Also, you talked about that slump in the euro versus the yen seven weeks of decline, the longest stretch of declines we have seen since the start of the euro 1999. It is basically flat but lets look at this over the course of the week. We are off by half a percentage point and over the past 30 days we are down some 2. 3 . , the rabbitt bit has come out of the hat for the ecb. December 3 is when that meeting is and oil is coming low over the past 30 days coming off that rally. There is some optimism about the political side of the equation and some agreement is being forged between france and russia, meaning oil is coming off its recent high. Libya is back on track. A quick look at some of these stocks. Many are feeling that this could shell its contact lens care area. 1 . Immon is up by 8 10 . Onc agen is off by 1. 8 those that mean they are expecting more after dieselgate . Jonathan the stoxx 600 is lower, the ftse off, china dominating the session globally lets get to yvonne man in hong kong. Yvonne a selloff in china spreads across asia not a good friday for an already slow week. In Chinese Industrial profits is really hurting whereent a 4. 6 drop industrial profits fell. The shanghai composite ended fivd 5 down. Japan stocks were down as well, the finance minister proposing in a your budget for the tpp agreement. The jobless rate in japan drops to a 20 year low and we saw 4 cpi this is the core cpi which excludes energy prices, which was up 7 10 of 1 but flowing from september. Remain split on whether that means more monetary stimulus. Weekend,e reference but we are approaching that threemonth low. There was a surprise devaluation and there is concern that japan will get a smaller waiting in the imf reserve currency anything less than 10 will start a drought. Jonathan yvonne man in hong kong. The shanghai composite closed, the hang seng still trading down by 1. 9 this morning. Heres whats going to happen on todays program Chinese Industrial profits slide. The shanghai composite sinks among concern. In geopolitics in focus as president s hollande and putin agreed to coordinate strikes in syria. And is black friday met with resistance on european shores . The shanghai composite plunged this morning amid widening probes into chinas biggest concerns over the worlds secondbiggest economy. For more, richard frost, standing by in hong kong. Good to have you with us. The shanghai composite is sinking approaching 7 before coming back is that the brokerage probes or the disappointing data driving the market . It is funny we spoke earlier in the week about how china will resume for the first time in five months and it turns out you are right there is no doubt that there is a sense that some of these emerging measures that the government is starting to pare back may have started to go back further with the first ipo. There is also the trigger for today, which seemed to be this program to the nations largest brokerages. It wasnt that some of the biggest gainers during the rebound and earlier in the summer we had a massive selloff with the daily limit and you also have the industrial poachers adding to concern that this economic slowdown isnt going to start picking up again anytime soon. This sense of calm that we have had, which i think encouraged regulators to feel that they can start trying to return to a more normal market, has suddenly been shattered. The big question will be what to the regulators do now . ,o they push ahead with ipos or do they start to push back and impose more emerging measures . Jonathan good question. Richard frost in hong kong. More from him throughout the morning, thank you for joining us. Peter sullivan is the head of equity strategies, and here in the studio is the head of European Asset allocations at barclays. Peter, first to you i want to talk to you about china overnight when i see a move like that in the shanghai composite what is new . What didnt we know already . Think china slowing, the economy slowing, that is very well known investors are already reacting to that. The euro zone is the bright spot for earnings, the bright spot for the economy. It is very rare you can say that and we think we will get positive earnings in europe in contrast to what we saw in china. We will get positive surprises next year. Surprise the positive next year the data out of china hasnt been great. It is another reason to worry about the yuan, to worry about industrials. From your perspective, when is the fear top down for next year . Well, it may have already happened in terms of the impact on emerging markets in europe. The key to things for europe are soy little wage growth margins arent likely to pick up even though it is subdued. Then we have very low bond yields that are likely to go lower, and that helps corporate Interest Payments. It adds up to positive earnings are prices. Jonathan they conviction story around the effects market is pretty clear you wont find , butgoing into next year there is a story around european stocks that appears to have diminished. Based on the data you have, is it the same start . The storiesd one of it has diminished is that q3 was pretty bad. Q2, 10 in q3. In global a massive slowdown . Or is that massive right off . We think it is primarily the commodity sectors and that we will bounce back that slowdown has caused confidence to dip. Jonathan as you look forward to december, since the last meeting mario draghi has been dovish around 12 . What is the upside for the rest of the year going into december when so much is already priced in . I would rather look to december, 2016. I think people get positive Earnings Growth and a central bank that is supportive. Jonathan the First Quarter of 2015 is very much about the fx channel. Lets call it qe1b how does it influence the market and how does it influence the stoxx question mark this stocks . Started toit has recover and no one was to factor that into their numbers. Helps because it keeps bond deals and Interest Payments low, but apart from that is the reason for being attracted to european equities. Jonathan Peter Sullivan, great to have you with us. A quick word from barclays he will stay with us later on. You look at things developing in china, the proxy for concern about china was the dax. Are you seeing enough overnight that makes you think twice about that conviction . Not really. Sense thatr in the everything is lining up nicely for european equities the economy recovering, the possible weak euro. Jonathan i want to bring the trade around as you look at equities off the back of what has happened in china, do you buy the dip based on what you are seeing . Not necessarily in germany. Germany clearly trades with china, and we still see some influence in china. Jonathan up next, we are live in moscow as putin and hollande agree to coordinate strikes in syria. Session, thed the ftse down by 36 points. Good morning. Jonathan good morning from the city of london this is on the move. The ftse is down by 6 10 of 1 . Here are bloombergs top stories. The shanghai composite plunged more than 5 this morning over concerns about the second largest economy as industrial profits slumped by 4. 6 and regulators wide in the probe into the countrys biggest brokerages. The euro is set for its longest stretch of weekly decline versus the yen since 1999 as anticipation builds for the European CentralBank Surprising investors with stimulus next week. France and russia have a great coordinating strike to increase the focus on jihadist militants after president s hollande and lujan that in moscow yesterday. Moscow, Ryan Chilcote joins us now. You look at the leadership cameron, obama, merkel they are all saying they are on board will stop has hollande succeeded in building that Coalition People thought he may not build questio . Ryan maybe. We saw the russian president say that they would avoid areas where the socalled moderate controlled,as however he has made that pledge before. He also complained about going through the transcript, sharing information with the americans, saying that we gave americans all the altitudes and coordinates for our planes when they fly missions in syria, and they just shared that with the other members of the coalition why do we do that . Suggesting that the turks used that information to down the jet. Russians have any sort of concerns about sharing information about the missions, it will make it difficult for real cooperation to happen. He made a nice pledge that it is all about what he actually does in syria after that press conference. Jonathan quickly, one step forward and another step back. Russia and turkey. The escalation, the follow, does that increase or get worse . Ryan it will get worse we heard the russian Prime Minister say that his ministers have two days to introduce ideas, to come up with ideas for new sanctions and it sounds like they will be farreaching and wideranging. Even the effective travel ban that they have in place will really hurt turkey. Providemillion russians turkey with desperately needed hard currency that helps with turkeys current account deficits and at that money is offsetting that deficit goes away, that will put pressure on the euro. Jonathan Ryan Chilcote, great to have you with us. Here in the studio is the head of European Asset allocations of berkeley. Thecant help but notice dominant role frances taking in leadership. I wonder how this develops does it develop or does it stay or develop into something more question mark what are your thoughts . Is natural that frances taking a big role because of the attacks in paris and i think it will stay like that for a while, but i doubt it will become a more prominent role. Clearly germany is still the powerhouse and they have been quiet about this because it hasnt affected them in the same way as friends. A commodity market insulated by the supply story a little bit of nervousness surrounding that downing of a russian fighter jet. Is that too decline . It is always difficult to predict geopolitics in the oil markets and we have a constructive view on oil. But that is regardless of the geopolitics. So the dax last year we thought it was a proxy for anything that happened with crimea the what is the proxy in the middle east . That is a very good question. Now,nk it is less odious with crimea and russia they were important trade links, and now they are less obvious. Clearly, the fact that you have the risk of terrorist attacks have to imply a risk premium on European Assets. Jonathan you will stay with us. , as some retailers shun black friday, they are still heading to the shops we will ask the question. Jonathan happy friday. I am live from london. It is the day after thanksgiving, better known as black friday. This year for some retailers on this side of the atlantic, it has been a shunning of the shopping extravaganza. Caroline hyde has the details. Caroline for the past two years i have been in the fight to brawl on high street. Owned by walmart, known for bringing black friday to the united kingdom. Not aear, it shunned it, bracing black friday, largely because of the damage it reaped within its own stores and the damage it reaped on its own profit base. Suddenly we saw a rockbottom prices across many products. From before christmas we used to start sales after. Many have been shunning on the high street black friday but it is still said to be a record year for the online area. Amazon is expecting more than 7000 deals to bring in extraordinary records amount. Overall, visa thinks they could bring in 1. 4 billion pounds in the u. K. Alone. A 17 ould be largely growth online. Perhaps a quieter, calm or high street. The frenzy on the mobile or tablet as people get in on the deals that are still going on by other retailers, but trying to do it every friday, taking off some of the pressure on their website. You still have the likes of theseurys and tesco, retailers really trying to crowd out the deals. In luxury dealers, liberty is on the deal as well. Perhaps slightly less frenzy on high street. Caroline hyde. Coming into this year, the short energy and longer consumer. Is it a little bit more nuanced than that . If i look at the performance of retail stocks, walmart is doing terribly, amazon doing very well. Is that the consumer that i want to be going into 2016 . Well, the truth is that the consumer story has played out quite early. Operations are now older. It is tricky to extrapolate that going forward. You have to believe that the consumption strength will proceed. But in terms of the potential lapse that you get, perhaps it is not as good as it was. Jonathan Peter Sullivan of hsbc im sure some of our viewers heard what he said. Lower wages in europe break the margins for european companies. But at some point those european consumers need the money in their pocket to buy out these companies. That lower earnings story is going to be terrible for companies out there. What are we looking at when you look at all those things . I still think it is good for corporate for households. If you look at spain for example, and the fact that Interest Rates have been lowered by the ecb, it really leveraging for the consumer and for corporate, and that is making them save some money. Seems. Ot as bad as it ultimately it will depend on how strong it is that so far it has been jonathan the strengthening of the consumer balance sheet, and the word you used was deleveraging. Are we still in the deleveraging cycle . Demand may be taking that higher, but the deleveraging cycle, how much longer does that go on for . We have plenty of room in europe we are still early in the Monetary Policy cycle, and these things help the deleveraging process. When i look at the credit cycle in the u. S. And europe, they are miles apart. It is a very different reality. That combination. Jonathan hold that thought we will talk credit shortly. Up next, a Renewable Energy company on the brink of becoming spains biggest business bankruptcy. 27 minutes into the session. The shanghai composite has the biggest drop since august. A weaker session here in august. I just had a horrible nightmare. My companys entire network went down, and i was home in bed, unaware. But that would never happen. Comcast business monitors my Companys Network 24 hours a day and calls and emails me if something, like this scary storm, takes it offline. So i can rest easy. What. You dont have a desk bed . Dont be left in the dark. Get proactive alerts 24 7. Comcast business. Built for business. Jonathan good morning and welcome back to on the move. The hang seng down by 1. 9 . 30 minutes into the session in europe, asia in focus. Lets check the markets. The shanghai composite, biggest drop since august. Screen. P on the early reaction, i know. The ftse 100 down by 32 points. The dax also lower by 0. 2 . Switch up the board. Week near anto next sevenmonth low. Pretty much dead flat on the session. Euroyen, seven straight weeks of decline. That is a record losing streak. Brent crude ahead of opec next week, 45 a barrel on the button. Caroline hyde. Caroline im looking at minors miners. The slump you saw in hong kong. That, we are seeing miners were field with optimism, lessening any bearish bet from metals, and perhaps supporting prices in metals, all that optimism being sucked away by china on the concerns of industrial profits down. Anglo american, down by 4. 5 . The metal prices slump and the big miners slumped to zip. Volkswagen is also under focus. Reports in german press said they could have an extended christmas break. Spell about some of the hits they are expecting from socalled diesel gate . Will the ramifications keep on flowing from those concerns about the hit . Clearly, volkswagen, a key concern. Lets end on a high. Lets go green. Vestas wind systems, up 3. 8 . Analysts, looking more favorably on it. Upgraded to a buy from kepler today. They like it and they say overall, the wind market is going to the stable in 201516 and in the longer term. A bit of an uptick for those more passionate about climate change. Jonathan what a week we have. 21, the ecb, payrolls, opec. Abengoa, a company many of you have never heard of until this week, took one more step to becoming spains biggest bankruptcy. Its stock fell as low as . 12 on the euro. A bloomberg strategist spent a whole week looking at those bonds. Joining us now. The corporate reality suddenly strikes and things explode. Absolutely. That is one of the big things. The dovish review on the ecb, expectations for ending qe, the effect that has versus the fed. You chase yield in the periphery, you look at abengoa. Back in june, you thought you were buying the recovery trade on the periphery of eurozone. You go from 100 five cents down to . 12 on the euro. It tells you that in a risk on environment, youve got to look at what risk you are taking on and take more of a fundamental approach. Jonathan other people say these are very isolated stories. You put abengoa together with havewagen, who vcocould predicted that . Simon we are still positive in terms of credit markets generally. Through, towards the historic lows on default rates. What it does tell you is that the debt risk can pop up in any location that you take your eye off the ball. Theresfor complacency. Jonathan you look at whats happening in sovereign debt and you wonder why people are chasing yield. The amounts of debt in the eurozone, with a negative yield. The ecb are chasing their tail. Even if they cut by 10 basis points, theyre not going to be able to buy. How much worse does that get . The policy is pushing these yields down. One thing to consider is that one of the possible options for the ecb is to remove some of the limits they have on the debt they can buy. Perhaps allowing them to purchase debt with already negative yields and below the refi rate. Jonathan simon, the world of richard fisher, former dallas reserve president , used to say that qe, suddenly the world and these bonds look so much better than they are. At some point, you wake up and find you are not holding what you thought you were holding. How much of a concern is that for you . Simon we are trading negative after seven years in germany. There is an obligation for Money Managers to hit their yield bogeys on a quarterly basis. You have to chase further and further down the quality curve. The risk is that you are chasing just the yield rather than the conviction trade. Jonathan stay with us. Financial stability in focus. I want to look at the u. K. Housing market. Figures show a slowing in Property Price growth. Nejra cehic has