we have news out of diageo. the impact on organic sales now being factored in, so that kind of business too. this is bloomberg. ♪ matt: welcome back. this is the european open. i'm matt miller, live from the super return conference in berlin today. in terms of the public markets, we see red arrows. futures are down significantly with cac futures off 1.7% in paris after a global equities wrapped, it continued dropping global equities crisis, -- global equities drop, a continued drop in global equities crisis because of coronavirus. sayingcoming out and consumption in china has been severely affected since the start of january. let's get to the first word news. it's too soon to say if the coronavirus outbreak will materially hit the u.s. economy, according to fed vice chairman richard claire and her. he says the virus is likely to have a noticeable impact on chinese growth, at least in the first quarter. surprise shakeup at disney, bob , handingtepping aside the reins to bob chapek. will take over immediately as h

diageo's brands include smirnoff, johnnie walker, tanqueray and gordon's gin.where bob iger, the boss of the media giant disney, is stepping down as chief executive of the firm, but will stay on as chairman. samira hussain has more from new york. bob iger had served as the disney boss for nearly 15 years and was only the sixth ceo in the entertainment giant's history. during his time in charge, mr iger oversaw huge changes to disney's business, including a number of big takeovers of pixar, marvel and 21st century fox just to name three. most recently, he oversaw the launch of disney's video streaming service disney plus, which has exceeded expectation so far. now, mr iger will continue as executive chairman at disney through next year. he will be replaced as ceo by bob chapek, who, until now, was in charge of disney's amusement parks business. time now for our daily look at some of the newspaper and website stories which have caught our eye. joining me is laura onita, retail correspondent at the telegraph. welcome to you, laura. talking of retail, the sales of

our stock of the hour is diageo, the british distiller that makes johnny walker.e actually on pace for their fifth consecutive day of decline. warnings about the impacts of the coronavirus, diageo saying they will cut sales by 422 million dollars this year, that's about 4%, that comes as bars, restaurants, in large parts of china are closed down because of the outbreak and that is crimping demand for alcoholic beverages. the virus spreads to countries like south korea and japan, and they say it is impacting sales there as well. the asian market makes up about for -- a fifth of the kind -- the company's revenue. the question is how long this will last. they say they do expect things to get better but it's really hard to tell the duration of the downside. we have an analyst in new york city saying it's possible that the asian business is going to be lossmaking and a second half of the year, noting that the same analyst saying that it is clearly worse than they have heard from their peers. there are questions as to if there are more downsides expected. we've heard a

starbucks and diageo, the company behind guinness, are among those who have seen sales fall, as peopletay away from bars, restaurants and shops. now the problem is, all of this comes at what is already a difficult time for the world economy. china, japan and the uk are among the countries where growth has been faltering. some economists are warning that perhaps £850 billion could be knocked off global growth this year, a hit that would be hundreds of times greater than that of sars. it isn't all gloom. there are several threads to the tail of this knitwear manufacturer in leicester has picked up orders from elsewhere. a lot more new inquiries are coming through but there is a bit of concern about the kind of earlier supply chain in getting raw materials in and to make sure we are not going to run out of any of them. what can be done to support businesses? policymakers across the world could cut interest rates. but as they are already low there is very little firepower left. for authorities, businesses and investors the anxiety is set to continue. at least 50 countries have confirmed co

starbucks and diageo, the company behind guinness, are among those who have seen sales fall, as peopleshops. now the problem is, all of this comes at what is already a difficult time for the world economy. china, japan and the uk are among the countries where growth has been faltering. some economists are warning that perhaps £850 billion could be knocked off global growth this year, a hit that would be hundreds of times greater than that of sars. it isn't all gloom. there are several threads to the tail of this knitwear manufacturer in leicester has picked up orders from elsewhere. a lot more new inquiries are coming through but there is a bit of concern about the kind of earlier supply chain in getting raw materials in and to make sure we are not going to run out of any of them. what can be done to support businesses? policymakers across the world could cut interest rates. but as they are already low there is very little firepower left. for authorities, businesses and investors the anxiety is set to continue. dharshini david, bbc news. crisis talks have been taking place to prevent a

starbucks and diageo are among those who have seen sales fall.l this comes at what is already a difficult time for the world economy. china, japan and the uk are countries where growth has been faultering. —— been faltering. some economists warn billions could be knocked off global markets. a hit that would be hundreds of times greater than that of sars. it isn't all gloom. there are several threads to the tale of this knitwear manufacturer in leicester who has picked up orders. more new inquiries are coming through, but is there a concern about the raw materials and making sure we won't run out of them. what can be done to support businesses? central bankers, including those in the us have tried to calm markets by saying they are ready to cut interest rates. but they are already very low and the anxiety is set to continue. crisis talks have been taking place to prevent a major international escalation of the civil war in northern syria — after a surge in fighting between turkish and syrian forces. 33 turkish soldiers were killed in an airstrike,

drinks maker ab inbev says this will take out 10% of profits and diageo says it will hit millions danonethers state. lufthansa have cut costs riotinto expects disruptions peugeot says all will be affected >> i understand part of your job is to help companies with ties to the region decide how to adjust business to the response and other incidents in that region what have you been seeing about adjusting supply chains and getting their factories in order. >> we issued the white paper to assess how many companies are impacted >> we have seen 51,000 companies sourced from the region in china. we looked at the tourist how many companies have a supplier you who have a supplier from china we are working on the update more regions are being impacted. there is a small town in northern italy, 15,000 people. not very big but that small town in italy, hosts a manufacturer that supplies the likes of peugeot, renault, bmw >> given the nature of the virus and how it has spread, from a supply chain perspective how are you advising clients to deal with supply chains. i know you had a great chart showing

diageo says it has seen significant disruption the british group says 2020 net sales will take a hit of up to $325 million and operating profit could drop as much as $200 million pounds. >> danone expects the outbreak will wipe $100 million off first quarter chinese sales. also missing expectations falling $1.9 billion euros >> adecco swung profit in the fourth quarter but expressed concerns of the slow down among coronavirus outbreak the swiss human resource company posted a profit of $256 million euros. on an organic basis, they fell psa reported a 13% rise. although it warned of a 3% decline in the european auto market charlotte reed joins us from paris. >> reporter: at the moment, they don't see any disruption things are running as normal supply chain could be impacted some peers have mentioned they have a couple of weeks and they'll have to start closing plants saying at the moment, things are running as normal. this is an extra factor. they are already facing extra head winds sales in europe are slowing. they see sales going down by about 3% other head wind is china they have b

diageo another drinks company warning what is happening with the coronavirus.sed what is happening in china. down 1%. it was a little worse earlier on. 1% relative to where it was earlier is not a bad performance. 2930 is where it looks like the stock will close. vonnie: the state department just issuing an updated travel advisory on italy for u.s. citizens, saying exercise increased caution. that is the sense of the day. it moves to the travel and tourism sector. now it is isolated and we have a bounce back in the general market overall. highs, up0 off its 1.4%. the philly sox index is up and that is helping the nasdaq to the best performance of the majors. the dow also up. the 10 year yield, if you looked at it before yesterday you might think that is a low yield. 13055.ay we reached we are five basis points above that. nevertheless that money is coming out of the treasury market and going into the stock market. fears are not going away. crude oil is below $50 a barrel and we have gold futures off but still at 1639 and change announced. it might look like the

starbucks and diageo, the company behind guinness, are among those who have seen sales fall, as peoplerestaurants and shops. now the problem is, all of this comes at what is already a difficult time for the world economy. china, japan and the uk are among the countries where growth has been faltering. some economists are warning that perhaps £850 billion could be knocked off global growth this year, a hit that would be hundreds of times greater than that of sars. it isn't all gloom. there are several threads to the tail of this knitwear manufacturer in leicester has picked up orders from elsewhere. a lot more new inquiries are coming through but there is a bit of concern about the kind of earlier supply chain in getting raw materials in and to make sure we are not going to run out of any of them. what can be done to support businesses? policymakers across the world could cut interest rates. but as they are already low there is very little firepower left. for authorities, businesses and investors the anxiety is set to continue. rupert watson, head of asset allocation at mercer, a global

we saw diageo, nestle saying there are issues they do not want their workers traveling. that's going to crimp numbers, you would imagine. after the bell we have hotel and travel stocks, marriott. marriott international vacations and booking. booking.com. those are names that are highly susceptible to this. would you expect that we are really going to see just more innings when it comes to this difficult game? >> sure. the markets seem to be intelligently discriminating between one stock and another so clearly, the consumer discretionary service, travel, entertainment type stocks that are operating internationally, these are obviously suffering along with the airlines. on the other hand, if you think about china, many people are obviously confined to their homes, if not under personal quarantine, under self-imposed quarantine, not wishing to go out into public places, so any service that is delivered online, so the services that are tencent or alibaba, those are actually really getting more business and traction than they have in the past. liz: it's almost like netflix, w

. >> and way beyond travel just today food and beverage companies deknown and diageo warning it will impact on the full year. >> yesterday we saw significant reversal after an opening that was up early so the closing bell becomes very important. >> it's always important, david, but a dramatic final hour of trade over the last few sessions, especially so lately we will talk with papa john's ceo rob lynch, and talk about consumer behavior at what to expect in the u.s. and what he's seeing in some of the international location and we have former acb president jean-claude as well. >> the dow up almost 400 "squawk alley" begins in a moment - [narrator] at southern new hampshire university, we're committed to making college more affordable. that's why we're keeping our tuition the same through the year 2021. - [woman] i knew snhu was the place for me when i saw how affordable it was. - [narrator] find your degree at snhu.edu. we see eat emerson,mulating when issues become inspiration, creating a better world isn't just a result, it's a responsibility. emerson. consider it solved. and now f

we end with diageo. they will review sales by much three and 25 million pounds.ter bars and restaurants are shutting parts of china. the company saying it's hard to estimate how long the downturn will last but it's expected improvement later in the fiscal year. global news 24 hours a day on air and at quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. nejra: thank you so much. let's focus on coronavirus and latin america. within the last hours a minute sao paulo has parliament early tested positive for the virus. the case be the first infection in the region. let's discuss the wider economic picture with shelley, senior director and cohead of america sovereign rating station. peter dixon is still with us. welcome to the show, great to see you. 10 year treasury yield extending its slide, right now we sit on a 1.3 to handle. what does that mean for someone wanting to invest in latin american debt? >> the search for yield will be there and that's helpful for emerging markets. what we really have

and diageo says they're expecting the virus to create significant skrupgzs and hit profits for 2020 asia pacific key region for the company. and google and microsoft are reportedly insisting production to southeast asia from china nestle announcing it is asking employees not to travel for business so far we know there have been more than 2,700 deaths meg terrell has the latest on possible treatments. what have you learned? >> we know the most a vansed potential treatment is from gilead sciences. it's strting a clinical trial in the u.s. the world health organization saying earlier this week that's the only drug so far that appears to have promise against the novel coronavirus. but we've so seen shares of vir soar this week on news of efforts to develop a new medicine the company has isolated antibodies from survivors of sars and is testing whether they work against this new coronavirus. efforts to develop new antibodies are also under way. and moderna soaring this week on news it delivered its first batch to the nih to begin human trials still it would be at least a year before the vacci

the drinks company diageo says its earnings are going to be lower, becauses of the spread of the coronavirusmost 8,000 people have registered an interest in becoming space tourists. so far, 600 tickets have been sold for the first flights — which happen later this year. so many implications from the coronavirus outbreak for trade and economics and finance. heathrow airport we are hearing implications for them, stepping up their hygiene protocol now. that's right. what they are doing as they are stepping up they are doing as they are stepping up their deep cleaning operation, so they are focusing on things like handrails and other services that people commonly handle. it is also introducing more hand sanitiser is, both for staff and for people travelling through the airport. it says the virus hasn't affected visitor numbers so much so far, but it is really monitoring the situation. we've been speaking about this to the boss of the company, john holland kaye. we have to be responsible with this whole coronavirus outbreak. we have to balance between keeping people safe and keeping the economy m

the drinks company diageo says its earnings are going to be lower, because of coronavirus in china.illion. that's because many bars and restaurants in china are closed because of the outbreak. virgin galactic says demand for its space flights is soaring. almost 8,000 people have registered their interest in becoming space tourists. 600 tickets have been sold for the first flights, which happen later this year. the new chancellor rishi sunak will have to raise taxes if he's to meet promises on spending. that's according to the think tank, the ifs. the chancellor is under pressure to boost spending on things like the nhs, but also has to meet targets on reducing government debt. the ifs says the only way to do that is to hike taxes in the coming budget. we all know about the gender pay gap, the difference in pay between men and women doing similarjobs. companies have to publish data on how big that gap is. but what about the ethnicity pay gap? that's the difference in pay between ethnic minority staff and their white counterparts. the business group, the cbi says companies with more t