i want to start with unicredit. interest income coming in at 3.6 billion, the estimate was 3.4 6 billion, so a big jump when you talk about revenue on the top line. they are raising full year revenue and net interest income outlook. the markets are closed so you cannot see the immediate market reaction. when you look at the headlines they are looking good on the surface. net income beating quite a bit, significantly lower than what the market was expecting. we are looking at 135 million. the estimate was 301 million so less than half on the loan loss provisions. that's going to be a big piece of the equation in terms of how much support they might need if you see a market downturn. is this a vote of confidence we are getting out of italy's unicredit? something we are going to be exploring. at the same time net interest income significantly higher. i want to get you some other earnings. novartis is top of our radar. their third quarter net sales coming in at $11.8 billion. the estimate was for $11.3 billion. seeing a

this is another quarter of beats for unicredit.hey beat on both the top line which came in 4% higher than cons consensus. no price tsurprise they got a b lift in income. unicredit is one of the banks most geared for the higher interest rate environment and operating in. every quarter that i spoken to him this year, i have talked about the lift from net interest income. looking ahead, it feels we are approaching the end of the ecb rate hiking cycle. there is political pressure here in italy as we have spoken about the banks tax. not necessary to reduce the margins, but pass on more of the benefits of higher interest rates on to the banking consumers. i thought when i sat down with the coo an hour ago, one of the questions i wanted to ask is less about this quarter itself, because the quarter had a lot of positives going for it, but what about next year? what did he see happening with the net interest income dynamics and a function of the pressure from the banking imposition? here is what he said. >> when we look at the blended, iia

i'll report from unicredit. don't forget ecb on thursday and flash pmi numbers.lot to watch out in the u.s. with pce. >>> one notable piece of the market narrative which has been critical over the last several weeks is the fed. not this week. we are in the blackout period ahead of the fmoc meeting next week. this will give us a chance to look at earnings. >> keep an eye on global yields. ten-year yield close to 5%. that is having ramifications as we head into the earnings season as well. that is it for the show today. i'm joumanna bercetche. >> i'm julianna tatelbaum. "worldwide exchange" is coming your way next. this halloween, trick or treat yourself to the blendjet 2 portable blender... it's to die for. blendjet 2 gives you monstrous power for a delicious smoothie, shake, or frappé anytime, anywhere. cleaning blendjet 2 is scary easy. just blend water with a drop of soap. recharge quickly with any usb port. boo-gie on over to blendjet.com and order yours today. hi. i'm wolfgang puck when i started my online store wolfgang puck home i knew there would be a lot

in contrast to what we saw with unicredit. we will bring the interview with the deutsche bank cfo at 6:30 a.m. u.k. time. i want to the santander story and it is a similar theme when you are seeing the numbers come in close to estimates. other core net income is 2.9 billion and the estimate was 2.8 billion. third-quarter net interest income is coming in stronger but that will be a function of interest-rate moves. 11.2 billion is the estimates. loan-loss provisions i what is standing out to me. $3.3 billion and the estimate was $3 billion. they are saying that things are looking good and they will carry positive momentum into 2024. the headlines that we are watching for we will ask the c-suite is what is going on in brazil and the united states and the push outside of europe is numbers we want to know. we will ask all that in an interview with the exclusive conversation with the santander cfo in 30 minutes. let's get a quick check on the markets because caution in the banking space, a little bit of caution equity markets as wel

unicredit as well.t is the eurozone banks doing better than the uk banks >> that is an interesting trend. i think taking a step back and looking at markets standard chartered is a major issue to the downside. the brutal selling on wall street yesterday which seems like that was sparked by the disappointing relative to expectations from alphabet to my mind, this shows how demanding valuations on the tech sector are and the driver of the tech sector relative to the macro data >> it is not just the bank earnings and tech, but very much focused on auto as well. let's bring the data from germany. volkswagen has posted third quarter operating profit of 4.9 billion euro that is up 14% which the carmaker said lagged behind the target it confirmed the outlook it is issued earlier this we're. -- week. shares of mercedes-benz had ebit falling 7% the company now expects adjusted return on car sales to come in at the lower end of the forecast between 12% to 14% s they slashed the guidance today and mercedes-benz is

take a look at unicredit, you've got the stocks coming back. it feels all response.ck a little bit and we have some very strong numbers. the tax basically but we are off our lows. let's show you how the session has progressed. yields obviously a factor prayed we saw huge volatility in the bond market. so we come in first thing this morning it does not look too good. we get that open, we get a little bit of positive news, some of the industrial stocks doing well. nevertheless a more positive picture emerging. is it sustainable? let's talk about some single stocks. logitech having a very good day. that stock up. barclays's i mentioned that stock down quite hard today. net interest margin, bt group take a look at what's happening there. that stock up by 1.63%. we get really into the thick of the earnings picture and take a look at what's happening we are getting a whole range of numbers out. heineken is an interesting story on the consumer as well. there is an industrial side to that, a home furnishing side of that. we get deutsche bank earnings as well and we get lloyd

you are adviser to unicredit. have had lots of conversations over the last week with many people on the inside of imf policymakers and central governor governors. it is good to have the context here. i have to say personally as we look at 3% growth which is more resilient than the imf thought a couple of years ago. you talk about the conflict right now in the middle east. horrendous. you talk about the ukraine war and so many countries are sitting at high debt. there is not a lot of room for optimism. >> it is a very he downbeat note here. i think it should be more downbeat than it is in the initial sector. the elephant in the room is the bond market. that doesn't really fully appreciate the shock that the private sector is coming through now. it is 3% growth next year. that is not a lot. it is half of what it used to be. we are facing challenges. i'm worried. >> talk about the bond market specifically. you are a great student of financial markets. how scary is this in history? i remember the bank of america chart

t brushing off the credits from unicredit, xetra dax down.f course, we are very much focused on some of those industrials, the performance of the tech names also coming under selling pressure today. even though deutsche is up around 7%, it's not enough to compensate for losses in some of the others. and then the ftse 100 trading around flat. >>> switching over to sectors, this is where leadership is coming from this morning. miners seeing a bit of a bounce, up 0.3%. it explains some of the marginal outperformance of the ftse 100. health care also up. another day of red for real estate, down 1.9%, even though we have seen a rally back in fixed income, it's not enough to compensate for the losses we're seeing there. retail also down 1.6%. >>> now, let's get into some of the key earners i mentioned. deutsche, 6 pjts 6% higher. heineken posting better than expected results, 1.4. that's giving a boost to the food and beverage space. lloyds is down 3.1%. again, some of the themes coming through for these u kbanks, we have peaked lending and custome

the former chief executive of unicredit will replace him. >>> and softwareone is in a bidding war withcompanies trying to acquire the company last week and four parties interested. cnbc reached out to softwareone who has not comment on the s story. >>> one other company in focus is biontech. you can see the biontech stock is down 2.5%. under pressure after pfizer slashed sales guidance. pfizer cut the full-year revenue forecast on lower demand for covid related products. including the vaccine it jointly developed with biontech. biontech says it is evaluating the impact on of the write offs and any changes would be reflected in the results due next month. > f pfizer is looking to open down 3% this morning. >>> and this is notable news over the weekend. poland opposition party declared victory in the parliamentary election. the ruling law and justice party won the most seats, but not majority. the pro eu civil coalition led by donald tusk appears to have secured the majority potentially ending eight years of nationalist rule. significant developments in poland over the weekend. you can s

think about unicredit's results, how they want to buy banks in greece, gone out to investment grade.t are coming back from being high-yield rated back to investment grade. if you look at earnings, banks are doing pretty well. you might think it is an equity trade, no. equities have done pretty well. earnings going into next year will probably be weaker. you have a pretty good buffer of returns and profitability before you start worrying about solvency. that is also true for corporates. leverage is low. default rates are going to rise, but they are going to rise to 4% to 5% from 2%. not in a 10% default environment. they are not getting opportunities. tom: that will have to wait for another conversation, the tone of money out there. alberto gallo, thank you. within the hour, we get jobless claims. i said jobs report. i was chastised by a listener. claims is weekly. 8:30 is when a spectacular number, we will see what that is. katie, 4.5%, that is the whisper number. katie: it is higher in that is apparently scary. we've been talking about this awkward position that the fed is in. alber