tracy: i'm tracy alloway.loomberg business flash. mergetbank's talks to sprint with t-mobile have ended after months of negotiations. according to people familiar with the matter, the ceos could not resolve how to share control of the combined companies. the news -- is investor hopes , and signalsger that unlimited data plans and heavy price discounting in u.s. carriers will continue. apple briefly became america's first $900 billion company on friday, as its stores around the world were inundated with customers trying to buy the new iphone x. the man for the handset, which has a $1000 price tag, let apple to predict retail sales of at least $84 billion in the business quarter. shares gained, with a market cap above 900 billion before slightly paring down. businesses are calling for an end to the so-called soap opera brexit. the confederation of industry president will appeal for a single, clear strategy in an address to the group's in a conference in london tomorrow. he is said to criticize theresa may for he

tracy alloway, life out of abu dhabi.ll with us, the global chief economist at standard chartered. just to recap in terms of the direction of crude oil, it's quite a rally for wti. how sustainable is that? how much further can i go? sustainable, but i think we are close to where we need to be with oil prices. the last time i was here we had a very aggressive forecast. we are more or less where we will prices should be. it's an interesting market. i don't think it is sustainable for most producers and that is why we thought at 40 we were not sustainable. but if you move to 70 you are going to see increased production from unconventional producers. i think they are close to where we need to the. oil prices around this level look to be closer. >> i guess the other side of that is what about inflation outlook? everyone knows the one asset whose rapid change in the outlook affects not just things like breakevens all the way to consumer spending habits, it is a rapid change in the oil price. hasn't moved up for not for you to m

i am tracy alloway in dubai. david: we are just entering the lunch break from markets here. sense ofe you where asia started out this week. it has not been the most stellar .ession' a lot of this comes to the pullback. the big story out of europe, germany. -dollar.ion low on euro were coming off a little bit those lows. still under pressure. gdp, cementing southeast asia as the rising star of growth among growth for thailand going back to 2013. you have some good, but mostly risk off. definitely risk off in the markets. some assets that mean a lot for this part of the world. brent falling, down $.13 this morning. meanwhile, the bloomberg dollar regaining some of its safe haven status. u.s. 10 year yields continue to grind lower come and now 2.32%. a lot of that risk off feelings showing up in dubai stocks, some of the biggest callers in the region. in particular dragging the whole index down. somell talk about that and of their nervousness in middle eastern markets later in the show. first, let's get over to first word headlines from around the world. hasresident robert muga

tracy alloway spoke to a guest in abu dhabi. >> it means a lot of things.all, it means good gas filling the gap between consumption and production. number two, and it is also important that this is a big discovery, and this means that we are now getting through new horizons and new potential discoveries. so potentially, we might find some other resource. number three, is showing to all multinationals and ioc's that we can do extremely well when we giant discoveries, big projects to be developed and come into the stream to be competitive in a short period of time. tracy: what interest are you seeing from international oil companies? it feels like some countries are cutting back a little bit at a time of low prices, including for gas. >>. no, actually, what we have seen lately, and i would have to take again the example, when we stopped the development of the feed it was only eni. we were joined by bp and others. this meant interest. and potential newcomers. coming for the first time in the oil and gas industry in egypt. this shows international desire, and a

tracy alloway is standing by with a special guest. >> that's right.e with the ceo of mom bought a petroleum. story.n interesting .hey just completed this merger i have to ask the big question. we know you are reviewing the assets as a result of that merge and -- merger. when might we hear the outcome of that review? >> last year, the government announced the merger at that time. a fullymerger created integrated oil and gas business. very active in the upstream and downstream. our focus is the you creation and creating synergies within the portfolio companies. we are big players globally. you have a better idea of the kind of is this is or sectors you want to focus on in the future? we have done an extensive assessment of our art folio. it is a work in progress. we have identified sectors that are more attractive. maybe you heard about the latest .ews last summer we also announced a big joint venture with total in texas. so we are very keen to remain relevant and a major player in the space. tracy: when i talked to outsiders, it feels like the company

. >> i am tracy alloway. we are at the start of another trading week here in the uae.et us take a look at how u.s. markets closed on friday. it was not a bad day for u.s. equities. with the spx closing up about five points, helped by u.s. retailers. it was black friday in the u.s. we saw the retail stocks push the index up, including macy's. macy's is the sixth best performer i on friday. amazon was the second best. let us talk about the dollar because the dollar continues to slide. since been sliding wednesday, now at its lowest level since eight weeks. .he opposite story for the euro the euro now at the strongest in about two months. it looks like germany might be able to get past the political impact we were discussing last week. >> fascinating moves. here are some other asset classes we have been having our eyes on. take a look at u.s. 10 year. 34, modestly lower than a shortened session. crude oil gaining some strength. it looks like a deal taking shape. 63, of 86, half of 1%. we have been in that range for the third week now. trading out almost double the 100-day

are executive editor tracy alloway joins us from dubai. good morning.t does this tell us about the crackdown, about the reasons for it, and the success, what it is trying to achieve? to $100he $50 billion million, there was an a hundred billion dollar number floating around at one point, which would have been an obscene amount of number. in terms of the purpose of the crackdown, it does make you wonder a little bit. some of these arrestees seem to be getting off lightly, with settlements instead of a trial, a stay at the ritz-carlton before being let go. but you can see potentially what the intent is here, it does three things for the existing saudi regime. audience,o a domestic to have been long concerned about corruption in the bureaucracy. it also to some extent boost reserves at a time when saudi foreign reserves have dropped from over 700 billion to about 450 billion now. finally, it sends a message about who was in charge, and that is mohammad bin salman, the crown prince. manus: he has, indeed, and his audience is clear. but from the market's per

tracy alloway joins us with more from abu dhabi. what is happening? fall into months. , so not a huge collapse. the index is still up 32% for the year, and astounding rally. when it comes to the oil price feed through, that his not entirely clear. movers, it is the mostly hong kong stocks, south korea stocks, for idiosyncratic reasons, as you know. if you look at the correlation with oil for the past year or so , not negative, but definitely less than an has been recently. talk abouti have to emerging-market bonds. equities tend to get all the attention, but we are still seeing a phenomenal amount of strength. year, 10.5ance this billion dollars in bonds sold last year, including a 3 billion issue from nigeria. worth of$11 billion orders for that 3 billion dollars issued, so that kids you an example of the appetite for emerging-market assets. especially with low interest rates and a softening dollar. yousef: quite a lot of variety. what stood out to you? thing i find fascinating and hopefully you will as well, the petro currencies. petro currencies hav

the central bank governors spoke to tracy alloway in abu dhabi. make this happen? tracy: it might not the is difficult as you think. this would be the second time iraq is selling international abt come up bonds without government guarantee in one form or another. they sold one billion worth of debt in august and were met with incredibly strong demand. they had $7 billion worth of orders for $1 billion worth of lawns, and that meant they were -- of bonds and that meant they were able to tighten the price guidance. there are a few potential challenges. iraq is still talking to the imf about the next tranche of its loan. there are questions about the kurdistan referendum. i asked the central bank governor about that. havest of the targets we have been met. discussion was more on the 2018 budget. agreed on the re, and we have the there is some questions being raised by them about kurdistan and about some other details. i think we are very close to agree on that. baghdadht that back to for the government and parliament to review based on what we had agr

tracy alloway spoke exclusively to the ceo and asked for more details about the plan geared -- the plan>> at least 10%. higher, go a little that will depend on how the market is over the next few weeks. tracy: is there particular valuation you are targeting? >> not really. [indiscernible] -- a one-of-a-kind ipo in the region. ist we are trying to achieve a way to ensure an unprecedented [indiscernible] market and domestic and local investors to work alongside. tracy: there are of course rumors you might look to float other businesses. what else might be in the pipeline? >> were looking for ways to maximize value to shareholders while keeping it wholly owned. having said that, we are looking at exploring the whole value chain with the main focus being on service systems. tracy: you keep rolling out a listing at the holding company level, you did it earlier today during your speech. why is that? you have a neighbor across the border that is listing at the holding company level. >> simply because we have had some incidents in the past where people have thought we were not -- that we were i

mark: that was a chief executive of adnoc with tracy alloway in abu dhabi., ask bitcoin, still on a roller coaster ride following an technology upgrade cancellation. we will talk about the ups and the downs. from new york, this is bloomberg. ♪ ♪ live from new york and london, i'm julie hyman. mark: and i mark barton. -- and i'm mark barton. this is "bloomberg markets." bitcoin community opting not to increase transactions, setting some investors off. the shares of bitcoin have been climbing. are european tech reporting joins us. not for the fainthearted trading bitcoin. >> not at all. we have known that for some time, but these last two days have an --two days have been hyper volatile. mark: tell us what bitcoin cash is and why it has taken center stage in the last week or so? >> bitcoin cash is a new interest that worked off from the original bitcoin in august. what the community is trying to do is solve this problem of scalability. processd bitcoin to transactions faster, and process more volume in transaction. this is key to its growth. there is a communi

tracy alloway spoke to the ceo yesterday and joins us now. talk us through some of their plans.mportant to emphasize the amount of excitement about this deal. it is expected to kick off this way for of rival decision of middle eastern oil and gas which is, not least of the highly anticipated saudi aramco listing. it is also interesting from on abu dhabi perspective. it is a centerpiece of oil and total oil, 6% of reserves, and under its new ceo, he has been trying to transform the company into what he says will be a new type of national oil company. down with him after the announcement for an exclusive interview. take a listen. announcement said at least 10% of shares we plan to float on the market. higher. go that will depend on how do we focus on the markets. >> is there a particular valuation? >> not really. we want to demonstrate the ability of this first of its kind ipo in the region. what we are trying to achieve a numbers that will show an fromcedented commitment the international and local markets to work alongside adnoc. >> there are rumors you might float other busines

i am tracy alloway in dubai. angie: i am angie lau in hong kong.est business flash headlines. at&t insisting its takeover of time warner is a vertical merger that does not lessen competition . this after the justice department filed an antitrust suit to block the deal, saying it would greatly harm american consumers. at&t basra randall stephenson insists that selling this he in a news channel is not going to happen. >> there has been a lot of reporting and speculation whether this is all about cnn. frankly, i don't know. but nobody should be surprised that the question keeps coming such anuse we witnessed abrupt change in the application of antitrust law here. the bottom line is that we cannot and we will not be party to any agreement that would even give the perception of compromising the first amendment protections of the press, so any agreement that results in less forfeiting control of cnn, directly or indirectly, is a nonstarter. tracy: france and the netherlands have won a contest to host european union agencies, the first concrete political

central bank governor alley a la aleck spoke with tracy alloway. et info be too. >> to alien? that's 2 billion? >> 2 billion. we have to get the approval of the budget first. tracy joins us now from abu dhabi. rack has to tailwinds here. one is the rampant demand we have seen for emerging-market assets over the past year or so. the first time they returned to the market to sell independent bonds was back in august. they got $7 billion worth of orders for a $1 billion debt sale. they had so much demand, they were able to tighten guidance. crude is trading towards a new year -- two-year high. it's hard not to say that stability hasn't helped them. we have news that the petrol station owner in the gulf region is doing an ipo. just as oil is crusading back towards two-year highs. this is a big deal for the region. the first of a way of expected national champions are going to be high be owing various parts -- are going to be ipoing several parts of their businesses. we have a big sovereign wealth fund looking to lift its alumina business. the timing is

he spoke exclusively to bloomberg tracy alloway in of would be and says he does not see a long-term future company. guest: i think it is on life support. the existing directors are doing try and job they can to put many of the disjointed pieces together, but it is quite complicated. i doubt whether the current plan would be successful for very long. guest: is there anything that would give you comfort in supporting the company? guest: well, it is very difficult. we are just financial players, some might point of view is very limited. i wish the best for all of the employees of the company, that talent and all of the distributors who were involved. it is quite sad for them, but it is difficult when the bright shining star of the company, actually was harvey. so when you take the bright shining star of a company out, for whatever reason, it is a major dilemma. ♪ ♪ alix: you are watching bloomberg best, i am alix steel. president trump's last chance at a legislative win before his first year and is tax reform. and entered a new phase this week with the senate marking up at own bill and the ho

that's go to tracy alloway joining us from to buy. good to see you this morning.ng the crude price, there's a great deal of hope and fervor that opec and non-opec will agree. >> that is right. you can see the expectation building in the markets. the other thing driving prices this week is the u.s. inventory data. we had numbers yesterday showing a 1.8 6 million barrel drawdown in u.s. inventories last week, off the back of data that showed a big drawdown of about weeks million barrels. you mentioned brent in your intro. take a look at what is been now at almostti, $58 a barrel, the highest in two years. wti importantly, the entire in something that has not happened for three years. take a look at the chart behind me, you can see what a difference this is. that will be music to opec's ears since the group is trying to clear the inventory glut. one thing to watch out for is positioning. we know there is a record long position in crude. this gets to the expectation building point, but we have also seen in the most recent weeks, with a little bit of shorts returning t

tracy alloway is at that conference and she can expand to us just what it is. much of a headache does the u.s. shale surge to open? .e have got the iae that report actually does a really good job of its planning on a high-level the transformation that we are seeing, in terms of being landscape.l, oil, we think you will be able to buy big oil powers at places like vons. the iea is predicting that by 2025, u.s. shale output will match the kind of output we saw in saudi arabia the height of e 1970's.il boom in th so, really it all changed within the soviet union. in terms of the headaches this proposes, maybe we need to start changing our language. because even though we saw each other at the part, the shoot upa hospital, he still have not solved the corniche of the u.s. health directive. we get to see shale producers began to round up their investments and output. that leads to this downward cycle. here and opec we have a mini opec meeting and many ministers are talking about this problem. we told the secretary o ral he's watsnt dumb they are getting the non-opec

princeracy, just as the is trying to transform the economy, tracy alloway with the latest on the saudi. let's talk about the third-quarter earnings season. it's going to close in the picture has been mixed. the beats actually outnumbered the misses -- i will get there -- outnumbered the misses by 40%, which were pulled mostly lower by higher expectations. we got there. anna: insurance and financial saw strong results, while health care and industrial disappointed. give us your thoughts on the earnings season. as it lived up to your -- has it lived up to your expectations? bob: yes, it has lived up to expectations. i think the key factors are number one, european dividend yields relative to government bond yields are high relative to that differential. so, as a result, i think investors will focus still on high dividend yields in the eurozone. second factor is, like most markets, we have seen an underperformance in areas like utilities, like telecoms, like the expensive consumer sector. sectors which benefit from low bond yields i think will continue to do well. sectors that benefit fro

mark: and that was ralph hamers speaking with tracy alloway.viera beach florida on thanksgiving day. he commends the coast guard for their efforts in texas and in puerto rico after hurricanes harvey and irma. he also mentioned something he likes to do, that u.s. stocks are at all-time highs. president trump addressing the u.s. coast guard in riviera beach, florida, on this thanksgiving day holiday. praising the coast guard for saving lives during hurricanes. he has been busy tweeting this morning as well, heralding his a successes this year in his first year of his presidency. we will talk more about politics, next. can angela merkel break the stalemate? we are in germany -- we are in berlin as angela merkel takes -- departs on her fourth term. this is bloomberg. ♪ mark: live from bloomberg's world headquarters in london, i'm mark barton. this is bloomberg markets. let's check in on first word news. taylor: the euro area economy is on track for its best annual performance since the financial crisis. economic wrote is speeding up to 8/10 of 1%.

tracy alloway is coming up next with bloomberg markets: middle east. there we go.that risk off sentiment. city banks health of wealth management. we will ask him about that china shadow banking crackdown. for wealtht mean management, asset management products. closer to home, the latest on zimbabwe stocks. they are falling. we might discuss why that is a good thing. we will also talk about the saudi budget deficit numbers shrinking by 9% all coming up next. david: that is it. bloomberg markets: middle east is next. mong we will be flushing out the market story next. this is bloomberg. ♪ ♪ tracy: risk off, asian stocks resume the slide, and the euro falls. is a correction coming? grow for an exports fourth straight month by double digits. we are live in tokyo with the latest. resign,efusing to robert yougov a shocks zimbabwe and does not step down in a tv address. his impeachment the next step.