if rich's call comes to fruition, you want to be long europe period.you're going to have coiled spring. if the u.s. breaks to new highs, you're going to have a risk on rally and we've talked ad nauseam about the pent up moment up if, in fact, over a year of not making new 52-week high, we do that, this market will fly. >> what i will say, i agree with tim in terms of if you want to buy something, buy europe, em, besides short s&p. >> up neck, a strange disconnect happening in the markets. fear is rising but stocks are steady. we'll explain why that could present an attractive buying opportunity. smith & wesson surging after reporting earnings. the latest for the quarter. you're watching "fast money" cnbc first in business worldwide. i'm here at the td ameritrade trader offices. steve, other than making me move stuff, what are you working on? let me show you. okay. our thinkorswim trading platform aggregates all the options data you need in one place and lets you visualize that information for any options series. okay, cool. hang on a second. you can ev

europe. caroline: ryan chilcote is in brussels. you have had a very long day and night. the 27 eu leaders gathering the den -- again today. what is on the agenda? of, -- hug, a.b. 18 building exercise. we can expect a robust discussion on the future of the european union itself. they recognize that what happened in the u.k. could happen in their own countries. there is a real dissatisfaction amongst electorates around the eu with what is going on there. all of the 27 remaining eu leaders want to get reelected. they are politicians. so i think you will see some serious calls for reform. they are not really on the same page when it comes to how that comes about and what the future of the eu should look like. a lot of questions still need to be answered. thank you very much indeed. we are going to leave it there. we will come to ryan very shortly. let's get to our guest, patrick armstrong. -- a group hug possibly today as they try to figure out what happens next. i am not sure they are necessarily on the same page, but that is a different discussion. let's talk about the ma

long time. what do you think it means for europe and the uk? >> let's start with a long time. it was years ago former defense secretary donald rumsfeld feld described western europe as old europe. you think of old buildings, countries run by bureaucracy. they have run into the cliffs of dover. are they goinghe to break up li italy, france and spain going to say if they can do it, we can. there is a restructuring that has to happen now. this is a vote of no confidence in the bureaucratic elites 40 years. ope for >> it will work for europe's benefit i if it is a wake up ca for them 20 do what dan says. more democratic accountability, economic reform. i'm worried in the short term about the british economy and the chance of recession. david cameron has said he'll step down. so sur moil within the tory party as well. >> problems in britain are short term. this is a huge advantage for their economy. why does europe not create facebook or google? because of the bureaucracy in br brussels. the uk, people willl still want to trade with them. they can look forward -- >> let me challenge

long time. what do you think this means for europe and the uk? >> let's start with a long time. it was years ago that former defense secretary don rumsfeld described western europe as old europe. remember? he got his head handed to him for that? what do you think of when you think of europe, old buildings and countries run by bureaucracy. this is the bureau state finally hitting the wall, into the clips of dover. now the question is how are they going to start breaking up? are the other countries, like italy and france and spain going to say if they can do it we can do it? there's a whole restructuring i think that has to happen now because this is a vote of no confidence in the bureaucratic elites that have been running yurm for the last 40 years. >> it will work for europe's benefit, james, i think, if it's a wake-up call for them to do exactly what dan says. more democratic accountability, more economic reform. i'm a little worried in the short term though about british economy and the chances of recession and david cameron has already said he's going to step down. so turmoil

it's a major concern for the big three because europe has long been a market where they've lost billions of dollars. just last year, ford finally turned and this year, gm, which has a huge presence in europe with its brand expects to break even in europe for the first time in 17 years. of course, that's assu do not s eu wrestles with life after brexit. s is that their largest and most lucrative market, the u.s., remains strong. largely due to heavy demand and price increases for trucks and suvs. their most profitable vehicles. so far, awe though makers not made m to production scheduled for the second half of this year and remember, many awe though makers close plants in europe during the recession, so they are leaner and better prepared to handle the slowdown in sales in the post brexit fears become r phil lebeau, nightly business report, chicago. >> the auto sector isn't the onlyg clo attention to developments overseas. major defense and aerospace companies are now left with a lot of unanswered questions. jane wells >> both good news and bad news for defense companies after the brexit.

and in the long run, i think we will find that both europe and the united kingdom will emerge stronger as a result of this. >> we're joined now by phone by christopher dickey, he is the foreign editor for "the daily beast." christopher dickey, as a paris resident these days, give us the reaction from france as you see it. >> well, i think people here are stunned. i didn't think -- i don't think that they believed that this was going to happen. they certainly speculated about the possibilities. but now that it's done and people are waking up to this news, i think everyone realizes it's going to be a true earthquake throughout the european continent. here in france, it's certainly going to help bolster the political fortunes of le pen, the far right party that is expected actually to win the first round of the presidential elections next year. even if it loses in the second round. so she has already called for a referendum many times. there's going to be a lot of talk about france holding a referendum. the last time france held a referendum on the european union, on the constitution of t

punishing them for their vote and stressing this is an upside for britain, america and in the long run, europe donald trump supporter kayleigh mcenany and hillary clinton supporter maria cardona. good morning to both of you. >> good morning, victor. >> i want to start with donald trump east tweet about brexit. he said this this morning. "so funny crooked hillary called brexit so incorrectly and now she says she is the one to deal with the uk, all talk, no action." kayleigh, i want to start with you, there's a lot of talk about this from both sides, both perspectives, some correlation between what we saw in the brexit vote and the 2016 vote? >> there's no doubt about it. look, what we saw happen in england was a complete rejection of the political elite. for a very long time brussels had been telling the uk how to act, what to do, ruining their economy and for once the voters stood up and said we are rejecting the flpolitical elite. that's exactly what's happening in this country where you see bernie sanders empowered and drs empowered. hillary clinton says she's for the middle class but she vo

europe. it is like oxygen. we do not notice it when we are breathing it, but without it in -- but without it we would not last longat has been europe for several generations. laura: thank you for joining us. now to the argument for britain leaving the european union and how it could be beneficial to the united states. that is the case that john fonte at the center for american culture at the hudson institute made earlier. richard says that europe has been beneficial for britain to be in it. what would you say? don: it is about democratic self-government. what britain is doing is they are telling to the british people "will yourself" as they have in the past for several hundred years. written was independent. what they have now is a situation with the european union that 60% of the laws are initiated in the european commission, which is unelected. these people are not british citizens. the directives have to be incorporated into british law. they cannot be stopped by the british parliament. if there was a pan american commission in buenos aris that made most of the rules for the united states and the president and

mark: predicting that turn up, the arctic cycle for a long time in europe -- the burning cycle for --he earnings cycle for a long time. within thely, fixed incomes pay shoe are saying you remain overweight u.s. government bonds. what does that tell you about your forecasts of the timing of the first u.s. interest-rate hike? the u.s.,eel that for we are probably going to see just one rate hike this year. is that think it critical because one or two dozen does not make a difference. it is the ford guidance. and the fed will remain very dovish. forward guidance. mark: we have the nonfarm payrolls report to market emerging markets, have come off the boil. the rally we saw from february across emerging-market assets least for to have at now run its course. where next for emerging-market assets? luca: we have sovereign exposures to yen in the last two weeks because we feel the stimulus and china is coming to an end. there was a lot of short position in the yen a two-month ago. it has now been completely reverse. we need to see more upside for the global economy. we need to see a weaker doll

forces were not going to remain in europe for a very long after victory over nazi germany, was it going to be a matter of months or year or two, u.s. was going to go home. it soon became obvious as the cold war began to kick off, that the permanent or semipermanent u.s. security role in europe was going to have to be undertaken. and that leads fairly rapidly to the creation of nato alliance. at the same time or almost at the same time, the u.s. realizes that the european state and really here we mean western europe peian states were far weaker, far socially weaker, politically weaker and economically weaker after world war ii than the u.s. had expected. it turned out that they couldn't stand on their own right away, that if we left immediately, the whole place was doing to fall apart. this leads rapidly, again, to the advancement of u.s. reconstruction efforts in primarily western europe, really epitomized in the marshall plan. both the marshall plan and nato have sort of the same fundamental goal. of course there's concern about an actual soviet invasion of western europe, what is real

in fact, that is one of the hedges we have for our long equity position in europe is to have a baskete currencies. because he further downside to those even though we've seen selloff already. anna: further downside for which of the currencies do you think will go further? isin: the singapore dollar one of them. the taiwanese dollar is another one. then we would be long u.s. dollar. if we do see another shock out of china, we do have a long equity position in europe which is our positive side. anna: is the focus on the potential shock in china, or a fed shock? amin: either way, we think the basket is em currencies would suffer. whether it is china, or fed, we it could be a good place to be short. anna: where do you stand in terms of global asset allocation? run us through your risk of death list of top headlines? from highkeep away yields, with think that is the end of the cycle. because of the tightening, and also because the fed is talking about raising rates. european credit, we like that. particularly, ig, but also the high-yield market. also because draghi is buying into this prog

the question of course is how long will this cloud hangover markets. not only in europe but also the u.s.. we used to have an environment where we thought we understood the rules the game in various countries. now we have ripped up those roles and we have a whole new tapestry of ideas that potentially could go down many different routes. we just don't know what scenario is going to happen. it's not that the economy is at a standstill the same way we were with lehman brothers. do we have a level playing field across industries? that becomes very important. betty: is there some sort of economic answer here. >> european central bank is watching and wait-and-see what happens with the economic data. central banks need to do something about liquidity. if the financial markets are functioning that is good news that is the silver lining here. they have functioned relatively ok since friday. even if they are plunging. maybe spreads are widening in some places. david: thank you. ; much more ahead on our special brexit coverage. betty: tomorrow will surely be another busy day of tr

when it it comes to europe, there's a long list of things to worry about in europe, besides the outlook>> how is pimco recommending ahead of a possible brexit? >> it depends what you have in the portfolio, we think banks look quite attractive. even in the event of an exit, we think there's good value there. we have overweights to the uk banking settinger. and then positions of guilt markets or currency markets tend to reflect other credit positions or bull credit positions that we have. i think that using the currency or guilts is a hedge for brexit risk which sends expectation in event of brexit, with the banks cutting rates possibly going down to zero. so having a position there makes sense. but for us, it's going to depend on the overall portfolio. >> speaking of rates, i think everyone is focusing on the rate hike. and janet yellen. and your call on that? >> so, a lot is going to depend on the next jobs number. i thought yellen was pretty balanced. the week's jobs number is something they're not going to ignore. we're going to have a jobs report ahead of the july meeting. i think ju

but the negative great lakes are going to be long and complicated. europe doesn't want to show other countries in the group that it's okay to leave and terrified that other countries might do so. they also need to trade with the u.k. we are going to see a very messy dance going on over the next few years as they try to figure this out. even here in england 48% of people did not want to leave. very divided here. very divided in europe. and that is being felt around the world tonight. so, big moment here for the europeans. >> benjamin, thank you. and a market freakout today. the u.s. markets going off the cliff on the news of the brexit vote. and your wallet probably took a beating. fox business network anchor liz liz claman is at the new york stock exchange. liz? >> it was outright stunner. i got a new number for you. they just taled it, the amount of losses on paper only. if you didn't sell anything today you are okay. the losses on paper are now tallying $900 billion on the u.s. stock market. just horrifically ugly day it of course started overnight when t

europe. if the u.k. were to leave, i think this would open up a very long time of uncertainty. have to renegotiate all of its trade agreements with europe first but also with the rest of the world, because today that is covered by the eu trade agreements, and i think this would be a huge challenge from an execution point of view, to renegotiate those trade agreements. it would be very long. uncertainty, up and i think the effect on the economy would be negative. guy: we are going to have to leave it there. a fantastic conversation. thank you very much indeed for your time. the reason i jump in is because ryan chilcote is standing by in st. petersburg with the economy minister. let me hand you over to him. ryan: thanks a lot. we want to give you the russian perspective on what brags it would mean for this country. thank you for joining us for this international broadcast. june 24, we wake up -- let's imagine we learn that britain has voted to exit the european union. how big of a deal is this for russia? >> it has already influenced markets. all,dity markets, first of it impacts

for as long as the uncertainty in europe lasts. channel 6 "action news." >>> furniture maker, ikea is recalling 29 million chests and dressers that pose a deadly threat to small children. it includes about 8 million molly dressers and other designs. six children were killed when they toppled over on top of them. customers are telling "action news" whether they are deciding to return it to the store. >> i am debate that with my husband, i have my 5-year-old, she is at risk. i may want to return it. >> customers with chests and dressers made after january 2002 can expect full refunds, if it's made before that date you could be eligible for partial store credit. more ahead on "action news" at 12:30, wildlife experts are trying to save a blue whale stuck in fishing nets off the california coast. >>> and the area will cheer on a local swimmer in the olympics. fios is not cable. we're wired differently. so we wired the wagner's house with 100 meg internet. which means that in the time it takes mrs. wagner's car to arrive for the airport,

the poster shows a long line of might grabs making their i would through europe and then the breaking point. this is howl the eu has failed. that's accuse old being racist and bigoted and perhaps has helped at the people who want to stay in europe. the anti-establishment -- that's fair to say -- the antiestablishment sentiment is starting to grow, not only here with the rise of maurice johnson and in italy we just had the 37-year-old attorney in rome who relevanted the five star party which is very anti-establishment and just won with 60% of the street take over as the first female mayor of the city of rome. certainly interesting political times in europe. as for the u.k., now it appears they may be staying in the e.u. but the vote instant until thursday. many things can happen. >> the pendulum is swinging wild and crazy. after the trump campaign shakeup, senator scott brown on what he cease going down and how is the administration working world refugee day. well, you're about to find out. think fixing your windshield is a big hassle? not with safelite. this family needed their windsh

as long as europe is dithering on deciding precisely when and how it's going to exit the european union there is a potential for political instability in europe to ensue from that financial instability. but perhaps one of the most interesting meetings for david cameron today will be when he goes in to meet with the president of the european -- with the european commission. jean-claude juncker. this is a man that only a year or so ago, david cameron quite vociferously opposing to take up that leadership position. that's a motorcycle convoy as police moat sooik sxlz their sirens -- of course we have all these 27 plus one, david cameron, european leaders arriving here today. i think we're going to hear a lot of police motorcycles whistling back and forwards outside the european parliament buildings. but the point being that david cameron's time here in brussels today is not going to be a particularly easy one. potentially embarrassing when he goes in to meet the european commission president jean-claude juncker, whose presidency he so outspokenly didn't support a year ago. what we expect h

>> it's true germany has been rising in power inside the european -- europe for a long time. if britain leaves the e.u., if that actually ends up happening, then we'll have to have a partner. it won't be the quality of our relationship with london but a partner with which we can work more seriously and i think that has to be germany. i was in berlin during the brexit vote. the germans are very reluctant to put themselves forward. they've never seen themselves as a global power, a military power the way britain still does. laura: the fact that germany isn't the military power. what would be lost if the u.s. transferred its diplomatic weight to germany as the e.u. power base? >> well, i think there's much to be gained from a stronger strategic partnership between berlin and washington. one of the interesting things to look for will be whether or not angela merkel, if she's able to return to power, continue in power after 2017 german elections, will she make a concerted attempt to raise germany's defense capacity to get to that magic 2% of gross domestic product level? she gave

i think if the eu unravels and briggs it would begin that, the long-term prospect to europe are quite troubling. francine: we had this report that new trade deals may cost 50 billion euros question mark why take the risk? these ludicrous government reports have been wrong. you have had 4 budgets the last year and every one of them have been wrong. francine: investors pull out money. mark carney is pointed to. >> a nice impartial man there. we had it with the euro. nissan pulled out and now they run the most efficient car plant in western europe. i just don't buy this. people buy products because they have good value and are the right price and that will carry on. how damaging to the eu project couldn't eu -- a u.k. vote to leave the eu be? willoughby the first of many dominoes to fall of that happens? >> i don't think so. that would mean a quick reaction from the european leaders. there will beerm, an impact in that impact will not be a nice one. if it happens and somehow i expect them to happen, but if it happens, it will definitely need a quick reaction. europe is sitting on top of

>> the long-term in europe is to increase.if we come back to take a case in point, the voting structure has been reformed by the government specifically with the intention of facilitating mergers between those entities. if you think longer-term, the intention is to reduce reliance of funding for banks. to this intermediate banks if you like. the intention is to have a europe of banking sector less important. the issue is timetable because i think the volatility around brexit and the move down in quite book value means the contract was going up the whole time. i do think that what you are saying at the moment as an initial reaction to what happened and markets are not having fundamentals. this vision markdowns taken place of the next 3-6 months, fundamentals will reemerge. tom: thank you. assets manager with j.p. morgan. we will continue. coming up from washington, i'm here with michael mckee. joining us will be alan greenspan, the former chairman of the federal reserve in a conversation, a most timely position with madeleine a

and in the long run, you'll find both europe and united kingdom will emerge stronger, thank you verying to leave the european union. >> this has been attempting to make it clear this is a democratic decision about the future of the country. it wasn't about any of us. it was collectively enabling that process and maybe just because politicians have forgotten that these things aren't about them. let's just start and tell us what the people have told us to do, today. >> speaking to sky's james becker saying this is a democratic decision and making it clear, speaking innative tongue, she was born german, that britain must remain friendly with it's european allies. >> you've been listening to sky news coverage of the united kingdom voting to leave the european union. you can almost here in the anchor's choice the surprise and shock almost a surprise and shock in the leader of the lead movement. you can tell they were rather surprised that they won. you heard a lot about listening to what the voters say. that has been a theme that we're hearing looking now at the vote totals from sky news,

it's a major concern for the big three because europe has long been a market where they've lost billions of dollars. just last year ford finally turned a profit in europe and this year gm, which has a huge presence in europe with its opal brand, expects to break even in europe for the first time in 17 years. of course, that's assuming other economies like germany and france do not slow down as the eu restless with life after brexit. the good news for the big three is that their largest and most lucrative market, the u.s., remains strong largely due to heavy demand and price increases for trucks and suvs, their most profitable vehicles. >> so far automakers have not had major cuts to production schedules for the second half of the year. many automakers closed plants in europe during the recision so they are leader and better prepared to handle the slowdown in sales if the post brexit fears become reality. >> and, remember, this is not just with the automakers that we're talking about, it's also some of the auto dealers. route 1 has a large presence in the uk. its shares were under pressur

or and europe but potentially for the united states. so we know that we've had a decades' long relationship with london. i think that will be reinforced. each president obama today was explicit that that will be maintained. but i think the brexit vote is really at its core an attack against political correctness, against faceless bureaucrats centralizing in some utopian dream. it's that kind of political correctness that's made america so unsafe in the last seven and a half years. look at what happened after orlando. the attorney general saying, you know, this is not about jihad or terrorism. i'm going to redact the transcript of what the attacker said to the 911 dispatchers. all we need is to defeat the jihadis. that's political correctness. britain has stood up to that political correctness and that's good for everybody, america included. >> one of the cited is refugee program. allowing a million refugees to come in. people across the european union saying i'm not sure i want that free and easy access of those refugees come in through germany to enter any one of the 28, now 2

europe. wouldn't do it for a long while. changed their mind now.hey are going to start employing these guys along the border. changed their mind about the use of the air base. as steve said, also changed their mind about the relationship with russia on the one hand and israel on the other. this is something that isis has taken a look at. the other interesting thing to keep in mind here is i think that the whole idea of being harassed continuously by the separatists, kurdish separatists, that's one thing, but having them infiltrate the country, then attack in quick succession in this year alone, i think four or five attacks inside turkey, i think, has gotten erdogan's attention and i think -- there's one other thing worth keeping in mind. no matter what the political relationship is, has been between the united states and turkey, the military relationship has been very, very good indeed for a long period of time. it's just going to get tighter. >> what about the relationship between turkey and the rest of europe? turkey of course sitting right on th

europe. >> as long as we are aware, not in crowds it ooh es okay. >> reporter: has it crossed your mind? >> oh, yes. i think of those things. >> reporter: some passengers arriving here from south korea have been in the air so long they were unaware of the attack on the airport in turkey. >> i haven't heard anything if it happened within the last 24 hours. there is no extra added security where i came from. i went from bali through seoul directly here. >> reporter: ahead at 6:00 what a passenger who arrived here at dulles this afternoon says surprised him about security at the airport in istanbul when he caught a flight there just days before the >> chris, thank you. we are learning new tonight there are now 23 young victims named in the child sex abuse case involving a former school aide. deonte carraway is facing 270 counts of abuse and child porn. news 4 tracy wilkins has new reaction from the mother of one child named in that indictment. tracy? >> the states attorney said it well. what we are looking at here with the case is not a case of stranger danger, but parents who trusted someo

think as the eu starts to unravel, and brexit would certainly begin that process, the long-term prospects for europe really quite troubling. we have this new report out from the u.k. business secretary saying that new trade deals may cost this country 50 billion. that's a lot of money. why take the risk? >> he's got to come out of the tens and slimy frogs come out of the tabs. sadly they have been wrong. they have cut for budget than last year. >> are you worried about a recession? >> what possible recession? >> if investors pull out money. i'm not making it up. this is what carney is finding. >> a nice impartial man there. we have had this with the euro. this handld about would pull out and what happens? nissan runs the most efficient plate in europe. they're putting in 100 million pounds into new plants. i just do not buy this. people buy products because they are a good value and the right price. that will carry on. >> how damaging to the eu a u.k. votedn' leave the eu be? what it be the first of many dominoes to fall if that happened? >> i don't think so. greatgh that will mean reaction from eur

. >> you support this idea, going to europe and racing? >> as long i get to be the passenger. >> that means i can't go. >> you can throw roses. >> all right, we'll talk about this. right now, we have to earn the money. >> let's do it. >> you ready? >> absolutely. >> let's play "who wants to be a millionaire." [dramatic musical flourish] >> it all starts with a $500 question. here it is. as it's where the golf term for "one under par" is said to have been coined, the atlantic city country club proudly bills itself as which of the following? >> you know, being from florida, we play quite a bit of golf our ways. and i know this one to be the birdie. that's one under par, so i will go with "a,"

europe? this is clearly going to be a long term thing. at the same time, you just saw a ground swell, alex. one of the leaders of the calls to leave the european union is this morning comparing himself with donald trump. take a listen. >> there was something happening in american politics that perhaps is a bit of a mirror of what's happening here. a feeling in much of america, that washington is too remote and trump is cashing in on it. i don't believe in everything he says but he must have a chance at winning. >> reporter: so this is clearly a huge reaction to a deep sense that the politicians who have been leading europe just haven't been listening. the question now though, alex, is what are the implications? >> that is the question and it will be a long time before that gets answered. keir simmons, thank you for that, live for us in london. >>> well, the pound is at a 30-year low against the dollar. some global markets are in free-fall, having suspended their trading briefly this morning. let's go to is a vie in london. what kind of instability are we looking at here? >> well, first of a

there has been a long process of taking the u.k. out of europe. we will see how that goes. many are concerned. i took a train to the brexit tier hotspot for the out campaign. many people voted out of the 70%. let's listen in with what some of these folks had to say. >> it was a difficult decision. i understand why people did that. i can understand why they did it. i think because they have experienced tension. it's not necessarily leaving the eu's fault. it was our government and neglecting communities. people wanted a situation to blame, people wanted a new situation, some form of hope. they thought leaving would give them that. >> they say europe controls britain, that migrants will flood the country. did people buy into these arguments? >> yeah. they did. we don't want the country taken over. it's like someone else is telling us what to do. so we don't belong here. >> in the long run it will be better for my children. we have taken that control now. hopefully they will be less immigration. it's good to have diversity but less immigration. more jobs for us. the nhs, it wi

long time for this to sort itself out. during that time, incredible uncertainty and possibly the breakup of europe. how long will this pain last, bill? >> well, i think it will go on. i don't think it's the worst thing that's happened in years like alan greenspan has said. obviously, there were significant moves in the market today. but, you know, it will take two years for the ufc to leave and to work out new trade arrangements with their european partners. so that will be part of the process. but in the midst of all of that, will be other countries, perhaps france and italy and perhaps, you know, other citizens of countries that feel disadvantaged and have a populist type of attitude. there will be elections, there is one in spain this weekend. and so we're going to see some change rather quickly, but not dramatic to the extent of lehman brothers or capital market crisis. >> and you know what's incredible when you say that, though, for decades, right, it was building towards a unified europe. of and we have all been told that that is a good thing for the world, it has kept the world safer. it is a

europe and brexit. billionaire investor warning parliament he said brexit unleashed a crisis in the financial markets comparable only to 2008. brexit will accelerate it. our next guest isn't so concerned. he's been a longe buyer of european stocks. great to have you with us. i'm curious kevin what the thought process is. we know that you've been in europe for a long time and i would argue since brexit the thing that's changed is we don't know what will happen and the risks around this story have increased. you don't see that. >> let's go back to exactly seven days ago when everybody thought the polls coming out of this poll is it was the end of the free world and what happened is the british currency dropped 12% and the europe stocks were as much as 20% more including european stocks which went down as much as 12% and here we are seven days later and they've fully recovered. if you're a value investor like i am but every so slightly over the last six months all my value screens keep showing me european large cap paying stocks as being significantly better buys than the domestic equivalents. glax owe smith cline got crushed friday and monday. every one of us in new york city that takes those pills still

long, it all depends. joining me is senior europe correspondent.tting ready for the coverage, i read an article in which it was outlined this that this is broken in to three areas. i'd like you to aeds each. the economy, immigration then identity of great britain. talk about the most salient points in each of those and why brexit has been so successful? >> the latter few won the day. what was dealt as scare mongering about the economy on the remain side didn't seem to resonate with voters, although we are definitely seeing scary stuff in the market today. the message that got through was immigration. that was the key point in the leave campaign's messaging. take control of your borders, become completely unfettered sovereign nation, decide who can come in to the country and over arching that is the identity of the british people. i think there's a lot of soul searching today, existential questions about who we are and what does it mean we have essentially entered in to this complex, messy divorce with our neighbors. >> with regard to immigration, g

it's unlikely the party has been passionate about europe for a long time and the remain camp led by david will want to see a big victory and that is in question now. you could get a vote in and -- we are off to what david cameron has called the never and him -- the nevere ndum. smithcoming up, why axis kline is betting on microscopic robots in our bloodstream. the rise of nano bots is next. ♪ too distant not future, nano bots may be replacing prescription drugs will stop line is experimenting with these robots. our reporter joins us now. what are bio electronics? slightly weirda and wacky bit of science that has been taken up by glaxo and the number of startups and academic researchers. the idea is our nervous system runs on electricity. if you influence how that electricity is transmitted and modulate these nerve signals, you can create interesting effects in oregon's -- in organs. a pacemaker essentially jolts your heart with electricity, but what they are talking about is far more ambitious. ink: why is glaxo alone making this? this has been seen by drug companies as a bit of a sidesho

europe, now at 27, cannot function any longer in this way. the question of its deep re-foundation is therefore urgent and has dragged on for too long. i ask that a reunion of european heads of state and governments take the decision to elaborate another treaty which will show the people of our continent that europe has decided to take hold of its destiny. >> the uk's decision to leave the european union has been compared to the rise of donald trump in the u.s. since both highlight voters' dissatisfaction with the political establishment. and hillary clinton's campaign is rejecting the comparison saying in part that trump is more concerned with himself than his fellow americans. but the presumptive republican presidential nominee disagrees. >> i really do see a parallel between what's happening in the united states and what's happening here. people want to take their country back. they want to have independence in a sense. and you see it with europe, all over europe. you're going to have more than just, in my opinion, more than just what happened last night. you're going to have, i think, many other cases where they want to take their

a time of renewed russian aggression, i believe would call into question america's long standing commitment to europe and so the campaign manager upgrade now in the trump campaign is a washington lobbyist with questionable loyalties. that's whose running the trump campaign. >> the politicians are going to destroy this country. they're weak and ineffective. and they're controlled by the lobbyists of the special interest president. >> up next, joe biden versus donald trump. >> isil wants to manufacture the clash of civilizations. why in god's name are we giving them what they want? viagra single packs... so guys with ed can... take viagra when they need it. ask your doctor if your heart is healthy enough for sex. do not take viagra if you take nitrates for chest pain or adempas® for pulmonary hypertension. your blood pressure could drop to an unsafe level. to avoid long-term injury, seep for an erection lasting more than four hours. stop taking viagra and call your doctor right away if you experience a sudden decrease or loss in vision or hearing. >>> as the trump campaign spent the day wondering who's

>> what stands out in terms of chinese investment in europe and investment in asia as a long-term, thoughtfulproach to building business and developing a presence in europe. i would just urged chinese investors to continue to take that long view. i think there are in those markets. there are many wonderful businesses for china to invest in and partner with. we are seeing the most volatile moment in this -- with this whole issue playing out. i am confident that chinese leaders in business and politics will take a long view. >> thank you so much for your time on bloomberg television. issue, thatory, an is not going to go away anytime soon. we will be talking about it all morning. rishaad: we certainly will be. thank you for that. we have upyou what next, what to do if you are unhappy with the three global ratings agencies. some plan ton, and do just that. ♪ rishaad: now the so-called brics are to break free from the three big credit agencies. they are talking about a new one that would be structured differently. how would it differ? looking at the ratings agencies beholden to the companies they

really became annish knew volatility increased which highlights the fact that really europe was the biggest potential loser longhis scenario. yes, the banks in europe, obviously, unlike the ones in the u.s. vent been recapitalized to the extent they should have been so far. but we're seeing credit growth. longer term, i think europe and the european banking system doll fine. it is still healing. and it highlights again that europe is the biggest potential loser with this to go through. >> how it is going in cleveland this week? >> it's great. a little tired. but a lot of people downtown yesterday. a beautiful day. very happy and excited, long time clevelander, very excited and proud of our city. >> it's been a long time coming. congratulations on. that martin, thank you we appreciate it. >> thank you. >> new numbers on new home sales are out. we'll bring you the latest ahead on "power lunch." but before we head to the break, take a look at the u.s. companies most exposed to the uk. they include ford and ebay. life insurance automobile insurance i spent 20 years active duty they still refer to me as "gunnery ser

i think if the eu starts to unravel and brexit would start that process, the long-term prospects for europeoubling. matt: on the trade side -- this recent wave of populism that we have experienced, this your inane earning for another reagan or thatcher. this yourresting -- earning for another reagan or thatcher. niall: donald trump is no ronald reagan. brexit take a of different view of the matter from margaret that church art when she was prime minister, she pushed for the single european act that was the most important reform of europe in its history because it created a much more integrated market. previously, the union had been a protectionist club for agricultural economies. that transportation -- that transformation was very -- a very important contribution from britain. and themoved europe direction of free trade. in the direction of economic integration. more recently, britain has won two important arguments. monetary union. we decided to stay out and that was right. the argument of free movement of people. we did not sign up for schengen. we were smart about that. to leave it when

forces were not going to remain in europe for very long after victory over nazi germany.t would be a matter of a couple months or a year or two. it became obvious as the cold war kicked off that the permanent or semipermanent u.s. security role in europe would have to be undertaken. that leads fairly rapidly to the creation of the nato alliance. at the same time, the u.s. realizes that the european states, and here we mean the western european states, were far weaker -- socially weaker, politically weaker and economically weaker after world war ii that the u.s. had expected. it turned out that they couldn't stand on their own right away. if we left immediately, the whole place would fall apart. so this leads rapidly again to the advancement of the u.s. reconstruction efforts in primarily western europe. he put demised in the marshall plan. both the marshall plan and nato, they have the same fundamental goal. they are concerned about an actual soviet invasion of western europe. but what is more significant is the american diagnosis that europeans have lost confidence. the

manager that made this -- something that made this different from any war that had been seen in europe in quite a long time was the way political violation was deliberately targeted -- violence was deliberately targeted at civilians. in areas that the nationalists controlled or took over, there was widespread targeting, targeted killing of any civilians who had been in any way part of or known supporters of the previous elected government of the spanish republic. 150,000 civilians were killed in nationalist-controlled territory during the war and another 20,000 afterwards. this was a lot of violence on the other side as well. in the spanish republic, mobs killed an estimated 49,000 people who were presumed or known to be sympathizers of the spanish nationalists, and nearly 7,000 of them were members of the clergy, the catholic church being so identified with the big landowners and the nationalist movement. an extremely violent war that was very violent in other ways as well. conditions in the prisons, especially those maintained by the spanish nationalists, were absolutely abysmal. their emblem of a y