mr. cottarelli at the moment is holding back. perhaps he is looking to see what sort of support there is there. that it is really very unclear. whatever is going on is continuing the political instability in italy, and still making financial markets very nervous. genie: josephine, thank you for that. josephine mckenna reporting from rome. meanwhile, greece's largest labor unions are on strike today against plans to extend austerity measures. is 24-hour protest disrupting flights, transportation, and services, closing schools and leaving hospitals running on emergency staff. austerity measures will continue for at least two more years after the international bailout ends in august, starting with another major round of pension cuts next january. and hamas rulers in gaza say they have agreed to a cease-fire in israel to end the recent flareup of violence, a claim denied by israeli officials. the israeli military struck dozens of sites in gaza overnight as rocket fire continued toward southern israeli communities. uka: throughout the

mr. cottarelli if that's the case, do you foresee a day when the europeans and brussels may be reconsidering on how that debt is structured? >> the key thing about italian debt, the level of debt is stable it's growth. italy needs growth the average cost of debt is now around 3% compared with 4.4% in 2012 it will take a long time the average debt maturity is seven years. it will take a long time until that has impact. the problem we see is growth italy needs growth we have to wait and see what the final agenda of a new government in italy is going to be and if that government is able to generate growth. at that moment it's not clear. >> you're not a futureologist, but i want you to address the future what's the best scenario for italy? >> we want to see consistency in the medium term growth projections fo italy has been showing improvements the debt ratio has peaked. we don't want to see more delays we don't want to see a material increase in debt for that to happen we need italy growing, more reforms. we don't want to roll back a stretch of reforms many reforms are put in place and are bear

mr cottarelli is the second prime minister designate to be named in the space of a week.s been political deadlock since elections in march when neither of the country's two big populist parties, the five star movement the five star movement and the league, won a majority. last week, they looked to have come to an agreement by nominating this man, a technocrat named giuseppe conte as prime minister. butjust as we were starting to learn about him, the agreement collapsed, due to a veto by the italian president, sergio matarella. why? because he didn't like conte's suggestion for finance minister, the anti—euro economist paolo savona, who once called the single currency "a german cage" and labelled italy's entry into the eurozone as "a historic mista ke". the leaders of the five star movement and the league are naturally furious about cottarelli's nomination. here's five star's luigi di maio. translation: why no? tell us why no. the problem is that the ratings agencies in all of europe were worried about a man. a man that would become the finance minister. the investors in e

mr cottarelli has accepted, saying his government would ensure italy's finances are managed prudentlyd far—right parties failed after the president rejected the proposed finance minister, who opposes italy's membership of the euro. the headlines on bbc news: a man is killed after flash flooding in the west midlands with some areas getting more than a month's rain injust one hour. a migrant from mali is to be made a french citizen after scaling a building in paris with his bare hands to rescue a dangling child. the labour partyjoins calls to change abortion laws in northern ireland, following the referendum in the republic. sport now and for a full round up from the bbc sport centre, here's sarah. busy weekend of course. it is indeed. novak djokovic has made it through to the second round. he beat brazilian qualifier rogerio dutra silva in straight sets. the former world number one, seeded 20th at roland garros, went 2—0 down at the start of the first two sets but recovered

sell it off. enough to meet its costs. can be held later this year. an orthodox economist like mr cottarellie cut to repay them. in fact, he has a nickname, he is known as mr scissors. whom a judge has now freed to run, once again, for office. and their coalition with berlusconi's forza italia. of the coalition between two populist anti—european parties. the movement and the league. maybe in six months, after a poll, it will still be all about them. but perhaps they'll have a clear mandate for their eu policies. count on nothing, though. has hinted coalition talks could just be restarted. in italy, the only certainty is worry about financing the debt. chris cook. five star movement. as finance minister had spooked the markets. because there was no sign of leaving the eurozone. of president mattarella? we are talking about that. we didn't start the process of impeachment. if it's the case of starting an impeachment procedure. but we didn't announce that we're going to do it. but let's just be quite clear. luigi di maio seems to be rolling back from that. the impeachment of the president? you

mr. cottarelli to form a government.at he would not work with the populist coalition. he was head of the imf delegation for the italian government, then he was plan.ted is spending he is seen as a technocrat, it economist, so what he would likely do is put a coalition or cabinet in place, then go to election, because he just does not have the right amount of numbers in parliament to survive october.ember or if you look at kind of what this means, are we in a political turmoil? are we in a constitutional crisis, but we don't know whether the president could get impeached or not? guest: i guess it would be a constitutional crisis if that were to happen. we are in constitutional new ground, but as put it that way. . we have not been here before in terms of the way this is playing out. , if we hadlections elections in september, we would have a two month period of uncertainty. francine: we are also getting breaking news out of el pais, the spanish newspaper saying that the spanish president, rajoy will be facing a new electi

there‘s speculation in rome that mr cottarelli may have decided that there‘s no point in taking the jobried that populists might win the vote and then possibly pull italy out of the euro. the central bank governor warns that this country‘s just a few short steps from losing the confidence of the market. translation: trust in our future must not be frittered away with actions that will affect growth and could even reduce it. so, how did italy get to this point? in a general election held in march, two rival populist movements, five star and the league, outperformed traditional parties. the populists then got together to form their own potential eurosceptic administration — but the president vetoed their line—up on sunday. you can‘t think about leaving the euro without having a national debate first, he told them. italians must now pick a side. do they go with the parties who support the eu and the euro without question? or do they go instead for the populists, who want the freedom to be able to renegotiate everything that italy does with europe? for 30 years, sonia has worked at rome‘s c

they control more than half the seats in the chamber of deputies and they've pledged to block mr cottarellie country has serious economic challenges. as well as rising poverty and high unemployment, it also has the eurozone‘s second—highest level of government debt, totalling $2.7 trillion — 130% of gdp. with me is our economics correspondent andrew walker. carlo cotta relli, is carlo cottarelli, is that the name i should consign to my memory or frankly not? we have to think about him fora frankly not? we have to think about him for a little while. he will be at least trying to run the show it seems for the course of the summer. he has himself said he is not expecting to stay on any longer than next year, very much an interim technocrat prime minister and his view is to stabilise the ship followed by further elections next year. but on the strength of the position taken by the league and the five star movement who have the majority between them and the italian parliament, if they do proceed with their threat to block him, there is every chance we will get elections much sooner than that, pe

mr. cottarelli in terms of being enslaved as a nation to public debt that's something we heard from mr. salvini and mr. dimaio thank you very much. if you have views on this, please feel free to get in touch on twitte twittertwitter, @streetsignscnb. >>> coming up, tariffs are not the answer we hear from the secretary-general of the oecb first on cnbc as u.s. and european trade officials prepare to meet in paris happy anniversary dinner, darlin'. can this much love be cleaned by a little bit of dawn ultra? oh yeah one bottle has the grease cleaning power of three bottles of this other liquid. a drop of dawn and grease is gone. the first survivor of ais out there.sease and the alzheimer's association is going to make it happen. but we won't get there without you. visit alz.org to join the fight. >>> welcome back to "street signs. it's not a pretty picture across europe looking at the stoxx 600, it's down a sea of red for the majority of those stocks looking at individual indices, all four in the red. the ftse 100 down almost 1%. the xetra dax down 1.5%. the cac 40 down 1.63%. the ftse mi

mr. cottarelli saying he is on head old.ee what he does in the next couple of days. francine: it depends if he can form a government or not. otherwise, fresh elections. let's get to the bloomberg bloomberg business flash -- bloomberg first word news. taylor: calling the three killings in the city of liege terrorist murder. he was killed in a shootout with police. authorities say the shooter was serving a prison sentence, but was on authorized leave at the time of the attack. president trump's turn on china and trade raises the stakes for the next round of negotiation. president trump is going ahead with plans to impose tariffs on chinese imports. talks will resume june 2 in beijing. the wall street journal says the decision to move ahead with the tariffs could stop the talks. a sign of trade tensions between the u.s. and china. the trump administration will set limits on chinese visa applications . it could reduce the time at chinese citizen could stay in the u.s.. the president says it is to protect american intellectual pr

i will be very surprised indeed if mr cottarelli can geta surprised indeed if mr cottarelli can get ahe last election. they will obviously not support him. berlusconi's party said they will not support him. he needs a miracle to gain the confidence of parliament and elections are inevitable in a few months. what is the likely outcome? is the dynamic likely to change in another election? no. in fa ct, change in another election? no. in fact, i think you will see more of the same. providing that the electoral law is not changed, because that is a possibility. the league and five star have a majority in this parliament. they could introduce some small quick changes that in the end might favour them. but providing the letter of the law is not changed, you may end up with another hung parliament. but both the league and five star are predicted to do even better than the last time. so, if they decide again to govern together, they would have certainly a very good chance of doing so, even after the next election, even with an increased majority. so, now you can find yourself in a situation w

mr cottarelli has accepted, saying his government would ensure italy's finances are managed prudentlynt rejected the proposed finance minister, who opposes italy's membership of the euro. the headlines on bbc news... a man is killed after flash flooding in the west midlands — with some areas getting more than a month's rain injust one hour. a migrant from mali is to be made a french citizen after scaling a building in paris with his bare hands to rescue a dangling child. the labour partyjoins calls to change abortion laws in northern ireland, following the referendum in the republic. time for the sport. holly is waiting for us. busy holiday for you. as always. coventry have been promoted to league one their first promotion from any division since 1967. thet beat exeter 3—1 in a thrilling finale to the football season at wembley. jordan willis gave the commentary the lead with the academy graduate scoring early in the second half. five minutes later jordan scoring early in the second half. five minutes laterjordan shipley, a deflected effort made it to know before this third to seal pr

mr. cottarelli to form a government. a global trade fight a key of a key deadline this week, we look at the implications of trade uncertainty on the markets. as crude oil climbs on again saudi arabia and russia send mixed messages on the direction of crude prices. we will hear from the energy minister from russia. ♪ on what is check happening to markets today. this is the gri function highlighting what is going on with european equities. slightly lower today, given that we have a bank holiday here in europe. volumes are about 40% below the average for the past 100 days. of ave about a 10th percentage, and we are falling after rising earlier, as much as a third of our percentage last week. we had an eight week winning streak, which is the best since 2014. all about politics once again, today. this is italy versus germany 10 year yield, i can show you a number of yields, i could show you the italian 10 year, the spread between the two. as you can see with this one that popped up, the spread blue up after this announcement

mr mattarella vetoed their choice of finance minister, as he backed abandoning the euro. and, as james reynolds reports, fresh elections are likely soon. this is italy's newest prime minister designate. carlo cottarelliro economist and a non—populist. the president has picked him to maintain italy's current relationship with the european union. translation: it's essential to defend our interests in europe and be constructive. italy is a founding country. our role is essential, as is our continued participation in the euro. but the populists, led here by the league's sergio mattarella, have the numbers to reject the president's choice and force early elections. mr salvini, who has been going up in the polls, wants the freedom to govern his way. translation: if the president of the republic tells us, "do as you want, but don't touch the european rules", we have a problem with democracy. because the people in italy are sovereign and don't depend entirely on european markets and bureaucracies. wherever you look here, there are signs of italy's six decade—long partnership with europe. but this country has begun to shift. this is the country that helped to found the european union. why are the populist par

mr cottarelli has accepted, saying his government would ensure italy's finances are managed prudentlyed after the president rejected the proposed finance minister, who opposes italy's membership of the euro. the palestinian president, mahmoud abbas, has left hospital in the west bank where he was receiving treatment for a lung infection. the 82—year—old, who is a heavy smoker, was appointed president after the death of yasser arafat in 200a. mr abbas, who has no deputy and no apparent successor, has pledged to return to work. the journey to work on the number 840 bus in north yorkshire isn't your ordinary commute. it's just been crowned the ‘most scenic bus ride in britain'. however, campaign groups are warning that rural services are in crisis. simon gompertz has hopped on board to find out how to keep the wheels turning. it's a bus driver's dream. the 840 coastliner starts in leeds, takes in york, then heads over the north york moors here and out to whitby on the coast. driving what's been crowned our most beautiful bus route and getting paid for it, is adam davies. every day is a j