tv Bloomberg Markets European Open Bloomberg March 8, 2019 2:30am-4:00am EST
progress has been made. i am more hopeful than i have in in a long time. vowed as the u.s. turns its gains toward europe. >> if that were to happen, we would have to impose rebalancing measures and are relationship with other areas would be very difficult. >> concerns over global growth hit feature pitch as we mark 10 years of the bull market. whothe u.s. job report optimism a grout growth?
live pictures coming to us from spacex. it is autonomous lee undocking. we are yet to see the undocking -- we cannot see it that it should happen in the minutes ahead. it is set to return to earth in about five hours time. this had been an unmanned test but could be used as a primary means of transport between the iss and earth. reliance oneavy russian capability. it will be interesting if there is a rival to provide that. let's leave this story there for a moment and talk about equity markets. this is the picture on european future markets. negativity to filter through here. the chinese export data gloomy. gloomy data out of germany as well. down to 6%. much below estimates. that shows you where some of the weakness is coming from. the chinese market is weak. over 4% at one point.
the hong kong market reflecting that. singapore, indonesia, maine the markets in negative territory to read there are some signs maybe the chinese want to take some of this out of the chinese equity markets. a self all. one thing that has got people thinking maybe that is the case, and we are keeping an eye on the european -- indonesian rupiah. continuing to bring live pictures of the spacex vehicle which is docking as we speak and making its way, and five hours time, it is going to reenter earth's atmosphere. we will keep an eye on those pictures for you. signs in asia fall on china is trying to slow down the equity raleigh delly rally.
reignited concerns on global growth. it remains at the lowest level since 2007 team. into the program and i have not mention the ecb. the market life strategist. i'm going to save it for a moment and talk to you about china. we are seeing a lot of selling. there is talk this is being orchestrated or condoned by authorities? week, it has been brewing up and there are stories about shortselling. a rare sell order against a specific stock. we have seen a few other voices wasng the china rally overheated. there have been a few warning signals and we are seeing less balances thanon
usual. it is not a huge surprise we have had a bit of a week friday. what took the balis was the trade data was much worse than expected. even allowing for distortions over the new year. . that is what is reflected in the german factory orders. the two go hand in hand. funny of excuses for people who want to take money off the table. is up a tremendous amount. it is overdue for a positive. most people will look at this as a necessary correction and it in a few days. >> expand on that slightly. quotehina stocks have a healthy correction. we have seen them overbought. is this being perceived as something healthy? it is hard when the shanghai
composite is down 4.4%. >> if you are holding stocks and you lost 4%, i'm sure you do not feel healthy about it. it is noty markets, such a huge correction of course. people looking at the medium-term, they are thinking china has put in a lot of stimulus. they're expecting second-quarter data. early signs because of the liquidity, earnings could start to improve. cut vat. also targeted in their measures help pitying -- helping medium-sized companies. the number of measures that will take a little while to come through and people are hoping
the data will reflect that. outlook is not too bad but chinese markets are volatile. we may get a few more will be days. what is the expectation around a trade deal? we rallied around the expectation something could be signed. we have not had any confirmation of anything coming through. as we see this gloomy data picture, any news around a trade deal would be well received. >> it looks as though both sides, the u.s. and china, would like to get this deal done. for the sake of global trade, everybody would like to see this put behind them. numbers show it is having an
nasty impact. hopefully we will get more positive news. it sounds like china wants to have one more round of positive negotiations, but home knows -- but who knows? hopefully sometime they can sign off and people can get on with their lives and we can look forward to a better global trading environment. >> suggesting no preparation on the summit is underway. we will continue to watch for a date. will china stocks have a -- .out to tv let's get a first word news update. >> the european union is urging
the trump administration to stop imposing tariffs. the president has repeatedly with tariffs hit as high as 25%. does impose auto tariffs, the eu would have to retaliate. >> we would have to impose rebalancing measures. our relationship on other areas would be difficult. he claims the presidents family cheated him out of millions of dollars of legal fees. it is likely to prolong the bitter feud between his -- the president and his former lawyer and fixer. the outcome of next week's brexit vote is in the eu's hands. that is what theresa may is expected to say. made arstand they have
new effort, but it falls short of what britain wants. global news, 24 hours a day, powered by more than 2700 journalists and analysts. >> thank you very much. trumps topr from diplomat in china. why he is bemused by the hrategy around while way -- uawei. that is available to you along with bloomberg tv. this is bloomberg. ♪
>> welcome back. from thes away from start of equities trading. global growth concerns will continue to work their way through europe. gloomy german data. bankche bank and commerce are resuming merger talks. this is a story that lives and lives. we have focused -- covered it many times here. we'll watch that story with interest and talk more about european banking in the next half hour. let's talk about what is going on in china. the top trump diplomat has
blasted the strategy over huawei. branstad told us the lawsuit seems bizarre. >> progress has been made. i am more hopeful than i have been in a long time. beijing.ins us from a good morning to you. what did the investors say about where the negotiations stand at the moment? >> you are right to point out the conversation was part of this discussion with the u.s. ambassador. trying to divine where the trump administration stands in relation to these ongoing talks. we have the hawks and doves on these conversations. gavenk the u.s. ambassador
clarity. he said he is more optimistic than he has ever been in his post as u.s. ambassador about the trade conversations. there will be a deal. he talks about the fact it would have to be a deal that is enforceable. i asked whether or not terrorists would be part of the mix. the key focus was that they did not repeat mistakes of the previous administrations. he says the discussions are really focused on that at this stage. they want to get improvements around intellectual property. as well as agricultural purposes. a line has dropped on the bloomberg saying china will be banning textiles. we have heard they are going to be bolting up intellectual property. he did not spend a lot of time and was not going to be drawn on
deep structural changes. his focus was on purchases, intellectual property. tech transfer. >> thank you. that rings that's up to speed on what is going on with the trade story. huaweibbly story, -- story, his, and it is bizarre. what is bizarre about this? >> i believe this is the first time the u.s. has officially responded to this case, this suing action. , as youthe ambassador say, thought it was bizarre. a form of retaliation. category in the same after steps they took canada arrested the ceo of huawei.
china imprisoned canadians, former diplomats. to legal no access teams. of retaliation. he put it in the same category. the actions by huawei are a former retaliation that will not do the company any favors. the u.s. is on a campaign to worldce people around the while way is a national security risk. -- theunched this action ambassador to china is optimistic with a few caveats. thank you very much. the china correspondent joining us from beijing. europe may be looking at $1
trillion in dirty money. against the brought banks only represents a tiny fraction of the laundering in europe. he filed a criminal complaint. handedged the lender >> theled money -- investigation continues to lead to new evidence and new information and new suspicious transactions. as long as it does, we will take the evidence and follow it where it leads. over $500as secured million in loans. this puts it one step closer to model three sedans at its first overseas plant. they spent years negotiating authorities to be the first foreign manufacturer in china. are reportedly reviewing elon musk's security clearance.
he has refiled his form. that is your bloomberg business flash. >> thank you very much. international women's day. as the pursuit of international -- companies see the benefits of diverse leadership. investors have a way of targeting more diverse firms. with celebrate women's day the barclays women in business fund. that -- itompany's tracks and index that picks a maximum of 10 such stocks from each sector. some companies include gm, ibm, grumman.and northrop the premise is gender diversity
leads to better decisions and better returns and will pay off with better returns. there has been a steady increase in assets. over that time, and trailed the s&p 500 by 20 percentage points. this year, it has willed itself to returns topping the benchmark. it has an expense ratio of 45 basis points. it gets a yellow light in the bloomberg system. focus on international women's day continues. we will talk about what is going on in the equity markets. we will take a look at stocks to watch. bankr talks with commerce are intensifying. we will have more on the biggest story. we will talk about that next. this is bloomberg. . this is bloomberg.
for a while it seemed it would go elsewhere. ask elsewhere being apollo. that beating apollo's offer. the price tagged, $4.37 billion. been going on for a while. how much of a rally we will see is in question because the takeover has been priced in. here, 793 pence, is lower than yesterday's share closing price. should be interesting to see just how much investors are willing to bid up the price. >> let's come to you on the bank consolidation story. , once again. story what is the latest? >> it is a new chapter. it feels like the book has a thousand pages. the banks are intensifying their
talks. there were mandates from the board. we will see where this leads to. perfect timing, i guess. rates will be lower for longer. banks selling off as a result of some of what we heard. we need to keep an eye on anything related to global trade and global growth, don't we? definitely. we see a lot of shares in the red. we trade data. the shanghai composite down 4%. factory orders missing this morning. this is missing on every share, i guess. >> thank you for joining us. you can get all the latest stock stories. first go is the function to use. on the market open, we
all of you. how you live, what you love. that's what inspired us to create america's most advanced internet. internet that puts you in charge. that protects what's important. it handles everything, and reaches everywhere. this is beyond wifi, this is xfi. simple. easy. awesome. xfinity, the future of awesome. anna: welcome back, one minute
to go to the start of the trading day. let's look at how we are positioned. the euro actually catching a bit this morning, not by much, but making up lost ground from yesterday. a 1.11 handle after the barrage of news flow. now has a 1.12 handle. global growth certainly one of the things we blame for the selloff in equity markets and other risk assets. this is the selling we have seen in china. down by more than 4%. is state ok'dis selling?
through with ag selling a chinese stocks meaning they are quite happy to see some taken out the stocks. equity markets are expected to go weaker but dax and tax futures of down. we spent to see concerns about global growth being played out. there is concern around the growth story in china with the data coming through a little week. to be toldstory about something we can pick up on with our guests. data, alln the export of this data in germany certainly won't help sentiment in that particular economy. looking ahead to the u.s. jobs report due later. how much optimism can we had back into the global growth story as a result of that data? we will talk about jobs in the u.s.. this is a we see on the equity .8%.t, down by .5% and
let's thought he what's going on in the sector by sector. weaker, material stocks weaker, no surprise when you think about the read across into equities. we also see a bid for health care. no staples also going higher surprise we are seeing a flight into those resilient sectors as market selloff. is a weak spot, financials continue to be a weak spot. keep an eye on the sector picture, but no surprises in that picture given what we know. let me tell you a little bit about what is going on with individual stock movers. to the upside, making another move higher after yesterday's strength.
as if you look at it as a percentage change basis. i'm looking through on a points basis, i can see sanofi is one of the biggest gainers. let me have a look at the downside. we're seeing this fashion business and maker of eyewear. the biggestck is loser of the stoxx 600. 3.5-5%. sales growing it is interesting to see this and their update being taken negatively. that's how we look across europe . that is as cut forecasts at the ecb reignited concerns about global growth. joining us now is the head of equities at bearing investment services and she's with us for the next half hour. great to have you with us.
let's talk about where we are in markets. some are still talking about a goldilocks scenario in the u.s.. how concerned are you? >> we are definitely seeing a global slowdown. we think we peaked last year and there have been a lot of data points to show that the world economy is slowing down. it does not mean it is the end. global growth is still growth. bill the a lot of bumps along the way. is a lot of, there .timulus listen to the pipeline are we might be seeing the worst of the slowdown. we are seeing policymakers turning dovish but we have also seen fiscal levers being pulled.
let me talk to about where we yearsome it marks 10 since the start of the bull market. theve a chart that analyze point at smaller mid-cap stocks have done better than the s&p. invested in amazon, you would be up 2000% since 10 years ago. is this a bull market continues? -- that continues? ghadir: what we're seeing in the u.s. and tech stocks is that we are moving. talking about using the changes in technology to enable loads of changes globally. it connects landscape of what companies are doing and where they are getting growth is outsourcing,rnet, moving on to online sales.
enabled by the fact that we have internet and smartphone penetration. we're talking about a completely different economy from the one we saw 10 years ago. have seen a big transition, more digitally-based companies. it is interesting to me that we still have low on of limit. we might have thought that we would've needed people lesson technology more, but we see low unemployment and the u.s. and the u.k., certainly not elsewhere, maybe when i ask you about jobs data in the u.s.. are you expecting it to reinforce fears or hopes? want to dial that back and say investment we had in digitization and r&d strange the way efficiency is gotten out of the companies. it is all about transformative tech. but the economies themselves
have been doing well. allowed employment to be quite high globally. because tightness of the labor u.s., we're seeing in the we are improving. for us, it is important to see what happens from now on in terms of that sort of wage and demand. interesting to see how that story runs up against a host of central banks. we will return to those themes in a moment. thank you very much. she stays with us for another 20 minutes or so. germany's two biggest lenders are setting up merger talks.
bloomberg understands that deutsche bank and commerzbank have intensified formal discussions after the german government pressure on the firm. joining us now for frankfurt is our banks reported. in years runs and runs of this topic in place. the new thing is now that the , we knew they were not informal talks before. the ceos have met before and the merger has been in the headlines for so long. a step up ofto be those considerations. it was previously resistance to the move and that resistance has seemingly decreased. note developments seem to be new and therefore make the merger more likely. anna: thank you very much, our
anna: welcome back. 10 minutes into the trading day, a european equity market that looks pretty negative. down .7% on the ftse 100. the u.k. market not being spared this selloff we are seeing. the dax and tech both down. concerns about global growth to the four. let's look at intermodal -- individual movers. >> one stock dragging the ftse down is gdc. if it can hold of these losses, it will be the biggest loss is 2008.- since the ceo and chairman selling an equivalent of 3 million shares. see that we are far below that. , it cut itsbling bonus pool by 25%, showing
investors just how much costs are a concern. it all comes down to the record money laundering settlement that they had to give. forcing them to not only cut the bonus pool but also the ceos bonus for the year. finally, volkswagen down 1.5%. they are reducing their staff, there's a similar story here in terms of cost concerns. reducing the story by thousands of workers. idea being that electric vehicles are more expensive to produce and therefore we have to pull back the reins on spending. interesting that auto parts of the worst-performing sector. there is a supply to the equipment manufacturers. thanks very much to dani burger for that. , theyng with global trade say that the eu will have to retaliate if washington imposes carter's -- car tariffs.
they asked they hope it does not come to that. not seen the report headed to the president. we hope they will not recommend tariffs on cars. it would be very harmful for our economy, it would be harmful for the global economy, and for the u.s. economy. many cars are produced here in the u.s. with car parts from europe and they sustain many jobs as a whole. investmentade and supports 7 million jobs in the u.s. and we have a strong relationship and do not want to jeopardize this. this will affect the whole iobal economy, and as understand, nobody is asking for these tariffs in the u.s.. if that were to happen, and i really hope it would not be the case, we would have to impose rebalancing measures and then our relationship in other areas would be very difficult.
anna: talk to us about any rebalancing retaliatory tariffs. you us about which sectors look to if you had to be forced there. >> we have started to prepare a draft list. it is not public yet and i don't want to go into that. it will have a value around 20 billion euros, but i hope we do not have to do so. europe is an ally. the wto working on china, addressing some market distortions that are there. of course, that work would be much more difficult if this happened. site heard mario draghi protectionism as a contribute factor in investment slowdown. we also know that a lot of european companies sell a lot to china. to what degree would you say trumps trade threats and actions
vis-a-vis china have contributed to the slowdown in the european economy? most international organizations, the oecd, world bank, many think tanks have warned that these escalating possible trade war protectionism is bad for global economies. tariffs are not making us richer in any way. of course, we are so interlinked with each other. it has an effect on all of us. situation,ar is the it would be worse. that was the trade commissioner speaking to bloomberg. interesting, the links into the european economy and global trade are evident and much talked about. with that in mind, what is your assessment of what we heard?
there was no ecb put there. others say that he did it too little in terms of stimulus. there are too many conditions attached and the guidance. . ghadir: they are being cautious globally about ensuring worries about global growth does not transpire to being a full-blown influenza. when we are talking about is both the ecb about what they they were doing and of stimulus in their view to enable the global economy to have a softer landing. you can't really tell the outcome of it. whether it is the trade wars we're talking about and in china
, because these uncertainties are unaccountable they cannot figure it out. isn't that what they said? i think they are just being there to ensure that the european economy does not go into too much recession. anna: were you surprised by how the banking sector responded to what we heard? i got this chart which shows the weakness in bank stocks. we see once again that bank stocks are weaker. the eu promising cheaper loans to the sector in the hope they can push through more lending to the economy. and yet banks selloff. is that because of the nervousness outweighing the support being offered? ghadir: banks can only learned if there is demand for loans. anna: exactly what our guest yesterday said. this is a theme we are getting. not enough demand. yes, the global economy
faces so much uncertainty that there was a slowdown. there is a data and you look at chinese investment data. that means less demand for loans , which means you stimulate as much as he cap when it comes to the slowdownmoney in global economy is much more of a factor than just being able to have this cheap money. the amount of selling we have seen has been weaker and weaker. you buy bank stocks? what consolidation in the sector make you buy stocks? it is case-by-case. quite a lot the selloff that to aned was in reaction
lot of the cases put out across european banks. therefore, you have to be careful when you are buying which banks to buy because you have to be comfortable when not going to be hit by these one offs. because of the slowdown, it is very important that you are careful. of differentt factors that come into competition. we are talking about changes to the landscape of bank lending and where companies go to get cash for future investment. there are a lot of factors to consider before you think about banks in the traditional way. anna: certainly a changing marketplace. let's take a look at sectors on the move as we head towards the break. using the grr function, showing
us which sectors are worst-performing. you can see that all except real estate in negative territory. auto parts the worst performer. some suppliers to the car manufacturer coming off worse. global trade is a big factor. resources also weaker as a result. banks down 1.1% following yesterday. up next, the lunar new year and trade war concerns weigh on chinese shipments. we talk about the latest warning signs this is bloomberg. ♪
anna: welcome back. 23 minutes into the trading day. let's have a look at markets are trading, negatively. down by .5% on the stoxx 600. some of the worst stocks in london down by .7%. basic resources one of the worst-performing sectors. devil is in the data. chinese trade slump in february with imports and exports falling more than estimated. the numbers have added to a growing narrative of weakening global growth. stocks in china fell the most in 2000 19. -- 2019. the head of global equities is still with us. thellustrate the point,
shanghai composite is down by 4.4%. this chart illustrates the selloff quite nicely. percentage of the stocks is the highest in last four years. where we primed for a selloff? ghadir: a slowdown in the chinese markets. we had massive demand of the markets. on worried about global growth. that was all completely reverse on expectations we would get a trade deal with china and from the ecb. there are not going to be a too much. whereg at the data they're going to be looking in the future is about global data, not just u.s. data. chinese markets reacted really strongly to that, we have seen
chinese equities, particularly in the domestic market, move very strongly. fire witht on the more chinese inclusion in the msci and then everything went to the races. anna: you mentioned we should have been expecting. this is our markets like question, asking if this is a healthy correction, ". going to be developing into something more sinister? i guess it depends on where we go on trade whether you get a date in our diary for a trade meeting. ghadir: it takes two to tango, but it is two things. there is an expectation about some sort of deal happening baked in. is a stimulus that chinese authorities have putting in the market. will not bear fruit in the
first quarter and be something we see in the second and third quarter of this year. was means that the market just overheated and overextended for any of the positive effects of the stimulus come through. briefly, do think the fiscal stimulus is a sort of time lapse? as a make you want to go back in and by someone stocks? ghadir: we think china is one of the markets nobody can ignore. a destination,me the second largest economy in the globe. stufflot of positive we're seeing with technology etc. are happening in china. 400 million millennial's. theus, china is headed in right direction. anna: thank you very much. the global head of equities at bearings. genderup, the push for
just say teach me more. into your xfinity voice remote to discover all sorts of tips and tricks in x1. can i find my wifi password? just ask. [ ding ] show me my wifi password. hey now! [ ding ] you can even troubleshoot, learn new voice commands and much more. clean my daughter's room. [ ding ] oh, it won't do that. welp, someone should. just say "teach me more" into your voice remote and see how you can have an even better x1 experience. simple. easy. awesome. anna: the devil is in the data,
stocks around the world slide as german exports slump and factory orders does it. but even if the trade war bites, they are optimistic a trade deal can be done. has beenicant progress made and i am more hopeful now than i have been a long time. anna: the where the maelstrom. the eu trade commissioner vows retaliation if the u.s. turns its gaze towards europe. to happen, wee would have to impose rebalancing and our relationship and other areas would be really
difficult. anna: concerns over global growth hit the fever pitch as people hit 10 years. can't the u.s. jobs report boost optimism around the world -- around growth? welcome to "bloomberg markets: european open." 30 minutes into your trading day, let's have a look at how the picture is shaping up. it is a negative day and most stocks are in negative territory , most sectors in negative territory, but there are standouts. 2%, they had numbers out. actually popping up. at performers in today's session. up by 1.8%. i see commerzbank up by over 1% as well. there was focus around a similar story.
they have given the bank sector a bit of a boost in germany up by 1.1%. gvc is one of those laggards on the ftse 100 is way down on the index. the management selling their stakes there. the eyewear maker, stocks down by 4.3% let's get a first word news update. 20 months ago, as the ecb downgraded its outlook for the european economy, some policymakers see even this as too optimistic. bloomberg says they think the projected pickup might not materialize. mario draghi says growth risks are still tilted to the downside. trump's former campaign chairman has been given almost four years in prison for financial fraud. sentencear lighter than the advisory range of 19-24 years which a judge described as
excessive. but it could get worse, he faces another potentially decade in prison when he faces conspiracy counts next week. the brexit vote is in the eu's hands which is what theresa may is said to say. bloomberg understands the eu has made a new offer in its bid to break the impasse but falls short of what britain wants. she hopes to get legally binding changes ahead of next week's vote. global news, 24 hours a day on air and on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. anna: thank you very much olivia hows. we are marketing the 10 year anniversary of the u.s. stock market will run. sebastian salek takes a look at the last decade. populare most yardstick, the start of the current bull market was pegged to the s&p 500's closing price on the night of march 2009. it was the low point of the 17 month bear market and erased 57%
in value from equities heard the next day, a new market would take root with the s&p rallying 22% and 65% by the end of the year. gains, it was not until four years later on the 28th of march that the s&p thelly recouped its losses s&p has surged more than 300%. the annual equivalent return about 18%. has not always been a smooth ride with the s&p correcting the most severe in the summer of 2011. on the eighth of august of that .66%, the single worst day since the bull market began. ,> if you are just joining us the united states of america credit rating reduced by a standard, the s&p lowers the united states long-term rating. >> the markets would rebound and
eventually become the longest on record. people rallying for an end. the median forecast of strategists tracked by bloomberg had the level of 2289, equating to about 3.5% gain. a 15% runoff from where we ended .ester -- last year. anna: we are also marking international women's day. the theme of this event is balance for better, meeting the better the bounds, the better the world. here, the financial services industry has one of the largest financial pay gaps. this entrepreneur reveals how the tech company she cofounded deliberately targeted a 50-50 gender split in its latest funding round.
they managed to bring their financing to $12 million as a result. joining us now is anna sinclair. -- emma sinclair. me why you decided it was so important to get 50-50 funding in this way. emma: i believe in putting money your mouth is. every week, we hear that statistics and a long list of negativity. negativity in my mind breeds negativity. my cofounder and i decided we want to be part of change and i wanted to have a positive statistic i could quote when everyone asks me why is it that only 2% of women get money from venture capital. i wanted to have something fantastically punching -- p unchy. anna: have this influence how you went about getting the money? did you have to do a different pitch? i had to be very
entrepreneurial. typically for a business like mine, because we are growing and scaling, we are not a startup. you get to a fund and secure maybe 1-3 large checks about be a smoother process. you need to begin with a bucket full of people to seek out the money i needed. i really had to dig deep and seek women willing to write checks for my software. resonate with everybody, so i really had to hunt, it took a little bit longer, but i was absolutely certain, as was my cofounder of a that we needed to do this. business, we preached adversity and inclusion and it should not just be a buzzword sometimes you just have to be the change. anna: tell us about what you think the issue is in technology. as you say about there are incredible, depressing to statistics, and in your case, i know you have cited some around founders do not get a share of the business that maybe the men
got. what is going on in tech? to that point, it is that 50% of women get founder equity but it represents only 16% of the shareholding. but even when women do, it is just not an equitable seat at the table and that tends to be pretty pervasive around most areas. anna: is that because not all founders are created equal? emma: i believe in a world where it is about talent, not gender. it is how i have operated, been brought up, and moved to the corporate world. as much as i do not always feel it, it is demonstrably true. anna: tell us about your group. this is essentially enterprise software that helps to keep in touch. we power the corporate alumni networks of large enterprises. if you think about it, all companies want to protect and promote their brands, and if you
do that well, you can recruit and sell better. harnessing your alumni is something that was overlooked, so that is what we focus on. anna: -- and i hope you have our ticker on your screen in a few years time. anna: come and see us again when you do that. it is international women's day, and we're talking to a host of women. of also tried to get a sense their games. it is perhaps more the question. international women's day, we hear statistics and reports to give insight into what is not great. i can think of a long list of ways corporate's can affect the two. they are selling to done corporate's and can win payment terms. if i had one ask, i would say
they should have preclusive trivet -- procurement. aey are required to spend percentage on diverse teams with female. founders were diverse teams. . i think that is a great way to ensure that money gets spent on a wide variety of businesses. anna: thank you very much, thanks for joining us is morning. -- this morning. one of the biggest losers today. this is semi-conductor suppliers. earningsa weaker outlook and you can see falling sales and 2019. analysts know that it's a visibility is still poor for the company. won't play soccer for commerzbank and deutsche bank continues. you have been talking about that this morning. and looks like the merger is stepping up. top executives in talks according to german magazine focus.
commerzbank down from the highs of as much as 1%, now just about half a percent. deutsche bank, for its part, a slight decline following most banks lower. a big gain over here, about 18.5%. mike allen has actually said he is stepped up his bid for the company, of course, ashley is from sports direct is called for a meeting to remove all of the board members, if not most, and put him in charge. anna: think you very much. up next, shifting the blame. theresa may will not support that in europe's court with a speech to it but will she win any more concessions before next week? that is next, this is bloomberg. ♪
anna: welcome back to the european open. 44 minutes into a negative trading day. it is international women's day and they have unveiled the ranking of representation of welfare and women in the workplace. here are the reports and i will hit you with a lot of numbers. the highest-ranking, sweden and new zealand make up the top 30. billions, that is the boost to the u.k. economy if they match level seen in sweden.
14 is the number of places thehas dropped in the rankings. . five is the number of nordic countries in the top 10 spots of this year. $6 trillion, they say increasing female employment across oecd nations could lift gdp by the cement. 47, the place china would be ranked if it were to be fully included in the survey. now, to brexit. to shiftay is looking the blame for the brexit and pass onto the european union. the prime minister is suspected to say that the eu's latest offer on the irish backstop is insufficient and's further concessions are necessary. joining us from brussels is our government reporter. good to have you with us. are we going to get a brexit breakthrough in the next few days? i heard jeffrey and others talking about working through the weekend. i suppose anticipation is a fever pitch in brussels. >> it depends on what you mean
by breakthrough. i think they will come up with something, but we should also be clear that it is probably going to be far, far less interesting than the mps, particularly pro-brexit mp's really want. to swing theough deal. people in brussels think it won't be. the next question is where do we go from there? you can see in what theresa may is planning to say in her speech later today that she is beginning to shift the responsibility back onto the eu. realize thatsides they are really far apart in their expectations of what a breakthrough can be. anna: and what is theresa may likely to say? and how is that likely to be received? do we know much about what the picture is going to be? >> she is going to tell them
that it is up to the eu to make concessions because she will say the u.k. has done all that it can and the eu needs to show some flexibility. hearkens of message back to the early days of brexit negotiations with the u.k. was saying we were the powerful ones, we will get what we want. the trouble is that this kind of tolying talk might play well a domestic audience, but it really does not go down very well in brussels and across the eu. it is not up to us, you are the ones who chose brexit, who decided to leave the eu. we made our red lines clear from the start, it is not up to us to bear the responsibility and to give you things. i'm afraid that even on insert nationals, she is not -- on the international topic, she's not going to get what she wants. anna: interesting to see, thank you very much. in a reallyto see long peace by one of our colleagues in westminster about the attorney general. has been put as
point person but will not tell his cabinet what he is up to, such as the trust amongst the cabinet. -- deteriorated. let's get back to a top story. an american talked at length in china says the two sides have made headways in trade talks. thatmbassadors stresses there are still plenty of issues to work on. i think the president is interested in doing what previous administrations have not been able to do. that is address the fundamental issues such as the transfer of technology and enforcing intellectual property rights and access to certain aspects of this market that have been closed you know, we have talked about that and we helped china get into the world trade organization way back in 2001.
they promised time and time again to do these things and failed to do so i think president trump wants to be the ones that get something significant and lasting accomplished. i know that the people negotiating this are very strongly focused on those issues. ambassador lighthizer is tenaciousone that is and a very focused on getting something that is going to be significant and enforced. if we get a deal made up primarily of reducing trade barriers, huge purchases of things like agricultural products and energy for the u.s. , but just promises on structural reform, is that still a win, do you think? >> that is a problem of the past. we have got these promises time and time again from
administration through administration and they have not been, they have not followed through, it has not been accomplished. mnuchinwhat secretary and ambassador lighthizer are focusing on is an enforcement mechanism that makes it possible to enforce it or penalize china if they don't. >> and that enforcement mechanism will involve the use of tariffs? >> i am not sure what that is. obviously, the use of tariffs is what has really brought china to the bargaining table. convince them that there needs to be fundamental changes made i don't know the details. obviously, i have confidence that the negotiators, the lead , ambassador lighthizer, is focusing on those things. in terms of the enforcement
mechanism, is that the key sticking point? >> it is one of the most important aspects on it. mechanism enforcement . anna: that was the u.s. ambassador to china. concerns by global growth certainly coming through your what will the u.s. jobs report hold later on in the day? cannot turn the tide on global expectations -- cam back the tide on global expectations? up next, euros trillion dollar problems. an investor tells bloomberg about the scale of money laundering in the nordic region. we bring you that interview next. ♪
our investigation continues to lead to new evidence and new information and you suspicious transactions. as long as it does, we will take that evidence and follow it where it leads. where we find money and money laundering, we will make complaints to law enforcement agencies of the countries where we find it. anna: let's continue coverage of the story and go to stockholm where our reporter is tracking the latest. how are nordic banks dealing with a fresh round of money-laundering? we have got belgrade are talking about the problems across europe , but in scandinavia this is taken on special resonance. >> that's right. . here at a conference about the banking system, but really the elephant in the room is the allegation that millions of dollars were funneled and andneled out of russia money laundering, criminal activity and banks that did not ask the right questions.
very much that banks like dansk and swedbank have been very much in focus. swedbank very concerned, share prices dropped 20%. they said they are looking at the allegations, but more cap's coming. looking at danske bank, this is an institution hurting from the allegations that it also moneynged -- channeled out of their estonia branch. have had reputational damage that still continues to hurt. regulators will try to say that this is what we want to do and avoid some of the mistakes we did in the past, but the markets are very concerned. this was a very transparent, squeaky clean country. indeed, thank you. andt of focus on regulation whether they can breach the gaps and when nation state regulations and a lack of oversight. that's it for the european open. up next, surveillance,
francine: some ecb officials think the downgrade outlook is to bullish. they say the weaker outlook mean a softer break. in the red, chinese stocks sink and traders say the government wants to slow down. getting together. deutsche bank and commerzbank are set to intensify merger the long discussed combination finally happened? welcome to bloomberg: surveillance on international women's day. we h