Lets have a look at the stoxx 600. Falling for a second day. It is a big week for Central Banks. We are keeping an eye on oil and the dollar. The dollar, sixday winning run come to an end. Best winning run until early 2015. Crude high is the most in over two years. The big news in the oil market is what is happening to brent crude, 1. 3 higher, something above 65 a barrel for the first time in 2. 5 years yesterday. One of the most important pipelines in the world was shut because of a crack. Coming up, we are going to talk markets with Vasileios Gkionakis. Bluebellpeak to thomas , the chief executive of axa. Do not miss those interviews. Lets get to Bloomberg Business flash within the low. Ed walt disney may announce a deal. That is according to for some familiar. That comes after comcast, the other major contender, said it was no longer in the running. This thing was to acquire foxs movie and tv studio including fx and national geographic. Britain once a trading relationship with the European Union after brexit. This virtually identical to the one it has now. Speaking to the World Trade Organization meeting, the Uks International trade Organization Spokesperson fox dismissed Michel Barniers warning that the canada style is best written can hope for. Just is the best that britain can hope for. Donald trump says the bombing new yorkss Port Authority bus terminal injuring himself in three others. The department of Homeland Security spokesman said that the suspect was admitted to the u. S. From bangladesh in 2011 on a family immigrant visa. The people of alabama cast their votes today leaving candidates republican roy moore and doug. Ones is the democratic nominee the tight race is all the more extraordinary by the standards of the southern state. Chinas leadership is preparing plans to deal with any fallout for the nation stemming from u. S. Tax overhaul and the fed expected just rate increases. The peoples bank of china is prepared to use Interest Rates, controls on the flows of money across its borders and currency intervention to support the yuan is needed. The pboc didnt immediately reply. Global news, 24 hours a day, powered by 2700 journalists and analysts in more than 120 countries. I am at ludlow. Mark brent crude jumping about 65 a barrel for the First Time Since 2015 after the most important pipelines was shut. The gains coming after they discovered a crack. It is expected to take two weeks to repair. Joining us today, Vasileios Gkionakis. Will,ould start with you, how long is this going to take . Will they are not sure. They are investigating. The best estimate, two to three weeks. Mark does that mean we have seen the gains in oil . Theres just bit will be this disruption . Will the markets will have time to adjust to it. They found out it is take longer to repair than it may have more of an impact. Mark why is it so important . What is really important is it is one of the greats. You look at several grades including brent and that means more than two thirds of the justl oil is being hyped being piped being piped. More importantly right now, it means that particular grade is being hit up which is feeding through to the futures. Mark does this have applications Monetary Policy wise . It Oil Continues to rise in a 2. 5 year high for brent crude today. Does, it willit start having implications at phenomenal side of the economy. Im not sure that it will continue rising. On one hand you have the very robust growth demand. On the supply side, imbalances seem to remain in place. I think the main thing i will take from that is at least over the next three to six months, we are likely to see a steep drop in the price of oil. We are probably going to stay in that range between 60 to 65 as far as brent. What Central Banks are going to start doing is this is headlining impact that there willing to see through. To the extent you start seeing through two inflation expectation, that may start having some secondround effects. I dont want to stress that much. The momentum is there. Seeing it going much further right now giving the imbalances. Mark it has impact on other energy markets. Natural gas and u. K. Surging the most in more than a year. Will it comes as you have this cold weather in the u. K. The demand is very high. That is feeding through to the u. K. Side, it is supply creeping in about the opec production deal. The uv suggested that if everything is fine, some sort of could happen by june. Is it too early to jump the gun . Will people should remember that the june meeting, every opec meeting look to production policy, there would be nothing unusual about that. It was always going to happen because they are going to have a meeting in june. It is interesting these comments. I do think the market should get to hunt up. Up. Get to get too hung this was bound to happen, whether we had that production shortages, because of what happened to north sea pipeline. Mark thank you gentlemen, stay there. 2017 end with a series of rate hikes . The world policymakers better to announce the final decision for the year as janet yellen chairs what is likely to be her penultimate fomc meeting. This is bloomberg. Mark you are watching bloomberg surveillance. Lets get the Bloomberg Business flash with at ludlow. 15 point 7 billion u. S. Dollars amid a consolidation of more operators worldwide from europes largest commercial 18 premium yesterday to closing the price. British seven involved in a gaseous residue ecommerce has squeezed traditional retailers. It seeks to create a european leader and technologies at the payment services. Different Companies Propose paying six euros per share representing injured 6 premium. Wantelivered on the to engage in discussions about the deal would to be the biggest of the. Disney may announce the deal as soon as this week to acquire a large piece of 21st century fox. That comcast, the other major contender for the fox asset said it was no longer in the running. Boeing has raise it dividend by 20 and announced 18 billion in share buybacks to replace a 14 billion program put in place a year ago. The costly dividend jump to 1. 70 1. 71 per share. Boeing shares rose and extending trade after the announcement. That is your Bloomberg Business flash. Mark. Mark the fomc begins as policy meeting today as it makes its final Monetary Policy decision of 2017. With a hike certain, investors will be focusing on the outlook for next year. Going chair janet yellen after raising the feds and smart by quarter of a percentage point. It is clear, it is done, tomorrow it is finish. Next year is more interesting. The market is barely priced into the what is going to budge . I guess my main question is, does it really matter if it is two or three rate hikes . When Global Growth is a strong as it is . When there are a lot of other fundamentals playing in the currency market. If we want to talk fx, think it makes no difference for the dollar whether it is good to be two or three rate hikes. The dollar is which i think. Mark the recent rebound is the last. Vasileios i dont think it is going to last. We had a rebound back in september. That was pretty much a cleaning up short positions. It fizzled out and came to an end. In november we had a selloff. Our Analysis Shows that december we do get additional rally in the dollar. Sometimes these things will play out. Sometimes they wont. I cannot find fundamental argument to buy into the dollar. Mark the other side of the equation is what happened politically, the taxcut. Maybe they are going to come through. If they come through, does that spill over to the fed . Does that change policy when it comes to boosting the economy . Potentially boosting inflation . Vasileios if theres going to be an effect, it is going to be very marginal. Let me say why. All of our estimates, including other Research Department estimates, these tax plan is not going to do anything to u. S. Growth. U. S. Growth is not going to go 5 . About a boost of 0. 8 . Money that will be given to people that dont have a large propensity to consume. They have a bigger propensity to save. To the extent that it doesnt affect sexually growth, it should have little impact doesnt affect structurally growth, it should have little impact. Mark the empty positions of the fed are being filled. In a years time, are we looking at a potentially more hawkish leaning fed and the implications of that . Vasileios i am not sure. It is 5050. Look, given the fact that weve fed. Owell driving the the u. S. Administration is sending a signal that it wants some sort of continuity in terms of a very gradual withdrawal of Monetary Policy foundation. Bebest bet is there will not meaningful hawkish shift. Were going to remain on this gradual rate hiking cycle. Maybe the fed goes for four hikes, does that change or dollar view . Vasileios it would start changing. Again, we are still talking about if they frontload it. We have to talk about for rate hikes for next year which i think is highly unlikely. It would have the potential to start changing our view towards the dollar becoming more constructive. Mark Vasileios Gkionakis stays with us. Bitcoins debut. Euphoria and out. We will discuss just euphoria and out. Euphoria and doubt. We will discuss next. This is bloomberg. Mark youre watching uber surveillance. Bloomberg surveillance. I am mark barton. The coin features had a busy day on wall street fda first 24 bitcoins futures had a busy day on wall street after the first 24 hours. The cryptocurrencies debut. The next it would be the introduction of further bitcoin derivatives. We are really pleased with the rollout. We are going to stick with the futures rollout futures contract. Youll see some buzz around the etfs. You will see that as the next frontier in the evolution of bringing the coin to an overall base of users. Mark Vasileios Gkionakis is still with us. Is the thought of further bitcoin derivatives fill you with euphoria or fear . Vasileios i think it is very dangerous territory. As a was saying, there will be people listening to what we are saying. Potentially big going to go from 17,000 to 20,000. This guy was talking nonsense. When you invest your money, you have to have an investment process. I dont see any framework within besting within investing for bitcoin. It is something that is not regulated or backed up by any credible institution. The whole thing is developing. At the beginning, it was very intellectually interesting. At some point, some people figured out the could be used to launder money or circumvent capital controls. The prices started going up. Now you started seeing a lot of speculative activity. The question is, mark it is going mainstream. It is not regulated but it is being traded on a regulated exchange. Isileios the issue for me if i am going to start contemplating investing, even for speculative reasons, i still need to be able to do that hin a framework that has that is as bulletproof as possible. It is something that is backed up. Hat is a big question mark if we move toward another world where bitcoin is backed by some credible institution and fully regulated, then potentially im going to start considering and we are going to have forecast. E are not there yet mark the fact that this increases market transparency, it boost liquidity, that is not enough . Vasileios it is definitely not enough. The fact that we have futures trading doesnt mean that it is something, that the underlying instrument is being regulated are backed up by credible institution. Mark your clients . They must be asking you questions. Vasileios not at all. European clients, i think theyre mostly asking about things that are backed up by credible institutions as opposed to the bitcoin. No, i havent seen a lot of questions about bitcoin. Mark that is incredible. What is it going to take then . When do your clients really start showing an interest . What is holding them back . Vasileios i think you need to separate the various segments of clients. The corporate clients are not going to be excited by what is happening in the bitcoin. I dont see them being excited to expect with the community, if you make further step toward regulation, i would expect theyre going to get more excited. Mark was to say you put aside a very small portion of your portfolio, 1 , as a purely speculative move jack of vasileios speculative move . Ileios start working with as far as back tests, they are meaningless because this thing hasnt been in existence for a long time. Would be thing that i worried, even if i look at a small portion of my risk and he goes from 17,000 to 1000, who is to say one . It is not backed up by credible institution to reduce its supply. Areoes to 1000 and those investors they get a big hit in their post folios and their portfolios. In relative terms, although small, it will be a hit to credibility. Mark keep it here on bloomberg, theybitcoin investors will join us at 1 30 p. M. London time. U. K. Calls for adversely identical Trading Field with the eu. Can britain really have its cake and eat it . That is one of the Big Questions where asking today. We are asking today. This is bloomberg. Cannot live without it. So if you cant live without it. Why arent you using this guy . It makes your wifi awesomely fast. No. Still nope. Now were talking it gets you wifi here, here, and here. It even lets you take a time out. No no yes yes, indeed. Amazing speed, coverage and control. All with an xfi gateway. Find your awesome, and change the way you wifi. Retail. Under pressure like never before. And its connected technology thats moving companies forward fast. Ecommerce. Real time inventory. Virtual changing rooms. Thats why retailers rely on comcast business to deliver consistent Network Speed across multiple locations. Every corporate office, warehouse and store near or far covered. Leaving every competitor, threat and challenge outmaneuvered. Comcast business outmaneuver. Mark you are watching bloomberg surveillance and im mark barton. Reporter brent crude has jumped over 60 per barrel for the first time in two years. One of the most Important Oil pipelines in the world was shut. Crack was discovered during a routine inspection. In the u. S. , crude stockpiles will drop for the fourth week when data is published tomorrow. Donald trump said that yesterdays new york city bombing shows the urgency of tightening immigration laws. The 27yearold suspect was wearing a pipe bomb that exploded in a subway station naeear the Authority Bus tunnel. The department of Homeland Security spokesman said in a twitter post that the suspect was admitted to the u. S. From bangladesh in 2011 on a family immigrant visa. Global news 24 hours a day, powered by 2700 journalists and analysts in more than 120 countries around the world. Ludlow. Inflation unexpectedly accelerated to the highest rate in five and a half years in november, forcing mark carney to explain why price growth is so far above target. So, Consumer Prices rose 3. 1 from the yearearlier, driven by the cost of airfare and computer games. Thats up from 3 in october and the highest since march, 2012. Economists were expecting it to stay at 3 , meaning carney is forced to write a letter explaining why inflation is more than one percentage point away from that official 2 target. On hiked rates to keep a lid price pressures. Core inflation, which excludes volatile food and energy prices, was unchanged. Inflation has been pushed higher sense the weaker pound, which has pushed up living pr ices. Sterling against the dollar, increasing on that news. Its letter time from carney to hammond after inflation overshoots. The u. K. Opposition labor party will not rule out a second brexit referendum if it wins the next election. Mcdonald said nothing should be off the table as talks move on to trade. We have got to reach, we think a traditional british compromise where you bring both sides together. Compromise, which means we try to get the best we possibly can in terms of protecting jobs and the economy. And that means the benefits of the Single Market and the customs union, but overcoming some of the perceived dis benefits. Anna opposition is devolving then, since the last vote. Is there an opportunity to remain within a Single Market . It is as close to the Single Market as we can get. Anna could you rethink the policy, though . The problem with staying in, is that that will reflect the views from the referendum. There were issues around the thedom of movement and Single Market that have to be addressed. I think those issues will be addressed anyway. So, things are moving. That enables us to have this relationship, which is as close to the Single Market as we can get. Anna but that would come at a price, perhaps. So, what would the price be . That would be subject to negotiations. The difference between us and the governments approach is we have always tried to have an atmosphere within our conversations with our european partners, which is one of recognition of mutual trust and mutual interest. That is the sort of relationship we want in the future, a collaborative partnership. Anna on the subject of the second referendum, is that is something that is evolving on, or is there a fixed position . The general view is, lets get into negotiations on trade. The key aspect for us though is there must be a final, meaningful decision in parliament itself. That is why within the withdrawal bill that is going through at the moment, i will insist on that. Anna so, could there be a second referendum . Perhaps on a negotiated, presented trade deal. We are not ruling anything out, but what we are trying to say is, lets get on to the trade negotiations and ensure we have a proper