that mean more or less europe? big issues include social inequality, the immigration debate, and the rise of populist anti-eu parties across the continent. "quadrition here on ga," after brexit is it the end of the eu? i'm joined by three excellent panelists. the editor of the opinion page el," in berlin, and he says brexit could be good for europe. also, derek scully of the irish times who argues brexit is a failure of the european class. and, welcome to hannah cleaver, who joins us straight from the dw news desk. it is difficult to tell who will be the biggest loser from brexit , britain or the eu. i would like to begin with you, martin, because you are the optimist in our ranks today. you say that brexit could be good for the eu. please explain how. >> i would love to. there's just one aspect i'm optimistic about. the aspect i am optimistic about is what happened in the u.k. vote.the brexit some people predicted a recession. so people in all of europe, coinental europe, now see what brexit, but going out means. so the alternative, you have europe. it is now as clear as it ever was

about a very different europe in parliamentary terms, democratic terms, and social terms. lso with us today is andreas klust of economist magazine believing the e.u. should first strike for a lenient and gracious deal that keeps britain close to the continent and second reform itself in a hurry. welcome too, keep calm and carry on. england made a mistake but now both sides should work hard to avoid this turning into a disaster. my first question has to be how can you possibly expect anybody to keep calm in this situation of huge uncertainty? towell, i think the i issue is reduce uncertainty now and that means if you take the referendum s a victim which couldn't be returned to partnership or e.u. membership for england you have to deal with the referendum, with the outcocome, and have to try to come as fast as possible to negotiations to deal in terms of economic issues, t trade issues, security issues, and migration issues. >> that all sounds very sane and sensible but there are huge worries out there. you know, the u.k. could unravel. e.u. could collapse. u.k. could plunge into reces

at the refugee crisis in europe. we will hear from two academics who spoke on international migration and later german diplomat to the united states will talk about how refugees are assimilating. together they are about two hours and 45 minutes. >> okay, good afternoon everybody. i am roger walsinger a professor of sociology and that direct their of the center for the study of migration on behalf of a different center, the center for european congressional studies. i would like to welcome you to today's events on the refugee crisis perspectives on europe and beyond. as it happens this year the very first event organized by the center for the study of international migration was on this very topic. we had our first talk on september 25 and unbeknownst to us at that time september was the penultimate month in which the refugee flows to europe would rise and since then the flow has steadily diminished and at this point the point that it's begun to disappear from the headlines of the u.s. and western press. what we are not seeing is that the flow is continuing and the same interval the fl

, she -- [inaudible] an admirable and ambitious effort to think through how europe can best navigate a fast-changing international landscape -- [inaudible] that wider landscape seems more crowded and more complicated than ever, and the reality is that almost everywhere you look on the geopolitical compass, our european allies are hard pressed. the deeply unsettling reality of brexit in the west, terrorism, massive migration crisis and now new uncertainties in turkey from south and a resurgent russia -- [inaudible] these pressures pose some very difficult questions about the future be of europe and its role in the world. our carnegie europe center in brussels has worked hard to try to help answer them, and today high representative mogherini will lay out how she believes the e.u. should respond. she has taken on this challenge with her characteristic skill, energy and imagination, traits that have proven indispensable to her rapid rise in european politics and traits that prove equally indispensable to bringing the comprehensive nuclear agreement with iran across the finish line almos

michelle: hello, and a very warm welcome to "focus on europe." i'm michelle henery. they showed -- a shock has taken hold of europe. what many had thought impossible has happened -- britain has voted to leave the european union. leave supporters cheer. the remain camp is heartbroken. prime minister cameron announces his resignation. david cameron goal is i love -- david cameron: i love this country and i feel honored to have served it. michelle: cameron has gambled and lost, the referendum has left not a united but a deeply divided kingdom. welcome to this special post-referendum edition of "focus on europe" in which the u.k. decided to forever change its relationship with the european union. the outcome of the vote was tight -- 48 %said they wanted to remain in the european union while 52% chose to leave. the so called brexiteers edging out the vote by a narrow lead - a decision that had and will continue to have tremendous consequences. here, we go to cornwall, which had a clear leave majority, mainly due to its fishing industry. for decades, local fishermen felt threatened by

, which has undermined the sense of security across the whole of europe. the eu must also boost its resistance to growing hybrid and cyber threats. to thisse this end, we adopted increased corporation with nato. even in the uk referendum campaign fewer questions the fact that economic integration among members state benefit europeans as it kcreates jobs. this is why we've made the decision to work more closely together in the areas of digital and capital markets. the decision taken during the summit will have a positive impact on the lives of europeans regardless of the uk leaving the eu. on migration, the leaders reviewed the situation on the extent of our borders, acrossin acrossings from the turkey to greek islands have almost come to a halt. in october 2015, that border was crossed regularly by 7,000 people daily. now, it is around 50 per day. given the significantly lower n infl influx, we can lower the part of our external border. this, in turn, should restore the sense of security in europe, which was our aim from the beginning. now, our attention will focus on the central me

societe says a possible systemic crisis -- he says europe needs it credible backstop for its banking system. >> is to make crisis when there is a risk -- citations, and the banking system has problems, the -- in thismy situation, you need the taxpayer and the public sector to step in and to intervene. the quicker the better because you will stop this situation. nejra: german factory orders failed to rise in may as uncertainty over the global outlook. seasonal swings in inflation were unchanged when they fell 1.9%. economists addicted a 1% rise -- economists predicted a 1% rise. britain publishes its long-awaited reports in the conflict. john chill cooked is announced -- is due to announce his findings seven years after it was set up. -- for the role in the u.s. led invasion at the handling of the subsequent observations -- subsequent occupation. hillary clinton will not face charges over the use of private e-mail although the idea did color action -- the fbi did call the action careless. president obama says he believes in her and she deserves to be in the white house. global news, 2

producer, one of our top producers in europe. it's andy echeart. it is three gunmen or could it be one? >> the police are telling us the witnesses saw three gunmen. police are going after three people, and the latest development is they are now speaking of nine dead, and that is nine dead, and one of them they are investigating as being one of the attackers, possibly. they have not confirmed that fully, but they are investigating and tweeting about it. i think they are getting a little closer, though it still seems that two people are on the run. they are keeping the city of munich on lockdown. >> andy, you are a native of germany. there has been speculation that this is basically a hate crime or hate group from a far right group. walk us through that situation and why there seems to be more and more evidence pointing in that direction? >> well, i think at this point it is still speculation, but it wouldn't surprise me if it's a right wing group. the latest intelligence report that comes out annually said the right wing scene is radicalizing very, very quickly. you might remember that

continue the conversation with james. frankfurt has high hopes of becoming europe's financial sector in the case of a brexit. is bloomberg. ♪ guy: welcome back. let us get you a bloomberg business flash. postal savings bank of china is thinking to raise a billion dollars in what could be the world largest -- this year. have furtheret to lifting applications. listing isn't likely to take place until september. -- $28 billion of assets. talks of a possible merger. -- cicc hasdeclined declined to discuss the merger. it is offering 35 million shares . tech ipobe the largest of the year. national bank of abu dhabi has confirmed its merger with the gulf bank creating a regional powerhouse with $175 billion. it will operate under the national bank of abu dhabi name. it will compete with regional rivals. it has missed its forecast. the electric carmaker delivered just over 14,000 vehicles in the second quarter, below its 17,000 estimate. that is your bloomberg business flash. french executives and politicians are circling the u.k. for the spoils after last month's shocking referendum. euro

. european president tusk safe europe and asia stood united. >> it's tragic. the subject of this attack with people celebrating liberty, quality. today we all of europe and asia stand united with the french people and the government. we condemn this tragedy and teach up our fight against extreme violence and will hatred. >> now, also offering her condolences with merkel. expressed the shock at the attack. >> everyone who is here at the asia europe meeting summit is united about the disbelief of the attack in nice. words cannot express how this connects to us to our french friends during the painful hours. >> london the flag has been set to half mass and wrapped as well as a sign of mourning. >> what has been striking about this story, in the mast 24 hours the french were celebrating bastille day. it is a huge event on the calendar of the french people. this embassy as you can image was well and truly in celebration mode when news started to come through late last night about the attacks in nice. this morning the first order of business has been to lower the french flag and europe

getting a boost from these lower rates in europe? judith: absolutely. it has been helping. we have a reduced the cost of our debt to 2.8% now, which is outstanding given our global platform and the fact that some of our debt is in high interest rate countries. 2.8% is quite impressive. we're going to continue to look at this. we're not in all likelihood going to do a new bond this year , given the totals i've mentioned, given the cash coming in. but we are always looking at liability management to continue to improve the cost of our debt and taking advantage of the markets. anna: judith, thank you for joining us. the cfo of engie, judith hartmann joining us live from paris. let's move on to u.s. politics. hillary clinton has accepted the nomination for u.s. president, becoming the first woman from any major party to do so. clinton struck an optimistic tone, making a call for unity. >> so let's be stronger together, my fellow americans. let's look to the future with courage and confidence. let's build a better tomorrow for our beloved children and our beloved country, and when we do,

increasingly leaning towards reinstating capital punishment. in the u.s. and europe they are airing their concerns. ♪ across france official mourning following last week's attack in nice. in paris, president francois hollande paid tribute and the prime minister was booed by the crowd as approval of the government crumbles. and evidence that russia operated a doping program for the athlete and manipulated test result to cover it up. the world anti-doping agency for this is a bad report. it is good to have you with us. after the coup comes the crackdown. tonight turkish government has arrested more than 7000 gold in connection with last weekend's military takeover. thousands of judges have been fired and police have been spend it. the government is also pushing for a prominent us-based cleric to be extradited to turkey. that cleric says he is to do with the coup attempt. we begin tonight with turkey's perch. -- purge. >> an early-morning raid in istanbul. turkey's biggest city is full of police special forces, nearly 2000 to support the so-called pcleansing operations. generals acro

the biggest surprises. >> and europe did you say. >> yes. >> europe has slightly surprised us. i think we'll have to see if the numbers are going to be maintained or not. europe is such a mature market. the british referendum outcome has added another layer of of uncertainty. health of the euro zone. we don't at the moment. we haven't really factored instead change to our balances in 2016 and 2007 resulting from brexit. it's something we're clearly going to have to watch out for. it's more likely the outcome for brexit will be negative than positive. we'll have to wait and see. >> are we still seeing this build in stock globally that we were talking agent here a couple of months back. higher stock build across the board. is that still taking place? >> yes, although we're close to balance, stocks are still building. when you buy very small amounts compared to what we saw in the first part of the year. in the whole of 2014, the whole of 2015 and for 2016 as a whole, global oil stocks have been increasing by about a million barrels per day. crude stocks may start to come down in the

include the reality are there are people who mean to destroy, in this instance, france, and all of europe. there is a massive inflow from northern africa and the middle east into southern europe and now germany, france. and the nation states, the european union itself doesn't exhibit any will whatsoever to defend itself by vetting the people coming into their country, by insisting upon assimilation rather than creating ghettos and dystopa. what are they to do? and what are we to do? >> we are as a free society and nations to embrace the reality that our enemies know what we are and that's why they attack us. our enemies know what they are, too. they are the theocrats who want. we are fighting ideologies that are refusing to assimilate. community that refuse to embrace freedom and reject theocratic islam, but embrace a liberal islam that is reformed and modernized. the free-thinking muslims at the head of the speafer this are marginalized. all we are doing is focusing on the end point of terror instead of the precursors of the call drontcursors -- of thecauldrons. you can't fix the problem

being priced in. stay with us. as britain cuts ties with the eu, europe is seeking new friends in beijing. we are going to the chinese capital for the latest from the eu-china trade talks, next. this is bloomberg. ♪ -- it's all about stability, one of its major markets. that there is a level of doubt around that man, is a few minutes ago a press conference wrapped up with john cloud younger,-- jean-claude where he said he is ready to work with theresa may. aside, let's talk about the possibility of the treaty between china and europe in terms of trade. what are the major areas of concern, of opportunity? >> there has been glacial progress on this. europeans have been pushing on this for quite some time. the key issue for the europeans is for chinese steel makers; europeans are angry about this. the president said that the europeans would do all they could to defend from their own as chinese steel has flooded into those markets and that is a key concern. they also want to access china's market -- there are so many that remain effectively sealed off, particularly telecom, finance,

in europe. world.e: it is a changed it affects us all. let's get the first word news with nejra cehic. nejra. nejra: a peaceful demonstration in dallas, texas, turned into an ambush pierce clippers opened fire killing five officers and wounding others. arrested.le have been there are media reports that a fourth suspect who had exchange gunfire had killed himself. british prime minister david cameron heads to his first major summit since the country voted to leave the european union. in warsaw, he would make argument that britain is still relevant to its allies. he will pledge more than 3500 troops. some will be deployed in eastern europe. may says it issa time for her to make the case to the nation why she should be the next prime minister. she and andrea leadsom will face off in a battle to succeed cameron. ballot the second round nationwide. global news, 24 hours a day, powered by 2600 journalists in more than 120 countries. i am nejra cehic this is bloomberg. tom: very good nejra. commodities, two days in a row, a great fragility on what is clearly a better day. a lot of this

europe, dale van boven. we never thought that it would be the level of murder or torture or disappearance of exiles. it can happen anywhere. mccarthy: the next big cchallenge for us after chile were the disappearances, in particular in argentina, but in other countries, too. mccarthy: one o of the first things that theo o did was to open his officice and our office to victims and to their representatives. meeting people o o have bee tortured is very different than reading reports sent in by nongovernmental organizations. van boven: the mothers, the m madres, the abuelas, they wewere very visiblble and well known, and as a groupup of committed women, i think, who were directly involved, that had a great impact on public opinion. van boven: disappeared children. the government claims that it wawaall a partrt of terrorism and terrist gan, and the question was put, e ththese litittle ildrenare they also terrororists? alberto d'alotto: in the seventies, i was in exile in france after havingng left my country. i started to work in the struggle for human rights, and i hearard about

in your own country who have been radicalized. is that the biggest risk for europe? risk fork it is a big europe. for the united states, too. anyoesn't mean we don't get information about these folks. it is a risk. for both eu member nations as well as the united states, the freedom which is so beneficial is also one of the challenges these threats posed today. i know donald has commented on the events. how will this feed into the presidential contest? >> anytime you have a terrorist attack, whether domestic or abroad, it is going to be of concern to people involved in politics. inther running for office or office. this race has been about security. who has the most stable, capable hands to deal with threats that face the u.s. we will see it continue forward. a pan-european response, specifically in france, do you think europe with its challenges needs a more substantial policy response? i think there is no doubt this is not a problem to be solved by one nation acting alone. you've got to take a pan-european, frankly a western united states and allies in europe approach to this prob

, great to have you on the show this morning. how much do we care about q 2 earnings in europe really? >> it's a good question because obviously we had the uk referendum right at the end of the quarter and ting cynics may say this is what you manage to do in q 2. let's see what happens in q 3 and q 4. you may find some companies have a tough time in market share. yes going forward it's brexit. so i think unfortunately it's going to take a quarter or two before you actually see the underlying trends that are going on. before we had the uk vote, we were starting to see a modest improvement in the backdrop for european earnings finally. >> so you're not necessarily surprised when you see creos saying at this moment no impact from brexit at all. >> for companies like that in those particular areas with in each niche products. >> you've just spent two weeks traveling meeting clients in the u.s. and europe as well. what are they saying about t investment in europe. >> you have french elections next spring, you're got german elections next year, dutch elections. i think the u.s. and national

that in a moment. can i bring you back to what is happening in europe, and how the effects of the brexit are likely to be felt? my first question is do you think a difficult divorce can be affor avoided? how do you see it working through? well, first we need a plan by the u.k. government. it's difficult to start a negotiation without knowing where we want to go. would be a new region solution but that doesn't seem to please the british government, so what is the alternative? my fear is that we are in for a long negotiation and that is with the markets are afraid of too, . we could start with the region and then develop from their -- the swiss agreement took a very long time to negotiate. that's what the markets are afraid of -- a long period of uncertainty and the british economy sitting on a major imbalance, 7% current-account deficit. you can see the pound sterling. anna: give us a sense of your long-term view on the eu. will we see a domino effect? could we see other countries leaving the european union? will it remain, even a 28 member state? could the u.k. remain part of it?

great problem in ukraine and europe, his economy is in almost a freefall, so this is a guy that is not winning anything. charlie: but he is a player in the world. joe biden: he is a player in the sense that he is engaged in practically him as a practical matter, supporting a dictator who is killing tens of thousands of his people. so, if you call that a player, influential in the world -- no. charlie: a willingness on the part of russia to talk about a new constitution in syria, where a sawed -- assad is still there. ian: that is something they are willing to engage on with the americans and i think that america has had useful conversations. they talked about syria a couple of months ago, and they are still militarily engaging. including an aleppo against the u.s. and you saw -- who could become the secretary of defense under hillary clinton, saying that she would be willing to military engagement of the u.s. directly in syria to try to stop assad from some of these attacks. charlie: let's assume she sticks to her defenses and hillary clinton is president, what would they do? they

the wake of the attack. >> for france, europe, and all thes here in the goalie a subject of the attack that has people celebrating liberty, a talent -- equality and fraternity. >> european car sales grow in june -- car sales in june slowed registration rose 6.5% from a year earlier. it marked the 34th consecutive months of gains of it was the slowest since last month. half salessaid first slowed by as much as 60% under weaker demand in europe. first half sales are estimated to have declined about 12%. maker of the watches have a costs have been increasing after the company decided to keep them flowing. >> that is your bloomberg business flash. >> let's bring back in michael krol spurred her head of european fixed income of blackrock. do i need to put what is just happened in nice, fronts and brexit in the same thought? >> i wouldn't connect it too much. obviously some of the underlying reasons are similar. if that would've happened before the brexit vote, analysts would probably point to it as one of the reasons which led to the effective immigration being quite relevant. connec

the soldiers were marching down. in all of scandinavia and western europe. that is thanks to the three speeches that took place this very day 75 years ago. two of the most celebrated today's in modern historofdays e is little known today. winston churchill warned that hitler would turn his full fury on the british isles. his wife made me promise i wouldn't do a winston churchill imitation. it depends the survival of christian civilization. if the whole world including the united states and he's making sure americans including the united states sinking into the abyss of a new dark age. he roused the people for war and despite desperately depleted war after thforafter the debacle ind france he braced them for the battle that would forever after be known as their finest hour. a little known is that in his conclusion of the speech, he warned that should, or rather he invoked the notion that sugar can fall, because there was no guarantee brick-and-mortar not fall in the face of the impending nazi onslaught, that america would one day come to liberate the old world. the bbc from london

europe's biggest banks report falling profits, we will analyze why and bring you our interviews with the ceo's. with corporate earnings season in full swing, what has been the impact of brexit? we will bring you what they've been saying. this is bloomberg. ♪ swiss re service re -- has reported a drop in second-quarter profits. i'm very pleased to welcome the cole whoiss re david joined us on the phone from zurich. thank you for joining us. how does your industry grow? grows our industry basically as the world economy grows, and also as the world's appreciation of the value of insurance increases. insurance plays an important role in allowing long-term investment to take place. it allows businesses to take risks. it allows people to protect their families. it is a very long business model. there's areas where insurance can increase penetration. francine: overall, there's so much concern about growth. where do you see potential to grow if the world economy is staying where it is now? not outlinee driven. we believe in maintaining good discipline in our underwriting decision-making. we se

quarter. alphabet, amazon are reporting. europe, the themes are banks. we get an update from the troubled lenders, deutsche bank. are things improving? getting out a heavy earnings pack. switzerland's -- reported a rise in first-half's profits. we spoke to the ceo in a bloomberg first word interview. >>, we wererth -- looking at low trading volumes. if there was good news related to brexit, it is that investors are back in the market trying to understand what to do. activity levels have picked up across the board. asia, europe, americans, we see clients being engaged, needing a lot of guidance. more to come friendly. -- more to come frankly. us,cine: here to join isabel. great to have young program. we have a huge week ahead of us at central banks and a lot of earnings. how does that translate into your world. isabelle: you were right, it is a very busy period. when we step back and look at where the market is gone, i don't think anyone thought we would be in the market -- inflicted the post-brexit at 25, if i look at effects of volatility, it is due to compared to where it was.

europe, it is also global markets rallying. i want to take a look at this because i have this chart showing with japanese stocks are doing. one of their broadest games in months. records and here you see the dow at 18.347. is an all-time high. we are into uncharted territories. and we will go higher. we're looking at a very modest earnings environment. down we are to see multiples push higher. eric: britain's prime minister is pulling up to 51 downing street. margaret thatcher was the first woman prime minister. with herlling up husband philip. here she is. let's listen in. this in an important moment in our country's history. following the referendum we find a date of great change. we will rise to the challenge as we believe the european union we will form a positive role for ourselves and we will make for a worlduntry not for the pre--- from which to view. those whodirectly to were disenfranchised, those who are looking more. she gave a very clear mission statement. she does not sound that she was a proponent of austerity. this country has been through a lot of the last six years.

the job done in europe following asia higher after the surprise u.s. jobs report. it's matching overnight gains with the nikkei 4% higher. >> confirms over the european steel plants. >> climbing to the top of the stock 600 as italy's economy minister facing the financial sector. >> also coming up on the show -- portugal takes the championship with a victory over france. we bring you all the highlights. so as said, for the first time ever, ever, ever. street signs is live on facebook. so thank you to those of you who are joining us online. we'll have extra content for you during the break. stay tuned for that. we'll be passing up to the newsroom and doing interesting stuff from there. >> official media, on what's trending. >> on twitter, facebook live, all over the place now. our european equity markets this morning, kicking off the beginning of the week slightly in positive territory we're seeing. the stock shy of half a percent. we were called a little higher. we had that much better than anticipated payroll data on friday. not too good in terms of we don't think they'll be hik

partner for europe. after that, it tails off. money has, using trumped everything so far. francine: will talk inflation. kit juckes, global strategist stays with us. slowing growth and rising inflation as the bank of england switches sides. this is bloomberg. ♪ francine: this is bloomberg's "pulse." this is as bank of england officials gathered to decipher the latest post-brexit data but hasn't considered slowing growth and fostered inflation. -- could see inflation rise to 2.2% by second quarter next year. still with us on set, to talk about pound and the fact that it , it is kit juckes, global strategist at socgen. when you look at pound, how much do you look at the boe would look at inflation? what they can do immediately? kit: i look at what they can do immediately and thereafter. i assume until i learn otherwise that the policy since after the 1992 the parts are from the are in is you look through the effects of the inflation. cutting rates of sterling fell through that period. so did the sees of economic recovery through the 1990's was very strong. seeds of economic recover

? phillip: you have straws in the wind, but the wind is blowing in different directions. in europe, they are desperate to hold together. what draghi is trying to do is is seeinga euros that the greatest economic disaster since the second world war to work properly. credit to him, he is beginning to do that. he is pushing against german objections on sharing debt obligations, etc.. in the end, i was talking to conservative mps who are remainers. we were discussing, what is the future? it might be one in which europe changes. associatedea of membership is given to southern economies that cannot survive under the present situation. even, greece, and yesterday, the americans said, look, europe, you need to solve greece. look at what is happening to turkey. geopolitical security requires it. europe will change, which might initiate the idea of a second referendum for europe. of stent simply looks unlikely. is theresa may trying to secure, quite clearly, the best conditions for the brexit. no one seriously knows what the brexit means. no one knows what its character will be. are we in the sing

will be one after this. the uncertainty of the political process in europe, that has got to play into the markets. where will that be expressed in the markets? kit: i think the political uncertainty generally plays through, as much as anything else, in the underlying economy. the uncertainty about politics make investment decisions harder. the general sense of angst and continued reasons for interest rates to stay low. i would not overstate the political environment in europe. realization it is a that there is not the quick fix from some political party that comes along and says, let's leave the eu or anything like that. i think more and more people realize these are deeper issues. next hour, robert withts will join us kissinger associates. we will speak to him on the distorted and changed international relations of france and america. from london and new york, this is bloomberg. ♪ tom: good morning, everyone. "bloomberg surveillance" from new york and london. scarlet fu and i and our team looking at the coverage from nice bench trying to make some form of intelligent conversat

essential pillars to british foreign policy. our relines with the united states and partnership in europe and we should keep both strong in the vital national interest. people can disagree with that, but that was my judgment as prime minister. come to saddam and weapons of mass destruction. for more than half a decade i have apologized for the inaccurate intelligence and particularly the intelligence that he had a stockpile of nuclear weapons. there was no fining that number 10 improperly influenced the text. but fining that the intelligence stab edwin dowd that saddam possessed wmd. i only ask that people read the reports given to me, first in march 2002 and then september of 2002, and many other occasions, for example, in note written by my senior adviser days before the military action. in hindsight we may know that some of this information was not correct, but i had to act on the information i had at the time. i would point out two other things. virtually every intelligence agency had reached the same conclusion and for very good reason. saddam's previous use of weapons, and eviction

. germany's chancellor angela merkel says there can be no sustainable security in europe but without russia. germany and its partners the -- agree -- an offer to have a dialogue. merkel told lawmakers she plans to boost defense spending by more than $2 billion next year. in australia, prime minister to -- toting leads form a majority in parliament according to an estonian tv projection, he has one with 82% of the vote counted. a three-day truce and serious civil war appears to be holding. still fighting continues between syrian troops and islamic state forces. the justice department has made noofficial, there will be criminal charges against hillary clinton over her use of private e-mail while secretary of state. prosecutors have ended their investigation. fbi director james coney testified -- will testify today. he recommended that no charges be filed. global news, 24 hours a day, powered by 2600 journalists in more than 120 countries. i am nejra cehic. this is bloomberg. tom: let's get words on a data check today. equities, bonds, currencies, commodities, futures, the 10 year yield

been a strong week in europe as well. up 3.4% for the week. germany doing particularly well up around 4% as we stand for the broader week. >> wilfred, the yen's biggest weekly drop in 17 years, really setting the tone of japanese stocks and sentiment around the world. as for the broader market picture right now, let show you the commodity trade with oil down 1%. brent down a percent as well. wti hovering above 45. brent above 46. 46.87. as for the currency market. the british pound having a good week with the introduction of theresa may earlier. 1.3417. continuing to push higher away from the lows ewe saw. as for the dollar yen, that's has been the mover of the week. it's going the other way a bit this morning. no, actually weaker japanese yen continuing up to 106 almost. better for the japanese stock market. stronger euro, 1n't 1135 and gold under a little bit of pressure. it's higher this morning, but just barely. still, holding near its highs for the year. now to this morning's top story. at least 84 killed after a truck driver drove into a holiday crowd in nice. ed to forensic inv

those negotiations on leaving the eu. actually, other governments in europe are not expecting david cameron to do that when he needs other eu leaders on a meeting and tuesday. what he wants is some kind of plan for what happens next. this is understandable. the will of the voters is to be respected. i don't see this where it is essentially the calamity that many are saying it will be. the parliamentary labour party, widened the no-confidence vote for jeremy corbyn. it was a resounding defeat, 172 votes to 40. there were no-confidence in the labor leader from within the parliamentary labour party. >> i am running in his leadership conference for one reason. one reason alone. i want the state i love, which has given me so much, to have this opportunity for change, conviction. >> i have invited you here today to announce my candidacy to become leader of the conservative party, and prime minister of the united kingdom. >> two of the circumstances in concluded,i have that person cannot be me. >> i don't care which man or woman wins the tory leadership and becomes the prime minister, prov

update to has onesignature law on company taking a bet europe. next. you guy's be good. i'll see you later [ bark ] [ bark ] bye. see ya pal. ever wonder what your pets do when you leave home? [ laughing ] aw you cutie pie. aw. aw. aw. aw. [ barking ] [ washing machine running ] party's on! know what your pets are up to with xfinity home. xfinity. the future of awesome. see the secret life of pets, in theaters july 8th. >> you're watching bloomberg west. let's begin with a check of your news.word likely republican presidential nominee donald trump was the western speaker at the conservative summit in denver, colorado. he discussed what the u.s. would like like if he wins in november. >> we're gonna appoint supreme justices who you're going to be very happy with. [cheering] >> such a big thing. willhese are justices that uphold the constitution of the united states and fully uphold it. >> as for potential vice presidential candidates, indiana governor mike pence is expected meet with mr. trump over the holiday week. the associated press says trump considering newt gingrich and chris c

europe. bank bailout in italy. is that the country most likely to suffer from contagion. >> depends if we're talking about market contagion. this is systemic politically and i think that is also underappreciated although it is a slower moving process. in italy we have high levels of euro skepticism. we have a referendum coming at the end of the year. what we know and has been highlighted by the uk rempd is how these kinds of oversights can allow people to show discontent. and reverberate far beyond the ballot paper. so more referendums. >> sara has a question from the states. >> numerous questions about how this is going to look once the negotiations start, but front and center is the trade relationship can the access to europe's open market. what are you thinking right now? what is the latest thinking do you think on the part of the eu. is it going to be norway, switzerland? where is the template. >> a few arrangements possible within the existing kinds of templates and one is the norway option, but norway requires in order to get access to the single market, it requires willingnes

have with the divided party and what are the repercussions in europe? we are just trying to figure out where it goes and what it means for us here in europe. tom: i totally agree and particularly nation to nation as may makes a visit to merkel today. now to our first word news, here's taylor riggs. taylor: donald trumps son announced that he had the number of votes needed to win the republican nomination. his son says that as president, trump will not take no for an answer. >> i know that when people tell him and cannot be done, that is when he guarantees it can be done. when someone tells him something is impossible, that is what triggers him into action. taylor: the convention also nominated mike pence. there will not be any hard targeting when theresa may meets with angela merkel. merkel has said there will be no concrete negotiations until the u.k. triggers the clause. may and merkel will talk with reporters later today. the crackdown is widening in turkey. the government has dismissed 15,000 teachers and demanded that all university deans resign. some religious moment -- resor

draghi will face questions over risks facing europe's economic recovery following the ecb's latest decision today. and the latest fund meltdown. singapore has an anti-money-laundering control theures, and leaving troubled foreign investment firm. ♪ welcome to countdown, everybody. i am anna edwards. manus: i am manus cranny. they warned us, saying the problems would be tough, dropping around 50% less. let us bring you the first news. first have sales coming in at 3.7 2 billion, that is down 11.4%, a little bit less than will the market was perhaps expecting. 353he operating profit, million swiss francs, that is down 53.6% annually. they expect the results close or equivalent to last year's, with that kind of pressure, this was last week, the stop dropping 14% on the day. the drop in profit they expected it to be twice what the analysts had expected. it is all about switzerland. anna: let's stick with the corporate thing. first-half sales rising by 5%, and roche confirming the forecast of interest, analysts say first half sales will be 20.5 billion swiss francs, a touch above the

claim the euro clearing business for paris. 30 minutes left in the trading session in europe. have a look at where the session is headed. down by 7/10 of 1% on the stoxx europe 600, falling for the first day. , the most since february. the gauge is 4% below where it closed june 23 before we knew the results of the referendum. it has fallen almost 11% in two trading days. i want to tell you what is happening in the banking industry. the worst performers. six of them are italian. though -- the worst is monte dei the banks tong fresh concerns. it is under pressure to bolster its finances. ecb asking monte passkey, italy -- ecb asking monte posse -- lower towardso the end of 2015. italian banks leading the decline. an astonishing pmi number on u.k. construction. it unexpectedly shrunk at the fastest pace since 2009. it in 2013. the index flipping to 46 from 51.2. any figure below 50 shows a construction -- contraction, showing evidence that the economy was hindered by uncertainty before the brexit vote. worst performing sub index. commercial building also shrank. civil engineering was st

. this is obviously a very frightening time for many people in europe. it was just three days ago that an afghan refugee was swinging an ax. they later found an isis flag and isis propaganda videos, suspected of featuring the teenager. while it's certainly too soon to say what the motive is in this particular mall shooting, weapons are very difficult to obtain in germany. and elsewhere in europe. so those were able to get their hands on them have to go through an extensive amount of effort to obtain them. we're also on the heels of that horrific terror attack in nice. i just arrived from there yesterday. where 84 people were killed and more than 200 injured in an isis-inspired act. we're going to see a ramped up number of these attacks all over europe, as isis, jihadists, whether they were trained or just inspired, are determined to attack as many people and take as many lives as possible. >> what you're hearing, will, is that the police say this incident is not yet over with? they're still on the scene, they're still concerned? >> it's a very large police operation under way right now