In a single session. Its worst ever single day. British drug giant astrazeneca halts the trial for safety review after an illness during its test. And British Airlines shares open lower ragging on the travel sector. A ton of Market Action here in europe. Lets look at how the markets are opening in the session a rebound coming together. Yesterday, the main benchmark dropped to 1. 61 in italian and french stocks. The market up and the cac 40 up 0. 7 initially, there was signs of trading coming through in the early moments on the back of this news late yesterday that they have halted their trials as one participant in the trial has fallen ill not enough to get the market down we are seeing positive momentum now. Lets look at positive sectors we have oil and gas up, telecom up and we saw the Oil Price Plunge wti falling 7. 6 brent down and we are seeing a bounce now utilities and majors are the best market. We have travel and leisure taking the biggest hit down 4. 4 we have a few stories coming through. Youve got the stock 600 index up 0. 8 . So shrugging off some of those losses some of the Big Questions on the back is what does this mean for that money coming out of the tech stocks. Will it be recycled to other parts of the market. Europe stands out on that front. Lets take a look at travel and leisure. The worst performing sector. Concerns around a second wave of the virus in europe as case numbers rise in various countries in the region and governments imposing restrictions to control the outbreak so that weighing on travel stocks this morning former systems ceo chambers insists tech stocks will continue to dominate even as they trade in the short term it will be the place to be over the decade. High tech stocks will outperform our traditional businesses as every Company Becomes digital, i think technology will become more and more important to business and the consumer. Tech will outperform the Traditional Market 2 to 1. Speaking to cnbc, galaxy ceo predicted further volatility ahead. We hut the highs ahead for nasdaq and tesla the psychology has to change. It is slow to change people have made a lot of money in the dip lets bring in our first guest, global head of equities great to have you with us on such a big weak for equity markets. The tech selloff continuing yesterday sharply. The nasdaq down 4 the session or is this going to lead to more of a blip. Thank you for having me this had been driven by technology and the driving force in this rally. What weve seen coming down to humanity weve seen significant decoupling on the underlying fundamentals and i think it is a healthy correction you made an considering point that there are three cycles to watch. The virus, the economy and markets. How would you describe the relationship between the three so i think we have a situation at the moment where we have unprecedented uncertainty we have a situation where the virus is what started all of this this is having Significant Impact on the economy. We have the Financial Market that is forward looking. What we are seeing is the economy picking up some pace from a very, very steep transaction. We are seeing the virus which started all of this is not over yet. On the Financial Market side, we have seen the market clearly impact the recovery. There is a clear disconnect between the economic recovery and what the market is telling us try to tally that view or description with your point being a healthy correction and the tech selloff what does that mean for markets overall. Are we going to see investors recycle some of that money and some of the lesser love part of the market in the value love stocks for example this is a good point. When you look at the market overall, it is expensive the overall high market really hides a value dispersion one part of the market is really expensive and the other part is quite attractive what we are seeing now is a little steam come off the Technology Base which has really led the rally. Weve seen a sector rotation to the comparements, which are key. When we look at it is what is implied in terms of expectations and we are finding really attractive opportunities to the comparements with which have led to the rally getting to those sek torz you find value there is a lot of interest around some perceived value opportunities in europe. A lot of concern that they could prove value traps. How do you differentiate between the opportunities and value traps you have comparements of the market where the disruption in the retail and areas such as media, autos might really prove very, very difficult i dont think these are the sectors that are worth pursuing. You have some areas within value which are not disrupted. Talking industrial materials where i think implied expectations are low in the recovery we are seeing at the moment i would go after the quality business in strong benefit in parts of the value market which are not disruptive asking you what is priced into the markets about the vaccine that theyve had to halt their global trials. What do you think the market is expecting in terms of the market of a vaccine and if we are looking like we wont get one until early next year, what does that mean . There is a lot we dont know. We dont have all the data yet there are three areas of concern for the vaccine. There is the virus, the rdna and the rrma what we know is that they had issues and we know there is significant phase three trials being announced in the second half of this year. I think we could get a lot of lo news on this what weve seen in the market reaction, particularly areas that are depressed because of covid, they are very, very sensitive to the vaccine announcement kas pir, thank you for joining us this morning. Lets get over to asia we have a lot of action overnight. Matt joined us with more on how the asian markets closed it was a weak session for markets across the asia pacific. Not as bad as what we saw on wall street. Not on the order of the 4 decline when it came to the nasdaq a tech of the tech heavy losses not fairing too badly. Down around a half of one percent. The Australia Market was the worst off by about 2. 2 at the close of trade a surge by some 18 in the month of september lets look at the china markets. Where we did see selling pressure come through late in the day. We did get inflation data out of china as well. Consumer prices gaining 2. 4 over a year ago. That was in line with expectations more signs that a factory deflation there is slowing take a look at the japanese market the nikkei down more than 1 we were watching a selloff the socalled whale for that tech binge that has been on of late we did see softbank shares weakening in the order of 2. 9 but the stock was down earlier we did look at some tech names around asia. We did see the number of them the likes of alibaba, samsung, sony and taiwan all losing grounds but not like what we did see in the United States overnight. Thank you for running us through that you can follow us on twitter to get involved in the conversation plenty of fast moving action around the vaccines. Always love to hear from you you can tweet me directly cnbc julianna coming up, astrazeneca suspends its trial after a volunteer falls ill. Well bring you the latest after the break. What if you could have the perspective to see more . 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Welcome back nine of the leading vaccine makers have announced a, quote, historic pledge to up hold efficacies the declaration comes amid concerns safety might be ignored amid of rushed approvals ahead of the election. Companies like astrazeneca, moderna and others have agreed not to seek approval until after stage three. Adding it is unlikely to be approved ahead of the u. S. Election in november we will not really return with ease to a degree of normality we all seek until we have a safe and effective vax ination, i believe well have that by the end of this year, beginning of 2021. I believe that will be a game changer for us shares of astrazeneca are in focus after it placed its leading vaccine trial on hold after one British Volunteer suffered a serious adverse reaction a full safety review will be carried out by an independent committee. Our guest from Cardiff Medical School joins us now. Doctor, thank you for joining us on the back of this astrazeneca news could one serious event derail a whole Vaccine Program . If this serious event is proved to be linked to the vaccine, could that mean astrazeneca is no longer a contender . It would be bad news for this vaccine but clearly we need more information before we can draw any conclusions. They will make a recommendation whether or not the trial can resume in due course astrazeneca is using one approach in the development of the vaccine, the viral vector approach moderna and the other leading candidates are using messenger rna. If this does prove to be an adverse event driven by this vaccine, does that have any implications for these other vaccines given they are using a different approach no. Clearly, i think it is important there are these different approaches as far as the messenger rna and vector and other approaches like protein vaccines it is important all of these are trialed and move forward so well have options in due course if one particular approach is found to be too risky and the side affects are attributed to it, there are options. Nine ceos of the leading vaccine making Companies Sign this pledge to put safety of the participants first, keep it a top priority and to ensure sufficient supply and ranges what does that mean, a range of options. How many do you envision having when these trials are all through . In terms of vaccine doses, well need dozens of millions to vaccinate the large portion of the worlds population it is important to have a number of different Vaccines Available. Certain vaccines work better in certain age groups or with underlying conditions. It is important that as many as possible are taken forward and well have a range of different Vaccines Available that may make it easier to scale up production in terms of doses available. When we look at the development, some are using an approach like sanofi but moderna using messenger rna and there is no Human Vaccine used with this technique before what is your view. Do you think well likely see the well established approach or is there reason to believe these new approaches could also be successful we dont know at this stage we have to wait for the results of the phase three certainly the preliminary results from the Moderna Vaccine suggest that it would be effective in eliciting appropriate immune responses in the early phase one and phase two studies but we have to wait for the efficacy studies and the longer term larger number of participants in these phase three studies to give us the safety data required before these could be put to routine use. If we could look ahead into the scenario where we do have vaccines or several that could prove to be successful, then comes the issue of distribution and getting these around where they need to go and transporting them and that they need to be kept cold. How much of an issue do you think this is . It is a huge challenge. There has been no other Vaccination Program like this the vaccines that are shown to be effective and taken forward as to what storage requirement for one dose or two dose regiment it will be a major undertaking when polls were taken about the growing mistrust on top of existing concerns taking vaccines more broadly. A report suggests a third of americans dont want to take the vaccine. How much of an issue is that it is a major problem that would be worse if a vaccine is rushed through too quickly and found to be not effective or found to have safety issues. We dont know just what portion of this population would need to be immunized before we have socalled herd immunity. Lastly, doctor, what is your best guess as to when we will have a vaccine available for the masses we dont know the answer but i think it is going to be perhaps early in the new year before realistically we have a chance of any vaccine being able to be taken forward. I dont think it is going to be before the u. S. Election in november really appreciate you taking the time to help us understand these complex issues france has reported over 6,500 new cases over the last 24 hours pushing the total number past 335,000 several cities are considered red zones. As children have returned to classes, theyve been prompted to close down schools again. Social gatherings in england will be banned starting next week the government has warned that those who break the rules will be fined it does not apply to work places and schools and places where gatherings are carried out in a safe way a rebound of coronavirus cases causes travel stocks to rebound lower. More coming up next. Im hector. Im a delivery Operations Manager in san diego, california. We were one of the first stations to pilot a fleet of electric vehicles. Were striving to deliver a package with zero emissions into the air. I feel really proud of the impact that has on the environment. We have two daughters and i want to do everything i can to protect the environment so hopefully they can have a great future. Welcome back to street signs. Im Julianna Tatelbaum these are your headlines selling off the market higher after the nasdaq sinks to market territory. The tech wreck on wall street wipes out 1 trillion of market cap of the six biggest tech stocks while tesla loses value in the worst ever trading day. Astrazeneca halts the trial of its Covid Vaccine for a safety review. Troubled Airline Operator iag wins approval for the 2. 75 million rights issue as shares move lower dragging on the travel sector. Lets get a check on u. S. Futures and how wall street is posed to open. We have a rebound coming if these levels hold. The dow set to open higher looking at a bit of a rebound for the nasdaq looking to open about 180 points higher. Futures are jumping around we could see a lot of change between now and when the market opens. Yesterday plunging lower s p 500 poised for a sharply higher opening looking at oil markets we saw wti fall nearly 8 . This morning, we are seeing a rebound as well. Wti up 1. 5 european markets about an hour and a half into the trading session. Dax 1 higher, ftse bouncing nicely the main benchmark dropped 1. 1 . Investo investors shrugging off news while they investigate a safety issue and the weakness from yesterday. One of the Big Questions, where do they put that money coming out of u. S. Tech do they recycle it does that mean more demand for european stocks. Lets look at airlines we have red on the board travel and leisure the worst performing part. Easy jet taking a big hit. Carnival and lufthansa also trading lower. Iag share hoelders have voted i favor of issuing 2. 75 billion of new shares. Ryanair has sold the first euro bonds in years as debt markets start to reopen to airlines placing billions in orders relative to the relatively Strong Financial position having raised an additional 4 billion just last week airbus remains ahead of boeing supplied 39 jets from last month, down from 49 in july. Boeing received 13 orders. A quarter of airbus jets went to low Cost Carriers as budget carriers prove more resilient. Senate republicans will present a small version of the stimulus package saying the bill would be targeted. Democrats in congress dismiss the proposal as emaciated saying it contains, quote, poisoned pills they would never support and does not include provagss for airlines or airports they had pushed for a sixmonth suspension of the payroll package due to expire this month which could lead to mass job losses to discuss all things airlines, lets bring in director general at iata. Thank you for being with us this morning. A broad question for you how would you describe the state of the latest passenger data the airlines are in a very, very bad shape is of course because of the covid crisis, lockdown and the closure of borders. The main consequence is during three months, we had no passengers slow recovery came back in europe and asia. We reached a threshold around 2019 in europe in asia and domestic markets in china. In august, we reached a ceiling. We saw a little decline in traffic in europe. Whether in asia or china, we saw significant recovery and now we are reaching 80 to90 it means that the situation is still very, very worry some for airlines we are in a terrible situation we are asking them to launch the traffic to where we were before. Fliers are also frustrated with the rules particularly around quarantines. I know you have been vocal against quarantines as a mercedes measur to control the outbreaks how have your discussions been going . Are you seeing any traction behind the idea of bringing in perhaps more Rapid Testing as a solution rather than quarantines . Thats a very good question we fully understand governments want to avoid importing the covid19 in their country. On the other hand, we must be aware that putting people into quarantine is a complete stop to any trouble and will add trouble. We say first of all, we should move to a kind of zero case approach to a risk based approach well have to live with the covid19 everywhere in the world. The point is how to live with that, controlling the pandemic to do that, if we accept thi