Gas turbine unit hurt the Fourth Quarter profits. The co tells cnbc hes positive on the outlook its a complicated environment. We have been outperforming competition. As i said, i look at my business, i look at our customers, we also are mindful about our competitors. I think we are on a good track and adidas shares fall despite the company posting a Third Quarter beat with growth in china and the u. S Kasper Rorsted says the company will push ahead for its plans for american expansion theres no doubt within the u. S. Marketplace that is hardly growing and were growing more than 30 shows we are gaining traction for the last three years in the u. S good morning its thursday, and it is an incredibly busy thursday plenty of news coming out of the german corporates. Much of that was disappointing, if i look at the likes of siemens, adidas. Lets show you the heat map and show you how were faring. The stoxx 600 is off by 0. 1 after we fell by 0. 1 in yesterdays trading session. So the moves were seeing on the stoxx 600 are not huge, but were seeing much, much greater moves coming from the individual corporates want to show you the european markets one by one were seeing the xetra dax holding on to the flat line. The ftse 100 is off by 0. 1 . Ftse mib is outperforming up by a quarter of a percent as the banks are recovering as some doubts and worries again yesterday about the mpls in that sector speaking of sectors, lets look at what were doing in terms of the sector bases in europe basic resources underperforming, off by 1. 3 . Retail lower to the tune of 0. 9 household goods, which includes names like burberry, that sector is off by 0. 6 banks doing better, up by a half of a percent lets get back to our top story. Shares in burberry are trading nearly 10 lower, 10. 3 to be precise, hof vering near the bottom of the stoxx 600 amid concerns about the turnaround plan after Marco Gobbetti warned sales and margins would not grow until 2021 burberry announced a shift in strategy to make the brand more highend which means focusing on Leather Goods and decreasing sales to nonluxury stores. The outlook overshadowed a rise in profit and revenues shares in yoox is sinking. Full Revenue Growth will be at the lower end of previous stated guidance but it was said to be a small bump the road. The transfer of goods between warehouses was lower than expected and the Product Availability cost the company a 20 million euro loss lets talk about burberry with luca solca from pnb paribas. What do you like, what do you not like more specifically about burberrys Strategy Change i think Marco Gobbetti has already made some clever moves, moving back to a license to beauty is a rite move. Burberry never had the Critical Mass to be utstanding on this point. Opening a chapter with creativity was also appropriate. After 17 years, they were right to move forward. Clearly brand elevation doesnt come for free. It requires giving up on a significant volume, which is now currently happening. As a consequence, the shortterm pain was to be reckoned with there were loss of expectations on burberry and the market was driving up the shares, and i think were going back to reality this morning well hear all about the details of this strategy very shortly. So maybe a bit of profit taking in there, too maybe not too much disappointment i guess some of that disappointment thats reflected in the share price is coming from the fact that were not expecting growth until fiscal 2021 that requires a lot of patience from shareholders at this point. You still think, just to clarify this, that the strategy in itself is not a bad one, its just the fact that its a long time until we see it paying off. I think so. Indeed this requires a lot of patience this is not necessarily reflected in what the share prices have done recently. But we look at 10, 15 years of progressive brand elevation at burberry i would say this move consolidates what the previous strategy abroad, which was confirming burberry as a mega brand within the broader luxury space, it moves it it moves it further ahead but it will, indeed, require sacrifices so on one hand you get cost efficiencies, you get the tailwinds from a slightly better organic growth as seen today in the first half on the other you need to give up the lower quality distribution, and that carries pain. Luca, i have so many questions for you, but were running out of time. The final one on the u. S thats the companys biggest market 22 of the revenues. Thats where the sales have continued to decline will this Growth Strategy and this turnaround, will that address the u. S. Markets specifically and well enough hopefully so. Its quite clear burberrys weakest in the United States dependence on Department Stores hasnt helped. Department stores are going through a crisis this is clearly the right time to take a fresh look on how you drib distribute burberry. All right yoox also falling today. The guidance is cautious do you think its the time to buy into those shares now on the back of this i would not think so. As a house we have a negative view on yoox we see a number of players are moving into digital and the luxury brand so theres going to be very High Pressure and strong competition in this sector yoox has the advantage and has been quite good on building Critical Mass. We are seeing more clouds on the horizon. So structurally we are cautious on yoox netaporter burberry, whats your view on the shares do you buy on the weakness or wait further due to the amount of time that its going to take to get the new strategy in place, it seems to be that there should be an upgrading on the shares, but were a neutral and stand by that luca solca, thank you lets talk about some other earnings this morning. More earnings disappointments. Inve vestas shares have fallen despite Third Quarter earnings that missed estimates on the top and bottom line. The Company Contributed the decline to tough Market Conditions and warned a proposed cut to wind industry tax credits in the u. S. Would hurt its earnings in future quarters. Shares in adidas are trading lower despite the sports wearmaker posting a 12 rise in Fourth Quarter shares. The german firm notched up strong sales growth in china and america. The ceo, Kasper Rorsted, told cnbc that the company will continue to prioritize the u. S. Expansion. Its clear we need to be stronger in the typical American Sports we come with our roots in running and football but theres no doubt with the investments weve made over the last couple of years, whether its professional franchises like the Hockey League or large schools, we are making inroads in the schools, and our brand is more resonating with a younger consumer if you go to the streets of new york or l. A. , you will see the young kid but also the average person wearing our sneakers, which was not the case three, four years ago. Siemens is trading lower after weakness in the turbine business weighed on Fourth Quarter numbers. Industrial profit dropped 10 falling well short of expectations earnings at the power and gas unit plunged overshadowing a better than expected net profit number speaking to cnbc earlier, the ceo, joe kaeser reaffirmed his outlook for the company. 90 of the company is outperforming the market we will take care of the power business in a responsible but obviously in a consequent way. I would expect 2018 to be a good year for siemens like for like we expect material growth per share, so that means if there was a continued weakness on the part of the business, the power of all the other divisions will be as strong as you can potentially imagine to overcome that weakness in power. So we do expect like for like an increase net earnings per share could be up to double digits, which is a significant target. Deutsche post confirmed its guidance for 2017 predicting a strong Christmas Period despite Third Quarter ebit slightly below expectations earlier we spoke with the ceo. At the moment the World Economy is in such good shape. Trade is picking up significantly against all discussion about protectionism we see strong growth around the world in all our parts we probably havent seen that for four, five years the world is in a good place at the moment that drives a company who is supporting global trade. I told you we had a lot going on on the german corporate front. Munich re posting a also of 1. 4 billion euros in the Fourth Quarter as natural disasters weighed on numbers they expect to post a small profit this year, while forecasting the combined ratio rising to 112 the cfo said he Sees Opportunities for growth the losses are so why not only because we have changing climate that is still an open question how much of an impact this had on the hurricanes here, but the density of population close to the shores and the higher value concentration, that is the key point and we are also faced with the phenomenon of underinsurance and that is what my colleague from swiss re also emphasized. Still even in the region like southeast usa, the level of economic losses is way higher than that of insured losses. That provides us with Enormous Growth opportunities coming up, we will be stepping away from corporate earnings well head out to lisbon where karen has spoken to musician wyclef jean. He even sang a song for her. Cnbc with wyclef jean origina refug fue. So i built this kickin new website with godaddy. Building a website in under an hour is easy 68 of people. Who have built their website using gocentral, did it in. Under an hour, and you can too. Type in your business or idea. Pick your favourite design. Personalize it with beautiful images. And. Youre done and now business is booming. Harriet, its a double stitch not a cross stitch build a better website in under an hour. Free to try. No credit card required. Gocentral from godaddy. Somesend you and your family overwhelrunning. Y can. Introducing febreze one for fabric and air. No aerosols. No dyes. No heavy perfumes. It cleans away odors for a pure light freshness. So you can spray and stay. Febreze one, breathe happy. Commerzbank returned to profit in the Third Quarter as restructuring efforts appear to bear fruit net profit was broadly in line with expectations adding the forecast of slightly positive earnings the bank was making Good Progress in the transformation annette has all the details. Not looking too badly. No, its not looking too badly. If you look at the underlining earnings power its still muted in line with the other banks which we have seen reporting earnings for the last quarter. So the profit and also the operating profit is mainly boosted by one of the effects like disposal of the headquarter towers, and also disposal of other parts of the business. Still the overall message is that the restructuring is going in the right direction and that also Going Forward the bank should benefit also from higher Interest Rates and also, of course, what drives shares and has been driving these shares during the course of this year are m a speculations, because there seems to be quite a number of bidders interested in parts of commerzbank, and also the german state disposed of their stake as soon as next year of course that is one of the big topics i will tackle with the cfo with an interview at 11 40 cet, which i will bring to you live from the headquarters right behind me. With that, back to you thank you very much weve had so many Company Earnings out this morning. Lets try to make sense of some of them and where the markets are heading with the chief Investment Officer at Deutsche BankWealth Management what do you make of the earnings season so far. Were seeing plenty of missing and beats, but overall an optimistic picture i would say yes we have seen and we look at the beginning of the year at the earnings interestingly what you can see is normally the earnings estimations are high and then go down throughout the year this time theyre stable in europe and even japan theyre going up so i think the earnings picture is decent. At the same time you say equities do look expensive this is something we heard from analysts, not just from your bank for much of this year, yet we continue to see investors buying into equities maybe because there is no alternative, but also because earnings dont disappoint do we chase that rally into yearend first, yes, we do see investors probably chasing the equity market. Yes, there is probably no alternative to equities because if you get yields in Central Europe very low, even negative and we see people are not overly optimistic so there was still hesitation to go into the equity market. With earnings coming in decent, more people are moving to the equity space is that rally continuing into yearend if you look at Third Quarter, normally thats a time of the year where the rally is fading away we have seen a strong q3 now i would say if markets stay flat that would be a nice outcome we always hear volatility is at record levels, multiyear lows theres too much complacency in the markets. What could trip up the markets if its not earnings disappointments . Could be geopolitical events, but also the discussion what we see now, we see growth coming back, for several years we talked about secular stagnation. This is probably coming back growth is coming back, not massively but decently on the other side, Central Banks are slow but moving in the direction if you look at fed and ecb of changing policy the fed being far, far ahead of the ecb. However, i think what you see down the road is if Central Banks do a policy mistake that change Central Banks policy. We dont think thats the case Central Banks are trying to communicate well, what theyre doing not to shock the market. So far theyve done a good job. What specifically do you like when it comes to sectors, when it comes to regions . We do in sectors we Like Technology still i think many clients ask ourselves where do invest now because equity market has run quite a bit. Is there room for upside i think if we look, yes, we can say were late cycle in europe its different maybe i start with the u. S if you look at the u. S. , we think what themes are there which are longer term themes we have four themes in mind. One is cybersecurity, but we still see investments necessary on the companys side, on the private side one is healthcare, where we see massive changes. One is infrastructure, then we also focus on the millennials as consumers, they are taking over as the Largest Consumer group. Thats something we have in mind on europe its different were changing a bit because we think from here onwards european equities could outperform the u. S. Because europe is not that late cycle as the u. S. Recession was much later there it changes earnings are coming back nicely. The central bank is behind the fed. So we favor more to europe than for the time being still europe versus the u. S that debate continues. Christian, thank you very much for that the chief Investment Officer at Deutsche BankWealth Management. Now, in other news, spotify and deazer have teamed up to great Digital Music europe the announcement comes as the Business Model for europe has been disrupted and reinvigorated by a host of streaming platforms. Global Revenue Growth for the industry is forecast to grow by 60 in 2017. Speaking to cnbc at the web summit in lisbon, wyclef jean said he thinks music streaming is here to stay. The reason why these streaming services that were talking about will survive, and theyre not going anywhere, theyll keep getting bigger is because whether we talk about deazer, spotify or apple music, the customization of it is for a particular person that comes into the restaurant. So when you go to deazer, you know this is the kind of music im looking for. Apple music, i watch my daughter go to it certain things she will go on apple music, certain things spotify and certain things deazer so i think the free market has to constantly be open for competition, new ideas who knows, i might have a new streaming service. Lets get out to karen who is still at the web summit in lisbon love how you were being serenaded before by wyclef jean. That was impressive. Would you belief his dolce tones were so well received here at web summit amid all the conversations about Technology Technology is coming to music. Joining me now is the ceo of deazer great to see you, your arrival to spotify, apple music, we were talking ing ting t ing ting ton yesterday, he said you have an ability to showcase now and stream music why does it have to be niche the difference nowadays is we can cater to the case of every person with deezer, we believe every human has their own music dna. You can touch much more people and connect people with music than ever before thanks to streaming. It makes sense in the old days, you would walk into the store, there would be 20 big new releases, or topselling artists. But if youre looking for a song or artist, you can do that on any website. How is yours diff