8 million merger as the controversial deal sees them extend control in the largest smartphone maker. Shares of google up 10 in after hours trade. Hello everyone. Seema and wilf are on vacation. A very exciting show for you. This is germanys parliament set to vote on the new bailout deal with greece. That will follow about three hours of debate getting underway now but its widely expected theyll sign off on the greek bailout measures and then we can start the talk on the bailout package. Now this comes as imf chief Christine Lagarde warned about the sustainability of french debt. She wanted to see a full program implemented that includes financial reform. However she reiterated that some level of debt restructuring would be necessary to ease the burden on greece. Lagarde added she expects greek banks to open as planned on monday. Cash withdrawal limits at 60 euros a day but greeces deputy finance minister says that will decrease as the week progresses. This is after mario draghi announced he was raising it by 900 Million Euros the next week. He was also questioned about capital controls. Its hard to predict. Were all aware its in the interest of the Greek Economy to have these kind of controls last as little as possible. By the way, the responsibility to leave capital controls is with the greek government. So that is something that they have to decide but we have to do this in a way that we dont run opposite risk. I would leave all the depositors being basically hit. So the capital controls have protected the depositors which, by the way, to a great extent are now small depositors. So its the awareness that theyre hampering the economy there but the idea is to move as fast as we can. Meantime an official at euro bank said it will buy 80 bankers from fellow lender greek alpha bank. This required lenders to reduce their exposure to the balkins. Joining us now is head of european g10 strategy at bank of America Merrill lynch. We got there in the end and it seems very anticlimatic. Hopefully we get the break from greek headlines for the rest of the summer. However, this by definition does buy us time to deal with really difficult issues and they have to deal with a new program which will include from 80 to 100 billion more funding for greece and will deal with the debt which is a must and deal with capitalization and all of this at the time that the greek government is very fragile. A lot of issues to talk about here but i want to pick up on one very important part and madame ladarge pointed lagarde, there is a need for debt relief but we have to make sure that its a lee fwal legal way. Do you think they can persuade the germans that theres some form of debt relief. They knltcant repay the debt but we have to be careful because sometimes greek feels that debt relief is an alternative to reforms. It will only be conditional to reforms within a conditional program. Lets talk about the reforms. The greeks are now subject to a harsh list of austerity reforms that they rejected in the referendum more than a week ago but what were looking at is a set of reforms which is much harsher than the one they rejected. Do you actually believe that the greek people will implemented all of that over the next two years . The first two bailout packages havent been implemented have they . They have done a lot of austerity so far. The government doesnt like this deal. But here is an opportunity as well to implemented the reforms they have not been able to implemented all of these years. Tax income opening up the investment. This is how the recovery can come. Do you believe that the risk of a grexit has now been removed . Well come back to this issue in september. Do you think it could still all fall apart . Theres still substantial grexit reach. We just bought time. We have to stop pretending. The greek banks are bust and nothing will work without reforms. If the new Program Addresses this issue we can address it once in for all. I want to touch on the ecb yesterday because not really many surprises apart from the fact that they did raise the ela for greek banks by 900 Million Euros for one week. But you point out in your most recent note that they didnt address the tightening of the Monetary Policy conditions because we have seen thattize in yields even since june and thats reflective of the worries around greece. Are you disappointed that they didnt really touch on that . Exactly. We can say that it was a mind field but they manage to give the right messages. But 80 of the message was on Monetary Policy. The market was expecting them to push on the recent sell off and they almost ignored the issue. It is is quite likely if this continues well expect the ecb to revise their market projections in september which at that stage would suggest at the meeting room we give a more dovish message. All right. Thank you for that. Youre going to stick around a little bit longer. Do send in your emails through our email address worldwide cnbc. Com or on twitter as well. Lets get back to corporate earnings. Electrolux delivered a strong beat with its Second Quarter earnings. Operating profits rose to more than 107 billion for the quarter ahead of analyst expectations. Shares are higher by 3. 6 . What a strong rise this morning. Joining us now on the phone is keith, ceo of electrolux. How do you feel about it keith . We have organic growth of over 7 in which all of our businesses participated in that. It was a good quarter for the group. Can you talk to me about the different regions though . Were still seeing some weak spots in europe specifically. A better outlook for north america where you obviously want to be more active with your intended purchase of ges home appliances. Also could you please touch on the emerging markets . Yes, so to your point by differently region and market. Western europe demand is picking up. So up about 4 which is good. Eastern europe down about 20 . Primarily driven by weak russian and ukraine demand. North american is good. Solid, Strong Healthy market. China and brazil latin america were quite weak to your point. So its a mixed picture around the globe. How much visibility do you have for the second half of the year and to what extend can you still do you have some wiggle room in terms of pricing and markets that are doing a little bit better . Yeah of course its a very competitive industry. Our expectations is well continue to see good demand in north america for the rest of the year and western europe. As you mentioned t the visibility and transparency was difficult but our expectation is given that the country is in recession demand will continue to be weak in those markets, in the latin american markets. Lets talk about the electrical fantdelephant in the room. The doj has been trying to block that transaction. Now it seems youre going to court. Are you still confident that you can close the deal and if yes, when . Yes, of course we just disagree with the doj assessment. We think this is good for we think this is pro competitive and pro consumer transaction and we look forward to presenting our case to a judge in court and well do that this year. You still believe you can close it . We do. So that would be before the end of the year or early next year . Yes. All right. You have talked about the cinergies but you havent talked on the cost issue. How much would this deal cost you . The Purchase Price is Public Information which is 3. 3 billion u. S. Dollars. Sure but what about some of the restructuring costs you would have to incur. We communicated those too. Its about 300 of restructuring costs. One time. 300 restructuring one time for 350 annually thats a pretty good return as you know. Keith, thank you for your time. The ceo of electrolux. Okay. We are roughly one hour and 15 minutes into the european trading session. Lets show you where were standing. Just off the flat line. You see that we opened a little bit stronger than that but since lost some of those gains so after that big relief rally weve seen as a result of the greek deal over the last couple of trading days its waning into the weekend. We still get the cpi numbers later on today so maybe that will give us a little bit more indication as to what the fed might be doing but janet yellen has said twice this week she expects to raise rates by the end of this year and of course the focus here europe is also very much in earnings. Just heard that weve seen a number of very good earnings reports. I want to show you the european markets one by one. The dachshund a little bit of pressure. The ftse 100 off by a third of a percent. But for european markets were on track for the best week since january. So far this week the dax is up 3. 7 . The cac up 4. 5 . All right lets get back. Ericsson is up 5. 7 . 888 Holdings Shares high about 4. 2 . Theyre trading higher and the Company Completed a 1. 4 billion deal. Shares trading slightly lower on the news. You can see them down by 0. 5 and high by 4. 8 . Lets hear what the ceo has to say. Were very cautious. If it happens well be happy but we depend on our clients and especially around the world. We have to be very cautious the economic environment is still volatile in a way so we have to be quite cautious for the second half. Still to come on the show new year new rate the bank of Englands Mark Carney says were edging closer to a lift off. Whats the outlook for sterling . We discuss next. Push your enterprise and you can move the world. But to get from the old way to the new youll need the right it infrastructure. From a partner who knows how to make your enterprise more agile, borderless and secure. Hp helps business move on all the possibilities of today. And stay ready for everything that is still to come. Welcome back. Lets have a quick look at the bond market. A little look at the bond note. 2. 34 . Not much of a mood in yesterdays trading session. We did see the yield curve flattening. Once again cpi is going to be on focus today and just a touch higher. In the currency markets its really been a very strong week for the dollar as a result of yellens comments over the course of the week. Euro dollar has seen big losses but were pairing back losses this morning and still below that 109 handle at 10891 up on the day. Also pulling back just a touch by 0. 2 but dollaryen close to three week highs. Lets get to some comments from the german chancellor. She says we want to keep greece in the euro zone despite political differences. Trust has been lost in greece and thats very obvious and she says there is more effort from greece and europe that are needed. Timeout, thats the proposal thats been floated by the German Government specifically the german finance minister that timeout for greece was not doable. Thats Angela Merkel speaking ahead of the vote for the greek bailout measures. Moving on the decision as to when u. K. Interest rates is beginning to rise is likely to come into sharper relief at the turn of the year according to mark carney. In the strongest signal that he would be ready to act. He pointed to firming of inflationary pressures. The governor did warn that economic stocks could impact the path of rate increases. The path of Interest Rates is much more important than the timing of the first rate increase. And im conscious that several important considerations which mean the actual path will almost certainly not be mechanical linear or predetermined. Lets get back to the head of european g10 fx strategy at bank of America Merrill lynch. Why is he making these comments now . Does he feel like he has to catch up with janet yellen. I think they want to start preparing markets. They have not been extremely strong but also they have not been consistent. So they want to give the signal and stopped hiking. This is why the market reacted to their come mens. But the problem is investors dont know what to do with mr. Carneys guidance because sometimes hes dovish and the next day hawkish. Investors have been wrong footed by what hes been saying. I think its really tough to follow what hes saying. Thats actually true. I mean quite often we have been surprised with his guidance. But the important thing is to just focus on the data and when you look at the data then this is consistent with tightening. The fed will go first. It will follow soon after. So with the fed what were expect as good a one and done move. Theyre going to be moving soon but then very slowly. Would the same apply to the boe . Its very likely and this is the key message from carney this week. Theres no incentive to go very fast. They are concerned about sharp adjustment in asset prices so they can afford to go slowly. But we saw what happened when the fed announced it the market was very very surprised so they wanted to make sure that the market start preparing for this so we have smooth moves. Lets get to your trade on sterling. A 7. 5 year high of 94. 5 following mr. Carneys comments. Can it rise further against the euro . And how much against the strengthening dollar . I would be cautious of this point and the fed moves before the bank of england. We see it weakening. Its already moved a lot. We have to be tactical. We like the dollar followed by sterling followed by the euro. The euro has been back to taking its role as a funding currency. You see euro dollar parity when . By the end of the year. A lot depends on the first rate hike. Our goal is for september. What is interesting this week the euro weakened despite the positive developments in greece which suggests the market has taken the developments from greece as a sign that the fed will most likely hike rates this year. Its been a really interesting move in the dollar. This week its on track for gains of around 1. 5 for the dollar index. I wonder to what extent this focus on Monetary Policy is reflecting in positions because its been quite extreme at the start of the year but then that has unwound a little bit. Is it back to the more extreme levels now . Not yet. We have to be cautious not to get overexcited which is what happened earlier this year when the fed came out and pushed against the strong dollar. From now on the dollar moves has to be consistent with Monetary Policy and the fed will not hesitate to talk the dollar down if the currency overshoot. Okay. Stay with us a little bit longer. Meantime lets get back to markets and earnings. The nasdaq closed at record highs held by strong earnings state side. Heres a quick round up of thursdays corporate results. Googles Second Quarter profit beat forecasts as revenue increased 11 . That was due to strong ad revenue. The number rose 18 . Cost per click or the average price of online ads fell 11 but that was more than offset by the increase in volume. He talked about keeping costs under control. Google rose 12 in after hours trading to a new record high in frankfurt. High by 12. 4 . Adjusted loss matching analyst forecast but revenue fell missing estimates on continued weak demand for pcs. On a bright note Third Quarter revenue will rise 3 to 9 . The Company Expects the launch of Microsoft Windows 10 later this month. That will spur orders in the second half of the year. At least thats the hope. Amd rising more than 2 in after hours. Germany off just slightly. Schlumberger Second Quarter profit fell but they beat forecasts. Depending on production in north america to fall more than 45 but they believe drilling activity in the region has hit a bottom and there should be a slow increase in the second half of the year shares are rising 1 in after hours and germany higher by 2thirds of 1 . Now it is friday. If you are thinking about your weekend plans and if youre already planning on taking a break this weekend you might be hoping for a Comfortable Hotel with great staff. The staff at this new hotel in japan, theyre robots including japanese speaking and English Speaking dinosaur. The entrepreneur that runs the place says its not a gimmick but a serious effort to use technology. It will cost you about 80 a night for a room at the establishment. It translates as weird hotel. So wed like to hear from you. Would you like to stay at a hotel staffed by robots . Does the idea of a robotic concierge appeal to you . Get in touch with us. Would you want to stay in a hotel run by robots . Oh my god. I dont know. I would be curious to see how its going to be. Perhaps try it once although i like to have the personal tough. You like that but then you wouldnt have to tip. Thats a major upside. Especially in the u. S. You have to tip quite a lot. I dont know but at the end robots are taking over. We need jobs for real people. Thats a very very good point. So probably not good for the Service Industry and restaurant industry. I dont know. I guess the service is probably not going to be the same in a robot hotel as in another hotel but maybe the robots are programmed the right way. Anyways it would be interesting to see that. Thank you so much for your response on everything from greece to yellen to the euro. I appreciate it. Head of european g10 fx strategy at bank of America Meryl merrill lynch. Well take a look at whether google can maintain the pace after this short break. So far so good. Strong results pushed the nasdaq to a record high. This as the nordics kick off europes earnings season with a bang. The alternative is chaos. German chancellor Angela Merkel addresses lawmakers as they prepare to vote on the bailout package. Meanwhile, Christie Lagarde says the plan isnt viable without debt relief. Samsung approves an 8 billion merger. It sees the controlling family tighten its grip on the Worlds Largest smartphone maker. Google beats the street thanks to strong ad revenue. Shares soar to a new revenue in after hours trade. Off by roughly 9 points. This is after we saw a couple of days of strong gains on the back of the relief of the greek deal. The iran deal and the yellen testimony and were close to 6 week highs. So maybe a little bit of pro