i'm francine lacqua in london.

francine: thank you so much. the latest on some of the big moves we're watching. the other beg they think. every day i feel leak there is a 10 billion deal in equities. it is the second day in a row. i wasn't sure what it did. private equities circling. tom: back into play. a lot of cash at hand. we have seen the kkr bids. watching that deal sweel. a lot going on. this is bloomberg. ♪ tom: welcome back briefly to the open. 26 minutes into the european trading day. plenty more coming up. this is bloomberg. francine: welcome back to the open, everyone. 30 minutes into the european trading day. awaiting u.s. data. new zealand's rates lower than expected. a coordinated release of strategic crude reserve falls short. turkey's lira breaks all kinds of records. look at the markets every day. it has been in a holding pattern waiting for data. tom: it is going to form the view where the fomc and jay powell goes for the taper. three hikes priced in by the markets and the u.s. pretty decent gains across europe. making up

francine: water. can you not use water? simon: tidal? francine: hydrogen. simon: hydrogen is an important part of the decarbonization, but it does not solve the electricity supply because so expensive. if you think about what you do with hydrogen, you are compressing it, storing it, transporting it, and then back to a fuel-cell. the efficiency is less than 40%. xlinks products are so much more efficient, half the cost of hydrogen. tom: we wish you luck. that is simon morrish, ceo, xlinks. coming up, we focus on the u.k. after a busy day, what are the implications for the bank of england next month? this is bloomberg. ♪ tom: welcome back to the open, 54 minutes into the european trading day. flat across the benchmark but some upside for the u.k. the dax down 0.1%. futures in the u.s. pointing up 0.2% after the selloff yesterday. basic resources gaining. travel and leisure down more than 1%. this focus on the u.k. and the economy going more than expected after a surge in services and construction. let's bring in lizzy burden. lizzy: the numbers came in abov

francine: we will. manus: francine, thank you very much. francine lacqua in glasgow. one of the major compounds has been china. multiple world leaders criticizing the nation's lack of commitments. maria tadeo spoke to the belgian prime minister. maria: when you say china, that is particularly important when it comes to china. this is about china complying with their commitments. is the climate checks -- the climate tax justified? >> definitely. they climate tax at our borders is what you need. it is crucial. china is one of the biggest emitters in the world, if we really want to have an impact. the impact will be because we push each other to the same level of emission, and the carbon adjustment tax is one of the methods to achieve that. maria: emmanuel macron said we have to help the poor countries make the transition, but we will also see the big polluters increase emissions. is that perhaps china, but also india, and how do you make that commitment to finance that transition? >> the western world has a big responsibility for the situation we are in today, so achiev

francine: i try not to buy much fashion. it depends on what the end of the month looks like and how much salary is left over. europe once again is a hotspot for the coronavirus, calling into question the recovery from the pandemic. for more on this, we are joined by sam fazeli. quite a bit of news yesterday, we were talking about mandatory things like nhs workers in the u.k. will we see more legal challenges it country say you have to get vaccinated? sam: i think the legal challenges are tougher in the european union than the u.s. everybody will have a go. however, you need to find a way to keep a lid on this. i'm doing some analysis to see what correlates with higher case counts across different countries. it has a multivariate impact, not just about vaccination. vaccination keeps you out of hospital and reduces the risk of death. that is the critical point. francine: i know there is a lot of talk about the u.s. legal challenges, people not wanting to get vaccinated. 11,000 boeing employees have asked not to be vaccinated.

francine: thank you. jonathan: francine, thank you. in about 12 minutes, the president of the u.s. landing in edinburgh. we will bring you those pictures. contradictions over the weekend were clear or all to see. on the one hand, political leaders were looking to address climate change issues. on the other, you were asking producers to produce more oil. president biden: the idea that russia, saudi arabia, other major producers are not going to pump more oil so people can have gasoline to get to and from work is not right. what we are considering doing i am reluctant to say. jonathan: we will catch up with annmarie hordern. can you reconcile these two issues? >> the president's has he sees the irony. the u.s. was one of the most aggressive delegations when it came to the communique and trying to put ambitious language on climate change but at the same time they are talking to other massive consumer countries and trying to coordinate what they are going to do to pressure opec-plus. the u.s. president called out saudi arabia and russia. both of those leaders not at that g20. but calli

francine: former u.s. treasury secretary larry summers saying the fed is coming to terms with an overheated economy. that's after the minutes showed officials open to removing policy support to keep inflation in check. joining us is the u.k. chief investment officer at ubs. thank you for being with us today. we also had that breaking news that the eu could recommend worcester shots after nine months for people to be able to travel. does the rising number of infections and hospitalizations not just in the u.k. but across europe make you change your mind where you want to be invested in but also the growth path or word? >> it does not at the moment, but it is obviously a risk. code cat scans continue to rise and lockdowns spread further, than there is a chance that takes a little bit off growth which actually takes a little bit off earnings, so it is a risk for us, but with the plans to roll out boosters faster, the likelihood is that markets will probably live through it as they have been doing with various

francine: you like europe as well. >> absolutely. europe is trading at a very big discount to the u.s. we think there is going to be a period of multi-year affluence driven by some of the valuation. the tech leadership in the u.s. market has been persistent, but it is very narrow. the s&p 500 is at an all-time high, but only about 16% of companies are at their 52-week highs. that indicates to us that there is an opportunity for stockpicking in the u.s. and europe. tom: stockpicking, that is the case you want to make. interestingly, that would be the argument from active managers, as central banks pullback their support and the blanketing of the market is removed, then it becomes more of an opportune moment for stockpicking. what are some of the companies you can flag for us where you see real opportunity? >> if you look within the building material space, an irish company, about half of their profits come from the u.s. market. they are the largest road builder in the u.s., so the infrastructure bill that has been passed in the u.s. m

francine? francine: we have a quick look at what the markets are doing. they are hovering to record highs. it's pretty incredible after we heard from jay powell talking about tapering. this was widely expected, which is maybe why the bond market did not reprice anything. i don't know whether we do have a market board. global stocks hovering around these record levels. the fed was so very well flagged that it is not moving much in the markets. they also said they will be patient about raising rates. the other thing i am looking at is the treasury yield curve that you can see on your screen remaining steeper compared with before the fed decisions. we will have plenty more on that throughout the day. two another interview, and this was credit suisse. we did hear, tom, and i am a stream excited to bring this interview to you. we heard about strategy from credit suisse, we heard about earnings. i did an interview with the chairman and chief executive. the fact they were together is because the chair has a much more prominent role in a switzerland, different fr

francine: the u.s. working week is also short because of thanksgiving, and we should know before thanksgiving who is in charge of the fed, whether joe biden sticks with joe powell -- chair powell or lael brainard. >> from a political perspective it doesn't matter as much, but from green policy and regulation, there are real differences between these two candidates. it is a short week, but it is a jampacked week. [laughter] >> i will drink exactly the same amount of coffee as i do in other weeks. on wednesday, we've got so much data and at any moment in time we can get that fed announcement. so no, it is going to be busy. tom: eddie van der walt, thank you. our senior mliv editor. investors weighing the latest covid curves and the risk of a faster fed reserve taper. we will discuss the latest market moves with sanlam investments. this is bloomberg. ♪ tom: welcome back to the open. we are 11 -- 12 minutes, gains of .3% across the stoxx 600 benchmark after closing in the red last week on friday, concerns

francine: two questions. the first one is, monetary policy action normalizes, then how many zombie companies will we be lost with -- left with? has the supply chain moved enough, or will it move further now? will the pressures these over the next two to three years? guest: i think the zombie companies, i am quite optimistic there. i think when we look at the fundamentals of the sector as a whole, whether you're looking at the banking sector, the nonfinancial sector, the consumer sector, balance sheets are very strong. the zombie companies are more about the small businesses, the people that run shops in locations that are no longer visited as much by consumers, rather than it being deal estate or the public markets we invest in -- delisted or the public markets we invest in. i am less worried about the zombie companies aspect. your second question i have forgotten now. what was your second question? francine: the second question was about supply chains, whether they can move further from what we have now give

francine: they are pledges. how do you make sure they actually go out and count what has been done and are held accountable if they don't? marc: this is a huge moment where world leaders and philanthropists and ceos all came together around reforestation. every co needs to do some things. wet need to go zero. wo, we need to plant -- two, we need to plant a trillion trees. to see that amount of progress in 18 months, i feel very inspired and energized today. three, we need to energize the ego revolution. there's all these cool entrepreneurs here, but they are each college he entrepreneurs, creating out of these next-generation innovations. that is very exciting to see these things happening here at cop-26. francine: you are spending $100 million over 10 years. are you increasing that? marc: we have a $300 million tree friend -- tree fund which is about accelerating our one trillion tree initiative. it is excited to see it now that it is so well aligned with what is happening here. it is beyond my expectations, ho

francine: and at a.m. u.k. time, we'll get his take on inflation and talk about energy and covid lockdowns across europe. that is on bloomberg "surveillance" early edition. this is bloomberg. ♪ francine: welcome back to the open. 13 minutees into the european trading day. a little bit of pressure across the boards. yesterday jay powell was reconfirm for a second term. look at some of the differences out there in the market. the dax is down .%. the ftse is losing by a little bit less. reprice to priesting on treasuries and currencies. there was a move on the turkish dollar. let's teak a look at some of thf the stocks. >> the ftse 100 company in the red so far in the open today. the net loss in the first half. i must say with business returning there could still be demand for water consumption and a boost as well from household consumption as people are continuing to work from home some of the team. the wealth manager had a tough day yesterday and overnight we had a note from morgan stanley which downgraded the

francine: thank you. i am going to pick it up in singapore. cryptocurrencies under pressure. it going sliding to the 60,000 level. let's get straight to our bloomberg reporter covering crypto in asia. joanna, thank you for joining us. i don't know if it is a drop or a pause in the rally. what is behind it? >> it is a few things. one of which is we had the infrastructure bill signed and there are some crypto taxation privileges making people nervous. leaving the market fragile. china has come out and warned people, especially state owned enterprises about crypto mining operations and it might boost power prices. it is another thing a lot of crypto operations have left china but it can still make the market nervous. we have had a couple of things contribute to the drops today. tom: given the institutional pickup to the crypto space, could investors look through some of these short-term concerns? >> they probably can to an extent but crypto is so volatile , you could have another huge drop from he

good morning, francine, good afternoon for you. francine: hi, tom. yes, well, i have to say a lot of conversation is actually on inflation. a lot of conversation is on the energy that we saw last couple of months and exactly what that means for a lot of businesses represented here. so we'll be having a great conversation with the goldman sachs chief executive officer, that's very shortly. david solomon. i'll be asking him not only about what he's -- on glasgow and how finance can help the transition into a greener economy. but we will be talking about the markets and talking about china and we will be talking about inflation. other things coming up, we'll talk about exactly the relationship between president biden and president xi. our editor-in-chief john micklewait had a great conversation with gina raimondo they will pivot to asia or come up with new foreign policy on asia in 2022. all eyes on singapore from the bloomberg new economy forum. tom: yeah, francine. fascinating to hear of course the secretary there raimondo in singapore talking about t

francine: do companies realize this? if they think it's just a matter of surviving with a switch to the transition phase. >> this is a tsunami coming at them. many companies have not realized that this is coming in a big way and it's very accelerated. it's in the next few years. the differences in green the bonds, that's a difference in cost of capital. this is going to increase rapidly in the next few years. francine: is there worry that investors overly investing esg sustainable companies run out of stocks to invest in? henry: the world should not be divested. if we were to divest, your portfolio would look very small. the way to do it is engagement. you have to get capital, you have to get asset owners and managers to engage the companies and put pressure on them that they have to go on a decarbonizing path because if they don't they won't have access to capital and the cost will be higher. somebody also coming in invest. if a public traded company gets a lot of pressure, they can go private and hide so the standards

francine lacqua is with wpp ceo mark read. francine: thank you so much. i am delighted to be joined by mark read of wpp. thank you for joining us. you have a great overview of what clients are doing. you have also decided to work on your own supply chain and cut carbon emissions by 2030. how is that going? mark: i think it is going well. 32 of our top 50 clients have set their own target to get to net zero in the next five or 10 years, so it is clear business is making its own contribution. we have pledged to be net zero by 2025. that includes media and production by 2030. alix: when will you work on's -- alix: when will you work on --francine: when were you work -- when will you work on scope three of your implants? -- your own clients? mark: -- our major media apartments are making their own commitments. what is really interesting is what we are doing in production. [indiscernible] historically, we would fly people to south africa, and fantastic location. today we are doing that remotely. many people are watching programs virtually on video links, not f

francine lacqua is there for us this week. of course, there's all one up to get that francine will be speaking to. the run-up to this event has been 20 two the digital organization and the storm, the impacts on traffic -- travel. what is the mood on the ground? francine: yep, for the moment, i guess nervousness because leaders are arriving in one or two hours. security is very tight. if it -- if his like you're going through airport terminals because you have to get checked in. you also have covid passes and covid tests you have to show every 10 minutes. the mood is of disappointment. it was short of details. the g20 makes up 80% of global emissions. we were hoping to have more details on what they were planning to do. we did have something on methane, but it stops the global pledge of cutting it down 30% between 20 talk and 20 -- 2020 and 2030. we did have something on coal, yet again disappointing because of the financing, but nothing about the master calls for china. they didn't say they would stop using calls. there were s

francine lacqua with the gentleman from tennessee. francine: thank you so much. i am delighted to speak to al gore, the original proponent of climate change, who for years and decades has been trying to make this a reality. inc. you for joining us. -- thank you for joining us. we are focusing on the funding, the finance come on how we transition better. i want to learn more about your investment firm. this is a joint venture with goldman sachs, and you are basically only targeting the assets that are decarbonizing, which means all of the portfolios are well below the 1.5 degrees. is this how you do it right? mr. gore: generation investment management was one of the small groups that convened this net zero asset managers initiative, and it is now up to the incredibly large number of $52 trillion, and part of the larger package that mark carney talked about. the rules of the road are still being worked out in great detail. for our part, we are actually committed to net zero, real net zero. some who have made this commitment are still working towards that maximum go

francine is on the ground. we will discuss finance with tina lee, ceo u.k. & ireland, deutsche bank. basic resources is dragging down the index. iron ore is off 5% on the back of concerns about the cut to steel production in china. plenty more ahead, stay with us. this is bloomberg. ♪ moving is a handful. no kidding! fortunately, xfinity makes moving easy. easy? -easy? switch your xfinity services to your new address online in about a minute. that was easy. i know, right? and even save with special offers just for movers. really? yep! so while you handle that, you can keep your internet and all those shows you love, and save money while you're at it with special offers just for movers at xfinity.com/moving. francine: welcome to the bloomberg cup 26 special. here are your top stories. modi surprises cup 26, he said the world's biggest emitter will be net zero but not until 2070. brazil's climate turnaround, they will sign the global pledge to cut m

francine: it is the leaders who are not here. india, china, and others, including the brazilian president. we are expecting a pledge from brazil because the president is sending quite a big delegation. we are expecting pledges to come through from brazil, maybe even being announced today. leaders including mario draghi and president biden will give a speech. they are likely to do some kind of press conference. i'm not sure the message will be that much different to what we heard yesterday. leaders did press conferences there, but there could be more warnings. we need to do this and i'm prepared to put this money. other leaders i'm watching, of course, these countries that don't emit much but who could be underwater in 40 years. there pleas -- their pleas and pledges could make a difference from the private side. manus: francine lacqua in glasgow, have a great week. we will bring you coverage from the cop. we have ceos, from man group, rio tinto, plus the u.s. special envoy for climate. don't miss the conversations on bloomberg. â

guy: rishi sunak speaking exclusively to francine lacqua. an early recycler and apparently a k-pop fans. who isn't? let's talk about this and the lead in to what we get out of the u.k. tomorrow, which is that we rate decision. to talk about both, bloomberg's lizzie burden is with us. what do we take away from the conversation with the chancellor? >> you had a lot of criticism from activists and academics saying this is all hot air, they are questioning the credibility of all of these pledges. as you heard rishi sunak all but ruled out these prospects of debt relief instead of climate finance help, which we know -- he defended the aid budget cuts even though they are still going to have to meet these climate targets while having cut the budget. he said by geographical and historical standards it is only a slight change. when he was asked about the governance he said it would be a process. those answers will not be that satisfying. the injection of $130 trillion will be a big boost and mark carney, the former bank of england governor it refers

francine: do you hedge? do your clients ask for time? it must be something to deal with. >> it has not been that bad. -- are benefiting from part of the -- [indiscernible] francine: what is it mean for china? does there continue to be zero could -- zero covid tolerance policy, it is -- is it difficult to shift from china? >> the whole logistics swell. personally, i haven't been able to travel to china. where our biggest customers are. it is a difficult world for all of us. francine: what is your relationship with steelmakers? is there an agreement you would give them monetized, or trying to help fund efforts to become green? >> ultimately -- first of all, we have very long-term relationships with our customers. that is -- very aligned. we always think long term and therefore it is natural for us to fund research and develop incorporations and soon we will have with chinese universities. the problem with r&d is that the -- would like to be resolved quickly but r&d has stick -- for longer. [indiscernible] this project has been going on for

francine: do you see any bumps along the road? do you see any trajectory upwards in terms of how you build? >> we already started a very strong platform in hong kong. we are one of the biggest wealth managers in hong kong. we have 1.6 trillion of wealth assets under management in hong kong. for me, it is about a continuous investment program. i guided the market that we were going to spend $6 billion over the next three to five years. $3.5 billion is building on our wealth business within asia, and we are going to do that. across all of asia. i think there's wealth opportunities in hong kong still. china, definitely. singapore, absolutely and also india. that will be a combination of organic investment, recruiting people, and as you have seen in singapore, we are in the process of buying a business, and we bring that together with our insurance business, and we have a much more powerful wealth proposition in singapore, and i'm looking at three or four opportunities like that over the next few months across asia. francine: have you

dani: rishi sunak talking about kate pop, apparently, to francine lacqua. -- k-pop, apparently, to francine lacqua. we will be speaking to the ceo of abn amro and unit -- munich re. booming demand for goods and a deepening supply chain crisis have driven prices higher. we will be speaking with deutsche post about their third quarter earnings, next. this is bloomberg. ♪ bloomberg. ♪ dani:dani: welcome back, everyone, to "bloomberg daybreak: europe." i am dani burger in london. deutsche post raised its annual profit forecast by 10% after restoring air rates boosted earnings despite a squeeze from global supply chains. let's dig into it more. joining us now is frank appel. good one to you. thank you for joining us pick let's start with your rise in full-year forecast driven by these rates which have been climbing. how long do you see those rates being sustained at the level they are at? frank: this is the most often asked question. this is very difficult to predict. the good news is that our b2b business has pulled back and commerce is on a very good level and that means a lot of our custo

francine: you are about shocks or monetary mishaps? what does it mean for big banks? noel: controlling inflation will be a fine art as opposed to a science and i think we'll have to make careful judgment calls in the central banker for the next few weeks and bonds. -- and months. as to how they keep the balance and make sure inflation does not get out of control. i think they will do that through pulling back on we and gradual decreases in interest rates. countries will move at different times on that and that is ok. it will be about balance. francine: we just heard from former secretary hank paulson is that it is almost impossible for the u.s. and china to decouple. howdy read the chinese economy? noel: the chinese economy has been big as a manufacturer for many decades. it is also huge as a consumption market for the future. i do not think the world can decouple from one of the biggest manufacturing nations in the world and what will be one of the biggest consumption markets in the world. i hope it does not decouple. will there be differences? differences in views o

let's head over to catch up with francine. francine: thank you so much for that. i'm delighted to be joined by the president of costa rica, president alvarado to talk a little bit about his country and what can be done to save the planet. thanks so much for joining us right here on bloomberg surveillance. nearly a quarter of your landmasses under some sort of conservation. you're doing extremely well in terms of energy production. the big concern is transportation. about 50% of your emissions come from transportation that is still dirty. how can you make it cleaner? >> it is a pleasure being with you and bloomberg. well, it is true that our main footprint comes from transportation. our electric grid, the electricity we produce is 99.5% renewable. so our great opportunities to electrify our transportation. so far what we have done, we have increased the number of electric vehicles in costa rica. we have a tax relief on electric vehicles and also we multiply the stations to charge vehicles so you can go all across the country. we are building an electric train throu

francine: what is the biggest opportunity for banks? brian: we did $80 billion in financing last year. it's a business. we have tax credits. we disclose the difference between our pay rate is for wind, solar and loan moderate income housing. there is a lot of opportunities to make money doing this. and then the concessional capital we do, and the chair little -- the charitable work and everything in between. the thing that's hard is this transition happens when we all mtf"Ñ8e8eç francine: are you disappointed you don't have more commitment? brian: no, governments can work a lot of ways. simple mandates, there's a lot of things to do. they are seeing that, as the private sector is pushing them -- before they were pushing the private sector. you had to disclose, but now it is them pushing them. you have to take the political risk away, take away some of the duration risk, some of the currency risk and you can unlock all this capital. emily: we will have much more coming from cop 26 throughout the week on bloomberg television. francine l

francine: good morning. the announcement from the prime minister of india injected new life into talks setback by disappointing outcomes from the g20. it is really down to top emitters like the u.s. and china. president biden did not bring anything substantially new. china did not attend and offered no new plans to cut emissions. the chancellor of india is trying to figure out how to finance the transition to zero. 2070 is a long way off, about two decades more than the developed nations. if they do it in a way that works, it delivers on the goal of trying to keep with 1.5 degrees. that is what the organizers are trying to achieve. trying to get enough commitments overall to stick to the paris agreement. manus: i was listening to mary robinson about the pathway forward, but narendra modi calling for a trillion dollars of financing. day two coming up. we have ceos from unilever and deutsche bank. bank of america and the president of the european investment bank joined the bloomberg team today. -- join the blo

francine: an unparalleled career in public service. the vietnam veteran turned anti-war activist who has dedicated his life to serving his country. now john kerry has a new mission -- building a consensus to tackle the defining issue of our time, climate. sec. kerry: what i love about it is, it's an issue that everybody in the world is now seized by. people realize this is existential, has the potential to be in the future for a lot of people but it is already for a lot of people. francine: john kerry is a former democratic nominee fo

francine, rome did not deliver what boris johnson wanted. he is not talking about the risk of failure. how high is that risk? francine: the risk is pretty high. if you think about the g20, they emit 80% of omissions. if they can't come up with a concrete plan with details, money behind it, what is there a chance here at cop 26 where you have 200 countries but it is very much diluted, we have countries that suffer the effects of climate change but don't have the power to stop it. at g20, the focus is on methane. we have an agreement, but not the kind of big agreement that would have capped it up to 30% between 2020 and 2030. we had something on coal, the dirtiest of fossil fuels. but it was about financing outside, nothing domestically. it fell short on expectations. today, we are getting a series of speeches. the u.s. president should be up shortly. we will see rather it rallies the troops to have something concrete him up -- concrete, that there is not the russian president or the chinese president. it is very difficult to have something th

francine: kai-fu lee was an early pioneer in speech recognition and a world-renowned

ceo david solomon talking to francine a little earlier about what is happening here. he's been around wall street for four decades. he said he has seen this story before. he has watched to this movie. greed and fear. we have definitely got greed and his you outpacing fear right now. he sat down with francine at the bloomberg new economy forum in singapore a little earlier. >> i think we are turning the economic environment back on, but because of this crisis, we have had massive amounts of one of terry and fiscal policy around the world that is having an impact on asset prices, having impacts on inflation. i think markets generally, when i step back and think about my career, there have been periods of time where greed has far outpaced fear. we are in one of those, and my experience says that those periods are not long-lived. something will rebalance it. certainly, given that it feels like elation is above trend, chances are interest rates will move up. that in and of itself will take exuberance out of certain markets. alix: that was david solomon speaking to francine

francine: john kerry is a former

francine: protesters echo the words inside the glasgow conference center. not enough has been done yet to stop global warming. >> yes, it is like we are talking about different galaxies here. climate change is real. all we can hear is empty words, empty promises.

matt: that was francine lacqua speaking with the ceo of credit suisse. cars.com is set to acquire credit iq for at least $30 million. we will discuss the deal with ceo alex vetter, next. this is bloomberg. ♪ matt: this is bloomberg markets. i'm matt miller. cars.com today released earnings in line with analyst estimates as the supply chain woes smash into the car industry, making used car purchases much higher in price. let's bring in ceo alex vetter to talk about a really insane time for buying and selling cars, used in new. i should not make it specific to use because dealers can charge 50% above markup. what is it like operating in this? -- 15% above markup. alex: it is incredible. despite the headlines and challenges being written about the auto market, it's a really healthy market, including for platforms like ours, where consumers can look nationwide. with technology, consumers can see the market wide view on their phone, see who has what inventory in stock. matt: to me, coming from germany, where i spent most of my time, it seems like there is s

as ever, and includes high-powered conversation including one with francine and goldman sachs ceo who happen to have a warning for investors. >> when i step back and think about my 40 year career, there have been periods of time where greed has far outpaced fear. we were in one of those periods of time. generally speaking, my experiences this periods are not long lift. something will rebalance it and bring a little bit more perspective. certainly, given it feels like inflation is running above trend, changes or interest rates will move up. if they move up, it that in and of itself will take some of the exuberance out. amanda: in some ways, it is sort of obvious what he is saying. but it is always relevant for my 25 years of watching the stuff, i don't a how young he was when he got into the business, when the folks who are really benefiting from these markets start to stay look, it is getting frothy -- they are the last ones who are going to yell frier and a credit beater. with the world -- when did david solomons of the world say to get out of assuming pool, we should pay attention.

francine lacqua with brian moynihan. that does it for this edition of "bloomberg technology" from seattle. i will be back in san francisco tomorrow. the company goes public. plus, the conversation with lifts president with the company's solid third quarter results. you don't want to miss that. this is bloomberg. ♪ so many people are overweight now, and asking themselves, "why can't i lose weight?" for most, the reason is insulin resistance, and they don't even know they have it. conventional starvation diets don't address insulin resistance. that's why they don't work. now there's release from golo. it naturally helps reverse insulin resistance, stops sugar cravings, and releases stubborn fat all while controlling stress and emotional eating. at last, a diet pill that actually works. go to golo.com to get yours. haidi: welcome to their break australia. -- daybreak australia had. shery: the relentless rally pushed benchmarks to new high. haidi: investors look ahead to the fed expected to confirm

chancellor speaking to francine lacqua. the pentagon wants chinese nuclear weapon capabilities are expanding faster than believed. this is just ahead. this is bloomberg. ♪ shery: a new assessment by the pentagon says china's nuclear weapons arsenal is expending more rapidly than previously believed. the report to congress comes after reports china conducted hypersonic muscle tests in addition to increased tension between beijing and washington over taiwan. it's bring in our chief north asian correspondent stephen engle in hong kong. what are some of the main points of this pentagon report? >> we obviously know by the military budgets that china is most definitely modernizing its military. again, the assessment of the nuclear capabilities, this assessment is coming from the pentagon in its annual report to congress. they are saying the nuclear arsenal allegedly is growing at a much faster pace than previously believed. the pentagon is now saying china could have as many or at least 1000 nuclear warheads by 2030. that is a

the ceo sitting down a little bit earlier on today with brooks francine lacqua. -- bloomberg's francine lacqua. >> i think we are at a different stage in different regions of the world, but we are still not done with the fight against this pandemic. there's still new ways it is spreading across the world in different places, so vaccinations and boosters are really critical still, and of course, social distancing and the use of masks remains critical in some places. guy: got my booster this morning. joining us now, paul hunter, norge medical school professor in medicine. he specializes in medical microbiology. thank you very much for your time today. just give us your sense of where you are, where you think we are, and when i say we, i don't mean the u.k. i think the broader european story is very germane here. where we are in the process of covid re-accelerating as we head into winter. paul: i think it varies, which country you are talking about across europe. we are seeing certainly in western europe it is essentially part of the same way we saw on the u.k. during the summer, and that

francine lacqua doing a great job. the team on the ground are doing a great job. when you look at everything we have heard for the past week, we've heard from politicians, big government, the industry, greta thunberg also. she has the catch nine that encompasses this whole conference. more action. we are heading into week two. this is the moment where the cameras go away. this is not about the glamour, the speeches, the glitz. this is about the behind the scenes work. whether this cop is successful or not will have to wait until friday. somewhat argue that -- some would argue there is momentum going into this. on friday, we hear the results from this two-week conference. dani: your work not over yet with another week to go for cop26. that is maria tadeo in glasgow. we are going to be digging deeper into the markets after that surprise bank of england decision that really caused a reset in these global bond markets. we are going to look at the fallout over oil production and what it means for the global economy. we are going to be speaking to amrita sen from energy

a ceo spoke with francine lacqua at our forum where he spoke about why it are creeping up. >> we had a drop in 2020. we were uncertain about what would happen, and since the middle of last year we saw people coming back,, e-commerce activities were picking up, people were coming back and this year has been very good. it looks like they are going to finish this year of 2019. >> if you look at the u.s. and china, these are your biggest markets. and china is the premium brand. has any consumption changed and do you see it changing in the next few years? >> what we have seen has been an upgrading of the consumer in terms of his choices. we have seen people coming back in consumption, moving up from that level to this level and all of us have benefited. between china and the u.s. it is different. the u.s. is a lot about cognac and hennessey, the more entry-level hennessey and champagne, a lot of champagne in the u.s. and our new tequila and whiskey, and the china is a lot about xo, the high-end hennessey, and then it is about whiskey but not so much about japan. >> have you had to raise s

european clubs for tournament, at least 2 of which shore now trying to leave see to president johnny and francine has accused those who oppose his plans. a homo regular world cups, his being scared of change. infancy now has been in cairo, attending a meeting of african football, laid as the confidence member countries voted to back up plans the stage, the will cover pc is european and south american football. confederations, though, have spoken out against the idea. absolutely. what against are those water at the top? it happens in every sector of life. when did our reforms and changes those water the tub didn't want anything to change because they out of the top. and they are afraid maybe that if something changes, their leadership position is at risk. we cannot close the door. we need to keep the door open. we need to give hope. we need to give opportunities the entire world. why they are only sponsor africa football writes at gary al smith. he told us why the consonant voted in favor of biennial world cup and why some play is could out she leave their national teams well is just a question of

. >> at only 3 weeks old in around 7 pounds, baby juliet francine is being hailed. >> a hero. she was born a month early. >> and was like, you know, i got to get out of here so i can save my daddy. her father, jonathan nearly died just days after she was born. >> but a series of events. juliet coming early and delayed really stays from the hospital. >> but jonathan, in the right place at the right time. if i had not been. >> in the hospital at that particular moment. and you know, they they caught it. i would have just shrugged it off as it is just more pain from from my shoulder injury, he probably would have. passed away at the house. >> possibly by himself or even later that night. >> see for months now. jonathan of vanessa thought his shooting pain in his shoulder was from a previous wrestling accident. turns out he was having heart attacks. it was very scary and then to be told that he's in er and he's having heart attacks and he's been having heart attacks. >> was. 100% blockage. very leaving that he was at the hospital. the time he was having his major heart attack. >>

now for president john in francine, the key, those who oppose his point of holding more regular world cups as being scared of change infancy, you know as being caro, attending a meeting of african football leaders. the consonants member countries voted the backup plan to state the world cup every 2 years. the european and south american football confederations, though they've spoken out against the idea those against those who are at the top, it happens in every sector of life when that are reforms and changes, those what are the top? they don't want anything to change because they out of the top and they are afraid maybe that if something changes, their leadership position is at risk. we cannot close or do we need to keep the door open. we need to give hope. we need to give opportunities for the entire world . and i know we spoke to african football, right to gary i'll smithy told us why the constant voted in favor of a biannual world cup and why some players could split from their national things. well, is just a question of money every 2 years, guarantees that at least $5.00 to $6.

and that progress was been made concerning her opening up while fee for president johnny and francine as a case. those who oppose his plan of holding more regular will cups of being scared of change. infancy has been in cairo, attending a meeting of african football leaders. the continents member countries votes, it's a backup plan, stays the woke up every 2 years. the european and south american football confederations though, have spoken out against the idea of the contribution. and those again are those who are at the top. it happens in every sector of life when that are reforms and changes those what are the top, they don't want anything to change because they out of the top and they are afraid maybe that if something changes, their leadership position is at risk. we cannot close the door, we need to keep the door open, we need to get home. we need to give up what unit this the entire world. while we spoke to african football right to gary al smith, he told us why the content did vote in favor of that bi annual welcome plan and why some players could end up splitting from their na

francine: should it be compulsory? should we not have regulators saying, this is the new definition? >> great question. six years ago, you and i were in paris. we talked about this. now it is moving to become mandatory. jonathan: all-time highs on the equity market. record high after record high. from new york city, good morning . a five date winning streak on the s&p 500. up 0.1%. up 0.4%. futures just keep pushing higher. the longest winning streak on the nasdaq of that year so far. jonathan: let us get to the bond market. 26 basis points, down about three basis points on tense. -- 10's. a lot of people define success of the chairman based on what happened in the market. still some rate hikes priced for next year. here is a reaction function. you decide what we are going to make a move. tom: this folds into our next guest. what we are seeing is wicked important. it is a signal of growth confidence. that full into this inflation target debate. jonathan: if we hike, we have to hike for the right reasons. if we hike bec

tom: that was the bank of england governor andrew bailey speaking with bloomberg's francine lacqua. a couple of lines breaking across the terminal. andrew bailey is speaking to the bbc radio. he is saying we are not going back to 4% to 5% interest rates, but he is saying interest rates will need to rise at some point. multiple messages from the bank of england governor. sterling down more than 0.2% as investors continue to reprice what many would argue were mixed messages from the bank of england governor. what turned out to be a consequential day yesterday. we did not know it would fall this way necessarily. was this communication -- miscommunication ultimately by the bank of england governor? >> the bank surprised markets by keeping interest rates on hold at 0.1%. if you think of all the ramping up of expectations in the run-up to the decision, part of it was triggered by all of these hawkish hints dropped by the governor himself. as you heard in that interview, he insists that he never said the bank would act in november, only that it must act if inflation expectations got out of

. >> that was andrew bailey speaking with francine lacqua. let's get to the first word news. >> the white house says opec and its allies are putting everything at risk. opec-plus stuck to the original plan of 400,000 barrels per day in december. putting pressure on oil for the coronavirus. the u.s. will alleviate high food prices. the u.s. market regulator has rejected plans for at least two that point -- bitcoin funds. the first u.s. bitcoin ets -- etf launched in october. it seems regulators are not ready to greenlight more >> derivative based funds. >> going back more than 2.5 years, i have urged us to rethink our products. i think the standard we apply has been different than the one we applied to similar products. i don't know if that will change but my guess is that given they have signaled british strongly that he likes to see these products rated regulated markets, that may be something standing in the way of approval. >> eric adams says he would like to take his first paychecks in bitcoin. he told bloomberg he wanted to turn new york