Not only suggesting another election date. The stoxx 600 down just over. 10 lets dive into some of these sectors as it plays out on the boards technology right at the bottom apple comes out today. We saw some caution on wall street and the sector. Some of those big supplier stocks caution on trade investors are waiting on details. Industrials towards the bottom of the boards. The light ups of some of those big names. Retail stocks trade lower. Household goods, media and Construction Chemicals are in the mix too banks, very important basket today. Going through the numbers of that Deutsche Bank at the bottom. Mixed reaction to those numbers. Utilities. Telco trading higher auto is significant basket today too with the likes of volkswagen that stock surging 7 lets go to the volkswagen news. It has cut its numbers despite reporting 11. 2 rise thanks to Strong Demand for porsche. Adding to gains. 6 higher for stock now. The group needed to be efficient amid weaker global auto demand you need to measure inventories. We will continue to focus on that that is also very relevant got to have your act together and process that and on the factories to still live up to the commitments we have in the books. It is a tough environment. With our products, we feel prepared but we know the reality. On top of those conversations about volkswagens own execution strategies as we talk about the rivals well play more of that interview and hear more about the transition taking place. Lets get to Chrysler Reaction we are seeing. We have confirmed we are in talks with the major they have reported a merger of equals is being discussed. The share price is a reaction. Around 7 higher look at that one stock you might have wished you had vested in. 43 higher now it has been a stunning journey for this stock i dont think any one would have predicted a 43 gain in pugot. The Italian American carmaker fca pulled out of the deal one of the other issues had been around that size too and whether authorities would get involved that involves around changing at the table. We are still waiting for fiat Chrysler Reaction. Lets get to the likes of exor up 6. 1 in italy Deutsche Bank, 2. 9 south as they are dealing with a deeper than expected Third Quarter loss the german lender also saw revenue on its bond at 13 this was always going to be a fairly challenging quarter analysts were guessing what it might look like. What is your read as youve been pouring through these numbers . To actually predict how big that income will be for that bank which is in full restructuring mode which is a little like looking into a crystal ball bottom line is that the position is surprisingly strong for Deutsche Bank but the Investment Bank is very weak. Thats why the shares will probably be dragged down if you compare bond trading revenues to their peers, it was surprisingly strong for others and weak for Deutsche Bank we have to get used to a new normality. They are aiming at stabilizing their revenues which has been happening with revenues down by 5 the former strong hold trading is no longer what it was and probably never come back to the same volumes they were used to also investors have to come up and face that reality that it was never as strong as it was in the past having said that, Deutsche Bank said it posted a profit and now for the new bank, they are in full on restructuring mode they keep on cutting the cost and executing their strategy that is more or less their mission. If you look at the out look, that is the main thing as well i was a bit surprised that the cfo of the bank was tentatively optimistic about the out look for next year. Take a listen. It is a weight of uncertainty theyve been laboring with we do see that as potentially lifting sentiment going forward. Currently you are saying you are aiming at stable revenues. Could that be an up tick for you . Of course, many of our businesses are tied to the health and strength of the economy. For Deutsche Bank, our focus has been on continuing to grow we think of the more stable, less market businesses of Asset Management it is far too early to declare victory for Deutsche Bank at least they are executing. I think the new big d day is the investors day in december where they will outline more or less a p provision for next year and the out look for 2020 . Perhaps a bit more regarding that opt mission which they clearly get from their client. Having said that, the shares are still at very low levels on top of that, we have the uncertainty of the chairman whether they will be ousted and not what his role it and we have another big asset mark we have posted net inflows now they are too small to compete with the big ones and make big money because size matters in that business. Ubs also in restructuring mode well get that story back at least next year. They will of course look for consolidation. For now, as i was saying, the bank was in restructuring mode moral is not great but still they are executing their strategy back to you. That is in the auto space just opening up. Slow to open after the initial start. What has happened for stock didnt open initially and then spiked 10 also since we got more volume in the trade. Now bouncing 7. 4 . This on the back of chrysler confirming there has been a tie up talk with psa group they are seeing the response on the boards it does tell you appetite of those investors. The costs of the huge transition phase among electric and Autonomous Vehicles and peugot getting into some of that area sharing that cost and fiat getting back into the game without spending a huge chunk of investors money and getting access to the United States market through this deal if it progresses if you could see the logic behind some sort of a deal between these two companies. What has been interesting is the reaction of renault shares dont forget that renault and Fiat Chrysler had been discussed. Given that there had been option from one of the lines. Being nissan all sort of issues in the problem in the spehere of renault. Renault shares very disappointing today for investors as it seems it may miss out on the transaction, may miss out with the ability to try and team up with a rival in the journey of these electric vehicles and selfdriving cars i want to take you to Credit Suisse, the stock is down 1 with a profit of 881 million asking all of the questions around the spy scandal joumanna, ill toss it to you. If i heard you correctly, you said the stock is down around 1 the stock is still up 14 . Massively outperformed expectations one, the return on equity continues to be the cost of equity the second is a very good and solid cost service that has been consistent with the language from the beginning of this year looking at the number of the day, 1. 1 billion franks. That is 70 on the year. They posted a jump of about 70 . The trend seems to be the improvement in the pretax numbers and the untangible equity that is up from 4. 5 in 2018 things are moving in the right way. I spoke to the ceo a short while back and asked him what the highlights were from the quarter. It has been a good quarter. If you look at the number, the strategies continue to work. We have 72 million the highest ever a big satisfactory point is Global Markets weve really struggled to restructure business and now bring it to a good place revenues of 34 . I think the industry in the performance will come in inequities on that debate we should have good restructuring we need to bring them a chance of what to do, the results have been really excellent. It sounds like a decent quarter. There has been a severely restructured over the last couple of years, down sized. Net revenues are fixed up 72 very bumper quarter there. Those things are down around that percent it is a clear part of their revenues also because of the focus. The former employee of Credit Suisse left to go to ubs that was the organization of the spying scandal that has been saddling Credit Suisse over the last month or so today was the first day mr. Thiam spoke out publicly he said it was unfortunate and it is not a policy they would traditionally pursue hes sorry for any harm but also did emphasize the fact that their Wealth Management business is doing quite well. They have accumulated more than 70 billion in assets saying the outlook remains positive even though one of their highprofile employees have left to go down the road. Thank you for that. Stanchart shares are up. St stanchart says they are up who knows whether some of those will get relief. A little less concerned on some of those fronts than we are now. Sticking with finals. San tander was hit the bank had a ratio of 11. 3 at the end of september a touch below the flat line. Well take a quick break airbus cuts delivery for the full year despite a bumper order. More live from paris next. Do you have concerns about mild memory loss related to aging . Prevagen is the number one pharmacistrecommended memory support brand. You can find it in the vitamin aisle in stores everywhere. Prevagen. Healthier brain. Better life. Rowithout the Commission Fees and account minimums. So, you can start investing today, wherever you are even hanging with your dog. Ooh, like her. Shes probably investing right now. Taking charge of her money, making it happen. Shes not going to be happy about that pillow. Its time to do money, so what are you waiting for. Download now and get your first stock on us. Robinhood. Its how we care for our patients like job. His team at ctca treated his cancer and side effects. So job can stay strong for his family. Cancer Treatment Centers of america. Appointments available now. Cancer Treatment Centers of america. Sfx upbeat music a lot of clothes you normally take to the cleaners arent dirty dirty. They just need a quick refresh. Try new febreze clothing quick dry mist. It eliminates odors and refreshes lightlyworn clothing. Breathe happy febreze. La la la la la. Thbecause with nband after thleague pass on xfinityr. You can watch the out of market games you want all season long. And with the allnew xfinity sports zone, you get everything nba all in one place even notifications about your favorite teams. Watch the dropped dimes, monster blocks, and showstopping dunks. Plus get instant access to your teams with the power of your voice. Thats simple, easy, awesome. Say Nba League Pass into your voice remote to upgrade for a great low price or go online today. Airbus has cut its delivery target for a full year the french play maker did have a report in adjusted earnings. The stock traded down around 2 . Many are looking to see whether this company can maximize real issues at boeing and reputational issues at its rival. It seems like it is going to capitalize on the 737 max grounding. You see in the impact of the delivery theyve done great sfr 860 down from 880 and 890 because airbus gets money when they deliver a plane they downloaded their value. All of the hamburg plant that produces the a 320 family jet because of supplier delays and staff shortages. Theyve been struggling with that and trying to address it. They have shortterm medium issues they have to announce from the u. S. That could impose on airbus planes it was expected to be a bit higher there was also no tariffs on Aircraft Parts that was good news because it would mean no disruption airbus here with a bit of a mixed picture. Not great earnings here. They are inspecting and hoping to address them. They had to down grade their delivery for this year lets go to loreal. Calling the environment amid challenging conditions in north america. It did seem as if those challenges what do you make of the story around the growth in those emerging markets it was a good set of numbers and beating expectations it was luxury that gave the boost. That is the story we heard from lvmh and others. Luxury still doing well. No slow down from the Chinese Market asia pacific up 22 on the quarter. They did see an impact from the hong kong protest but that was offset by main land china. A good message because other European Company and loreal for the moment is not seeing it. Giving it a little bit momentum. They are doing better. A bit of a dark spot is northern america. Still down in sales. Already down in the Second Quarter. They are addressing the problem. They have changed the heads of loreal u. S. In september putting former loreal china ceo there. They have a plan and hopefully that will bare fruit for 2020. Another bright spot was e commerce that was up 47 . They have been really big and strong on building digitalization and e commerce which is key for this business it has been doing well and baring fruit well discuss all those issues with the ceo and bring that to you at 11 15 cet want to take you to another luxury name. They make most of the designer frames, sunglasses with a line share of the big brands. It has confirmed the fouryear target in rise of revenue. You can see the reaction is solid. 1 higher. The largest eye wear maker the frenchitalian company admitted growth has slowed in asia still performance over the course of the year still low another luxury player has grown. Bayer with the number of round uprelated plaintiffs double jumping to around 42,000 they are constructively engaged in the mediation process the legal amounts could top millions earnings roughly in line with expectations stock rising 2. 5 . Some is just about expectations and what investors have already bought in. Getting to total in the Third Quarter, expecting production to hit 9 falling despite the record siting the lower demand. Lets switch over at iberdrola, it posted a ninemonth net profit the spanish utility reiterated its fouryear guidance thank you for running us through all of those names coming up, volkswagen expresses concern about global demand. The ceo saying the automaker has to manage its inventories. Well haveoronolwan xt me vksge as a reliable phone company. woman but to businesses, were a reliable partner. We Keep Companies ready for whats next. man we weave security into their business. Virtualize their operations. woman and build ai customer experiences. We also keep them ready for the next big opportunity. Like 5g. Almost all the fortune 500 partner with us. woman when it comes to digital transformation. Verizon keeps business ready. My mom washes the dishes. Before she puts them in the dishwasher. So what does the dishwasher do . Cascade platinum does the work for you, prewashing and removing stuckon foods, the first time. Wow, thats clean cascade platinum. Shares in Fiat Chrysler and psa in full throttle confirming talks are under way. The former target reels at the prospect of a new megacompetitor Deutsche Bank shares fall almost 5 the cfo tells cnbc investors are taking too dim a view. You might think of as excess pessimism has changed perspectives holding off a jump at Credit Suisse the spying scandals cast a shadow talking there with the people who made the decisions and acting in the best interest. It was inappropriate and disproportionate shares of loreal soar with Strong Demand in asia in gains on premium and skin care divisions. Markets in europe have now been open half an hour as you can tell, it is all about corporate earnings today in terms of the initial move. The stoxx 600 is nearly flat at the moment weve heard from a raft of different sectors and investors this morning putting it together we have the fed coming through with their twoday policy meeting. The key will be on how the further policy path will be framed Jerome Powells comments will be key there. We are looking at a december 12 election and investors are looking at what that will mean for the markets. Looking like very evenly split we have autos leading at 0. 8 . At the bottom, we have bank weighing on that there for a moment retail, industrial and Technology Round out the worst performers, technology and focus as we have apple to dive into later in the day well see what the biggest movers are this morning. Deutsche shares came through with the earnings result weighing on shares there looking at the worst performers of the day that comes after autos decided to sell a part of their minority stake. Renault shares down. Where does that deal leave them. And looking at the best performers of the day, given the commentary chrysler a chrysler trading higher. And loreal 6 higher lets stick with the auto theme. Volkswagen has cut its guidance for delivery not holding its share back warning markets are contracting faster than expected maybe they are getting a bump because the Group Reported a jump in operating profit thanks to Strong Demand for porsche models a bit of a mixed picture caroline it seems like reality is catching up with volkswagen, which has consistently beaten expectations that is the positive surprise. The negative surprise, if you will, investors are not too worried. They have to deal with this very difficult market environment saying that they are lowering the forecast for the vehicle deliveries theyll be studying this year. It is a tiny tweak and guiding for the rest of the outlook to be the same. The company is still surprising investors this year. Stock is up some 24 outpacing the industry yet the challenging outlook comes as the company is making a huge push into elect indication coming out with 70 models over the next 10 years. Launching the id 3 this year that comes at a huge cost. Profitability will weaken some what is the margin target still achievable and what kind of a cost measure is the Company Planning to introduce to offset some of this we talked to the cfo before, lets see what they had to say it is a balancing act with more electric vehicles coming to market we have efficiency problems. Everybody is committed to deliver on it. The key is that the product is appealing. Everybody that had a chance can to be in our new electric cars in the audi family, and porsche product. We also offer hybrids for those that dont want to go the whole nine yards but product will make a difference we feel very strongly about those products that bring to the markets. We are working very hard with our suppliers to be up and ready. The first cars will come out of the factory sooner than later. Profitability is no easy why i thing with electric. Do you see enough demand and infrastructure especially in places like germany to make your goals happen things like infrastructure are not perfect. Nobody expected that we are all committed to improve the situation. Bringing strong product is another pillar it will be convincing in terms of price, performance, range it will be reliable. This all together and the situation on the charging infrastructure will improve over time there is no doubt. Finally, we are just entering november it will be a key month given that november 18 is the deadline for the u. S. Tariffs do you have any visibility on that and how do you plan to offset the Financial Impact you might be facing . Some people talk about a 2. 5 billion euro impact. We provide information to everybody concerned. You know our ceo has been invited even to the white house. We still hope for mutually acceptable solution but the end of the day for such disruption prices are the most obvious one nothing new on that knowledge. We talk about the tie up between two of your competitors. You talk about going a different route and be more anytime bell what are the plans looking like for lambroghini for example . We focus on our brands and strive to improve performance. We have been outright and communicated about power engineering. We are looking into alternatives but nothing we have communicated yet. There talking about how this company will be part of the drive. We are seeing so much news flow around that this morning these are very strong results. All eyes will be around cash flow they point out the interesting disconnect between cash flow and what the potential really is they say shares trade at a historically high discount with a pe of six. Thats very cheap despite the fact that earnings have been so strong and innovation really is key at this firm so something investors should look at. Cheap for a reason. Id like it to remain cheap even as we talk about this potential of the merger in this space. He didnt look terrified when he looked at the deal here. Ill ask you this. Do you think they canhang onto the margin even as another major auto giant comes together. In their space, they are one of the few real big mass, low cost, high volume auto manufacturers if they can get their game on. Do you think they can hang on to margin that is a very good question. Difficult to answer at this point. Not just consolidation but also as we said before from the big expense that comes from electrication and the fact that electric cars are not as profitable that is absolutely key and is a real worry for the cfo theyve given out the margin for 6. 5 to 7 perts they dont know. It will have to be offset by certain measures theyve curtailed production this is something vw might look at nothing would be confirmed at this point there will have to be efficienc measures excellent thank you for the report on the vw numbers a terrific interview the uk is set to hold an election after Jeremy Corbyn gave an approval they agreed to sign off on the election later today with us is willem. I think it was asked why Boris Johnson wasnt dead in a ditch look, what is going to be really key over the next three weeks is figuring out how the poll numbers could translate into a result. What people need to understand is in the uk, looking at those poll numbers is not always that helpful. Conservatives up 42 translating to 49 of the seats. Labor is not far behind. They ended up with 40 of the seats. When you look at the way the votes pile up in the country, it can be very, very helpful for Boris Johnson to send a message to attract new voters to his cause. It depends on where he attracts them scotland and others in favor that doesnt matter if hes getting the vote in the hart lands and others who would have voted for labor. The split voted across party lines for him. The big challenge for us is understanding what these Campaign Messages will mean for the poll numbers and for seats there is an avenue of exploitation here. The impact of fake news and politicians would have planned i wonder where the same system has taken place behind the scenes i heard you only had to target a handful of seats to create a huge impact. You look at the way the two main parties in this country are planning their campaigns labor very focused on video and twitter. They have millions of foot soldiers conservatives have more money to spend on ads on google, facebook and others there will be another campaign looking at specific seats where they can encourage tactical voting to make sure parties will remain in those seats. That again is relatively new incredibly detailed data in terms of where we go from here post brexit it is still a huge long road in terms of trade deals how will you see that in terms of future relationship i dont know. It seems to me based on the way the debate in parliament has happened and out on the stump in the past has happened. That is not something that would lend itself easily to the kind of campaigning Jeremy Corbyn wants to think of. Talking about the long term details of a Free Trade Agreement over the course of the next 12 months who knows if well see a new government in place by christmas or a new trade agreement by christmas next year. I dont know if that would be far too complex for them to sell during the Election Campaign thank you so much dont forget, they are not tackling political lies. State side, those numbers roll in apple and facebook getting ready to report. A preview coming up next my gums are irritated. I dont have to worry about that, do i . Harmful bacteria lurk just below the gum line. Crest gum detoxify, voted product of the year. It works below the gum line to neutralize harmful plaque bacteria and help reverse early gum damage. Gum detoxify, from crest. Apple and facebook are set to report after the bell today completing this set of earnings for the faang stocks it has been an underwell amming miss a lot of gains has facebook 34 higher apple is the big bump. A lot of portfolios underweight apple. Apple has been outperforming since early in the year when we saw concerns for china and sales in that region and given the ongoing trade war. We know in september, apple released the new iphone 11 lineup any early indication will be telling for the crucial holiday quarter, which is next quarter that is always the biggest quarter. We have to remember iphones make up half of their revenue now also well be looking for any commentary from tim cook about the impact of tariffs. There have been a limited amount the big question is the december 15 tariff that will hit apple. That will have an impact and hit a much wider range of devices. The other thing we talk about is services we are releasing apple tv plus the new streaming service. Commentary about how they expect those margins to go forward will be important for analysts. Picking up on apple share price. On track for its best year since 2009 it begs the question could all of the news to come already be priced in . It was interesting. The sentiment was so negative. People have been able to look past that now. The question is if these sales are going to be strong enough. The iphone sales are based on early expectations likely well see a huge impact from those numbers. Anybody got air pods 2 on their christmas list i do. On my list from the u. S. Where they are cheaper they are 200 in u. S. And 200 pounds here. They have the noise canceling feature. Should ask a sensible question for apple we talked last time when we discussed any other regulatory issues from apple, they look like they are in the clear of these apple is so far facing the least overall scrutiny they are facing an Ongoing Investigation here in the eu over spotify claim the relationship tim cook has had has affected them relating to the trade war we cannot underestimate how this Company Relies on its supply chain and other countries that affect the chinese countries as well Mark Zuckerberg seeming to be a little less unscathed here regulation will be one of those key words on that. A number of analysts have looked at those over the Second Quarter from last year that was based on out look if we get numbers today similar to the Second Quarter where revenue is up. Is there potential for a sell off. We have to ask that question before the open. What are we looking out for some of those numbers looking at some of those companies too. The out looked like they were going to be spending that weighs on how theyll be evaluating the stock facebook will further evaluate the expenses they are putting more efforts into Fact Checking and political content. This is something they are vesti investing heavy resources in a lot of analysts are looking at closely. Anybody got apple tv plus anybody going to see the morning show the first of november, friday. Anybody going to watch all about a morning show subscription fatigue for me three Services Already that is the issue well be back with more. That is squawk box. Thanks for being with us make sure you dont miss the interview with loreal ceato 11 15 cet. Worldwide exchange coming in a moment future. Uh, with Vmware Cloud Foundation, cdw can deploy a flexible hybrid Cloud Solution that can scale with your needs. Today and in the future, so you dont need this. Wow. That sounds great. So, what happens . Jerry has been stealing our lunches no for hybrid Cloud Solutions, you need Vmware Cloud Foundation and it orchestration by cdw. People who get it. A lot of folks ask me why their dishwasher doesnt get everything clean. I tell them, it may be your detergent. Thats why more dishwasher brands recommend cascade platinum. Its speciallydesigned with the soaking, scrubbing and rinsing built right in. Cascade platinums unique actionpacs dissolve quickly. To remove stuckon food. For sparklingclean dishes, the first time. Choose the detergent that lets your dishwasher do the dishes cascade platinum. The number one recommended brand in north america. It is 5 00 a. M boeing ceo denis mullenberg admitted to safety short comings in the 737 max you better prepare for round two. The earnings onslaught continues. Apple, lyft and more how low will they go bracing for the latest decision from powell and the federa
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