring cleaning coming from deutsche bank. the bank agreed to settle claims relating to its part in a russian money laundering scheme, they will pay $425 million fine. they were found to have moved money out of russia with a mirror trading scam. shares up by 1.7%. i guess any news that removes litigation is good news for deutsche bank share holders now. >>> the french presidential elections pose the "greatest existential risk" for europe. that's according to strategists at credit suisse. they said the victory of francois fillon would be a positive for the economy, and emanuel macron could also be constructive for growth. even if marine le pen were to win, her powers would be limited as her party would fail to gain a majority in france's lower house. >>> now tens of thousands of people continue to rally in cities and at airports across the u.s. voicing their opposition to president trump's executive order on immigration. protesters gathering in cities including new york, washington, boston, also here in london where thousands

alison: deutsche bank, we have a new ceo coming them.said 2016 was going to be a .hallenging year on the third quarter call there was already foreshadowing about bonuses and compensation and we've seen it in a cruel so far year to date for deutsche bank. . vonnie: is there a danger of losing top staff? think the danger is there. i think this is probably while broadcast and what management is going to seek to do is retain employees who been in there for the long haul. vonnie: thank you for that. coming up tomorrow at 6:00 a.m. eastern, lloyd lang five will be our guest from the world economic forum in de davos. mark: we will take you back to the west where john nichols weight will sit down with jpmorgan chairman and chief executive jamie dimon. we'll have an interview with -- it's up with fell for the first time in seven months. ♪ vonnie: you're watching bloomberg. i'm vonnie quinn. mark: i mark barton. vonnie: hsbc ceo stuart gulliver move tradingave to operations out of london. pearson is cutting is forecast. the world's largest educati

deutsche bank, everyone is celebrating they are still in business and can move on. but the point is they can move on. i think that properly capitalized banks, able to function better, the dising disagrogation of market activities, these are things we should take comfort from. and if you're in my proreflation trade, banks as a financial ceptical is on that. >> and you say deutsche bank can continue that rally? >> you take the rally point from the last eight years, they're still there. so, there's a way to go. >> all right. thank you so much for that. ceo of harris capital. >>> the islamic state has reportedly claimed responsibility for the attack on new year's eve in istanbul. nbc's richard angual the very latest. >> reporter: at one of istanbul's one of night clubs they counted down the clock, looking forward to an exciting year to come. then just after 1:00 a.m., they caught bullets ricochetting off cars as he rushed to the night club's door. he's wearing a dark coat and a backpa backpack. the footage slowed down shows the gunman move dgcisively, shooting everyone h

more fines for deutsche bank, this time for its connections with a russian money—laundering plan.sident trump has replaced his acting attorney general, after she defied him by telling justice department lawyers not to defend his ban on travellers from seven mainly—muslim countries entering the united states. sally yates said she didn't believe the executive order to be consistent with their duty to seekjustice and stand for what is right. the president has appointed dana boente as her temporary replacement. davis willis has the latest from washington. the trump white house, clearly affronted by the behaviour of sally yates, her writing to thejustice department lawyers to basically say that they shouldn't be defending challenges to the donald trump executive order in court, because she's not convinced that it is lawful, that met by swift sacking on the part of the trump administration. and they issued a statement in the last few minutes, saying the acting attorney—general, sally yates, has betrayed the department ofjustice by refusing to enforce a legal order designed to protect th

a spokeswoman for deutsche bank declined to comment.pple is planning to invest $1 technologygiant new funds, adding the iphone maker's name to a glut -- growth list of interested parties in the fund which is due to launch in london this year. qualcomm is also said it will participate in the fund while according to a person familiar with the matter, larry ellison also intends to contribute. that's your bloomberg business flash. prime minister theresa may is prepared to pull out the u.k. single market unless britain is given full control of it orders according to the telegraph newspaper. manus: it says the speech will be a response to the charges by ivan rodriguez resigned -- by ivan rogers who resigned this week. guessed rarely has modeled thinking. -- muddled thinking. the whole brexit debate is a juggernaut, the resignation, the appointment, theresa may saying were ready to pull the ripcord if we don't get control of our borders. you divine things at your institution, do you think were shifting toward a harder brexit? is the hard brexi

. ♪ >> he was the rainmaker that helped to build deutsche bank into a wall street giant.his second act to plan a smaller competitor. to be know what he is going to be doing. >> he is going to be the president. held in thetle he he will be leading expansion 1990's. into asia and different parts of the world. he will also be doing a lot of what he did at deutsche bank -- creating new products for clients, finding new clients, and helping to push people into more complex products than they had before. he can bring in a lot of growth because they have a lot of leg room in debt and equity sales, to grow in investment banking in debt and equity sales,, and also in trading. >> written's prime minister need -- britain's prime minister need to be told the uncomfortable truth about the difficulties negotiating brexit. >> are we lurching with moments like this? does this make us think we are potentially moving towards a harder form of brexit? >> i think it underlines how difficult the brexit process is going to be, and how long and drawn out it will be. i do not think that is news a

barkleys raised its price target on deutsche bank along with ubs and credit suisse. they lifted the outlook on credit suisse to overweight, and maintaining overweight and equal weight ratings on ubs and deutsche bank. we saw that rally in european banks. >> the european union regulator delayed a decision on a merger between chemchina and syngenta by ten days to the 12th of april on request of the two companies. syngenta said the extension will give them enough time to discuss remedy proposals. in october the eu launched an investigation into the $43 billion chinese bid for the swiss seeds group citing concerns over the tie-up. both parties are confident on the deal's closure. >>> intel acquired a 15% stake in digital mapping firm here for an undisclosed amount. intel and here said the partnership would allow for r&d collaboration as the u.s. technology company looks to get into autonomous driving technology. here was bought from nokia in 2015 for 2.8 billion euros. >>> and intesa saw paul low will fund a joint stake purchase of glencore. italy's biggest retail bank s

breaking news with deutsche bank. 2 billion in residential mortgage-backed security settlement with the department of justice. it's going to be a 3.1 million civil -- $3.1 million civil penalty. they will provide $4.1 billion in relief to underwater homeowners. $3.1 billion in a civil penalty with shares moving down and actively trading on the news. surprised the stock came down on that. this number was pretty much in line with what people had indicated. certainly a long way off from what had been speculated on earlier on. oliver: financials kind of depressed through trading this morning. it's not going to be a huge settlement compared to what it had been. politics, it just is days away until donald trump is sworn in as president but he's wasting no time getting to business talking with corporate leaders. the president-elect met for a second time with the boeing ceo to discuss the contract to build the next generation of air force one. -- our reporter also spoke with the ceo. this is the second time he has met with pre

guy: european open, the deutsche bank ceo working to revise the $800 billion asset manager on his bookswhat is being considered. it is interesting -- we'll talk about what is happening with the european banks. sticking with germany, turning to chancellor angela merkel and a man who could block the path to a fourth term in office. we will talk turkey as well. later on, iron ore prices soar. the rally is overextended. minors are up strongly in london this morning and helping out. we have a great mining guest coming up for you. commodities later on in this program. all of that, up next. this is bloomberg. ♪ matt: welcome back to the european market open. let us take a look at were the markets are trading 14 minutes into the session. we have gains across the board after a rise in u.s. and asian markets overnight. the ftse up .4%. the dax up two thirds of a percent at 11,674. the cac up at 4856. guy: i have a bunch of things i want to show everybody right now. a fairly big move in the fixed income space. yields are going higher. this is what is happening with of the german 10 year. i can run

deutsche bank told some employees that job cuts will continue even after it cut bonuses. some --er person said in some parts of the bank managers are asked to identify the bottom 20% of performers. declined to comment on specific job reductions. london sachs may cut its staff to 3000 workers while transferring some to other locations as it prepares for brexit. according to a german newspaper citing unidentified people in the financial industry. toldcomes after hsbc bloomberg trading operations generating 20% of revenue for investment banks in london may move to paris. a spokeswoman for goldman sachs said it has not made any decisions. that is your bloomberg business flash. guy and matt. ministeru.k. prime will meet with financial industry leaders today and will take the stage at the world economic forum at 9:15 a.m. u.k. time. at 4:30 p.m. she will speak to us right here on bloomberg. --'s get back to dollars davos. to say wei am pleased are joined by the mayor of london. there seems to be a real push from the u.k. governments to explain to the people of britain but also t

it won't be deutsche bank on the line. correct.uld be lending to those private equity firms and they want to get credit for that on the consumer relief front. the question is whether that is consumer -- additional consumer relief or something that would have happened anyway, with or without the settlement. if the doj thinks that this would have happened whether or not they have the settlement, they may not approve it. jonathan: i will take that question and ask it in a more pointed way. in the u.k., these companies exist, they call you up and say -- you os money, we want to get your payments down, we are going to drop it by about five, but you must give us this money every single week or month and if you don't make the payments they will call you up and get even more aggressive. the tone in the spirit of consumer debt relief, is that challenge by what deutsche bank may attempt to do? michael: i think it varies widely on how these firms approach and how aggressive they are. but you know, there are some economic reasons to modify the

fitzgerald.oins we will discuss the move by the former deutsche bank manager.e going to talk property with jon rickert. for more, tune into radios daybreak bloomberg london. this is bloomberg. ♪ mark: welcome back. let's check in on markets. european stocks rising for a third day following the rally in asia, the ftse 100 up 4/10 of 1%. heading for a rec league -- record close. we are seeing quite a broad-based rally. dollar strength coming in, euro down 4/10 of 1%. -- seeing staying sterling on there for the moment but we are seeing dollar strength. the treasury yield is up some four or five basis points, and we are seeing europe track that in the 10 year. the two-year yield up to basis points in the u.k.. looking at commodities, i will come to oil but we have seen some gains in industrial metals. gold is unchanged that it was day in sixthe sixth sessions. a quick look at european stocks, the stoxx 600 set to enter a bull market. it will be in a bull market if it maintains its gains into the closed. it is also in overbought territory if you look at the relative

deutsche bank bank has further job losses on the horizon. bank has been asked to identify the bottom 20% of performers in preparation for possible cuts. they have also scrapped bonuses for top executives for a second straight year. and scrapped compensation for other single employees. takata is suspended from trading in tokyo as they try to confirm a report that they want the courts involved. nikkei news wrote that the safety systems propose to come involved in the debt restructuring. they say they are likely to any debt they owed without legal intervention. tumble thataking a losses may be wider than expected. suggesting suggesting it may exceed the $4.4 billion it has been flagged to lenders. it has been said to ask other lenders for support. the company says it is still calculating the size of the right down. there are reports claiming that north korea may be preparing to start a nuclear reactor after a pause of over a year. john hopkins university website says pictures indicate renewed activity of maintenance or refueling. south korea sa

. >> deutsche bank has reached a final settlement with the u.s. stice department over its handling of mortgage backed securities before 2008. the bank agreed to pay $7.2 billion and admitted to misleading investors, resolving one of the biggest litigation risk. it will pay $1.4 billion in relief to homeowners on the balance as a civil penalty. -- new home prices including government-subsidized housing gained in 46 of the 70 cities that by the government, comparing with 55 in november and signals a measure to deflate a potential housing bubble are taking effect. the federal reserve governor has said that fiscal policy could speed up the central bank's rate increases. fed may accelerate measures to shrink its balance sheet of congress approves a sustained increase in stimulus. >> based on recent spending indicators, we might expect progress -- we might expect progress to be steady. but policy adjustment would likely be more rapid than otherwise, with the conditions set for cessation of reinvestment a principal payments on existing security holdings b

the bank will pay to british regulators to resolve the investigation. yesterday deutscheit would pay $425 million to regulators in new york. the biggest bank in italy is expecting a loss for 2016. the creditors are setting aside money for bad loans. relating also charges to its turnaround plan to sell shares to cut costs and clean up its balance sheet. broadband shares is cutting down its debt load by selling oil and gas fields. most of that goes for assets in the north sea. billion, shell became swollen with debt. that is the latest bloomberg business flash. coming up, mark bertolini is our guest. insurers reporting earnings beating estimates. how would it navigate the landscape with republicans repealing the a formal care act? this is bloomberg. ♪ london and new york, i am mark barton with vonnie quinn. this is the european close on bloomberg television. posting fourth-quarter earnings today, they beat analyst estimates a week after the deal to buy humana was blocked by a federal judge. fourth-quarter operating revenue, $15.7 million, eps operating at 1.6 3 billion. dav

deutsche bank cut steepen.n lender is said to tell employees more job cuts are on the way. bonuses.ting teresa may heads to dallas to speak after her speech. speak after her speech. we speak with philip howland -- hammond. the german reaction to the ecb. --speak exclusively speaking following the central bank's decision. welcome. it is daybreak europe, the flexion morning show from the city of london. cranny.us francine lacqua is at the world economic forum in davos. productiveird most country in the world, make sure you're not on that twitter list from trump. francine: we have had an array of guests and we heard about how you deal with damage control in case donald trump tweets about you that you should prevent it. if you look at this new world order which could be china, the forefront in terms of foreign policy as populism, it is interesting. you have everyone, almost everyone of from the u.s. trump administration, donald trump gets inaugurated tomorrow. no one knows how to do with it. people are trying to fi