francine lacqua in london. francine, i am fascinated by the fracturing of the british labour party. to tony blair? francine: these are seven mps that took issue with the way brexit was being talked about in labour party with the way that anti-semitic comments were dealt with by jeremy corbyn. yesterday when it happened, they talked about what happened in 1981 with a gang of four. insiders you speak to, they say you will have to wait a couple of months to see if this fractures the labour party. it will probably lead to more afections if it does have rupture, and many will see if it impacts policies, including brexit. tom: fascinating. right now our big issues to get a briefing. time is running out for british prime minister theresa may to get parliament to support her brexit plan. negotiators from the u.k. and european union are working on a new legal text for the most contentious part of the deal, the backstop plan for avoiding a hard border between the u.k. and ireland. heard visors believe she has until february 27 to get a better deal before lawmakers take a vote to take control

important, because we need to bring in francine lacqua climbing the wall of brexit. will that affect earnings? chris: trade concerns in interest rates are the two biggest factors over the next six months. if you get six months down the road, we will have a more benign trade environment than we do now. as you can see by the chinese statistics that came out, things are not great. they need more momentum as they are cutting rates, but they need a trade solution. francine: what about confidence? wasone from ubs earlier on looking at confidence boosted by politics. do testimonies like michael have an impact on the psyche of consumers? chris: i do not think they are nearly as important as what jerome powell will say or what will come out of the chinese trade talks. the piece of good news this week was the postponement of tariffs. that had a lot more good for the market than the michael cohen testimony was bad yesterday. tom: chris grisanti, thank you so much. this is going to be wonderful, a well-timed interview, keith hollis in the congressional budget office. they plug a

in for francine lacqua. we started the equity session trading water the were now moving to the downside. off by 0.2%. we had that big jobs number out of the u.s. on friday, the reason to pause for the fed. the 10 year yield mukai or by five basis points on friday. the dollar on his third day of gains, up 0.2%. the reason we're seeing weakness in emerging-market equities and fx so far in today's session. plus to discuss in the week ahead. rate decisions from the r.b.i. among others. we also speak to chris christie, the former governor of new jersey. that's 5:30 p.m. london time. we look forward to to the state of the union address from president trump as well, the we see anything on trade? plus bloomberg businessweek looks at the fbi investigation ato huawei's dealings with semiconductor company in chicago. let's get the first word news. the u.k. business secretary is urging theresa may to reletting no deal brexit according to the financial times. these comments coming as they said -- as nissan says they won'

francine lacqua in london and i'm tom keene in new york.unity of the united kingdom and their ability to focus on investment. talking about the bet on on theg and nigel wilson bet of future investment. state the case right now for you to put a certain millions of dollars over a five-year business plan into london, edinburgh, liverpool, first place in the premier league. why do you want to invest in the united kingdom right now? >> we will continue to invest in the united kingdom because the towns and cities outside london are booming. u.k., poised in the u.s., in in europe for future economic growth. there is a huge amount of money and massive infrastructure deficit. they consist are at an all-time high in britain. excess demand for housing. the backdrop, the huge political uncertainty, is positive and the danger is, because of a small and leaky border between northern ireland and southern island, tiny amounts of european trade go through, we risk finding europe into recession which is not a that people across the u.k. and europe want to ta

on the green at westminster, francine lacqua with the british parliament. ne, is it accurate to say the prime minister caved? yes, the prime minister caved on a couple of levels yesterday, which is why the market is now pricing in more of a chance of a soft brexit. what we find out in these votes on amendment today, i will not go into details because it is complicated, but it should give us an easier picture on what parliament once and what they could vote for. the endgame is trying to see whether the theresa may deal on the table gets voted through parliament. we will find out by march 29. tom: just one of the stories out there, just an extraordinary set of news like we saw yesterday. we need a briefing with our first word news in new york city. viviana: the pakistan prime ,inister address the pakistan saying he wants peace, this as one pilot is missing in action from india. this is happening over the disputed kashmir region. pakistani planes reportedly hit target in the indian controlled section of the region. all this happening a day after found aid they

good morning, live from new york, i'm tom keene with francine lacqua in london. mentioning prime minister may which was a faux p as. how was the trip? francine: they are not going gray. we heard from the german finance minister right here at bloomberg headquarters in london where he says the need is standing by ireland in this impasse -- the e.u. is standing by ireland in this impasse. to givenot want anything unless theresa may goes back on her red line, staying in the customs union. tom: we will do a data check. we data check the first word news. viviana: a bizarre turn this morning in the long-standing feud between the richest person in the world and president trump. jeff bezos accuses allies of the president of trying to extort him. the national enquirer publisher tried to blackmail him with embarrassing photos of bezos and a woman who is not his wife. pecker has an immunity agreement with prosecutors over the enquirer's efforts on behalf of the trump campaign. president trump and president xi may not reach a trade deal before a truce expires. mr. trump says h

francine lacqua in london, tom keene in new york.heresa may to speak in about two and a half hours and waiting to see whether she can get a majority. tom: you wonder if she will jumpstart the debate forward. i do not even know where we are out to. give me a date, a benchmark. francine: i do not have one. march 29 is the endgame. we think there is a vote around for board 24th. your shut in the u.s. has been afforded. -- averted. tom: at least for the next 20 minutes. francine: let's get to the bloomberg first word news. kailey: congressional negotiators have reached a tentative deal to avoid a government shutdown. giver security is said to the president far less money billion.emanded, $1.4 he sought as much as $5.7 billion. trump says the shutdown was important. >> if we did not do that shutdown, we would not have been able to show this country, these politicians, and the world, what the hell is happening with the border. that was very important. kailey: the trump administration says the u.s. president wants to meet with china's xi ji

francine lacqua in london. a check on your markets. just getting some breaking news out of china. this is the end of year foreign-exchange reserves and they are pretty much in line with analyst estimates, just a tiny above. looking at european stocks, they are on the upside. there's a little bit of optimism that there can be something done on trade this week and that would give a little bit more of a lift and you can see the u.s. 10 year yield at 2.65%. also coming up, we speak to catherine mann, the global chief economist at citigroup. we will talk to her about europe and the u.s.. let's get straight to the bloomberg first word news in york city. the present of china's top economic aid will be part of this week's trade talks in aging. he will meet with steve mnuchin and trader presented robert lighthizer. the u.s. and china are looking up a trade to avoid ramping of tariffs. present comes as the two sides are making progress but confirm his ready to impose heavier duties if necessary. talks to avoid a u.s. gove

anna: that was bill winters speaking exclusively to francine lacqua.own 1.2% in a falling london market. down a little less than that. the hotly awaited review of their strategy. don't forget, if you are bloomberg terminal user, you can interact with all the charts we use. we have shown a few during the program this morning. we will show more in the next part of the program. g tv is the function to use. next up, battle of the charts. this is bloomberg. ♪ anna: welcome back to the european open. 55 minutes into a negative trading day for the equity markets because of the strength of the pound coming up worst. time for battle of the charts. annmarie goes against dani burger. annmarie: given donald trump's tweet to telling opec to relax. oil volatility jumped the most in two months. the big question now is whether opec will listen to what president trump has to say and that will possibly mean lower prices. two officials say they learned from their mistakes. donald trump said to keep the tax open ahead of the iran sanctions and in the white house gran

that was the credit suisse ceo's speaking with francine lacqua. ben jones is still with us. banks, mentioning the valuation. francine also asked about the interest rate environment. what you think about the situation european banks are in from the perspective of interest rates? the ecb certainly does not look set to raise rates this year. >> no, absolutely not. the condition certainly are not there for the ecb to raise rates. it is slightly interesting, in --t, the ecb much, much weaker. inflation is rolling over and has to do with oil prices. but when you look at core inflation, that is preceded -- nonexistent at the moment. any kind of upward pressure on bund yields is absent. and then you have the ongoing political situation with brexit, with italy, with france as well, all lining up to keep it safe haven bond relatively well. probablyeurope are likely to stay low for some time. anna: and here is a topic i know is close to matt's thinking. i got a chart, member rate returns. it shows the worst performance over the past four quarters. bank,zbank and deutsche both at the bot

francine lacqua in london. looking at the euro stoxx 600, stocks down 0.3%. we had a couple of disappointing numbers from industries, but overall, the optimism when it came to the u.s. china trade yesterday fading off by today and we are looking to hanoi or president trump is meeting the president of north korea. per pound, we saw a nice list. 1.31. -- couldn't envision delaying brexit and jeremy corbyn said he could support a second referendum. coming up on "bloomberg surveillance," more on our conversation with the standard chartered chief executive. we talked m&a and strength in emerging markets. let's get to the first word news with viviana hurtado. >> kim jong-un arrived in hanoi for his second summit with president trump. the u.s. leader flies in later on air force one. on the hope to build previous meeting, but not even the white house is expecting a breakthrough big enough to convince pyongyang to surrender its nuclear weapons. besides haven't even agreed on the meaning of denuclearization. -- viceral re

francine lacqua counting new independent group members.from our world headquarters in new york and london. the prime minister just got into the car at 10 downing street. am i right, there will be fewer tories to greet her today? threene: we are expecting to say they are resigning. they will be in parliament and join this independent group. to make sure the prime minister does not take control of the there istion -- multiple angles to the story. we are only five weekends away from march 29. the end of brexit as we .now it viviana: vladimir putin is promising that russia's wills -- russians will see an increase in living standards and promised not to make the mistakes of past decades. one of his goals is to reverse the decline in population. donald trump may deliver on his campaign promise to address china's management of its currency with a reversal on almost a decade of policy. they are asking china to keep the currency stable as part of a new trade deal. that would shrink the trade imbalance. minutes of the last fed meeting should shed li

i have francine lacqua in london.hat publishes "daily express," "daily mirror," and hundreds of other newspapers as the brexit is responsible for a 200 million pound hit to their business. joining us now is seven fox, reach group chief executive. thank you for giving ""bloomberg surveillance" evidently time. he said that you are going through a huge transformation in media business, but you could also be impacted by brexit. is that the model of the future, or is it just day to date worrying about uncertainty from brexit? simon: it is both. the new super industry has been going through change since the 1960's, but despite that, our operating profit was above market expectations. so the way we look at it, we had a good year. cash flow was strong, dividends are up 6%. i think we are navigating this digital transition really well. but you are absolutely right. , exit creates short-term uncertainty. i think any of your guests come any businesses announcing results this time of year with brexit just one month away, is going

. >> now let's return to francine lacqua's interview with banko santander's chair.ank recently reversed its decision to hire the ubs executive as its new ceo, so that position remains empty. but she says this hasn't disturbed investors. >> investors are very relaxed. i think they are very happy with our performance. it's not just growth and predictability, but the three-year plan, we originated with organically generated, $25 billion in capital. we're about on target, 11.3. capital. we're about on target, 11.3. but very important, santander comes out as the best bank in europe. this is our model, which delivers growing results, predictable results through the cycle. our investors want us to continue on this line and continue generating all these advantages. >> what exactly happened? happened? what made you believe that there was a commitment to pay -- >> andrea is a great professional. we've known each other for years. the ford came after a very diligent process to the conclusion that the amount santander would have to assume for his buyout was something that was no

francine lacqua has the day off.ere is the ceo on the alphabet call. >> being able to deliver gaming with a kind of real-time definitelys, it is an important computing advance. we think it will help us drive the newer computing platforms we are working on. let's welcome bloomberg opinion tech columnist, alex webb. it is the margins are gaining attention here.is pressure likely to continue the rest of the year given what we heard on this last earnings call? alex: it absolutely looks like it will. google has been on an an channel growth phase. possible underlying weakness was covered up by things like cloud. now, we see the cloud business weakening a little bit. facebook has said their margins are getting weaker for different reasons.they are investing in more concept moderation. it is probably good opportunity for google to double down and invest in strengthening its profit while some of their competitors are also getting weakness. tom: we have seen this before. i feel terrible for google. people -- free cash flow has

i am francine lacqua here in london.nga, the markets are well, a conciliatory tone it when it comes to donald trump and his regards to china giving markets. the the pond is also at 1.29, we are trying to track the latest on the brexit debates, whether we will see concessions or delay from the e.u., and whether theresa may actually has the arithmetic to go to parliament. we are getting breaking news that global oil demand growth remains unchanged from the iea. coming up, we speak to the bank of england the governor. we will also talk about negative rates and the impact of some of these nordic economies. let's get to the bloomberg first word news in a new york city with kailey leinz. kaylee: hi, francine. president trump is playing down the threat of another government shutdown. he will use executive power to fund border measures. jay powell says there is a low risk of recession in the u.s. the fed chairman says of the economy is strong, but then the benefits have an up felt evenly across america. alan greenspan is warning

i am francine lacqua in london.e china trade, you mentioned futures up in the u.s. on the hope we might get a deal or possibly postponed after a handshake. taylor: very interesting as you said. a lot can happen. we have had conflicting views. headwinds coming out of the shutdown which looked to be resolved and trade getting a little bit of a resolution, but you know francine. it is one step forward, one step back. but wait for real headlines to come out. futures turning positive. francine: we have a brexit update. ceresa may has a plan b, plan . we will get back to the markets in a second that let's get to the first world news. saying, as you were sanchez calling for a snap election for april 28. he announced the vote. the bill failed due to lack of support from -- separatist parties. this will be spain's third election and four years. a few signs of progress in the u.s./china trade sought -- talks. steve mnuchin calling the talks productive, still time is running out to reach an agreement that would avert tariffs o

coming up, francine lacqua will be speaking with the chairman of ac milan, which i believe is a soccerany moving day. this is moving day with the best in-home wifi experience and millions of wifi hotspots to help you stay connected. and this is moving day with reliable service appointments in a two-hour window so you're up and running in no time. show me decorating shows. this is staying connected with xfinity to make moving... simple. easy. awesome. stay connected while you move with the best wifi experience and two-hour appointment windows. click, call or visit a store today. francine: meeting soon, the white house says trump will get together with xi jinping two in the trade war. global stocks rise. capitol hill reaches a tentative deal on border security that would keep the government open. forecast in its first earning since these scandal. we are live. if you're watching from asia, looking to bloomberg surveillance. these are your markets.

i am francine lacqua here in

francine lacqua is joined by the ceo. very good day. good morning. am delighted to be joined by bill winters. what you put at out to investors, $700 million of cost cuts by 2021, where is the bulk of it coming from? bill: the cost cuts are part of a broader plan. we are focusing on getting our returns above 10% by 2021, which we are well on the way to doing. it is now a superstrong bank. i cannot tell you how excited i am to be there. we are through the really hard restructuring we needed to do to get the bank clean. we need to take the next steps to complete our journey. you mentioned would be one part of that. this is $700 million over three years. basically allowing us to fund the substantial investment program that we have had for the past three years and will continue to have. francine: how do you actually look at it? now we can grow? i woulde hard part -- not say the hard part is gone. the next part will be hard as well, but a different kind of hard. streamlined organization, get it positioned for real growth. we talk about $3.2 billion over th

this is bloomberg "surveillance," live from our world headquarters in new york, i am tom keene, francine lacquateresting. francine: he said brexit was a mistake and he has fatigue. it is just not helpful. whatever they think, they are there to negotiate, and it gives fire to a lot of people who voted for brexit. i do not know what they are thinking. the other thing we heard from the chancellor, the chancellor is saying the commons could vote on the deal next week. tom: no deal in the air with fitch looking at a negative rating. with our first word news in new york city. viviana: there is growing evidence theresa may could be closing in on a brexit deal. two ministers will be in brussels today. that follows a meeting between may and jean claude juncker that was described as constructive. a u.s. coast guard officer has been accused in a terror plot. he stockpiled weapons in a accusedon suburb and is of plotting to kill nancy pelosi and a handful of democratic senators. list.smakers were on the seeral reserve policymakers 2019 marking the end of their balance sheet runoff but they have not rolled

tom: we are going to medicate kevin cirilli by going to francine lacqua who does not give a whatever 's try and regain our international audience. tom: let's regain our american audience. francine: how fired up her about politics in washington? kevin: there he. just -- very. president trump is going to deliver his state of the union address and he is going to have to make the case about the wall, ,bout the government shutdown national foreign policy, the situation in venezuela, and trade wars. we are going to be hearing a lot tuesday night and a lot from democrats in terms of how this gets recalibrated. tom: i want to go to an op-ed in the washington post and this goes to the class warfare we are setting up for the primary season. on a friday, it works. was not the first candidate to propose a wel alth tax. right-wing wing pundits bemoan the appeal to class warfare. that candidate? donald trump. you could reconfigure the income tax to great something that operates like the wealth tax. does the wealth tax have traction in the democratic party? kevin: it does. whether it is bernie sande

. ♪ nejra: welcome, i am in for francine lacqua in london.he stoxx 600 gain, largely lifted by oil and gas after those earnings from bp. . the stoxx 600 overall coming in a little soft, off by almost .2%. speaking of a turnaround take a look at the aussie. this as the rba governor takes a neutral stance say downside risks have increased. jumping aftern or the fourth measure was announced to the increasing concerns about tightness in the market. lots of dynamics, but coming up, we have a special interview. a ceo joins us for an exclusive interview. let's get the first word news in new york. >> the u.k. governments could be planning to the late brexit, that is according to the telegraph, reporting cabinet ministers to secretly discussed plans. killing -- moving 32 billion euros of assets the germany. the goal is to keep operations going amiss uncertainty. kaplan says he is waiting for clarity on the u.s. economic outlook before supporting further rate moves, but he suggests the picture might start clear up. kaplan will next be a voting member i