billion krona,e below the estimate of 4.1 billion krona.y are taking further actions, initiating cost-cutting and targeting. --tomers have come off a they have come off a period of heavy investment. this is something their rivals are having to deal with. customers are now spending a little bit less. this is a challenging revenue environment. what would they do with operating expenditure, that is a big focus for analysts. manus: the ceo will join me on "the pulse." the interview is set for 10:45 u.k. time. actually, that will be in "surveillance." anna: this was a company that was forced to reject the report from swedish media that they were inflating sales. manus: but they denied that. let's get to the latest edition. it is daybreak. let's take a look at some of the stories that are making the front addition today. there you go, anna. it is all about this particular country, turkey. what happens next? what we have seen overnight is --moody'sy has been review.ey on will they cut rates by 50 basis points? christine lagarde at the imf said yes

it says the corona may -- the krona may underperform.ck in with the bloomberg first word news. annmarie horden has more. annmarie: thanks. australia's election has resulted in neither of the nature parties having enough seats to form a government. rating agencies warned the nation's credit score may be at risk unless the budget deficit is reined in. resumes tuesday. u.k. chancellor george osborne set a goal of lowering britain's corporate tax rate to 15% in an attempt to keep businesses investing in the country. he told the "financial times" he accepts the results of the referendum and now wants to mitigate the economic impact of brexit. london stock exchange shareholders voted in favor of the merger with deutsche boerse. but the deal is getting pushed back from german regulators, do not want the combined exchange in london. people familiar with the matter say a compromise may mean moving the company's location out of the united kingdom. attackhdad's deadliest in a year has killed 149. the toll is likely to increase. the truck bombing to

against the swedish krona, it is up 4%. it is seeking safety.afe haven play simply because singapore has a top credit rating. very unusual these days. accounts ofredit let's. three month ago, it was a completely different story. the same dollar was among the worst performers in asia and that's because of its economic indicators. they were lackluster. that hasn't changed. dollar spells trouble for singapore. it is an export oriented country. so experts will be had. it will putting question inflation forecasts. -- it will put in question inflation forecasts. so watch out for october. yvonne: singapore such an open economy. how badly has it been hurt by brexit ends global slowdown? haslinda: it has been hardened it is likely to be heart even more. brexit does complicated things for singapore. to the pressure it is feeling. growth has been slowing. consumer prices have been falling from more than a year and a half. exports forecast a drop for the whole year. it looked gloomy enough back in april. we are talking zero appreciation, something it has no

dollar, 4% against the swedish krona. investors taking cover.fe haven because of its top credit rating. ago, it was a completely different story. the singapore dollar was among the worst performers in the region because of its income it -- of its economic indicators. that has not changed. a strong singapore dollar spells into of trouble, putting question inflation forecast, and that's why they are bracing for monetary easing in the coming months. so, watch this space. angie: how badly has singapore been hurt by the global slowdown and brexit? complicates things for singapore, adding to pressure. growth has been on the decline, , consumer prices have fallen, non-oil exports forecast to drop this year. it looked gloomy enough back in april that the central bank adopted a neutral policy, zero appreciation, something it has not done outside of a recession. singapore is expected to be among the hardest hit and asia by brexit. singapore's economy is open and exposed. the impact of brexit should not be underestimated, so again, look out for monetary ea

the worst performer is the swedish krona,- but it has risen by 8.9%.st the dollar in 2016, the pound is the worst-performing major currency. i am bombarding you with stats. vonnie: i have a few more. we are having a look at u.s. stocks. the dow up 1%. this first88 points friday -- actually, the second friday. i forgot that. 1.2% of a gain for the s&p 500. 25 points. if you look at some other market indicators, i want to point out , too, about 76 basis points. the two-year yield following the jobs data, rising. 75.69 spread. the yen, 100 .57 now. game.ntive there is an election in japan this weekend. below 14 now.x is let's get a closer look at stocks, in particular the nasdaq. we go to midtown manhattan with abigail. abigail: we have the nasdaq up one point 4%, near session highs. take a look at what is helping the index today. awe're looking atwo performance. paula can't is higher on the news that the videoconferencing company is going to be acquired by sears capital. newslycom is higher on the that the videoconferencing company is going to be acquire

the worst performer is the swedish krona, gaining by 7%.as an interesting piece in the financial times today policymaker,t doe who has basically been a hawk since he joined the doe, now favors immediate stimulus for pmi dataof friday which showed a slump in the index which includes manufacturing and services. i wanted to show you sterling since the brexit referendum. weeks the possibility next on the work function. the wonderful work function. from hawk to dove than one feels smooth. very interesting. i want to look at the yen. you heard mohamed el-erian talking about it. a little bit of strengthening. people are scaling back their impressions of what might take toys at the boj this week. stimulus on the other side might be rounded up as much as they thought. it is still weaker on the month in the favor of the u.s. dollar. wti, looking below, a drop of 4/10 of 1%. that is affecting the russian ruble. it was impervious for a while, but it is weakening by 1%. then we have the spread narrowing, 80 basis points. i wanted to point out the china

the swedish krona, down. sterling to the lowest level since september of 1985. a risk off day with investors fleeing riskier assets and taking to haven assets. i want to focus on the interesting charge i made up for you today. these are the u.k. miners. since june 24, the day of the of thndum results, one best-performing sub indexes on the ftse 250, the index as a whole, the mining index has risen 14 cents since the 24th of june. low.ing to a 12.5 year january 20. it is rebounded by 84%. it is overbought right now. if you look at the technical indicators, the 14-day rs i is at a high since march. i want to show you how the minor sat there since january 20. when core, doubling in value. -- glencore, doubling in value. quite incredible. those games. i want to focus on the u.k. property market that has been hit to badly since the brexit results became apparent on the 24th of june. the biggest homebuilder by market value, revenue rose by 12%. .verage selling price added 6% mortgage approvals for home purchases in the first quarter were 18% ahead of the prior year .

krona -- more cost cuts to come. novartis, profitability falls again.ing on one of their new drugs for your heart is where the money is being spent. up .25%. erickson down by 3.49%. zalando unchanged from yesterday. second quarter profit tops estimates. sales popped up by 26%. that is what the germans were doing while we were prevaricating whether we should running part of the european union. let us talk about what is happening in the u.k. manus just mentioning brexit. the brexit hangover maybe one of those things that mark carney cannot cure. that is the view from hsbc which predicts that the uk's benchmark index will and the year down the year down end at around 70%. stephen king joins us. let us talk about what is actually happening here. allows you to put in the currency adjusted column. coming year to date up by 7%. in euro terms, down by 5%. slightly outperforming. the ftse is not a particularly good gauge of the british economy. haven't we are the scene the kind of reality of how markets price things and in some ways correctly coming through? the

the norwegian and swedish krona are also overvalued.rvalued is the south african rand by 65%. theher way is to type into bloomberg. this has the original big mac index is from the economists. this is what it looks like. the price of a big mac is overvalued in the u.s. compared to the eurozone, japan, china, and the u.k. so sincearticularly 2014, around the time that the dollar started to string than on the eye -- started to get stronger on the idea the fed would raise interest rates. amanda: economists have introduced other levels of dollar parity and overvaluation. the iphone is the new measure. the iphone index. we have a chart that will show you relative measures. the argument is that people will go a long way to get an iphone. iphones are priced the same in terms of the base cost price. on that basis, you can see relative to the big mac, a different picture of overvaluation and undervaluation. the big mac index points to deflationary pressures in big markets and a strong u.s. dollar. the iphone index shows a different story. the iph