When mario draghi was hinting at quantitative easing, saying he will revive inflation as fast as possible. He was saying he was not about to make a hasty decision to add more stimulus that the ecb. Yet theyre also saying the expanding bond purchases to Government Debt would face legal hurdles. Once again the voice of concern coming from germany. Bank headthe central in austria saying a steady hand ecbhat you need in terms of policy. That is why we are likely to see it a sickly flat across the board when you are looking at europe. So much data. We get gdp figures. Manufacturing as well. Also the second estimate in terms of the thirdquarter gdp is coming. Bit of a downward revision on the trade deficit likely to happen . Morningata later this with the views on what the biggest economies are set to do. We could see new revisions. Lets dig into some stocks. I want to get into the big movers and shakers. Ing just climbing higher by 7 10 of a percent. A fascinating trend. We heard it from lawyers. Now we hear it from ing. This is about the move to digital disrupting the amount of employees they need. Ing is cutting 1700 jobs. There is news they could be getting close to selling their particular unit. The german drugmaker is discussing this with credit suisse. It could be worth 2. 5 billion dollars. Kingfisher down 1. 4 . If we wanted a birds eye perspective on how the various economies in europe are doing, take no further look than kingfisher. In france as well. Torrid time. A we are seeing sales declined because the property markets are down. They are saying taxes are higher. All of this is putting up spending and property and upgrading houses. Looking much rosier in the u. K. We saw sales increase. Why on earth is russia so strong . Sales are beating their estimate in russia as well. That is how the markets are shaping up this morning. Whats get straight to those comments from the executive lets get straight to the executive orton member. Bloomberg asked about that executive board member. It. Mberg asked about we have to look at the data around us, and we have to discuss thoroughly possible options, in particular when it comes to assets. An agreement there might be situations where we have to do more. Joining us for those comments the cohead ofs, global macro and Market Research at Goldman Sachs. Thank you for coming to talk to us. He is saying the ecb is not going to be in any rush. How do you interpret the comments we have had from the ecb . What is the Goldman Sachs view of where the ecb goes next . Do we get fullblown quantitative easing in december . Asked december is unlikely. I think the novelty december is unlikely. I think the novelty is this pursuit of a bigger Balance Sheet. Mario draghi last friday why aned the reasons bigger Balance Sheet at this stage is important. Essentially to get asset prices up and the euro down. Thatnk people take from that Government Bond purchases are going to be more likely if the ecb were to step up this pace of ellen sheet increase in coming quarters. Do you think it is a question of timing in terms of taking turning that qe program into one where they are actually buying sovereign bonds . If it does, is it going to be the right move, with yields as low as they are . Can qe have the right effect . I think it would have the right effect. It offers a lot of complications. There are technical ones. We heard the legal challenges. Bunch, thedeterrent us Government Bonds, across eu states. Overall it would get spreads lower, and that should have an impact on the real economy. I dont think they are on the preset course. I think it will be a matter of how the core economies fair, whether they are Strong Enough to lift the whole euro area up and start generating more inflation. We are going to get another reading on inflation. We are seeing the ecb during what they are doing on the Monetary Policy side. Mario draghi continues to make a cannot work alone. It needs the government to take action. Where do you see a for confidence . Do you see that move forward . We are trying to explore this idea that mario draghi himself has laid out, that countries doing reforms and perhaps in a coordinated fashion could also have more leeway on their countercyclical fiscal stance. Alsobly that could encourage countries with bigger , which has called for germany to increase its own fiscal spending or we asked acqu ce twobaggers to bigger spending. I think the ecb stands ready to fiscalover, should this expansion put upward pressure on. Ields i think they would be more than willing to purchase government securities at that stage. Francisco is going to be with us as we had to break. We are also watching the Ongoing Events in the United States. You are looking at the live shot in the streets of ferguson, missouri. Protesters are taking to this treats after a grand jury did not to the streets after a grand jury did not indict the Police Officer who shot an unarmed black teen. Welcome back. This is on the move. Lets bring you back into bring back into the country the Macro Research at Goldman Sachs. Are still talking about a broadening recovery, which is of interest. Ellis how that lays into what tell us how that plays into what you think the fed is going to do. We have them lifting off the fed funds in september. That will be anticipated by operations to start trading elasticity oftest Interest Rates to liquidity. Very interesting from a technical perspective. The bank of england. We have two cycles ahead of the and to Central Banks slowly responding to the change of circumstances. Central banks slowly responding to the change of circumstances. Are they affected by whether a slowinue to see inflationary theme through the markets . Surely allows it more leeway. We see that happen with the bank of englands anticipated first hike. Particularly for the Central Banks that have a strict inflation targeting made does create a dilemma. I think the market is probably growthking the implications of Lower Oil Prices because probably more than Interest Rate stimulus it is percolating to the real economy. That could represent a bonanza Going Forward. I think this aspect is important. Inflation we have seen when oil prices and monetary prices are very high, we see that pass to core inflation. It will be interesting to see if this effect is symmetrical. Now that Energy Prices are low if Service Prices maintain Going Forward. In terms of this new oil order, where are you playing that in terms of an investment scene. You mentioned it could be good for growth. I am guessing it is good for those countries that import. Are you making investment plays into those countries as a result of the Lower Oil Price . The pressure is always to try to figure out what is prized and what could change. We talked about the global economy, this artifact the u. S. Is going to still carry the weight of growth despite the fact the u. S. Is going to carry the weight of growth in 2014. The policy stimulus could generate interesting returns. On the oil question we are looking at the secondary affects cts of lower effe oil prices. The obvious distinction to make is between importers and exporters. There are less obvious ones. For instance, countries that have low inflation may be tied to the eurozone, and they may actually keep prices more economical and grow faster in coming years. You mentioned a little growth coming from the eurozone. See one you expecting to the eurozone . Is that going to be the key driver of a little bit of growth in the eurozone . The numbers are not spectacular. To what wery similar are likely to get later today. Is. 9 or 1. 1, it is not going to be a big deal, but i think it is around the uniformity across the block, so it is interesting to see we have italy growing much less than its regional peers. That would be an interesting dynamic to see playing out, what the government does and what the central bank response, responds. Response, i think there is very little growth or very little appetite in the eurozone complex. Think the returns are interesting this year. You think the dollar is going to continue to climb, if you are expecting the fed to hike and the euro to be weaker. What else are you going to see that should shape 2015 for investors . Asked the Dollar Strength is thematic for us. Thento this Dollar Strength is thematic for us. It plays into this theme. We call it the passage of the baton. We think the boj will succeed in getting the yen down and the ecb may be able to push the euro below what we deem to be the fair value, the longterm fair value, which is around 1. 20. We have around 1. 15, and i think that is the interplay of the fed and the ecb during expansion. Are we looking at the low return in 2015 and beyond . Lookunds be spiriting to ahead and think that way. Is that the future and for how long . If you think about it, cash prized currently through yield negative returns after inflation for five years in the u. S. And for 10 years in the euro area. Having other assets controlling for volatility return much more is going to be difficult unless we have a steep corruption correction. We are expecting modest singledigit returns in the low volatility context. Thats ok. We will have to look for opportunities as they come along. Inc. You very much for joining us. Very much for joining us. 17 minutes past eight in london. Its check in on one of the stocks on the move this morning. That is kingfisher. The stock is trading lower after profits disappointed investors. We will bring you the details when we return. Welcome back. We will bring you up to speed with some companies on the move this morning. Ing will cut 1700 jobs over the next three years. The company says it lands to simplify and automate plans to simplify and automate its systems. Will take a pretax redundancy revision of 320 Million Euros in the Fourth Quarter. Although trust will make a 400 million euro provision that will weigh on Fourth Quarter profit. Will make a 400 million euro provision that will weigh on the Fourth Quarter profit. The company says they see many uncertainties surrounding the investigation. To twitter cfo slipped plans buy a company by accidentally tweeting about it. The message was posted on the service before being deleted. A spokesman confirmed he was trying to send a message privately. Bloomberg has been speaking to the twitter cofounder, who says inhas complete faith costello possibility to lead the company in the future. This is a company of enduring value. I know wall street things quarterly and everything is hyper short cycles, but you really got to think about these things decade out in order to think correctly, so no concern here. I have complete faith in him as a leader. The divergence in economic towth in the u. K. Compared the rest of europe can be seen in the largest Home Improvement retailer, kingfisher. Here with more is caroline hyde. Kingfisherabout how is performing. They had a tough time in france. Torrid time. We are seeing sales down 4 . They list the catalog of reasons as to why france is looking so poor right now. It is all about Home Improvement , and the market is not very good there. We consumer confidence. They blame higher taxes on francois hollande. And of poor construction market. Ll of these factors add up france is bleeding. Poland, china, also not performing well. Clearly this is an area that is not managing to whether the the economiceather turmoil well. But lets talk about the u. K. A better performance coming through in the united kingdom. We are seeing an english man handing over the reins to a french woman. It will be interesting to see if she can navigate france that much better. U. K. S done well in the sales are up. Because of the better economy and Housing Market. The economy is more buoyant. The Housing Market is very good. They own a brand which is focused on tradesmen in particular. Sales there are down 13 . Everyone is savvy. , russia actor for you particularly strong market. Profit not looking that good because of the currency. I thought that was interesting. It is interesting. I need to put up a curtain rail, so it reminds me. Lets talk about another business being affected by the strength of the u. K. Economy. They are benefiting as well. We have to remind ourselves what a stellar year it has been for housing. Yes, we see a downpour downturn. ,e have seen house prices down but overall they are up 16 in london, up 8 around the rest of the world. Zoopla has been downing dining out. They say a record audience. He have half a billion people going on their website this year. 57 going via mobile. They are looking to increase abroad as well. Interesting they are trying to shrug off concern next year. We have an election coming up. I talked to jefferies, who said, in an Election Year you hold off. In the second half, once the election is done, we see transactions buildup again. They say political and economic challenges have not had a Material Impact on them. There are competitive threats looming in the business. Agents mutual has been created by six the state agents who are fed up a state Estate Agents who are fed up. It goes live in january. They are saying, use us. The players will be pushed to one side. That is the worry. Overall they think this is it too much of a threat. Thank you very much. A number of companies affected by the strength of the u. K. Housing market. We will speak to the head of bank about thest state of the brazilian company. As we head to break, i can tell you the markets are pretty much flat. We will take a short break. Welcome back to on the move. I am anna edwards just 30 minutes into your trading day. Negative on the stoxx 600 those are the broader equity market moves. We come to gdp data out of germany didnt shake things up too much but more focused later on today in the United States as well. Lets get some stocks specific moves. Trying to eke out some of the movers amid a very flat day. Zupler, the online week, had a pretty good they only sold shares for the first time in june. Theyve seen profit up about 2 . They are already shrugging off any worries what the future headwind they might see in terms of house prices coming off the boil. They say yes we have political challenges and economic challenges but none of that will have a Significant Impact on the numbers Going Forward. What will is the arrival of the new competitor. We will take affective action, zoopla has seen almost 3 . Of kingfisher as well the u. K. Saysin france is proving tough for them. Sales are down and they say look you have higher taxes and a poor construction and Housing Market and weak consumer confidence. All about hitting their french overall unit which is more than half of their overall profitability. Nevertheless worried about , if youn pressure drops tuned in yesterday the move was in norm us and petra back nearly 50 . L by this in the Oil Price Falls and project delays. They will downgrade petra fact stock today petrofac stock today. The whole of it is taken up by Oil Companies today, you premier oil fulling, janel energy falling, premier oil janel energy falling. Opec is unlikely to do nothing we could see Oil Prices Fall by as much as 10. Lets turn our attention to brazil. Ine Political Uncertainty the country, the reelected president refrain from announcing the next finance minister although reports in the Brazilian Press have named a successor. Joining us now is an exclusive interview on the Current Business climate is john mark who is the ceo of the investment bank. Thank you for joining us. Lets talk about what is happening politically in brazil if we could because as we saw reelection, the people questioning how much of a reform agenda there will be as she goes into another term. We had an analyst on a few days ago talking about how the real is going to fall and that will force an agenda, among the people you talk to in brazil is that enough for reform . Were just been through an intense election as you said and i think there is some encouraging signs Going Forward in terms of a new cabinet and a new finance minister is about to be appointed and probably the Investment Climate will be back up. We do a for manage Going Forward inflation which has been a bit resilient, growth hasnt been there and i think were a more technical cabinet which seems to be the direction she is taking. With that we go back to business. What are you looking for . What should the priority be . Four years they have been very active in terms of public spending so on and so forth. The macro environment globally will benext few years toward more attention for the macro side of the economy is tackling inflation and perhaps more fiscal responsibility and with that you probably can create a better base for regaining more Sustainable GrowthGoing Forward. Can i ask a little about the what it iscandal and painting about brazil to the outside world because it seems it has transfixed th