these are comments from mario draghi speaking any moment now in sintra. joining us on the line is michael price, and peter seller also joins us in london. this has been a bad day for asian equities u.s. futures pointing well down. is this all because of mr. tru trump? >> looks like it we were talking about a trade war risk two, three weeks ago, now we're in a trade war we've seen this move from january to march to now following the disastrous g7 meeting, and overnight talking about the chinese trade with the u.s. just in excess of 500 billion. trump said there's potential tariffs of nearly 400 billion of tha that >> in singapore i've seen the yen pretty significantly stronger against the u.s. dollar is that should be a safe haven from where you sit >> i suppose the bigger question is that. many banks have always referred to these trade tensions and all the rhetoric coming out of the trump administration as just noise. if this noise is turn fling inta trade war, we have a strong market impact. >> you're seeing the dollar, euro and sterling all significantl

among the topics of conversation in int -- sintra. vonnie: i love that chart as well.as a guest and we will talk about it. my chart shows how emerging markets are not seeing ripples from this trade talk. and what is going on globally. not just in the u.s.. the south african, in recent off, $600s selling million u.s. dollars sold on tuesday. remember the great white hope, apparently he is not satisfy markets. we are watching south africa and other emerging markets. see that chart on the bloomberg. did not mention the world cup even wants -- once. mark: uruguay winning 1-0 right now. vonnie: are you watching it? mark: never, they are shouting the score at me. [laughter] chart.oved your a big topic on the sintra panel which was held by our stephanie flanders. i love your chart, vonnie. we had inflation out of south africa today, it was unexpected slowdown. how does that play down into the sabr and what it does with rates. winner -- vonnie is the winner. rinaldo. feel like mark: well done, both of you. this is bloomberg. ♪ fx comedyt's focus on dollar flat but a stronger d

we'll be live in sintra after this break >>> welcome to "street signs." i'm willem marx.hese are your headlines european stock markets rebound from a global selloff that saw the dow wipe out its year-to-date gains amid heightened trade tensions. >>> the relief rally sweeps across asia with chinese sessions closing in positive territory. on the offensive the iranian oi minister says there may be no agreement in vienna as he slams president trump for interfering in the crude market. >> important things, i would like to declare that opec is independent organization, and is not american organization. >>> ge gets booted from the dow after a century on the wall street index it gets replaced by walgreens which rallies after hours. >>> it was a negative day across the u.s. markets yesterday let's look at how futures there are looking at this stage of the morning. looks like the dow jones being called up more than 100 points the nasdaq and s&p 500 also looking to open slightly higher. that was after a dramatic, dramatic fall in some shares we saw yesterday. in terms of european ma

the heads of the world central banks gather to meet at sintra in portugal.rifting do you think happens there? this is bloomberg. ♪ >> central bankers and finance leaders are gathering for the ecb's annual forum in central portugal. policies are outlining their plans to prop stimulus. $19 billion was drained from emerging markets equities, the worst since 2008. joining us from frankfurt is janet rando, the bloomberg news european economy reported. what can we hear this weekend is there anything that will give more certainty to emerging-market investors? >> everybody is heading to sintra and the meeting could not come at a more interesting time. the fed raised interest rates last week for the second time this year. mario draghi, the ecb president, talked about how the centrbank t purchases by the end of the year. all of those officials getting together in sintra talking about price and wage setting in the advanced economy is surely going to be interesting. >> tell us about this meeting, is this one of those were they say some sort of things on the stage and th

our coverage of the ecb forum in sintra continues throughout the day.licy panel is tomorrow. bephanie flanders will hosting the heads of various central banks globally, including mario draghi and jerome powell. nest tomorrow, but plenty more from -- that is tomorrow, but plenty more from sintra today. this is bloomberg. ♪ guy: welcome to bloomberg markets, this is the european open. we are live from our european headquarters. i am alongside matt miller. matt: preparing for the big panel tomorrow with mario draghi and his big central bank counterparts. he will speak later today. we spoke with larry summers earlier this morning. there is a lot more to come out of portugal. 4 it looks like it

sintra going to play. with but there is no such place as the books are going to claim exists now because the book was the book with the recruitment book but. let me cut to subtract. the book you'll get the same clinton you'll get the became the gloomy news outlet business news. the. missing six o'clock. news. thanks young excitement limited so much to commit. acts . and. letting go of high class. clueless. fewkes. of the science news the kids have to. do something news. feed the economy. thanks. to our. family. concept is a. good seal some previously. thanks. a miniscule. please. please please. mum please. look at her legs cause look look look look look good so the look. the big seams exists the islamists. are more english in the play. look look. the bull look. the bull. let alone get out probably going to meet her very few times complaints on. the subject is going to come up with the closeness of the woods the movie treatment. some treatment it's the latest slate look most seriously look subsists look you

we need to hear from them at sintra.arry summers. >> trade war is not likely to be large enough for direct effects damage the economy, but profoundly, but the psychological effects, affects increasing uncertainty could be serious. we are certainly getting later in a cycle of escalation. tom: the news flow is extraordinary. we talk about trade with thomas mckenzie in beijing. respond before the tariffs are put in place, or do they get out in front of this and respond? as mr. lighthizer studies with consumer products to go after? >> interesting question, the first tariffs announced on friday, $50 billion, china said they would put in place the same number of terrorists -- tariffs. now, china will forcefully react to that. they cannot go toe to toe with the u.s. because it imports far less, $150 billion versus the u.s. which imports about $500 billion. do the measures china will take, given that scenario, they could put pressure on the corporate's in china. i spokealready heard, to sources at a major american investment ban

matt: it is day three of the ecb sintra on central banking -- on centralgal ,anking here and -- in sintraoining me now is lucrezia reichlin. let me ask you first of all about italy. you have started a school in sicily to educate people on business there. what kind of threat do you think italy poses to the eurozone? lucrezia: the main threat for italy is growth. it has grown much less than the european average. this is combined with very high public debt. the combination of high public debt and low growth is potentially a threat. i would not say it is an immediate threat, but of course to test for the euro to be sustainable -- for the euro to be sustainable, and for italy to be in the euro in a sustainable way, it is important to address the growth issue aggressively. part of the country, the south of italy, has been very much challenged, not only in recent times, but decades. the great recession has not helped. matt: the migration issue is also a huge problem, right? italy is a landing point for so many of these refugees. not at a time when germany wants to throw immigrants who have regis

at the moment we have clear skies as we look out toward thb point of sintra cam.we thought it bore repeating 105. napa hit 109. and san jose was 99. right now it is still in the 80s. at concord. things will be cooling down with a red flag warning still posted with dry humidity. high pressure is still over the coast gave us hot temperatures today. tomorrow it was mild. -- it will be mild. there's low clouds coming back into the bay area tomorrow. it will cool down big time by the coast. the strong hydraulic the temperatures to 100 degrees plus. but they will be cooling down to 10 to 15 degrees. low clouds come up on the future cast and we can see them blanketing the shoreline and keeping the beach cool. inland we will also cooldown not as dramatically as close to the coast. the breeze picks up and more clouds will be at the beach. clear and mild overnight and then warm inland again tomorrow but not as warm. things will continue to cool off as we head into next week. lots to do this weekend. mid-90s in pleasanton. which is 10 degrees off of where they were tonight.

we heard that from the fed .hairman while he was in sintra it seems like it was a consensus view from that he is hearing businesses are delaying investment, delaying. it seems like it was a consensus view from hiring given the prospects of a trade war. you think central banks moving forward will have a completed job given that we have seen at the trade front? david: it is the most complex situation of faces -- that faces major banks. in new york we know what they will do, stay this long-term interest rate. it has its effects are you the fed now wants to normalize, whatever that means. they are looking at the economy with extended recovery. a look at the low unemployment rate. they want to get inflation a little bit higher but not a lot, and they want it for a little while but not a long while. at the same time the interface for the central bank and the united states is the external shocks, the things beyond their control. they cannot no matter how much money they print or don't, they can't affect the oil price. no matter what they do as a central banker, they cannot trade, barriers, p

francine: that was from sintra. so what does the uncertainty actually mean for markets and companies? joining us now, fixed income portfolio manager from jpmorgan. thank you both for joining us. simon, let me to kick off with you. is it now a trade war? should we worry about it more? simon: it is a trade war. the reason is it is not a it is muchiscussion more multifaceted. as german carmaker talk about its impact on supply and means you cannot ring fenced countries and conclude it is going to impact consumers, you have to recognize that within an integrated supply see andhe boss you will the corporate warnings and you will see will manifest in areas where the dialogue is why separate. -- quite separate. have markets been complacent or they just trying to see what happens next? for markets, i think it means uncertainty. you have seen europe pn companies not doing as well as the u.s.. businesses are going to be delaying investment. ultimately, what markets are struggling with is that we have been here before. with the