euro-dollar is much lower. one euro buys you just over $1.27. ini lithuania and was talking about lithuania joining -- joining the euro. the long euro isn't attractive at all. about half a percent down now. since the high in may we're down 8%. where is it go from here. look at that move over the last six months. what doesn't it mean for big corporate here in europe. we have been talking about that a lot. the big question for us going this in thehether euro gives a buffer to france and italy to do nothing. what i mean about that is reforms. when they talk about reforms what do they mean? the transport minister announces they will back down before air france announced it in cells. that doesn't tell me reforms are happening in the eurozone. watch for guy johnson after the break on "the pulse. minutes.wo follow me on twitter. reforms,lk the euro, ecb, monetary policy. " is back in two. equity markets pushing high. ♪ freefall, the euro falls sure way as draghi says he is ready to take action. but is it time for government to do more? strikes.e gives

markets don't care the euro fell.d yields in eight european nations on the two-year front selling in negative tower tower and european money markets fell o record lowest. >> these are the bloomberg top headlines. called for almost $1 trillion in stimulus to significantly steer the balance sheet back to the higher levels seen in 2012. >> the council decided to start private g nonfinancial sector assets. they will have simple interest-bearing, asset-backed securities. >> 13 of the world's biggest banks have been accused of banking u.s. antitrust laws. arclays, bank of america and stigroup. and comedian joan rivers has died at the age of 81. rivers was admitted to mount sinai hospital on august 28 after going into cardiac arrest for a routine throat surgery. u.s. department of health is looking into her death. >> apple and samsung, china's biggest network of phone. the number of phone makers will shrink to four. we played with their newest and joins us now. talk to us about market share. they sound like ambitious goals.

weaker euro, do you?ario draghi is trying to talk down the currency? >> i would not be surprised. it would be positive for earnings. could have anllar impact on u.s. earnings, could knit? -- couldn't it? we had something yesterday that was very rare from a central banker. talking about a currency. in the u.s.. not so rare in the eurozone. >> certainly. know, onmarket, as we a valuation level, is more valuable. and, asia, as well. what is your assessment? >> equities are expensive and, on the other side, we have a strong trend in the dollar that attracts some investors into the market. i think the trend with the dollar will continue and the risk has become too strong. there is a side where they may sign they may convince the fed for a little longer. >> stay with us. the u.s. is making moves to try to end the inversion trend of u.s. companies moving their headquarters to europe to save on taxes. we will get more when we come back. >> welcome back. we are with luca. let's talk a little bit about the inversio

to see the euro weaker in the recent days. you wonder where will the euro be in three mons?d. smaghi said we have two to three months to bring that euro down. that to shim the key test. tom, thank you. et's turn to technology now. huawei is releasing a six-inch screen. hans nichols played with their new screen. talk to me about the market shares. while we have some ambitious goals. it is not like apple is the biggest player in the sector. >> well, they want to surpass that. apple is at 12% in terms of market share. samsung about 20%. to get past that, they will have to eat into samsung's share especially in asia and europe. it is an ambitious goal. now it is 7%. we spoke to the sharor consumer projects, he said yes, it is ambitious but they have a long-term plan. we are bly will be -- many years ago. so we can catch up. >> that means smart phones will be down to apple, samsung, huawei, maybe others. it is not great news for the sonies of the world. clearly the market is going to heat up. what they did yesterday is go after samsung. they want to go after that space. this is a

you own gold is pred dated in euros. take a look at what gold did in dollar terms, down .75%, maybe 2% today, but in euro terms it was up almost 1.5%. big difference. huge move in the euro. i think about. k. had a great analogy. if you take a look at what a currency does, when you move 1.5% or 2% as the euro do today, that's a correlative of 10% to 15% in the stock market. currencies don't move that much. buy gold but only in euro terms, it's a trade i've liked for a long period of time, and it's been working rather well and obviously worked very well today. >> dennis, it's b.k. some people that i talked to today were disappointed, and i think the german bond market may have showed this, that this might have been all the ecb is going to do. >> no. >> the germans aren't on board. they voted against it. draghi came out and shocked the market because he knew that's all he could do. where do you stand on that? >> oh, i think there has to be more. germans are going to fight a rear guard action against any further quantitative

the euro did come off. rates are lower and that was part of draghi's intention, i think. >> patrick, good for you? a good signal to markets? >> a good signal. i think that he actually acted yesterday. a lot of people were expecting quantitative easing. that was the consensus view. the fact that he has done something now is a very powerful -- >> he has actually done something now. they are going to have to put their hands in their pockets and begin to consider. but they are nowhere near the size and scale of the fed and they don't have the germans on board. we are calling it qe-might here at bloomberg. >> we don't know how much of an expansion will, on the back of all these measures. ltro, that is close to 800 billion until 2018. draghi did indicate they are maybe hoping 500 billion expansion on the backs of the new measures. if you look at the markets breakdown of eligible assets, abs market is close to 700 billion euros. on top of that, the bank-covered bonds, that is what draghi also indicated they may be

one euro will get you $1.29. as a markets reporter said, the e was slapping the sanctions on russia for its role in the ukraine crisis. the eu could scrap them if it believes the cease-fire and peace negotiations are working. >> decides more travel bans and asset freezes for russian officials and rebel leaders, the sanctions also target major state-owned companies in the oil and defense industries. access to western loans will be restricted. the kremlin has threatened -- and closing its airspace to european airlines. washington is set to impose new sanctions on russia's financial, energy, and defense sectors on friday. to find out more, we spoke earlier to michael. a spokesperson for the special monitoring mission to ukraine. we asked him if it is an accurate assessment to say that eastern ukraine to say that eastern ukraine could be moving into a more peaceful phase. >> we have good days and bad days. it has been shelling going on but we have definitely established there are more quiet times. and evidenced as ho

it's the euro/dollar. euro/dollar at 1.2715. about a half an hour ago, it dropped briefly below that 1% handle. more dovish rhetoric coming from mr. draghi overnight. the dollar index close to four-year highs. sterling/dollar, 1.6291. currently down by 0.3%. maybe that will give us more. >>> apple has been forced to withdraw its update to the ios 8 operating system following several reports of dropped cellular service. disgruntled iphone service took to twitter and complained about their problems. customers reported the fingerprint reading feature was not working after the update. in a statement, apple confirmed it had received reports of a problem and was, quote, actively investigating the issue. shares into the tech giant dipping on the story ending yesterday's session just under 1%. so i think the question is would this delay customers from getting the iphone 6? iphone 6 has been one of the drivers of forward earnings for apple. that i think will be the question. >> i think the most significant thing here is the ios issue. so

at the moment, you can trade euro between dollar and euro/dollar.ssuming it becomes more important currency, this will help shanghai as a financial center for sure. it helps beijing and may even help hong kong if they can maintain their role within china. it helps the foreign exchange market. >> hong kong is one of the big gate ways. if you wanted to trade, there are issues of when you can trade. it was problematic. the pie is going to get bigger. it doesn't lose out but it doesn't pick up so much of the advantage it once enjoyed. >> it has critical -- in terms of skills and people who want to invest and do trade with china. there are a lot of banks and wealthy people who want to invest in china's products and people who have m&a activity to do with china sitting in hong kong. it is still a gate way in terms of where the skill seth is. -- skill set is. more and more in competition with hong kong. perhaps. i don't know. >> look at what's happening with the currencies over the last few days, weeks, months. getting more and more painful. as we look bac

the euro is trading slightly down against the euro. germany's third-biggest car components maker is getting even bigger. >> they have announced a deal to take over trw for almost 10 billion euros. together, they will become the world's second-biggest car parts company with someone hundred 40,000 employees and sales of around 32 billion euros. stockholders and government regular still must approve the deal. in other news, heavy rains in the balkans have led to severe flooding in the region. in serbia, two people were reported dead in slovenia. >> in croatia, authorities are struggling to shore up flood defenses that began last wednesday. large areas of that country are affected. more than 50 people died in record what in the region in may. that is all we have time for. thank you for joining us here at the journal. >> keep on watching dw. >> it's still vacation time here, but europe never sleeps. as always, we've uncovered some exciting stories for you. welcome to the "european journal p or co. this week, we look at ireland's dark past w

the euro plunged downwards, of course. if investors get even lower returns in the future because of the interest rates being so low, this makes other currencies more attractive. besides this, the ecb's policy is controversial discussed on the trading floors and many people doubt whether lower economy in the eurozone needs to get back into gear. thanks have even fewer excuses for not lending to the real economy. interest rates are so low now that the speculation on even lower rates has become obsolete. >> let's take a closer look at those numbers. germany's dax gained one percent on thursday, the euro stocks ended the day up by 1.8%. where traders are on the floor, the dow jones is currently in negative territory and the euro is trading at one dollar 29. with six a short break but coming up we will have more on the ebola crisis and what the who is doing about it. -- stay with us. >> the world health organization says that ebola is spreading faster than ever. that warning comes on reports of another physician contracting the

meanwhile, let's have a look at the euro. money coming out of the euro a little bit today. 1.2741. cautiousness to end this week if we are looking at equities. money flowing into the havens. have we turned a bit of a corner? the bloomberg global developed sovereign bond index. first weekly gain this month. we have seen a selloff in bonds in the united states because of that stimulus but may be the yields are looking more attractive now. we are seeing yields down for the u.k., money flowing into germany once again. sub-1% on the 10 year. money finding that haven. let's look into some of the individual movers. we are expecting a big move. della currently not open. looks like as much as 10% on the open. butlatively small company prince most of the money you have in your wallet right now across the world. they say the markets are not looking so good. 0.11% -- 0.7%. it is mainly because nike is killing it. --tever use of his him euphemism you want to use, nike saw profits up. ,e are seeing that fuel adidas competitor to nike. continue., cautions concerns about all the strikes going on i

and 82.6 billion of euros was the first take up.s another tranche available of 200 billion euros in december. this first tranche taken up of the 200 billion available. of course, the tltro system steps up again in december, but also april of next year. as you can see, european banking stocks are up almost across the board and they have been up throughout the day today on expectations of this, as well. >> euro strengthening on the back of that ecb allotment, but now off the highs of the day. we'll continue to watch the euro in today's trade. >>> still to kot come on the sh we talk to a guest who thinks with yesterday's statement, the fed is having it both ways. find out what he means after the break. >>> welcome to "worldwide exchange." i'm seema mody. >> and i'm wilfred frost. >> the dollar hitting highs after janet yellen vows to keep rates low for a considerable period of time. but the central bank paves the way for faster rate rises next year. >> as i've said repeatedly, the decisions the committee makes about what is the appropr

they are in the 35 euros range to the 42-year-old range. euros range.ll see what kind of pop it gets. will the alibaba effect take place here in germany? they take successful models and localize them to markets where they do have some expertise. they did it with ebay. darling is their version of eharmony. slightlyays, that is a unfair argument. so much borrowing from all of the big tech companies. bingo facebook and myspace -- think of facebook and myspace. we will see how they do. they want to raise 633 million euros. >> thank you very much. let's move on and talk more about what is happening in germany. hence nichols will be back a little bit -- hans nichols will be back a little while later. making sense of huge amounts of inflation from everything from shopping to dating. what has been used for his beer. elliott gotkine and has this report. >> there is an art to pouring the perfect pint. now there is a science to go with it. the quality and quantity is being measured. the information is transferred to a box like this ready to be analyzed by the bar

are spent and how many twist euros -- tourist euros. profit. after the break, we will find out why. ♪ >> welcome back to "countdown." in has reported a 20% jump third-quarter profits. we are joined by charles allen. we talked before the numbers broke. what we're going to learn from report for the number two european clothings retailer. >> the numbers were right there. in local currency, 20% in swedish krona. is only because of the good sales that we did not see another squeeze on profit margins. we are seeing the fruits of the investment coming through. china, now the sixth biggest country in sales terms. going to overtake sweden. online launch there. we know it is expensive. but a reward in sales. new products as well, shoes about to be launched. a much wider range of shoes coming into stores. >> tell us about the investment online. it seemed like some of the retailers to get the online offerings up and running. how big is their online business compared to others or the rest of their competitors? >> they have never composed it -- discl

we think the euro is headed lower. is between 120-130. fair value by some estimates, but we have some way to go given the weaker cyclical dynamics. >> you said in your notes that the tepid reception, the targeted loans, they are not doing much to support the euro. draghi doesn't want them to support the euro, does he? he doesn't want them to be successful? which is the most important to him at the moment? >> the trp owes are extremely trpostant to the ecu -- r are important. look at the two to number -- two together and don't read too much. >> they look at a broad range of variables. they want a competitive economy and to do everything possible to stimulate growth. that includes boosting the liquidity. having in the -- a competitive exchange rate. ratesw germany's exchange are dependent on external demand and a weaker currency. they need to continue having strong export growth, particularly to china. extra euro area trade is important. domestic demand is weak. we think it was probably week in terms of take up because of the incentive to w

shown thateks have the euro is slightly going down. maybe we will have a good surprise in the coming half. for sure, we had the impact in every other european group. >> great interview, i will play you more of it later here on "the pulse." let me bring you another bloomberg exclusive, speaking to the ceo of fiat chrysler, sergio marchionne says the merger might take place october 13. the company will focus on higher priced models. sedansmail -- alfa romeo and the jeep suv. sergio marchionne is targeting an increase of 18%. is that achievable? >> what about 2014? >> i leave it at confirmed guidance. >> how are you going to achieve it? >> work very hard. a recovery in the markets? >> the u.s. market is going incredibly well. you will see what we release numbers on tuesday for august sales -- the whole industry is doing well. it is a package that continues and provided a lot of support. let's continue to focus on the right things. >>[indiscernible] >> i just told you that all our stuff will be discussed with the board at the end of octobe

euro, now, the euro made it extreme, but remember, everything is stacked up against the euro, and theull. fixed income market is different, scratching its head, but what's noteworthy on the euro against the dollar chart is that virtually it held 130. argue about a couple ticks, and that was significant. now, let's shift it back to the u.s. look at the intraday five, oh, u-turn. everything on the curve is unchanged like a two year or three years and beyond are all higher yield, lower price than they settled yesterday. let's look at the intra-day ten looking like the fives. this is also significant. if you open that chart up, mid-may, using this chart a lot that encompasses at the low yield close of the year and another test, 44 and change, call it 245, and three tick clip, 248 the yield at the magic line. the magic net goes between when the guys are buyer versus sellers. pay a attention on a closing basis. back to you. >> what a day in chicago. tesla expected to announce the factory to be built in nevada, talking about mark amodei what it means when "squawk on the street" comes back. r

lithuaniaalking about joining the euro. me is the lines "joining the euro" shows the currency is attractive. i would say the euro is not very attractive right now. i guess he is trying to say, back in 2012, if people were joining the euro the way they have, where is it to go? the for mario draghi, that is an an invitation to the eurozone. it is the bigger countries and the structural reform countries -- >> they baltics show that reforms are possible without the valuations -- without devaltion's -- without uations. we have been talking about air france a less couple of days. there is no way that france would do the kind of internal -- >> we hear reform bantered about. it is a word with no meaning. you have mario draghi and hollande talking about reforms. if you're talking about corporate strategy, you can't. you can't talk it up. doing something about it is something else entirely. couple of days a ago made the exact point. reforms. talks about but as soon as it gets difficult for you, you fall. there has been a lot of talk

check out euro swiss. there is going to be a big talking point. 0 against-- it is 1.2 the euro.f people talking about the swiss national bank responding. a little bit less pressure. we are at 1.21 against the euro. meetsiss national bank today. will they go negative? a lot of people talking about that. hour to go before voting begins in the scottish national referendum. will scotland break away from the united kingdom and -- this is a union that lasted more than three centuries. a bid to win undecided voters. supporting syrian rebels fighting islamic state extremists. the bill will be used to train and equip syrian rebels. the fed has stuck to its alleged to keep interest rates news at -- near zero even as unemployment rates and inflation approaches the central bank target. the labor market has yet to fully recover. janet yellen said he could take the fed to the end of the decade to reduce its $4.4 trillion balance sheet with levels more consistent with normalized hollis he -- policy. let's talk about ukraine as violence continues. the ukrainian resident is working for closer ti

the euro spiking a session high, if we can show the euro this morning. euro/dollar, 1.3144. you see that big spike. i just wonder if this is another false moment because we've seen these comments before. >> this is definitely the most encouraging. we were all saying geopolitical concerns haven't had major impacts on markets, but now that a cease-fire has supposed by been agreed, there's lots of green in the heat map. we look at the individual markets now, germany, very strong there. 1.2%. italy up 1.5%. and the ftse 100 up 0.8%. very interesting, the timing of this. we have obama's speech coming later today and nato tomorrow and they've managed to agree to a cease-fire. we've changed the agenda with that speech. >>> u.s. president barack obama has touched down in the baltic state of estonia. he's expected to deliver a stern speech to russia. perhaps that will change given the cease-fire. stay tuned, more coverage of that coming around 10:00. >>> meantime, banking fines could be on the rise in the g-20. eu member states including france, spain, italy, germany and the uk are p

have a look at the euro/dollar to 1.275-to 2776. the survey that i mentioned came in at its lowest in more than a year. and traders saw that as a signal to sell the single currency. they are anticipating further moves by the ecb that will put even more selling pressure on the euro. on the flip side according to an fx analyst i spoke to the opposite is happening in the u.s. looking at the dollar/yen 109.28-30. he said investors are rushing in to buy the dollar on the prospect of rising interest rates and generally supportive economic data in the u.s. as opposed to the euro zone which is going the other way. the dollar is at multiyear highs against other currencies including the yen. we'll monitor asian indexes and we saw the shanghai index rising 1.5% on wednesday the highest close in more than a year and a half. so, we'll continue to track those markets as well. but for now, that's all for me. back to you. >> all right, thanks a lot for that update. >>> ministers from japan and the u.s. could not narrow their differences for a free

i think the euro is a good candidate.nk mario draghi is going to keep wanting to talk the euro. every bank is talking their currency. i think draghi has got to remain in that club. impetus.e new >> what about that having a slight effect on the hong kong dollar? what are you hearing in the market reaction to that? >> it doesn't seem to be a big reaction. we have noticed with geopolitical events they have retained local drivers. it doesn't feel like this is a mentality. a broader as you pointed out, the kiwi is lower, the avi is lower, but for different reasons. >> on those reasons, i started out by saying, the dollar is having its best year since 2000 and eight. they said, get ready. we are going to get a report that is going to knock your socks off. the dollar has the momentum. cheap.ading that it is the dollar is cheap. turning point. would you concur with that? >> you have just read told overnight the kiwi is expensive. measures, they say currencies like the swedish krona, the norwegian krone, they are expensive. the fl

it had to apply for eu entry, scotland would most likely have to adopt the euro. i'm unpopular outcome. the queen of england has been reticent on scottish independence and undoubtedly doesn't want to see the union torn apart during her reign. she would most likely remain monarch of scotland as she is for most commonwealth realms. >> the u.k. would face a host of uncertainties. let's get the perspective from london. you've heard a little bit about what scots have been saying. what are londoners telling you about the vote? >> i went to a popular tourist destination and i talked to vendors of shops and i could not find a single vendor who, as they put it -- whether they are concerned that they will, in the future, be able to sell products full of union jack's and that is the least problem. in case the scotland would become independent in the union jack would change, it would wait for a new product which would come in around a background. >> if the flag is the least of their worries, what are some of the bigger concerns of scotland does leave? >> given the far-reachin

talking the euro down is within part of that.but there is an increasing departure taking place between the monetary dynamics in the u.s. and in the eurozone and indeed in the growth dynamic. so i think that from a period where the euro was very strong because it was internally financed, you had high domestic phasing for the current account surplus, you're seeing a bigger drive move force. >> is this more a euro/weakness argument or a dollar/strength argument? >> i think bit of both. in particular, we are looking at generalized euro weakness and probably quite attractive. by the end of 2017, we think the euro will get the parity against the dollar. equally, i think there's good arguments for saying generally we'll enter a period of more sustained strength over the next months and years. >> and if we have a look at what draghi has achieved so far, of course, he's got a lot of things going without actually doing that much. do you think this thursday he will have to do anything really force.ful, any outright quantitative easing? >> n

that meant that yesterday it fell less against the euro than the euro site. we're now joined by hans rheticare, from morgan stanley. .which of those steps is the most significant, in your opinion? >> well, i think the message concerning the balance sheet of the central bank is the most interesting part of the exchange market. you remember when draghi said that the balance sheet should abobe increased to the levels of 112. the euro/dollar exchange rate down to 1.20. what you have now is upcoming u.s. dollar strength. nonetheless, the ecb is going to increase the balance sheet in the united states. the balance sheet is still not growing. you have less supply of u.s. dollar. i think the solo has the lowest yielding talent. you have alternative funding policy surrounded. that is adding to dollar strength. by the european central bank yesterday, the yield level for peripheral bonds in europe and that makes this market less effective for investors. including most of the emerging markets segment. that actually implies there's no attractiveness in holdings. that's th

the euro-zone is 11.5%.way below that but this is also a record low for german unemployment since unionification of germany. you look at spain, 24%. greece, 27%. really 6.7% is nothing. when you look at it, it is up by 12,000 for september. the estimate was for it to drop by 2,000 so that is somewhat of a disappointment. let's check out the reaction in the euro. euro/dollar was trading pretty flat into this number at 1.2686. quickly check out german bundes. spain lower down by two basis points. socgen. you want to talk about that, follow me on twitter. i'm at ferro tv. for any more data to drop through the day, 10:00 u.k. time. euro-zone unemployment. that is it from me. "the pulse" is up next. stay with us on bloomberg. we're back in two. ♪ >> standing their ground. protesters say they are not going anywhere until hong kong's leader steps down. we're live in the city with the latest. r.b.s. rallies. the bank says losses from bad loans will be significantly lower than expected. and europe looks to take a bit

the price is 3.5 billion euros. paying 13 euros for each jazztel share. that is a premium.uying this company will give million broadband subscribers to help it bolster its tv, and wireless packages. happen when the company's accounts in 2015 are approved. it has been in the offing, some would say i'm a after the proposed merger fell apart in may because of clashes between the two executives about how to run the company. os, i'm not going to steal the thunder, but there shells thereby 12%. it has been a horrible year if you are a share price owner of this company. it has been a great decade though. these are the three headlines. u.k. prime minister david cameron made his final lee to scottish voters urging them not to leave the u.k.. he promised change. >> at the end of the day, all the arguments can be reduced to a single fact. we are better together. as you reach your final don't letplease, anyone tell you you can't be a proud scot and a proud brit. >> that is one side of the debate. on the other side, scotland's first minister says cameron is scaremongering. the ukraine a

the euros stocks also closing at this hour. the euros weaker against the dollar, trading at a value of one u.s. dollars -- $1.27.

valls calling for the ecb to do more to weaken the euro? think the euro is a good question.eks have shown that the euro is slightly going down. maybe we will have a good surprise in the coming have. impacte, we have had an on every other european-based group. >> our exclusive interview between mark barton and the ceo .f havas up next, a sunglass ceo whose future might not be so rose-colored. we will break down after the break. ♪ " lives is "on the move from bloomberg's european headquarters in london. the ceo of the world's largest luxottica.company, a bit of a row. it could spell trouble. looks like a structuring -- a restructuring. andrew roberts joins us from paris. andrew, the board meets today. sts thatng down sugge we could be up for a shuffle. sameare not exactly on the page. >> that is right, manus. they seem to have had a falling out. the company said there were disagreements between the pair. they have been debating the situation strategy. a who haslike guerr spent 10 years at the company will be leaving. he is going to be difficult to replace. he has presided over

theyillion euros is what initially wanted. now they are bringing that up to 1.4 billion euros.illion.1.8 for the share price, we are euros. at 35 to 42 october 7 is the listing in frankfurt. this is a company that is a portfolio company. they have a lot of different companies. they help start, incubate. the criticism, and i'm not sure it's fair, but criticism is that rocket just does clones. they take a popular model in the states, a successful model, and replicated either in germany or other markets. a little bit of a counter argument on that is it's difficult to do. yes, you can make the clone argument, but understanding local markets is very difficult. they have taken these companies beyond. they have grown and they understand the local markets, and that is very hard to do. >> let's talk a little about how alibaba plays into this. and monster ipo. how does that affect the german ones? >> one of two ways. one, they will be able to blow them out of the water. world arebas of the so big and powerful that the small companies like rocket will not be able to compete. the other arg

you wonder if the weaker euro is a single repair her. solve gripr euro settings?n't think so. europe has a variety of structural problems that we know about. 2009, the global crisis then turned into euro crisis then turned into euro crisis of 2011, 2012. they went down the austerity road and now decided that is not the routine -- >> plus, with a win 20 euro or even 115 euro, the 116 of 1999, that is unevenly applied across europe. >> of course, we know a weaker euro allows governments to push off with a need to do. >> that decline in investment spending, simply, i think reflects a lack of enthusiasm on corporations in europe and around the world, lack of enthusiasm about european prospect. >> is it a new globalization? malaysia orgoing to china? >> there are big changes. it is a good point. big changes in where foreign direct investment is flowing. >> where is it going? north dakota? >> more is coming to the u.s. china, there used to be a destination for global capital because it was the best opportunities in the world. now it is beginning to go the other directio

we also had the dollar moving against the euro because the ecb moved today weakened the euro. is the performance of the euro versus the dollar. you can see the euro actually touching its lows of the trading session. three winners right now, pvh corp, fastenal and best buy. fastenal up 4% and 9, almost 10% gain in pvh corporation. >> you know, i've never seen you talk with your hands quite the way you're doing right now. >> spirit fingers. >> you're almost like a kenny paul kerry talking with your hands. >> oh, my god. >> there you go. >> i want to see you blackberry with those things, you know? >> no. it doesn't work on an iphone, either. >> and then she has graciously lent me her cheese head for the packers this evening. >> that's how much i love you. share the cheese head. >> thank you very much. >>> "street signs" begins right now. see you tomorrow. go packs. >>> u.s. economy is looking good. and a strong dollar is good for america. but is a strong dollar bad for stocks? we'll show you why history says it just might be. hi, everybody. lots on that. >>> plus our picks for ce

euro stoxx 50 down. over new york, trading is lackluster in the u.s. the euro-dollar is also trending in the negative territory. >> we are going to take a one minute break. >> stay with us. >> welcome back to the show. there is no room for a optimize. those are the words of abdullah abdullah, the loser in afghanistan's electoral runoff. >> afghanistan's electorate commission says that abdullah abdullah's rival ashraf ghani, one, which was a surprise since abdullah won the popular vote. the process is hopelessly deadlocked. president barack obama spoke with post candidates over the weekend, urging them to implead a power-sharing deal. abdulla says that is no longer an option. >> today our political talks have reached a deadlock. i hereby announce we will not accept the fraudulent announcement of election results. to those who believe we accepted wrongdoing and misunderstood is, i want to make it clear we will not accept a fraudulent government for even one day. >> and that is outgoing presidential candidate abdullah abdullah. nato allies are preparing t

to 2 billione up euros for unicredit. the second largest bank in eastern europe is predicting its first annual lock this year. ukraine ist in the causing bad debt charges to rise faster than expected. this is the second time that rai ffeisen has predicted losses. predicting losses between 200 30 and 245 million pounds. the third quarter has been extremely disappointing. if your upset him a the pulse is next. be talkingoing to about what happens next in france. we have a story there that if it was happening in new york, people would be up in arms about. largeke shutting down chunks of air france. can air france continue if it doesn't move to a low-cost model. that is a big topic for us. aen we are talking about topic you will be talking about shortly. tax in versions. the u.s. will change the regulations. the white house is on the warpath. we will make sure we don't get the burger king style tax inversions. m&aill have an effect on and corporate balance sheets. what are the implications? are european companies protected? >

not much move in fx, euro-dollar slid lower at 1.28. 82.6 billion euros, that is how much they are bank to lend to -- that is how much they're going to lend to these banks. it might wipe out the impact on the ecb's balance sheet. he wants to get that to 3 trillion euros. can you read too much into this? wait until december. we thought this was going to be below december's auction because we have the stress test and the aqr. december just got bigger. if the december take-up is not big, everybody is going to turn to mario draghi and say banks do not want your money, how are you going to boost the balance sheet? are you going to have to go down the qe route. .4%.uities, ftse 100 up by a nice rally on the dax at .9%. janet yellen did something incredible. she managed to get the dollar to rally in equities as well. stocks see the brighter side of life at the fed, "considerable time." >> the powers of the federal reserve. "surveillance," tom keene joins us with a preview. >> a big day north of you. e go to anna edwards in edinburgh. a remarkable news flow off the fed meeting with markets movi

as you can see, the euro just a tad lower against the dollar.ng down towards the one-year low. these other bloomberg top headlines this morning. russian president vladimir putin will continue his shadow war until he has created quasi-stateless in ukraine's easternmost region according to some of his current and former advisers. potent and ukrainian president poroshenko have agreed to end more than five months of fighting. limit thembling to potential losses from the cancellation of the contract to deliver warships to russia. this comes after the delivery of one was suspended. french president francois criticizing for going through when there are sanctions. she details her lines with president francois hollande and his alleged affair. >> just one day after russian and ukrainian presidents announced the out line of a peace plan. let's go over to ryan chilcote at the resort. it's going to be a busy couple of days for the leaders. they're going to me meeting president poroshenko flying in today and there will be some discussion about how nato can he

all this due to the economic crises in other euro zone countries. is what pressure will be rising on the government in berlin, pressure to do more to boost the economy in the whole eurozone. >> we stay in frankfurt for a moment at a look --for a look at the market numbers. the dax gained on monday. in new york, there is no trading because the markets are closed for the labor day holiday. but the euro is currently trading at $1.31. >> time for some bundesliga action. they remain unbeaten after two games. >> the home side came close in the first half. the midfielder headed wide from the cross. the striker twice went flying in the box after battles with the defender. but the referee waved away both appeals for a penalty. hanover almost broke the deadlockin the second half. but again peter doubt -- petered out. they held them to a drop. >> the hosts passed up an opportunity to win in the 63rd minute. they got a penalty after this. he blasted the ball to throw away his side's chance for the first win of the season. >> that has the tables starting to take

aboutis are ready talking the euro and the fact that it is strong. we'll obviously, it has been awful coming out of europe for the last month. but it has weakened so much. that was the one headwind, the strength of the euro, now we have seen it fall substantially. >> you keep that momentum. waslongest running losses 99. but to keep that you have to deliver. he's never actually done anything. >> you wonder what impact the geopolitical movements will have on europe. ramin, thank you. ramin nakisa stay with us. aftero leaders meet today putin and poroshenko took the first steps toward peace. are they in or out? chief economist weighs in on the referendum. >> i'm anna edwards in london, this is "on the move." here is the stuff that is on the move this morning. clearly likes this one, the stock is up by 8.9%. canada's largest life insurer has agreed to buy standard life. the fifth largest business and the insurer and market in canada. billion -- canadian dollars for the company. investigators seem to like it very much. say that the they times earnings. an

-- 3000 euros. >> the colors are brilliant. it's just great. >> tv manufacturers are trying to attract younger customers, and age group spending less time in front of the television. >> i hardly ever watch tv. >> you never watch tv. >> you don't watch tv, do you? >> i watch television on the internet. i think all of this is exciting, interesting, and new, but i would not say you had to have it. i do not see any big advantage at the moment. >> very few programs are made in ultra hd right now. this tv lets viewers watch two different programs at the same time. the red glasses see one, the white ones, the other. and there are two sets of headphones. >> if two people with different tastes are sitting together on the couch, then i guess this makes sense. >> these visitors are surprised by a tv brand from china. the company has produced a 3-d television screen that is causing quite a sensation at the fair. >> i think it's the best really without glasses i have seen. it's very close to being computer ready, which is awesome to see. >>

stake in terms of shares. 34 million euros in terms of shares.yes 45 million euros all in all. i think he can probably take that as a farewell. the company is selling eyewear -- more than 7000 of its partnerships. 130 countries. it manufactures in italy, china, brazil, the u.s. 77 million frames it made last year. >> he can buy a few more frames with that 45 million euros. >> i think he can. the owner of the company does not wear glasses. >> i think you can still well glasses -- wear glasses for fashion. thank you. still to come -- hursday's ecbf t meet will talk to timing. the european economist after the break. ♪ >> welcome back. time for today's company news. president vladimir putin has indicated the state-controlled oil company offered a stake in the country's second-biggest oil project to china. rushes turning to china disparate economy has relations sour with the euros -- with the u.s. and europe. the world's fourth biggest oil trader plans to expand into short-term buying and selling of liquefied natural gas, according to people familiar

particularly with the euro dollar rates in the one 30's. if the smb were there defending the 120 floor, we would be closer to the parity at one. there is inherent risk in these markets. investors absolutely do understand this. if they understand those risks, then why not buy protection? >> i am. i'm buying diamonds. that is the point. where can you buy protection? it becomes a game of musical chairs. i may not believe it, but they have to play it. agemost managers over the of 40. they do not believe any of this, they understand the risks, but god believe -- god for did they be out of it when their competitors are making hay. this line, never have we seen volatility rise so much since 2008. because it has fallen in scotland. real risk or not? >> no one cares. >> that is just wrong. that nobodybelieve cares what the scots due south of the border. if they want to go, go. >> no impact? >> there will be some impact, but will people actually care? no. is volatility high, from a macro trading point of view it will be in this 160 range for ever. it

[indiscernible] at longe are looking dollars, short euros, short again. >> how low can the euro go?e. are week's meeting, evil expecting too much. i do not think we will see qe. >> we will have to leave it there. us.t to have you with >> five minutes until the top of the hour. you can join our conversation on twitter. "on the move" is next. ♪ . >> welcome to "on the move." i am jonathan ferro. we are moments away from the start of trading. futures inching a little higher. the fifth day of pro-democracy demonstrations and hong kong. disappointing manufacturing data out of china and losses. the benchmark index has dropped to a three-month low. as for scotland, that is yesterday's news. the people of catalonia want their day. they are blocking a vote. what did the uncertainty means for spanish assets. it is ecb week. today's a big day for your row data. justtion is set to stay at 0.3 percent. can the ecb do more to support the economy or is it finally government, the likes of france and italy to follow up on reform and they promised? what does it mean for the future? we could have a ve

negative for the euro scope. 3.5% decline for the euro in one month is reasonable. >> but a very different story if you were to look at the u.s. dollar which of course is at a fresh four-year high thanks to better than expected economic data out of the u.s., a sign of an improving u.s. economy sending the greenback to new highs. that has been seen as one of the resilient asset classes as we look at equities wobble. t the dollar index that continues to move higher, trading at 85.64 against a basket of currency. sanos, the greenback, the u.s. dollar, the resilience of the dollar catching the attention of traders. do you think it can continue to move higher? >> most likely, yes. there are a number of factors that have come together to support the dollar. is this divergence, not only with the ecb starting in policies, but gradually the tone of the fed changing and preparing the markets for tightening lood looking forward. the market did not keep the position so gaully gets to become long positions in the u.s. dollar

3 billion euros in stock.deal comes after three weeks of exclusive talks for this company. sap is buying concur technologies in a deal valued $7.4 billion. those are the headlines in terms of corporate news. the headlines are being dominated by what is happening in scotland. you are looking at live pictures ofdinburgh a fergus attention. alastair darling, the leader of the better together campaign, whating there, addressing happens now, i suspect. looking forward, not backwards. playing a big role, i suspect, in the last few days. it will be interesting to see how history remembers how big a role gordon brown played. these gentlemen playing a different -- a pivotal role in securing scotland's place within the union. alistair darling speaking. let's go now to berlin. from theols joins us german capital. what do we know from europe? i suspect many politicians are breathing a sigh of relief this morning. >> officially we haven't heard a whole lot. in the next couple hours, we will likely hear from merkel's govern

area and -- euros. >> no u.s.ver really successfully executed establishing a low-cost carrier within its own framework. iag has bought that in. was seeing the example compared to the one in the united states. >> is going to be the case. the main reason you have issues -- an airline within an airline, it has been something that failed in the u.s.. i think it is the proof that it does not work, even in europe. you have the labor situation and the fact that labor will not accept pay cuts in order to fly with a low-cost carrier. on top of that, you have some entrepreneurial issues. the local business within -- is tough. we have the proof with air france that it is quite impossible to build an airline within an airline. >> so what happens next. strategyooking at your being torn up by the union. what do you do next? there are rumors you have to make acquisitions. is that how you get around that? how do you rebuild the strategy based on the reality of what we are seeing? make that long story short, if you look to air fra

risk also relates to structural reforms in euro countries.imate, euro area annual inflation was 0.3% in august. 2014. after 0.4% in july. the decline reflects primarily lower energy price inflation, while the other main components remained broadly unchanged in the aggregate. rates now remain low for a considerable time. today, decisions, together with other measures in place, have been taken to underpin the firm anchoring of medium to long-term inflation expectations in line with our aim of maintaining inflation rates below but close to 2%. on the basis of current information, annual inflation is expected to remain at low levels over the coming months. graduallyreasing during 2015 and 2016. ecb staffber 2014 macroeconomic projections foresee annual h icap inflation inflation -- >> a dire forecast and comments coming out from ecb president mario draghi. he is cutting the growth forecast for 2015. raising the outlook and as we have seen with the markets, a big reaction, a sharp reaction, to the cutting of benchmark interest rates. you are joini

it's expected to fetch up to 300,000 euros. this will he won -- this woolly one will go on the auction block next month. >> for the person who has everything, christmas is coming up. captioned by the national captioning institute --www.ncicap.org-- >> "euromaxx highlights." and here is your host. >> thanks for joining us for our round up of lifestyle news in europe. this is what we have coming up on the show today >> an annual horse racing event hits the beach in spain. >> former classical pianist vika now performs heavy metal. >> kiiking is the latest extreme sport and it comes from estonia. >> if horses are racing it is usually on a grass track, but in the most southern province of spain there is an annual race on the beach. the former fishing village used to use horses to transport fish

earlier i said the euro dollar maybe not complete enough. so this is the dollar index, dollar versus the basket versus the dow over ten years. not perfect, larry kudlow, but there does seem to be an inverse relationship. is a strong dollar negative for the dow? >> is the dollar the green line? >> the dollar is the green line. >> it looks pretty steady to me. >> well, yeah. unfortunately that chart sort of flatten out. >> down about 6.5%. >> if you go into it a little deeper you can see the moves more volatile. >> once that blue moon. once in a blue moon a falling dollar helps erase deflationary fears. we're got a lot of deflationary fears. 2008, 2009, 2010, 2012011. the bottom of the dollar however august 2011. and the stock market's gone up 70% since then. go back to the 50s, i hate to pull this but i was here. 50s and 60s the dollar was steady tied to gold. 80s and 90s the dollar was basically firm particularly in the 90s, huge stock market gain. dollar holds down inflation and attracts investment. >> and certainly nothing works in a vacuu