hard place. theresa may s brexit transition plan is threatened by centuries-old dispute with spain over gibraltar. good morning, this is bloomberg daybreak: europe. matt miller is here in london. we need to talk about the asian equity session and what we ve seen and what we ve seen happening in washington even though most people on the east coast in united states should probably be asleep. there s been plenty of activity in your. a little bit of an industry here feeling about the asian equity session this morning, so no great big movements coming through, but we ve seen some substantial movements in the u.s. treasury market. 2.45% is where we are at the moment. sum consists describing this as eye-popping. something substantial, what is happening? a lot of people trying to work out what it is. perhaps a realization that with the tax legislation getting closer, maybe that means more borrowing into 2018. as we said in the headlines, the u.s. senate has voted has passed t
the terminal. 57.4. withigure bang in line earlier estimates. a strong figure if you look at the pmi manufacturing figure five yearsst four or or so, that is equal to the high of a couple of months ago. so, manufacturing going from strength to strength. 57.4, the actual figure 57.4. sets us up nicely for the ecb meeting on thursday, backing some view that the economy is strong enough to weather the beginning of the normalization of of ecb policy. check out what is happening with european equity markets. we are on track for a weekly gain. we ve been alternating on a weekly basis for the lesast six. infell for a third month august. worst losing run since february 2016. the u.s. jobs report. the euro is down against the dollar today. after rising for six out of the last eight weeks. be question will be we ll asking our first guest of the hour is has the dollar s fortune changed? to. 10-year yields, fell 2.11%, lowest since november. .est month for the u.s. 10-year talking abou
is set to widen, looking into whether the president s limited attempted to slow the michael flynn probe. anna: a very warm welcome to bloomberg daybreak: europe. our flagship morning show here in the city of london. us: she finds the story the fed told us what they re going to do incrementally about the balance sheet but what is the dollar more focused on? it s down 6% this year. it s focused on this, the economic surprise index in the united states of america is careering towards zero. we have not seen that since the president of the united states was elected, and there is your dollar index, giving it all back. what is the dollar really focused on? anna: focused in the longer term around this. the dollara boost of around what the fed did but that was only after it sold off inflation earlier in the day. that astalk more about we go through the program. there are stony some another stories we want to get to as well. the msci he s in the red, down .8%. a lot of that ha
plan be derailed if wages do not pick up? there is the presidential pro. robert mueller is said to be looking into whether trump obstructed justice. his policymaking possible in this environment? really matchplan the complexity? why are you in switzerland? ere for the swiss national bank meeting. they have a biannual meeting. last night they even had a big dinner where we heard, showed speak.ke tomas boden we are expecting a move as far as rates. they re expected to stay until 2018 including according to a credit suisse report that came out earlier. 33% of the economists surveyed said there could be a change in the language. the buzz word or phrase is significantly overvalued talking about the swiss franc. compared to the euro, it has been climbing at a somewhat steady pace over the last two and half years going from 90 centimes to 109. they have been intervening and currency markets although that intervention has slowed down. i will talk about that in a few hours time an
matt: i m matt miller, in for manus cranny. i m really excited to see about this china decision, but we have comments from the fed that are moving markets and there is so much turmoil here in europe because of the brexit negotiations in the middle east with qatar. anna: we will get that decision later from the msci as to whether the chinese domestic concluded to the benchmark. could it be fourth unlucky for china? this is the fourth time asking to be included within the benchmark. we have this chart here, showing the china rush. this is one example of the appetite for chinese assets. it shows appetite for a particular asia etf, listed in the united states. investors anticipating perhaps, approval, but how much does this matter? we have seen real divergent performance between the shanghai market and the offshore market, which is trading near two year highs. the domestic market, really dwarfed by some of the new technology names that trade overseas, outside of the chinese main