mark carney spoke to francine lacqua in new york. the best companies across a range of industries and geographies -- part of what came of 2000 ofn a survey the top companies around the world. all of those companies were the vast majority are disclosing at risk due to climate. i will come back to what is material and what is useful. trillion going to warrant. the key thing that we are seeing disclosure,f static what is my carbon footprint if you will is you are getting management more involved thinking about strategy and how it is affected. term,an use an awkward strategic resilience. how resilient are you to changing climate policies?

today on "leaders with lacqua," we meet paolo scaroni. lacqua: is the business of football different from energy -- # roleotions play a very big in football and you have to take account of it. team to winnt the always, and don't really care results.r economic so this creates a discrepancy between the expectations of the fans. francine: does it mean that italian football is back? : i really think so. italian football has been losing ground, and the best example would be that italy didn't play but now, -- , to have a prestigious hedge fund would make a difference. francine: what does it mean for elliott's strategy going forth? do you think they will -- paolo: the decision is made by my thought isbut that since it is a hedge fund, one day they will dispose of it to a goodg buyer, probably. francine: does ac milan need the signing of someone like renaldo to be back in business? paolo: we now have -- playing like -- he ise is run although -- he is ronaldo-like. francine: but he is and him. are there more -- more acquisitions? paolo: there is n

cehic in for francine lacqua in london.terms of regional equity benchmarks, the ftse mib definitely under par from today -- underperforming today. a lot of the worst performers are italian companies, particularly italian banks. we have been seeing it yields a spike by more than 20 basis points across the curve. meanwhile, the euro took a little while to react initially for at least half an hour it was initially unchanged. it is heading a little lower now. quite a contained reaction in the euro compared to what we are seeing in italian bond and equity markets generally. let's take a look at what else we are watching the global markets. overall, and by the way the msci asia-pacific index ended the week on a high over in the asian session. we cite u.s. stocks again as well in some time -- and something like as many as four days. seeing the losses we are on europe's equity benchmark nothing compared to what we are seeing on the ftse mib. you are seeing 10-year bund yields drop by 2-3 basis points. dollar-yen and focus because w

i'm francine lacqua here in london.royal dutch shell is in --ks with shell declined to comment. houston-based focus oil did not immediately respond to a request for comment. uber is in early talks by food delivery companies for several billion dollars. a bid for the london-based delivery valued at more than $2 billion mark a major attempt by uber to dominate the food delivery business in europe. fargo plans to turn its workforce by about 5%-10% within three years. that is as the ceo works to pull the banks clear of customer abuse scandals. sloane made the announcement to employees at a town hall meeting yesterday is working to clean up the bank. the lender is struggling to grow under the weight of an asset cap. francine: thank you so much. another day, another trade deadline missed. u.s.-canadian talks have failed to reach an outcome. robert lighthizer in the canadian foreign minister met again yesterday in washington. no agreement was reached, theough freeman insisted two countries remain in a phase of continual negoti

with me, francine lacqua.agarde lecturing the chancellor of the exchequer? francine: that would be what the brexit people are saying. you would probably receive it differently. heree lagarde is coming trying to find a solution and it will be taken as a lecture on being told what to do by certain people within the conservative party. i'm not sure how it will play out. tom: over the weekend, two major storms. i thought the coverage in the united states was good. taylor riggs is 133 miles from the coast and joins us this morning. , it isabout the wind more about power outages and water damage. >> it is all about the flooding. for people who do not know where north carolina is, you have three major rivers coming in from the coast. they were talking about hurricane matthew two years ago and that was the worst flooding in 100 years. this is worse because of those rivers and that is expected to get worse. we spoke with david fountain, the north carolina president of duke energy. listen to what he had to tell me. i be

they discussed the state of global finance with francine lacqua.fidence consumer jumped to its highest level in 18 years this month. that's according to the conference report yesterday. in the late 1960's came just before the recession and the selloff in the equity markets. one man was a very global perspective. he joins us from the ubs wealth management. great to see you this morning. i'm waiting for someone to say you have never had it so good in the united states of america. that's right. i think we have added slightly to our risk assets including global equities but also in the emerging markets, we are putting our toes in with some of the dollar denominated sovereign bonds. the confidence is strong in the united states, but one of the things we are here to talk about with our client is a bifurcated view in the world where some of our clients are very cautious on asia at this point and maybe a little too optimistic on the united states. nejra: with the u.s. equities, i understand you are adding to risk, but how do you protect those equity profit

in london.e lacqua tom keene with a day off.10 years since the collapse of lehman brothers. moec.get back to gilles when you look at lehman brothers, do we worry too much about the things that sparked the financial crisis which means we over regulate and we are stuck in what happened or have we forgotten too soon about the dangers? in a bankyone working right now still considers that things have changed and the way we have been operating has completely changed. i do not think it is going away. francine: that is a good thing or a bad thing? gilles: it is good. the regulatory pressure came up levelse worst and the had to be push, the behavior had to be change. this is positive developments. we have been concentrating on banks for the last 10 years and my guess is regulators are starting to look elsewhere because a lot has been done already. they regulate enough to prevent the next financial crisis? what was the financial crisis, swan?t a gray what does this tells us about the next financial crisis? gilles: it was classic. neglecte

i am francine lacqua here live at the forum in italy. we will be speaking to the biggest names in business, finance, and central banking. former pboc governor, and coming up we have the chairman of j.p. morgan international. the first, nejra cehic. nejra: as you outlined in the headlines, a lot to focus on in the markets. it is u.s. jobs day. $200e waiting for that billion of tariffs on china, and what is happening in emerging markets. dropping into a bear market. up -- asiay makes seems to have been, we see weakness on msci index. was in the green, but steady now after three days of declines. also in emerging markets, we are seeing a pause in declines. little bit ofs, a rebound, up 0.3%. the dollar very much in focus. for now, let's get first word news in new york with taylor riggs. >> the deadline has passed for comment on tariffs of 200 billion dollars of chinese imports. some of the countries retailers made a last-minute push to persuade president trump not to do the tariffs. president trump in montana said he would strike a good dea

francine lacqua in london. i'm tom keene in new york.ng the last few months of june -- weeks of june. with us is john and rupert. as the festivities of e.m. and whether e.m. today seems deceptively quiet. what is the deception right now in emerging markets? john: i think the uncertainty is exactly how much it affects our credible. we have an outstanding threat to put new tariffs on chinese goods. because you never have a media follow-up from anything the president says, i think investors are little nervous about taking e.m. dramatically low because of the negative comments on friday. i think the handwriting is on the wall that the u.s. is playing the long game here. i think that is why em will go down short-term. gtb.we will get to that on this is logged jpmorgan emerging-market fx. the drama and second derivative of this chart is something. what does it say to you that we have seen one brutal move, another brutal move, now a third brutal move? john: that, to me just highlights there is zero confidence in owning e.m. assets right now. yo

i am nejra cehic in for francine lacqua. the asian session and u.s. session yesterday lower. pretty much every group down. the italian 10 year yield jumping 12 basis points, and widening out. something to focus on, because markets are reacting. bluffalled luigi demaio's a concern. earlier.elow 1.17 so much going on in markets today. let's look at what is happening. u.s. equities jumped yesterday. the last 20 minutes was when we saw the most activity. yield continues to fall. we are down a basis point. it planned yesterday and steepened earlier this morning. we are on a roughly 22 handle on that. the wti crude is jumping. philippine central bank raising its rates to 4.5% in line with the estimate. earlier, we saw that central bank in indonesia hike by 25 basis points. we are seeing central banks follow in the footsteps. currencies have been under pressure. let me get back to crude, up 1.3%. brent crude up. we heard from the u.s. government that they will not release supply from the strategic petroleum fund. that could have gi

i'm francine lacqua here in london.ne florence is threatening to unleash widespread destruction as it hits the carolina coast. wind and rain have hit waterfront towns, causing floods , which could produce a debbie 11 foot search. hundreds of thousands of people have been evacuated and farmers have rushed to save crops and livestock ahead of the storm. for more on the economic impact on hurricane florence we will bring in our executive energy -- editor for energy and commodities. it is much more than oil, because it also impacts farmers, livestock. what will be at the forefront of people's minds? >> in terms of the economic impact, yes, we are obviously clearly concerned with retail side, we care about the infrastructure side, but beyond the obvious risk to human health ,hat is the 11 foot storm surge the thing to really watch for is on the agricultural side. crops thatt turkey are enormous number one state is north carolina, but the thing to watch out for is the pig population. north carolina alone has something like 10

they spoke with francine lacqua.yberattacks. >> the number one thing i think about what can go wrong, i just look at our own experience. we have grounded all that is going on. it is a big issue and probably doesn't get as much attention. people are really impact of whathe is occurring. >> do you all have to work together?do you need to share information ? financial the institutions are probably more prepared. i believe there will be organizationsn that have under spent on technology and my first candidates would be state governments and social security numbers, so to me the problem --and organizations that are not in focus. the financial sector has been under such scrutiny that i would say it is one of the sectors doing as much as it can. i'm not trying to suggest there may not be an attack, but the worry has to be in these other industries. does a cyberattack change the market? and this the reasons is always correlated to positive , common sense has a lot to do with markets. at the moment, it is hard. there is a lot

bringing together policymakers and politicians and our very own francine lacqua.ver to you. >> you cannot beat the lakes. you cannot beat this of you. we talked italian politics, emerging markets, let's get straight to our guest. for years at amazon, now in charge of the digital transformation of the economy. one of the only people that is still there appointed by the previous prime minister. thank you for joining bloomberg. do you think this government will take a back step when it comes to the transformation of the economy digitally? , on the activity they are heading towards -- my job is focused on digital transformation of the government. it is a big piece of the economy. they have obviously come to the recognition that nobody doesn't want a digitalized government. it does not matter what political color. we want government that runs popular -- properly, that is efficient. >> this is tough because i imagine it is against the bureaucracy you have seen for many years in italy. hasn't been harder than you thought it was? >> it was not worried the point is, bureau

francine lacqua has the day off.day is the day where the confrontation on of $200 billion additional tariffs comes to an end in washington. are also a day where we really engaging the canada story in china get a deal done there. canada, china. withu can't do a deal canada, what hope have you got a deal with china? as an investor, do i need to realistically price in those $200 billion that is something that is going to become a reality? alberto: i think you have to and we need to think about the playbook of populism here. populists create an enemy. they portray an enemy to their electric. -- their electo rate. it could be china or the you. eu. in the case of the u.s., you have factors that can produce the same goods, which are today imported by china. you increased demand for u.s. goods in round one. the problem of round two is that you have a confidence effect. round three could be a global trade war. before you get there, you get more votes. of perpetuate the dream rebuilding america's industrial past of re-creating

francine lacqua in new york., lots going on, including wednesday at the plaza hotel. bloomberg'sis is global business form. -- for him. you have a lot of heads of state. there was a rumor that theresa may could resign. i see her strong because no one else wants the job. i will get her take on brexit when she is here in new york. tom: it is a week where i get and chiseled because you cannot drive anywhere so i walk. speaking of getting in shape, taylor riggs with us. china says there will not be any peace talks in the trade war as long as president trump keeps threatening to impose tariffs. on u.s. impose levies another $200 billion of chinese products. beijing has promised to retaliate with duties on $60 billion worth of american goods. president trump says if that happens he will impose more tariffs. president trump's threats on iran are dialing up the opening for the united nations general assembly this week. economy is's struggling since the u.s. impose sanctions and has threatened more and less there is a new

he went in-depth on issues facing his country with francine lacqua.estors were concerned about a number of things. do you feel they are expecting you to go too fast in reforms, too fast in cracking down against corruption? were do you think you are part of the turmoil affecting emerging markets? >> investors have been concerned about south africa in terms of our policy constructs on a number of issues. land has been one of those. we are giving a cogent explanation of the process. on other issues, corruption, we are dealing with corruption quite effectively. the other issue is dealing with miningicy on the industry, we are addressing bad. telecommunications, we are addressing that. visa regime, we are addressing that. many of the issues that have been raised by investors are the policy fronts we are addressing. we are addressing those in a proactive and positive way. the future is that we are including them in the discussion. we are collaborating with all role players in south africa. the unions. civil society as well as business. you could not have a

tom keene and francine lacqua are together in new york. bloomberg. ♪ francine: china sticks to his guns. chinese of stocks drop. here exclusively from brazil's president. instagram founders are leaving facebook with growing tensions with mark zuckerberg. francine: we are still on speaking terms. we focus on theresa may and the global business forums that are very unlike lubricant putting together. tom: before that, president trump at the united nations. francine: a lot of things are happening in new york which is why we are covering this event. theresa may is now more in trouble than 48 hours ago coming we have people out saying they want to see the final time before giving any votes to parliament. she negotiates a deal, but then it has to go through parliament and any to approve it. tom: one is a conservative meeting? francine: it is a pretty busy day for the prime minister. she will give a speech right here tomorrow in new york at the global business forum, and a little bit later, bank executives this cuss global finance during one of ou

let's get back to the amber said lacqua.ancine she is with a man who plays a key role in regulatory reform in the eu. francine: thank you so much. is the first vice president of the european commission. very much, first vice president. -- investors mr. june misjudging this, or is this the hotspot because could this go wrong if the leaders decide to take on the eu? see italy isi can always one of the leading countries in europe, one of the countries that takes was possibility for our collective european future. to date, i have no indication this is going to change. the everett has made some declarations saying they will stay within the legit rules of the european union. they are working on their budget for next year now. it oncestudy and judge it is ready. the government is saying they want to stay within the european expected. very clear.e they have not been enforced. they have been agreed between all member states. our role is to be like a referee in a football game. we have to check whether the member states apply the rule

he went in-depth on challenges facing his country in an exclusive interview with francine lacqua.ine: investors were concerned about a number of things. do you feel it is because they are expecting you to go too fast in reforms, too fast in cracking down against corruption? do you think you are part of the turmoil affecting emerging markets? >> you see, investors have been concerned about south africa in terms of our policy constructs on a number of issues. land has been one of those. and we are giving a very cogent explanation of the process we are involved in. another issues, like the instance of corruption, we are dealing with corruption quite effectively. the other issue we are dealing with is our policy on the mining industry, we are addressing that. telecommunications, we are addressing that. visa regime, we are addressing all that. so many of the issues that have been raised by investors are the policy fronts we are addressing. and we are addressing all those in a very proactive and positive way. but the beauty of it all is that we are including them in the discussion. we a

he spoke exclusively with francine lacqua.ersation is leadership on a task force on financial disclosures, which just released its first report. carney says there is increasing demand for companies to disclose climate related information. mark: there was $25 trillion in assets under management. the task force comes out, a private sector task force says this is how we should do the disclosure. now it is $100 trillion. more than global gdp. three quarters of the globally systemic banks, eight of the 10 top asset managers, insurers looking for this type of information. now what i think happens is the private sector does what it does best. major pension funds, insurance, there are all looking for the step of information. what i think happens next is the private sector does what it does best. companies are starting to disclose. they throw away the stuff that is not useful and the focus on what is material to decision making and then you get better and better disclosure, better and better capital allocation and real progress. franci

i am francine lacqua in london. these are your markets. a little bit more volume out there when it comes to the market after the u.s. had a holiday yesterday. stoxx europe 600, pretty much flat. a lot of it has to do with trade and how markets are pricing in the start of september. looking at pound and peso. there is a lot of em story. argentina, turkey, and fed moves and what that could mean for these markets including dollars/peso. vpd shares have fallen the most since march after the ceo signaled he will do what he asked to do to create growth. that stock down some 8%. joussenp, frederich will join us at 9:30 a.m. u.k. time. let's get straight to the bloomberg first world news in new york city. china's exploiting a merger between two of the nation's three wireless carriers to speed up development. this is amid a race with the u.s. over technology. the top leaders are reviewing a proposal to combine chinese unicom and chinese telecom at a merger may not happen. have a companies combined market value of more than 70 billion u.s. dollars.

i am francine lacqua in london.zon is considering expanding stores by up to 3000 locations in the next three years. bloomberg has learned the world's largest online retailer is looking to reinvent the brick-and-mortar shopping experience. a spokeswoman declined to comment. it sent shares of retail rivals such as walmart and kroger lower. in seattlen opened in 2016, and $1 million worth of hardware had to be in old. us aboutalk with retail is john bilton, head global multi-asset strategy, jpmorgan chase. amazon is said to be opening 3000 cashierless stores. >> they have been working on this for a while. 3000 is ambitious, but it is not just amazon. also in china, companies are looking, so it is not a surprise they are pushing on with it. francine: how does it work? is it a branded amazon store? >> it is a branded amazon store. shelf,e something off a and it figures out what you have, and as you leave, it is billed to your amazon account. francine: should rivals be worried? : anything amazon does, rivals should be wor

i am francine lacqua in new york.r day of coverage, three heads of state in the next hours. i want to ask about the u.k. we are expecting theresa may to talk about tax cuts to make the u.k. more competitive after brexit. ,ow can she keep everyone happy corporations, labor, brexiteer s? >> she can. she has essentially failed. she will have to decide who will get three quarters of a loaf and who is not. one of the things, the eu, particularly the french, or more worried about her setting a present -- president that others might want to emulate. she hasn't found the formula yet. francine: i know were trying to figure out whether they crash out, but does it matter for foreign relations worldwide, or is frexit a tiny thing? >> it matters the most for the future of britain. it is our closest ally and an important part of europe. it would not be the biggest thing if britain stays or leaves? no. what kind of role does the country play going forward. francine: is it a precedent for the rest of the eurozone? a bigger danger bec

am nejra cehic in londonder francine lacqua is on assignment . the shanghai composite rebounding after it closed at a 14-year low yesterday. a similar picture in europe after a risk-on in equities, not by much, but the stoxx 600 to some .2%. ,peaking of commodities yesterday we saw a significant life in industrial metals. today, we did see copper dropping, but it did recoup itself in the asian session, and we are in the positive section now. meanwhile, the 10-year treasury yield not doing a lot. if anything, it was raising by one basis point earlier. 2% three the italian 10-year, some disagreement over the budget. coming up on "surveillance," we will speak with howard shores at 9:30 a.m. u.k. time in this show. first words get to news, and we go to dubai and leslie humphrey. leslie: brett kavanaugh anti-woman who accuses him of decades-old sexual assault will testify before a senate committee. the committee will hold a new hearing, vowing rusher from democrats and republicans. the accuser says he assaulted her at a party. south korean president m

i'm francine lacqua here in london.hese are your markets. you can see the stoxx 600 pretty much unchanged. we are seeing quite a lot of on then euro and pound back of a possible hope that actually the u.k. divorce from the eu will be applicable. 10 years on from that collapse lookhman brothers, we will at the lessons learned with the former barclays chief executive bob diamond. let's get straight to the bloomberg business flash -- bloomberg first word news with taylor riggs. taylor: in the u.s., the white house has delivered a message to north korea and said it is ready to start planning the second meeting with kim jong-un. the announcement came just hours 's topdonald trump security advisor, john bolton, said nuclear talks with pyongyang have stalled. >> it was a warm and positive letter. we will not release the full letter unless the north korean leader agrees that we should. the primary purpose of the letter was to request and look to schedule another meeting with the president, which we are open to. taylor: russian

today on "leaders with lacqua," we meet andrea illy, the chairman of illy.hank you very much for joining us. italian coffee has always been a thing. when did this coffee craze infect other parts of the world? andrea: as a matter of fact, espresso started to become global in the 1980's and 1990's. it started maybe with us, maybe, i don't know, because we started exporting italian espresso to the u.s. in the mid-1980's, and after that, there has been a big boom. i don't pretend we have been the trigger, but for some reason, we were there at that time. francine: do you know why? has the taste of people's changed? even london 25 years ago it was difficult to find a good cup of coffee and now every street corner has something good to offer. andrea: i would say the overall experience besides the taste. before that time in the u.s. it was not possible to get decent coffee out of home. even in restaurants, coffee was served, drip coffee for free. they didn't charge you. you can imagine the quality that it was. other than that, you could go to a deli to get some real

david: that was francine lacqua at the global business forum.ike is the company in our stock of the hour today. the apparel maker fell the most it had fallen since april of this year. losses have pared back a little bit but the stock is still in the red. emma chandra zero to explain this. we normally think about this in terms of colin kaepernick, but not this time. emma: this did not have anything to do with that ad. this was after first-quarter earnings that were reported after the bell yesterday, a strong quarter that saw a slight miss on gross margin, also a slight sales miss in china, missing estimates there by $20 million. some concern that the trade war might be having a bit of an impact. we should still mention that nike raked in $1.3 billion from china in the past quarter. total revenue beat sales in north america, and wall street is saying that there was very little upside after this report, because positivity had been baked in and analysts were saying this could be a buying opportunity. take a look at the bloomberg, and this is the fun

today on "leaders with lacqua," we meet paolo scaroni. thank you for joining us.s the business of football different to energy and banking because of the emotions of the fans? paolo: it is different. emotions play a big role in football. the fans want your team to win always and don't care very much about your economic results. discrepancy a between the expectation of the fans and the expectation of the shareholders. francine: one player who will play for one of your rivals, does it mean a tying football is back? paolo: i think so. i really think so. italian football has been losing ground in the last 10 years. the best example is that italy did not play in the world cup for the first time since 50 years or even more. , to have a prestigious hedge fund buying the line will make a difference. paolo: are they looking to find an owner and sell it? are they looking to find an owner and sell it? paolo: my guess is that since it is a hedge fund, one day they will dispose of milan to a buyer and looking to make a profit. francine: does a.c. milan need a signing of from t

mark carney spoke to francine lacqua in new york.est companies across a range of industries and geographies -- part of what came of 2000 ofn a survey the top companies around the world. all of those companies were the vast majority are disclosing at risk due to climate. i will come back to what is material and what is useful. trillion going to warrant. the key thing that we are seeing disclosure,f static what is my carbon footprint if you will is you are getting management more involved thinking about strategy and how it is affected. term,an use an awkward strategic resilience. how resilient are you to changing climate policies? it to difficult is measure data when it comes to air pollution and water? >> what is relatively straightforward to measure is the static carbon footprint. what is your footprint in your core operative? your so-called scope one in terms of production. it is relatively easy to then go and say -- my energy is -- what is the carbon footprint of that? what is tough is looking at the supply chain downstream. and th

francine lacqua is there, hosting a panel with big-name guests.aring from the deutsche bank ceo. let's listen. >> we also see that in the world economy, kind of a change of trend. we have seen growth over the ort of and or eight --seven eight years and we might see growth over the next two to three years. the role of the bank, next to establishing platforms, being the risk manager of our clients is more important than ever in an environment which may be more challenging than we have seen over the last three or four years. therefore, it is a disruptive change of moving into a platform industry, but at the same time always profiling yourself, that you are the risk manager of your clients. >> you are one of the most famous investors in european financials. how much do you look at the transforming business in deciding where you allocate capital? >> businesses are always transforming. you have to stay abreast on what's happening, with all these various changes. but on the other hand, you have to be cognizant of what is just a gradual shift in taste and

today on "leaders with lacqua," we meet paolo scaroni. thank you for joining us.f football different to

he spoke to francine lacqua on the sidelines in italy.rations the of the prime minister, of the deputy prime ministers, and especially of the economy that we, that have said -- the real attitudes of the government. accept european movementd continue a towards reduction of the debt. because we have already got stabilization, and now we will move to a reduction. so we will have seen immediately every action of the market. be i think that there will further reductions. so you don't expected to be within the rules of the eu? t, at thect also deb end, the market and the rate of interest, the italian pays for that will be more reasonable if you consider that italy is a strong economy. ingis the second manufactur country in the european union. it is the first country in the world for net export surplus. handled capital and interest obligations for the public debt of italy. so it is unreasonable that we pay such a high rate of interest. and it when investors will realize what is the real situation, i think that the threat will decrease. was the c

said -- total's ceo spoke to francine lacqua. a lot of supportive element for the price of oil. the to supply, market, venezuela, libya, and even on the opec side i would say [indiscernible] so i think today you have strong support for oil price. and demand remains high. i announced that in june. even the oil industry because when prices are too high then you open the door to competitors and competition and the demand will fall again. i am not [indiscernible] but that is a fact. francine: will opec and opec allies make up for the production? russia andies on they are ready to increase production. [inaudible] which is not there. they push the prediction -- production up. maybe [indiscernible] so i think this, the market is discovering that margins are not so high and pushing the price up. francine: is in saudi arabia saying they have enough barrels to make up for lost production? patrick: you have to mobilize, in our industry you do not push a button and oil flows, [indiscernible] thefor the time being market is increasing, price is increasing. francine: you have made acquisition

francine lacqua is out today. we need to talk about what is going on in italy.taly are full today with reports about whether the finance minister tria will or won't stay. who better to speak to about this than mario monti. great to have you with us, mario. very nice to see you. we are asking questions about the finance minister tria and his future. do you think he will consider resigning? there are newspaper reports that suggest he will consider resigning if he continues to follow with five-star. you think that could happen? mario: it could happen, but i don't think it would happen -- will happen. acquired significant market value for the country so far. i think it is more likely for him to drop out when the initial tensions materialize with the parties in the majority. now i believe they will continue to disturb him in terms of wanting more deficit, but i enough ins stubborn the first place, and then other people in italy are beginning to putize that as the minister at the conference over the weekend, what is the point in making a greater deficit if that up by

i'm francine lacqua here in london.,toxx 600 having a down nothing huge but they are down 0.2%. a little bit of a fear on the market in general about the emerging markets. pound of course, it is a brexit story. i am bringing that up because we will be speaking to do just tony barrett --ly -- tony blair shortly. fromwe see more contagion venezuela, turkey? we have an exclusive interview with the former u.k. prime minister tony blair. that conversation is coming up at 9:30 a.m. london time. this gets straight to the bloomberg first word news with taylor riggs in new york city. taylor: donald trump has demanded that "the new york identity ofled the a senior official who wrote an anonymous op-ed. the writer, identified only as a senior administration official, said that he or she and others in the government have about two wart the to th presidents more misguided policy actions. pres. trump: when i won they were forced to apologize to their subscribers. they wrote a letter of apology, the first time anybody has ever done it

i'm francine lacqua here in london.vel films will have another -- spring next year with captain marvel coming out next year with oscar-winner brie first female headliner. to face a set criminal probe. jpmorgan cuts u.s. stocks. s u.s.cuts it' treasury -- it's u.s. treasury holds. i am seeing a little bit of an impact on pound. 0.7.month on month, inflation is accelerating somewhat.i'm also looking at house prices index. you're on your, the month of july. it is a little backward looking. it is frequent 1% instead of the 2.7% we were expecting. let's get a little bit of the impact. we will get to paul donovan in just a moment. just a quick reaction. do we have an inflation problem in the k? -- u.k.? to hike of england has rates. paul: i don't think we have an inflation problem, particularly. inflation is somewhat higher. this is reflecting the strength of demand in the u.k. economy. dding.k. consumer is plo along perfectly well at the moment. retail sales are doing fairly well compared to most of europe and not the sugar

caroline: that was the deputy cfo speaking to francine lacqua.ceo at the world largest eve advertising company. sorrelld secedes martin who retired. saying and talking about change could what can we expect? alex: there will be change but there will be must -- much the same. react toeen slow to the realities. a lot of changes have artie started. it is seeing the process through. caroline: one analyst said there is unlikely to be fireworks or pivot. what in terms of the general direction -- you say more of the same, what changes do they need to take? alex: they have 400 different operating entities. they have started bringing them together. they used to have this adage that you could kiss and punch. you could work and when a mandate, but when you needed to collaborate and then when you were trying to compete you could punch. they will be close to collaboration going forward. it is a question of catching up on that front. caroline: what about the digital move? offer morehave to one-stop shop. all the different holding abouties, it is not developing

to rising looket while -- francine lacqua.biggest names in energy when it comes to energy prices and predictions and demand. --se a good director of the the executive director of the ie. -- iea. does the crisis in emerging markets hit demand for oil? next may affect it in the months to come. barrels this year and next year, a similar level of oil demand. supply-side concerns we have, we may well see further tightening of the global oil markets towards the end of this year. such as what is happening in venezuela. their production in two years is from 2.5 million barrels -- day to 1.2 may barrels 1.2 million barrels. bad news. the concerns in the middle east, question about exports and libya is fragile and nigeria is fragile. sayentire picture, i would it would not surprise me if we see further tightening of the markets towards the end of this year. and putting additional pressure on the prices, which in turn is bad news for the emerging markets as most of them or -- r oil importing nations. >> threatened by how much? you do not

julie: that was francine lacqua speaking with jean-claude trichet a. trichet.gest share of workers in 2001 quit their jobs. the strength of the labor market made push wages higher. u.s. real estate funds have about $500 million more than targeted. fun had -- evious chipmakers are falling after all said-- analysts at rbc that demand has [indiscernible] going back now, the lowest about 22 months. this is coming from the demand not through mid-2019, looking like it will stabilize anytime before that. and some supply concerns. new supply coming online. that is pressuring some of the prices. that is leading them to cut western digital to a perform from an outperform. that price targeted to $70 from $95. so much of this depends on revenue and gross margins. it is a cyclical business. we are forecasting half of 1% drop in the next quarter. every few years, you've got this. it will be interesting to see where the pressure in the gross margins as well. r.b.i. analysts believe they can contain it, given the cost measures they have undertaken. the stocks falling in sympat

at that event, my colleague francine lacqua spoke to the south african president.he president was keen to point out the necessity that lies behind the land reform program his government is currently pursuing. take a listen. nowhat we are seeking to do is balance that equation and make sure the land in our country is shared by all south africans who live in it. that is an inclusive process that seeks to have an outcome that will lead to social cohesion, that will remove the threat and the rest of instability, so we are managing the risk. guy: that is land reform compatible with the idea of ownership rights? it is a concern investors have right now, and it may be one of the reasons they are in the best they are struggling to invest in south africa. the goldmann heads sachs south africa office. he joins us from london. great to see you. is it possible that we can have land reform and significant investment in south africa? are these two things compatible? how does the president make this work? guest: absolutely. i think the question is can you have significant acceler

i'm francine lacqua in london. these are your markets.

i'm francine lacqua here in london.e see the stoxx 600 getting a little bit of a left, 0.6% in asia. -- indicese indus is continue on a losing streak. i am looking at the u.s. two-year yield, and pound, which was actually getting a little bit of a lift from a possible amicable divorce between the u.k. and eu. 3030.an see currently at 1. lehman brothers. we will have an interview with larry summers. let's get straight to the bloomberg first word news in new york city with taylor riggs. taylor: hurricane florence is expanding on its relentless advance towards north carolina. oil prices have jumped in the face of what may be the most part for hurricane to hit the state in 64 years. at least one million people have been warned to leave the coast and local businesses have shut down. boeing has halted work at its plant in south carolina. hurricane florence and other tropical systems that will soon impact the united states and its territories. the safety of the american people is my absolute highest priority. we are sparing no

francine lacqua is there right now with the president of south africa looking forward to the conversation. francine: thank you so much. we are delighted to be joined by the president of south africa and he joins us now, so thank you for giving bloomberg a little bit of your time. you meant to with president trump yesterday and he tweeted. did you discuss the tweet yesterday at lunch? : we never really had time to talk about the tweet. it was an opportunity to shake hands and all of that, but it was clearly misinformed, and whatever gave that information was wrong, [indiscernible] involved in reform. it was the original sin in the history of south africa. when the majority of the land part of the country was appropriated by a minority, where less people owned 30% of the land and white people were given 80% of the land. that is the wrong the equation. what we are seeking to do now is to balance that equation and make sure that the land in our country is shared by all south africans who live there. that is an inclusive process and that speaks to have an outcome that will lead to social creat

francine lacqua is monitoring a panel with some of the world leading bankers. >> the dollar crisis we are seeing now for the emerging markets. wrecks that would take 20 years, 30 years. no, i think that is conventional wisdom. just like conventional wisdom about how fast technology changes are always wrong. if there is a will and the will is large, it is less intense. and it does not happen just like the financial crisis being discussed before. with the financial crisis, it happened incrementally until it cannot sustain, and there could be moments where you are seeing some organizations looking for other than dollar-based assets, and that could lead to much higher interest rates here, which creates much greater issues worldwide. if we had that, that would be a big problem for blackrock and other organizations. don't you worry about trade tensions lasting for 20 years and the impact being challenging on the u.s. as a reserve currency? >> i broadly agree with larry. if you look at the financial systems when limited to the crisis, -- when we went into the crisis, [inaudible] that work is

more of that interview with francine lacqua next.e are seeing asian equities and the week on a high looking at the msci asia-pacific index. you are seeing japan outperform, the nikkei heading for a 27 year high. the dollar stronger against again. that dollar strength has continued after the fed. ♪ >> at 6:30 a.m. in london. 2:30 p.m. in tokyo. japan leading a lot of the gains in the asian session today. week markets ending the on a high. the yen touched its lowest since 2018 against the dollar. at 1.13.n trading let's check in on the broader markets now. >> good morning. asian stocks ending their volatile month with gains. it's the last day of the third quarter for trading. japan the outperform are there. -- outperformer there. higher in australia. , theig data out of asia bank of japan around 9:00 will give an update on whether or not they will start to taper purchases of prolonged bonds. futures in new york and london pointing to a higher start. the story that will be dominating europe is the italian bond market opening. i'm lookin