Transcripts For CNBC Street Signs 20161222

Battle for patents for the second time in seven years. Donald trump calls on carl icahn to help him combat excessive regulation as the activist investor will become the president elects special adviser. Good morning. Good morning. Do you hear that . Whole bunch of kids super excited. Santa on the way. Always on the roof. Dasher, dancer, prancer. I think we should do something on reindeer, whether or not they really have red noses. The stoxx 600 flat to a couple points lower. You would anticipate we would be looking at light liquidity at the moment. People already packing up their bags if theyre heading to the caribbean. Trade very thin. Just a reminder that officially the japanese market is closed tomorrow because of the emperors birthday. So we will have no trade another reason for quiet. Exactly. Mixed markets in europe, the ftse, xetra dax, a bit lower. To the upside, media, autos, healthcare. Big story in healthcare biotech, the underlying pharmaceuticals. Basic resources off by 1 . Third quarter revision for the u. S. , third revision, november durable goods orders, initial jobless claims as well. That might lead to repositioning. Some saying the data goes to the down side, we could see moves in the dollar and i investors are looking for a catalyst here, whether or not theyll hit the big 20,000 before christmas. Here in europe weve been talking about banco monte dei paschi. Share theres turning higher. A dramatic reversal from the open. Limit down those shares hit around 7 at the start of the european session. This comes as the lenders capital hike will remain at around 5 billion euros and will be carried out in separate steps over two to three months, this comes after monte dei paschi said there was no commitment from anchor investors for its shares sale, which paves the way for a state rescue. We are seeing a comeback in the shares which have been in focus the last few days. For more analysis lets bring in ange andrea cabrini. What do you think is the comeback in the share price . Its difficult to say. Theres a lot of confusion on the technical terms of the italian state rescue plan that would be officialized in the afternoon, today at 2 00 the board of monte dei paschi will meet in milan and will officially say the first plan, the Market Capital increase has failed, especially after the Qatar Investment authority declined to participate, and all the other Institutional Investors showed no sign of interest. At that point a Cabinet Meeting in the afternoon in rome will launch a decree that will give guarantee on bonds of monte dei paschi. So allowing the bank to go through the tensions on liquidity debt that yesterday scared the market. Yesterday the shares were down more than 12 . After that its difficult to say who will pay the higher price for the rescue in terms of the junior bond holder that will certainly have to pay for this swap that will be mandatory. Also shareholders also shareholders. In jengeneral, this is a turnin point. We are at a historic day for monte dei paschi and its future. Also for the rest of the italian Banking Sector. In fact, the 20 billion plan that the government put in place will probably be a safe net also for other italian banks in trouble, its persthey could bem that. And the effect has been clearly priced in from the market that seems the lowest in november has raised more than 20 , Banking Sector more than 25 . This is due to the fact that for the safer banks, theres positive impact in terms of the reduced Systemic Risk due to the intervention of the state and the fact that the safer banks will not have to pay for the rescue of the weaker one. So the market is being more selective. We saw intesa and bank copopolare doing well and unicredit doing fairly well. It will be a historic day for monte dei paschi. Thank you, andrea. Lets bring in jean lu luca karada from simon kutcher. Our reporter saying this is an historic moment when you talk about the implications for the sector as a whole. Do you agree and what happens next . As your colleague said, its a confused situation, we are making history so nobody knows what will be done in the detail. We can outline in general terms what is going to be the plan for the next few months. I believe that first of all the first problem that needs to be solved is monte dei paschi liquidity crisis. Which is the first issue that European Central bank brought in in the first place. So the state is actually stepping in with a state guarantee for bonds and loans in order to prevent the bank for running out of money. At the moment estimates say, according to the stress test, they have liquidity enough to survive for four months. Its the first thing to take care of. Second step will be the effective bailing practice. So the state will take a cut. Will take Equity Holding on the bank. It will be as equity holder. There is a new Strategic Plan that has to be validated by European Central bank, a new government structure that needs to be in place. Also there is the fundamental securitization, which will be linked. Thats the third step they outlined. Theres 28 billion of securityized loans that need to exit the banks balance sheet, so a pool of banks is allowing a bridge loan to purchase this 28 billion, they need to send it off to the investors. Its straightforward but complicated. A lot of things can go wrong. One thing people are worried that could go wrong it the impact on Retail Investors who hold junior debt in monte dei paschi. We heard the italian finance minister say he wants to minimize the impact on those investors. Will they be able to side step some of the bailout rules . I think one solution will be found. Theres no reason its got political implications, and the situation that happened in the past, especially with a couple of junior bondholders taking their lives on losses. So its a sensitive situation. Therefore i believe that one solution will be found. Whether it is probably going to be something that they allow they take so Institutional Investors will take the majority of the cut. Retail investors probably the ones that didnt have the financial savviness or wisdom to take those products in the first place, they will be reimbursed. I believe that they are trying to its a big priority to try to save the investment of these Retail Investors. And mark my words, in a year from now well see a completely different italian Banking Sector, one way or the other. Thats why the stock is trading up by 3. 5 . Its a play at the moment. Like you say, we dont think theyll let the worlds operating bank go under. There will be some type of solution. Regardless of who will be taking the pain, there will be people who will be benefitting from this play. Yes. Definitely. I believe that in the within a difficult market context, that for 2017, we have low Interest Rates, regulations, but still if were able to have a clean bans she balance sheet, dont forget this 20 billion that the government has asked the parliament to get is not only for monte dei paschi, but for the whole banking system. Yeah. Yeah. Do you think this will draw a line under the troubles that were seeing in the italian Banking Sector . Is this it . I think its most of it but nobody can forecast the future. Banks are actually built on one thing and one thing only trust. If this trust falls down to a certain danger level, clients might be starting to pull away their money. If that happens, then we will have other troubles. But so far i think we have the instruments and tools in place to place a big patch to this whole crisis situation. Gianluca, thank you very much. Now actelion shares have hit record highs on news that Johnson Johnson reentered the race to buy the company. Its in exclusive talks with the swiss biotech firm. The development to sideline the Drugmaker Sanofi from the process. But actelion saying no talks may result in a deal. Weve seen an attempt happening in the past on actelion. I was doing a check of sanofi shares, they are higher by 1. 7 on the session. For them you can look at this as it hurts them, they need to broaden their Product Portfolio as well. They are having issues around its largest drug, when we talk about the diabetes drug coming under price pressure. When we look at the sector, the price pressures taking place, no surprise there is a move towards consolidation, but you have to wonder at what price. Sources said initially actelion told Johnson Johnson that their offer price, around 250 swiss frank francs was too low. Thinking back to bmps in terms of deals, and that the price they paid for anto anton vinneta started their downturn. Always easier in hindsight. Monday morning quarterback we call it in the u. S. Why that . Because monday morning, you say i should have done that, should have done that. Every christmas kids around the world wonder when santa claus will slide down their chimney to bring presents. Not just kids wondering this one. Once again this year they can keep track of santa by using the norad Santa Tracker, which will go live on the 24th of september. They can keep track of his whereabouts on noradsanta. Org. I used to listen on the radio. Over ohio. I would watch the cookies. That, too. Parents would put out cookies and milk for santa. At some stage they would disappear. And the carrots for the reindeer, did you do that . No, oh, my gosh. Funny, the next morning the carrots were still there. Maybe they like pies. Stop holding sleepovers in our stores. Thats what ikea has told pranksters trying to stay in the to stores when they close. The trend is believed to have been started when two teens spent the night in an ikea store in belgium in august, then they posted the video of their exploits online. Last weekend, two 14yearold girls tried to stay over at an ikea branch in sweden. When i go ikea shopping, i never know how long are you allowed to try the beds . The whole trying out the mattress thing. Part of the process. Yeah. Ikea had a problem in china where elderly couples were going to meet. There was some story they were finding love in ikea stores. Then it became a huge thing on social media because they were trying to kick people out of the cafes. Never found love at ikea, just meatballs. Email the show, streetsignseurope cnbc. We are here for you, also on twitter, you can also tweet us directly. nancycnbc and louisabojesen. Coming up on the show, a guest on how to invest. Hes saying the growth light has a touch of green at last, but that u. S. Sentiment might be too bullish in the shortterm. More on that coming up on street signs. Good morning. Welcome back to street signs. Saudi arabia is set to curb its Domestic Energy subsidy while boosting investment to support its wider economy as part of the 2017 budget announcement expected later today. Lets get out to hadley gamble who joins us on the phone. Good morning, hadley. We did get a sneak preview on some speculation about the budget due today. What are the big headline figures we should be looking out for . I think this is a serious recognition that saudi arabia had to release the pressure on the private sector in particular, i think that will be reflected on what you see going forward. Essentially what we understand so far about this budget that should be released in the coming hours is that theyre going to try to take the pressure off the middle class and lower income families. What theyre doing is raising energy prices, raising gas prices. This is a count ry where nobody walks in saudi arabia. Everybody is on the road that could put a dent on the purchasing power of people in middle and lower brackets. People forget there is poverty in saudi arabia. Certainly this is something that the rulers of saudi arabia have decided to come clean with the population about, the attempts at austerity. This has to do with the National Transformation strategy of the deputy crown prince. And if oil prices go up and go up to 55, this might be the new normal and may slow down with what theyre trying to do with the social spending, Infrastructure Spending and transform the society away from an oilbased economy. Hadley, thank you for that update. We will bring you those developments when released later today. Youre looking at live pictures coming out of moscow where the Memorial Ceremony for the slain russian ambassador, andrey karlov, is being held. The event is being held by president putin and sergey lavrov. Japans cabinet has approved a record 830 billion spend for fiscal 2017. Japans prime minister, shinzo abe, said he is counting on lower Interest Rates. The budget sees an increase of 733 billion yen from the initial plan due to a rising Social Security bill to fund the cost of services for japans fastaging society. Demographics and demographic change. That will be a big thing in years to come. Lets bring you up to speed with some big stock movers. Altice agreed to sell some of its business to telenet. The Telecoms Company said the transaction will be subject to review by domestic regulators. Roche said its drug to heat hemophilia has worked in stage three tests. With the dow just failing to hit 20,000 yesterday, our next guest is saying that the growth light has a touch of green at last, but that u. S. Sentiment might be too bullish in the shortterm. Chris wiley is chief Investment Officer from conner bradley. Youre saying were too optimistic. Why . I like to refine that slightly. Sure. When we look at sentiment we base it always on evidence. Getting at sentiment is a tough thing. Some things are easy to measure, sentiment is harder. We can look at flows of money, surveys. Right now a bit of a dichotomy. In the u. S. There are some signs that sentiment might be overcooked. People are too bullish. But thats shortterm. If you look internationally or longer term, the sentiment indicators tend to swing the other way that people are gloomy, bearish, uncertain about the future. That, from our perspective is a good thing. We want low expectations. Theyre easier to beat. Its quite a finesse message. In the shortterm, there are some indicators, but theyre confined to the shortterm and confined to the u. S. Do you think the Economic Data in the states, is it now on par with Market Performance . We have come very quickly towards this 20,000 mark on the dow. Ive seen pieces speculating about what the next big level is to hit the muse being whether well see 40,000 at any point in the near future, and whether that indicates bubble territory. Are we on par with the economic da data . I think were getting there. May be a bit behind that. I dont want to get too hung up on this question of sentiment. What i said about trader sentiment, as i already said, the longer term investors are still catching up. They have not really caught up with the fact that the growth implications have gotten better. Growth got stronger in the u. S. , more importantly broadened out across the world. Were in a different place now from the beginning of the year. Yet in europe, longterm Interest Rates are well below where we started, admittedly with a helping hand from the central banks. Neverthele nevertheless, thats a sign that people are catching up. This at the moment is still an unloved bull market. With just two trading days to go before christmas, do we hit 20,000 . Where do we go in 2017 . You mean the next two days . Pinning me down to that . Its possible. Its a target. Markets like targets to aim at. I wouldnt be surprised. When you get levels like these, sort of emblematic, you get there, people pause. So we might get a period where we cross it many times before we get a further decisive move. Actually i think the momentum in the shortterm and medium term is quite positive. I think we will get there. Theres still the potential for more gains next year. That across sectors . When you look at the drag on the dow yesterday, Goldman Sachs did take a dip. Theyve been the real strong winner here since the election. Are financials at peak value, do you think . Do they have more room to think . I certainly dont think theyre at peak value for the longer term. Theres miles to go in that. For the shortterm, theyve come a long way quickly. A period of consolidation is to be expected. Was about in europe . Its so easy to get lost in the postelection rally weve seen stateside. Overall, looking at year to date, the postbrexit lows, europe has come a long way, too. They have. Depends on where you start from. The year to date numbers are anemic. We are just in local currency term s moving into positive territory. Im not too hung up about that. We had an 18month period where markets have to the done much by in large. We had some gloomy moments. The overall indications are that were in a better place, better overall scenario for investment. As i said already, i think markets can do more next year. 45 seconds left. Doesnt a lot of it have to do with what type of trade relations we see between the u. S. And everywhere else . Many are saying 2016, glad its over. The argument is that 2017 might be tougher. I would have that as my favorite wild card now. Trade policy in the u. S. What will trump do when he comes in. If we have a good, healthy, broadly based rise in the markets, we dont need that. One thing we do want to happen is europe, the markets which tend to be more export oriented like europe, emerging markets have that weighing on them. If we get resolution of that, that can have a broader rise in equity markets. If we get something quite left field in terms of trade, some aggressive trade policies that could derail us. Chris, thank you very much. Chris wyllie, thank you very much. Check out World Markets live, our blog that runs throughout the european trading day. Were also on twitter, louisabojesen. nancycnbc. Well be back after this short break. Oryx good morning. Welcome back to street signs. Im nancy hungerford. Im louisa bojesen. These are your headlines this morning. A volatile session for banco monte dei paschi after the lender admits there are no anchor investors for its share sale. Paving the way for a bailout. A takeover twist. Actelion shares soar in europe as it reenters exclusive talks with Johnson Johnson in a move that could derail counter offers from sanofi. Nokia hitting the bottom of the stoxx 600 as it goes head to head with apple in a legal battle over patents for the second time in seven years. Donald trump calls on carl icahn to help him combat excessive regulation as the Transition Team announces that the activist investor will become the president elects special adviser. Good morning. Welcome back to street signs. Are your parents just arriving . Yes, its a surprise. Mama in the house. Just in time for christmas. Two more trading days to go now before christmas. Yeah. Yeah. A lot of investors on wall street if the dow will hit 20,000. Just about 60 points within that milestone. Markets called slightly lower today. Yesterday we got a bit of a pullback with the dow, s p and nasdaq all breaking twoday r winning streaks. In europe its a rather quiet trading session. Basically flat across the key markets. The ftse 100, barely in negative territory. The french cac 40 pushing ever so slightly in the positive direction. The italian main market now higher by 0. 6 . A reversal for monte dei paschi. The dollar index coming off some multiyear highs yesterday. You can see the euro inching higher by 0. 25 . The dollar slightly higher against the japanese yen. On the euro dollar, 1. 04 and a bit. We have not seen any massive woes. Some trade action in bond yields, at a time when everyone has a watch on for euro dollar parody. Commodities, you have spot gold, 1,130, wti crude and brent crude seeing some slight bit of selling. 52. 43, 54. 40. This afternoon, third revision of u. S. Gdp, jobless claims. Robert barra is with its. Good morning. Good morning. We have rising yields, a stronger dollar as well. This shouldnt be good for gold, at least not in the shortterm. Yes. Clearly were seeing that since president elect trumps win, gold has really disappointed significantly for the factors that youve outlined. Investors are selling gold, whether its derivatives, etfs more likely, and putting that money into equities, which are close to record highs. Moving them into industrial commodities. Clearly with china rebounding, the market becoming more comfortable with trumps plans to boost infrastructure, that should boost industrial commodities. Copper, nickel, zinc. Is there a favorite one out of those ones you mentioned . I would be plumbing for the likes of copper. Anything that is infrastructure focused. Copper, nickel for stainless steel, zinc for galvanized sheet. Those are the three i would be focusing on. I think copper could surprise in 2017. Robin, youre talking about a demand factor here when we talk about an uptick in infrastructure, but what about the dollar impact . A lot of that will hinge on how many fed rate hikes we get this year. We heard calls from two to four what is your production . Ours is for two rate increases. Lets wind back to this year. The fed at the beginning of this year was calling for four Interest Rate increases. We had one. Lets put things into perspective. I think its interesting, dollar is rallying, commodity is rallying, which is quite unusual. It makes sense because it drives u. S. Growth, which is pushing both up. If the dollar became so strong it would provide a headwind, but our view is that the dollar is back at fair value. Not too much upside to come. A lot of expectations should be priced into the currency markets. We think that commodities can weather the headwinds coming from a stronger dollar to a certain extent. What about the headwinds if gdp growth globally surprises to the downside. So much excitement on the infrastructure boost, but also concerns about a backlash to globalization, free trade. Is that a concern for you . It will be a key Downside Risk. In fact our economists came up with an interesting study looking at how consensus has disappointed over the last decade, particularly in the u. S. Where consensus is far too optimistic at the beginning of each year. I didnt think next year will be different. Were still hopeful that trump can boost growth, that china will stabilize. Its a reshuffle year for the chinese government. So theres hope that at least the Global Economy should stabilize. I think the probability of a significant Downside Risk must be fairly low. I understand the arguments for stabilization, im not sure how much i should believe the fiscal spending optimism in general. Do you think were overdoing some of those expectations for this massive, massive fiscal spending package . I think youre right to be cautious in china. How much can they really boost given the credit backed expansion. Weve got a view that it will slow in the second half of 2017, not drastically, but will slow led by the Housing Market downturn in china. In the u. S. , lets wait and see. President elect trump has promised a lot. Lets see what he can deliver, what u. S. Congress will allow him to do. But its a big bet, isnt it . A lot of investors are betting on this infrastructure push, which is clearly benefiting industrial commodities. Robin, thank you very much. Robin barr, head of metals research. Donald trump picked carl icahn as a special adviser on regulatory reform. In a statement icahn said it was time to break free from excessive regulation. And let businesses create jobs. Trumps team said the activist investor will aid the president elect in an individual capacity, not as a federal employee, and that he will not take a salary. According to cnbc sources, icahn has been helping the Transition Team choose candidates to lose the securities and exchange commission. Trump has also tapped Peter Navarro to head the newly created white house trade council. Navarro, an economist and top Campaign Adviser is a harsh critic of trade with china and has written several books on the subject. With 30 days to go before his inauguration, president elect trump weighed in on a range of issues including attacks in turkey, europe, as well as negotiations on boeing on bringing down the cost of air force one. Kristen welker reports with the latest on the transition. Reporter president elect donald trump tried to put on a show of strength as his inauguration fast approaches emerging from National Security meetings today and casting the acts of terror in europe and turkey as an attack on everyone. Its an attack on humanity, thats what it is. Its an attack on humanity. Its got to be stopped. Reporter thumping his chest when asked whether he wouldreee v reeval create a muslim registry. You know my plans all along. Mr. Trump also aiming to look tough on another recent promise, getting boeing to lower prices for making two new 747 air force one planes. Earlier this month he threatened to cancel the order saying it would cost 4 billion. After meeting with mr. Trump today, the boeing ceo vowed the price will be lower. Well get it done for less than that. Emerging later, flanked by generals, mr. Trump also weighed in. Were looking to cut a tremendous amount of money off the price. Reporter earlier today mr. Trump took to twitter to flex his muscles with Hillary Clinton leading by nearly 3 million votes in the popular vote, trump insisting i would have done better in the election if the winner was based on popular vote, but would campaign differently. Moments later touted that he spent far less money on the win than hillary on the loss. The United Nations Security Council will be voting this evening on a draft resolution that demands israel immediately and completely cease all settlement activities in the occupied palestinian territory in east jerusalem. Nine votes out of the 15 members with no vetoes are required for the resolution to pass. It remains unclear how the u. S. Which traditionally protects israel from u. N. Action, will act. Israeli settlements in the west bank are considered illegal under international law. Now German Police have raided two apartments in berlin in an unsuccessful search for the truck attack suspect. Authorities are looking for 24yearold anise anria tunisian Asylum Seeker after finding his identity documents under the drivers seat of the truck. Hans nichols has more. Reporter this is the face plastered across germany. Tonight anis amri, a 23yearold Tunisian National called armed and violent, associated with islamic terror networks. Police say his i. D. Papers were in the cab of the truck that plowed through a crowded market at 40 miles per hour. Now were learning his trail across germany was a tail of missed opportunities. Amri arrived in germany in july of 2015, at one point living in this home for refugees in the southwest. His asylum application rejected back in june. He was suspected of plotting an attack. Even put under surveillance for months. Scheduled to be deported in july but it never happened because he didnt have a valid passport. In august, he was reportedly arrested, but then released by a judge after presenting fake documents. And then disappeared. The ability for Law Enforcement and the intelligence agencies to identify every Single Person who poses a threat, its impossible to do. Reporter still at berlins police headquarters, officials tell us they have matters under control. I asked if berlin is safe. Yes, he answers. It is secure. But some security here is still a work in progress. Like the famous Christmas Market which just reopened today. A busy street is right here. As you can see, the markets entrance has no barrier. As darkness fell, authorities lowered concrete blocks, almost 45 hours after the attack. Now the manhunt sparking fresh kr criticism of Angela Merkel and her decision to open the border to many migrants. The crime scene tonight, not protected by concrete, but guarded by candles. Lets bring you up to speed on the share price of banco monte dei paschi. Its been a volatile session. At one point the stock was limit down in the early minutes of trade. Now taking a look there, the shares higher by 2. 5 . Some investors just breathing a sigh of relief on expectations that a state bailout is on its way, despite the difficulty theyre having when capital is raised. More coming up after this short break. Hi everybody. Welcome back. Wilfred frost, i swear i saw him walking around. I thought you saw santa claus again. Nintendos super mario run has broke app store records by becoming the fastest game to be downloaded more than 40 million times. The prospect of a onetime cost is proving unpopular among gamers with 8 of those trialing the games actually purchasing it. T nokia shares are languishing at the body m of the stoxx 600 as it goes head to head with apple over intellectual property. This after the iphone maker filed a lawsuit in california arguing that nokia colluded with two Patent Infringement companies. The previous dispute in 2011, nokia prevailed with a 720 mill ron settlement. Augmented and Virtual Reality are gaining popularity for gaming and educational experiences. One Company Making a success out of ar is nexus studios, theyre working on an ar game, a vr Comedy Series and creating new educational uses for the technology. I caught up with the companys founder, christopher oreilly, and ask him about the business. The white house approached us to highlight open access at the white house. Their policy of transparency. So they came to us, asked us to use augmented reality to create an experience for the Holiday Season. And they had seen some of our previous work for the new yorker magazine. And they sent us the task of creating something playful and fun, but also with an educational message. Who receives this holiday card from the white house . Walk us through the actual steps in terms of viewing it, how you obtain it. The best thing is its for everyone. All you need is a smartphone. You download the 1600 app. When you point at a dollar bill on top of the bill, as if its there in the room with you, it builds the white house. Like a teeny scale model. Now best of all, it actually animates, and you get to see this little minute and a half story. It begins with marine one landing on the lawn. If you explore around it, you can find jfk giving a press conference on the rose garden. Kids going through the annual easter roll. We two through four seasons and finish on the Holiday Season. Again, if you explore it, you can find president obama with the first lady chatting with Abraham Lincoln and george washington. Imagine that. The beauty of apps. How involved was the white house when it came to the Holiday Season portion, the history involve involved. Did they actively choose the time period, figures you were working with . We worked closely with them on the script. We wanted to for it to be a nonpartisan app. So we wanted to make sure we had the right balance of president s. They were really more interested, i think, overall in making sure that it was educationally on brief, where we were using historical facts or the actual architecture of the building, that those were accurate. I get the feeling youre not sold on Virtual Reality for this christmas. I was thinking if youre a kid, do you want to go to the white house or do you want to climb things we wont get you one of those headsets for christmas, maybe a bottle of bubbly is more your thing . Youre not alone. Shares of prosecco grew more than champagne sales. In the u. S. , both champagne and prosecco prices have seen volatility since the brexit vote. Lets bring in tim eales. When you look at these numbers, is it a zero sum gain . Are champagne producers worried about the rise in prosecco or is more drinking going on . The Champagne Market is doing okay. Only france we have seen a small drop in champagne sales. Prosecco is doing well everywhere. Doubled its sales in france, doubled in spain, and gone up by twice over the last two years in the uk. Most of that, its coming from still wine. People are switching from the still variety mode and to the sparkling on going for prosecco. What about liquor in this market . The niche brands, especially gin. Gin and tonic sales are up by 10 . I guess they go together well. And it doesnt really seem to be coming from that end of the market. The whole spirit sector is doing nicely. Gin is the one thats the standout there. Why are people switching to this sparkling version . Is it taste . Is it because of pricing . Im recalling back during the financial crisis we heard a lot about how people were not buying champagne longer and switching to cheaper varieties. I think its a bit about sharing. A bit about fashion. A bit about the trend. Its about having a good time with people and starting off with a nice pop. You know, maybe champagne for some is going a bit too far. But a bottle of prosecco usually costs you 9 pounds in the recent times, in the last month or so, its gone down to about 6. 50. Volumes in general, youre indicating that volumes are stable . Are we actually seeing growth in certain places and volumes or just not a decline . Certainly seeing growth in prosecco. Not seeing a decline in champagne, but certainly in prosecco its growing well and is fashionable. Uk drinks two and a half more times prosecco than in italy. Really . Yes. Its taken off here. At iri we are tracking these trends, bringing that information to clients so they can use that to help develop brands. Continue to grow and find the right promotions and price points for products. As any prosecco drinker knows, not all bottles are created equally. What is the most popular at this moment . The most popular type of prosecco . Theres a few exclusive brands that go into the stores. When you look at them you might think theyre the storeowned brand, but the one theyve chosen and they put a lot of work behind choosing that particular brand. Go for a big name in an individual store, and you cant go far wrong. All right. Tim, thank you very much. Tim eales, director from iri. A recap for you to get ready, because every christmas children around the world wonder when santa will be sliding down their chimney to bring them presents. Once again this year, they can keep track of santa by using norads Santa Tracker. The Santa Tracker will be live on the 24th of december. Children can check in on his whereabouts at noradsanta. Org. Your parents are here. Were they good pretend santa clauses . Did they put out cookies and milk . They put out cookies. The cookies were never there the next day. The carrots always survived. When do kids stop believing in santa . Never. 6, 5, 7. The rules stay the same. The technology differs, you still have to go to bed if you want santa to come. The one night parents are like, finally. Peace and quiet. Maybe we should have more christmas during the year, give parents a break. Four times a year. Loads of you emailing in and tweeting in as well. Thank you very much for your well wishes, for your holiday wishes. All holiday wishes to you, of course. We are not quite there yet. Tomorrow to go. Two trading days to go. Full trading day on wall street. Time left to hit that 20,000 mark on the dow. I did a piece online about lastminute presents to get. Theres an amazing pot. Flower pot . No, a pot where you can trdrn pasta, holes in the lid. Everything oprah touches is gold. Amazing thing. Any lastminute wishes for you . No. Peace, happiness a puppy under the tree. They say dont give animals at christmas time. Tough time of year. Also, you know, animals, theyre for life. Right. Any way, European Equity markets, slightly mixed. Xetra dax, ftse 100 flat, cac 40 and ftse mib, higher. A bunch of data out state side this afternoon. Durable goods, initial jobless claims. Thats it for todays show. Im louisa bojesen. Im nancy hungerford. Worldwide exchange is coming up next. Byesy byes. Good morning. Breaking overnight, an italian bank on the brink again. Bmps forced to admit no anchors have taken up its share sale. A u. S. Flurry of Economic Data. Will the numbers push the dow past the 20,000 milestone . And the trump transition. The president elect calls on carl icahn to combat excessive regulation. Its thursday december 22, 2016, Worldwide Exchange begins right now