joining us from goldman sachs, along with sonali basak. kriti: we have some breaking news. biden looking to give remarks about ukraine and russia at 2:00 p.m. eastern, so we will wait to hear the update when it comes to the geopolitics. speaking of geopolitics, let's combine that with travel. what is the impact the crisis in ukraine having on the hotel in dustry? we will talk with mark coppola's mania and -- mark coppola manzi and -- john: this is bloomberg markets. coming up on uber: balance, an exclusive interview with amtrak ceo stephen gardner. that's at 12:00 p.m. in new york, 5:00 p.m. in london. this is bloomberg. ♪ kriti: the travel industry is rebounding from the coronavirus pandemic. now it faces a new crisis, the one in ukraine. joining us now is the president and ceo of one of the largest hospitality companies, mark hoplazanian of hyatt hotels. talk to us about how geopolitical tensions in russia and ukraine are affecting your business. what are you looking for and how are you thinking about it? mark: kriti, thank you for having me today. first and foremost, we

what can goldman sachs do to help?s they need in particular is they are asking for the covid idle program to be renewed. you will recall that expired at the end of last year which provided low interest loans to business owners up to $2 million. access to capital continues to be a strong concern for our small business community and they are calling for the renewal extension of the covid idle program. jon: i would imagine some of the frustration that some small business owners feel toward government really depends on what part of the economy your business represents. certainly on this program we have spoken to a range of business owners but the obvious one would be the restaurants and the challenges they have had. are you getting that sense as you have spoken to small businesses across the country? asahi: you are right. food and retail have felt the concerns more acutely but in terms of labor here is what our 10,000 small voices data shows. 97% of small businesses that are hiring saying the labor shortage is adversely im

>> the goldman sachs brand was built over 150 years. w upset clients won't shake the foundation. however, it is a client business and you want all your clients to be happy. goldman over the years has built a reputation of building one of the most powerful alumni networks in the corporate world. vies that the case question mark executives who leave for a lucrative second career, they come back for a lifetime of shared riches. now some of these departures are calling into question the motive. matt: on the other hand, it's got to be the top spot, right? goldman sachs is the big prize for most people looking to work on wall street. >> there will be no empty seats. it's not an issue of worrying that they could find replacements, but this firm famously coined long-term greedy 50, 60 years ago. you have to question, are some of these moves maintaining that teeth oh so long-term greedy? matt: i'm sure that this is something that is always wrote -- always growing. thank you so much. coming up, commodities on the volatility space continuing. we ge

you have goldman sachs. we're out of everything. what is your prediction for inflation going forward? >> the inflation gauge i'm watching very closely is long-term inflation. what's happening to five-year -- 10-year inflation expectation. that to me is a big point. very much debate about the terminal rate. very much debate whether the post covid world will look similar to precovid. to me, the real key indicator whether we can break out into higher inflation of the steeper yield curve is cap. i talked about the need to invest. investments in technology. that is something that can push the terminal rate higher. that is something that can push long-term inflation higher and a steeper yield curve. that is something i'm looking for. the temporary supply chain and we need to normalize some -- tom: part of the complexity is the makeup inflation is different here in europe than the inflation we see in the u.s. or u.k. in terms of what we heard the from the e.c.b. and christine lagarde, the idea that she is softening, what should the markets

goldman sachs also lower. dow jones stories as the sec sent subpoenas to morgan stanley and goldman sachs, as well as several hedge funds asking for trading records and information about the investors communications with bankers. this is according to people familiar with the situation. caroline: the key issue is, have they, what they, have improperly tipped the hedge fund clients off in advance of these larger sale -- larger share sales? all of this is currently being reported by the wall street journal. taylor: not lost on us that today, we have talked about are triple take, as we -- as it relates to hedge funds, and who has been focused on tag, who has been getting more defensive within the energy. you rightfully point out that was fourth-quarter. through the middle of february, it is always notable to see who is buying what. romaine: you can see on the screen here, i think it is interesting the individual names. using technology at the bottom. i thought in terms of market value chains for hedge funds, you s

is going to make a lot of these people think twice before wanting to consider a career outside goldman sachsobviously why goldman will win to keep their high-level people inside the house, but there is in some ways historically a benefit of going to a client and being able to return business back to government sacs. is this risk backfiring in that it may disrupt those religion ships? -- those relationships? sridhar: that has been raised by a number of people because when these people leave go when sacs and become a part of the alumni network, they turned to goldman for a dice -- for advice. now these exits put a spotlight on whether that will affect goldman sachs. maybe the calculation being made here is the message to the staff is way more important than if you missed deals and a few annoyed clients here or there. dani: how much does this differ from other wall street banks and their ability to convince employees to stay within the firm? sridhar: goldman sachs is the absolute incredible brand when it comes to wall street. you think of a banking powerhouse, the first thing that comes to mind

tom: let's get more analysis with peter oppenheimer from goldman sachs.hank you for your patience. when it comes to the question. i want to look back to some comments he made before the break around how we hedge these political risks. we were speaking to ubs a couple days ago and they said, one way to hedge is with in equities, around banks and energy. you align with that? peter: yes we do. we have been for some time. it remains very cheap for us. it is a very different situation were after the financial crisis -- they were facing unique headwinds. risk capital lower interest margins. commodity sectors facing falling commodity prices. another fundamentals of change. there is an issue of rising inflation expectations and interest rates. i do agree they are a good place to be in the market. they remained relatively cheap. energy stocks are around 40% discount to the market. they are generating more than double. we are not holy focus on value. there are some growth areas that are started to look quite attractive as well. francine: how much ukraine risk is pr

.™ >>> what the heck is wrong the stock of my alma mater goldman sachs?as any operational metric you care to name they were the best performing bank last year yet its stock lags well behind its peer group with all the smart people there, it is still incredibly difficult to get a job at goldman. why isn't i more highly valued and what are they doing about it i am trying to get answers first, thank you for letting me into goldman sachs most appreciative. >> great to have you here. >> let's get right to it return on equity this was the best year ever. and yet your stock is among the lowest when it comes to price to earnings ratios in the s&p what i am a missing? >> we've been focused over the last couple years on laying out a strategy that we think will allow the firm to serve its clients exceptionally well in 2021, a combination environment and the execution of our strategy came together and we really delivered. >> we've got an ftc. the person who is in charge of anti-trust uniquely focused on we ned more competition which mean fewer mergers how are you adv

francine: sharon bell, goldman sachs.sident biden promises a swift response ever russia invades ukraine. crude rallies towards $100 a barrel. this is bloomberg. ♪g. ♪ francine: welcome back to the open. 24 minutes into the trading day. big markets day amid the tensions we are seeing in ukraine. stocks are sliding. commodities are surging. treasury yields going higher. the dollar steady. haven bids including the swiss franc taking a bid. we will have plenty more on what this means. russia is a major producer of metals including aluminum and nickel. we could see a huge swing if something ugly happens. let's get straight to the bloomberg business flash. here is laura wright. laura: clariant shares have plunged after it delayed publishing its results and started an investigation after internal whistleblowers say it may have incorrectly booked provisions. the company says it may need to restate results for 2020 and the first half of this year. bp, shell and other oil majors generating their highest free cash flow since the sta

. >>> on the equity side, goldman sachs lowered the forecast for the stock returns.aggressive monetary tightening peter oppenheimer of goldman sachs joins us now peter, i was going to ask you what impact you thought the ukraine crisis would play out this morning any big surprises for you? >> not really in the sense that it is a great uncertainty of what would happen next and the impact of that would be. and clearly it's an uncertainty. it could impact europe in lots of ways. we don't know how long this volatility will continue if we look at some of the recent episodes, if we look at annexation of crimea, it brings the risk up by 20 basis points which had us at 5% impact on the market this would be bigger the moves we are seeing, adjustment between 20 and 40 basis points, that could reduce the market by a little more than 5% it seems quite reasonable. on the other hand, we could see higher energy prices energy has a high weight in the index. that would offset the earnings a bit. >> it is tough i have seen a few analysis pieces out, peter, of people making the same ana

goldman sachs remains in the top spot as a financial advisor on deals.e speak with the firm's head of global acquisition finance. this is bloomberg. ♪ matt: this is bloomberg markets. investment banks are waiting more than $100 billion in massive debt packages to help in the battle of global acquisitions. goldman sachs is at the top in market share over the past 12 months in m&a and going back much further beyond that. joining us now is the global head of global -- head of acquisition finance at goldman sachs. she joins us with our star m&a reporter. let us first ask you about the boom that we saw last year and the first month of this year as well. are you readying if building blocks for that to continue? >> absolutely. great to be here. great to see you in person, hopefully will be out in person in may. a great year, the m&a market was a horrible try -- was a $4.7 billion market. we did $4.1 trillion last year. importantly, we saw sponsors continue to take gain market shares. in the m&a market, therefore point $7 trillion -- that $4.7 trillion was highe

christian mueller-glissmann of goldman sachs.om: what it comes back to his ratio analysis, whether it is europe or whether it is here, and that is simply compare and contrast. i'm going to make clear, the 10 year real yield in the u.s., which i am going to call the benchmark of all of these dynamics, has really not given up the surge we have seen in the last 10 days. it has held there, waiting for more news. jonathan: we've got this real yield story and this credit risk story versus what is happening in equities. in that second piece at the moment is something worth staying laser focused on as we work our way through this price action. lisa: in the united states, you have not seen a tantrum. what we saw seemed more tantrum like to a lot of people watching, particularly that index, which tracks the crossover between high-yield investment grade reddit, and the implied risk premium, the spreads widening dramatically. tom: she is salman rushdie again. lisa: no, basically people are getting concerned about defaults. that is the implic

let's talk to jeff currie of goldman sachs.s for coming on let's talk about energy and perhaps the idea that there is some disruption in russian oil and/or gas exports or countries start to hoard oil or gas or a supply disruption. what is your view? >> i think it goes back to the point you emphasized is the markets are incredibly tight right now. it doesn't take much of the disruption to create ripple effects across the markets we like to say it is the persist transitory shock we didn't see any significant disruption in oil or gas or energy flows i like to point this out the only time you have ever seen significant disruption in the flow of energy with russia and western europe was 1941 when germany invaded russia it doesn't happen. it is a mutually assured destruction. that doesn't fuel out the disruption unintended consequence. that is what the market is pricing in it could be ukraine and russia and it could be weather in brazil all of the markets are exposed to any type of disruption. >> yeah. so how much, jeff, then, if any

we will speak to jeff currie of goldman sachs.s is bloomberg. ♪ francine: welcome back to the open. we are 30 minutes into the european trading day. here are your top stories. ukrainian and russia officials prepared to meet at the belarusian border hours after president putin put nuclear forces on higher alerts. the russian central bank more than doubled its interest rate. oil surges. western nations target swift and bank of russia assets with sanctions. the ruble plunges. thus, a surge in energy companies as they look to divest from russian companies. this is the picture for the overall indexes. a lot of the price action that we have seen overnight certainly in some of the asian markets now stabilizing. european stocks down 1.2%. the brunt coming from the cac 40. the dax a close second, down 2%. this is not what we are seeing overall. if you are expected to see the price of commodities go up, utilities are gaining some 0.8%, but overall equities sliding. commodities including oil are surging. it is all about what happens next, if

the ex goldman sachs banker is on pause.t is going on now? >> the child is going -- the trial is going to be on pause as soon as the former anchor finishes and the defense is going to get a chance to review the thousands of pages of documents because they were belatedly turned over by a separate government team should the defense said it was inexcusable and they may ask for the charges to be dismissed if they decide they have been hindered in such a way. shery: what are the ramifications here and what is not? -- what is next? >> next step could be the defense would ask for a trial and they would dismiss this current jury hearing the case for five days and they would possibly start over again but the defense is also considering a more brutal punishment for the government to dismiss the indictment. haidi: how does this procedural oversight happen? >> this is a case that spans the globe. abba dobbie, malaysia, singapore and the united states. he had a wide swath of criminal activity. the government has collected millions of pag

i was with david solomon this morning, the ceo of goldman sachs. i don't get the sense that the tone of sanctions is anything to deter putin. it seems more of a sense of, look, this could be more to come right now it sounds like 1997. remember 1997 when they shut down two banks the market would crash and the russians would be at their knees. we're not at that market anymore. >> no. 1997, right, russia did crash. >> right that's the difference. now you have a well-off russia geared by a tremendous oil well. >> yes. >> and it's better and financially you can even target individuals and banks. it won't matter that much. >> that is what experts do say i'm not an expert on this. >> that's my point. >> they might bite as hard it doesn't mean they won't have an impact. >> no. i think when you start you go back to what carl said the idea it could be a regional conflict that's been missing the whole time i mean, the idea, you know, look, we had absolutely tremendous interview by brian solomon with governor perry. secretary perry. perry. >>p-e-r-r-y. >> yep.

as i say, goldman sachs say it is a risk of outright conflict punitive sanctions, we will hear from the today what we might get. that could take stocks lower. the currency, goldman say you could see a 10% decline in the russian currency that could push oil up 13%. credit swaps flying at the highest level since 2016, pushing yield on bonds. my guest this morning with an interesting line on ukrainian assets, he is a buying 20/40 bonds on ukrainian assets. he says it is about the restriction that could come to bear on the currency in russia. -- on the currency. russia declining again. hsbc plan to initiate a share buyback of a billion and says business momentum picking up as economies recover from the pandemic. earlier, the cfo joined me and said the bank is facing wage pressures. here's what he had to say including the interest rate environment outlook. ewen: our exposure to china real estate is about 20 billion, about half of that on the offshore book. we take an incremental provisions today. i think this follows policy tightening that happened at the back end of last year, which has for

goldman sach's is predicting will see another increase of five -- 6% this year.d prices we saw the core inflation number year-over-year at 7.5%. how does this impact the consumer? >> you have not seen anything yet. was going to happen is the price it at you see at the gas pump, the price you see in the supermarkets right now, that is based on 80-dollar oil that was for five days ago. right now we are paying russia and opec $92 a barrel. guess what, you are going to see a whole new round of price increases in february and march. to reflect the $92 oil. and if oil goes to $100 you're going to see it again. goldman sach's is wrong it's not going to be 7% for the year of a 7% over the next 90 days. jackie: the inflation problem has been issued for so many americans costing them in their budgets, wages are going up just a little bit, jon but not enough to make up for the inflation that we are seeing paid final point, final question i want to leave it here with you. how much longer do you think this is going to go on before this administration realizes that it's a poli

among big banks jpmorgan chase was the latest to boost target for rate hikes this year joining goldman sachs and bank of america. seven one quarter of 1% from the previous five. that would be under 2% banks says a number of factors play into the decision including the latest consumer price index and inflation data and hawkish data from the officials in the united states and around the world joining us now on this and more is former goldman sachs asset manager chair jim o'neill. jim, always a pleasure to get your views this is a critical time. we have three things the russia situation and central bank situation and china situation. let's first start with the former that is russia however this plays out, at this point, it is hard to know he what to believe. what should investors be doing given all the uncertainty of what ultimately may occur? a are>> you know, on this one, brian, everything is very tomorrow re complicated. i remember chatting with you a couple weeks ago and the year is playing out exactly how i thought. there were so many complex and highly unpredictable issues that we even kn

funny. >> he has been known to turn the tables interesting side hustle for the ceo of goldman sachs thankht ahead, the fate of the crooked crypto couple arrested on conspireing to launder billions of stolen bitcoin. >>> if you miss "worldwide exchange" check us out on your favorite podcasts apps we'll be right back. what if you could have the perspective to see more? at morgan stanley, a global collective of thought leaders offers investors a broader view. ♪♪ we see companies protecting the bottom line by putting people first. we see a bright future, still hungry for the ingenuity of those ready for the next challenge. today, we are translating decades of experience into strategies for the road ahead. we are morgan stanley. >>> call it a tuesday turn around stock futures surging as wall street looks to snap a three-session losing streak. this hour, chancellor scholz is having a face-to-face with vladimir putin >>> and flexing its pricing power after seeing big gains it is february 15th, 2022. you are watching "worldwide exchange" on cnbc. >>> welcome back i'm courtney reagan in for brian

goldman sachs. what makes them attractive >> goldman sachs makes a boat load of money.hat sets the stage for a better year. buying under ten times earnings with the reasonable yield. we like the financials this year goldman sachs is one of the better ones for us >> printing a boat load of money. i'm sure people in d.c. will be happy to hear that one medtronic is not a name we talk about a lot. we used to talk about them all the time they kind of vanished off the radar, david maybe that is why you like it. >> it is they are still one of the top cardiovascular companies in the world. the stock is weak. they will have a light quarter because hospitalizations are up or were up with omicron. we think as a result, they wilt h will have a lighter quarter. hospitalizations are dropping and elective surgeries will get back in place. this is a very good growth company and value prices and it is down because of covid and covid wanes this year, their stock will come back with a conv vengeance. >> you have tmo. this is a covid play i saw freezers that kept the vaccines at negative 7

happy tuesday, brian goldman sachs is boosting outlook for a ramp up in opec crude production ahead of the meeting. in the note led by jeff curry, opec may announce a big output in rise. still, goldman sachs maintains bullish view for crude in 2022 saying the rapid decline in covid and earnings from u.s. producers reinforce conviction in the need for sharply higher prices india is rolling out plans to tax profits from crypto. in a speech earlier today, the country's finance minister said income will be taxed at 30%. the move comes as india's central bank is preparing to roll out digital currency this april. >>> a damning new report from rio tinto with bullying and racism 21 attempts of rape or assault over the past five years the company launched the review last year. more than a quarter of the work force shared views in the study. rio tinto will review all recommendations in the report to combat systemic issues very serious complaints, brian >> one of the world's biggest mining companies has a lot of work to do based on that that is a terrifying report. silvana, thank you >> you bet.

goldman sachs, a guy named goldman and a guy named sachs going door to door 50 years ago.se banks and business people are seeing social justice through an economic lens. a citigroup report recently showed that discrimination against blacks alone cost the economy to $16 trillion. that's trillion with a t. $1 trillion a year -- i had to shake myself. $1 trillion a year in additional gdp -- that's not social services, that's not charity, that's significant. there is 1.3% of gdp locked at the bottom pyramid. this pandemic has unleashed entrepreneurial zeal. people want to be free. this is a new type of freedom, freedom and self-determination. taylor: we appreciate your comments and that insight. john hope bryant, founder and ceo about the ration hope -- of operation hope. we will be back with our final take. this is bloomberg. ♪ ♪ romaine: we were talking the jobs report, hourly wages went up 5.7%. if you are brian moynihan, your compensation win up over 30%. the chief executive officer bank of america, $1.5 million in base salary and the rest in stocks. taylor: and everything

look, goldman sachs seeing the riskier of oil hitting 100 35 dollars on her bond and russia sanctionsi want to put the board and get to it important chart as we think about commodities, think about the agriculture spike in prices. meet sort --wheat soared and adds to inflation anxiety broadly. this index captures the big moves we've been seeing some of the sock commodities. another highlight here on the gold side, this is basically gold at the highest level in 17 months. goldman sachs see is a further spike to an all-time high of $2330 an ounce if etf's that 5 billion surge come in with 600 times because of concerns over u.s. growth, so rotation on the risky assets, that is still in his early stages and goals could be uniquely positioned to absorb some of these those. i want to get is a breaking news here. just crossing the bloomberg, basically you've got ukraine saying that russian rockets have been fired at kith. the ukrainian capital of kyiv. laches moments ago, you understand that russian forces have been outside of the kyiv area and out of here is that they have made another move

goldman sachs says they're so high opec may have to come to the rescue. oil $88 a barrel. cartel controls the price. they will be holding a virtual meeting to decide what action to take to curb the increasing prices. matt egan has more. matt, laser focused on lowering gas prices for americans. the fact is they're at the mercy of a powerful international cartel that's meeting. >> prices are painfully high at the pump. opec really is the game in town with the fire power to quickly fix that and oil companies have a chart showing that they crashed. completely recovered, a more recent dip driven in part by omicron. there is a bit of suspension between opec and its allies. three options, one, do nothing. they could keep production steady. that feels up likely but opec has surprised us. two, they could stick to the game plan s. i. increasing production. they could actually ramp up production. that's what the white house has tried and failed repeatedly to get opec to do. the good news is goldman sachs put out a report saying, yeah, we do think there's a growing chance that opec pl

i know you saw the goldman sachs note and it's a portland that suddenly the boom economy map is gone. jonathan: 3.2% on the gdp consensus and you wonder how many people start to follow. lisa: they might downshift their gdp estimates but latent estimates tell where they are. the estimates are all over the place for what the actual path the fed members take. jonathan: have you kept up the fed speak? lisa: i have watched it all. it's interesting because there is a paradox underlying what they are talking about. they want to slow the economy and not torpedo it, how to they do it? this is an uncomfortable place to be which is the reason the turbulence we saw in january, good riddance but there will be more of the same. jonathan: morgan stanley says the safety net is gone stop i think a lot of people agree with that. tom: i think there will be a fed adjustment but i don't know what it will be. you wonder if it comes down to three or four rate hikes. jonathan: five hikes seems to be the consensus. the s&p 500 is slightly negative. on the nasdaq, down 8.5% but could have been worse for last m

but a new report from goldman sachs as a grocery prices. we're going to go up by as much as 6% in the months ahead. crawford's taylor sackey spoke with an agricultural economist about what's going on. >> well, this may be a smaller grocery store receipt, but even after every trip often feel a bit of that sticker shock. and after speaking with shoppers, many of you feel it too. oh, yeah. sometimes i do a double take like almost $10 for a loaf of bread or you know, definitely increased a summer. 25 maybe 30% depending what one's buying. >> shoppers in mill valley surprised by the price of their groceries over the last year and not surprised after learning the costs are expected to continue the basics. eggs have increased milks. definitely gone up. >> the other discretionary items like like sweets because of increased beef for sure. it's been astounding would be fence down because of the prices mcafee is turning a into a cost savings plan today when shopping for vegetable starts going to do it. official garden this year i think this as much en

the internet is 9 darvin, a, goldman sachs young. these are a few more community of interests of yours in the men optimize. awesome, awesome. so that has to be of been funerals and standard on to me. man. meet the man that one off the mark. eureka shaped out frequency. time is of the essence as a communicate 1st, we've an image to give all the love in steps this he comp now bargain, victor, him millisecond buffet and does his fear on the should we figure shapes more bailiff on gaming is himself announced this last than countries of it, for this reason, the vienna stock exchange is most important server over which deals are made, isn't located in vienna at all. it is in frankfort in the race to buy or sell. it's important to be as close as possible to the main service of the main stock exchange. proximity is time and time is money. in the 1990 s u. s. trading is divided between the new york stock exchange on wall street with its traditional trading floor. and it's traditional companies such as ibm and general motors and the electronic

goldman sachs came out and said seven rate hikes for this year. the destination is the same, which is getting there quicker. i wonder how long before they capitulate on that. the ultimate estimation needs to be higher as well. tom: we will have to see on that and we will do the politics. this goes off what rebecca patterson said in the last two days, 5% is being very cautious year and target. i want to know to-10 spread, 40.08 for global wall street that is the key number this morning. for emily wilkins, the key number of votes, joins us now. i love what was said this morning, flat out the gentleman from west virginia has been vindicated. is fiscal dad? emily: it is not going anywhere. every democrat has accepted the fact that the so-called build back better package may be a smaller portion of it could potentially go through, but there is no way that the bigger package we were talking about last year's moving forward. inflation numbers hit that home. we saw biden doubling down yesterday in virginia, talking about how doing things to have the gover

goldman sachs say 50% of the risk of conflict is in this market scenario already. this is bloomberg. ♪ manus: welcome back to the open. we are just 15 minutes into your trading day as we reassess risk across the board. european stocks going through a four-month low. i draw your attention to the bottom of the board. european gas futures. we rallied on the open. we are readying for sanctions. what will those sanctions be? will russia weaponize their gas supply? some would say they have already done that. this is the chokehold russia has on germany, in the form of 40% exposure to its gas supply. the worst losses to come, more in europe and japan. this is the worst case scenario for strategists. the ruble could tumble another 10%. all of this is benchmarked from last friday's close. let's go head-to-head. karen, it is a bit unfair, but this is a very serious day when we really do need to reassess where we are with risk. in the eye of escalation on a day like today when you see these markets move, give me your first assessment to the energy complex which is quite litera

jari stehn, managing director / chief european economist, goldman sachs.up, siemens full-year guidance as covered tests boost profits. it is amazing how the earnings were off the charts because we are testing so much more because of omicron. tom: they face challenges of input costs and logistics. those are questions we will put to the ceo, dr. jochen schmitz, that is next. this is bloomberg. ♪ tom: welcome back to the open, 45 minutes into the european trading day. lower about 0.4% across the benchmark, 0.3%, i should say. the ftse 100 up 0.2%. the cac quarante higher .01%. basic resources gaining. health care lower by about 0.7%. siemens stock is up more than 3%. francine: i'm interested in this company because they have done so well because of the antigen testing, and arrive as have not done so well. -- and their rivals have not done so well. we are delighted to be joined by the chief financial officer, dr. jochen schmitz. thank you for joining "bloomberg markets: european open." roche said in terms of testing it did not pan out the way they were expecti

let's talk through that will be the case the head of the strategy from goldman sachs joins us now thank you for being with us. this morning, the russian central bank came out raising interest rates to 20%. clearly an attempt to offer reassurance in the wake of the news this weekend that the west will be targeting the russian central bank and targeting those reserves what is your take on the developments over the weekend? we will get into the details in a minute >> good morning. thank you for having me. the last point you mentioned, reserves, targeting of the central bank reserves is the most important piece of the news here if you think about the russian ruble and a lot of the russian local assets the fact they have a significant amount of reserves upward around $600 billion the main and first line of defense against russian local assets i think targeting of that and freezing of reserve assets, it becomes very hard for russia to essentially defend the ruble from the sorts of the pressure that you are seeing. i think we should expect the ruble to trade weakly. it is no surprise with the

goldman sachs is building cash at a cash time. i can't believe i'm saying this.m polson building cash? >> i wish i had. we've got a hot mess here. there is no doubt. we've got runaway inflation supposedly. we've got the fed regardless of what it does if it goes big, that's going to be a policy mistake. we've got yield curves flattening around the deal. we have a potential war coming out us escalating, $100 crude. it just seems like a real mess. i would say two things. i kind of like all the reasons to be fearful and there's just a not and -- a lot and everyone is downgrading their forecast. you look at the s&p, all this stuff, is it even off 10% at the moment from its highs? kind of in the background holding in there. and then the fundamental backdrop here to me seems good. i still think the economy if anything was re-accelerating coming out of omicron. i know it could get hit hard in parts of the world like in europe. there could be recessions. but here in the united states the fundamentals remain pretty good. i would be more tempted to try not to think what mig

manus: goldman sachs, j.p. morgan up 40-50%. i'm looking at your numbers. net income is up 280%. how much will the bonus pool rise by relative to 2021? slawomir: i won't give you the exact figure, but let me tell you something on the subject of inflation, i think it is a cycle. i guess it's just a cycle. we have a much more sustainable approach, and we are competitive . with the performance we are posting this year, we will be rewarding the performance. dani: you have to forgive me, because i am a stickler for precision and data in numbers. you sadist massive, is that 20%, 40%? any sort of hint you can give us? slawomir: i can't, but it is in line with what the market is going to be doing. we obviously monitor everything our competitors do, and typically you are guided in thinking about compensation by the compensation ratios. manus: we love it. massive bonuses for multiyear. you're going to retain your staff with that line. on a slightly more serious note, the regime change in rates, what is the biggest risk from that? is it some kind of implosion in the bond markets, the equity

you left goldman sachs, building a traditional investment platform.people now have signed up with you since starting domain money, launching the platform and allowing people to both invest in cryptocurrency and stocks? adam: thank you for that question. we have been really pleased with our reception in the market we have only been live for a week or two. it is been quite incredible to see the response particularly to our strategies. investors are looking for the responsible diversified way to invest in these new asset classes, and, rather than having to make a bet on one individual protocol or cryptocurrency, investors can avail themselves to our strategies, curated by our team and represent a basket of assets they give investors exposures to this asset class. emily: and you're also getting some exposure to the crypto space. can you tell us specifically where and if the recent tumult in the markets is giving you any pause? adam: the short-term volatility is to be expected. what i think is more important to focus on is what is happening in the blockcha

gold at an eight-month high that is the haven of choice for goldman sachs. less than hawkish expected fed. was it really? i warn you. hawks rarely lose their talons. you may sea say spools roll over on the fragility of russia and ukraine, but you don't want to slow down the economy to a recession. that's a graphic manifestation of it. i want to show you across the risk spectrum. the risk says go to fast and you could tip us into a recession. 10-year yield below 10% again. you want to go to the belly of the curve which is where citi said in a risk off environment. ruble takes the strain on the emerging market currency front. up goes the dollar by .3 of one percent. the futures are sub $100. but oil on the ocean according to plats is trading at over $100. a lot to consider if you're running an airline. emirates are restoring many of its roots. but even as airlines prepare to take off, well, you have surging fuel prices and the head winds are mighty across the speck, some would say -- spectrum, some would say. the president of emirates is with us. good to have

morgan, for instance, or even by goldman sachs, we could read, share the 100 to a dollar, a crude mark, or even a within the next couple of months. so there is a feeling in the oil market that traders actually want to see the so $100.00 mark per barrel it's, it's really going to happen a depends clearly on a plenty of factors. let's see, for example, what wednesdays, opec plus meeting will bring to the supply side than if you look at the demand side of the weather is still a pretty cold, so that good to lead to more a demand for m heating oil. and then what happens when at the locked on measures and china cars are over. so that could bring more demand and drive prices and higher. so if that's going to happen, nobody can tell you for a 100 percent, but there is the feeling that a we might actually approach a $100.00 a barrel, a pretty soon you know, yes, exxon has said that other companies like b, p and shell. we're moving too quickly away from oil or that they were under investing in oil. and that their strategy was to benefit from that by bennett, by, by investing more in oil. they se

. >>> and comcast and goldman sachs have resumed giving money to more than 147 republican lawmakers whooted to object to the certification of president biden's elected victory. according to "the wall street journal" the two are the latest of more than a dozen other industry pacs that paused all political giving or announced reviews to restart their donations. goldman and comcast, the parent of this network, announced they would pause or review their political donations in the wake of the january 6th capitol riot, brian. >> silvana, thank you. we'll see you in a few minutes with more. >>> let's get back to the markets and your money as futures rise on that google news but do not forget about the federal reserve or for that matter other central banks around the world like the ecb, boj and other acronyms as your first guest says, it's time for investors to stop piggybacking off of other banks. annika, thank you for joining us on cnbc. what does that mean and how much have we inveors sort of lazily have been climbing on the back of the central bank whales and riding through a sea of stockma

strategist at goldman sachs calling for the s&p 500 to end the year at the 4900 level instead of the 51 hundred points they previously saw. still an upside of 11%. they see inflation surprising to the upside. that means there will have to be adjustments accordingly. haidi: it has been a while since geopolitical tensions have weighed on markets but this could be a decisive week. even as u.s. and its allies with foreign ministers and south korea and japan talking about working together when it comes to this issue as well as north korea. coming out of the quad talks taking place in melbourne. and we continue to see the military buildup. we heard from jake sullivan on friday saying the russian invasion of ukraine could still be imminent. putin saying the u.s. has failed to meet his demands. it does feel this we could bring more developments either negative or constructive. shery: there is a lot on the agenda whether it is the markets and the economy but for today, it seems many people will not be paying attention what is happening in the markets. super bowl sunday. we are talking about s

the idea to get your brain around is a huge commercial imperative for the big firms, the banks, goldman sachsthe end. it is usually profitable. they are never convincingly bearish. it doesn't make commercial sense but at the top even though they feel the imperative to be bullish they are thinking the market looks like that. i'm not going to dance over the edge. i'm going to dance over the edge in coca-cola in 1929 and it works. when the end comes it is better to have jumped off a cliff with the blue chips. the defining feature of the great bubble, superbubbles is towards the end, on the upside, the s&p and blue chips, they led the market for the previous few years start to go down. they get the sign wrong. well over 40% of stock on the nasdaq is down 50% from its high. this divergence occurred in 1929, 1972, 2000 and is once again started since spring of last year. jack: arc innovation is down half. investors are wondering what to do. selling everything and waiting for jeremy grantham to say to by now is not a great strategy. what should investors do at this point? jeremy: i did write my lett

goldman sachs put out some research saying that hawkish pivot from the ecb is a good thing for europeanquities because it indicates that some of the problems that have plagued the rep for so long, lower number growth, disinflation, no earnings, that is starting to turn around. that is what is evidenced by the hawkish pivot from christine lagarde and co. do you agree with that? do you like your appear? -- do you like europe here? caroline: we've got it as a preferred region. we see close to good double-digit upside. the region is cheap versus global equities, but at a historical discount. cyclical market has got looser monetary policy, despite the fact that they will also be tightening at some stage, and it's got strong earnings growth, so very much a preferred region for us. guy: what about the u.k.? i am looking down the numbers year to date. euro stoxx 50 down by 4%. ftse 100 up by 2%. cac 40 down by 1.8%. dax down by 4.2%. does that outperformance continue? caroline: it might continue a little bit, as long as the value trade is running, because obviously u.k. has got higher exposure

move in to slowly move forward with allow more more and more growth q b, because repeatedly more goldman sachs misuse you 30 didn't, can go to he's now show you my let me you may even go the star last another of them and i'm sorry, i'm a do good only thing one i she don't. but i guess a blunt that has been jasmine. hello, is this all fingers all the way i can be mitchell with the mac here protection for human with the woman. i got marie, i've been with harding to see him now. you as a roman, i'm to animals with donald and i was on the one to send the message out on him on friday to help us out with ah, it's an open secret that private military companies have been playing a role in om, complex world wide, u s government doesn't track the number of contractors it uses in places iraq or afghanistan, the united states army and the military in general is so reliance on the private sector. i would call the dependency, but we don't know who's the on the ground presence of these companies overseas. we just don't out west and private military companies can in their turn, views. so cool subcontractors f