the pandemic propped it the imf see theted the imf to japanese economy shrinking.und sees a contraction of almost 6%. global news 24 hours a day on air and on quicktake on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i'm karina mitchell. this is bloomberg. son at: masayoshi softbank making these comments, talking about him donating all this year's salary he received to softbank charity, saying his salary is zero, to take response ability for the debacle -- responsibility for the debacle that was wework. "to keep myself under control." he is aiming to control the buybacks, all coming from muscle you she's on at softbank -- masayoshi son at softbank. tom: the coronavirus worsened after a dismal 2019 in china when a trade dispute with the u.s. and deleveraging weighed on growth. but private equity giants have benefited from the turmoil, snapping up assets after valuations plunged. oaktree capital is also building billion-dollar stockpiles. carlisle on the other hand -- carlyle on the other hand is more wary. joining us is par

the imf says the corona virus impact will cause more damage. covid-19 infections continuing to rise. the surge is reported across several u.s. states. the governor of texas, warning of a massive outbreak. hitting stocks. wall street falls as the virus weakens the recovery. s&p slipping, led by energy, financials, and industrials. let's get started with a check of the markets. >> we are seeing u.s. futures flat, after we had a solid risk off session in new york. we had a resurgence in virus cases and news the white house is weighing tariffs on european exports. we have the imf downgrade of the 2020 global economic forecast, so the s&p 500 saw its largest fall in almost two weeks. all 11 sectors on the s&p 500 sank. the nasdaq composite falling for the first time in nine sessions, down more than 2%, halting the longest winning streak of the year. this, as we continue to get more political news on how the coronavirus pandemic could affect the political schedule going forward towards the november elections. democrats, saying state delegations shoul

the imf has also downloaded -- also downgraded its outlook for the pandemic.t expects significant lead deeper recession and a slower move out than it expected two months ago. the outlook is even worse under a second wave scenario. >> the case we have simulated of a second wave would generate 2021,lly zero growth in compared to 5.4% growth as we were projecting. that is the classic l-shaped non-recovery. that would be a really dire outcome, and getting even closer to great depression levels than we already are. derek, head of research at global markets, international securities, mufg. you are concerned about this lurch lower in risk. you say it gives the dollar a little bit of a bid. that is good news for you because you say ultimately you resell the dollar. good morning. >> good morning. i think the easy part for investors is done in terms of predictions going forward. intoeconomies went lockdown, it was very easy to predict what was going to happen when they started to come out, there was a strong conviction in terms of rebound. now, investors are starting to

a bit more than the 5.2 seen in april by the imf.nese economy is the only one with positive growth. strict among the biggest onomies. a gain of 1%. earlier, fored china, one person is like a contraction for many other economies. when they put their global target from 7% to 6%, that was a big deal. to be facing this kind of very meager growth, that is tough for the chinese as well, haiti. -- haidi. haidi: unimaginable. hays with us. the fallout from the pandemic is getting real for qantas. the flagship carrier is slashing 6000 jobs, looking to raise fresh cash. we will get the details, next. this is bloomberg. ♪ haidi: we are getting some fresh lines when it comes to qantas. the ceo saying the crisis has hit the flagship carrier very hard. the airline is planning a 40% of precrisis domestic schedule to return by july and that has been hampered by fresh outbreak of the virus in victoria. it talks of potentially borders remaining or going to be seeing renewed closures. that really depends on how that story plays out. we have had news ab

he imf on a permanent basis, and increasing the sdr, so the imf has to urces to respond crisis.t's just another day -- at the g-20 we took a view that e must increase the resources of the imf temporarily because the would sorthat we out the resources. that complacency, that there would be another crisis. here with sis is us, and once again providing -- to be at the center of the global financial safety net we must sure that imf is adequate. >> governor, thank you very much. thank you for your time this morning. governor lesetja kganyago of african reserve bank. coming up on the program, protests erupt across america. tensions fuel violence in dozens of cities, just as the economy starts to revive its economy coronavirus pandemic. we'll have more details next. this is bloomberg. next. this is bloomberg. >> welcome back to the european market open. seven minutes until the day. of the trading pointing to the upside. ptimism on top of the very gloomy scenes of protestors leading to riots in the u.s. erupted in dozens of u.s. cities of owing the death george floyd. a black man who di

the imf producing a global retraction for 2020. we will speak to the chief economist.nversation is coming up next. this is bloomberg. ♪ ♪ you will see the economy have a very bad second quarter. you will see a spectacular rebound off the bottom another quarter. >> we expect real gdp to come the 2019 level by the end of 2021. >> i do think the resiliency of our economy is such that we will power through this. but it is not going to be a classic v shape. be more of a u shape recovery than more in a v shape recovery. >> we are seeing a lot of things rebound, and that is a sign we are on the path to recovery. our long way off the in the u.s., and even much more so in the developing world. >> we will not have a robust, global recovery unless all of the world has recovered. guy: that was some of our top guests from the bloomberg invest conference weighing in on when they expect to see an economic recovery. the imf today it's downgrading it outlook for 2020, projecting a deeper recession and a slower recovery than it had anticipated. out.ng us now is gated -- joining us is gi

the imf will release economic with injections june 24.it expects them to be worse than the last forecast in april. the imf says in general asian economies are further along in the recovery path. president trump is rejecting calls to overall law enforcement to cut funding. he says a strong economy will be the fix for racial injustice. the president is working on an executive order that he says asks police to meet the most current standards. there are few details on what that program will look like. north korea accuses the u.s. of breaking promises it made at the historic summit two years ago. thejong-un's regime says administration has termed dream of peace into a dark nightmare. president trump demanded that kim give up nuclear weapons before the u.s. eases up on sanctions. global news 24 hours a day, on air and at quicktake by bloomberg, powered by more than 2700 journalists and analysts in i amthan 120 countries, ritika gupta. this is bloomberg. francine? tom? tom: thank you so much. equities, bonds, currencies, commodities. i am focusi

coming up, we talk about the imf and world growth.is bloomberg. ♪ francine: this is bloomberg surveillance. i'm francine lacqua in london. as u.s. cities protest police brutality, democrats on capitol hill introduced a bill to make it easier to prosecute and sue law enforcement officers. nancy pelosi spoke exquisitely with bloomberg. >> so much stronger as we work in a bipartisan way. recognition there has to be some change. i leave that up to our distinguished chair of the congressional black caucus as well as the chair of the committee of the judiciary committee working with jerry nadler. i will leave it up to them to have their interactions with in the house, as well as in the senate, and hopefully with the white house. we do have an issue that relates to qualified immunity doctrine that protects some police officers found to be engaged in misconduct from any, shall we say, exposure from families that are affected or lawsuits. so that is one area that is perhaps an area where we'll have some differences. but hopefully on the others

an imf chart of united kingdom debt to gdp. and of course it is breaching 100% now, taking us back to the likeof 1963, nothing world war ii, but certainly there is a moonshot in terms of global debt. what is it mean, what does it signal? kit: i think it is a good thing that we fought this with that. the next crisis in 10 years of the last, that makes it a bit harder, but the jump in debt from the two months of increasing in debt debt in spending, we are running a sense. in that that is terrible math to do it that way. it is a big number but it is ok if we get growth coming out of the other side. to me as a markets guy, i look at that and say thank goodness we can qe. companiesness major have the central bank. but spreading the pain over this for many years by buying the bonds. if you are south africa, brazil, an emerging market economy depended on foreign capital, you don't have that luxury. the fed is going to have to get paid, but thank goodness we have the ability to spread this over a long time at low rates. go below zero b

the imf director of the african departments planes with the continent needs now. bloomberg. ♪ shery: the coronavirus pandemic is exacerbating the uniquely challenging economic situations for africa. the imf says countries across the continent and are facing financing needs for more than 100 $10 billion in 2020 alone, with $44 billion yet to be financed. even before the pandemic, governments struggled with record debt fueled by $600 billion to fund projects. largest, africa's creditor to delay but not forgive $152 billion in loans. joining us from washington to discuss is the director of the africa department of the imf. abebe, great to have you with us. thank you for your time. give us an overview on outlook of the financing needs for africa. easyer or not the very credit conditions, located he conditions around the world, not to mention rebounding commodity prices maybe helping the continent. abebe: thank you. what we are finding is we usually do our economic projections for the region twice a year but given how fast conditions are changing, we have another proje

that is a chief economist from the imf.rd 0dier in geneva. thank you forjoining us. i note that the imf talked about a higher than usual degree of uncertainty around the forecast. we would all agree with that. but what do you make of the perspective now? do you see that is about right? no, i think it is confirming what we already know which is that we are going through one of the deepest recessions in history. i would say the numbers lean on the pessimistic side, especially for european economies that are forecasted to co ntra ct economies that are forecasted to contract more than let's say latin american economies that have mismanaged the pandemic and have to suffer a collapse in the old price, so we can expect the numbers to be revised again and again, especially as we get new information on how the recovery is going on. most of the forecast were probably made when economies were not down and now we are reopening so hopefully we are going for better days. yeah, but the further you get through the year it is easy to foreca

a drop even further almost 5% lower it is a warning from the imf about what could be ahead.at's it for a very busy show today. i'm karen tso. "worldwide exchange" is up next. there are times when our need to connect really matters. to keep customers and employees in the know. to keep business moving. comcast business is prepared for times like these. powered by the nation's largest gig-speed network. to help give you the speed, reliability, and security you need. tools to manage your business from any device, anywhere. and a team of experts - here for you 24/7. we've always believed in the power of working together. that's why, when every connection counts... you can count on us. >>> it is 5:00 your "top five @5. dow futures are in the green but technologies look tough. wall street and new worries about lockdowns as states start to roll back some reopening plans. not just states responding apple, disney and more taking their own response a bold market response to john rogers and what he see

that was one of the interesting things the imf said. they don't think markets have really priced this in. at this point, they feel ahead of the virus. it will be rethinking what they think possible earnings could be. >> one factor we are paying close attention to is canada, as they contemplate the border closure and the new numbers. are there concerns here about any kind of real push for closure happening or does there just seemed to be zero political will? >> it depends on where you are. republican governors are fighting against closures. the texas governor said things are out of control but he is not going so far to allow them to do so. he said they would impose quarantines other states with and it's arate mixture given which part of the country you are in. that brings the total of cases in california to about 190,000. clearly, the curve is still steepening. lighthizerobert threaten 3.1 billion in new and additional tariffs. how likely is it given the economic hardship that they will go through with those threats? >> when you're talki

the imf numbers were 4.9%. another bankruptcy from a retailer, gnc, a small company, but sonos laying off 12 % of the worldwide work force you're seeing those negatives being responded to along with as you say, the increase in hospitalizations in a number of key states that have seen a surge in cases over the last number of weeks. we're watching that carefully, carl it's sort of hit or miss as to whether the market will respond or not i guess in part due to the perception of whether it really will have an impact on economic activity in those states >> people are looking at death count remains relatively muted you're talking about eight straight days of hospitalization records in arizona and cities like houston in a regular flu season, david, their hospitals do get strained. it's definitely something to worry about as people start spending more time indoors it's the summer down there, and you're in an area where you're going to be breathing a lot more circulated air we know that's a huge transmission mechanism f

negative revision to the forecast we have an exclusive interview with the managing director of the imf. you do not want to miss that >>> let's focus in on the big stories with 59 minutes left of trading. mike santoli following the plunge phil lebeau tracking the fall in airline stocks the ceos meet at the white house today. and meg terrell has the surge in coronavirus cases and rethinking of the reopenings happening across the country let's start with you, mike, on the selloff. what are you seeing? >> well, sarah remember back in february, march, almost every friday it seems like the market backed off. a little nervous what might come over the weekend it feels familiar with that today. in the context of what june is, a corrective phase it's been training in a range slouching to the low end of the range. the 200 hf day moving average for those who watch these things is right about there as well it's not really telling you up trend, down trend. it is neutral. we can certainly scissor around that a while before there is any resolution it seems as if right now people are looking also just

the imf is set to release its latest growth.t is likely to be worse than contraction predicted in april. the is planning to introduce soft board-checks with the eu, deal or no deal. the measure is temporary and will avoid hitting businesses already suffering due to the pandemic. the new policy comes as britain and the eu step up the pace of trade negotiations. boris johnson is set to hold a call with the commission president on monday. hertz is asking a judge to let it take advantage of a surge in its stock by selling up to $1 billion of its shares. banking companies arrived out, but hertz has seen a rally. it is on optimism on the economy is going to rebound. renault is expecting ferocious competition in electric cars, that warning from the chairman there's a flood of chinese models coming to the continent in a market that is increasingly crowded. there comes as they roll out more cars in the midst of a deep slump. global news, 24 hours a day on air and on quicktake by bloomberg, powered by more than 2,700 journalists and analy

the imf says the markets have not priced this in. the markets are too optimistic about how fast the world and the united states will recover. now they expect global gdp shrink 4.9%. in april they thought i would be only 3%. in the u.s. gdp expected to a change8%, that is from the 5.9% they thought in april. the euro area will shrink 10.2% in 2020. china one of the few countries that will grow, only 1%. there growth rate was much fact -- was much faster. they think china will pose a little bit of growth. all countries will return to growth next year, except they will not make up the difference. they will lose a lot more than they will get back in 2021. david: i want to pick up on the point you made. they say if that happens the way they think it may, that is something we do not need. david: given the fact all of central banks aren't zero or negative territory around the world, and qe is in place, there will not be a lot they can do to loosen those financial conditions. there will have to be some sort of stimulus that would go into the

given that th health risk i is not over yet, are projecting a slow recoverer. >> she adds that the imfxpects to see a pick up as many countries reopen. but the growth is uneven. >>> teleworking is catching on in japan as a way to stop the spread of the coronavirus, but workers say something is missing. nhk world visited one workplace that's making remote work feel a lot less remote. >> r reporteter: this woman is satellite office in suburban tokyo. she and her colleagues work at an advertising firm. they clock in at 9:00 a.m. from various locations. >> translator: i can see my team members here. this is me. this person is in saitoma. and this guy over here is in nagano. the other three have logged in from chiba. >> reporter: employees feel like they are working under the same that is partly because they y c easily see what each other is doing. they set their status toto available, away, on the phphone or by. when they want to check if someone is available, they move their cursor over to the person's avatar, and the status pops up. this servicece is designed to provide sosomething that

the imf sees a deeper global recession than it predicted two months ago. lufthansa biggest shareholder says he will back a 9 billion euro government bailout, getting the rescue plan a shot of momentum ahead of a crunch about later today. a bid for closure, the chemical giant spent more than $12 billion to settle thousands of roundup cases and other u.s. losses. a significant number of cancer cases claims remains unresolved. just enter an hour from cash equity trading in europe, and we have a mixed picture. but the futures are trading 0.2%. down dax futures are trading higher in frankfurt. we are looking at different directions depending on the regional indexes. what you see on the gmm? anna: i will get to that in a moment. picture around the spread of the virus in the united states, capturing the markets attention, and sending risk appetite lower. getting numbers at of royal mail, this is interesting because we saw a change in the picture around the spread of the virus in the united states, capturing the ceo. interesting to get the latest guidance, they se

imf cut outlook again, sees contracting by 5% this year and within the s&p headlines like those punishing reopening trades, punishing pretty much everything as you can see behind me particularly the likes of norwegian cruises, winn resorts, banks, airlines sliding significantly. some of those names down as much as 10% sara. >> we've got a huge lineup of guests to help make sense of this selloff today for you air yell investments john rogers saw a once-in-a-lifetime buying opportunity. his take and where we stand now. >>> plus we'll discuss the new tri-state travel order what it means for the entire leisure landscape for ceo of booking holdings, a perfect day to get thoughts on what travel will look like we'll speak to the ceo of slack about working and new product today. full team coverage of this pullback and final hour of trade. mike santoli tracking market action the most concerning covid outbreaks with the new numbers and brian sullivan watching the drop for energy sector, the worst performer. first let's get to josh lipton with breaking news on apple. josh. >> yes sara, this news jus

we are going to need the imf where you have such financial problems.ing to see a food crisis. that seems to be on the horizon. we are going to need the world bank for that. i hope not. the united states has been less interested than ever in these organizations. we need them. rajeev: tom: this is -- tom: these are important comments you are making. are we not preparing for those troubles because of derivative instruments, securitization and nations andt is not corporations representing interests? we have literally financial is those relationships with the emerging markets. helped emerging markets in developing economies by being open to trade. that has brought billions out of poverty. been the most has important foreign policy of the united states. we are now running that into reverse, becoming a lot more focused on ourselves and more willing to block trade in various ways. also, they need help. i think there is a humanitarian crisis shaping up in the third world and developing economies the likes of which we haven't seen since the 1930's. all of the fo

the imf says that in general, asian economies are further along in that recovery class.ejectingtrump is calls to overhaul police funding. the president is working on an executive order that he says asks police to meet the most current standards for use of force. but there are details -- few details on what that program would look like. breaking promises made at the historic summit two years ago. kim jong-un says the trump administration turned dreams into a dark nightmare. they agreed to work towards denuclearization of the korean peninsula. president trump demanded that can give up nuclear weapons before the u.s. eases sanctions. global news 24 hours a day on air and on quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. ♪ >> the fact that we are seeing ebbs and flows should not come as a surprise. gottensive investing has more prone to trending. these are the dynamics that we see these days. so i don't think it is that surprising that we are taking a step back. i wouldn't necessarily think that this is a sign of

the imf says the global economy is recovering more slowly than expected.e chief economist said it will bear lingering scars from the experience. given the need for reallocation of labor, way, theation in a big bankruptcies and solvency issues, and the prospect of changes in continued havey are, one has to be quite concerned about partial recovery. variables point to significant scarring effects. our conversation this hour. very good to have you with us. we are defined going to get to the u.k. data and the shrinkage of the u.k. economy. there is a lot going on in markets. we wanted to start with a bigger picture conversation. given the concerns around the global economy and the selloff in risk assets, that raises questions about wealth effects. how you can put into context the big move we are seeing in markets and the slow pace of recovery for the global economy? we are not really following the markets. clear there will be setbacks in the way, even assuming economies need to reopen. and life slowly but surely returns to normal. to be very deep scarring. cov

the imf says asian economies are further along the recovery path.ys a strong economy will be the fix for racial injustice. the president is working on an executive order that hea says it is the most current standards. china demanded the activists in -- zooms has no one it won't allow any request from the chinese government to impact anyone outside mainland chennai. global news 24 hours a day on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. ♪ >> think about where cuties bottomed out at and where they exploded. they really got overextended. it has to do with the feds money policy to increase supply by levels that no one could have dreamed of. jonathan: the co-cio joining this program in the last hour. from new york city, good morning to you all. this is bloomberg surveillance live on bloomberg tv and bloomberg radio. alongside tom keene i'm jonathan ferro. we are with lisa abramowicz. but we 500 is advancing, are starting to fade going into the cash open. we are pos

how does that all work in with the imf's global outlook and the depth of this recession? >> reporter: it's such an important weekly number because it gives us a sense on the unemployment scenarios that are playing out in the u.s. the latest figure we had was 1.5 million americans filing for unemployment insurance. that number is expected to go down, which is encouraging because it shows that things are starting to get a little better. a smooth road? no. but perhaps a lot more rockier than people had anticipated. you have to keep in mind, this number has been above 1 million since the start of the pandemic and lockdown restrictions at the height of restrictions. we actually saw numbers hitting 6.8 million which is really astronomical if you compare that to what we saw during the global financial crisis. the point here is, rosemary, the consumer is taking pain in the u.s. another important data point that will be released in those numbers is continuous jobless claims. those figures will be really telling about the move of people getting off of that employment role and then

imf cut

. >>> the imf is now projecting negative growth for every region of the world this year.the fund says the global economy will contract by nearly 5% in 2020. the imf says the covid-19 úthan expected and the recovery will be slower than originally anticipated. len? >> and diane, let's talk work from home. it's become the new normal but apparently some people are tired of the whole thing. >> reporter: yes, sir. they're over it. yeah. # 5% of responsibilities surveyed by hr tech platform say they are ready to go back to the office. of that group, a whopping 73% say they would be fine with daily temperature checks upon arrival and the main reason for wanting to return to the office was to get back to a normal routine as well see co- workers in person. len? >> and maybe the other reason they might be tired of family members maybe just a little bit. [ laughter ] >> reporter: right? exactly. >> just a tad. just a tad. diane king hall of cbsmoneywatch.com. thank you much. >> reporter: all right. >> yeah. i am totally feeling that, len. >>> 20 minutes now before 6:00. and nasa's he

you spoke to the head of the imf. what did you learn? >> yeah.mf releasing today its global economic numbers, and, you know, they are really, really worrying. the reality is that as we know they're not telling us something we don't know. this has had a devastating effect on the world's economy and air travel is such a crucial part of this, but for freight and for people. the issue for the politicians that they're trying to judge is what is the economic impact of not hoping up and what is the economic impact of opening up and seeing potentially a second wave. here is where your point is important and a good one. america is the biggest economy in the world. any problem for america is a problem for the world. if america's coronavirus infections are still escalating and are bigger than the rest of the world, that is a world economic problem that will reverberate and has the potential to cause problems, not just for europe but for asia and for every part of the world. >> without a doubt. imagine that. imagine if people from china can china to the eu a

imf downgrades their forecast for 2020. right now, jon, only 15 s&p names are green and none on the dow. >> is that all as usual a lot to factor in here with that, let's continue the market conversation bring in lori, head of u.s. equity strategy at rbc capital markets. lori, good morning we hope to have james mcdonald as well. we're going to work on the audio there. lori, you have recently done a survey of investors. you are picking up on some bearishness cropping up. i'm not sure how to interpret that because on the one hand bearishness might imply that there could be pressure to go lower. on the other hand that might imply that's healthy after the kind of run we had,ed up you would expect to see somebody to sell >> if you go back to our march survey, what we saw was that the level of bullishness on the stock market was one of the highest readings we had in the history of our survey. that told us things were scary in terms of fundamentalings and news flow. they sort of knew inherently this was that point in time was the r

african governments are borrowing additional money to try to deal with the impact of covid, but the imf recommends africa needs 114 billion u.s. dollars to deal with it and it is nowhere near getting that. we are concerned about the impact that this could trigger, popossibly a requirerement as te g20 0 has acknowledged for some type of debt forgiveness. >> africa's first clinical trial of a covid-19 vaccine has begun. it is being tested by researchers from oxford university and johannesburg's university and it is one of more than 140 being developed around the world. it takes years of research and development to reach human trial stages, but scientists are under pressurere to come up with something fast. >> a shot filled with hope. this unemployed young man is taking a risk so that others might in effect. >> i feel a little bit scared. but i want to know what is going on with this effort so that i can tell my friends what is going on. >> this is the first covid-19 vaccine trial being done on humans on the african continent. the vaccine is initially being tested on a small number of peop

the virus is already taking a major toll on the economy and now the imf is predicting that the u.s. economy will shrink by 8% this year because of the coronavirus crisis. abc news, los angeles. >>> disneyland has delayed its reopening. the park was due to open july 17th if given state approval. park officials now say governor newsom isn't expected to issue reopening guidance for theme parks until after july 4th. that would be too tight a turnaround time to open. they are not yet predicting a new reopening date. disney, of course, is a parent company of abc 7. >>> one east bay school district has come up with a tentative plan for the fall. the superintendent announced today the school year will resume in mid to late october with partial distance learning. he says the goal is for 100% on-campus instruction once that it's safe. but he also reminds families this is subject to change, of course, depending on any new guidance. >>> well, as we navigate the pandemic, we've put together a resource to help you track what's open in the bay area and where. you'll find this inactive map on our w

the virus is already taking a major toll on the economy and now the imf is predicting that the u.s. economy will shrink by 8% this year because of the coronavirus crisis. abc news, los angeles. >>> disneyland has delayed its reopening. the park was due to open july 17th if given state approval. park officials now say governor newsom isn't expected to issue reopening guidance for theme parks until after july 4th. that would be too tight a turnaround time to open. they are not yet predicting a new reopening date. disney, of course, is a parent company of abc 7. >>> one east bay school district has come up with a tentative plan for the fall. the superintendent announced today the school year will resume in mid to late october with partial distance learning. he says the goal is for 100% on-campus instruction once that it's safe. but he also reminds families this is subject to change, of course, depending on any new guidance. >>> well, as we navigate the pandemic, we've put together a resource to help you track what's open in the bay area and where. you'll find this inactive map on our w

we have the imf predicting that the economy could shrink by 10% to 12% overall this year. central bank, says that it could go as much as 12% reduction of european gdp. these are absolutely disastrous numbers — christine lagarde calling it the biggest economic crisis certainly since the second world war. and we see the debt levels in countries like italy projected to rise to something like i60%, possibly 170% of national income. how on earth does the eurozone and the wider eu get out of this economic mess? well, pretty much as all other economies will. this is a temporary thing. this is very, very serious. i agree with all the numbers you gave. they are a very good description of the hardship we will experience in the coming months, but we really need to make this a temporary crisis. it does not come as the regular and usual crises in economics do. interest rates are low. we were following a very long — probably the longest — path of economic growth in recent history. unemployment rate was very, very low at the beginning of this sanitary crisis. one of the champions is the

obviously the spike in coronavirus cases seen in part as a culprit alongside the imf scaling back growthbut the other one, could it be joe biden running ahead in the polls at the moment? some analysts at bank of america have crunched the data back to 1951 and they say when the presidency flips to the democr you get in the following three months under performance for the s&p. that and the fact that the democrats have talked about rolling back some tax breaks has some in the market nervous now, always great advice if you're a fresh college grad looking to get hired, then people scout has some advice communication skills high on the list for companies looking at the moment alongside customer service and leadership skills. and you know what? i've always found it helps to smile. good advice, a difficult moment for fresh grads who are out there looking for work back to you. >> also keeping the social media clean, too look at that geoff, thank you >> used to be a smile and handshake. >> more than that. >> when we return, janessa will have an update on when that massive dust storm will hit the u

the imf now predicts that global output this year will shrink by nearly 5% and wipe $12 trillion off large economy forecast to grow at all this year, byjust1%. australian airline qantas is to cut 6,000 jobs as a result of the pandemic. it says a further 15,000 employees will remain stood down until it resumes international flights. shares in the airline have been halted. its ceo said the airbus a380 won't be used for the next three years. one of the largest companies in the british aviation industry — swissport uk — is reducing its workforce by more than half. the airport ground handling firm is cutting more than 4,000 jobs, which it says is a result of the coronavirus pandemic wiping off three—quarters only 68 people in france have used the government's new coronavirus contact—tracing app to record an infection, despite it being launched over three weeks ago. the stopcovid app has alerted just 14 people that they've been in close contact with an infected person. in germany, the authorities in the state of north rhine—westphalia have reimposed lockdown restrictions in two districts a

the imf now predicts global output this year will shrink by nearly 5% and wipe $12 trillion off globalomy forecast to grow at all this year, byjust1%. the australian airline qantas is to cut 6,000 jobs as a result of the pandemic. it says another 15,000 employees will remain stood down until it resumes international flights. and its ceo has said its airbus a380 aircraft won't be used for the next three years. only 68 people in france have used the government's new coronavirus contact—tracing app to record an infection — even though it was launched more than three weeks ago. the stopcovid app has alerted just 1a people that they've been in close contact with an infected person. scientists are predicting that the death toll from coronavirus in latin america is expected to soar by october with brazil and mexico being the worst affected. the leaders of both countries have been criticised for not taking the virus seriously enough and pushing for a reopening of their economies before the virus has been tamed. and wednesday's earthquake in southern mexico has hampered treatment of people with

you look at the imf projections that came out yesterday. i must say, they are very realistic.plained, but these are really realistic. i think the most realistic set of projections we have for a really uncertain year. there is one bright spot in the economy, and that is china and what is around china. is how long i have can you run an unsynchronized global economy? we have not tested it to the extent we are going to test it now. anz chief economic advisor. after being grounded for more than a year, we might see the boeing 37 -- 737 max back in the air. we will have the story next. ♪ anna-- >> the boeing 737 max may be one step closer to the air. test flights may begin as soon as monday. a fairly academic exercise given the grounding of aircraft worldwide? >> in a way it is good for boeing. it gives more clarity on how soon it can start deliveries and productions on the 737, given that this plane has been grounded for more than a year right now. yes, it comes at very uncertain times with the coronavirus and all these planes being grounded right now. it also does give a bit of ce

imf's poult was the thomsen.up, apple's developer conference this year is set to be marred by a dispute with at makers and increasing regulatory -- with appmakers and increasing regulatory scrutiny in europe. this is bloomberg. ♪ ♪ tom: welcome back. apple's annual developers conference starts today, facing one of the biggest backlashes in the app store's history. the simmering dispute comes with apple under investigation from european regulators that could fundamentally change the way it kers makekers -- appma money in the future. pavel, there are a few clouds marring the annual weeklong celebration of apple. what are some of the issues? >> the biggest point of contention between apple and the third-party developers, basically people who make most theye apps you see, is how get to charge money for the services they offer. store takes a 15% to 30% cut of all subscriptions and inapt purchases -- in-app purchases. a growing backlash has been pushing against these particular terms, which some developers find to be u

the imf says the risk of default among the poorest nations is rising and wants creditors to offer debt the managing director told the u.s. chamber of commerce that they would provide time for restructuring. private investors said they may offer low income nations extra $400to ease the burden of billion in debt payments. palestinian authorities threatening to declare an independent state if israel presses ahead with annexation plans in the west bank. israel aims to claim the strategic jordan valley and dozens of settlements in the occupied territory. the prime minister said such a move would have serious consequences with further tension between the two sides. kuwait has become embroiled in the search for the man accused of leaving behind malaysia's scandal. according to a report, he traveled to kuwait to escape a notice for his arrest. it also reports a money trail through the gulf and says low was known to have ties with the kuwaiti royal family and the son of the country's prime minister. hundreds of protesters converged on hong kong's central business district, defying police warnin

. >> the imf says the risk of default is rising. they want creditors to offer debt relief. the managing director told the u.s. chamber of commerce that there would be time for restructuring. private investors said they may offer low income nations extra cash to ease the burden of debt payments this year. in the u.s., george floyd has been laid to rest in houston, here as protests continue and across the world. floyd was remembered as a father and a brother and potentially a force for change after his death in police custody sparked outrage. he has become a global symbol of injustice. and standardbc chartered are being rebuked by a top shareholder for their support of china's sweeping security laws. david cummings says he's uneasy at their decision to back the legislation without knowing how it will work. he adds, if companies make political statements, they must accept the corporate responsibilities that follow. and mass protests returned to hong kong. protesters converged on the central business district, defying warnings of unlawful assembly. at least 25 were arrested. sa

we've been hearing from extraordinary leaders on this platform, including the imf managing director, the colombian president, and later this week, aftghan president. the marshall funds. united states and with nato public diplomacy to bring you a conversation with the secretary-general for nato for the alliances reflection process, evaluating how to strengthen nato in an increasingly competitive world. we're having this conversation as the world confronts the worst pandemic in a century and the deepest economic downturn since the great depression and here in the united states, the most widespread anti-racist protest in 50 years. we have at the atlantic council are responding by doubling down on our founding purpose, to advance a more equal, just, prosperous and collaborative international order and of course, the nato alliance has always been at the center of our work and the center of that. thank you for joining us today from all around the world for this important discussion. i encourage you to join in the conference conversation either by using the q & a function, at the bottom of

a deeper recession a slower recovery full to bitsy's will gdp -- imf predicts deeper global recessions more than the 3% slump it predicted two months ago. if virus cases continued to surge, it could get worse. south africa is facing a public financing crisis. according to pre-lim budget, debt levels will continue to back 80% ofo bring gdp by 2028, that is with the government taking active steps to stabilize the economy. as a middle-income country, south africa also doesn't have access to many debt relief programs that are available to other african nations. global news 24 hours a day, on air and at quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries, i'm dani burger. this is bloomberg. francine? francine: thank you so much, . a billionaire says he will vote in favor of a 9 billion euro government bailout for lift anza at today's special shareholder means of flesh lift anza at today special -- at lufthansa. joining us is our guest, an analyst. thank you for joining us. this is a pretty big deal for lufthansa. it is a bailout pretty much

we had seen the imf saying japan's economy will shrink more than during the global financial crisis soxpect the negative output will put downward pressure on inflation going forward. not much changed with the japanese yen. in the u.s., the pandemic surges across part of the united states with the cdc warning more than 20 million might have already been infected. texas is halting the reopening of the economy with the intensive care wards swamped. cases are rising rapidly in arizona, florida, and california. joel joins us in washington. what have we seen from the president so far? had the outbreak started we daily coronavirus task force press briefings but we have not heard from the president about the surgeon cases. in cases.e >> the briefings have been gone for a while. administrative officials are and theyng the surge say that deaths have not climbed. rally ind his first tulsa and he continues to travel and schedule morales. mask despitear a recommendations from health officials. his economic advisor larry says there will not be the shutdown restrictions that collapsed the u.s. econom

the world bank and imf, multimedia -- multi-letter unities in general have been in terms ofending theries that have access in lending. one important feature that distinguishes the landing wave by the multi-lateral like world bank and imf is the speed with been decided on, theiron, and reached destinations for countries to be enabled to counter all of the very many dimensions of the aftershock they are facing. crisis,as i said, this taken,ifestations it has it is not just a health crisis in some regions and some areas of sub-saharan africa. you're also facing food crises situations. in the caribbean, you have an overwhelming dependency on tourism and the situation is very different. nonetheless, very acute. so there is a diversity of very serious problems and so the response up to the moment has been based on providing the speediest relief. done nowore can be that speedy relief has been put in place? >> what more can be done? to an 1 the g20 agreed suspendve that would debt servicing for the poorest countries. the kind of savings potentially would be freed up resources, the resources t

deficit, poised to reach 131% of gdp by year end according to imf, which put it at a higher level thantermath of world war ii. basically we cannot pay that back in less interest rates remain low. how much pressure will that be on growth as well as file high long-term yields will go forward. anne: there are counter bearing forces on long-term yields. from a big picture perspective, a lot of the pressure is for textbook inflationary. the government is printing a town of money. the fed has said it will keep , unlikely tos low raise until 2022 or later. central banks around the world are pumping money into the economy. we have a lot of potentially pent up consumer spending from people sitting on the sidelines, employees who are receiving unemployment benefits at an expanded level but not interacting with the economy in the regular way. in the u.s. you have a dollar that, if it is not weakening, it is not strengthening as it was before. all of those things are inflationary pressures on the economy. the question is will consumer spending and consumer activity rebound to a level where those i

fuels fear of a second wave as the imf calculates around the world already spent $10 trillion to fight the pandemic and warns america cannot afford another lockdown >> we can't shut down the economy again. i think we've learned we'll create more damage, not just economic damage but there are other areas. we've talked about this, medical problems and everything else the six group seals the deal batching the nearly $$3 million take over. we'll talk with the ceo at 10:35 cet. very warm welcome to "street signs. happy friday it has been quite a week for morning ets. we open the day in negative territory extending the losses we've bounced across the flat line into positive territory it has been a volatile choppy session already. the theme is certainly over the last couple of days in the reversal of the cyclical value parts of the market. that trade has been unwinding. we are now essentially flat on the day let's look at the region we have green here but just so so the german market now off the highs of the morning it is really been oscillation throughout the markets this comes after a very