where is the capitulation .4 capitulation for sainsbury's? move more aggressively on pricing, what is the capitulation point? guest: there is not really one. when we are faced with the potential increase in cost that may result because of currency changes, what we have to do is work closely with our suppliers and we have to look at our supply base, we have -- where do we take costs out of our organization and our suppliers organization. suppliers haved done a remarkable job to work on that since we can endeavor to keep prices as low as possible at this time. there is unfortunately not one simple answer. it is lot of hard yards and hard work. anna: what is your big concern brexit? you're working with your suppliers to come to agreements on certain matters. are you pushing for transition arrangement, is that the most important thing for your sector? guest: uncertainty in general is not great for business. uncertainty is not great for our consumer. less uncertainty is good but all workn do at sainsbury's is closely with our suppliers to endeavor

. >>> third time unlucky for sainsbury's. the british supermarket chain posts another year of profit declines and says price pressures remain uncertain. >> it's not that bad. what was very encouraging last year was that where the total sales of food were up last year, like for like was impacted by the -- because we opened some space. >>> tim cook blames rumors around future products for missing revenue targets. shares sinking after hours and supplies fall in european trade. >>> a shot in the arm for novo nordisk, profits beat forecasts and the drugmaker raises its outlook. >>> hugo boss shares fall out of fashion sinking to the bottom of the european market as investors shrug off better than expected earnings. >>> good morning. great to have you with us once again. we have a jam packed show for you. we have plenty covered for you from earnings to the outlook for the middle east. let's kick things off with earnings. we're off by roughly 0.1%, not by too much. but it seems like there's some profit taking going on. we did see a

sainsbury results out this morning and profits announced by sainsbury.tives investigating the murder of an 80—year—old grandmother have clement released an image of a man they want to speak to. police say mubarick duat has many aliases and shouldn't be approached. a £20,000 reward is on offer for information that leads to his arrest and prosecution. lea adri—soejoko's body was found inside a lock—up store at allotments in collindale, in february. young people who are experiencing difficulties with their gender identity — are suffering "psychological torture" because they're having to wait up to two years for treatment. that's the view of a leading expert in the field. the number of under—eighteens being referred to england's only gender clinic for children in north london has gone up by 42% ina year. the tavistock and portman nhs foundation trust says it's taking on more staff and looking at ways to reduce the waiting list. there is a need to speed up the process for cases which are obviously urgent. that means doing assessment early on to ensure that th

sainsbury says it is trying not to pass on increases to customers by putting up prices.ondent reports. sainsbury‘s, these days there's more than the traditional deals. last year, it bought argos, delivering a big boost to earnings. it is doing well with sales up by more than 4.1% for the year but sainsbury‘s sales were down by 0.6% and so too were overall profits. it has been an incredible year where we have seen lots and lots of changes and i expect the next year will show many of the similar characteristics. as i say, ourjob is to make sure we do all we can to mitigate pressures on our customers. profits are down because we have seen pressures in our prices but we have also given our colleagues a 4% pay rise during the course of the year. it has been a challenging year for all supermarkets, especially due to the fall in the pound. that's meant a big increase in the cost of getting our groceries onto the shelves. supermarkets say they are doing the best to keep the lid on price rises but ourfood bills are on the up. what we are already seeing is shopping prices increasi

and sainsbury's says it is able to cope with the brexit induced squeeze on profits.ofits estimates. grocers are trying to pass on higher imports. sainsbury's cfo says there is still uncertainty. >> clearly, it is helpful to us to have a stable government. it is helpful to have some clarity on where we go forward but we understand it is a complex situation and the government is managing that the best they can and our job is to focus on the business and what we can do day to day. taylor: earnings were held by those that were a discount retailer. that is your bloomberg business flash. francine: breaking news out of brussels, we see the chief exit negotiator for the european commission. from brussels, 30 minutes ago. mr. barnier saying that the hard work has paid off. he says he has worked a lot with president juncker. he wants a safe approach. i don't need to put this in context for the international audience but it is clear that there are lines that are being drawn. and the lakemay from the german newspaper showed is that these are real negotiations. and different side

finally, i'm looking at the u k grosser sainsbury's showing it is coping with a brexit-fueled squeeze profitability. it did report annual profit that net analyst estimates. profits steady. this as our -- speaking to bloomberg's daybreak they wereo'byrne said looking to cut costs and simple by the business. >> what we are trying to do is see how we can supply the business more and how can we focus on just doing things that are value-added for our colleagues and customers. in a large business like ours, complexity creeps in over the years, so we have to focus on simple vocation at every level in the stores, in our supply chain, in our warehousing and in our head office. nejra: those are your main movers. thank you very much indeed. let us get a bloomberg first word news update. here is juliette saly. juliette: thank you. jpmorgan plans to move hundreds of london-based bankers to expanded offices in dublin, frankfurt, and luxembourg. the head of investment banking said that comes as a prepared to the u.k. to lose easy access to the e.u. single market after brexit. before the june referen

tom: what about within two kilometers of the sainsbury's square? [laughter] the u.k.ery different because it is heavily concentrated. here, the challenge is to get the banks to take a bit more pressure. guy: it does feel a bit different. when you think about how risk is bounced right now, we have politics being a big factor. does that they? -- does that fade? how does the market focus on what is going to happen next question mark if the fed tightens -- how does the market focus what is going to happen next? if the fed tightens rates, is that what we should be focusing on? hee ecb is getting in on t process. where does the risk lie there? howard: i hope we will not see policy risk in an aggressive sense. the banks have gotten better at signaling their intentions in advance. is phrase forward guidance not fashionable because it did not work terribly here when it was called bev. the fed has been saying to anybody who wanted to hear the intention for the next three or four quarters. the ecb similarly has been talking about its intentions. ecb is going to make a change. th

when i talked to the chief executive of sainsbury is, he says that they and tesco will be trying hardory, which isa be difficult. another story, which is a great one. if you are at work, at your desk, you really don't want someone to come over and talk to you. but obviously in an open plan office people come over and talk to you all the time. scientists have come up with a light which you can have on your desk which tells you whether people should approach you or not. it is based on the algorithms of your computer. if it isa algorithms of your computer. if it is a green light it is ok to come and have a chat, if it is not, you have to be left alone. can you switch it on yourself? i was going to say, permanently on the red. so you can't just pretend. to say, permanently on the red. so you can'tjust pretend. maybe i should roll—out out at home. you can'tjust pretend. maybe i should roll-out out at home. excuse me, the light is on! —— role that out. it has been another dramatic night for american politics, as president trump fired fbi directorjames comey, the man leading investigations i