24 hours. Larry kudlow says todays jobless claims figures show a big increase. The bank of england seen throwing holding fire for now. We have the Senate Passed the stimulus bill. That seems to be priced into risk assets. The market very much seeming to shift its focus to no Inflection Point in case the death toll worldwide. Green on the screen on the Msci Asia Pacific index overnight, but i mixed picture below the surface. U. S. And european futures in the red. The 10 year yield slipping seven basis points. In terms of g10 against the dollar, you are seeing the end the best performer. Commodities under pressure. Oil under pressure after a 9 gain over the past three days. Goldman saying even a halt in the price war cannot save oil from a huge glut in terms of their commentary on the oil market. They are saying crude surplus could be 14 Million Barrels a day in the second quarter. To get back to the u. S. Senate, it has passed a 2 trillion Coronavirus Relief package. The approval has come after both parties move past a lastminute dispute over an of limit benefits for lowwage workers. The onus is on the house to pass the bill quickly and send it to President Trump for his signature. Joining us from new york is annmarie hordern. Great to have you with us. Point was to do with Unemployment Benefits to the tune of 600 dollars. Some concern this could encourage layoffs. How was that resolved . This is what the hold off was. Of goply, a Group Senators thought that 600 basically would mean employers to layive them incentive off workers and those that were laid off they said this would keep give them a reason to not seek work because that 600 for some people was more than they recent salaries. Secretary Steven Mnuchin said that is not the case. He said we need to keep a 600 cap because it is the most efficient way to get money to people in the system. If you start tailoring to someones recent salary, it is going to take longer. They were able to get over this hurdle but that was the big sticking point. Nejra yesterday we were light on the details. We have a lot of detail of the package now. An unprecedented package that dwarfs the hundred billion 800 billionus stimulus barack obama put in place. This is a massive package. The Energy Sector were not able money they wanted. We have individual workers, big corporations, farmers, everyone is mentioned, but the devil is in the details. There is significant oversight the democrats were asking for. Banning buybacks for airlines. If they want the money, the government has the option to take a stake in the company. Then we have small businesses. 350 billion in loans. Small businesses are bleeding cash. I cannot overestimate the pressure on small businesses. The Restaurant Industry alone, 7. 2 million workers. Theyhing that was a win, wanted cash injections and this finally gives cash directly to american citizens. This will mean specifically based on what wages you have, if you earn more than 99,000, you are not going to receive that check. Also 500 to individuals, to children. We have to say this is unprecedented, it is worth more than 2 trillion, yet everyone is saying it is not enough. Just yesterday new yorks state Governor Andrew Cuomo was saying it is a drop in the bucket in terms of the money going to new york, the epicenter of the pandemic. Economists are saying we could see on of limit rise. Unemployment rise. Many are saying it is unprecedented. Already chatter they are working on the next round. Anna annmarie hordern, thank you so much. Let us get back to the death toll. We mentioned what it is worldwide. Spains death toll has surpassed the official ticker from china becoming the second highest in the world. The number of deaths rose by more than 700, a daily record to nearly 3500. Madrid is the country worst affected. Catalonia has seen a rapid increase in cases. Maria tadeo is in brussels. What is worrying is if you compare the spain death toll to where italy was at this point. That is very concerning. It is very concerning. What you should look at is not as much the total number. The more you test, the more youre going to find. I would say the spanish curve looks very scary. The number of deaths in 24 hours, also the number of cases jumping in a single week. We have gone from 10,000 to 50,000 cases. By the end of the week youre going to be close to that 70,000 mark which would be a huge increase. The government is already prepping the country for that. Saying its going to be the most difficult week yet. We have entered the most difficult phase of the whole thing. When you look at the impact on the economy, this is happening in the capital, but it is also happening in catalonia, the economic hub for the country. Obviously this is going to hurt not just on a social level. This is also going to hurt on the economic level, devastating for the economy. Everyone knows we are headed to a recession. The question is how deep is it going to be and how are we going to deal with it . The bank of spain has taken an aggressive note on the need for stimulus on the international level. In terms of the policy response, ecb policy makers, bloomberg is reporting they are said to be in favor of activating outright monetary transactions, but is not necessary at this point given that the ppp they lost in response to the virus, there was conversations around adjusting capital keys to allow purchase of bonds from italy, for example. A thing thatt is takes us back to 2012. You mentioned the programs and ideas that have been floated. There is not just that. There is also the question mark here, there are countries that believe this is something brussels and the entire European Union should be thinking on in a way we have not done before to do it as a credit line, and those that would go a step further, there were letters that were signed yesterday by european leaders including emmanuel macron, saying lets keep thinking about the coronavirus. Way, i would point to mario draghi speaking, writing in the Financial Times yesterday saying there are three things we should talk about. The fact that we need to expect the level of debt is going to increase, we are going to have debt, andff private jobs are what matter the most. Thats what we should be protecting most of this point. Now let us get to the first word news. The World Health Organization has issued a rare public scolding. Its as governments need to stop wasting time needed to fight the coronavirus. The International Agencies chief says we have squandered the first window of opportunity to stop the outbreak, but we have a Second Chance as 150 countries have fewer than 100 reported cases, there is still time to prepare. In the u. K. , pressure is building on Boris Johnson over the lack of virus testing. The top medical advisors is the u. K. Must learn from other countries, warning of a National Health service overwhelmed by the pandemic. Capacity isting being hobbled by globally supply Global Supply bottlenecks. The bank of england is set for a third meeting next month, but it may be less dramatic. Policymakers have slashed Interest Rates to a record low. Is not in support of bringing the benchmark below zero. Its shieldxpand defending companies against hostile offers as the European Union has warned the economic slump may leave industries vulnerable. Rome is reviewing his powers with the idea of expanding the buffer beyond businesses deemed to be strategically important. Global news, 24 hours a day, on air and at quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. Coming up, germany unleashes a historic stimulus package. Our exclusive interview with the german finance minister. This is bloomberg. Bloomberg is daybreak europe. Risk off in the european session after the best two days of Global Equity since the financial crisis. A bit of pressure on commodity currencies. The yen is bid and oil coming up three days of gains. The reaction we are seeing in markets today seems to be investors looking past stimulus package we have just gotten passed by the senate overnight and turning attention back to the Health Crisis and the fact we are not seeing an Inflection Point in cases or the death toll. Is that a Fair Assessment of what is happening in treasury yields right now . Morning. Markets are very much dominated environmentisk off and what is happening in equities moving in the opposite direction today. Throughets are looking the u. S. Being the latest in a long line of governments taking more stimulus measures. The data we are beginning to see about the impacts the virus is having and the extent of the economic damage is really dominating and continuing to be a timely reminder. The stimulus packages are offering temporary relief. But we are continuing to hear companies are facing intense pressure. These packages are big. There is a question whether it is enough. Is the upward pressure on yields done for now . If the stimulus package priced in to treasuries . Seeing is a great deal of the yield ranges are huge. The other day when the stimulus package was going to be announced, that was a very supportive backdrop. You saw weakness in bonds. Broadly very much more that safe haven assets remained in a beneficial, positive environment. There is a though scope for yields to selloff in the near term. It is very, very limited. The Downside Risk is the growth and longterm inflation outlook. Very much skewed toward more Central Bank Stimulus and more Economic Risks to the downside. Speaking of Economic Risks to the downside, i have a look ahead to the jobless claims later today. A key number coming out from the u. S. We have had comments from larry kudlow speaking on u. S. Tv in terms of his expectation for how bad these claims can be. Claims. He said todays report will show a surge. He did not specify how much. A median estimate from economists surveyed shows claims will rise to a record 1. 6 million. We have had bigger calls out there from some of the wall street banks. Some projections as high as 4 million. , is the riskll going into these jobless claims asymmetric . Awareryone is very well the nearterm damage is going to be quite severe. I suppose the fear is that the deeper the nearterm damage, the more likely perhaps it is that the impact is more protracted as any nearterm recession ends of having ends up having a longer Lasting Impact on leaguer markets labor markets. That becomes more difficult to reverse even though you are seeing stimulus measures in order to limit longterm damage. Evaluations, yields are at the lower end of the spectrum we have seen of late in the u. S. But i would not be surprised to andthem overshooting again testing that 50 basis point low in u. S. 10 years. Terme data in the near comes out. Nejra what would cause yields to retest the 31 basis point low at this point . We are still far above that at the moment. We are. I think for now there is an awful lot we dont know. It is very much a risk onrisk off environment. In order for yields it is one thing for yields to test lows again. In order for you to move toward those lows of basis points in 10 year treasury yields and stay in thewe need to be outlook to move toward a ion scenario and that is not the base case right now. Nejra Daniela Russell staying with us. German lawmakers have approved a spending plan to cushion the blow of the coronavirus pandemic. The countrys finance exclusively to bloombergs matt miller about the package. This will be enough for the next months. Make sure theo economy survives and you will should always understand there is a successful system of a welfare state working as an automatic stabilizer. A robust social welfare system is one of the most effective systems in the world to deal making itsis without feasible that people lose their incomes and giving them confidence. It is absently necessary we not just wait for the economy to run again. Matt so on the others of this crisis, after you have the spread of the coronavirus in check, then germany is going to have to think about, you are already working on another stimulus package . This is something we are thinking about, the possibilities, the needs, what would be very effective. Therehere is some is some sense in what economists tell us saying it must be timely and targeted and must be temporary. For instance, to help the economy to start again. Matt what size are you thinking . Germany has a love for the 50 billion number. The 2008 crisis package was 50 billion. The last environmental package was about 50 billion. Are we talking about more than that now . Can we break out of that number . We will do the necessary things and we are able to do the necessary things. It will very much depend on the we are in now. The important question is that we get through these situations to be able to do things like that. In the situation right now, it would be ridiculous to do some activity so that tourism is booming at the same time when we stopped tourism. It is not the right way you bring up an interesting point. Germany has given itself the ability to do this. You brought debt down. A lot of countries have difficulty with that. How much firepower does that give you . How much space do you think you have . I think we have all the firepower we need, and we will use it. It was always the idea behind our fiscal strategies. Asked why it might make sense to reduce the public debt, it was also, it was always my argument saying, it is because there might be a crisis and we need the strength to do the necessary things. Now we are in the crisis. Something that came to mankind all of a sudden. Now we have the strength and we will use it. Was all optionals scholz. This is bloomberg. Nejra this is bloomberg daybreak europe. Says the bankomic and be good will use its meeting to take stock and expects a unanimous decision to keep policy on hold. The pandemic fronted officials andInterest Rates to 0. 1 kickstart a new round of bond buying this month. Daniela russell from hsbc is still with us. What will the bank of england do . What is clear from all of this is that the government and the Central Banks are working much more closely together. The use case has been an example of that. We have seen coordinated action from the bank of england, mainly the rate moves from the bank, the latest of which came after thursday, when they cut rates to announced 200 billion in q. V. Qe. Really they are ready to act if is needed. We could potentially hear more about options they are considering as well as how they are thinking, how it could impact inflation. A supportive environment for long end gilt . Speaking, we have used the rising yields we saw as an opportunity to buy back gilt. The 10 year sector looks cheap. Since then they have ran it back. The bank of england announcement last thursday. The backdrop is still very much bullish. You have the government ramping up and saying it will do whatever it takes to support the economy. You also have the same comments coming through on the banking and governor. Broadly speaking, given the risks to the outlook, the economic curve ahead, nejra very briefly talk of the ecb perhaps implementing omt, how much difference will that make to the market given that the pepp might allow through a change of keys some buying of italian bonds . Italian bonds . Back,we rewind italian bonds . Back,we rewind beyond the routine checkups. Beyond the notsoroutine cases. Comcast business is helping doctors provide care in whole new ways. All working with a new generation of technologies powered by our gigspeed network. Because beyond technology. There is human ingenuity. Every day, comcast business is helping businesses go beyond the expected. To do the extraordinary. Take your business beyond. Nejra good morning from london. These are todays top stories. The u. S. Senate passes a 2 trillion rescue package to respond to the coronavirus. U. S. And european futures point to a lower open amid a global death toll above 21,000. U. S. Deaths from the coronavirus top 1000 is leading medical officials see potential for another cycle of infections. By 738 inspain rise 24 hours. And the economic cost. Larry kudlow says todays jobless claims figure will an increase. The bank of England Holding fire. The market has moved quickly from the stimulus package from the senate. Two concerns around the pandemic itself. No abatement in the number of cases as the death toll as well. U. S. And european futures point lower after the best day for european equities since the financial crisis. How asymmetric is the risk to the 10 year yield going into that jobless claims data . In terms of the dollar, a touch of weakness. The yen is bid. Commodity currencies under pressure. The aussie dollar, for example. Oil under pressure after a 9 rally over the past three days. The u. S. Senate has passed a 2 trillion coronavirus package. The approval has come after both countries move past a lastminute dispute over unappointed benefits for lowwage workers. The onus is now on the democraticlighthouse to pass the bill quickly and send it to President Trump for his signature. In europe, spains death toll for the coronavirus has surpassed the official figure from china, becoming the second highest in the world. Deaths rose by more than 700 in 24 hours. Hey daily record. Madrid is the countries worst affected region, but catalonia has seen a rapid increase in cases. Getting back to the corporate fallout, Qatar Airways said it is continuing to operate a third of its normal schedule while locking up on cargo flights as they carrier seems to write out seeks to ride out the outbreak. Lets go to bloombergs correspondent in qatar. I have on the phone joining ceo, whoairwayss speaks with me from doha. Operating 150 flights daily e