madame lagarde: at the imf we don't look at the last two weeks.'m a little bit too embarrassed to comment on the last two weeks. [laughter] if you do not mind, i would like to go back to the basics. it is a fact that depending on how you calculate gdp, the largest or second-largest economy is going through a list of transitions. you have indicated that as well. industry to service, export to conception, lower investment. i think there is another one happening, which is also the governance change. that is probably going to continue to deal with the anticorruption fight as one of the key proposals. that has to trickle down. this is a management change. it has to be taken into account by chinese authorities and chinese operators. so that risk can be apprehended and taken in spite of this happening. i would say also that, given those massive transitions that are undertaken pretty much at the same time and accepted as such, there is a communication issue. which, you know, is something that markets do not like. uncertainty -- not knowing what the policy

madame lagarde: i would say, number one, clarity of communication.ay, number two, clarity of purpose. i would say, number three, implementation of the reforms that have been identified. and for all of us a bit of patience for this massive undertaking. francine: germany has backed you for a second term. can you say, you would consider it? madame lagarde: look, i am honored and very grateful and extremely, you know, pleased to hear that and i thank you. i thank those who have come out like that. thank you. mr. xinghai: they just said that china is on a margin, a negative contributor toward growth. i was thinking, who in your mind would be a positive contributor? mr. dalio: just to be clear. what i'm saying is, as the rate of growth slows and the complexion of the economy changes and demands on the margin, that's a negative to growth. i don't think right now that we have a locomotive. i think that would be exchange rate rising in the united states, and also, with the negative wealth effect we're going to have, because of the stock market going down, tha

madame lagarde has a lot of appointments to get to.onathan: great to hear from you and madame lagarde. stay with "the pulse." we are live from the world economic forum. first up, chinese markets. three days after it announced the slowest growth since 1990 we speak to -- ceo in a couple minutes time. coming up at 9:30 it is renault's turn. down 20% after it announced recalls and changes to its emissions systems amidst concerns of a vw scandal. we bring you a live interview with the governor of the reserve bank of india following the yuan's depreciation. is he worried about the stability of the rupee? all of that coming from davos, switzerland. good morning. ♪ jonathan: good morning. this is bloomberg tv's "the pulse." day two of the world economic forum. let's get your business flash. nejra: barclays is said to have launched a fresh round of job cuts. sources tell bloomberg that 1000 positions will go around the world as it quits, australia, korea, malaysia and taiwan. been seeking way to restore investor confidence. china's biggest gro

i agree with madame lagarde we all want clarity.ith the chairman we're hoping for success in all the policy areas. one area i would throw my two cents in is china seems to be more receptive in your point to more trade policies and getting some of the trade policies done with the united states would be very beneficial for both in growing both economies. francine: final words, 20 seconds. mrs. xin: i think china is going through this transition period and there is going to be a lot of volatility and noise. it is important policy makers and the media are not focused only on the short-term noise but committed to the long-term reform. thank you. [applause] ♪ ♪ emily: he got his start in west philadelphia. working for the fresh prince himself, and later biggie, and p. diddy. his breakthrough came in 2007, when he met a woman the world would come to know as lady gaga. troy carter helped take gaga from unknown to multiplatinum, then broadened his job title from talent manager to tech investor, betting on spotify and uber. but his own path t

i agree with madame lagarde we all want clarity.ee with the chairman we're hoping for success in all the policy areas. one area i would throw my two cents in is china seems to be more receptive in your point to more trade policies and getting some of the trade policies done with the united states would be very beneficial for both in growing both economies. > final words, 20 seconds. >> china is going through this transition period and there is going to be a lot of volatility and noise and it is important policy makers and the media are not focused only on the short-term noise but committed to the long-term reform. thank you. [applause] >> hello. welcome to bloomberg business week. >> coming up in this week's cover story, race and silicon valley. we track the efforts of howard university to have more minorities hired at leading tech companies. >> we'll also meet one of ted cruz's biggest backers and explore the unusual interest of robert mercer. >> in the etcetera section looking for a butler but don't have millions? we'll see if hel

i agree with madame lagarde. we all want clarity.ee that we are hoping for success and all the policy areas. the one area i would throw my two cents in his china seems to be more receptive and your point to trade policies, and getting trade policies done with the united states would be very beneficial for both economies. >> final word, 20 seconds. >> i think china is going through this transition period, and there's going to be a lot of volatility and noise, and it is important that the policymakers and media are not august -- focused only on the short-term noise but committed to the long-term reform. thank you. [applause] ♪ vibrantmporary world is and booming as never before. it's a global industry in its own right. "brilliant ideas" looks at the artists at the heart of this, with a knee power to provoke, astonish, inspire. ♪ >> "brilliant ideas."

cohn: i agree, i agree with madame lagarde, we all want clarity. i agree that we are hoping for success in all the policy areas. i would just throw my two cents in is china seems to be more receptive to more trade policies and getting some of the trade policies done with the united states would be very beneficial to both. francine: final word, 20 seconds? china is going through a transition. it is important because it makers and the media are not focused only on the short-term noise, but committed to the long-term reforms. [applause] francine: thank you so much. ,onathan: welcome to davos switzerland. it is day two of the world economic forum. asian stocks tumble. the rubles lies below 84 to the dollar as brent continues its fall. draghi's dilemma. how will the oil price play into this afternoon's rate decision? christine lagarde weighs in on the recent news. that is next right here on bloomberg tv. ♪ " live from"the pulse the world economic forum in davos. francine lacqua has been moderating a panel. she will

madame lagarde-- the dalgaar is running for a second term.lacqua was asking her yesterday, the rather demure madame lagarde, that there were many members to be consulted, but she is running for a second term, the woman with the most powerful hermes handbag in the world. let's talk about markets. if you want to understand the power of markets you need to understand the turnaround. futures are trading higher, the paris market up by 1.8%. all these futures are pointing to a higher open. in the capital, if you haven't had the message yet, the pboc went to davos to tell the world things are under control. saying to gets ready for a potential for march action. what you've got here is the vice president of china looking after stock market investors. let's look at the market. oil absolutely running away. magicd nymex above the $30. march wti has rallied 5.25%. the volume of trade going through, march brent rocks away. three times the average, run higher. the currency markets are on a tear. the biggest drop in the end this year, the aussie dollar movi

madame lagarde pushes you aside. i talked to her briefly. her vision of the new mediocre.is catching up to that right now. even with optimism about some parts about the american economic story or europe. some of these covert officers can be optimistic but the market vigilantes they just push them aside today. francine: there is a feeling markets fear something -- it could be deflation, central-bank lack of ammunition. they do not quite understand what chinese authorities want to do. it can also be they want to have that floor for oil. tom: exactly. what we are in search of is somewhere for oil to settle. that is absolutely not occurring. as you know, interview the interview -- interview to interview non-elites are rationalizing what oil is going to do. oil is going down. francine: but we still do not have a floor. i know legally fatih birol cannot give us a figure, when you look at all the different conundrums, iran the difference between iran and saudi it is difficult to touch a floor. then we have these notes saying that $10 or $15 is a possibility. fromwhat we have seen

something we will be proud of, but not something that will just make -- tom: i would suggest that madame lagarde with the word "mediocrity." is with us with the london school of economics. back talkingnue, about europe and the economic experiment. hamm -- this is important in the oil trenches. we will do that on bloomberg radio this morning, worldwide. ♪ , quiet within foreign exchange. the yen weaker today. to 1.42.nada out and pausing, we see that with the mexican peso and the brazilian real. , 100 is not a big deal, but nevertheless it is an emotional hurdle. we are getting near that dollar strength as we see asia and the developing economy currency weakness over the next few days. michael mckee has a very important conversation this morning. frame for me how someone moves from harvard to dallas to the oil crisis. it must be most interesting for your guest. hour we in about an will be talking with robert kaplan, the new president of the dallas fed. --s is the o'connor clastic this is the iconoclastic dallas free markets bank. employment is starting to rise. they do nothing they will go --er d

tom: someone like madame lagarde -- the idea of finance across work,lantic, with your do you have anm about european and united kingdom banking? one of the themes last year was you can't compete with the american banks. i don't hear howard davies saying that. >> well, i did think that the future for european investment banking is not so great. of the new course, refinancing rule which will require us to re-fence away from the investment bank, and that inevitably has a cost for capital in the investment bank, because that can be supported by the parent bank and will be supported by the central bank. tom: what leadership would you like to see from prime minster cameron to allow for investment banking to thrive? >> i think that is not going to change. they have decided on that legislation. it has gone through parliament and is a decision made. i think we are done with that. that is what is going to happen. that is causing all the u.k. banks, including rbs, to have to rethink what kind of investment banking we can offer. i think it is difficult for us to be all things to all men. i am a

tom: francine, that was a key point from madame lagarde, the idea of a best and attitude.ke theessed asia, saying that rally was running out of steam in less we see what? daragh: i think you would knew to say cash i think you would need to see spontaneous changes in the american number. i definitely think we have seen the peak there about in the dollar. i do not see where this spontaneous liftoff is priced in. i do not see it coming. if it does not come, the markets have further to adjust. tom: daragh maher with us and david goldman. futures negative six, dow futures -61, oil weakening to say the least. tomorrow on the program, we have been remiss in looking at real estate across the nation. we will do that tomorrow with spencer rascoff, the chief executive officer at zillow. from london and new york, bloomberg surveillance. stay with us. ♪ tom: they took the "surveillance" gulfstream back to new york. i did not. we look forward to "bloomberg " with david westin and stephanie ruhle. good morning. david: we are picking up where you left off with markets. oil and stocks