nejra, good morning. nejra: a very strange world.he first time we have heard you understate something since i've known you. andreas, what is your strategy around the norwegian krone? >> it is a really tricky one to trade these days. intraday volatility of 5%-10%. manus said on what on the oil side, i think you need to focus on the demand side. if you focus too much on the supply side, you will almost always get it wrong. on the demand side, would you bet on more or less lockdowns worldwide? i know what i would bet on. that means more bad news for the oil price. if russia and saudi arabia canceled all production in the next month, we would still have an oversupply of oil worldwide. the demand side is the important side to watch and it is not looking good. the spills over into norwegian krone and that is not positive for the story. nejra: we keep talking about whether markets are recession risk or not? risks are i guess priced into dollar markets. we have not seen anything like 20-30 years.t it has been a massive move. in that sense, o

nejra: thank you so much.o give you a bit of the asian perspective, deaths from the coronavirus have surpassed 3000 in china. there was also progress in south korea, cases have dropped three days in a. -- in a row. joining us is peter. u.s. futures looked to get back some of the gains they saw, but does that tell us risk assets are likely to respond better to fiscal measures? peter: it needs to be a multifaceted response. monetary response , and without that, it would have been worse. but it is not a sufficient condition. the more prevalent response is not only the fiscal spending, but what are we going to do with all that money? that's what the markets are responding to. it is the whole basket of measures. nejra: i believe we talked about the fact that you think global bond yields should be moving higher. what is your outlook for the treasury yield? when we talked back in the day, the underlying assumption was a rebound in the economy. that was shortly after the trade deal was signed. there is not going to be

nejra: i am nejra cehic in london. these are today's top stories. yousef: the fed slashes rates in an attempt to save the u.s. economy from the coronavirus fallout. future trade limit down. historic slump. the economic impact of the virus laid bare by the latest data from china. retail sales, fixed investment, and industrial output all plunge. and europe widens lockout. cases across -- surge. the g7 holds an emergency meeting to tackle the threat today. nejra: an emergency and shock move from the fed. not just rate cuts but also $700 billion of asset purchases. the markets say it's not enough. take a look at the 10 year yields. we dropped as much as 30 basis points, down 27 right now on a 67 handle. yields dropping across the curve and we are seeing flattening. the markets not responding well from what we have seen from powell. dollar weakness. morgan stanley saying markets are bottoming out so it is time to sell. you want to short the greenback versus the euro, the aussie, and the loonie. we are in the final part of a

nejra: this is bloomberg. ♪ nejra: this is "bloomberg best." i'm nejra cehic.nings were top of mind for investors this week as companies project the coronavirus impact on their profit outlooks. let's begin our report with the results from metals and mining giant rio tinto. >> the world's second-largest miner is weighing the impact from the coronavirus. rio tinto says there could be a -- significant uncertainty, but there could be a second half boost from china's efforts to combat the virus. >> so far, the virus has primarily impacted the service sector, the construction sector, and in manufacturing. the heavy end part of the industry, the aluminum smelters and copper smelters, have not been impacted. because they are difficult to stop or slow down. at this point in time, the impact on our part of the business has been very limited. however, the situation can evolve quickly. but we are absolutely confident the chinese are taking the right steps to contain the virus. we are monitoring very carefully in terms of traffic jams in shanghai, beijing. consumption of co

nejra: thank you so much.et's turn to california, where gavin newsom has ordered the state to stay isolated at home. it marks the most stringent effort to stop the spread of the virus. talk us through the steps states are taking. we are seeing stringent steps from coast-to-coast. california is putting pressure on the u.s. dollar. millions of residents under a state in place order. andrew cuomo is saying nonessential staff need to stay home and 75% of businesses to be working from home. we know a lot are staying at the american state department, and the most unprecedented move i have seen ever, level four for travel advisories. it means do not travel. usuallyel four is reserved for countries in a state of war. that is what the government is telling all of its citizens. do not travel abroad. a very stringent effort out of the u.s. today. nejra: let's talk about oil as well. a record jump as president trump hinted at a role in the price war, what exactly what would he do? annmarie: pretty astonishing what we are

nejra: thank you so much.es fromack to ben state street, our guest for the hour. what strategies are you implementing across markets right now? >> i still would like gold from a longer-term perspective. it has had some pressure the past couple weeks. its biggest weekly drawdown since 1983, i think it was, a week and a half ago. because we want to get the cash and a lot of it is because people are having to meet margin calls and potentially cover losses on other assets to meet redemptions. you want to look at the action central banks are taking at the moment. long-term, that has to be supportive of gold. we have real rates very firmly in negative territory, far more negative then 2011 when we had gold at 2000. you're going to have an awful lot of volatility in gold and a lot of commodities, but gold is the way it stands out. for me. in the short term, copper is going to see quite a bit of weakness. what we need to look at is when this starts to ease and starts to move into the background, china in particular is

nejra: good morning. i am nejra cehic. this is bloomberg daybreak europe and these are today's top stories. stock futures slump. the coronavirus death toll surges as congress fails to agree on a plan. u.s. gdp planting 30% in the second quarter. crisis measures. germany says it could borrow as much as 350 billion euros to stem the fallout as it bans gatherings of more than two people. angela merkel announces she is self isolating. top 325,000.es italy stops all movement inside the country. president trump says automakers have the go-ahead to produce ventilators. thezo abe says postponing olympics may be inevitable. welcome to "bloomberg daybreak: europe." morgan stanley adds its call to the list of all three calls on second quarter gdp. claims. jobless james bullard of the fed talking about 30% unemployment in the u.s.. he along with neel kashkari of the fed they the fed can do a lot more. but what is hitting markets overnight and in today's session is the lack of progress on the $2 trillion stimulus package in the u.s. u.

nejra: good morning from london. i am nejra cehic. this is "bloomberg daybreak: europe," and these are today's top stories. the u.s. overtakes china on global coronavirus cases. u.s. equity futures dropped after the first three-day day rally since mid-february. e.u. leaders clash on financial burden sharing as the high-stakes summit ends with few concrete -- steps. morgan stanley and wells fargo join european lenders in pledging to preserve jobs during the crisis. deutsche bank says it will pause future cuts amid its restructuring. welcome to "bloomberg daybreak: europe." u.s. futures on the back foot today after the best three-day gain in mere nine decades for the s&p 500. the dow is technically in a bull market but it is 25% below the february 12 record. in terms of asia, a mixed picture. following that emergency 75 basis point cut by the bank of india. a big drop in industrial profits in china. that is the news overnight out of asia. the 10-year treasury yeild slipped five basis points. risk off coming back into these markets after

nejra: good morning from london. i'm nejra cehic with manus cranny live. these are today's top stories. doug day for asian stocks amid the coronavirus. china equities sit lower despite pboc easing and oil plummets to a 17 year low. global cases top 720,000. , medical leaders say u.s. deaths could reach 200,000. president trump says social distancing will hold until at least april 30. -- lives in claims italy and spain over the weekend. warnings against loosening lockdowns. to matt: --"bloomberg daybreak: europe." best week since 1938, 8 dead cat bounce or the start of something bigger? a great piece looking forward that's as while it is difficult to call, there are two potential mistakes. a premature exposure to risk assets or being overly cautious. at the moment, he would err on the side of being overly cautious. is whether youte have seen the beginning of the next wave of lockdown come close down extension of the distancing in the u.s., the talk of potentially 200,000 deaths. advises institutions to dip their towing to the equity market. time to buyg it

nejra, we have to talk about mr. trump, haven't we? nejra: yes.et's talk about the latest in the u.s. president trump saying he considered a national stay at home order but decided against it because some parts of the country are not in trouble at all. he said his administration will continue discussions. president trump: we have talked about it. obviously there are some parts of the country that are in far deeper trouble than others. if we do that, we will let you know but it is pretty unlikely, i would think at this time. nejra: in europe the virus could be approaching its peak. the world health organization said there are siverpbes stabilization in europe's outbreak as hardest hit italy reported its smallest number in almost two weeks. there are a record number of applications asking for financial support. paul thompson spoke to bloomberg about the state of the economy and the i.m.f. response to the pandemic. >> bonds is unway of providing a european response. -- one way of providing a european response. fiscal policy. what are the implications

nejra: these are today's top stories. emergency cut misfires as jay powell's press conference fails to ease concern over coronavirus. the u.s. 10 year yield falls below 1% for the first time. the comeback kid. u.s. stock futures regain. bernie sanders wins big in california, the nights top prize. said's olympics minister delay is possible. the eu finance minister told an emergency call today. manus: warm welcome. i am in zurich. it's all about the bond market. andcurve could go negative we run the risk of japan if japanification. good morning. >> did jerome powell cut and undercut himself? is history showing when you have these cuts in meetings, the stock market does not take it well because you get emergency cuts, what it is really saying is the cuts are not effective to solve the underlying problem. jerome powell did hint at that. hitequity market took a big as well as the bond market. inus: jp morgan say we are quicksand to negative yielding territory. you saw this collapse in yields. the question is, are treasuries no

nejra: daniela russell staying with us. german lawmakers have approved a spending plan to cushion the blow of the coronavirus pandemic. the country's finance exclusively to bloomberg's matt miller about the package. >> this will be enough for the next months. make sure theo economy survives and you will -- should always understand there is a successful system of a welfare state working as an automatic stabilizer. a robust social welfare system is one of the most effective systems in the world to deal making itsis without feasible that people lose their incomes and giving them confidence. it is absently necessary we not just wait for the economy to run again. matt: so on the others of this crisis, after you have the spread of the coronavirus in check, then germany is going to have to think about, you are already working on another stimulus package? >> this is something we are thinking about, the possibilities, the needs, what would be very effective. -- therehere is some is some sense in what economists tell us saying it mus

nejra: we are about to talk about calls we have seen around recession risk globally.al recession is imminent and inevitable, how will you be preparing in a portfolio? i do think a lot of prices in credit spreads and markets reflect that already. like i said before, this is a really nok that is one's fault. i don't think governments and central banks, if they can help it, are going to let companies go bankrupt which would lead to massive unemployment. we are looking to pick up decent companies. yesterday we saw a fair amount of issuance. .e saw a aaa company issuing we like to dip our toes there expecting this credit easing response from government. we also like selling sovereign debt. we think the ownership is going to be shifting toward public sector balance sheets. yields should reflect that. we like to sell those rallies. yousef: gold and silver are screaming a recession could be inbound. the ratio has jumped to the highest level since the 1970's. how much of these do you add to your portfolios? be more fixed income. i would expect for gold to do well. is they obvi

nejra: and i am nejra cehic in london. these are today's top stories. yousef: at war.resident calls for unity. borders.u. closes its stomach churning, u.s. futures after the worst day for wall street stocks since 1987. the philippines becomes the first country to shut market amidst the pandemic. plus, president trump dramatically shifts his tone on the outbreak, warning that the disruption could drive the u.s. into recession. ♪ nejra: welcome to daybreak: europe. is this just a signal of a bear seeing bounce we are after the worst stock day in the u.s. since 1987, if the day wiping out the s&p 500 gains. stock markets closing in the philippines and sri lanka. could it happen elsewhere? u.s. futures are in the green. cautious to say that this is risk-on yet. yousef: amid the increase of risk appetite, we are seeing u.s. treasuries finish a bit under pressure, the yield up point 077%. the new york fed will plan in operation to the tune of $40 billion to try to inject more liquidity via six different transactions. one another so just that the liquidity indexes are startin

nejra: yes.ly. you can give cash to people and companies, but when it comes to people, the question is whether they hold onto that cash rather than spending it in times like these. thank you so much for joining us. now, let's get the bloomberg business flash. apple may start reopening some of its stores in the first half of april and it has extended remote work for many of its employees through april 5. details were exposed in an internal memo obtained by bloomberg. cutting about 1000 more jobs than previously announced as part of an overhaul for the troubled steel unit of the industrial giant, cutting about 3000 jobs by 2026. they are also looking to cancel the fallout of the coronavirus. facebook says the advertising business is taking a hit in some parts of the world after an uptick in usage for many of its services. in some of the worst hit countries, messaging has jumped more than 50%. they say the coronavirus is adversely affecting its business like so many others despite that. boeing hopes

nejra: over a barrel.pec says it will go ahead with its meeting in vienna even if the coronavirus outbreak is forcing cancellations elsewhere. this is bloomberg. ♪ manus: this is bloomberg daybreak, europe. i am manus cranny. nejra: we are seeing a bit of green on the screen in asia for the second day. but reports that we may not get a coordinated response from the g7 call causing future -- to lower.se futures the bond market is not taking much solace from central banks' promises. the chart that matters. look at the real yield. annmarie hordern is here with more. >> the real yield is looking real negative. the 10 year yield -- dropping to the lowest we have seen since 2013. say comes as central banks they are willing to give their support. there is no inflation and no prospect for inflation. given the growth outlook come it does not look like that will happen. said how bad the global economic outlook is looking. sinking to the lowest level we have seen in over a decade. thank you very much. pivot to the co

nejra: what will today's crisis mean for long-term global growth?s of distinguished voices chimes in with insight. >> there is going to be a financial impact. my guess is

nejra: thanks, -- anna: thanks, ana. she's staying with us. jp morgan ceo jamie dimon has undergone emergency heart surgery. annmarie hordern is in new york with the details. annmarie: it was caught early and the surgery is successful. he is awake, alert, and recovering well. that is what jp morgan said in a statement about dimon. he checked himself into a hospital, and that may have saved his life. as the most prominent executive in global banking, investors were concerned. shares of jp morgan fell about 1% in post market trading. the company placed copresidents daniel pinto and gordon smith in dimone aas recovers. back to you in london. well.we wish jamie dimon bloomberg's annmarie hordern with us there from new york. theng up, we are live from opec plus meeting in vienna as the organization engages in a high-stakes diplomatic gamble. ♪ anna: this is "bloomberg surveillance." a high-stakes diplomatic poker game is happening in vienna between russia and opec. they risk of price crash if it backfires. manus cranny is standing by with a guest.

nejra cehic is out. manus cranny is live in vienna. we are going there to the opec plus meeting. incredibly important meeting as you will see in a moment when i show you the oil price in just a few minutes from now. i want to check on first off the number of data points after the big slump we saw in risk assets yesterday. there is unusually no sign of a .alance typically after 3%, 4% slump on indexes, you see a bit of a bounce. we are eight and a half hours away from the open of live u.s. trading. nonetheless, u.s. futures still down again 1.25%. in just a to manus moment. crude oil at $45.43 a barrel, and the yen, which was really looked for me when i across my asset price worksheet -- the yen was 105 handle, safeng a real fleet to haven assets. let's go now to manus cranny. he is, as i say, live in vienna, been following the opec plus meeting for days on the ground now. are we going to get a decision, an agreement from russia? menace: it is a high risk roll of the dice. ministerrainy and oil arrived back here yesterday and said if they don't all get together, there is no plan b

matt: this is what we have heard from -- we just heard this from program,yne on nejra's from socgen, bigger dip and then a recovery. goldman sachs, i saw a forecast saying we could see s&p 500 dropped to 2000 and then rally up to 3400, 3400 by the end of the year. likely aoing to be v-shaped recovery, and better in that sense than the great financial crisis, which left the economy roiled for years? thanos: this is still our baseline, but there are risks. the good news in the financial sector today is stronger than in 2008. central banks have been proactive. is stillthere substantial uncertainty and we still don't know whether the weaknesses in the real economy. in the years before this crisis, there were a lot of risky lending, particularly the corporate sector. this is why we have seen such pressures in the credit market. there is the risk we may see more pressures in this area, even if the recession lasts only a very short time. this is where the weekly might be in the global economy. not in the banking sector, but the credit markets. the corporate sector that borrow at historicall

nejra: good morning. welcome to "bloomberg daybreak: europe." we are live from our european headquarters in the city of london. i am anna edwards alongside matt miller in berlin. matt: good morning. today, the markets say what is the next catalyst? european stock features point higher after losses in asia as attention turns to the u.s. as the next center of the pandemic. the cash trade is one hour away. breaknd european futures the trend of bad mondays but contracts for major indexes shaking off losses to gain more than 1%. 2% on the euro stoxx 50. global cases of the coronavirus than 3000,000, more died in spain and italy over the weekend as medical experts say deaths in the u.s. could reach 200,000. the oil price slump continues with wti briefly dropping below $20 a barrel in new york. brent prices are at a 17 year low. just under one hour away from the start of cash trading across europe, you saw briefly, futures here in europe are more than 1%. euro stoxx 50 futures up. they are trading out 1.5 percent to 1.75%. futures also showing gains. f