have been demonstrating their passion for the eu.et's have a look at that, before we continue. >> whatever the result of the referendum, these brits want to remain. they believe the eu safeguards democracy, plurality, and peace in europe, assuring war will never again break out between its nations. to them, the european project also symbolizes the rule of law, and respect for human rights, along with the freedom of movement the chance to study in other european nations, to work abroad, or to pursue research there. now they are worried that their lives and those of their children can only change for the worse. they feel left out, and believe strongly the people of the eu are stronger together. how can this kind of enthusiasm be reawakened in others, who are disillusioned with brussels? peter: that's the question, derek. is it all about leadership? does europe need charismatic leadership? derek: i think it needs leadership from below. a lot of us, european elections every couple years -- i have been meeting with people in berlin. the e

my group does not want the eu to break up but to avoid this the eu must change how it works. whatever the challenge, more europe is not always the answer. ignoring the results and saying we continue anyway is not a good enough response. eu heads of state and government are meeting in september to ask some tough questions and that is what the ecr group was ready to do. sometimes answer tough questions that people in this chamber do not necessarily want to hear. with or without the u.k. there's a growing number of people across the european union who want change. so my plea to all of you is listen to those that want the eu to read the challenges of the future. listen to those that want politicians to stop addressing their concerns even when we must disagree and listen to those that want their leaders to focus on creating jobs and growth rather than creating political utopias. >> it's incredible. incredible. should it be not better that you never want to do in britain because in my opinion they have not any clue of what needs to be done. that should be better to give lessons in

provivided 15 millilion eus inin funng.ex l lake: if the ukuk is outf eueurope, reremote regionsns lis will remain insignificant. there are bigger priorities to our uk government, and to the politicians that are in our uk government, than a small region with a small population at the end of the country. reporter: most people in newlyn don't see this danger. they are deeply embedded in their traditional way of life. jamie maclean is a cook in his own restaurant. he voted for the brexit because he expected that, without e.u. fishing quotas and regulations, fish would become cheaper. but now he's not so certain. jamie maclean: to be honest, it came as a shock. i mean, i voted out, but i thought i'd be in a minority. so for me personally, you know, i was actually quite shocked by the t vote. i didn't think it would happen. i wouldn't describe myself as particularly happy about it. there's a lot of uncertainty. so now the hard work r really bebegins, you knowow. i don't think it's something to celebrate, it's something to think

melinda: they have the eu over a barrel. the eu relies on turkey.urkey has millions of refugees in its country. if it were to open the gates, the flow starts again. seda: it does. the eu has to be careful. the best thing the eu can n do s show suppoport. what they can do right now is, at the same time while showing support, promoting democracy, they should be careful and watch what is happening. melinda: would you agree the west has, in a sense, given turkey a blank check in the past? if so, what check should they issue now? antje: the influence of the west is small right now. in fact, everybody in turkey knows that there is no eu membership in the middle term. maybe not in the long-term. they are aware of this. i think the popularity of europe has decreased very much in the last year. i think the influence is very small. i agree with what seda said. the eu has to talk to them, try to ask them to respect the state of law. there is not much more we can do. seda: i think saying we are going to stop negotiations, that is the wrong move. alan: we need t

and take the country out of the eu. liam fox was eliminated in the ballot, and then another contender withdrew. also on the show, barack obama takes to the stage with hillary clinton to back her campaign. hours after the fbi delivers scathing criticism of her e-mail practices as secretary of state, we will go to washington for the latest. and the states will decide, brussels says that the national parliament for europe will vote on a free trade deal with canada. ♪ brent: it is good to have you with us. tonight, one step closer to finding out who will be the leader of britain, in their first round of voting, they have given overwhelming support to interior minister theresa may. theresa may received 165 votes out of a possible 330. she quietly campaign for the country to stay in the eu and has put herself for as the president able to reconcile the two sides. andrea letson -- andrea leadsom is in second place, she sees brexit as an opportunity. the loser in this round is liam fox who is now out of the race. stephen crabb h

leading -- leaving the eu. on immigration, the leaders reviewed crossings from turkey to the greek islands. the crossings have now almost come to an on. since 2015, that border was crossed regularly by 7000 people daily. now it is around 50 per day. given this significant lowered influx, we can now officially manage this. this, in turn, should restart the sense of security in europe. now our attention can focus on the central met at -- the central military and -- the central mediterranean. [indiscernible] mr. tusk: we are moving to a new way to work with countries to apply the necessary leverage to ensure fast returns of illegal migrants. all illegal economic migrants must be returned to the countries of origin. -- we also are addressing what needs to be done to stabilize the situation. we welcome to the presentation by the high representative of a new global strategy to guide the union foreign security. the leaders thanked the prime minister for a professional diplomacy and hard work over the past six months.

and eu. it is the rest of the world that as we are talking about issues china, japan, korea pursuing the agreement. the rest of the world is continuing to negotiate free trade agreements and set certain rules of trade. at the end of the day i would rather have u.s. and european negotiators where we share the same values addressing those kinds of issues. i'm thinking about how to address a greater partnership to allow trade to flourish and counter cyber security threats out there. i would like to see ways to promote greater integration through protections that aren't just u.s. and european but allow the ability to bring those life saving medicines to anyone and everyone in the world. ups will ship them there but you need the property right protection so that the investment is protected and access that people need to those medicines can be encouraged. and i think that comes through a good robust dialogue between u.s. and european negotiators and that is what is at stake in this agreement. we ta

every member of the eu is a democracy. no eu country has ever raised arms against another. an integrated europe is one of the greatest political and economic achievements of modern times. this is an achievement that has to be per sreserved. third, the yietunited states ha strong and enduring interest in democratic europe. we're bound together by history, family and our common values, our commitment to democracy, plurism, human dignity. our economies are deeply woven together. the security of america and europe is invis nl and that's why for nearly 70 years the united states has been a strong champion or european integration and we will remain so. european countries are and will remain among our closest alleya and friends and europe is an indispensable partner around the globe. as we manage brexit, the work today shows we're going to continue to be focused on pressing global challenges. we agree the united states and the eu can do more together for shared security and we'll keep working to provide each other information, to stem the flow of foreign terrorist fighters and pre

emerging relatively better than the eu, because the eu is very fragile. is but if you look at a lot of manufacturers, they are owned by germany, or by the chinese, and if they do not get access to single markets, they relocate, and therefore there is not much left to export out of this country. so a week bank -- so a weak sterling is not good for anyone. david: you have to think that an exchange rate move of 1%, maybe 30%, would bring about -- of 20%, maybe 30%, would bring systematic changes in what the u.k. produces and how it produces. then saying what it is going to look like over the next two years. you have to see that some of it will be emphasized, some of it will be deemphasized. francine: over 10 years? david: more like five. economies it just much more quickly now with the technological advancement we have seen then 10 or 15 years ago. not to beses tend worth very much because the economies react much faster than they did 10 years ago. i believe we are probably underestimating the profound that a strong devaluation of the sterling will have. whe

and eu. it is the rest of the world that as we are talking about issues china, japan, korea pursuing the agreement. the rest of the world is continuing to negotiate free trade agreements and set certain rules of trade. that at the end of the day i would rather have u.s. and european negotiators where we share the same values addressing those kinds of issues. i'm thinking about how to address a greater partnership to allow trade to flourish and counter cyber security threats out there. i would like to see ways to promote greater integration -- innovation through protections that aren't just u.s. and european but allow the ability to bring those life saving medicines to anyone and everyone in the world. ups will ship them there but you need the property right protection so that the investment is protected and access that people need to those medicines can be encouraged. and i think that comes through a good robust dialogue between u.s. and european negotiators and that is what is at stake in th

that our countries in the eu data getting very nervous about free trade deals. i happen to think they are wrong but i think that is worth bearing in mind. but what she says about access to the single market, if that's the most important thing, there are trade-offs you have to consider and that's the way i would see this negotiation. >> thank you, mr. speaker. denmark voted in a referendum to reject the treaty. a year later they voted and a second referendum to accept it. in the fine european traditions of keeping voting until you get the right results. result. we know that many millions of people in this country felt they were deceived by the exaggerations and allies and the campaigns of both parties, and they now feel themselves cheated by that result, and millions of people are protesting. isn't it right that we look again at the possibility of a second referendum in this uncertainty that all second calls are always superior to first thoughts of? >> i think we're to accept the result and i'm not planning a second referendum. what we have to focus on is it the

this is barclays jeff daly who took to the home earlier this year, and eu barriers are unlikely for eu- u.k. banks after brexit. this is about the passporting rights. that is the critical issue for banks in the united kingdom. anna: let's talk about the u.k. we've seen a new for crest -- forecast for gdp, down to 0% growth. is that will growth will look like for the next year for the u.k.? >> i think it's not unreasonable. we need to move beyond the short-term geopolitical story of brexit and understand what is happening to the u.k. growth model. the reality is we have a situation whereby the uk's and the of all growth model of high debt, low consumer savings, high external deficits, and domestic thend -- let's not forget u.k. economy was the strongest one in the eu the past few years. that model has come to a sudden stop because of brexit, and the result is a capital shock is translating into expectations of that is shock, and darkening prospects for u.k. housing, and also a sterling shock. sterling used to be the aaa reserve currency. it is now emerging market-like volatility. i don'

one of the fundamental memberships for eu and talks on eu membership is that you do not have the deathe reason why turkey got rid of the death penalty, so that they could begin talks with the eu. if they reinstituted it, that would have a significant impact. thank you very much indeed. anthony skinner is the head of political risk and joins us in the studio. take us forward. walk us through how this picture is going to evolve. a lot of investors around the world very nervous. anthony: they have good reason isbe nervous because erdogan likely to solidify his grip on the executive his next step is to establish a presidency. his mission is to try to establish an executive power which is enshrined in the constitution. there are two options. one is to hold a referendum. the problem with the referendum, it is not guaranteed to succeed because society is split down the middle. the other option is to hold new elections. gan'sould play into erdo hands, but it is not guaranteed to succeed. that said, there are some positive dynamics playing into his hands. party are having their immunity lifted

can we have eu staff working in the banks here?ply don't know what that relationship is going to be like. francine: are you hearing anything about what that final model could look like. we've got a government, which is a great start. we know who the british government are. we know who the ministers are. the reality is, the shape of the deal will depend very much on the relations and deals between the u.k., germany, france, and italy. the prime minister is having talks with everyone to scope out what is the relationship. she said it should be something unique to britain. the only thing i'm confident about is that whatever the relationship is, it will be completely different. it won't be normally. it will be something unique. it is very early days. this is a marathon process before we leave the eu. the article 50 negotiations are two years. we saw stories yesterday. the government hasn't decided whether it will be inside the customs unit. it is a really fundamental question. things like that aren't sorted yet. francine: is michelle d

we arewidely expecting the meeting here today from across the eu to take up the eu commissions right fie commissions recommendation that spain and sport guportugal have violated. if there should be a sanction, what kind of sanction. the penalty can be from zero percent. that is one issue that is up for discussion here. also of course sit the first meeting since the referendum. looking at the financial reaction since that time. big focus has fallen on the italian banks. a lot of talk on the sidelines so i had the chance to catch up was the president bloom. i spoke to him about that issue. i don't think the banks are facing acute crisis however a lot of the exposure to italian banks if they are forced to take a loss, that could really have a political cost for prime minster renzi who has you know has called a constitutional reform referendum later in the autumn. i asked whether he was concerned that it will banks issues could turn into political crisis. here's what he had to say. >> i have full confidence in the italian government. they will find a way to solve the problem in some bank

look at of access to we have to the eu? -- what kind of access we have to the eu echo -- eu?july soe everybody by summer close and barbecue because the sun came out. the economy will take ahead. -- take a hit. he had 73 and pc meetings. 73 -- 73 and pc meetings. you don't have a month, martin. i think i would've done. francine: what happens to the pound? kit: the market is bearish. i think we will take it against 1.20 andr between 1.25. once we start getting a clearer picture of the economic data, because there is a lot of data out there. after that, we will have negotiations start and the government's response. if we came in with a big fiscal's policy response -- fiscal policy response -- we need infrastructure spending to sort out some issues. francine: is it too soon? can we look at the characters in place and cabinets and try and actually second-guess what they will do? or do we need to wait? kit: this is the way politically which seems the obvious solution . i sort of think they will get there in the end. the austerity movement within the conservative party is pretty big

are the eu bunch quite emotional?ed to come in with no animosity and wanting to play nice? rupert: i think it is totally different now than the previous five years. then it was trying to find a by day solutions to individual dossiers and now you have an extensive negotiation. i imagine it will be quite tense and there will be a premium on coming in with a positive attitude and a clear plan. francine: do you think there needs to be a brexiteers in charge? rupert: i think there does. you have a prime minister who is just about on the remain side so she does have to give some senior positions to people who were for leave. this brexit position is an interesting one. i am not quite sure it is going to be the position that it builds because this person will pay for -- will be based in the cabinet office. ultimately this renegotiation is going to be done by the prime minister. it will be theresa may having discussions with angela merkel, francois hollande, all the european partners. this job i think will be an important tech

that's leaving the eu -- leaving the eu. brexit means brexit and we are going to make a success of it. anna: let's bring in our guest, mark urges. -- mark burgess. great to have you on the program. let's talk about uncertainty and the role it has on shaping your strategy. -- the old adage is businesses do not like uncertainty, but investors really hate uncertainty. some opportunities there. mark: we have given the markets uncertainty over the past few weeks. it has been quite unpredictable but the fact that what we now the prime minister is going to be much earlier than we expected. it will help settle investor confidence, i think. anna: market, the ftse 100 an 11 month high it we know that is -- 11 month high. -- the ftse 100 poised to gain all of its losses. off that previous high we had on june 23 before the brexit debacle. should this be the case back up the 250 be anywhere near that? should we be buying in? there is a fair degree of uncertainty facing the domestic economy. the ftse 100 has rally because of the translati

every member of the eu is a democracy. no eu country has ever raised arms against another.integrated europe is one of the greatest clinical and economic achievements of modern times. this is an achievement that has to be preserved. all of the reasons i just mentioned, the united states has a strong and enduring interest in a united democratic europe. we are bound together by ties of history, family and our common values. our commitment to democracy, human dignity. our economies are deeply woven together with the largest trade relationship in the world. the security of america and .urope are indivisible that is why for nearly 70 years, the united states has been a champion of european integration and we will remain so. fourth, given our shared interest, europe will remain a cornerstone of america's engagement of the world. european countries are and will remain among our closest allies and friends, and europe is an indispensable partner around the globe. we managed the us -- and the applications of brexit, i worked today shows we will continue to be focused on pressing globa

a better deal than what it had because that is a threat to the eu, existential threat to the eu itself a time when populism is on the rise and you have all these far-right parties pulling for their own referenda. we will be entering a very, very tough negotiation and i think britain has to be under no illusions about how difficult it is going to be going forward. real quickly, you mentioned theresa may's speech, she sounded some left-leaning notes. i also noticed similar tones gove in his speech about curbing the excesses of capitalism. is this going through the political elite on the right where people got sent a message from the referendum that there needs to be some fundamental changes to the economic model? nina: tremendously, and if you look at those people who swung the referendum to brexit, these are people who don't usually vote in general elections because they feel the political system doesn't work for them, they feel left behind, they feel that globalization has changed their life and nothing is getting better for them. it would be political suicide for the next prime minist

and the eu.despite the widespread panic over the brexit, the ecb said financial markets have handled the uncertainty well. here he is speaking. >> following the eu referent -- the u.k. referendum on eu membership, our assessment is that financial markets have weathered the spike in uncertainty and volatility with encouraging resilience. the announced readiness of central banks to provide liquidity if needed and are a commentary -- and our accommodative monetary policy have all helped to keep market volatilityeep market contained. will: europe's main indices closed mixed for the most part, the ftse falling 0.4%. the cac 40 slipping just below the flat line. hovering dekes -- dax in the positive territory. over on wall street, what goes up must come down. after weeks of highs for the dow and the s&p, all three indices were dragged down by disappointing corporate earnings, despite some positive economic data coming out of the u.s. earlier, airline shares were among the biggest losers on the markets,

or most eu member states what the eu was.o to be honest, it is going to be a short-term rough ride. but out of it, we will come out stronger. let's be frank and honest. no one comes to britain for the good weather and the good food. they come for our minds, for our talent, and for our institutions. emily: on that note, you work with a number of tech companies that have huge businesses that work in the eu and the u.k. what is the impact for these companies going toe? ay: if you look at the tech industry itself, there is a commonality that will persist. if you look at the average tech company, they have 700 different vendors where they run their business on. a small percentage are based in the u.k. a u.k. company runs its business on applications that are built from around the world. the eu, north america, south america, apac, that will not change. one of the common themes i tell our customers and my own company who has a large office in the u.k., is business as usual. general, data, prevention laws. privacy laws. they are not

the waves of turkish citizens entering the eu this year could be off the table.visa free travel, billions of euros in aid, and eventually eu membership had been promised by the bloc in return for turkey to be more refugees get the deal worked. the number of illegal migrants entering europe from turkey fell by over 80% since april. but erdogan reporter -- but erdogan's perceived authoritarianism risks turning the block against him. >> turkey is a geostrategically important partner in the fight against terrorism and also dealing with refugee crisis and ending the bloody and long civil war in syria. julia: at home thousands have come out in support of the president, even echoing his call for the death penalty. catherine: more than one quarter of a million syrian refugee children sheltering in the lebanon are not getting access to education, according to a new report from human rights watch. it says the problem is particularly acute among high school students between ages 15 and 18. just 3% of that age group was enrolled in a lebanese school during the last academic

one is in equality and inequality within the eu but inequality between the eu and neighboring regions. obviously between germany and greece that have tremendous tensions. sorry, is this on? the same inequality is a major force. the question of europe's capacity to defend itself is another major factor post-world war ii. you see now i think finally emerging over the course of this past year or two is the sense that europe has to have its own born defense and when we say europe this context we mean germany. that is slowly changing in d.c. germany being willing to weigh in militarily and on the foreign-policy stage even two years ago i would challenge was not foreseeable. so expansion, 20 countries 20 people 28 anything around the table trying to agree on anything but especially thinks are important is very hard. those are a think the deeper forces that are challenging europe. the question is could you have solved any of these? you mentioned syria. i think bikers ago we knew that this is going to happen. five years ago we had a really good sense that syrian refugees would end up in europ

the decision to leave the eu will not derail the u.s.he new york fed chief william dudley says he u.k. decision to leave the eu could escalate into a significant headwind if it triggers wider financial turmoil. generaleman of societe says a possible systemic crisis -- he says europe needs it credible backstop for its banking system. >> is to make crisis when there is a risk -- citations, and the banking system has problems, the -- in thismy situation, you need the taxpayer and the public sector to step in and to intervene. the quicker the better because you will stop this situation. nejra: german factory orders failed to rise in may as uncertainty over the global outlook. seasonal swings in inflation were unchanged when they fell 1.9%. economists addicted a 1% rise -- economists predicted a 1% rise. britain publishes its long-awaited reports in the conflict. john chill cooked is announced -- is due to announce his findings seven years after it was set up. -- for the role in the u.s. led invasion at the handling of the subsequent observat

states what the eu was.o it will be a short-term a short-term rough ride. but out of it, we will, out stronger. no one comes to britain for the good weather and for the good food. they come for our mind and institutions. on that note, you know him -- you work with a number of huge businesses that work in the eu and the u.k. what is the impact? >> there is a commonality. if you look at the average tech company, they have 700 different vendors they run their business on. a small percentage are based in the u k a u.k. abbott iran's its business on applications built from around the world. the eu, north america, south america -- that will not change. one is the common teams i tell my customers is business as usual. , prevention laws. privacy laws. they are not changing. if you transact with an eu organization, over 50% of the u.k. has exports to the eu. that will not change. you still have privacy regulation. you still have to adhere to them. was a -- itit, it will stay the same. there was once we that says the

she campaigned for britain to stay in the eu, and will now take on brexit. and andrea leadsom will face a final vote by the party's wider membership in september. anchor: let's get our correspondent in london. good evening to you. here we are. theresa may is the front runner. she had strong majorities in this vote today. does she have the b in the bag? reporter: no, she does not have itn the bag. she is the clear favorite. with her experience as home secretary for several years. but then again, the tory members are the ones to decide, and they may want somebody else, somebody who campaigned for brexit, which would be andrea leadsom. also, she is socially quite conservative, for example, she does not support the gay marriage bill. this is something that a lot of conservative party members are actually, really quite like. it's not yet over, this race. anchor: it's not yet over. i have to throw this curveball that you. there's been some speculation today that theresa may might actually be the one to keep britain inside the eu, that once she is prime minister, s

who will she choose to lead the exit from the eu?en rallies as the chief cap that secretary says tokyo is not preparing for helicopter money. the boj has to deliver even more stimulus before they meet on the 29th. the search for yield is creating crazy conditions. pimco is loading up on treasuries. guy: where do we think futures are going to be picking up this morning. it looks like we are going to see a story. the pound a big factor in all of this. let's see how these european markets open up. is actually going down. the footsie is now down. we will see what they do as well. massively outperformed the footsie yesterday. the market rate is the sending. the ftse 100 south. let's see what we are going to get from the other continental markets. dax dropping as well. let's take you through some of the stocks. >> we saw a real rally in asia. in a golden cross. in europe, it looks like it is read on the industry grid. if we take a look how it is shaping up, i.t. stocks up .2%, not huge gains. health care up 0.1%. consumer staples and telec

my group does not want the eu to break up but to avoid this the eu must change how it works. whatever the challenge, more europe is not always the answer. ignoring the results and saying we continue anyway is not a good enough response. eu heads of state and government are meeting in september to ask some tough questions and that is what the ecr group was ready to do. sometimes answer tough questions that people in this chamber do not necessarily want to hear. with or without the u.k. there's a growing number of people across the european union who want change. so my plea to all of you is listen to those that want the eu to read the challenges of the future. listen to those that want politicians to stop addressing their concerns even when we must disagree and listen to those that want their leaders to focus on creating jobs and growth rather than creating political utopias. >> it's incredible. incredible. should it be not better that you never want to do in britain because in my opinion they have not any clue of what needs to be done. that should be better to give lessons in

you yourself have said that having been with the eu, part of the eu, for so long that no good trade negotiatorsk. how will it transpire? >> the last time britain employed anyone to negotiate a trade agreement was in the 1970's. i know a handful of officials in the british government who look at trade, and a century what they're doing is informing british ministers about what the european commission is doing on their behalf and conducting trade policy. what is going to happen first of all is that the entirety of the british government, and of course scores of officials in brussels, our first of all going to be preoccupied with working out what this means for britain and europe. it will be trade between themselves, but they have to focus on that. that will take years to first of all undo the arrangements we have at the moment and then start putting together and making some crucial decisions near in britain wants to end up with respect to europe single market or how far apart. there is a very big judgment call that the british government will make an which the european union will negotiate with us

, and respect of eu rules and regulations. a strategic choice, which uk government needs to make, whether it would aim for remaining part of eu sbsinterna market, or it would move outside of the intern market. >> the key there, that norway option is still on the table. interesting comments from the former latvian prime minister, also in charge of financial regulation for the eu, here to meet with chairman lu and elen. he did say with respect to some of the problems they're dealing with, there is solution within the framework to figure out how to recapitalize the italian banks, if that's what it comes to. >> certainly on the longer-term issues, going to be years before we have any finality on this. >> on brexit? >> yes. >> and i asked how long it would take for article 50, he said that would be months. >> but the brit issue donish doo do that until the new year. >> things are moving all the time. >> you could see pressure from the european countries. >> as we take a break, check on where the markets are trading. dow, and vicks

>> relations between the eu and turkey have deteriorated. turkey seems to be more comfortable on its own. over the next few weeks, we are in a state of flux. we have seen great attentions to turkey and the west, nato. besides israel, turkey is the only one that is in oecd country. you don't see a complete decoupling. it's still part of the west and nato. there will be greater tension between turkey and the rest of the west. >> we will continue the conversation shortly. you're sticking around, still a lot to get through. let's get more from the story of the bank of china making it bigger foray outside asia with the rollcall managing bond sales. including a 10 bollard -- $10 billion issue. what do we know at this point? >> bank of china is making big inroads into the middle east bond mandate space. desireseeing the clear by not just chinese banks, but the bank of china is state run, so this is officially sanctioned strategy, but not just chinese banks but also japanese banks coming into this space clearly sing the middle east as an area for fu

the eu. tends togel farage encourage independence movements across the eu. thank you. benedicte was alluding to the race within the conservative party to take leadership of the party. theresa may has established an in those vying for the seed of david cameron. centered largely on how the future leader of the party would handle brexit proceedings. 10,n the battle for number theresa may is racing ahead. according to a poll in "the sun," 60% of voters support her. while campaigning for the remain cap, she says brexit means brexit but favors a slow withdrawal from the european union. >> i do not think it is possible to say there is an absolute deadline. what is important is that we do it in the right timescale and to get the right deal for the u.k. i said we should not invoke article 50 immediately. contender, business secretary andrea letson, who shot to prominence campaigning for the leave vote. a former investment banker, she believes in the scrapping of free movement of people and wants free

live from paris, how australian businesses stand to benefit from britain leaving the eu. the official british inquiry into the iraq war has just and made public. -- david cameron is speaking live from the house of commons, likely to addddress ths issue. the inquiry has not expressed the view on whether military action was legal. who suffered at the end of ramadan, it must be terrible for them. minister --e prime i join with the prime and mr. in e minister in wishing wales well. that was the leader of the they are likely to address the chilcott report. our international affairs commentator, i would like to first listen to john chilcott and then we will get to your analysis as you break down the report. >> inquiry has not expressed the view on whether military action was legal. could, of course, only be resolved by a properly constituted an internationally .ecognized court we've concluded that the circumstances in which it was decided thatat it was a legal basis for u.k. military action were far from satisfactory. this explicit warnings the consequences of the invasion were

eu immigrants have become scapegoats. the downtrodden masses used the brexit referendum as a protest vote. >> 72 percent voted in this election, in this referendum. stand up and be counted now. your votes in a general election basically don't count. in a referendum they do. >> stoke-on-trent was long a labour stronghold, but people here no longer feel the party has their interests at heart. they've bought into populist rhetoric that britain should close its borders and become master of its own destiny. >> the fact that 70 percent of the people that live here voted to leave just tells you how angry they are with the government. and they've just used this as an excuse to have a go at the government. so i don't think it was they want to leave europe. it was they wanted to teach the government a lesson, saying you know: we've been ignored for so long. >> hashmi worries about the political vacuum that's developed in his country. he thinks people's hopes are bound to be dashed, because the brexit campaign was based on lies. and

every member of the eu is a democracy. no eu country has ever raised arms against another. an integrated europe is one of the greatest political and economic achievements of modern times. this is an achievement that has to be preserved. third, for all the reasons i just mentioned the united states has a strong and enduring interest in a united democratic europe. we are tied by history, family and our common values. our economies are deeply woven together. the security of america and and that'sndivisible why, for nearly 70 years, the united states has been a staunch champion of european integration -- and we will remain so. fourth, given our shared interests, europe will remain a cornerstone of america's engagement with the world. european countries are and will remain among our closest allies and friends, and europe is an indispensable partner around the globe. indeed, even as we manage the implications of brexit, our work today shows that we're going to continue to be focused on pressing global challenges. we agree that the united states and the eu can do more together for

being a business friendly element of the eu at this point will leave the eu that is less business friendlyten to what is coming out of provence, that might be optimistic in terms of the ultimate effect in terms of what this means for the eu. there is clearly risk about rexit." or not that is "f anna: there are many names, it seems. thank you. next, cranking up the heat, theresa may ♪. ♪ anna: welcome back. we should be a little stronger at the start of the trading day for the pound. let's return to the london stock voting whether to approve takeover by german leaders have been questioning basing the headquarters outside of the eu. joining us now for analysis, that laboratory. --manuel man well -- what is happening now? guest: you are right. it is a political debate at this moment. the deal, both companies have acknowledged that it makes strategic sense so they want to push and get it done. it has become much more of a initical battle rather than any business strategy-oriented in negotiations so unless -- shareholders voting on the deal, then deutsche verse will have a few days until july t

as it is poised to leave the eu. investments in the u.k. are deemed significantly more risky and many believe the smart money is elsewhere. >> some companies in the u.k. may consider moving headquarters somewhere else in the eu, leaving the possibility that the two biggest economies of the block may try to usurp the u.k.'s financial importance. >> we are in contact with big foreign banks, including british inks, which are present london and which are obviously looking into both the judicial situation and the obligation they now have if they want to operate in continental europe. time now to check in on the markets. for20 the first time since 1985, the british pound well below below $1.31, but it was not all gloom and doom -- london's footsie did like news coming out of england -- like otherse did news coming out of england, which led it to close up. meanwhile, wall street opened today after being closed on monday for a bank holiday. u.s. stocks are in the red, also dragged down by lower oil prices . index's tech-heavy feeling the weight bei

voters favored remaining in the eu .ionalist campaign to show into a movement it could bring out voters in record numbers. here is the background. the scottish parliament in edinburgh was destroyed in 1999 -- the momentum of the campaign forced the uk's main political party to promise scotland and accelerated plan to keep it in the union. scotland's politicians are using their unprecedented national influence to get more of what they want from the u.k. and are likely to use this brexit vote to demand another ballot on independence. since scotland's economy would ,e underpinned by oil independence say the plunge in -- scotlandices needs to remain part of a larger country that has a greater say in the world, they say. but, that argument has been turned on its head now by britain's decision to leave the eu. scotland should pursue its own distinct economic and political and apart from the u.k. remain within the four decade-old union with the rest of europe. visitre stories, bloomberg.com. ♪ shery: this is "bloomberg markets.