tv Street Signs CNBC August 9, 2016 4:00am-5:01am EDT
good morning, everybody. and welcome, you're now watching "street signs." i'm louisa bojesen. let's get you the headlines. european stocks trying early. sterling falling to a one-month low against the dollar. post-brexit puching to the bottom of the stock 600. telling cnbc it's too soon to tell how brexit will play out. >> it's uncertain how it's going to end or how it's going to go forward. we're in all of those markets so
for our company, wherever people decide to go, we can help them get there, but we haven't seen movement thus far. tell co-ringing to the stock 600. opt m optimistic tone on the outlook. donald trump lays out economic plan vowing to lower trade deals and lower taxes. promises no american will pay more than 15%. >> these reforms will offer the biggest tax revolution since the reagan tax reform which unleashed years of economic growth and job creation. >> hi, everybody. and welcome. good morning. it's tuesday. i had to think twice about this. european markets being called slightly higher and this morning we're just seeing some buying into our european markets, but
not by much. we're also in the middle of the august widely anticipated light volumes. a lot of your sitting on your yachts or sailboats at this time. just seeing a little bit of a delicate buying as we like to say. glancing at the european markets. same out there. similar story we were looking at yesterday. majority of markets higher. some in the region of half a percentage. the sectors and some of the standouts, what we're seeing oil and gas performing the best. i'm not sure if i can call it standout. it's higher by half a percent. from the downside you have basic resources off half a%. you would have noted we saw a big rally yesterday in brent. softer trade taking place this morning, but there's a speculation that opec could try
to curtail outlook. and that rally initially on imex and brent. sterling just to talk about another mover we had out there. cable currently shy of 1.30. pound falling to one month lows on speculation we could be looking at more bank of england easing. an opinion piece for the times predicting that more easing may be necessary and that sent the pound lower. altice reported a lift in second quarter earnings. this despite a low down in french where they continued to lose subscribers amid aggressive competition. sfr improving in the second half. this despite a second quarter
loss. the french tell comes operator has come under pressure from tough competition and price promotions. let's mention standard life. their first operating have beat by 18%. the financial certifies company warns of high uncertainty ahead. the ceo saying he recently reviewed the property fund, but remained suspended for now. regus saying it's on track. warning of slower revenue growth. mark dickson told sneak just a while earlier it's too soon to know how brexit will play out. >> it's a wait and see period. generally, europe is uncertain over how it's going to end or how it's going to go forward. we're in all of those markets, so for our company, wherever people decide to go, we can help
them get there, but we haven't seen any movement thus far. >> now, munich hre. performance at the german insure was boosted on investments helping to offset larger payoffings due to natural disasters. legal and general has been impacted by referendum uncertainty which has led to w fewer transactions in the property market. reporting a rise in profit for the first half of the year. net cash generation also up by 16%. so quite a bit going on on the earnings in the news front in morning. however, let's talk about another story that we were watching out for today. maya is an multi-asset fund manager. she joins us to talk about the rate decision in india.
before that, good morning. let's just talk about the general market and what your impression is of the type of flows we're seeing. a lot rely heading into emerging markets. >> we're in a world of easy monetary global policy and that world extends f you like, the search for yield, emerging market equities in some ways, i guess they're cheaply valued in many countries some of them have good and rising cash flows. so good earnings, which are supported of course in that environment and, but you know, there is reason in our view to be selective so on equities overall, we're very much neutral, but within emerging markets there are some we like. india is one of the markets we like. it has the earnings that we're looking for so we're expecting
earnings from india this year, but also has the, you know, the sort of structural reform and policy stability so you've got all three bit is if you like lining up. emerging markets are benefitting. there is reason to be selective we think here. >> just say to viewers. get involved if you have any questions or comments on markets you can write in. and we'll be talking about that if five, six minutes time. you have time to get the e-mails in. you can find me on twitter. i promise i'll pass on your comments and questions to our guest. the earnings season, corporate earning so far. i've had a hard time sifting through to see what's the feel. usually it feels like it's easier, especially when it comes to transparency and some of the outlooks the ceos are giving, but it feels a bit muddled at
the moment. >> it does. in the u.s. we're much further through those earning cycles. it's been interesting because we've seen beats on a lot of the results, both in terms of earnings and in terms of the sales, but this is set against a backdrop of still falling earnings, so we're a little built better relative to where we thought we were, but earnings are still falling. >> when you look at the data at the moment, are you taking clues from the data, are you taking queue from what the varls central banks are doing. where are we supposed to be searching for guidance, direction. >> i think so we see direction from both, the top dow. the macro backdrop. the inflation backdrop, but we also take guidance from the bottom up. and what the earnings outlook is. now, on equities overall at columbia thread needle, we went
down to knew tram about a month ago and that was driven by the fact that, you know, at least when it comes to the earning side of things, there does appear to be a little less clarity. in other words, global equities have just had a five-year period of risiing returns, but if you look at what has driven the u returns, the entirety has been valuation. >> what is the buy at the moment then. >> what's a buy at the moment? thank you for asking me that because i was just going to come to that. so the one market that we like at the moment is japan. on that earnings, japan stands out from other markets if you look at the last 12, 24, 36 months. een supported so the market has cheapened rather than richened like other markets have. india is another one, but also
within our emerging market portfolio. that is our biggest. >> look closer perhaps at japan. look closer at india. do your own homework. we'll talk more to maya in just a couple of moments about precisely the indian market in particular. the e-mail firstname.lastname@example.org. you can find us on twitter if you want your comments or questions aired. if not, that's fine too. just say don't mention this and the twitter handle is @louisa bojesen. coming up on the show, the rbi keeps rates on hold. we'll be looking more at the indian central bank decision right after this. it's me,rty come see what i coected fr the cative galaxy in my . uld you help me make art? ♪ kps us young
hi, everybody. welcome back. you are watching "street signs." i'm louisa bojesen. india has offered to keep rates unchanged on the final review of governor of the rbi. that rate was held steady, 6 .5% with inflation nearing a two-year high. remained accommodative. joins us from new delhi. good morning. >> good morning. along expected lines, the monetary policy status go as far as the policy rates are concerned, that was pretty much expected by the street. this was the most watched policy because it is the last credit policy as rbi governor. his term ends on the fourth of september. the governor has pointed out challenges that the successor will need to deal with. one is inflation. the bank had arrived at a
inflation target all the way to 2021. his successor will need to keep it there. we're already pushing close to five%. he believes the upward risk fr inpolice station flation are pu on the rate and possibly 2017 is a mark that will be in trouble. the goev also continued to talk about the process of dealing with the nonperforming assets within the indian banking system. this has been a key cause of concern. he believes there is more comfort on how to address the problem. he believes banks have now a lot more soft footed in their approach to dealing with the situation, but of course a lot of work needs to be done. he has another 28 days in office so he has promised there is expected to be more action. we are anticipating perhaps some announcements on the corporate bond markets. we are watching out fr that. we have seen stability come back
into the roop. we see the inflation trajectory head downward. and he has also been responsible fr putting together the framework and the guidelines on tap licenses, in fact those guidelines were announced just a short while ago. along with government, he has worked on making sure the current account deficit is under check and the chi, the governor and the reserve bank now retaining the goet forecast. the retained at 7.6%. legacy, he leaves behind a stable roop my and twin deficits under control as well. >> thank you so much. joining us live from new delhi. laying out some of the main things that took place today with the rbi rate unchanged. do you think they did the right thing. >> yes, we do. we've seen how they responded.
stock market 50 points weaker. i mean, i take this to be evidence of well and good policy really because while it is true that, you know, things like the monsoon has been quite good and that may put downward pressure on food prices and allow the central bank to meet the inflation target next april, there are risks that it won't. we've also had the commission. we've had emergency prices are lower at the moment, but if they pick up, it's quite noticeable. the core inflation has been sticky through this already. and, of course, the indian economy is recovering so if the output gap closes or continues to narrow, you'd expect some demand full inflation to come back. i think this is evidence of well anchored policy. he was dubbish in his statement. he's got some dry and left the door open to further easing, but not jump the gun and cut rates
today. >> and the governor stepping down on the 4th of september after his term comes to an end. he also managed to put a monetary policy panel in place. how significant is that? so in other words, it's not just the governor deciding on rates, but it's the panel. >> it's one of the aspects that been positive. the other has been the formization of inflation targeting framework. so i mean, i think he leads the central bank in good condition. he leaves the policy framework strengthened, but all eyes are on who the next governor is going to be and we don't really know who that is yet. >> and the inflation target, 2-6% over the next five years. >> is it realistic. >> we're almost at the upper end of that of%.
>> sorry i got my central banks mixed up. >> there is another central bank i was also thinking of brazil who used to have a similar hand. inflation isle quite close to the upper end of that band. that's why it was a sensible decision today to just stand. now, i think if indeed the incoming governor follows the same approach and, you know, i wouldn't expect inflation to meaningfully overshoot. another thing that is discussed is the reform of tax system in india. may put some output pressure. short term output pressure on prices. it is too early to tell what that effect would be. >> i have to ask you about poor crisis. their sky high, no? it's something i've seen a lot
of research i've reading is there a massive increase is some of the meat pricing. is this one off or i don't know if you've been looking at this particularly. >> it's not something i have a strong view, but that's been an issue in china. china is a much bigger source of demand fr pork than india is that's part of the reason again why we saw a a little bit more inflation. >> i do apologize. i'm thinking of the chinese inflation. >> yes. >> thank you very much, maya fr being with us. >> multi-asset fund manager at columbia thread needle. >> sometimes i'm listening to things in my ear so i hear voices in my head while i'm talking to all of you kwies. thank you. the tushirkish president meeting vladimir putinen. both have suffered economically
as a result of the fallout. the visit has concerned some western allies of turkey giving that russia is not a member of nato. venezuela oil minister says a meeting between opec and non-opec members is likely to take place. pushing fr a forum to negotiate a deal on oil prices. this follows opec's confirmation it will meet on the sidelines. from the 26th to the 28th of september. glancing at commodities and you've got a little bit of a selling taking place in crude, but, again, on the back of what was a massive rally, we saw a big old rally that took place, there's speculation opec could try to curtail output. seeing that there. rand stad is agreeing to buy
monst monster. the dutch recruiter said they're financing the acquisition using existing credit lines and estimate the merger will be immediately fr earnings. completion of the deal is expected by end of the year. now world pay is expected to pay first dividend. the payment processer benefitted across business areas as well as leaner costs. said although britain's brexit vote increased uncertainty it would not have a, quote, material affect on the company's trading performance. pandora shares have been slumping after second quarter earnings. missing estimates on the top and bottom line. pandora has stuck to full year guidance and ramped up expansion plan saying it will open concept stores this year. galencia reported a drop. more than 21% rise in profit.
glensia warning the full year warnings due to acquisition. senior portfolio manager at gam. good to have you with us. let's talk about glancia first of all. a 21% rise in net profits. just bring us up to speed with what stood out in the earnings fr you. >> well, i think overall the results fr the first half of 2016 were excellent and in line with expectations. the company had hosted a conference call with the acquisition that announced so there wasn't too much open fr a surprise, but the results were excellent. i want to note the stellar and it looks like they have a very
good positive momentum in their core iron franchise there so i think forme the results were a great set of results and the share price is down a bit, but i think it's just more that it came in line with expectations overall. >> what do you make of the purchase and the attempt to do this. they're paying or they would be paying around $1.5 billion. a premium on the recent close before the announcement. are they paying too much? >> no. i don't think so at all. you can put that relative to the purchase of astro zen ka. they're price of 1.5 billion is much more attractive fr an equally if not better product that's already been approved and being sold.
i think putting that into perspective, they got a very good deal. and 60% premium in this environment on share prices that have come down significantly is not a lot and i think fr glen ka was a smart move. they've been looking to enter the u.s. with a direct sales force. now that get that and that get a product they can sell immediately within the most important market in pharmaceuticals, that's the u.s. >> i look at health care acquisitions in the uk and they're up something like 21% this year. total mna dropping in britain, dropping 16% worldwide according to some bloomberg data. what pushing the deals in the uk do you think? is it dwoun to the weaker pound at the moment? do you anticipate more of this given brexit? >> definitely i think that is the key driver behind.
i mean, i think the uk is perhaps because of the particularly attractive, but in general even though the numbers like like mna has come down drastically in other places we are seeing ongoing activity going on at a steady pace and we're thinking it's going to speed up into the second half of the year in other markets as well. and that's going to be a clear fundamental driver fr the sector so not just the uk. i think that's just a bit the current situation with the pound that's driving that a bit more. >> thank you very much fr being with us. senior portfolio manager from gam. or being with us. senior portfolio manager from gam. now australia clenched the first ever gold medal over new zealand. the gold medallist rallied early and held on for the title.
canada took the bronze earlier in the day with a 33-10 victory over britain. some controversy though on the pool deck after taking gold in the 100 meter broes stoke. u.s. lily king. should not have been allowed to compete due to rather past doping violations. the 19-year-old american proved she can compete clean and still come out on top. meanwhi meanwhile, still on swimming, the chinese swimmer despite a doping accusation of his own. called him a cheat referring and referencing the 2014 suspension for banned stimulants. >> let's take a look at the medal tally where team usa continued to extend the lead boosted by swimmers like lily
hi, everybody. welcome back. you're still watching "street signs." i'm louisa bojesen. these are your headlines. european r stocks trying to make a gain. sterling falling to one-month low against the dollar. post-brexit property pain pushing right knee jus and legal general po the bottom of the stock 600. telling cnbc it's too soon to tell how brexit will play out. >> it's uncertain how it's going to end or go forward. we're in all of those markets so
for our company, wherever people decide to go, we can help them get there, but we haven't seen any movement thus far. >> but tell co-is ringing the stop of the stock 600. donald trump lays out his economic plan vowing to negotiate trade deals and lower taxes promises no american business will pay more than 15%. these reforms will offer the biggest tax revolution since the reagan tax reform, which unleashed years of continued economic growth and job creation. >> hi, everybody. welcome back. you are still watching "street signs." just got a little bit after data that's hitting our wires at the moment. you've got so manufacturing outputs here in the uk.
june manufacturing output. we're looking at the may manufacturing figure being revised to 0 .6% on the month. looking at the june industrial production as well just above the flat line. plus 1.6% on the year. couple of other revisions. to may the reduction being revised to minus. we're still seeing sterling right around 1.29. this comes after relatively big moves. dropping with more speculation that we could be looking at more bank of england stimulus. we heard that after one of the members writing an opinion piece for the times about how more easing might be necessary. more easing money might be necessary. that's what we're looking at in
terms of the data hitting the wires. china sticking to the data. rising 1.8% in july. inline with expectations. ppi does down for the month. falling at the slowest pace in two years. cherry king is in hong kong giving us more on this front. >> good morning. both cpi and pp i we got out of this morning. sort of inline with the data i was talking about yesterday, july imports falling more than 12%. remember, just pointing -- giving us another sign pointing to persistently weak demand come project manager the chinese economy. now let's start off with a cpi number. moderating for a third month in a row in july. climbing 1.8% in line with market expectations, but still well below the official target of 3% for this year. we're finding a little bit of comfort with the producer price ind
index. saw 1.7% on air drop. it was a smaller decline than what economists were expecting and this certainly compares with the 2.6% drop we saw the month before in the month of june so this index has stayed in deflationary territory for more than four years and when we're getting the slowest decline in two years, maybe the market -- maybe this is going to be a driver to build expectations that the overcapacity issue in chinese economy may be wheeeasio some agree. this strength in producer price index is certainly standing out here so, yes, this is low inflation. could mean that beijing still has some room to loosen it's monetary policy, but no market pulse is not exactly betting on that. do note that china central bank has not moved since october
2015. louisa, back to you. >> thank you, good to see. . you will joins us in the studio. from asee value investors. >> the chinese data, kicking off with that. cpi data in line with expectations. ppi falling 1.7%. is that a bit of a relief figure at the moment. >> i think the ppi figure is a following of an improving trend. we can see if we go back to the back end of last year, p pi was fairly negative in china. that's a real head wind for companies if they're factory gate prices are declining. it makes it difficult for them to, you know, put many more capex to continue fighting wage inflation et cetera. so this is some form of relief. on a month-to-month basis you can see it's gaudily improving. >> what do you make of the chinese reforms at the moment
and what the data is doing to the reforms. is the data under mimining the reforms. >> there's a lot of talk about reform in china. we need to see proof of this actually coming through. it needs to come through with excess capacity in some of the oversupply industries. mining, steel, iron ore, et cetera. you've seen a recovery in prices. largely the significant credit easing they pushed through at the start of this year to combat what we saw as a touch of deflation at the back end of 2015. >> so the uptick that we've seen recently or prices stabilizing. we shouldn't be looking at this in terms of a long-term trend. >> you can look at this in various ways. the one thing i would point out
is that you have seen a very significant increase in property prices china. you've seen an acceleration in credit growth. you've seen an increased in fix asset as well. some people would tell you this is the old growth model which china has thrived on. there's a big question mark whether they can rebalance to a more consumption led growth model. the cpi perhaps give you a little bit of comfort that might be happening. within cpi you can see that consumer price inflation was actually picking up a little bit. not necessarily when it came to food prices, but also within services and that is a positive. >> you mentioned food prices. so given that i do have ten million voices in my head, let's talk about pork and the increase in pork prices. what's going on? why is it that we've seen this massive increase in imports. >> so the pork price in china can be very volatile.
obviously as everyone knows, pork is a very important compliment to the chinese meals. they are the largest consumer in the world. imports at the entd of june have gone up 200% year on year. this month it contracted slightly. it was only up 16% this year which suggested that they are managing to import enough to keep up with d demand. now bear in mind the very insignificant rains in the south of china. seven o the roojs which have been most affected account for about 30% of domestic pork production and there are other effects there. you can look at vegetable prices and they've spiked this month. within the cpi basket within china, there are component parts which are much more volatile than you would normally see if a
developed market. >> i'm interested in this because this is the backbone of spending. the backbone of the data as well. given it's the consumer and what the consumer feels. and it does seem as well as many have pointed out you have this kind of two prong divide going on where consumer prices are heading higher. food prices at the same time areal moving lower. >> yes, that is right. when you do look at food prices you need to bear in mind there are quite a few factors of work. you can look at noodle prices. that's been on a gradual down trend for a long time. there are different prempbtss and consumption. people can choose what they wish to consume. in the end that's why you look at the overall balanced figure of fairly moderate inflation. >> sure. david writes in and says any markets in asia you like? >> when we look at asia right now.
we're cognisant of the fact china is in a position where it's injecting a fair amount of capital. there's still reasonable credit growth. monetary policy and developed markets are still very loose and we can see some of the asian countries benefit from that. indonesia is a very good example of that. they've been able to lower rates. you see a tax amnesty come through. you've see gentlemn them push t more policies. his political standing has improved dramatically. you can see the domestic environment benefitting. >> do you own homework as usually. thanks for being with us. head of emerging markets at aviva investors. >> keep your tweets coming through as well. and your e-mail questions. always happy to take them.
trade reforms tax breaks, less red tape. those were the ploromises from donald trump last night saw the presidential nominee slip behind the rooift in the polls. labeled hillary clinton as a tired voice of the past. >> under my plan, no american company will pay more than 15% of their business income in taxes. i am going to cut regulations massively. massively. >> speaking though at a rally in st. petersburg florida. clinton dismissed the plan warning it would only serve to benefit the rich. >> he wants to basically just repackage, trickle down economics.
now, you know that old saying fool me once, shame on you. fool me twice, shame on me. trickle down economics does not help our economy grow. it does not help the vast majority of americans, but it does really well for people already at the top. >> nbc's tracie potts is in washington and joins us. hi, tracie, clinton saying trump's plan is only going to help the rich. laying out the economic plan on his own. >> reporter: it's interesting because what he's trying to do is get his plan in line with what washington republicans were already doing. if you take a look, he's adjusted the tax brackets a bit so they now aloin with what house republicans were already trying to do here to simplify how we collect taxes in this country. in fact they took the old plan down from his website before he made that speech. and he also reaching out a bit
beyond the republican party with this child care. this full child care credit though something that's traditionally done by democrats, and, of course, hillary clinton tried to hammer him saying this is a plan for the wealthy made by economic advisers who she described add for wall street money manages and oil barn at a former big bank economist. we'll get her plan on thursday. she's headed to detroit to do the same thing donald trump did yesterday. by the way, he's gotten more republicans. he did pick up a republican endorsement from an iowa congressman, he's got more rejecting him as well this morning. key senator susan collins of mane says she cannot vote for him. his temper hmt, judgment, not befitting of a president of the united states and he says that he shown a deplete disregard for common decency.
that after 50 national security advisers said they can't support him. >> the titles out of these 50 people, they're pretty impressive. national security director, cia director. is it going to have a wider impact though? can we tell anything in that front as of now? >> sure. you know, that type of thing where you hahave people who are experts who have been in government may affect those in washington, the party, party leaders, politicians, more so than the general public. you have to wonder if you know the average joe voter is going to walk into the polls two months from now and think back you know those 50 people in washington said no to donald trump. it could certainly have some affect. it seems to have more of an effect on the republicans in washington, many of whom still seem to be making up their minds about whether or not they're going to support trump. >> tracie, good to see you. thank you very much.
nbc tracie potts joining us live in washington. >> do you collect anything? do you guys collect anything in the gallerry. no. nobody collects anything. some of you might collect something. i used to collect erasers. like 50 years ago. coming up on the show, talking about passion, purchase or smart investment. what drives the classic car market? do any of you out there collect these? do you collect old cars, new cars, vintage cars? we'll discuss the value of collecting cars after the break. [cickets chirp] [owots] announr: if you don fix tm, sparks from agging tow ains can cae wildfire
close seen on monday: the dutch recruiter says they will finance using existing credit lines. completion of the deal is expected by the end of the year. o cad doe shares hit a three month high. the online grocerier provider signed a new deal to extend home delivery across the uk. saying the deal will be earnings acreative. >> walmart, bought the online retailer jet.com which online launched back in 2015. a strategic move to help boost the technological expertise. >> reporter: hours after walmart confirmed it is buying jet.com, the largest ever private e-commerce acquisition, held a media call providing a bit more information. jet and walmart brands will
remain distinct for now. walmart wants to be thoughtle about how to combine the businesses from the design kmoe components to the platforms itself. in the interim the deal had benefits to both sites. >> as jet scales, they'll have resources available to them as a team and the brand they didn't before and at the same time, we can leverage the talent of the korgs combine it with what we already have, deploy some of the customer facing and back end components that jet built in to their platform which will enabletous be more successful at walmart.com. >> jet.com and walmart.com when the deal closes. he called the leadership change a natural inflection point. as walmart.com ceo leaves that position. walmart isn't updating its guidance right now when it comes to the finance of the deal and how it impacts results. everyone i've spoken to believe
this is is an acquire hire deal. it's about the senior team. one of the brightest mind in e-commerce and walmart lost him once. they were outbid by amazon in 2010. slowing e-commerce growth rate which is far behind amazon. total online steales are estimad to be less than 1/6th of amazon. now, jet hasn't given a total customer number, but in pd group says the site customers tend to be urban, millennial to have incomes greater than $150,000. online a fifth of jet.com have purchased from walmart.com in the most recent six-month
period. cnbc, business news. news corp. has posted a 5% boost in revenue. the accomplisher of titles like "the wall street journal" and the sun reported a 1% rise in revenue. gap shares tumblings in extended trade after the retailer posted a bigger than expected drop in july. overall comparable sales fell less in the second quarter. a bit spooked by the weak performance of banana republican. delta is now offering $200 worth of travel voucher to customers who saw their flights cancelled or significantly delayed when the airline suffered a global outage yesterday. filed this report on the systems failure which analysts say is likely to cost the airline tens of millions of dollars. >> all delta flights were
grounded for hours after a power outage in atlanta in the early hours monday. delta says hundreds of flights were cancelled with many more experiencing long delays. >> i apologize for the challenges this has created with you with your experience. the delta team is working very, very hard to restore and get the systems back as quickly as possible. >> adding to the traveler confusion, status boards weren't updated quickly. some saying the flights were at the gate or on time frustrating customers. >> we had no warning whatsoever we were -- the system was delayed. >> they had to do everything manually. couldn't get the computerers to work. it was just it was a hassle. >> most passengers we spoke to said delta's personal handled the situation relatively well. issued a system wide waiver for those being impacted.
delta will refund or rebook a passenger who have been affected by cancelled or significantly delayed flights up until the 12th for cnbc business news, i'm susan leigh and la guardia airport. >> i was mentions collecting just a few moments ago. asking what you collect. so i used to collect reracers. many, many years ago. nancy writes in from the show, funny enough, i collected pence ls. we would have made a good team. >> the classic car market some say could be running out of steam. there's a link to the collecting. after years of rising prices which included the most valuable car to be auctioned in 2014. some expect it to decelerate now. classic cars are likely to hold on to the top stop of luxury
alternative investments. >> tim is the head of cars. >> welcome. let's start before we get onto the collecting of cars. let's start with the actual market. is it decelerating a bit in pace. >> for certain areas within the classic car world, you could say so. i think that's really down to supply demand for certain makes, models, types within a large area of our world. >> what's the most popular thing at the moment. what is it that checks torres really want? does that change? does that stay stable. >> yes, it does change. that's why other vehicles come into the market and you see a new figure achieved, a great figure achieved for that make, model, and type. that could be down to new events that appear within the checks torres car world be it races, rallies, con kors, events, et cetera. which then could allow a new bracket of cars to come and filled that void. i would say generally we are in
a healthy period. >> anything that stand out right now? anything we're just looking at a couple of not sure are these classic cars? >> the modern era of cars now are realizing that low volume motor cars, low numbers with some very nice additions and special engines, special finish, special bodies by the makers are now highly priced and you're seeing the likes of as on the marten, ferrari, et cetera, producing very low volume cars. pl >> what is it the people are looking for? >> the trinity for checks torres are rarity and condition. you go back to the older car you're talking cars of from world war ii.
and cars that have had a race history. they were built in low numbers that are now eligible for major events globally and we're talking about racing in monaco, racing down at good wood or racing in the u.s. >> and in september, aston marten red dragon. >> it raced everywhere back in the day. we're selling that. on the tenth of september. >> that's the one we're seeing there. >> that's correct. >> yes. do you think you're going to be able to get that price for it. >> we've been very successful with selling two or three in the last couple of years here in the uk. >> modern classics versus old school classics? what do people want more at the moment?
>> it's interesting because we have poster cars today so the youths you mentioned the 80s and collecting erasers. in the 80s, the athena pictures, these are things people would have on their walls, ferraris. lamb boar guinea with a great big wing on the back. these cars are highly priced. people who are in their 40, 50s now have the ability to buy them. these cars have also seen a very sharp spike in prices over the last 7 or 8 years. some of them have tripled if not quadrupled. >> your favor car of all time. >> that changes on a weekly basis. >> never heard a car described
like that. >> i'm look it up. i'm google it afterwards. tim, thank you very much for being with us. the head of cars at bonams. keep the tweets coming through. streets europe at cnbc.com is where you can find us. our european equity markets as we close out the show, still hanging on. the polish market is seeing a little bit of selling. "world wide exchange" is up next. we'll be back tomorrow with another edition of "street signs" so do join us then. .
good morning. crude reality oil prices pulling back. the house of mouse. today's stock to watch is disney, the company set to roll out quarterly results. >> plus delta tries to take flight. the airline still dealing with delays this morning 24 hours after the systems went down. refunds and vouchers on the cards: will it be enough for forgiveness of customers? it's tuesday, august 9, 2016 and "world wide exchange" begins right now. good morning.