Trade after huge gains yesterday. Lets get your top headlines today. The grand reopening. Italy removes most restrictions on life after months of coronavirus lockdown. International visitors will not be subject to quarantine. European futures gain across the merkelespite a delay in s stimulus plan. Lufthansa commits to a deep Restructuring Plan after seeing a firstquarter net loss of more than 2 billion. Plus, thousands deny curfews in the United States but clashes with police are limited. The pentagon sent activeduty army units into d. C. , calling it a planning measure. Just under an hour away from the cash trading in europe. Any of those negative headlines dont look set to deter this rally. We are looking at big gains in futures. The futures up 1. 5 after germany future index put up a points more than 430 yesterday, powering about 12,000, looking set to open very risk on. Today you can see ftse futures up more than 1 . U. S. Futures are gaining as well. Dow jones futures are up more half a percent right now. S p futures just about half a percent, as our nasdaq futures. Anna . Anna we will get to the latest moves in the Asian Session in just a moment, but we want to get some breaking news in europe. Numbersines for your dropping in line with estimates. Fouryour numbers dropping in line with estimates. Eating the numbers us fouryear numbers dropping in line with estimates. Toy are not in a position keep going on net profit. They also say they dont see any k,sitive developments on as available see kilometers, or on profit margin. Company says it is expected that workforce will be increased. Plenty of interesting conversation topics, that and lufthansa. We will talk to the ceo of wizz air in minutes. Matt, you mentioned the futures picture looking quite rosy. The picture in asia has been rosy overnight. The south korean market doing well. Just as we in europe have expectation built into a german stimulus package, in asia they have been hearing about south soeas stimulus package, that has been pushing the south korean kospi up by more than 3 . We also have a lot of dollar weakness, which we will get to during the program. Matt u. K. Net gas contracts are , interesting, especially considering the glut in the nat gas market. Lets take a look at the bloomberg first word news. Here are todays top stories from the terminal. Unrest continues across the United States overnight, and President Donald Trump has come under Harsh Criticism for his response to the demonstration. He is also not getting the backing of local governors over his offer to send in the military to prevent looting. Were underf citizens curfews last night as march is continued as well as arrests. In germany, Angela Merkel failed to broker a deal on stimulus yesterday. That delays plans to spend as much as 100 billion euros to reboot europes biggest economy. After nine hours of talks, the Ruling Coalition could not reach a deal, but the parties are going to reconvene for more talks today, and markets look optimistic that they are going to come through. The latest round of brexit talks are set to end friday without a breakthrough. Isomberg has learned the eu pinning its hopes on a dramatic intervention by the Prime Minister. Boris johnson is set to speak with eu leaders later this month. He is likely to be told the bloc can offer concessions if the u. K. Does the same. Global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. Anna . Globally equity markets are continuing, up this morning through the Asian Session. Europe is focusing on the reopening story, setting italy free for most restrictions as of today. We will get to the details on that later. That even as germanys mustang muchanticipated stimulus plan faces a delay. Bloombergs emerging Market Strategist simon flett is with us and can take us through some of this conversation. Simon, it seems we are pushing higher. Some say this rally is very unloved, but that does not stop it from rolling upward. A lot of expectation, it seems, about the reopening story, also want to school stimulus, whether that is in also on fiscal stimulus, whether that is in south korea or germany. Are we expecting too much, or is that excitement wellplaced . Simon i think it is well done overall, but the market disagrees. Certainly in asia, people have been getting excited about the reopening of various states. The United States also reopening. Chicago, i think, today. People want the german stimulus out of their minds because most people think both sides in the debate want to get something done, so people are not overly concerned. Finally, we had a phenomenally Service Number from china, way above expectations. The kind oft merit gains we have seen today, simon . Or that we have seen yesterday into today . 430 and futures are up another 1. 5 . This is another rally for an extra hundred billion euros on stimulus that already totals 1. 2 trillion euros. Thats kind of what it looks like around the world. I admit to being surprised how strong the value has been. To answer your question, i reopening we find the of the various economies is premature because of a significant second wave of covid infections, and even if that does not engender significant policy changes, which is to keep people social distancing, then maybe this will give the market pause for concern. Another area when markets might get concerned is the u. S. China relations. A lot of simmering tension with respect to hong kong, even as the geneort fourth comes tomorrow i would expect that to heat up over the next several weeks. But for the time being, the markets do not care about these things. Matt simon, thanks. Simon flett, bloomberg emerging ,arkets simon flint bloomberg emerging markets strategist out of singapore. Up next, wizz air is not optimistic about its profit margin. We will bring you an exclusive interview with the airlines ceo. Welcome back. We are over 45 minutes away from the start of cash equity trading, but looking at some decent gains after the strong rally we saw yesterday. Gains and futures after the rally in cash yesterday and really as this equity rally rolls around the world. Wizz air reported earnings this morning. Fullyear revenue matched expectations, but the airline does not expect improvement in its profit margin going ahead, obviously hit hard, as all airlines have been, by this lockdown. We are joined by the ceo, joseph , inalready Jozsef Varadi an exclusive interview. Zsef, before we get to what is happening with your competitors and whether this is a level Playing Field, tell me about the specific wizz air earnings story and what your outlook is as lockdowns lift. We have record earnings and record revenues, so we are pleased. Today, we are in a totally different situation given the covid19 impact on the industry, so it is hard to know exactly what to expect. How various restrictions are imposed on the industry, on peoples movement. Depending on that, we will see how we go through this year. But our understanding of the market is that people want to , having billowed down for two to three months. Data suggests that people will move. F. Na good morning, jozse last time we talked to you, we were talking about expansion plans. How youy you talk about dont see a positive development in terms of capacity. Can you give us any guidance as to what capacity will do this year, then . Issef what i can tell you we have a desperate quarter we are in. We are going to be flying around 15 of our total capacity. There is a turning point now in europe. Many countries are lifting restrictions significantly, so we expect to go up to 50 or 60 of capacity. Moves on,on how life we expect it to ramp up to about 80 in the second half. But when you look at other markets that have opened up i saw charts today of china that i think substantiated your forecast, looking at a rebound to 80 , 85 of previous activity. Is that what you expect for the rebound here in europe as well . Absolutely. This is what i would be expecting. People are going to fly. That demand can be further , and we have the perfect Business Model to do so, but we need to see government restrictions going away in order to fly people. But i think the different players in the industry will recover differently. We are a lowcost, very efficient way of doing business. We recover much quicker than the hub and spoke carriers. Joseph, do you think you would be able to take some market share if your government if your a 9 billion government gave you 9 billion euros . That would be lovely, but thats not the reality. We are very efficient from an operability standpoint. In many circumstances, we can manage our staff through the situation. Our liquidity is so strong that we can be around even two years from now. We feel strong about our position in revenue to take advantage of market consecration. Bases inpen new ukraine and albania. Many airports have been approaching us, begging for gross capacity, and we are among the very few airlines that actually can deliver that. See opportunity in germany in particular, around some of lufthansas landing slots . To put things into perspective, lufthansa is getting about 2 of their capacity, and the European Commission wants to create a level Playing Field by having lufthansa owning 98 of slots. What kind of a level Playing Field is that . We also need to take note of the airport costs. In germany, people dont want to be interested in doing something in germany, given the scale of opportunity. Matt did you come into this business expecting it to be a level Playing Field . Has the Airline Industry been a level Playing Field in your experience, and do you think european regulators really want to make it that . Jozsef i think weve had better times in that regard. It looks like the industry is moving backwards. Governments are wanting a gain. That is not great. The government should not be the equity board in the industry. Youre right. Its never been a level Playing Field, but its distorted this time around. Into give us some insight your latest thinking on how flying will look when it gets back on its feet, versus how it used to to look in the past. Will there be empty seats, compulsory masks, air corridors . What will be the big change for you in terms of how you operate . Jozsef clearly we see that people are concerned. Be convincedave to that flying is safe. We dont have a single plane globally where anyone would have been infected. Nevertheless, i think we need to adopt our safety protocol to the current realities. We see that in the foreseeable future people will have to wear masks when they travel. They have to use hand sanitizers. We have removed everything on touch point in the aircraft. We have removed inflight magazines, etc. To minimize the risk. It will be a change in terms of protocol, but i dont think this is fundamentally undermining peoples desire to fly. Matt are you going to be able to login some future lock in some future gains with the prices of oil, where they have been . Does that help your business . Jozsef we are over hedged. We are reporting some hedges. We are smaller than what we can fly. Demand for oil will go back to normal and prices were moved will move up, so i dont think it is a Tipping Point for the industry. Ofa Jozsef Varadi, the ceo wizz air. Coming up, defying the curfew. Thousands of u. S. Protesters take to the streets for an eighth night of protests. Matt welcome back. This is the european open. Futures rise once again today ahead of the open. Lets take a look at some of the events that are going to be happening over the next few days. Googles Parent Company alphabet holds its annual general meeting later today. Investors are going to vote on aboutos proposed pay of 250 million. Hong kongs annual vigil commemorating the Tiananmen Square massacre in beijing will now be held online tomorrow. It had been canceled in the flesh, so it is going to happen in a binary code kind of way. Thats after police banned the gathering for the first time in 30 years. The move could lead to more protests, online and in real life, i rl, as the kids say. The ecb updates its projections for growth and inflation, setting up the scene for policy action. It is expected to boost its emergency stimulus package. On friday, we get the nonfarm payrolls report for may. A 20. 5 million job s figure, but we are looking at an estimate of 8 million job losses in the month. Lets go to the latest on the u. S. Protests over the death of unarmed black man george floyd at the hands of police. The mostly peaceful marches have been taking place despite curfews in cities around the country. The pentagon says 1600 troops have been moved to the washington, d. C. , area, but officials earlier distanced themselves from President Trumps warning that he could use active duty military forces to clamp down. No governor has accepted that invitation. Lets get the latest from new york and our reporter annmarie hordern. Bring us uptodate on the situation. Annmarie we have a number of curfews around the United States, also in new york city, which is actually being extended through june 8, that morning, when new york city is set to reopen. Largely, the protests have been a lot more peaceful. From what i have seen in new , thereesterday evening was a lot more of that looting. New yorkers woke up to a love glass on the street. Today you saw stores really start to board up their storefronts, store after store after store. Plywoodare seeing is down madison avenue, down fifth avenue. In d. C. , one of the things is that the pentagon is moving activeduty army units to the National Capital region. We are seeing a lot of pictures coming from the likes of the Lincoln Memorial and activeduty military that have a different kind of presence you are feeling here in new york, but largely these curfews did not stop peoples protests from taking place. Henry, thanks very much. Annmarie hordern from new york. Up, chancellor Angela Merkel failed to broker a deal yesterday on a stimulus package, delaying plans to spend as much as 100 billion euros to invigorate the german economy. Could there be success in that stimulus plan . We will talk about that. Matt welcome back. 30 minutes from the start of cash equity trading. Did notor Angela Merkel finish her stimulus package yesterday, so now they are going to continue to talk about today spending another 100 billion euros to reinvigorate germanys small touring economy. Of hering coalition christian democrats and the social democrats did not reach an agreement after nine hours of talk yesterday. Sources told bloomberg the party planned to reconvene today and pretty much everyone is optimistic they are going to get it done. You can tell that because the points yesterday and futures are up 1. 5 this morning. We are joined by Peter Fitzgerald with aviva investors. This rally has been really impressive. Investors counting on merkel to deliver. Is there a bit of fomo going on here . Are people trying to get into this rally as they see it continue nonstop . There are positive developments in europe. We are seeing both germany and france on the same page for the first time in quite a while with regards to the european union. Is onore, i think this the Positive Side of expectations relative to where we were a number of months ago. But i do believe markets have gotten a little ahead of in terms of the reigniting of some of the activity thats expected. Anna good morning. Its interesting to think about how these talks might have gone if britain had still been a full member of the european union, rather than in this sort of transition limbo. You made the point that brexit easier. De the deal in terms of the brexit story, what should we watch for on the timeline . Ofhave a timeline at the end june, but the u. K. Government has said many times it will not extend. Where is the picture going to be . Is this really going to go until new years eve, 2020 . Peter first of all, the ability for europe to come up with various rescue packages without the involvement of the u. K. , i think thats a fact that a lot of people under appreciated the ability of the eu to come together in times of crisis. In terms of brexit, i think people should be very concerned. Say that, iny i the midst of what most people recognize, but maybe not all market participants, is probably the worst recession in modern history, where you are seeing gdp fall in doubledigit figures. If you are a hardcore brexiteer , you need a distraction to get your hard brexit through. Not only that, what is a couple more percent off gdp given the crisis we are seeing . I think the risks of a no deal brexit are probably higher now than they have been at any point in this process. Matt we heard this as well from another peter yesterday. The ambassador was telling us that british medivations to get a hard brexit through now, at least those who are for that, they are ready to double down because of the coronavirus pandemic. What about the eu side, peter . Do you think there is any reason for the eu side to press for a deal . Theyve got their own coronavirus concerns, and it seems like it might be less aportant to keep the u. K. Has fantastic trading partner right now. Peter i think most rational individuals would like to see a ,elatively smooth process here one where there are minimal restrictions in place post fifthyear. But i think one has to be prepared for a very negative outcome, and i thick markets are probably pricing in quite enough for that scenario. At the end of the day, both sides probably have to compromise a number of issues. I think that is probably still the central case, but only very marginally so today. You are absolutely right. Has Freedom Union of movement of people, capital goods, and services. That