Prime minister johnson born the house of commons the number of deaths could be twice as high as the first wave in the spring if National Action is not taken. Pubs, gyms, and nonessential shops will close for four weeks under the plan, which is subject to parliamentary approval. Hurricane zeta, which tore through this out last week, may point 4 insurers four billion. The damage was mostly from wind and storm surges. The storm affected nine u. S. States. The biggest losses were in louisiana, mississippi, and georgia. Formedrricane zeta has in the caribbean sea. It will bring heavy rain and wind and storm surge to central america. Global news 24 hours a day, onair, and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. Im Mark Crumpton. This is bloomberg. Vonnie it is 1 00 p. M. In new york, 5 00 p. M. In london, and 2 00 a. M. In hong kong. Im vonnie quinn. Welcome to bloomberg markets. Here are the top stories we are following on the bloomberg and from around the world. We are taking a look at how markets are positioning for what could be a drawnout battle with the white house. The contest over mailin ballots. The former u. S. Postal Service Chairman over the integrity of voting by mail and why it is crucial to selection. And an exclusive interview with the sap ceo Christian Klein on the company losing a third of its market value in the last 10 sessions, and how a new wave of Coronavirus Infections will hit the tech sector. Lets get a look at markets. We saw a nice bounce this morning, coming off at 11 00. Right now we have the nasdaq down. 2 . By 1. 1 . Ff abovellar index is still 94. A lot of strength. Oil coming back, up 2. 4 . Speaking of markets, speculative investors boosting bullish bets on u. S. Stocks ahead of the latest. You can see the increase in futures buying over the last several weeks. For more on flows and what they signify, lets bring in jay management. Obal x we will get to the significance of where the money is going in a moment, but give us an idea of where the flows are. Jay there is a lot of money in motion, even from longterm investors that prefer to stay put. A lot of people dont want to be flatfooted in this environment where so much is riding on this election. We are seeing hundreds of millions of dollars move within our own fund. The most acid gathering right now is in the Infrastructure Development space. That has brought in 130 million in the last month or so. People are looking at how a Biden Victory could lead to a major infrastructure package passing within the early part of the presidency. Vonnie is it possible to know what money is going where . Can you tell the difference between smart money and the other kind of money . Jay less transparency on the etf side on who is moving into what, but you can see general trends that a lot of people are looking at. What will happen if there is a biden presidency supported by a Democratic Senate . Beyond infrastructure, we see money moving into cleantech, and cannabis niche in the space, as people look at deregulation and statewide approval for recreational use. Areas generating a lot of interest from investors. Vonnie it seems like many of the investors shifting money around our shifting it in favor of a biden win. Is that how you would read all of this movement . What if the senate stays red, for example . Jay it appears a lot of the money that we are seeing is positioning for a biden win but not exclusive. People are looking to have a foot in both sides. A lot of people were caught flatfooted in 2016. Incredible volatility following Election Night. This year, people want to play both sides be prepared for any outcome. If the senate is retained by republicans, we see that as a fairly challenging environment for the markets. That is likely to create gridlock in washington. At a point where fiscal stimulus is needed by an economy that is still on life support. That could have the most in challenging environment on both sides, and will probably lead to inaction with a split government. Vonnie are you seeing Money Movement in the event that trump keeps the presidency and the senate stays republican . Some interesteing in that space. We would call that more of the financial trade, health care, industrial policy. Not having an increase in corporate taxes would be the biggest beneficiary of the deregulation in places like energy and utilities. We are seeing some interest in that space as well but more anecdotally, the majority of flows is chasing the infrastructure side of the equation, which means more toward the biden side of the camp. Vonnie talk about the amount of money flowing and whether this is typical on election weeks, when we will know how much money is shifting around tomorrow. At the etfe look markets, we see hundreds of millions of dollars within our own fund, tens of millions of dollars within the etf space. That is unusual but we are seeing heightened volatility in the markets. Pops, people tend to rethink their portfolios. You have so many different drivers between the president ial election, covid19, people trying to understand how the president ial election may impact fiscal and Monetary Policy. It is just causing a lot of money in motion. Quite ast say this is extreme as march and april of this year but probably the second most we have seen all year. Vonnie thank you for joining. That is jay jacobs. For our bloomberg customers, there will be full, aroundtheclock commentary on the bloomberg as we cover the election. Check it out. Coming up, we will be speaking with the sap ceo, Christian Klein, about the companys forecast. Hurting their outlook. This is bloomberg. Vonnie a breaking news headline. A french reporting a record 52,000 19 cases of coronavirus in the past when he four hours. That is 52 and a half thousand cases, more than twice that italy reported earlier. The u. K. Had almost 19,000 new cases. Suffering their biggest in todays fall in 21 years last week after the company cut its fullyear revenue forecast and said it expects new lockdowns to hurt demand. ,ets go over to emily chang who has the sap ceo Christian Klein. Emily thank you so much. Christian, thanks for joining us from germany where you are. , reallyforecasting rattling markets, especially tech markets. You say that pandemic will continue to hurt sap and its customers. We heard vonnie talking about those rising numbers and france, across europe. Talk about what you are seeing in terms of how the pandemic will hurt business, and for how long. Christian thank you for having me, emily. Covid19 is an Inflection Point for our customers. Many of our ceos of our customers, what they were telling me, they are seeking more resilience in their business. Mostwant the missioncritical businesses with sap, also production, serving just extend the supply chain. They want to accelerate the move to the cloud. This is what we are doing. We are following the needs of our customers. Success not wait, the of our customer versus the old guidance we had out there in the capital markets. What we are seeing is not only the move to the cloud, but our software, especially in the e p space, is more relevant. These customers need to transform their Business Models. They need higher automation, infuse more intelligence to enable working from home. This is what we are doing. What we are doing is addressing the needs of our customers. When it come to the pandemic, you were frank. Is this a harbinger for the rest of tech . Should other companies be bracing themselves for how bad the pandemic will be . Christian tech can really overcome the pandemic. This is true for the private but also public sector. Portfoliot of our extremely relevant. Think about all the lockdowns happening across the world. We just talked about it in europe. We are going into the second wave of the pandemic. What you need is intelligent supply Chain Software that can still enable customers to produce and deliver. What you also need is changing from positional sales to commerce. These are all the solutions that sap provides, and we are the number one in many of these markets. This is very relevant for our customers. This is why we want to invest in r d, invest with our customers. They need us now. Tech is a key enabler to come out stronger. Sap shares had been rising going into this but have plummeted, wiping tens of billions of dollars off of your market cap. How can investors have confidence after such a massive blow . Christian again, as i mentioned, we have guidance out there that is succeeding on prem. I dont want to trade the success of our customers for by forcing them to purchase on premises before they want to move to the cloud. Cloud, soe to the this is why we are shifting parts of our guidance, less on prem, and more on cloud. We will accelerate the growth in the cloud even more. When you look at our q3 numbers, many said, why is cloud revenue only 14 . Actually, it was up 26 , and with that across the level of our competitors if you exclude our travel and expenses. This is only a matter of time after covid went also this business will bounce back. That weremely confident will even accelerate our growth in the cloud in the years to come. Ceo rejectedorce the idea that this was a bad omen for the rest of the tech industry, says that you are still going through a ceo transition, have not navigated the transition to the cloud well. Do you think Companies Like salesforce, oracle, new to worry about the forecast ahead . Christian mark and i met last had a friendly conversation, and i dont want to talk so much about our competitors today. We are focused on the success of our customers. We have seen high growth in q3. Growth is skyrocketing. Now we are also focusing on making the Connections Work between the front office and supply chain. This is what we are focused on. Of course, i wish mark all the best. Think this is accelerating a shift away from on premise permanently . Christian absolutely. This is why we changed the guidance. I also talked to many of them the investors. While they were disappointed about the shortterm changes of said thisce, everyone is the right thing to do. The cloud is the way to go, and this is what makes s. A. P. Successful, especially in the middle and long term. Everyone was happy with it. We have 200 customers only in the u. S. Not one customer complaint. Everyone reached out to me and said thanks for listening to us. Thanks for moving us to the cloud. Many r ds. , we have labs. Now we want to invest. We even want to rent out businesses. There is no other Software Provider in the world who can make this transformation for our customers. Youy speaking of the u. S. , have an interesting outsiders point of view from germany. We are heading into a crucial election, could be the most all a week of the year. Beyond that, how does biden or trump in the white house impact your outlook . Christian i am a german, so ill be a close observer tomorrow. All i can say is that the United States is always a great partner for europe and s. A. P. I wish the country all the best tomorrow. I know that you have young kids at home, you have been navigating this remote work situation as a ceo and parent. What does the new normal look like to you, and globally, given your position in the u. S. , knowing how governments have been dealing with this differently in Different Countries . Christian first of all, it is great to see how s. A. P. Has been running in this crisis. We have put over 28,000 back on for radical purposes. Software enables you to work from home. This is also coming back to why we have changed the guidance. We want to enable our customer to be able to work digitally. Likes thathe family i am more at home. Indeed, i have two kids see their dad more often. If there is one positive about the crisis, it is being more at home. What is the biggest professional challenge you are working on going into 2021 . Christian my biggest challenge is actually to make sure our customer of tomorrow can produce, deliver, can sell. S. A. P. Is doing that. We are reaching out, not only helping them to transform their Business Models but also helping the customer who is in financial distress. We are reaching out, prolonging the payment terms. Oneont want to leave single customer, partner behind. This is our mission, our focus in this crisis. Klein, ceo ofan sap, joining us from germany. Bonnie, thanks for having us. Vonnie thanks to you, emily chang. Tune in later today for more interviews from emily at 5 00 eastern on bloomberg technology. Still ahead, the flight for florida. The president ial race isnt and that in the key swing state. Will florida assign the next president yet again . This is bloomberg. Vonnie this is bloomberg markets. Im vonnie quinn. The president ial race is tightening in florida, a key swing state that has historically been the key to winning. The state is working to avoid a repeat of the 2000 election. Joining us now is jonathan in coral gables. According to the latest polls, the gap is narrowing. Today, the nbc poll saying trump and biden are neck and that can florida. Showsst recent nbc poll trump ahead 50 to 48 . And you, that was following New York Times for that showed biden ahead. From where you stand, what is the latest . Getting some early tallies of mail in votes, early voting in the state. Mailina big time voting state, they have a sophisticated apparatus. They are used to this. The latest numbers that went live this morning shows registered democrats we dont know how people voted but democrats voted about 100 time 100,000 times more in the election. These are unprecedented numbers of mail in an early votes. Vonnie exactly. ,hese are registered democrats more than republicans, and it may skewer early on toward something that may not be the case when we have the final outcome. Are there any problems being reported . We know miamidade had difficulties with mailin ballots, the sheer volume of them. Jonathan there have been spot reports. We learned of one particular post office that had some undelivered ballots. People are looking closely at these kinds of examples. As you say, according to polls, mail inhave seen in the tallies, it will be very close. This state,e wins does that mean that he doesnt need to win a couple of the other sun belt states that may be in play . Could it all rest on florida for President Trump . Jonathan i will tell you one thing. There is the possibility that florida reports fairly early because of the numbers of votes , andhave already been cast because it is a state that is used to the mailin. If florida goes for biden, trumps path will look very narrow looking to where the rest of the evening. Vonnie and if President Trump wins florida . Florida is more critical for trump. If biden wins florida, it is a more decisive signal than vice versa. Innie the administration florida is possibly more sympathetic toward the current president , if i can put it that way. Does that mean that there will be more of a legal aspect that happens post the florida count . Jonathan this is a state that has a long history of complications. Everybody talks about 2000 with bushgore. Ack two just go b years, and 2018 had some difficulties. Ron desantis has a close relationship with the president. They have remain closed throughout the pandemic. The governor channeling the president. Vonnie you will be covering it for us from florida. Thank you. When you switch to xfinity mobile, youre choosing to get connected to the most Reliable Network nationwide, now with 5g included. Discover how to save up to 400 a year with shared data starting at 15 a month, or get the lowest price for one line of unlimited. Come into your local xfinity store to make the most of your mobile experience. You can shop the latest phones, bring your own device, or trade in for extra savings. Thats simple, easy, awesome. Visit your local xfinity store today to ask, shop, discover the latest on xfinity mobile. Mark im Mark Crumpton with bloomberg first word news. It is down to the wire for President Trump and democrat joe biden. Both men are making final pitches to voters in key battleground states that will likely determine who wins the election. Today, the president kicked out of a run of five rallies in four states. North carolina, pennsylvania, wisconsin, michigan. Mr. Biden plan to spend most of the day campaigning in pennsylvania. He also stopped in ohio. The president is signaling he will pursue an aggressive legal strategy to try and prevent pennsylvania from counting mail ballots that are received in three days after the election. Extensionthreeday was ordered by the pennsylvania Supreme Court, the Supreme Court refused to block it. President trump called the decision terrible and added once the polls close on tuesday, we are going in with our lawyers. The head of the World Health Organization has gone into quarantine. He says he is isolating himself after coming into contact with someone who tested positive for covid19. He says he is well, has no symptoms, and will work from home from for the coming days. On sunday, geneva imposed a partial confinement until late november i made a surgeon cases. In poland, antigovernment demonstrators took to the streets for the 11th day in a row. Protests were triggered by the tightening of the countries strict abortion law. Poland courthe overturned a provision of the law that permitted abortions of fetuses with conditional defects congenital defects. Global news 24 hours a day, onair, and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. Im Mark Crumpton. This is bloomberg. Vonnie live from ontario and new york city, im vonnie quinn. This is bloomberg. We are joined by our bloomberg and Bnn Bloomberg audiences. Here are the top stories we are following from around the world. Trump and biden make their final pitch to voters ahead of tomorrows election. One man we will be watching closely, fed chair