In 30 minutesns time. 100 days of macron. Four months after the french president prospector he, the initial market euphoria about his win has managed. Just how likely is it that he is able to pass labor reforms . Matt we are less than half an hour away from the european open. Im am looking at futures that signal we will see gains at the open. You see the same in u. S. Futures and it is an interesting trade today after the trump speech yesterday. You see people selling bonds, selling gold, selling the yen against the dollar. Bund trade. At the people selling the bund as well so getting out of the perceived safety of u. S. German of German Government debt. D yield is miniscule at 0. 408. Manus this is a carry through of the rhetoric you just used which is that we are risk on. Theite pyongyang, warnings world that it would threaten the u. S. With merciless revenge. Founder of the Worlds Largest hedge fund is saying we are reducing risk because he is concerned about growing internal and external [inaudible] i have popped up there for you, you have the dollaryen, corporate serve worried. The is the alarm bell for carpets but equities are higher. Dollar. Is on the move, dollars being sold and bought. Rocking itkets are out, the fastest rally in the most three years on the minors we had a conversation with the acucar gusto ceo and he was talking about electric vehicles. That was going to drive the demand in the market. You can catch that interview on the on bloomberg. Com. More on that shortly. Matt lets get to the first word news right now. For that we go over to singapore and Juliette Saly. The yuki government will today published its third position paper in todays on how it sees its future relationship with the European Union. The latest details focus on civil judicial cooperation ahead of a muchanticipated document tomorrow on the role of the eu court of justice. It is part of the attempts to force a conversation on a future trade deal much sooner than the eu wants. Irelands minister said he remains confused and puzzled about the uks Global Trading plans after brexit. He told bloomberg that britain seems to be suggesting it wants all the advantages of being in the eu but none of the responsibilities it costs and costs. It is not only leaving the eu, it is leaving those trade agreements that europe has made with countries like canada and japan and south korea. It is not yet clear to us what are these better deals that the British Government wants from europe and other countries and some more clarity in that area would be helpful. A total Solar Eclipse has wowed parts of the u. S. , i huge shadow cast by the moon as it passed in front of the sun and swept across the country from oregon to south carolina. Millions watched the totality event, an event that has not happened in the continental u. S. Since 1979 and has not covered such a rod sways of the country in nearly a century. Steven mnuchin said donald trump may keep the current tax rates for firms that create jobs while eliminating at four hedge fund managers. That is half the top rate for ordinary income for much of their income. As tapereled some publishers who are getting away with murder. House Speaker Paul Ryan has said that donald trump messed up in his comments about the race violence in charlottesville, virginia. Speaking during a town hall event, ryan said he needed to have done better with his response. He messed up on tuesday. He was right on monday and write an hour ago. He was wrong i think he messed up on tuesday. Global news 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. This is bloomberg. Manus thank you. In the u. S. , President Trump has laid out his approach for dealing with americas longest running military engagement. In a primetime address he announced an openended approach to afghanistan that will commit over 4000 troops to 17 years. He was willing to place a timeline on americas involvement but insisted it was not prepared to put a timeline on americas involvement. He did say that it was not unlimited. President Trump America will work with the Afghan Government as long as we see determination and progress. However, our commitment is not unlimited. And our support is not a blank check. Manus no blank checks from the u. S. In afghanistan. There has been a change in town. Always great to get your interpretation. How does trumps statement yesterday compared to the campaign trail, to previous statements . Trumpyou are looking at reversals and aboutface is you would be getting dizzy because there have in so many of them but certainly during the campaign. Insularout a much more foreignpolicy vision than what this policy would suggest. This is a big shift for him. In terms of talking about a flying u. S. Troops, talking about the uss needing to have a greater role in some kind of international conflict, that sort of thing that is definitely a shift away from the trump doctrine we saw him laying out on the campaign trail and in his inauguration speech, he talked about America First, all these things. This is a shift away from that. Coming at a time when he has had a lot of difficulty domestically in terms of his legislative agenda, support among republicans and handling the charlottesville incident was widely panned on both sides of the isle. This is a chance for him to talk about something different. He has been criticized for not laying out a coherent afghanistan strategy so that is what he is trying to do. His what workers were articles goals for the speech and does it look like he achieved them . Kathleen he was trying to lay out a clear policy, shift the narrative away from his handling of charlottesville, the rush investigations, all these issues that have been plaguing him at home. In the short term, when you are talking about afghanistan and his speech, most of the day yesterday, the danger comes in in terms of the execution. None of his neither of his predecessors had a lot of success. The u. S. Has not had success in terms of their military involvement and entanglement. The proof will be in the painting in the putting. We will see if this yields any success. He is trying to draw a distinction by saying the trouble with obamas approach is that obama put timetables on withdrawals and that led the taliban to believe they could outlast the u. S. , all they had to do was wait the u. S. Out and he is saying that is a differentiation with his approach and that is why the openended nature is significant and why it will work this time around. Matt what has the reception been like, i know last night it was at night a cut p. M. U. K. Time, that is 2 00 a. M. U. K. Time, but what has the reception been this far . Will be interesting to see how lawmakers respond in the coming days. More broad swath of responses from lawmakers, that will be interesting to see. It is significant in the short term there was some rumbling on the far right from places like Breitbart News where trumps newly ousted Senior Adviser that is his, organization that they had a lot of concern about this. This far right that like that candidate trump who was talking about ending u. S. Involvement overseas and focusing on a more globalist foreign policy. That faction of the party which his race constituted of support, it bears watching that there is some rumblings of unhappiness in those corners about this approach. Manus thank you. If you are a bloomberg customer not only do you get the tv version, you get the tv function as well. We have more about the electric car market and what that will do. You can send questions that are difficult to matt and easy ones for me and wants to the guest. Still to come, we drill into the mining sector. Ftse,ive sector for the for the stoxx 600. You spoke to the executives. We will cover it all. This is bloomberg. Matt welcome back. Looks like a risk on day. Get said, the markets open and safe haven assets all. Lets go to Juliette Saly. Kkr is close to clinching a 3 billion commitment from new york citys Pension System to invest in deals across the alternative Asset Managers platforms according to people with knowledge of the matter. The pledges the latest in a string of separately managed accounts over 1 billion that have been formed to invest pension money and multiple strategies. Representatives for kkr and the city declined to comment. A scam may have involved at least 11 Bank Employees beyond the executives that have been charged with crimes. The allegations from a prosecutor, as mark johnson, that level head of Foreign Exchange castrating in london is scheduled to go on trial next month in new york. He is accused of illegally using his knowledge to profit from a 3. 5 billion currency transaction in 2011. A spokeswoman for hsbc declined to comment. And alley court has ordered Johnson Johnson to pay 415 million to a 62yearold woman who blames her over very cancer on talcum powder. Five point 5000 claims and has lost previous verdicts. You can find more stories on top. Lets check in on markets in asia. We have the nikkei closed but some better moves coming in. They closed higher by. 44 . Have a look at hong kong in late trade, rallying up i 1. 2 . The front runner as we see investors buy into a number of Hong Kong Listed companies after strong corporate earnings. So iss are low and volatility. In terms of stocks in detail, bhp billiton of exiting its offshore assets after it came back in the black with a 67 billion underlying profit, it closed higher by 1 . China overseas land in hong kong doing well, this on a number of worker upgrades after yesterday but lenovo down and the hong kong session. Atop analyst said a top analyst said it has 27 to fall. The indonesia rate decision, no change expected to the cash rate percent. The u. S. Dollar indonesia could have trouble trying to break through the sevenmonth trading range. Cut if we do see a surprise coming through from the bank of indonesia. Matt and manus. Matt Juliette Saly joining us with an excellent chart from the bloomberg out of singapore. Ray dalio has reiterated his warnings against exposure to risk arguing that politics will probably play a greater role in affecting markets that we have experienced in any time before in our lifetimes. Ceonew linkedin info earlier today. In there any bright spots this morning, in the risk that he sees . It is kind of depressing to read that this is a guy fighting mentality for the u. S. Government rather than doing everything in the best interest of the country. Similar did make a warning two years ago. It is not like somewhere fresh out of nowhere. He said this two years ago and it did not come about then. His warning is generally valid. There are risks at the moment. We clearly are in a populist phase and it is worrying. We are trading ok today because it is quiet and call him. If markets can get through the end of august without a more severe it severe time of risk aversion. There is a risk of a serious move downward. Skewed allrisks are over the place. I am thinking about mliv. There are other people driving the bus and that is always dangerous. Struggle last week. We had a guest on the 6 00 a. M. Discussion and he said you have to take one ugly sister to the dance and sterling is that ugly sister. This is where you could get more bang for your walk and dollaryen. Currencies are where the biggest fa is in terms of the next two weeks. Sterling remains vulnerable. It has a structural story. That realct disposable incomes are being squeezed. The consumer is being squeezed in the u. K. And there is no progress made in the brexit negotiations. Ultimately that might turn out ok. Or not as bad as people fear. I do not see what we will get positive headlines in the shortterm given how fractious the negotiations are. There is a chance in terms of eurosterling, a risk that mario draghi will make some verbal intervention, make some reference to how strong the euro has been. That might hit the euro a little bit, that is a risk to be aware of. The what you think about end, what do you think about safe haven assets that are getting sold off today . Beenis one that he has emphasizing a need for. Others have piled into that. Giving that same advice but not piled into the trade. We do not see it really rallying. Quiet, there is not massive volumes going through on any assets so we are seeing risk rally and risk havens, safe havens selloff a little bit but there is no major moves or conviction. These could reverse quickly. The yen and the swiss franc are currencies which remain under longerterm pressure but in the next couple of weeks of the are likely to be supported as markets are on the back foot higher thanhis average volatility over the last couple of weeks and the bears are clearly in control. The spreads are wider and credit markets and you look at the s p and we are 1 before the volume weighted average the last two months. That implies the average transaction is 1 offside so people are nervous, they are on holiday, they are slightly down on their investments, they are more likely to cut risk than increase risk and that is the environment we are in for the next week or two. Manus thank you. Are party and that is what makes a market. A bid and an offer and see if you are on the right side. Thanks to you and your team. London. 51 a. M. In we are minutes away from the start of your trading day. We will take a look at the movers and the shakers. Decisionon and their to retreat from u. S. Shares, did they get there on their own or were they pushed by elliott . Pulling back from potash. That is the debate. Nine minutes to go until the trades hit the tape. This is bloomberg. Manus minutes to go to the start of the trading day. Bhp billiton managed to rise during the session in australia. Higher. Percent what are their share assets worth, the market likes what it sees. You have got a bond buyback coming through. They have been under pressure from the activist investor. You can pick up the interview on tv. Everything mackenzie said earlier. This is the ceo that is bidding up the story in terms of the electric car market. How disruptive it could be and what it could do to the demand side of the equation. You have providence. Matt yeah, if you forecast a is one thing but if you cancel your dividend it is another. If your ceo steps down because of a failed strategy that is another. Put all three together and s want to run hard from that stock. It has in a painful year for Provident Financial. Leavingpeter cook is and forecasting a wider loss and scrapping the companys dividend. We will see what happens with that company in live cash trading. The open is next. This is bloomberg. Matt jobs are set for a higher opening this morning. London, paris, frankfurt come all indicated higher. Will be one ofn the protagonists for the rally. Economists are now predicting a 6 rally in the euro stoxx 50. That will be before mondays close. You are looking at a potential higher opening. We have come off by more than 6 since than peak in may. Its going its going to be a miners day. Matt for sure. The euro and the Dollar Movement is key. Heres the euro. Weve never seen a gain this much through august. On the other hand, you have the dollar with a record short position. Manus . Manus absolutely. The question is, is it sustainable, in terms of pricing . Said he was confident, in terms of the outlook for copper. London is up by 0. 3 . 0. 6 . Anish market, up at of theou tell you in terms complexion of the big stop gains. Bhp billiton, persimmons, and rio tinto leading the u. K. , up by 0. 6 . Were just waiting for the rotation to come through. Lets see how the british gilt market is opening. Nejra cehic is standing by. Nejra the stocks are higher, gilt yields are higher as well. We are up, just about two basis points on the 10 year gilt yields. A lot of those yields have remained fairly t steady at this point. We are looking at the stoxx 600 rebounding after three days of losses. Ever Industry Group is higher, as you can see on the imap. Materials are leading the gains. You are talking about miners there. Financials, also moving higher. Perhaps some of that on slightly higher yields, but overall come all Industry Groups in the green. Utilities are underperforming, but still up by 0. 3 . The strategists were changing their views on the equities. The euro stoxx 50 is showing the average year end strategist target. Eurozone equities have been drifting lower since may. That a lot of that has been down to the stronger euro, and that effect will start to fade from here on in. We are expecting a rally strates were changing their views on the equities. The euro stoxx of, 6 s close. Y this is showing the euro stoxx 50 versus the eurodollar. It is showing the highest inverse correlation since april of 2016. If we do see a weaker euro, that could feed through to a strong bump for eurozone stocks. Chart. Is a great that shows you the euroeuropean stocks relationship. Its interesting, in one sense, but obvious in another. At the top, the big gainers. Manus actually spoke with one ceo. Bloomberg asia spoke with another. This is the percentage change. Take a look at the index point leaders. You see them there, as well as other commodities producers. Total, also a gainer there. Bhp billiton, right there. One thing interesting, on the losing side use the defense stock at the top. We are taking a look at the biggest losers here. As far as index points, right 1. 3 ,at the top, down pernot ricard. Investors are selling it off today. Manus lets get deeper into the mining sector. We have had earnings from bhp billiton. The ceo announced plans to shelve the shale assets. Says the, antofagasta outlook is positive. With us now is max kettner. So, when you look at this, the ceo siw arning is warning the markets parting, and he is selling mining stocks. Overdoneink we have ourselves . I think not yet. When we look at the earnings picture and the commodities sector, it becomes clear that expectation has been high for andq2 and the revenue earnings side. But we still has an positive surprises, not as positive as the overall market, but commodity producers have still been able to surprise the market positively. From that perspective, i dont think we have partied too much y et. In terms of prices, that hinges on the china picture. I think our stance on the chinese economy so far and fo