one way to look at it, if you compare cds on italy to emerging markets, you are assume emerging markets more risky. italian bondsnt, -- coming closer to being about even at this moment. previously, we would have run through a whole gamut of on this single currency. that seems to be not there in the same way. print the markets being complacent? -- aren't the markets being complacent? ani: the markets are saying this is the worst that could happen in terms of affecting other assets. domination risk, they stand around 90 basis points, about double from where we saw months ago. guy: dani, thank you. edmund shing is still with us, the global head of derivatives strategy at bnp paribas. what is the best strategy for dealing with italian risk in europe? maybe we should think about how dividends work. maybe we should think about how company payouts are going to be reured. that provides us with a more bond like cash flow stream that allows us to protect ourselves. something weis have looked at and we worked a lot on dividend futures. who wants ator, cheap way to protect themselves if the italian

help italy more on immigration. first important sign that italy can't continue to bear this huge burden on its own. i mean it's clear the european union can't go on this way. we hope today is a new beginning. but the charity running the rescue ship has warned of the challenges in reaching the spanish port of the length it would take at least two days putting vulnerable people at risk that's why the un is continuing to put pressure on italy and malta which are much closer to let the ship dock its creation is getting more dramatic by the minute and that's why we are asking this me authorize these invocation and to leave if. the political issues on how to manage. flows of. refugees for. cost addressed in an unwelcoming political climate the fate of the migrants aboard the aquarius is still unclear. and joining me here in the studio is florian vest fall from doctors without borders which runs a medical clinic on the stranded ship and we thank you so much for joining us this evening to talk about the situation what are yo

women praying doctors without borders says migrants on the ship are unaware of the diplomatic standoff for the standoff marks the first display of italy's gets tough immigration policy under the right wing league party on sunday italy's new interior minister and league party leader matter of south vietnam said in a tweet the country would no longer accept what he called clandestine immigration he wrote from now on italy would will also begin to say no to human trafficking no to the business of illegal migration for his part selvin here criticize malta for failing to fulfill its international obligations. some of the other stories making news around the world around three thousand people have rallied in the remaining capital bucharest to protest moves by the government to dismiss the country's chief anticorruption prosecutor the rally have comes a day after supporters of the center left government marched against alleged abuses by the anti corruption agency. three gulf states have placed two and a half billion u.s. dollars to in aid to jordan as they try to help the kingdom overcome a fiscal crisis it's hoped the government will now intr

also coming up from spain comes to the rescue of migrants on a boat stuck in limbo in the mediterranean italy's new right wing interior minister delivering on a campaign promise that blocks the vote from entering italian ports. i am. on my a twitter thank you for joining us. the world is watching as the historic summit between u.s. president donald trump and north korea's leader kim jong un is poised to begin in the latest twist in the drama filled lead up to tuesday's talks trump has said he will be leaving singapore early because negotiations on getting rid of north korea's nuclear weapons have moved quote more quickly than expected meanwhile kim spent the night taking in the sights of singapore north korean state media says he has learned much about singapore's economic potential. time for a selfie kim jong un hadn't been seen leaving his hotel since shortly after his arrival on sunday but he decided to go for a night time to or if singapore just hours before his historic summit with donald trump. singapore has designated certain parts of the city as special event areas barricades and high s

on and they do you know that you called it media liberalism. makes you know this is this you are it's like oh it's. we're in france in france and italy is about fifty seven percent i want to i really wonder what kind of stupid well. it's no one else that neo's this. but or it's a new year so it was a big business kind of problem as a you know it's a collusion big business big clearly there is a lot of big government and now it's you were before you were a guest was to go on u.s.s.r. and i would compare europe to the holy roman to. in the seventy's hundreds that had no effect whatsoever in european politics and this whole area used to say is either all the more roman are not even and are and so it's clearly it's not units not well it's europe you ninety it's a utopia but most of the people most of all in new york just because believe it it's certainly not that in their lives well i mean what was done hang on hang on here do you know it to be fair here there are a number of cases where the european union is genuinely popular in the european union and this is part of the divide among member states here and then let me go back to. that a

the numbers on italy oi'i italian view.happened to the italian economy since the euro are horrifying. hence why the ratings agencies are giving warnings. what is driving things in terms of why people are voting as they are, real wages in germany since 1990 people are voting as they are, real wages in germany since1990 have increased by 120%. they have increased by 120%. they have increased in italy by 3%. you have an electorate sold the promise of the euro, lots of warnings at the time that it was imperfectly designed and heading for a smash at some point. it seems to be almost impossible to reform. president macron is doing brilliantly in many respects, but there doesn't seem to be any sense... we could have had this conversation six or seven years ago and saying the same things and yet it is still there. italy and the love for europe of the italians and they felt let down because of the refugee crisis. it was italy who had to cope because of the dublin agreements, data in hundreds and thousands of refugees and where prett

you know they just focus on that one i mean this issue's been around for a while it's getting more intensified but it's been there and i you know i my knowledge of italy in the in the issue of immigration i mean for some communities it's dire it's dire people just walking off the beach i mean when you and all of us on this program when we go to a foreign country we get an airplane we go through life it take it we go through metal detectors we have our passports checked we were checked and now you have people just coming onto the beach and walking in i mean that is something that if i lived in the telling community i would be periods about i mean it's the least of all the security issue go ahead the if i was in london yeah i mean this has been accentuated by the refugee crisis so we need to be a little bit careful about the immigration side and the refugee side. the same the same happens in greece but let me tell you something pete the majority of the people who voted for the populist parties have not even come across a single immigrant in their communities so i mean sometimes it's like bragg's it the areas that voted bragg's it in the u.k. have the le

seeing europe and mr general secretary before we run out of time i certainly want to get your take on italy on your home country recently the italian finance minister is said that the e.u. is no plans to leave the euro which has shot the markets up in recent days pretty good thing. what's your view about how the future will go with the new italian government well let's say the new the talian government is a bit of a nigga in the sense that you have two parties that came together to sign a contract as they call it but you know these two parties have completely different and they verging agendas particularly on social issues but also in economic issues and financial issues although they shared some say slogans in the come paying for the elections and leaving the euro leaving the european union less my gran's and cetera et cetera but you know when it comes to the reality and not to become painfully elections to the real things that you have to deliver well it's not yet clear what they are going to do so we are really waiting to see what will be the real strategy in the real achievements that t

gentlemen i have to go to a hard break and after that heart break we'll continue our discussion on italy and the state with art. for a world cup twenty eight team coverage we've signed one of the greatest goalkeepers of all time but there was one more question by the way is going to be our coach. guys i know you are nervous he's a huge star among us and the huge amount of pressure can remap do you have to be i mean eighty percent of the tell we are with you and so will the great game the great good you are the rock at the back nobody gets past you we need you to get the ball going let's go. along as i want to you know and i'm really happy to join the team for the two thousand and ten world cup in russia meet the special one come on top of. me to just say the radio p.r.t. teams the latest edition to make up the bigger so i need to just say look. fifty years ago breaking within two cons again as a sleeping pill. the side effects were terrible but not on known. across europe victims or starting legal battles demanding at least some compensation. in two ways first will the physical damage it

it is risk on. italy is going to get government together even though it is a populist one. diminishing stories, they settle the two key headaches of that french bank in the u.s.. now it is settle there is speculation they may be teaming up. the two lenders could team up. we're going to look at other m&a right now. checking on some french companies that are the biggest mover. apple and air france. one of the best performers today up over the year to date. they are on the uptick. reports that a could be loat the minority stake following on those reports. this is an interesting move. it could make sense for apple to get into airlines. it has many political hurdles. , dollar down. we're seeing the euro higher. why is it doing so well? toward thetinuing positive momentum. euro currently up for a second straight day. currently at the highest in two weeks. commitments are off as president trump moves ahead with metal tariffs. but others are to blame. >> don't blame trump. blame china. blame europe. plain nafta. blame those who do not want percent control -- reciprocal trading. tru

what it was last week at the beginning of last week when there was real turmoil over the worries on italy on the surface of it people tell me it's the certainty that there is an italian government but you know everyone i talked to here is super worried about it it's the main worry at the moment italy will it survive will it remain stable financially in some way will it stay in the euro and if not what does that do to the rest. there was all the spots in frankfurt but we stay on the subject of the eurozone because german chancellor angela merkel broke cover over the weekend on euro zone reform responding to a speech by french president corps in april merkel agreed to founding of a european monetary fund and a common investment budget those smaller than the one local suggested as a cause office says more work is needed on banking union proposals for the two countries are aiming to agree on eurozone reforms later this month ahead of its use of. their billing at the biggest ever worldwide clean up the un is calling on citizens and companies to fight plastic pollution and world environmental d

on a part of it all is standing by with the latest from barbara as you can see there here italy's new government really on a collision course with the european union how much of this is just a show of domestic consumption here how much of it is raul trying to force brussels to do something. i think sarah we really do see a mix of the pros here of course the government the that just came into office two weeks ago promised particularly much to you so the need the head of the league promised that they would really put didn't put an end to the constant flow of migrants coming into italy unchecked and they want to really sort of make through this promise on the other hand of course they do try to create a clash with brussels because what they think and rightly so in a way is that if you ask nicely in the european union as italy has done for years you get nothing but if you really go for a head on collision if you really left to vote migrants sort of wait in the mediterranean for some soul to sort of pick them up for some neighboring countries to show to show mercy then you may get somewher

didn't put an end to the constant flow of migrants coming into italy unchecked and they want to really sort of make through this promise on the other hand of course they do try to create a clash with brussels because what they think and rightly so in a way is that if you ask nicely in the european union as italy has done for years you get nothing but if you really go for a head on collision if you really lead the vote migrants sort of wait in the mediterranean for some soul to sort of pick them up for some neighboring countries to show to show mercy then you may get somewhere so that's what italy is sort of counting on and that explains the strategy and how is the e.u. likely to react here to rome's unilateral action. we saw quite different reactions of course you already mentioned monreal micron was said is sitting still what rome is doing there and of course is the basis of this is the extreme right wing politics officer of union the league but on the other hand it's hypocritical of france for instance and some other european countries to point the finger italy now because for years they have to absolutely nothing to he

in the mediterranean was helping people smugglers the lifeline docked in malta on wednesday after being refused entry by italy and spain it has been drifting at sea for six days with more than two hundred migrants and refugees on board. five people have been killed in a shooting at a newspaper building in the u.s. state of maryland the gunman targeted the offices of the capital gains that in annapolis the dead include four journalists and one sales assistant a man's now in custody and being questioned by police the military offensive in southwestern syria may have ended at least for twelve hours russian led talks in jordan have resulted in a temporary truce with the free syrian army and there are a least seventy eight people were killed on thursday some of donald trump's aides have closer ties to the u.a.e. than previously thought according to a new report from middle east i says it has e-mails revealing those who are willing to exchange inside information with the a morality ambassador to the u.s. during the two thousand and sixteen election campaign it's my turn is here now stay with us here on al-jazeera.

italy was setting on a two-day loss of 4.7%. european benchmark, best day since april. we have a new leader in italy who was sworn in over one hour ago with a new cabinet. and a new prime minister in waiting in spain. the euro is lower against the dollar as are the other currencies with sterling rising. the spanish five year yield is lower by 13 basis points. a turbulent week in the eurozone bond market. deutsche bank in the news as their chief executive suffering a fresh setback in his effort to reinvigorate the european biggest lender with global ratings cutting its credit +, the third lowest investment grade. he replaced john cryan in april with a mandate to accelerate the plan to refocus european home market and away from wall street. shares of the lender closing at a record low yesterday but bouncing back today. yesterday, regulators in the u.s. having deutsche bank operations in the country with a list of problem banks. shares have fallen by 40% this year, the worst year in a decade with the record intraday low on september 30 of 2016, 8.83. above that level as of

also coming up spain's comes to the rescue of migrants on a boat in limbo in the mediterranean italy's new breitling interior minister delivering on a campaign promise to have blocked the vote from entering at talian forces. and could football fan violence mar the world cup russia says it's under control but it has long had a serious problem with fans who like to pick a fight. i'm sorry kelly welcome to the program thank you for joining us. the historic summit between u.s. president donald trump and north korean leader kim jong un is about to get started in the latest twist in the drama filled lead up to tuesday's talks trump has said that he will be leaving singapore early because negotiations on getting rid of north korea's nuclear weapons have moved quote more quickly than expected now the abrupt change in tromp schedule came shortly after secretary of state peo had seemed to lower expectations for the meeting and in the meantime the two leaders have been taking in the sights of singapore. time for a selfie kim jong un hadn't been seen leaving his hotel since shortly after his arriv

aside from that, they disagree on pretty much everything! the big problem for italyfectively one and a half times bigger than ours, the coalition‘s big spending plan could scare investors who currently lends to italy and may wonder if they will be repaid and that could create crisis. will the coalition really pursue the bank? reality will impose itself on the fantasies, let's say, of the electoral campaign. parties which have never been in government. fortunately there is a sort of very powerful bureaucratic democracy in italy which is capable of running things much more than the government in office. the coalition faces a choice of letting down voters or risking its credit supply, that could trigger a new euro crisis, but that is not the only issue for europe, the coalition is very eurosceptic. the eurozone reform, banking reform, all of this is going to be more difficult and get delayed because the italians are not going to facilitate any of this. der spiegel, a german magazine, today published this cover, they fear a debt crisis, the end of eu reform, the coalitio

on the ground. and stranded in the mediterranean italy refuses entry rescue ships with more than six hundred people on board instead it says malta should open its doors for the maltese government says it has no legal obligation to act so where should the migrants go back question to the u.s. agency for refugees. and welcome to the program the countdown is on for tuesday's historic summit between u.s. president doll trump and north korean leader kim jong un and preparations in host country singapore are in full swing u.s. president trump has been meeting with singapore's prime minister lee hsien loong in a working lunch with aides in the run up to tomorrow's summit it will be the first time a sitting american president has ever met with a north korean leader. trump has been building expectations calling the meeting a one time shot at peace and he says he'll know within the first minute of meeting him if a deal with north korea is possible. from photos to friends the route to the historic summit in singapore has been more than a little rocky. an exchange of insults followed after north korea repeatedl

it shores following through on solving these earlier warning that italy would not be taken taking in one more refugee. stranded at sea these migrants have been stuck on the ship since thursday after they were rescued from rubber boats off libya's coast . the german operated ship lifeline refused entry by spain and italy the ngo has warned the situation on board is critical. situation getting worse and i would say we also. see this night. he needs surgery. so in the last minutes he could be. seasick. we are waiting for call. italy's hard line interior minister matteo salvini wants to cut off the flow of migrants before they even put to sea he's been in libya calling for reception centers to screen arrivals in neighboring chad and sudan. where. the attack and government will support the need to protect the external borders south of libya because libya and italy along cannot sustain the economic and social costs of this immigration images which. you get to see what. libya also wants to see the migrants dealt with elsewhere. and who do they leave the. we agre

seeing europe and mr general secretary before we run out of time i certainly want to get your take on italy on your home country recently the italian finance minister is said that the e.u.'s no plan to leave the euro which has shot the markets up in recent days pretty good thing what's your view about how the future will go with the new italian government while let's say the new italian government is a bit of a nigga in the sense that you have two parties that came together to sign a contract as they call it but you know these two parties have completely different and they verging agendas particularly on social issues but also on economic issues and financial issues. that's a slogan seem to come paying for the elections of us of leaving the euro leaving the european union on less my grounds and cetera et cetera but you know when it comes to the reality and not to the company for the elections to the real things that you have to deliver well it's not yet clear what they are going to do so we are really waiting to see what will be the real strategy and the real achievements that they have in

here in berlin is the word it's good to have you on the show i mean when you hear what's going on just in italy and on t.v. talking about eastern europe right now what does that tell us in terms of the possibilities of a success coming out of this summit. well we certainly know that it's not going to be easy what ever she has to and she has to try and figure out how to bring this all together in a very short time frame and well with the summit of that you council just next week actually it's really looking you see she you're talking about the german chancellor angela merkel this is her show yes and it's also her future that is on the line that's absolutely correct she was pressured by our interior minister mr is able for and now she's under pressure to really provide a solution he is saying that he wants to push backs at the german border she says no we need to stick to our european solutions and need to try and find that the public is more on the side of must as a whole fall the interior minister but she wants to still find a solution within the partners and how was she going to do that becaus

what it was last week at the beginning of last week when there was real turmoil over the worries on italy on the surface of it people tell me it's the certainty that there is an italian government but you know everyone i talk to here is super worried about it it's the main worry at the moment italy will it survive will it remain stable financially in some way will it stay in the euro and if not what does that do to the rest. what's the european central bank's role in all this. it's the role of the lender of last resort and if it were not there at the moment it's still buying thirty billion euros in bonds every month then people here are certain that we would already be interim all and a european debt crisis would be showing that self and turmoil in the markets if it were not for the e.c.b. that's what boston funds would for us thank you very much. and that's all your business needs back to fill. so your argument love has cut down his world cup squad to a final selection of twenty three with the germany coach dropping one of the country's brightest young talents leroy sunday who stands for

extremely divided and italy and greece as well feel like they've been left on their own the relocationprogram that we saw over the last couple of years failed and was not renewed and did not take pressure off italy and greece who are dealing with hundreds of thousands of people and italy is saying this now perhaps this situation their worlds eyes were on the the aquarius ship perhaps this will now instead of showing how divided e.u. countries are will force them to step up and come to an agreement and again our expert here of the mall says that france and the u.k. are among those who have taken the smallest proportion of their share and there really needs to be a spotlight on those countries not just on the frontline states of italy and greece when it comes to taking these these economic migrants or asylum seekers whatever they may be the front line states are taking more than more than they can bear right now and everyone needs to step up and we'll see if that happens in the coming days to be continued correspondent reporting from brussels thank you. all right and in business the gree

couple of weeks ago not least because of the strains over migration and the burdens it has imposed on italy she herself acknowledged that it's going to be a tough job she said anybody who knows the european union knows that this isn't going to be easy but she's been absolutely adamant saying germany cannot simply go it alone unilaterally to say we are going to turn back refugees in our own interests on our own who have already registered inside. in european countries and send them back and say this is your problem now and she essentially told her party leadership this morning she believes that the german response on this essentially will determine whether the european union can even remain together so she sees very high stakes indeed and for that reason she also is not accepting the interior minister's basic argument which was repeated just now in his press conference that he in his capacity as interior minister with german interests. in his main priority that he has the right to proceed unilaterally and automatically if there is no solution involving other european union member states in o

rupert: the ecb would be happy to see market pressure on italy as long as it is not systemic. y is going to be a big conflict over fiscal policy. short-term, they backed off a bit. the one thing that was really toxic for markets was this idea of somebody leaving the eurozone back on the table. that has been put back in the box. things have cooled down a little short-term. there's probably a little bit of upside strategically over a one to three-year horizon. thesevery hard to see partners in government lasting it is hard them -- to be an optimist long-term. rupert, from where you sit, is this just another day at the races for italy? is there something different this time? rupert: there's clearly something different. got an first time, we've anti-system government. it is a bit of a hybrid government. you've got a mixture of out and out populist politicians and some technocrats. they are trying to temper some of their program to stay just the right side of the line. they don't want to be forced into losing control of events. challenge longer-term is that this government may not l

soil if they want to laws the has more on italy and greece is role from the summit in brussels your idea is that both of these countries will be able to host voluntarily holding sensors it's a bit difficult to imagine exactly what these places would look like but the idea i suppose is that would they would be very very large centers where everybody who. is putting a meant process and there is decided that those places who might have any chance of getting any sort of the silent sister claim. who doesn't. police are investigating the operators of a rescue ship that was sea for six days with more than two hundred migrants on board the lifeline docked in malta on wednesday after being refused entry by italy and spain police are looking into whether it was helping smugglers. five people have been killed in a shooting at a newspaper building in the us state of maryland the gunman targeted the offices of the capitol does that in annapolis the dead include four journalists and one sales assistant a man's now in custody and being questioned by police the military offensive in southwestern sy

the giant produces eight million tons of steel per year which is then transported to northern italy or abroad one of the few local processing companies owned by the employers association president of the region he hopes that the new government despite the five stars and leaks positions will finally put italy's industry at the center of attention. but we hope that a new door will open for small and medium sized enterprises in the region we in the employers' association have proposed that support be given to small and medium sized enterprises to enable them to process the steel produced here and increase the value added up out there these are. the companies around the steel mill are hoping that the government will do something about unpaid bills debts to the tune of two hundred million euros. they do shift all support this reduces their ability to search for and invest in new activities and if you can't invest you can't expand or diversify because of the grinch and as a saudi or shows us how he's trying to improve the future the company has developed a hydrogen storage facility but until all those

earlier this week a humanitarian vessel was denied the right to dock at a port on italy's island of sicily the rescue ship was carrying over six hundred migrants including many unaccompanied minors and pregnant women if they had been rescued off the coast of libya but are now currently on route to the port of lengthier after spanish authorities said that they could dock there well the french president has been scathing in his attack of italy in regards to this situation describing the country's actions as being cynical and irresponsible italy is furious at that criticism by france and is demanding an apology. the french ambassador has been summoned by a foreign minister who on behalf of the italian people will ask for an explanation for the insults directed not only against the government but also against a nation which is among the first in the world in terms of generosity solidarity and hospitality if the french have the humility to apologize the story will be closed and we will work in the interests of everyone this president has said took told the cabinet meeting that under maritime la

spain said it's willing to take them in as i mentioned a bit earlier on why is your organization insisting that they disembark in italy was the reasoning that. we're not insisting on that at all so you're kind of like follow what we've said we are we are requesting actually there's a better burden sharing across their opinion in that there's a renegotiation of the so-called problem agreement so that where somebody comes ashore in europe is where their process because we think that puts an unfair burden on these frontline states which i mentioned. who is going to take the lead now them because as i said this but i'm not about passing over this meanwhile you do have people dying in the mediterranean desperate people trying to have been convinced that they are going to be able to get to your to start a new life who needs to grasp the nettle here i think there's lots of people leading already and to suggest otherwise would be wrong i mean anybody who's out there saving lives is taking a leadership role at the end of the day anybody who's processing vast numbers of migrants is taking a burden a leadership role but it there

on immigration. it's the first important sign that italy can't continue to bear this huge burden on its own. i mean it's clear the european union can't go on this way. we hope today is a new beginning. but the charity running the rescue ship has warned of the challenges in reaching the spanish port of palencia it would take at least two days putting vulnerable people at risk that's why the un is continuing to put pressure on italy and which is much closer to let the ship dock its creation is getting more dramatic by the minute and that's why we are asking this me authorize these invocation and to leave if. other political issues on how to manage. flows of. refugees for a late stage cost addressed in an unwelcoming political climate the fate of the migrants aboard the aquarius is still unclear. german carmaker di miller which makes mercedes has promised maximum speed and cooperative transparency over its dirty diesels following some stern words from the transport minister dimer c.e.o. sacha has ordered the recall of over two hundred thousand vehicles in germany all these cars were fitted with

like greece it's one of the reasons that italy rejected that boat that we just saw and said no we're not taking on anymore it's one of the reasons that we now see a nationalist populist populist government in place in italy so one reason for uncle americal is simply fairness justice within the e.u. but beyond that this is also imposing strains on the european union as a whole it has absolutely been an ongoing dispute within the union which is why the chancellor has said again and again this is a european problem and we need a common multilateral european answer and she said it again in her podcast this weekend talking about the crucial issues that she'll be bringing up with president emmanuel mccraw france when she meets him this week let's just take a brief listen to what she said. and all the piss is a european challenge that also needs a european responds and i think this is one of the crucial issues for europe's cohesion. so in the two weeks before a very important summit at the end of this month she apparently is hoping to talk to some of t

has forgotten them but there is one bright spot start ups especially in milan it's italy's financial and industrial capital and home to some four thousand five hundred startups milan is also the birthplace of one of europe's leading online wealth management firms money farm it was set up in two thousand and eleven. co-founder paolo got a funny raise twenty five million euros of venture capital though not all of it in italy. our ambition always been to become a european player so. when we started we started immediately but then of course the move to long was in some way needed for a series of elements or a lack of capital for instance. looking for capital to scale the combine it was. was basically the only way of making it it was was so u.k. but gov honey says doing business in italy is now better than it used to be the previous government changed the country's labor laws to make it easier to set up innovative companies and he says milan is at the forefront. is becoming more kind of an examples that the rest of you the least trying to just like copy and move in that direction so. i per

husband and father the camp has been his home for four years lawyers say these people are the lucky ones italy's new policy of turning boats away will make new arrivals almost impossible. we're going back to dean when there was no distinction between genuine refugees and economic migrants the government is now talking about preventing people from even requesting asylum or denying access based on their country of origin and this is a violation of international law italy has shut its ports to charity boats carrying rescued migrants they believe if these boats disappear migrants won't be tempted to cross the mediterranean but charity boat account for forty percent of the search and rescue operations here in testing this idea thousands could die. italy's new hardline policy is driven by mike taylor salvini a rock star of the italian right seen here in libya pushing for asylum identification centers to be set up in north africa not europe his slogan stop the invasion. local councillor and salvini supporter fabulous took me to parts of catan yehi says overrun by migrants that. if a needle. is now the

it did widenweek, on italy.e took some of that protection europeanse fundamentals still look healthy. jumpingu.s., we are not up and down about high-yield and we recognize that if things were to get worse in europe, he could see spreads widen but for now, we feel insulated. ,onathan: sticking with me mary, robert, bob. next up, where bonds have been this week. believe it or not, after the week we have had down just one basis point. on the program, the final spread. the week ahead as trade tensions spread. this is bloomberg really ill. -- "bloomberg real yield". ♪ ♪ this is "bloomberg real yield." it is time for the final spread. over the next week, trade will be front and center. the u.s. will be in beijing this weekend. leaders meet at the g7 summit in quebec. its annual shareholder meeting. i am sure we will find time for that. still with me, robert, mary, and bob. get into next week, there may be concerns after that payroll report that we have to worry about the fed. what is the message to not fear the fed? r

italy. you have all the fiscal concerns going on in italy. you have the fact that italy has been very slow growth over the last few years, whereas spain has been more like the poster child for the eurozone with strong growth over the past few years. as we know from the polling, very supportive of the euro. mark: the post crisis peak was 73 basis points. now our markets live strategist mark cranfield suggests that could be the bottom. would you agree with that? what 75 basis points now be the narrowest that spread will be or do you see it coming back to post crisis levels? iain: i think that is fair because there is a big difference between spain and italy. spain is moving towards the semi-core. they have been upgraded over the last few quarters are so. there is a big debate on italy on how the rating agencies will look at the big fiscal expansion the government is talking about. the force of 120 billion euros of spending, you are not worried i some of these figures? that is big numbers. iain: those are huge numbers, but the proof will be in w

husband and father the camp has been his home for four years lawyers say these people are the lucky ones italy's new policy of turning boats away will make new arrivals almost impossible. going back to twenty fifty where there's no distinction between genuine refugees and economic migrants we're going back because the government is now talking about preventing people from even requesting asylum talking about denying access based on the country of origin and this is a violation of international law italy has shut its ports to charity boats carrying rescued migrants they believe if these boats disappear migrants might be tempted to cross the mediterranean but charity boats account for forty percent of the search and rescue operations here in testing this idea thousands could die. italy's new hardline policy is driven by money tales told beany a rock star of the italian right seen here in libya pushing for asylum identification centers to be set up in north africa not europe his slogan stop the invasion local council and salvage any support of fabio counter or took me to parts of catan yeah he says

." >> coming up, eight -- a jobs report leaving the federal reserve on track to deliver more hikes this year. in italythe liquidity might not be there. and a tough week for a former bond king. the biggest drop in four years. we begin with our bloomberg jobs report. >> the numbers are strong. >> it is good news on all fronts. >> is a good, solid game in the labor market. >> i think the wage front is very important. >> even though the wages are just above 2.5%, it is still not strong. inflation is bouncing around. real wage growth is pretty mute. people are dipping into their savings to continue to spend, and that is worrisome. >> 2.7 percent, welcomed the news. still not 3.7% is sustained. we are still not seeing the real broad-based acceleration in wage road that we would like to see. >> it is pretty much a scenario where the fed hawks think they can move forward once or twice. >> the numbers are strong now. -- of some say june is the last. >> the numbers are strong now. i think as you get into next year, is the fed going to go three to four times this year in total, they are going to go three to four

on tuesday, when we saw the market drop ridiculously low in italy?ert: there were definitely opportunities there. i think that as unstable as the situation in italy is, europe is really still on very strong footing. compared to 2012, they have taken phenomenal steps to really strengthen their system, and a lot of those countries are reaping the benefits. growth is strong. the ecb is in a good place if they need it to support them. but the italians have in line. they have to stay with the program, that was definitely in doubt. but with other countries seeing their spreads widen, portugal, spain, there are absolutely opportunities, even in france. jonathan: liquidity totally evaporated in one of the biggest bond markets on the planet. what should the lesson be for anyone in high-yield? there has always been the sense that you can get out when you need to get out. but the fact of the matter is, when you need to get out most, you can't. do you apply the lessons we could've learned this week to your world, to high-yield? mary: to be honest, we think about