. ♪ >> u.k. arrivals from six african countries. >> our scientists are deeply concerned about the variant. the current spec -- the current vaccines we have may be less effective. >> politicians call for a coordinated effort to stop the crossings across the english channel. >> this is about smashing the gangs that treat human beings as cargo. this requires a coordinated international effort. >> after seven decadesf excavation work, egypt celebrates a public opening. >> welcome to world news america. scientists are warning the new covid variant that has properties to help the body invade an immune response. it has not yet been declared variant of concern by the world health organization. virologists describe it as deeply concerning and u.k. has announced new restrictions in an attempt to halt the spread. >> earlier today, the south african government held a press conference and they talked about a new variant they have found. i have been updated on this variant by the u.k. health security agency an

the u.k. as well. it is a great pleasure to host the british home secretary. he was appointed -- he was appointed in july 2019 -- she was appointed in july 2019. she has overall responsibility, including the national and britain security services. she was elected conservative mp in may 2010 in the county of essex and previously served as secretary of state for international development, minister for state employment, and exchequer secretary to the treasury, i first met her over a decade ago when she visited the margaret thatcher center for freedom. she is was the most fearless leaders in the u.k. today, and has always stood proudly for the conservative ideals embodied by my former boss, margaret thatcher. on issues from protecting britain's borders to standing up for law and order, she has been like a rock, steadfast in the defense of the british people. she was one of the leading voices in britain's boat to leave campaign, and the fact that united kingdom is once again a truly sovereign natio

fergus: from sunday, only u.k.ish residents will be allowed in from six southern african countries, and they will have to pay to quarantine in a hotel. the travel restrictions mean this woman will miss her knees's wedding in south africa -- n iece's wedding in south africa. >> we were all going to be together, which is really important, and literally we won't come overnight, and now we won't. fergus: health secretary said the new variant may pose a substantial risk to public health, so the restrictions were necessary. >> i want to reassure this house that there are no detected cases of this variant in the u.k. at this time, but this new variant is of huge international concern. fergus: several coronavirus mutations have already made the covid pandemic worse. the alpha variant, identified in kent, drove a huge wave of hospital admissions and deaths here last winter. the delta variant, first detected in india, was even more transmissible and is currently the dominant strain worldwide. on paper, the mu variant looked

they are very small in the u.k.. ros: the u.k.ent says it already has policies in place to respond to this ends planning further policies, in particular, a major piece of legislation we pect will become law and the u.k. next year. the french interior ministry has given us more details on what has happened in the channel today. he says the number of people who died is at least 31, all of whom were aboard one boat. he says five women and one young girl are among those killed. he says the number of people killed is not definitive because we don't know precisely how many people were on this boat. the search party will continue to look for survivors in the channel. french authorities are saying fo ur people described as traffickers have been arrested close to the belgian border. key to this story are the ports of dover in can't and calle on the north coast of france and as the news was breaking earlier, my colleague jane hill spoke to the hd of the porch of calle for his reaction. >> i think the people that pay the migrants to get to t

the u.k. and the u.s. is coming here expanding its fossil fuels. the u.k. government has announced a massive expansion. it's got another 3projects in the pipeline. those will triple u.k. emissions. it's very much a case of countries saying. say is i'm doing, do as i say and trying to put the responsibility into poorer countries. amy: can you talk about what coalition is that you are heading? >> it's been the broadest and most widespread coalition that has ever come together here in the u.k., it's brought together labor unions and trade organizations from black lives matter to climate strikers. what it's trying to do is build a movement. recognize that the climate crisis is not simply an environmental crisis, it's an economic social, racial and gender crisis as well. we know the solutions to each of these crises are the same solutions we need to transform our energy and food systems. we need living wages and social protection. public services. we need to center the realities of the global south

-- u.k. thing?ie: this is interesting because usually when you are in the u.k., making a purchase on a smaller company's website, it is actually amex that become an he doesn't accept. this sort of reflects a change in the card market in that some of these larger issuers, the visas in particular, are rolling out these premium cards, and they are expensive. someone has got to pay, and we are seeing it as retailers. guy: it is a massive issue when you have an amex corporate credit card. try to use it in europe. good luck. you go anywhere, and they were like, no, we are not going to take the amex. charlie, thank you very much, indeed. it is going to be interesting. maybe next year, things start to change. european equity markets are about to close. we are about four minutes away until the end of the day here in europe. these are the numbers. the foots 100 certainly being dragged down. the miners are on the front foot. the inflation number a little earlier on means the pound is up . it is a kind of trans

again, most of the moves emanating from the u.k. u.k. closed at this time in the morning. after a record in u.s. stocks, we are looking at an unchanged s&p 500 futures session as well. we were just talking to our last guest, janet mui of brewin dolphin, who likes regional stocks and is making a shift into the u.s. iron ore up 2%. we are looking at brent crude now moving into losses after some gains after yesterday opec decided to hang tight with their planned output increase. let's talk about real estate. we have workers returning to cities throughout the u.k. that means demand for new homes and rental units has ballooned, but shortages have weighed on construction volume, sending homes to record high prices. taking advantage of that demand is are management -- ares management. i am thrilled to say that joining us exclusively is that head of real estate at ares, bill benjamin. happy friday to you. this planned housing project, it is basically looking at price accessible single-family homes. why concentrate on this market? bill: good morn

tom: the u.k.ket tightens in october bringing 160 thousand more people into employment and absorbing workers on the government furlough program during the pandemic. it has given a lift to the pound this morning which may be playing into some underperformance for u.k. equities so far in early trading. thank you for joining us this morning. are you and the team pricing in a hike in december on the back of this jobs data? >> i think the whole market is expecting u.k. base rates to rise in the next year. that is being priced in given the reaction in certain sectors. i think what the market needs now is for us to start on that steady diet of rate hikes. it was not too long ago, march 2020 where u.k. was at --. we can stomach that. they just need to see that happen. francine: can they afford to go before the fed? >> i think many people want -- many countries want to get ahead of the fed to protect their own currencies. what you have seen is the markets betting against the pound. and that is hurting some

the u.k.h security agency says it has mutations that could make it spread and infect people more easily. it adds the variant spike protein is dramatically different to the original coronavirus that covid-19 vaccines based on. south african scientists say they detected the variant in small numbers of people so far. cases have been seen in botswana and hong kong. >> the early indications we have of this variant is that it may be more transmissible than the delta variant and the vaccines that we currently have may be less effective against it. our scientists are deeply concerned about this variant, i am concerned and this is one of the reasons we have taken this action today. we do not know enough about this variant. the u.k. knows more than most because of the excellent work we do on surveillance but i think it is right we take this approach and remain cautious. host: let's bring in an epidemiologist and senior fellow at the federation of american scientists -- sciences. this comes down to this

we and the u.k. -- we in the u.k. will no longer tolerate such brazen attacks in the brazen way in which we have seen our national security subject to such activities. our upcoming legislation will represent the biggest counter state threat legislation in over 100 years. to share just two examples, we will modernize existing counterespionage laws to better reflect the contemporary threat, and we will improve our ability to protect official data and strengthen the associated offenses. our strategic partnership must continue to address all this activity, which is uninhibited and growing along with all the other threats that we see day in and day out. absolutely critical to this remains our ct partnership with the u.s., where our shared focus and approach is essential to protecting both our countries, which i am determined to do deep and even -- determined to deepen even further over the coming months and years. still face the threat of terrorism. this, too, is a threat that mutates. following major instances, there have

u.k.own by about 0.5%. broadly, the stoxx 600, after peaking midweek, looks like it is going to have a negative close on the week. it is going to be a really tight call. we will check in 30 minutes as we get it to the close. alix: volume pretty solid in europe, as well as in the u.s. a negative day for some equity market. s&p energies off free .5%. exxon having a huge gap down as you have oil really falling out of bed. part of that is definitely lockdowns in europe. the plus side, the nasdaq 100 up 0.5% area if you take away stuff like apple and tesla, things aren't looking that great even for the large cap tech stocks. you to have chris weller making a speech, talking about the fact that the labor market could recover sooner than we think, so we could see rate hikes in 2022. you are seeing yields down by about five or six basis points, paring some of those losses, off the lows of the session. it is helping the s&p stay stable in some capacity is going to be pfizer, up by just 0.5 percent.

u.k.ow let's talk about covid. boris johnson open boosters to those in their 40's. austria is imposing new restrictions on the unvaccinated. ireland preparing to recommend working from home again. andrew bailey, governor of the bank of england, has told mp's he is very uneasy about the inflation situation. mep michael saunders says unless rates go up, and placers -- go up, inflation will overshoot the bank of england target. we continue to creep higher. that is the message. we are up by another 0.2%. the stoxx 600 at 487. what is interesting as well as that the pound is now on the front foot. 1.3431. the euro in particular very much under pressure. alix: andy dollar really popping here. let's take a look at what is happening in the u.s. start with the bloomberg dollar index, up by 0.1%. ubs and hsbc dollar positive for 2022. potentially a stronger fed and better growth here in the u.s. that all leading to the 30 year yield above six basis points, buffets 30 moving -- 30 day moving average.

the u.k.france called for greater cooperation to stop human traffickers after migrants died in the english channel. >> this is about smashing the gangs that treat human beings as cargo. this requires a coordinated international effort. >> in a way, we are guarding this for the british. these men and women don't want to claim asylum in france and if they do, we have centers for them. ros: in calais, a vig for the victims, seven women, one of whom was pregnant and three children among those who drowned. despite the dangers, more people crossed the english channel today. also, a report from south africa, that has detected a new coronavirus variant. six cases identified, multiple mutations, and a top scientist told outside source he's worried it could drive further waves of covid-19. >> it has got mutations that are common to the delta variant, so it is likely to have higher transmissibility. in those characteristics together pose a problem. -- and those characteristics together pose a problem. ♪

the u.k.he does really well, denmark is good at it, and i think the rest of the european union is doing it, but infection rates at the rate that they are in austria and germany, etc., i think it would be good to lots of genomic sequencing there to make sure it has not already arrived, which is possible. the next one is, quite quickly, to figure out our people getting any different kind of sickness from this. with the delta variant, you got a lot more people with flulike symptoms and less with fever, for example, especially if they are vaccinated. so here we also need to do the same thing, and time will tell us. and then you've got the trans mission story, which we need one -- we need more than one country to get a better rate of whether it is out competing delta or not. guy: we have just had comments from pfizer indicating they are sticking to their 100 day timeline if necessary to reformulate. are we now at the point where we need to reformulate? scott: i think we are going to see reform elat

u.k.fficials have decided the waiver was just too short. they will give details of the extension early next year. general electric is offering to buy back up to $23 billion of bonds in one of the largest corporate debt buybacks ever. it is targeting a series of bonds. the company is on track to cut $75 billion of debt, boosting cash flow and profit margins as part of a massive restructure program. that is the bloomberg business flash. tom: thank you very much indeed. joining us now is ben from our markets live team. talk to us about the treasury selloff we saw yesterday. do you expect it to be sustained? how should we layer the inflation data on top of it? >> i don't think we should expect it to be sustained because there were too many factors weighing in on the treasury selloff yesterday. we heard the inflation print which was above expectations, but we also had an auction that did not go very well. it was the ugliest in a decade. if you saw the selloff, it was all over the place. so, i d

the u.k.israel, singapore, banning, restricti ng flights from africa and other african nations? sam: it's exactly what i expected to happen. it's a lot faster than last time, i have to say, when the variant started rearing its ugly head. but the issue is the travel bans are fine if the whole world of vaccine unison. i think you have to think about it's possible this has already spread. because the virus is probably already in most of the provinces in south africa. tom: ok, thanks to sam fazeli, always important insights. we'll becoming back to sam later in the program, head of research at bloomberg intelligence. now to a bloomberg scoop, research asking dd to put a plan to resist, an on presented -- d list, an unprecedented request. what do we know so far about this request from the authorities in beijing? >> hi, tom. so if you state chinese -- say chinese regulators will come up with their own plans to delist from the new york stock exchange, is because of concerns of sensitive data. the admi

and u.k.ects travelers from there as well as countries in namibia, zimbabwe, lesotho, and former swaziland. our africa correspondent reports. >> a technical university in pretoria, south africa, this afternoon, where the new variant was first properly identified. >> obviously, this is so overwhelming. we are all worried, but the ministry made the decision to suspend gatherings and social activities. >> the impact has been swift with many countries following britain's lead in banning flights from south africa. >> it is absolutely ridiculous, moving so quickly without investigating this new variant. >> the timing for south africa could hardly be worse. it is summer here, and the tourist industry was hoping for a big boost after two richard years of lockdowns and red listings. no wonder south africa's foreign minister has criticized the travel ban, calling it rash, economically damaging, and urging prison to recder -- urging britain to reconsider. >> today, africa is gearing up for a likely fourt

u.k. a near decade high. 4.2% year on year for the month of october. what that does in terms of building to the picture for the b.o.e. as they consider possibly a rate hike. that is the view, the consensus now for the month of december. this will strengthen that case. the bloomberg dollar index currently unchanged after that strength. again, one-year high. the pound has strengthened given rising to where they were prepandemic. this rate policy and tacking hawkishly could pay great dividends for the committee in the year ahead or the 18 months ahead. because it means that we would have to do less later on. and you would smooth this whole process out some. the inflation rate is quite high. the core p.c.e. inflation rate, the committee's favorite measure is about 3.6%. that's the highest it's been in 30 years. so i think it behooves the committee to tack in a more hawkish direction. but we could move faster. we kept optionality on this. that we could speed up the taper if it's appropriate. to

there is a fear in the u.k. that this inflation story could overwhelm things, that the reaction function of thr -- the central bank, that they are hiking for the wrong reason. when you ask people about the federal reserve, they will say dollar stronger. if you ask them in the u.k. what does it mean for sterling, you will get mixed views precisely because of the backdrop around growth and inflation. tom: lisa, what are you watching into the weekend? what is top of mind for you in the bond market? lisa: the narrative over inflation and how much the fed's hands will be tied. the idea that morgan stanley, as well as td securities, saying the fed can hold off, and then you had a steepening in the yield curve for the flattening you have seen the past three months. tom: priya misra's call at td securities is stunning down the road to 2023. we wanted to get perspective on the times we live in and where we are, and we can do that with michael holland, chairman of holland & co., and he knows the parlor game of waiting for

in the u.k.ther countries in europe are starting to move in that direction. for the details, we are joined now onset by eric pfanner. where are we in this process? we seem to be accelerating into winter. a lot of restrictions being imposed in various parts of europe. eric: it is interesting that the prime minister flag that continental european surge, given the u.k. has been at this pretty high plateau. guy: he implied we were behind them, not in front of them. eric: indeed, and the case numbers are still stubbornly high. so we are heading into this time of year when people are indoors more, and normally, this time last year was when it just started to take off. in the u.k., it has been pretty high for quite a while. we are seeing that across the continent. it is pretty alarming, obviously. alix: is this going to be a repeat of last year, or the therapeutics, the fact that there are vaccines that people can get, does that change the cases and hospitalizations? eric: i think there are two key thin

give me your estimate of the scale of supply shortages the u.k. face this winter. >> we definitely see some distress in the supply market. record high crisis across europe -- prices across europe reflecting demand, specifically for gas coming from the far east. we have prices generally between europe and the far east at high levels. i think you have a number of smaller suppliers. business models have not been robust enough to face difficult conditions. in terms of supply generally, there is more than enough supply throughout the u.k.. it is just prices are high and that is causing difficulties. we know the regulator and government are working hard to make sure that works. also i'm very confident based on what the national grid has said that the system itself will not have problems in terms of delivering electricity and gas to the u.k.. i don't think that is going to be the issue. it is more financial consequences for smaller companies within the market. there's a lot of companies in that market. there's going to be a reduction. i think we will mak

tom s.: we have great locations for smr across the u.k.sites have had a nuclear site operating providing baseload for the past 50 years. those communities are huge fans of nuclear energy. they understand the technology, so we have many sites that can host smr. they cannot host large gigawatt reactors well-suited to smr, about the size of two football pitches. we could look at deploying a number of reactors, and beyond that there is a wider nuclear state and a decommission cooler state, so these will go into the industrial footprint currently in the u.k. dani: thank you so much for joining us. that is tom samson, ceo, smr rolls royce. coming up, after a bruising 2020, luxury is back. can the sector sustained growth? that is next. this is bloomberg. ♪ tom: happy friday and welcome back to the opening. 43 minutes into the european trading day. currently flat across the benchmark. the ftse 100 down 0.3%. gains of close to 0.2% on the cac quarante. consumer products are at the top of the list, at the bottom travel and basic resources. as we loo

the u.k. around the globe. we begin tonight in ethiopia it with the latest conflict is one-year-old. rebel forces are advancing towards the capital. the more has killed thousands, displaced millions and left civilians on the break a famine. the u.s. special envoy to the horn of africa is calling for a peaceful solution to the conflict. kenya's president has called for an immediate cease-fire. rebels say they have taken three key towns in the last week. the u.s. embassy told americans in ethiopia to leave immediately. our correspondent reports. reporter: a tragedy on a massive scale. displacement and hunger our everyday realities for millions in ethiopia. finding without -- fighting wi thout an end in sight. the past 12 months have been one of the toughest for the east african country. it was supposed to be a short -- over the following months, it evolved into a full-scale war. emboldened by military gains, rebel forces now talk about toppling the government. >> what with the issue of negotiati

u.k. because we are just under an hour away from getting the very latest p.p.i. data and analysts believe that inflation will far outstrip the bank of england's 2% target. that is the given. just how bad can it get? how high would it go? the numbers and the estimates. and it's a debate between p.p.i. and r.p.i. for the linkers and p.p.i. for the bank of england. good morning, lizzi. >> good morning, manus. and economists are expecting above target krupp inflation. -- c.p.i. inflation. and to come back to the supply bottlenecks and the energy crisis that is really affecting the u.k. just this week the governors of the bank of england said that he's still very uneasy about inflation. and he explained to lawmakers the reason he didn't go for a november rate hike because he wanted to see how the job market is faring post furlough. we got the labor market data yesterday and it showed if anything even more of a case for a december rate hike as economists are joining the markets and expecting now

in the u.k.he numbers are starting to decline, declining at the fastest rate since april. . tensions rising in eastern europe. u.s. warns russia may be planning an invasion of ukraine. the ruble has been under pressure. stellar, massive beat. clearly one of the pendant winners. which stock am i talking about? analysts describing richemont's latest numbers as demand for luxury starts to surge. let's check out where we are with the markets. stocks are bid. there you go. we continue to inch ever higher, and there is the russian ruble, down versus the u.s. dollar by 1.8%. alix: really interesting how the rest of the markets took all of the geopolitical risks in stride. materials, industrials all leading the way higher within the s&p. energy and financials both trading a low but heavy, and a big part of that has to do with what we are seeing in the bond market. you're seeing selloff in the long end. yields moving higher. what is really interesting is this is the curve of the 20's and 30's, and it is i

lisa: at the moment particularly in the u.k.urope, black friday is very much an online story with only 20% of purchases in store and 80% online. i am not sure the recent news will impact the short-term and impact black friday because people are keen to spend more this year and get ahead of the game in terms of worries about shortages but also because they save money amidst the pandemic. tom: what are the forecasts for how much will be spent? lisa: consumers we believe will spend about --. in 2019, we started to see a bit of waning in the interest about black friday. this year, we have seen 6% interested and a clear indication that people expect to spend more. francine: what are people buying? i'm kicking myself because i started my christmas shopping very early forgetting about black friday and i go online seeing things i bought about two weeks ago that are 20% off. are people just spending more? lisa: people know that black friday is an interesting time to purchase. it is very much about electricals and fashion. it is also main

in the u.k., it is about 0.1%. is this dispute actually about fish, or is it about sometng >> dispute seems to be about fish, but it seems to pointo a wider point, which is we talk about the economic impact. you take the french or british economy as a whole, and you are right. the overall economic impact of the industry is very small, but in both countries, the industry has polital significance. it is high-profile. it was high-profile during brexit negotiations. it seems one of the tests of brexit, if you like. even when we talk about the economic front, if you look at the economy as a whole or french economy as a whole, that sounds very small, and it is quite small, but if we think about the impact on particular coastal communities and the maritime industry in those communities, it startto have a massive impact. it not only affects individual fishing enterprises and vessels but then has a knock on impact on the retail industry who want to sell that fish. there will be other local industries tied to the fishing ind

rishi sunak, u.k.er spoke exclusively with francine lacqua on how the world's biggest economy is funding green efforts. >> it is important we take a moment to look at what has been achieved. you look at this alliance, which is an assembled 450 different firms that represent 130 chile dollars of capital. that is an enormous'sÁachieveme. we know publicizk funding is not efficient on its own. the wall of capital cannot be deployed towards helping developing countries. it will be a process we have to make sure governments work and a piece of paper will turn into tangible projects on the ground that are going to make a difference to people's lives. francine: you are cutting the eight budget but sticking to your pledge on climate. francine: on our eight budget -- >> on our eight budget, -- on our aid budget, we are forecast to return back to .7% of our gdp being spent by 2024. there in mind that even at the level we are at now, we are still a third or fourth highest in the g7. far more than many other countr

in the u.k.peak of infections but not so many hospitalizations. in the u.k. of this vaccine was used to vaccinate older people, whereas in europe initially people thought t vaccine does not work in older people. >> president micron said -- mac ron said so. >> it could relate to the durability of the response especially in older people. this vaccine has been shown to stimulate t cells to higher degree in older people. >> on hospitalizations first, what he said is true. the top chart shows confirmed cases from january two today. the u.k. is the pink line. for the end of the year, the u.k. had more cases than other countries. the bottom chart shows hospitalizations and it is closer. more people were being hospitalized in the u.k. compared to other countries, but the gap is smaller. so was astrazeneca being used widely the reason? danny is a professor of immunology. >> obviously knew right with the astrazeneca vaccine which has done a lot of heavy lifting in the pandemic, and you can't argue with the

the u.k. think the broader european story is very germane here. where we are in the process of covid re-accelerating as we head into winter. paul: i think it varies, which country you are talking about across europe. we are seeing certainly in western europe it is essentially part of the same way we saw on the u.k. during the summer, and that we saw particularly high infection rates in the u.k., and to a large extent, that has actually provided more immunity in the u.k. population, and that is now being boosted by covid. so i think we are probably the other side of this wave currently still on the increase in europe. but again, even within continental europe, it varies. romania had a very big surge of infections around september, october, and that has largely now subsided, or at least that was the case a few days ago. i think what is driving a lot of this is how immune populations are, and partially it is vaccines, but partially it is also how many infections have they had to date. so countrie

the u.k. has said it is not here in the u.k. what do you take away?ut making sure we get better distribution of vaccines globally? that is an appealing argument to make. in south africa, our reporting suggests they do not have full vaccination, but it is not to do with a lack of vaccines. it is the lack of the right information getting to the right people to persuade them. dr. andrew: absolutely. i think it starts with testing. good testing coupled with sequencing allows for the detection of these variants early. that helps us prepare for these variants. it informs the current public health interventions. getting yourself vaccinated is the first thing you can do. it may be we need to reformulate a vaccine if this virus becomes dominant in the world. that can be done. we have antivirals on the way that can be utilized effectively. we have to think about these things as layered approaches to protect us from covid-19. none of them is 100% effective. combined approaches allow us to minimize the severity of this disease. this variant is going to be another

i'm interested if the u.k. onto that, because they are making a play at being proactive on climate change. if it does not sign-up, that will be a big question. and i'm interested if the cop talks will end on friday. they say this year it will finish. it might be a bad sign if it finishes on time, because it will show countries do not have much to deliver. we are looking at how long we will be staying up in glasgow the rest of the week. francine: what are we expecting at the end of it? will there be a signed declaration? jess: what i am hearing is it will not be an accord, or a protocol, it might be something like the doha gateway. u.k. officials are try to work out what we call the agreement. i asked if it would be legally binding. they said it will have legal standing but not be legally binding. the concern is from poor and vulnerable countries that this might be a weak agreement where countries promise to do stuff but it never gets followed up on. i think that is being thrashed out at the moment. francine: th

the u.k. will remain engaged with eu in terms of negotiations around northern ireland. those talks are not yet breaking down. let's see how things are playing out then across some of the various different assets. we have been looking at the u.s. dollar, at its strongest level, by the way, since about june. a little bit softer in today's session, but the trajectory for many for the greenback is higher from here. futures, of course, up .3%. we know the markets are closed for thanksgiving day in the u.s.. euro-dollar at 1.12, gaining after a week of pressure on the currency. the crown is in focus on the back of bloomberg reporting around continued negotiations, a little bit of modest optimism when it comes to the question of brexit. one point 33 on sterling, gaining .2%. we continue to assess the impact of the relief of reserves, so brent also in focus. francine: sables, raw materials, there is a conversation we need to have about oil. we heard from opec-plus saying that they now believe that we

alix: what do you do with the u.k.? u.k.as underperformed and has not hit the same kind of highs we have seen in the dax. ap morgan came out and they are positive on u.k. for the first time since brexit, and part because that deep discount. ed: valuations tend not to matter at the country or next level. this very little information about whether one country is likely to outdo another, until you get to real extremes. that is where we are today in the u.k. the gap between u.k. valuations and global valuations when you look at price to forward earnings, not seen since the 1970's on price-to-book, when the u.k. had to get the imf for a bailout. so when valuations have got to extreme wides in the past come on a three to five year view, that country tends to outperform. so we think on a medium-term come of the u.k. is overdue a bit of outperformance due to partial closure in that valuation gap, but we don't think that valuation gap will close entirely. there are still headwinds for the u.k. economy, for example, slightly unfavorab

this week is u.k.week, and later this afternoon i will be welcoming some young people from my constituency who see their futures in the renewable energy sector which has done so much to level up the grimsby, cleethorpes and north-east lincolnshire area. will the prime minister give an assurance that the government will continue to invest in the skills and development of our young people in order to benefit the renewable energy sector? pm johnson: yes, mr. speaker, and i think the whole house should be proud of the fact that the u.k. now produces more offshore wind -- not hot air, mr. speaker, but energy for the people of this country. clean, green energy, produced of cleethorpes in the north sea, and we are going to be massively increasing the volume of that output, mr. speaker. >> mr. speaker, a thriving steel industry is the foundation of a more productive and resilient britain, yet bickering between the chancellor and the businesses secretary is blocking the chance to tackle the sky-high energy pric

the u.k. has added two chinese covid vaccines for those approved for travel to the country. it is opening up travel for millions. those who have received the vaccines will now be treated as fully vaccinated at the border. that is your global news 24 hours a day on air and on a bloomberg quicktake, powered by one 700 journalists in more than 120 countries. coming up, u.s. intelligence set to show russian plans for a potential ukraine invasion. we get the details on that bloomberg scoop next. this is bloomberg. ♪ tom: welcome back, this is "bloomberg daybreak: europe." bloomberg sources say the u.s. shared intelligence with european allies that shows a buildup of russian troops and artillery that look ready to, or are prepared for a rapid, large-scale push into ukraine. that's what the intelligence seems to suggest. bruce einhorn joins us. what does the u.s. assessment say about russia's plans and intentions? bruce: according to people familiar with the matter, u.s. intelligence is saying vladim

the u.k. and the u.s. in terms of capital markets, that business has indeed, in a crisis last year, proved its diversification benefit. tom: joseph dickerson, weaver -- we appreciate your insight this morning. the opportunities, the challenges for the new leadership, and the legacy left by jes staley. ok, it is day one of the cup 20 six u.n. climate summit in cost -- cop 26 u.n. climate summit in glasgow. if elbow short of what some nations were pushing for -- it fell well short of what some nations were pushing for. francine lacqua is there for us this week. of course, there's all one up to get that francine will be speaking to. the run-up to this event has been 20 two the digital organization and the storm, the impacts on traffic -- travel. what is the mood on the ground? francine: yep, for the moment, i guess nervousness because leaders are arriving in one or two hours. security is very tight. if it -- if his like you're going through airport terminals because you have to get checked in. you also have c

u.k. time and then the bank of england governor speaks at cambridge university and the you competitive counsel these in brussels. -- meets in brussels. the european union is recommending tightening travel rules. let's get back to our story around covid. the european union is saying it wants to set a nine month time limit for the validity of vaccinations for coming into the block. let's get to a reporter in rome. what details do we have on this policy announcements so far? >> we are getting the official announcement later today. we have seen a document which says part of the proposal, which these are proposals that go to all e.u. member states and have yet to be approved and a caveat given the patchwork of measures we have seen dealing with covid and travel, there is no guarantee it will be uniform. the news is there will be a proposal for nine-month validity for the vaccination. that suggests after those nine-month people would need boosters. the other is entry into the block. there is a s

u.k.it might be a matter of time before it finds itself in the same situation. he told the french that there would be new rules. december 15, if you are over 65 or have certain illnesses, you have to get a booster shot if you want to have this health pass. the magic want to go into a bar, restaurant, or theater and have a normal life. he is hoping that what happens when he announces this health pass, the same thing will happen with the booster shot. for those over 65. he announced that for those between 50 and 64, this booster shot would be an option as of december 31. not an obligation. he is hoping that the french will vaccinate themselves. masks are still mandatory at schools. he warned the french to make sure that they keep wearing the masks, washing their hands, keeping their distance because he realizes that many people are letting their guard on after months if not years of the pandemic. he expressed confidence that france put in place all of the tools including pills in the near fu

they are forced to go to the u.k.displacing the problems and trying to say we will protect the border, we will make the people move with evictions, anyway, they will try to go to the u.k. it is only putting them in danger to protect the border as it is done on t beach. simon: we will be keeping you up to speed on that story as developments,. the political deadlock in germany seems to be at an end as olaf scholz et cetera take over the mantle from angela merkel as german chancellor. he announced three parties had agreed on terms of a coalition. this is a return of the social democrats power for the first time in 16 years. reporter: two months after olaf scholz' social democrats narrowly defeated angela merkel's conservative alliance at the election, they announced a coalition deal on wednesday. >> we are united by a belief in progress and that politics can achieve something good. we are united by the will to make the country better, to move it forward and to keep it together. we are not about lowest, denominator politi

the u.k. prime minister making the point that the city where it's being held is the place where the steam engine was invented 250 years ago, triggering an industrial revolution that started the climate crisis. >> yes, my friends, we brought you to the very place where the doomsday machine began to tick. humanity has long since run down the clock on climate change. it is one minute to midnight on the doomsday clock and we need to act now. reporter: the warnings of what is at stake continued, this from the u.n. secretary general. >> our addiction to fossil fuels is pushing humanity to the brink. we face a stark choice -- either we stop it or it stops us. we are digging our own graves. reporter: u.s. president joe biden came to glasgow with, unlike his predecessor, donald trump, a strong commitment to fight the climate emergency, but without the tools to do so. his green policies depend on a massive spending package that is already being pared back and has yet to pass congress. nagorno-karabakh t

it seems the housing market is tone deaf in the u.k.est house price data saying house prices rose in october and they expect them to keep rising over the coming year. that's because the shortage of new property coming to the market is weighing over all other factors. and other data on manufacturing and industrial production will come that will give us a clearer idea of what is going on with brexit in the u.k. dani: it certainly does feel like with the data were getting in that is becoming increasingly difficult to be transitory. manus: the fed are considering other -- all the options on the table. i think lizzie should call them and tell them to move the property prices higher. dani: that's it for us on bloomberg "daybreak: europe." the european open is up next. this is bloomberg. ♪ this is elodia. she's a recording artist. 1 of 10 million people that comcast has connected to affordable internet in the last 10 years. and this is emmanuel, a future recording artist, and one of the millions of students we're connecting throughout the next

we are going to talk about u.k.s, because the opposition is accusing the minister of trashing democracy in a debate over lobbying. ♪ ros: the u.n. food program -- world food program has warned millions of people could starve in afghanistan within weeks if the world is not step in. here is its spokesperson david beasley. reporter: it is as bad as you possibly can imagine. we are working -- looking at the worst humanitarian crisis on earth. 95% of people don't have enough food. now we are looking at 23 million people marching toward starvation. out of that, almost 9 million are knocking on the door. the winter months are coming, we are coming out of a drought, the next six months are going to be catastrophic. it is going to be hell on earth. to the world leaders, to the billionaires, imagine that this was your little girl or your little boy or your grandchild about to starve to death. you would do everything you possibly could. when there is $400 trillion worth of wealth on the earth today, shame on us that we let any

there has certainly been a denial in the u.k.ut the impact of our empire and our colonial history. i put it down into denial, really. it has been chipped away at by sort of academics and activists, writers, and intellectuals over the years. in the last 20 years, with was once a range view is now really right in the center. it doesn't mean to say that everybody subscribes to it. there are many people who unfortunately, are in denial. it cannot be avoided anymore. in totality. yes, i think it is in amnesia problem. we -- things have moved on. it is good to see that. we have got a long way to go. over the last 20 years or so that i have been involved in this, it is changed dramatically and not to mention the growth of contemporary african art which in some ways, is a reaction. in some ways, i would posit that some of it was a kind of reaction away, ironically from traditional african art. that is what the world thought about when you talked about african art was all about traditional african art. there is a whole new world of contem

not only the u.k. and the rise of e-commerce. we are looking at the u.k.s a very interesting and attractive market. if you look more long-term, russia, already a substantial market. more long-term, africa is also a region of interest. it has been severely impacted because of on trade. but in the long run, there is great potential. tom: interesting. back to the importance of the chinese market. competitors are building out whiskey brands in the market. is it a route you can go down? >> we have whiskey, as well. we have a brand that owns a whiskey elected best whiskey of the year. as well as what launched last week. the first of scotch whiskey. so we do have weapons to address the chinese market. we have seen our whiskey effective in the u.s. and china. you are right to point out it is an opportunity for us. really going to drive the business in china. tom: what are the inflationary impacts you are seeing? what is your view as to how long and how sustained inflationary impacts will be? >> inflation is a fact. even mutual alcohol today, but it has increased a

u.k. time that we got lines from the moderna ceo about concerns about the effectiveness of the vaccine. futures dropping lower i more than 1%. tom: if you like i never went away because the market action is a mere image of what we -- is a mirror image of what we saw on friday. reflecting the commentary that you got from the ceo of moderna. the length of time it could take. the spanish ibex falling 1.5% and further losses across the ftse 100. the oil markets, the pressure they're continuing in terms of the selloff. wti below $17 per barrel. yields lower across the belly of the curve. in terms of france, losses of 1.5%. futures lower in terms of the u.s. down zero point 9%. the oil story is back in focus. watching travel and leisure especially with the new policies being implemented around the world to curb the new variant. the 10 year yield lower by five basis points. the japanese yen is bid in terms of moves to safe havens. >> it is turning out to be an ugly day in terms of sectors. you wi