Asiapacific and next. Treasuries not trading right now with japan closed and the bloomberg dollar index pretty much recovering from the losses yesterday. That is the big picture. Heres the aussie dollar. We are down. 2 at the moment, retaildown after the news. Than 1. 4 , orre of 1. 4 made sterling hit a multiweek low. This is a bit more of a technical chart showing cable below the 100 Day Moving Average the trend lines converging. That is some thing to keep an eye on with sterling. Finally showing you bitcoin and its breakneck rally. 7244. Now above manus is now the time for tax cuts . Comments came as the republicans released details of their tax overhaul plan. The Federal Reserve has to again extract us from the extraordinary measures that were is what people are quite obsessed about. I think that is going to occur and i dont think that is dangerous. We have to prepare for a cycle where rates rights. It is a long time. Interest rates have been low. Inflation has been low. Money around the world wont continue to be a free good, and it will be properly allocated. Im sorry, properly priced so it can be properly allocated. While that is occurring, we have to remove the extra stimulus, reduce the balance sheet, raise test is going big to do that in a way that it doesnt shock us into a bad position. This is a little bit like moving and unstable, dangerous chemical , and you want to treat it carefully. Everybody knows it has to be done. Of therency is part implementation remedy to make sure Everybody Knows what happening so there is no sudden, click move sudden, click move. While, there may be some bubbles that pop up in place. Money has been cheap for a long time. Maybe it is going to some places it shouldnt have. Have the president and a republican portion of congress that is bent on increasing fiscal stimulus. We have seen details of the republican tax plan. What is a good tax reform package look like an a bad one . I havent seen what has come out because i have been at this conference. I cant say this is the moment when you want the most fiscal stimulus in the market when there is full employment, gdp has registered at 3 . I dont know this is the moment you provide the biggest stimulus, but a lot of people, the president , think the economy can grow fast. I take the other side of that. I think there are things out there competing the growth. Perhaps we could get higher than 3 . Anna global sacks splitting global sacks Goldman Sachs speaking to bloomberg. Carney said that you pay pending divorce from the European Union is the main risk to the outlook. Manus still with us is jane foley. The pound, the ftse, the relationship. Mark carney pulled the rug from under the pound yesterday, didnt he . Pop and drop. Do you reckon he pulled the rug . It was certainly a dovish hike. Littlesentation was a bit different, because he was talking to the whole of the country. This is the first interest hike in 10 years. Manus that he called good news on national television. For many borrowers, it isnt such good news. What we have to consider in terms of what was priced into the market, perhaps smaller hawkish rhetoric. They thought the bank would be more hawkish. Thinking the bank would price more aggressively resources we got was aggressively. What we got was more reassurances. Because there are different audiences involved . He was acknowledging the brexit negotiations could takes could take rates a new direction. Rates could go up or down because of brexit. Still, he didnt push back in markets assumptions that there are another couple rate hikes to come. Jane he didnt, but i think the market had thought there would be more. If you look back to me, there was hawkish rhetoric. That,rket chose to ignore because it was focused on the vote. The market refused to look at hawkish rhetoric. Carney had said then that because investment isnt as strong as it would be otherwise, we were likely to hit capacity restraints. That i think got economists excited saying, we are potentially going to see price rises. The bank of england is going to push against that. Demand is affected by the drop in real wages. Growth. Constrain we are not seeing the investment we perhaps would it be seeing otherwise. England hasank of never hike rates with gdp and growth being solo. The 19th consecutive quarter of expansion. If we talk about what we are left with, my risks, my reward to trade the pound. If you are looking at this, it says will we are back to basics. Therefore, i would like to be long puts, short calls, my skewed to be to the downside. Momentaps there is a big and we are off the risk until after christmas. Jane when will that moment come . Commentatorsical indicating we might not get that big breakthrough moment if it comes at all. Meanwhile, we look at the price of sterling. There is a significant risk of a hard brexit priced into sterling. If we get the softer brexit, sterling will rally. Anna jane foley stays with us. U. K. Deputy minister joins us. If you were a bloomberg customer, you can watch the show using tv. You can ask jane a question using the button at the bottom of the screen. President Nicolas Maduro says venezuela will renegotiate its debt. The new the move is an acknowledgment that the heavy debt load has become unsustainable. Market joins us now. If a look at some of the other markets, there doesnt seem to be this heavy level of contagion from what might happen from maduro. You have to take into account that venezuela has been a basket case for a long time. If you look at its credit derivatives, which a lot of people do as a gauge of how weaker country is, it has been trading about 1000 basis points for more than three years, which gives you an idea of how few people are involved in venezuelan markets. It is only really specialists. Your average investor is not looking at this country. From that point of view, the mark carney effects are going to be limited. We may see a little disturbance, but even the mexican peso, which is the largest traded currency isnt part of the world doing much. In that part of the world isnt doing much. Big story to a venezuela. I was looking at more the bonds were trading. It is reflect widespread belief among investors that with high risk, these bonds cannot be paid anyways. Mark indeed. The slight surprise is they managed to hang on for so long. They have been on the verge of defaulting for a long time. Their International Currency reserves are down to 10 billion, which is a small number for a country that has large outstanding debts. It is hard to get precise Economic Data on venezuela, but the imf estimates inflation could be 2000 . Difficulty is in of state it has been. It has been a question of only when they will default, not so much that they have. Manus it seems to be a contained story for now. The very latest on venezuela. From one basket case to another company that is not. Apples stock is on a tear. Holiday sales have exceeded most of estimates. Anna it is a sign the Company Expects robust demand for the new iphone x. The device will help put revenues to a new record high. Peter joins us from tokyo. We know demand is there for the iphone x. The big takeaway was what . Peter i think that big take away from this Earnings Report is that apple is bullish on iphone sales in this crucial fourthquarter. As you mentioned, the forecast revenue that was a record and beast and beat analyst forecasts. The ceo addressed some of these concerns about production volumes production problems, volumes. He said their ability to produce these phones is increasing every week. He is pleased with the progress. There have been if you pick up some questions about whether apple was going to be able to come out with a device people wanted and after they saw they could, whether they were going to be able to produce enough to meet supply. Anna this forecast seems to be good for companies that supply apple. Some of those doing nicely in asian trading today. What is apple doing to meet demand for the iphone x . Long lines could be back at the apple retail stores. Peter i went to the apple store in tokyo today. There were more than 500 people waiting around before the store opened. There were a couple brothers who had slept on the sidewalk for two days. Certainly strong demand. There are a couple Technological Breakthroughs in the iphone x. The screen and this 3d face scanner that helps you a mock the phone. That helps you unlock the phone. Was complicated technologically to put together. Like they were able to move past that. They are increasing the volumes they are shipping each week and feel like they will have a Strong Quarter going forward. Seemed to have turned a corner. The demand is up. China is important in this story. How do you think investors will react to the delivery . Peter it is interesting. Tim cook called out china. Apple has been losing ground over the years to local players in china. It is still number five in the market according to thirdquarter statistics. It is about 10 of the market share there. They are trying to play catch up to local players. They have a ways to go. They are gaining ground and feeling more positive. Investors are taking this as a positive rapport. Shares were up after hours, 3 or 4 . That is a pretty big performance. Morearket value is already than 850 billion dollars. We could see them get close to nine heartbeat 900 billion. Anna thank you very much. Apple is one of the reasons we see the nasdaq futures up in the u. S. Session. Coming up, we are going to talk more about the president of the United States. He is spending 10 days touring of aand the first visit u. S. President traveling five different countries. This is bloomberg. Is bloomberg daybreak europe. This is new york. Nasdaq futures up. That is the apple move up there overnight. Lets get a Bloomberg Business flash with juliette saly. Jumped afterle hours on holiday period sales exceeded most estimates, assigning the Company Expects robust demand for the iphone x. The comedy protects revenue will rise to record highs the Company Predicts revenue arise to record highs. Its important prosecutors and investigating. The Economic Crime unit and prosecutors have interviewed current and former Goldman Sachs executives. The french government has closed the sale of 1. 2 one billion euros in shares. France sold 14 million of the carmaker shares, reducing its stake back to its historic level of 15 . Renault president Donald Trumps twitter account went down for about 11 minutes. On an employee it was blamed on an employee that was headed out the door. It prompted many twitter users to send out screenshots. Within minutes, the account was once again available. That is your Bloomberg Business flash. Nobody is tried to switch off my twitter account just yet. Donald trump spend 10 days touring asia. One man he wont see on the trip is kim jongun. That could loom over history. Anna the north korean leaders accelerated Nuclear Program has made him one of the biggest threats. Will trump attempt to make progress resolving the north korea crisis . Will that be a key ambition to this visit . An absolute understatement. It is one of the key things hes going to be talking about in all five countries. He is going to be talking about it first of all in japan, then south korea, then china, and he is going to be talking about it at a meeting. Leaders want to find out what trump has got to offer. The problem is that trump is having enough trouble coming together with a unified strategy for dealing with north korea, even within his own cabinet, let alone trying to get other countries to come on board with whatever he seems to think his strategy is. He has kept on saying he doesnt want to talk to north korea. He might get some somebody with that from depend, but he wont get that with the other stakeholders, south korea. Heth korea is doing the best can to reach out to north korea at the moment, even inviting north korea and kim jongun to attend the winter olympics. The same in china. Donald trump seems to think that china is going to pull something out of its back. He tweeted the other day that done what it is going to do, complied by the sanctions, putting it into place, and that is about as much pressure that china is good to be putting on north korea at this stage. Come could easily leave china trump could easily leave china disappointed. Manus david joins us from hong kong. From rabobank. David was emphasizing what might happen in the relationship with china. As you look at the world, we talk about a synchronized level of growth, which brings to mind the fx. Canada,ook at australia, some of the big alpha trades, where do you want to play . Where do you see the flow of money in terms of the growth story . Jane the aussie has disappointed many investors. Certain other Central Banks are becoming less dovish, more hawkish, but that is not us. Dollar has been on the back foot. It brings us back to the same story we are seeing in many other countries, which is there a reasonable labor Market Conditions and without Wage Inflation you dont get the dont get the anna interesting to look at what powell has been saying about that. What of my colleagues looked back at his speeches about emerging markets. He has made statements about how the u. S. Has been looking at that. What the fed does has a Significant Impact and massive shockwaves throughout em. We have global growth. Perspective, em should be well supported. That generally supports highyielding currencies. Issue for theer pboc, but that what is happening. The other issue for the pboc, look at what is happening. Such a wretched in bond markets of me something different. Such a ratchet in bond markets tells me something different. If you go back to the previous congress, there is talk of the liberalization. Thatcontinue to watch closely in the policy will continue for some time. Anna the link between some of the oil related currencies . , is that not a strong jane the link between the oil related currencies, is that not a strong . Clearly there are domestic events you can translate into what is weighing on those domestic currencies. Beheaded offoley, fx at rabobank. Anna new details of the republican tax overhaul plan. We get analysis of what it means for markets. This is bloomberg. We have a live shot of london this morning, the final trading day of the week. Be up. E 100 should this is bloomberg. Retail. Under pressure like never before. And its connected technology thats moving companies forward fast. Ecommerce. Real time inventory. Virtual changing rooms. Thats why retailers rely on comcast business to deliver consistent Network Speed across multiple locations. Every corporate office, warehouse and store near or far covered. Leaving every competitor, threat and challenge outmaneuvered. Comcast business outmaneuver. Succeeding yellen, president backs Jerome Powell as the next fed chair. Investors look ahead to the jobs reports today. Anna equity trading revenues missed estimates and the french bank tumbling 19 as derivatives demand plunges. Has been fractured on the equities side because on the fixed income, we are very much in line with the global environment. President maduro says venezuela will restructure prepayments, saying u. S. Sanctions have made it impossible to find new financing. Optimism. E the iphone makers holiday Sales Forecast top expectations, sending suppliers higher in asia. Manus welcome to daybreak europe. Im manus cranny. Anna im anna edwards. 7 00 in london. Lets stick with the oil fame. 576rexall, 560 million euros, that is a beat. They join the host of companies inm bp to Royal Dutch Shell terms of beating, shall generated cash, bp give us gave us a buyback. Repsol delivering on the numbers. They ratcheted up the debt piles on the purchase of talisman in 2015. You are seeing an overall beat on the net income side, adjusted net income. Atrd quarter avatar comes in 5. 9 billion. The debt will be the most interesting number. Lets see how the market react 6. 70 9debt numbers of billion. Billion. Anna the fullyear outlook will be on the lower end of the guidance range, says smith and nephews. We will wait for a few more details to trickle through but what makes that more fascinated is that fascinating is that smith and nephew has had an activist investor take a stake in their business. Alledge elliott management, it has been talked about as a takeover target for some time. If we see the share price go any lower on the back of the skied we have them smith and nephew, could that be a game changer for companies that happened top about as potential buyers for the business . The ceo is also leaving the company. He will step down at the end of 2018 after seven years. He took leadership in 2011. They increased their guidance several times this year, so backtracking away from that. Couple of redre a headlines coming across the bloomberg. The first in regard to backdoor they are not going to proceed with their ipo. E. M. Plus going ahead. Citing market volatility for bakkavor. There are companies who perceive market volatility to perhaps not be necessarily the right time. Anna interesting that are key va postponing their proposed london ipo, citing market uncertainty. No doubt people will ask for. Ore details in their statement today, they said they will postpone it. Shareholders have decided. Of theot in the Interest Company or shareholders. That is all they say. Manus we have gone from super thursday, not just the bank of england but the fed chair, the bank of england ripping the rug from underneath sterling, moving forward to the jobs report today. This is the state of play on the equity market. We are seeing rising equity markets. Apple adds into that. One thing we havent spoken on yet, we have barely mentioned the u. S. Jobs report number. Shocking. We are looking for 300,000 jobs to be added. That is the recovery from the hurricanes last month. For 2017 tax plan the 2017 policy graveyard of the year . It goes to my inner downside. Anna we did mention the jobs at the start of the 6 00 hour. 330 thousand jobs expected to be created in the