i'm alongside matt miller. he is in frankfurt, where it is called. moments away from the start of european trading. here is your morning brief. draghi callrio equates on the ecb? we search for clues on when it will end. the italian job. topeo renzi tuesday in the spot for a little while longer, but will monte dei paschi complete its capital increase? from russia, with love. joining forces to buy an $11 billion stake. that in deal mode. let us talk about where we are tracking these european market to go. we saw a rally in a close and intoally getting a bull market. let us see exactly where we are going today. we are expecting these lines to point upwards this morning. london beginning to push up. it will be interesting to see minors to do today. we are taking the focus to continue on what is happening in italy for the ecb. it is the big story. the details, let us go to manus cranny. for thed after record dow and the s&p. have i jump the kool-aid? manus: the rally was set long before trump came to pass and we are perhaps over focusing on the reflation

anna: matt miller, in frankfurt. joerg kraemer will be on bloomberg radio at 9:45 with guy johnson for more on that ecb meeting. manus: we will have ful l coverage of the european central bank meeting. and then you can follow the meeting on your bloomberg at top . anna: how is the domestic picture looking? manus: and a bang or a whimper? can the ecb president mario draghi give the year can economy one more shot in the arm? they get into that conversation. stake inncore takes a rosnet, marking a dealmaking come back for the ceo. we take a look in the next hour of "daybreak." this is bloomberg. ♪ manus: welcome back to "daybreak." a.m. in new york. record after record after record. that is what is happening with the s&p 500 and the dow jones. it is a beautiful day. anna: let's get to the bloomberg business flash. reporter: thank you. documents disclosed by deutsche bank provides smoking gun proof that lenders, including ubs, hsbc, and the bank of nova scotia, rigged the silver market. eight months after the germa

where is matt miller today? matt miller is up in very cold this morning. interesting interviews coming up there. let's talk about that briefings for the day. it is all about the fed. and the dots we trust. , does ital tightening turn into an avalanche in 2017? exit balancing act. mark carney walks the line between growth and inflation. how does the boe make policy in the dark? and the year of suspense. the fed takes the pressure off the frank but what does a 2017 political upheaval ahead mean for this safe haven trade question mark let's talk a little bit about where we stand in terms of the markets right now. the futures trade, we're looking at the ftse which is absolutely flat as we watch what is happening. let's talk about the next trade. what is going on with the smb today? the snb are expecting to hold that they are at a -75 basis points on their key rate. the important thing i think for the resident was him i will be speaking later this morning is that not only did the fed raise rates but they pushed up there dot plot. the expectations from the fed i

this is bloomberg. ♪ matt: welcome back to the european market. matt miller in berlin. markets have been treading -- trading for 11 minutes. not a lot of movement. cap it. the arrows -- tepid. moving.ws are but no movement on the ftse. and the dax a cac little bit of movement. i know you have your eye on a swiss biotech that has been rocketing lately. guy: we were talking about it earlier. the price is 275 according to reporting from earlier. let us pop the share price up at the moment. italianreating to 15 on -- actelion. the market is not convinced. we have a near 10% or 9% pop on the stock this morning. if 275 is the number, you have a long way to go until you get anything like that. i would say at the moment the market is interested but not convinced. we will watch what happens over the next few days because that could be coming out in the next couple of sessions. -- it is a shocking pretty shocking spread. j was think that j and isking at 250 and sanofi looking at 215, that is market arbitrage. watching say, we are brief. keeping an eye on it. greek move on to the

the mrr, if you will, matt miller. matt: i got a look at the mrr right now. this is a one-day trade of the stoxx 600 and you can see the big winners up here. they got an upgrade. media set coming out and saying it is not in talks with vivendi. the losers, as you would expect. you can see actelion down here. interestingan loser. we have been talking about that. if sanity is offering 270 -- sanofi is offering 275, that is because the guys don't believe the deal will get done. ne saying itsno sales are going to be week. these are some of the biggest gainers of the year today. georgia getting cut to sell. coming another cell not out. previously to this coming out, deutsche had three buys, 17 cells. those metrics -- 17 sell. going bigger going home. please prepared to sell another 7000 clients. whittling down customer lists to the ones that produce profits.nt stephan morse, good morning. this is an extension of something that has been going on for a while. that is what barclays will be saying about this. how big a difference are we talking about? what is changing?

matt miller is on the road this morning, in aspen. this is where the cdu party will set the tone for her bed for a fourth term as german chancellor. great to see you. give me a sense, because this is what we have to get our heads around for 2017. how divided is the cdu party? not as much as it was last time. the last time they had this national conference, national gathering of cdu party members, they had a vote of support and gave angela merkel more than 96%, almost a putin-esque amount of support from the cdu. this time, it could be a lot lower. range, 85%, 88%, in that that will be big news, because it shows that a lot of the party is really unhappy about her handling of the refugee crisis. that will probably be the focus of this meeting. manus: it's a global focus, isn't it, in terms of what she did and where her policy is now, and the social ramifications. that takes into that very point. can we expect additional changes? there has been some nuance to change in terms of the party policy toward refugees. yeah, they are definitely

matt miller is in berlin. matt has your morning brief. the market attacker remains at large. how much damage cams due to germany chancellor -- campus due to german chancellor -- can this do to german chancellor emil michael? -- angela merkel? what can unseat the trump rally? drastically short on capital. is there any way the world's oldest bank can meet the year-end deadline? theseeta-talk about markets. they are expected to open softer today, to be honest. that is take a look at what we are seeing. this is the picture in europe. we rallied into the close yesterday. the ftse 100 going nowhere in a hurry. not anyt they're market makers. it is soft. the cap opened softer -- the cac opened softer as well. we expect the backs to open down to open down as well. ftse down by 0.2 percent. there are stock stories. manus cranny, what is going on? manus: an early last of champagne. i can tell you one thing. stocks were almost -- what would it take to get us up and over the fence between now and next thursday? a number on the store you have been talking about, 25% of the 30 day moving a

that is matt miller. outings bank more of what we can expect -- alix: from war of what we can spare for mario draghi, our guest. a great day to talk to you. -- for more on what we can expect from mario draghi, our guest. you have the euro, a selloff in the bond market, your takeaway? guest: they can extend by $80 billion for six months or something at a lower pace as they have done a smaller pace from longer and it adds up to a curative amount. forhey had done $80 billion six months, it would've been lesser. you have to look at the kulik of amount.cumulative alix: you see the euro pop, now we are down by 0.1% and that seems like what the market is interpreting. is it a fundamental issue, they did not have the bonds or to appease the ahhawks? : we have learned a lot from the bank of japan. you cannot just extrapolate into the future forever. they are being proactive and saying we have to get the programs to scale we can sustain and that is what they have done. notd: the bond market does seem to be getting

matt miller, joining us. let us bring in our guest, christian schulz, the european economic director at city. thank you summit for coming in this morning. pieces on the chessboard. deutsche bank moving on. 7.2 billion and change. no mean feat. it does move us through the eye of a market storm. just two months ago, we were talking about deutsche bank going bust, and contagion from deutsche bank. your first impressions when you hear that piece of news flow? christian: from an economic angle more generally, it does not seem that germany has held back on the fragility's in the fragilitiesor -- in the banking sector. know, this one particular bank is a very large bank, but given the diversity of the german banking sector, it is certainly not the only bank that is available to provide a credit. questionse got many when i have been talking to investors about the german banking sector. this is clearly one of the main banking stories. if this move towards resolution, i'm confident i will have less questions about the

matt miller, what are you doing in copenhagen? matt: i am here to interview the ceo of the company taking part after al consolidation cratering of shipping fees, now hoping to get pricing power and start to get some upward momentum. at the same time, donald trump's trade policy threatens to torpedo that momentum. ceo of hear what the moeller maersk has to say. guy: looking forward to that. matt will give us his take on the markets this morning in copenhagen. let's talk about where the markets are right now. this is the gmm. yesterday, europe a little softer. -- equities in europe a little softer. am what isp an i happening. my sense is the markets are waiting and watching to see exactly what the fed delivers later on. a lot of news out of italy. --the moment, on my wfi telling me nothing big at the get-go. a flat story. understandable, given where it -- where we came from and where we are with the fed. does the fed have a clue about 2017? we don't yett understand the parameters of the trump presidency. first, let's get you caught

i am matt miller in berlin, alongside guy johnson in london. markets have been trading about 13 minutes. look at how they are doing. slight gains, nothing compared to yesterday. the dax last night closed up 1.25%. right now, little changed. the stoxx 600 gaining almost 0.25%. markets are up across the board. it has been a great run if you are long equities. guy: it has, and it continues, as you say. let's talk about how the breakdown is working in terms of stocks and actors. what we saw yesterday was interesting surrounding banks in italy, peripheral banks, the stephen of the curve. today, unicredit down by 1.9%. -- bank oflot of couple already -- banca popolari down as well, and i think that is not surprising giving what has been going on with the frankfurt story and the ecb. but politics continues to be the dominant theme. mario draghi was referencing this very clearly yesterday. it is a story that is present in asia. south korea's parliament this morning voting to impeach president park. rosalind chin is live at the national assembly in seou

matt miller is in berlin. we are away from the start of european trading and matt have your morning brief. matt: going to be interesting today. int will the flm see deliver 2017? alanivering greenspan and jean-claude trichet. plus, presidential pain? treasuries topping 3% would punish the markets. is financial repression finally over and is that such a bad thing? j&j one play. we have been talking about this deal. is the way clear? guy: we will watch that stock very carefully. it has cooled down sharply. let us take a look at the european open. the ftse is opening unchanged. we are anticipating the market is going to be a little bit more skeptical and cautious. 6962 is where we are. c eur on the back foot. i'm watching antillean, waiting for it to open. the boj unexpectedly increasing its super long bond purchases has put downward pressure on yields globally. 10 year yield down on treasuries and german bonds. nejra: it looks i be same is happening in the gilt market. down three or four basis points. very much

manus: thank you that was matt miller joining us from berlin. the markets in asia. well, use of, a much better day across the region. we put a lot of those geopolitical tensions aside and buying into equities as we round up the end of the calendar year. . raise chinese equity rebounding. upside coming through in hong kong, about 6/10 of 1% with casinos leading the game you have seen a close lower by one third of 1%. we've seen the yen strength in about one quarter of 1% against the dollar in late afternoon trade. high today.onth that was as numeral was named as one of its top picks. and other carmakers as well. a stray had a standout session, up 4/10 of 1%. about that 5600 point level which made australian stock at off high. highs we have not seen since august last year. elsewhere around the region, pretty mixed in terms of southeast asian equity market. manus and yusuf? manus: thank you julia. juliette saly right there with a roundup. our guest is bob parker. senior adviser at credit suisse. what caught my eye was this manhunt is ongoing and berlin. equity markets

i am guy johnson alongside matt miller in berlin. credit suisse steps up its cost-cutting plan but when will revenue return? question.e big on softbank. light how granular will he get? we will speak to mark mobius and the ceo michael spencer. we are less than half an hour to the european open after yesterdays gains across the board, but take a look at where futures are pointing today. also up. you can see the euro stoxx 50, this was yesterday's intraday trade. there is the futures trade indicating a gain of about .7 of 1%. dax and the cac all poised for gains. guy: let's talk about what is going on in terms of the gmm. yesterday, the massive move yesterday in italian bonds -- stocks was fascinating, up four point 15%. i was told the italian market is 2.5 percentage points away from a bull market. you heard me correctly. peripheral markets did well. spain was up. most things are down in asia. the japanese yen down point to of 1%. the british pound also down .2 of 1% as well. this is as we continue to watch the situation in europe unfo

matt miller reporting from berlin. julie? julie: turning to turkey, the attack in berlin coming within hours of the assassination of the russian ambassador to turkey in ankara here that fueling the global uncertainty that turkey central-bank warned about following a surprise rate decision. let's bring in constantine from istanbul. we have this rate decision where rates are kept on hold. it was somewhat surprising to the market. it seems on the one hand that the central bank is faced with the following lire, and on the other hand with political pressure. why was that decision aid today? >> it was a surprise decision from the central bank. the central bank is dealing with depreciation in the currency. the layer is the worst performing emerging market currency in this quarter. growth is slowing down. the economy contracted in the third quarter and there's political pressure to keep rates low to stimulate the economy. that they noted the depreciation has impacted, may impact, depreciation. theslowdown is restraining impact. some

matt miller joins us from frankfurt. what we are expecting hopefully is that the markets want some sort of open qe plan to see when he is ready. matt: the market i think is expecting six months, 80 billion euros a month. a lot of people are talking .bout a skinnier, longer qe the possibility that he says maybe 60 billion euros a month for more than half a year. i think the important part from all the investors i have spoken to and economists, i have spoken to a number of chief economist this morning, all of whom say the important thing is going to be that he does not give us too much on tapering. wordnot even mention the t or you will see a bid up in the euro and blowouts on the periphery. francine: will he be talking about monte paschi? i'm not sure if he will have to mention the italian referendum. matt: surely he will be asked about monte dei paschi. there is a press conference 45 minutes after the release comes out, and we can count on some reporter to ask him about it. it has got little to do with this monetary poli

matt miller is in berlin. the german chancellor is coming out making it very clear that she hopes this is not a terrorist incident, but we have to work on the is something that it was. give us a sense of the town that she delivered the statement with this morning. she, as youi think said, was horrified and did not want to believe that it was a terror attack, but they are working under that assumption and they have in fact taken a suspect into custody, allegedly the driver of this truck. also, german media is reporting there are two polish bodies found, one in the truck and one at the mart that had been shot. apparently the truck could have been stolen and used in the terror attack. it is being investigated by federal authorities. and also by police. and two hours, angela merkel will come here and visit this christmas market at the kaiser wilhelm memorial church and see the damage for herself. because of police barricades come you cannot make it out, but many of the wooden sheds put up sell trinkets and arts an

matt miller, bloomberg, berlin. yousef: the chief economist at global asset management is still with us. this is a huge day for the governing council we have put up this chart, hdmi. i really like this, because it shows the market impact and lays out the previous announcement for the policy decision. then you have the upper boundary respond and lower boundary respond, and the upper has been higher. what do you expect mario draghi to tell us today? is he going ton: do if he rolled over the program. let's see if he does not answer today and does not have to wait until next month. assuming he announces it, it is 80 billion or is it last? , does he produce a time limit for this to come to an end? assuming he does not give a time for this, i think it will happen. and then, is he taking action to eliminate what is effectively the running out, the scarcity of german bund? you have got to do something. you have got to deposit the floor limit. there is all kinds of things he can do. some of them will be held to save, some of

matt miller with the details from berlin. asian equity markets at two week lows, the msci asia-pacific down. let's get the details on the trading day with juliette saly. juliette: yes, anna. certainly all the geopolitical turmoil happening is really weighing on sentiment here in asia. to have stocks at a two week low, but there is also a little bit of positioning happening. if you look at the actual fundamentals, it looks like we are seeing more weakening coming in as we round out the 16, although you'd -- round out 2016. of course the boj is coming through with its decision -- no change, although there was a very big weakness coming into the yen, holding at those ten-month was, which has pushed the nikkei higher. it was pretty flat ahead of the boj announcement which happened at lunchtime tokyo time, when markets ar resumed. the nikkei has closed higher by .5%. different in hong kong and in china. chinese equities actually trading at six-week lows. still a lot of concerns about capital outflows, and pressure coming through o

matt miller in berlin. we are moments away from the start of morning trading and matt has your morning brief. truck kills 12 people at a christmas market in berlin. the german government says it was probably a deliberate attack. how will angela merkel the chancellor, respond? ambassador to turkey is shot in the back, dad in ankara. turkishter, who was a police officer shouted "don't forget aleppo." how might that affect the fragile russia-turkey relationship? plus,plus, it is a strong dollat a weekend. the boj raises the monetary outlook. but in a year of acrobatics, is it the fed in the drivers seat? at how european markets are opening this tuesday morning. we are not expecting a great .eal of a change in direction and an a in equity markets today. the ftse 100, north of 7000, but likely to remain close to the down less than 0.1%. he will let the market do its business. we will see itself and maybe a little more than this. lookingless, we are not for a clear sense of direction. a lot of liquidity is going

usie: matt miller coming to from essen, germany. we miss you, matt. nice to see your face and hear your voice on bloomberg television. we just got a response from bowling on donald trump's comments. ony say they want to work "the best plan for the u.s. president." trump had said he was questioning the cost of the plane and named boeing specifically. shares have been falling this morning. they are down half of 1%. we will bring you an update throughout the morning. we will also be speaking to a reporter who covers the company. this is bloomberg. ♪ julie: live from london and new york, i'm julie hyman. mark: i mark barton and this is the european close on "bloomberg markets." roughly four minutes until the end of the session and here is where things stand right now. stocks are up and rising for the second consecutive day. there's the stocks europe 600 up. we are at the highest levels since october 24. have a look at what is happening in the currency markets. i will leave you with that boards. four minutes until the end of , and if you session didn't k

mark: swiss national bank thomas jordan speaking to bloomberg's matt miller. keeping an eye on sterling against the dollar at its session low, down by 1.1%. the biggest decline against the dollar since october. day,falling for a third and the bank of england said it has been the strength of sterling that means the inflation will not overshoot as dovish november, but statement. sterling down by 1.1%. this is bloomberg. ♪ you are watching bloomberg. i am vonnie quinn. mark: i am mark barton. this is a global business report. rupert murdoch expanding his tv empire. sky century fox will bite and it will create the consumer powerhouse. vonnie: dubai plans to suspend $36 billion to build the world's largest airport. to rely on debt funding to finance the project. mark: in today's bloomberg could tech automakers and companies investing billions of company into developing vehicles . the day of the driverless car is getting much closer. rupert murdoch has expanded his tv empire. 21st century fox will acquire europe's dominant pay-tv company sky. the price -- 14.6 bil

matt miller will tell us the details and highlights of today. the initial decline, the reason is the ecb will reduce their bond buying program to 60 billion euros. it has been extended to the end of this year, so we saw an initial jolt in the markets. then the ecb expanded on its thinking to buy assets below the deposit rate if thinking to buy assets below the deposit rate if needed, by bonds maturing in the one to 30 year range versus two, and the rates kept unchanged previously and downside information average at 1.7% in 2019. so much to digest the markets like it, particularly the equity markets, rising for the fourth consecutive day, and led by [indiscernible] this highlights today's market in life that the initial reaction was the ecb tapering everyone, but the ecb did not use the word tapering. mario draghi said later, and then the details came out. the ecb can buy bonds below the deposit rate, they can buy bonds in the one to 30 year range. that is why the euro is down by after initially rising by .5 of 1% earlier. we rose to the highest

where is matt miller today? matt miller is up in very cold this morning. interesting interviews coming up there. let's talk about that briefings for the day. it is all about the fed. and the dots we trust. , does ital tightening turn into an avalanche in 2017?

matt miller has grabbed a lawmaker and he has him standing by now. matt: i am here with the head of the cdu. it's the most populist state in germany. you have an election coming up in may. chancellor merkel said this would be a difficult year for elections. why is it so difficult? >> the last election in 2013 was a debate about some issues. there was not an aggressive party outside the parliament. now we have a left-wing party and a right-wing party attacking the political of -- the middle of the political scenery. and you have the debate between the parties. and you have the question will we have a coalition red red green? .o one knows what will follow you had almost one million refugees coming into the country. angela merkel said she wants to for bid the wearing of a full face veil. is that an attempt to outflank the right? >> a liberal open society shows faith. the other message is people who can still have support. those who come for other reasons, they have to leave the country. now we have less refugees than one year ago. i think this process d

matt miller joins us from berlin. theyjumps out is just how sold a certain amount of cars in the u.s., not very many, and then sold millions a year in time of funds out of the u.s. and not much out of europe. what is going on? matt: it seems the german federal government has ring fenced volkswagen as far as its liability goes. they happen to have slightly different regulations in germany , not as stringent as they do in california, so they are able to fix certain cars and they do not have to fix others that they would have to either a place in the u.s., or would have to somehow find a fix for. we have to keep in mind, there is two issues. the two liter engines that have the actual cheat on them, and the three liter engines that have a slightly different mechanism that was not necessarily cheating, but was not necessarily allowed unless reregistered by u.s. officials. you are right, they only sold i think 400,000 cars a year in the u.s. and $16 billion in funds. 18 billion cars here and they have not paid any egregious

i'm guy johnson, alongside matt miller. arabia saysnd saudi it will deliver even deeper production cuts as the russian oil minister tells bloomberg his country's cuts will take place next month. the question is, how quickly will the u.s. share respond? old poland., italy's leader is handed a new list of things to do. and tracing the dots. sent.s. 10 year yield is to its highest level in more than two years. what does this mean for the other asset classes? we will ask aberdeen's head of commercial property. matt: we are less than 30 minutes away from the european open and you can expect to see a lot of action this morning because of that oil srurge. futures are trading up across the board. we are looking at gains for the ftse, 1%. for the cac, almost .3%. the dax is gaining as well. pointing to a positive this morning as oil is expected to produce. they are big heavy components of these indexes. guy: let's see how london opens on the back of what you are talking about. this is the gmm function. wti crude, it is a big and agg

. ♪ matt: welcome back to the european market open. i'm matt miller in berlin. guy johnson alongside be in london. i thought they were building a bleachers here in front of the brandenburg gate to watch a christmas concert. guy: matt, matt. honestly, we don't use that word over here. seating, or something like that. matt: but bleachers, that is like the benches you use to watch some sort of event. guy: i know that. matt: i've just been informed, they are building a menorah there because hanukkah starts, i believe, on saturday, so we have a christmas tree out there and a clearh as well, to buil that up. why are there cranes in front of the brandenburg gate. yeah. guy: full-service. matt: we are reporting the news here. bank of america is sticking to its forecast of 2% growth next year. u.s. bank isrgest seeing signs of economic improvement. the ceo sat down for an exclusive interview with bloomberg david westin. david asked what we are anticipating for the economy under trump. to be first, we have the number one research team in the world for six years in a row n

matt miller is there in essence for us. rick to see you on the program. what will the focus of the platform be ahead of the election? the subject of migration will come up. matt: absolutely correct. that is going to be it. the refugees are the focus inside and outside, all across the germany. the party would like to focus on other things, namely the subject of europe and holding it together. those two are so strongly interlinked right now that they cannot avoid trying -- tossing up their rhetoric. because they are getting so many attacks from the right and they don't want to lose any ground to not only the right wing party, but also the right wing of their berean -- csu, the bavarian contingent. they will try to toughen up language on deportation and how they do that. acause thus far, it has been real problem getting them out of. they don't belong here. anna: the migration story has taken a toll on her popularity domestically, hasn't it? what about the field she finds herself thing? she is running this uncontested, right? matt: she is running uncontested,

we have the european open up next with guy johnson and matt miller. you can join me on bloomberg radio, daybreak europe live at 8:00 a.m. on dab. this is the state of play on the european equity markets, we are looking for slightly lower opening. london, paris, and frank kurt are down by .8 of 1%. thehave pressure ports that italian government may be ready bank.a bailout on the this is bloomberg. ♪ guy: you are watching bloomberg markets the european open. johnson. i am alongside matt miller in berlin. this is what the pair of us are watching this morning. deadline day for the world's oldest think my reports from italy suggest the italian government will confirm that it is to bailout monte dei paschi how will the news shape politics? is this

i'm matt miller live in berlin. there you see the finished work of what the building that we saw yesterday. we saw the installation of this because hanukkah starts tomorrow. on the same day as christmas eve. right from front of the brandenburg gate here in the capital of germany. let's get to your stocks to watch now. there is so much going on in the financial space this morning. deutsche bank is one to look at after it was the first out this morning with its settlement with the d.o.j. $7.2 billion was the total number there. $3.1 billion a cash neament they are going to have to pay straight away and then the rest will come in consumer relief. caress sweet was out as well with a settlement. $5.2 billion. $2.8 billion is the cash penalty that credit suisse has agreed to pay. the rest will come in consumer and community relief. watch those two stocks. investors are going to be happy to have this behind them as they go into 2017. guy: and a lower number which is going to be well received as well by investors. barclays

matt miller seems to think he was a big part of it. he was kind enough to come in and explain his outrage. good to see you recommendation matthew. >> good to see you. >> after all this time what's your beef. >> it goes all the way back to july. the first press conference that director comey held where he departed from department of justice rules and passed judgment on hillary clinton's conduct something the fbi is not supposed to do when they are bringing charges. extends to the letter he sent 11 days out from the election. which, you know, he sent it at a time when the fbi didn't know if they had any information threw hand grenade into the middle of the election. at the time hillary clinton had donald trump on the map. the race was essentially over. and it changed the direction of the race and i think eventually changed the outcome of the race. that is an appalling thing for an fbi director to do. >> sure. how do we know that the race was over? i mean, on a separate point, don't we now know for sure that the polling was off in a lot o

we want to thank matt miller reporting from berlin. jonathan: i want to turn to the fx market, the dollar getting back to a 14 year high. at the lowestng since those levels, with the political -- the financial uncertainty. joining us now from london, the burn of a group chairman -- the burn of a -- great to have you with us. let's start with the politics, front and center. how important will that be to your call? attire andk the referendum gives us an indication of what we are in for, for the next year or so. italy is likely to be the first country to leave the euro. greece leaves, they will not announce it in advance. the euro is completely unsustainable, when you don't have a common fiscal policy and you have everyone trying to pursuing -- pursue their own vested interest. it is not the federal reserve at work, this is a very difficult operation that the ecb has to conduct. jonathan: let's talk about where that comes from, anyway from the euro. we had this discussion thousands of times, four years ago and the euro is still intact. is

matt miller teeing it up, joining from us copenhagen. guy johnson joining from us london on what the tradest trade data means for the global economy. talking about the international oil agency, there's going to be a deficit in the first half of 2017. joining us now is will kennedy, managing editor in europe, middle east and africa. great to have you with us on the program. not just a supply story, but a demand story out of the i.e.a. that seems to be improving, at least in their view for 2017. just walk us through it. >> that's right. i think what today's report shows is the opec deal about which many have expressed skepticism could have a dramatic impact on the demand supply in the oil market. switching from what we've seen over the last three years, inventory is building week after week, to quite a large deficit in the first half of next year. and yes, as you say, that's also driven by pretty good demand forecast as we see pickup, as stabilization in the global economy. of course, the real question is, will opec and non-opec countries

mark: thank you for joining us, matt miller in frankfurt on the day of the ecb. let's get more reaction on where the markets are heading. joining us in london, joe anna hanna kyrklund. she will give us an exclusive outlook for 2017. thank you for joining us. draghi delivered? johanna: i guess so. i think it is best not to focus on every twist and turn of the policy. he seems to have resided in the banking sector. has that run as far as it is going to go? highest levels since january up 45% since the drop in july. johanna: i think in the u.s. the banks have gone a long way. they will be looking to take profits in the next few weeks. is potentially more value in the region which we so far have not taken advantage of. mark: why are you taking advantage of it? been concernede about the financial sector, we did not feel it was cheap for no reason. one has to consider that there is maybe the potential for outside surprise. julia: you just mentioned that for u.s. banks you might take some money off in the next few weeks. why is that? do you think the run is already gett

let's bring in matt miller with the latest. matt: it is a federal police force, the local police handed off the investigation almost immediately. what they are working off of now from mediatand sources in germany that 500 crews including photographs and videos taken -- clues including photographs and videos taken at the scene and dna and fingerprints and other evidence including papers taken from the cab of the truck. bild reporting they are on the trail of a man from tunisia between 21 and 23 years old and that they are planning to raid areas in an area in the northwest area of germany to try to take this man into custody. initially, they had someone from pakistan in custody who was looking for asylum in germany but he denied involvement and police later released him saying there was not enough evidence to tie him to the crime. guy: what is the mood like? we were talking earlier about the front page of the newspapers this morning, bild's headline and cap pulling -- and cap leading the way they feel, fear. absolutely, whoever c

i am guy johnson alongside matt miller in berlin. credit suisse steps up its cost-cutting plan but when will revenue return? question.e big and shining a light

i'm guy johnson, alongside matt miller. arabia saysnd saudi it will deliver even deeper production cuts as the russian oil minister tells bloomberg his country's cuts will take place next month. the question is, how quickly will the u.s. share respond? a new leader,

takes to matt miller for that smart interview of the snb. not much movement there. over to the next screen, the philippine peso 50 earlier today. you have the renminbi weaker. series, asiacore dxy and dxy, both with stronger dollar. francine: the bigger story is all about fx. next is "bloomberg daybreak: americas." what are you excited about? reverberations really being felt in emerging markets. all of the asset classes covered over the next three hours. it will take a dive into company stories. we speaking with the eli lilly president and incoming ceo about drug pricing, company plans, and the company's future. we are also talking to the incoming ceo of pioneer natural resources. if you want to know what will happen with shale, this is the guy to call. i was in midland, texas talking $55 oil.ir plans at and we will be breaking the boe rate decision. tom: let's sum up what we have ofrned with daragh maher hsbc. he has what i will suggest an outlier on weak sterling. we go to governor carney. i will suggest he does not cadence, orcertain unofficially with the hsbc. i

let's get to matt miller who is there. what will the focus of the parties platform be ahead of the election? i see the german chancellor is speaking behind you. out, sheave to point has just started speaking. you can see right here, she is currently introducing an thanking all of the different party members and factions from around the country who are gathered here today. the focus really for angela merkel, and for the party at large is going to be the refugee issue, both internally and externally. they are having problems dealing with this issue. she was the one who almost single-handedly allowed a million refugees into germany last year which has brought with it some problems, as well as some opportunities. they want to strengthen their language as far as deportation, that has been a difficulty trying to turn away refugees who do not qualify for asylum, and trying to get rid of refugees who cause problems here. they are hoping it will take some of the wind out of the sails of the right, that it is the left that is going

i'm guy johnson and matt miller is in berlin. no surprise, renzi to resign. he steps down as the country votes no in the referendum. our elections -- are elections now inevitable? the italian bonds fall. is monte paschi now heading for nationalization? and the u.k. supreme court now begins hearing theresa may's case. if she loses, is a hard brexit off the table? matt: we are less than 30 minutes from the european open. take a look at futures. we are looking at red across the board for europe here. u.s. futures have turned positive, however, in the last 30 minutes. watch this space. we do see ftse futures down 1/3 of 1%. dax futures down, .4%. there is this turnaround in u.s. futures. guy: yeah, the turnaround certainly is, matt. we will see how that develops as we work our way toward the cash open in europe. we do know the euro is under pressure and italian bonds are under pressure. we are training at 1.0610. today we have finance ministers meeting and so much going on in terms of the moving parts surrounding the single currency right now. we are moving lower

i am guy johnson alongside matt miller who is in berlin this morning. what are we watching? take a hike. the market is ready for the fed to raise rates but what will the fomc deliver in 2017, that is the big weston. we will hear from three former central bankers, alan greenspan, philip hildebrandt, jean-claude trichet a all coming up. presidential pain. can your treasuries talking

i'm guy johnson alongside matt miller. he's back in berlin and he's got a hat on today. let's talk about what we're watching today. solidifies its gains, trading near a 14-year high against the euro. yields jump from d.c. to tokyo. we're going to figure out whether it was an inflection point for the bond markets. dimon on

matt miller attended the las ifas motor speedway to see the program is worth the high-priced head for drivers in for the brand. matt: here at the las vegas motor speedway, brand loyalists have gathered. >> it's a second day of the -- >> it's an advanced driving academy offered to lamborghini owners. >> everyone has to take the program because your level of appreciate is just higher. matt: they get a bit of classroom instruction like the best way into and out of a corner. the highlight is the hours on the track where they get one-on-one coaching from pro-level race drivers. $12,000 it's you a seat in the supercar as well as countless lapse in this road car. most importantly, since all these people own and lamborghini, the get to drive the super racecar. that is the super race the car in private racing leagues. it costs an extra $125,000. getting behind the wheels is one of the major selling points. >> this is it, dude. this is a combination of two days of intensive training. how was it? >> amazing. matt: i can't wait. >> how was it? matt: insane. all right, i will buy want too. when re

i'm guy johnson and matt miller is in berlin. no surprise, renzi to resign. he steps down as the country votes no in the referendum. our elections -- are elections now inevitable? the italian bonds fall. is monte paschi now heading fo

i'm guy johnson alongside matt miller in berlin. what we watching? is trump out of his debt? the u.s. china relationship enters deepwater over a need to drown. how frosty could this relationship between beijing and washington get? are we heading for a new cold war? will gladly deliver? growth

julie: i always miss matt miller when we are talking about bitcoin. scarlet: i know. he tried to live life using bitcoin. he got quite a bit done. julie: he did. he used it for some things. scarlet: a couple of transactions. and coming up, something else he would be into. julie: we have your 2017 auto outlook. that is next. this is bloomberg.. ♪ ♪ scarlet: "what'd you miss?" bloomberg intelligence has released the 2017 outlook and we are looking at what you cannot miss in different sectors. today we are looking at autos. kevin, let's start with trucks. suv's a few years ago, were persona non grata because of what we saw with gas prices. gas prices came down and the sales went back up. will the trend continue? >> it is going to continue, but what is interesting is it is not about gasoline prices anymore. what is a truck today, that would include crossovers and suvs and pickup trucks. they are very different from what they were in 2008, which is the last time gasoline prices spiked. if you look at the chart of the next, truck versus car, it is romantic and prolonged

our own matt miller joins us now on the phone. mats, what can you tell us about what is going on there? one of the things i can tell you about is where the attack took place. it is easily the most well-known and probably also the most highly populated shopping street in all of germany. it is a place where the very wealthy go to shop, the most high end, luxury names are there that you would recognize, from chanel,ods -- hermes, also, the big mass-market brands are there, so there is an urban outfitters on kudamm. always packed with shoppers, as long as the stores are open, and this being the week before christmas, a lot of people are trying to squeeze in some last-minute christmas shopping. it is also the home to a lot of tourists, because a big churches there that was scarred by the second world war and has been left standing. i have right now a student visiting from new york who is about to be going to college and is going to have a gap here, it is where i took him because it is one of the most famous and highly visited places in

matt miller is there. skou,i am here with soren the ceo of moller maersk. right now in the middle of maybe period of breaking up or splitting up the business, is probably a better way to put it. the shipping side, transport side, logistics on one, oil on the other. does the rising oil price make you want to keep some of these businesses? the oil price going up is clearly a huge help for oil. also of all, oil companies by oil service businesses. over the past couple of years, we have worked hard to build an oil business that is profitable and growing. $50 oil or $45 oil, we eventually achieve that, the breakeven oil business is less than $40 a barrel now. when the oil price goes up to $55, $57, that is a good day for us. but it does not change the strategic direction of the group. we believe that the future of on globalgoing to be container shipping, container logistics, and that we will separate out our oil and interrelated businesses, so they can continue on their own. matt: so this will maybe help you get a better price when you sell or depressed these as