francine: -- difference lice. francine: would you welcome that?i think it is something if properly done can mitigate the impact. if it is not the sleuks, the long-term, i think it is curb gas price, that high without any reason, there is speculative -- francine: a lot of countries are against this. you have to curb at a european level? do you literally rip out the rule book for energy and restart over? >> look, if you look at gas prices and gas is imported into europe, there is no relationship between what we are paying and what is the price we pay to the suppliers. so it is like 2 1/2 or three times higher. it is the damage in europe and who is benefiting from that is mostly the trading companies and some importers. imports from elsewhere would not be affected if a cap is put at the right level. i think that needs to kick in, otherwise this will be ongoing for a long time. francine: talk to me a little bit about immobility. is it still in the cards or sit too much? >> mobility is a trend. it is encouraged by the kind of situation if you look at t

francine. francine: -- is here to stay. we are awaiting the results.are just looking at campari numbers being first quarter estimate results. for drinking, do it in moderation, especially for the young people. we speak with the italian beverage maker. speaking with us now is bob kunze-concewitz, ceo of campari. we were talking about the sprits, which people are drinking at the moment. given the higher inflation and the supply chains and raw materials, and you continue to pass on these higher costs to your consumers? and good morning. bob: good morning, francine. we have had a very strong start to the year and that is reflecting this trend -- the strength of our brand. we have healthier fitting into this reality which we are seeing at the beginning of this year and we are responding to the inflation of input costs by increasing our prices. we have taken price increases at the end of q1 and more will come at the beginning of q2. those are able to guide us flat even going forward. tom: just to be clear, you talk about pricing rising about 10% the last qua

francine: thank you very much. of the big points, we spoke to a unilever executive and they said if i raise points and some of the prices, is there a danger they go to the consumer at some point and the consumer goes to cheaper brands? dani: that's the issue with luxury goods. will consumers pay for expensive things when they are looking at more expensive housing and energy? francine: this is the question. a man who doesn't shy away from talking about inflation, jamie dimon. we sit down with him and we will talk inflation, the fed, brexit and energy with jamie dimon. dani: good morning, this is bloomberg: daybreak europe. these are the stories that set dani: your agenda. dani:the 75 basis point question, how high and how fast? francine: russia looks to occupy ukraine, narrowing its objective. dani: the hang seng slides as the sec probes the chaotic 2021 debut in new york. francine: let's get straight to it to look at the futures and give us a good indication of what traders should be watching out for. equity future

francine: how much do they care about this?s like they're trying to shut down the russian economy, but they also want to shut down from the west in many ways. could that be the game plan for russia? >> table have to be. but it is a huge issue. the supply of hydrocarbons to europe has been a huge part of the russian economy for decades. we are still lying on the russian gas, russian oil is a huge change for this economy and the russian economy. it will have a big impact on both sides. what may come into focus is to go back to the point tom made, if other people are just going to buy this, will you have to look at secondary sanctions. will you have to think about sanctions against india and other buyers. this is a pretty momentous path we are walking down. tom: brent currently trading up 2%, the market is reacting to this. we are unpacking the complexities of this decision by the eu commissioners. francine: i'm pretty shocked, the market is ignoring this. at some point we hope they wake up and look at these possibilities. tom: pl

francine: laura wright in london.leaders agreed to pursue a partial ban on russian oil, we will look ahead to their meeting today, and discuss inflation. our maria tadeo is on the ground. markets putting a lot of pressure, trying to work through higher inflation and the higher cost of oil, for how aggressive central banks will need to be to rein in inflation. the euro stoxx 600 to down .4%, technology stocks underpinning some gains in europe, but worries about inflation underpinning everything else. this is bloomberg. ♪ francine: welcome back to the open, everyone. we are 30 minutes into the european trading day and hear your top stories. eu leaders agreed to ban most russian oil, paving the way for sanctions on putin. brent jumped for the ninth straight day. china's economic contraction eases, signaling the worst of the lockdowns may be passed, mainland of stoxx climb. waller says he favors 50 basis point rate hikes until inflation comes down. let's take a look at sectors on the move. the pressure not only in technol

francine: welcome to the european market. i'm francine lacqua with tom mackenzie. tom: here are your top stories. jay powell gives has most hawkish speech yet, saying he is ready to raise rates past a neutral to save inflation. the unit of allianz will pay 5.8 billion dollars after misrepresenting the risk posed by a group of hedge funds who collapsed amid pandemic market turmoil. plus jamie dimon rebuked. a nonbinding vote rejects the jp morgan ceo's pump and station plan. -- compensation plan. francine: we focus on growth yet again and the focus on inflation and if i could wolf whistle, i would, but u.k. inflation at the highest in 40 years. tom: i would like to hear a wolf whistle. none of that within the context of the highest levels of 40 years. this is dating me, but also more importantly, points to the conundrum that the boe has with that cost-of-living crisis and what it means for real wages when you factor in what is happening with topline inflation. we had comments from jay powell saying that they will continue raising rates until he is convinced of sin s

francine: laura wright in london.says it's london trading desk was behind a flash crash in europe yesterday. we will bring you the details next. this is bloomberg. ♪ francine: welcome back to the open. we are 51 minutes into the european trading day. u.s. stocks fluctuating when it comes to futures. the ftse down .2%, the stoxx 600 holding onto gains. we have the bank of england on thursday. tom: yesterday was traumatic, not just because you are not here, but also the flash crash. at citigroup acknowledging that one of its trading desks was behind a flash crash in europe which sent shares tumbling. it caused equities in sweden to briefly plunge 8%, which prompted the main index to lose as much as 3%. joining us is our reporter in frankfurt, what happened, and what affected this have on markets? >> it's an amazing story. this seems to happen every other decade that we get these kind of wild market moves and shows you what thin liquidity is in markets right now. there was an order that was incorrect, or a round decimal,

francine: thank you so much. always interesting to see your thoughts, ever the optimist, coming up, boris johnson promises to supercharge britain by producing regional inequalities. has he done it? coming up next. this is bloomberg. ♪ francine: welcome back to the open. it's really all about, the european stoxx 600 down 2.3%. if you look what global stocks are doing, it is just about bear market, a loss of 20%. we don't understand with their is crypto moving stocks, or inflation, we knew it was there. we have some great stories including an exclusive from our u.k. team. u.k. economy unexpectedly contracted in march as the cost of living sought consumers cut back on spending. meanwhile, the boe it says they will have to raise rates further to control surging prices. he also warned a risk that the worst inflation crisis and decades will take longer to ease fully. tom: how's it going. we have a scorecard of this, we can work through it with our u.k. economy reporter. let's talk about the gdp numbers first, then your

francine: welcome to the european market open. i am francine lacqua in london with tom mackenzie. tom: taking aim at china. u.s. secretary of state antony blinken vows to influence beijing, saying its regime is the most serious challenge to the international order. text turnaround. alibaba and baidu jump after a beet on earnings, giving asian stocks a much-needed boost. plus, staging a comeback. signs of robust consumer spending give markets a risk on mood with u.s. stocks poised for their first week in the green in two months. francine: the futures are kind of on the fence right now when you look at the ftse 100. futures are pretty much flat. dax futures are gaining 0.2%. i am freshly back from davos. we spoke to chief executives, the ones that have to do with supply chains, they are extremely worried about the next 12 months and see things get better only when we work through these supply shortages. tom: great to have you back. when it comes to the picture, we have the economic data out of china, industrial production slumping to the lowest level since 2020. the premier and pres

tom and francine.: the irish nationalist party signifying is now the biggest group in northern ireland ireland's generally assembly. the result marks a significant shift in the region's balance of power. joining us now is our dublin bureau chief. talk to us about the significance for those who are not initiated into northern irish politics. >> as you say, it is the first time since the powershare was established, that we have had a nationalist party with the most seats in the assembly. that is a historic first. it's the first time they will get to nominate the first minister for the region. it does mark a big change for a country which was founded originally around a unionist majority. francine: what does this mean for some of the key issues including the northern ireland protocol? >> that is the key sticking point as it has been after brexit. the democratic unionist party who lost the top spot have said they will take part in the power sharing government unless the northern irish particle is scrapped.

francine: bitcoin over 30,000, all is well. also a big shout out to the cac 40 because they have a female p.m. for the first time in 20 years. the sectors are moving the most and we have travel and leisure moving the gains higher. i do not have one sector in individual stocks that are down, but one sector that is down is telecom, one that is not as exciting at the rest. tom: and vodafone comes at a miss when it comes to first-quarter earnings. this is on the back of concerns about its inflationary impacts going forward. caixabank, this is an announcement of a share buyback, gaining around 2% for this, and contour global, this is on the back of an all-cash offer for this renewable energy company based in the u.k. you are looking at a 36% premium on the back of yesterday's close. francine: let's check on some of the movers. we have done that with vodafone, caixabank. the other markets, getting our wonderful reporters to wrap up some of the main themes where watching today. we are getting the key market drivers with len edison. wh

francine: which ones?: the etf will be launched on the london, deutsche bourse and italiana, but it wil l expand in europe. tom: the clock is ticking around that deadline with the sec to convert the grayscale fund into an etf, do you think you will get to that deadline? michael: global viewers know what is happening. in the u.s., grayscale runs the bitcoin trust, they have been working proactively with the sec to convert into an etf. we continue to make progress with regulators. investors who have been in this audit have been advocating for this to convert to an etf. as i said, it is a matter of when, not if. francine: you confident it will happen? michael: it will happen and we would love to be able to bring assets like that to europe. francine: michael, you have to come back. michael: i will. francine: pinky promise, that's what we do on the bloomberg. that was grayscale's chief executive officer michael sonnenshein. tom: the european bank for reconstruction and development commits one billion euros in a

francine: we are seeing default slots. we are also seeing the gap between italian bonds and german bunds widen. are we going to start pricing in a recession on markets? >> i think markets definitely are concerned about this. the equity markets, they are behind the curve and pricing in for both a recession in the u.s. we are getting there and i think there is good reason to because it is hard for the fed to hike rates. at this point in the cycle, they are already seeing that in the system without triggering some sort of recessionary event. tom: you are an expert in all things crypto. what happens to btc? does the alignment of this risk off move that we have seen in terms of the correlation between bitcoin and the equity markets, does that continue to hold up or does it break at some point? eddie: crypto at the moment is a perfect storm. we are going to see crypto retreat on the back of a weaker nasdaq. it is still higher rates at the moment. at the same time, you are in a dead spot in the crypto cycle. there is no particula

let's head over to davos where francine is standing by, good morning, francine. no snow, no russians. i hope the coffee is good, and a stellar lineup. francine: good morning, tom. the stellar lineup is here in part, but the mood is very different i'm not talking about the weather, but you have a war three hours from here. so it is very different in the past where it was more a billions. -- ebullient. we are joined by alok sharma, the cop26 president, who has a lot on his hands talking about everything to do with climate change. thank you for joining us on bloomberg tv. there were concrete roles -- goals, phasing out of coal and methane, does the war in ukraine push the transition back significantly? alok: what we have seen even in the lead up where the clouds gathering in geopolitics, but we got a deal over the line, almost 200 countries. it demonstrated that countries have understood it is in their self-interest. the world has changed, we have got russia's brutal invasion of ukraine. i think what that has done, you talked about coal, i think what this war has do

francine how are you? francine: we won't sing the sound of music. but we will ask francine -- ask christine lagarde about the blog post. imagine the nightmares, you are the president of ecb and you have like six people giving interviews and the hawks are pushing to tackle inflation and the other ones have less of a voice. we will see what she says on that and the way forward. but i am delighted to talk about what chief executive think about inflation and central banks. richard, thank you as always. i love our davos catch up. this year, chief executives are worried after two and a half years of craziness they have had. >> i think the big news for the trust monitor is along with running a good business, societal issues like diversity and inclusion, sustainability, now they have geopolitics. geopolitics is rated just as highly by the public in terms of corporate responsibilities, and in fact, if you left ukraine, you got a 30-plus point -- excuse me, left russia. if you stayed, you got a 38 point drop in trust. the litmus test for business now includes

francine?bitcoin, we put in the currency swing but there are a lot of questions as to whether it has stored value or if it hedges against inflation, with u.s. futures also advancing. wall street having its best week since november of 2020. looking at the currencies, dollars slipping for a third day with havens definitely losing in this kind of market. a reminder that cash treasuries are not trading because of the u.s. memorial day holiday. looking at the yen, 127.38, with euro sterling at 85.15. now the other thing we need to watch out for of course is any currency linked to oil, oil climbing in response to the easing chinese lockdowns. china reports its fewest new covid cases in 14 months and looking to boost a faltering economy but they could also have fresh inflation. we will discuss that, next. this is bloomberg. ♪ if you wake up thinking about the market and want to make the right moves fast... get decision tech from fidelity. [ cellphone vibrates ] you'll get proactive alerts for market e

there with a guest is francine lacqua. francine: thank you. this is my dream guest. it is day four.ve not had a lot of sleep. we are going to spend the next few minutes focusing on coffee. the price of things. we will speak with the chairman of illycaffe these things that i want to touch up with you. climate change, agriculture, how is it doing business in general given all the uncertainty out there? andrea: the price of coffee runs twice as high. as a consequence of the drought in brazil which destroyed 10% of the plants. we are not sure about it. francine: are these --? andrea: yes, they are demilitarized. i don't see the conditions for pricing to go down in the next 10 months. they're constantly acting in any culture because in general they will decrease year-by-year from climate change. francine: there also shipping costs. are you able to pass on these higher copy races to the consumer? andrea: there is a concern. we have had a perfect storm. it is not only the coffee, it is packaging due to the general situation and there is energy as a consequence of the war. there are shippin

let's return to francine. francine: thanks so much.w is sander van 't noordende, the ceo of randstad. great conversation on the great resignation. is everyone resigning after two years of covid? >> i would rather call it the great rotation. it is people resigning but it is not like they are retiring. it is people looking for better opportunities that provide more of what they want. francine: is it better opportunities are just that people are fed up and want to change? >> there is some of that. with covid people stay put, now they are looking for new opportunities. it is also do i get what i'm looking for? our research shows people are looking effectively for three main things. that is purpose, belonging, and flexibility. purpose is are the values of the company that i work for a line with my personal values? the has risen to the top of the list over the last couple of years. francine: this is great pr speak but i read a survey saying 70% of people resigned because they don't like their boss. >> you are absolutely right. at the end of

francine: how?ie: the most important thing is american growth and, i call this martial fear of strategy, that we do everything we can. this doesn't violate climate change, it doesn't change any long-term objectives, but you do everything to get oil and gas into the hands of europeans so they don't freeze in the winter. i am not saying that is going to happen you have a couple problems out there, national energy, global energy is precarious. if the oil goes to 195, that is a huge problem for people. we should do everything we can today to pump more oil and gas question mark -- to pump more oil and gas. if you want transition, we should improve over the green stuff. the green stuff takes five to 10 years to approve in the united states. america needs to get its act together and they should have a war room, get everyone involved, say what we need to do. we need to get more gas to lg terminals. we cannot do that without a gas pipeline. we are not rationally thinking. we have misconceived notions. we are

francine, haslinda?ncine: yes, we are joined by andrew forrest, but we've kind of been going around, it is no snow, it is raining, you have a numberless. haslinda: it is a green davos. it is people but i miss the snow. -- beautiful, but i miss the snow. francine: one man who think that is davos because he is here to do business is andrew forrest of fortescue metals group. andrew: the hills are so much better without snow. francine: it is easier to get from a to b. you have a new prime minister in australia, is that exciting for the pivot to green? andrew: yes, i think our climate policy has been embarrassing. we have to give our children more. for a decade we haven't. i think the new government will pivot toward making australia a global climate challenge -- champion, which it should have been. haslinda: are you optimistic that anthony albanese will be more optimistic in his clinicals -- climate goals? andrew: now that they are in government decisively, i think they will be more ambitious. compared to th

francine: are you after m&a targets? rachid: we are definitely. francine: fashion houses.d: for sure. that is an appetite to look out for very special brands because we are focused on luxury. the essence of luxury is the power of the price. luxury is a special business, and it is very emotional and it has to do with a lot of emotional powers around it. we know that this is located in countries like italy and france where over many years they have been able to move. francine: do you have a dream brand? rachid: we do. that is why i cannot tell you. francine: so when you buy it, you want to see the big french conglomerates like lvmh? rachid: of course that is an example of creating a platform of companies and definitely created an amazing evolution in the luxury market. we are trying to have a group of companies. we are not going to do the same thing because we are depending on keeping companies with our own dna, so valentina, we want to keep it as an italian company, and we have done a great job with valentino, and it has been a great transformation. we are keeping that and

francine: and under pressure they get crazy?s: they have been pretty quiet, but are bottom line is, do not panic. they look at housing development. that is important for our clients. we stay in front of the client. that is what i am focused on. francine: you are not seeing any outflow, still fully invested? thomas: it is leveraging, as far as their assets, the management going down, prices going down, there is leveraging in asia. [indiscernible] have not gone down, but no outflows. francine: does it hurt your ability to collect in certain parts of the market for your wealthy clients or not so much? thomas: if you look at our revenue streams, inserts have come under pressure because we have lower lending volumes, but with interest rates going up, that should be a positive element going forward. returning revenues have come down because of lower um's and revenues have started to liquidity is sometimes good for actual revenues. but it has created -- 2022 will be at lower levels than last year. guy: then battled thomas got teen spea

francine: talk to me about the u.k.you have big operations, they are talking about a windfall tax, have you had conversations with the government about this? jose: when we think about our ability, we are not thinking about electricity. it is 25% of the whole energy demand. 70% of energy is fossil fuels, 25% electricity. part of this is produced with fossil fuels. we are far. the first thing is, please, [indiscernible] francine: is that the composition were having with the government in the u.k.? jose: i am not aware, but what i heard this morning is that nothing has been done in this respect. they are that he about different possibilities, but not already to make windfall tax of those companies which are not strongly, [indiscernible] because we are forced to buy a much more expensive price of energy we are selling. francine: what if there is a windfall tax, will it make you rethink your investments in the u.k.? jose: our imperative is to invest 10 billion pounds through 2025, if we keep this plan, but i think if the rul

francine: what is the solution for that?t investing because of the crisis in ukraine, the timeline is going to not match when we need possible extra supply. amin: since 2014, we are spending approximately $700 billion. we went down to almost $300 billion, we picked up a little bit close to $400 billion in terms of investment but that is not enough, especially with the increase in commodity prices. we actually need more in order to even maintain your current supply in the market. it will take years to build that new project. we announced increasing capacity by one million barrels in 2020 and it will come to the market in 2027. so it takes time to do engineering, it takes time to bring that capacity to the market. francine: it does that mean we could see volatility in prices from now until then? amin: you know, there is need as i say for more investment. short-term investment can happen. short oil can come to the market quicker, but it is short cycle. but you need both. you need also an investment in a long-term project with m

rishaad: ubs ralph hammers with francine lacqua.the hour, we saw interest-rate move by, the reserve bank of new zealand, we are also seeing a peak of rates at 4%. this is what it looks like and currency markets. there you go, we've got yen it now at 127 against the dollar. and the aussie, 70, maybe 71 to the u.s.. and euros lurch upward continues. now one of seven. lots more on the way. this is bloomberg. ♪ yvonne: u.s. futures looking good this morning, for tense 1%, dollar catching a bit of a bed this morning. yields are taking up just slightly higher in the u.s. as well. bank of america is boosting pay for tens of thousands of u.s. employees that are in less than hundred thousand dollars. adding reimbursements for a portion of ev purchases. ceo brian moynihan told bloomberg it is key to maintaining a healthy work worse. -- wealthy -- healthy workforce. >> it was probably near 20, came down to 15. we got it down to 12 before the pandemic goes on. it fell the six of the pandemic because we said everybody keep their job, nobody has

francine: how likely is it the eurozone goes into recession? christine: we don't have that as a baseline. you must've heard that sentence before. we have the adverse, you know, various alternatives there on the basis of apathetic goals such as boycott of oil, interruption of gas supply. that clearly would have a significant impact on the economy. for the moment we are not seeing a recession in the euro area. alix: i was ecb president you go. guy: weirdly they are pointing the camera at me, so let me pick up. it happens. these things can be confusing. christine lagarde earlier on in dabo's. -- davos. the recession is not the baseline. the pmi data are going to be watched to determine if it will become the baseline. it is increasingly looking at the baseline out of the u.k. my exhibit a is what we saw in the pmi data today. the pmi data on the services side actually holding up. the forecast was 57.4, so we are softening, but it is the news out of the u.k. which is maybe the indicator. u.k. services are absolutely cratering. they are heading in th

francine: how do you see inflation is developing.here are some of the unknowns because of the war. >> there are lots of forces and some of them counteracting against each other. you have the war, which in and of itself is a massive drama and has massive impact not just in ukraine and for russia but for the rest of the world. we have energy prices which have gone up significantly and represents a big chunk of inflation. we have food prices. there is a whole series of things that are weighing on growth down and pushing inflation up. francine: how likely is it that the eurozone goes into recession? >> we do not have that as a baseline. we also do scenarios. we have the negative, the adverse, various alternatives there on the basis of hypothetical such as boycott of oil, interruption of gas supplies, clearly a significant impact on the economy. for the moment we are not seeing a recession in the euro area. haidi: ecb president christine lagarde speaking with bloomberg at davos. our next guest says that growth fears are overdone. joining

francine: do you worry about a policy mistake from the ecb?have this recessionary environment and they don't raise rates, what happens to all of your italian or european clients? andrea: it is a tricky environment for the ecb but also the united states. on one hand, you have inflation, but it is generated by a specific statement of the economy. like energy. i'm not that sure that raising rates a lot will coal them down because it is very concentrated and it is linked to dislocation big -- between our friendly map. the rest of the economy agrees that it is slowing down and tilting towards a recession. raising rates creates an issue. so it is very tricky to manage, and yes, we are concerned about finding the right balance. getting to more neutral stances, toward zero, is probably ok. the moment you go up a lot from there, it depends on the rest of the economy. kriti: you can watch the full interview with francine lacqua on your bloomberg terminal. it is fascinating what we are talking about here. quickly, the narrative is gone from higher places

francine: indra nooyi is one of the world's leading business executives.eached the pinnacle of u.s. enterprise as ceo of american food and drinks giant pepsico for 12 years. indra: i had a loyal, loyal set of people that followed me, because they just thought they became better leaders, better executives, better people after they worked with me. francine: she has been named one of the most powerful people on the planet, and she brings a unique insight into the

. >> francine and david wheeler's six year old son and 25 others were killed by a gunman with an ar15style rifle. >> what do we have to do to make sure no other mother and father ever go through this? >> coming up on sunday morning, what they did. >> pauley: one word says it all -- elvis. luke burbank will catch up with a young actor facing a daunting challenge - portraying one of the most famous faces, and voices, of all time. ♪ we can't go on together ♪ >> austin butler is on the edge of superstardom, playing elvis presley in baz luhrmann's ne biopic -- ♪ suspicious minds ♪ >> there was just one problem for the young actor.ùhe was terrified >> honestly, i woke up every day for two years at 3:00 in the morning with my heart pounding, and i couldn't go back to sleep. ♪ it's now or never ♪ >> later on sunday morning, it's now or never for austin butler and a glitzy new take on the life of elvis presley. >> pauley: and much more besides. ben tracy takes us to a california town nearly wiped out by wildfires, now hoping to b reborn. lilia luciano looks back with activist and author angela

voice in any voice and simply a gallop, the most the hated man was not to procrastinate hitler the francinatorwell, this is a different world. uh, and, of course, uh, a different perception of the world. on may 8, moscow salutes the troops of konev, who are successfully advancing towards prague, where the uprising is in full swing zhukov tells stalin that he found a two-story building in karlshorst in the eastern part of berlin, the signing of the historic act of unconditional surrender of nazi germany takes place in the former canteen of a military engineering school, only around midnight from 8 to 9 may soviet and western versions of the text german surrender is finally agreed upon, type it by candlelight on a small portable typewriter, then zhukov invites the american general spas and the french general grandfather of the family to the hall of the british air chief marshal of the tender. the last one, unexpected for everyone, made a scandal when he did not see the french flag in the hall. he had to urgently sew white sheets from a blue robe and from a piece of the flag that ordered the thir

alix: that was the saudi aramco ceo speaking with francine lacqua.s well and good to talk about a balanced oil market but about an hour ago we got the oil inventory numbers in the u.s.. inventories didn't fall for gasoline as much as we had all feared and we were finally starting to s demand destruction because of the high prices. guy: absolutely, memorial day, monday, don't people start to drive a little bit more? alix: a lot. guy: it will be interesting to see if people are driving less because of the expense. alix: seems like it. not counting 2020, the four-week rolling average has fallen to its lowest seasonal level since 2013. basically on average people are driving a lot less. five dollars to fill up for a gallon? that's serious money for a lot of people. guy: yeah, that would be nice, we pay significant and more than that. alix: we work that out, you guys pay double, right? guy: not quite but there is a huge tax element in all of that so in theory you should be all more cushioned from the elevated levels but it is what's happening in the diese

. >> imf managing director speaking with francine. time for morning calls ahead of the asian trading day, blackrock saying it is cutting its recommendations to neutral. flagging concerns over slowing growth, and fed tightening, not to mention china fears. u.s., japanese, chinese talk -- stocks look less appealing. saying it is too early to turn bullish on u.s. stocks. he says the s&p 500 dropping lower than current levels. growth areas like consumer spending emerging at a lower level, stocks better reflect earnings challenges. >> coming up next, j.p. morgan investor day that the u.s. economy remains strong, potential obstacles to growth are not set in stone. we will talk more about this next. this is bloomberg. ♪ >> strong economy. storm clouds. i'm calling them strong because because they are storm calls, they made dissipate, if there was a hurricane because it was a tsunami like 07, 08, we can handle all that. >> that was j.p. morgan seo, at the banks investor day, that's bring -- coo at the banks investor day, he was optimistic abo

manus: great interview with francine and the jp morgan boss.ck snapshot of a repricing post the fed, you might have had euphoria, but we want to focus on the rates. you are looking at aussie rates now down 17 basis points, down by a third of a percent as the dollar remains the king. dani: an analyst says acting as expected turns out to be deb fischer. -- dovish. the three year ozzie had been at a 2013 high, now falling about 17 basis points. we will be speaking with the socgen ceo, that interview is up next. this is bloomberg. ♪ manus: it's "bloomberg daybreak: europe", i'm manus cranny in dubai alongside dani burger in london. dani: no to 75, the fed hikes 50 basis points. jay powell says a jumbo move is not on the cards. u.s. stocks pose their biggest post fed day gain in a decade. bank of england is up next. crude steadies after yesterday's gain on the eu banning russian oil. it is a reappraisal in this market. it's not dovish to hike 50 basis points, but a dovish move in this market. manus: absolutely, the biggest hike in rates since 2000.

francine lacqua spoke with him in a monk on exclusive interview a little earlier. -- and an exclusive a little earlier. >> spending the money, jobs are plentiful, wages are going up, though everything is distorted by inflation, but those are good news. in the fed is going to have to raise rates and reverse qa. if they can they are going to try to slow down the economy enough so that 8% starts to come down over time. i wish them the best. we are a little late, but remember two years ago we had 50% unemployment and no vaccine. i think people should take a deep breath, give them a chance. the sooner they move, the better. >> but what could go wrong? talk about a strong u.s. consumer, strong business. also talked about storm clouds. what are those? >> i hate the word unprecedented, but this is kind of fiscal and monetary-induced unbelievable growth, which was true around the world, though it is slowing down in europe. that is abnormal. we have never really had that before. have never had qt before. look at qe, that is one of their greatest experiment severed on. and we are going to have t

my portfolio managers -- guy: bloomberg's francine lacqua speaking with ken griffin. bloomberg. ♪ guy: we are wrapping up the thursday session for european stocks. one more day to go. it has been an incredibly bumpy week. today no exception. most european markets are down recently. the ftse 100 is underperforming. in dax down by 1.2. the cac aura down by 1.55 -- cac khairat -- the cac down by 1.55. we had a lot of work to do first thing this morning. we had been in a pretty tight range ever since. off the lows, but only just. a lot of people are trying to answer that question right now, where does the stock drop stop is one that we hear a lot right now. every single sector is in negative territory. the obvious outperformer's, health care and utilities doing well. energy is underperforming more than that. at the bottom of the market, the growth continuing to react. food and beverages down. insurance, financial services and retail sector. work field making a bid for home serve. it's around 1200. still a little bit of caution. the private equity story continues. some of

thank you to francine lacqua for bringing up that third rail.o get them to go deeper on that. i thought she'd had done a brilliant job. tom: i one stay out of that because we would like to work monday. this is really important, the gentlelady from the massachusetts institute of technology is with us, katie kaminski, research strategist at alpha simplex. she and i will drag ourselves back in years to what mattered the last time commodities really lifted. katie kaminski, you and i will not turn this into a nerd fast, but let's be honest, the reason the commodity game exists as jon ferro mentioned, copper is staggering a little bit here is commodities trend like nothing else. are commodities going to trend into 2023 where i can find alpha? katie: i would have to agree yes and let me give you a couple of pointers for this. tom: please. katie: inflation first of all is something that is very positive for commodity returns. investors have forgotten about commodities because they have not worked in a low-inflation environment. let's take oil as an exam

guy: unicredit's ceo sitting down with francine.can watch the entire interview on your bloomberg terminal. it is well worth a watch. let's take a look at where equities are right now. we are heading into the close in europe. we are near session lows right now. u.s. equities are rolling over as well. the nasdaq is down by 2.82%. energy stocks are having a fairly ok day. the ftse 100 is outperforming on that narrative. the dax down by 1.19%. luxury stocks, technology stocks being hit fairly hard today. details to follow. the closes coming up next. this is bloomberg. -- close is coming up next. this is bloomberg. ♪ guy: stocks are wrapping up the here in europe. i think the target effect has been represented on both sides of the atlantic. u.s. stocks are down right now and european stocks have rolled over in sympathy. we are seeing technology stocks underperform as well. the dax is down by 1.3%. we are fading into the close. the reason why we are getting an opera performance from the london market is energy stocks. despite what is happ

. -- francine lacqua that europe is at a turning point.hristine: we have all of the components in place for that. we are turning back to negative interest rates, moving very lightly into positive territory at the end of the third quarter. and of course, we will calibrate, we will establish exactly by how much we want to do that. >> when you talk about no longer like -- negative rates, could this mean positive rates? christine: well, you know, when you are out of negative, you can be at zero or slightly above zero. this is something that we will determine on the basis of our projections, on the basis of our guidance. i think that there are good reasons to believe that all three conditions would be satisfied in june and further on during the summer. >> where are we in the third quarter? can we be above zero in terms of interest rates? christine: what i am saying i will stick to. we will be out of negative interest rates most likely before the end of the third quarter. >> how does inflation develop from now? there are so many unknowns because

and that is thanks to former semen toward francine. some 50 years ago, he and a friend were watching surfers and australia. back in norway. they built their own surf board like the one on a beach boys album, covered armed with lots of patients staying power and styrofoam. they taught themselves how to serve. mm. oh. good. have you she of, but very soon be. he's lying out. we need a place to have a dish. it's me ladies. back then without wet suits, surfing here was only for the toughest of the time. you have been, imagine you owe to the water and you are. i won't go to maintenance and enough to go in order. you said was also easy. the young surfers an unstable, have it easier to day wearing modern wet suits. they can stay in the water and ride the waves for as long as they luck or at least for as long as their strength holds out. with a bound fit, a lot of water to high tide. but it was good fun to get out of this suit as the coldest bark getting out in the wind. oh, that's good enough. giddeons is a rule. nice clothes ah, arctic surfin

francine toss, a middle aged white woman who just gave me this psion for learning.as always filled with love and joy, and she introduced authors from marginalized groups, women authors and black authors. and i just fell in love with just the process of learning. and thy eighth grade math teacher was the first black male teacher i ever had. his name was mr. larry thomas, and he just gave me representation. geoff: how have you kept your students inspired? kurt: oh, just trying to make sure that their social emotional needs are being fulfilled. just email a talking to them. see them in the streets. i work in the samechool district where i graduated from, and so i live in the community. and so i see them in the grocery stores. i see them at the park. it's just trying to make that human connection with them. geoff: what more do teachers need in order to feel fully supported in the classroom? kurt: you know, that's a great question. i think we need just to feel respected. a lot of times we have policies that goes against the fundamentals of teaching. a lot of times you he

and that is thanks to a former seaman toward francine. some 50 years ago, he and a friend were watching surfers in australia, back in norway. they built their own surf board like the one on a beach boys album, covered armed with lots of patients staying power and styrofoam. they taught themselves how to serve a issue. but the issue very soon be his line of me and we need a place to have a dish. is we ladies back then without wet suits, surfing here was only for the toughest of the time. when imagine you go to the water, anita, i won't go to maintenance and ended up to go to you. there's no so easy. the young surfers and unstyled have it easier to day. wearing modern wet suits, they can stay in the water and ride the waves for as long as they live or at least for as long as their strength holds out. a bound to blow water to high tide blows. good, good night to get out of this suit. the coldest bark getting out in the wind off without giving us any ins as a rule. nice clothes ah, arctic surfing in the low foot then where riding the waves ta

each francine that has a lot of concern on. ready made the vocal authorities been a little bit complacent and maybe also as a social factor, the station that people have been cooped up for, for 2 years, a doctor. and so there's a little bit of a release going on and for taking out. so i go there and so i think the new french football season begins in about 2 months time. football authorities have a lot of work to do to try and figure out a solution to the fan violence problem. to help malik g 0 or sale of chelsea football club for more than $5000000000.00 has been completed. the london base club was put up for certain march that was just before the previous russian oligarchy, on which faction k government or an outbreak of ukraine war. the club has been bought fine, american consorts, and by sports i can get in. hamilton is an editor at sport business. he says completion of the chelsea, so will be a relief for the premier league. well, i think it's important to have chelsea in the premier league. there was a was a danger that t

. ♪ francine: keeping you up-to-date with news from around the world. i am ritika gupta.olicymakers expected to raise interest rates by a half percent. it would be the largest rent hike in more than two decades. the european reason -- to ban oil. russian fuel would be banned by the end. -- enforce the van until 2023. both were opposed to a quick cut off of russian oil. in ohio, a candidate backed by donald trump has won the primary for the u.s. senate seat. jd vance once -- the president was unfit but embracing him now. we were delivered an upbeat outlook for earnings. -- to capitalize on robust -- without compromising profits. rather than incentives to deal with a driver shortage. lyft still has a disappointing outlook. global news, 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in over 120 countries. i am ritika gupta. this is bloomberg. ♪ >> the idea that 3% would be enough, really unlikely. we are going to have to raise interest rates to four or 5% to bring inflation down to 2.5 or 3%. jonathan: the big one today.