ecb president mario draghi says he wants to get inflation growing as fast as it can. ng live in frankfurt. it looks like there is a lot of work to do over there. draghi thinksario prices will rise no more than 1.4%. russia possible at them your russia's vladimir putin is taking aim at europe and the u.s.. goal is to hurt the russian economy. he called on russians to end their dependence on imports and that businesses need more freedom from bureaucracy. he's not wrong about that. for the second time in a little more than a week, a controversial grand jury decision involving a black man killed by a white police officer. here in new york, protests broke out after a grand jury decided not to indict the officer who choked eric garner to death. garner was choked while being arrested for allegedly selling contact cigarettes -- unpacked cigarettes. i'm determined to get justice form i husband because he should not have been killed in that way. he should have not been killed in any way. he should be celebrating christmas and thanksgiving and everything else with his christmas -

so a lot of focus on what mario draghi will say. he's been hinting at the prospect of full blown quantitative easing. will he actually deliver that? that's the question. taking a look at u.s. futures, right now, arrows are pointing to the upside after the s&p 500 closed at that at another record high. on that note, take a look at the rundown of what to watch this trading day. it's not just the ecb. we're getting weekly claims out at 8:30 eastern. the inflation mark is expected to drop below 300,000. dollar general, barnes & noble, the parent of sears came out reporting results before the opening bell. we have american eagle outfitters. their results due, as well. >> and we always care so much about bonds here on "worldwide exchange." one bond in particular, james bond, the bond decision is here. we're looking at live pictures where aeon productions, mgm and sony are revealing the title and cast of the next james bond film. at the moment, it's called bond 24. as you can see, the teaser is playing at this event where they will be anno

i thought mario draghi sounded less committed. he didn't say he will hit it, he said he hopes to hit that target. that didn't sound like someone to me that got the free reign from germany to go into qe if he wants it. >> that's true. but also he emphasized that they will proceed by majority. so they don't need strong consensus to do so. i think at this point the key part was they expressed strong concerns about the duration in the outlook because of the low oil prices and emphasized the mandate is price stability. if he doesn't leave it early next year, it will be -- the markets. some say it will spur growth, others suggest it would weigh on inflation even more so. >> that was the big question going into the meeting. how is that, given the starting point that inflation in the eurozone is so low? it could boston inflation very close to negative territory. the ecb seems willing to address this risk. >>> the u.s. dollar rose above the 1.20 mark versus the yen ford first time in seven years yez. abe would win a land slide victory in s

president, mario draghi. he pledged to raisin nation in the euro area as fast as possible, but some of his own governing counts sirbling the germans, are urging him to go slow. we'll hear from draghi at 8:30 eastern time. house speaker john boehner has come up with a strategy to avert a government shutdown. he has to go hat in hand to lock for democratic votes for legislation that would keep the government in operation after next week, but not all of boehner's republicans will go along. to keep them happy, boehner has to hold a symbolic vote as early as today that would reject president obama's immigration proposal. the real fight would be moved to january, when a new congress convenes. >> you heard this script before? >> 17 states filed a lawsuit against the president wednesday saying he violated the constitution with his executive orders on immigration. tom? >> very good. in pro basketball, no, not the new york football jets, how about the philadelphia 76ers? they avoided tying a record for the lose worst l

the ecb might have a new headquarters building in frankfurt, but mario draghi has some familiar problemswith at today's meeting. all this against the background of a risk of deflation and questions over quantitative easing. >> the keywords will come from draghi's news conference. what indications might he give on how far and how past -- how raise interestll rates? to be an intense discussion of monetary policy and the economy in the wake of yesterday's autumn statement by george osborne. >> we are watching two central banks, two sets of deliberations. joining us now is david powell. what do you expect -- do you think this line about the bank of england left with the heavy lifting to generate further growth, is that actually what you think after yesterday's autumn statement? >> well, monetary policy has of thesponsible for most recovery we have seen in major economies. certainly, a lot of weight has been put on the bank of england's shoulders. we are not going to get anything from the bank of england today. probably the attention will be on the ecb. >> we did discover at the last meeting,

investors may be a little bit disappointed with mario draghi because he did not announce sovereign qe yesterday. another voice says that if draghi does announce wanted of easing in january it is not enough. in my view they will start doing qe by january or february of next year but it will be too little too late. they should increase the balance sheet and i feel they will increase it over two years and that is not sufficient. and as mario pointed out in his speech, qe work in the u.s. and backloadede you had fiscal consolidation and in the eurozone you have frontloaded. in the case of japan the first round was monetary and fiscal. you need to have fiscal stimulus and the eurozone in addition to monetary. if you just have monetary it will not be enough. on both counts the eurozone will come too little too late. >> and breathe. a classic rant. we're joined now by richard jeffrey the chief investment officer or he helped us to see 30 billion pounds in assets. too little too late even if we get an q1? >> or is it the answer? the ecbthe problem for is that they are not convinced that quant

the ecb president mario draghi said the banks increased operation for more stimulus. that could happen next year. a decision will not be made until next year. the world stockmarket did not like what they heard and they started calling, including here in the u.s. germany is having a problem with this because they think what will happen is, if you institute the stimulus, that means nations will not have the wherewithal or the will to deal with their own problems because they know they .ave a safety net if the eurozone cannot turn a corner economically, what are those tailwinds going to mean for the rest of the international community? >> the markets are underwhelmed, but they should not be surprised. everyone is fixating on draghi. everyone should be looking at germany. germany has drawn a red line around quantitative easing, for good reason. they don't see it as necessary. the german pastor competitiveness is to keep spending low, keep your debt low . this is the egos of germany. that does not flip overnight. germany is going to become more conservative and more nation

nobody expects mario draghi to flatout say we're going to do qe.any kind of specific details? is he going to telegraph to the market they're actually thinking of buying sovereign debt bonds? i think the euro moves lower. it means he's going to go ahead, he has the consensus on the board to begin qe. if he is sort of very nebulous and doesn't throw out details, i think you'll see a shortcoming rally. everybody and their mother expects the euro to go down that anything less of an almost open, obvious telegraph there's going to be qe is a disappoint to the market. >> i was going to ask you what's lopsided at this point. everybody is looking for the dollar to continue to rise. >> it is definitely getting a little bit of a rise. heaven the japanese may not want to see the yen depreciate much above $1.20. at that level it becomes expensive for japanese consumers to buy exports. they want to contain the move significantly. we may not see much beyond the 120 for the time being. the other thing. fascinating, you always forget how much of a game it is. y you

we are starting the week in negative territory. >> on thursday mario draghi did not announce qe. and his statements were suggesting we won't see it any time soon. given that markets haven't done too badly since thursday. >>> let's also look at the bond markets. we have seen yields tick up a little bit so far in december. we kicked off december with the u.s. much closer to 2.2%. and it is now above 2.3%. why have yields ticked up in the u.s.? well, we have had a slightly more risk on sentiment, particularly the strong fundamental data. so we have seen a more positive number with the yields tick up. the yields have ticked up in europe over the last week or so but because we are not as confident as the quantitative easing from mario draghi, although that's still the expectation from investors that we'll get it at some point in q1. the ten-year in germany is at 9.75. similar yield for the ten-year in the u.k. we'll look at the u.s. dollar index soaring once dense. a little bit of a correction today in the yen, but it pushed past 121 at 121.14. the euro weakened to 1.2254. and the rou

. >> how does mario draghi juggle this one today? does he worry about inflation expectations? >> i think mr. draghi will again come it to whatever is necessary to keep the show on the road. he will make the noises because that is one of his principal skill sets. since been doing this 2012 and i expect more of the same today. >> let's took about money. i look at the markets, i question whether they trade on fundamentals here in europe. i've seen this movie before in japan. i've seen the u.s. version. we are about to see the european version. you execute on qe, stocks go higher. >> we should also assume the euro is on a trend lower. we need to buy good quality companies but also u.s. earnings. i'm looking at companies like sap, companies that i think our world-class class in their own right. >> new two-year lows this morning. sterling lower as well. we talk about sterling after the break with james bevan. here is a look at one stock on the move this morning. equities higher, not as high as this. the low-cost carrier has lifted its full-year profit forecast to over 800 million eur

do you think mario draghi will have any success? do you think people graduating will find opportunity? >> yes. ofhink what he is doing is crucial importance and i must there are a set of decisions the european union is going to take concerning how to make public finance and fiscal ascipline consistent with match for all public investments. andreal economy in europe the monetary economy of europe are proceeding in an evolutionary manner and along an aggressive pass the president has initiated. when it comes to purchasing government securities alongside the ecb, it would do well to principles that were agreed to two years ago in the european council. namely government securities issued by countries that comply andy with the requirements recommendations that are, by definition, more excepted by the ecb. is there a danger the ecb is doing too much of the heavy lifting? that means there is not enough pressure on politicians around europe to push further for the refunds. >> that is why -- that is exactly why i am saying that the ecb buys

moving higher from the likes of mario draghi.we can ask back from the easy day on thursday? yes, they have been promising a lot and say if things get worse they will do more. that then talking about quantitative easing. i do not think they are planning on doing anything more after this meeting joe. a week after the meeting, they got the results of the long-term operations. i do not think they would take another step they would before they get to that additional information. and inwant to see that january or february after they see how things are going and the oil price, maybe they will take some action. i do not expect them to do anything at this meeting was go boost the euro temporarily. >> has the euro found is lows for the moment? it has been a little bit lower. what can push the euro towards 120 or down? ranged for the last couple of days. what would we need to see if the and they could follow. we could see something else. ,f they make a firm statement we will begin quantitative easing. yes, we could see it down. the bad pmi'

mario draghi once more information.is there a gap between what draghi is saying publicly and what officials are considering privately? this date of january seems to be talked about a lot. >> we are getting down to timing so what he said yesterday is that the government council considered quantitative easing and said they would consider it again in the next year but did not specify when. that is all public. news had anoomberg important story saying they would consider a package before the next meeting which is january 22nd and in that package he will have sovereign bonds. that is quantitative easing. ont is all private paste anonymous sourcing so that is where the difference seems to be but clearly they are thinking about something. mario draghi hinted at this yesterday about the technical measures the staff is taking. relevantaff and the euro system committees have stepped up the technical preparations for further measures. which could if needed be implemented in a timely manner. officially the big change in verbiage, t

that could give you an indication that mario draghi is having a hard time growing that balance sheetone trillion euros. here's what the estimate is -- 148 billion euros. is problem and the challenge the september take-up -- it came in at a disappointing 83 billion euros. you add that to the expectation of 100 4380 get to 230 billion euros. here is another issue -- when you add up all the outstanding debt due by february, you get to 270 billion euros. it could be that the balance sheet, even as mario draghi is try to do all this, simply isn't grow.to anything that comes out on the disappointing side will be another data point for the evangelist of quantitative easing. that could mean the january 22 meeting, and that is what gets people very excited. many people are looking at what happened to the oil price and asking questions about if it is a big boost to consumers. not necessarily a boost to consumers in the european central bank, because of what it could do to inflation. we are going to get more clues on inflation today. minutes, weabout 20 get inflation -- and then we get us ae's

i'd like to begin first with ira at the cme because mario draghi said wait until next year, right?did not make any announcement of a large scale asset purchase. then the markets fall and then bloomberg makes a report around 12:30 p.m. which really wasn't anything new but simply said, don't worry, it'll happen in early 2015. you can see where the spark hand. that green little point. suddenly the markets reverse, but we can't hold it. why does the market like that, ira? >> it's the sell the rumor or buy the fact or buy the rumor, sell the fact. draghi was not doveish enough. the market didn't not like the news, but it's priced in and overpriced maybe that the qe was going to happen in december. i don't think it's there. it might be january or march. it's coming, the question is when. but they're going to first see how their other programs go. remember, the governing council has two germans on it that don't want to see this happen. he has to put all the indians, if you will, in order here, get it done politically so they are isolated and he can force that to happen. expect that to be

mario draghi said is not just the national bank governors. he has a division within the ecb.is deeper. >> deeper and more broad. somore broad, and rightly because the risks are fluid because you could take reasonable views and reasonably book could disagree. >> stay with me. --nd el-erian, from jobs mohamed el-erian, from jobs to oil -- what it means for the global economy. stay "in the loop." ♪ >> we are back with bloomberg view columnist mohamed el-erian, and i want to date back into a topic that has been on everyone's mind, oil. you have a good, bad, and an ugly -- i want to read part of it. impactd "the net overall of this year's 20% plunge in oil prices is positive for the global economy, but it is not universal and it comes with a negative dimensions the need to be well understood." what could be the worst outcome? >> the worst outcome could be is if it encourages russia to continue and expand its original adventures in ukraine as a way of diverting attention thatnally from an economy is imploding, whose currency is collapsing. there is a tendency in international polit

mario draghi and the ecb, will he disappoint or not? will see turbulence in the market and have to reprice a little bit and back off some. that being said, the u.s. economy is getting better. we see almost with every macro report. we see what the fed is saying and people are getting more comfortable and therefore i suspect that after a little bit of turmoil probably in the early part of the year next year we'll continue to find of march higher. >> talking of ecb and mario draghi, i'm sure your good friend bob pisani not there with you now but talking behind the scenes and i think a 2015 prediction is european stocks to outperform u.s. stocks. what do you think about that? >> i think europe yees a great place to put some money, especially next year and especially if the ecb starts to support. i think you have to be careful and wait until you get more of a direction. i think investors given mario draghi a hall pass up until now and jawboning the markets higher. i think in january he's going to have to do that. if he does it, then i think

the ecb meeting will mario draghi unveil full quantitative easing?e're lower across the board, indicating a move lower by around 15 points. the s&p 500 and the nasdaq trading lower in premarket trade. yesterday was the best day for the s&p 500 in over a month thanks to better than expected economic data. construction spending rising 5 1.1% in october. how do you make money in these markets? that is the big question. here is what experts have been telling us this morning. >> i think the dollar is going to go higher. look, we had nearly ten years of negative real interest rates since early 2000. and briefly crashing down again during which commodity currency s went up. >>> the oil story is the biggest change in the last month probably in the fundamental picture for equities. and it's very clear who the winners and the losers are. consumer discretionary is where everybody wants to be in the united states particularly a marvelous tax cut. and the losers is the oil companies and russia. >> we have a lot of supply, a lot of starts, and demand is okay. what

up above 1.24 after falling 1.22 on the beginning of the mario draghi press conference with the european central bank. what happened, very dovish take on it as draghi said policy had now moved from expecting the balance sheet to move to the 2012 level to now being intended. that is a dovish comment. now it's a matter of policy. he then went on that it's not unanimous. germans are not onboard. now you have a hawkish trade. look at the euro. the bund just reversed after rallying up to 73, now it's back to 76. again, this is looking like a hawkish, even though i think draghi has given a very dovish change now. the trouble is this. he's been engaged in what we are calling quantitative speaking a long time. the market has traded in anticipation of it. maybe now the market is at a point where it's in a show-me state. show me more quantitative easing. when he doesn't do it, maybe that's why you have this euro rally going on. the bund reversing itself, yields are now higher. the bund selling off. it's as we often have here, a mess when it comes to europe. very hard to understand and translate po

the challenge for mario draghi is, how is he going to get to one trillion? remember, the september number is appointed. it came in at 83 billion. to recoup the cost of the previous loans, which is all the way up to 270 billion, you have to see an eye-popping number today. to behe market seems expecting, one hundred 50. anything south of 150 billion euros, that is ammunition for those folks that want to have quantitative easing faster and sooner. i noted with interest when you read the ecb decision that it was unanimous that they would act if necessary. that was the big change we got in the last meeting. we went from expected to intended. when mario draghi said he intended to bring the balance sheet up by one trillion euros, he lost three important votes. everyone has accepted the fact that the ecb can do quantitative easing without bringing the germans or the dutch along. you don't need unanimity. >> let's talk about inflation, france, germany. the numbers.all they are disappointing as they have been for several months. they met expectations. we still have s

mario draghi has got to do something.is what. >> i'm not sure the markets are that psyched up for qe tomorrow. the deal is done, if you read what mario draghi has been if.ng, when rather than >> what, sovereign bonds? >> you cannot get the balance sheet to three chilean unless you buy government bonds. trillion unless you buy government bonds. they have got to get assets or lending through.. >> do you want to own what mario draghi buys? or do you want to buy the other asset classes? >> you might as well own what he is going to buy. if you take sovereign bonds, then you want to own sovereign bonds -- cover, abs. there is a scarcity value on these things, by definition. the ecb cannot seem to buy them in first place. the question of how far you go is interesting. if you go to the other extremes, equities are supported by low long-term bond yields. that is what the game is. supporting equity evaluations and lowering the average cost of capital. that is what qe is about. four riskier portfolios you can buy riskier assets. pim

real relief only comes when ecb president mario draghi foust to defend the euro.e economy starts growing again. for the first time in clutter years, greece sells bonds. the anti-austerity party wins big in european elections. to regain the initiative, the government brings forward presidential elections. will it work? gotkine is live for us in athens this morning. all of the action tonight is going to be happening just behind you in the parliament. walk us through exactly what we need to keep an eye on. >> that is right. the 300 members of the greek parliament will gather in that building behind me. it is set for 7:00 p.m. local time. we will probably get going a little bit later, just under 12 hours time from now. each member of parliament will have their names called out and will be asked whether they support the prime minister's nomination for president, and if they do, they will say nay, which means yes in greek, or if they don't, they will say paron, which equates to an abstention. the prime minister means 200 out of 300 votes to get his nominee through this

. >> mario draghi spoke on the 27th. this was in helsinki.said to ensure countries are better off being in the monetary unit when the shock hits them than outside, we need other ways to move them across the less -- the more public risksharing we want, the more private risksharing we need. is the integrated consumer banking union the fix? unit andthe banking the capital markets union. that is private risksharing. getting there slowly with the banking union, with the capital market union we are miles away from home. at least for retailers. >> was his diagnosis correct, that the problem five years ago is that there was not enough risksharing? >> absolutely, yes. we did not do it fiscally, obviously, because the political will is not there. the mechanism simply did not exist. and what there was was then murdered by national regulators and supervisors. it nearly balkanized the euro area again international territories. thanks to the fact that the ecb has taken over, the leadership in regulation in the euro era -- in the euro area is ending now. >>

mario draghi said he wants to raise inflation as fast as he can.t looks like he has some serious work to do. here he is at a news conference in frankfurt. >> latest projections indicate lower inflation. accompanied by weaker geo do -- to do the growth and subdued economics. >> the ecb cut his forecast for both inflation and gdp growth through 2016. draghi says the central bank will gauge the need for further stimulus at the start of next year. russia's president vladimir putin took aim at the u.s. and european union today in his annual state of the nation address he says both impose economic sanctions on russia anyway no matter what happened in ukraine. he said their goal is simply to hurt the russian economy. they may have to change the old , posting its 10th straight quarterly loss thanks to falling sales. sears lost $548 million in the third quarter. the ceo eddie lambert, hedge funds are you near, has been selling and spinning off assets to raise cash and it is still not working for this company. and in pro basketball, sorry to say, it turns ou

our will back to get qe from mario draghi?t out about what it means for the asset management industry. officer andhief richards is with us. uncertainty. ann richards is with us. >> it is not all bad news. forget that oil price theood and some parts of world. likewise, the fact that a stronger dollar might push interest rates a little higher in the u.s. is probably good as a backdrop for markets. it is not all bad news. >> assets looked very stretched in a number of key areas. equities are stretched on a cyclical basis. if i look at my bones, well -- a bonds, well, they have suppressed. key property markets look pretty inflated as well. qe, how do i invest in this kind of environment where the price of money may be wrong? >> that is exactly the right click. the price of money has been manipulated over a period of time. eight in thed stash 2008 and the starting block is the price of money is not naturally where it would be. every asset class is going to have some level of distortion in it. look atu are trying to allocation and w

and amid all that words of support for the resident of mario draghi -- for the president of the ecb,i. >> we want to ensure the ecb does what ever it takes to meet its inflation mandate -- i agree with this that the eurozone needs to do more to strengthen the institution and do more to meet its commitments for structural reform. rbs and lloyds barely passed where the -- while the co-op bank failed. let's stick with that story because manus cranny is at the manus, wegland -- have the report and you have been looking at the details -- walk us through how they have fared. ways it defines really -- the bank of england report, no additional capital or macro prudential moves are 30%ed here, anything from a drop in sterling to a 35% drop in house prices. eight banks were stress tested and one had a negative offer of capital -- the cooperative. the others came through by the n,in of their chinny chin chi rbs and lloyds. they have the most exposure to the u.k. housing market and are therefore the most at risk. is like aor saying it doomsday scenario with interest christmas,.2% next that housi

. >> we have to do a postmortem on the ecb, mario draghi and the press conference. then a bit of a surprise. and the magic number is 1 million. these days 1 million is minuscule. but not in the context of what i'm going to bring up. when? about after the break. cln cln. >>> coming up. the march to dow 18,000. is hitting that a good or bad thing? we and the experts. and the analyst who downgraded walmart is with us to defend that call. and the someone is making a big move in our competition for trader of the year. we're going reveal it at noon. carl see you about 20. >> time to throwback. barnes & noble ending its agreement with microsoft over its nook ereader. the company is playing $125 million to buy out the remainder of microsoft's stake which was originally acquired in 2012. we're throwing back to the original nook. the first edition in 2009, cost $259. had wifi and 3 g. held up to 1500 ebooks and a 6 inch display. does that look primitive in retrospect. >> ereaders still look kind of like that. all the heat seems to be around -- >> heat around the kindle. pun i

mario draghi has, in staunch opposition the head of the bundesbank saying you cannot apply the same formula in europe that has succeeded in the u.s. and japan. next some passengers on singapore airlines have run out of luck. passengers using certain online sites in australia could purchase business class seats for economy fares. singapore airlines doesn't know how many people purchased the tickets. however 900 journeys between singapore and european cds were booked. people who thought they scored big will have to eitherccccccccccccccccccccccccccccccccccccccc 'ndia. the world's second most populous country, with its billion plus population, is facing some of the most serious health challenges on our planet. coming up, india's growing epidemic of diabetes, and the steps being taken to reduce it, both hi-tech and traditional.

. >> mario draghi is not expected to announce any new measures, but he is expected to lay the groundwork for possibly new monetary stimulus next year. the rate of inflation is about zero .3% in november, well below the ecb target of 2%. earlier we spoke to the chief market analyst who told us that the falling price of oil may also play into his calculations. >> if the oil price is lower that means if we are producing goods, the price will go lower. inflation will go further down. that is a massive problem for ecb who is fighting inflation. that is important in these press conferences. what is the view that draghi will take when it comes to oil prices? will it influence on the growth side more on the inflation side more? >> let's look at today's company news. ryanair saw its shares hit a record high on the back of a sharp rise on seat sales. they expect profits of 810 million euros this year. the british luxury group mulberry has reported pretax losses of 1.4 million euros. that compares to profit of 9 million last year. they wore market conditions remain difficult in the sector as sales

we don't know what fed is going to do but we're going to know in a quick period of time what mario draghi and whether it will make the markets happy. back to you. >> thanks, rick. see if the world is flat. up next, new info on where millennials might be looking to spend their money this holiday season. the answer might surprise you coming up next. about, say, organic food stocks, schwab can help. with a trading specialist just a tap away. what's on your mind, lisa? i'd like to talk about a trade idea. let's hear it. [ male announcer ] see how schwab can help light a way forward. so you can make your move, wherever you are. and start working on your next big idea. ♪ >>> our next guest says millennials are using their on-line ticketing platform for gifting this holiday season. their choices might surprise you. let's take a look at the experience economy. julia is the co-founder and president of event right, an on-line ticketing service. you surveyed with the help of an outside firm some millennials in london who said experiences matter more than just stuff. of course that benefits you guys.

ecb president mario draghi fails to deliver an early christmas present to investors. u.s.opean stocks fell after the central bank did not commit to additional stimulus will stop he says the bank will reassess everything soon. >> early next year, the governing council will reassess the monetary stimulus achieved. the expansion of the balance sheet and the price stability. >> another challenge to president obama's

mario draghi held a news conference on thursday. the central bank's policy board decided earlier in the day to keep their key interest rate at a record low of 0.05%. draghi suggested that the board members may ramp up easing if they judge the current members inefficient. >> early next year, the counsel will reassess the monetary stimulus achieved. >> draghi indicated that if necessary, the board will not wait for consensus to broaden their easing policies. that's despite opposition from germany and other nations. concerns about deflation persist in the euro zone, although they launched easing twice in the past six months. market players are urging the central bank to boost its stimulus by buying a larger range of stimulus including government bonds. the euro fluctuated while draghi was talking to reporters. investors felt the ecb's president stint was not enough to boost growth in euro zone. but after draghi hinted at the possibility of further easing, this euro fell. let's get an update on the dollar yen pair after hitting the key

that will be on top of mario draghi's mind.trengthens the case for sovereign buying in early 2015. how are markets responding to that 0.3% jump in inflation? year over year, they are trading lower. the ftse 100 trading down around 44 points. the xetra dax do you know about 85 points. in france, we're looking at a 26-point decline in italy. a big underperformer today. 238 points to the down side or a 1.3% decline for italy. of course, russia, the drama continues there. that's one of the reasons we've been seeing markets move to the downside. taking a look at u.s. futures, it's another volatile session. right now, the dow indicate ago higher move by around 70 points. the s&p 500 and the nasdaq also indicating a higher open. keep in mind, both the s&p and the dow settled at its lowest level since october. oil breaking a four-day moving streak, but it's still down about 26% over the last month alone. so russia and the price of oil continue to dominate discussion about something we will discuss over the next hour, how to strayed you

mario draghi did not commit to widescale qe yesterday at a conference out of the bank's new headquarters growth remains stagnant. how -- eurozone growth remains stagnant. how long can the ecb avoid taking aggressive action? we get some answers. ♪ thearly next year, governing council will reassess the monetary stimulus achieved, the expansion of the balance sheet, and the outlook for price .tability >> mario draghi speaking patty in new conference yesterday frankfurt. saying he may have let down investors a little bit. i do not think you should have expected a commitment to fully fledged sovereign qe. were were hints but there caveats as well. what does that stimulus look like? how much opposition is he going to face? is it comparable to otherqe programs? chiefbring in mizuho's international economist riccardo barbieri. the market ahead of itself with expectations for the press conference? >> i think so. as of the end of last week we had very strong bond markets. extended technicals. a lot of people were betting on an immediate decision. even some forecasters were looking for that. i was

. >> coming up of the program today, mario draghi says the european central bank will have to do more to reach its balance sheet by the end of 2016, can he make it? ♪ >> time for company news. avenue home, the canary airbase to become the european house for the lockheed fighter brand. the united states has selected italy to be the service center for the 35's that are operating out of europe. it is a very significant decision because we are talking about a. a period talking about of 30 years, i high-level sophisticated maintenance out of italy. it will mean substantial economic benefits and logical development for italy. is fun to london to seal a deal for beat p according to the daily telegraph -- four according to the daily telegraph. commerce bank's u.s. settlement set to top $1 billion. is in talks toer resolve allegations that the german bank wrote anti-money-laundering and sanctions laws. transferring its engineering operations out of russia after the government stock it with new rules requiring more data to be stored in the country. engineering jobs will be moved and the workers

deputy finance minister channeling mario draghi. are prepared to spend as much of their foreign currency reserves as necessary to defend the ruble. a consultant for the finance ministry saying they have 7 billion to spend today. the central bank of russia was buying up ruble yesterday. speculation they are there today. speculated why does the finance ministry have to dip has 413inance ministry billion. he likened it to people looking for change at the back of the sofa. [laughter] in addition, only had the man in alexeyof the economy, ulyukaev, saying they will not use currency controls. it is difficult to find people who want to buy rubles. think the next move will be? is sittinge minister down with the head of the central bank. she indicated she is willing to work with the government and exporters like ross left -- r osneft and lukoil. depending on how you look at it, we can expect them to be told one of two things. either, please take some of your hard earned currency revenue and turn it into ruble. or, we really think you ought t

expect mario draghi to win over the naysayers, the germans, the austrians, the dutch?t of fighting inflation are very high. i think ultimately it is about -- that's how they're going to do it. >> russia has got to be up there. stemmingrt of crisis from one of the emerging markets could be risky. in this sense the crisis has come earlier. >> is there potential for to properly spillover? emerging market worry like we did in january of last year eric resch is not so linked to the rest of the world. germany has already had the consequences of those sanctions earlier this year. there are certainly trade channels remaining and the contagion could propagate through financial channels. i don't think it's going to spillover considerably. >> thanks for joining us from fidelity investments. stay with us. ♪ ♪ make the best entertainment part of your holidays. catch all the hottest handpicked titles on the winter watchlist, only with xfinity from comcast. >> welcome back. time to look at the foreign exchange market. what a year it's been for the dollar. 11.4%, thellar down dollar j

there is speculation that mario draghi will step in and perhaps start printing moneya la the fed.. u.s. or debt and the this european market? lisa abramowicz is with us to break this down. we know that deals -- yields on both sides of the atlantic is come down. the riskier debt is in europe. risky debt in the u.s. has been losses on u.s. high-yield debt but in europe, the riskier debt has returned twice as much as high-yield debt and the u.s. and investors on the u.s. are going over to europe and investing in height yield bonds but also in mortgage bonds mortgage securitization especially those from banks that are selling. >> why is this? i look at the 10-year spanish debt which is trading well below the u.s. and what's the fundamental reason? what is the attraction of european speculative debt versus u.s. when the u.s. economy is picking up? >> you would think this is counterintuitive. here we are seeing the exact opposite. is 100% a stimulus that, chase the stimulus program. you have the u.s. which is considering hiking interest rates for the first time since 2008 and you have m

his mario draghi ready to do what ever it takes?ll talk about that when we come back. >> welcome back to on the move. couple ofey vote is a hours away. it is the second round of the presidential elections. pushing his candidates through. what happens next? what does it look like? ceo has served as a board the economic adviser for the greek prime minister. good morning to you. he is still short, the prime minister, in terms of the votes that he needs. of the lay ofense the land. it is unlikely that he gets more than 170 votes. it is needed in the second round -- it appearss unlikely. if that happens, then the moment is resolved and the national elections are called. it is for january and the beginning of february. >> at how did he make the mistake? did he think he was going to get the votes that he needed? why would he put governments on the line in such a tight scenario? knew special elections would be in february. ofavoids the protected fear uncertainty and clears up the everyonee so that understands. polls and itinion looks like w

a lot of concerns about whether or not mario draghi is going to be able to come through with some formere are a lot of questions about what it all means for all these other countries. we are going to be talking all about portugal with the economic finance minister of portugal at 3:00. >> see you then. thanks. stay with us. another check of the market movers on the other side of the break. ♪ >> get the latest headlights at the pop of the hour on bloomberg radio and streaming on your tablet and on bloomberg.com. that doesn't for this edition of "bottom line." i'm mark crumpton reporting from new york. -- that does it for this edition of "bottom line." is 56 past the hour which means bloomberg television's on the markets. i'm matt miller. a quick check on where stocks are trading after a bit of turnaround today. we were down across the board, now the nasdaq has recovered even as stocks overseas posted losses of 2% or more. the worst-performing sector on the s&p 500 today, shares of sprint, t-mobile and verizon all coming down. joining me for today's sector report is john butler, senior te

we do know that some votes are not unanimous, so there is a range of opinion, but as i said, mario draghicb in the direction of quantitative easing i think next year. all right, oil continues its fall. how low will it go, and what is in store for the u.s. reducers as they fight off the saudi squeeze? this is "bloomberg surveillance." on bloomberg television, streaming on your tablet, your smartphone, and bloomberg.com. ♪ >> this is "bloomberg surveillance." i am scarlet fu here with tom keene and brendan greeley. top headlines this morning -- on the horizon for russia, its first recession since 2008 according to the country's deputy economy minister. russia's gdp could fall by almost a full percentage point in 2015. russia feeling the impact of a 30% plunge in oil prices and sanctions imposed over the fighting in ukraine have hurt its economy. the ruble has weakened 26% over the dollar in the last few months. closer to home, it appears shoppers have outgrown cyber monday for stop internet holiday shopping rose 8% yesterday, let's than half the growth rate of a year ago. analysts say that

won't that take away the potency of the actual announcement once mario draghi does announce?o. even italy is below 2%. ask, when mario draghi tries to convince his colleagues in the ecb to buy these on, they are buying them at extremely high prices. number one, it is those ecb to loss. number two, it takes away the impetus for growth coming from -- from buying them. >> what is the option? if qe effect are limited, what will they hope for? >> it is a limited set of options. maybe it is to metal along -- model along. along.e >> is the great distortion that we are talking about every day, does that distort your matthew world echoed -- your matthew world? we look at 2005, 2006, -- >> when we look at 2005, 2006, a barrel of oil is -- a houseuse was was in 2005, 2006. is leverage and system and assumptions that are made over a long. of time -- over a long time that are coming undone right now. >> how do you break down emerging markets? do you distinguish between oil exporters and importers? it.hat is one way to do if you look at a vulnerable come -- country like turkey geopolitical

. >> as we look for the fed to do some the, people are watching the european central bank and mario draghis the situation in the new year. how disruptive would it be to financial markets of the ecb does not come through with a big enough stimulus? >> it is very important to global markets right now that the ecb followthrough we think they will do sovereign quantitative easing starting in the first quarter, probably in january. it is very important because the european economy is fragile and needs all the help it can get. they have a weaker currency. they will than if it from lower oil prices. they need mario draghi to deliver on what is widely expected to thought is very important that they followthrough. >> the announcement might actually be a disappointment when it happens because everyone is expecting it. let's get to our agenda where we focus on a stories shaping the day. you are looking at one russian leader. >> exactly. it is still happening in real-time. vladimir putin -- we expect the conference to last four hours -- it has wrapped up, in fact. watch her hours, in total. it is a li

than 1%.tly off i less europe, mario draghi saying he will wait until early 2015 to reassess what stimulussures he might move forward with. theaw european stocks drop most in seven weeks. the u.s. measures is really on the jobs report due tomorrow at 8:00 a.m. nine guess shares are by the most in three months. the currentook for quarter fell short. shares down by 9% are now. in the meantime, more "bloomberg west" with emily chang and cory johnson. >> "bloomberg west you are watching'where we focus on innovation, technology, and the future of innovation. of the orionlight spacecraft is scrapped for today but will try again tomorrow. the mission is to launch an unmanned caps on 3600 miles above earth and see if it can withstand the kind of extreme heat we expect to see if we hope to send humans to mars. at a cost of $370 million, there is a lot riding on tomorrow's flight. joining me now is the former nasa deputy administrator. lori, you have spoken out against the funding of this project. why is that? has beenw is that nasa doing and is doing so many tremendous things over its history. we j

but the big thing is will we get quantitative easing at the start of next year from mario draghi. let's look at asian markets for the year. all of these have now closed. the biggest thing to begin with is this extraordinary divergence between the shanghai a market and the hong kong h market. 50% difference which is really astonishing. you could say yes, it's been the shanghai/hong kong stock connect. very odd divergent performance. perhaps that could unwind as we go into the second half of the year. in the lead up to & modi welcoming his reform agenda. the second half performance has not been as good as the first half of the year, but nonetheless, a very good performance. the election has been welcomed by investors. both of these two countries benefiting from the fall in the oil prices. india is a bigger exporter than indonesia. something that has been welcomed by investors. japan in focus. a 7% return doesn't tell the full story. it was negative for most of the year and has only started to perform as abe turned on the taps again and that extraordinary negative correlation between

even if we do, in fact, get that announcement from mario draghi, we could potentially not see a movement in equities because people are expecting that and pricing that intiet market. >> yes. there will be some element of that. a lot of what you will expect and that is correct. i think the issue will be what type of qe is. is it large enough.? then i think it will be -- >> i would totally think there would be a market move. i don't know. with the additional move, but then the issue is whether the market once again, whether it's going to be enough. >> that's why the markets are important. this is not just a talking gesture. in fact, the market to the negative. they need to do that. >> the euro, if it continues to weaken against the u.s. dollar. does that continue? that's been one of mario draghi's strategies. >> the currency guest in around 40 minutes time or something. you're staying with us for the time being as well, abi. get your e-mails to us here on the show. worldwide@cnbc.com. >> and we're on twitter, as well. we want to update you because it is christmas and if you're an economist

mario draghi was scuffered because they elected a president who do not want to pay the debt on the nationalbalance sheets. you could have a problem getting the qe through that everybody expects. that could be a hiccup back to here. adam: our time is tight. we started the program talking about china. could we see a black swan real estate -- gdp will be 4%, not seven, a guest said. >> that is a concern on the real estate side. we in our equity income fund, we're concentration holdings in the u.s. it's the strongest global economy right now. again, you're in the middle inning. the black swan could be worse than expected worse and deflation overseas. those things would be bad for equity prices. adam: i apologize we're out of time. i want to pick up what you said. the strongest economy is the united states. some people might say that's the worst economy despite all the rest. we'll be right back after this. thank you very much. to have liz: just checking lined us here. nicole at no. we at new york stock exchange. talk about the mood of folks. it is not good i'm sure. >> energy is number one story

and people saying maybe mario draghi will have to delay or bring forward quantitative easing. much of a concern still that europe is unresolved? >> well i think greece isn't as big of a problem as people might be putting it out to be. draghi will come back to the table and regroup a bit on the deal. but you know, as far as it goes with greece they're their own wild card. unfortunately, the government and their own people are divided and they need to quit using the people as a whipping post. if they encourage their people to come to the table and work together, they could do great things but the contagion is removed when they did the original deal on the euro. they will come back. i don't think it's a hindrance. it is not to the u.s. of a. i agree with larry kudlow. we are going to rocket next year. i'm calling dow 20,000. i'm in the jeremy siegel camp. oil is a great gift from santa. low oil putting a ton of money in consumers' pockets and see that next quarter in the numbers and plus an investor you can really snap up some nice energy investments right now and prosper next ye

to hear youcinating talk about mario draghi.ries, the only person capable of conducting any policy at all is the central here-- your prediction for is a further grind, thank you for coming in today. >> tens of thousands gather in st. peter's square yesterday to listen as pope francis delivered his annual christmas message to the world. he condemned is sooners such as .ust condemned issues -- he condemned issues. first gift, a stocking big enough to hold them and hand it red and green cap made by the knitters to bring holiday cheer to the families and their newborns. first christmas at the hospital. a beautiful picture. a competitor in a santa suit jumps into the scene at the 105th traditional swimming cup in the old harbor of barcelona that launched in 1908 and elise leases been a three times. has only been suspended three times. that is the happiest santa i've ever seen. i like that better than santa-con. a bowl of putting. >> that is eggnog. this is a greeley family recipe. in bloombergr you headquarters. you can't buy eggnog.