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tv   Bloomberg Daybreak Europe  Bloomberg  May 4, 2021 1:00am-2:00am EDT

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♪ manus: from our middle east headquarters in dubai, i am manus cranny. it is "bloomberg daybreak: europe." jay powell paints a picture of a patch a recovery, while the fed's john williams says do not expect any policy shift just yet. u.s. futures trade lower. germany pushes ahead with plans
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to exempt fully vaccinated people from restrictions. meanwhile, the fda reportedly set to authorize pfizer-biontech vaccine for children 12-15 years of age. the couple behind the world's greatest fortune and philanthropic operation are set to divorce. bill and melinda gates, more on that story. good morning. a fortune divides at the top, but what is the issue jay powell says we are making -- issue? jay powell says we are making progress but it is not progress for everybody in the economy. many will be left behind. this is jay powell reflecting on something that is very different from the rhetoric from the federal reserve on this exit as it differs from the great financial crisis of 2008. jay powell says there is progress but the race divide is apparent, and that is most clearly in the various races,
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the hispanic to white, the black to white, the asian employment. there are slow pickup for lower earners, and this bifurcated, this differentiated reality is coming to bear. mr. williams at the new york fed says the data and conditions we are seeing at the moment, it is not nearly enough for the fomc to shift its monetary stance. herein lies the point. this is williams batting against the kaplan narrative. kaplan said we need to talk about imbalances and tapering at the earliest possible time. it is different to the tightening cycle of 2015, and that is very, very real. my last guest in the last hour says unemployment needs to get to 5% before the taper talk begins and that could be at jackson hole. to the markets. how are we absorbing the power
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narrative and the robust rebuttal of the taper debate from mr. williams? equities are lighter on their feet by 0.25%. yields are sub 1%. this is the narrative. bond yields dropped by five basis points yesterday. they leaned into williams, they ignored the prices paid number, the highest since 2008. the commodity index for bloomberg is the highest in 12 years. mike malone says you need copper to trade above $10,000 to perpetuate that momentum. the aussie is down zero. .25%. . the rba does what central banks do best, they jawbone the currency and we will delve into that more through the morning. bitcoin is lower as ethereum rises to a more dominant position. bitcoin down 1.6% this morning. what is a portfolio without a little bit of bitcoin?
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yogi dewan is the ceo and founding partner at hassium asset management. great to have you with me this morning. when we look at these markets, equities are a little bit lighter. the seven considerations by this federal reserve are structurally and fundamentally different to that which we saw when we exited the great financial crisis. this comes down to the recovery, which is many are being left behind. yogi: you make a good point, manus. global equity markets are up 10% year to date and the u.s. even stronger at almost 12% year to date. it's time for a pause. everybody knows the narratives, valuations are stretched, the technology sector is a crowded trade, and everybody is focused on the reflation trade. there is lots of positive macroeconomic data. we've had something like circa 80% beats. may is traditionally a week a
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month for equities but i think we could see a different experience this year. the narrative is likely to be different. we have had, what? 1.1 billion vaccine jabs now administered globally. tapering sooner than expected, perhaps starting late summer. the big debate is inflation risk. it has increased but central banks seem to be more focused on jobs. may be rate hikes will come in 2023 early on. markets are really just focused on the narrative around reflation, the narrative around a distribution of vaccines, and the data just supporting it. it's hard not to be participating. even though we are marginally underweight -- manus: yogi, met me just interrupt you and pause for a moment, because you have jampacked, it's a big mac, so to speak.
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let's unpack the big mac. let's deal with the equity markets, first of all. you say equity markets look overvalued and overbought. let's dissect this little bit. where is perhaps the most overbought and overvalued markets, in your opinion? yogi: definitely in the u.s. equity markets. definitely within the technology sector when you get pe's in excess of 30-35 on a forward-looking basis. we have obviously seen a rotation into value names and into cyclicals. we like financials as well, but valuations look more reasonable in that regard. there are sectors where we are being very careful with everything going on. manus: so let's just dig deeper into the financials, because that will tie back to steeper curves and perhaps an earlier taper and tightening, perhaps, in drawing the dots together for
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you. my last guest said we could see a taper around jackson hole. that could be the narrative then. what drives the taper? is it this social inflation that we are seeing? what drives the taper? is it the unemployment number or the social inflation? should they taper on social inflation? yogi: inflation in the u.s. now is at 2.6%, in europe it is that 1.6%. it is unlikely that we will see massive inflation in the short-term. i think they are really going to look more closely at the on a plymouth data coming out -- the unemployment data coming up. everyone will be paying very close attention to the data. manus: let's just reflect back on the bloomberg story that has come out this morning. this looks at the data in terms of those portions of society that are being left behind. we use the word string.
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we need to see a string of job creation of more than one million before the real taper debate rises. this differentiation in terms of white to black on a plan, white to hispanic -- white to black unemployment, white to hispanic unemployment and asian unemployment, these gaps are widening, and this is something which is being talked about, it is being reflected upon much more so than at any time in the various hiking and tapering cycles that i have lived through. is it something that will become much more of a pressure factor for 2021 -- prescient factor for 20? yogi: i think it's the headline number that investors are very focused on. they want to see unemployment come down. that will be reflected in earnings numbers, and then we will start to see obviously the narrative for higher rates.
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remember, the narrative for higher rates is obviously unemployment improving, but also fiscal spending has to be paid for. growth is not a freebie. it actually requires a lot of bond issuance, it requires a reduction in tapering. all these things will contribute in a meaningful way to the growth narrative that we are about to see. but ultimately, the consumer has to feel safe. if the consumer is not feeling safe because they are worried about their job, then they're unlikely to spend on the reflation scenario that the market is very focused on slows down. that's what we want to try and avoid seeing. manus: stay with me. yogi dewan from hassium asset management, his calls on the market. let's get to annabelle droulers. she has the first word. >> thanks, manus. in india, prime minister narendra modi is resisting pressure to lockdown the country, despite the surge in
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covid cases end deaths. everyone from political analyze -- allies to business leaders see it as the only way to stem the world's largest coronavirus outbreak. there is more easing of pandemic restrictions across new york and new jersey i cannot get. all day subway services will resume may 17 with capacity restrictions on restaurants, theaters and stores ending on may 19. new york governor andrew, described as a major reopening of economic and social activity. bill and melinda gates are getting divorced after 27 years of marriage. the two say they will continue to work together on the gates foundation they created, which has so far given away more than $50 billion. according to bloomberg's billionaires index, the pair were worth an estimated $146 billion. global news 24 hours a day, on-air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in
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more than 120 countries. this is bloomberg. manus? manus: annabelle, thank you very much. annabelle droulers with the latest first word news. germany will loosen covid restrictions from vaccinated people. this as the eu considers opening its borders after more than a year of isolation. we are live in brussels. that's next. this is bloomberg. ♪
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♪ >> we have all learned from the pandemic, in terms of that we can actually work from home and work from the office, and it will always be a combination going forward. >> we are very can going forward actually to make it easier for employees to have a balanced in the office, at home work
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environment. it will really be up to the employee, but in a structured way. >> we will see a hybrid way of working in the future where the office is the place to meet and interact and be creative, and then you can work at home for some of the quiet time and the quiet work. >> i don't think you will see a strict mandate from barclays saying that you have to be in from this day to that day. i think we will rely on flex building. >> we are committed to a hybrid based working environment for the long-term. we think this is the future. manus: industry leaders on the changes to come in the workplace, flexibility and hybrid working. the latest buzzwords, or as ralph hamers said to me, a democratization of choice. let's see how that plays out and what drops into your inbox. speaking of changes, germany is looking to loosen some of the covid restrictions for
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vaccinated people. proposed new laws would mean that those who have been inoculated will no longer be subject to curfews, restrictions on socializing. this comes as the eu looks to open its borders after more than a year of relative isolation. let's get to brussels. maria tadeo has the very latest. this is everything that the politicians promised citizens would not happen. it was your free choice, in terms of whether you took a vexing. that is very much -- vaccine. that is very much clearly not the position if you wish to have liberty. maria: yes. it's very clear at this point. it's really that incentive to get that vaccine that you would get a lot of these perks. that is a conversation as to whether or not we are creating a two-tierd society -- two-tiered society. you have to incentivize the public to get the shot.
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the numbers in europe have really improved. we have seen that momentum picking up in the rollout so that seems to be working. with regards to europe reopening for the summer, that's also that european politicians have promised, that this summer there would be a summer season, that this year, it could be done in a way that's safe but also beneficial for the economy. they say if you come from a country outside of the european union that has a good health situation and you can improve that you have been vaccinated with an eu-approved vaccine, although that could be expanded to the russian and the chinese, then you could technically come here for a holiday. that is a big reopening for europe. manus: yes, it is, although i can assure you three pcr tests, a lot of online filling in, it takes a lot to travel. the question is, will there be a
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summer season? maria: look, that's the whole thing. ursula von der leyen was very clear on this yesterday. she said now is the time to revise our tourism industry. we know that european countries, and particularly the southern european countries, have been pushing for this for months. this is a big industry, a big moneymaker for southern economies. there's still a lot of questions. one is consumer behavior. will people want to go on a holiday abroad, will they want to travel this year? second has to do with the politics and reciprocity if the european union was to allow visitors from the u.k. or the u.s. you could argue they would expect reciprocity. if that does not happen, in this could become much more complicated. manus: maria, thank you are much. maria tadeo on the ground in brussels with the very latest on vaccines and freedom. yogi dewan of hassium asset management is still with us.
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if you have a vaccine, you will get special privileges. a hodgepodge of policy from different countries is what we have seen over the past year. is this part of the reason why you remain underweight europe? and if not that, why? yogi: directly and indirectly, manus. the u.k. of just over 9% and valuations are much more reasonable. the issue in europe is obviously vaccine distribution and rollup. it will have a profound impact on the unemployment rate, which is way behind the u.s. and obviously, it is bound to have an impact on earnings as well. it is earnings that drive share price appreciation, so you've got really negative short-term sentiment around vaccines and unappointed, and a negative medium to longer term sentiment on earnings numbers. the only saving grace is that valuations are more reasonable, and the euro is significantly undervalued versus the u.s.
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dollar, which should help with an export led recovery longer-term. these are things to look out to later in the year. they are not immediate, not in the short to medium-term. manus: we have had various guests come on and say we will have herd immunity budget. this is the two sides colliding perhaps. you say the euro is undervalued. yesterday, i had big pieces from citi and deutsche bank talking about 1.27 on the euro. where is the discomfort level in the euro for the ecb? yogi: i think the ecb is quite happy with where the euro is at the moment. it is sub 15%, 16% undervalued on a ppp basis. i think there are more focused on the impact a stronger euro will have on unemployment and
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the potential for inflation longer-term. in terms of the specific level, i do not think they are looking at one. i think they are more concerned about the asset purchasing program, more concerned about tapering, obviously inflation targets. the question is, where will rates be? they are not really sure about that. they know the euro is undervalued. they are happy with it being undervalued. they have other things to focus on that are far more important to the recovery. manus: i want to pivot to the commodity in the u.k. market. you are neutral on u.k. equities. is that the broader market or the global index, i.e., the ftse? the bloomberg commodity index at a 12 year high, and a reopening test pumping and gas on a reopening test pumping -- pumping in gas on a reopening.
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yogi: it's important to remember that our exposure to the u.k. historically over the last year has been zero. we went from an underweight position and now we are at a neutral position. the reason we have moved towards neutral is obviously the whole story around vaccine distribution and lockdown coming to an end. this will impact on employment -- unappointed, this again -- unemployment, this again will impact on earnings. in terms of commodities, a big beneficiary of reflation trade. the u.k. has significant exposure to cyclicals, financials, technology and those sectors are also very significant in terms of the ftse 100 and the ftse 250 or the larger ftse indices you touched upon. we have fiscal stimulus plans in place, but of course, everything has to be paid for. we are expecting additional qe on the positive, but of course,
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increased sovereign bonds supply will lead to higher yields. it's a real balancing act in the u.k., but we are a lot more positive than we have been. the market is up 9% year to date. a lot more attractive on the valuations aside than the rest of europe and also the u.s. manus: yogi, return and give me your assessment of risk in a month. yogi dewan, huawei ceo and -- hassium asset management ceo and founding partner. bill and melinda gates are going their separate ways. the couple announced their divorce on twitter but made no hands of what happens to their joint fortune. we discussed. this is bloomberg. ♪
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manus: it is "bloomberg daybreak: europe" with me, manus cranny into by. 27 years of marriage and bill and melinda gates are going their separate ways, according to an announcement made on twitter by bill gates. the couple jointly control a fortune of $146 billion but there was no hint of their financial plans. joining us now is dani burger. they are residents in washington state, which has various implications in terms of one people divorce. they have the most influential foundation in the world. i have met bill gates. he is an incredible individual with a power to unite the world. what do we know about the state of the marriage? dani: the way that they described it in the divorce filing, they called their marriage irretrievably broken. there was not a lot of details
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and not a lot of details about their finances. they were very clear that bill gates -- in the tweet that bill gates sent out and a statement by spokesperson that they plan on working together in the foundation. the statement saying that no changes to their role or the organization are planned. they will continue to work together to shape and approve strategies and set the over direction -- overall direction. you have to imagine both of them are certainly known as pragmatists. if they were to split the foundation, that would dilute its overall impact, so that would be a surprising outcome and an unlikely one. the foundation, the way it is split, it already has focuses on things that bill gates is interested in and things that melinda gates are interested in, too. melinda going off on opening her own foundation would not be necessary because she already focuses so much through the bill and melinda gates foundation on causes that are interesting to her. manus: but of course, we have
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seen one other major divorce go through, the bezos family splitting that family and that foundation did ultimately split. some people would say, you identify yourself and your own right if you have the power over your portion of the foundation. what about the microsoft stock, which i suppose is the driver for the philanthropy? >> it will be more messy than jeff bezos and mckenzie scott, because most of their fortune wasn't amazon stock -- was in amazon stock. bill gates only owns about 1.3% of microsoft. he stepped off the board. the fate there is not as in question. is more about cascade investments, where most of his money is in. most of the microsoft stake has been shifted into the bill and melinda gates foundation. manus: thank you very much. 27 years together and coming apart at the moment.
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thank you so much for being with us. we will track that story. commodities kick in new highs, the highest since almost 2012. the demand, the cycle, the boom. we ♪ ♪ look, if your wireless carrier was a guy you'd leave him tomorrow. not very flexible. not great at saving. you deserve better... xfinity mobile. now they have unlimited for just $30 a month... $30. and they're number one in customer satisfaction. his number... delete it. i'm deleting it. so, break free from the big three. xfinity internet customers, take the savings challenge at or visit and xfinity store to learn how our switch squad makes it easy to switch and save hundreds. (announcer) back pain hurts. you can spend thousands and still not get relief. now there's aerotrainer by golo. you can stretch and strengthen your core, relieve back pain, and tone your entire body. (man) and you're stretching your lower back on there. there is no better feeling.
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manus: from dubai, i am manus cranny. these are the end line setting your agenda. jay powell paints a picture of a pet you recovery while the fed's john williams says don't expect a policy shift, not just yet. germany pushes ahead with plans to exempt the fully vaccinated
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from restrictions. the fda is reportedly set to authorize pfizer biontech to children 12 to 15 years of age. the couple blind the world's greatest fortunes and philanthropic operations are sent to divorce. bill and melinda gates separate. a warm welcome to "daybreak: europe." mr. powell at the federal reserve has given his guidance. there is real progress. but there will be many left behind. there are 8.4 million people less employed than at the start of the pandemic. he will have to see a string of one million new jobs created every month for the tapered discussion takes place. there are long-standing
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disparities. i bring you the split in races. we have broken down the differential in the communities. mitchell williams's view, it is different this time. conditions that are not nearly enough for the fomc to shift its view. saying it is not like the year 2000 terms of credit, lending, and borrowing. if i hear another person tell me it is not the same, inflation, i really will have a different opinion of what i will say to them. the gap between white and black employment, the gap is widening. the gap between other ethnic minorities, hispanic to white, is widening. these are groups of people being left behind in this recovery. money is cheaper. that is the risk that you look
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at in this recovery. tesla and amazon took a little bit of a text wipe. it will be an uneven recovery. investors are becoming more defensive. 10s are sub-160. the market leans into powell, probably more to williams guidance that it is different this time for a lift off then 2015. the bloomberg commodity index at a 12 year high. central bankers, that is what they are learning to do. bitcoin, how is your bitcoin exposure? bitcoin down by 1.4%. high mentioned commodities, let's talk about the prices. new highs amid rising energy
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demand. i just showed you a level we have not seen since 2012. oil is climbing after the european union proposed easing travel restrictions. copper is on a tear. the metal, the top candidate for sustained price appreciation. the u.s. joins other nations focusing on a greener future. great to have you with us. we have many debates. how would you describe where we are in the commodity in recovery cycle? >> i think we are seeing a economy globally that is operating somewhat below full capacity but getting much higher up there. you look at the prices, what we talk about the start of a new cycle, etc.
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if i said to you in january of last year that we would be down something like 4 million barrels a day of oil demand and get the price will be right where it is today, you would say we are at the start of a strong cycle. we are seeing people really want the physical material today rather than waiting for a couple of months. demand is strong across the globe. it is not limited to one sector. it is all the way from the macro to the micro. manus: that is a very bullish jumping off point. let's get to china. in terms of the demand outlook for copper and iron ore. they are trying to lean into slightly less emissions. that is a risk -- two slightly
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different stories. iron ore, they are trying to cut emissions. they are saying we want to reduce capacity. the price for the high-grade iron ore has increased substantially. some of the units want to run them higher grade material. that is pulling up the premium price contract. you are seeing strong demand for construction. they still have plans to redevelop a lot of areas. still a lot of housing that needs to be built. on copper, as they are becoming more environmentally conscious, this move toward cleaner energy, electric vehicle charging points, grid rollouts, all of these things require more and more copper. the outlook in not just china
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but elsewhere remains strong in our opinion. the way the flow is going, the premiums would suggest you shouldn't be seeing material coming into china and yet you are. i do think that this is a story that goes well beyond china. manus: take you beyond china. i am going to push you for the estimate on prices. mike mcglone and bloomberg intelligence since we left to make it above $10,000 to perpetuate this super cycle. how far would couple run on the upside without being a threat to demand. with that anywhere in your psyche? >> for copper, it is hard to substitute it away. the high-voltage lines, you can bring in some elementia -- some aluminum. but much makes it unique and
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hard to replace. generally, you are substituting away from other things into more electricity and things that require more copper. oil, electric vehicles, that requires 4-5 more times copper. solar and wind. so it is all going that way. it does not have to just be china that is supporting this rally. we are looking at a global multi-regional rally here where for the first time in a long time you have strong demand coming out of the u.s., europe, japan, korea. you look at the new orders, those are very strong. beyond that, we still have 1-2 more stimulus plans to come out of the u.s. if any of those come through, we are looking at a supercharged
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cycle. manus: an infrastructure plan by biden is one of those big green infrastructure plans. is that in this price cycle so far over that and the multiyear dimension to what you just said to me? >> i think this is multiyear. for commodities, you are not basing future growth. the shape of the curve says the rest of it. we have not seen the stimulus plan go through. we have not seen companies or producers placing the materials for that order because it is not real yet once the legislation gets passed, then people start to adjust their buying and that is when we will really start to see the price action come through. manus: thank you very much. my guess this morning on the commodity super cycle.
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frafagura chief economist saad rahim. some breaking news across the terminal. it is in mexico, you are looking at live pictures. a raised subway track has collapsed. this is mexico city, plunging train cars. so far, we understand that at least 13 people have lost their lives according to officials in the nation's capital. a rescue operation underway. about 70 people have been injured in the accident. the city civil protection circuitry -- secretary, she gave us the details in an interview. just looking at these pictures, the rescue efforts are underway. with seven carriages of a line of 12 subway trains plunging into this.
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we will keep you across that story as we get more data. let's get to annabelle droulers. she has your first word news. >> the white house is tracking pfizer's move to begin exporting u.s.-made doses of the current virus vaccine. the governments of mexico and canada said last week they expect to begin receiving doses from the u.s. the new york times is reporting that regulators could authorize the shot for 12-15-year-olds as early as this week. there are signs that europe's biggest players are coming closer to the u.s. in terms of a standoff with china. secretary of state blinken spoke with u.k. foreign secretary dominic raab and said the west is trying to uphold the international rules based order that countries like china and russia are challenging.
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germany plans to spend an additional 5 billion euros to/emissions from the steel industry. they are stepping up efforts to hit increasingly stringent climate goals. the money will go towards supporting hydrogen projects by steelmakers and be used to smooth the transition to low emission metal production. global news 24 hours a day on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. manus: thank you very much for the update. annabelle droulers and hong kong. saudi aramco, we are waiting for the numbers to drop across the terminal. expected recovery in the oil demand and rising prices to improve the oil giant's cash in 2021. that should help the country reduce its debt. let's get to our middle east equity reporter sitting
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patiently waiting for the numbers across the terminal. let's remind our viewers what we are looking for in terms of net income and revenue. >> good morning. it is a big day for saudi aramco and for the saudi market in general. looking at the numbers, they have a compilation of 50 analysts by the company and they expect it to be 18.4 billion u.s. dollars. this will represent a 12% increase from what we had as adjusted net income in 2024, the same period. revenue, we are expecting around 271 billion riyals. there is a lot of expectation when it comes off any kind of indication by the company
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regarding capital spending. higher oil prices could lead to an increase for 2021. last year, we had saudi aramco joining a list of major integrated oil companies that -- capex by about 20%. bp, chevron, total. it would be interesting to see if the company will change its projections and plans
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price over this first quarter. the risk is that they may put more barrels back on the market. how would that rally in oil translate for aramco? >> we have seen a quite strong recovery for oil throughout the first three months of the year. we had an interesting estimate by bloomberg intelligence, by our colleague. he put in a note that a 39% sequential increase in the oil pricing could result in an increase of -- for aramco. this is despite the opec-plus of court that limits oil production at around 8.1 million barrels per day in february and march. he highlights a very important point. the sale in the pipeline rights could also of course boost the company's financials for the whole year and generate excess free cash. another important point that was part of the announcement by the saudi government this year, they
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announced this major plan for local companies to just redirect dividends to major products in the kingdom. the shareholders -- manus: we are going to have to leave it there. we are waiting for the numbers to drop across the terminal. we will return to that story as soon as we get the information. coming up, the g7 foreign and development ministers meet in person in london this week. the world is reopening to politics and business. the international agenda is set. it is a beautiful day in london. the city of london is coming back to life. this is bloomberg. ♪
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annmarie: -- manus: it is " daybreak:europe." my cohost annmarie hordern has taken holiday. the g7 will gather for the first time in two years. the meeting is set to be held in london amid strict covid procedures. let's get to our executive editor for government. it sounds like multilateralism is being rebirth by blinken and dominic raab. >> what we are seeing is quite a turnaround from europe. a very overt anti-china policy of the u.s. it is still a bit more calibrated. this big investment deal that they have agreed on has not been ratified.
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they are going to have a very tricky time getting it done because of rising concern over china in its own neighborhood, primarily against the theater -- the uighyur population. it is still not showing genuine progress in opening up its own economy to the world and eastern europe, need key sectors. all of those things come together to lead to a little bit of hardening, interesting to track to see how much we are closer to the approach of the biden administration. manus: thank you very much. we believe you with pictures of mr. blinken talking about a rules based order and dominic raab talking about countries sharing the values.
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more throughout the program. coming up, bill and melinda gates are going their separate ways. but what happens to the fortune, the $146 billion? we will have the details. this is bloomberg. ♪
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manus: it is "daybreak: europe." the pair at the helm of one of the world's biggest fortunes are set to split. bill and belinda gates announcing their plans to file for divorce after 27 years of marriage. but what happens to their wealth? let's get the details. simone, the number that will reverberate across the bloomberg terminal is $146 billion.
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what do we know about the fate of one of the most influential foundations in the world? >> on the foundation side, we understand that bill and melinda will continue their roles in the bill and melinda gates foundation. when we look at that $146 billion, a lot of that is in their family office called cascade investments. this is really known as one of the most institutional, the best run family offices in the world, held up as a model of what to do as a family office. bill and melinda have ideas, they are not super involved in the specific investments themselves. we understand that investment vehicle also has a lot of investment in the likes of land
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ownership, energy, real estate, hospitality. as of this moment, we have no indication that splitting up is the direction we are going -- they are going. manus: in terms of the question marks, in terms of if that foundation might be split in two. that is what happened with the bezoses'fortune. >> the bezos fortune was heavily into amazon stocks. that is not the concern we have here with microsoft stocks, just 1.3% of the ownership. the question is what happens in the court system. washington is a community property state. most of the wealth they have has been acquired since they married
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in 1994. that is the time that the ceo of cascade investments came in and started managing the family office as well as the endowments. we don't know if they have a prenup and we may never know how the judge splits up this wealth. certainly if they agree to keep that pot together, both the foundation and family office could continue to be in his players in the world of family investments. -- in the world of investments. manus: they want to deliver continuity to the charities they look after. truly amazing individual, having met him a few years ago, and they do. we are waiting for saudi aramco, how much will they spend on capex? what will be there leverage number?
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will the net income be $19 billion for the first quarter? this is a company that has reverberations around the world. investments, selling assets, generating fiscal latitude for the kingdom of saudi arabia. ♪
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♪ anna: good morning. welcome to bloomberg markets, the european open. here are your top headlines. a picture of a patchy economic recovery while fed's jon williams says don't expect any policy shifts just yet. germany pushes ahead with max nated people from prescriptions. meanwhile


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