To us a little bit about the open. We expect the shares to be treated any minute now . Yousef absolutely. We are waiting for the numbers, scenariowas the base and exactly whats coming through third theyre climbing to the daily limits of 10 as expected. The ipo was at 32 realities. Implied valuation was 1. 7 trillion. We are already up to 1. 8 8 trillion. The biggest conversation has been around the 2 trillion mark for the government has done is offer a smaller percentage of the company to investors. Of the market cap is a tiny fraction of what is loaded from Companies Like facebook and microsoft word we know there are support mechanisms for the stock , including goldman sachs. Retail investors have been given a hand as well with some incentives. The fast track to index inclusion is important as well. Where the story goes from here is what happens with foreign investors. This is mostly a domestic or regional play. His saudi aramco going to consider a secondary listing . Anna an important question. Suggestsng action here investors are not generally put a suppose this a lot of resistance on the sidelines. Sam absolutely yousef . Absolutely. The focus with Credit Investors has been on saudi arabia, making sure the 119 billion that came through. You can also tell from the event itself, focus on the domestic audience. The ceo of saudi aramco gave us a few words just minutes ago we will see how much further the stock can go, but ultimately, theres a level of realism that will have to kick in at some point. We were speaking earlier to anthony scaramucci, he said this buy if you are willing to hold. Matt what is the feeling on the street . Where thesituation entire Saudi Arabian middleclass is buying in . Yousef yes. And is a National Project has been sold as perhaps a National Responsibility for all citizens to take part in. The crown jewel of the Reform Efforts in trying to wean the economy off its independence. It ultimately made it easy for investors to take part. You can immediately through that get a little bit of an allocation in the ipo. There were able to drum up quite a bit of support going in, but its not just the lower middle classes. The families have been pressed and reallocate from other assets. We got quite a bit of support on that front as well. Anna we are watching live pictures from maria, the signing of various legislation. A lot of happy faces in that room, even if it starts an evaluation. People in saudi arabia buying into an oil company. Remind us how this is part of the bigger picture. Thats the bigger challenge. Because they put out a much smaller amount than initially rated the proceeds of 26 billion, thats going not not going to make much of a dent. Arguably, they are looking at using this momentum to fasttrack the wider privatization efforts trying to accelerate ongoing reforms that have faced hurdles and challenges. Bloomberg understands the Saudi Crown Prince is unhappy with not just onprogress a progress level, but a cost level. Saudi authorities are confident they can pull back just a little bit because of and improving backdrop globally. Thanks very much, reporting on the largest ipo in world history. Lets get over to hurdles and challenges that is what World Leaders face these days. The French Foreign minister has unveiled Pension Reforms after more mass demonstrations. What is the situation like there . The Prime Minister has said reform will be at about three hours from now. The government has no plan to abandon the reform. However, after the chaos theyve seen and the massive stations yesterday, the government could make small concessions. According to television, the report he could allied to younger generations, those entering the labor market from 2022 and more concessions could be given to bus and train createdwho have transports around paris with commuters having to walk very long taking bicycles. Relief is,e small when you look at the numbers of demonstrations that took place , weve had thousands of people protesting in the streets. The number was well below 800,000 people we saw last thursday. It is a point for the union and the government. Anna from protest activity on the streets to the bureaucratic battles taking place in brussels. Maria tadeo is in brussels for us, the new commissioner presenting the new green deal today. Expect . We we can finally get details from the deal. We are looking at a huge plan that potentially could change every industry in europe. She wants to make europes climate neutral, thats a very ambitious goal. The reasons for this are political. She knows green energy really resonated with voters, but there are two major questions we still what have an answer for are Eastern European countries going to do . These are countries that are still industrialized, and what is the European Industry going to do . We are potentially going to see stricter limits and potentially also different pricing for carbon. I have to say, i was at at aviation conference and he told me this probably means more taxes. The industry bracing itself for fundamental changes. Maria tadeo joining us from paris and the developing stories. The sun is coming appear in london, we are a day away from the u. K. Vote. We will bring you special coverage right here on bloomberg tv. Dont miss the action taking off thursday night, 10 p. M. U. K. Time. We will be speaking to economists, investors and the uks shadow chancellor. Before that, the secretarygeneral of the International Chamber of commerce. Bloomberg. Anna welcome back to the european open. Were expecting to be in a Holding Pattern with most of the vote here and waiting centralbank decisions. Showsy anticipated pole the tightening race in britains election. The latest survey forecasted conservatives will win 339 seats , less than half calculated last time. That leaves open the possibility of a Hung Parliament. Lets get into the conversation in more detail. Joining us in london is chris from the icc. Very good morning to you. Thoughts onget your how much business is being listens to throughout the process. I suppose icc members want to shape policy and give thoughts on the way. Policy is playing out. Is anybody listening . Chris i dont think they are. Frustration. Mous we are facing an election of horrible choices. Disruption lot more and uncertainty for a long time. Anna the Business Community is waiting like everyone else for the results. If we do see a victory for Boris Johnson, if we do see brexit , what will your message be then . Chris the main message is that is when brexit starts. We have got a hard deadline within one year which looks very unlikely they would be able to achieve full on negotiations. That sounds difficult and unrealistic. Anna in terms of what we know already, Northern Ireland features heavily. Heres been a lot of confusion it is contradicted by some of the paperwork. Expecting and how ready is business . It says everything you want to know. It is not well understood. For business, that means more complexity and more incentive to trade. Tapebureaucracy and red and makes the trading relationship really difficult. The whole story is a perfect example of what happens when you open borders and what that means to grade a peaceful environment. Now we are putting in more complexity. That is part of the conservative party manifesto, i suppose. We know they want to deliver heard what about the labor manifesto . There are probably policy some of your members have rejected. What is the message you are getting back on policy . Chris everyone is confirmed about nationalization. Sounds like a lot of legal battles and theres a huge disruption around brexit. Nationalization plus brexit or nationalization in another six months of trying to negotiate. We had also into negotiations with the united. Tates there are many areas that people dont want to be touched. Businesses what do u. K. Businesses say are the opportunities to be struck . Chris this a good reason there isnt a trade deal. Ins actually quite different the way we see food standards or public services. The real opportunities are scaling up existing trade. Statebased of regulations that get in the way of training and theres a lot of volume of trade. The best way is to remove barriers and scale up existing trade. Services, absolutely. But trying to get a deal, what everyone has to be clear about its not businesses that will what they decide opposition is. It was not that long ago the trade Investment Partnership collapsed after five years of negotiations. Butas a pretty decent deal completely collapsed because there was no public support. Chris thats why now you need a different structure to manage. Anna thanks for joining us, chris. , the southworth secretarygeneral of the icc. Butsun comes up over london we are building our way towards that boat. The election takes place tomorrow. Credit suisse cuts main profitability goals as credit weigh on the outlook. This is bloomberg. Matt welcome back, this is the european open. Away fromt 10 minutes the start of cash trading across europe. Right now, we see a mixed picture but few see futures are at a quarter of 1 . Lets get first word news in hong kong. The Worlds Largest ever ipo is finally here. Within the last few minutes, saudi aramco shares have risen 10 . The listing of vaults of the stock market into the ranks of the Worlds Largest. The ipo sees the company raising 25. 6 billion officials are set to expect the u. S. To delay billions in new tariffs. Peter navarro says there are no indications of the extra duties want to be imposed. Beijing and washington are in almost daily contact. Were told that rather than removing existing tariffs the focus is on resisting relisting duties payables. President trump says the articles of impeachment delivered against him are quote week. They are calling for removal from abuse of power and preventing congress. The resolution also accuses them of ignoring National Security for personal benefit. The Impeachment Vote is expected past but will stand little chance in the senate. The new president of the European Commission aims to set up targets for the worlds single biggest market to become climate neutral. They say the transition will start next year, and among the limits,s are emission taxes, and a possible environmental import tax. Global news, 24 hours a day on air, on quicktake, and on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. This is bloomberg. Anna thank you very much for that. Lets talk about the banking sector. Credit suisse is cutting profitability targets this year as trade tensions and negative Interest Rates weigh on the bank. The lender has been changing its expectations with regard to return on tangible equity. Year, that 8 this was after a previous guidance level of 10 and 11 . Lets get analysis from the team. We are joined by our swiss finance reporter hat trick. Patrick. How much of a surprise than . Surprise, then . Analysts have been hinting for a couple of weeks. I still think investors will be surprised, but mostly disappointed. Credit suisse has cut back main profit targets. On the plus size, capital returns are safe for now. But you never know what will happen in the next couple of years. Patrick, what is it like in terms of the jobs situation . We do see banks across europe reducing headcount. The noise currently is that theres not going to be huge jobkilling program. There really was a brutal restructuring. Through,hiam pushed they would argue the homework has done and you might see cuts in the back office and some general attrition there but not a huge program as you are seeing at morgan stanley. Matt thanks very much. Lets take a look at some of the other stocks to watch ahead of the open. srst off, the owner of zara reporting and acceleration in sales as it reported an acceleration into ecommerce. Euros is what the sales figure. Sales rising 7. 5 in the first nine months. Have this german business try to make a decision. Doesnt it sell the elevator unit valued at 15 billion euros . Or does it ipo the elevator unit . They are struggling with Balance Sheet issues, try to figure how to get rid of its stillattractive elevator unit. Coming up, the market open. Futures are mixed, but pointing higher in the u. K. This is bloomberg. Matt less than a minute away from cash equities trading. Lets get your top headlines for you. Saudi aramco shares surge to the upper limits. 10 in the Worlds Largest ipo. We will be live, all morning for from from a readd riyadh. Credit suisse cuts as their outlook is clouded. Boris johnsons election lead is cut by more than half in a key opinion poll. That boat tomorrow vote tomorrow. Lets check in with dani burger, standing by in london the look at the european futures. Dani five seconds away. Stand out the ftse 100 futures up. 2 . We are expected to see gains, but its all about the pound. The pound will be dominating u. K. Trading today. Effect,t the pound weakening after the poll showing the conservative majority might be cut. Parliament is a hung and clouded negotiations with the you. Eu. The stoxx 600 is down. Beside the election, its a day of macro spreads. We will see a muted session. A lot of traders on the sidelines until we get the ecb or fed decision. Not to mention, the december deadline for tariffs. The concern is that it wont get done. We are getting the pound down. 3 . Lets see what those industries are doing. I expect u. K. Elections to be weighing on what we see. First off, you will notice a big spot of red. This might have to do with Credit Suisse is downgrades, though banks came out and said training looks better. Also, the ecb decision coming up. We are unsure. Health care looks better, as well as consumer discretionarys looking weaker. How about those individual stocks . Taking a look to see which companies are moving the big benchmark index. Weve got a pretty even split. Hsbc with a gain of almost 1 is adding the most points. Then you can see the other big names. Tinto. Astrazeneca, rio so minors and pharma helping to hold the stock back from bigger losses. Its down by. 1 . One of the Bigger Companies is down, nestle. Its only down a little, but its helping to drag this index. Airbus is also down 1 . I note we have a lot to say about airbus today. Santander total and are helping to pull the stock down. We see stocks opening lackluster this morning. Europe is trading sideways amidst mixed messages on the trade front. As investors look out for the rate decision, the ecb follows tomorrow. Joining us on set outside the studio in london, the chief economist at trespass. Tresses. At least the sun is signing shining. Lets talk about the global picture for equities. In particular, the trade narrative. Got noavarro says he is indication as to whether trade tariffs will be imposed on chinese imports. How much of a preoccupation is that for you . Not particularly worried about the phase one trade deal. I word about phase two. I am worried about phase two. Phase one is just going back to where we were a few months ago. The challenges of the meaningful. Rade deal there is uncertainty into this approval and there is definitely the possibility that the u. S. Introduces tariffs on december 15. But it looks like china is happy to do a trade deal but they are not very sure about what they want to sign. Anna if you and investors think phase one just takes us back, anything that makes it more difficult will be taken very badly. Our question of the day has been asking what kind of reaction we will see. The downside could be quite drastic. The downside is important because we already had the Christmas Valley in december. The idearedicated on that there is no question about a trade deal happening. ,s too much optimism around particularly the idea that has to be done weekly. Is an idea that is almost impossible to think about in reality. There is no incentive from the u. S. Or Chinese Administration to reach a deal they do not feel congo with comfortable with. So concerned about the excess of opposite optimism. Anna matt . Matt i wonder, is there an opportunity for European Companies to build a stronger chip relationship in terms of trade . Or is global trade is global trade simply to internationally linked to allow that kind of advantage . Daniel there is an opportunity, but is not that big. If you look at the big exporters in the eurozone, they already have strong ties with china and its an important market for them. There can be opportunity in technology, some opportunities in consumer goods, but not a lot. I think that the challenge for the eurozone exporters is that most of them are not in autos but the rest of the exporters are in the mid to lower end of the added value chain, and therefore, suffer the most from a slowdown in global trade. That is likely to persist. Matt i am just trying to find out if there are any winners. If we have no phase two trade , whatas is fairly likely should investors do . You stay away from the more cyclical side of the equity market, from the stocks that are very exposed, to an improvement in macro data and a change in trends, there are global opportunities. If you think about it, technology is a sector that will be a winner matter what happens. You need to probably be on the safer side or more defensive side, but there are Good Companies out there. I wouldnt say they win, i dont getty what he wins from a trade dispute, but they can strengthen their position because of high and value added value. Matt daniel is the chief economist at a hedge fund, staying with us from london this morning. The polls are tightening. A hotly anticipated poll leaves door open to the possibility of a Hung Parliament. We discussed the Market Impact of that next. This is bloomberg. Anna look to the european open. Welcome back to the european ope