The cash trade is an hour away. These are your top headlines from the bloomberg terminal. Traversing course. Goldman sachs tell staff in london to work remotely, reversing course after the u. K. Government appeal to britain to head back home if they can. Temporary power. The ecb says the central bank risks legal trouble if it tries to extend crisis era flexibility to regular Bond Buying Program area and battery day with no sparks. Elon musk disappoints as tesla fails to unveil any major innovations, but it does promise a massmarket car by 2023. We are just under an hour away from the start of cash trading in europe. Look at futures and you will see green arrows. The percent missed price points to stronger than 1 gain on the Major National benchmark indexes here. You can see ftse futures up 0. 9 . Take a look at u. S. Futures. More of a mixed picture there. Dow andgreen arrows for s p futures. Nasdaq futures are little changed. Slightly to the downside. What do you see on the dmm . Attributingle are futures negative to what we heard or did not hear from tesla. I want to get to some breaking news. Chevron has asked global employees to delete we chat apps after the company is adhering to the trump administrations order. We chat is used by more than one billion people worldwide. Outside of china, certainly in become. , it could difficult to use it. There is the gmm. Australian assets are on the move. The australian equity market up by 2. 6 . Australian fiveyear debt in demand. The Australian Dollar down by 0. 5 . There is a lot of talk about what the rba is going to do next. That is certainly something the market is watching intently. More broadly be have japan back in action. Asia broadly fluctuating on various markets. Not going anywhere in aggregate. We are at 0. 2 . Interesting to see the messaging from the fed recently. Perhaps the market just looking for what all these different fed voices are saying. Also interesting, a note about stimulus. The ecb has with that going forward. Lets get a bloomberg first word news update. Pressure is rising on u. K. Chancellor richie sena riccis neck the treasury has spent over 100 billion pounds on wage subsidies and business. Sunak has warned the current level of support is not sustainable. Donald trump plans to replace Ruth Bader Ginsburg. He supportssays moving forward with a confirmation vote. That all but washes democrats hope forestalling a nomination. Passed ahouse has stopgap funding bill to keep the government operating through december 11. A deal to provide aid to farmers and Food Assistance to low income families. The bill now goes to the senate. As the race for a Coronavirus Vaccine continues, the Washington Post reports that will be new rules. It says the u. S. Food and drug will use tough standards that make it difficult for a drug to be cleared before election day. Global news 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. Matt thanks very much. Wright giving us the news. Eve mercer saying he does not think the ecb should be using emergency measures retroactively, that is to say with previous Bond Buying Programs. Let us bring that to laura cooper right now. How significant do you think these ecb comments are . What this is telling us as we are seeing mixed messaging across policymakers. If you look at how the euro is responding, it is because we look at comments yesterday from the ecb. Pennetta suggested more stimulus is needed. That it is better to have more stimulus to prevent Downside Risk materializing than it is to actually have any kind of withdrawal earlier. It captures the divisions within the ecb and the challenges ahead. Questions ultimately whether this indefinite stimulus is likely baked in, providing this floor to stock. That could be challenged. The fact we are seeing this mixed messaging. Mixedin terms of messaging, what do you think of the latest out of the fed . Jerome powell has made his case very clear. He says there is a need for more fiscal stimulus. He told us what he thinks about low interest rates. On both of those he seems to be contradicted by the fed, whether that is around fiscal need or interest rates. What do you make of that . I think really that is the case when we look at the challenges of inflation targeting, the problem of socalled transparency. The fed wants to be ambiguous. It wants to allow flexibility going forward. In terms of when it can pivot policy in terms of when above target, markets want more. Markets want explicit guidance around inflation. I think we are going to see these outlier comments just given the lack of solidifying orrity around the duration, just how hot inflation can actually run. For now, this likely points to volatility ahead. ,ltimately, what we are seeing inflation pressures are contained. The Key Takeaways that the fed is not thinking about raising rates anytime soon. Given the uncertain backdrop. Thanks very much for joining us. Coming up, speaking of the fed, it shelled out 8. 4 billion. How did Jerome Powell do . What about the investors who tried to get ahead of him . We will discuss in our weekly show. Anna european futures suggest upside at the start of our trading session. The u. K. Government has tightened measures to combat the spread of coronavirus. Britons have been ordered to work from home, or told they should do are possible. Pubs will close earlier each night. Boris johnson has appealed to people to obey new restrictions if the country wants to avoid a national lockdown. To those who say we dont need this, we should lead people to take their own risks, i say these risks are not our own. Is that your mild cough can be someone elses death knell. The u. K. Hospitality industry is warning that the extended restrictions announced yesterday will devastate the sector without more government help. The Worlds Largest brewer is hoping the impact will not be as severe. Bloombergev ceo told he is confident consumers will adapt to the new limit. Some are talking about restrictions. In the u. K. Will likely have to close at 10. Pubs also learned how to live with social distancing. They were able to put tables outside on sidewalks. To put is trying together the problem is a big and the only way to mayors have to allow bars to soand their foot print people can have social activity. We are helping our clients weather the storm. Other countries you could buy vouchers during the lockdown. Voucher would be for your pup to provide during the lockdown. After the lockdown you could redeem that voucher for food and drink at your favorite pub. Connect consumers with their favorite restaurants and pubs so they would help establishment go through this. Your catchphrase has been bringing people together. People can be brought together. Do you think you will have to produce less beer in 2021 . I dont think so. Customers will find a way. Of course, we dont know. Restrictions,re consumers will learn to live with those restrictions. People will live will arrive continue asme, and a Smaller Group at home. Customers will find a way. At the end of the day when you , wek about human beings have millions of millions of years, the way your brain is wired, we need social interaction, physical social interaction. There is only so much a zoom can replace. At some point, people have to be together again. You are Wearing Masks all the time. People will always try to go back to anna that is the ab inbev ceo speaking to francine lacqua. Mark, we see some ongoing reaction to further lockdown measures being introduced. The pound is down. A third compared to the previous close. In terms of equities, how much do you think the markets have priced in the winter ahead . Six months of dealing with this according to u. K. Politicians. How do you think the markets are reflecting that . Good morning. Higher infection rates and more lock downs, not only the u. K. , but other parts of europe, we have been in correction mode. There seems to be optimism with regard to vaccines being available before winter. Matt are we going to see other european nations following suit . We have seen in madrid in renewed lockdowns. I do not think we will go into what we saw the beginning of this year. The economic consequences of a full bound fullblown lockdown will be devastating. No politician is willing to go that road. As long as death rates stay at the current level, obviously its very sad. It seems to be controlled right now compared to earlier this year. I dont think we are in full lockdown mode again. Anna indeed. That seems to be something many politicians have expressed an interest in avoiding, an intention to avoid. When you look at your equity portfolio and you try to prepare it, what time horizon are you looking at when you put your strategy together . Are you trying to look through the coronavirus entirely . Are you putting together a portfolio that is agile around the end of the year and into next . Normally we are longterm investors. You have to be longterm. You have to be the five to 10 year horizon to still make sense to money into equities. To exploitio tries short. Of what isbe aware going on. The baseline is you still are well invested in technology stocks. We continue to be overweight health care stocks. Also i would have options in the portfolio, some cyclical options in case a vaccine is available sooner than what we are expecting now. I think there is the potential for some rotation in the markets. How long it lasts or means to be seen. I would put more cyclical options in your portfolio now. And maybe take some tech options off the table. I know you are still invested there, but i was taking last night about how high these valuations are. Can they ever bear out . Can you ever cash in on something trading at 60, 80, 100 times earnings . Did that click . Was that the line dropping . Anna it was that sound that we heard. We have come to recognize. Thank you very much. We will try to get him back. Interesting lines coming through from the u. K. Foreign secretary, from dominic raab saying the u. K. Is looking at targeting measures. It response to questions around rishi sunak and how he will replace the furlough scheme with something to control the coronavirus. Coming up on the program, europes biggest economy votes on its 2021 budget as it seeks to spend its way out of the recession. We will try to get markets back for a conversation around germany and its fiscal impulse. This is bloomberg. Matt welcome back to Bloomberg Markets, this is the european open. We are 40 minutes away from the cash trade. We are looking right now at futures up 0. 8 on ftse and cac futures. Half a percent on dax futures. If you look at the percent mispriced, it seems we will have a stronger open. The German Government is set to announce its budget for 2021. And present its finance plan for the next few years. The key thing to look for is more borrowing. That is what is expected. Europes biggest economy seeks to spend its way out of a what are youa looking for today . We are expecting 96 billion and the debtowing break being thrown away again until 2022. They do everything to preserve the private sector and its Balance Sheet. Gdp deficit this year. We will probably make 4 next year. 17 gdp deficit. Governments are clearly doing what is in their power to kickstart it again. What about Consumer Confidence . We just at the jfk numbers out. The gsk numbers out. Consumer confidence in germany stagnating even though we have not got it as badly as others in terms of the coronavirus and restrictions, plus we have this 3 off. Consumers are not terribly upbeat about the future. Given the magnitude of the crisis we are in, the current level of Consumer Confidence is pretty decent when you look at what is happening in the real economy. I think the Government Support has helped to shakeup the consumer. When you look at the german economy, we have a big Automotive Industry which is in dire straits these days. We have the industrial waiting, the chemistry waiting. Those industries have been hardhit by the coronavirus. People right now are not overly optimistic besides those Government Support measures. Anna we saw headlines this morning that suggest the ecb has divisions like many Central Banks over how much flexibility to allow policymakers. Executive Board Members saying the ecb, the Emergency Powers should be limited to the temporary crisis. I guess this goes back to the use of the capital key end bond buying such test should reflect the capital key and whether bond buying should reflect that. We have had this discussion about what is the role of Central Banks. What are they allowed to do . Passes, like every year Central Banks can do more than what we would have expected five years ago. We have always been in this discussion with Central Banks stepping too far. See an as we do not economic recovery, as long as we dont see pickup in inflation globallye central bank will remain highly supportive because i dont know a way out of that without economic recovery and increasing inflation rates. If that is not happening, it will remain full throttle. Matt thanks very much for joining us. Appreciate your time this morning. Talking to us about the situation, the broader situation in europe and the situation here in germany. Anna, we did get german Consumer Confidence numbers out. Minus one point six in october, better than 1. 7 we saw in september, but still the lowest level since 2003. Questions around propensity to spend for consumers in various geographies im sure as we build toward the winter, as we assess the extent of lockdown measures. Next, building a sustainable recovery. Should we be looking to Digital Technology for a way out of this crisis. Look here, its your very own allinone Entertainment Experience xfinity x1. Its the easiest way to watch live tv and all your favorite streaming apps. Plus, x1 also includes peacock premium at no extra cost. This baby is the total package. It streams exclusive originals, the full peacock movie library, complete collections of iconic tv shows, and more. Yup, the best really did get better. Magnificent. Xfinity x1 just got even better, with peacock premium included at no additional cost. No strings attached. Anna 30 minutes until the start of cash equities trading. European futures point to the upside. U. S. Futures look mixed. Nasdaq futures point downward. Tesla disappointment factored in. At 9 30 am u. K. Time we are going to be getting the latest reading on the u. K. Pmis followed by an increase in august following an increase in august the survey is expected to drop. The restaurant industry, withdrawn. At 12 00 p. M. U. K. Time, olaf scholz will outline the countrys 2021 budget. Will benal suspended as the government seeks to spend its way out of the recession. Then back in the usa, at 3 00 p. M. U. K. Time, a little bit confusing, jay powell begins the second day of testimony for the Financial Services committee. That kind of thing always starts at 10 00 a. M. In washington. The canadian Prime MinisterJustin Trudeau is sent to deliver the socalled throne speech. He will outline the governments new agenda including Social Security and green measures. Lets get the Bloomberg Business flash. You will like this story. Tesla is setting the lofty goal of making a 25,000 car by 2023. Is possible by cutting the cost in half. It lacks the sizzle investors have come to expect from elon musk. Goldman sachs is reversing course in london, encouraging employees to go back to working remotely after the government britain to come back coronavirus. 3m is set to be exploring the sale of its safety unit. Sources tell bloomberg it is working with a deal that could fetch 3. 5 billion. The sale would give 3m extra the minorchange for parts of his portfolio. The Global Economic activity is expected to fall at least 6 this year according to the oecd. When it comes to building a sustainable recovery, should we look to Digital Technology for answers . We are joined by the ceo of softbank. Thanks very much for joining us. It is a human and health tragedy, the coronavirus. Economicook for recovery, do we expect more businesses to take advantage of digitalization . Thank you for having me. The pandemic has accelerated the need for digital. You look at how people have to operate, they have to collaborate, monitor assets remotely, all of that leads to a need for more digital. A company that has invested in Digital Transformation, we see them handling the pandemic much better. It is a wakeup call and a call to action. To be able to Leverage Technology that allows them to use collaboration tools, to monitor assets so they can continue during these respective lockdowns, i think it pushes the agenda of digital on the table of ceos. Morning. D we are seeing more restrictions in the u. K. , more restrictions in spain because of increased coronavirus infections. That could spread across europe, across the globe, into the winter. Does that concern you about your business . Will it be impacted negatively by people being sent back home, or possibly even positively . First, our own operation, 5000 people in our company, having our customers take care of each other, has worked really well. Operations business and how the responses are on the customers, travel tourism, hospitality, definitely, but also our exposure to that industry is somewhat small. Retail, logistics manufacturing, there we have seen not so much of a dip, for example, in many fracturing, we started see manufacturing come bac