francine: thank you, stephanie flanders, j.p.t management staying with us for the top of the next hour. we'll will talk about u.s. treasuries and depth. coming up next, global turbulence. david cameron is said to speak at an air show shortly. can he reassure britain's big business? we are live on the ground in london. this is bloomberg. ♪ francine: so the airshow, one of the biggest events for the aviation industry open. under the brexit cloud. toid cameron is scheduled speak in a few moments. what exactly are we expecting for the prime minister to say? >> i think he is going to try to calm everybody down. ofhink it will have a number effects, slow down the global economy, make investments into the u.k. more difficult. thes trying to calm situation down. in some ways, the story of the morning is what is happening with sterling. the u.k. industry just got more competitive. i was talking to david joyce at ge they compete with rolls-royce. the engine just became a little bit more cheap and that is the competitive situation he will h

i believe stephanie flanders past us in algebra in fourth grade.francine: this is pretty punchy for a 5:00 a.m. new york show. [laughter] francine: bring it up. tom: woah. francine: in white is the citi u.s. index. , you seeive yield era treasuries rally. i even added extra lines to make it pretty. for more on the markets, let's bring in stephanie flanders, chief market strategist for jpmorgan in europe. this is a crazy world we are living in. yields are going to go down for quite some time. stephanie: it is a topsy-turvy world. one aspect of this is how we have changed our view thinking about monetary policy. tom will remember this. it used to be that the way you would respond to a potential loosening of monetary policy is you would have a steepening of the curve because you would be expecting yields to go up. now, we've got more and more central banks in this territory where you are measuring the effect of the quality by flattening of the curve, whether it is switzerland or the ecb was a bank of japan. japan.he bank of you have seen yield curves

living, but to the dead, to every patriot, to every patriot grave, to the ghosts of valley forge, of flandersield, of bataan, the chosin reservoir, khe sanh, and the gulf. this i owe to the men who died on the streets of mogadishu not three years ago. to the shadows on the bluffs of normandy, to the foot soldiers who never came home, to the airmen who fell to earth, and the sailors who rest perpetually at sea. this is not an issue of politics, but far graver than that. like the bond of trust between parent and child, it is the lifeblood of the nation. it commands not only sacrifice but a grace in leadership embodying both caution and daring at the same time. and this we owe not only to ourselves. our allies demand consistency and resolve, which they deserve from us as we deserve it from them. but even if they falter, we cannot, for history has made us the leader, and we are obliged highest standard possibly. [applause] and in this regard may i remind you of the nation's debt to presidents nixon, ford, reagan and bush. president nixon engaged china and the soviet union with diplomatic genius.

. ° laura: hi, i am laurura flander.on the show, communities of color organize against violence, muslim community activists lamis deek and fahd ahmed talk about islamaphobia, and we talk to chicago teachers who are organizing community wide against racism and the school-to-prison pipeline. all that and more on "the laura flanders show," the show where those who say it can't t be done take a back seat to those who are doing it. ♪ laura: what is it about palestine, islamaphobia, and anti-arab racism that even many liberal americans still don't get? i'm not even talking the out and out racism of a certain repupublican presidential candidate.

welcome to "the laura flanders show" -- where the people who say it can be done take a backseat to theg it. -- it can't be done take a backseat to the people who are doing. a new way of livign is in the process

this is from stephanie flanders who comes regularly on the program. wrote in the financial times that the chinese currency has been falling again recently by 3% against the dollar in the last three months. it would be nice to believe that this was because the world is in a stronger position to cope with a deflationary china, that she fears it is because investors have not been paying attention. the problem with china, if you think about the last 13 months, this huge volatility and markets being scared last summer. then we had january and now we do not talk about china. geoffrey: investors have not been ignoring china. i know a couple of meetings and calls in the past few weeks. as concentrated as last year and the beginning of this year when that could've been a big call position in your portfolio. currency,ct to the the chinese will say last year they made a mistake and proactively moved and poorly communicated it. this time around, the big fix around the brexit was to reflect dollar strength. china is still stuck in terms of overcapacity and in a de

stephanie flanders was on the night of the referendum. i mean, the u.s.es , they basically have to look at the entire for folio, right? >> the u.s. media companies and content are global. significant business in europe. they were hurt last year and will be hurt this year by weakness in the currency. but there are opportunities for them to perhaps pick up some assets on the cheap. francine: chris was talking about possible m&a. whether you talk about italian banks or europe in general, , you have one regulator. because of the troubles in the banks and the stock prices, is there no way that we will see cross-border consolidation to make things easier? >> i don't think you will have cross-border consolidation. there will be an important decision by september, october. in europe, the basle committee thinks french banks loaning germany or belgium goes -- those are foreign operations. same central bank, same currency, same ingle resolution. i think what is going to happen is they're going to neutralize this regulatory uncertainty. you can lend across europe and

we're bound as well by the service of those who've defended us -- at flanders field, the beaches of normandy, in the skies of the balkans, and more recently, in the mountains of afghanistan, and training bases in iraq. their sacrifice is reflected in the silent rows of arlington and in the peace tower above us. and today, we honor those who gave their lives for all of us. [applause] president obama: we're linked together, as well, by the institutions that we've built to keep the peace. a united nations to advance our collective aspirations. a nato alliance to ensure our security. norad, where americans and canadians stand watch side by side -- and track santa on christmas eve. [laughter]

. >> i don't mean this as an old, that he is ned flanders. go back and look at the speech. i don't mean that as an insult. he's theory easy to listen to. he doesn't knock the ball out of the park. but maybe with a double last night. to angela's point, undecideds have anywhere from 10% to 25%. when you have the democrats last night talking about american economy, they don't recognize. they can be as hopeful as they want to be in our language and soaring rhetoric. when they talk about the u.s. economy, that is not how people feel about their place in this nation and certainly their economic stability. >> it's so sad. when you look at obama's policy, more black on welfare than the government has grown. we don't have my money in our pockets because we are paying for people that don't have dogs because obama's policy has failed us. trade to you she's very clear she wants to build the most house these. and if praise for hillary. a lot of donald trump action last night. president obama calling out trump for his scare tactics he called it. listen to this. >> he's just offering slog

it wasn't grash, miss flanders, mcmanus would not approve. i think it was. >> when you say it like that -- >> do what mub wro did. check the check the box. >> caylee, should he have been so many nuts as well. now he came here because he wanted to position himself as the man for 20-2 pop what we saw in 197 6 because there's a difference here. pau pause -- he came here, he faced down a crowd that was booing him and stood there and took it p the and your analogy is absolutely perfect. ronald reaganan came down over of that -- u so aing ronald reagan was dibld -- >> i'm talking about the same thing. >> pop lie and lie and lie again on live tv. so how can we congratulate them and throw roses a the their feet? >> so this is about personal pettiness and bruised egos and not the nation? >> i think in a way this benefited donald trump. he's shown he is the master of his domain. we are definitely a divided party. let's please not sugar coat it and pretend that is not the case. at the same time, donald trump got shooed, like a stray cat. >> first of all