nejra: that was sergio ermotti speaking with bloomberg.the britishes chamber of commerce lowered its forecast for the u.k. economy. it expects growth of 1.1% this year, citing a weaker outlook for trade and investment on brexit uncertainty. the chief fx strategy at societe generale and the head of economic research at mufg securities are still with us. despite the uncertainty, you have ing getting bullish on the pound against the euro. is this the time to take that opportunity when we have seen a slightly stronger sterling? think what is happening is the other way around. people who are long dollars short pound, our thinking maybe they should be hedging their dollars. the world is bearish, gloomy, miserable about the u.s. -- about the pound in short. the balance of probabilities is going to be slightly away. the worst form of no deal brexit as possible. --are more likely casino -- more likely to see -- we've only been lower than this three times. just after the referendum, the end of 2008 the middle of the financial crisis, and 1976 when t

speaking to bloomberg, sergio ermotti said the decision was made weeks ago.n ceo says he is done with politics and blames which is for his claims that he is smarter than president trump. he told abc he has no intention of making a run for the white house, saying the current administration is handling the economy well. last week he boasted he could be the president in an election before rapidly backing away from the claim. it andouldn't have said more out of frustration and my own which is no, but i shouldn't have said it. it also proves they wouldn't be a good politician. >> and that is your bloomberg business flash. much.nks very juliette saly in singapore with your business flash. asian stocks are dropping by the most in a week as president trump reportedly wants to go ahead with tariffs on an additional $200 billion of chinese good. how were european exporters positioning themselves amid the increasing trade war? the ceo of -- elevator. thanks for your time. let me ask first of all how you are dealing with it right now, as a global exporter of elevators, w

in the next hour we will have an exclusive interview with sergio ermotti.asking about their strategic priority. this is bloomberg. ♪ comcast business built the nation's largest gig-speed network. then went beyond. beyond chasing down network problems. to knowing when and where there's an issue. beyond network complexity. to a zero-touch, one-box world. optimizing performance and budget. beyond having questions. to getting answers. "activecore, how's my network?" "all sites are green." all of which helps you do more than your customers thought possible. comcast business. beyond fast. haidi: good morning. asia's major markets have just opened. from new york, i am shery ahn. selfie: welcome to "daybreak asia." haidi: a trail of damage, but hong kong markets will open. trump is showering the mood. shery: china may reject further trade talks in light of new threats from the white house. let's see how all of this is shaping up the open in the asian markets. sophie: a look at how things are shaping up. 1.4%.spi with a gain of the again is back below 112. -- the ye

rishaad: sergio ermotti talking to us in singapore.'s do a quick check of the latest business flash headlines. meredith corporation is so i be time media brand for $190 million in cash. the deal is expected to close in 30 days. theyith says the clients know personally and transaction is unrelated to salesforce.com, where he is founder, chairman, and co-ceo. they will not be involved in day-to-day operations or editorial decisions. rishaad: they provided confidential data and services in return for price. the wall street journal says -- offered a way to delete negative reviews. an investigation in may after being alerted to the leaks happening in china, where it is said to be most prevalent. tonne: spacex is expected soon name a person chosen as the first private passenger on a flight to the moon. elon musk made reference to the mission at the end of last week. when asked to the lovely -- lucky traveler was, he tweeted an issue of a japanese flag. no word on how much a ticket costs or when the flight could happen. rishaad: equities in t

sergio ermotti will join me. 7:00 a.m. 7:15 a.m., i should say. let's get your bloomberg first word news. the u.s. federal reserve has raised interest rates for the third time this year and singled that more hikes will come. jerome powell's of the american economy is a, but acknowledged that challenges remain -- jerome powell said the american economy is strong, but acknowledged that challenges remain. property prices skyrocketing. a london-based bank boosted its best lending rate just hours after the hong kong monetary authority raised its benchmark interest rates by 25 basis points in line with the fed. u.s. supreme court nominee brett kavanaugh has been accused of the most lurid sexual misconduct yet as senate republicans press ahead with lance to hold a hearing. part accuser says he was of efforts to get girls intoxicated so that boys could have sex with them. kavanaugh rejected the claim as ridiculous. at the same time, president trump dismissed the allegations as a big, fat con job. south africa's president has said his administration will p

manus: let's get to strategy at ubs for sergio ermotti. in my mind,o back and i do not think he has worked at investment banks. i look at deutsche bank. i just wonder, at an investment bank, does it really work -- dual head really work? filippo: no, you're correct. it does not work for the investment bank. focused.re the other one runs the trading book. if you look at the footprint of ubs, we know the strategy was to -- increase more the corporate side. think they have been very successful the last four years in increasing the equity capital market, so i do not know. i think they are both out ending individuals, but in terms of will it work -- nejra: what do you think the boardwalk to achieve with this, having the cohead's for now at the investment bank? filippo: it tells you that maybe is irrepressible so you need to have two components. manus: one thing i have learned in life is nobody is irreplaceable, nobody is irreplaceable in this business. i wonder if they have cohead's at the wealth management side, blasting of course, along with t

the bank will have offices in milan.at paris, and sergio ermotti spoke withsergioh haslinda amin as thefor a brexit deal approaches. >> whatever solution is coming, it may make it a little bit softer is no longer relevant for us. a few weeks ago, we had to make a decision to execute for a worst-case scenario. the financial system is already operating under the assumption there is no agreement so whatever is going to happen from now onwards will not make the exercise less expensive, will not make the feeling about the disconnect and resolving those issues, we go back to what we started at the beginning. a complication that undermines the willingness to make investments. if you don't know what is going to happen, how can you start to invest? i would say in the u.k. and in europe, this has been something that has prevented people from taking actions and investing in the future. >> is it confirmed that frankfurt will be the choice for you? sergio: yes, confirmed. we have an existing operation in frankfurt and have a multilocation strategy where frankfurt will be the base. we are branching o

--gio are monte spoke with sergio ermotti spoke with as the deadline for a brexit deal approaches. >>tever solution is coming, what would make it softer is no longer relevant for us. a few weeks ago, we had to make a decision to execute for a worst-case scenario. system is all rock -- already operating under the assumption there is no agreement so whatever is going to happen not makeonwards will the exercise less expensive, will not make the feeling about resolvingnect and those issues, we don't back to what we started at the beginning. a complication that undermines willingness to make investments. if you don't know what is going to happen, how can you start to invest? u.k. and inin the europe, this has been something that has prevented people from taking actions and investing in the future. >> frankfurt will be the choice for you? sergio: yes, confirmed. we have an existing operation in and have a multilocation strategy where frankfurt will be the base. we are branching out and some people are going to be located in madrid and in paris and milan, also a good chunk will go to frankfu

have an we will exclusive interview with sergio ermotti.ut the upcoming investor need to litigate risks. haidi: lots more to talk about. all the action on daybreak asia next. this is bloomberg. ♪ bloomberg. ♪ haidi: good morning. our markets in asia are one hour away from opening. kong, welcome to daybreak: asia. >> our top stories, a trail of damage that heads into china but hong kong markets will open and gambling is back. asia specific stocks face pressure after presi

ubs chiefthat was the executive, sergio ermotti. may has left no doubt she was prepared to defend her brexit plant amid growing signs that the deal with the growing -- with the european union is within reach. she was irritated at the talk of a leadership contest. -- theden mayor has has voiced his stand. >> for the first time ever, the british public should have a say on the outcome of negotiations, plus the option of staying in the eu. francine: what is next and what does it mean for markets? i know grexit is something we need to talk about every day, even though there doesn't seem to be that much going on. i don't know if it is a carrot dangling. >> you are right. we could get nearer. we are beholden to headline risk. that is the real problem for investors looking at sterling. we get a headline across the bloomberg terminal anytime day or night on some of the key actors in the process. there are a number of different component parts. that can change the parameters. music of the week is appearing slightly more encouraging. that wou

sergio ermotti speaking exclusively to manus cranny in london.ws, indonesia raises seven-day reverse repo rate to 5.5% -- to 7.5% from 5.5%. a great dealtalk for this decision was issued. stabilization measures will be continued. we have heard a lot about that previously. let's get to our top stories with annmarie hordern. the stock movers, you have a couple of italian stocks? annmarie: that is right. italian banks are under pressure. down 3% for unicredit. the other down more than 3%. there is some political pressure. finance minister threatened to resign, according to a newspaper. of the biggest gainers for the stoxx 600, up more than 10%. this is due to a one-off seen in the market. stock and trade that rose to 50%. if the market fails, they got a handle on how bad that infantry story -- inventory story got. thank you. let's bring in another great interview from bloomberg, the finance minister of the toherlands has only weeks bring back the brexit negotiations together. he says politicians should not be afraid of the populace. >> how are thing

haidi: ubs ceo sergio ermotti speaking to bloomberg in london.lar at a weaker compared to emerging-market strength. this is bloomberg. ♪ haidi: we're counting down to asia's first major market openings. this is how the japanese session is shaping up ahead of tokyo. nikkei futures up ahead 1.5%. we had tokyo inflation data in particular. industrial numbers out in sometime. u.s. stocks giving asia a pretty big lead. this is "daybreak: asia." our next guest says the continuation in the commodity rally may play a key role in reinforcing the convergence theme, driving dollar weakness and further e.m. strength. we have seen the dollar jump to a two week high. joining us is a chief global strategist. great to have you with us. tell us -- first of all, steve expect the commodity rally to last? this. let me try to on oil were tog, if surge higher, wti to $90, copper to have a second move higher along with other base metals, that to me is an interesting factor that a lot of people would not have expected that could play an important across asset role. doll