yousef: absolutely.ho is being affected most by this drop right now, especially in these gcc countries? all of them are having to revise their budgets, aren't they? >> absolutely. it has been a key theme we have seen sense th since the oil prie collapsed. there is been a cutting back on expenditure. it has affected saudi arabia. they have been playing catch-up on subsidy reform, engaging in an unprecedented level of change. the impact has been material on the economic growth front. not to mention, the consumer sentiment front as well. that is visible on the stock market, we have seen saudi arabia underperform. yousef: what do you expect going forward? at the end of the day, it appears investors were quite inpatient with those reforms being executed. you mentioned the benchmark index has been underperforming. is there any hope that there could be a renewed sense of vigor, oradnd does this come back to the oil price? >> the fact that oil prices have been improving does affect it. now, things are quite a bi

yousef: as the u.s.conomy appears to be gaining strength, we are seeing quite a rally in emerging assets. do you see that rally continuing and where are the pockets of opportunity? >> i see the rally continuing because the search for yields is stronger. developed markets are at record highs. -- people areies going into more exotic areas. -- commodities are coming back. it can be -- it can take time, might be the right time to place a chip on the table. the countries -- among the countries doing well and have bright perspectives, india with its tax reforms passed by parliament that will streamline this incredibly complex tangle of local taxes. one or two points of gdp might come from these reforms. i think something is moving in india and it is time to have a closer look at that huge subcontinent. yousef: what about the turkey story? as we await the moody's decision, would you put money back into turkey? brazil? >> i would prefer turkey to brazil. brazil is still marred in this , theical scandal impeachme

yousef: thanks.ater in the program, we will get more on the challenges facing cap a pacific with greg waldren managing editor at flight global. we will get you more on saudi arabia. we will look at why china's largest bank is boosting lending in the kingdom. this is bloomberg. ♪ yousef: welcome back. it is 8:13 in dubai. haidi: a quick check of the latest business headlines. proposals tod 18 manage international bond sales. officers -- offers have come from jpmorgan and morgan stanley. billionans to sell $3 to $5 billion in international bonds. first to develop turkey's fighter jet has been delayed by the uk as it assesses the aftermath of the field coup -- failed coup. bae is competing with airbus for rights to develop the plan, which is targeted for completion by 2023. tech startups are facing a shortage of funds as the government spends less. scientist did not receive a $63 million round of additional funding to finish the year as it has in the past, which is 16% of the annual budget. israel's fin

reporter: hi, yousef. of investors.ling two months ago he announced he was not going to continue, not going to seek this, and there is some apprehension among investors about who would get the top job. but investors are very, very happy. yes, they got the best man they could have got under the circumstances. and hethe lieutenants, was involved in some of the biggest reforms we have seen and 51 years. yousef: would you say -- reporter: and also part of the mpa cycle. yousef: would you say he is more of a compromise candidate or compromise selection given that the government arguably does not jeopardize theor political base, while at the same time seeing the link to international investment they are insisting on stability here? compromiseot a candidate. he is the best candidate. investors are telling us he is the best for the job. wasdifference is that rajan very vocal about social issues, commenting -- he is as good as rajan as far as monetary policy and fiscal policy is concerned. he maintains a low profil

i am -- i am yousef gamal el-din .t a week it is looking set to be with the moves we are looking at. the big moves in oil and of course the news on a staff level agreement in egypt. all eyes will be on the egyptian assets across the board. let me show you what has been happening with egyptians docs -- stocks. agreement has been reached, but more important the stock exchange is extending a rally that has been going on for the most part of the month. you can see the line in purple, that is the egyptian stock exchange and you can see toward the right, the rally in the circle highlighted for you. against theed this 200 index, which is a good gauge of how the stocks in the gulf are performing. you can see the stock exchange and how much it has performed. gainse looking at 20% in this year and a good 12% of that course of one month. -- take a look at wall street. the s&p 500 went to lower on at a -- on friday. mean all, the dow finished the week under 40 points. and the nasdaq rose to a new all-time high. in this part of the

yousef: fascinating story.a's biggest holder of crude reserves, starting work to raise prices. you'll find out how that will affect oil markets. $42 a barrel. this is bloomberg. ♪ yousef: welcome back. you are watching bloomberg. rish: i'm rishaad salaam it in hong kong. as we take a look at what is been going on with you all market with brent trading above $44 per barrel, oil is also helping equities in this part of the world, seeing a broad-based markup taking place. we've got the nikkei 225 up about 2.3% at the moment. that is hoping that generally what is happening with the equity position. that's what we've got so far. yousef: iran has taken big steps towards bringing investors back into its oil and gas sector, but what is the next move? let's get more with the partner and head of mean energy. iran just keeps being a focus every day in the oil markets. reading intoyou the potential of additional supply coming into the market anytime soon? >> when we look at what drives it's coming from the supply side of t

yousef: i am yousef admitted in in to buy -- i am yousef in dubai. let's dig into some numbers.ur forecasts for revenues and arrivals by end of 2016? guest: if you look at the number's from last year we achieved 4.2 million in 2015. increasee significant in specific markets. in the first half of this year we have already seen 8% growth from india. 4% growth from saudi and 11% growth in china. that is on the back of 29% growth. you can see the trends are positive for us. growth we arethe theng to maintain that from 0.2% from last year so we can be on track to get our market we're after. >> how closely do you work and do you work with the airliner? guest: we work very closely with them. with that, when we put a strategy out, and going forward, we make sure we are in line with them, understanding the new market they will be venturing into, and understanding from the key source markets if there are local carriers we can attract to fly more passengers into dubai. emirates is a big help. what about abu dhabi? how closely do you work with it in attack -- attracting people to the whole

yousef: no pay, no work, and sometimes no food.t's the current situation for many blue-collar workers sprouted in -- stranded in saudi arabia. suffering as are big companies are feeling the .inch of lower oil prices is the worst still ahead? >> i think we are still going to see some of the headwinds unfolding. it's unfortunate what is happening, but the kingdom has seen so many foreign workers and especially construction workers coming into the country to help in its development. now the contractors are not being paid. there is a backlog, there is a delay and some projects have been postponed, so that is the problem created in saudi arabia and of course the labor market has to reflect that. yousef: as we look closer at the numbers that come across bloomberg, including the latest back -- batch of saudi interbank rates which are up 45% so far this year, is it another signal of stress and in this case the financial system? we understand that saudi arabia -- as a person who's been considerable time in the banking sector, what is your r

yousef: what about the united arab emirates? what to strategy there. >> the united arab emirates have several industries we are looking at. telecoms are very interesting at the moment. the retail sector looks interesting. we are undergoing financial consolidation so banks obviously we've seen other levels. we think that will continue to move forward. again a majority government owned bank is moving at 6% of the moment. that is particular attractive to us. so those are some of the names we're looking at the moment. yousef: thank you very much for joining us. some breaking news the terminals. second-quarter net coming in at 6.6 million. that was similar to one year ago. the gross revenue coming it $96 million versus 100 and $16 making a few comments from the chief executives specifically related to the that intends to resolve the contract issues that the been bogging down largest list of natural gas companies in this part of the world is another branch mark to faring inmpanies are a time of lower prices for much longer. we will of

yousef: thanks, david. let's pick up the conversation with the head of middle east research for credit suisse. let's dig into the latest comments from stanley fischer. fairly positive on the health of the economy and the possibility of a rate hike by the end of the year. i didn't get too much detail about the timeline. what did you read into his commentary? >> i think is interesting we are getting more hawkish comments out of him at this time. at a point we saw expectations of a rate hike decline. in-house, our view isn't that high conviction towards a rate hike. we think it's at best 50-50. overall, i think we can look in -- at this in a number of ways. there's been a history of the fed to test waters. just setting the idea in there so there isn't much of a surprise when events take place. yousef: i've pulled up this charge us to underscore how the market is position. david mentioned this. this shows you the probability of a rate hike by the end of the year. what i've highlighted are some key events. expec

yousef: the challenges they face.a merkel saying the european union needs to show that it can prosper without the u.k. they are trying to chart a way forward. symbolism,ped in meeting off of the italian coast. highlighting the benefits of european integration by the italian prime minister in the joint conference that you see pictures of their. there can be solutions to the problem. is long.of challenges they talked about economic turmoil. the migration crisis and the rise of populism. they leave for bratislava on september the 16th which is when the next meeting will be. we are also looking for any hints as to the impact of brexit. out from ata coming key u.s. house builder. what can we expect of their? they will be reporting a number -- numbers later today. talking about the first half of the year. we will be talking to this ceo of persimmon. like.re transactions the biggest drop since the 2008 great financial crisis. the summer is always tricky for house builders. are we being to london centric about this? some 40%

yousef: i'm yousef give the disease. -- i'm yousef. >> good to see you, angie and yusuf.alk about some of the earnings. we will focus on the mining sector. we will get numbers from glencore. the switzerland-based company has been in the midst of a big turnaround plan for dealing with the company upon's -- the company's woes. first to roll out a rescue strategy that included scrapping the dividends, disposing of assets, and slashing spending. they have been doing a lot, and they have been rewarded in terms of the share price reaction. they have made progress with his plan. we will be looking for commentary. will be to dividends possible next year, so we will see what they say about their overall debt levels and where the country goes from here, and put it in the context of the sector. rio has reported their earnings, and it has highlighted what a dire period it has been for some of these companies. other big earnings reports are you looking at? angie: -- only about mining, but advertising sector. the founder of this business has been complaining about the challenges that a

yousef: thank you.ng a heavy for your loss, all the details in sydney, how did the numbers bring up here? guest: not very well. lookedt of $1.23 billion ugly on the surface but it was good news on wednesday. it was a sour adventure for them, they offloaded those assets for $1.5 billion. once the jets have paid off that is 380 u.s. to the bottom line. it could have been worse than it looks. this is their first loss since 1993. the market responding very well to this because all of the bad news is out of the way. it is on a 3-5-year journey. it is stillresult going to be a $.33 dividend. how did they do? guest: let's take a look. this is a mineral producer. result.t a great a net loss of $28 million. currently off a little worse than 7%. the ceo was speaking on bloomberg a while ago. he has a cyclical approach. here is what he had to say. >> we are investing in traditional growth pathways where we are investing a lot in areas of technology and innovation, developing innovative alternative project developm

yousef: so where do they stand legally. was assured dhabi of its legal standing, but it seems there is some vagueness. so far, the abu dhabi executive executivehe. did -- council did not give guidance. it seems this is not settled yet. maybe they are changing regulations or doing something, but so far they have not given enough on how things will change or why they have arrested so many drivers, and on what charges. angie: has this hurt their funding in the region? , for all theually kind -- for all the controversies these companies have faced, we are able to see they are getting big funding from saudi arabia. $3.5 billion was pumped into uber from the government of saudi arabia. also, we know that saudi arabia and women cannot drive. and a lot of them are starting to work. as a result, the government is seeing this as a way to enable a lot of women to have more mobility. were able to get funding of around $60 million, and that's from one of the biggest companies. for all thet controversies these ridesharing companies have,

yousef: thank you. you can get more on that and the rest of the day's news in our digital destination tailor-made for the middle east. you will find in-depth reports and market data from the region and you can watch all our reports, interviews, and special content only avail -- available online. lots of great guests ahead. we speak to the head of img world of adventure, the world's largest indoor theme park opening tomorrow into by. next, the ceo of doha bank joins us live. stay tuned for plenty more. this is bloomberg. ♪ yousef: welcome back. you are watching bloomberg. angie: bad loans will be squarely in focus when two of china's largest banks report second-quarter results today. we are talking about icbc and bank of china. they may have seen their ratios rise. what are we expecting here? got two of the big five last week. .lso ag bank they saw an increase in the performing low ratio of 22%. it is widely believed to be higher than that. number fivem, the solve their npo ratios -- saw ratio hold stead

yousef? yousef: to our top story. speculation that a freeze in oil production will be agreed at the meeting in algiers next month. they said it will be good for the market. >> the surplus is about 800,000 barrels per day. it is going to decrease by next year. so it would have been better before but you know, it is never too late. so they will probably do it this time and it is going to be good for the market. i think it is, you know, all the conditions are such for an agreement. >> what is the thinking here to have past opec ministers and the president again raising the likelihood of a freeze? is sentiment changing here? >> they are saying that it would be more logical and easier for those producers to have a freeze. they are already pumping near record levels, pumping near their maximum. for them it would not be giving up any share of the market. that's what we're really talking about here. the entire opec strategy that started, was finally decided on in 2014 was to get back the market share and push more expensive p

. ♪ yousef: welcome back.by therate federal reserve could be back on the table after janet yellen says she considers the case has strengthened. the head of microstrategy's joins us now. simon, good to have you on the program. what do you make of the latest comments from janet yellen have they call you by surprise? -- janet yellen? have they caught to you by surprise? guest: i would say yes. she has been quite dovish on rates. especially in the last few weeks, her colleagues have been saying, look, it is time to start raising rates. i think one thing has become very clear in the last few days. the direction of rates over the next year or so will clearly be up. monthsere people a few ago wondering whether, because it was happening in the global economy because of grexit, might we see a cut in rates were rates staying low for a very long time. i think that is now off the table. markets have to get used to the fact that over the next 12 months, we may see 1, 2, 3 rate hikes. it is not just about september. it is a

yousef: we look forward to that.n stevens has used his final speech to warn of the limits of monetary policy. let's go to paul allen in sydney. who was the warning aimed at? -- glenncal leaders stevens warning that monetary policy is unable to dollar the growth we need and said he has serious reservations about relying on it across the world. in terms of australia, talked about budget repair, saying repairing the budget will be more difficult and more urgent. specific proposals do come up from time to time that would actually make a difference. yousef: it looks like we lost our connection to paul over there. .ishaad: thanks for that take a look at what's going on when it comes to the trading day with oil in london. brent just a tad below that u.s. $45 a barrel level. expecting a windfall after the sanctions were lifted and another bit of a blur here as well. the second biggest customer is india, losing market share possibly there. our energy editors right here with me now. it's the decision to shift away from iranian

yousef: you mentioned the imf.ector who is the saudi arabia and mission chief, he says he was very happy with the progress being made in terms of the fiscal adjustment. the question becomes -- when does fiscal adjustment become too much in a low oil price environment that you cut into economic growth and you put that in jeopardy? john: absolutely. in a low growth economy, if you taxes, indirect or direct, we know that there is a threshold. after that, you are going to be creating unnecessary obstacles for the private sector. remember, the private sector is being asked to contribute the bulk of these investments. if they come to quickly him a for instance if the tax, instead of 5% becomes 15 percent in one year, 2018, that will be a definite problem for the region, for the economy. remember, in times of low taxation often, is not the best recipe especially for the private sector. you are absolutely right. yousef: where is the opportunity here for anyone looking to put money to work in the kingdom? john: the opportun

yousef: rishaad: welcome to bloomberg markets middle east. with these gyrations comes to the oil price. people have been reevaluating where they see oil going. beat often you can't dependent on what is happened recently. yousef: we were just talking about what happened in the oil options market. the indicators were that the bear market did not have long to go. this really sets the tone for your day. you can see the top story here is all about oil. what i like about this is the nuggets of information that you get. stockpileasoline falling by the most since april. the other chart i want to show you shows u.s. crude production falling. this is the first time in four weeks that we have gotten this from the eia. ending the longest stretch we've seen since january. 8.4 6 million barrels a day. radicallye is changing a short amount of time. let's quickly have a look at what is going on this part of the world. treating now almost 20 minutes. the worst performance of equities since the aftermath of that brexit vote. we're talking about crude oil hangi

yousef: we will get into that in a second. of all, to ask you, what has been the biggest issue for derailing thef number of tourist arrivals? you have the geopolitical instability. what is the number one corporate that keeps you growing faster than currently? >> it is difficult to say one factor or another. what we have done is, for example with the ruble example, having a diversified market us access markets like china, which more than compensated for the drop in russia. having a plan makes it easy for us. having a strong relationship with the market makes it easy for us to activate others. phase: what does the next of dubai tourism look like? known for the landmarks, the biggest and greatest review need to shift your strategy a little bit. strategy is to identify the key propositions people are interested in when they travel. the landmarks are a big role putting dubai on the map. more.ere is lot heritage sites, cultural sites. things we might have taken for granted. the old souk. which mature travelers want to go and see. th

yousef: thank you very much. for this edition of bloomberg markets middle east. e anna: wti stabilize, falling to $40 over concerned the global supply glut will exist. to counter disinflation and the picture. japan's government is set to announce the details of a $273 billion stimulus package. the hong kong exchange canceled trading as a storm lashes the city with rain and wind. ♪

yousef: there is the broader regional context.ha as the remaining front in terms of holding the flag up high for the argued success or semi-success of the arab spring. closehe latest setback that chapter that the arab spring brought to reforms? >> not at all. at the end of the day, it is a democratic event that happen in tunisia. that was not possible before. becauseshow that just you change the political system, you will have a successful economy and solve the problems tanisha has and continues to have. unemployment, 35% of youth is unemployed in tunisia. that is a huge problem. yousef: always a pleasure to have you on the program. ?c+sv >> single of the weakness on the broader market. ♪ ♪ >> here are the top stories. uber is it to be merging its china business with a local rival. of the combined company would be $35 billion. we're also told the company is making a billion dollars investment in over at the evaluation. >> oil has made it little ground after its biggest monthly decline in the year. stockpiles are at the highest sea

yousef gamal el-din, thank you for joining us. speaking of the putin and was thet erdogan, this first meeting since the downing of that warplane by turkish forces. ouring us from moscow, editor very good to see you. how significant is this meeting between the two? >> this is really a big priority for both countries to demonstrate, that ties are back on track and they will fight concerns that they might be isolated by pressure from the last, so they really pulled out all the stops to show that they're getting back to being friends, being in a czarist palace outside of putin's hometown. they had a meeting, as well as a larger one of business groups. manus: this is greatly important to focus on donald trump, the world theater of politics. putin i'm not isolated, and turkey, i can do what i want. how quickly is his likely to happen? how real is this? greg: on the economic front, there is some skepticism on just how fast it will happen. most of the ties were broken after the downing of the russian warplane in november. and after an apo

manus: just in the middle of the break, yousef of the finnish bond, 2022.n terms of expiration, this is -.4. just beyondust, the ecb mandate. you draw flag in terms of risk for bond markets, finland and austria. vincent: effectively, it will make the job of the national central bank very difficult, in terms of selling the mission. they have to buy bonds, but as you know, right now, they cannot buy below -40 basis points, the deficit trade. and more bonds like this one are trading through that limit. and that meets the universe, slower by the day. and for a country like finland, our calculation suggests that in just a couple of months, the central bank might have reached the issue limit. ecbi think the central-bank is going to be under pressure to come up with some tweaks in the program, have to change the rules quite quickly. said: the imf this morning that the ecb as less room, less room, limited room for further rate cuts. i mean, the juxtaposition is this, dropping below the current? and the world is revenging back against negative rates, where do the tw

yousef gamal el-din joins us now with a chart of the hour.e been very interested in some of the movements. what have you got for us? >> last week, there was so much talk among oil analysts that the bear market didn't have any legs. it did make a bit of a recovery. the latest sets of data clouds that outlook. we've put this chart together that shows what happens with the baker hughes index. u.s. producers have been adding to their fleet. they've done that for the sixth straight week. it is the longest set of gains since august 28. u.s. producers are comfortable bringing those rigs tackle online in the current price environment. it is a little tricky. it comes just off the back of u.s. oil production decreasing for the first time in four weeks. the other signal apart from this chart that i want to share with you is data from the cftc which shows that hedge funds are going all in in terms of their short positions. we are talking the most since data collection began on that front, going back to 2006. definitely a lot of doubt as to how much of a

yousef is standing by for us. jampacked show.en rising off the back of this rally we are seeing in oil prices. in the case of saudi arabia, changing legislation where they are trying to entice more .oreign capital to be deployed what that means for a possible inclusion and we will also be joined by the ceo of the dubai corporation for tourism and commerce. he will lay out the strategy for us in terms of becoming the most visited hotspot in the world for global travelers. how is the organization going to achieve that? always a global conversation from the u.s. all the way to japan. yvonne: thank you so much. stocks with a little bit of yousef: ulf markets enjoy a positive start to the week led by dubai and qatar. >> talks will be revived when opec meets next month. -- rishaadrain

joined by yousef with the chart of the hour.e in the commodities complex on the back of a strengthening u.s. dollar. $47 a barrel. what is happening with the upcoming talks in algiers among we havebers and as discussed, we are getting additional feedback about where we are. we have comments from the iranian oil minister saying they would not agree to a freeze unless they reached pre-sanction production levels. let us look at what that might shape out to be with this chart right here. you what is happening with the iranian oil production at 3.5 5 million barrels per day last month. that is your line in yellow. that spike is a 26.8% spike so far this year. we got comments from other members as well. including the ceo. he says if this is the rhetoric coming from iran, it dims the prospect of any agreement. we also got comments from theysts at barclays and said iran is the key in this puzzle. i has been sending mixed signals. the reality is that the market will discount the outcome of the freeze talks. because of compliance issues,

thank you very much, yousef.ve bank of australia has cut interest rates to a record low, reducing the cash rate to 1.5%. the move solve it aussie dollar drop. manus: let's get to sydney for our bureau chief. ed, the decision was expected but it was a close call. what do you think tipped them over the edge in terms of the decision? ed: good afternoon, yes. what tipped them over the edge -- inflation. past growth slowed to a 17 year low last quarter reflecting stagnant wage gains. the rba is hoping its 25 basis points cut today will result in more sustainable economic growth in australia and see inflation move into the target of 2% to 3%. the central-bank interest rate move is just a blunt instrument and the only lever at its disposal. it was hoping to get a little help from the australian dollar which has remained high. fromgained 10% roughly january. with negative interest rates, or zero interest rates in other major economies around the world, even 1.5% interest rate is attractive to overseas investors. anna: th

yousef gamal el-din joins us now. you are giving your toe in doha.ingust in away from all of the oil discussions we have in having the last few days. yes, there is a play outside the oil world. ,his involves the exchange the rally has outperformed the msci emerging-market index them of over 5% so far this month. take a look at what is happening on this chart. i have handcrafted this, color-coded very clearly to show the amount of foreign investor interest that has been gaining momentum here. remember, that momentum that is coming is 2016. right? those net inflows into the exchange, that has quadrupled since the beginning of the year. and what investors are doing here, they are betting on the passive inflow as a result of the imminent upgrade by the ftse russell to emerging markets status. of course, the final list of stocks is to be announced later today. and as much as there is a lot of excitement here, anna, i have also highlighted the yellow line here. that is your price to earnings ratio. you can see how that goes up all the way to 13 times now,

el-dinl -- yousef gamal joining us.sision has been made in -- and rbis -- has appointed patcher to the committee. no new government -- governor announced just yet. one of the first names to go on the monetary policy committee, -- a to be the r.b.i. little more news on india. a few lines come through. all of that is from invesco asset management. no change in the rate, 6.5%. inflation is run -- is running at its fastest. foreign investment in the blue line. rally.s sparked this he had this brexit vote. people buying india, that buyers and stocks, the longest streak since 2014 in terms of the debt holdings. this is a market that is on fire . how on fire is it for you? >> we have long been invested in india. we have a domestic investment manager in dubai -- in by -- in mumbai. india is quite important to us. what i would say is there has been a lot of good stuff as you say, the recommitment to fiscal consolidation of the federal level. it will help integrate the indian states as far as trade. manus: that seems to be one of

yousef gallo has more from dubai. give us a sense of the story. yousef: let me break it down. several variables are feeding into this equation. that four-day streak, 12% in gains now, brent trading within 15 sense of $49 per barrel. weekly u.s. gasoline stockpiles expanded. we haven't seen seasonal levels like this in two decades. wti, we ares for 11% above the 100 day moving average. we are looking forward to numbers from the eia to give us a better sense of u.s. inventory. a bloomberg survey is suggesting that there is going to be an increase of 950,000 barrels per week, and we also have more comments from the likes of sex bank and citigroup about the upcoming informal meeting in algiers, and they don't think that anything is going to come of it in terms of an actual production freeze. guy: thank you very much. yousef gamal el-din. ben, do you get any sense from the oil market? any hints that we will see upward prices? even then, the inflationary impact a few years down the road won't be that great. >> i think that's right. i think the shift won't make much difference to inf

anna: yousef, thank you. the update on the oil market. yousef gamal el-din joining us.t is turning out to be a disguise for some european bond markets that were expected to be a big cap. thee it initially jumped in june 23 oh, it soon reversed with those on spanish bonds falling to records in august. in italy, bonds rallied even as the country faces a banking crisis and a divisive referendum of its own in october. let us bring jane foley back into the conversation. to the extent to which you can lay the blame or attribute the lower yield to brexit of course, maybe a topic of conversation, but broadly speaking investors do not seem to mind the wrist if the ecb is there with a backstop. once again back to central bank. jane: you see more quantitative easing of course in the bank of england, and the speculation and the ecb may up the ante quantitative easing. that is the answer, the pressing matter. we have seen this for quite a long time, and effect we can turn this back if you like to janet yellen, and i would say that the downward pressure on the u.s. yield curve is peo

yousef: saudi arabia takes more action to unwind treasury holdings. >>

yousef gamal el-din joining us from dubai.he ceo of the italian oil firm eni hopes the informal opec meeting in out area will lead to an oil production freeze. claudio told bloomberg why he things a middle ground will be reached by the end of 2016. >> we are going through a possible stabilization of the imbalance. equilibrium of the imbalance between demand and supply. it is clear that we have still a huge -- [indiscernible] i hope really that they can find a decision to have a stabilization in production. anna: let's talk more about oil and commodities. geoffrey yu still with us in the studio. any chance of what is happening to oil prices over the last few weeks, risks under playing the amount of volatility we've seen in the very short term? we went from a bull to a bear market in less than three weeks in oil prices. on a longer-term chart, that doesn't necessarily show up as such a big event, but that is quite phenomenal. geoffrey: i think the news from iraq shows how oil is sensitive to even the smallest changes in supply d

yousef: absolutely, anna.atest comments come from simon greenfield, as you said and this is interesting because phibro, is a very long-standing track record, used to be one of the largest standing firms of its kind, used to be one of the largest u.s. refiners a one point. simon bought in a very interesting time, and that is what listen to him when he says things about oil. this shows you that simon, when he steps in to guy cipro, he stepped in white when oil prices were bottoming out. we highlight brent, 30 in january. he buys the firm, and then look at that rally. 50% rally after buying cipro. now keep in mind, his comments include, well, listen. opec production cuts not going to happen, or unlikely to have in your he thinks that the fundamentals remain bearish. overall, he would rather sell and rallies than by on this. and he sees the glut persisting through 2017, but let us see whether his calls this time around. we know his previous performance is not an indicator of how things will pan necessarily out in

middle eastrkets's anchor yousef gamal el-din been is in.sef: exactly 24 hours ago, anna, we were talking about what the option market was signaling to us. at least a little bit starting to do that. here is what happened with those numbers we got out of the u.s. we put this on a chart for you. you can put up on the bloomberg. you are looking at the u.s. crude production figures, which have dropped for the first time ending theks, longest stretch of games since january. what we have done is added that line in yellow for you, for context. the line in blue is the nymex price. we circled that last bit, the latest developer from that report. but what is also interesting is the the barrels per day in the weeks of july, but also as a result of that, we are seeing a shift in the u.s. crude imports, which of now topped for the first time since january 2014. high levels as well, as a lot of crude reaches the ports in the u.s. so a fascinating set of data, really putting the crude market on its head, for now. anna: yousef gamal el-din, thank you. r it

some say she's innocent but others say she's responsible for her death. 15-month-old semia yousef never got a chance. a mother, 26-year-old asia bartey has been charged with manslaughter. neighbors say they believe she's innocent. >> as far as i know, she's a good moth here. she never let them go astray. >> reporter: when police found her, she had been dead for hours and her body was so unusually cold that it was so cold it is a freezer. >> i've never known my sister to hurt any of her kids. she loves them dearly, rain, sleet or snow. >> reporter: neighbors are now contributing to a growing memorial for the baby girl found dead outside of the apartment. the mayor says this tragedy defies explanation. >> the loss of a toddler 15 months old is heinous and mt. vernon is heartbroken. our deepest condolences to the charged with first-degree manslaughter. she has two other children in the custody of family services. >> michael, thank you. >>> four tense hours in newark as a man was holding five hostages. he was ultimately taken into custody just before 7:00 this morning but around 3:00, polic

we have yousef, raya, vitaly. including dennis. >> i have no idea what to expect. i'm literally letting youtube blindfold me and take me and i'm giving them the trust blanket. i don't know. that's crazy. >> this is all part of a series called fight of the living dead. >> the rules of the experiment are simple. >> the first episode is now out and there's a challenge in each episode. in the first one, these guys have to get out, escape from their holding cage, and get to a safe area. to tell us more about it, we have dennis in studio. >> i guess he got out. >> wait a minute, almost like you made it out alive. >> dude it was an incredible we all made it out alive. but in the show, not the case. >> okay. >> people get taken out. you get out when a zombie -- when you get nabbed by a zombie. >> yeah. >> there's a mission and objective to escape the hospital and the idea is how many people can escape. >> are you working as a team or working individually. can you betray other people? >> i guess, you know, if there's a zombie coming you can trip her and run. >> oh! >> oh! >

yousef, joining us from to buy. still with us is andrew perry from hermes investment management.s much a dollar are we cap debt $50? >> i think it feels that way. economic activity isn't strong to list off -- to lift us above that level -- we have to draw from the system to tighten the market, and we still have the conflictopec internal i want us to keep that supply and not allow flexes -- allow prices to run too fast. showsk with the oil price is how much this year's trend in the equity market or commodities market has really been driven by the reserves of everything that was bad last year that has been doing this year. i think that was because of the pessimism back in january with that reversal in fortune, now going to another level in the summer months. i think it will require some sort of positive economic sentiment. andrew, you see oil range bounties, the correlation of continual breakdown. >> i think the stock market was beginning to feel it run into stand. this summer is always a dangerous time to extrapolate trends. we have had a good summer with the post brexit world bei

we have yousef, raya, vitaly. including dennis. >> i have no idea what to expect. i'm literally letting youtube blindfold me and take me and i'm giving them the trust blanket. i don't know. that's crazy. >> this is all part of a series called fight of the living dead. >> the rules of the experiment are simple. survive three days and win freedom. >> the first episode is now out and there's a challenge in each episode. in the first one, these guys have to get out, escape from their holding cage, and get to a safe area. to tell us more about it, we have dennis in studio. >> i guess he got out. >> wait a minute, almost like you made it out alive. >> dude it was an incredible experience. >> okay. >> people get taken out. you get out when a zombie -- when you get nabbed by a zombie. >> yeah. >> there's a mission and objective to escape the hospital and the idea is how many people can escape. >> are you working as a team or working individually. can you betray other people? >> i guess, you know, if there's a zombie coming you can trip her and run. >> oh! >> oh! >> always

who better to explain then yousef? reprieve ining the the crude momentum.e markets, several variables feeding into this equation. we put out this chart for you. there. the line and white is wti. gasoline stocks expanded. --y are at their highs it highest seasonal level in two decades. total volumes are 11% above the 100-day moving average. additional data from the eia. you had commentary when it comes to the informal opec meeting slated for next month. we've got notes from citigroup and sacks a bank -- sacks bank -- it is in the word of citigroup to expect any consensus on a freeze. hold on a second. this other charge with the magic of one button, i'm going to flip across to this emerging markets rally. rsi.ll off the relative strength index. what we see it is across the key 70 level. this has been overbought. if history is any judge, well, usually quite a selloff follows after that. has the emerging rally market gun too far, too fast? impact a lot in there with technical dexterity as well. redeker back in the conversation. yousef as set this up nicely for

. ♪ yousef♪ guy: welcome back. you are watching "on the move."utes into the trading session. .4%.toxx 600 is up lagging a little bit. a few stop that gone ex dividend today. 74,ll trading at 68 the ftse 100. >> shares are up .1%. they said they would start a formative million dollars -- would start a 400 million euro buyback program. reports range in the italian newspaper that they may return to purchase the premium television unit. there was an agreement between the two, but then they pulled out. they may come back in for shares rising 2.1%. pearson, the educational publisher, shares down 2.5%. dividend,e gone ex along with a number of other put the 100 companies. guy: thank you very much indeed. let's take a look at exactly what is happening with the u.k. story in more detail. we get july retail sales figure at 9:30, and that covers the period following the brexit vote. kingfisher reported sales that the estimations. there has not been any clear evidence of an impact on demand thus far. kingfisher is trading at mildly this morning. let's talk a

yousef can explain all of that.ef: anna, what it means some countries go the extra mile blue skies but it has implication on the demand side of the oil market equation. china is preparing for the g-20 summit in early september. companies to255 curb activity to make sure the skies are going to be blue that day. we put this up on a chart for you. get some perspective. what you are looking at is chinese coal and oil imports. we have highlighted precendent. in 2008 at the olympics, china moving on coal mines and that caused the supply shortage of fuel. iron slumping on the back of a decision to suspend production of steel mills. this latest development, as simple as posting it on the website of the environmental protection bureau. this could cut petroleum demands by some 250,000 barrels a day in the third quarter. remarkable how going the extra mile can really disrupt the market. anna: we could see reduced amounts for oil as a result of china's attempts to clean up its skies as it welcomes the g-20. yousef, thank you ve