Im anna edwards. Matt and im matt miller here in berlin. Risk lets put up the radar and show everybody where we are on the overnight session, the asian trading day higher on equities. The msci asiapacific of 5. 8 . Of by. 8 for the price of a barrel of crude. Were indiana and will get more from manus shortly on the program indiana. The russians talking about the option for a further extension. So these facts very much in focus and is the move in the dollar, a little weaker on those sentiments. Concerns about inflation lead to questions about what happens thereafter. Matt that was interesting to me, we saw treasuries yesterday actually get on up, which at that was fascinating, after the notes came, the minutes came out , we saw note get off. Right now are looking at 2. 25 as the yields on the teen your climb back up a little bit today. Fallen by 1. 3 yesterday. Maybe stabilizing today. Then you see the renminbi right now down a little, but it had gone up yesterday as well. For is how many you can buy a dollar, more than you could buy a couple of days ago. After the chinese news came out from moodys, we saw the renminbi weaken for couple of days in a row. So that is starting to stabilize now as well. Are going to look at all these assets this morning as stocks, we are still a few hours from the opening up but look for more moves in the debt markets. Were going to get to all of those for you today but first i want to get the first word news and will go to juliette saly. U. K. Police calling it underminingtrust their investigation. In yours time New York Times published photos from the scene that British Police were yet to release. Seven arrests have been made so far in the u. K. In connection with the attack. Meanwhile, promised or theresa may will lead a group of seven gathering in sicily a day early to return to britain as the country races to prevent further terror attacks from the network behind this manchester suicide bombing. She travels to brussels day for a nato summit urging the alliance to fully join in the fight against islamic state. U. S. Buys collected information revealing senior russian intelligence and political officials were discussing how to exert influence over donald trump through his advisers according to those familiar with the intelligence. This have a conversation focused on Paul Manafort at the time and forced toynn who was stand down as National Security adviser. The minutes of the latest that meeting indicator rate hike is still in the cards for next month. Toging its inappropriate tighten Monetary Policy again. They backed the plan that will gradually shrink the Central Banks 4. 5 trillion Balance Sheet. The dallas fed president has reiterated that he expects three rate hikes this year. The base case for this year increases three rate including what we did in march as a goodfaith case for this year. Evolves more slowly, it could be less, if it evolves more strongly, it could be more. Mario draghi leading a push to stamp out any speculation that the European Central bank might raise Interest Rates before it ins quantitative easing. He reaffirmed the logic of the current secrecy, saying the unwarranted side effects of negative rates or less likely be less of a problem. Our currenthe reaffirmed thee Current Assessment of the side effects suggest therefore that there is no reason to deviate from the indications weve been consistently providing in the introductory statement to our press conferences. Global news, 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. Global news, 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. Find more stories on the bloomberg at top. Seen it a fewve players ahead of the opec meeting, the nikkei up by point or percent. Were seeing the hang seng index near twoyear high. The korean market at a record high look at the tie x, if it holds at this level it will be a 17 year high for the time one index. Koran leading Interest Rates today. A lot of gains in the region are not only from Energy Players but tech players as well. Softbank up quite sharply in tokyo. Unit for 600e million in announcing a share buyback. Lupin in India Falling the most in almost three years saying revenue may spend declines over the coming year. Looking at the gains were seeing regionally, this chart shows you the hang seng index. White line shows you the hang seng Index Holding at those levels we havent seen since july 2016. Of . 10 pushing the hang seng higher. The blue line is the hang seng financial index and is closely correlated to the overall hang seng. A lot of these games have been driven by financial companies. Worth noting this is a stark contrast to what youre seeing on the mainland. 40 from twodown years ago. President trumps demands to step up the fight against terrorism is expected to get a sympathetic hearing from nato when he visits the headquarters for the first time today. The deadly bombing in manchester on monday night is given rush resonant to calls for the organization to become more engaged in the global fight against terror. France and germany have long resisted an upgrade of natos role in the in the International Coalition against islamic state. According to two officials familiar with the preparations, they accepted the move on the eve of the summit. Kevin has been following the president and joins us now in brussels. A very good morning to you. This is a President Trump whos gone from questioning the point of nato to now calling on it to do more. Kevin President Trump arrive here in brussels ahead of the nato summit as part of the First International trip. Just like he tried to reset the rhetoric of the muslim, jews, and christian world, were noticing that here as well. The president has advocated that nato pay their their share, but he is also advocated that the increase their presence in combating terrorism. Rex tillerson echoed some of the talk following their arrival here in brussels. Listen to what secretary tillerson had to say. It looks like grabbing trouble with that, but i content you that Rex Tillerson did echo the comments regarding President Trump, saying they need to be part of any coalition to fight terrorism. Matt kevin, what we know about the amount of spending that European Countries are doing . It seems to have dwindled over the last couple of decades as a percentage of gdp. How is that argument, because i know the u. S. Want your pink countries to spend more. How is that argument playing out . Kevin its something President Trump has had repeatedly that he would like to see increased. I can tell you the reaction and response that President Trump received in the middle east from was muchbia to israel more warm than the response and reception hes getting here in europe. Clearly the president as he embarks on the nato summit and then italy to the g7 summit, anna kevin join us there on the road with the president now in brussels. With security in mind, i want to bring you uptodate with something were hearing from Manchester Police in connection with explosion on monday night. Manchester police say a further man was arrested there is new information coming to us at bloomberg. There was a series of arrest in the u. K. In connection with mondays explosion. Coming yesterday and we saw those moves in libya as well. More on the nato summit and u. S. Foreignpolicy. By a senior analyst. What do you make of the spending debate here . Ive heard from german ministers that there just isnt enough to spend on if they wanted to spend more, they couldnt because the u. S. As the u. S. Swallow that argument . I think they will seek to prod their nato allies into spending more, but you are right, Angela Merkel has increased defense spending a percent year on year. The trend over six or seven itrs on just germany is our quite significant. Other parts of the Nato Alliance including portugal, italy and fiscalont have the maneuverability to even come close to the 2 target. I think the pushback from a lot of nato ally members will just be saying in 2014 at another major nato summit, we agreed to being thed 2 , toward operative word there. That similar dynamic will play itself out but the u. S. Is a major underwriter of the alliance and President Trump has always stated that burden sharing was a major part of what he wanted to see coming out of europe. Tension is that twin there and it will be interesting to see what comes out of the summit. Chart that puts into context some of what weve the been discussing, percentage of gdp that varies countries pay into nato. How do you interpret President Trumps commitment to nato . Is he just about people paying their fair share and with that in mind, other still questions underlining his level of commitment to nato . Reports are suggesting that the americans will reiterate their support for article five being an attack on one member is an attack on all. Theyre coming out and saying they will not attach provisions to that, a sign that they are reiterating their support for the alliance. A lot of this nineday trip has been reassuring allies around the world about the u. S. Commitment to global issues, nato being the major security arm for the region. So it is certainly going to be a debate that donald trump will continue to front, but again, the europeans are quite certain they wont be out to meet a lot of that. Matt is he going to be a to form a Strong Alliance for his kind of upgraded attack on isis . I know thats one of the key teams for donald trump on this trip. One of the key goals is to get nato to formally ally with the Coalition Fighting in mosul and of syria. A lot of individual members are already allied within nato already. A take away that the Trump Administration would like to see of it. On another issue as well of concern to the Trump Administration is the afghanistan war. There was quite a bit of debate within the white house over committing 3000 or 5000 more troops to the mission and i think trump has come out and wanted to see where nato members are on that commitment. Of course the u. S. Provides three quarters of the troops that are currently in that mission, so that is another area allied to combating international terrorism. His call fors of more commitment from nato on i. S. , weve heard that promised her mays is going to make a similar call for a commitment to more formally join in the fight against i. S. In syria and iraq. So they thing to be on the same page there. How much will that relationship beat tested by the leaks we are seeing coming from the u. S. Administration, it seems . How much is that careless or deliberate . The leaks that were made public coming out of the meeting ambassador andn the Russian Foreign minister were also exacerbating tensions with european capitals around intelligence sharing between the United States ambassador and the Russian Foreign minister and its allies, so i think clearly it will be an issue of concern, but given the events of the past week being so the more of importance, alliance between the u. K. In the u. S. In terms of intelligence sharing is so robust that clearly theyll be looking to overcome that. Statements coming out of both parties are unlikely to raise that as an issue, at least officially. Matt on the one hand we see what looks like, trump says one thing in the u. S. On the campaign and says a completely opposite thing when he zero his visit, especially with regard to muslims and islam. On the other hand, if things like he is forming a pretty solid Foreign Policy that is on theni gulf states and containment of iran. How you put those two things together . A lot of what weve seen out of the Trump Administration is that he will make a statement in one direction and a statement in the other. In some areas, as been very welcome. On issues of u. S. Engagement with the sunni gulf arab states, the 100 billion weapon sales and 350 billion weapon sales over 10 years is seen as quite a robust demonstration of support. The Decisive Action to enforce the red line on chemical weapons , the fact that the administration is exceeding to the iran nuclear force, although things have been welcome. On the other hand, theres a great deal of ability that still leads to uncertainty. Conflict,w years of whether the Korean Peninsula or issues related to combating russia in europe, there still questions to what the real commitment is from the Trump Administration. Talking about the stumbles on the domestic agenda, theres always somebody at those meetings is not there who dominate certainlys gets into the conversation. Thender if this time conversation takes place under the shadow of vladimir putin. How much is trumps relationship with russia going to be a topic of conversation among those gathered for the nato summit . It is dominating News Coverage in the United States. Clearly his chief of staff and left the foreign trip to come back to the United States. They had said it was a planned return, but is certainly speaks to the fact that the white house is still very much enmeshed in on theoud of scandal administration. So clearly it pervades the Foreign Policy arena as well. Foreign policy apparatus in the United States, a lot of those positions have yet to be filled. A lot of the reason is because of these same issues at the white house is had to deal with. So its difficult to separate the probes into the trunk Campaign Officials in russia with its posture on the foreign stage. Anna especially with european nations concerns about whether trumps support for russia would involve the russians. Thank you very much for your time this morning, its very early in the morning where you are. Joining us there from new york. We will continue the atversation about securities 10 00 a. M. U. K. Time. Opec optimism. , Oil Heads Higher in anticipation of a deal on sanctions. Can the cartel overcome the u. S. Shale threat or even its own members cheating . We crossed to begin a to find out next. This is bloomberg. Anna welcome back, this is bloomberg daybreak europe. Youre in vienna. Oil climb to a fiveweek high ahead of a meeting indiana of opec ministers and others. Recommended extending the Production Cut for another nine months. Manus is joined by a guest over indiana. Manus a very good morning to you. Opec is a little bit like the u. S. Congress, hes been flubbing his line for a while. It has an anticritical impetus to stir action. But they start sufficiently to galvanize the oil market . To slightly extend what they darted decided. The last time they had any impetus to do anything was the november meeting. This one, they just want to show the market were willing to do a little bit more, but so far it doesnt look like will see any additional volume from the market. The uae is prepared to do what it takes. It doesnt strike me, 1. 8 really barrels, as doing whatever it takes. I think the are recognizing that they dont want to stir up this market too much and make a big jump right now where that the shellup stirring even more work comes back even faster than it already has. Its a delicate balancing act where they want to be up to balance the market, but not just in one day. They want to make it a process that is sustainable. Manus give me the numbers in terms of, everybody talks about shares. Talks about shale. Differentiate what it is. Take me behind the word shale. Everybody talks about u. S. Shale but the thing that most matters for shale is the permian. Thats where all the growth has been for the last several months. The other is the productivity gains weve seen out of there. You brought on by the full the all crash and bring one on today, thats equivalent of 2. 14. Thus a sort of productivity gains weve seen. Permian, its over three weeks. Just massive amounts. Realize when they go up, it means a whole lot more than it used to, just two years ago. , its 1. 8 Million Barrels what does it do . It brings it up a little bit, but everybody in the market has this baked in. Longerterm and what will look for over the next couple of months it what does shale into doing . Is not just an opec market anymore. While it might look great today, and a couple of weeks when we get some Additional Data out of shale and demand, you might see it drift back down. Manus it took old bit of time to get up the curve. Still exporting, that the problem opec has. Thats a huge problem. The wage structure, the decision is always about production. That means they can export as much as they want. You have a huge boom in exports and the divergence between exports and production is still there. While its starting to close, you can still export like crazy and from the market standpoint, thats what we care about, the barrels that are out there on the market. Jamie webster there. Its going to be a long day. We will have Facebook Live for anyone who gets a little bored later on. Thank you very much, manus. You could get some traditional vietnamese clothing over there while youre on the