francine: thanks so much, nejra cehic. on to the markets. this is what european equities are doing. seeing a little bit of a rebound. financial markets in general showing signs of stabilizing after being zigzagged this week by a surge in expectation. this is a picture for the ftse, the dax, and the cac 40. i want to show you the price -- i don't know if we have gold, but brent crude at 49. that is also regaining a touch. the yuan headed for a third week of declines against the dollar. this is on the back of dollar strength, unaided speculations the u.s. will raise interest rates. we will get back to the markets and currencies with jane foley in just a second. first, let's update you on the egyptair flight from paris to cairo which disappeared over the mediterranean sea. as a search mission enters its second day, greek authorities have dismissed reports of finding debris from the jet. greg this cruise he is in paris. arexpected, a lot of things contradiction. we don't really have anything concrete. what we know is that debr

let's get to the bloomberg first word news with nejra cehic. nejra: private gauge of services in china slips. 51.8, downe in at month..2 the previous the council said more needed to e to promote private investment growth. lowe inherits the post with diminished interest rate ammunition after the central banks east policy to a record low to cushion the end of a mining investment boom. lowe was appointed deputy governor in 2012 when siemens described him as an exceptionally economist. the u.k. is holding elections today in what has been dubbed super thursday. the election of a new london mayor is getting international attention. on top of that, votes are taking place for the scottish parliament, national assembly of wales, northern ireland assembly, and 124 councils in england. global news 24 hours a day covered by our 2400 journalists in more than 150 news euros around the world and you can find more stories on the bloomberg at top . francine: nejra cehic there. let's head to the bloomberg with mark barton for your asset check. mark: stocks i

let's get to the first word with nejra cehic. nejra: thanks. the u.s. economy should be solid enough to merit an interest rate increase this year, and the central bank won't cave to political pressure to refrain from tightening during a presidential election. the san francisco fed william president says so. he says well global threat has created a balancing act, fed officials probably will raise the benchmark interest rate sometime this year. bayer has offered to buy monsanto for about $62 billion. the german company offered $122 per share in an all-cash bid, a 20% premium to their last close in the u.s.. it would create the world's biggest supplier of farm chemicals and genetically modified seed. we'll be speaking later to the bayer ceo. japan's exports fall for a seventh consecutive month in april asked again strengthens. it underscores the mounting pressures for shinzo abe's efforts to revise growth. shipments declined in april from a year earlier, worse than the 9.9% drop estimated. leaving all 23.3%, trade surplus of $7.5 billion. global news, 24 h

here is nejra cehic. nejra: as bad as the terror attacks in brussels where, they could have been worse. look and solid police work in the days before the attack lessened the impact. the investigation found disarray inside of the terror cells. 32 people died in the attack. the obama administration unveiled new rules aimed at methane gas from oil wells. according to people familiar with the matter it will require energy companies to do a better job of plugging leaks. it is 84% more powerful than carbon dioxide when it comes to warming the atmosphere. donald trump will meet with speaker ryan today. ryan is downplaying the breakthrough at the meeting saying that unifying the party around the likely nominee could be difficult. global news, 24-hours a day, powered by our 2400 journalists, in 150 news bureaus around the world. i am nejra cehic. francine: thank you. let's get back to our guest host for the hour. it is alex friedman. i picked up something that he wrote earlier. it was well written and engaging. i

nejra cehic is here. nejra: shares in airbag maker have plunged again. the latest move could affect more than 100 million the a goals worldwide. no decision on the recall has been made. justice'separtment of criminal division is investigating jpmorgan's hiring practices in asia. the bank admitted it is facing inquiry by the sec. regulators are trying to determine whether the bank violated anti-bribery laws by hiring children and relatives of well-connected politicians and clients in china in exchange for having business steered to the firm. standard chartered investigating bankers over padding expense reports and improperlyt lending money to colleagues. two people with knowledge of the tter say several employees have left as a result of the probe. mark: thank you. let's talk more about emerging markets. by humphrey in abu dhabi. mark mobius from templeton has been in town. what did he have to say? >> he was in town on his way to saudi arabia for a big investors conference tomorrow. what he told us was that he's confident oil is going to reach $60 a barre

get straight to the bloomberg first word news with nejra cehic. aira: the missing egypt flight from paris to cairo reportedly crashed in egyptian airspace. according to an unnamed source, the airbus came down near the greek island of carmakers. communications were lost with flight 804 which had 600 people on board. earlier, egypt deployed naval ships to search for the plane. federal reserve officials want to raise interest between june. it is up to the u.s. economy to confirm their views that slow growth in the first quarter was temporary. minutes from the fomc meeting used the word "june" six times in this context. the central bank warning markets not to dismiss such a move. bayer shares are lower after it made a takeover offer for monsanto. the seed maker says the proposal is nonbinding but hasn't offered details. earlier this month, bloomberg yer wasd that ba exploring a potential deal. monsanto failed last year in a $46 billion bid for syngenta. global news 24 hours a day powered by our 2400 journalists in more than 150 news bureaus around the

let's get the bloomberg first word news with nejra cehic. nejra: germany's economy grew at its fastest pace in two years. gdp rose 0.7% in the three months ended march 31. that beat economist estimates of 0.6% growth. domestic spending helped offset weakness. china's broadest measure of new credit rose the less than expected last month. aggregate financing was $115 billion in april compared with a median forecast of $200 billion. the data suggests the central bank is starting to temper amid warnings of the debt binge. yer's expiration of a potential bid for monsanto has triggered speculation that the german company might need to sell assets. according to a chemical analyst, bayer could shed its stake in its plastic unit. representatives declined to comment. global news 24 hours a day powered by 2400 journalists in more than 150 news bureaus around the world. find more stories on the bloomberg at top . francine: we and talking about china. hong kong, first-quarter gdp contracting quarter on quarter by 0.4%. this is much worse than expecte

here is nejra cehic. nejra: the bank by seeming unsecured debt rating was two levels from junk. moody's says scioscia bank faces mounting challenges in carrying out its turnaround. theeo tells bloomberg news bank is disappointed by the cut and the bank could easily repay its debt many times over. banks may have been targeted by hackers than previously reported. hackers exploited weaknesses in how banks connect to swift to steal $81 million from bangladesh's central bank in february. swift is boosting security members for -- security measures from member banks. facebook is fighting allegations of bias when it comes to selecting news stories for trending topics. the social network will no longer require stories to appear on sites considered news leaders like "the new york times." facebook is responding to a report that its editors lean toward liberal sources in selecting stories. discourseialogue and is stunning. the reality over the weekend, of the negative ratings for our two presidential candidates is st

let's get to the bloomberg business flash with nejra cehic. nejra: in brazil, the banks are forced to sell assets. according to people familiar with the matter, btg pass while is exploring the sale of its stake with petrobras. in 2013 bgg paid $1.5 billion for the stake. last november, the founder was arrested in a corruption probe. shares of philips lighting jumped in their trading debut today. the dutch parent company royal philips raised hundred $39 million in an ipo as the world's largest general lighting business. it will not be cheap for french insurer axa to get rid of its british unit. it's u.k. life in savings businesses are said to generate a loss of income of almost $460 million. the decision to sell came after a strategic review. that is the "bloomberg business flash." tom: the entry eco-courses are eco-2013 and 2023. harvard it is at 10. before we get to your report, michael, janet yellen is joining with greg mankiw? it is about her career. greg is going to be interviewing her, but they will have to stick around on this friday bef

nejra cehic has that. nejra: time digging into the industry groups on the stoxx 600 on the bloomberg. it is very much a next picture. are seeing a lower oil price today. health care looks to be leading the gains, up 0.4%. is some of this down to this bayer deal? let's look at the top stocks we are looking at. bayer right at the top. if this goes ahead, biggest deal globally this year. also would be the biggest takeover ever by a german company. bayer offering $122 a share. this was someone at the lower end of what analysts were expecting. still talking a $62 billion deal. shares were called slightly lower by some analysts at the open. we are talking about a 20% premium to monsanto's last close in the u.s. last week, shareholders in bayer punished the stock when we first heard they made an offer from on center. we will keep an eye on that. we are also keeping an i on ryanair. it forecast that earnings growth is going to slow this year after a spate of terror attacks and lower fuel prices have prompted airli

let's get the bloomberg first word news with nejra cehic. nejra: the aussie dollar has dropped and bond yields have fallen to a record after the rba reduced its outlook for core inflation. the quarterly statement sees underlying inflation of 1% to 2% this year. disinflation will be a key challenge for incoming rba who willphillip lowe, succeed glenn stevens in september. u.k. voters have given their first verdict on jeremy corbyn's leadership of the labour party. early results suggest sustained losses across england and in elections to the scottish parliament. the bright spot for labor may be the london mayoral race. khan has run a pro-business campaign, distancing himself from the leftism of corbyn. japan may not be able to ignore the yen's growing strength much longer. prime minister shinzo abe says he's ready to respond to excessive currency moves, saying he may raise the issue at the g7 talks. the exchange rate must be stabilized and japan would carefully watch and respond to these movements as necessary. a weaker yen has been a linchpin

i am nejra cehic. tom: what a strange week. let's go through it. equities, bonds, currencies, futures negative eight. turned, dollar is stronger, not a big deal. two-year, the german -5.5 on the bloomberg. that is what i'm watching. the german two-year. the curve is flattening in the united states of america. francine: curve flattening. going back to the german two-year, looking at japan. i want to show you the yen. what is important is that we had fed speakers saying the markets the ratepricing in hike. corrode it is signaling divergence, but it is not being played out on the markets so much. cold is a touch, but nothing to write home about when you have central bankers saying they will do different things. tom: economic data, retail sales in america, the theme in the 6:00 hour, the consumer. this is something we don't normally look at, the university of michigan -- ann arbor, blue.an, go, the expectations of inflation in five years. here it is, what we have done is , 2ached this low in 2003 decades in the belief of america of where inflation is h

here is nejra cehic. nejra: china's consumer prices continue to rise at a healthy pace in april, but still a bit low the government's target rate . 2.3% was driven by prices given the pboc a reason to hold off on another rate reduction. easing ing to an factory gain inflation. be his topverty will priority as he claims of victory in the filipina -- in the philippines presidential election. a zero tolerance approach to crime and corruption. a string of on guarded -- unguarded comments. as ills political system has fallen even further as -- an old that bodies vote to impeach the president. the announcement by the senate head seemed to take presidents and suggested the drive to impeach was back on track. of moreable database than 200 thousand panamanian shell companies have been released in the latest move by the international consortium of international journalists. it derived from millions of leaked documents. the company specialized in setting up secret shell companies with clients including relative and

let's get to the bloomberg first word news with nejra cehic. nejra: norway's $850 billion wealth fund will seek to join a class-action suit in germany against volkswagen following the emissions cheating scandal. vw andd owns 1.64% in said it is acting to safeguard its holding in the carmaker. -- may delayaway increase untile later in the year according to pimco's head of portfolio management for emerging asia. that comes as britain's biggest 's news lobby group cut its forecast for the u.k. economy, saying the eu referendum has put a cloud of uncertainty over the outlook. it now sees gdp rising 2% this year. "the pulse" speaks to anna leach in half an hour. mark carney has defended the bank of england against critics furious at his warnings of the dangers posed i brexit. he said leaving the eu could trigger a recession. the eu governor spoke to the bbc's andrew ma. >> before taking a judgment as a committee, we are putting out billions of pounds of liquidity, getting banks to raise capital as we did a few years ago against these types of risks,

lifted to first word news with nejra cehic. nejra: the brazilian president is facing what may be her last day in office. the senate is gearing up for a vote to force her out and into an impeachment trial. surveys suggest the president opponents have at least 50 votes . donald trump has won the west virginia and nebraska primaries driving his can test driving his competitors out of the -- driving his competitors out of the race for the white house. enter theays he might contest if he performs well your desk performs well. well.forms toyota has said annual net income will probably decline for the first time in five years. japan's largest company todicted net income may drop $13.8 billion. that is below analyst estimates and comes as currency swings at record profits. global news, 24 hours a day, powered by 2400 journalists in more than 150 news bureaus around the world. you can find more stories on the bloomberg at top . francine. francine: the dollar has found the bottom. goldman sachs says expectations for u.s. economic str

let's get straight to the bloomberg first word news with nejra cehic. nejra: shell is trading lower bepite posting profits that analyst estimates -- that beat analyst estimates. 1.18 billion. inbev -- the world's largest brewer said third-quarter excludingse 3.1%, shifts and acquisitions. shares are trading lower. adidas and will plan to sell its -- the company said it would keep its gold shoe and a peril -- and a peril business -- and a peril business. has -- siemens has 20% to 2.1 2ose billion euros. that is after an increase in demand for energy generating equipment offset a decline. brazilian prosecutors have filed a $44 billion civil suit against the joint venture over novembers dam rupture that killed 90 people and poured -- and caused severe environmental damage. credit suisse has agreed to sell .ts assets for $1.27 billion the portfolio inc. sold includes instruments related to 170 companies globally. the transaction results in the next two charge and about $100 million to be reflected in first-quarter results. global news, 24 hours a day, power

here is nejra cehic. nejra: turkey's president erdogan took a shot at the european union when angela merkel was least expecting it. he had threatened to tear up the central plank of turkey's agreement on refugees. it came a day after he and merkel met. he said if the eu will not keep its word on financial aid to turkey, he will not take refugees back from greece. in other kirkby, new mexico, a protest outside a donald trump rally turned violent. demonstrators threw burning t-shirts and plastic bottles at police. please responded with pepper spray and smoke grenades. house speaker paul ryan has told confidants he is ready to end the standoff with trump, according to people close to ryan. he may endorse trupp this week. he is said to be concerned about the split developed in the republican party. the u.s. justice department will seek the death penalty against the man accused of killing nine people at a church in charleston, s.c.. dylan group is white, the victims are black. the prosecutor in that case is al

let's find out what's going on with nejra cehic. nejra: thanks. as you say, we saw losses in japan, dragging asian stocks lower with the topix down more than 3%. a lot of markets closed for the bank holiday. china, hong kong, singapore closed in asia. at europe, we have markets of the u.k. closed. germany, france, spain, italy. open. we might be slow to get things going. here we are looking at the industry groups of the stoxx 600; a majority in the green. futures have been pointing higher in france and germany and that could be what we are seeing. it's telecom stocks leading the gains, up 5/10 of 1%. let's bring up the board and take a look at how some of the stock markets are doing. you can see the stoxx 600 pretty much unchanged, edging into positive territory after losses on friday. the dax of 5/10 of 1% in the cac 40 up almost 7/10 of a percent. in terms of what we are watching in currency markets, if we come back to the bloomberg, we've been keeping an eye on dollar-yen. it is unchanged today, but it is near an 18 month high, at 106. 57. we'r

let's get straight to the bloomberg first word with nejra cehic. nejra: thanks. broad-based a weakening of inflation pressures was behind this month's surprise interest rate cut. the australian central banks first reduction in a year came after cpi fell on the first quarter for the first time since 2008, even as the growth outlook remains steady. still, the aussie dollar jumped, as they said the deal wasn't viewed as a slamdunk, reducing the likelihood of a follow-up move in june. george soros has cut his funds in u.s. stocks by more than 1/3 in the first quarter and bought a $264 million stake in the world's biggest bully and producer. he's warned of risk stemming from china's debt fueled economy. he thinks a hard landing for the country is practically unavoidable, and that such a slump will worsen global deflationary pressures and drag down straps. darren berg plans to increase , bettingngs in gold demands will be lifted by uncertainty surrounding the outcome of the u.s. election and britain's eu referendum. the chief investment officer expect gold, silver, and

here is nejra cehic. digging deep -- what do you have? nejra: thanks. i have tracked the athens stock exchange against the stoxx 600, because the athens stock exchange tumbled more than 20 23%. by february it had dropped 30% year to date, the world's biggest loser. now it is the winner, staging the best rally of 93 markets tracked by bloomberg, almost erasing all of its annual losses. while the stoxx 600 remains down 8.1%. is theis is about prospect of the first ever plans for debt relief after these talks that happened earlier this week. guy: it's amazing. as you say, this depends on where you start. nejra: absolutely. and people are divided on whether the rally is losing steam. jpmorgan says an agreement is likely, that the economic reality will curb the exuberance. on the other hand, morgan stanley is recommending shares of lenders. people are divided on where this rally will go. guy: thank you very much. rousseff's the dilma last day on the job? well could force her from office, next. ♪ [ soft music ] e.t. phone home. when you find something you l

let's get to bloomberg first word news with nejra cehic. nejra: in the u.k., voters in global and regional elections gave no sign they are ready to defy their leaders and leave the european union. david cameron posco conservative party appears to be on the brink -- david cameron's conservative party appears to be on the brink of picking up seats. extend hergeon will term as they head of their semiautonomous government. and we will learn who will be the mayor of london later today. north korea's meeting gives kim jong-un a further chance to solidify his grip on the country. he came to power five years ago after the death of his father, kim jong-il he may focus on economic growth and military strength. cease-fire in syria seems to be holding. it was designed to halt the fighting in aleppo. hundreds of civilians have been killed in the city in the last two weeks. the cease-fire is scheduled to end tonight. u.s. officials would like to see it continue. oilussia's forecast on prices is right, the budget deficits in the country will last to the e

here is nejra cehic. canada, residents who fled a town ravaged by wildfires will be allowed to return and a couple of weeks, probably. 80,000 people were evacuated from fort mcmurray. it cost the oil industry one million barrels a day of production. its forecast for the u.s. economy to grow 2%, down from 2.3%. they blame a week first quarter. and they expect the fed to raise interest rates twice at most. forrates americans pay obamacare are going up. they want to raise the amount customers pay for individual health care plans by an average of 17%. the sticker shock it could cause problems for the law and its supporters. global news, 24-hours a day, powered by our 2400 journalists, in 150 news bureaus around the world. i am nejra cehic. francine: we are monitoring the egypt air flight that has gone missing. it vanished overnight. the managing of the firm international corporate protection and steven saywell. this situation is fluid and we have conflicting messages. after anormal so soon plane is lost or va

bloomberg,to the nejra cehic has the latest. nejra: looking at europe, reversing earlier declines the stoxx 600 is up. we are seeing a broad-based rally with every industry group higher on europe's equity benchmark. different picture to asia where we saw a broad-based selloff. the dollar very much in focus with attention turning to whether we are going to get a rate rise from the fed. futures -- funds factoring a better chance of a rate hike in july. with that, the dollar has climbed to a two month high. looking at the bloomberg dollar index, gold is down for a fifth day in a row, its longest losing streak since november. fed officials with a hawkish tone have been stacking up in the meantime. are we going to get a repeat of the situation in january where he had dollar strength, stocks selling off globally? two things look different. if we look at the yuan, it is 1%,anged today, down about with people who watch it closely see a decline without disorder. we are not quite at the levels we were at january, and the same with crude.

here to catch you up on the news is nejra cehic. nejra: britain is going to the polls to vote for the new mayor of london. financed his own race through the republican presidential primaries. now that he is the presumptive nominee it will stop. trump's campaign is raising money for the general election. may lose suggest trump $1 billion in the fall. in turkey, the president has won a power struggle that has sent financial markets plunging. expected minister is to step down this month. lashes between the two has undermined confidence in the turkish economy. russia will create three new divisions, 30,000 soldiers, stationed in the western and southern military districts. troops tosend 4000 poland and the baltic sea. 80,000 people have been forced from their homes in western 10 and a and the fire will get bigger. it has damaged 1600 buildings in the oil town of fort mcmurray. working cams have been opened. global news, 24-hours a day, powered by our 2400 journalists, in 150 news bureaus around the world. am nejra cehic. tom: i want to

here's nejra cehic. nejra: saudi arabia's new oil minister says the kingdom will probably keep producing crude at near record levels as the world's largest exporter sticks with a policy of defending market share. the chairman of the state producer saudi aramco took over from long-standing oil minister this weekend. crude prices on the rise after wildfires in canada's oilsands region knocked out more than a million barrels a day in production. the country's biggest energy companies have declared force majeure on supplies from the region. that protects companies from liability of contracts that go unfulfilled. german factory orders picked up in march, as strong global trade in domestict a lull demand. orders rose 1.9% from the prior month. the reading which is typically volatile compares with an estimate of 0.6% in a bloomberg survey. china has reported a modest stabilization in exports as well as the first back-to-back gain in foreign reserves in years. $7 billiony or grows in april. dana suggests the eco

nejra cehic is here. nejra: this is been one of the worst performers this week. my chart shows it is pushed its valuation versus the stoxx 600 to a record low. we are talking about estimated earnings on the dax, about 12 times. of course, the dax almost entered a market last month. we see high on april 23. since then, the core ratio on this has also been increasing, meaning the traders are getting increase -- increasingly bearish on the germany benchmark. concerns that weak global growth could affect exporters on this index. the question is how low does the evaluation need to go before this becomes a -- help low does the valuation need to go before this becomes a -- next, a loyalist is set to take the premier post. we're talking about the prime minister's post. where life is them both -- we are live from istanbul next. ♪ show me top new artist. ah, ha ha. show me top male artist. my whole belieber fan group. it's not a competition, but if it was i won. xfinity x1 lets you access the greatest library of billboard music awards moments, simply by using your voice.

let's get into this market open with nejra cehic. nejra: thanks. we saw a broad-based selloff in asia, futures looking like we could see losses in europe. we are just seeing the sectors open up on the stoxx 600. i will come back when they had a chance to settle, but we are definitely seeing more red than green. european stocks gain for the first time in five days, it looks like the rebound may not hold. most industry groups in the red. in currency markets, you have to follow on the aussie dollar. forecast, inflation the worst performer out of major currencies against the greenback, dropping to a two-month low. and of course, a lot of focus on the dollar ahead of that jobs data. the bloomberg dollar index is unchanged today, but it is heading for a weekly gain, headed for its biggest weekly gain, in fact, in six months. let's take a look at how the markets are shaping up in europe here at the open. you can see that the stoxx 600 is off by 5/10 of 1%, the f tse and dax down, leaving the losses in futures markets, down almost 8/10 of 1%. in terms of s

chart of the hour -- here's nejra cehic. nejra: looking at emerging-market stocks, the yield, the earnings yield, versus the yield on emerging-market junk bonds. what this shows -- some are saying this is evidence that the bull market rally in emerging-market stocks hasn't been extensive because the has risen tods the highest since november, 2014 relative to junk bond yield. guy: they are widening. nejra: exactly. guy: usually they are correlated. nejra: precisely. it means investors are getting a bigger return. what is behind that divergence is one analyst increasing projection for companiey earning and high-yield debt. i spoke to strategist last week who said they are positive on dollar denominated emerging market sovereign debt because of the decline of the u.s. dollar. of course, some of those conditions don't hold. manus: absolutely. caroline: you give us a sense -- is this really what this chart is painting? nejra: that's it's interesting. the chart is saying, look, ball really could continue, to what we have seen is t

. ♪ mark: let's get the bloomberg business flash with nejra cehic. nejra: takata has ruled out bankruptcy. that is according to a person of knowledge. they say the company is instead seeking buyers to take a controlling stake and carry it through its process. -- findingstood that a suitor by the third quarter. jaguar land rover is helping to put cars with motors and the fast lane. thanks to the luxury brands sales. it -- it is cautiously optimistic about global growth. a new model drive's sails in the u.s. the airbag scandal may affect about 100,000 of its cars. it is put aside almost wanted to million dollars for repairs. the new york post is reporting that deutsche bank has emerged in a probe. the paper says no bank has been accused of any wrongdoing but investigators are narrowing their focus after requesting documents and communication from .ll of the 22 primary dealers deutsche bank is not disclosed it is under investigation. that is the bloomberg business flash. mark. mark: one of the largest hong --g tracking funds tracking has surged fivefold

thank you very much, nejra cehic. japanese prime minister shinzo abe has weighed in on the brexit debate. speaking at a news conference with david cameron, he made his position clear. japan very clearly would prefer britain to remain within the european union. it is better for the world that britain remain within a strong european union. we want to see britain and europe remain influential actors on the global stage, contributing to a rule based on piste and stability -- on peace and stability in asia. anna: cameron highlighted how britain could jenn benefit from japan-eu trade deals. >> we want to see more jobs, greater growth, and increased prosperity for our countries. we both agree the way to do that is through a comprehensive japan-eu free-trade agreement. this deal could be worth 5 billion pounds a year to the u.k. economy. and i haveter abe agreed to do everything we can to get it signed so we can start reaping the benefits. ona: john wraith joins us set now. charles newsome from investec wealth and management

the phone unit with here is nejra cehic. nejra: bernie sanders is not going away or he says he will fight for every last vote. last night he beat hillary clinton in the west virginia primary. lead inlinton has a big delegates, closing in on the number she needs for the nomination. presumptive republican nominee donald trump won in both west virginia and nebraska. british prime minister david cameron may have an awkward time when the leaders of nigeria and afghanistan visit this week. in remarks captured on video coming he told queen elizabeth the two countries are the most corrupt in the world. the leaders coming for an anticorruption summit. turkey's constitution bars the president from having a party affiliation. now the country's ruling party wants to change that. president erdogan can be its leader. next month the ak leader will push for a change to the constitution. he has been shifting turkey's presidential power from parliament to the presidency. this may be the last day in office for brazil's president, dilma roussef

let's get to your chart of the hour, let's bring in nejra cehic. nejra: the cac 40 is down about 4% year to date. more than two thirds of the stocks on france's benchmark have fallen this year. the positive in this is valuation. if you look at the chart, french stocks are at their cheapest in three years relative to the stoxx 600. trades at about 14 times the estimated earnings of its members. the question is, are we at an inflection point? the question among fund managers looks like it is warming. france is now the second most favored in europe. this is according to a merrill lynch survey. last month it was one of the least popular. it was perhaps time for a turnaround and this chart is showing valuation at the cheapest in three years. oil cfoing up, the stat will be joining us here on bloomberg. we will talk about m&a and offshore drilling. next here on "on the move or co- ♪ -- "on the move." ♪ >> we have breaking news on greek debt after the agreement yesterday we see greek debt soaring, pushing the 10 year yield down below 7% for the first

nejra cehic has it for us. nejra: thanks. i'm looking at the swiss market index. we know this is one of the worst-performing stock markets in the developed world year to date. it is down almost 9%. of what this chart shows is that traders expected to get worse. this is showing the ratio at its highest since 2012. the ratio of put the cause outstanding has also surged 18% in just two months. there may be more pain ahead for the swiss market. guy: and it is all about the franc? nejra: looks like that.i tracked it back to january 15, 2016 -- guy: we remember it well. nejra: [laughter] we saw the smi plunge. and before that, the tread was largely upward. it has been downward since then. this is interesting because, if you look at the dividend yield of swiss companies versus the 10 year bond yields, we are getting a better cash return on stocks. swiss markets are seen as a defensive play, but it really looks like investors, particularly foreign investors, see to much currency risk. even though the frank is weakened against the euro, it is still above the euro at which

. >> i'm nejra cehic in london. we have european futures just opening up. broad-basedretty days in asia. it looks like european stocks could open slightly higher. we futures up 1/10 of a percent. 0.2%.tures up cac 40 futures up 0.1%. we might see some modest gains at the open. >> let's get into risk radar. we have bombs moving but you have gold managing to turn it around 1213. nine days. $100 in may as the dollar moves it around. more.the fed do crude it 4965. alanis winning week -- winning streak on oil and five years is go to the opec meeting. what we haven't seen since 2011. by the voice of the traders are cutting their short positions of the lowest in seven months. 6.50, 8.45.ne you are seeing that sweet spot dissipating. all about the bonds. let's show you what is going on. futures are trading lower in terms of yields. we are waiting for the other flashes to come through. let's take the board down because we are waiting for some of the cash prizes to come through and of course there is a lovely story this morning, the treasury loomed over the fed as re

i am nejra cehic. let's get to bloomberg first word news. treasury -- after federal reserve chair chan at yellen said in interest-rate increases likely in coming months. japanese shares rose while the shanghai conference was flat. back to a one-month low versus the dollar, and japanese stocks were on their highest close in may after shinzo abe said a sales tax increase scheduled for next year would probably be delayed. japan has retail sales growth increase the likelihood that the highs will be held. response gdp contracted by 4.5% since the previous quarter. economic data for the country showed that quarterly exports fell 3.3 percent. early this morning, france-presse first quarter gdp number shows growth accelerating 1.6%, beating estimates. and noblehas -- group's ceo has quit. william rendell and jeff hayes have replaced him as co-ceo's. noble shares have plunged 60% in the past year with questionable practices dogging the coming. markets have closed in the u.s. and the u u.k. today. european equities -- the dax higher, up .3%. the tax p

nejra cehic. i will bring you updates every half an hour. ♪ emily: he has backed some of tv's biggest hits -- "24," "er," "arrested development." then in 2010, he joined showtime and has led the network's resurgence in original programming like "homeland" and "billions." >> what we do has consequences. emily: now the star executive is taking over at the top, replacing longtime chairman and ceo matthew blank. joining me today on "studio 1.0," showtime's new ceo, david nevins. thank you so much for joining us today. david: got to be here. emily: great to have you. david: thank you for coming. you came here. so -- emily: so, "billions." what was it about this showed that made you think it could be a hit? david: it's a world that has been explored a little bit movies that not explored so much on television. it touches all of our feelings about wealth and class, which is a hard subject in america. so this is very much sort of in the zeitgeist and it deals with all of our complicated issues with the s