Products. It looks like you are not seeing much change on your screen there but it looks like oil is seeing a bit of a reaction. We are seeing a leg down in oil prices, a decline of 1 2 of 1 . It looks like the first flush reaction is down on that headline build. We will see if that is mitigated by the drawdown in the various types of inventory. Energy stocks are the best performers in the s p 500. Heres the energy index, which is. 11 Industry Groups in the s p, its the best performer. One of the things we have been watching with regards to oil prices is the socalled that could be approaching. The price of oil is in white here, then you have the 50 day moving average. Indicators. Mentum the last time you had the socalled golden cross, you saw oil rallying. Circling back here to stocks and what we have been seeing of the major averages, this selloff is continuing here today. Got a no help from energy stocks. There is a broad risk off environment sparked by chinese export data or early this morning. The s p 500 not just declining today, we seen a declining week with a pullback of nearly 2 . Two around 1 selloffs in the span of one week now. Vonnie . Vonnie mark . Gmm, its all about china. Equity, your lefthand column falling today. Of decline and seven lowest levels for the stoxx 600 since july 11 on that week china export data. These are the currencies rising against the dollar today. We are seeing core european bond yields. Lets talk about some of the. Ndividual movements it reported a drop in shipments for the first time in over a year. The company also reportedly embroiled in a dispute over brexit related pricing increases that resulted in some of its products, such as marmite, being pulled from tescos online store. The big satellite broadcast here, shares up as earlier. Wo 2. 2 it has benefited from the drop in sterling postbrexit, a company that operates in five european countries. Victor stirling has plunged against the euro in recent months. This is a company contending with rising costs for sport. Wanted to show you the u. K. Housing market, showing its strengths here in the u. K. After the shock inflicted i the brexit vote faded, the shortage of robert these for sale persisted. In london, values continue to decline separately. Homes under construction dropped 13 because of brexit uncertainty. The Housing Market turning around postbrexit. Vonnie lets check in on the bloomberg first word news. A Hillary Clinton is holding nine point lead over donald trump in pennsylvania. Thats according to a new Bloomberg Politics poll which gives clinton a lead of 51 to 42 . Clintons lead swells to 28 in four suburban counties that were once reliably republican. 193 Member States have appointed portugals former Prime Minister as secretary general. Escalating tensions between moscow and washington are spilling over into an increasingly divided donations Security Council and threatening to paralyze initiatives. A resolution that would have demanded an end to airstrikes in aleppo. Among the issues affected either discord, action on yemen and the fight against shiite rebels and trade restrictions against north korea. Iran says it will deploy 2 water yemen. Ff the announcement came just after the u. S. Carried out strikes for against yemen shiite rebels who are supported by iran. American strikes came after hit near the u. S. S. Mason. Has diedof thailand after 70 years as the countrys monarch. He was the worlds longest reigning monarch. He was 88 years old and had been ill since 2014. Observe government will one year of morning. President obama issued a statement saying the thai king had grace, warmth, and compassion. Global news 24 hours a day, powered by more than 2600 journalists and analysts in over 120 countries. I am Courtney Donohoe. This is bloomberg. Mark lets get to the latest on Deutsche Bank shares. The lender opposing an acrosstheboard hiring freeze in an effort to cut costs as it faces mounting legal woes. Bloomberg deals reporter erin kirsch has been covering the. Tory what sort of money could it save by doing this, by implementing this companywide hiring freeze . Savingmove is about money. One analyst at j. P. Morgan put it at 1. 9 billion. Deutsche can use every euro from that. It could be they initially asked for 14 billion and deutsche is asking to get that way down. Theres a lot of questions about possible capital increase. They have scrapped bonuses, cut risk assets, and slashed 9000 jobs. What is left . A lot of people wonder, could they even increase. Is 9000 jobs enough. One reader responded saying, freezing pay is not enough. Theres also things they have explored that we have written about and others, including could they sell or ipo asset management. They still have a few levers. At the end of the day everyone agrees they need to do more. All the reports recently that they have been cutting jobs. Where would they be hiring anyway . Thats a good question. Some wonder how could you cut jobs and then hire people . It was not a big surprise that they are sending out this message. They are trying to tell their workers, we need to be eagle eye focused on cost cuts, on cost controls. Being spared is compliance, risk controls. That is such a big topic right. Ow with the doj negotiations that is the one area that will be spared from this. Vonnie Deutsche Bank is going to have difficulty now. Know bonuses will be under scrutiny, if you know pompliance is only beefing u while the rest of the banks getting caught, why would you want to join an institution like that . Thats always the risk of cost cutting, that you dont hire talent or lose talent that you have. They did a big hiring push last year, they brought over top thinkers from Goldman Sachs, j. P. Morgan. I think now they will try to focus on stabilizing the ship, getting those guys to do the necessary restructuring, and move ahead. We did a story about their role in m a deals. They said, we have been internally focused in the first half of the year and now we will. Ocus on turning it around that is hallowed turf, isnt it, for Deutsche Bank . Can we put that aside, as they say they are reducing a presence . Every bank on wall street has gone through their tough period and Deutsche Bank is having their own period now. Missing the biggest german deal of all time, that has to hurt. At the end of the day, Deutsche Bank is germanys bank. Theyre trying to do now is look forward, tell their clients, tell their employees, we are going through a tough period, but we have been through this before. Coming up later this hour, we will be speaking with a guest from Columbia University. That is at 11 30 in new york, 4 30 p. M. London time. This is bloomberg. Mark live from london, im mark barton. Time for the Bloomberg Business flash, a look at some of the biggest business stories in the news right now. Londons high court will issue a ruling of a 1. 2 billion lawsuit against Goldman Sachs tomorrow. That is according to a statement on the website of the london court. Fundrs for the 16 billion said it arguments that goldman crossed the line and establish personal relationships the officials during gaddafi regime. Associated press reports say a new york firm won the right to deploy skillbased slot machines in atlantic city. The machines are aiming at grewcting millennials who up playing video games. The u. S. Is demanding a resolution of its insidertrading case against leon cooperman include a temporary suspension from the hedge fund industry. People according to familiar with the matter who say the sec before suing the billionaire last much pushed him on a deal it would have required he pay 8 million in penalties in addition to the suspension. Cooperman denies any wrongdoing. That is her latest Bloomberg Business flash for this hour. Shares trading down more than 2 today after the leadership reshuffle at the bank. The bank announced the former coo tim sloan will take the reins as ceo. Wells fargo report earnings tomorrow morning. Earlier today on bloomberg daybreak, comments on whether new management will help the banks reputation. I think what you had here was 34 days of misery for wells fargo, since wells fargo had the regulatory settlement with the cfpb. They struck out looking, they did not swing the bat. This was some of the worst Crisis Management i have seen in my three decades of covering the banking industry. They were reactionary, they did call backs and changed Product Sales in response to questions and they did not intervene early enough. They knew about the problems in 2013 and did not fix them in time. Turnhange in ceo helps to the page to a new chapter. That gives new Ceo Tim Sloan a chance to try to make victory out of defeat. What are they doing for the customers . My idea is make one million phone calls, give 100 million extra to customers that were charged a fee. Lets have 100 accountability going ahead. Is a going to come from tim sloan . We have a chairman who was the ceo of general mills. The board, they did not take this action but it seemed like the board acted pretty tough. With the changes on the board, wells fargo is the only top 30 bank with an independent chairman and an independent vice chairman. Thats a big change to the board. We still think the heads of the hr what they call the Corporate Responsibility committees should be fired. Vonnie vonnie mark meyer, there. Battle over brexit moves into court. The lower pound is affecting some items. This is bloomberg. Vonnie live from london and new york, im vonnie quinn. Mark and i am mark barton. Towards the end of the session. Lets get back to brexit and the courtroom drama that is well underway. Calling Prime Minister theresa mays plan to trickle article 50 in on constitutional power grab. Here to take us to the twists and turns, Bloomberg News brexit editor. What have the lawyers been arguing in front of the three judges today . They are trying to argue that theresa may, despite the legal advice she has taken from the government, she doesnt have the prerogative to trigger article 50 by herself. Article 50 the thing that gets the two years of exit talks going. She thinks she has the power to enact it alone. Argues today arguing the lawyers today arguing she cant do it on her own. How serious the Prime Minister is taking this, she will put forward on the 17th the attorney general to argue the governors case. She is sending out the big guns to argue that she has the power to do so. She wants to avoid a situation where parliament can provide another break on the brexit process. She thinks she has the mandate to deliver brexit. Most members of parliament did not want brexit. Even those in her own party, the majority of mps were against brexit. That is the mandate that theresa may feels she has to deliver. Vonnie the British High Court against hearing the case today, the constitutional case. How long might it be before we get an actual decision . It could be towards the end of the year. One of the judges involved has raised an important issue. There needs to be some kind of speed here. They will deliberate and torts of the end of the year we will see some kind of decision. Could be ane appeal. If something materializes, it materializes. That is the minority sort of outcome, right . Obviously there are appeals going into the house of lords. This wouldnt be the last point. It is something investors will be watching as an indication of whether the process can be delayed. Not many analysts think this could be enough to derail brexit completely. Mark theres no hint as to when a vote might take place. Its not been that long since thescots last went to referendum, ballot boxes and they voted to stay. Nicola sturgeon kind of has one shot to get it right, showed another referendum. Part of herbig partys manifesto is independence of scotland. Shell be wanting to time the run right. She will be wanting still to maintain pressure on theresa may to include scotland in the negotiations, look out for scottish interests. By doing this she has a technique she is not yet calling. Mark what about marmite and eating it . Plc is evidence that u. K. Is starting to feel the chill of brexit. Marmite, an iconic british brand known for its advertising slogan that you either love it or hate it based on the yeast intoction, i wont go details. Its longlasting. A product of unilever, and tesco, the big supermarket, has told marmite, some other products, ben jerrys ice cream, hellmanns mayonnaise, pulled it off their online store. Reports are that is a pricing fight with unilever, who is trying to take advantage of the weaker pound. It is an iconic brand, and a brenda provides some insight here. Brand that provides some insight here. Of thethe hate side equation. Marmitei would think of is a cross between honey and peanut butter. Mark ill go with vegemite. Ill stay neutral. Simon kennedy. We are literally five minutes away from the end of the first day session. Its all down to china today, disappointing export data lightg light casting on the strength of the chinese economy. We are seeing big declines for the stocks europe 600. Dax is down. How about what is happening in the currency markets . Sterling decline has resumed. Still above 121. Just below 122. This is bloomberg. Mark stocks finishing the thursday session, just to Industry Groups rising today. Its all down to china. Six days of decline. China export data, mind getting hammered today. How things can change in a few days, which leads me to what is happening in south africa. And netthe inflows outflows. Investors putting money into the South African bond market. Overseas investors, even before South African prosecutors roiled markets on tuesday by serving a summons to the finance minister to appear in court on 4 charges. Inflows of 62. 4 billion rounds in the first 9 months of the year. Soflows of 5. 7 billion rand far in october as foreigners sold more than they bought for a sixth straight day. That is a concerning signal. That is according to ned bank group and lets get to another emerging market, turkey today. Rising oilensions, prices adding a gloomy backdrop to the turkish lira, the dollar rising to a high. Investors dumping the currency in anticipation of the Federal Reserve rate hike in december, starring a 7. 4 loss if that failed coup in july. The probability of a fed rate hike with 35 . Remove to 52 in august, we are now at 68 . Are seeingreasons we the lira at a record low against the dollar today. Likened toas been emerging markets. How can that be, the pound now trading like an emerging market currency . All out to volatility. This is one month implied volatility, sterling, dollar, the anticipated move. See, volatility on tuesday rose by 15 . On friday when we saw the crash, we rose by 17 . That is why many are likening sterling to an emerging market currency. Mplied volatility this week has risen to the highest level since july. What a wild ride it has been since the flash crash last friday . Vonnie since the beginning of the summer. Justsee the fix before i turned it was above 17. We are seeing moves in currencies around the world. That is the channel through which we are seeing these central bank signals, if you li ke. Here we have the yen a little bit stronger today, it was above 104 yesterday. That is the one pairing we are seeing, the dollar really having an impact, at least in the weite direction, because mentioned it yesterday, when it looked like the king was in an unstable position. The king has died. The two year yield, at 84 basis points, it is down 2 basis points, but thats the highest level weve seen in 2 months. Lets take a look at the broader u. S. Markets. The dow is down 6 10 of 1 . The nasdaq is down 7 10 of 1 . Lets go live to midtown manhattan and abigail doolittle. Is off thee nasdaq session lows. Earlier the nasdaq had been down more than 1 . Nonetheless, the index is on pace for its worst weekly decline since september 9. That was the worst weekly decline since the brexit. We took a look at the nasdaq 100. Two themes seem to emerge. China and chip. Jd. Com, the association is obvious. Yahoo a tracking stock for alibaba. All of this as china reported disappointing export and import data for september. It may also be dragging on the chips. Could certainly be a macro tailwind for the stocks. Hitting micron, applied materials. To the low, similar nasdaq. The stocks have had a big run over the recent months. Valuation is high. Some investors may be taking profits ahead of a likely fed hike. That, the Research Group is saying they expect Semiconductor Revenue to fall by 9 in 2016 on a yearoveryear basis. Toll on theng a Semi Conductor index, well outpacing the losses of the broader index. We go to the bloomberg and look at g btv. This is a oneyear chart of the semiconductor index, and on todays weakness this index has dropped back below its 50 day moving average. Last year when this happened it proved to be pretty bearish. When are a few other times it was a brief pullback. Its unclear what this means but it could mean that some investors are taking profits in chip stocks. Vonnie im going to send it over to you, mark. Mark Courtney Donohoe has more from our newsroom. Batteringne nicole is bermuda with sustained winds of 120 miles per hour. The category three storm arrived a short time ago. The u. S. National Hurricane Center calls nicole, quote, extremely dangerous. At least one transformer exploded in the british territory. Bermuda has sturdy infrastructure and is accustomed to storms, but schools and government offices are closed. Patrick corey says 55,000 customers still have no electricity, but that is down from 900,000 at the height of hurricane matthew. State Officials Say 20 people have died in the storm. Flooding is still possible across much of the eastern part of north carolina. Asylumany, a 22yearold seekers suspecte