Surveillance. I am Francine Lacqua here in london. This is what the markets are looking at. We are trying to look out for any spot here in europe. Are am looking at what we in general focusing on, of away fromare that key data hours away from that key jobs data in washington. Of course labor day holiday, gold taking higher. Now lets get to the bloomberg first word news in london with leighann gerrans. Hi, leighann. Leighann good morning, francine. Avoiding a Government Shutdown right before the president ial election. Sources tell bloomberg House Speaker nancy pelosi, treasury secretary Steven Mnuchin and made this in full agreement on a phone call on tuesday. They were on a stalemate after virus relief to hold up a virus a stopgap spending bill. Meanwhile, Financial Aid to shore up the financial recovery, according to chicago fed president charles evans. He said the stalemate in washington is a significant downsize risk to the economy. Even with the deal, evans down beat on the economy until a vaccine becomes widely available. U. K. Prime minister Boris Johnson is facing wide criticism after speaking to a packed room of tory mps. Despite the sign saying only 29 are allowed in due to social distancing. The Prime Ministers Office sent a tweet saying gatherings of more than 30 people are indeed illegal. Greece is pushing back on claims it is negotiating to ease tensions in the eastern mediterranean. Nato countered the discussion over territorial workers, but an official says the only deescalation athens will recognize is the removal of turkish ships from the greek continental shelf. Global news, 24 hours a day, on air and that bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. I am leighann gerrans. This is bloomberg. Francine . Francine leighann, thank you so much. Now, s p futures are in the green this morning after the main gauge cross the biggest line in three months. Technology took the biggest beating in a selloff that actually knocked down the highest buyers of 2020. To walk us through is dani. Hi, dani. U. S. Futures are up this morning. We are seeing pain in the futures. This shows you it is not a broad riskoff event. Nasdaq futures down nearly. 3 , european stocks also up. Again, this seems very concentrated. We are not seeing a wide breadth of a selloff. It goes to a couple of months really from the march low with u. S. Futures, nasdaq composite doing much better than the rest of the market. Barnt to show you the green on the chart. That is the nasdaq composite. We have equal weight in blue, below that, the s p composite index. On the way up, that green bar, nasdaq composite, leads on the way up, so perhaps not surprising on the way down here. The trend is reversed. Probably about 5 yesterday for the nasdaq. Really the stocks that were most hurt are some of these new economy concept type names is what barclays calls them, stocks like zoom and tesla down nearly 9 and 10 , respectively. It shows you perhaps some of the fears of the robinhood crowd, very high valuations are what caused this selloff. If we look at this next chart, where is the money going . It is not going to havens pete i have the 10year yield here in white, and you can see it has barely moved. Again, this is not a broad riskoff event, because we are not getting to the 10year, to gold, to the yen really. Instead, it is those concentrated names in tech leaving on the way down, francine. Francine thank you so much. Dani burger with the latest. The next big thing investors will be looking at is of course todays jobs report. Bloomberg says payroll gains will continue but at a slower pace. Million workers. Joining us as alberto gallo, Portfolio Manager at algebris. Alberto, how much will be data give us a path forward . Alberto good morning, francine. What we are looking at is signs of a faster reopening in the u. S. Economy but also in europe, and what we saw yesterday is perhaps for the first time, investors are realizing that there are other assets than, you know, the Top Five Companies of the s p. There are assets that are still attractive and still valuations that are close to the low end in march. Additionally, the selloff has been very isolated. It has been very focused on these largecap tech stocks in the u. S. , but it has not really impacted, for example, in europe or Energy Shares or financials or all of the things that really would benefit from a return to normal, and i think markets are being slow to price this return to normal. We have a five dollar test, and that can really help businesses to grow slowly back to normal over the coming months. That is where we are putting our money. Biggest where will the scarring actually come in the u. S. Economy, alberto, and what does that mean for future returns . Alberto there is not a lot of scarring in the real economy. There is some segment of the population come up to 20 of households which are struggling to get food. There is a lot of social injustice, a lot of inequality, in the way the growth has been distributed. And the reason is also that Central Banks focused policies over the last few years has been on pushing asset prices up, and only the top 10 of americans own stocks. The top 10 of americans own 90 of the equity. But what we need to see now is streetttomup, more main driven policies, which encourage higher minimum wages, investment in productive areas of the economy, and a rebalancing. When we see it in the future, it will depend on the result of u. S. Elections. If we see a shift for the democrats, then we will see a more balanced growth story, and we will see may slightly higher inflation and a more balanced stock market as well, with not just five Companies Leading the market. If we see a continuation of the trump administration, we will probably see more of the same. I think in any case, it is important to look at nonus assets, because the valuation gap is very high. U. S. Assets are expensive, and the u. S. Growth story may not be as strong as in the past. In europe, just, you know, exact with the recovery funds we have a fiscal union, and there is a lot more upside in europe with the policy measures. Francine so more upside in europe despite a possibility of actually not finding an agreement between the u. K. And the eu and brexit . Alberto that is a good point, and brexit is still an elephant in the room, but it is a smaller one, because we think that the, you know, some of the alternatives may not be as bad as in the past. But there is some more preparation from both parties, eventou know, even in the of a no deal, i think some of the services may not be as bad as, you know, it was one year or two years ago. Clearly here, the u. K. Economy, which has been focused on services and european experts, is the one that is at the loss, so i think there is still an incentive for a deal or a delay in procrastination. That would be our best case scenario. There is a soft deal, not a perfect deal or an extension, but we are quite cautious on u. K. Assets going into the end of the year. Francine alberto, when you look going to, when is that be problematic for the region . Alberto here, you know, the real question is which central bank is going to lose the currency war . We are in an environment where Central Banks and governments are using currencies to prop up their economies, and it is not solvable with currency printing. The ecb is more conservative, they made aw, warning the other day saying the realityers, but is the ecb will push do more but will have less weapons, less room to maneuver compared to the fed and the bank of england. So we see the euro going higher, and we see the dollar going lower. We see gold also going higher in the race to solve real economic problems like inequality and social injustice with central bank onesizefitsall tools, so with the qe or helicopter money. That is where, essentially, that is where we are going. For investors, we need to defend capital from the debasement of currencies, so we are investing in real assets, we are looking at yields, which are much higher than inflation, maybe. We are looking at gold, at real estatelinked assets. It is an environment where they typical nominal return of a Government Bond is the worst that you can have. You are getting 0. 5 , and inflation needs to be above that. Francine yes. Alberto, thank you. Alberto gallo from algebris stays with us. Coming up this afternoon, we will be speaking with larry kudlow after the u. S. Jobs numbers come out. Be sure to catch that interview with jonathan ferro. This is bloomberg. S is bloomberg. Francine economics, finance, politics. This is bloomberg surveillance. I am Francine Lacqua here in london. Now, after yesterdays steep selloff in the u. S. , lets check in on the markets. This is what we saw in europe, again, the euro 0. 4 . The focus today is what is happening with u. S. Jobs. U. S. Futures actually fluctuate think your european stocks were futuresing u. S. Actually are fluctuating. European stocks were fluctuating. We did see these moves into haven assets yesterday, despite the drop in equities, and gold is taking higher. Ahead ofthe ecb the ecb forecast next week, bloomberg shows Central Banks will be unchanged. This comes as german manufacturing continued its recovery in july, ill be adding much lower pace as demand jumped. Alberto gallo from algebris is still with us. You say you prefer europe certainly to the u. S. What are you expecting from the ecb . Alberto we expect an expansion of the purchase program. We thank that calls to rein in emergency funding should come from the boom, for example, are very premature. We still see that the recovery is fragile. Inhave seen pmis dipping some countries, and, you know, the bounce, the post crisis bounds that we had, now we needed to be sustained, we need employment to come back to a lot of the sectors which have not jumped. And we think the ecb will continue to be supportive, has lessthe ecb ammunition compared to other Central Banks, which have become a bit less independent and are more boosted by the respective governments, like the fed or the bank of england. Can i would say here that the euro continues to go higher, because of the currency, where the central bank is more conservative. So can we see the growing above 1. 20 . Yes. We think it will cap a bit of upside, european offset on the equity side, however, and credit in credit, which is about survival and the company, we still see a bit of interesting yields across european companies. But given the factors, which are linked from a cyclical economy, like banks, for example, or the tourism industry, which, by the way, still also gets Good Government support. So we are lending to these companies, to these banks, and we are getting a lot higher than we get paid by buying a spanish or italian Government Bond. Lookine alberto, when you at some of the banks, what happens to, you know, fixedincome in europe, where, i mean, you mentioned some of them that you find attractive. What is the least attractive, you know, european bond out there . Alberto the least attractive thing you could do today is to buy the same thing that Central Banks are buying. So, for example, buying a longend treasury, investmentgrade bond yielding a longan 1 , buying yielding less than 1 , because it goes against any little rise in inflation. And you also know that if there is a crisis, Central Banks will use more ammunition, will essentially print more money, and the currencies made appreciate, typically the dollar. So what you want to have is a mix of assets more than inflation with a yield of at least 3 , 4 , 5 . You want to have some gold, because you know it is the only currency that cant be printed, and you want to have some equities, which are linked to a recovery, which are still cheap. The five dollar cash in the u. S. Can really help businesses to keep running or at least run at over 50 capacity, and therefore, you know, recover a lot of the value that has been lost in the equity market. And there is a lot of stocks besides, you know, tesla, google, which are cheap around the world. Francine alberto, thank you so much, Portfolio Manager at algebris. Coming up, how fragile is the ongoing recovery . We will take a look at how it has worsened during the pandemic. That is next, and this is bloomberg. Bloomberg. Francine this is bloomberg surveillance. I am Francine Lacqua here in london. Now, the u. S. Is expected to see improvement in the number of people back in employment for the fourth month in august, when we get payroll data later today. The economic recovery is still tentative, and the situation is still very dire for many people in the u. S. Pandemic,uring the food poverty in the worlds richest economies have shot up, with 10 saying they have not had enough food. Bloomberg as our quicktake reporter, who joins us from new york. Jen, this is so extremely important. People forget how tough it is. Jennifer yes, francine, while the jobs report may show some people that people are managing to stay afloat, there is still a great divide over who eats, who eats well, and who goes hungry in this country. Mentioned, experts are calling this an unprecedented crisis upon crisis, they are saying that about 1 10 of american households are reporting not having enough food throughout this pandemic in a given data feed their families. That number is more than double precovert figures, and it is the highest number since the government began tracking this back in 1995, and it is even expected to grow as the pandemic goes on. Now, the irony of this whole situation is that we are living at a time of historic food production, right, not just here in the u. S. But globally. The food supply has of course been disruptive disrupted due to coronavirus lockdown, forcing farmers who work for them to make difficult decisions about where this food goes. As a result, Many Americans are having too, many of them for the first time, rely on food stamps and food aid to get their meals, while dealing with things like unemployment and lower wages and reduced working hours. And, like we have seen throughout this pandemic, it is exacerbated along racial lines. Minorities and women make up a majority of those people fighting through Food Insecurity, and it is only expected to get worse. So food banks are just concerned about how this plays out as the pandemic goes on, especially for those unserved and underserved communities that have been dealing with food deserts and Food Insecurity for so many years now, francine. Francine jennifer, what if the picture like in the rest of the world . Jennifer it is even more concerning globally. 150 million more people could go hungry this year as a direct result of the pandemic paired as i mentioned, with food supply disrupted, food prices are going up, not just in the developed world but also in developing worlds. So here is what one u. N. Director said about what needs to happen. Ms. Wignaraga what you do is you tie it into a basic income that comes with a stimulus package, and then you do stuff to really bring in and introduce a longerterm social safety net, employment guaranteed, health insurance, and those longterm programs, but otherwise, people are going to starve before the virus gets to them. Kannfer yeah, so that was i wignaraja, and what she is talking about his oxfam predict more people could die this year from hunger than from covid19, and it can only get worse. With millions of people out of work and not being able to afford a healthy diet, malnutrition and obesity is also a concern. So francine, the one bright spot of this all is that food organizations and charities have really mobilized to try to help some of these places that you saw on that map, and those families in need, but we are far from turning a are on this pandemic and sort of the impacts we are seeing as a result. Francine jennifer, thank you so much. Extremely important, of course. Something we will talk more about. Jennifer zabasajja there, our bloomberg quick take reporter. Coming up, rescaling after the pandemic. This is bloomberg. This is bloomberg. Economics, finance, politics. Bloomberg surveillance. I am Francine Lacqua in london. Lets get to the first word news. In the u. S. , joe biden visited wisconsin news today and to draw on expensive contrast with donald trump to visit days earlier. Biden had a phone conversation with jacob lake, the black man shot by police and promised sweeping changes if elected in november. He said the nation is ready to justice. Ress on racial chancellor Angela Merkel is facing pressure to drop support for the controversial gas pipeline, nord stream as tensions are rising between berlin and moscow. Dismissed calls to emotional. Tream 2 as friends judg has france has extended its furlough 2021. M until the finance minister said the government is ready to spend more than 100 billion euro. The message, if the crisis gets worse and they need to do more, they will. Global news, 24 hours a day, on air and quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. I am the end errands. , this is guerins bloomberg. Francine yesterday we saw the s p fall 3. 5 or other tech heavy nasdaq dropped 5. 2 , its biggest drop since much. Lets get with our bloomberg mliv strategist, laura cooper. Lara there was no obvious catalyst for the sum of yesterday. Maybe some profittaking ahead of payroll. It came after this tech rally. What we are seeing in todays price action is we are the buy the dip mantra take hold. European equities are back on firm footing. We have also seen u. S. Futures climbed back. It just remains the tech sector that remains weak. So today payrolls will be the key focus for markets. But what we are seeing already so just let yesterday was not the start of this rush for the exit in terms of risk appetite. Francine what are some of markets focusing on right now, what brought on the selloff in the nasdaq and valuations in tech . Laura there was no obvious catalyst . I think investors are focusing on these frothy valuations and likely taking profits from these are performers. Theou look outside of taxpayers, there were some relative bright spots in terms of the cyclical performers in europe. There were some warning signs of this was due, whether it was in or theions markets emergence between the volatility gauges and equity outflows. At this case it is more a case that markets will just go back to what has been driving them so far, upbeat data prints, vaccine optimism, and the fact that Monetary Policy accommodation conditions are not being tested. Priceperceptive. This point, those conditions have yet to be materially changed at this stage. Francine laura, thank you so much, bloomberg mliv micro strategist. Certain jobs have been hard hit in the crisis particularly affecting unemployment for your people. How can they gain skills to work in the industry of the future . My next guest is cofounder of one of the worlds iconic Gaming Companies. Based in the italian capital, the company will offer scholarships for students. We are delighted to be joined by riccardo zacconi, cofounder of games. What youre doing is important, teaching young people to code and to code for free. What spurred this initiative . Are these are jobs of the future . Riccardo i think so. The key reason for the initiative was that i think there is a massive problem in the economy. I think digital can help a lot. If you look at the Value Creation and the historic change in the last few years, Something Like 90 of the increase in market value has been Tech Companies. I can also talk about my experience we were six guys when we started king. Six people and we created a company that has more than 2000 people and was generating more revenue andion in more than 50 ibitda. With this in mind, i received many emails from many people saying that i have a brilliant idea, can you help me realize the idea . I dont know how to code, can you please help me . Of course, the idea is only one element, but you need to know how to realize the idea. From this, i was looking for, how can we change the situation, in particular in italy . So, together with my former luiss, we are launching in january, the 42roma. It, a coding school. The innovation is that it is accessible to everyone. There is no prerequisite in terms of having Done University or having done specific schools etcetera, thees, only prerequisite is to be between 1835 years old, and to test. N iq test, and logic francine ricardo, are you worried about some of these jobs . This is really important and the core of our societies making sure w people have jobs and have the right skills for the jobs of tomorrow. Do you think the job market will change significantly because of the pandemic . , it will well definitely change significantly because you can see now that if you dont have the possibility to serve your customers where , andare with the digital digital really is key, you lose out. You cancel your customers. The school has three important components. One important is to teach to code. But then we are also bringing on board the Top Digital Companies in italy to offer internships to integrate the school in the recording program. Also we are building a network of supporters in Silicon Valley who can basically mentor the students in the school. The target is not just to bring people and teach them to code, but really to place them in the best companies in the world in digital, so they can really learn not only in the school, but also in the job. And hopefully we can have very founders on the global scale coming out of there. Francine do you feel now that italy is losing part of that race of being more digital . Riccardo italy, if you look at the statistics, italy is very rankst the bottom of the in digital. We have some amazing people. My belief is that the percentage of smart people everywhere is the same, and doesnt matter in which country, which race, which gender, etcetera. If there is underrepresentation, for me, there is huge potential. I think also it is an opportunity to bring on board more females. Females in general are underrepresented in digital. This is really my target and i think this is a fantastic opportunity. The school is actually focused on creating skills that are useful. Often you come out of university and you still dont know what to do then you learn on the job. This is a school that is really focused on teaching you how to do things so that when you are out of their, you know how to do something. You can develop products up the standard which is able to complete on an International Level best able to compete on an International Level. Francine how digital do you think the world will become, we were just talking about valuations in these Tech Companies that are taking over. I am sitting in a studio in london and you are at home are doing this by zoom, has a lockdown accelerated the digital trend that would have happened in five years and accelerated them by two or three years . Riccardo i think the lockdown has exerted a few things. It has accelerated some issues in the global economy, really exacerbating companies that werent doing well before, now they are really brought to the limit. On the other hand, it has also given an incredible boost to companies that are digital, that can serve their customers where they are rather than having the customer go to the company. You can see this. In my area in games, all Gaming Companies are doing extremely well. People have more time to consume digital offerings. But people also want to be served where they are. They want to order their food at home, etc. I think digital now is no longer and there is no longer now a tech sector, every industry now has to embrace digital. Francine what are you doing next . Are you up for another big challenge . Are you going to build something . Well, at this point in time, i have three key things. Where wet up a fund help entrepreneurs to succeed. It is called sweet capital, from candy crash. Second thing i am doing is this project was joseph truly important. I really want this school to succeed. The third thing is to set up a tradable foundation to invest in the development of therapies for rare childrens genetic diseases. And the fourth thing, i am taking sometime off for family and to think of what else i have a feeling i want to do Something Else still but i need a little bit of time. [laughter] francine understood. Riccardo yeah. Francine continue. Riccardo i want to do something that has an impact. So, for me, i think when you are in the lucky position to have succeeded in something that you wanted to achieve, i think you need to give back. I wantnow, the key thing to do is really help others also to succeed, and i am very worried about the current economic crisis that i think his longterm, so i am trying to do a bit of dust trying to help a bit and trying to change a bit the world in the middle of it better than before. Francine wise words. Riccardo, thank you so much for joining us. You have to come back. Cofounder of king, joining us today. Before you go to break, after yesterdays selloff, we will do extra market checks today. We are looking at a lot of the focus markets, first of all, have stabilized compared to yesterday. But overall, the fluctuation in u. S. Futures is still continuing. We are just hours before some key jobs data from washington before the threeday weekend. Plenty more on the market shortly. This is bloomberg. S is bloomberg. Particularly on the Technology Landscape have gotten to some pretty extraordinary levels. I think it is not a surprise. The valuation discrepancy between growth and value stocks has been on the table for a while. Some value names havent been able to hold a significant lead. As stock prices in tech continue to go up, their too, which iss up not a normal relationship, it is usually in verse. Upended 20 to we 30 years of that relationship, that made me nervous. The 2020 summer of love for investors was getting out of hand, then, of course, there was the robin hood shenanigans going on. [laughter] so it wasnt really a surprise. If you have Much Technology in your portfolio, this is the time to start taking some of it off. A lot of money has been made, so it is no surprise that tech has a upside and downside move here. We are looking at rotation out of the of performers, as sort of a blast of the past, than we are looking at pc stocks. It is the beginning to a healthy correction, but we have not seen a dramatic pullback. Francine those were some of the guests talking yesterday about the selloff and the biggest rout since june. Lets get straight to the Bloomberg Business flash. Hi, francine. Fedex plans to hire Seasonal Workers to handle the holiday surge of packages, up 27 from last year. The career has already added thousands of workers to keep up with demand as consumers order more online due to the pandemic. Fedex is also expanding availability of sunday delivery until of americans december. The Justice Department reportedly plans to file antitrust charges against google in the coming weeks according to the new york times. The paper says attorney general william barr is trying to expedite the case. Lawyers involved with the antitrust inquiry have been given a deadline of the end of september. Many of them oppose that and some in the left of the case. And this company is trying a new way to lower Office Workers back to its shops and that is a suspension service, offering as many as five coffees a day for 20 pounds a month. It launches on tuesday and customers will be given the first month absolutely free. Ret announced it was closing 30 stores and cutting jobs. That is your Bloomberg Business flash. Francine voters shut out from the polls because of long lines, mailin ballots not received in time, and a general lacks confidence that the election was conducted fairly. Bloomberg businessweek looks at the worst that could happen in an extreme with volatile electionyear. The pandemic has really increased the chances of something going all right in the november election going awry in the november election. Millions of people will be voting by mail but some of those ballots could, arrive too late to be counted. The candidates could head to court to argue over whether to count those ballots, or they could stop the counting. If the election is closed, that could mean the election judge would determine the winner. But that is not actually the weirdest scenario. S do not submite all their accounts on time, they would send the decision to the house of representatives. It gets weirder from there, under the rules, each state delegation on the gets one vote for president. Because of gerrymandering, the House Majority may not have enough votes to pick it favored candidate. The speaker might decide not to vote at all, while the senate forges ahead on a separate vote for Vice President. The line of succession kicks in. Say hello to present pence president pence. Francine you can find out more on that and more on the special edition of Bloomberg Businessweek in the stands now. Coming up, we will hear from billionaire investor bill ackman on volatility and high valuations in the u. S. This is bloomberg. Francine economics, finance, politics. This is bloomberg surveillance. I am Francine Lacqua in london. Bill ackman told bloomberg that the market up for yesterday isnt surprising the current landscape and high valuations in the u. S. Take a listen bill it is not the beginning of the end, but i would say we are coming up on one of the more uncertain periods in american history. We have a very divisive president ial election coupled with a virus that has had a huge , and aon the economy market that has been remarkably strong since the third week in march, so it is not surprising that valuations are to really, sort of in the Technology Landscape got to some really extraordinary levels. It is not a surprise. I dont think it is any indication that it is the end but i think markets dont like uncertainty and we have an election in 60 days where it is a tossup who is going to be the next president and what the policies of the next president , whether it is trumps second term or bidens first storm, what it means for the country, for Corporate America and for taxation. These are uncertain issues. And uncertainty is on markets. You have said it wouldnt change your investment position no matter which person was president of the next administration. Are you changing your thoughts on that now . Do think there will be widely policies whether it be a Biden Administration rather than a second trump term . Bill i dont know that it is company normal. I think biden and his choice for Vice President for just a more moderate as opposed to a more Progressive Democratic administration is biden is the winner. But i do think they will have different approaches toward taxation, business, etc. Although i do think biden and Kamala Harris is in the more moderate camp than a bidenword administration. You mentioned how things are a little bit overvalued. Tesla is down 8 today. Is that closer to the real valuations of these companies or a fair valuation in this environment, our could there be a lot more to go . Bill i dont know enough about either of those two know whether the price is the fair price or not. Speaking of valuation of the more highflying companies, a lot is predicated upon what is going to happen in the future. What is interesting is that when you have the world with almost 0 interest rates, the discount rates used to discount the future are very, very low. So with companies which are growing very rapidly, low discount rates and rapidly growing companies will get you very high valuations. The problem is small changes in assumptions can lead to a very different outcome in terms of what a business is worth. Those small changes in toumptions can relate confidence about what the future looks like and it is hard to predict the future when we have been a certain political environment and uncertainty about the virus. Yesterday the cdc told states to prepare possibly for the distribution of a vaccine at november 1. If there is a real vaccine that is just a minute in scale at the end of the year, that could have an impact. I just think it is not known today what those outcomes are. When you factor in, your risk premium, picture go up when there is more uncertainty, and the risk premium relates to the discount rate. And many rapidly growing companies, you cant justify the value placing them all to fall on next years earnings, which is the convention for many monday and businesses, you have to make expectations about the companys ability to become profitable and for those profits to grow at a justified rate. Inevitably these to more volatility with there is more uncertainty. Francine that was bill ackman of Pershing Square capital management. Yesterday there was a big selloff in the u. S. In the nasdaq and also s p. Europe, actually making short work of attack of the tech correction. Markets are gaining. The s p 500 futures are fluctuating a bit, but 0. 3 higher. Treasuries and the dollar are steady. And it is jobs day as well. This is bloomberg. Give you my world how can i, when you wont take it from me you can go your own way go your own way your wireless. Your rules. Only with xfinity mobile. Francine tech tumbles. The nasdaq closes down almost five almost 5 . The focus will turn to the jobs report after u. S. Unemployment claims figures get a mixed reading of the labor market. Later today, we will be joined by larry kudlow. Market jitters are to be expected, considering corporate valuations and the close proximately to the president ial election. Good morning, everyone. This is bloomberg surveillance. Francine lacqua in london. Tom keene is a new york. Of course, it is u. S. Jobs day. We hope it will give us a clearer picture of what the economy faces. Tom it was absolutely remarkable yesterday to see the analysis off the claims report. I am going to go with Economic Policy institute in washington. It was pretty grim when you sum in all of the pandemic unemployment as well. On the equity markets, it