these numbers may justify the end of the ecb in a crisis mode.oining us is marcus ashworth, who is looking at the's figures closely. the concern is this is less temporary because it has more to do with supply chain disruptions that will be longer-lasting. marcus: you could argue both ways. i think this is a global throw in on industrial prices. there are things in the mix. german sales tax, which was back on last year, has climbed, so that will create an outlook momentum. summer sales in july -- august, there is an effect pushing the numbers out for farms. you could go on holiday prices and a number of things pushing through which the ecb should look through, and i think it will. when you are thinking german inflation has risen so much and is getting close to 5% by november, you have a confluence of different things making a number, as the day goes by, 3%, 4% -- 3, 4, 5 ecb members being cut before the lockdown and cannot speak anymore. saying they are talking about tapering back, and i think they probably will. they are making a billion a month.

now the ecb kind of cashed in on that, didn't they? pay wall. in hindsight, how big a mistake was that, sanjay? some would say the creation of the hundred is a bit of an admission of the fact that you need to get people back watching cricket in numbers we haven't seen since 2005? well, it's very difficult for me to comment on that deal at the time, because it was a very long time ago and i wasn't around. so there could have been a very different set of circumstances that the men had when the decision was taken. what i do know is that the game needed revenue, and it needed revenue to invest in the things that we need as a sport. that was things like stadium infrastructure, participation, england teams, etc... but it also needs audiences, doesn't it? because without that, where's the future? absolutely, it needs both, and that's why i come back to the balance between revenue and reach being so important. and in this deal that we've got now, i think we've got that balance right because we've got good revenue in order to invest in the game

meanwhile the ecb released more figures today - ecb released more figures today designed to highlights for the games were new to cricket. the hundred is there to generate new interest, but with intense negotiations set to happen, the ecb maintained that test cricket is the sport's minute. joe wilson, bbc news. quick round up some of today's other sports stories. liverpool won't be releasing mo salah for egypt's world cup qualifier against angola in cairo next month. he would have to quarantine on his return but the striker will be able to play in his country's second qualifier in gabon because it's an amber list country. xherdan shaqiri has completed a £9.5 million move from liverpool to ligue un side lyon. the swiss international moved to anfield in 2018, but started just five premier league games last season. andy murray lost just two games as he beat american noah rubin in the winston—salem open first round. he was due to be playing nick kyrgios, but the australian pulled out with a knee injury. building up to our build up to the paralympics. badminton has made it onto the programm

the ecb could be, but they are not going to.y do what they do and that is where they are at the ecb, and that is not mean that translates into actual genuine action in the real world. they are not going to tighten aggressively. they have gotten to a point to nominally -- but remember, they are already in various forms of so far as i can see, and i would almost step away to the asset purchases and say, what's going to happen with interest rates? we are over a year away from the first rate hike and much further away from that for the first ecb hike. the question in the european union is will we ever get away from negative interest rates in my lifetime? the big, big difference is the fed can get away from the zero bound in this cycle. not sure how far away, but above zero. i cannot see how the ecb manages that in this cycle. guy: what about the bank of england? i spoke to the governor last week. i was a little bit surprised about how hawkish he was, laying out very clearly that the bank of england now has an i on -- has an eye on t

the boe and ecb more aligned at this point. thank you.mberg's covid drinking shows europe emerging as the most resilient continent. the delta variant continues to threaten the global recovery. this is bloomberg. ♪ ♪ tom: welcome back. this is bloomberg daybreak europe. the delta variant has wrecked global reopening plants. southeast asian economies once ranked among the best places to be during the pandemic and now among the worst. bloomberg's covid resilience ranking for august is also showing vaccination leaders like the u.s. and israel are losing their advantage. european nations are becoming the most resilient due to their middleground strategy of immunization and reopening. joining us in hong kong is rachel chong. rachel, what does the ranking tell us? quite significant changes. rachel: the european economies are nine out of the top 10 at the moment. it's become a process of elimination. delta has taken down every model but has emerged. new zealand was the longest reigning number one. it has tumbled because they are in one of the wor

maybe on the ecb negative two, s&p negative five, the vix a 15 handle, backup to 16.4. it has an august feel to it. the yield curve eight basis points, the difference between the 10 year and two year yield 0.9 percentage points. i want to mention the real yield absolutely unreal, down to -1.08. there is no movement to a lesser negative number on the real yield. there is a movement, the wall is moving. lisa: it does feel like an august. you do not want to make too much of it, but there has been something going on, a sea change with the ecb saying it may be appropriate for them to start tapering. are we seeing a turning point? we will get the faha housing price index for june. this is important. we are seeing home prices continue to climb at some of the highest paces observed in history at a time when there is a shortage in supply, faster than salaries are growing up. how much does this crimp confidence for consumers? how much does this crimp the market? how much does this bleed into a broader inflationary print? we get an august consumer confidence reading. the expectati

for the ecb, it's a question of are you contributing to this with the excess that you're putting into the system? no surprise that one person is talking about getting rid of stimulus, but the ecb does become a talking point in the same way the fed has. francine: i know we are supposed to know that inflation is rising, but expecting and a communist to get it right -- expecting an economist to get it right, it can rise. and the euro and european bond yields are moving off of some hawkish remarks from the ecb and there regarding councilmember. in an exclusive he said we are now in a situation where we can think about how to reduce pandemic special programs. i think that's an assessment that we can share. joining us as our correspondent. thank you for joining us. what's concerning markets, the top -- the hawk and what he's talking about? or inflation numbers coming in? >> good morning. i think it's a little bit of both. investors have been prepared saying multiple things will be temporary, but with the supply problems we see all over the world, shortages, input rising, there is some conce

this is an ecb that supposed to be a different reaction function.t moment with timothy kite mayor in the beginning of the -- timothy geitner in the crisis. jonathan: this is bloomberg surveillance. tom: you would look so good in a beige suit. jonathan: crowd fund and come up with something. this is bloomberg. ♪ >> the saddest the fed is concerned with the maximum employment. >> we will stabilize to a more modest growth rate. >> the earnings backdrop will still be quite good over the next year and we will still grow earnings comfortably. >> this is "bloomberg surveillance." tom: good morning everyone. simulcast

the ecb yield -- ecb will remain in emergency purchases. asset purchasing program is likely to continue in the background until they see some inflation coming through. that remains difficult and where that is going to happen across europe. the u.s. is kind disagreeing with jerome powell. it is not as transitory as he suspects. there are more structural issues. mark on europe, they are not. -- in europe, there are not. francine: how difficult will that be to convince the market that is the case? luke: in europe, not difficult at all. in the u.s., increasingly. one year ahead of inflation, they still 4.6%, that has been high for the last three months. people are worried about inflation and if that really catches hold in the psyche of the american people, it is hard to stop inflation. probably not massive, but even if it comes to 3%, he is going to have to speed up tapering to get to that point where he can start putting rates up. alix: what kind of risk -- different question. how fast do you think the fed will actually taper once they start?

alix: and ecb tightening monetary policy also.erewith more more is marcus ashworth, bloomberg opinion columnist that covers european markets. in some ways, we have seen that reflected in the index area -- in the index. can that outperformance continue? marcus: the thing i love about european stocks is every now and again, they are the flavor at the day. they could catch a really good following wind. europe is coming from a much lower base. they were probably going into recession before the pandemic hit. certainly italy and germany were looking very weak. nonetheless, we have yet to see their stimulus hit. we are just about to see the next generation eu fund, 800 billion rolled out over quite a few years, and i think that is one thing which could sustain this very consistent and more and more widespread european recovery because we've had fits and starts with the vaccination program, but it is really starting to work very well. i even had a french colleague tell me it is not in with the u.k. the point is, it is up there and shoutin

it is focusing well beyond jackson hole and if the ecb changes anything. the focus shifts on some of the crackdowns we see in china and whether there's going to be repricing on the margins as sectors are exposed to china more than others. mark: that is a great question. something we have been talking a lot about internally about what is the long-term risk premium in chinese equity markets that we have to factor in. how difficult will it be for a broader country thing? there is a lot we don't know about this at how many more can they really get? i saw the plan which worries people a little bit that we will have increased regulation in the coming years and of course, new policy can be announced at any period of time so i think this is the other big issue and markets paid one big issue in markets this year is inflation. we care about the virus and vaccination. the other one is what is happening with china. will china be, if assets catch up on some of the evaluations elsewhere in the world, particularly the u.s., or is there a discount to be priced? there is a

francine: we are probably looking at what we are seeing from the ecb, saying they will act. maybe they start at the same time. give me a break. the markets are moving. something that is making it move. this goes back to the price action and risk action in the market. the exciting stuff is in the bonds. they are certainly directional eyes in a holding pattern on friday. everybody goes away, but they have back with directions from the fed on how they will do it. watch out for volatility. we could see a confirmation. we understand that this selloff last week -- china is trying to stabilize. alix: you mentioned the headline . i saw that as well and i thought that did it. we have the selloff underway. the markets are pretty contained. moderna is up by about 2%, applying for full approval. you see those yields rise as well. i wanted to highlight italian 10 year, up 10 basis points. that is really the underperformer u.s., over the 50 day moving average right now. the dollar index is up, but not really pushing higher. they are getting a nice boost. francine: business confidence came

well, an independent investigation started last september, with the ecb writing to the club this weekpy of the findings. in a statement today, yorkshire said that several of the allegations were upheld and that they offered their "profound apologies" to rafiq. they also acknowledged that they had failed to implement their own policies and procedures, but stopped short of admitting blame. rafiq responded on social media today, saying he was frustrated and angry and he questioned yorkshire's reference to the phrase "inappropriate behaviour", claiming that the club is fudging the issue. well, rafiq spoke earlier to the bbc�*s ankur desai. a year ayearof... get a year of... get people to listen. giving them an opportunity to do the right thing. i'm frustrated, pretty angry. to try and even say that these are historical things, yes, this was ten years ago, but predominately, most of my allegations are the people that are still there in leadership positions. i am sick and tired of this. i am sick and tired of given these people an opportunity to the detriment of myself. the damage this is b

i would argue there is not a dramatic shift in the way the ecb has conducted policy.ower for longer as we go forward for sure. but i would not call it a dramatic change, and that is evident that there has not been significant moves in market. anna: thank you for your time, derek halpenny, head of european global markets research, mufg bank. let's get a bloomberg business flash. laura: shortage of workers has been a big drop in business confidence. the survey from the biggest business showed optimism at -17% , down from +47% in may. shares in rocket lab failed to take off in the first day of trade, tumbling almost 10%. the space launch provider raised $750 million to build its largest rocket to date. rocket lab considers itself as spacex's only competitor. >> we also build satellites too. we have had multiple missions, and are building satellites to go to mars, one for nasa, one to the moon. laura: onlyfans has reversed the decision to ban sex workers who rely on the platform for income. they said they would ban explicit content. the site said it secured assurances. th

given the fact there is more awareness, more openness to fiscal spending, how does the ecb handle thatgiven the already starting to talk about potential tapering? geoffrey: if we listen to what has been said regarding the 2% inflation target, and the criteria for retakes, we know that rate hikes are a ways away. thinking about six months away from the gross domestic product quota anyway. what monetary policy change can you achieve in six months? not much. but there is a signal from european policymakers that they are advancing, only because iraq is in a state of reflation. if we can continue to see real income growth, than that is the tapering, the normalization that everyone can handle. but rate hikes are a long way away. lisa: so what is the market response? geoffrey: the market is trying not to respond right now, still trying to digest the fed. if we look at equities outperforming, if a look at people's and equities, being sold. we are still worried about the global cycle right now. they are looking at china as pmi's and saying -- chinese pmi. they are missing about the bigger -- th

tom: there's a lot of cautious messaging coming out of the ecb, so the ecb is still saying be very cautiouson't know what is around the corner. but come september, those restrictions, they should be lifted gets a by the end of this year, you would expect the banks to be back in full control of their shareholder payouts, and then it becomes a question of just how gung ho or how closely they are feeling the animal spirits in terms of these payouts. taylor: we also got quarterly results from the london stock exchange group. i am curious the tone of broader capital markets as you are getting massive liquidity and tailwinds, but the headwinds of still virus concerns out there. tom: yes, lse, very strong results today. shares were up something like 6%. you guys had the ceo on today, talking about london market and saying it is a great time to be in london because companies are out there trying to raise money. it is a hot ipo market. it's very positive noises coming from that stock exchange operator. we saw something similar with euro next, the big pan-european operator. this has been a great time

new signs from the ecb, this is moving the euro at the margins.s from the ecb governing council, the latvian central bank governor, he is giving us comments about how the ecb will not rush to signal the future of the pandemic program. anybody waiting for clues or a heads up from the ecb on the future of the pandemic bond buying program in the september meeting will probably be disappointed. as a result, we see some movement to the downside on the euro, not unwinding gains on the day, but a little movement in the currency as a result of that story. that's get a bloomberg news update. laura: china's broadest covid-19 outbreak since the beginning of the pandemic is hampering tourism and spending during the peak holiday season. the outbreak linked to the highly infectious delta variant spreads across china's 32 provinces in two weeks. 46 cities have advised residents against all but local travel. u.k. maritime trade operations which monitor commercial shipping routes said borders -- after its early report of a potential hijack. last week a tanker was

i think investors really got used to the idea that the ecb was a long way from ever doing qe tapering work rate hiking. -- tapering or rate hiking. these ecb officials are on the end of the scale anyway they are asking for some kind of phasing out so the fact that they are looking for the stimulus to be curtailed so quickly is possibly a bit of a surprise and it is likely to have a bit further to go because when you look at german yields in particular, it is still significantly below 0% with psychologically is an area a lot of players will go for so they would like to see german yields closer to the zero line. we could see the momentum take german yields a bit higher in the short-term. traders in the rate and currency market as well will be watching the ecb probably more so than the fed in the days ahead. romaine: you can imagine there are a lot of short positions that could spur some buying. and you could follow the story and all of the days trading on our market life. -- market live blog. there's all kinds of commentary and great analysis from expert editors so you can find out it i

the ecb is in inflation deniers, what you call jay powell?ill know after today, or at the latest next week. i think the fed might have been an inflation to naira couple of weeks ago, they're already looking into the broadening of these inflationary pressures in the u.s.. they're looking at the economy which is reached precrisis level and that second level. we are also looking at an economy in which the labor market is doing extremely well. not yet back to precrisis levels. i would not call jay powell and inflation deniers, i would start to call him someone who has woken up to reality, maybe a little late. which explains why we will get this discussion on how can the fed gradually entered -- tapering. >> after 10 years of us wanting inflation, trying for inflation, knocking inflation, what is the game changer? the supply chain issues or the type of growth? >> first of all, the government the central banks helped us gain through this crisis very fast. we do not have this big balance sheet recession that we had after the financial crisis. this i

the institution. >> by the way i do think some people around this is quite clearly informed like the ecbas responsibilities but it's the opposite and't the bank of england it cannot be clear. >> somebody from canada asked how do we operationalize your recommendations to put deeper values in the economic decision-making? so when society decides to do something then the market is a way to make it happen. but society has to decide if the values are important enough and the question is asking how do we make sure policymakers do that? >> that's a reason why the book is so long. if youpt go chapter 16 with country policy but it is in the leadership chapter but these are examples of how you do it. so what's important for market function with some sense of senior managers and financial institutions not just to themselves but for their institution. it takes compensation holding back bonuses and if those are clawback it something like the senior manager regime that i'm not responsible for everything that people work for me do but i am responsible to make sure to train them they know the rules and

they are just kind of researching into this, whereas the ecb going way beyond that.e some stress tests. they want to promote financial or climate disclosures and also buying some asset purchases that really relate to some of these climate change risks. christine lagarde has signaled she wants to go even further. tom: pressure as well from environmental groups, unexpectedly, calling to oppose the renomination of the fed chair, jay powell. what is the significance of that? >> yes, tom. we heard a rather interesting piece by a former fed governor, bill dudley, just earlier this week. he is really saying that critics should take into account that the constraint that the fed is under. he is saying that, well basically, the fed and the u.s. has a bit of a difficult situation because lawmakers on the right and left disagree so widely on climate change. it's not like it is here in europe. the fed needs to be independent. if i read you this quote, it is saying that if the central bank explicitly includes climate change as a monetary policy condition, lawmakers could accuse it

dani: what has your communication been like, assuming part of this is the ecb?hat has your conversation been with policymakers when it comes to the moves to pay out dividends and buybacks? tanate: i think the conversation has been constructive. we fully understand why the dividend was in place up until recently, because of the uncertainty around covid. given the strength of the banking sector, our customer base, i think it's a good time to return to business as usual, and normal capital returns to the shareholders of banks. and that's what we see today is more of the resumption of normal business, normal dividend policy. and that's good news for all stakeholders. dani: and your loan-loss provisions coming in significantly less than had been expected, the estimate 282 million euros, as well. the headlines are just coming in, so in terms of getting back to normal, from getting away from this place where covid really impacts earnings, the rise of the delta variant is something that's been troubling a lot of executives. how has that impacted your outlook? tanate: da

i think we already and the ecb has taken a stand and will not take back the accommodative policy. this comment has not really changed, i have to admit. manus: they are liking to reset the agenda. stefanie holtze-jen that dws. let's get the first word news. reporter: the top infectious disease doctor in the u.s. says he is in favor of speeding up booster shots for people with weakened immune systems. anthony fauci told cnn it should be implemented soon. his comments added that the delta variant is driving new infections, levels not seen since the winter surge six months ago. philip morris is heating up the race for the terra group. the cigarette group has offered customer share for the british manufacturer of inhalers and nebulizers, trumping an offer from carlyle group's. the share is just over one billion pounds. a football superstar says there is a chance he will play for paris next season. barcelona confirmed last week that after 17 seasons messi's contract would not be renewed after the spanish league salary botched the deal. the 34-year-old was emotional at a news conference,

lot of emerging market countries , they are ahead of the curb compared to the fed, compared to the ecb. we are questioning when the fed will actually taper. we don't think they will be able to raise rates for a very long time if ever. we are actually questioning, we don't think they will start to taper their asset purchases in september. we think that comes later in the year if not early next year before the actually get there. i know that is not the consensus view. in emerging market countries, they have been raising rates. central bank have been raising rates there. we have a saying -- central banks have been raising rates there. here, while we know we have the fed still on our side in europe where they are setting new highs as well, the ecb is on their side. in emerging markets they have central banks taking -- tightening. this has been a fuel to this bull market in the u.s. and globally. this massive amount of the quiddity that central bank have brought into the system. >> is that a nebulous part priced in already? david: we think the infrastructure bill, specific etfs we like whic

the reason this is important, the bank of england is the starting gun for what will happen in the ecbmatt: can that be a useful tool for containing inflation? andrew bailey was talking about inflation expectations. so many central bankers, and the smartest people on wall street, were talking about inflation being transitory. but you are dealing with a public that is to a large extent hesitant to take vaccines even though that we know they save lives. you are dealing with consumers whose inflation expectations may not be grounded in the real economic situation. lena: what we have to remember is inflation is a continuum. there are a couple of pieces in the financial times, bloomberg in may, talking about how the current drivers are transitory. that is why the bank of england changed today, cap quantitative easing on target to and by the end of the year instead of tapering, very much mirroring the debate at the fed and the bank of england. the bank realizes they have vaccine hesitancy, the delta variant is raging around the world, and also we have the rolling off of fiscal support in the

couple of quarters will not last, and that inflation will gravitate more toward the targeted 2% by the ecb. guy: they are certainly seeing inflation. the question is, is it going to be transitory? the data today says that is going to be the case, that maybe the markets read. a cio joining us with his take. what is your view, mark? are there really indications that it is going to be transitory? >> i think today is almost like a seven iron down the middle of the fairway, very much in line with expectations. it is not really coming as a big shock to markets. you are seeing a reaction. i think the thing that i would observe, waited on the upside, but i'm not sure that we have necessarily put inflation to bed just yet. in particularly, if you look between now and the end of the year, the month on month increases, i would not be surprised at all to see inflation continuing to be a bit high. you are seeing comments in that last clip that we are seeing ceo's with cost pressures, some pricing power. we can see wages going up. i think, yes, inflation may transitory, but in my since it is actually in

i would suggest it affects the ecb and the eurozone as much if not more than the u.k. the u.k. is a small open economy. everything is linked. you can see it with the covid-19 supply chain. we are talking about the bank of korea. whenever the fed does will translate into possibly higher inflation, tightening of markets. the other thing is do you stop tapering and raise rates, it is very similar to conversations the ecb and traders in europe are having. tom: we have to stop and digressed to a transaction. long ago and far away i went to new hampshire to one of the primaries and i sat there with the guy from new jersey whose name was al, and we sat in the little rotunda of primary new hampshire, i believe in new hampshire the radisson hotel. msnbc was over there, bloomberg doing its thing. i was doing interviews. everyone was on their cell phones, and everybody was looking at the same thing. it was a strange thing called politico. lisa: yes. tom: i am like, what is politico. lisa: you're talking about the headline that axel springer will be buying politico. i think to mys

tom: a dovish ecb in the prospects of increased investment.ery much, geoff yu, senior strategist emea markets, the bank of new york mellon. coming up, markets continue to embrace the fed's dovish taper tilt. this is bloomberg. ♪ tom: welcome back to the open, we are 12 minutes into the european trading day. here are how things are shaping up, a bit lackluster in european markets, modest gains across the benchmark. the ftse paring earlier gains as well. that is a look across the board. it seems to be a lack of conviction in european markets. seven months of straight gains, the longest streak we have seen since 2013, but at the moment a bit of caution. anna: a flat line across equity markets, banks to the downside. basic resources to the upside. health care supplier, biggest gain or on the stoxx 600 out of the gates up 7.7% after the ceo bought 26 million worth of shares. tom: this is something we were expecting come on now we have that vote in brussels yesterday being announced, that is impacting the travel sector in europe. they will be restri

i think that puts a spotlight onto what the ecb may do with it in just over a week from now. they themselves have to consider whether to taper asset purchases. our expectation is they will be slow in indicating that. i think this could increase the urgency for them to wind down their asset purchase program, and that in turn not so much as a euro negative factor but it could suggest there's more upside, expectations for the outlook in the coming weeks. taylor: we also saw china pmi's weakening overnight. i'm curious how that impacts our inflation, if they are exporting it and we are importing it, is it transitory? ebrahim: i think china is in fact global growth -- global growth more generally, that is the key question for fx. to some degree, it is a debate of reflation versus stagflation. what we got out of the china pmi's, maybe the manufacturing part held up, and that tends to be the more important between the two. what was striking his nonmanufacturing was weak relative to expectation and relative to the previous trends. so some warning signs but they're not necessarily inf

this is a much less divided committee than the ecb.t the dots, i do not tend to take those very seriously, but the spread is not that wide considering the amount of uncertainty out there, the amount of noise we are seeing. to me i think this is a more unified committee. i think you're a to raise the question. -- i think you are right to raise the question. guy: what should we expect from jackson hole? adam: i have been very creative in putting together topics for jackson hole they're not necessarily about tomorrow's monetary policy. i think there might be a low bit of reflection involving -- it is a year since the new framework was announced. i think it will be much more focused on issues of the quality and labor market -- issues of equality and labor market and there is a lot of room for debate. richard clarida says he was waiting for more data. i think again it will be less international than we usually will be. one of the reasons to go to jackson hole's you get the central bank governors from around the world. given covid i do not t

the ecb, the central bank governor from latvia says he does not want to have one in september.ith a bit of a gap lower today, back to $1.1861. it is some marginal weakness. but i do wonder if you get a 70 basis point real yield move stateside, what it means for this market, and whether european yields get left behind. -50 basis points on the two-year yield in italy, basically in line with the depot right. tom: you talked about this 3, 4, 5 days ago. i think it sets up a growth differential between the u.s. success and a nonphysical -- a non-fiscal oomph in europe. jonathan: once you start to get a policy differential, you can push it through this fx market. we just haven't had a big one in a big way just yet. some things to thing about. let's get you some movers. here's romaine. romaine: the biggest of the biggest of them all is robinhood. this was a huge debacle last thursday. the company has the dubious distinction right now of having the worst ipo, the worst single day debut on record for a company of its size. since that debacle thursday, the stock has rallied about 30% ove

are going to see a multipolar model, and we are going to see more about agility as the fed and the ecbtart tightening, and western economies run out of stimulus in the next year. francine: italian bonds in particular have been bolstered over the past months. this comes as there's a wind down and supply at the same time as they continuous and at ecb bond buying. will that all change come autumn? alberto: one of the things we just said is stocks are down, and bonds are down as well, so italy's bonds are not a safe haven, but even treasuries are down, selling off today. so the correlation of risky assets with risk-free assets has turned to positive, and some of the investors were long for carrie were simply holding their cash, now selling off when markets are selling off. there's no place to hide, and that is exact we what is happening in 2018 and 2013, when central banks started to taper. there's potential for tantrums. markets become more fragile because driving the thought of capital, it is green with qe and read when qe stops at and read -- and red when qe stops. is the 60/40 bond por

the ecb is toward the end of the list for tapering.o will continue underperforming other g10 currencies starting to emerge from their emergency pandemic programs. francine: really interesting and i love that charge. mark cudmore with some really smart thoughts. you can direct questions at mliv . we had a viewer who said mliv is my life. it is a great catchphrase. think about it for future advertising. hackers have pulled off what may be the biggest theft ever in the world of decentralized finance, stealing about $600 million in cryptocurrency. the target was a network which lets users swap tokens across multiple blockchain's. for more, we are joined by our bloomberg process that reporter. what do we actually know so far? >> as he pointed out, the hack of poly network is largely the latter just hack ever -- is likely the largest hack ever for the decentralized finance market. the numbers suggest that about 60% of hacking activity in the crypto industry has been focused on defi this year. that makes sense given that there is $80 bill

but the ecb is looking at some of the spillover effects of wind that starts in the u.s., so europe islowing at this point. tom: red and green on the screen right now. on radio, on television, stay with us. claims in less than 45 minutes. this is bloomberg. good morning. ♪ ritika: with the first word news, i'm ritika gupta. rising coronavirus cases are limiting what fed chair jay powell can say about what is next for u.s. monetary policy. powell speaks tomorrow at the annual jackson hole symposium. the conference has been turned into a virtual one this year. powell is excited to reinforce the message that it will probably begin appropriate to begin scaling back the fed's bond buying program by the end of the year. the u.s. and the u.k. are warning citizens in afghanistan not to travel to the kabul airport. they say there are threats of a terror attack. british prime minister boris johnson discussed the evacuation today. pm johnson: i thing we have to be transparent about the risks and realistic about what is going on. you will appreciate that there are terrorists out there. ritika: the

an independent investigation started last september, with the ecb writing to the club this week to asktold us it's been a difficult and frustrating 12 months. a year of pain, a year of trying to get people to listen, a year of giving them the opportunity to do the right thing, and what we end up with instead, racism and inappropriate behaviour. imean... i'm frustrated, i'm pretty angry. iam... to try and even say that these are historical things — yes, they are historical things, yes, those things are from ten years ago, but predominantly, most of my allegations are to the people that are still there in leadership positions. this is about my second spell with the club with all of them, and i'm pretty sure are still in positions of power. glamorgan have won the first one—day trophy in their history after beating durham in the royal london cup final at trent bridge. having been put into bat by durham, a captain's innings of 82 from kiran carlson helped them recover from 51—2, to finish on 296 for 9 — paving the way for victory by 58 runs. veteran michael hogan, who's been with glamorgan

the pace of other central banks, the fact that china already seems to be aching movements, and the ecbng into it? eswar: certainly there are central banks looking into digital currency and it has become a wave. any of the major central banks, including those of china and japan, have already started trials. the european central bank and bank of london are contemplating trials. at this instance, i do not think there is a huge first mover advantage. i think the notion that they may present the digital version of the yuan related to the physical dollar for me is still a bit of a hard sell. certainly, the u.s. can learn a lot of the other countries experimenting and how to minimize the risks in terms of security and enhance privacy considerations, make sure there is not a commercial banking system. no central bank wants to be doing what commercial banks are doing right now. the u.s. could learn a lot and is going to learn a lot from what other countries are doing. it is going to be -- it is not a big threat that other countries are moving forward. caroline: we only have a minute left, unfor

top of it which my personal view is you need that grounding that the bank of england has, that the ecb by the treaty and the requirement for them to take into account the core policies, i forget the exact language but it is pretty well-rounded legally. this stuff is -- the places stuffed full of lawyers. that's incorporated. my read and the experts at the brookings institute in my expertise. my read is that doesn't exist for the fed, so you're going to end up, we end up with a different central banks doing different things and they are all right. they are all correct and what they're doing. it's a nature of the institution. i do think, by the way, i do think some of the common -- some people around this is quite poorly informed. the bank is reading it a bunch of, the bank of england or ecb new responsibility for its the exact opposite actually. the bank of england it couldn't be clear. >> somebody from canada wrote a question asking, how do we operationalize your recommendations and deeper values and are economic decision-making. when you made the point when society decides to do somet

it, which my personal view is, you need that grounding in -- that the bank of england has that the ecb has, into the master treaty and taking into account the core policies, i forget, but it's pretty well grounded and i can assure you the place is stuffed full of lawyers, if they get it wrong they'll be looking at. that's incorporated. my read and there are more experts at the brookings institute than any expertise -- my reasoning is that doesn't exist for the fed and so we end up with different central banks doing different things and they're both, you know, they're all right, they're all correct in what they're doing. it's the nature of the institution. >> i do think, by the way, david, i do think that some of the common treaty of some people around this is poorly informed. it's like, well, the banks -- the bank of england, ecb, the responsibilities-- the bank of england couldn't be clearer. >> somebody from canada wrote a question asking, how do we operationalize your recommendations and deeper values in our economic decision making? you've made the point that when the society decid

too well-controlled from the ecb's point of view. they will be removing policy accommodation any time soon. we expect them to extend qe. the asset purchase program will move well into the third quarter of this year rather than coming to an end in arch of next year. francine: what about the u.k.? i have not asked you about the u.k. is this the trickiest for the bank of england to see what they can do? sarah: i think it is very tricky because if we start with covid, we have seen a big surge with the delta variant and a collapse in cases and then the cases picking up again now. hospitalizations remain low paired we have a good vaccination rate here. but as we see in countries like israel, that may not count for a big amount. the reopening of the economy, restrictions lifted in july and schools going back and many offices going back to work in september. what will that mean for the pandemic? what will that mean for the capacity of the health service to cope? we have seen quite worrying inflation trends in the u.k., more so than in the eu

from a monetary policy backdrop perspective, europe, the ecb is in this very luxurious position wherecontinue to be extremely dovish, and enjoy the benefits of intelligence from observing what the fed is doing. what i found quite remarkable about the strategic review, so remember, the ecb's strategic review, first review in nearly 20 years, was pretty major. they talk about asymmetry of inflation target like the fed but they also introduce new vocabulary. they talk about being forceful, being persistent. i think what they are trying to say is, we are there to continue to support, we are there to continue to pump up the economy in a way that is necessary, because of course, the region was on the verge of a recession pre-covid. i think you have a very large support blanket for the region and have a lot idiosyncraticies in terms of the stock selection in the region. anna: is there a region where you would plunge headfirst? anneka: the other thing that is striking is, to answer your question, post-covid, there has been enormous amounts of monetary but also physical support. let's not -- f

also, the fed is nowhere near starting to raise rates, which i think would've been important, and the ecb is stuck in its own policy stance, so the dollar has not been exciting. that doesn't mean that the rest of the market -- if you look at the g10, the stories that are starting to merge more about which central banks are behind it first, and then the economies , news billion, norway, and we think the bank of england will beat the fred -- fed. francine: this is probably -- is this on inflation or a speedy economic recovery? >> i think more of the second. that u.k. has been in a way leading in terms of some of the delta, delta hitting and think cases are relatively coming down early. we believe it is sort of a combination of the u.k. economy performing quite well, and we are seeing it pick up on investment. our m&a pipeline is flashing positive singles right now, so that is something that is coming back. the bar that the fed is going to set, we do not think it is going to be very high, so we think it will be hiking before the fed, and there are quite a few other central banks that will as

an independent investigation commenced last september, with the ecb writing to the club this week toindings. 0n social media today, rafiq has questioned yorshire's reference to the phrase "inappropriate behaviour," claiming the club is fudging the issue. naomi 0saka says she felt "ungrateful" at points during the last year for being unable to appreciate her success. the world number two was speaking after coming from a set down to beat american teenager coco gauff in the second round of the cincinnati 0pen. 0saka withrdrew from the french open and wimbledon earlier this year to focus on her mental health: i've had a really weird year. i'm wondering if i was scared because sometimes i would see headlines of players losing, then the headline next day would be a collapse or, like, they aren't that great any more. so then i was thinking... me waking up every day, for me i should feel like i'm winning, you know? like, the choice to go out there, to play, to see fans, that people come out and watch me play, that in itself is an accomplishment. i'm not sure when along the way i started dese

the chief executive of the ecb, tom harrison, says the inaugural season of the hundred boosted the profilebrave in yesterday's final at lord's, a record for a women's domestic match anywhere in the world, before southern brave beat birmingham pheonix in the men's final. i think it has always got to start somewhere. i think it has been a great step forward and also the regional programme that is in place alongside it. it is really exciting to see that it is just going to keep on going and hopefully the success of this tournament will help this get bigger and bigger. the tournament _ get bigger and bigger. the tournament looks to have been a really big success. victoria, that is all your support for now. i will have more for you in the next hour. let's get the latest on what is happening in kabul. were going to talk now on the phone with the defence and security editor. kim, are you at the airport right now? i have just got back to my airport. i've been at the airport for most of the day. we have been told here by the day. we have been told here by the armed forces in this or that it is slig

meanwhile the ecb released more figures today designed to highlight the success of the hundred tournament half of those who bought tickets for the games were new to cricket. the hundred is there to generate new interest, but with intense discussions set to happen, the ecb maintained that test cricket is the sport's pinnacle. joe wilson, bbc news. the team for europe's solheim cup has been announced and there are three english players selected for their defence of the title against the united states next month. georgia hall and charley hull made the team automatically, while mel reid is one of six picks from captain catriona matthew. georgia hall makes the team after finishing second in the women's open, and will be making her third appearance in the competition. charley hull meanwhile will be playing the event for the fifth time. mel reid has been picked for the first time after missing out on selection in 2019. that's all the sport for now. back to you. thank you very much. there's to be a clampdown on the "cowboy behaviour" of some covid test providers who've been accused of taking adva

an independent investigation started last september, with the ecb writing to the club this week to askracism and inappropriate behaviour. imean... i'm frustrated, i'm pretty angry. iam... to try and even say that these are historical things — yes, they are historical things, yes, those things are from ten years ago, but predominantly, most of my allegations are to the people that are still there in leadership positions. this is about my second spell with the club with all of them, and i'm pretty sure are still in positions of power. glamorgan have won the first one—day trophy in their history after beating durham in the royal london cup final at trent bridge. having been put into bat by durham, a captain's innings of 82 from kiran carlson helped them recover from 51—2, to finish on 296 for 9 — paving the way for victory by 58 runs. veteran michael hogan, who's been with glamorgan for seven years, relishing taking the final wicket. in super league, it was an emotional night at headingley — as rhinos legend rob burrow, who is battling motor neurone disease, received a hero's welcome from

will we get that in the coming months with the ecb and the fed? tom: very true. now a special movement for "bloomberg surveillance." jurrien timmer with fidelity, the global macro director. far more importantly, he comes from hallowed ground in economics. i cannot say enough of the importance. the equivalent is jp morgan's mansion 20 saved the country in 1907. you are in the met watching to hotel, breathing the same air as john maynard keynes from 1944. what they needed to solve in that room after world war ii was fixed currencies. we now have floating currencies. does that push away our gloom and worries because we can recalibrate from what they did at bretton woods and what we have done with floating exchange rates? jurrien: i think so. the problem with the gold standard was you always have your hands tied behind your back. in the great depression the fed had no tools to fight that. there were bank runs. they went to plus 10, plus 15%. it's incredibly damaging. ben bernanke back in the financial crisis said never again. we, in the fiat world, as the crypto peop

it is a focal point for economies around the world we got fresh comments from the ecb. the leader warned the fed could pick up faster than expected is this new information on markets? what is your take on the comments >> i didn't think that is necessarily new information when we are looking at the data we see inflation picking up above 2% target mark we look at the price pressure and the output data coming from the pmi, we see there is significant price pressure building that's coming from a number of sources. you have firstly the supply constraint issues with the manufacturing sector and you also have the reopening inflation that we're seeing. this is largely a continuation of this transitory and inflation number should be picking up above the 2% mark. the pbigger question is what happens further out in 2022 and 2023 >> looking to 2022 and 2023, a lot of the issues on the supply side are expected to prove transitory how dire do you think the labor situation is in the eurozone we are seeing issues with obtaining staffing looking longer term. would you suggest looking th