francesco: it is bold. in honesty, the risk, as we described to the down side given this new narrative by the fed, i think what they've -- two things strike me about the fed. they haven't revised their suck will i cal outlook. you have guests saying june is in play. it's the q-2 data that rebounds. i think that's sensible to say. and in their projections, they haven't really changed things that much between december and march. what they're emphasizing, however, both in their narrative and in the numbers is a revision in the structural way the economy performs. so the long-term growth, the neutral rate, and we see other central banks do this. so i think what is happening here is after quarter after quarter of never really getting to escape speed, all of us, including central banks, are learning that there are structural forces at play, which companies and consumers are valuing. francine: if you're expecting a rate increase in june and the market is just pricing at 10% chance of that, are we going to see stoc

francesco: look, in simple terms you can boil it down to output gaps., i think, fits well overall euro area situation vis-a-vis the one in the u.s.. a small out but cap or positive one is really inflation .ressures materializing particularly in the sheltered categories, like services. biggern you have a output gap with inflation nowhere to be seen yet. it's hard to square with places like germany or japan for that reason. that's where i think central bankers have some doubts when they go about rates like the fed. , fullyn't, i think understand the causes of this low inflation. arenow that part of them related to commodity prices. for instance, in the united states just energy, subtracting the present 60 points to 70 points from headline inflation, but the core numbers are still just approaching 2%, despite the economy doing relatively well. a long answer to say -- i think inmodities play a big part the output gaps, but it's not only that and some aspects are not completely understood. ,lix: francesco garzarelli really great to get your perspective. comi

francesco, great to have you on. further comments from japan, japan's lower house defeating in a confidence motion against prime minister abe's cabinet. that's the latest out of japan. i want to reintterate what we heard from the news line, prime minister abe is to hold a news conference wednesday. we will work to get further confirmation of that but that could be some kind of announcement on that sales tax hike delay that we've been talking about this week. we're head for a short break. check out markets live which runs throughout the day. lots of information there you that can pick up. we'll be back in two. >>> welcome to "street signs." i'll julia charterly. these are the headlines. shares on track for third straight month for gains. auto stocks stall after first quarter results from volkswagen failed to alleviate concerns over the emission scandal. >>> dramatic footage from a bernie sanders rally in california after animal rights activists jump the barricade and try to charge the stage. >>> a warm welcome once ag

francesco, real pleasure to have you with us.ortfolio manager at banor capital. >>> let's give you another view of top movers here. we're looking at carlsberg where it appears the glass is half empty. they fell 3% to danish crowns as negative effects outgrow europe and asia. low single digit percentage growth and operating profits. >>> the asset management arm of allianz pimco reporting 10.1 billion euro it's in first quarter. thus the group is expecting an improvement in income cost ratio in the second month. they're insisting that management is good enough to achieve a turnaround. >>> tui has announced plans to sell its specialist unit in holiday plans, leaving just its main tourism business. tue reported a loss of 740 million uros in the first quarter. but reassured that they have a growth of at least 10% this year. >>> goldman sachs now lifting its gold price forecasts. this comes on the back of lower expectations that the federal reserve will continue to hike rates this year. the bank also cited a weaker u.s. dollar. the gro

francesco marlett spanked his girlfriend's child. the force of the spanking caused him to run into a wall hitting his head. >>> and takata may have to recall 35 million more air bag inflaters on top of the 29 million already recalled. those inflaters can explode with too much force and spray metal shards. at least 11 people have died worldwide and more than 100 have been hurt. >>> back to decision time we're talking local politics. and the city of fairfax incumbent scott silverthorne won a second term as mayor beating long-time resident thomas ammazzalorso. you can go to our website to see the results of the other local races. >>> all right, the caps need a win tonight in game four of the playoff series. the pittsburgh penguins are up 2-1 now. the caps get to play at home this weekend but right now everyone is focused on the game in pittsburgh tonight. >> momentum will be on their side with them going up in the series, but i feel like our game, the last game was really picking up. i feel like we have some momentum going into the next

alix: and that leads to francesco blanche's call looking for $60 in the new year.y interesting stuff. look for $35 in the short-term. if that bottoms out, you can see a spike into the 60's as well. thank you, paul ciana. thank you. make sure to stay with us. alix will be speaking with jeff curry tomorrow at 4:30 eastern time from the goldman sachs leveraged conference from california. tomorrow, we continue our conversation on oil. we look at how it fixed states like texas. the governor of texas will talk about that, the election, and much more. ♪ david: this is "bloomberg markets." i'm david gura. texas governor greg abbott has been calling on fellow republican tonight to defeat hillary clinton while also promising that he would fight against policies that give transgender people access to bathrooms. he talks about all of that in his new book. i am pleased to welcome texas governor greg abbott right now. let's begin with the bathroom laws. north carolina says it will sue the u.s. government. you have said texas will fight this. how come a similar lawsuits? >> we ar

franc francesco marchlet was watching the child and began to spank him and caused him to hit his head on a wall and lost consciousness. the child was treated for a concussion. marlet was suspended without pay. the police chief says this incident shows family violence affects people in every profession, in all walks of life. the issue is one we are committed could preventing. >> you probably have one. a new credit card with the chip in it. there is not much confidence about whether these cards are making things easier for shoppers. the steps here in washington being taken to >> >>> we're in weather alert mode. storms ppping upo >>> we're seeing a few strong thunderstorms out there this afternoon. nothing severe. put it into context, yesterday, we had one tornado warning, didn't have anything confirmed for today. that threat is pretty low, if at all, any risk as far as high winds go. it is also low. for the hail threat, much lower than yest hail across the area. your flash flood threat, low to moderate today. there is some heavy rain out there. we are tracking this line of some heavy ra

this comes after a grand jury indicted francesco merlett. he spanked his girlfriend's child after the 3-year-old had an accident in the bed in december. the force of the spanking caused the child to hit his head on a wall and lose consciousness. the court date has not been set. >>> developing news on the faulty takata air bags. government sources tell nbc news the company may have to recall as many as 35 million more air bag inflaters. this is on top of the 29 million already recalled. those inflaters can explode with too much force and spray metal shards. at least 11 people have died worldwide and more than 100 people have been hurt. >>> back to decision 2016 no politics. in the city of fairfax incumbent scott silverthorne won a third term as mayor with 58% of the vote beat long-time resident thomas ammazzalorso. open the washington app to see the results of yesterday's other local races. >>> 5:14 now, people who died keeping our community safe will be honored in special ceremonies today. ed first in montgomery county, officer liota's name

investigators in prince george's county say officer francesco marl on th beat his girlfriend's child so hard that the 3-year-old sustained a concussion. now, it allegedly started after the child soiled the bed. after that, investigators say marl on the spanked the child, causing the child to hit its head against the wall and lost consciousness. the child was treated at the hospital. marl on the was suspended without pay. >>> officers on the scene in dumfries. just after 1:00 this morning, he was pronounced dead at the scene so far, we don't know the name or a motive in the shooting. >>> an arrest last night in columbia heights. this happened near northwest harvard street. the victim was an security guard now in stable condition. and warren bibs is charged with assault with intent to kill. >>> pretty creepy incident in adelphi. prince george's just released this video of a peg epintom. they say he walked onto a back deck, looked in the back of the home and began to perform an obscene act. it happened on march 2nd. no contact with the people inside the home. but call police if you know

. >> officer francesco mar let was watching girlfriend's 3-year-old while making din erin at some point he allegedly hit the child causing the child to fall unconscious. he has been suspended without pay pending outcome of the trial. >> drum roll please. google has announced its next self driving car will be a mini van. the company plans to begin outfitting 100 chrysler pacifi pacifica hybrids with own auto muss driving software and it's larger than self driving car google has become known for it will allow for features like hands free sliding doors. and google hopes to have the vehicles on the roads for test drive by the end of this year. police arrested a man suspected of contaminating food at several anne arbor grocery stores. it was a combination of mice poison. hand cleaner an water on on food bars three locations over the last two weeks. according to the fbi the suspect was taken into custody. yesterday following tips from public the fbi is working to determine if any here stores in the anne arbor area were targeted. >> and it's a who done it that baffled fbi for more than a decad

in 1576, francesco d'medici, the grand duke of tuscany, had one antinori strangled for his undue attentionsthe duke's wife. in the 1700s, another antinori cultivated pope clement xii as an important customer. the pontiff, who commissioned the building of rome's trevi fountain, decided to throw a few coins the antinori's way. >> piero antinori: we have some correspondence saying that the pope used to like very much the wines of our family, and he wanted to order more. >> safer: a pretty good recommendation, correct, especially in the 18th century? >> piero antinori: yes, no doubt. >> safer: but the family history lining the shelves of the marchese's office says precious little about the wives and daughters in the antinori family tree-- a fact not lost on albiera, allegra and alessia. are there any interesting women in those 26 generations? >> albiera antinori: i'm sure there are some women. but women in history, in the past time, even... if unless they were special, they were not... >> alessia antinori: considered. >> allegra antinori: yes, exactly. >> albiera antinori: to be mentioned. >> a

today, we will speak with francesco gazzarelli, global head of macro markets.t helicopter money and discussing whether it's necessary to he says was missed is that to some degree, monetary and fiscal policies are already reinforcing one another maybe not in ways as obvious. it provides more stimulus than is generally recognized. alix: we will talk to him about that. it's kind of already happening. scarlet: look at europe and japan. alix: you can join us at 4:00 p.m. for "what did you miss?" scarlet: this is bloomberg markets. ♪ david: it is 2:00 p.m. in new york and 2:00 a.m. in hong kong. markets." "bloomberg from bloomberg world headquarters in new york, here is what we are watching this hour. home surge in april -- new sales surge in april. markets flying high today, gains in all 10 s&p sectors with tech leading the charge. rejects bayer's takeover deal. they are open to talks. can a deal get done? markets close in two hours time. the dow up and running with a 200 point game. julie: the strength has been remarkably consistent today. stocks rising out of the