i am guy johnson. >> i am francine lacqua.t of the conversation on mario draghi and the ecb. >> everybody is waiting in anticipating the announcement we are going to get later from mario draghi. >> we have a nice bloomberg story about how much he is going to unleash. this is part of the discussion we had with christine lagarde and others, will it be enough? because he has talked it up so much, will be market be disappointed? >> there is a potential for that. the question we want to ask as well is will it work? >> that is what everybody wents to know. if you are someone looking at it from the sidelines. let's have a listen at what the panelists said. >> if europe is going to grow business has to grow. i love make a quick point. if you look back at the u.s. and what got it going, we had cheap energy, low interest rates and a competitive currency. we used that to create jobs. can europe create jobs? business has to create jobs but you need structural reform to begin to create jobs. look what we did in silicon valley how many hund

he is joined by francine is the author of the 20 works of fiction. her latest book is lovers at the 10 million club 1932 in novel set in the 1920s. also on the panel this morning is walter mosley who is the author of more than 40 books most notably there are fans in the audience of the mystery series. the later role is the mystery that takes place during the era of the radical black nationalism and political abduction. ladies and gentlemen our panel. [applause] in 2012 when i started by the book i had a few motivations. while i would like to believe as the editor the only reason people ever buy books is based on the book reviews especially those in "the new york times." i know that occasionally there are other reasons people pick up a book and one of the ones commonly cited cited is that everyone is talking about in the audience that your best friend recommends is the current controversy. so how do i get at that word of the mouth book review and i came up with this idea that i think of as cheaper red carpet question what are you wearing and we ask th

francine, let's start with you. >> we are sad, but we're happy to get out of the cold actually.ree days, thanks to mario draghi and the historical qe being pumped in. today we had a great interview with the japan central bank. you have the ecb going one way. you have japan going one way. and the opposite direction, you have the u.k. and possibly the fed. i asked him whether that was problematic. he said no anything they can spur growth in europe will help his economy. let's have a listen. >> the action by the european central bank growth could be accelerated, both of them would beneficial for the economy. we welcome this action by the european central bank. >> 90% of people here thought it was a great idea that the ecb has done this. there's always a 10% that doesn't. that 10% generally has a german accent. the bank boss leading the charge in terms of saying this is not a good idea, this isn't going to work. he was pretty clear in the fact that he thought this wasn't a good idea. >> a program that focuses on buying nonmarket [indiscernible] does not address the problem. it addre

francine. >> the million-dollar question. we are excited to have you with us. thank you for coming on. davos is one of those great firms for people talk about ideas. we talk about the world economy the price of oil. the sense from us is that a lot of people do not know where we are going and that they are here to debate and figure out the answers rather than having the answers coming here. >> that is absolutely right. we had a big interrogation one of the keywords of the next year over central banks. we saw what happened last week. mario draghi -- is going to have a big direction on what happens in 2015 and the economy. you have other economy concerns. the price of oil. globally we believe was good news. it is going to be a key issue in 2015. interest rates, central banks, geopolitical uncertainties. >> doesn't feel more uncertain now than it did last year? we have much more questions whereas last year it felt like we had a terrible time after the recession and things were looking more positive. >> that is a tough question to answer because i think we sound lik

in a few minutes, francine lacqua will be speaking to christine lagarde and larry summers.head of draghi's decision. >> so let's talk about what everybody in davos is going to be focused on today. that is of course what is happening in frankfurt. potential is interesting here. questions are being raised about whether or not actually this is going to be an excuse for maybe politicians not to deliver. whether or not actually without mutualizeation it is going to exacerbate maybe some of the risk that the eurozone faces. let's talk about this in a little more detail. my next guest -- well, i think his pedigree speaks for itself. he is the current chairman of u.b.s. good morning. very nice to see you. we are waiting to hear what draghi is going to deliver a little bit later on. there are risks and there are rewards associated with delivering q.e. for the eurozone. how finely balanced is this decision? >> first of all, you have to ask yourself what do you want to achieve with the policy? and the policy is usually -- the central bank mandate. it is to achieve price stability wher

. >> i am francine lacqua. oil prices continue to fall.he board of for you, if we can. >> staggering numbers. $52. down 1.28%. the implications is being felt in other asset classes. let's talk about what is happening. u.s. 10 year, some they 2014 could be painful in 2015 as well. the u.k. gilts, we will have data out and 9:30 a.m.. it's a solid push below and equities taking a knock. >> that's on the back of energy stocks. and the ftse down by 5%. the 30 day of declines -- the third day of declines. >> the number of the eurozone better than expected. whether that data is enough to move the dial given what crew has done, we will have that story. >> ryan chilcote, what exactly is the benchmark we are looking out for? how low can it go? >> really, brent, the global benchmark, we saw wti fall below 50 and that is the u.s. benchmark. when we see brent hit 50, we know we have a real global story and perhaps a one-off u.s. story. when is that going to happen? that is anybody's guess. what i can't tell you is in the financial crisis, we saw brent

cracks and i'm francine lacqua. more than a million people took to the streets of paris to show solidarity in the face of terrorism after three days of violence that killed 17 people. >> they marched in the rally which drew the largest crowd in french history. caroline connan was at the march. she joins us now from paris. caroline. >> this sunday will probably go down in french history as the biggest gathering in france, and in paris for the past 40 or 50 years. more than one million people in paris, 3.7 million people across the country, and some very emotional and peaceful moments in the french capital. you had the families of the victims of "charlie hebdo," of the supermarket, and the policewoman who was killed. there have been 17 people killed in the last week in paris. they were followed by more than 50 heads of state, with some very unlikely duos such as benjamin netanyahu and mahmoud abbas next to president hollande, angela merkel, matteo renzi, david cameron, and many others. there was some very emotional mo

anna has taken a nice picture of francine and guy. [laughter] >> our next guest talks about the gas in oil prices as one of the biggest risk to the world economy. definitely a talking point in switzerland. ♪ ♪ >> absolutely beautiful. that is the italian andrea bocelli at the opening for them in davos. very similar to mark's warm-up act. >> we will do the poetry smacked down later. it is all going to be about nursery rhymes. let's take a look at the company news. sure is a netflix very much in the headlines. soaring yesterday. it expects to complete is international expansion and looking at the profits of 2017. on the company added more than 4 million new subscribers. samsung what use its own version of the galaxy s smartphone. companies of qualcomm chip that overheated during testing. the news is a blow to qualcomm. the move comes as something tries to boost its own processor making division. bp selling for its role in the 2010 horizon disaster. some would be more than triple what bp has set aside. they are conducting a three-week tr

francine, what is your top takeaway?> olivia, we talked about the environment after the great 2014 he had. in 2015, will he be able to replicate these trend we saw? he says it is difficult to predict, the environment is right to do some great deals. we asked about volatility for stop some investors a it is difficult to sift through volatility. he said that is actually a bonus. >> i do think it is a favorable environment for what we do. >> despite the volatility? >> volatility is a good thing. if you are a long-term investor and you do not have margin leverage, then volatility is a positive. >> so we talked about 2015, and he has a very nice problem. he says my main problem is i have $4 billion to $6 billion to spend, five to find the right company to put my money there. >> francine, when he's become it is often a market moving phenomenon. i heard you talk to you about tesco, a british retailer. this is the third largest retailer in the world even warren buffett has a stake. what did he have to say on tesco? >> this was s

. >> i'm francine lacqua. we begin with the show checking out what the oil is doing. it is hovering around $45. we're hearing about this standoff between shale producers in the u.s. and of course opec producers. >> i guess the question is -- everybody is asking themselves how low does it go? what is the ultimate end game in terms of where prices stabilize? a critical question, i think it is going to be one of those questions that is going to run through every single conversation. in davos. everybody is going to be talking about this. this is affecting every business. it is also affecting the data. to be infected. >> i would say infected. >> that is a more accurate description. the bank of england looked through the higher level of oil. will it look through the lower level? >> oil prices very difficult to predict. it will be the biggest game changer for airlines and companies around the world. in an exclusive interview ahead of greece's general elections the country's finance minister tells bloomberg that an exit from the euro is not impossible. he was speaking with ou

francine is in conversation with ukraine's president.s coming up later on "bloomberg surveillance." this is "bloomberg surveillance." ♪ >> good morning everyone -- we are in davos. it is davos unpegged and it is the world economic forum. thoughtful discussion ripped apart by the geopolitics of the morning. the conversation with the ukraine president is coming up. jonathan ferro is working on london. he is with us in davos. we will talk about what is happening in switzerland. jon, wonderful to catch up with you here in davos. i want to bring up a chart of deflation in europe. this is not a chart we see in the united states of america. is this good or bad deflation? >> when you strip out energy and food prices, we still have inflation in the eurozone. is it good or bad deflation? the problem is that the move predates the oil price move. it is a lack of demand. >> with the lack of demand it is a dominant germany. how dominant is it versus one year ago or four years ago? >> even more dominant, when it comes to monetary policy. isn't it amazi

francine.ncine. this thing -- these little devices that we call smartphones, all of which have cameras on them -- watch this. francine, somebody rolls over to your house -- neighbor. >> okay. my neighbor. >> click click. >> he took it all. he had it all. >> what did lifelock do for you? >> well, lifelock kept alerting me because the thief kept trying to move my bank accounts to different p.o. boxes. so, lifelock would call me up and say, "hey, are you, uh changing an address?" and i said, "no. no." i got the alert -- "hey, he's trying to open up another seven credit cards." lifelock -- >> and each time that alert comes through, that's not saying, "oh, this activity's going on, and we didn't do anything." they stopped it from happening. stop it. >> they're my angels. >> all right, folks, what else do i need to do to convince you to get identity theft protection? we've shown you from both sides -- from the victims and the thieves -- just how easy it is for identities to be stolen. you've experien

he is joined by francine the with the author of 20 works of fiction. her latest book is lovers that the kid million club. -- kinnealey and club. a novel set in 1920's. also on the panel is walter, the author of more than 40 books and i am sure there are fabians in the audience. his story takes place during the patty hearst era of radical black "maxim" is some and political objections. ladies and gentlemen,, our panel. [applause] >> in 2012 and i for started "by the book" i had a few motivations of a blake to believe the only reason people ever be block dash by book is based on their reviews ito occasionally there are other reasons people pick up the book. one of the ones that is most commonly cited is word of mouth everyone people are talking about in the office or your best friend or controversy. i thought how do i get that word of mouth in the book review? i came up with the idea of the cheap red carpet question mark i would ask the people that we read what are you reading? and why and what books matter to you? i thought of this wall at the theater i

guy, francine? >> hans thank you very much indeed. hans nichols joining us from the scene of yesterday's shooting in paris. let's continue the conversation try to get more perspective on what we are seeing in france and its implications. we are joined by jonathan, the author of the book "france on the brink." good morning to you. we clearly have a story developing minute by minute in france. we will continue to watch that. as we look at how this is going to change the political story, what is your assessment? >> i would guess that it is going to help le pen on the international front. she took a slightly more moderate line last night saying, we mustn't blame all muslims. she certainly rounded the angles of the national front which was very raucous under her father. she has made big inroads not just on the old conventional right, but also in traditionally left-wing areas. she is set to gain additional support from this. she is already according to some polls the politician who would finish first in the first round of a presidential ele

francine we will send it back to you.his was equities will be done a great deal more at a potential recession around the corner for everyone here in zurich and across the country. >> hans, thank you so much. >> let's delve deeper into one of the sectors john cox was just talking about. the swiss farmer sector. lubricant diligence joins us now to talk about that. -- a bloomberg intelligence joins us now to talk about that. do we need to be even more nuanced than that? how do we make this work in terms of the actual numbers? >> verse to prove him absolutely right. in the time we spoke as morning it worked out that some of the numbers for half these numbers. this is not 7%. it is 14%. that is a much bigger number. that is exactly right. you need to make sure you get the best numbers. they have what this could be viewed as a national hedge. they report everything in u.s. dollars. this will be an impact on them. they gave an impact yesterday from point five to $4 billion impact on operating profit. they just said that that is

i'm francine lacqua. apple smashed records with iphone sales.ver 34,000 phones per hour. give us a sense of the growth which is absolutely phenomenal. >> staggering numbers. $8 million per hour. it is quite phenomenal what the company is doing. when you compare it to the competitors, it is so much more profitable. microsoft and google put together does not yet equal $18 billion. apple is making more than the entire gdp of yemen and iceland. staggering results. the growth is phenomenal. sales are rushing through. iphone 6 and iphone 6 plus. unleashing these has brought in more and more people. particularly during the holiday period. we are going into developing markets eating into android and samsung territory. sales were up 17% in china. also the new ways you can pay quite recently. overall, they are seeing 2/3 of money in this way being taken by apple. i think many investors might agree that it will be worth $1 trillion at some point. >> let's turn from apple to goods. it has been a big quarter for europe's biggest appliance maker. joining me i

led by francine lacqua. some really interesting thoughts generated from that debate.t goes to the heart of what everybody is talking about today. an event that will take place in frankfurt and that is the ecb. welcome back to normal programming. this is "the pulse." that is the story, the countdown to qe. the spotlight moves from the world economic forum to frankfurt, where mario draghi is expected to announce a massive bond buying program later today. not everyone is convinced. the former bundesbank boss making sure that everyone knows he is skeptical. he told bloomberg the priority is to fix the banks. >> europe is not in an existential crisis. it is in an identity crisis. some countries, like germany, want long-term reforms. >> he is not the

and francine lacqua. partying with francine lacqua is fun. >> there have been some pretty good parties. >> yeah. so we got a twitter question for you. i think it is pretty relevant. >> what is the best way to recover from davos? this could be interpreted in a number of ways. some will say qe. >> some sort of vitamin pill yeah? >> very personal. >> we will fix some technical issues. if you want to join the conversation, we would be delighted. please join us. we will take a break and see you in a couple minutes. ♪ >> already a busy morning from the world economic forum. it is going to get busier. we are going to continue with our market moving interviews. we are going to sit down with the bank of japan governor haruhiko kuroda. we will talk about inflation, disinflation, and qe. but first -- >> we will look at europe. this is the story yesterday moving the market. we will look at the upcoming greek elections and the importance of qe. joining us now is the european union economic and tax commissioner. thanks

el- badri told francine about what we also heard, just a few moments ago, bloomberg reported that thecb, the board of the european central bank has proposed a 50 billion euro a month program upon a state through the end of 2016. it would begin more or less -- >> the size -- 1.1 trillion euros. that is basically $1.3 trillion. >> between now and the end of 2016. >> when we were speaking of to larry summers -- >> the question is how fast they are spinning the money. it was going to be $500 billion a year, so is the market going to be satisfied with $1 trillion over the space of two years? >> let's not waste time talking to each other about it. >> yes, let's go to some but he who will have a much better answer than what stephanie or i will be able to give you, david rubenstein, this is an annual tradition. >> thank you but i do not think i have a better answer. >> you have an answer which is important, if you see the ecb european central banks, make the decision tomorrow, that the quantitative easing starts tomorrow an -- starts in march, and in some in 2016, what effect will have? >> wh

give me francine. >> good luck. steve: here we go.d tell me a candy bar a stripper might use as a stage name. john. >> almond joy. steve: almond j-- almond joy. ok, francine. >> mr. goodbar. steve: mr. goodbar. bill. >> mounds. steve: moun-- i love these dudes right here, boy. mounds. evelyn? >> baby ruth. steve: baby ruth.

. >> i'm francine lacqua. we are getting breaking news out of italy. possible qe next week in terms of that inflation figure that is due out any second. >> we've already had a lot of macro news affecting the euro this morning. though it actually hasn't affected the euro in terms of where the currency is trading. a little relief for mario draghi. the european court of justice has given a favorable opinion on outright monetary transactions, seen as a precursor to the qe plan that many people believe draghi will announce next week. >> the court has said the omt plan is legal in principle. what can you tell us about this opinion? it seems like it is a green light. >> in principle, there's nothing behind me in announcing quantitative easing. it seems like the last potential major road brock -- roadblock has been lifted. the european court of justice said it may be legal. the outright monetary transaction, which you can read as code for ecb -- when you look at what is going to happen with the market and mario draghi in berlin today told the newspaper that th

. >> francine, guy, here is my reporting assignment for you.to ceo's, business leaders, and get a sense of if they think corporate tax reform is going to happen in the states? and, what are the prospects for a trade deal between the u.s. and asia or the u.s. and europe? that could be interesting. those are two areas where obama may be will get more done with the republican congress. >> thank you so much. corporate tax trade, swiss franc -- >> pretty long list of assignments. >> done. >> we will get that all done. all those are going to get covered. central banking also front and center. if you were betting on a rate hike from the u.k. this year, i think you probably need to have another look. we'll have some significant news out in terms of the minutes. manus cranny is here with some more details. >> this is a big u-turn. mccafferty the dissenters facing off against mark carney. i'm going to show you dollar-sterling. this is sterling dropping. they have pulled back from calling for a rate hike. that is the blockbuster news. bank of england poli

francine lacqua what a busy lady. >> thank you.s interview with the bank of japan governor. back here in the u.s., -- kicks off its ipo. the company raise $170 million. they develop cloud-based services for businesses planned to go public a year ago, but delayed offerings when industry valuations dropped. leslie will be speaking to the ceo this morning. let's start with what your sources are telling you. >> early on in the roadshow they were can sintering raising the range. some of that has to do with the anchor investor they had yesterday. they decided to purchase about 10% of the shares at the offering price. that helps narrow the float size, that was the strategy they opted for. >> the biggest concern box has is competition with microsoft. microsoft knows how to sell the businesses. >> microsoft knows how to sell to businesses and have the staying power to lower races. they compete on price is in the way a startup cannot compete. they have had to spend heavily on sales and marketing. they have about 17 months to live at the cash

i don't need them. >> with that, i know you still remember all of your phone numbers, francine. send it back to london. we will have more throughout the morning. >> i don't even know my own phone number. >> i do. i sometime forget my wife's that is dangerous territory to head into. >> thank you so much, hans nichols. >> we will be back in munich very shortly. another gate crest is going to be joining hans nichols later on the program. he is our international correspondent. what else is on our radar? that is when the next shareholders meeting takes place. the bank will name smoaghi as ceo. >> fluctuations in the franc jumped five times. >> greases entering the final week of campaigning for the general election. time is running out for the prime minister. covenant, we will speak to a candidate from the party that is pulling in third place. people are talking about a second round of elections. that would be a catastrophe for the country. we will have that for you shortly. ♪ >> welcome to "the pulse your e." the put tommy partour next guest joins us from athens and says the second r

he spoke with francine lacqua and guy johnson. francine is with us from our london bureau.us some highlights. it was a wide-ranging conversation. you think he is charming. >> he is charming and he has a very tough life. he said his toughest problem is that he has 4 billion dollars to $6 billion to spend. that is a very nice problem to have. he needs to find a place to put it safely and make more money. we talked about volatility and he was very bullish about the future. >> one of the factors that people are not talking about -- the rate of new business formation and the rate of growth of companies that you have never heard of is probably the fastest ever in the history of the global economy and there really is only one silicon valley. i think we have a number of venture buttes that are very favorable. what is interesting is that in an economy performing as well as the u.s. is expected to perform, you would see rates rise quickly. but the combination of low cost of capital plus a meaningful improving economy is an unusual event. stock prices are actually attractive in light

. >> and i'm francine lacqua. let's begin with europe's deflation by lemma. consumer prices for the eurozone are at the top of the next hour. our international correspondent hans nichols, joins us now with more from berlin. it looks like draghi's case for quantitative easing will be bolstered. >> that's what we expect. if inflation does come in at -0.1% draghi is going to have another argument for why he needs to start purchasing government bonds. on friday, we get consumer confidence. this is more the german case, the german theory of economy that most of inflation in decrease is largely due to the price of oil, which dropped over 50% in the last year. when we combine those two, the germans are saying you have a stimulative effect. this is jens weidmann's view of the world. he wants to see how lower oil prices are affecting consumer confidence. then he can say, i'm finally comfortable with quantitative easing. how long can the european economy weight? it doesn't look like the ecb is willing to wait. even if we look at the core inflation, the number jens weid

francine is going to be holding a higher level for him. >> francine lagarde, the head of the spanishalready seen a couple things going through the studio. they are all going. >> we are here. i will babysit a little bit. >> you can join in on the conversations on twitter. let us know what you want to see more on the show. >> next, we are talking sovereign bonds, particularly reis -- greece. the ecb did meet this week. the chief rating officer of standard & poor's will talk about a massive week for the eurozone. that is next. >> time for today's company news. is the travel misery for eurozone customers finally over? they recover. british infrastructure specialist john lange could announce an initial public offering as early as today, valuing the company at one billion pounds. that has been announced that john mine group will proceed with the primary offering on markets. the italian luxury suit maker is tearing up its budget after the y unexpectedly removed the cap. the chief executive will meet the managers today and review everything from the size to reising. -- pricing. he told bloom

i'm francine lacqua. apples $18 billion profit. the tech giant

i am francine lacqua. >> and i am guy johnson. >> a central bank governor joins us. >> and we will sit down with japan's central bank governor. he will be joining us later. ♪ >> king abdullah of saudi arabia has died at the age of 90 after being admitted to the hospital with a lung infection. >> he became ruler of the world's largest oil producer in 2005. he will be succeeded by his half weather, prince salman, who is 79. he used the oil wealth to oversee a fivefold increase in the size of the arab world's largest economy. >> president expressed his condolences to the saudi royal family, calling abdullah a ruler who took a bold stand. the price of oil futures rose in the wake of the announcement of his death. >> of his death. >> in the new came will face an immediate foreign-policy challenge in neighboring yemen as the president there has resigned after shiite rebels have seized a palace in the p >> the rebels failed to honor an agreement to withdraw from the palace. in his letter of resignation, he says the country had reached a dead end. >> let's get to elliott gotkine. >> good morni

we heard from the head of opec not to be drawn by francine in an interview that was taped in dollhouseas not to be drawn on the correct price or the potential price of a barrel of oil and maintained this would be set high a continuing market force. it's well-known that the history of ruling in saudi -- he was 90 years old. there is already in place a mechanism to guide the country's energy policies. and until we hear different, we will have to wait and see what the new king is going to do. >> maybe we saw this coming but king abdullah of saudi arabia passes away. power turned over to his half-brother. we will cover this story. it you can check us out online. ♪ >> i'm cory johnson and this is bloomberg west. turning to shutter stock. millions of royalty-free stock photos. they have been off to a shopping spree lately to boost its business. they borrowed british image library for $32 million. joining us from new york, john orange r. how do you see your market? >> people that use shutter stock our businesses. we sell images to companies of all sizes to sell their products and services to

francine lacqua off today but

. >> larry summers on our panel yesterday with francine was a little bit vocal in terms of raising ratesld be the policy misstep. i was just trying to think, how do you describe the dollar? i was watching it during the press announcement at the highest level since 2003. that would give them a stronger dollar again. that could have implications in terms of the recovery. >> that's the case, then we are looking at the wrong central bank. the key decision was the bank of canada. if you look at the fed's import measures, we could actually have euro-dollar below 1.10. i think the fed would be ok with it. [indiscernible] he supports aggressive policy from europe and japan. that is coming from the fed side. what are the three most important currencies? dollar-canada, dollar-mexico, and dollar-china. dollar-cad already well through 1.20, maybe on its way toward 1.30. dollar-china is wavering right now. let's say we get a negative shock. then, dollar-mex goes through 14 15 or 3.17, 18. then, the fed has a problem. don't really think the ecb matters. the surprise decision for them was the bank of c

. >> i'm francine lacqua. we have a developing story in paris.reporting that shots were fired in a city outside charles de gaulle airport. hostages were taken at a local business. we may have two people dead and around 20 wounded after an exchange of fire. you are looking at pictures coming from the scene helicopters circling overhea

according to crop circle researchers andy thomas and francine blake, the story begins on a dark and stormyight. >> a crop circle researcher headed out with a video camera to see if he could see ufos or maybe crop circles. and he went to an area where many had appeared over the years. so he went in the early hours of the morning, it is claimed. >> he came here on his own, therefore, and it started to rain at about 10:00. but it rained very heavily, i mean, a real downpour. i've never seen rain like that. it was very heavy. it caused flash flood in a village just down the hill there. >> he puts up a tent and falls asleep. at daybreak, something wakes him. >> he heard a clicking noise, like crickets, he described. when he trained his camera on the area where he heard the noise, he started filming. >> what he catches on camera is perplexing. >> and then you see these little balls of light who make the crop circle. it's a question of not even a second. it's very, very quick. he was startled. >> the mysterious balls of light appear out of nowhere and hover over the field. but watch what happens

. >> i'm francine lacqua. a lot of news. >> the last few minutes, there has been dramatic action on the foreign exchange markets. the decision to ditch its floor. it has held that since mid-2011. qe is on the way. this is what we have seen. this is the five-year chart on the session. the downside is incredibly aggressive. that is what we have seen on the day. we are down by 15%. >> the president is holding a briefing later on today. enforcing the cap on the frank was no longer justified -- franc is no longer justified. >> they are all due to tie up on the 22nd of january. the smb -- the cap is gone. they removed the cap the costly defense they had on the euro swiss franc. this is down nearly 16% so far in the session. they have also moved more negative than they already were. interest rates in switzerland have gone more negative. what you take away on one hand the cap, presumably this is the kind of counterpunch. we are going to take this cap away we are going more negative on our interest rates. that is not h

francine lacqua is with us from london. caroline, what is the sense in the city, especially after the second bombing? has this had the effect of stopping people in their tracks? >> i just arrived at the scene half an hour ago. you have maybe 200 around the scene at the moment. the prime minister is expected to speak anytime. the metro station has been closed. there is a high security alert in france. all these places such as churches or religious monuments and transports. near the scene here, the family members of the victim are being taken care of. you have the family members and the employees over there. obviously trying to help them deal with this dramatic turn of events this morning. as you were mentioning, people were concerned there, including the editor of the newspaper. and for the very famous cartoonists at the use paper -- at the newspaper -- people are still around the scene here. the prime minister is expected to speak and said on his way in that france was touched and its heart. the french were very horrified a

i am francine. >> we are live in athens. >> we are getting some breaking news from germany. they are breaking in with an expected. in terms of assessment, we are expecting 110, in terms of business climate. we are also trying to deal with the greek question. overall, current assessment is much better than expected for the month of january. the coalition for greece and a challenge for europe. the vote leaves in two seats with a mandate to build a coalition dedicated to ending austerity. guy johnson is on the ground. this is a historical vote. >> it is. the vote has gone as anticipated. he did a little better than anticipated. this morning, in athens, there is a conversation taking place between them and the independent greeks. nobody saw this as a central case. they are towards the right-hand side of the political fringe and anti-austerity and very much taking the line that they want to see a hard negotiation with the troika. that is the reason the markets are down. a fascinating story is emerging. maybe not the one that most had planned for. >> can they form a government? >>

if chinese demand is not materialize and there is no shakeout, this is what of dula has to say to francine >> might go to 20 or 25. i think it will stay where it is now and maybe the mix will be clear. we will know exactly how this affects supply. >> not to 25. we may not know for several months where it stabilizes. >> that was a punt to me. >> has and that been this entire case? >> no. the money that was spent was already going to be spent. u.s. production is the highest it has been. he said he would be willing to talk to non-opec producers. >> that is crazy. oil is the collection of independent countries. >> he is reaching outside the conference on. russia is in a recession. they have their own problems. they need to sell us cheap as they can to get market share because they are in a recession. >> what will low prices do? those who say they spur demand can there be more demand? >> if you look at china, yes. you want to stockpile on lower prices. it is not that oil prices dropped one dollar therefore your expenditure goes up. it is not that simple. you have fuel efficiency. people have bo

if you get up early in the morning, you can see francine lacqua and guy johnson also. 20 minutes fromime minister david cameron will meet and you will see live coverage here on bloomberg. john heilemann will be back as well as phil mattingly. >> have a great weekend. >> in the meantime, 56 minutes past the hour, bloomberg is going on the market. >> a volatile into a volatile week. the dow ending a five-day losing streak. the treasury also giving back some of their gains. the 10 year dipped below 1.7%. the matter what happens with oil, the dollar strengthens. euro-dollar getting to 1.14. joining me is jerod woodward senior derivative partner. i was looking at a couple of notes and people noted that options don't expire. so whatever happens today in trading is meaningless. >> you can either have an effect where options expiration can be healed to the fire or it can be a dampening move. either you have a really big or small move, depending on what's happening in the underlying indexes. >> given that we see gains of .4% in the s&p 500, would you take solace from this, that we have ended t

. >> i found it surreal, francine lacqua's conversation with portion go -- with poor roshan go -- doesump on russia change your investment phases at all he? >> not really. if we are looking at credit rating agencies we will be one step behind. so you can take a look at the potential impact on the technical basis, but our analysis on russia -- the sovereign still is not that attractive. it is in the corporate bond world, given the new volatility that comes with the regulatory environment. you have got really good bargains that are available. >> because nobody wants to touch it. >> nobody wants to touch it, and it was 15, 20 points in a matter -- in a manner of weeks. >> there is a question of if you want to catch falling ice. >> it has been a falling ice environment for the last four weeks. >> you are staying with us hans. are the oil markets poised to rebound? we will discuss what history has to say in our single best chart. are we seeing 1986 all over again? this is "bloomberg surveillance" on bloomberg television streaming on your tablet, phone, and bloomberg.com. ♪ >> good morning,

among the highlights francine lac -- la guard will be hosting a summit. >> we have talked to one andling crude prices have been felt. >> the main affect in the decrease in the price of oil is a decrease in the price of gas, which means there is more money left in the pockets of consumers, and they are going to spend some of it. the numbers are very large. in many country position, oil consumption of g.d.p. 1.5% can go into the pockets of condition tsunamiers. it is like a really big fiscal expansion without an increase in detriment >> oil has been trading below $48 a barrel. the u.s. is the world's largest consumer of oil. it has signaled it will let the market decide the price. we are joined by neil atkinson and ryan is here as well. thank you for joining us. it is a boring question but it is one i love to ask. how low could oil go? i am going to help you a bit because $28 is a figure that you have cited is possible? >> well, it is an educated guess. anybody that tells you it will go to $20 or whatever is frankly guessing. the reason i cited that figure is to give an illustration ba

. >> i'm francine lacqua. happy new year to everyone. what are angela merkel's contingency plans for grace? that is a question that is dominating the currency markets this morning and is sending the euro lower. driving the news is a report over the weekend that says merkel could look at a greek exit. let's go to hans nichols with the very latest. what are we to believe? >> we basically have three different lines from the german government officials in germany on the report. the first is that saturday night line. that was a nondenial and i'll saying they don't comment on speculative reports. then, last night, we had the economy minister and junior coalition partner. he would know about internal planning inside the finance ministry. he said there were no contingency plans. this morning, we have a member of angela merkel's party, the party chairman essentially, saying he can't imagine there being contingency planning. what we don't have is a firm denial that the government is planning for a contingency if greece leads the eurozone and if th

francine lacqua off today but back monday. we are going to start in athens. eurogroup president jerome is set to meet greece's new government for the first time later today. it is a story that everybody is watching. we are trying to work out whether there is a mandate. we will talk about that in just a moment. let's talk about sanctions on russia. this is also part and parcel of the greek story at the moment. increasing violence in eastern ukraine. we are watching the story very carefully. there is talk of more individual stories here potentially more visa bans. ryan chilcote is on the ground in brussels. what have you been hearing from the foreign ministers? >> effectively, what they've done is kick the can up to their bosses. february 12, the heads of state gather here in brussels. what the foreign ministers did last night was agreed to expand the black list of individuals subject to travel bans and asset freezes and also extend some sanctions that were imposed right after crimea was annexed. those are sanctions light. one to 10, 10 being the worst possible

christine lagarde was on a panel with francine and she made a very clear there is one bright spot inld. >> that is what is going on. >> you can see who it is, track of them. [laughter] that is the absence of our concern, isn't it? >> low-level -- a level oil prices will boost a real wages a real profits in europe and japan and later in the year. after this precise moment, only the u.s. is doing the type. the u.s. is going up the mountain with all of the other countries attached to it by ropes in the u.s. is better in every time one of the other countries falls down, it brings the u.s. back down. it is not strong enough to provide the engine of global growth. there are other countries that are being they used to be dynamic that are softer and dragon down the overall global growth rate. >> for us in the united kingdom that relationship with europe is presumably one of the biggest issues. we have a strong currency against the euro and it is one of the main export markets are the you pay -- and it is one the main exports for the u.k. currency on one side and oil on the other which is com

francine is not back until monday, but sent her a tweet.a couple of minutes. ♪ >> google and facebook may offer perks like food and ping-pong tables, but it alibaba, you can find your future spouse. what it is like to work for this chinese e-commerce giant. >> when you enter ali baba's headquarters it is a lot like stepping into any tech campus in silicon valley. inside, there's a starbucks to fuel all nighters. yoga classes and free cafeterias -- three cafeterias. the perks don't stop there. alibaba takes it one step further, helping employees to find love, marriage, and even to start families. it may look like any other tech company of the culture is unique. employees refer to each other as ali people. many assume nicknames taken from kung fu novels. >> one of the big influences was an author who was a martial arts novelist. in the early days, as the restarting, people took on nicknames of different characters that were in these martial arts novels. >> that fighting spirit has attracted young people to work at alibaba. the average employe

francine, authors of "37 things i wish i had known before my divorce."ough your divorce? >> yes, because we're both mediators, and what we found was that people didn't have the information that they needed. they were facing divorce without any knowledge. and so, we said you know what, we need to write a book that educates people. >> because you may not really know your partner when it comes to divorce. people become different people. >> they do. >> but let's talk about trying to save it first, before you throw in the towel. what are some things you should ask yourself before you say this is over? >> well, first, you really want to try everything you can. >> try everything. >> go to therapy. you need to try that, you know. and you need to see if that improves something. >> sometimes you're not happy there's no affection, there's no communication. >> right exactly. >> but all those things said if you feel it's definitely over, there are some steps that things you wish you would have known first, right? >> absolutely. >> the first thing you say is to find t

. >> i'm francine lacqua. we have a developing story in paris. rt radio reporting that shots were fired in a city outside charles de gaulle airport. hostages were taken at a local business. we may have two people dead and around 20 wounded after an exchange of fire. you are looking at pictures coming from the scene helicopters circling overhead. this is eight miles from charles de gaulle airport. this as a result of a massive manhunt that has been underway since the shooting in central paris. let's go to caroline connan and get the latest. >> according to the police, they were saying that it may be the beginning of the and of the manhunt because the two men who are supposed to be the kouachi brothers -- we are getting more information. we should be cautious with the information we are getting. i have spoken with people who live there. they have confirmed that there are five helicopters at the moment flying over the town of dammartin-en-goele which as you were mentioning is about eight miles from the airport, france's busiest airport. the hostages

francin alaskan delegation later. c-span created by america's cable company 35 years ago and brought to you as a local service by your local cable or satellite provider. >>> ajit varadaraj is the senior republican on the federal communication commission and he is our guest on the "the communicators." commissioner, welcome. the debate on net neutrality is a moving target with hearings on the hill and the fcc getting ready to do something. what has the debate morphed into? >> guest: thanks for having me on again, peter. the net neutrality has morphed into a political football which i think is obscuring common ground mainly that everyone believes in the free and open internet. and i support the four internet freedoms: accessing lawful content, personal choice, devices to the network and the freedom of transparency in terms of service plan information. the question is how do we embrace the four freedoms in the context of regulation? i believe the bipartisan agreement that has been in place for almost two decades served us