Jamie trying to have a transition period. Wes whole transition period, have the ability, time to move people, build systems, acquire real estate varied its not up to us. The british people will decide and negotiate with the eu. We simply have to accommodate the laws of the land, prison and the eu, and that will determine how many jobs and how many people and how many things have to move right before thousand was an estimate in time. Move. 4000 was an estimate in time. When she started she made it clear that she is higher enticing immigration over the Single Market and doesnt want to give a special deal for financial services. You are a global bank. You hire a lot of nontraditional tumor there. Generally britain is heading in the wrong direction for jpmorgan and other banks. Jamie london is a fabulous financial center. We have huge skills to recruit the people of europe. N they change the rules yes, it will reduce jobs there. The brits will decide how they want to compete around the world. Its not up to me, its a to the Prime Minister. Thet the moment it seems big american banks might pull jobs back to new york. Jamie it looks like there will be more jobs than we hoped before. Coming back to new york as opposed to jamie we dont know yet. It depends what the law is. The eu could put in very stringent rules which require jobs to move into the eu. They could be flexible and allow equivalency between the u. S. And europe. Its 27 nations. This is negotiation that will take quite a while. Another election coming up this year, france. Have you factored in the possibility of a le pen presiden cy . Things about the brexits i worried about wasnt just the effect on britain. The longterm health of europe. Wishful thinking, which i was a , that brexit would cause the European Union to look at what went wrong and fix it. What went wrong is going wrong everybody. Europe is not fixing their problems in response to brexit. Jamie the same political things about immigration, who controls the laws of the country, how much in flexibility and capital labor youll have. The euro zone may not survive. That is very complex. What a pessimistic view of europe. Jamie yes, its a longterm pessimistic view of europe. I think things will have to change, to be more competitive globally. They are doing ok right now. I say this out of respect for the european people. But they will have to change. May be forced by politics, by leadership. He will have to see. Are there any leaders inside europe carry that mandate of change in a positive direction . Angela merkel is one of the most competent political leaders on the planet today. She is up for election in the eurozone. The europe you described which is is performed, your faith in her may not be entirely justified. Jamie we will see. Can we turn to the country on the other side of the atlantic, donald trump has arrived must talk about him changing some financial regulations, improving things from the point of view of global banks. Is there a particular thing you want him to change on the financial side . Jamie one is legislation. Regulators can change a lot of things easily, compliance or cost. Certain rules about lending, how you lose your capital. If you go to all the bankers i know and set reduce this, reduce that, would you be more aggressive in lending . Yes, i would. I think that would help the economy. People asked me about doddfrank. No one in their rational mind can say everything was done and how it was done was done right. Nor the synchronized, coordinated, code consistent, coherent. Open it up, look at what worked, look what didnt, recalibrate it. What would be top of your list in terms of change . Americas we do a lot of what is called gold plating capital. Liquidity ratios. In the u. S. There is 2. 5 trillion sitting at the Central Park Bank called excess reserves. In the old days, excess reserves meant you are free to lend it. We are not free to lend that. 400 billion is j. P. Morgans. Regulatory requirements are deeply affecting monetary policy. Im not saying get rid of liquidity requirements. Calibrate them and see how they may reduce lending and make a bit of a change. A problem with liquidity rather than capital. Calibrate them and see how they may reduce capital too. They have this thing called operational capital which we did not have in 2007. Jpmorgan did not need money, wasnt bailed out. We now have almost three times as much capital. Im not denying there arent operational risk. We also earn a lot of money. Hasy company in the world operational risk. I idl idle capital is sitting there and its going to be sitting there forever. Billion. M has 400 it simply doesnt need it right that is direct money. Which you cant land. Jamie cant use that all. Having pretty good earnings. Your share prices are high. Some people would say the good times are back on wall street despite this regulation. You have just had predicted earnings. Goldman has had good earnings. Some people with the good times are back on wall street despite the regulation. A long time on wall street, a lot of banks are not learning adequate capital. We are doing fine, but the fact is, if you look at the banking industry, i think there is a way to let them do their job. You are sitting here surrounded by other global finance. It is divided very much by region. In a different world, you would be thinking about buying a European Bank is not a source of Interest Rate english radio . If. We are on the ground in the most part in investment thinking, we can go organically. We dont need to acquire. Are you saying, is it hurting my strategy . Not really. Europe, you dot more consolidated banks and more European Banks. It has kind of gone backwards. Where there regulators and european politicians decide want to go back to common market, which i think they should, by the way. That it is going the complete other direction. Be Deutsche Bank, which was a direct rival to you. It to you feel that that has gone back a bit . I have respect for my competitors. They are having a tough time. This goes back to capital diversification. One of our strengths is we are hugely diversified. Ranking, andglobal that is a source of strength. We never lost money in the quarter. That is part of the reason. Diversification doesnt count capital, by the way. I dont want to talk about Deutsche Bank in particular if they were able to expand into other businesses, they would have a more balanced a business model. I do think that caused a bit of a problem. To some of the banks here, american banks, they seem to have a mixed view on a donald trump. Loosenone hand, he could regulation, on the other hand, people worried he may take take a nationalistic view and champion american banks against other things. Is that something you are worried about . No. The positive attributes that people feel about the Trump Administration is tax reform, which we definitely need. A growth policy in the United States growth in the United States is good for everybody. It helps drive its overgrowth. Aople are worried about little bit, and i think it may be blown out of proportion. I think they are listening to tweets and oneliners, statements like that, which you know, the president elect has said, i negotiated that way. He will tell you he does that. You have a very serious people who do these jobs now. I know steve mnuchin, gary cohen, these are successful, smart, mobile you tend to take a much more aggressive attitude towards china. There is an economic adviser. You can look at china and they there are some flaws and we should do some things. Im saying the statements and real policy has yet to be done. The real policy would be rational and thoughtful. You could look at any trade and say it was not completely fair to america. The person who has come here to defend free to trade was actually xi jinping. Youou worry about that . Do worry about the chineseamerican side of it . That donald trump forces thinking to do something i am not worried about it. I think people are the president elect also knows he negotiates with people, but when you build the building you need engineers, contractors, design work, that is what the trade policy is. It would be much more detail. I am hopeful that is what will happen. I dont know for a fact. Trade is deftly the area that worries you most . Think they are focusing more on the oneliners and the fact that there are a lot of people who they have been around the world. They understand for and seize and global markets. It just give it a little time to work up a team and give a more discreet and detailed policy. Jamie america has peaceful neighbors in canada and mexico. At the moment. Jamie the wisest, deepest capital market, the test universities, innovations in the law, its really good. You look at china, they are surrounded by north korea, vietnam, philippines, afghanistan, india. Pakistan, india, russia. Have 500 Million People living in poverty. They dont have innovation. Our would love to have capital markets, our universities, how rule of law. They say this. About their corruption and inefficiency of their enterprises, the need for market reform. They have a ways to go. Specifically about we want to see china do well. The chinese authorities have been quite intelligent navigating that country from where they started. Put on the Financial Systems about i would be worried it. It is a legitimate thing you worried about. The loans you can roll over. Loans to nowhere. I think they have the handle a rather large problem. If you speculate you have the reserves to deal with that. Jamie we wont have to use the reserves. A still have 3 trillion of reserves. They can just recapitalize the banks. Hey cant do it forever at one point that could cause that recession which they really dont want to have. Handle a rather you talk about the 3 trillion reserves. The United States is zero. Thats a lot of money, 3 trillion. They had been using that. Theyve been manipulated up. Think to be peaceful, friendly to the neighbors, not to have a shocking financial event what do you cs the future of chinese banking . See as the future of chinese banking . Jamie in 20, 30 years the likely outcome, it will house 35 of the fortune 3000. Homehave the largest market in the world, a huge advantage for american banks. You go back 50, 100 years ago, their largest banks already earn more money than we do. You go back 30 years, they were in one country, now they are in 60 or 70 countries. They have a good, strategic reason to do it. Its kind of no different than what citi and j. P. Morgan did years ago. They bank them wherever they go. They will be competitors. To me thats a given. In the great Global Investment banking business, it will be tough, but they can buy someone. They have huge financial wherewithal. Buying anything is difficult. Jamie theyre already doing some of these things. And they should. Youd be thinking, i want to expand, i want to grow, i want to serve my clients, and one day i want to be knocking at jpmorgans door. Version onguing which to end. Jamie dimon, thank you very much. Vonnie thanks to john mikel suite here. Dimon. Course, ceo jamie mark coming up, the opec secretarygeneral joins us. Will opec members stick to their agreement and cut productions . This is bloomberg. Vonnie live from new york, im vonnie quinn. Mark i mark barton. This is the european close on bloomberg markets. Now, oil prices are lower today. Both tumblingde today earlier on air, International Energy agency chief addicted u. S. Shale production will rebound strongly in light of opec predicted u. S. Shale production will rebound strongly. To say im joined by the opec secretarygeneral, mohammed barkindo, and davos. You just got back from caracas. Thank you for joining us. Thank you for having me once again. Onthe opec deal seems to be a positive start with saudi arabia and russia both cutting. This morning,t the report shows the market needs about 31. 3 Million Barrels a day. You are targeting 31. 8. Does the deal go far enough . All factors taken into account, so far, so good. And the projections upon which the decision was taken, both in november and december, have been by the outlooks of the various organizations, opec, going forward. Of course we are seeing demand rising steadily. Are being made by the 24 participating countries in this new broad platform of producing countries making tremendous offers to meet their commitments. I think its pretty much at the moment, to talk about whether the numbers are sufficient or not. We are 2 weeks into this agreement, if you like. And you are meeting again this weekend . Yes, sunday, the 22nd of january, to look at the framework for the compliance, the Compliance Mechanism upon which the committee will use to enforce compliance by all participating countries. How will you be assessing that compliance . The framework is work in progress. Consultation is ongoing. I have recently met with the chairman of the joint ministry, monitoring committee. Weve gone through a number of drafts, and we have shared with some of the ministers who met in of a dobby recently. I am just coming from caracas, where i met the newly appointed minister Nelson Martinez who will also be a member of this committee. When we convene at the inaugural weting on sunday in vienna, will be able to adopt a mechanism i want to ask you about shale. The saudi oil minister, bps ceo, both said shale oil is back at 50 a barrel. How is opec going to deal with that . For us, as we have said, times without number, shale oil has an Important Role to prepare in the Global Energy mix. We are continuing to see rise in demand, medium to longterm forecast shows robust growth for oil. The conventionals will be called upon by consumers to meet this rising demand. I want to talk to you about saudi arabia. They are saying they dont see a need at this moment to extend the opec deal beyond 6 months. Do you agree . We have to wait until opec convenes on the 25th of may, and possibly meet with the 11 participating countries that form this grand platform, to review thepossibly meet with the joint declaration which would be and based onhen, the consideration of the market a decision will be taken on this decision. I know opec does not target oil price. But, are we at the level the ministers want to see . We are focusing on the level of stocks and we are cautiously optimistic with the numbers we are seeing including the numbers for the United States, released today by the iaea. The principal objective of the joint declaration is to accelerate this stop drawdown, and this stop drawdown would eventually bring this market into balance, and the rebalancing of this market will ensure the emergence of the equilibrium price. We are far away from the equilibrium price. And the equilibrium price, for you, and equilibrium price would be higher or lower . You at then tell moment, the rebalancing process is ongoing. Stocks are gradually being drawn and the market rebalancing is also on pause. And, the equilibrium price will after we have achieved the objective of bringing down this top overhead to the fiveyear industry. That would mean higher oil prices. We have not i understand. Thank you so much. That was the secretarygeneral of opec joining us in davos for an exclusive interview. Mark great chat. Davos. Rie horton in are up. They were down for a third day, worst run since november. Sterling is down today after the biggest gain since 1993 yesterday. Close is next. This is bloomberg. Mark live from london and new york, this is the european close. Finishing, they were down earlier for the third day. Looks like we might see a small gain, up by 1 10 of 1 . Pearson, biggest Education Company in the world trade shares down by 31 . 1. 8 billion. Wide profit market value, lowest since 2009. Shares halted in volatility, profit forecast it predicted years of gloom in the u. S. Education market, forcing it to slash its dividend and put its stake in Penguin Random house penguin. Random house up for sale too. A complete surprise. His wages,ment, is excluding bonuses in the last three months. The highest level since 2005. 2. 7 . The economy overall losing fewer jobs than expected, wage growth picking up as well suggesting the market post, postbrexit remains resilient. Yes, fl by now thousand. Fell by 9000. Sincerowth highest level 2015, the job market looks in good shape. Biggest gain for sterling against the dollar since 1993. Gain against the dollar after the brexit speech by Prime Minister theresa may. Interesting comments by various houses, bank of america, Merrill Lynch says the worst for sterling likely over for now. Its a bushy says brexit concerns may have eaten the near term. Hsbc forecast further depreciation given Political Uncertainty and a wider external imbalance. Sterling dollar every day going back to 1992. We saw u. S. Dollar strength once again today after a couple days of weakness there. That is a little bit thanks to sterlings weakness, we are seeing it up by 4 10 of 1 . Strength for the japanese yen im sorry, weakness after it hit 112 and change yesterday. Look at that, gold is down. Still pretty strong. Lets switch up and go to cmm, Company Market movers, before we had to first word. Index makingis the the biggest sort of dent in equity trading today. Its up another 3 10 of 1 . Dave rosenberg says it is overbought. More signs of u. S. Dollar strength there, the 10 year yield in the u. S. Trading at 2. 371 . Courtney donohoe has more from our newsroom. Courtney the British Supreme Court will hold down its ruling in the brexit case next tuesday, the issue whether parliament should have a final say before the u. K. Formally begins the process. Is expected to start in the next couple of months. A suicide bomber in a bomb filled vehicle attacked a camp in northern mali. More than 100 soldiers were wounded. While there was no immediate claim of responsibility, suspicion quickly fell on islamic extremist herbs operating in the area and they oppose a 2015 peace agreement. Decideorea will now whether the samsung groups heir apparent should be arrested in an influence scandal. Is being