Good morning. This is daybreak europe. These are the stories that set your agenda. Global stocks rallied with the s p 500 hitting a new record high as cooler u. S. Inflation reinforces bets on fed rate cuts. Slovakias Prime Minister in the hospital after an attempted assassination. The shooting brutally exposing the widening the political divide in the nation. Vladimir putin is getting the red carpet treatment in beijing as he looks to xi jinping for backing in his war against ukraine. Lets check in on the earnings stories. We are keeping an eye on the geopolitics. Siemens on the redhead coming through, they will be selling part of their business, one of their Portfolio Companies to the private Capital Group k ps. This is a maker of engine drives. On the second quarter, in terms of the profit coming through for the industrial business, that is a miss for siemens in the second quarter, also a redhead across the terminal, 2. 5 one billion euros. The estimates were 2. 7 6 billion euros. A
Abramowicz. Jonathan live from new york city, good morning, good morning for our audience worldwide. This is bloomberg surveillance alongside tom keene and Lisa Abramowicz i am jonathan ferro. The best day of gains since midseptember on the s p 500. Bonds are just settling down a little bit. Tom i will go with that, but it is fragile. I would say that it is a fragile calm at best. After the festivities in washington, the matt gaetz interview yesterday, i have had time to look at a set of charts. I wont bury you with the details but it is a peter pan economy. I have never ever seen some of these charts in any of my studies. We are in a bond land that is never ever. Jonathan the Bloomberg Team has done fantastic work on the numbers. The price disruption. The bonds showing 10 years or more. Slumped 46 since peaking of march 2020 according to data bloomberg. Just shy of the plunge in the aftermath of the. Com bust. The destruction that weve seen in bonds is almost as bad by some measures a
Coming up, fresh inflation data shows sticky price pressures. Wall street address to higher for longer. We begin with the big issue. A cut delay from the fed. The fed focuses on pce. Pce. Pce data was not as bad as expected. I dont see why the fed would be rushing to cutting rates. A case for fed. Easing is pretty small the market needs to see a couple of good prints on the data. We need to see a swift and compelling and convincing several prints of weaker inflation data. Im convinced inflation is not returning to 2 in any kind of stable, reliable way. Inflation is going to prove more sticky. This is no longer something you can explain is the beginning of the year pop. There will be more elevated debt than we thought. We are seeing elevated signs the u. S. Economy is slowing. Inflation has come down pretty meaningfully. We have already landed from that very high level of growth and inflation. We still think we could be cutting rates modestly this year. Now, lets look closer at that pce
Know. I dont think. People the vast majority of people think this is a perfectly innocent. Children of all races. It is good to have you with us today welcome to the program on international with. North korea and south korea are holding their First Official talks in over two years ago taking place in the Demilitarized Zone between the two countries and heres what proceeded the negotiations january the reopening of a cross border telephone line and the following day donald trump agreed to a military drills with seoul until the next months Winter Olympics in south korea well lets go. Live in the studio i understand its all going on behind closed doors these talks in this peace village but one that has been discussed well that. These talks a very sensitive for. For both sides in this specially if you consider whats at stake but things have gone but judging by the tidbits weve heard well which is rare enough these days when it comes to the to the koreas first they agreed that the North Kor
Billionaires was thirty eight chinese billionaires on the Bloomberg Index added one hundred seventy seven billion dollars and twenty seven thousand to sixty five percent again that was the biggest of the forty Nine Countries represented a lot of it to do with the likes of tents and ali baba and all these sort of Tech Companies you saw the same in the United States its jeff bezos and Mark Zuckerberg were the two biggest adders and dinners in terms of their wealth i think jeff bezos is now over her hundred billion dollars and that wealth the biggest loser on the list was prince i will lead to bin tell all hes not a tech investor that has done very well in the past year and in fact no deal saudi oil well leads freedom denied after negotiations fail and this is quite a bizarre story because hes one of the biggest tech investors in many u. S. Tech companies. Silence no no the people of twitter are outraged you know theyre often outraged about a lot of things the beltway media sources are ve