nejra: me nejra in london with tom keene in new york. -- i am nejra cehic in london with tom keene ineadlines coming brexit commenting on saying a no deal brexit should be avoided and in terms of what was discussed with angela merkel , saying japan has agreed to raise the level of that partnership and reached an agreement on intelligence sharing. tom: always interesting to see germany and japan meeting. here is viviana bank. . viviana: ralph northam meeting with senior advisers. fellowre calls from democrats to resign. he says it is not him in the picture. a report out today shedding light on allegations that huawei has been trying to steal u.s. trade secrets. an fbihatzker following investigation into its dealings with a chicago area starter. this ceo accuses huawei of trying to steal the glass he invented. >> they wanted to work with us on product negotiation. it would have been in contention. we wanted to let them know we are willing to work within the company within the limits of the law. if they steal technology, there will be recourse. viviana: president nicolas resistis bowing

tom keene in new york.parliament as we discuss the president's summit in hanoi and as we discussed brexit. rio tinto saw the last of its mines forthe -- coal the year, and they have a record $13.5 billion. $4 billion announced special dividends and an expanded by that program.that is one way of keeping shareholders happy . joining us now is the chief executive of rio tinto from our studios in london. welcome to the program, jean-sebastien jacques. when you look in how much you get back to shareholders, how much is coming from asset sales? is that like peak shareholder return or is this something you are worried they will get used to? jean-sebastien: as you said, the day for rio tinto. we just closed returns to our shareholders, the highest in the 147 euros to the company. it is a combination of the items. ,ne is the dividends around 40% around 30% of special dividends driven by diverse meant -- by diversity. we deliver this on the back of -- our employer of year was around 19%. and this is an uncertain and

tom keene, a day off for presidents' day. the american viewers and listeners. let's start off with commodities and crude oil, rallying since november. a south african producer -- doubling thanks to surging prices. sector watchers will look aninsight for iron after incident. is at blackrock. erik with us as well. evy, welcome. when you look at commodities in 2019, what is your favorite? >> that is a great question. we love the news recently with -- regardsimpacting on impacting commodity prices. of axpectation is one consistent approach from companies able to return from the margins. commodity prices look good. 2018, average prices were higher than 2017. the year, as a whole, was tainted by the two forths selloff. if it had not been for that, the sentiment would be more positive than it feels. the result they have coming up will set the tone for the year. francine: when you look at the valley dam incident -- evy: it impacts the supply of certain components of iron ore. it is a high-grade material. it will go into production. w

this is bloomberg. ♪ in london nejra cehic with tom keene in new york. has the day off. heavily.spent here is the ceo on the alphabet call. >> being able to deliver gaming with a kind of real-time definitelys, it is an important computing advance. we think it will help us drive the newer computing platforms we are working on. let's welcome bloomberg opinion tech columnist, alex webb. it is the margins are gaining attention here.is pressure likely to continue the rest of the year given what we heard on this last earnings call? alex: it absolutely looks like it will. google has been on an an channel growth phase. possible underlying weakness was covered up by things like cloud. now, we see the cloud business weakening a little bit. facebook has said their margins are getting weaker for different reasons.they are investing in more concept moderation. it is probably good opportunity for google to double down and invest in strengthening its profit while some of their competitors are also getting weakness. tom: we have seen this before. i feel terrible for goo

tom keene joins me out of new york.be speaking to the global chief economist at citigroup at 11:00 a.m. london time. this is bloomberg. ♪ francine: playing for time, theresa may accepts the offer of more talks with labour's jeremy corbin as she tries to buy herself another two weeks to negotiate brexit. deadline for a deal, u.s.-china trade negotiations resume in beijing. can an accord be reached before the u.s. more than doubles tariffs next month? and another shutdown looms. talks to fund the u.s. government broke down over the weekend. the deadline for a deal is this friday. good morning, everyone. good afternoon if you're watching from asia. this is "bloomberg surveillance." m and francine from london and new york. we had a worse than expected u.k. g.d.p. figure. we also have to step away from the politics just to look at the fundamentals of the u.k. economy. tom: the fundamentals of the u.k. economy, you see it. i think the theme this morning in the markets is lower for longer on yields. you're seeing that across a

francine lacqua and tom keene. lagerfeld has died.terview -- cbs will have important interview this one. mr.king now, the idea that sanders will run for president. to give you an idea, senator harris of california has now parsing that she is "not a democratic-socialist." mr. sanders going after some of the socialism out there within on the road to 2020. we will have further headlines of mr. congress -- mr. sanders conversation with our global audience as they break. right now, first word news. tradea: transatlantic tensions are easing this morning. the european union is warning it will retaliate if the u.s. follows through on a threat to impose tariffs on imported vehicles. president trump has received a report on the national security implications posed by auto imports, but it is not known what it recommends. china has come out with a long-awaited plan to build a high-tech megalopolis that would rival silicon valley in the san francisco area. the blueprint for this would link china southern coastal cities with hong kong and macau. on

francine lacqua in london, tom keene in new york. eresa may to speak in about two and a half hours and waiting to see whether she can get a majority. tom: you wonder if she will jumpstart the debate forward. i do not even know where we are out to. give me a date, a benchmark. francine: i do not have one. march 29 is the endgame. we think there is a vote around for board 24th. your shut in the u.s. has been afforded. -- averted. tom: at least for the next 20 minutes. francine: let's get to the bloomberg first word news. kailey: congressional negotiators have reached a tentative deal to avoid a government shutdown. giver security is said to the president far less money billion.emanded, $1.4 he sought as much as $5.7 billion. trump says the shutdown was important. >> if we did not do that shutdown, we would not have been able to show this country, these politicians, and the world, what the hell is happening with the border. that was very important. kailey: the trump administration says the u.s. president wants to meet with china's xi jin

i dare tom keene to make me a hedonic a graphic chart. ut head-on next is when they are up -- and ics are up.hedonc francine: can the fed even hike this year? paul: i think they can and they should. the problem they have is politics. if economists just ran everything, life would be so much simpler and better. francine: sounds like a central banker. paul: the fed has the problem. aboveon't have inflation 2% at the moment. they are running out of months where they can be raising rates. they can certainly raise rates once this year, twice as possible. from a pure economic point of view, i think it could easily justify two rate hikes, but it is probably only going to be one because of the months black top of this political noise. francine: should we worry more about the u.s. deficit? paul: we should worry about it because of the direction. debt, is nothe disastrous. the americans are just beginning on this process, but the trajectory and more to the point, the direction of the debt would polarize politics where no one can ever agree on anythin

tom keene joins me out of new york. coming up later, the cfo of general motors. that interview after 3:30 p.m. london time. this is bloomberg. ♪ tom: this morning, the prime minister of the united kingdom is in belfast. the irish prime minister is in brussels. brexit and the backstop and a point of decision and compromise. the president of the united states speaks. market has aock bid. yields a stay lower for longer. good morning, everyone. this is "bloomberg surveillance." an absolutely fabulous thing for our global audience of the irish prime minister going to belgium and the united kingdom prime minister in belfast. what would you look for today? nejra: i'm going to be looking for what theresa may really says to try to bridge this gap and find some kind of agreement that pleases both northern ireland and the u.k. tory party. suggested she is setting the low bar for renegotiation. it all comes back to the tax.. what is the eu -- it all comes back to the backstop. it is hard to see what kind of resolution there is going to be. day.an extraordinary right now in ne

francine lacqua in london and i'm tom keene in new york.unity of the united kingdom and their ability to focus on investment. talking about the bet on on theg and nigel wilson bet of future investment. state the case right now for you to put a certain millions of dollars over a five-year business plan into london, edinburgh, liverpool, first place in the premier league. why do you want to invest in the united kingdom right now? >> we will continue to invest in the united kingdom because the towns and cities outside london are booming. u.k., poised in the u.s., in in europe for future economic growth. there is a huge amount of money and massive infrastructure deficit. they consist are at an all-time high in britain. excess demand for housing. the backdrop, the huge political uncertainty, is positive and the danger is, because of a small and leaky border between northern ireland and southern island, tiny amounts of european trade go through, we risk finding europe into recession which is not a that people across the u.k. and europe want to ta

am tom keene in new much to talk about.or the end of february and beginning of march. close president has a face-to-face meeting with the vice premier, seen as a sign toward a trade deal talks are making progress. they're hoping to meet a march 1 deadline will stop that is when tariffs are set to more than double on some chinese imports. the president is indicating he may be willing to stop the clock and let talks continue. a federal judge tightening the order on job -- roger stone. the judge calling before stirring after stunt instagram post that included her photo, alongside what looked like rifle scope crosshairs. elon musk spacex washed his second rocket of the year. toting off from florida carry three payloads, including an indonesian satellite and israeli lunar lander. the israeli craft will travel to the moon. to venezuela, president maduro tried to prevent opposition supporters from bringing humanitarian aid across the border post maduro started closing entry points, soldiers walking national assembly leader gaido.

tom keene has the day off.headlines crossing about the trade meeting over in china. china's president is set to meet u.s. treasury secretary steve mnuchin according to cctv. we knew they were far apart on a deal.any agreement really meant that president trump and xi needed to meet in person. this is all according to cctv as we await this key deadlines ahead of march 1. meanwhile, china's factory inflation moved again. walk me through the tray picture we are coming out of. companies are pretty constructive on china and trade and tariffs. is this just another excuse to rally here? isabelle: actually, that is something that is a bit of a worry to us for two reasons. u.s.-china,is on whereas there are other issues. we are expecting in the next few days the report to the president on whether car imports are considered a threat to national security. we're going to see a return of these issues of might the u.s. impose tariffs on cars. focus of theinded markets on u.s.-china worries as a bit. there may be a blind spot

xfinity, the future of awesome. ♪ tom: good morning, everyone, bloomberg "surveillance," an extraordinary day. keenelive. viviana: president trump says sometimes you have to walk. the summit in vietnam with kim jong-un ending early after u.s. demands were rejected. the president speaking to reporters in hanoi. >> basically, they wanted the sanctions lifted in their entirety and we could not do that. aey were willing to denuke large portion of the areas that we wanted, but we could not give up all the sanctions, so we will continue to work and we will see . we had to walk away from that suggestion. viviana: he said the u.s. presented kim with evidence of additional secret nuclear sites which surprised the koreans. scaling back expectations for a sweeping agreement with china, robert lighthizer telling a committee there is still a lot of work to be done on a trade deal. after it is reached, it will be tough to implement. president trump indicated he was planning to sign an agreement with xi jinping. trump may have to drop tariffs on steel and aluminum if he wants a new north american trade deal. busin

i found my tom keene. this is after a reuters report. is is a longer-term aussie downward slide chart. tom: what we have been trying to do is deliver in february really smart asset conversation. we continue today. blackrock's global chief investment strategist with us right now. you're getting ready to write the weekend note. give me the theme. what is the theme going into monday? richard: thank you for having me back. look at the drivers of markets. what are the themes driving this d line? the markets now increasingly confident the fed will hold at least through the middle of this year, but also other central banks have become more dovish as well. we have seen that from the ecb, bank of england and bank of japan, and people's bank of china. monetary policy, confidence around central policy on hold our remaining in easy territory. there's been a second important theme as well which has been som e of the heightened concern about geopolitical risk, particularly u.s.-china tensions. market perceptions have turned around very quick the. incre

good morning, live from new york, i'm tom keene with francine lacqua in london. mentioning prime minister may which was a faux p as. how was the trip? francine: they are not going gray. we heard from the german finance minister right here at bloomberg headquarters in london where he says the need is standing by ireland in this impasse -- the e.u. is standing by ireland in this impasse. to givenot want anything unless theresa may goes back on her red line, staying in the customs union. tom: we will do a data check. we data check the first word news. viviana: a bizarre turn this morning in the long-standing feud between the richest person in the world and president trump. jeff bezos accuses allies of the president of trying to extort him. the national enquirer publisher tried to blackmail him with embarrassing photos of bezos and a woman who is not his wife. pecker has an immunity agreement with prosecutors over the enquirer's efforts on behalf of the trump campaign. president trump and president xi may not reach a trade deal before a truce expires. mr. trump says

tom keene joins me out of new york. on the back of today's u.s.we will be speaking to the director of the u.s. economic council. in the meantime, this is what your markets are telling you. they are a little bit shy about what is happening in china. china vowed to buy more u.s. goods. they see progress in trade talks. if you look at the markets, stocks are drifting about it on earnings as a way to see what happens in trade. this is bloomberg. ♪ francine: trade progress. china thousand two by substantially more u.s. goods. there's no given site just a with trump ino go tariffs. amazon disappoints. shares drop after the eu, giant shows tepid fourth-quarter forecasts and raises concerns about cost. hello, everyone. this is "bloomberg surveillance." if you look at the markets they are trading sideways. earnings were pretty good. we have strong numbers from some of the tech stocks in europe. we look to the u.s.-china trade concerns and we are looking at a truce, at best but no real sign of it possible concrete deal. tom: a massive data don't in the u.s.

bill gross now joins tom keene for an exclusive interview on radio. take it away.ll of you on bloomberg television and radio worldwide. tom keene in conversation with the gentleman retiring today but you know he will never slip away from the financial analysis of his cfa institute. bill gross joins us with janus henderson. congratulations on retirement. i want to get to the track record and the challenges you had. how did you get here? how was this decision made? did you make this unilaterally? unilaterally and in combination with my family it my partner, amy schwartz, has been almost a half a century of watching screens and waking up in the middle of the night to check asia and europe. that is a long time. i've a few super bowl rings along the way to look at and it is time to enjoy myself and enjoy my family. the catalyst of outflows of funds, was it harder givenage the janus funds the repeated outflows you've seen over the last couple of quarters and years. bill: not really. half of the fund is mine and i've not taken any money out of the fund. others have. i loo

tom keene in new york.ally on a tear on the back of this possible agreement on china. i don't know if the market is too optimistic on a deal. i'm looking get that, and looking at brexit. once again conflicting reports. tom: i agree, china overnight was really big, with morgan stanley out with a critical report on the shift from surplus to deficit. a lot of dynamics in china on this monday. francine: absolutely. a lot of dynamics on china. we will get to the first word in just a second, but let's get through the data first. tom: risk on, futures up. over 26,000.p well europe doesn't play, and oil really not part of the discussion. francine: i'm looking at stocks. they are really climbing in europe. they were really climbing, and now they are gaining some 0.2%. trump is putting the date for boosting tariffs on chinese imports. mark carney has just started talking, the bank of inland governor. he's with the -- the bank of england governor. they are holding a press conference in london on the continuity of deri

exclusiveer bloomberg now on the heels of the , billcement to retire spoke to tom keene. >> i woke upddle of the night to check asia and china. bowl ringsw super along the way to look at. it is time to enjoy myself and my family. tom: within this is the catalyst of outflows of funds. was it hard to manage given the repeated and chronic outflows you have seen over the last number of quarters and years? >> not really. half of the fund is mine. i have not taken any money out of the fund. others have, as you mentioned. i look back on it and the performance of the unconstrained fund in the last few years, which has been unsatisfactory no doubt, but still positively positive and normal in nominal terms. what i would like to mention is i have managed some total return accounts were i am famous for janice, and they have outperformed like the old days, and go 100 basis points over. maybe i should have stuck to total return and then a little more constrained. tom: this is a very important point. mr. gross has a number of ideas going, including fighting the fixed income battles of mutual funds.

tom keene spoke to him earlier today about his choice to step down. >> it has been almost a half-centurywatching screens and waking up in the middle of the night to check asia and europe. that is a long time. i have a few super bowl rings along the way to look at and it's time to enjoy myself and enjoy my family. welcome brian, you had an interesting column about bill gross's career and the betsy was taking related his career, things like merger arbitrage and stuff like that. approach he took. >> he was contemplated in the interview, which was interesting to see. his main issue was he best the treasury yield and german bund yield would converge, and they did the exact opposite, obviously. that was a huge miss, and that sort of was the undercurrent of the entire fund. he also has a big bet on a mexican bond that we reported on today and on top of that, like you said, he started investing in stocks as well. it became more of a hedge fund like strategy. mark.ays lee missed the >> what happened to him, though? he left pimco, he goes to janice, at its peak it had a couple billion dollars. why

gross spoke exclusively with tom keene about his decision, his career, and the state of bond investing waking up in the middle of the night to check asia and europe. and that's a long time. i've got a few super bowl rings to look at, and it's time to enjoy myself and enjoy my family. manage the harder to janis constrain fun given the outflows you seen the last number of quarters, and even years? bill: well, not really. half of the fund is mine and i haven't taken money out as others have mentioned. i look back on it and the pastrmance on funds in the years with janice has been -- janus has been unsatisfactory, no doubt, but positive in nominal terms. what i'd like to mention, i've managed some total return accounts, what i'm famous for for janus. and it fell 100 basis points over and outperformed them. maybe i should have stuck to total return and the been more constrained. tom: i was talking with tom in los angeles, and with the unconstrained model, the model trained,"rase "uncons what did you learn about the pros and cons, the difficulties of this phrase unconstrained? bill: unconstr

gross spoke exclusively with tom keene about his decision, his career, and the state of bond investing been almost a half a century of watching screens and waking up in the middle of the night to check asia and europe. and that's a long time. i have got a few super bowl rings along the way to look at, and it's time to enjoy myself and enjoy my family. tom: within this is the catalyst of hard flows of funds. was it harder to manage the janus constrain fund, given the outflows you seen the last number of quarters, and even years? bill: well, not really. half of the fund is mine, and i haven't taken money out, as others have, as you mentioned. i look back on it and the erformance on funds in the past years with janus has been unsatisfactory, no doubt, but positive in nominal terms. where would like to mention, i've managed some total return ccounts, what i'm famous for for janus. and they outperformed, like pimco, 100 basis points over and outperformed pimco. maybe i should have stuck to total return and the been more constrained. tom: i was talking with tom in los angeles, and with the u

i'm tom keene. francine lacqua in london.with the professor on his new book, and to see the uproar we once again see in northern india, this is a well-timed conversation today. francine: it certainly is. looking forward also to talk about broader themes on the macro economy and the central bank's power, or not, in 2019. the pound has moved quite a lot. we are monitoring any headlines coming from governor carney trying to field questions on what happens in the eventuality of a no deal. markets are now believing more and more that no deal will be taken off the table. tom: extraordinary news flow today. there's the governor talking on the politics and monetary economics of his united kingdom. right now in you -- in new york city with our first word news, here's the hour to auto -- here's viviana hurtado. viviana: theresa may is expect it to allow her cabinet to discuss leaving the european union with no deal. if there is no agreement within the next month, a delay would be needed. jets are said to have destroyed a major terroris

tom keene quote some ancient rome thing. policy marking the end of their balance sheet runoff.his is bloomberg. ♪ david: the federal reserve released the minutes of hi its most recent meeting yesterday. there was less consensus on when rate hikes would come. "severales read participants argued rate increases might prove necessary only if inflation outcomes were higher than the baseline outlook. if the economy evolved as they expected, they would view it as appropriate to raise the target range for the federal funds rate later this year." andelcome nick bendenbrook linda bolynda. how does this change your view on the dollar going forward? i would say the federal changes its stance relatively slowly. they are becoming less hawkish and arguably more dovish over time. what did you make of it? we thought everyone was in consensus. now, it seems like if you dig beneath the headlines, there is thatide over inflation could affect the next 18 months. lynda: for us, not a lot changed. the fed is more data dependent. they are sensing risk in the underlying economy. the consensus out there

francine is live from zurich in the next hour and tom keene out of new york.peak to the ceo of commerzbank. this is bloomberg. ♪ road.ne: down the president trump met push back the deadline for higher tariffs on china as the two countries continue to negotiate. germany posts zero growth at the end of the fourth quarter, but is it just a blip? credit suisse's trading loss a clips is its gains in wealth management. >> i'm convinced we are going to outperform. this is "bloomberg surveillance." there is a lot to talk about. i think what caught my eye was the fact that germany is not in a recession, but flatlining. you wonder whether the trade agreement between the u.s. and china will really help lift germany out of this limbo it is in. tom: the window we are in, a figure interview moved the market little bit. story, it isglobal not just about zurich, frankfurt and london. it is a global story of real eubank fragility. -- eu bank fragility. francine: yeah. let's get straight to the bloomberg first word news in new york city. viviana: president trump is reportedly p

hour.tinue in the next tom keene joins me out of new york.lking to the ceo of allianz. david bringing out the big guns today. we will talk banks, commodities, fed, minutes, markets, china. all of that coming up on "bloomberg surveillance." this is bloomberg. ♪ i'm a veteran and the army taught me a lot about commitment. which i apply to my life and my work. at comcast we're commited to delivering the best experience possible, by being on time everytime. and if we are ever late, we'll give you a automatic twenty dollar credit. my name is antonio and i'm a technician at comcast. we're working to make things simple, easy and awesome. francine: renminbi jones. -- jumps. speaking of water compromise, theresa may have act -- is back from brussels. worries about the white house. good morning, everyone and good afternoon if you are watching them asia. this is global news, 24 hours a day, on air and at tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. we will spend a lot of time talking about deutsche ba

i'm incredibly keen to help as much as i can in dealing with that, but there needs to be earnest good intent from the party. and labour's deputy leader, tomly caveated apology. fellow labour mps were scathing. chris williamson has form. he's done this before. he's apologised before. and then he does the same thing again. so, in the current climate, not to show strong, immediate, determined action to stamp out anti—semitism was a mistake. the fact that it's finally happened is a relief. ifjeremy corbyn hoped to avoid suspending his ally, as many mps suspect, his hopes were dashed. now the pressure on labour's leader over his handling of anti—semitism can only grow. john pienaar, bbc news, westminster. this evening mps have been taking part in a series of votes on the brexit process. labour's plans, which would see the ukjoining a customs union with the eu, were defeated by 83 votes, and jeremy corbyn confirmed tonight that labour would now back another eu referendum. our political editor laura kunessberg explains what has changed in the brexit process tonight. the most important thing to is, i think, that the house of commons rejected labo

i am incredibly keen to help as much as i can in dealing with that, but there needs to be earnest good intent from the public. —— from the party. and labour's deputy leader, tomapology. "it's not good enough. "if it was in my gift, i'd have removed the whip from him already." fellow labour mps were scathing. chris williamson has form. he's done this before. he's apologised before. and then he does the same thing again. so, in the current climate, not to show strong, immediate, determined action to stamp out anti—semitism was a mistake. the fact that it's finally happened is a relief. ifjeremy corbyn hoped to avoid suspending his ally, as many mps suspect, his hopes were dashed. now the pressure on labour's leader over his handling of anti—semitism can only grow. john pienaar, bbc news, westminster. this evening, mps have been taking part in a series of votes on the brexit process. labour's plans, which would see the ukjoining a customs union with the eu, were defeated by 83 votes, and jeremy corbyn confirmed tonight that labour would now back another eu referendum. our political editor laura kuenssberg is at westminster. what's changed in the brexit process t

keen on another government shutdown. president trump also, as we said is extendinghe the march 1 tariff deadline if the two sides come anywhere near an agreement. yvonne: let's get to tomg us with the latest out of beijing. how will this change the tone? how will this be read in beijing now that the talks are undergoing right now? tom: you say the talks are undergoing and we expect the premier to sit down with robert lighthizer and steve mnuchin thursday and friday. they are in the capital. the two lead u.s. negotiators. you could weigh these comments around trump around extending the deadline and what his administrations have said about his expectation about getting a deal with china and wanting to sit down with president xi for a one-on-one meeting in mid-march. you might pull that together and think we are getting close to a point where we could get a deal with the u.s. that will not be too painful. the other way to look at it is to suggest negotiators more time to drive a harder bargain to get a more consequential and sequential deal from the chinese side which may play into caution in beijing as to how to weigh these comments. from the chinese perspective, they wa