run the jeep division and the ram division for several years we're going back and showing you fiat chryslere last week if you take a look at shares via chrysler since 2014, it's had a nice run under sergio mark cone i. it's up to mike manley who will lead the company to carry on what marchionne has started. he was a protege of sergio marchionne knows the company well this is not like somebody who doesn't understand what's going on widely expected that he would be named ceo when the day would come that sergio would step down meanwhile, take a look at shares of ferrari symbol race. we're showing you since the ipo. remember, brian, going back to when this started, camilleri has been named ceo he knows the company wechlt former executive with philip morris and with kraft. he was expected to move into that job potentially someday he's moved into that job robert frank will have more on this throughout the day. if you go back to ferrari's ipo and saerj yoe marchionne said we're going to increase production and the purists were like, no, you cannot do that you will ruin the brand. you will ruin fer

what has fiat chrysler lost?just the auto industry, really the world has lost an amazing leader somebody who is incredibly dynamic, who motivated people, who gave people opportunities that some were like wow you're putting that person in that position but many of them flourished and many of them really wanted to do well for him and themselves. he was one of those leaders i would never ask somebody to do something that he himself wouldn't do. and that's an incredibly admirable quality. there was nothing beneath him. he was very open and wanted people's feedback. wanted to hear from his constituents really an incredibly dynamic man. >> go ahead, phil. >> i was going to say, the other things that stands out, sergio told it the way it was he would say it and he would also say things that others in the auto industry, they might have said in private but they wouldn't say publicly give you two quick examples. i don't know if you remember, but shortly after they came out of bankruptcy with chrysler, they were repaying th

he did he saved fiat before putting together fiat chryslerment. >> four years ago today fiat chrysler15 dollars you have more than a 200% return for that company's stock the shareholders, the employees all benefiting from this sergio marchionne was 66 we knew he was not going to continue forever in that role. there was talk about the transition in 2019 this all occurred suddenly you have talked about mike manley's history and his own experience is there a sense from your reporting, i'm sorry if i'm putting you on the spot, that the company, while maybe not prepared for this quick of a change, did indeed at least begin prior to this to have a succession olympiplan in place? >> there was a succession plan, whether it came down to mike manley or perhaps a couple other executives who might have been able to take over the position who were in consideration, richard palmer, the cfo, was one of those executives. there was a plan here. sergio marchionne himself said, look, our next ceo would be coming from within the company so this is not a case where they looked around and said, yeah, nobod

fiat chrysler ceo sergio marcchione passes away age 66. >> he referred to himself several times as the and had several jobs to do at fiat. emma: up next, a range of expert opinion on the stage of global markets. investors being advised to brace for headwinds. >> at the end of the day, 16% correction is in the cards and can happen at any time. emma: this is bloomberg. ♪ this isn't just any moving day. this is moving day with the best in-home wifi experience and millions of wifi hotspots to help you stay connected. and this is moving day with reliable service appointments in a two-hour window so you're up and running in no time. show me decorating shows. this is staying connected with xfinity to make moving... simple. easy. awesome. stay connected while you move with the best wifi experience and two-hour appointment windows. click, call or visit a store today. emma: you are watching "bloomberg best." i'm emma chandra. even with the u.s. and the eu declaring -- this week, tensions still cloudy outlook for many companies and business sectors. guess on bloomberg discussed the big picture of

fiat chrysler clearly.nation of sergio being replaced by mike manley, concerns about sergio's health, it seems like fiat chrysler said the situation has gotten more dire and that was yesterday, lead to the jeep boss taking over. now sergio has been a whirlwind for this company, taking it from fix it again tony italian car slur, but that's of people used to say about fiats, to really a global carmaker. maker,uipment and truck spinoff of ferrari. do they need a partner? they are the sixth or seventh biggest automaker in the world. he bought chrysler in 2009. mike manley took over jeep, a chrysler brand at the time, and it's become one of the most important assets fit chrysler has, together with ram, which manley also runs. that's why he's the right choice for ceo. stock is down more than 3% today as the concern is, sergio has been at the helm for 14 years and when you've got someone new coming in as a surprise, you can understand investors are going to be jarred. as we head to break, let's give you a picture

obama gave fiat chrysler the chance to purchase chrysler.p will million cars globally. the plan is to get to 3.5 million cars. jeep is by far the most important unit of the group and part of the success is obviously due to the leader, mike manley. much fork you so joining us from italy. we will try to do more on this in the next hour as well. we continue with yianos from ubs as well. a lot to talk about. let us remember, a federal reserve meeting is nine days away. this is an important conversation. lot that a gold company can do. we will talk to the chief executive officer. we have not done much on gold recently. the nexto that in hour. francine lacqua in london and i am tom keene in new york. this is bloomberg. ♪ francine: this is bloomberg surveillance. let's check in on what is trending across the bloomberg universe on tictoc. climate change could threaten internet liability and access for millions of users as sea levels rise over the next 15 years. head to twitter for more on that. bloomberg.com, labor strikes are starting to weigh on r

and what does fiat chrysler do now?ew ceo is mike manley he is the visionary behind the expansion of jeep. he also has run the ram brand over the last couple of years. he has deep operational experience and under him, jeep sales globally have more than tripled since 2011 but the challenges he faces are numerous this is a company still in transition first of all, there's a five-year growth plan the company just announced mike manley helped put that together as part of the team the implementation is the big challenge. do they continue to expand jeep sales which they expect they will especially in china and asia then there's the question of could there be a sale or a merger of either all of fiat chrysler or part of the company? sergio marchionne made no bones about the fact he believes there needs to be consolidation within the auto industry. it will be is there the right move for fiat chrysler to make in the future? look at shares of the company. they're under a little bit of pressure today following the news of this chan

in the u.s., jim, fiat chrysler -- gm, fiat chrysler is up 6%. and this was due to chatter that tariffs may not be imposed on european autos, as threatened two weeks ago. it is also helping the european automakers. p at chrysler, we have an upgrade from a buy to a hold. e."ce the selloff is "sever a look at the tech companies. micron was a big story on tuesday, the reason for the pullback, shares dipping in a big lake and closing down 5.5% on the news that china was going to not allow them to sell their issue,here on a patent but now we have a rally. overall, down 3%, but up more than 2% today as analysts say it is probably not as bad as feared. mark: the biggest rally in auto stocks in a couple of years, boosting sentiment across europe today, as you can see the green. and we are gaining for a third day, best run since may 17. automakers met the u.s. ambassador to germany. there is a report that he put forward this notion that tariffs could be cut to zero, which goes against donald trump's announcement that he wanted 20% tariffs on imports of eur

what condition is fiat chrysler in?y, it has been a crucial day because of they were going to celebrate the fact that, finally, they have managed to get rid of next industrial debt. this is the legacy he is leaving. so today, we are expecting, for the first time ever, fiat to the cash positive. and there are also reports from the second quarter about operating profits. this is the company they are getting. francine: what are we expecting from the results today? we also will need to show what is the path going forward. we are expecting that the targets for 2018 will be confirmed, essentially. overall, what do investors want to know today? is it strategy? do they just want to find out more from this chief executive after the new chief executive they want to know who they are dealing with now. >> that is true. i think that they will start today, it will be his first public speech, he will say i am not a rockstar, but i guarantee continuity. that will be the main word we hear today. he has presented a new five-year plan. he

breaking news this morning, fiat chrysler's long-time ceo has died. share casone has the details. he family which founded fiat said that sergio marchioni died due to complications from surgery. this news this morning came just days after fiat chrysler announced that his condition had worsened after the shoulder surgery. the company named mike manly, who ran the jeep, suv and ram truck decision as the new ceo. he was just 66 years old. meanwhile, we should take a look at the stock right now. shares of fiat chrysler with lower in the premarket. the company actually cut their earnings and revenue guidance this morning. there was a question of whether they were going to actually release earnings this morning. but they did. the stock is down more than 7% right now in the premarcmarket. it was also under pressure when the ceo switch was announced as well. let's stay with earnings news. the season's in full gear right now. we've got coca-cola, dow component, checking in with better than expected numbers. we're going to be hearing from g and visa. general motors is out with better than exp

by 2021, fiat chrysler models and fleet will be with electric engines. so fiat chrysler is entering a new market stha they're deciding to challenge the best in class by manufacturing maserati, a car capable of reaching 130 meters per hour -- both on the commercial and industrial side the question is whether fiat chrysler is capable of implementing such a plan with the strength and discipline under sergio marchionne's tenure back to you. >> tank you so much. that is live in turin. >> i want a car that goes that fast in two seconds. sounds like a good challenge to tackle >> they announced five-year plan there were questions about i wonder, what does that mean for them coming into the roles. >> it certainly has come to the surprise of investors. we're seeing that reaction in the stock price today. i can think back when i was at the last motor show this year. the one previously, people were asking about it then it's been on the mind. sergio flagged that he wanted to step down by april 2019. yes, this has come sooner than expected and rings the question of wh

fiat chrysler ceo sergio marcchione passes away age 66. >> he referred to himself several times as the and had several jobs to do at fiat. emma: up next, a range of expert opinion on the stage of global markets. investors being advised to brace for headwinds. >> at the end of the day, 16% correction is in the cards and can happen at any time. emma: this is bloomberg. ♪ ♪ two, down and back up. our phones are more than just phones. they are pocket sized personal trainers... last minute gift finders... siri: destination ahead. and discoverers of new places. it's the internet in your hand. that's why xfinity mobile can be included with xfinity internet. which could save you hunreds of dollars a year. plus get $150 when you bring in your own phone. its a new kind of network designed to save you money. click, call or visit a store today. emma: you are watching "bloomberg best." i'm emma chandra. even with the u.s. and the eu -- this week, tensions still cloudy outlook for many companies and business sectors. guess on bloomberg discussed the big picture of fiscal and monetary policy and its

fiat chrysler ceo sergio marcchione passes away age 66. >> he referred to himself several times as the and he had quite a job to do at fiat. emma: up next, a range of expert opinion on the stage of global markets. investors being advised to brace for headwinds. >> at the end of the day, 16% correction is in the cards and can happen at any time. emma: this is bloomberg. ♪ ♪ emma: you are watching "bloomberg best." i'm emma chandra. even with the u.s. and the eu declaring -- this week, tensions still cloudy outlook for many companies and business sectors. guests on bloomberg discussed the big picture of fiscal and monetary policy and its impact on global growth. starting with abby joseph cohen. >> overall, we are approaching a point of inflection. the really robust growth in gdp, and the really robust gains in profits, these are happening right now. we do expect this to decelerate and it will be increasingly clear in 2019. i'm concerned about the nonfundamental factors that are so hard to quantify. whether it is the possibility of a trade war or something else untoward on the internation

caroline: now let's switch gears and look at the architect of fiat chrysler's dramatic turnaround. 66marchionne was he took over fiat and spearheaded the purchase of chrysler. he was replaced as ceo after the weekend. his health declined. malan --to dan in to talk about him. the listing of fiat chrysler, having taken fiat from bankruptcy, he was a turnaround king. yes, he referred to himself several times as the fixer. he had quite a job to do at fiat, rescuing the company, arguing the most important emblem of italian industry for several decades, and he managed to start this turnaround by extracting about $2 billion from general motors, that gave him some financial leverage to put together his turnaround plan. from there, he took the bet on chrysler, created the world's number seven carmaker at that time, and off he went. caroline: the peace that bloomberg has on him is fascinating, he was born in italy, corrupt in toronto, fueled by more than a dozen espressos a day -- grew up in toronto, fueled by more than a dozen espressos a day. he had to destroy sometimes. he was not afraid of

the holding company of fiat chryslers eeo sergio marchionne has died. his condition had worsened after he underwent surgery on his right shoulder a few days ago. michael used in at cmc markets us. good morning. your reaction to the news about sergio marchionne. a real force in really did amazing things for the company. >> s., absolutely. and who doesn't return the company are up for a multibillion-dollar accompany this now. he was asked by president obama to take over chrysler bringing the company back from the brink and he obviously is a big fan of the ferrari brand as well. also not too much in the price given the fact we heard the news earlier this week that he was a result of side effects from operations. very sad news of someone 66 years old. gerri: brings to mind michael manley the fella taking his place. we know him as the head of jeep. is he up to the task? >> that's a big question at the moment. i think investors are still absorbing the news. the big question is whether or not they will delay the announcement put in some form of succession plan

fiat chrysler, there were three top candidates. marley, who was picked. cfo will stay and work with him. investors were expecting marchionne to leave. this comes as a surprise because marchionne was meant to stay another five years. this is why the reaction is much bigger for ferrari. >> the architect of the fiat chrysler's dramatic turnaround has died. sergio marchionne was 66. he took over in 2004. he spearheaded the purchase of chrysler. he was a bit of a turnaround king. >> he refered to himself several times as the fixer and hit quite a job to do at fiat. rescuing the company, arguably the most important emblem of italian industry for decades. he managed to start this turnaround by extracting about $2 billion from general motors that gave him some financial leverage to start his turnaround plan. from there he took the bet on chrysler, created at that time the world's number seven carmaker. and off he went. >> qualcomm say its ready to abandon its pursuit of nxp. why did they make this decision before hearing from china? was it an nxp issue? was it so

fiat chrysler has named the new ceo. unable to return to work. it takes thed br reins, getting his hopes on the brain. >> they expected him to retire near 2019, nine months from now. essentially, fiat chrysler, this was already in place, there were three top candidates. the cfo will stay and work with them. investors somehow were expecting him to leave fiat chrysler, this comes as a big surprisem because he was meant to stay there another five years. this is why the reaction is much bigger. ♪ >> the architect of fiat chrysler's dramatic turnaround has died. sergio marchionne was 66. he joined in 2004, related to the purchase of chrysler. he was a bit of a turnaround king. >> yes. he referred to himself several times as the fixer. he had quite a job to do at fiat. the company is arguably the most important italian business for several decades. he managed to start this whole turnaround by extracting about $2 billion from general motors, which gave him some financial leverage to put together his turnaround plan. from there,

president trump >> former fiat chrysler ceo and auto industry titan sergio marchionne died at the age of 66 he became the ceo of fiat in 2004, despite having no experience in the auto industry. he quickly became one of the most respected executives in the sector after engineering a recovery at the debt laden company. his career defining moment came during the financial crisis in 2009 when fiat took a controlling stake in chrysler, steering the american carmaker out of a government backed bankruptcy marchionne oversaw a sweeping turnaround at chrysler, within two years, the company exited chapter 11 and returned to profitability. in 2014, fiat chrysler made its debut on the new york stock exchange, and shortly after it announces a spinoff of ferrari which listed in 2015 marchionne, once an industry outsider, leaves behind a lasting legacy on the global lpe motive business that h heed to reinvent the more comfortable you are in it. and now there's a new way to smooth. introducing new venus platinum. a premium metal handle boosts control... to reveal up to 100% smooth skin. venus no matt

he merged fiat chrysler 10 years ago. it was his creation. sergio march cone knee was 66. >>> wednesday july 25th, the dow will head lower at the opening bell. all of that loss is from one stock, boeing. "varney & company" is about to begin. ♪ >> we're confronting the unfair trade deals and we are doing it like nobody has ever done because our workers have been cheated, our companies have been cheated. they have stolen our wealth. they brought it to other countries. as you know i campaigned on that issue. it is very close to my heart. i understand that issue better than anybody. i don't like that. i don't like it.

he was chosen by the chairman and the shareholder of fiat chrysler.ows how crucial jeep would be for the future. independent and it used to be the chairman of phillip morris. he was not working inside the organization. a succession plan was not in i and that is why there is more skepticism. vonnie: you have covered marchionne for 10 years around the globe. follow him in one of your piece -- you call him a fixer, a builder. in 2014.hat story i have too many stories to talk about as i have been following him around the globe. 2014, fiat chrysler was in the mountain with my family. i had to interrupt the holiday. my family was not happy. a few weeks later, we got a letter, handwritten for my daughter with music added. wasie: even though he trying to avoid you and your questions. he got a lot done including bringing back all of the workers he let go. what is left to be done to complete his vision? he presented his final plan, it was meant to be a final plan the first of june. his vision is to move away from mass car production which he sees risks becoming

workers at an italian fiat chrysler plant will strike over the signing of cristiano ronaldo tojuventus. the football club and the carmaker are both controlled by the agnelli family, who agreed to sign the portuguese star for over £99 million. that's all from me. another story making the news here in the uk: ministers have given their approval to rupert murdoch's bid to take control of the broadcaster sky. his company, 21st century fox, has agreed to sell sky news to address concerns about his influence over the uk media. the us... between time warner and at&t. and it's the deadliest natural disasters since the 2011 tsunami. we find out how long it will take for japan to recover from the latest floods. good morning, asia. hello, world. it's friday, almost the weekend, glad you could join us for another action packed edition of asia business report, i'm rico hizon. it's a merger that could shake up the us media industry for yea rs shake up the us media industry for years to come. 0n talking about telecommunications giant at&t buying up telecommunications giant at&t buying up time warner

great uncertainty for fiat chrysler and for ferrari as well.wo new chief executives announced for ferrari and fiat chrysler. the largest inflows in more than four years. investors warming to the new government. -- $225 million come in, the most since april. 2014.il banking stocks coming back in recent days and weeks. abigail: looking at the kleins for the major averages. not a lot of conviction on the part of investors. some fears on what a protectionist stance could mean. of more interest, the earnings season. investors waiting for reports. 500 on pace for a down day. declines may not be great, but we are in a losing streak. more dramatic moving, amazon, these shares -- this is a chart -- here it is. amazon has been down 2.4%. it is recovering a bit. e-commerceying the giant should face antitrust claims. if we look at the terminal on the faang stocks, these are the year to date moves. on pace for a fifth down day in a row, netflix the drag there. sincengest losing streak the middle of late january. the faang is on a patch of weakness here. let

. >>> and major changes at fiat chrysler as iconic ceo is replaced due to his faltering health big question now what is next for the auto giant. >> and i'm josh lipton in san francisco. alphabet kicking off a key week of big tech earnings when it reports in just about an hour. the one number you need to watch ahead. >>> and i'm sara eisen in for kelly evans. president trump is about to speak at a special made in america event. we'll bring you his comments live "closing bell" starts right now. >>> you were bringing it on there. >> she struts, so she inspires me about that. >> i was probably the only guy there over the age of 14 not there with his kids. but i'd go again outstanding stuff. >> she attractis everyone >> and first let's check the markets. dow swinging nearly 100 points it is flat at this stage the high of the day 23 points, the low 6 points so s&p up 0.2. and we begin at the white house where any minute now president trump will make remarks at made in america event let's bring in kayla tausche for a review >> reporter: the second annual made in america event. it was established l

fiat chrysler also slashed its 2018 revenue outlook, after sales in china slumped as buyers postponedx media, owner of the sydney morning herald and tv broadcaster nine entertainment, have announced plans to merge. it's the first deal under a controversial new media ownership law passed in september last year which removed restrictions preventing media companies from owning newspapers, radio and television stations in the same city. let us look at what is trending this morning. 0n the wall street journal, more of africa finds itself in china's debt. chinese president xijinping has signed a slate of investment deals during a weeklong tour of africa, feeding into concerns over ballooning levels of indebtedness to beijing. 0n wired, china blocks qualcomm's attempt to buy dutch chipmaker — the $38 billion takeover of nxp needed approval by china as it does a lot of business there. wired says it's a symptom of trade tensions with the us which has blocked several chinese takeovers. and that is it for the business briefing. stay with me for the newsbriefing coming up next. here in the uk, th

alix: a new man at the wheel of fiat chrysler but the company named matt malia as its new ceo. h. me now is david good to see you. walk me through what he can bring to fiat. manley has been with the company since 2000. jeep has been extremely successful. it makes a lot of money. &a deal,had done an m probably every car company would want to get it cheap. well with thee products out there pretty nifty they are on the head in terms of what the market wants. really writing the suv wave. the branding is consistent. ,hen you look at fiat chrysler sergio marchionne was trying to merge it with gm. looking for a deal. he said companies of that size needed a partner. was toos going forward much money. in april they said jeep is doing well. we don't need a partner. instead of a cfo, richard palmer -- instead of picking them, they picked mark manley. they wanted somebody more in the marketing product and operations side of the business. this is 48 hours before the company will report earnings with this overarching theme of global geopolitical risk. alix: what are we going to expect with a

he is not returning to fiat chrysler this is not a temporary move this is permanent. the new ceo, mike manly. he is best known for running the jeep and the ram divisions within fiat chrysler well known on wall street. well known within the auto industry, and look at the growth of jeep under manly. since 2009 sales have skyrocketed. worldwide they're up almost 300% more than 3 opinion% to just under 1.4 million vehicles last year he faces three key challenges as ceo, fiat chrysler implementing a five-year growth plan that he helped put together along with sergio marchionne, and then the question of whether or not there is potential sales or merger or a partial sale of fiat chrysler. those are questions that he will face maybe want immediately, but certainly over the next couple of years as he runs this company. remember, they report earnings on wednesday, and that will likely be the first time we hear from mike manly about his new job running fiat chrysler. >> all right, phil stick around we may have some questions for you, but, first to robert frank with what marchion

shares of fiat chrysler are falling today. the financial after disappointing sales in china. that is a significant challenge for the new ceo. you have a five-year plan to double profit and extent in china, the world's largest market. and boeing boasted quarterly profit and sales that beat estimates. but the company reported a cost overrun as it appears to present to the u.s. air force. produce cash flow twice of what analysts had expected. ryanair has had enough of labor strikes in ireland. they will cut the labor force by 20% through the winter. ryanair says the strikes have had a negative impact on booking and airfares. number ise latest -- that is the latest bloomberg business flash. caroline: we see much anticipation of the key meeting of the european commission and trump. can they alleviate some of the trade tensions? the auto sector is dragging down the dax. caused by the miners getting hurt. -- has been downgrading the overall cost. check out what has been happening in terms of fx market. we have seen the dollar weakene

fiat chrysler has named a new ceo as a health crisis left sergio marchionne unable to return to work.kes over. >> he was expecting to retire from fear chrysler in april 2019, nine months from now. , there were three top candidates. the cfo will stay in work with him. investors somehow were affecting that's expecting marchionne -- were expecting marchionne to leave. this comes as a price because marchionne was meant to stay another five years. this is why the reaction is much bigger for them. >> the architect of the eight chrysler's dramatic turnaround has died. sergio marchionne was 66. he spearheaded the purchase of chrysler. he was a bit of a turnaround king. >> he refers to himself several times as the fixer and hit quite a job to do at fiat. arguably the most important and little of italian of italian emblem industry for decades. he started this turnaround by extracting about $2 billion from general motors and gave him some financial leverage to them for together his turnaround plan. from there he took the bet on chrysler, created at that time the world's number seven carmaker. an

two auto giants reporting earnings both cutting their outlooks and sad news out of fiat chrysler. a lot to get to with phil who has been busy working early this morning in chicago good morning, phil. >> good morning. we start with the news from general motors the new guidance for a full year earnings coming in lower than previously expected. coming in at $6 a share. previously in the range of $6.30 to $6.60 they're expecting a $1 billion increase in costs this year. $1 billion about half that is due to higher raw material costs such as steel, aluminum, and the other half is foreign exchange you look at fiat chrysler, you have them lowering their full year earnings guidance the q 2 results were hurt in china by tariff impacts there. fiat chrysler earnings call started 45 minutes ago it's the first time we've heard from the new ceo mike manly since the passing of sergio marchionne, passing away this morning. it was, to a certain extent, expected but this is a devastating day not only for fiat chrysler and ferrari and the auto industry overall. sergio was a giant here is what mike ma

fiat chrysler, difficult start for mike manley.y also cited issues in china as one of the reasons. >> right. chrysler and ford are in a tough position. chinese brands have actually taken off in that market. that was not the case for a long time. you saw international carmakers were having a heck of a time in that market year after year. they could count on massive growth. gm, you see a little bit insulated because they have a local chinese budget brand. even they have had a hard time with the buick brand and chevrolet with the rise of domestic chinese brands. it is surprising to see fiat chrysler have trouble with the jeep brand in that market. jeepare very hot there and push inly making a china and has run into resistance. the new compass has not been received well. they have talked about not hitting the mark with their marketing. the trade all down to tariffs. thank you for that, craig trudell in detroit. guidance outnting of the automakers. facebook faltering. is this a turning point for the social network? is it an overreaction

former fiat chrysler boss has died at the age of 66. he had surgery on his shoulder three weeks ago but suffered consultations and his health rapidly declined. he drove the merger with bankrupt chrysler. he is credited with turning to dysfunctional car companies into the seventh largest manufacturer in the world. appearsricket superstar on course for an election victory in pakistan. his opponents are already crying foul. his movement for justice party is ahead of the pakistan is one leave -- muslim league. he fell short of the majority needed to form a government without a coalition. day, onews, 24 hours a air and at tictoc on twitter powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. yvonne: thank you. facebook faltering. looking close at what a rare earnings miss means. ramy: turning down the heat on trade. what it could mean for asian markets. this is bloomberg. ♪ yvonne: this is "daybreak: asia" and i'm yvonne man here in. u.s. markets rallied on the trade agreement. treasuries declined

were part of his tenure in terms of the middle east and european operations so more changes at fiat chrysler back to you. >> thank you for that, phil. big news there thank you guys for hanging out this morning. >> pleasure. >> see you tomorrow. >> see you tomorrow and on "closing bell" and "fast money." >> there you go. make sure you join us for more "squawk on the street" begins now. >>> goods monday morning, welcome to squawk "squawk on the street." welcome to the heaviest week of earnings season. 40% of s&p market cap. alphabet on deck tonight our first look at q 2 gdp friday europe is a little soft. ten year near 2.99 the road map begins with simmering trade tensions global finance leaders voice concerns about geopolitical risks for stocks. >> fiat chrysler is falling in the premarket. machionne announces his resignation. it. >>> and tesla giving to cash back in the effort to cut the losses >>> tensions between tehran and washington on high alert the president goes after iran in a tweet warning any threats in the u.s. would be met with unspecified dired con quinces. -- dire consequences.

a sudden ceo shifted fiat chrysler. sergio marchione was forced to step down. "fbn:am" starts right now. gerri: 5:01 a.m. in new york on june 23rd. i'm gerri willis. cheryl: good morning. i'm cheryl casone. sorry that i interrupted your oil rate but i can't get over the all caps thing. it's interesting. gerri: we've seen this before where he will go over international heads is, so it's not anything new, but every time it happens there's a big reaction. cheryl: wait to begin with some very big breaking news. this mass shooting happened overnight in toronto. a gunman killing one person and injuring 13 others including a young girl. the suspect later was killed at the scene. gerri: happen in a toronto neighborhood known as greektown. >> after 10:00 p.m. police responded to a 9-1-1 call for sounds of gunshots. a young girl and critical as they right now and the other 13 are in hospital being treated. >> investigators trying to find a motive. police say they would not rule out terrorism. cheryl: president trump in a late-night treat issuing a strong warning to iran.

how big of a shock is this for fiat chrysler and its shareholders?a major shock for the company. a leadership change at this scale, you always want to see in a more planned fashion. the ceo has been running the company for 14 years, executing on his vision, talking to shareholders quarter after quarter. now it seems like all of a sudden he's not going to be around. that said, marchionne was scheduled to potentially step down next year. his term was due to end in april 2019. on some level, shareholders were expecting a change. obviously, the company has been around for a long time. they're going for continuity is trying to minimize the disruption from the unfortunate turn of events here. the new ceo will face investors for the first time this week. what do we know about him and investors perception of him? >> he seems like the obvious choice. he is marchionne's protege. he is running a large portion of business. he is in charge of the ram and jeep brand's, two thirds of the company's sales in the u.s.. he is a company veteran. he has been running the

what is the connection to fiat chrysler? there isn't a direct one. exor, the investment arm of the billionaire family owns 30% of fiat chrysler and separately owns 64% of juventus. those are two separate entities. doesn't matter. the union says why are you making us take pay cuts when you are spending millions on ronaldo? >>> on wall street not much cheering, the dow is looking at triple-digit losses. down 183 points. all red on the screen for the s&p and nasdaq. a slew of different stock groups getting slammed by the escalating trade war between the u.s. and china. let's go through them. s&p 500 materials sector one of the worst performers. fertilizer giant mosaic among the companies leading the declines in the materials index, down 3%. freeport mcmoran and cf industries lower by 4 and 2% respectively. >>> slip it over to auto parts makers, gm, advanced autoparts, we have ford, all of those are down along with auto zone and o'reilly automotive and particularly hit are the chipmakers. they depend on china for much of their business. china makes a mil

the jeep suv wishers of fiat chrysler lowered on this news.tunning force for the company. 3% of the free market as you can see. it is the top 10 movies were sequels. the top spot went to a surprise upset. >> i'm going to kill each and every one of them. the disappointment is iomega to do it once. >> equalizer to his starring denzel washington narrowly beat mamma mia which made her do for $.4 million which beat the original film with $23.3 million rounding out the top five. feel free to have mamma mia stuck and you're the rest of the morning as i do right at this moment. dagen: do you know i'd beat the original? one word. share. despite her craziness on twitter. she speaks the language of room on twitter. >> this is a business program so i'd like to know how much havoc at each time there's a mamma mia movie. >> ask a question, researched the result. >> it was absolutely phenomenal. >> this is the sequel to the original film. who would've thought. coming up, war of words with iran. president trump ramping up the tough talk of sanctions or reagan

mike manley joined chrysler well before fiat owned them in the year 2000 and has led the jeep brand since 2009 when chrysler exited bankruptcy through the fiat deal. shares fell nearly 3% in trading and now are down about 2% today and at the moment down about 41 pennies too much $81. fiat chrysler is not the only one making headlines. tesla taking a temple on news the electric vehicle makers asking some suppliers for partial refunds on payments going on the way back to 2016. that sounds strange and is also disturbing for shareholders that say wait a minute, is it really that bad and according to a memo reviewed by the "wall street journal" tesla asking for cash back that it already played-- paid some of its sorcerers to help become profitable. the question is considered essential to the vehicle makers continued operation. a spokesperson for tesla put out a statement saying the company asked few with antenna suppliers for reduction in capital expenditures spending for long-term projects so the company is focused on pretty much reaching more sustainable long-term cost basis. either way, sha

workers at an italian fiat chrysler plant will strike over the signing of cristiano ronaldo tojuventusthe agnelli family, who agreed to sign the portuguese star for over $130 million. the workers‘ union called the fee unacceptable, as fiat employees have made, quote, huge economic sacrifices. let‘s take a look at some front pages from around the world. there is continued coverage in the japan times of devastating floods in the west of the country. the paper says that over 200 people have died and rail networks remain crippled. in a separate front—page piece, the paper says officials are working to put in place mass evacuation plans in case of flooding in tokyo, where 1.76 million people live below sea level. in london, the financial times has a photo of a group of protestors against president donald trump‘s visit to britain. but its main story is about the chancellor of the exechequer, philip hammond, defending government policy towards brexit. the paper says that city experts are calling the plans a real blow to london‘s financial service industry. in france, le figaro picks out extre

valuationsaid at the of jeep would be as big as fiat chrysler in its entirety. chrysler and i don't think they will let that go very quickly. brings a thought, sergio has in the past been looking for a partner and has been unsuccessful for many reasons so he may have to revisit that down the road. because we talked about electrification and trade and that will change the whole the auto industry and he needs to figure out how to work with other automakers, to collaborate, just to reduce the cost of r&d that has been what -- that has been rising quite rapidly. rishaad: thank you very much. for breaking news wherever you are, go to twitter. we offer live video coverage and hourly updated top news reports verified by bloomberg. jumped on twitter and follow tictoc and bloomberg. rishaad: where the battle of the charts. they will be pitting their best charts against each other. you can access their charts by running the function on the bottom of your screen. who knew we kick off with? they are both there. and don't normally have both contestants in the studio at the s

. >>> shares of gm and fiat chrysler falling sharply report. after the bell today gm seemed to mention commodity costs as one of the culprits here. >> they are choosing their words carefully, john. nobody is coming out to say this is because of tariffs, but there's no doubt that tariffs, whether here or in china impacting the auto industry, it's certainly having an impact on both general motors and fiat chrysler they both wrapped up the conference calls within the last couple minutes and for general motors, think about this they are noticing a $2 billion impact in terms of higher costs this year. and a good chunk of that being with raw materials now, they have mitt grated about a billion dollars of that through a number of moves they have been able to make, whether through pricing, whether it is through changes that they have been able to make. so they have been able to offset about a billion dollars, but they finally came out today to say, you know what we can't offset the other $1 billion. about two-thirds of which is due to raw material cost

he had overseen fiat takeover of chrysler in 2009 and successfully spun off the ferrari brand into aarate company. estate of saying the best way to honor his memory was to build on his legacy as a company. next to the u.s. come over the eu commission president will be meeting withth president trump later. reporter: the tone of the meeting has been set by president trump on twitter. he's said that terrorists are great -- he's said that tariffs are great. they will try to talk him out of ,mposing new tariffs on cars saying they should drop all barriers and subsidies. germany's car industry represents the body has welcomed these talks >> -- these talks. reporter: it is a very good thing the president of the european commission is in t the united states and holding good talks with the president. it is a matter of maintainingng free and fair trade with the u.s. we need d free and f fair trade. reporter:: the markets will be keeping a close eye on that meeting later on. european markets trading down stein. -- down near lunchtime. anchor: we turn our attention to ryanair, which has the to c

fiat chrysler dodged a bullet.y have basically bought all of their steel for 2018, so they are pretty well protected, at least until next year. can happenmething with those before then, they can skip that altogether. that was definitely happening for gm, harley, polaris, and with fiat chrysler, their problem was more in china, not much trade related but more marketing. ata: jamie, we were looking the effect of the steel and aluminum tariffs. president trump out today saying that he has plans to slap tariffs on all cars imported to the u.s.. you can take a look at this chart, showing the volume of automobile imports to the u.s.. how significantly with these potential tariffs affect the auto industry in the u.s.? jamie: profoundly. it would make a massive effect on the u.s. auto market. every vehicle in the market will go up in price, almost certainly, even those that are made in the u.s. and have the most u.s. content still have a lot of imported parts in them. it affects every company. gm, ford both import a lot of

we need to tell you that earnings hit fiat chrysler, the shares are down today, but pile that on topf a very very sad story. the passing of former ceo. the chairman confirming the news this morning saying he quote manan friend was gone. he was one of the most well-known names in the auto industry for years and appointed ceo of fiat chrysler in 2004. he's credited with turning around the struggling italian automaker and in 2008, fiat married with bankrupt chrysler and entered into a strategic alliance funded heavily by loans from the us and canadian government. of the two companies officially merged in 2014 after chrysler exited chapter 11 and actually returned to profit ability. he was a major proponent of auto industry's consolidation announce that same year that the two companies combined $13 billion in debt had been erased, pay back the government. with him at the wheel shares of fiat chrysler service more than 228% from 2014 that italian canadian speeding past his us competitors. a self-described workaholic with a style that included wearing a black sweater every day. 's impact o

david: we can't talk about fiat chrysler without talking about the man who turned around that company largely and came in to reformat, to reform the company fundamentally and then there was an agent'sthat hit position in chrysler at a time when everybody thought that company would not succeed. ironically, it ended up being the saving grace for fiat, it ended up chrysler was making the money more than fiat was. alix: it raised the question of what's coming in next. the new ceo will be taking the helm for the first time. and we have the jeep is going to be an important strategy going forward but it's also dealing with geopolitical risk. how will you be able to deal with that as tariffs continue to bubble up? david: this is the day harley given over automobiles. risks whetherical it's commodities prices or steel and aluminum with trade problems of europe potentially as with china, it's a big issue. , upser earnings just out is just down adjusted earnings per share in the second quarter is $1.94. they've actually taken up their free cash flow you for the year. ubs coming out with a slight

he was architect of fiat chrysler get together.i'm not mistaken the stock went over 200% during his tenure. liz: to susan's point earlier, turned around not just one but two beleaguered carmakers, dealing with automaker unions at same time. he repaid the government for the chrysler loans. he is visionary, legend. he love what he did. had passion for his job. that is what gm and ford ceos are saying now. >> i agree. interesting gm, ford, reporting hon day we lost marchionne. stuart: it is. we're down about 80 points. down 77. 25,161. >>> look at gm. tariffs apparently according to the company, biting into gm's profit forecast. they're looking to the future saying tariffs will hurt them. to your point, kristina. general motors up 37. it is down two bucks. that is a whopping 6% drop. >>> general dynamics very strong profits. they make gulfstream jets and navy ships. that is up 1 1/2%. >>> higher profit at another defense contractor, northrop grumman. healthy demand for fighter jet parts. that is what they're doing. why is the stock ne

general motors and fiat chrysler reporting before the bill, ford after the close. analysts tempering expectations after the companies took down full-year guide anxious. phil lebeau joins us with the latest. >> what's interesting is that the companies that we've heard from, fiat chrysler and general motors expect higher costs to continue for some time let's start off with general motors it cut its full year earnings guidance going down to $6 per share. $6.30 to $6.60 was the previous guidance a lot coming in terms of raw materials, steel and aluminum. here is the cfo of general motors talking with us earlier today on "squawk box." >> we have seen an escalation of commodity prices across the spectrum of commodities, including steel and aluminum, that has been driven by market forces >> now let's talk about fiat chrysler because it has also lord its guide anxious 2018, revenue growth down 5% to 8% earnings growth is also lower than previously guided and the china tariff impact, that's what they're noticing at fiat chrysler. what is interesting with both of these compa

flags were flying at half staff outside of fiat chrysler production plant in italy today.yees are morning the death of their former ceo, sergio marchionne, who died wednesday. workers pause production for 10 minutes today to honor marchionne and his work in salvaging the company. the hospital that treated him said today he was seriously ill for more than a year, but fiat chrysler says it had no knowledge of that. global news, 24 hours a day, on air and on tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i'm mark crumpton, this is bloomberg. lisa? thank you, mark. facebook's face planting today after disappointing result. shares of the largest social media company are plunging, now all eyes are turned toward amazon, which will release its todayved -- its results after the market closes. joining us now is brad stone, head of global technology coverage for bloomberg. .rad, we love having you on thank you so much for being here. we are looking at amazon shares, down about 2.5% before they report earnings later today. why? brad:

sergio marchionne's departure is a huge loss for fiat chrysler that he is no longer running the company. suffered a rapid decline in health and will not, not be returning to the company who is running it now? mike manley, named ceo of fiat, will be overseeing the company's european operations since the head announced this morning he will be leaving the company. the gentleman in charge of europe was passed over for the top job, mr. manley now has it his challenges are significant implementing a five year growth plan he helped put together with sergio marchionne, expanding jeep sales remember, mike manley has been in charge of that brand, it had tremendous success that's key part of the growth. and then is there a sale or merger in the future sergio marchionne said for months if not the last couple years ultimately needs to be consolidation within the auto industry those are the challenges facing mike manley. we'll hear more thursday that's the first time people expect to hear him make comments about the transition at fiat >> robert frank, what does this mean for the ferrari brand >> this

sergio marchione at the head of carmaker fiat chrysler is stepping down due to ill health after fourteen years at the helm the sixty six year old will also relinquish his duties of luxury carmaker ferrari where he was chief executive he'll be replaced by magic mike manly head of the group's brand. several japanese beaches have reopened for the first time since the earthquake and tsunami disaster of twenty eleven locals held a ceremony to pray for safety before taking to the water fourteen beaches remain closed off after the fukushima nuclear accident and officials say some will stay permanently closed to the public. now sweden is grappling to contain wildfires that are spreading across the country in a sign of how bad things are the civil defense chief has come out and said that the fight has been lost against some of the biggest wildfires a country has seen in decades firefighters have put out a number of smaller fires but the largest blazes will only go out if the weather changes help is on the way from countries including germany. it's terribly hot and terribly dry with hardly any rai