tom: that was noel quinn, ceo of hsbc.rs can watch the full "front row" interview at bloomberg.com. francine joins me now. there was a lot that came out of this interview. let's start with work from home. he was nuanced on what he will tell his staff. we have had dogmatism from other executives. the impact on travel was fascinating. francine: it had a relaxed feeling. he was humble in the one hour interview. when i asked about travel, i have not heard anyone say, i have trusted my staff. why would i force them to go back to the office? we have been getting a lot of feedback. it is a different twist on how he sees that relationship with employees. he kept coming back to the clients. we talked about china, but he kept saying we are coming here to service clients and to retain talent. when you look at his cost reduction program, he had to reduce, he closed down operations in the u.s. and france. he says travel helps me because i can pay 50% less if we change things around and keep people in the office. i think that would help

hsbc ceo says opportunities in china are too much to miss.er banner report could push the fed closer to tapering. initial jobless claims fell to a low amid a recovering economy. the european equity markets caught in limbo. on any jobs day we expect to see not much movement, but we have big political movements in japan. tom: it feels like we are in a holding pattern. pointing to the japanese politics, that pushed the nikkei and the topix to 30 year highs. weakness around china on the economic data, the regulatory focus remains in the spotlight. herein europe, the stoxx 600 is down 0.1%. a slightly better picture. germany is lower by 20 points. cac quarante is in similar territory. let's see how this is breaking down. the gainers are food and beverage at the top, followed by utilities and real estate, but that is modest. at the bottom you are seeing travel and leisure, and banks. anna: a little lackluster. awaiting the jobs report, let's get to more long-term story, the latest on the future of russia's banking sector. vtb, russia's second-large

, about a deal between highway chinese, a chinese bank. hsbc would be part of it with a u. k. at which would then have it would tell us that was dealing with an iranian firm. so these are all the different others for so what standing does the us really haven't this, this deal has nothing to do with the us. but beyond that very, the defense was saying, so what the us is trying to say is that h s p c. and i would have been them by the way, who would have broken the law hsbc, contravene us sanctions? because mon convey them that they could go ahead with a deal. whereas the proof that it was actually among it said it said that they had convinced them for assault and then where was the, who's the injured party anyway? because hsbc is also the us getting outrageous. b c. now somebody who is the injured party. what exactly was the crime was the proof beyond a reasonable doubt, these are all questions to say it was all terribly, terribly murky. so what we have now is this prosecution agreement among is look, is all pleading not guilty on anything. but what she is doing is the prose

she rejoined ocbc after 27 years with hsbc. a homecoming to where she started her banking career as a management trainee. she spoke exclusively with us in singapore. helen: i am very honored to be chosen and appointed and it is truly from the heart i feel so good because i also started with ocbc. it is a homecoming. so i feel good about it. but not so much about being the first woman ceo for a singapore bank. that's something i do not necessarily think is a headline. i never thought it would be a headline. it should be based on the person's merit, their leadership. so i thought i was recognized to have that, so i am very proud. i hoped in the future this would not make headlines, meaning there are more women leaders as well. haslinda: just months into your stint as ceo of ocbc, secession is far from your mind i'm sure, but if we take a long term perspective, how might you be looking at secession to place people in top six -- top positions? helen: succession is always in my mind. i'm new in my job, but i could have an accident,

hsbc's ceo says tensions between beijing and the u.s. are making matters rather tricky. >> we step up and help clients navigate that complexity. i'm not going to pretend it is easy, but it is rewarding. rishaad: singapore exchange has become the first asian hub to introduce a framework for blank check companies to list. spac's will be allowed to list in singapore starting friday with a limit of $112 million. approval coming as global regulators step up scrutiny on spac's. at least 40 people are confirmed dead across the united states northeast after hurricane ida. in new york, record rainfall of three inches per hour, the flooding leaving transport services paralyzed and people stranded. in new jersey and maryland, the storm triggered tornadoes. yvonne: taking a look at some of these stocks reacting to president xi jinping's speech. talking about how the regulatory crackdown could still be going on as well. you are seeing sentiment moving that level once again after we saw that whipsaw yesterday. tencent down 1%, alibaba down 3%, despite

to face charges that she deceived hsbc bank in 2013 into breaking us sanctions against iran. under a deal with prosecutors, she pled not guilty, but admitted wrong doing. as a result, the u. s. will drop the charges against them. a few hours later. justin today made a surprise advancement to the canadian citizens, michael sparkle, and michael colvin would also been arrested in 2018, but accused of espionage were on their way home from china. right now, our focus is on getting these to canadians, homesafe. they've been through an extremely difficult ordeal, verities ends chapter and us canadian chinese relations that had long been dogged, but accusations of hostage taking suspicions were often raised that the 2 canadians were being held as bargaining chips. monks lawyer, meanwhile, so harassed as politically motivated, a claim boasted when donald trump offered to intervene in 2018 in return for china signing a trade deal. the americans never should have started this case in the 1st place. president trump used me as long as a trade in negotiations with china. the u. s. departme

let's bring in hsbc's paul ore bloxham who joints -- paul bloxham who joins us from sydney.as the rba trying to aim for maximum flexibility. a dovish taper pushing back the duration but still signaling normalization is the pathway. how does that reduce their ability to be able to react more quickly? >> instead of moving to not tapering from $5 billion to $4 might, and leaving open the option to changing their minds around november, they have made a commitment to not do anything to keep buying bonds until the middle of february. so, that is a commitment, a longer-term commitment, therefore they are able to adjust, or the fed saying they are not able to adjust soon or in the coming months. at the same time, the rba stated today the board considers preparing to adjust their bond purchase program on economic positions that look vastly different than expected over the next few months. it's adjustments further out. in some ways it does reduce the flexibility in terms of what they can do in the short term, changes in economic and health conditions. there is a lot of uncertainty abo

. >> hsbc's ceo betting on china's middle classes. he tells us it is too big of an opportunity to miss, despite beijing's crackdown. haidi: southeast asia's second-highest vendor is going on a hiring spree. we hear from the ceo in our first in person interview since taking the top job. >> take a look at how the wall street trading day went. the s&p 500 hitting another record. was not a big move. it continues to move higher. energy industrial shares, which had been laggard, were among the biggest gainers. consumer discretionary and communication services were at the bottom of the list. consumer discretionary not doing as well today. to the bond market, flat as a pancake. anchored around 1.30%. wait to see the jobs report. stronger than expected number. volatility in the bond market. in terms of crude oil, closing under seven dollars a barrel. a little bit lower. looking ahead to the opec-plus additional output. the hike saying we can absorb it. still wondering about sorting out the damage from hurricane ida and what it means for output

tom: that was hsbc's ceo speaking to francine lacqua. full interview first on the bloomberg terminal at 11:00 p.m. london time, and an hour later, you will catch that conversation on bloomberg television, bloomberg radio, along with our other platforms. we are 23 minutes into the european trading day. flat across the benchmarks as we look ahead to producer prices at 11:00 a.m. the key data in the nonfarm payrolls keeping investors. that is out friday. that is the picture across the european trading day. anna: u.s. futures positive. turning to german politics. over three weeks from the election. it will change the political landscape in the european largest economy. now the focus turns to what kind of government, what kind of coalition we could see postelection. maria tadeo joins us in berlin. every few years, we have to become an expert in the flag of jamaica, kenya, germany, many other countries to get the gritty of general policy. which coalition options are gaining traction? >> it is very hard. there's about eight different options, f

, a subsidiary in iran, and it was doing various bits of business that the charges that money when hsbc contacted me on. having seen those reports and said, hey, what about this all you do, you have a company in iran or we potentially breaking sanctions. he said that in and this is just a policy company. nothing to worry about. what prosecutors say is that she was, she was lying there and that that was connections. and as a result, off of monk mistruths the h h. c. continue to do business with hallway in deals involved around about 4, we're breaking sanctions. so that's a general just, it's awfully complicated actually, but that's the general general just so she is that pleading guilty to baths, that charge of misleading hsbc. having protested her innocence, the wall street journal was reporting that actually she's been losing a certain amount of hope. recently, she hasn't seen a family in almost 3 years, a children her husband because but, but up until this point trying to among, i've just missed is entirely political prosecution. a charge that certainly was bolted when donald trump, a

favor is also a lot of this hinges on the concept of us secondary sanctions. mon was dealing with hsbc and hong kong about a deal with chinese company and iran was just going to do with the u. s. it only has something to do with the us because the u. s. is in post secondary sanctions on companies dealing with around. but these a unilateral sanctions that basis an international law as it was and they have been tested in international law these united nations sanctions. so that was also can be right, it was gonna be very tricky for them. i'm not underlying basis for this hasn't really been tested. and there's a lot of legal expertise, which, i mean the, you have has the power to intimidate other nations. but we're not sure about it's legality to do have sick, secondary sanctions in business deals will have nothing to do with it. and then of course, we have seen going forward because hallway still faces 16 counts in the us. and that case is still moving forward. it'll be interesting to see how that goes, but that's what, so what we have right now, there is this deferred prosecution agreem

page statement of facts in which they state that contention not proven in court that mung, misled hsbc bank into being in to join the in the in a hallway deal with iran against us sanctions and mung is simply agreeing tacitly that that contention by the d. o. j is proven in court but accepts no guilt and that's, that's the end of it. and it seems very much like the d. j is rather pleased. this is now no longer all the docket with the news, our life from london coming up a bit later on. we're in port to better, you know, west frenzy x, but such identified disappeared. people in columbia and cemetery, lost in the decades long civil war. and later in support, majesty and i had missed the chance to rescue a point losing in the premier league for the 1st time this season ah, falls in germany's election opened in a few hours time with mo, to selecting a new leader to succeed anglo marco who stepping down after 16 years as chancellor . it's the closest race in more than 70 years. with pole sang more than a 3rd of germany. 60000000 voters, a still undecided. that voss was at one leading candid

page statement, a fudge in which they state that contention not proven in court that mung, misled hsbc bank into being in to join the in the in a hallway deal with iran against us sanctions. and mung is simply agreeing tacitly that that contention by the d. o. j is proven in court but accepts no guilt and that's, that's the end of it. and it seems very much like the d. j is rather pleased. this is now no longer all the docket. were wondering, president polka gama says he's true, cannot remain in northern mozambique for ever made the comments while on a visit to mos and begs coverage of gal go province. a 1000 rwandan soldiers were deployed to the gas rich region in july to help local forces fight groups attacks in 2017 and killed more than 3000 people and displaced almost 750000 guy may attend to the military parade. with his most bacon count upon felipe a new use in the northern city of pembroke. welcome web found this report. 7 on. 7 the parade to commemorate mose, i'm big struggled against portuguese colonial rule that began nearly 60 years ago because of a conflict. it's still happ

that monk misled hsbc bank into being in to join the in the in a while. a deal with iran against us sanctions and mung is simply agreeing tacitly that that contention by the d. o. j is proven in court but accepts no guilt and that's, that's the end of it. and it seems very much like the d. j is rather pleased, this is now no longer on the docket. ah, ah, the poles in germany's election is sent open in a few hours time with voters selecting a new leader to succeed anglo marco who stepping down off to 16 years as chancellor . it's the closest race in more than 7 years in the country with pulsing more than a 3rd of germany. 60000000 votes as a still undecided step. vasa was at one leading candidates final rally and puts down on the edge of berlin. just a week ago, the whole show the central left candidate, all of shawls, could easily become the next chancellor. his s p, the party, germany, social democrats with comfort to be in the lead me, but the race has tightened shoals in the finance minister and america fights chancellor, if you would come the chancell

when hsbc put up their bid, we were successful in acquiring that.hat led to buying investors bank, headquarters in new jersey. the combination of those two gives us 200 branches in metro new york, top 10 deposit franchise, good base for us to do our thing in this market, turn it into what we have in philadelphia and boston. that was a consumer play. jmp really helps us continue to build out our commercial bank. we end up with four verticals, equity capital markets capability. we have built out who we cover with some depth, and now we have build on our products. matt: and you also have reach out to the west coast'with jmps presence in san francisco. what are you looking for now, what may fit the bill in terms of your next target? bruce: we are still focused on bolt on acquisitions. there may be another industry vertical play in the capital markets, investment banking. we are still looking at well. we did an acquisition earlier with a great franchise. we are not at the scale we want to be in with wealth. we want to make sure that we integrate well, ex

she has that pleading guilty to valves that judge of misleading hsbc. having protested her innocence, the wall street journal was reporting that actually she's been losing a certain amount of hope. recently. she hasn't seen a family in almost 3 years. a children her husband because but, but up until this point trying to among have dismiss, this isn't entirely political prosecution. a charge that certainly was bolted when donald trump, at the time in 2018, said, you know, we'll draw the prosecution of trying to does a trade deal with us. however, the d j is always, i don't know. this is all about vote. yes, president joe biden says he takes us sponsibility for the harsh treatment of haitian migrants on the mexican border. the president promise that border patrol agents will pay off. they were filmed using horse range against people trying to cross over from mexico. and the last of the most, the haitian migrants were camping along the border, have either left or been removed. heavy equipment was later brought in to clear up the site. 15000 people had gath

barclays double upgrading hsbc, a big bet on asia given the bank is so exposed to china.ying wealth management in asia is moving now. it was basically shut down during the pandemic. also hong kong interbank lending rates bottomed according to barclays, which would benefit the sector. analysts are mostly bullish on hsbc, 20 analysts now -- 28 analysts now, you would expect to see upside. dani: futures pointing upwards. the market open next. this is bloomberg. ♪ ♪ in business, it's never just another day. it's the big sale, or the big presentation. the day where everything goes right. or the one where nothing does. with comcast business you get the network that can deliver gig speeds to the most businesses and advanced cybersecurity to protect every device on it— all backed by a dedicated team, 24/7. every day in business is a big day. we'll keep you ready for what's next. comcast business powering possibilities. tom: welcome back to the european market open. one minute until the start of cash equity trading. i'm tom mackenzie. that ceiling drama is back. the fed may hold o

one of the banks would be hsbc. they get the bulk of their revenue and profitability from china and hong kong. this is what the ceo had to say. >> the turmoil in the market does not have the potential to have third order impact. clearly with the changes taking place in the ever grand situation is concerning and there is potential for second and third order impact on the markets and we have to stay focused on that. >> hsbc has been among the larger holders of ever grand debt, along with blackrock. a little over $200 million ever grand dollar bond. shery: and we have heard beijing could be announcing a major restructuring. >> a new site is saying the government is in the process of working out the restructuring of ever grand into three separate entities underpinned by state owned enterprises, essentially turning a private company, obviously the most indebted developer, into a state owned enterprise. that announcement could be revealed in days and sources say the chinese government wants to protect the interest of chin

jonathan: always punchy, steve major of hsbc. good morning. alongside tom keene and lisa abramowicz, i'm jonathan ferro. here's the price action in the equity market about 20 minutes out from that ecb decision. let's call it 30. your equity market down 11, -0.25% on the s&p. that's been a story the last couple of days, three days of losses, but really marginal moves. yields lower by about a basis point. let's call it 1.33%. tom: steve major is saying 1%. you have been framing out one point 12%. what is the ramification for the market if we get to 1.20%? is it good or bad for stocks? jonathan: why do we get down to those kind of levels? it is what drives those levels that ultimately matters. can you frame steve major's framework for this right now? we've added so much more debt to the system, both the corporate side and the sovereign side. so your tolerance for higher interest rates diminishes almost every cycle. we have played this game before. we saw it in the last cycle as well. the peak for interest rates is that little bit lower this time

she is now pleading guilty to baths, that charge of misleading hsbc. having protested her innocence, the wall street journal was reporting that actually she's been losing a certain amount of hope. recently. she hasn't seen a family. it always 3 years, a children, her husband. but, but up until this point, trying to among, i've dismissed this is entirely political prosecution, a charge that certainly was bolted when donald trump, at the time in 2018, said you know, will drop the prosecution of trying to does a trade deal with us with a d h, as always, i don't know if this is all about vote. it should be, remember that the hallway itself still faces several challenges related to this. and of course, this mission may have an effect on that also on charges of stealing trade secrets. and the byte in ministration continues to discourage allies from using hallway equipment. and it's next generation telecoms system saying that they may be back. doors with china will use they provide is no evidence at all for this, but they keep saying, look, look at it. i mean

the chief executive leading hsbc through its most radical overhaul in years.tations are high. noel's predecessor was ousted by a dissatisfied board. this 35 year banking veteran has to show he has the right choice to run the largest bank in europe. >> let's be honest, if you want to be an international bank

hsbc -- as rising commodity prices weigh on china trade and exports get hit.inero yield cap to treasury for china is overseeing cap on human strength as divergence widens amid speculation the pboc will need measures to prevent pretextual -- potential contagion risks. >> evergrande facing another bond interest payment. a separate one do last week to discuss the impact, let's begin bloomberg opinion columnist john authers p as heidi was talking about, we are seeing this $260 million note from jumbo fortune's. according to sources, how significant are the next deadlines echo -- >> [indiscernible] >> -- exactly how far it is we have got consensus on the market that the government plainly does not want a lehman incident on its watch. it is going to do something to create an orderly workout of all of this outstanding debt at evergrande. this sounds like the moment when the government will have to show its hand. we will need to see exactly how far it is prepared to introduce itself into the process, how much it is prepared to lean on other players, particularly state

they bought up the difference and hsbc funds will also run as net buyer.oing public with the texas law that outlaws abortion they've all signed a statement that says restricting access to comprehensive reproductive care threatens stability to our workers and customers. >>> shaking off worry of the chinese ever dallas grande group. they say they will make a spamt tomorrow as an issue your next guest raised two decades ago with brick. brazil, russia, india and china. >> the reality is that we have these type of things pop up out of china what has changed with china in the last 20 years and what still needs to change? >> nice to see you, brian. i look forward to watching you do your 60 miles on the electric bike on this question, i'm assuming the authorities think they can handle the evergrande payout and that this will be a complete systematic crash i think the chineseauthorities will fight that big time. i have learned they are pretty good at managing systematic crises i kind of don't get it. they play back all these signs where they've cleared. and have a

flight from raleigh to washington, dc about his deferred prosecution agreements for some like the hsbc bankers that find like a $1000000000.00, but escaped jail for laundering tens of billions of dollars for the mexican drug cartels. if an ordinary schmock american is found with even a $1000.00 worth of drug money laundering money for any drug cartel, they would have all their assets seized and thrown into prison for at least a decade. but again, there is a 2 tier system wherever you look at, no wonder we see a fractal of the corruption everywhere you look is corruption all the way down in the same sort of manner. right? you know, we recorded our co via multi 100000000000 dollar money laundering from ice. can drug cartels now bought out by wells fargo report and jamie diamond over there, a j. p. morgan, hundreds of millions, billions of dollars. the fines for essentially committing financial fraud. and it's been replete in the financial sector and people say, well there's no, there's nobody getting injured. there's no, as a victim was crime when warren buffet in charlie mongo commit fr

rochon -- rishaad: that was hsbc's ceo noel quinn.ad, an interview talking about how the company has been coping with covid and indeed, what the future looks like. we have also done our cup -- we have also got our coverage of the hong kong biotech exchange coming as we talk about investing in the health care industry. earlier, we had stephen engle speaking exclusively to the exchange's new ceo. >> the regulatory reforms we are seeing in china, it is something we will see continuing for quite a bit of time, but it is not only china, as it relates to data, as it relates to big tech. it is a regulatory process that i would expect that it will be a long march, not only in china, also around the world because it is an area with a lot of sensitivity. if it is data, the privacy of the information, if it is national security, if it is issues of how to regulate companies that have monopolistic powers, this is something that we will probably continue seeing. >> have you heard that biotech perhaps is not as sensitive when it comes to data? >> it

someone with morgan stanley and credit suisse, hsbc -- you just recently did get a little more cautiousyou give us a sense of what was behind your view and what triggered the change? >> if you look, you can see the delta variant has had an effect on growth. that will continue to play out in the coming months. you have seen the labor markets remain somewhat unglued in terms of the demand seems to be far out stripping the supply. there are factors that have to be taken into account. september is usually a tough month for equities. we think that will play out as well. the debt ceiling and what will happen to the 3.5 trillion dollars spending plan from the biden administration. all of those things will factor in. the one thing we are more sanguine about that others is the story is going to flip in terms of profitability. rather than talking about slowing profitability and accelerating inflation, we think that story will begin to reverse of it. lisa: it sounds like you are getting a shopping list together. going right back into the riskier bets. am i correct? jose: we have increased in europ

tom: hsbc ceo noah quinn speaking to francine lacqua. can watch the full in schools of -- exclusive interview starting at 11:00 p.m. london time. starting at midnight friday london time, clips will appear on bloomberg television and bloomberg radio, among other platforms. turning to germany. just three weeks out from an election that will change the political landscape in europe's largest economy. as we near the end of angela merkel's time in a power, the focus turns to what kind of government we could see postelection. maria tadeo is in berlin. what are the different coalition options gaining traction at this point? >> how much time do we have to go through all of this? mathematically, we have five different parties that could join in the next government. it is an election that is incredibly open. there are many different formations that can come up after september. today, i want to focus on towo -- two specifically. these coalitions are making headlines in germany, but taking the spotlight when it comes to the political debate. you ass

david: hundred a solo down at hsbc.ou have some bonds yielding only 14%. >> we need to take a step back from this. this is much more medium to long-term, so regardless of the timing, it is another step in the right direction in terms of stabilizing the capital markets this adds to the final piece of the puzzle, but, yes, it is going to be small. i think it is more symbolic and more likely to be about what's going to have -- what's going to happen on the mainland. at the moment, it is were limited to the credit markets. in terms of cg and cnh, they are yielding less, so the opportunity for investors is more limited. yvonne: does it have any impact on total number of flows? what this means for the renminbi, is it having an impact? let's in -- >> let's put it into context. the bond markets, what they can tap into is around two trillion dollars. in terms of the stock connect and the market cap here, it is around 6 trillion dollars, so there's much more flow than to the bond market, so i don't think it will have any discerni

lisa: you have the likes of hsbc trying to walk back and say they do not worry about that exposure .as in the middle of the blowup this year, and lisa, you've made comparisons. credit suisse made a huge mistake with the former but maybe not with the latter. lisa: two saying -- to be clear -- and not saying this is an art tagus event -- why do we have to compare this with a catastrophe in the past? jonathan: for referencing, we always do this. it is not 2000. why is the exercise helpful? it might anchor emotions but do we have to have extreme benchmarks to decide whether something matters? is that journalized or the sell side? lisa: it is human nature. >> markets are jittery about a slowdown in growth and jittery about the fiscal mess that could be coming our way in the next 40 days or so. >> we like equities but we will be modest in our overweight stuff >> as long as the public consistently believes in the market and consistently puts money into it, i think it will continue to move higher. >> everybody is wondering why u.s. equities are hanging in there. >> bloomberg surveillance wit

i am joined by hsbc�*s senior uk economist, liz martins.few — than many economists expected? yes, for the last few months _ than many economists expected? yes, for the last few months we have had really _ for the last few months we have had really sharp drops in government funding, — really sharp drops in government funding, it — really sharp drops in government funding, it has been much lower—than—expected because the economy— lower—than—expected because the economy has done better, revenue and tax revenue _ economy has done better, revenue and tax revenue has been better and tax revenue _ tax revenue has been better and tax revenue has — tax revenue has been better and tax revenue has been able to be less —— really— revenue has been able to be less —— really sharp — revenue has been able to be less —— really sharp drops in government borrowing — really sharp drops in government borrowing. this august the borrowing is more _ borrowing. this august the borrowing is more than — borrowing. this august the borrowing is more than economists had

i see some research from hsbc asset management put this chart together to show you how cheap the u.k. is compared to the other major markets. that valuation cap has been gaining and that is why we've been seeing the u.k. as a very attractive place for investors and those looking to take over companies. we are looking at the u.k., the third-largest takeover market this year just behind the u.s. and china. we will get a read later this week from the latest takeover targets. that is morrison. i wanted to take a look at the movement in the supercar market. we see the gorgeous visuals from matt miller at the munich show. havoc putting in a solid session, gaining 1%. this is we are hearing mario draghi is in talks with the eu to shield supercar makers from the ban on combustion engines. you mentioned the other big story is in the commodities market. we have been talking about aluminum all day. big gains for aluminum. prices rising. this is due to the political unrest in guinea and the concern that is creating. very important raw material in the creation of aluminum. it is why we are seeing