Question. It is be prepared. There will be some negative statistics over the course of the next two or three months. They can impact confidence. We are not seeing that impact significantly at the moment. It is keeping a significant watch on that. Haveovernment and bank levers they can pull and are ready to pull them if necessary. Right now, i would not be are going strongly for those levers to be pulled. Manus that is pete redfern, the ceo at Taylor Wimpey. Thank you for joining us today. Anna that will do it for countdown. On the move. On the move is next. Anna it is 7 30 in london where caps on down to the start of european trade. This is on the move. I am anna edwards on site Caroline Hyde in berlin. Good morning to you. Caroline has the morning brief. Caroline good morning. Set for stimulus. The yen takes a dive after a with a ¥20 trillion boost will will and 20 trillion will a ¥20 trillion boost will and trading slop and overall charges hit the bottom line. Estimates. Ats we speak to the companys cfo in an hour. Apple needs sales false applebees sales fall shares surging in afterhours. Hillary makes history. Clinton is confirmed as the first woman to run as the president ial candidate of a major u. S. Political party. There is so much to be digging into today. You have been analyzing the features. A great interview you had with Taylor Wimpey about the implications of a brexit and we will dig into that as we talked to our guests. Talk to metro bank in a little while. Other futures market is opening us up for the opening of trade. It looks pretty buoyant. We could see again as we head into a less than a halfhour into the european open. Up. 4 as you look at the euro stoxx 60. A performing with the dax in germany. Look for Deutsche Bank but lets get over to the Bloomberg Business flash with tom mackenzie. Tom caroline, thank you. The yen has had a volatile morning following reports on the details of shinzo hobbies shinzo abes stimulus package. The Television Network reporting citing unidentified person that impacts will include ¥13 trillion of low interest loans. News agency kyotos stimulus will be more than 28 children yen. The legs ¥28 trillion. Hillary clinton will be the first woman to run for president in a Major Political party. It happened after Bernie Sanders took the megaphone to ask for his former rival to be named as the party nominee. Madam chair, i move that the convention suspend the procedural rules. I move that all votes cast by delegates be reflected in the official record and i move that Hillary Clinton be selected as the nominee of the Democratic Party for president of the united states. Meanwhile, bill clinton paid his own tribute to his wife. She is insatiably curious, a natural leader, a good organizer. She is the best change maker i have ever met in my entire life. Apple shares have jumped in extended trading. That is after the companys apple iphone as he gained no traction with users. The tech giant forecast sales would fall for a third convicted with which was better than most analysts estimated. The shares slumped after they slumped twitter shares as you do as user growth stagnates. Global news, 24 hours a day, powered by 2600 journalists and analysts in more than 120 countries. This is bloomberg. Anna. Anna thanks very much. Lets get straight to the latest in the market. We got david ingles standing by for us. Youve got details on what has been happening in this session. Yes he has it he is joining us from hong kong. David we are talking about how a lot of these expectations in these price actions that we have seen so far. The markets are closed already in japan. Driven by these expectations and sometimes conflicting reports out of tokyo as to the size and the timing of this fiscal stimulus. I have here a when you look at the 10 year yield a japan just to show you how low we got. It has been turned on its head. We are now pushing toward negative. 30 on the tenure. You look at the twoyear, five year, also pushing toward record lows. On the expectation that not only will we get fiscal stimulus but the boj come friday is expected to announce maybe a doubling down. We will see what they announce. Have a look at what the dollar yen at the dollar yen. If you extend this into a two day look, its basically texas to103. 99 it takes us 103. 99. 105. 73 is your level right now. It is not just the top line on how large it is, but which part of that is actually called supplementary or incremental spending. Negated if 25 nikkei 225 close like this. 16,000 6064 here. 16,006 under 64 here. 16,664 here. I am getting mixed up. Asia is looking like this you put living together, it is basically flat asia is looking like this. Everything together, it is basically flat. The world could look totally different come friday afternoon. Anna. Anna i will pick up from here. Yes indeed. Will the world looks different. For more on japans stimulus package, we are joined by nicholas. Nicholas, what do you anticipate in terms of fiscal stimulus first, theres so much in terms of reports. It has been it is had a big effect on the yen. Everything i have heard from the Government People is they are going to try and push through the biggest fiscal package they think they can get away with. Exactly the same as the u. K. And u. S. And everywhere else. Then after big number and you try to find out what they have going out of the government coffers. They have announced a number of 20 children i number of 28 trillion a number of ¥20 trillion. From what i am hearing, it is going to be overwhelmingly in construction. Anna and construction. In terms of fiscal stimulus, we have become used to monetary stimulus dust to a currency. Keeping began under control has been a target for policymakers in japan for so long. What do we expect this size of fiscal stimulus to do for the currency in japan . Nicholas it depends and what the real final number is. Ae yen is likely to take slide on this. Necklacecaroline nicolas, given that we have ¥20 trillion in terms of the physical side. Lets turn our to the monetary side here at your 20 Monetary Policy to inject or stimulus as most economists seem to. Alas theres a lot of lot of them seem to think the bank of japan there arent any more monster by. If they do lose something, they will be firing the last bullet which would be buying etfs. Once they have done so, they will open everyone up over they will open their moving up. My belief is probably they wont. Thinking of economists they will move. That is probably in the price. The risk of return is if you does what they would expect, the market does nothing. If it doesnt, the markets will slip a little. We have been there before. Heres a man who likes to surprise markets. Anna do you rule out any further cutting into further negative territory and Interest Rates . Necklace the last time he did it, it was time very well. Inflation swaps, you can see the whole thing started to fall apart immediately after he did that. He is really shocked that he thought it would help and the currency went the wrong way. Inflation expectation collapsed after that, and he is not his old self. He has been called into element 37 times this year, more than any full year for a decade and a half. I think the chances are the pressures on him to that Interest Rates. The pressure is on to not cut Interest Rate any further. Anna helicopter money, potentially could he denied it earlier in a report with the bbc. He denied it will go into negative territory as well. Nicholas and when i spoke to at the boj says kuroda cannot distance himself from talk of helicopter money in the form described by bernanke. It allior guy said to me depends on what you call helicopter money. Since kuroda came to power, increasing Government Debt ¥106 trillion. Increasing bank of japan holdings. They are monetizing at a rate of 240 . That sounds pretty close to helicopter money to me. They are doing it already. They are printing the money, now they just need to go out and spend some money. Anna it seems that is what a number of analysts are telling us. Nicholas, thank you very much. Up next, we will talk banking, to make profits evaporate as the trading slump and overall charges hit the bottom line. The market open, where watching the Banking Sector. Im holdings and Air France Klm to name a few. We speak to the scoping executives. It is the ceo of the challenger bank, metro bank. It is the chief Financial Officer. Lots to talk about. This is bloomberg. Anna welcome back. This is on the move. We find a david ingles, he has the Bloomberg Business flash. David thanks anna. Europes biggest bank recorded net income, 1. 2 8 billion euros. 1. 20 8 billion euros. This is focusing down to a onetime gain that was not repeated. The bank repeated that it does aim to raise its dividend this year. On the move will be speaking with the chief Financial Officer at tenant like a. M. U. K. Time at 10 00 a. M. U. K. Time. Jetss. Passenger experience passenger delays. It took a one billion euro hit against the cost of fixing fawlty boxes. Mark start deteriorating as fares fall as terrorist attacks have had an effect on tourism. It felt to 6. 2 2 billion euros. For the airline. Apple shares have jumped in extended trading. That comes as the companys lowercost iphone as he getting much action gaining more traction with consumers. Details giant forecast will fall for a third consecutive quarter, the range were looking at here is the rain the range for the current quarter. Our initial sales data tells us the iphone sd is popular in both developed and emerging markets and the percentage of se sales are going to customers who are new to iphone in greater than we have seen the last several years. David that is your Bloomberg Business flash. Caroline. Caroline which of banks profits have almost been Deutsche Banks profits have almost been wiped out. The german Bank Reported income of 18 Million Euros. That is down from 17. 96 Million Euros from a year earlier and is lost half of its market value over the last year. Is Michael Moore. Onlying to be expectations just it is a wide range of forecasts where we can see Deutsche Bank come in. The trading revenue has collapsed. . When there was volatility in the market helping the other companies out there . Michael more michael the. S. Banks posting gains at third of its up was caused by them pulling out of certain businesses or getting out of some of the securitized businesses to try getting capital boost. Another piece that may have been they talk about clients being spooked by all of the talk of Deutsche Bank being in trouble. People questioning deutsches financial strengths and their capital levels. Having so much talk about the bank and its issues seemed to force clients to take a step back. Caroline were following the development on Deutsche Bank at cla the where we blog the ongoing events. This is ongoing in the sense that analysts have moved on to the q a section of that, talking about capital at the bank. Restructuring, a big thing. It has been the focus of the business. We talked last hour about john something is that that is going to be put on today . Michael i think so. This is supposed to be the restructuring year. Sustainably lower costs and higher capital levels. They made some chris some progress and they talk about cutting jobs in germany. The cost piece of it is there. Now it is can they solve the capital piece of it . Capital has been relatively flat for the last couple of quarters. They are looking at a couple of sales and businesses to boost the number. Whether they can get that done this year, i think it will determine a lot of whether this restructuring year is a success. Caroline Michael Moore, think you very much indeed. We get the breaking news that Deutsche Bank will be around 11 around the end of the year it will be speak to another cfo in a moment. Well be discussing the banks with santander ceo. Now, moving away from that, we are going to be eyeing up all of the other stocks you have to keep an eye on ahead of the open up your we are 10 minutes away. A busy morning of earnings. This is bloomberg. The main reason that we are in the market today is in the very strong growth of supply and the market the week we have seen the market [indiscernible] where we are seeing some headwinds [indiscernible] of course the building up of the impact of the terrorist attack and we see definitely a strong impact. That was pierpont swap speaking exclusively to Bloomberg Television following eroding all of the benefits of the weaker fuel prices. It lifted the Second Quarter profits, the status of europes top tourist market really under threat as a result of the terrorismated incidents we have seen in france over recent months. The Banking Sector really a focus for us this morning. Beoline we are going to keeping a close eye on italian lenders, german lenders, spanish lenders. Were going to be speaking to the cfo of staff and their. By santander expedia expectations and saying that beating expectations and saying they are going to be raising going to be keeping an eye on Deutsche Bank. Lightading revenue being and we were discussing with Michael Moore that the reasoning behind that could be the bit of concern about the stability of the letter itself. People not wanting to do trades at the moment, put them back the trading revenue. Unicredit as they mull the stock sales. Now just on the call right , a bit of a catch up on Deutsche Bank. Talk about cost development, depending on i. T. And costs being backed and loaded. The analysts call going on at the moment. You can follow that if you are a bloomberg customer. Well be speaking to close a garcia on the move at 8 30 u. K. Time here it time. Caroline welcome back. Good morning and this is on the move. Im anna edwards, alongside Caroline Hyde in berlin. Wearoline has your morning brief. Caroline tye the yen takes a dive after it is confirmed that fresh stimulus is on the way in japan. Will it be enough to revive the worlds thirdlargest economy. Deutsche banks profit evaporates as a trading slump and overall charges hit the bottom line. Air profits drop. , as the cheaper iphone saves the day. Anna, we have the duty they close eye on what futures are doing. It is pointing to a green day at the moment across the board. We can see Deutsche Bank potentially in focus when looking at the dax. We are up. 6 on the cac 40, similar for the dax. This is currently wei. On the ftse 100. France is pushing higher and air france is in focus. I want to look at the individual markets on the move. Overall, we seem to be in the green when it comes to germany, france, and the u. K. Anna that seems to be the vibe we are getting in european markets as we open up this mornings session. Generally, that is not the impression you get from the stoxx 600. Consumer discretionary stocks seem to be up by the most in. 8 . Of the sector, up. 4 . Stocks are up all of the major sectors are in positive territory, clearly one of the takeaways from this mornings early trade. Lets get into the individual stock movers we have been tracking. Deutsche bank, up. 3 . John cryan saying Deutsche Bank needs to accelerate its costcutting. An overhaul of costs and trading area,n as a weak especially in comparison with what we saw from the united states. By 2. 6 eklm is up Deutsche Bank going unchanged there. 4. 3 . S up by those were impressive according to analysts over at barclays. Some breaking news, caroline. Caroline we have been obsessing about this nintendo stock. Pokemon go has been fueling some appetites, and some concerns. For the First Quarter, we have not seen the implications of the pokemon go of session. We had firstquarter operating losses of more than 5 billion yen, double what expectations were. The expectations called for a 2. 1 billion yen loss. First Quarter Sales came in at 62 billion yen, again shy of estimates. And they are booking an fx charge of 55 billion yen. They are not yet able to show the positive reaction from pokemon go. We will see how those shares trade because it has been on a roller coaster since pokemon go has been obsessing the market action. Anna lets talk about the Banking Sector, but this time from a challenger perspective. Andl revenue is up 63 deposits have increased 74 year on year. Jeffries said the company is said to be profitable at the year end. Turning us now is vernon hill, founder and chairman of metro bank. Great to have you on the program, vernon. Business, thethe highlights and how it has been developing recently. Where do you stand as a business . How far through your ambitious growth agenda are you at metro bank . Vernon metro bank had another great quarter. As you said, our loans are up 110 . Deposits are up 74 . Over 800,000 people bank with us now. We are hardly in our first step of growth. This can be a major player over a very long period of time focusing on service and convenience in the banking world. Anna so, is jefferies right, vernon . We had just a small tax loss of 4 million pounds. Vernon yes, our guidance is, we will turn a profit in the second half of this year. And i believe the guidance is right on. Anna we spoke yesterday to the ceo of virgin money, another challenger bank. There are quite a few challenger banks out there. Do you think this sector must consolidate . Vernon actually, there are not that many banks in brit