shares of deutsche bank are rising today. rgan and china's are considering taking a stake in the bank. chairmanrkel asked ubs for his opinion on deutsche bank last tuesday. deutsche bank is not commenting. years atafter seven the helm. quit days after two agreed to set up a european steel giant. activists are pushing for a major restructuring. the british satellite carrier rejected equus stars bid. that is your bloomberg business flash. thank you. now to banks. deutsche bank's market decline has drawn attention from investors. speculation from investment bankers. shares in the lender have spiked. consolidation shows no signs of going away. deutsche bank spoke to shareholders about a possible merger with rival commerzbank. at deutscheyou look bank. you don't own any deutsche bank. what would it take for you to go in and buy some? jpmorganports about looking to buy some, would that make you take a second look at the bank? david: not really. there are a couple of problems with deutsche bank from our viewpoint. we need better tran

deutsche bank is a global bank.ant internationally successful, you need to have a meaningful location in the u.s. and we stay there. matt: how has the business there been affected? i think of major issues out of the u.s.. one, the tax reform moves president trump has put through and the other is trade concerns that have developed. policies -- have president trump's policies been a headwind or tailwind for you? christian: long-term, to be honest, on the tax reform, it hit us in 2017. that was the reason from a pretax profit, we turned into a net loss but over time, that will be positive for us. lower tax rates, and hence, it doesn't impact our day-to-day business. on the trade side, that is actually something which, in particular hits the underlying economy. i am still of the expectation we will find an agreement and the politicians will find agreement on the tariffs side, which is mutually beneficial for the economy. that would be good for deutsche bank, but has not impacted our business. matt: jean-claude juncker h

deutsche bank is a global bank.tionally successful you need to have a meaningful location in the u.s., and hence we stay there. matt: how has the business there been affected? there are tax reform moves the president trump has put through that are an issue. the other issue is the trade concerns that have developed. have those policies -- have president trump's policies been a headwind or tailwind for you? >> i think long-term to be there honest, on be very the tax reform it hit us in 2017. we turned into a net loss from the pretax profit. over time it will be positive for us, a lower tax rate. it does not impact our day-to-day business. , that isade side actually something which in particular hits the underlying economy. i am still of the expectation that we will find an agreement and that the politicians will find agreement on the tariffs side which is mutually beneficial for the economy. that will be good for deutsche bank. ist: jean-claude juncker headed to washington right now. concerns from german carmakers and

deutsche bank exclusive. e german bank .eaffirms the near-term target ficc revenues fall sharply. we break down earnings with the new ceo at 9:30 u.k. time. warm welcome to the daybreak show. anna is away and they let me back in the studio. it's good to see these markets but they are unfortunately not roaring ahead. there's a small canary in the inflation call mine. it came from the on -- australian cpi. it seems as if donald trump is hunkering down for the long haul. it's almost like boiling frogs. breaking news for you. equities are set a little bit lower. queen of the airlines and now she's in charge of itv. these are the numbers of carolyn mccourt. the market an estimate of 1.4 9 billion. profit 354etax million. the avid is 375 million. adjusted earnings per share their of 7.1. a broadly flat economic uncertainty. something the market isn't going to be hugely pleased about. you have to love ireland. cup.ave the world this is the performance on the past three month basis. well?ertising alive and how much mo

guy: is there a place for deutsche bank in investment banking?nion, deutsche has to stay in investment banking, but in a different way. they have to focused on certain niche and markets where they have high growth where they can generate a high returns, they have to scale back other activities. the big issue for them is if you scale back of activities, it interrelates with your core business. have to make wise decisions that you shrink the business in a carefully. primarily, and my understanding, they have to reduce the u.s. and a have to focus on europe, partially in asia where they are pretty strong. faithoes the market has a in christian? is there a place that he can do what is necessary at deutsche bank? at the moment, my sense talking to investors that that fate is not that well-founded. what are the milestones he needs to achieve to generate that faith? >> execution, execution execution. to keep it simple. he has to show that he can cut costs and has cut costs in this efficient way. second step is you have to think about the businesses in i

these are all things that have not happened at deutsche bank.tably from a weak position, people will see you as a potential target. on top of that, you have the issue of regulation. too big to fail is on everyone's mind. if banks are getting bigger, it might not necessarily be what regulators want to see. they have this big moat around them, but it does not solve their problems. ajra: could deutsche bank be potential target for of at least interest to other potential bidders? nicholas: again, you need to know what you are buying, right? theres something where are still doubts around some of the asset qualities of deutsche bank. people look at their context assets and deutsche bank says this and we value them 1000 times and know what they're worth. those nagging concerns don't go away. that is weighing against it. on top of that, you have to worry about the quality of their franchises and whether they are still going to be going back to good data earnings. on top of that, you have to worryvonnie: nicholas comfort, k you for that update. latestime

david: good luck to deutsche bank. to sign up for the balance of power newsletter at bloombergpolitics.com, get the latest on global politics in your inbox every single day. yield" withreal jonathan ferro at 1:00 p.m. eastern from new york. we want you to turn -- tune into gtv . jon: from new york city, i am jonathan ferro with 30 minutes dedicated to fixed income. this is bloomberg "real yield." ♪ coming up, solid payrolls growth shows there is still more room to run for america's labor markets. standoff,hina trade and trade-off brings one more to flatten the curve. another solid payrolls report. >> this is a very solid or appropriate

the rates business was the big powerhouse of deutsche bank some years ago. and now they're really losing out to their competitors the wall street big banks did post big gains in that special trading unit deutsche bank is not they have revenues which are falling by 17% also other areas of investment banking there is a clear weakness despite having said that, deutsche bank today is saying they want to be one of the big investment banks out there so there's a lot of room for improvement in that unit in order to sort of close the cap towards their competitors. that's one big area. the other big area is their private and client business. because here also they need to improve their earnings otherwise they need to cut costs even further so it's like a spiral they're caught in. and the answer to, like, the perfect storm deutsche bank was facing is first to cut costs credibly, and that he's doing very well. he's delivering on what he's promising. now the revenue line needs to get better, and the net revenue line for the second quarter, which is better than expected,

ifpaper it looks like deutsche bank is trading at a third a book, it is like a chinese bank. sche bankring with the chinese bank. -- this isnot will do thisand i in real time just like we do on the bloomberg. i will do a quick long-term chart and you can see the rollover and collapse of deutsche bank. i need to know is that is an elegant chart and shows how he has been correct not to own the stock. so they own it that the fact is they come with a lot of real estate. would you suggest that mr. diamond like with bear stearns is acquiring real estate? are someam sure there businesses that were complementary that they could meld into each other. there are others that they would want to show off. if mrs. merkel and the germans want to help deutsche bank might do something about the retail banking market. italy did it, spain did it, all these other places have done things to make the market more balanced. thatf the reasons i assert deutsche bank's have crippled is they have to compete in this retail banking market in germany where it is a must impossible to make money because of unf

also going to take a look at deutsche bank, european banks keeping stock stable as they wind up surprisingeir second quarter earnings were higher than expected. euros and income before taxes of 700 million, above estimates. preliminary results point to stronger revenue than previously predicted. let's get an update on what is making headlines. kailey leinz is here. >> the summit is underway and health thinking. president trump and vladimir have begun a session joined only by translators. mr. putin at the beginning of the session that he expects to discuss trade and china. there is evidence that saudi arabia is paying attention to president trump's call to increase production. they're offering extra crude going to buyers in asia. president wants to pump more crude before congressional elections in november so gasoline prices can come down. the impact of a trade war is hanging over china. show it is slowing down as expected. gdp rose at 6.7%, is slowest pace since 2016. china generates as much as one third of global growth. the best world expansion in years is reaching a plateau. global news

alix: reversal of trend brings us to deutsche bank. we had an exclusive interview with the ceo after their quarter. here's what he had to say. >> we went through a transformation in the second quarter, you see the one of the other adjustments we have done. andid it in one quarter that would build up the capital and would bring it back to the business and with the processes we have in the client franchise we have come i'm very confident that we will see growing revenues in the business going forward. down 17% and these the wants to read apply capital. -- read deploy capital. want to see that the company has itself well organized internally. not just the u.s. side, but the stress test in the company is all right financially, there's just a perception that is disorganized and internally the controls are great. -- are not great. people just want to feel like it's being will run for the moment. to talke also need about regulars. deutsche bank had issues with the fed and the fdic as well as over in europe. marty: just a month ago, we were br

deutsche bank. this is the best day for mr. savings in his tenure. this ise just what the doctor ordered. they need a monster quarter to restore confidence in an institution that has been reeling for the last several weeks. what does that tell us about the desperation from the top? does he go after more cost cuts? does he focus on energizing trading revenue? >> i think he focus is very much on the latter. order after quarter, the big question is can it grow revenue at the same time as it makes its operations more efficient? mission when he came in was to pull back from the u.s.. that left investors really scratching their heads saying -- how will he generate revenue if he is pulling out of the dust economy and the biggest banking market in the world? guidance they are providing now on the second quarter and beating estimates indicate something is really working quite well inside deutsche bank in generating that revenue. thatnk this is a message they very much want to deliver on. so: ed robinson, thank you much on short notice from london. good news fo

and they failed twice as well, and they were downgraded by the fed to a probationary status, so deutsche bankregulatory agencies have told them what to fix. whether it is control systems, risk management things like about -- these are all efforts that i think the bank has been going through, and i think we will look forward and see next year if they can pass. but financially, it does not impact them as much. in germany, there are still considered capital in the consolidated balance sheet, and if deutsche bank wants to distribute dividends, they can still do that. nejra: sure, and of course, it was a qualitative portion that the deutsche bank u.s. subsidiary failed. thank you so much, i was senior finance writer in new york. up next, leaders took a small step to ensure they stayed in the union last month, but they could not make it to the deal they were targeting a year ago. what is the deal mean for eu and banks? that is next. ♪ ♪ nejra: this is "bloomberg markets: rules & returns." i am nejra cehic, from bloomberg headquarters in london. last month, eu leaders took a small step in ensuring t

this is deutsche bank being sensible. exactly. they do not want to be effected. edging its bets which many organisations are doing. different and quarters emerging in other areas. doing. different and quarters emerging in other areasm doing. different and quarters emerging in other areas. if we had more certainty, and negotiating had gone better, would this have happened because maybe we would do where markets would be. in some way these organisations have left it for quite a while to see how negotiations were going. let's move on to the on line version of the honolulu star advertiser, not one we feature often but it has strong images of the fire is taking place across california. tens of thousands of people having to flee their homes and people dying. absolutely horrendous. and it is not under control. we have seen wild fires around the world and i do not think i have spent a summer hearing so much about five years. it is devastating and incredibly sad. cities really failing to cope. the financial times did a page on how climate change could be an accelerated in

vonnie: deutsche bank looking to rebuild its financing business. the heads of private equity firms. in our correspondent who covers deutsche. deutsche is looking around for something that will give it margins. >> for months now we have been hearing about deutsche retreating, so people are asking, what are they actually doing? what are they doing to turn around this business? we saw all boots on the ground. we saw the ceo in town a couple weeks ago meeting with major private equity firms, trying to drum up business. they expanded the use of the balance sheets from $12 billion to $16 billion. we are seeing them make a push into this business. vonnie: do they have a specialty? is there some reason you might choose deutsche bank over somebody else? >> absolutely. they are playing to their strengths. they do have a big cast of characters. some they have lost, some they have seen some of the business trying up -- drying up. become that of investment banking at deutsche bank has been rising quickly up, and he is one of the people leading this push, along

clearly focus on deutsche bank in the last couple of months with the new ceo taking over a huge task at hand in terms of overturning the business and restructuring it at least we know merkel is on the case there as well >>> sticking with germany, german lawmakers reached an agreement over the treatment of asylum seekers the two-page deal speeds up the process of sending migrants seeking asylum back to the eu countries where they originally filed their application. the agreement resolves a dispute between germany's ruling parties that threaten to topple merkel's coalition government >>> president trump has been ratcheting up the pressure on nato ahead of a summit in brussels next week's meeting comes at a time of heightened transatlantic tensions amid a brewing trade war. at a rally in montana president trump criticized nato members over defense spending. >> i will tell nato, you have to start paying your bills. the united states is not going to take care of everyone we're paying from 70% to 90% to protect europe that's fine. of course they kill us on trade. they kill us on other thin

very much >>> outside of trade, one of the biggest concerns for the global markets is the fate of deutsche bank the troubled german bank lost nearly 40% of its value this year, all on concerns about its balance sheet. today maybe a bit of that fear may be relieved. deutsche bank's net profit did fall from a year ago but it topped expectations. deutsche bank also giving an update on headcount. the bank trimming 2,000 jobs so far this year as it undergoes a massive turnaround plan. shares are not necessarily being relieved today still better than expected the market not rewarding it. that stock down 1.5% so far in the german trade >>> lg, the key apple supplier slashing its investment plans for the year the company reporting its second straight quarterly loss. sagging prices for lcd panels. last week another apple supplier also trimmed its spending forecast for the year. >>> at&t, you might have heard of them, they're reporting a mixed quarter. the company missing second quarter revenue estimates but added more wireless customers than expected. at&t's numbers include two weeks of results from its

emma: in an exclusive interview deutsche bank's chief executive , insists the lender is not losing ground in fixed-income trading. >> they see us as the european bank offering the full range of investment banking. emma: plus perspective on the , global economy from leading figures in banking and finance. bei think it will increasingly difficult for fixed income investors to do well. >> the outlook for commodities is positive at the end of this year. >> i don't see at this point, barring a trade war, any serious problems with the economy. emma: it is all straight ahead on "bloomberg best." ♪ emma: hello, and welcome. i'm emma chandra, this is "bloomberg best." your weekly review of the most important business news analysis , and interviews from bloomberg television around the world. let's start with a day by day look at the headlines. the week began with a flurry of verbal sparring between united states and iran. >> president trump and the iranian president traded threats over the weekend as mike pompeo compared them to the mafia and accusing them of corruption and abuse. >> to the regime,

david: let's look at the bank of india, deutsche bank is scaling back. e country where the bank may be looking to ramp up operations. it offers is betting potential for a credit bonanza. joining us is rachel ward, the asia finance minister -- russell ward, the asian finance minister. what makes us think they can do so well where others didn't? seen as a bright spot for deutsche bank. we interviewed the head of the a team whot trading says the market offers the best offer for that business. the bankruptcy rules in india were overhauled as part of the government's effort to deal with the mounting debt problem. deutsche bank, seeing an dpportunity come in an refinance a lot of the debt for these companies as well as the companies that are running ok but may find stress in the future and also perhaps to trade some of this debt on the secondary market. they also trade some of the distressed securities. they are seeing opportunities on those two fronts. haidi: what kind of deals and arrangements is deutsche looking for? us --er: they told they told us they are

just to repeat, they're expecting second quarter revenues of 6.6 billion euros at deutsche bank. these are preliminary numbers for the second quarter they are announcing above consensus results for q2 to give you more details about this, they're expecting that net income number to be 400 million eur euros. they're expecting pre-tax number to be around 700 million euros these are the consensus preliminary results for deutsche bank many of them beating consensus i'm happy to say annette wise back joins us on the line. what stands out to you, annette? >> they're beating consensus estimates. that's the first time in more than three years that the bank managed to beat the market expectations even if it comes down to revenues because all the last quarter, we've seen a weak line when it came to revenues they're saying revenues should be at 6.6 billion euros compared to what the market was expecting, 6.4 billion euros that should be a positive sign that things are going better at germany's largest lender looking a little bit into the deta detailp always say the devil is in the details wh

that was deutsche bank's ceo christian sewing.up on battle of the charts, a big day for big oil. we get quarterly earnings from shell, total, and conoco phillips. this is bloomberg. ♪ ♪ time now for our global battle of the charts. you can see them on the bloomberg by running gtv . right here, i have the biggest threat to the global bull market rally, earnings are starting to fizzle out. analyst projections for the msci world index, which i have in blue, dropped below last year's episode -- estimates which is in the white. we are a far cry from over here in january, some of the biggest pickup in analytic estimate growth on record. we have great earnings out of europe and the u.s., so what gives? this is mostly asia and emerging markets, where analysts are starting to sour on earning estimates. that is a gtv . caroline: that is definitely one to watch. vonnie: i will see her chart and raise her an exception. at least, a couple of exceptions. we are looking for shell, total, and other oil company majors to report tomorrow. t

deutsche bank allowing to have in the bank lending markets which is a huge achievement for deutsche bankany investing in china have been welcomed by chinese companies have also become competitive domestically, together with european companies. so the chinese companies want to protect themselves anyway. i do not know how much a union would achieve. that is a difficult scenario for the likes of angela merkel and other european leaders who were desperate for the trade with china is top european businesses are desperate to have a piece of mainland china. there is a growing sense of anxiety among european member states because china has divided the european union and it does not have much to say any more because china was buying up the 16 plus one the eastern and central european countries. do you think the actions of donald trump is going to force china to change more swiftly thanit force china to change more swiftly than it wanted to and therefore, although we are seeing some short—term pain in terms of the ongoing trade war, we may see the outcome of the us wants and also europe, eye china

coming up, we will bring you bloomberg's exclusive interview with deutsche bank ceo.ive from new york and toronto, this is bloomberg. ♪ ♪ amanda: this is "best of daybreak: middle east." i'm amanda lang in toronto. shery: 10 shery ahn in new york. deutsche bank reported high earnings despite hitting headlines with negative views including slashing the workforce and failing a fed stress test. matt miller sat down with blight -- with deutsche bank ceo and got his take on the lead -- on the lender second-quarter results. >> if i look at the headwinds we had in the second quarter, if i look at the material transformation which we did in all parts of the bank and the second quarter, i would even say these are solid results. revenues came in. in line with market expectations. the context of 700 million for the first half of the year, is a solid number. most importantly, we have executed on all the targets which we set. on the cost side, we went through the material head conduction into 2 -- breaking news, president trump what the european commission president and let's list

kailtey: deutsche bank taking note of -- kailey: deutsche bank taking note so they are closely tied toorts and exports of goods, services and people with the passenger airlines. they are noting that heightened geopolitical risk and tensions with trade could weigh on imports, exports, and on the passenger side, they are making an interesting point about other companies impacted by trade and. companies are being hit by tariffs, and they could dent corporate travel budgets. they will not want to pay employees all over the world if trade tariffs are weighing on their bottom line, so deutsche bank taking notes. the airlines they have downgraded, as you can see, are roughly one third of their exposure, so these are more subject to risk, southwest airlines, alaska air, almost entirely domestic oriented are not seeing this risk. david: trade goes both ways. international airlines, as well, so they should be hit as much as the u.s., theoretically. kailey: everyone says tariffs are not good for anyone on either side of the coin, so for these companies because of the couldatory tariffs, come from

matt: you also have a good story on deutsche bank, or at least you made a good trade on deutsche bankrough this trade. luke: deutsche bank preliminary results came through and really did not give anything new. there were lots of headlines about problems in the u.s., about fines potentially. this has all been in the news for a long time. in the background actually i think deutsche bank has been gradually improving. without this -- we thought this would go to extreme levels. mid one 70's, rolled that trade all the way down to 140, and then closed it. it is always the detail with deutsche bank. it is the detail that can hurt you as well. there are times to get in and this is a reflection partly of volatile markets. you can find your timing, get into these situations when they are mispriced. in a way as an active fund manager it is a great place to be. matt: tomorrow we get the earnings -- the pre-reported three weeks ago. tomorrow in frankfurt we will get the details. this is a time when you want to be not touching that -- those swaps with a 10 foot pole. luke: yes, i think standing back

that's a record low for deutsche bank. once again, the bank continues to be under pressure.r 40% of its value so far this year. there's the long-term chart to give you an idea of what's going on. deutsche bank under pressure. we will talk about airbus later, feeling the pinch as well. investors looking for signs the escalating trade dispute could alter federal reserve's plans to hike twice this year. it could slow the yield to inversion. we have the ceo of liquidity edge. good morning. when you look at the trade story and you think about the fixed income story, how do these fit together to you? guest: i think it's the most exciting time for the last 10 years. we've pretty much seen a complete interest rate environment for years and years and now, as we go into 2018 and through the year, weeks in the first rate hike and the yields going up on the bond. it's a very interesting times for us. guy: you think that continues? the trade story, globally, we could see this hit growth. that might start to alter some of those, less of the fed, but other central banks may decide with all

rejoin deutsche bank chief still with us out of hong kong.ant you to weigh in on what , talking about an 80% chance to calm. do you think this is warranted? >> it is somewhat unusual. they made an effort at the last meeting to say i do not act the rate hikes. the fact that some are a little uneasy saying that may be pricing is a little too dovish, another way of saying the fact that some members are apparently sending signals that they think the market is too dovish, that is a little unusual. what is going on with italy and going on with the budget company, a lot of concerns. they have come down a little bit, starting to stabilize. somewhatstill a sensitive situation. growth, so getting to this conclusion that we want to see rates go up much more. conviction is a little surprising in this environment. yvonne: it could be motivated that he wants to start this hiking cycle. >> yes. they are very eager. saying that they think it will go up quicker is still somewhat unusual. who knows what the data will look like in 2019? the u.s. recovery is sti

jason: things are going great at deutsche bank, not sarcastic. is going to make regulators perk up to some extent. in fact, embarking on riskier strategies. we have heard a lot about what bank.ng on at deutsche they are losing bankers by the droves, so we will see how much about putting the balance sheet to work, and how much is trying to get a piece of the private equity business back. a piece of a lucrative hi, we should say. let's talk about goldman sachs and what it is doing with etf. fixed income is a quarter of -- jason: very smooth. a shameless plug. fixed income bond etf's is where the growth really is, and for goldman and the other firms, they were a little left behind behind the black rocks and the vanguard's. jason: i was reading this and scratching my head a little bit, so i turned to none other than lisa abramowicz to help me understand this. [laughter] jason: she captured it very well in a tweet earlier where she distilled it all down. i'm turning to you for th is. blackrock and others using etf's the way they want to use the balanc

matt: i wonder about deutsche bank. at their stock 1029, althoughw it had gone down as far as it could. is this a separate story from the rest of europe's banks? is it such a different story as they get ready to announce, although you mentioned they preannounced? jonathan: it's the worst-case example. there's no revenue growth across the sector. the problem was it hadn't gotten long cost. we know the trading is still disappointing, but we're not going to worry about it. french banks underperformed hugely. bnp might be a bellwether. the dollar is going the right way for the banks this quarter. if we don't see an commensal positive surprises, the market is going to return to the fact the sector is value trapped. we are getting close to the point which people will give up on the sector in terms of growth, in terms of upside to valuation. matt: i'm going to chat with you before i fly to frankfurt for deutsche bank earnings. i'm sure there still will be interesting news out of that, even if they have preannounced, just to get

in europe, we will put more about deutsche bank later, big shareholder of deutsche bank.a lot on the balance sheet because acquisitions. essentially, feels like too far, toof fast. they have been successful in selling a lot of assets. >> they have. the general consensus is restructuring is moving at a pretty good pace. what happens now remains to be seen in terms of who steps up. julia: $14 billion worth of divestments this year alone. or atng of deleveraging least curtailing some of the credit out there, steven major saying we are a slow-motion credit crunch. >> this was not a happy story from steven major. if you want markets to keep going up, certainly. one of the most important voices in fixed income. interesting because this came up and a different context. is goinghinking this to happen or this is going to happen, but it does not seem to be. one of the arguments that major seems to be making is forget -- a bigck catalyst catalyst, forget about cycles as we know them, we are already living in the midst of a much slower motion credit crunch. one of the things he and o

and finishing with all these german, deutsche bank, the biggest lender in germany, may have lost more than 40% of that smack it -- its market value this year, pushing into 61st in the index. the most recent leaderboard, the lowest among the current constituents, which means that deutsche bank would be the first to exit the gauge with nonmembers that rank in the top 40 automatically added in the september 3 review at the lowest ranked index. deutsche would have to be the -- beat the blue line, a stock it has trailed since march to assure its staying. making up about 40% in market value. worth keeping and i on. vonnie: the minutes from the june meeting coming out later today. the fed chairman under pressure to decide just how high to take interest rates in the tightening cycle. joining us to talk about this and the jobs report is our chief economist, carl. what data will tell the fed what to do? it seems job data is problematic these days. carl: one of the key focal points, both in the meeting minutes this afternoon as well bein the jobs report, will the notion of trade anxieties weighi

morgan is denying a report by a german publicati that it's interested in taking a stake in deutsche bankf deutsche bank initially rose as much as 6% on the news and lost half of the gains u 3% to 11.46. j.p. morgan shares were up fraction to 104.06. >>> a washington post report found that twier hastepped up its efforts to crack down on fake accounts. it has suspended more than 70 million accounts just nce may, but the post did point out that the postid eat into the monthly active user growth which was watched by wall street. shares were initially lower after that report and did reverse course and finished up 46.65. >> b.j. wholesale's credit rating was upgraded byod s after the company used the proceeds for the june 28th ipo to pay down debt. the firm says the company's operating performince does co to improve and shares of b.j.'s were off fraction to $23.65. >> this week's market monitor likes growth stocks with strong dividends and he is oliver prishea. welcome back. nice to see you again. >> thanks for having me. >> it sounds like the perfect combination. growth plus dividend,ight? ye

deutsche bank shifts half of its two from london to frankfurt. what is euro clearing?ve done a deal in euros, they need an intermediary to settle it and a lot of that is done in london but which bank will shift half of that frankfurt. and that's bad? i think it's inevitable because the ecb have done a power grab because they said london is not in the euro so they should not have euro clearing, and the ecj found in favour of george osborne at the time that i suspected that when it got to brexit and be worked out of the eu, a lot of that would go. the ft admits that only a few hundred jobs are directly linked. even the ft cannot exaggerate that. city status with derivatives is under threat, it suggests degradation of the importance of the city. having these conversations they talk about job losses in london but the number seems to decline by the month, and if some jobs go, they go. that's what you expect. we will talk about something beyond brexit but daniel condon is loving the brexit banter tonight. i'm glad we have one satisfied customer. i'm sure daniel speaks for ma

we begin wit pepsi, which was downgraded to hold from buy over at deutsch bank. the analysts there cited valuation, given the stock's 12% rise over the past two months. price target tow, $116. that fell a fraction to 108.80 today. a different analyst at deutsch bank downgraded a number of airline stocks, including m erican airlines, to hold f buy. the firm said the sector typically underperforms the marketuring periods of heightened geopolitical risk. in this case, the trade. tensio price target now 43 on american. shares fell re than1.5% to 37.75. that analyst also downgraded shares of delta and united to hold for the same reason, and separately delta today did acknueledge that rising prices will impact its second-quarter earnings. >>> roku was upgraded from oppenheimer. the analysts cite the pecreased time on its roku channel, just nine months after its launch. the price target is 50. the stockas up about 5% to 45.54. square's price target was raised to 74. the analyst cites good fundamental trends. the rating remains positive. the stock fell nonetheless by2% t

first up, deutsche bank higher after a german magazine reporting j.p.s interested in taking a stake it's interesting none is less. also a chinese bank was mentioned. ultimately, whether it's a merger with commerce bank or someone like jpmorgan taking a stake, it's the ultimate outcome for deutsche bank. however, i don't think that's a reason you step in right now this is a company that needs to dramatically cut expenses. >> we'll talk about china, trade, autos ford is reporting a 25% drop in china vehicle sales during the first hoof of the year the biggest decline since '01. >> yeah. and unfortunately, you can't eck plain it by tariffs, because this happened before that. ford is play iing catch up withm and china. the t playing catch wup gm and autonomous vehicles and electric vehicles there's really do i need to go on really no reason to own ford over gm. own gm >> mice price mart underpressure. >> it's about the earnings efb's focusing on that you look at the revenue side, they beat. they have strength there, but have been spending a lot of money rece

we also had some stronger results, up the results from deutsche bank and bank of america. netflix disappointment. i will see you soon. traffic on britain's roads could increase by more than 60% within 25 years, a government report will suggest next week. critics say this is a huge overestimate, that will lead to a controversial boom in road building. they say the forecasters are failing to take into account that people generally are driving much less. our correspondent roger harrabin has more. gridlock on many roads, but how bad will it get? the government the seas a rise of up to 60% in traffic by 2040, but a rise of up to 60% in traffic by 20110, but a traffic expert says that isa 20110, but a traffic expert says that is a wild over estimate. over the last 20 years there has been a really significant reduction in the amount that younger people are driving, so younger males for example are driving half a mile is that they were in the mid—19 90s and there is a whole host of reasons for this, it is partly economic circumstances, it is partly staying in higher education long

deutsche bank shares rallying, up by 9%. it surprised investors with second-quarter earnings which were higher than analysts expected. in net income about 400 million euros. that is considerably above estimates. a rare piece of good news from the lender, shares at or near a record low. it is the worst performing european bank stock this year. shares rallying today. vonnie: a few headlines now, some breaking news from the international monetary fund lost up the imf maintaining its outlook for global growth, but the imf has cut projections for the euro area. germany, france, and the united kingdom. a couple more headlines, trade tensions pose the biggest risk to near -- asset prices face a sudden repricing if growth and profits ebb. with the imf chief and go over some of those who projections and some of those risks to global growth. helsinki, finland, where it has just passed 5:00 p.m. eastern were president donald trump's meeting with russia's vladimir putin. president trump under pressure to confront his counterpart over a

there was finally some good news from deutsche bank this week germany's biggest lender is projecting a second quarter profit of four hundred million euros far exceeding expectations the announcement sent the bank's share price soaring new c.e.o. christian saving is restructuring the bank cutting thousands of jobs and scaling back its investment banking division. warehouse workers of online giant amazon stage strikes in european countries this week a walkout started in spain on the company's amazon prime day its annual global sales event employees are demanding labor contracts that guarantee better working conditions including higher pay and paid vacation activists called on amazon customers to stop buying its products. because turkey's economy continues its downward spiral. the price of basic items continues to rise onions potatoes and tomatoes are also far more expensive than they were a year ago. countries in the grip of crippling inflation and everyone seems to be feeling the effects. yet. we can't afford the things we need we can't go on holiday. we have to limit ourselves sadly.

six months ago, deutsche bank's euro clearing operations was almost entirely done in london. i mentioned earlier, hit a five—month high injune. these are bank of england numbers. injune, uk lenders approved 65,619 mortgages, up from 64,684 in may and pretty much in line with what economists had been expecting. gradual increase. however, the numbers from the estate agent foxtons are less positive. it's a london—focused estate agent chain. this time last year it had a profit of £3.8 million. today it said losses were £2.5 million. sales, it said, were taking longer to complete. however, it did say the rental market was strong, and it had confidence in its long—term prospects. reach, the old trinity mirror, down because of regional operations doing badly. not so much the express and the mirror. thomas cook looking good, up about 3%, and the pound against europe is pretty stable. thomas cook is because it has had... the spokesman said that the company was open to industry consolidation is that there are no current plans to sell the airline. that is the business use and we will be

we had blackrock, deutsche bank, with positive news regarding earnings and green on the screen in a big way. let's start with bank of america. bank loans with a big story. they increased their loans to consumers faster than their rivals. their income topped analyst estimates, having a lot to do with consumers levering up again. their highest earnings in the consumer unit in eight years really got wall street's note. take a look at deutsche bank start. this company is under big pressure. a new ceo. they came out with their pre-earnings forecast. we are going to beat earnings. wall street was rather supplies -- rather surprised. they came in ahead of estimates. the ceo, larry fink, warning that tariff trouble could be a hit to the stock market, and that grabs the headline. grabbedwhat also headlines after hours was netflix. the surprise slowdown in subscriber growth and the stock tumbling. how much will this put a dent on the nasdaq for tuesday? >> it definitely put a dent in nasdaq futures. let's look how low. it was down as much as 50%. is is then here subscriber slowdown the beginning