tv Bloomberg Markets European Close Bloomberg April 17, 2019 11:00am-12:00pm EDT
30 minutes to the european close. from london, i'm guy johnson. vonnie: from new york, i'm vonnie quinn. this is "bloomberg markets." guy: let's take a look at those european markets and show you what is going on. this is the story. stoxx 600 looks pretty dull, only up 1/10 of 1%. however, there is something more interesting going on here. london is underperforming because mining is lower. that is because iron ore is -- becausee of of vale. german mark it's doing pretty well. the reason for that, china. gdp numbers overnight -- yes, i know when you dig through them, there are areas of weakness -- more broadly seem to have been a more risk on sentiment driven into european markets as a result. the auto sector, as you can see,
up by 1.80% on the same day that we saw another month, i think the seven-month, lower for european auto sales. the european auto sector is not responding to what is happening in europe. theoretically, the euro should benefit from the china story, too. the german economy starts to recover, and that should improve the position of the european economy more broadly. it should help out the ecb. that should also help out the euro. it is trading a little higher, just managing to get to that 1.13 level right now. vonnie: in the u.s., the s&p 500 grinding ever higher, though it is down a few points. qualcomm a very happy ceo and board, and some very happy investors, now that that apple dispute has gone away. apple decided qualcomm is necessary for its 5g future. it has gone and settled on all scores with qualcomm.
that is giving some of the other chipmakers in 5g companies a bit of a boost as well, both here and in europe. pepsico up 2.8%. we were just talking about how its items have done well for it. i did want to point to another geopolitical point of pain, and that is turkey. we are not at the worst of the session. the lira was quite strong earlier. 5.7422 afteris at istanbul went to the opposition party, opposing president erdogan. we will see what that means for democracy in turkey. guy: the story overnight, as we've been discussing, china's gdp beat estimates and everybody seems pretty happy. it takes some of the steam out of this global slowdown fear that many in the market have been talking about. we've also got the factor of earnings to talk about in the united states and europe.
let's try to figure out which is the more dominant theme today. we are joined by bloomberg's luke kawa. what are you focusing on? luke: the china story is having an effect on markets outside of the u.s., whereas the u.s. is cut between going for this health care brutal selloff and bombvery concentrated bowl in tech with qualcomm and apple accounting for gains on the day and trying to digest what netflix's earnings were and what the outlook is. that stock is pretty much flat, down a little bit. vonnie: it does seem like there are two stories out there, streaming and 5g. why is intel up? luke: that is a little confusing for me, but i think that is about stocks. any specter overhang about this issue is clearing, at least having some certainty better
than worrying about what could be, though it is the loss of a big customer. guy: betrayed story has certainly been riling markets of late. has certainlytory been riling markets of late. do you think what we are seeing in the u.s. and the chinese economy takes some steam out of that? earnings are ok out of the united states. the banks ok, producing decent numbers. they are not great. some of the consumer stocks are producing great numbers today. you think of the story in china as well. have we overestimated the effect of these trade talks? luke: i think it is the reverse. i think it is less to do with any of the trade talks and enthusiasm being good to the markets and more just the fact that this is basic chinese reflation really kicking in, and the global economy wasn't nearly as bad as we feared in q4, and maybe q4 wasn't even a macro
story, just one of the deleveraging stories that morphed into a macro fear. i see it more about that and just the realization that it is the slower version of goldilocks. it is slower growth, but still stable inflation, and economies around the world are growing. vonnie: what does the market know that we don't know? i'm looking at the s&p 500 returns. worst performer, healthcare services. then health care distribution, managed health. it is unbelievable. biotech is in there. all of the down performance today is health care. luke: it is absolutely crazy. ever core had a good note about this yesterday. it makes no sense to dump all of this on medicare for all concerns that may or may not come to roost two years down the road. this is all about just narrative shifts being a bigger factor in driving markets relative to macro. if you look at generally, if
there has been a theme in the second quarter so far, it has been the negative correlation between stocks and bonds, and that cyclicals have been a more broadway of expressing the health care selloff. way do you think the 10 year is going to go next? i am trying to take clues from different asset classes. 2.5 at a moment, do you think we end up at 2 or 2 .25? the corporate story seems to be ok. that would push you towards the 2.7 level. i am getting really split decisions in terms of the people i am talking to. what are you hearing? luke: what i am looking at is what is driving the bounce back in the 10 year. essentially it is all being driven by a repricing of said oughts -- of fed odds.
there hasn't been that much movement in terms of inflation expectations. i think if oil is able to stay firm or pick up a little bit, and we continue to price out the odds of a fed cut this year, it would augur for yields going higher, but just a little bit. maybe not a ton because i don't think the market is yet in a position or it is wanting to price in any kind of hikes from the federal reserve. vonnie: we are at an all-time high for the nasdaq, grinding higher for the s&p 500. where does this end? even with the underperformance in health care, we are still moving higher. look at the nasdaq versus the s&p 500, that ratio is essentially back to its highs of 2016. at tech driven market will come to a four because a catalyst like the apple/qualcomm thing,
you wonder how long that can last and be a factor in driving 500.&p earnings have been good, but the weak spot is supposed to be tech. that story is still yet to be written. there are some signs. one great technical strategists has pointed out signs of completion see creeping into the vix call ratio, which is very high, which indicates people are betting on continued tranquility and markets, and the etf ratio, which came in your medical yesterday, which suggests these retail trade partner x -- retail traded products are pointing towards complacency. vonnie: you've been talking american and the fact that it is no longer invoked to buy international. here for us.
here with the first word news is courtney donohoe. courtney: the trumpet administration coming up with stimulus measures to boost car sales -- the trump administration coming up with new stimulus measures to boost car sales. meanwhile, there is concern president trump could end up giving china a new trade weapon. the president was to make sure china faces consequences if it doesn't live up to its promises and the new trade deal. the u.s. is discussing a two-way agreement in enforcement that would give china unilateral ability to pressure u.s. businesses, without the u.s. ability to go to the wto. the eu published a list of u.s. goods being targeted in a $12 billion proposal. there is a focus on farm goods in areas where support for the president is strong. this dispute has to do with whether airplane manufacturers
airbus and boeing are unfairly subsidized. millions of dollars have already been pledged to rebuild the notre dame cathedral. saysrench finance minister the first priority is the v ault. global news 24 hours a day, on air and at tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i'm courtney donohoe. this is bloomberg. vonnie: thank you. coming up, a day of reckoning and washington, d.c. we are live as we await the miller report -- the mueller report. this is bloomberg. ♪
this is the european close on "bloomberg markets." let's check in on those markets now abigail doolittle, over to you. abigail: take a look at the s&p 500 and the nasdaq. the s&p 500 slightly lower, the nasdaq slightly higher. flipping between small gains and losses. the highs of the nasdaq had been up 6/10 of 1%, so a little bit of a bullish reversal. the nasdaq being helped by chips. we will take a big look -- a look at the big winners in that space shortly. indexssell underperforming. in europe, let's take a look at the german dax. over the last six days, the german dax trading higher, up 2.6%. the data out of germany somewhat disappointing, but stock investors really not caring. this is the longest winning streak since the beginning of april. the dax on a bit of a tear,
joining the s&p 500 above its 200 day moving average. where we have a mixed mood, let's take a look at some of the media stocks. netflix yesterday put their first quarter report, this stock flipping between sizable gains and losses, right now up about 7/10 of 1%. they did beat first quarter, but some screamer -- but underperforming . fort now we have some green these media companies. finally, i was talking about strength in the chips. let's look at a two day chart of qualcomm, up 35%, the best two days and's 1999 -- since 1999. this has to do with the dispute with apple being settled in a six-year licensing agreement with a two-year option to extend.
qualcomm investors liking it, and analysts positive. vonnie: thank you for that. meanwhile, president trump already fighting back as washington braces for the likely release of the redacted mueller report tomorrow. we are joined by kevin cirilli, bloomberg's chief washington correspondent, live at rdc bureau -- live at our d.c. bureau. what will we be looking for in the report? will we find anything new that will terrify any situations? kevin: what we don't know is the timing of this release, other than that it could come as early as tomorrow. a reacted version from special counsel bob mueller. it will be released to the public, but what we don't know is precisely what will be in it. will there be anything in the president's written answers? will there be any evidence of the type of argument that democrats made, that there was obstruction of justice? will this give new impetus to
have special counsel bob mueller testify before congress when they return from congressional recess? will attorney general william barr have to face new questions about his four-page summary? are there any major differences between the redacted report and his account? democrats may even have to try to file a lawsuit to go to the courts to
get more unredacted versions of this. the president is already pushing back, tweeting this morning, "wow, fbi made 11 payments to dossier's author customer steel. the witchhunt -- christopher steele. the witchhunt has been a total ,raud for the american people brought to you by dirty cops, crooked hillary, and the dn
c." guy: while you say there will be further subpoenas and further detail will be sought, and it will be some people certainly trying to get under those reactions to understand exactly what was there, nevertheless, is this going to give us a good understanding of what the mueller report found? kevin: that is such a great question because if you take a broader step act and look at the intelligence community report released publicly more than a year ago, and the subsequent congressional testimony from many members of the intelligence community, there is without question bipartisan consensus that the russians tried to influence the 2016 presidential election, and used a wide-ranging propaganda machine in terms of coercing social media platforms and the likes. the question then becomes
whether or not anyone in president trump's political orbit knowingly had any arrangement with them. attorney general william barr's report says no, and even the intelligence committee report has been consistent in saying there was no knowing cooperation between trump campaign officials and russia or anyone house. but again, we will get the redacted version tomorrow, and perhaps i would anticipate that it will fit the narrative of how russia tried to influence on a broader level, not just the trump campaign, not just what went on with the election, but the u.s. picture. vonnie: president trump saying this morning that congress should return to work to fix immigration. how will he deal with tomorrow, assuming it comes tomorrow? will he distract? will he embrace it? kevin: lawmakers are in congressional recess, so the president, for his part, i'm
sure we will be hearing from white house officials, as well as from the president himself. they have been really eager to get out in front of this. they felt vindicated by the attorney general's four-page report. william barr is set to testify on may 2. we will likely hear from mueller in the coming weeks. vonnie: our thanks to bloomberg's kevin cirilli in washington, d.c. this is bloomberg. ♪
guy: live from london, i'm guy johnson. vonnie: from new york, i'm vonnie quinn. this is the european close on "bloomberg markets." guy: germany's economy turning into europe's underperformers. the german government now predicts 2019 will see the weakest expansion in six months. they have been downgrading the numbers every six months, so i
thing we now stand at 0.5% this year. meanwhile, china's economy is slowing, but did beat estimates with gdp numbers coming out overnight. morgan's fixed income specialist joining us on set. was negative, now positive about nine basis points. we certainly have seen a big move. my question is if the chinese data continues to come through looking reasonably solid, the yield -- does the yield continued to grind higher in germany? guest: when we think about some of the chinese data overnight, q1 gdp very strong, a jump in retail sales, industrial production, all of that signaling to some extent that some of the stimulus measures we have seen out of china are starting to see through in the economy. what really has drawn down
growth is the asset management element, so improvement in the trade sorry should see -- trade story should seed over to germany. fast 16f the manufacturing pmi prints have declined from their previous level. looking too much more recent data, yesterday the ew economic sentiment indicator out of germany was much better than expected, and much higher than previous readings. that is still much very tentative, sos we think tomorrow's flash pmi's out of germany and the euro zone will be very key for signs if that data trend is bottoming. guy: what do we think is going to happen to the shape of the german curve? relative to what we are seeing in the united states, it actually provides some opportunity. marika: it is definitely steeper in germany, which could be perplexing. the front end of the curve is anchored.
some of the data we see is this is signaling a bottoming of the data trend. we don't think that better data will necessarily change the ecb stance from its current of his policy. if anything, the recent talk of tiering is just opening the door to further cuts. potentially you could see the long end move a bit higher if data continues to improve, but probably not much higher. vonnie: how much are yields around the world connected? how much can we expect the u.s. to react to europe? marika: i think it is less about reacting to europe and more about reacting to what is going on in the united states, whether with regard to monetary policy or the data. if we start with data and the united states, it has been better there as well. q1 gdp is currently tracking around 2%. if you think q1 is seasonably a pretty quarter, that is good coming off of that fiscal rush,
but that is something we all knew what happened. data looks better, similarly to in germany and the euro zone. that could potential he pushed yields higher tactically or in the near term, but longer-term in the u.s., it is really all about the fed, and the fed has made very clear they are extremely focused on inflation and this concept of inflation symmetry. even if levels are abound that 2% target of the fed, the average over the past number of years have been well below that comes adjusting the federal reserve will be willing to let inflation going forward run meaningfully above that 2% level for a consistent period of time without changing the policy stance. around.ika sticking i am curious whether equities or fixed incomes will be the big performers this year.
we are heading towards the end of the session this wednesday. chinese data has had an effect. you can see that clearly in the out performers of the dax and the cac. the miners are dragging the london marker down a bit today. we have seen news that vale is going to restart a production facility in the iron ore space down in brazil. that has not prices lower and drag the big mining stocks down as well. london underperforming a little 69. today, 74 also seen solid performance from the spanish market. three minutes until the end of regular trading here in europe. this is bloomberg. ♪ moving is hard.
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volume strong for european equities. one of the strongest volume days i can remember during in terms of what has been outperforming, condo markets are doing well. , you're40 has done well also seeing a decent performance from the ibex in spain, up around .6%. the banks are doing the heavy lifting there. the london market is underperforming. that is the miners. we have seen underperformance from stocks today. that is less to do with china. you would've thought the mining stocks would do reasonably well, but you have seen iron or rolling over. maybe the china narrative gets them going, but at the moment that is dragged on the london market. you can feel this if you going to the bloomberg. take a look at the group rank returns.
the car sector doing reasonably well. the data out of the european car sector is horrible. i think it is a seven-month down for european auto sales. italy is down. it is tough out there. the auto sector rising today, doing reasonably well. that is china. the media sector is having a solid day. was talkingbigail about netflix maybe not as big as was first anticipated. let show you what is going on at the bottom end. we are seeing some of the mining stocks doing well at the moment. basic resources down .7%. vonnie was mentioning this. health care trading lower. numbers out from some of the swiss stocks. certainly pressure on that end. let's take you into some of the individual names in europe.
we've been talking about 5g. , a swedish engineering company, out with numbers earlier on, the headlines taken by the fact that the ceo is finally succumbing to pressure. talk of a breakup of the business is back on the agenda due to the fact we have the stock trading up this afternoon, 5.5%. that is why the stock is trading up. ericsson is a 5g story. starting to see a spending ramp-up in 5g. one of the big network providers. and volkswagen is trading strongly. vw up 3% today. less to do with what is happening in europe, more to do with what is happening in china. that is a look at the european close. vonnie: we broke the 2900 mark on the s&p 500. 2899. we'll see what happens toward the end of the day.
there are good news stories in this market, including the nasdaq which is now off of its partially because qualcomm is doing so well. other chipmakers, the 5g story and the apple patent dispute resolution story is what is moving that stock. it is also interesting to see intel higher by more than 4%. it looks like analyst are cheering the fact that intel no longer has to worry about those modems. we all mentioned health care. down 2.6%. all of the health-care care stocks are lower in the s&p 500. a quick look at global macro movers. oil inventories earlier on today. we have other things. some industry for you. guy: let's carry on the conversation of what is happening in these markets.
jpmorgan asset management fixed income specialist still with us. equity markets had a good start to the year. the s&p is still up. cac 40 up 17%. a lot of people have been taking money out of equity and putting it at a fixed income. do think they will carry on doing that given performances? that outflow is understandable, given the strong performance of equities so far this year. the weakness in q4 is still fresh on minds. looking to lock in some of the gains. certainly the cycle has been prolonged given the dovish ship from central banks. nevertheless we are approaching the end of the economic cycle. looking to be a bit more defensive. that is something we are doing within our fixed income portfolios, looking to shift up in quality. trimming are high yield exposure we like the fundamentals of these company, but as you say on
the equity side valuations have run far. in high-yield we are looking 3.5at percent in the first months of the year. moving into parts of the market like investment-grade credit. guy: what do you think of duration? marika: it is a different view structurally versus tactically. on a tactical basis we think there is hope for yields to move higher if we see better data in the next couple of weeks, kind of in line with what we've been seeing for the last three weeks. , we think itally is a good environment for fixed income, for durations. growth is certainly lower than it was but not recessionary. andhave inflation muted central banks reacting to that muted inflation environment, keeping policy on hold. from a structural perspective we like duration. vonnie: you mentioned corporates
. what sectors are more interesting to you from the deck perspective? marika: if we think about investment-grade corporate space, we are thinking more defensively. sectors that are highly regulated. transportation market, utilities, banks, where we of been forced to see them build up a lot of capital. defensivet more approach to markets as we look to shift up in quality. vonnie: are you focused on developed markets or are you looking at emerging markets as interesting opportunities and if so will be local or dollar denominated? space: in the corporate we are more focused on developed market debt. in addition to some of those defensive sectors i mentioned that we like, we see a strong deleveraging trend. that is what we are hearing from our research analysts in terms of when they speak with companies. some of the recent earnings can confirm the company's focuses on
the balance sheet, on improving their leverage profile. we see strong technical support for developed market corporate. a significant demand from both retail and institutional investors combined with light supply, given we are still in the earnings printer -- earnings printer -- earnings period. guy: you said we are late in the cycle. how late? the argument must have changed as to how late we are in the cycle. the fed, everybody is changing the game. all of the central banks around the world are now very dovish. i struggle to see where we are in the cycle and where it ends. marika: we do not see recession as imminent or any time soon. as you say, the cycle has been prolonged given what central banks have done.
if we think about where we are in the cycle, in terms of fed hiking, we think the fed is done for the cycle. not to say that a cut is imminent. we do not expect to cut anytime soon, but the hurdle for them to hike is high. guy: how long to the cycle be? generally going back to economic textbooks, trying to understand where we are and get a handle on it. i'm struggling to get a sense of when it starts to roll over, when we start to see these recession indicators we are seeing with the inversion start to manifest themselves. marika: it is difficult to put a time frame on it and i do not think we can look to the yield curve as an indication of recession like we may have been able to historically. it has been talked about a lot, but the impact of quantitative easing makes that less of a reliable indicator and it has been in the past. we are looking for business and economic indicators.
one that has proven to be a good indicator is the unemployment rate. once that moves above long-term averages, that suggests recession is looming. we look at labor markets around the world, that is one of the bright spots. not something we expect in the next year. guy: great stuff, thanks for coming to see us. jpmorgan fixed income asset specialist joining us in london. vonnie: let's get a check on first word news with courtney donohoe. courtney: the trade deficit fell to an eight-month low in february -- the surge -- the reason a surge in aircraft exports. the merchandise trade gap with china shrank. denver area are closed today just days before the 20th anniversary of the columbine high school massacre. police are looking for an armed women said to be infatuated with the attack that killed 13 people. they say she threatened to
commit an act of violence. columbine in more than 20 other schools were locked down for three hours yesterday. in indonesia, the president is set to win another term running the world's largest muslim majority country. six private polling agencies have said the president is at head by at least seven percentage points. he is running against a former army general. investors are betting -- are betting on the president to pass measures that should unlock growth. central bank the is tightening monetary policy for the third time in a month. prices climbed 4.7 in march from the month before. annual inflation in argentina is and that puts the president's reelection bid further at risk. global news 24 hours a day, on air and @tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. i'm courtney donohoe. this is bloomberg.
let's take a look at where we have settled in europe. over.ction process is a little bit of movement during the auction process to the downside. in germany, strong volume. big volume day on the upside. the car sector one of the beneficiaries. the dax trading up .4%. the cac 40 outperformed it, and is up .6%. if you're getting in the car and want to carry on the market coverage, tune into the cable show at the top of the hour. you will find jonathan ferro in new york and myself in london. digitalboth be on dab radio and the london area and on all of your bloomberg devices. this is bloomberg. ♪
guy: from london, i'm guy johnson. vonnie: from new york, i'm vonnie quinn. this is the european close on "bloomberg markets." qualcomm shares are searching, the best-performing the s&p 500, after ending a legal battle with apple. , for whoms this a win is this a climbed down? >> this is a win-win-win situation for all come capital -- for qualcomm, apple, and intel. for qualcomm it puts the structural effect of its business model being questionable out of the picture. apple will start to pay ,oyalties again after a hiatus
which is huge testament to the capability of qualcomm chips and the value of intellectual the chip.utside for apple, it gives them back control of the 5g calendar. you do not want to be at the mercy of a chip supplier or any and potentially putting out the advanced technology products you want to put out. it gives them back control of the calendar. the money is inconsequential. for intel, this is the company which was displaced by qualcomm -- this wasof apple a money-losing segment to begin with. the fact they had a subscale market share and they had only one effective customer and they were not making a lot of money in that business, this takes
that out of the equation. anduts them out of misery they have reengineered that business going forward. across all parties, this is a win-win-win. most for qualcomm, secondarily for apple and third for intel. guy: i do not mean to be sick, but why did this get to the stage it did if this is the ultimate outcome? how did apple let go this far? -- we have was always said this was the most logical outcome, but for apple it was a huge hurdle for them that they had to give somebody else money to recognize their intellectual property in their product over and above the supply arrangement. that was not what apple was comfortable with. the fact that the royalty rate probably spent as a result of drama with the korean free trade
commission and the corporation agreement expiring was probably the straw that broke the camel's back for apple. things,rand scheme of they tried to make this not about royalty rates but at the end of the day it always was. they got a good deal out of it. there are paying low effective royalty rates compared to other customers from qualcomm. it clears up the 5g calendar. the rhetoric got away from both parties, more for apple and less for qualcomm, but this was the most logical settlement in the long run for both parties. vonnie: there will be residue left in apple mouse at the least becausee apple mouths apple does not like how qualcomm does business. isnd: there's a reason apple one of the top 10 chipmakers in the world. it wants to control its own destiny and the chips that go
into the iphone and the ipad. this may be a placeholder. this may also end up being a placeholder before apple develops its own 5g modems they going to the iphone. that will take time. vonnie: what is qualcomm doing in order to prepare for that? anand: in the grand scheme of supply it is a chip agreement, but the value of the intellectual property being recognized in the iphone that they are going to get a percentage of that $400 cap for the iphone price, regardless of whether apple uses qualcomm's chip or not is a huge win. that is what qualcomm was going for. they got that. apple will likely have to continue to pay royalties to qualcomm regardless of whether they use the chip or not. the rest of the industry is doing that. the chip supply agreement is only one piece.
in our view it is the smaller. vonnie: always great to speak with you. guy: we are getting breaking news out of one of europe's they distant most important companies. kerry cap with figures, gucci revenue growth beating estimates. we also have the cfo coming out in confirming the target for gucci growth twice as fast as the market is anticipating. caring firstn thing this morning. they are also talking about a gradual turnaround. they see the business turning around for the second half of this year. gucci looks like it is shooting the lights out. you can have a look at this stop first thing tomorrow morning. be interesting to see how they open in europe. let's pitch it back to some of the tech stocks we've been watching so carefully and talk about what is going on with netflix. european stocks have been reacting to what we have seen with netflix.
shares fluctuating off the reports we had last night. kailey leinz with the details. kailey: investors struggling for direction. shares opened 2% higher, drop 1% lower, now marginally higher. they had a strong first quarter, a record number of subscriber additions, above analyst estimates, but what was below estimates was second-quarter guidance. they implement price hikes between 13% and 15%. especially weak domestically. they only see 300,000 u.s. additions, or the other 4.7 million will be international. despite that, analysts are still bullish. one analyst at barclays noting that turn, if you normalized it is lower than when netflix increased the prices in 2016. goldman sachs says given the outperformance, it is likely
there may be up signs to that forecast. goldman sachs also noting the company's investments are paying off. they still did earn cash in this quarter to the tune of -$449 million. flow negativesh by $3 billion this year. executive say the cash flow could improve into 2020. they say eventually they will find their own content spending. vonnie: kailey leinz with the stock of the hour. battle of the charts is next. this is bloomberg. guy: -- this is bloomberg. ♪ xfinity watchathon week has sadly come to an end.
bloomberg intelligence. eric: i'm going to start with a simple chart. a lot of flows into this etf are noise but i think we are seeing something sentiment driven. look at the bounce up we had in january. a lot of outflows are diverse of the inflows. that has cleared out and now five straight weeks of inflows to the tune of 12.5 billion. those are big flows. that is why spy is important to me. it joins the three amigos, the s&p 500 etf's. it is saying a massive amount of flows. these three etf's are leading the charge. this is showing all hands were on deck calling of fed induced rally. the you see people chasing benchmarks. eric, thank you much. vonnie: i am talking about a rinaldo induced rally.
uber am. i m.u v losing half $1 billion in market value and handing 10% to i ask. hadcan see that rinaldo has a nice impact on the stock which is trading at 1.39 euros. this is where they crashed out of this year's champion league. guy: they wanted to win it. that is why they spent so much money on him. it is not going to happen. the first time run out i will not be in a semifinal. -- the first time rinaldo will not be in a semifinal. bonnieeric's chart but -- vonnie talking about football has to win it today. vonnie quinn wins despite the fact that you should be making
sure you want etf iq with eric balchunas on bloomberg television at 1:00 in new york and 6:00 in london. kong if you hong want to get up that early. if you want to watch what is coming up next in europe and asia, you want to watch balance of power. david westin is looking at the day of reckoning. we are waiting for the mueller report. we think it will be coming out tomorrow. the newsroom at bloomberg is on tinderbox waiting for that to drop. this is how euro and u.s. markets are trading. a little on the negative side, but the s&p back above the 2900 level. this is bloomberg. ♪
headquarters in your, i'm david westin. welcome to "balance of power banco where the world politics meets the world of business. ,hina's strong economic numbers kevin cirilli on president trump's -- and the mullah report. -- and the molar report. -- and the robert mueller report. >> the gdp came in at 6.4%. people have been saying it was hitting a soft patch, and yet it seems to have come out quickly. also monthly numbers were quite good. auto production, factory output, retail sales all coming in at the high sided expectations. some of it does have to do -- the high side of expectations. some of it has to do with stimulus. it does put china into a stronger bargaining position for u.s. trade talks. back