Im Francine Lacqua. We track the markets and policy. We look at statebystate, the difference between joe biden and donald trump to figure out what will happen overnight. What is clear is we are getting quite a lot of volatility. Volatility spurred on because there is concern there will be civil unrest if certain votes are not counted. There is concern out there in the press we could see civil unrest if the candidates of whoever does not win actually sees people go out in the streets. Stock climbing globally for a is americanbut it president ial election day so currency traders are taking the brunt off for the increased volatility. I spoke with one senior banker yesterday who said in terms of the trading floor, they will have pretty much full staff overnight to see what happens. When i asked about havens, it is difficult, he said, what would constitute a haven. A bit ofee the vix, elevation earlier on. The pound dollar. , for the moment we are looking at some of the currencies. Lets get
We see a bit of a drop when it comes to european stock equities, down some 0. 4 . A lot of the focus is on what Central Banks will and wont do in the upcoming days. Looking at pound, because of herschel he parliament and the suspended. Rogued, 1. 63, soear yield at it is stabilizing a little bit. We will be speaking to a Morgan Stanley chief executive. That interview coming up at 7 30 p. M. London time, but first, lets get straight to new york city and the bloomberg first word news. Of the chineser communist party taking aim at comments from a peter navarro, saying they are unconstructive lies. The president ial advisor is considered a hawk. He has repeatedly accused china of seven deadly sins. The peoples daily says such comments are preposterous. Te winningster con the first of two confidence votes in the italian parliament. Withomised to work closely brussels on a 2020 budget featuring lower labor taxes and a minimum wage. Later today, his Government Faces a senate vote. Factory pri
Afternoon if you are watching from asia. Im Francine Lacqua in london. Ato era july manufacturing 46. 5, a touch above expectations. Watch,llar is one to also the u. S. 10 year yield. The markets broiled from what we heard jay powell say. Said they peace time rate cut has had an impact on the dollar extending. European stocks up. Pound is the one we have been watching for. 2110, this depends on whether goes for a hard brexit. Oil, 57. 8. We have an exclusive conversation with an exclusive executive and joining us later, the global head of research for blackrock. Before we get to all that, lets get to the first word news in new york city. Quarterpoint cut from the benchmark rate by the fed. That says it will stop drinking the Balance Sheet in august shrinking the Balance Sheet in august. This move dashes hope for a move. Er dovish it is intended to ensure against Downside Risk from week Global Growth and policy uncertainty. To promote a faster return of inflation to symmetric 2 objectiv
Basis points. The front end of the curve is moving quite substantially. We will talk about that in a few moments. A couple of thoughts on the move poster earnings. Snacks are because making a comeback, offsetting weakness and cereals. Western digital up 6 . Ceo digitals guy european stocks going nowhere. We are seeing a bit of a drag. The pound is down and the bank of england will not factor in a no deal brexit. They are going to wait for the government to do that. The german tenyear, yields continue to fall. The amount of negative yielding debt just continues to pileup, and up, and up. England is bank of keeping rates on hold, saying it is less confident than usual. The Federal Reserve yesterday also making its rate cuts. We want to get to Jerome Schneider, our guest the talk about all of the central banking moves. Jerome, thank you for joining. Lets get to the Federal Reserve rate cut first. Were you surprised by the Market Reaction . Jerome the market was surprised by future rate cu
How can you not have a little fear, asks this mom, not knowing if youre going to see your children again. Shes undocumented. Her children are all u. S. Citizens. Kind of frightens me maybe one day they wont be there. Reporter even though there was no reported i. C. E. Activity in the south bay the family says they continue living in constant fear, theyll now avoid some of their favorite spots like the tropicana shopping center, fearing the worst. The tropicana food store says they were part of the weekend domino effect. We lost maybe 10,000 to 12,000 each day, saturday and sunday. Its a very bad day. Reporter the families we spoke with today began formalizing legal documents giving parental rights to their siblings in case theyre deported. But even with the constant fear the teenagers who a about to Start High School say they can same time i know i need to push through and i need to make it. I need to do it for them. Just like they sacrificed a lot for me. Reporter one place those fami