the richmont-kering deal would be a group level.makes it more difficult is that if you months ago, market caps of the two were similar, but richmont has had a similar -- that could encourage you hundred. to sell, but it makes it a harder sell for kering. it could end up being the junior partner. guy: bloomberg's potentially pushing for such a deal. it has been pushing for changes at gucci. are the changes we have seen announced sufficient without knowing what comes next to get an idea of what does come next? andrea: the women i have in thinking about it -- -- they are risky. the way i have been thinking about it is it is a struggling company changing a chairman and chief executive at the same time. you've got this creative change. new collection in september. then you have got an interim ceo. that is tricky. then you've probably got another ceo coming in down the line. it is a risky move to do this at this juncture. kailey: it is risky, but it is happening. how big of a threat is it to gucci is in operation within kering? is this th

maybe it's an opportunity for kering. here comes bluebell capital partners, activist investor that has shaken up many a board room. they don't have much of a chance of taking it over. they own more than half of the voting rights, but this is what seems to get investors interested. is this a company that is right for activist intervention? sara: there is always the question of taking a company to another level with a great deal. we know that bluebell is proposing kering merged with richemont, another luxury group, but we also know that the richemont brand says they are not interested in a wedding here. is there another deal in the works that could inject new energy into the kering and gucci empire? matt: they have built this kering and gucci empire, adding other brands including alexander mcqueen, ysl. what else could he add? if not richemont, does anything else make sense? sara: the pinot family really took on lvmh in the late 1990's when they took over gucci and started to build out the brand. they have come to be an agg

you have to be patient on kering .y: how low is the bar for kering on thursday, given everything you just described, all of the changes underway? what does the company need to deliver? erwan: i do not think it is about the quarter. announcing changes last week, two weeks ahead of results, is probably telling the results are going to be pretty poor. it is not really about how poor they will be -- i think they will be poor. we are looking a very pedestrian growth for gucci and the group itself around 3%, you're on your sales growth relative to anywhere between -- year on year sales growth. the disconnect is pretty sizable. it is more about how they will explain the next steps in terms of what needs to be done at gucci, how quickly they can find a permanent solution for the gucci management team. i do not think anyone expects them to surprise positively. it is not about the quarter, it is about the call, the q&a session and can they provide reasserts -- maria surge -- r eassurance for long-term investors. dani: that is al

. >>> switching to kering, the stock is up 6% the ceo will step down he has led the company since 2015 and will depart in september and will be replaced for what is being called a transitional period. gucci sales have fallen below arrival, struggling to bounce back as strongly as its competitors. you can see that with how the stock is trading this year. >>> switching to autos, renault's first half sales jumped 13.5% to 1.1 million vehicles worldwide it comes after four straight years of declines for the french automaker. and euroaccounted for one half of the year of auto sales. it hit the 1 million mark in jeune climbing 18% compared to last year. battery evs are holding more than 15% market share, overtaking diesel for the first time interesting to note that one total new car sales reached almost 5.5 million for the first half of 2023 amid a rebound amid the component shortages. this is a picture of the auto space across all of the different names today, marginally trading in the green. >>> also coming up on street signs, wall street's big banks continue to show their resilience as ma

kering will be taking a 30% stake in valentino for 1.7 billion euros in cash. a lot of activist investors. they are pushing them to combine with --. maybe this will satisfy them. we will have more coming up. this is bloomberg. good night! hey corporate types. would you stop calling each other rock stars? you're a rock star. you are a rock star. no more calling co-workers rock stars. look, it's great that you use workday to transform your business. but it still doesn't make you a rock star. so unless you work with an actual rock star. hi, i'm ozwald. hello ozwald. pam, you are a rock- i wasn't going to say it. ♪♪ ♪ >> well, stocks are on the up and bind yields are, too. abigail doolittle is tracking the move for us. abigail: a very solid date indeed. the s&p 500 up, the nasdaq gaining even more. a little bit of a turnaround for some of the china tech names, that index of about a 10th of 1%. it was just of the news that china is suggesting better rules run mortgages can help the property market there. and here's the big boost to a number of these indexes. at leas

kering is down by 2%.uropean luxury has been one of the big drivers of the european equities story this year. it is struggling. european equities are going to struggle. you can see the impact china is having. kailey: the question, what can grow if china slows? joining us now are sophia of bloomberg markets and andy hoffman of bloomberg news. if we can begin with you, sophia. when we think about the data from china, which arguably was not awful but disappointed -- what does that impact look like in europe and beyond? >> if you look at the ftse 100 today, it is a commodities story. i do not understand why the china slowdown story is a surprise. data has been missing expectations for months now. every time this happens, what we hear is economists saying policy makers need to roll out more stimulus. they are not going to do that. it is not just the china growth sentiment disappointing -- an official in beijing said people need to be patient to see the china recovery coming through. for me, patience means beiji