Another round. After aosedived tweeting spree. We spoke with mike pompeo. Reciprocity, core concepts. When that happens, asia will thrive. A specialposes dividend after secondquarter results. Hear from the ceo after the open. A majority of just one. Boris johnsons lead in the commons cut to a thin margin. Strategy for brexit under threat . We are less than half an hour from the european open. I have a chart of german bunds going back to the 80s. 48 basis points in concerns about the escalation in the trade war. We have some big superlatives in terms of equity futures. I saw futures down the most they have been sentenced 2009. Since 2009. Ftse futures, down a little more than 1 . What you see. We see pain for risk assets. Tape in thethe session is one of pain. You can see that written here. Equities selling off. Commodities, mostly weaker. That, moneywith going into sovereign bonds. That is very much the dominant story we are getting. That seems to be the story. Oil and gold, a slightly
Basic resources lead heavy losses with the sector on track for its biggest twoday fall in over three years autos shift into reverse chipmakers feel the heat with apple supplier ams sharply lower as fears rise that the new tariffs could pit the iphonemakers suite of products. And the german tenyear yield goes to an allnew low after its counterpart drops to its lowest level since 2016. Good morning. The trade truce is off President Trump blamed a lack of progress for the decision to impose a 10 levy on 3 300 billion worth of chinese goods coming this september. This sent shockwaves throughout Global Markets we saw wall street heavily in the red yesterday and that continued overnight. This is the picture for europe every single one of the majors in europe is trading heavily negative today ftse 100 down 1. 7 basic resources and some miners there dragging the oil sector as well xetra dax down 2. 3 . Again, you would imagine all of the exportsensitive sectors are impacted here. Cac 40 down 2
German defense minister steps down as defense minister ahead of a secret ballot that could cement her as the first female European Commission president. Manus warm welcome to your biggest concern to daybreak europe, and what is your biggest concern, a meltdown or a meltup . This is the msci world index. To bail on stocks. Central banks are giving you a gift, that is their message. More of a risk as equity markets go up, and people dont appreciate that. The question is, do you believe that going into earnings season . The least attractive market for them, the usa, their top calls australia and japan. A couple more markets, even i cant make wti more exciting than it is. Downgraded, what will the inventory tell us . And gold, it was red, i do promise you, ahead of retail sales. The point, if you want to protect yourself as yields go back up, do you want a little gold for protection . That is a question for markets. You have the glorious s p. [laughter] nejra it wasnt so glorious yesterday
Boris johnson becomes Prime Minister today. He has to build a cabinet and tackle brexit by the halloween deadline. Deutsche bank trading slump deepens. The cfo spoke to bloomberg this morning about the impact of low rates. We are very aware that outlook deteriorated in june. It does represent a revenue pressure for us and all of the banks if rates go down further. Anna daimler sets its sights on recovery, operating profit will improves significant leak in the second half as rival peugeot downgrades across the world. Going to talk more about the Banking Industry, german asset manager dws had a 4. 2 billion euros in inflows in the quarter. Spot forbig bright Deutsche Bank, the Parent Company. The influx is beating average analyst estimates, this quarter 2. 9 billion euros. Bank,e news for deutsche it owns almost 80 of the asset manager. Thats bring in claire peel, cfo, dws group. This time last year it was a different story. The Asset Management business has turned around, more than 700
Data check for you. Stoxx 600 pretty flat this hour. Fourth of july low volumes waiting for payroll data from tomorrow. Outperforming. Yields areyear certainly worth talking about. Yields have dropped below the 0. 4 level, below the ecbs deposit rate. Weve got gold still acting as a haven above 1400. The dollar index not moving all that much. President trump doesnt like the strength of the dollar. We will talk about that. Wti not reacting positively to the production cuts extended by opec. Lets take a big picture look at what is going on in these markets now. The u. S. Stock market closed for trading for the july 4 holiday. In europe, equities continue little changed while investors search for direction and await u. S. Jobs data. We are joined now by paul markham. Very good morning afternoon, in fact, here in london. Valentin, lets come to you first. It does feel like risk off is back on. Currencies are outperforming low yield ors. It remains to be seen whether that positive feeling wi