let's get to the bloomberg is a splash with nejra cehic. ng has hosted first quarter profits that beat analyst estimates. it penalized on -- it could capitalized on -- the firm has announced a share buyback worth 1.8 billion dollars. -- $1.8 billion. deutsche bank has posted a profit. still down 61% from the year-earlier amid a slump in trading revenue. co-ceo john cryan is shrinking europe's biggest investment bank pledging to cut 9000 jobs. strap dividends to restore market confidence. lloyds has joined the dutch make an posting -- deutsche bank and posting profits. that exceeded the two point -- the 2 billion pounds. antonio auto soria has been under pressure to intensify cost-cutting amid concerns of a slowing economic growth in the u.k.. evans group has reported a decline in first quarter earnings as an engine blitz stalls.- engine glitch shares trading lower this morning. tom and his says the setback should not affect airbus's goal of delivering aircraft this morning. that is the bloomberg business flash. francine. francine: the fed le

here's nejra cehic. nejra: thanks. the taliban has launched an attack on a government security agency. authorities say it was a suicide car bombing in kabul. there are a number of fatalities and more than 200 wounded. the taliban says it is responsible. the militant group announced the start of its spring offensive. dilma rousseff vows to keep fighting and impeachment process she considers an affront to democracy. she says the fight is only just beginning. the lower house of congress is voting to put her on trial, this could senate temporarily remove her from power. are running out of time as a search for people trapped in the devastating earthquakes. more than 400 people were killed and 2500 injured. magnitude quake flattened scores of buildings on ecuador's pacific coast. meanwhile in japan, it is estimated that about 100,000 people were sleeping on the streets after a series of earthquakes. aftershocks continue to rock the island; more than 40 people were killed and 1000 injured. and hillary clinton and donald trump

let's get to bloomberg's first word news with nejra cehic. jra: volkswagen shares are trading higher as the carmaker said to have struck a deal over payouts linked to the cheating scandal. they have agreed to set aside $10 billion to resolve civil claims of the u.s. government and lawsuits by american car owners. it comes ahead of today's to say how it will fix the vehicle. billionaire investor says china's debt field economy resembles the u.s. in 2007 and 2008. he says china's march credit growth figures should be viewed as a warning sign. president obama will tomorrow urge britain to keep their country in the european union, in between lunch with queen and dinner with prince william and cambridge, he is expected to weigh in on the brexit debate. there is little evidence that americans are broadly aware of the debate in the u.k. or care. queen elizabeth ii turned 90 today. she is the world oldest reigning marker -- reigning monarch. meanwhile, david cameron is expected to lead attribute in the comments. global news, 24 hours a day, powered by

let's get to the bloomberg first word with nejra cehic. nejra: thanks. brazilian lawmakers have voted to impeach the president. there were wild scenes of the parliament as the opposition secured the two thirds majority needed to move to the senate. there, for civil majority would see her suspended while she faces a trial. the president and her supporters say the campaign to oust her amounts to a coup. . george osborne will wrapup his campaign to keep britain in the european union today. the you can chancellor will highlight a treasury report which says it would cause permanent rather than temporary damage to the economy. would cutill say, impact at enormous costs the public spending. meanwhile the french economy minister says, bridget will begin its power within the world. emmanuel macron spoke at an hergency steel summit, where tried to persuade china to scale back its production. because, you are fine, when you discuss your history with china, you are credible. you will never be in a situation to meet face-to-face with china because the market is not r

let's get to bloomberg first word news with nejra cehic. jra: donald trump has reasserted his status as republican front-runner after a big win in the new york state primary. he built and that she built a business and put he built a business empire there. -- he built a business empire there. hillary clinton was expected to do well in new york having been twice elected as senator. expecty of london should its preeminent role in the global financial system to fade if britain leaves the european union, so says the governor of the bank of england, mark carney. he said that membership of the and leading the eu -- leaving the eu would diminish that. japan's forty-year bond yield has fallen to a low. yields less than 0.4%. negative phrase have pushed investors into longer dated that. -- longer dated debt. kuroda doesn't think that easing has reached its limit. -- after evidence of an acceleration growth -- by private economists. it takes chinese companies in record 192 days to collect payment for goods or services. that is up from 125 days five yea

here's nejra cehic. will randow its complaints that it is not getting the sanctions relief its deserves. meets with iran's foreign minister today. certain now allows transactions with iran involving banks and businesses. in mexico, the death toll has risen to 24 from an explosion at a petrochemical plant. the blast occurred on mexico's southern gulf coast. japan has become the fourth country to test fly its own stealth plane. the government hasn't decided whether to put the plane into production. it is made by mitsubishi. speaking of world war ii, next month, president obama will become the first sitting president to visit hiroshima. earlier this month, secretary of state john kerry went to hiroshima. the bombing of that city and nagasaki are viewed in the u.s. as having hastened the end of world war ii. global news 24 hours a day. i'm nejra cehic. francine: thank you so much. posted first-quarter sales and profit that missed estimates. that at shares falling in premarket. microsoft also down in premarke

berks first word news with nejra cehic. a: thousands of icelanders have taken to the streets to express their anger against the government. that is after doctrine slipped in the panama paper scandal. -- panama paper's scandal. a few hours earlier, the mp put forward a motion of no-confidence and called on the prime minister to resign. german factory orders unexpectedly fell in february and a sign that a global trade a global trade slowdown is weighing on europe's largest economy. orders adjusted to swings and 1.2%.ion dropped the reading which is typically volatile -- and a bloomberg survey. pimco says -- he would lose his bonus if he quit in the third quarter of 2014. a court filing challenging his allegation that he was forced out. the cofounder is suing for his cut of the bonus pool. any settlement would be donated to charity. global news, 24 hours a day, powered by 2400 journalists in more than 150 news bureaus around the world. you can find more stores on the bloomberg at top . guy. guy: policymakers taking the spot

let's get straight to the bloomberg first word news with nejra cehic. jra: pfizer is terminating its merger with allergan ending the largest ever acquisition in health care. the move comes after the u.s. treasury said on monday the new rules would limit what it will call "inversion transaction." -- after the prime minister's sudden resignation through the government into turmoil. -- it is the last hurdle before the country can start exiting capital controls which were imposed during the financial crisis in 2008. german industrial production declined less than forecast less -- less than forecast in february. compared with an estimate for 1.8% decline in a bloomberg survey. global trade forced factory in europe's largest economy to curve up right despite domestic demand. global news, 24 hours a day, powered by 2400 journalists in more than 150 news bureaus around the world. you can find more stores on the bloomberg at top . francine. francine: thank you so much, nejra cehic. ted cruz beating donald trump in wisconsin's primary boosting the odds of a co

here's nejra cehic. and opponentsers of british membership in the european union squared off here in london today. they gathered for the bloomberg brexit eight posted by francine lacqua. >> the value is not just in the eu, but around the world through trade deals. it is valuable for jobs, for investment, for the future roster of our country. what they tell us is they don't see any way of getting that same market access from outside the european union. >> the present situation in the eu was not satisfactory and it needed radical change. i'm sorry to say i don't think that radical change was met. it was disappointing. i think we ought to leave. nejra: the british referendum on the eu is june 23. voters in iran are deciding whether moderates or hardliners will control the parliament. polls have opened for elections determine the last 68 seats in the legislature. supporters of president rouhani won a majority. it was a setback for those opposed to last year's nuclear deal with the u.s. the united nations war

francine lacqua in tom keene with nejra cehic. nejra: thanks, tom. fund china investment among thoseti are waiting big for chevron's asian geothermal assets, according to people familiar with the matter, who say the asset could fetch as much as $3 million. they are slowing the exodus of cash, and global prices plunge. baidu is seeking a $1 billion loan. the company, founded by robin lee, says it wants to make a syndicated facility. it's providing a haven for investors fleeing risk in the state owned enterprises. three days before the sale is due, an initial public offering is overprescribed, according to people familiar with the matter. investor demand is at least five times the number of shares being issued. shares begin training the next day. that's your bloomberg business flash. tom: thank you. over the course of this financial crisis, he has provided leadership and the same discussion of optimism of the global economy and particularly optimism on the european willmic ask them -- we drive forward with optimism and maybe get to friday and the ins m

let's get straight to the bloomberg first word news with nejra cehic. nejra: thanks, francine. goldman sachs is said to be advancing on its biggest cost-cutting pushing years. according to people with knowledge of the effort, ceo lloyd blankfein is calling for the push which includes firings and curbs on travel and entertainment expenses. bonds are inyield the midst of their worst two-month selloff since 2014. investors say they have yet to fully price in the risk of default. speaking in washington, the governor of immediacy set of corporate debt burden is heavy, is not veryrage high. federal reserve bank of atlanta president dennis lockhart said he will no longer push for a rate increase this month. speaking to bloomberg's kathleen hays, the fed official said there are still opportunities and ray to make a move. you look at the calendar, there are enough meetings remaining this year that if the data were to suggest it is the appropriate policy to have three moves, to moves, three moves, both are possible. it is going to depend on how the economy evolves. least nine people were

let's get to the first word with nejra cehic. nejra: thanks. a shock today from tokyo. japan's at central bank has held off on expanding monetary stimulus. it has the yen surging and u.s. stock futures falling. the bank of japan decided to take more time to assess the impact of negative interest rate. policymakers are betting it will lead to more lending. peace talks in syria have envoyd and as special wants russia and the u.s. to revitalize the cease-fire that is all but collapsed. envoy ended two weeks of negotiations about setting a date to review. authorities in france have now charged salah abdeslam in connection with the november attacks in paris. he was arrested last month in belgium and transfer difference yesterday. portugal is willing to take in 10,000 refugees who ended up in europe. so far, only a few more than 200 have arrived. portugal blames the lack of coordination in europe and administrative roadblocks, of the bigger reason may be the sluggish economy. portugal's jobless rate is almost three times that of germany, which may hurt the country's appeal. a

estimates for subscriber growth. ♪ francine: let's get straight to bloomberg's is his flash with nejra cehicjra: volkswagen investigators are sent -- are said to be making headway for data secured for more than -- laptops. the probe has been slowed by the use of dozens of codewords including cryptic software. that is according to people familiar with the status of the investigation. have six at the desk have accepted -- perrone, gross and meantime. the agreement is conditional on completing its takeover. sabmiller.eover with the shares are trading higher this morning. first quarter sales beat analyst estimates. the company whose advertising agencies worked for brands including vw and netflix some point 2rise 8.9% to two -- 2.2 9 billion euros. -- 2.20 9 billion euros. one of the bond market's most exclusive clubs has a new number. the brokerage arms of -- the brokerage arm of wells fargo has been designated a u.s. primary dealer. it is the first addition since february 2014. its 1988 peakow of 46. netflix shares tumbled an extensive trading after forecasting weakening subscriber growth, espe

here's nejra cehic. a: hotel has -- total has posted -- the french energy producer with $1.46 billion. the beat was surged by resilient refining profits profits were so 37% lower. its testsas raised adidas has raised its -- adidas has raised its -- the previous forecast a 10 to 12% increase. they raised its 2016 sales. twitter took a tumble and extend a trade after missing estimates for revenue projections. expecting second quarter sales to be lower than $610 million. twitter also missed its first-quarter revenue estimate signaling it is struggling to add new users. that is the bloomberg business flash, francine. francine: it is running season for banks. standard chartered picked off yesterday. shares surged because there was surprised drop in charges. , a an exclusive interview delicate dance with shareholders. >> it made us trust our shareholders to know we do not watch our share price because it is not influencing what we are doing everyday. what we want to do everyday is tight not the ship. ship.tight

wife very to freeze .rancine: welcome back let's get straight to the bloomberg business flash with nejra cehicnejra: shares and tesco are trading lower this morning despite reports of its animal -- annual earnings that beat analysts estimates. it rose to 1.1%. that compared with estimates of 936 million pounds it the uk's biggest grocer said profit will be held back by the cost of crude. jpmorgan has cut about 5% of jobs at its asia-pacific wealth management unit and refocused staff on serving clients with high investment rush holt spirit -- investment thresholds. it is involved mostly relationship managers based in hong kong and singapore. the bank is due to announce first-quarter earnings this morning at 11:45 u.k. time. usual. that is your bloomberg business flash. francine. francine: think you so much, nejra cehic. -- populist politics in the u.s. and europe. japan as growth risks. -- ofalso warns adviceting growth. >> followed, generally the outcome has been good. there is an issue to raise which is policy works. monetary policy cannot be implemented overnight. partly for that reason it h

let's get straight to the bloomberg first word news with nejra cehic giving.: the world largest currency or rose last month after capital outflow treasure eased as the nation's capital n.c. state. dutch voters have rejected a by a margin treaty of nearly two to one. the results have exposed the extent of anti-eu sentiment in one of the bloc's founding members. as britain decides to leave the european union, the outcomes are large and potentially unknown according to jpmorgan ceo ginny dimon. he says that even in the best case scenario, there would be years of uncertainty. a brazilian congressional report has recommended that impeachment proceedings against president dilma rousseff move forward. the report found evidence of the main complaints against her, that she used illegal financing to hide the size of the budget. she says the charges are baseless and her supporters call the campaign and attempted coup. global news powered by 2400 journalists in more than 150 news bureaus around the world. you can find more stories on the bloomberg at top . francine: m

here is nejra cehic. a rousseff is coming to new york for united nations climate event. a concern international stage where she can't denounce the impeachment process. it a q and blames the vice president, michelle timmer. pain for a devastating earthquake. degree powers to boost the sales tax by two percentage points for single year. millionaires and businesses will pay more. anyone making more than $1000 a month will lose one day if they. the earthquakes that struck the other japan last week may cost insurance $3 billion according worldwide. air it caused widespread damage. tenant republicans will kick in on part of president obama's emergency request or spending on the zika virus at according to a republican familiar with the matter. they're drafting their own plan to spend more than $1 billion. the president asked for twice as much to keep the zika virus from spreading. theman who shook up presidential campaign with his unorthodox style is going more traditional. donald trump lands to hire a speechwrit

let's get over to nejra cehic. nejra: thanks so much, caroline. we saw a mixed trade in asia. shanghai composite, one of the worst performers in the world this week. let's see how europe is shaping up. we could see some muted losses. ftse 100 down almost 0.4%. cac 40 pretty much unchanged. we are still waiting for the dax to open up. we can come back to that later. i will be talking carmakers in a moment. first, the euro. it has been tricky this morning. it is pretty much unchanged against the dollar today. we saw the euro with yesterday by mario draghi. we saw it surge to a session id erasedrates -- before it its losses. the euro is up about 2.7% since the ecb march meeting. the currency to keep an eye on even after mario draghi said, just be patient. just to show you some of the main movers today, it is all about the auto sector. daimler, going to take a wild to open, but first-quarter operating profit fell as the mercedes-benz division spent money to introduce the latest version of the sedan. volvo, first-quarter earnings did fall because of the north american truck market.

here is nejra cehic.joins four other coal companies to seek bankruptcy as the industry endures its worst downturn in decades amid for environmental policies, a flood of cheap natural gas, and a glut that sent prices to 10 year lows. trading in peabody shares in new york was suspended immediately. jpmorgan has reduced headcount 30its asia-pacific unit, positions eliminated, or 5% of the jobs. the move comes as the bank tries to refocus staff on serving clients with higher investment thresholds. the bank reports earnings late this morning. more evidence of stabilization in the world's second-biggest economy. in --exports have jumped have jumped the most in a year as imports have narrowed. stocks rallied on the news. shipment's were up 11.5% in dollar terms in march from a year earlier, compared with a 25% slump in february. that is your "bloomberg business flash." francine: joining us now from hong kong, enda curran is with us. .ith us also is james bianco great to have you on the program. the markets are h

nejra: -- nejra cehic, over to you. ve talked already about this, it is one of the biggest gainers on the stock 600. beer shipments that led more than analysts estimated. heineken generates nearly two thirds of its earnings from emerging markets, but it also reiterated guidance that it anticipate stronger sales and profit this year, despite a slowdown. all of that is adding up to a positive picture, driving the stock higher today. and we have abb. it has been grappling with some emerging market weakness. it has said that first quarter emergingll amid slowly markets and weakened demand from the oil and gas industry. the number was a beat. also, the company has been making management changes, and costs andd to cut begin a strategic review. finally, one of the worst performers today, damn holding. it has said that net outflows , as3.1 billion francs market turbulence prompted investors to avoid risk. management fell 7%, and the company expects performance fees to fall from the first half a year earlier as market instability

francine: we are right on the post this get to the bloomberg near -- bloomberg business flash with nejra cehicjra: first quarter adjusted earnings before taxes and amortization rose to 374 million euros beating analyst amit -- analyst estimates. >> we are in a process of evaluation for looking both at private business as well as an ipo. we have not taken a final position. improvingy markets and ipo is a more likely scenario, but the decision needs to be taken which we expect in the second quarter. bhs expects to file for administration as soon as the day, putting an 11,000 jobs at risk. it's own acquisition is expected to happen today -- to revise the fortunes of the struggling company, that is according to bbc. the chain opened its first door almost nine decades ago. mitsubishi motors shares have dipped again after losing more than 40% last week over its fuel efficiency scandal. the carmaker is mulling a delay. that is according to a person familiar. the company says it needs more time to measure the effects and extent of buying costs related to the data. that is the bloomberg business flash.

nejra cehic is here. this hinges on the number of technical issues. nejra: exactly. the u.s.erges with a foreign firm, the u.s. shareholders have to own 80% of the firm. the treasury plans to change that threshold to 60%. if shareholders have 50% or more, the could be subject to enter and version penalties -- subject to anti-inversion penalties. the shareholders would end up with 56%. the treasury department said on monday the rules would limit companies to put his faith in inversion if they have already done them in the past six months. allegan has been involved in several merges. up to not -- turned be allowable, the ownership ratio would swing more toward pfizer and the treasurer analysis. it is still unclear whether these rules are going to impact the merger. this is why allegan and pfizer have to go way and assess it before coming out and saying whether there is going to be potential impact. they said they are going to conduct a review. some say this is going to affect pfizer's proposed acquisition. others disagree. the companies appear to have anticipated something beca

nejra cehic joins us. nejra: asian stocks set for the first back-to-back declines in a month.een losses of more than 4.5%. i have tracked the msci asian index. .he stoxx 600 in europe this is normalized to see what has happened year to date. after a turtle and start, the msci, that is the white lined, up north up 6%. a 2.3% gain for the s&p 500 including the stoxx 600 in europe's -- and europe is really lagging. 4.7% down on the year. leading to the question is the equity rally stalling? we are seeing risk-off in the market today. i will show you what is happening in commodity markets. up --i crude -- wti crude we are seeing copper down .7%. though they have had a pretty good run. china because of the revival in the property market. more on the theme here of risk-off. we are seeing the yen rebounding from a three-week low versus the dollar. the boj might be willing to lend commercial banks with negative interest rates. the feeling today is that recent decline a little bit excessive. the boj needs to do more of. a slim majority of analysts do expect more stimulus from the boj t

hears nejra cehic. nejra: thanks.year, the -- he crash the plane into the mountainside in the french alps, killing all 150 people on board. the lawsuit was filed in phoenix against the airline trading e training center. its and issuing today you will tit-for-tat report on human rights in the u.s., saying money and family connections are corrupting american politics. gun crimeport cites and excessive use of force by police. china publishes the report each year in response to the u.s. state department's annual paper on china's human rights. a top treasury department official is arguing against new legislative sanctions on iran, even after -- he says iran will remain blocks from the u.s. financial system. republicans in congress have criticized president barack obama for failing to punish the country for peaceably defying a u.n. missile test ban. day,l news, 24 hours a powered by art with 400 journalists in more than 150 news bureaus around the world. francine: take you so much. -- thank you so much. shockwaves in the si

nejra cehic has the details. not so much cheer in the asian markets. 've got the msci asia-pacific and tex on the chart. asian stocks headed for their biggest loss in weeks, after a seven-week rally. i want to take a look at the wildest water for asian equities since 2011. it was the worst start to the year on record. stocks prettyan much recover from those losses, but some say the rally has run its course. you can see that drop today. looking at chinese stocks, we got that surprise jump in the chinese manufacturing pmi, all in50 for the first time months. s&p also cut its credit rating outlook on the country and we are seeing chinese shares fall today. chinese shares trading in hong kong. the china enterprises index falling after it entered a bull market yesterday. we are not seeing much positive sentiment in chinese stocks. looking at japan, as you mentioned, that drop in the index showing that corporate sentiment has slumped near a three-year low. we've seen the yen rise after that, the best-performing d10 currency versus the dollar today. stocks dro

that is a story that nejra cehic will bring you in a little bit more detail. story. come on that backstopping the banks. italian banks will be in focus once again, more details on the function. it is not a backstop bank, it is a backstop front. 38-27 backan real, impeachment. the real is making its way up higher. 2.8% yesterday. what you have here is politics, the new alpha in this market. economists lowering the view in terms of what we look at for rates. -- potential for recep leavy rousseffving -- leaving has emboldened -- oil is down 0.3%. goldman's doha will do little to boost prices. kuwait having production at a 40-year high. at the bottom of your screen, you have a break off trend. the relative strength indicator says that yen was overbought, dollar was oversold. you have this reversal of fortune. temporary or long-term? we will discuss that. sean solomon is here, good morning. soloman is here, good morning. assuageis is to investor jitters in the crisis. one banker said that the new atlante may create 5 billion euros. british prime minister david cameron has

let's find out with nejra cehic. chart today is really showing short interest on developing world bond and stock funds, plunging. significantly because back in january and february, we were seeing that short interest as a percentage of shares in the double digits, around 13%, 15%. it has now dropped to between 2% and 3% for both bond and stock etf. it is near the lowest level since 2012, the largest etf tracking, developing nation , at a 1.5% bonds low. traders have added more than $1 billion to u.s. traded, emerging-market stock and bond deals through april 15, pushing for total inflow this year to $4.5 billion. that followed an exodus in 2015. a lot of this is driven by assets rallying, china's economy stabilizing higher, oil prices and fed going slower. it has pushed down some emerging-market stocks and currency. guy: thank you very much. up next, we will carry on the conversation. emerging markets rally after legislation passes in brazil, next. ♪ you shouldn't have to go far to get the help you're looking for. th

let's get you to nejra cehic. she has your stocks to watch. m starting with one of the biggest gainers on the stock sincxx600. the contract is due to actually start in april of this year. seizedof that, draxx 2016 in the top and range of its current forecast. now, moving on to osram. osram fromwapped out a list of its biggest suppliers and instead, added royal. that is part of a supply chain reshuffled by apple, ahead of the release of the iphone 7. osram, really a blow to which has invested one billion euros in a plant that builds some a contactors used to make led. it is the worst performer on the stocxx 600. m&a.ly, this is about stansberry is down 1.3%. the takeover has been tonimously welcome recommended shareholders. sansbury values home retail at about 1.4 billion pounds. it represents a premium of 74% of the company's closing price on january 4. we are saying sansbury's down here. draghi isio towards a record. many companies are inching closer to borrowing for free. yes, you heard it right. darling for free as the ecb expands its stimul

let's get to nejra cehic with a chart for us. nejra: thanks, ann.e would talk about the korean won today, the best performer among major currencies against the dollar after the bank of korea kept rates unchanged. it rose to a five-month high. i want to look at the won not just against the dollar but also against the yen. it's up against the dollar by 2% but down 7% against the yen. the won dropped to a 29 month low against the yen this year; that has boosted the competitiveness of korean cars and electronics compared with those made by japanese rivals. some comfort to korean companies as they face a 15-month slump in exports. it also eases pressure on authorities to stem the won's strength versus the dollar. this is all the different picture to just under a year ago, anna, because when trade and business groups were calling on policymakers to steady the won as a climbed to a seven-year high while weakening against the dollar, we are seeing the opposite picture now. i spoke to commerce bank on bloomberg radio earlier and asked him specifically about

now let's get to nejra cehic for our chart of the hour. nejra: thanks, hans.chart here looking at the net cost of three-month contracts that are hedging against sterling losses. the three-month contract -- that is the purple line. and these are the premiums, the costs. 4.7%,iden this week to the most since bloomberg began compiling the risk reversals data in 2003. there are also similar premiums to protections for the fixed and 12 month. options prices suggest traders are more pessimistic about sterling, not just against the dollar, but also against any other of its g10 peers, and not just in the wake of the referendum, but over the next year. this is after the pound has already fallen more than 3%. the worst performer against the dollar out of 60 major currencies tracked by bloomberg, and it is dropped even more against other currencies on a trade weighted basis. down almost 7% this year to close. guy: i am going to ask you for an opinion on the brexit. i'm sure they will be delighted. with how the looks like it is going to be under pressure for a --le accord

nejra cehic is here. he has got to say about the fact. hat he is saying is that he is less worried about negative interest rates, but he is more concerned the rates might rise faster than expected. he also said that the market won't be able to rely on the biggest buyers of u.s. debt. we're talking about the fed, foreign countries, commercial banks. he says that, if this scenario were to happen with interest rates on ten-year treasuries on the rise, the result is unlikely to be as smooth as we all might hope for. treasuries, of course, had their biggest quarterly gain in the first quarter of this year. jamie dimon is really worried that that rally could turn around. manus: he also talked about brexit. he talks about it in terms of real risk for europe. he certainly didn't hold back, did he? nejra: he said the outcomes of a brexit are large and potentially unknown. he said that in one bad scenario , and he stresses this is not the worst-case scenario, the exit would trigger trade retaliation by eu countries, hurting both sides. he said that

him introduce our chart of the hour with nejra cehic. i will put it up on bloomberg here. - investors are pretty short right now. nejra: we have seen $2 trillion restored to the u.s. market over the last six months, but skepticism is ripe. investors have become more impassioned with the rally. interest is at a eight year high. we can see short interest with the s&p 500. this began in august when there's investors set bets ofinst u.s. stocks above 4% available shares for the first time in six years and i have not backed off since. with levels8 highs, of 4.3%. you can see the end of the white line there and that is equivalent to a position of just under $1 trillion. we can see a contrarian bullish signal setting up a powerful rally. the rationale is everybody is selling into stocks are already low. guy: they can be pushed much higher. hans? statementought guy's was in fact a question expressing doubt. i should never assume any sort of question guy makes has an upturn at the end because he is never doubtful. he is always full of confidence. my question is, can we act on this o

nejra cehic is here with the details. the asia-pacific index excluding japan. we are seeing this benchmark decline, heading for a weekly drop though it is still up on the month. across the region you are seeing some gains in china and losses in asia but the biggest losses indexeen in the hang seng it's also because chinese energy users have been reporting poor results. its first quarterly loss since 2000. china responding to the first overnight tumble in the dollar by strengthening its currency fixing by the most since 2005. that is when the paint was -- the peg was dismantled. this white line is the dollar -ou on and -- the dollar yuan. extreme, relative to the small moves in recent years, but analysts say it expresses increased confidence in the dollar. that's probably why if you look at the onshore and offshore renminbi, pretty much unchanged today. speaking of the dollar that has dropped. it's coming in weaker than forecasts, showing at the economy expanded to its lowest quarter in two years. we saw the yen jump yesterday after that decision from the bank o

but first, let's get to nejra cehic with your chart of the hour.talking about global body else. this year the u.s. treasury 10 year bond yield has come down significantly. the jgp 10 year yield has dropped below zero. yesterday, germany 10 year bond yields dropped to the lowest since april, 2015. what this chart shows is global bond yields have fallen to a record, a warning sign on the worldwide economy, some might say. we are looking at the bank of america global field index. they have plunged to the lowest level in a most 20 years of data. in terms of returns, the bonds have returned. the world country index of shares has dropped to 1.5%, including dividends. guy: japan has to be a big part of this. japanese yields of got into negative territory. it is not just a van. just is not japan. it is also germany. nejra: interestingly, there is a great during a bloomberg today talking about the japan of of germany'scation bond market. i looked at he returns to see what the best and worst performing bond indexes were. u.k., still the best. we were talking