mr. schaeuble wants them to leave.ing up, senior advisor at credit suisse joins us for the next half hour. ♪ anna: welcome back, 6:30 in london. here are the stories you need to know this morning. guy: overnight protests outside the parliament as lawmakers passed the bailout deal to keep the country in the euro. alexis tsipras will have to rebuild his government after a quarter rebel against the legislation. independence on opposition votes continue. anna: u.s. president barack obama mounted a robus t dependent of the opponents to criticize the accord. president obama: for all the objections from the republican leadership that has spoken, none of them have presented to me or the american people a better alternative. guy: staying in washington janet yellenn delivered an upbeat message. she told congress the fed is likely to raise rates this year. the timing would be noted upon the labor market that has made more than 2.9 million jobs in the last 12 months. anna: with us now to discuss the fed and her optimism is bob par

mr. schaeuble wanted to ease greece out. mr. haeuble may have one way to get out of there, with the imf holding firm on their position. jonathan: hans nichols in berlin, thank you. still with us, bob parker. let me go back about 5, 6 months. the dutch finance minister, portuguese finance minister, spanish finance minister, all said we would consider pushing back maturities, lower interest rates. we've done it before. why are we talking about the same thing still? bob: i think a lot of it depends on the conditionality in the bailout. if you cut through all this noise, greece has debt of 320 billion euro. greece in the first half of this year went back into recession. the consensus forecast for next year is the greek economy will grow just over 1%. with that very mediocre growth outlook, one has to ask what is greece's ability to achieve the primary budget surpluses that have been agreed in the bailout? what is its ability to service that 320 billion? if greece was compliant with the original criteria, its debt level would have bee

mr. schaeuble is going to have a different view than the greek one. the fact that greece needs a longer repayment period and of course mr. tsipras the prime minister here also wants to bring the $35 billion euro investment package but he does face fierce resistance from parts of parliament, golden dawn and within his own syriza party five or six mps of which strongly oppose doing this about-turn and going back to brussels with a preapproved austerity package the greek people are turned down by 61%. what we want to do is start the process of taking greece out of the eurozone, nationalize the banks and institute our own policy of rescuing the economy and alleviating humanitarian pain which has come about as a result of the recession which again, it believes has come about as a result of augmentation tairt. thereof austerity. the river which is sort of a center right party backing the government's proposal to vote yes, they have the majority. >> john siropolous with the latest from athens, john, thank you. >>> one of the major ports facing privatization i

mr. schaeuble. jonathan: hans nichols in berlin.uckes still with us to weigh-in on the greek saga. kit, we have all listened to the tape. did anything standout that was a surprise? kit: not in the sense -- the surprise is not that there was a contingency plan. who thought they weren't close to it? jonathan: you need a plan. kit: when you think about it the plan involved subterfuge. you don't tell your creditors that you going to leave, because they're your creditors and you are going to default to them. jonathan: we could have a debate. significant medical and experience that's significant political inexperience -- significant political inexperience. he would admit to it and then say i am opening -- i am open to transparency here it when you look at that political experience, that is right through the current greek government. how long does that government last if these type of things keep spelling out? kit: i think you have lots of young populist movements around europe, where you have an experienced leaders with massive support. t

mr. schaeuble with the euro. >> yanis varoufakis, was the loser. >> in the game of poker you may lose dimes or dollars or euros but in europe you might lose more than that. >> reporter: a healthy doas of dose of pessimism. >> did they just agree to disagree? nothing is finished yet. >> reporter: it's become little more than a numbers game. here outside parliament there is a sense of spase a greek word, that means stagnation. people here feel stuck tied to forces wholly out of their control. life seeming more dependent than the luck of the draw than ever before. model jamjun, al jazeera athens. >> the banks have been closed. what's happening with the banks now? >> well, no change there. i think some greeks might have secretly hoped that had they agreed with this deal there would be some flexibility some easing of the pressure on the bank system.no chance of that. we have an official announcement that the banks will be closed at least through wednesday so 60 euros remains the limit there. then threr there are payments that the greeks must pay. 3.3 billion euros back to the central bank and th

mr. schaeuble with his euro, with his money to do whatever he wants to a europe that's not with an e-capital. >> not all were pointing a finger in blame in all directions. he says the finance minister, yanis varoufakis, had more to do with the crisis. >> man was a writer of books on the theory of gains. i believe when you are gaining with a country is a little bit risky. in a game of poker you may lose with dimes and dollars and euros but in a country you might lose more than that. >> reporter: of course a healthy dose of skepticism also permeated the meetings. >> i'm still gowfl the agreement, did they agree to agree? nothing is fished yet. many here feel their very existence last become more than a numbers game. despite the deal here outside parliament is a sense of stasis. that means a greek word, a sense of among other things, stagnation. to forces wholly out of their control. with life suddenly seeming more dependent on the luck of the draw than ever before. mohammed jamjun, al jazeera athens. >> city's desperately needsalexis tsipras needs this deal. be. >> it's going to be difficult w

mr. schaeuble seemed to give a little ground. i think the imf is correct. later he says there cannot be a haircut because it would infringe the system of the european union. how you square those comment gets down to whether or not you think something can pass the bundestag. in a few hours it will become a berlin story. after we get some signal, we need to figure out how members of our limit will vote on this. does angela merkel have the will or the authority or political capital to force a vote through the bundestag? it seems like many of her party are deeply suspicious. jon: the big question after sunday, let's assume that the plan goes through. the big question will be have they underestimated the damage done and is it even enough going forward and the additional question attached to that would be whether syriza will be around long enough to see this through. going forward no one expects this to be easy and a lot of people watching this program will be thinking -- will we be back here in months you echo arguing about the same thing all over again echo --

mr. schaeuble or lagarde. we have heard mr. varoufakis will not necessarily made that much easier. there is a view that mr. tsipras is as much as black as varoufakis -- is as much to blame as varoufakis. manus: thank you. hans nichols, erik schatzker paul gordon, a quick look at how the markets are reacting. mark the options to protect yourself. mark: earlier, the big stocks rose to the highest in three years and has come down a little bit. the benchmark to see how it is faring. this the euro stoxx 50, the benchmark all 50 blue chips within the eurozone. down by 1.7%. earlier it fell as much as 2.4% free a week ago when the stoxx 50 opened, it open down. today, down to the lowest level since february. the stoxx 600 is down by 1.2%. last week it fell by 3.1%. european stocks last week had their largest weekly drop of the year. the ridge of 40 billion euros were wiped off of the value -- 340 billion euros were wiped off the value of the stock market. $14 billion wiped off of global stock markets as measured by the msci. this the euro-dollar intraday. interesting chart. earlier around

mr. schaeuble said yesterday, we do not know of germany will abide any sort -- call them accounting, not gimmicks accounting methods to elongate the debt and not have it show up as a nominal cut. erik: financial engineering is what we call that. matt: hans thanks so much, hans nichols and berlin. number two, around the world, central bankers are moving market, signs that britain is getting closer to raising interest rates, sending the pound to a seven-year high. stimulus for the eurozone spurred again in bonds. the chair janet yellen also made the case for raising rates sooner in her testimony before congress, so it looks like the pound is getting much stronger and the dollar will also gain strength, although a lot of that dollar move has kind of price d in. erik: now we are back to where we were before when the only thing that matters is what the central bankers do and say. matt: i am not sure that is the only thing that matters, but hey erik: -- if you have been an investor for the past five years, what else has mattered? matt: say you are a greek citizen -- erik: if you are investing

mr. schaeuble said that it could infringe the system of the european union.what is the bundestag willing to swallow? we have alexis tsipras willing to send a proposal that is people rejected. that is not been lost in the german public. it is certainly not been lost on a member who is just speaking on public television. there is little trust left in the greek government. anna: tell me something, the one he made yesterday certainly made a few headlines. hans: he's actually quite a witty guy. he is actually quite funny. he told them he would gradually -- gladly swap greece for puerto rico. a lighter side of him, and i will show you the front page. rest assured no nudity. that is a picture of your royals. that is an indication, the fact that brees isn't on the front page. that could be -- greece isn't on the front page. that could be a good sign. anna: i like the fact that you actually did the debt comparison . thank you very much. let's talk about china. chinese stocks are headed for the biggest rebound since 2008. what is happening this hour? juliette: we are s

mr. schaeuble issuing ious? olivia sterns: they key is mario draghi. he needs extend the life line of the ela. what he said is he will keep the cap on liquidity until the end of wednesday. mario draghi was the scene lawmakers passed the federal forms before is willing to set -- say he will keep the banks afloat. the banks are still closed for there is limit on how much people can take out or how much pensioners could take out. the economy is grinding to a halt. the spirit is not chaos and stores are closing. i have not seen any empty shells for it is bad for importers. they cannot take money out of the country and particularly that for tourism in places that i know you like to go. ferries going half as full. taxi drivers are waiting twice as long to pick people up. manus: i will support to the greek economy and a whole host of ways are you you name it. let's turn our attention to hans nichols. before we go into the details of the politics, george osborne here making comments very, very strong comments where he say the eurozone means the foot of the bil

mr. wolfgang schaeuble.ere any tea leaves from him about restructuring without calling it a restructuring? hans: the closest we've come to that is yesterday has top spokesman said that a ending the maturities for 30 years sounds like a backdoor haircut. if you cannot do a backdoor haircut, you are in big trouble because as madame lagarde said it is editorially not viable to have his land out there with out any sort of greek debt relief. -- it is categorically not viable to have this plan out there without any sort of greek debt relief. tom: hans what do you see in the german newspapers this friday as a print for saturday and sunday? brendan: unlike brendan, i do not read the tabloids -- i just look at the pictures. [laughter] there will be some big think pieces over the weekend on just what it means for german society. guys you always have to wait around. around 4:00, 5:00 "der spiegel" could have some great scoop on what went down behind the scenes. tom: hans, a great week. thank you so much, hans nichols.

mr. schaeuble invert -- in berlin tomorrow.follows up swapping puerto rico for greece. brendan: david gora, where you are in athens -- we just had this news that the deputy finance minister resigned. is this a one-off or a start of a larger flight? reporter: i have heard from a lot of people that we will see a lot more reshuffling within the cabinet. that well prime minister tsipras has managed to consolidate people are not happy with the crowd around him. i will say that this is something i have heard from a lot of people. last night in his interview he said that he wanted to put to rest rumors that he would sit down and perhaps after this vote he will be staying on. the reshuffling is not a surprise. tom: thank you so much. the distinction here is that this is a minister who is not the oxford grad or the dashing professor. she ran a hotel in crete. she was a member of the left and the communist efforts in greece. brendan: it is important to remember that part of the providence of the syriza. tom: let's continue with our twitt

mr. schaeuble's interview this morning on german radio. talking about a temporary exit from the eurozone for greece because there debt is not sustainable. tom: you've been out front on schaeuble versus germany and the rest of the nation. brendan: schaeuble is an expression of the german id. he threw a molotov cocktail of his own. totally understand a bridge loan, 7 billion euros approved by the eurogroup. talk me through the difference of the measure proposed by the eu commission. hans: the 7 billion gets you through so you can have this big fight on the 86 billion. no one thinks the 86 billion esm fund is going to be easy. you need something to tide you over. the 7 billion, the way we think it is going to work is it is going to be from a 2012 fund the u.k. had initially opposed. lawyers have figured a way around that and will gloss over by saying ecb interest payments are going to be the collateral. looks like they have a bridge and will announce it tomorrow. brendan: does sound like the stumbling block of the fund is it is blocked by ful

mr. wolfgang schaeuble. manus: thank you very much.e this all up tomorrow morning right here on "the pulse." the markets are up for seven days in a row. ♪ >> this is bloomberg "surveillance." tom: tsipras gets his vote. he may lose his job. brussels and berlin must find a bridge to austerity. schaeuble says do not build the bridge. will the ecb write the check? there will be a draghi press conference. a conversation with stravidis. can we trust iran? live in new york. thursday, july 16. joining me, bonnie karen and -- vonnie quinn and brendan greeley. brendan: 7 billion is not 50 billion. i think there is jousting about power within the european union. now the eurogroup finance ministers are getting together and saying weight approve it. it's a power struggle weight will talk about. tom: we need to catch up on the top headlines on greece. vonnie: early this morning in athens, the greek

mr. wolfgang schaeuble who is making his speech.that the third program is the last attempt to solve the greek crisis. this as -- this is his point. he is pointing to some of the headlines asking people to prove today. look enjoyable making his speech after angela merkel made it very clear they would be no debt restructuring on the table. will enjoy both at the first thing for greece to do would be to restore lost trust. we are here with the global investment strategist at black rock. you said that the biggest opportunity and challenge was the fed and the bank of england what they will do. ewen: it is the first right rise cycle in eight years. after we have filed returns from the future in terms and equities. we have had the longest bull market in the last few years. it will be a time of navigation moving into this cycle. if you listen to mark carney carefully, he is a man who chooses words carefully there is strong emphasis on the words slowly and saying that it will be half as high as the rate cycle before. that means the destinati

mr. wolfgang schaeuble said, almost suggesting the greek government is lying.he greek government is not doing its people any favors at all if it keeps making completely false statements. other finance ministers are strongly suggesting that if the vote goes no, that will mean that greece is out of the eurozone. look at what mr. peter casimir said. i am afraid the greece ranks -- banks might not reopen with the euro as their currency in the case the referendum ends with a no. the situation is shifting to what do you do after the referendum? it isn't as simple as grafting that old offer on to the new mechanisms. what they are saying is that you would have to start a new and there could be more onerous terms for greece. anna: paul, it seems every morning this week we take new twists and turns in this saga. wondering's morning whether the next turn comes from saga, brussels or frankfurt? reporter: i don't think it will come from frankfurt right now. the decision to keep ela unchanged on greek collateral suggests they are willing to give the referendum a chance. the

referring to two wolfgang schaeuble. guy: mr.eaking last night on state television and greece. what is next for the country? david powell joins us now. david, let us talk about this 60 billion fund that is designed to sell off state assets. we've all been following greece for some time. let us face it, greece has not -- greece doesn't have a great track record. how do we get from where we are to appear? david: that number appears to be realistic. today, about five years later, there pulled less than 4 billion. guy: talk about what could be sold. nice land just north of athens therefore they could sell that. david: there are three primary assets the greek government could sell. bankshares the problem is they are probably close to worthless. the government state and banks -- the government stake in banks . the banks closed, the value has probably nosedived. they have stakes in corporate assets. the problem is selling corporate step desk selling corporate assets in a depressed economy. -- selling corporate assets in a depressed econ

mr. tsipras' head as well. let's take a look. >> that was a brilliant idea of mine to hold the referendum. now i have the greek nation behind me. brussels can't just ignore a democratic decision. now schaeuble and the rest of them can't keep blackmailing us. what we need is debt relief and an end to neoliberal austerity. sure ireland and the baltic states will kick themselves to agree to bigger cuts but in the end we will benefit from a world where stronger state supporter the weaker ones. they will, won't take? melinda: is he a politician that can compromise to create a win-win solution, or is he someone who wants to remake europe and will take his country down with him if he has to? alan: that is the $1000 question, isn't it? the whole point is we began -- i remember talking to a high level bulgarian politician who said everyone starts with high-stakes and then they wear them down. to some people actually want to lose this poker game so they can impose government controls, so he can -- it is hard to imagine someone would want to commit suicide. we have had -- i think he is just inexperienced. i think he realizes that if we do that, he will not survive the chaos that ensues. melinda: faye

schaeuble and merkel in agreement? hans: not only are they in agreement, marble is in agreement with her coalition partner. mr.r gabriel has been one of the arsonist critics of greece. mr. kashimir said no nominal debt line. i did not take his redline, to be entirely a dealbreaker, although clearly he is setting parameters. brendan: hans where you are in brussels, is some kind of debt relief, nominal or structural, on the table? hans: yes, it is in the either. -- ether. it was always on the table, but because we are out of that 2012 program that last one greece did not make its payment june 30 that is technically off the table, so if you want to do that money back on the table, you have to do an incredibly complicated process, which is the european mechanism, and that is why technically and legally no one is optimistic for a short-term deal, a deal that gets banks open this week in greece. we will get clarity in a little bit -- i doubt we will get a result. tom: onset nichols, thank you so much in brussels, and joe weisenthal with us from athens. again, fragile markets moving headlined by headline, a cacophony