Good morning. You are watching the polls. I am guy johnson. Lets get to our top story. The governing Council Meets today. Will they generate new policies . We are joined by david powell and jonathan ferro. I like the policies. It seems that we will have to wait. You listen to what the Vice President says down, if you are expecting quantitative easing, they may talk about it in q1. He likes a surprise. Not go early . We were talking about this over a coffee and we said that he is not a controversial man. He says something and it probably means that he talked to the rest of the executive board. We had the interview and he withthat they will help the metrics they are looking at tech watch the Balance Sheet. That is a hope at this stage. Are these three that have done nothing to boost the credit extension. We are smoking focusing on this and we are waiting to see if there is any progress in reaching the goal. If not, it would be timely to pull a trigger. They are going to downgrade the numbers today aggressively. Rod for thenother back. Stokeay they need to Inflation Expectations. They are looking at next year and 2016. ,f they downgrade the forecast you are saying that the jobs are 2 inflation target. I am really bad at my job and this is what im going to do about it. Im going to announce qe. I am just throwing it out there. Pimco was in here and saying it is when. When is the next quarter of next year. Sense that the germans are nervous. It seems unlikely that they would have provided such strong hints before the meetings. It may not be in the form of an official announcement. It could be a contingent commitment if we are not making significant progress. Are we talking about Corporate Bonds or sovereign bonds . This is a question. It is really going to because medical. Be cosmetic. Mentionedcally sovereign bonds and did not say anything about Corporate Bonds. Have the markets already priced this in . You were talking about the fact you the bgp was below and on and theing race markets are already pricing this stuff to a certain extent. It may almost be fully priced in. You price it in several things. The reasons the yield is so low. You are pricing in the potential and the potential for it to actually work. The discussion is that, if you think the outcome is higher with inflation, you want to stay clear of anything that gives you a yield of 1 on a government bond. There are bets on qe and it working at soon. I would add that the environment of zero growth in. Ero inflation it is not like the market is shying away from this. The other thing is the oil price coming down. Him and work against the fear is that he is going to have embedded inflation. Stability. To price that is, again, working against him. The price of oil is falling and. And, it does help with growth. There is one needle in the compass. The story of the recovery has been a week level of growth. Even if you do have some modest growth in a drop of oil, it is not going to do much. We think he will not do it today. No official announcement. Robably a strong hint there is a theme in the ecb about talking about it. You really start to talk about it and the light has been eight months. What is the rating . Every time they talk, it is not doing anything because of the markets adjusting by themselves. I think john is right and there are strong hands. Get ready boys and girls. Get ready. Think it makes it. All right. Stay with bloomberg for more on the ecb. Well bring you the News Conference. That is going to be something that i am not doing. John, you are doing that all stop we have the boe. You are doing that. We have the boe. Vladimir putin, the russian president , makes his annual state of the nation address today. That is a live shot that you are getting from moscow. This could last quite a wild. As it progresses, we will bring you the highlight. Ryan chilcote is listening and he speaks russian. He will bring us the highlights very shortly. This comes after work stoppages. Bloomberg that this has to be taken seriously. I am sure that we made a significant move forward today in addressing our partners in the cockpit with the fact that we believe that there should be a mediator bringing us together on the difficult issue of transfer payments for early tensions. We have indicated that the unsuccessful talks should come to an end with no solution in sight. The reason is why we need a mediator to come to a fast resolution. An investigation by sony. Ictures has north korea the hackers have exposed more information, including details. The interview is a comedy about two journalists chilling a north korean leader. A bloomberg exclusive. The former antiam Prime Minister, mario monti, joins us. We are going to tell you why. You can follow us on twitter. Cine is at we have an interesting question and we will speak to the ceo. This is the question we want you to tweet about. Polaroid versus instagram. We will see you shortly. Welcome back to the polls. We are live. It is interesting news. Lets go to ryan and. Lets talk about that. We are joined now for the third time. Michael has to be happy. He is pleased. Ryanair has kept planes on the ground and they are increasing capacity by 13 in november. You might expect this number in a similar range and they saw an increase in passengers. Factors and a strong numbers making them feel confident. The third time this year. The third time this year. They are citing a number of ands that have done well business friendly frequencies is the word they are using. Dublins and brussels. Targetingoming up and airlines in places. Is the strategy to pick off the weaker carrier in the winter season . Are weaker airlines going to suffer . It will increase capacity and boost frequency. They are going up against easyjet. They are definitely seeing opportunities. Ryan air season opportunity and they jump on it. They are not afraid of taking that. Do we have any idea of christmas bookings . Whats they are cautious. You have to wonder if therell be another one. The fourthill saying quarter will have to wait and see. We will see. Thank you so much. Headaches in the face of opposition to announce yet another strike yesterday. Hans nichols brings us the latest from berlin. You have been talking to the man. What did he have to say . He has a longterm strategy of having a longhaul flight with a lowcost option. Strike, they have a mediator. Action withlatest 37 longhaul flights canceled. That is half. The cost to the German Economy is crucial because you are hearing more criticism on what the pilots are doing. They have been talking about the tanzer and luke fthansa has a lu lost euros. They have done nothing but antagonize the union. A way tolike there is go on this. The resolution by christmas may not happen. In terms of the concerns was strikes, it is a reputation problem. Did you speak to the ceo about the reputational damages . Colleague in frankfurt and i could not get there. Takingnot blame it on them to frankford. They have had 10 strikes and a lot of the long time customers have tried different carriers. Base that customer they have drawn upon may be eroding because of the strike. Thank you so much. Let me take you back to what is happening. Vladimir putin is on his feet. This is the state of the nation address. Town, very the focused on russian statehood. Describes crimea as the temple mount and it is sacred. Support for the ukraine and described it as a coup. He will continue to talk for the next few hours and we will bring you the headlines. Once this is the Vladimir Putin we have come to know in the last couple of months. On one hand, he says he respects sovereignty and that he says that crimea is the russian temple mount. Also next is our exclusive interview with the former antiand Prime Minister. We will get his views on the right decisions and the Advisory Council closeddoor meeting this weekend. Welcome back to the polls. Vladimir putin is giving a state of the union address. He talked about the crimea and the relationships with the ukraine. They would have sanctioned rusher with or without the ukraine at some point. It is interesting to see how he segues into the economy. How is he going to tackle that will be a theme running through the speech that he delivers. Lets get the highlights and what we need to know. Ryan chilcote is covering the rush of story. He has come in and defended russian foreignpolicy. He says the reason the world is obsessed with russia is because they do not like Vladimir Putin and a sovereign state. They said they would have done it even without the ukraine. If you were looking for accommodating comments, he has not done that. Ruble is not going in. You see the support for ruble volatility. Loader is heading lower. Not in accommodating speech. That is what we should expect. He is playing to a domestic audience about the ukraine. There is a difference between what russia is thinking and how the International Community season. Do they do verge more . Do they come together . We see little hope of bridging the divide between the west and russia. Merkel played the role and has expressed dissatisfaction with how relations have been going with Vladimir Putin. She is saying that he is not maintaining his part of the deals. Until the relationships get patched up, people are concerned that this could get worse. Concerns address the of the russian people while there is still strong support of Vladimir Putin . How is he going to do that . A big concern is the ruble. I think you can expect the russian president to talk about how what is happening will not affect the russian governments ability to pay salaries and pensions. These people want to make sure that they are going to get their pensions and keep their jobs. That he has balanced the budget. You may also talk about oil prices. He does not think the corrections we have seen or the decline in oil prices will be longwinded. This gives the russians a little but a hope that what they are trying to do is shake out show recover the price of oil faster than people think. Too early to talk about a winter of discontent and the ruble getting weaker . Is that when you start thinking he may be out of power . That 70k russia says a barrel is fine for the next year or two. Sure the government is predicting a recession next year the exceptionwith of the financial crisis since Vladimir Putin came to power. Having said that, if the price of oil was to recover and we were to get back, there would not be a huge amount of pain. About whatpeople happens in the interim. There is no clear successor and it is very alarming. They are not sure that post is better than before. He iss setting setting the bar low. You go back to some long and cold winters and he is stirring up the russian people and the sense that we will stand firm. A place into a larger narrative in russia and russians feel that their role in the world is not recognized. It comes down to world war ii and the russians believing that they were crucial in destroying adolf hitler. That was ignored in the rush in the west and all he is trying to do, as far as Vladimir Putin broadcast andis carry out the russian foreignpolicy. He is speaking a little bit to that and it goes down well in russia. The had a deep recession at the end of the soviet area era. And glorytrong state in the future plays well. We will have more with the interview next. You can follow us on twitter. We are taking a break and we will see you in a couple of minutes. Welcome back to the pulse in london. I am francine lacqua. Lets get back to our top story. To decide onng Interest Rates. Thiscloseddoor meeting weekend. Policymakers and the representative on the international Advisory Council joins us now for a bloomberg exclusive interview. Thank you for speaking to the pulse. This is a meeting to try to find in the big wide world. What are the issues. Yes, in the international Advisory Council, we will visionsthe respective of how the world is evolving and europe is evolving. We will have a discussion on whether europe is continuing towards integration or if it starts to disintegrate. Even closer to the international of thet is an assessment toplevel Business Leaders from the Global Community and academics that we will have around the table. Sauce they the implications the great trends in the world have for the university. I must say that the Advisory Council has been working for use years and it gave important strategic advice, for example, on how to strengthen the position in International Rankings and, i want to note that the position has improved. The ranking is with social sciences. And it went from 17th to eighth. This council has to shape ourselves for globalization and lee mumbai backs International School of business. Something thatis. Taly and the world needs more educated, informed, and globalized. The better it gets, the better it is. Face are ages they immense. Are amend do you think there will be opportunities Going Forward . Do you think mario draghi will have any success . Do you think people graduating will find opportunity . Yes. Ofhink what he is doing is crucial importance and i must there are a set of decisions the European Union is going to take concerning how to make Public Finance and fiscal ascipline consistent with match for all public investments. Andreal economy in europe the monetary economy of europe are proceeding in an evolutionary manner and along an aggressive pass the president has initiated. When it comes to purchasing government securities alongside the ecb, it would do well to principles that were agreed to two years ago in the european council. Namely government securities issued by countries that comply andy with the requirements recommendations that are, by definition, more excepted by the ecb. Is there a danger the ecb is doing too much of the heavy lifting . That means there is not enough pressure on politicians around europe to push further for the refunds. That is why that is exactly why i am saying that the ecb buys government securities, and my view, it should be objective in the distribution of the purchases. Moreit tends to buy government securities of those complyingwhich are with all of the policy recommendations. Purchases are in a bill of reluctant countries. They are hoping for Structural Reforms and fiscal disciplines to have a path towards growth. Changing from monetary to could, you say that you see an enhanced role for public investments. Renzi has said that he believes that the Investment Plan is not sufficient. You would you agree with the Prime Minister view . Nobody,ieve that neither president yunker, or renzi, can really pronounce the major evolution in europe. The implementation terms would have to be carefully studied. Timenk it is the first ist the culture investment put at the center of the strategy and it has to be private and public investments. See onesay that i important opening in the plan that consists in the fact that the contributions provided to the European Union to finance the plan will not be taken into theaccount in monitoring compliance of the member states. From this important point, i actually,e case i will make the case in the council of the future and friends of europe in december the the recognition of the publicsector investment will have to be finding a proper place in the implementation of the stability of growth. We do not want, i believe, to discriminate Good National lic investment relatively relative to financial contribution at the euro level. What is your take on russia . We are hearing from Vladimir Putin addressing the nation and he is talking about sanctions, calling for an amnesty on capital returning to russia. How concerned are you about the situation with the people on an International Level . That this think challenge and threat is a factor to which the European Union should react as it did to past make more and progress in Energy Policy which relies on having a much more interconnected Single Market for brings us back to the topic of public investment. , i welcome your question on russia. Discuss this because im interested in having the views on russia and people of turnoverthe ceo renova. They have the reactions of people as diverse as the ceo of cocacola and the chairman. Tyson, the director for business and social policy at berkeley. Allowu see, precisely to each of us to have a better vision, including myself, of course. The discussions are what we need today. Yes. They certainly seemed to be exciting. Good luck. The International AdvisoryCouncil Meets this weekend. Thank you for your time. That have been discussing Vladimir Putin will be addressing parliament. Listeningeager faces to what the president has to say. He has been talking about the ukraine. He is moving on to the economy. He is talking about the idea of amnesty for capital to return home to russia. He says that he will not ask any questions about where the money comes from. Clearly, the fact that we have outflows from russia affects the ruble and creates some sort of a concern for the russian president right now. The sony hack job is not done. Exposing executive styles. Welcome back. You are watching the polls. Lets talk technology. The plot is thickening when it comes to the hackers who exposed embarrassing information on executive pay. Interview is a film on north korea. What are the latest revelations . Most of them are films that you can look at and t