Headquarters. We have a great show lined up for you today at 9 30 we bring an interview with the ceo of the worlds secondlargest Catering Company. We bring you the interview live in paris. We are getting some breaking news. We have a german and employment falling by 7000 in august. Even in august, postbrexit, the german economy. S stronger than we thought the italian on appointment is worse than expected. On to the market. Treasuries are set for their biggest loss since june 2015. We had a lot of hawkish rhetoric from fed officials. The dollar reviving. Also that is weighing on metal prices paid oil swinging into the bull market. Chinese shares leading gains an old global equities. European equities gain 0. 3 . You can see unemployment we will have to look at the participation rate. The Unemployment Rate is better than expected. Lets get to bloomberg first word news. U. K. Prime minister marks the end of summer. May and david davis have chosen to not flesh out in public details of the breakout from eu. Investors and executives to define what she means when theresa may says brexit means brexit. Donald trump goes to mexico today for a private meeting with the president. Meanwhile trump is also due to deliver a speech today in phoenix. He is expected to lay house layout his proposal on immigration. Nine people are believed to have died at a nursing home in japan after a typhoon rocked flooding in the area. Nhk says another woman was found dead in the region while three was missing. Landfall, passed over the northern mark over the main island yesterday. Global news, 24 hours a day, powered by 2600 journalists and analysts in more than 120 countries. I am sebastian selleck. Back to you. Francine it is been over a month since the markets heard from mario draghi. Updates will be watched closely ahead of next weeks centralbank meeting. German inflation slowed in august. Today we heard rices and france rose by 0. 2 over the past year, slower than expected. We heard prices in france rose by 0. 2 over the past year, slower than expected. Lets introduce my guest for the show, on Financial Year alternate julia antonin jullier. On the back of it is what we heard from the fed, the hawkish comments from the from stanley fischer. You play that against the backdrop. Initial thoughts. Europe is stronger than we thought it could be. Antonin the is his knee in will, lower rates we see signs coming out of the fed, potentially which may change that. If it werent the case, he wouldve found indications and markets, inflation of dividend yields. Because of the relative positioning. It is still too early to judge. It is going to remain highly data dependent. The six or numbers are coming out tomorrow. It does highlight the cpi numbers are coming up tomorrow. It is raining it is raising questions. Francine bloomberg did speak to stand fisher. Here are his thoughts on rates. Central banks which are implementing them, there were four or five of them basically think they are quite successful and are staying with the approach. Possibly with the exception of japan, they are thinking it through and they said they would come back to try and make negative rates work better. Francine is there more of a divergence between what Central Banks think they are doing and what they can do which is virtually impossible . The markets are consuming that this is a banks have been reaching out to government on the physical side. On the fiscal side there are so many tools in the toolbox. If liquidity is needed, it would have to come through the fiscal route. One has to understand how it is affecting the market as well. Onhave a negative impact possibility in europe and japan. I am not sure we can write off negative Interest Rates. They are not negative enough. It is going to be push and pull between fiscal versus monetary it fiscalary or versus monetary. We are running short on tools. One has to be ready to step in quickly if it were to slow down. Francine is at ecb running short on tools . Doesnt make it easier for mario draghi if the fed does hike . Antonin it is a little early. Terms of p, yes, there been restraints on what they can and cannot by. That can be changed. If the dollar does some of the work, then it will make it easy for europe. It creates challenges for asia. Europe has been benefiting from a weaker dollar. If we enter a new phase of a summer dialer stronger dollar, that could be negative for yen. , it will be interesting to see what china does. You yuan has been going weaker and weaker. Going weakereen and weaker. They are allowing it to drift very slowly at a pace which has not created a headline. If the stocks start accelerating again, that could be good for markets. Francine this is my chart of the hour. It brings it back to last year. You can see that spike up has to do a lot with china. The markets are so much more calm compared to just a year ago, where we had china. It is interesting you said that we have not paid that much attention to china. Antonin china was not just china. Some of thes versus cpi numbers we have been seeing. It is costing and it has been crashing toward the downside. Francine antonin, thank you so much for your insight. He stays with us for the hour stay with the pulse. Plenty coming up including a fresh face to france. Speculation that the 38yearold could enter the race for the countrys presidency. We talk france. It is the 14 billion tax windfall that island does not want. That ireland does not want. The worlds secondlargest Catering Company this is bloomberg. Francine this is the pulse. Im francine lacqua. Lets get straight to the Bloomberg Business flash. Bhp billiton shares are trading lower as one of the Top Producers is heading into a criminal investigation into last years collapse in brazil last years dam collapse in brazil. The company says it ceo will not get its 2016 bonus the disaster. Banks a bank deutsche the german magazine reported on its website that the considerations were only of a theoretical nature. Officials from Deutsche Bank declined to comment. Europes biggest concert pretty firm are watching bonuses melts. Stocks a row in that will pay bonuses in the past few years from barclays, Deutsche Bank has voted to file. The move by pungent shipping thesy and shipping company may need as much as 1. 2 billion in cash to rollover debt in the wake of losses in four of the last five years. Francine frances economy minister has resigned and speculation that he will launch a bid to replace the president francois along hollande. I presented my i think them for having trusted me and allowed to serve my country for two years, dedicated to the reconstruction of our economy. Withine lets get more caroline kanaan. Caroline kanaan. Dont know exactly his intentions because he is not counted himself a candidate just yet. Had a presshen he conference. He touched the limits of the french system and he wants to regain some freedom in order to make some proposals. He has not decided yet whether these proposals will be in order to support the socialist candidate, including possibly resident owned or rather he would run solo against his former boss. Francine when you look at the way he positioned himself in the conference, it was clear he stopped short of announcing he wanted to be president. He didnt seem to support the president. How park if you were to decide, do you know how popular he is. Caroline according to the latest poll is he is at 40 . This is quite high, but it is not the top choice for the french because [indiscernible] the mayor of bordeaux has got 43 popularity. The battle he is waging. And if youre in a few minutes, sarkozy will be taking the stage here at medef. Francine are these executives or the fact that macron made to be departing may be departing . Caroline i was speaking with the head and saying this was bad news for business. He was in favor of tax cuts for companies. He was appreciated among the Business Community here. I spoke also with another ceo who told me he was really good for french businesses. Macron one of the most business from the ministers. See a political person in france being far away from business and enterprise. Macron was someone we knew with all of the issues from Big Companies to small companys, he was able to entertain ace entertain a conversation. Good news. I dont know. Caroline macron was the guest star last year it is expected to speak tonight, even though it is not want to percent confirmed. He his speech might look slightly different now. There. E Caroline Connan he looked she will keep us uptodate with anything happening. Here with me this morning, antonin juliette antonin jullier. Columnour viewers a where they say macrons only big gamble is the french want something new. That if youre in equities strategist must instill fear. Either you are moderate like macron or donald trump in the united states. Beenin there has elections in a referendum without cuts quintus. Without consequences. Referendum with elections in spain. Germany in the back end of next year. Is it making it more confusing . Yes. We dont know who the candidate will be and where the crowd may go in the last minute. It doesnt appear to be quite investable in the early part of the debate. He makes a great headline that you can play on fear of people in the way it may go. Francine a bit like brexit. Antonin what he has done is try and screen for stocks where stocks which are priced. We are doing it for the u. S. To get a crack at it going into next year in france. That a good way to measure versus odds. To try and see if the market is pricing for the rest is pricing. Very few things you can do with them. When they start disconnecting which is not going to be the case in the u. S. , there can be interesting trade opportunities. Francine how much do we think politicians in this world even if we have a donald Trump Presidency earnings as of gdp and the things are like that . Or checks and balances which means as an equity trader you ignore . Antonin i dont know if we look ifas a topdown macro you look the best performers fisher, france is a very international country. About better industry versus another. To try and understand the programs of the candidates which industries are likely to be impacted. Now. Ine thank you for up next, it is the 14 billion tax windfall to the ireland that the ireland doesnt want. This is bloomberg. Francine welcome back. Lets get more on apples 14. 5 billion tax bill. Ireland gave the iphone maker illegal tax break. They have vowed to fight the verdict. Biscuit more with jones hayden. Lets get more with jones hayden. Jones that is certainly the message that the European Commission wants to be sending. They were very strong yesterday and coming out with this action against apple. The eu competition commissioner was very forceful in saying that she is going to go against these companies and she wants more transparency in the tax system here. Apple is the biggest scalp and what is a threeyear program probe going against these kind of deals. Francine are there other u. S. Companies that the eu is focusing on . Amazon is. I dont know if they are going after google. Jones they havent named google specifically, but google has similar tax arrangements here in europe, in ireland specifically. Amazon. Com is one that they are going against in luxembourg as well as mcdonalds did those are two open cases that they are continuing to pursue. They dont know when they will conclude those but they are still out there. Francine i was surprised i woke up this morning very early and i read the newspaper magazines saying this was the end of europe. This is antieuropean because it means that Big Companies will go and settle elsewhere for tax breaks. Is this fair . Well, that is one way to look at it. They are saying they are not try to discourage Foreign Investment companies coming into europe. In fact what they are trying to do is make the whole system more transparent, so that it is a fairer way. All Companies Get treated the same. That is the deal. It is a state aid case. Apple and some other companies have gotten unfair treatment and put other companies at a disadvantage. The ideal is to make it a level playing field. Of course, ireland, you would think would say we are on board with that, but you have a National Issue here and that taxation policy is done at the government and eu is coming in over top of that. Theres contention that needs to be worked out. Francine , jones hayden, thank you so much. There is a million different ways we can look at the story could i wonder whether you would see it as a brexit angle . We did think the u. K. Could have similar tax arrangements. Or what are the implications . Does it translate into equities . Crusade. It is a buyers i would not say that is especially new if you look at revelation over the years between u. S. And europe, europe has been difficult on business. The difficulty is not judgment. It is about regulation. Is it a positive development for some of these companies . Maybe not at apple generates cells about 15 billion in the euro bloc. Versus 15. Ber of 13 is it enough to do away with a block and miss out on a big Economic Zone . Probably not. A it something which is it massive infection point . I am not sure i would call it that. Francine like brexit, we dont know, but it doesnt feel like it is selfdestruction. Antonin we will find out in time. We just dont know. Plus, i think some of these corporate have been able in time to themselves to new regulation. That lifethreatening . Absolutely not. Francine antonin, thank you so much and we talked to the ceo of the newest member of the cac 40. This is bloomberg. Francine welcome to the pulse. Live from bloombergs European Headquarters in london, im francine laqua. Lets get to the news with sebastian selleck. Sebastian the number of people out of work fell to 7,000, beating economist forecasts. That consumption driven by a strong labor market may cushion the blow by the decision to leave the e. U. The end of summer is marked and she grabs officials for talks. The chief brexit negotiator david davis have chosen not to flesh out in public in details of what they seek in breaking from the e. U. However, theyll face pressure from international colleagues, fellow politicians, investigators and executives to find out what she really means when brexit means brexit. Donald trump said hell travel for a private meeting. Invitations have been sent to the clinton and trump campaigns to meet with the mexican president. Trump is due to deliver a speech in phoenix. Hes expected to lay out proposals on immigration after weeks of reports about whether hes moderating on the issue. And nine people are believed to have died in a nursing home in japan after the too falcon triggered flooding in the area. The National Broadcaster n. H. D. Said a woman was found dead and another missing. The typhoon is set to make landfall since records began and pass through japans main island. Global news 24 hours a day powered by more than 2,600 journalists and analysts in more than 120 countries. Im sebastian selleck. Francine thank you very much. The worlds second largest Catering Company has more than 400,000 employees and operations in 80 countries and im pleased to welcome the c. E. O. Of sodexo for his first interview and joins us live near paris. Thank you so much for joining us. You have exposure to many countries around the world. You do have exposure to the u. K. Will you suffer because of brexit . Guest well, good morning, francine. Thank you for having me. Of course we have exposure to the u. K. And its a foreign country to our business, very big market, sophisticated market. And of course the brexit is a concern for me and europe and the citizens of the world. On the other hand, you know, i believe that the relationship between the u. K. And europe is so strong and so important for the worldwide economy and for both sides of the channel that, you know, i am very confident that politicians will find solutions to make sure that these relationships will continue and will continue to produce value at the end of the day, the european people and european customers. So it is a challenge. There is a time of transition, t i believe that with time and i think some good work, a good solution will be fine. And actually for us at sodexo it doesnt have a real impact. Francine have you been speaking to your clients . I know you have contracts in the u. K. Would a recession automatically mean certain contracts would be curtailed or would it just be more difficult for you to win further contracts in five or 10 years . Michel well, you know, we live in a world of change and i dont see i dont think that there is any part of the world we dont have any of those kind of challenges. So yes, we are a big contract in the u. K. Yes, we have a big demand from our clients. But i believe that well be able to overcome these issues and that well find good solutions. Francine what is your take on france at the moment . Sales fell almost 2 in the third quarter. Will it get much worse from now . This was due to a number of factors including the terrorist attacks. What can you foresee in the next six months . Michel well, the situation in france is not easy but i think there is a lot of potential. I believe that the tourists have been hit specifically in paris. Weve seen a strong decline, you know, probably on average. N the year, probably 15 hopefully this situation will stabilize and over time well be able to recover the same type of volume that we had in the past. But for the time being and for this past 12 months, yes, it has been very difficult. Francine where is the one i guess i dont know if its country or region that you see the most hope . We talked a lot about emerging markets and those have been under significant pressure. Are things looking a little bit more upbeat there . Michel well, you know, the emerging markets have been hit but for us, they present a fantastic opportunity because our business of service organization, companies, hospitals, education, institution, the potential in those markets is massive. But nevertheless, today probably the most dynamic economy in those countries is probably the indian economy. Brazil has been suffering. We can see some signs of recovery right now. China is transforming its economy and we have a very strong business and you know, were very confident but certainly india today is very dynamic. Francine thank so you much for your time, the c. E. O. Of sodexo ining us liv