francine: holger?uld be a pretty volatile coming months as we approach of the moment of truth. but if in the end we do get some brexit deal which is not very -- the semi-soft brexit i alluded to, still we could recover a bit. that would fit with the underlying picture which is sterling is undervalued at the moment and it would lead further bad news on brexit to get sterling down further. francine: how worried are you about loss? holger: i am fairly worried about italy but i don't really think that things will spiral out of control this summer already. we know have the discussions in italy. the finance minister does sound sort of reasonable. the various political parties have suggested that they don't want to implement their agenda in one go, that they have five years to do all these things. as a result, we probably get the occasional scare in the coming weeks but not yet the big italian debt crisis. francine: not yet. we will have to get more on that from holger. ob staying with usoth. lacqua, i with s

now let's bring in holger schmieding the chief economist at bear them back. former u.s. soil beans we're mainly imported by china that trade now a war is now hawt has europe become a not so one with trump ally against china well maybe too big a word but it's true that europe has offered already months ago to the us to forget about the e.u. as european trade war but to jointly focus on changing some discriminatory practices of china and the you know the us seems to know of half accepted that offer yes they are working together how will that effect china trade relations. i don't think it will have a major effect on these relations these relations have always been slightly modified by european concerns that china is not of dealing with for instance issues of intellectual property they have always been marred by europeans occasionally accusations that china is not fully respecting the rights of european companies in china so it should not be really new to china that's not just the u.s. but also europe that has some concerns about chinese practices i hope however that europe

but as our colleague holger trzeczak, , who travelled to te region aroround morovic report, this tradition may soon be a thing of the past. reporter: a puddle means it's time for a paddle. although these pigs are a regular domestic breed, they live freely in a forest in northwestern serbia. it looks like a pretty good life. and their presence is good for the soil here, too. their owner, milutin ajvazovic, is relieved the puddle hasn't dried up this year. if it had, he'd have had to provide them with more food. in the olden days, forest-dwelling pigs in serbia would always find enough to eat. now it's harder. still, man and beast get by, and get along. milutin: you have to know yoyor pigs well. they're smart. you wouldn't believe how special they are. reporter: his animals yield excellent meat, organically-grown. but that doesn't mean ajvazovic makes a lot of money. he sells his bonny piglets for 36 euros apiece at most. to get a better price, he would need to have his business certified as organic. milutin: that's very expensive. it isn't worth it for me. i'd have to pay a vet to check my

now let's bring in holger schmieding the chief economist at bear them back buying a former u.s. soybeans were mainly imported by china that trade now a war is now haut has europe become a not so one with unwitting trump ally against china. well maybe too big a word but it's true that europe has offered already months ago to the us to forget about the u.s. european trade war but to jointly focus on changing some discriminatory practices of china and the you know the u.s. seems to know of half accepted that offer yes they are working together how will that affect e.u. china trade relations. i don't think it will have a major effect on these relations these relations have always been slightly marred by european concerns that china is not to dealing with for instance issues of intellectual property they have always been marred by europe in. the accusations that china is not fully respecting the rights of european companies in china so it should not be really new to china that it's not just the u.s. but also europe that has some concerns about chinese practices i hope however that eu