Billion in the biggest ipo ever. Opec cuts a deal to cut output target. Were live in vienna. China handling request for tariff waivers on soy purchases. Safety first. Uber reports more than 3000 Sexual Assault claims globally last year. The chief legal officer called it a reflection of society. Matt, good morning. Matt im looking at the u. S. 10 year yield, among other things, hovering around 1. 8 . And hell see this flatline for a while today. A lot of times, traders will turn off their algorithms, their Computer Trading programs, right around the jobs announcement and try to get a human advantage for the few moments its possible in these markets. Movehen this number will if we get a shocking jobs number one way or the other. Were looking for 183,000, but the whisper number is only 140,000, so at least bloomberg clients who participate are looking for a lower number. Take a look at the features this morning, what weve got in terms of european futures, as well as u. S. Futures. We do see green arrows across the board, so whether youre looking at dax futures, up right now about 2 10 of 1 , ftse futures up. 25 , or looking at u. S. Futures, 2 10 to 3 10 of 1 , it does look like we could be on for at least the beginning of the session in a risk on fashion. Anna, what do you see on the gmm . Anna similar in terms of asian sessions, modest gains to the upside, but still waiting for the jobs report you highlighted, the whisper number a little below market expectations. Also, interested to see how this plays into fed expectations and how the trade will play into fed expectations. If we start to make assumptions about december 15, that could have implications. Latest trade scraps, we trade around those, hong kong up 1. 1 as a result. President trump saying are moving well, the tiny starting to handle requests for waivers with regards to importing u. S. Smart products. All of that in the mix. German data disappointed, weak in terms of output numbers, down 1. 7 . Expectation was for a small gain. That did wobble the euro. Weve seen the euro regained some poise. Lets get some analysis and talk to garfield reynolds, who joins us from sydney. Getting closer to december 12. What is your assessment of the base case of the market now has around the middle of december, december 15, closer to that, where we could see further tariffs. What is your base Case Assessment of what the market assuming happens around trade . Still prettys clear the market is assuming what happens is note december 15 tariffs. December 15 tariffs. We had a dry run of what would happen, when donald trump was announcing the brazil and argentinian tariffs and saying he can wait until next year, and then the comments from wilbur ross that the tariffs could still come in. There was no followthrough on that. There were reports they were still talking. I think people still decided this was Standard Practice for donald trump. Its the art of the deal. He did the same thing with mexico and canada several times, with the renegotiation of nafta. So, the halfing and puffing is not seen as about to blow everybodys house down by leaving the scheduled tariffs to come in by december 15. Matt what do you see of the day, which major asset will move the most in 2020 . What kind of feedback are you getting from the mliv team . What are you seeing as the front runners there . Garfield its difficult, precisely because of the trade. But theres a strong anticipation among the team, and others, that emergingmarket assets are due to to come roaring back if we do get some result on trade. I was looking just today back at how this year has gone, and realizing just how poorly, relatively to the s p 500 stocks have done, about 9 for emergingmarket stocks and 25 for the s p. Theres a strong expectation those figures will reverse, which would be a very strong move for emerging markets. I would also argue that if the trade situation deteriorates, if we get a worstcase scenario, thats the sort of environment when emergingmarket assets, especially shares, will do poorly. While there might be additional selloff, the dollar would come roaring back, which would add to their pain. Those are assets seen as doing well. Gold is seen as potentially something that could continue to have a spectacular time, much as it has done this year, because Central Banks have been easing so much and there is so much uncertainty out there. Thats a natural haven. Anna garfield, i was talking about december 12, that stuck in my head because is the u. K. Election. As we work our way towards december 12, weve seen an upside in sterling, but now weve seen a downside in protection. Whats that telling you about position in markets as we head towards that vote . Telling meell, its theres some concern the pound is getting ahead of itself. Perhaps youre getting close to levels that could price in anything except whats seen as the best case scenario, which is a Strong Conservative Party majority. The problem is, of course, is most of the time the last few years, when theres been a election or referendum in the u. K. , that sent the pound a long way all over the place. As i said, theyre pricing in a fairly Strong Majority for the conservatives. I would argue thats where the pound is right now. With the way the u. K. Electoral system works, you could readily get a strong stric strong showing in the popular vote, but still have a narrow majority. If you have a narrow majority, you could have a rerun of the backandforth with parliament on brexit weve had the past more than three years. So, you only have to think back to when theresa may went to the polls. Her expectation was she would get a stronger majority and push through brexit. We saw what happened there. Matt i dont know if you saw the macro man column yesterday, but being in sydney, i think its interesting. Cameron writes, surprise. The biggest currency manipulator is australia. What do you make of that . What do you make of the aussie dollar right now . Garfield well, very interesting column. I did read it and i was discussing it with some of my colleagues here. What it highlights is that the us trillion dollar the Australian Dollar, is fundamental because australia runs the fundamental account surplus. Australia has launched current accounts. Deficits current account surpluses breed certainty. A stronger currency is not a good thing for an economy. It does make sense that part of what has been guiding r. B. I. Policy is precisely a concern the Australian Dollar is stronger than it should be. When you look at how anemic growth has been and where Interest Rates are here, you would expect it to be closer to 60 than 70. So, i think, as cameron himself wrote, is not a case of the rbas manipulation of the currency, but i do think the currencys underlying strength is part of what pushed the rba to carry out as much easing as they have. Anna Central Banks always watching the currency, even when they are not watching the currency. Garfield reynolds joining us from sydney. You can join the debate. Which major asset do you think will move the most in 2020 . Reach out to us and the markets live team. Its all about the fed and trade. Lets get a bloomberg first word news update with Viviana Vitali in new york. Trump may bedonald impeached before christmas, but there is no chance he will be convicted in the u. S. Senate. Nancy pelosi says it will draft articles of impeachment against the president for abusing his toice by pressuring the u. K. Help him win in the 2020 election. More than 3000 allegations of Sexual Assault. Involvingt uber found its drivers. The report was in response to Public Safety concerns. He was customers taking 1. 3 billion journeys in 2018. Out of all of those, uber is reporting 50 eight rd deaths. In the u. K. 58 road deaths. U. K. , it says demand for workers is rising at the slowest pace for a decade. Companies are delaying or canceling hiring plans. People are hesitating to take on new jobs amid confusion over brexit. Global news, 24 hours a day on air and on quicktake by bloomberg, powered by more than 2,700 journalists and analysts in more than 120 countries. Im Viviana Vitali. This is bloomberg. Matt thank you very much. Up next, the worlds biggest ipo. Were finally getting the numbers behind aramcos listing. Well bring you the listing. Were live in vienna after the opec meeting, without a deal nailed down. Remember, by the way, Bloomberg Radio is live on your mobile device or dab Digital Radio in the london area. Tune in. This is bloomberg. Anna looking back to the market open. It looks as if well have a green on the screen at the start of the session, waiting for the jobs report. Lets talk about oil. Study aramco is out with the numbers of the ipo. The price tag values as the Biggest Company market cap. Here with the details is dani burger. Dani more than 25 billion dollars raised and study aramco closed a deal thats meant as the biggest ipo. This was different from the 100 billion deal. Still, this is at the upper end of the target, about the equivalent of 8. 52 per share. Sally aramco pulled all the stops, promised the Worlds Largest dividend and offered a bonus share for retail investors. The Share Offering was more than 4. 6 times oversubscribed and received a total of 116 billion worth of bid. Despite the big profits, the listing had first been derailed by problems at home and Global Investors that hesitated the desire to trillion dollar valuation. They relied on Global Investors from global monarchies. That means the total valuation stands at 1. 7 trillion. That overtakes apple and microsoft by about 600 billion. Matt thanks very much, dani burger with a look at aramco numbers. Brent crude is sputtering near 63 a barrel as opec agreed cuts in principle to adjust output target. The coalition failed to finalize details despite spending six hours in talks at the summit in vienna. For more on the outcome, manus cranny is in vienna. Anus, nothings been finalized is this an ominous sign . It certainly makes for uncomfortable reading for the markets. Good day to you. Ive read various words about six hours of wrangling, meaningless, vulnerable, uninspiring, cosmetic, and dysfunctional. But my guest a little later on, weve got to hand it to him. What the fudge . Therein lies the point. Where are these barrels going to come from . 2018 levels . New levels struck in 2019 . If 2019, it is meaningful for the markets. If 2018, virtually meaningless. Opec and opec plus have more than over complied by 40 . Is saudi arabia trying to get others to comply . More doom . Or as my guest at citigroup said, very much a technician, and he wants the numbers to stack up. Anna and why . Why do we see this seemingly cosmetic adjustment . What other the reasons people are giving for it . Well, its because of the wrangling, really, over why should we do more . Study aramco has carried the burden for the over complaints for quite a period of time. Which is compliant. Therein lies the point, if there is a new baseline to draw from, october 2019, it would mean nigeria and iraq would have to do more, not just comply, but do more. It would also appear theres a fraction in terms of some of the social snobs, and the etiquette of abu dhabi, where one or two were not invited into the meeting. These memories run long and deep and many people the yonder opec beyond opec need to remember this is as much about relationships and etiquette. But the studies are joining a new Communications Line in the sand. Nobody spoke night number two, not a word. Indeed, they told us we should expect a beautiful day. The russians got what they wanted. I say that tongueincheek. They got the konta cents removed from their number. So, it was russia saying, you know what . We will do more, but we want a level Playing Field with the rest of you. I have it on very Good Authority he was spotted in a christmas market. Matt you cant avoid those. Youve got to have a glue line when its that cold out. I recommend you get one with an extra shot. Manus cranny in vienna covering all things opec. Lets get Bloomberg Business flash with Viviana Hurtado in new york. Viviana investors are planning to sue glencore for billions. The move is due to share prices decline from recent bribery investigations. Disclosed glencore the u. K. Serious fraud office was probing activities. This follows overlapping investigations in the u. S. And canada, glencore declining to comment. The message from citi to clients, stop being so nervous. Next year will be brighter than ever. Thats according to its 2020 outlet. The bank predicts expansion will continue. Its anticipating corporate earnings will rise another 7 . Areas of opportunity, cybersecurity, and clean energy. And the ball is in the u. S. s court according to frances Digital Affairs minister. Tariffs wont benefit anyone. To create that level Playing Field, the best level is at the international level. But if the americans dont want to go for it, we will follow u. K. Laws. Viviana and that your Bloomberg Business flash. Matt, anna . Anna thanks very much. Lets get an uptodate in fact, were going to get uptodate. We take you to swiss rating, selling u. K. Units to Phoenix Group. Its going to get its hand on phoenix shares. I wonder what it plans to do without. We speak to them shortly. This is bloomberg. Matt six minutes away from the open, lets get stocks to watch. Steny a glushko is focused on glencore. Tom lavelle is covering airbus. And dani burger looking at swiss weeks. Glencore had bad news during the trading day but then lost who came out after the close. Thats right, possibly another bad day for glencore, the biggest commodity trader could be hit by a major lawsuit that could run into billions by investors who are aiming to sue the company because of the bribery investigations happening across the world, u. S. , canada, and u. K. The stocks sink 9 after u. K. Authorities said they are investigating glencore for corrupt practices. The company declined to comment. Anna lets get to tom on the airbus story. We had updated forecast. Whats the latest . Risk of, airbus is at missing its delivery target for the year. They handed over 77 points to customers in november. The same number in october. That means they will have to double the rate to reach their target for 2019. Thats tough because production has been slowed by customization. However, analyst at citigroup are saying this is the same rate for this month would be the same as they have done in previous decembers in terms of handovers. Matt thanks very much for the look at airbus. Dani, what have you got . Dani swiss re has figured out a way to offset or carve out its u. K. Insurance unit. Thats reassured phoenix unit is buying from 1. 2 billion pounds. They have been looking at an ipo, but that did not end up looking. Anna thanks very much for joining us. First go is the function to use on your bloomberg or via the mobile app. Look out for jobs numbers later. Anna a minute to go until the start of trading. Welcome back. Modestly positive, waiting for along the ading treading along the latest data, the latest being President Trump thinks things are moving along. Weve heard the chinese are handling requests for waivers with regards to trading in the u. S. All of that adding to risk on sentiment, heading to the s p 500 futures. European futures looking positive. Keep an eye on the pound, volatility coming through the next the last hour or so, but generally moves to the upside. Barriers to a consent of majority seem to be declining. Nothing is certain until december 12. All kinds of outcomes are possible. The pound has been counting more a conservative victory. As we build towards the start of the equity trading Index Futures for europe, two point higher. U. S. Preachers also point higher. Picturek about the jobs and uncertainty for the path ahead with regards to trade, implications for the fed, all of that will be a part of the conversation. Matt was talking about the whisper number, with those who contributed to the Bloomberg Survey thing is going to be the outcome of that jobs report. They have a slightly lower whisper number than the official consensus, over 180,000 jobs. We are seeing moves to the upside despite waiting for the jobs number, the ftse up 3 10 of 1 , euro stocks up by a similar number. The dollar is a little bit weaker, but not moving that much, and the euro did take a hit on the back of german Industrial Production data, came in 1. 7 , much worse than expected. Its recovered its poise. Lets talk about the sector perspective and see what weve got for you. These day were not all of are being lifted by the tide, but many of them. Telecom, health care, things getting brighter green, which suggests further move to the upside. On a day were investors are looking to buy, whilst we wait for the jobs number . Matt absolutely. You could say most boats are being lifted. Weve got more than 400 gainers and 150 stocks down. Most everything is up. You mentioned the tech start, asml one of the biggest gainers in terms of point additions. Asml is up more than 1 . Adding some points, a vaasa got some of the defensive stocks rising here youve also got some of the defensive stocks rising here. Nestle a gain or, anheuserbusch a gain or. And then you see some of the pharmacy stocks and bank stocks. Novartis is a gainer. Glaxosmithkline as a gainer, as well as bnp paribas, and hsbc. Sanofi. A little bit is rush and sanofi are dragging. Udc glencore moving down again, another step down, 1. 2 . The drop for glencore, we talked about the lawsuit after hours. You see airbus also down. Airbus has to sell more planes if it wants to make its annual target. We talked about that in the stocks to watch segment, as well. In general, we do see big gainers and big m a. Phoenix group is buying swiss res u. K. Unit. Theyre going to pay 2. 5 billion pounds, 1. 2 billion of which is in cash. Anna indeed. With that in mind, joining us from zurich is john dacey, the cfo. Good to speak to you. I wonder if you could talk to us by telling us what your intention is with the shareholding in phoenix to get to the result of this and the option of a board seat. How long term a shareholder do you plan to be . Guest good morning and thank you for this. Were taking a combination of cash and shares in this combination. Weve said for a long time we believe this is a very Good Business but swiss re is not a great owner of it, in part because of the capital regime. This was a solvency test. Were happy to be an important shareholder in the Phoenix Group. We think its a very wellrun company and were looking forward for benefiting from what we believe will be important synergies that will come from combining some of the capabilities and onshore administration with the Phoenix Group broader portfolio. Getting a, i mean board is a step beyond being a shareholder. Do you expect to take an active role in phoenix . Yeah, i think the board seat gives us an opportunity to help future transactions. This is a business which will do a series of acquisitions in the future, helping to free up capital from existing Life Insurance companies in the u. K. And across europe. We think weve got something to add on that. We also thing some of our clients, their primary Insurance Industry across europe, will find the opportunities to do some work with phoenix. If we can facilitate that, all the better. Anna what are your first thoughts of what you plan to do with the money . You canceled the Share Buyback land for 2019. Plan for 2019. Could you restart that . Is that part of the conversation . John at this point, i think we would like to close every year, be sure about what the relative ratios are for yearend 2019. Well discuss this with the board in the first months of 2020, as we usually will in february, and come out with a clarity of what capital actions, in terms of dividends and any wouldial Share Buybacks be after those discussions with our board. Deal what about the other you announced your interested in . Does it change your perspective on the possibility of a china pacific buyback there . John i think these are relatively independent operations. Weve been telling the world for about 18 months were interested in reducing our stake and were sure weve achieved a fine price for shareholders with respect for further investments, which we might make in china. These might make for deep relationships with our reinsurance clients. See what makes sense and what might not make sense. I dont think you should have any read across transaction for future activities with our chinese partners. Anna thanks for joining us. Good to speak to you, giving us the update on the latest on the important sale. The swiss re share price opening up in response. Lets get to broader markets. European equity markets on the rise, up 3 10 of 1 , ftse up for 10th of 1 . Lets get above michaels, the cio lets get to bob michaels, the cio. Bob, thank you for joining us. Let me ask you about what you see the role of the trade tensions being for markets as we had towards the end of december and into 2020. Some say its all about trade. Risk assets have rallied on a trade deal. No tariffs on december 15. What are your thoughts on trade in the broader context . Bob well, it feels like daytoday its a coin toss. One day you might have good news there is progress being made. Other days you dont have good news and the market tends to retrench. Certainly, the chinese seem incentive to come to some sort of agreement. When you look at the administration, its the one tool they have. From our perspective, is naive to assume you see complete rollbacks in existing tariffs. What is that weighing on the u. S. Economy . Its pretty serious right now. There is a manufacturing slowdown underway. Companies dont know where they are going to source their input goods. And that will continue through the year unless theres some resolution and a complete rollbacks of tariffs. Matt does that mean you see bob moore bankruptcies . Do you see problems with highyield credit . Do you start to see Higher Ground . Bob without question. I think, as this continues, what were hearing is that companies are struggling with input costs. Right now its compressing margins. They cant really raise prices because theres not a lot of aggregate final demand in the u. S. So in the absence of being able to raise prices, you can only absorb narrower margins for so long. What to companies do . They respond by reducing labor force. Rise. See unemployment it will be interesting whether we see margin pressure. If youre talking about higherquality credit, let me ask you what assumptions youll be making about the underlying economy. This is a global gdp tracker and it does suggest things arent very unstable in the Global Growth story, but seem to be retreating a little bit. All this talk of bottoming out data or maybe stabilization of data, certainly in europe, has been quite a theme. Do you see that . Or do you see that is getting worse . Bob things have for sure stabilized, and you have to credit the Central Banks for that. In the end, they responded with shock and awe. If you look at the developed markets, you had four Central Banks cut rates for a total rate cut of 235 basis points. When you start adding in the emerging markets, its staggering. You have another 137 Central Banks cut rates 57 times by 2800 basis points. You fed over 3000 basis points of stimulus added to the global economy. Thats counteracted the impact of the trade war. Will it continue . We dont know. But if Central Bank Response in and of itself was enough to prevent recessions, he would never have recessions because they always respond to a slowdown. Anna great response. Matt . Us, we will keep bob with head of fixed income. Up next, we bring you the stocks on the move. We just talked to the cfo. We talk about the Insurance Company rising after selling its u. K. Unit to the Phoenix Group and while shares are partially in return, a chunk of cash. This is bloomberg. Matt matt welcome back to the european open, 14 minutes into the trading day. Were looking at green arrows across the board and green arrows in terms of u. S. Futures. It does look like we could be into a risk on day. Lets get the top stock stories from dani burger in london. Dani you and an hour talking to swiss re. Shares have opened up more than 2. 5 . They are sharing their Insurance Unit to Phoenix Group at about 1. 2 billion pounds. That will include cash, stocks, and board fees. This is a unit they have been trying to offload in an ipo that couldnt attract enough interest. These prices reassure at the upper end of what it should be. Berkeley Group Falling at one point as much as 1 . Its come off as much of those losses, down 3 10 of 1 , but it came with a Trading Update and a plunge in private profit. Profit fell 300 million pounds. Real estate investors ive spoken with say real estate, when it comes to luxury, is a source on the u. K. Market. 3 marks s up spencer shares up 3 . It continues to see profit. Marks and spencer rising in sympathy. Anna thanks very much. Sterling is on caused to snap is longest run of gains since june. Investors are optimistic they will win a majority, but option traders are their most bearish and eight months as they balance confidence in Boris Johnson against doubts about opinion polls. Bob michaels, the cio at j. P. Morgan, still with us. Theres been talk about sterling markets. Let me ask you about gilts and where you see things heading into 2020. Make whatever base Case Assumption you make and tell us your thoughts. Ive got this chart that underlines what citi says what happens, suggesting u. K. 10 year yields will be at 0. 2 . Well see a cut from Interest Rates from the bank of england and qe in 2021. What are your thoughts . Bob i think thats possible. It depends who wins and their appetite for fiscal stimulus. Its a running the Central Banks are still in this position that as bond investors, were still in this position. Were inviting governments to borrow. Weve taken real rates into negative territory. Come, issue, borrow, spend fiscally. It doesnt matter if theres a tory government that gets in who doesnt want to spend or a moderate government that does want to spend. The bond markets are open to borrowing and spending. Anna that sounds very generous. Bob arent we a generous sort . Su i remember the average anna i remember the adage, if you come back, come back as the sort. What is it the gilt market can absorb here . This is very relevant to what were seeing pay play out in politics. Bob the gilt market can absorb a lot. The central bank has a lot of capacity to cut rates, to return to quantitative ease if they need to provide the stimulus. If miraculously you see a surge in inflation because there is some sort of big fiscal stimulus that comes through, whether in the u. K. Or somehow out of the u. S. Or europe in general, the Central Banks have proven they can control the rate environment, that they can manage the journey back to whatever looks normal, although that seems to be a distant memory these days. Matt how much of these low rates is just that theres a pretty big buyer in the market . If i look at a classic bloomberg chart weve been using since the financial crisis that shows the size of Central Banks balance sheets, the boe is not on here, but the boj in red, ecb in blue, the fed in white, were looking at alltime highs. Does that worry you if there that big of a buyer . Bob i dont want to fight it, for sure. And i know theres a lot of debate about the 60 billion in short and purchases the fed is making. We find that its just taking supply out of the market. Its causing short and investors to extend out the curve, as they do, people in the intermediate part extend out. You go into credit. It all works great until you have a recession. Then government rates, lower. That puts credit spreads at risk. Right now, its the old cement environment. Anna bob, thanks very much. He stays with us. Of next, we talk about oil. In viennalive once again for the latest. Thats next. This is bloomberg. Anna lets get back to vienna, opec meetings taking place. Manus cranny has a guest. Manus good day to you. Second analyst of the day. Lets make sense of this. Its bob from rapid and energy. Good to see this morning. Its all about the base. But it is about the base. 500,000 of a cut. What is the key point, 2018 or 2019 . Bob that is the key question. A 500,000 barrel a day share cut is not too impressive. Thats a nothing burger. Thats almost a rollover by any other definition. I suspect its going to be off the 2019 baseline. Why . Why did angola squeal last night for 20 barrels a day . I think angola is being asked to do real cuts. Same with iraq. They will have a 50,000 barrel a day cut. That makes sense if its 2019 baseline real cut from their. From there. Manus but the view is they have a technical approach, which is we have done the heavy lifting and i expect you to do more. To you buy this carrot and stick or this quid pro quo, to quote our headlines . Bob my do. Hes saying theres a new sheriff in town. Like the old sheriff, well keep doing most of the work but you all will make real cuts. Hes demanding the cheaters and countries like angola that have been underperforming contribute real voluntary cuts. Thats the newsfactor going on. Manus let me play ball with this because if i read what you just said, than the man that had swag coming out of this meeting was novak. Hes happy. Although theyy, had more work to do to convince him. Russia would have to do 130,000 barrels a day. Thats a real cut. Manus what . Bob they will, say its too cold in the winter, but is not about the russians complying fully. It never has been. Its about getting agreement and buyin from the producers. Russia is going to catch some slack. By giving legitimacy, they are doing their job. They got there condensate, but they come down too. Manus nigeria and iraq have been cereal mr. Of targets. D think they have the appetite to come into light . Bob no, i still think they dont. Thats why we didnt go to bed until 1 00 last night. Theyre not happy, but the pressure is up on them in a way it hasnt been before. Hes a seasoned veteran. He knows what hes doing. Theres a new sheriff in town. Its going to put more pressure than anyone has before to put cuts on these guys. Manus in terms of the saudi numbers, lets run through a couple scenarios. If we go through 500,000 basis cut in 2019, what does that do for saudi . Bob their quota would fall to about nine put seven 7 Million Barrels a day. I think they will say, we will go down to our quota and go down more. Thats the deal. Well go well into the nines. Manus even with Aramco Trading . They need to have nice baseline under aramco . Bob i think the aramco factor is overstated. I think they are about preventing a supply tsunami from crushing the price of oil. Manus risk to the market was oversupply from nonopec. Youve been to houston. You spoken to shale. Give us the update. Bob the late senator mccain had an expression, things always seemed darkest before they turned black. Thats a feeling i get from shale companies. They will be down to less than 300,000 barrels a day. Manus cutting it right to the wire, but that the latest from vienna. Guys . Much, manus, thanks very manus cranny in vienna with bob mcnally. Of next, ecb on autopilot . Find out why are economists at much action out of the central bank. Ill be heading to frankfurt next week for this womans first meeting as ecb president , christine lagarde. This is bloomberg. Anna welcome back, 30 minutes into the trading day. Here are your headlands. Than aramco raises more 25 billion in the biggest ipo ever. Opec reaches a deal to cut output targets. We are live in vienna. China starts handling requests for tariff waivers as beijing tries to shield domestic companies. Er reports more than 3000 Sexual Assault claims last year. The chief legal officer called it a reflection of society. Bloomberg markets. Let me take you through the trading day. Up by. 2 of the stoxx 600. 432 stocks to the upside. Version money is the biggest gain or, often a volatile stock. Wins sunday one. , swiss rend phoenix selling assets to phoenix. Both stocks on the rise. An upgrade to philips by over 2 . If theting stories, even bias moves is not to the downside. We have this biotech business down by almost 20 . They had to delay or hold trials. M a taking place in the polish energy industry. You can see here, its down by over 10 as it has made a bid for another business in the state field the same field. An interesting to watch in the health care sector, disappointing, the stock down by 8. 5 as a result. Glencore having another negative day after another negative news flow. Lets get a first word news update in new york. Aramco finally pricing shares last night. The offering will be at 32 apiece. Over 8. 5 at 1. 7s the oil giant , a far cry from the much touted evaluation. North korea may be conducting engine tests. Satellite imagery showed activity at a test site. Pyongyang put a year and deadline on diplomacy with washington. It wants the u. S. To ease up on sanctions choking its economy. A famed investor is closing down his daily newsletter. His advice for investors is to sell. He says the prayed for the trade war means its time to raise cash. He is a critic of the ministrations policy, saying it harms the economy and sends a terrible signal. Shat is not the view of citi outlook. Its message is to stop wearing about stocks, predicting expansion will continue. It is protecting corporate earnings will rise another 7 . Areas of opportunity, cybersecurity and clean energy. Global news, 24 hours a day on air, on quicktake, and on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. This is bloomberg. Anna thank you very much. The ecb is done cutting rates, for now, according to an economy a service of economists. Based on the impact of rates and Christine Lagardes strategic review. Lets get your thoughts on the ecb. Is on autopilot. Would you concur . Im going the other way. Im going to say this is the most important meeting for the ecb this year. The press conference is where we get to see lagarde in her debut as leader. Matt toecting that be up there asking questions. What is the efficacy of bounce rate expansion or cutting rates into negative territory . Takes kind what it of person . Anna there you go. Bob is giving you a nice rundown of all the questions you should ask. Matt i am happy to have him do a little bit of the work for me. Im not sure she will be as forthright as we would all hope. The question about the efficacy of cuts, how do you think that plays out . Everybody seems to think Central Banks are pretty much out of dry powder, unless you ask a central banker. How do you think this plays out as far as the ecb holding negative territory and being a big player in the bond market . Anna i think it will continue bob i think it will continue. There are worrying bits of data out of germany. Inflation is nowhere near the 2 target. If they still have a 2 target, they will need to cut rates further. They will have to push people out of Financial Assets and using them more productively in the real economy. The problem there are questions as to whether that really works . Maybe it encourages saving. Bob thats the big question. How do you know if they had not done these things . You might be in a severe recession and inflation may be deflation. Anna yeah. Matt how low do you see rate scale . We are at negative on bunds at 80, we have come back from that. Do you see it dip lower . Bob i do. Problems on the trade front, brexit, or they see Inflation Expectations dive. I want to know, is this the kind of thing lagarde will respond to . Will she cut another 25 basis points . I think so. With a double the size of the expansion . I think so. But then they have to send a message. At some point, theyre done. Its up to the fiscal side. They are willing to underwrite some sort of fiscal stimulus to brussels. Anna why do you think it is not the time to do that now . That sounds like something she could open her presidency at the ecb with. Bob i hope she does. She has the background, coming from the imf. She knows the importance of Monetary Policy working with the fiscal side. There are structural problems. We dont know the impact of brexit. Secondly, we have come out of a regime where brussels has forced fiscal austerity on most european economies in exchange for being able to underwrite the debt filled up buildup. These are some of the problems. It is not quite as easy as just waving a magic wand. I think she is the right person in the right position to start the correct dialogue. Matt what you will hear from berlin is they have the money and clearly the infrastructure here is disintegrating. They need to spend it. But thats not going to do what they wanted to do. How will fixing german roads help young people in spain get jobs . I wonder what your view is longterm on the euro. Is this a common currency we keep . Bob i think so. There are benefits beyond the enough, benefits oddly what seems undervalued is just the security aspect of a group of neighboring countries banding together. When push comes to shove, those things get valued more highly. Bob, great to speak to. Cio and had a Global Fixed IncomeAsset Management at jp morgan. Bob will continue his conversation with matt and i on radio. Up next month we bring you stocks on the move. Including this biotech company, falling after putting a trial of experiment treatment on hold of a experiment treatment on hold. This is uber bloomberg. Matt welcome back to the european open. 42 minutes into the trading day, looking at european indexes that arising. We are seeing at a quarter percent or half percent gain across europe. Lets get individual stock stories from dani burger in london. Dani i looking at some of the biggest losers, and on the stoxx 600, that is ipsen. They have had to halt studies of drugs to treat a rare disease specifically for pediatrics. Decline, ifg shares it keeps it up, the most since their ipo. Carl zeiss falling today. The fiscal year you bitter fiscal year numbers missed the most dramatically despite the fact they raised fiscal year dividends. Tarkett declining nearly 17 . They cut guidance due to weakening sales in north america. They see it dropping. Jefferies says that for many investors, not only is this problematic for the for next year, it raises questions about reaching midterm targets. Anna President Trump is on track to be impeached possibly before christmas. Nancy pelosi said the house will draft articles of impeachment for abusing his office, pressuring ukraine to help them win the election. Joining us from hong kong is our Senior International after jodi schneider. Is the likely timetable impeachment proceedings . It could take us into january. Jodi thats right, anna. As these acts prosecutor, if you will. The senate will act as the jury. Is nancyappening now the threeobstructed chairman of the committees looking at this instructed the three chairman of the committees looking at this. They have indicated they will be doing that relatively quickly. This could all happen before the house or congress leaves for the holiday break on december 20. That would then set up a trial in the u. S. Senate. The herrmann of the house afterary Committee Said some law professors testified that he is looking at at least three articles of impeachment that would include bribery and obstruction. Matt you dont have to be a cynic to look at this as a partisan issue, right . We can expect the vote to be democrats for impeachment, almost all republicans not. When it comes to the senate, a canblican majority, you expect republicans to clear them all and all democrats voting against. Is that fair . Jodi i think thats right. I dont know they would use the word clear, but they might vote to impeach. That will be seen as clearing him, but there is risk on both sides with the scenario that the democrats are viewed as being partisan. That has been President Trumps line all along, that this is a witchhunt. Side, republicans with voters who macys charges as being worth merit, they may mayme issues macy see the charges as being worth merit, they may have some issues. Theyre going to look at the facts in the trial. You would expect it to be along party lines, but there may be some surprises. There may be some house members who dont go along because they are in tough races. There may be some senators who do go along. Matt thanks very much. Bloombergs Senior International editor jodi schneider, talking about the impeachment happen before christmas in the house. Impeachment meaning basically which in the senate in donald trump expects not to be impeached. Lets go to uber. The ridehailing Company Found over 3000 allegations of Sexual Assault. Yeareport on trips last was a response to Public Safety concerns. Joining us is our tech editor in london. What data was the most surprising to you . Nate the most surprising was how many times the reporting party was the driver. When we have talked about instances of serial assault in hoovers ubers the assumption is the writer rider is the victim. , a actually, we have seen lot of the time, the driver has been the one to report to uber. Also interesting, the level of that if ahave learned person has been killed assaulted, it was not necessarily always a person who an uber or somebody not in the car at all. Anna i said earlier this was a global figure, it isnt. Its just the United States were talking about here. 3000, it sounds like a really big number. You say there are surprising Details Behind it. To have anything to compare that number to . History or other ridehailing . Nate not at the moment and not in the u. S. Its important to say this is a voluntary report uber has made. A twoyear effort covering 2017 and 2018. In the u. S. , the taxi industry does not collect this data and so we dont have anything massive to compare this to. What is interesting is, being ifs is a u. S. Report, seeing we see similar transparency reports elsewhere in the world. In london, uber does give similar data to the regulator here. Theres obviously another story on the license front. They do include that data in their reports on safety. There are ways this has come out in other parts of the world, but as far as the u. S. Goes, we have no direct comparison. Anna it will be interesting to get this data. Thanks, nate. Bloombergs tech editor in london with the latest on uber. Up next, the worlds biggest ipo. Aramco is finally out with the numbers. For theive in vienna opec meeting as six hours of froth talks and without a deal with endlks and without a deal. This is bloomberg. Everybody friday for for us, it is factor friday. Traders who bet underneath the surface were whipsawed. With todays moves, its dani burger. Dani happy factor friday. When we look at the moves, its reflective of a risk off week, no surprise. But looking at this bar, this is trade activity. These are stocks that exchanged hands the most. This shows falling and panic selling. Momentum is the top performer. Investors sticking with momentum profit, more safer bets. This is different from what we saw in september and last month. Because of that, quantitative traders continue to get whipsawed. Looking at factor funds, they have fallen 1 is the global benchmark, 6 . A difficult year for these hedge funds and it looks like its going to continue to be that way as we see this flipflop between the most popular factors. Anna thank you. In some parts of the world, it is still thursday. Dani burger with your factors to watch, friday or not. Saudi aramco out with the latest numbers, valued at the worlds Biggest Company by market cap. That is as opec nears a deal to cut output targets. Is in vienna with the latest. Give us an update with where you are. Manus i have been talking to analysts, and the consensus is, where is the cut going to come from . Of the cuteracity the market wants to understand. The language is that the six hours of prevarication was something of a meaningless, dysfunctional, and quite a rapid argument session. Fractured at best. Is it that saudi arabia wants everybody to step up and do more . If this new quota is handed out, it could mean saudi arabia gets a new level, but that also has an impact on the likes of other members in terms of what they are expected to do. So a great deal of haggling to be had. Headline ofavorite the headline of the morning is, what the fudge. Anna thank, manus cranny. Starting tell you, monday, we will be bring you a new revised show line. Europe will kickstart your morning. That the market open as equities start trading, running from 7 00 until 9 00. We are on our way to radio. Surveillance is on tv. This is bloomberg. Beyond the routine checkups. Beyond the notsoroutine cases. Comcast business is helping doctors provide care in whole new ways. All working with a new generation of technologies powered by our gigspeed network. Because beyond technology. There is human ingenuity. Every day, comcast business is helping businesses go beyond the expected. To do the extraordinary. Take your business beyond. Francine saudi aramco raises 25. 6 billion. Report should reaffirm resilience of the u. S. Labor market, giving powell reason for patients. Reports more than 3000 Sexual Assault claims last year. The chief legal officer calls it a reflection of society. Francine welcome to bloomberg surveillance. These are your