I am olivia sterns. This is the pulse. Muskg up this hour, elon is betting the big and how he hopes the new model s will help the year. Span. Take you for a world cup kicks off in three days. Is brazil ready . Why the nation is not up to speed. That is later on the pulse. In the meantime, the top story. Jeanclaude junckers candidacy may be smothered today. David cameronand and dutch Prime Minister are in sweden to discuss who will take job. Us top hans nichols joins us from berlin. Junckers won the most seats in last months european elections. Can he waited it out and hope it will come to him . For the politicians are getting their Heads Together and it will be tougher . He cannot wait it out. Time is not on his side. Moreonger he waits, the opportunity for a replacement, additional compromise candidate. Christine lagarde said it would not be her. When you hear from the british and they are leaving this antijuncker charge, not so subtly, they really want to have a female and that top job. For them to sing the younger tendency. You look at the opposition. Sweden and holland are opposed. Opposed. O the question in all of this is how firm and strong is Angela Merkels support or issue willing to trade it away and give David Cameron a political so cameron can go back to voters is that i am influencing things and it is better for us to stay in eu and rewrite some of the trees and have better autonomy. At the looks like the longer it goes on, the harder it is for juncker to make his case he is the de facto candidate. The British Press has been hounding for the tabloid up dirt. Trying to dig what is going on here . The british newspaper discovery junckers father in 1941 had joined the german army. Younger and his people are responding that this is disgusting. Youre seeing younger you are junker turn it into a test. They are pretty opposed to. It escalate our the weekend. British tabloid is 6 13 into something, it is hard to get out of their mouth. Intonk their teeth something, it is hard to get it out of their mouth. Ok. Lets move on. Thank you very much. Hans nichols joining us from berlin. Chris the first pizza the first peace talks the first peace talks began. For asecond down ceasefire. Ryan chilcote has the details. As you cranes president wants peace order and and into the bios by the end of the week. Ukraines president wants a piece order by the end of the week. I put in the question, what are the odds we will see a ceasefire . Have a listen to part of our exchange. You had this meeting with poroshenko. President obama. How likely is a ceasefire in the ukraine and what can you and what will you do to achieve a ceasefire . And how quickly do you think a ceasefire can be achieved . I think it can be done immediately. They need to stop the operations. It is the only way to crater conditions to start real negotiations. Tocreate real conditions start real negotiations. No one has said anything to them are propose anything concrete. People do not know how they will live and under what conditions and what the parameters of the new constitution will be. There is no conversation about that. There have been arguments and debates between president ial candidates but no one invited a representative from the south east. That situation needs to be radically changed. The president ial elections a ukraine is over and the fight is over. We need to work with people. Odds that athe cease fire can be achieved in ukraine . I think that ukrainian leadership will and wisdom. It will show its a good will and wisdom. Have to stop the military operations. Immediately i announced the ceasefire. Themmediately i announced cease fire. No other way to grade the conditions for negotiations. You can be forgiven or the russian president could be forgiven to think i had as what the ukrainians need to do. I asked what he could do and what he is prepared to do. You see but all of this on the leadership of ukraine Central Government. They need to do this and that. He did not say what he was prepared to do nor the separatist could or should do. Is what the west would have liked to have heard. They would like him to say they shall put out their arms they should put down their arms and the army and have a cease fire. Thats not what we heard. Read between the lines are forming. We get to scissor that putin is pulling strings and have the ability. And having ability over these guys. What degree does he have the ability . Of the European Union, the west, the United States believe he has in florence. To jump intog that. He has some influence. They want to be part of russia. They say he is the man that can make it happen. That is correct. Socalled mercenaries and that came from russia. He has a little bit of influence. We have what analysts would say maintaining the but there he does not have any influence. At no point does he say they should put down their arms because no suggest he can bring it about. That is the big disconnect. He has to basically hang of these guys up to dry fighting in the east of the country. The only concrete move we saw out of the talks between him and merkel and poroshenko was that on saturday, he ordered the troops in russia, at least on paper, he ordered the border troops to seal the border and the ukrainians are trying to do the same thing. That would prevent foot traffic and new fighters and weapons. That could be a start. That is just in order. All right. Thank you, ryan chilcote. Looking forward to the world cup, the biggest torpor in are expressing concerns over a new round of alice of allegations. Backtt gotkine has gotten and he joins us. Visa, big names and they are adding the pressure, a great pressure to the investigation here. Very much so. Or forget go away about as we get to the kickoff of the 2014 world cup or any hopes of brushing this under the carpet seems to be blown out by the allegations and the fact these corporate sponsors, big financial backers, the money, is now saying fifa you need to sort it out and have a proper investigation. Fisank that is something has no choice about. Lets not forget what these allegations are. They started in the sundays time over a week ago suggesting that the most senior football ibes to getd paid br people to vote for them to host the world cup. The laces allegations that has millions of documents suggest he has a slush fund in order to get more votes and use the influence of the royals two broke a trade deal in order to get the votes for the 2022 world cup. The qataris are vehemently denying. Heofficial capacity said he has nothing to respond about. So, thats what is going on. The corporate sponsors think something needs to be done. We have heard from the likes of sony and cocacola. Theyre all saying a proper investigation needs to take place. They said the 10 year around fifa is not good for football or fifa and its partners and that is a bit of an understatement. Three days before kickoff. Waybviously, it is a long off. Are there talks that qatar could lose the world cup and what is next . What happens next is a focus willfa which they hope switch to the actual football taking place in brazil. We do not know if more allegations or revelations might come out in the next few days. A bit more explosive to coincide with the start of the world top. What did happen in terms of the investigation is where michael garcia, a former prosecutor, he is due to send his report to fifas ethics committee. It will decide if there is a case and if there is, what action ought to be taken . More allegations could emerge they could be more complaints from a sponsors. The key thing here is not of the big sponsors have broken ranks. , youare not saying, fifa are not doing the right and you are dragging your heels. Many say fifa will carry out the investigation, but none came out and criticized fifa because they are waiting to see. And as transparent as they expect. Our middle east editor. The transatlantic war of words. The 10 billion fine and awkward situation and to trade relation between the u. S. And europe. Good morning. You are watching the pulse. It is monday. European markets. Lets take a look of what is happening in the fx story. Volatility under pressure as is the euro. We spied earlier on a but since then, what ive been told, real money rallying and it has taken us lower from the get go. 136. Slightlyn see, negative for right now. The big story out of the eurozone and if you are america, do not take offense. Areish tenure of the bonds, trading below treasury. There are other european bonds that been doing ever quite some time. Look at the irish. Trading on par as we speak with as. 10 year postup is that reflection of the reality of the Economic Situation . Different project ariz . Ctories . Ariz proje it has been interesting. Heat for 10e billion fine looming over allegations of sanctions. A top regulator pressured them to fire a top executive. What does the future look like . A banking analyst. Good morning and thank you for coming down. The market is close in france. Phe pressure is building can bn afford it and billion dollar fine . Bnp is a very strong bank. , it willke the fine take to 9. 6. It can climb back. By not paying the dividend, it can switch. They can generate profit which is very likely. Theould be to climb back at end of the second quarter. On the strength, bnp is quite strong. Evenly operating stricter and stronger. They will still be at 7. 5 growth. It is [indiscernible] the outlook or outset. How doesman management play this . It will potentially freak out investors. They were fine. Does that encourage and regulators . If in an uncomfortable situation. If they say we are very strong and can absorb this easily, it will attract a higher fine, on the other hand, if they say it they lose. , then they have to tread a fine line. Has an interest in clarifying the situation. At the mosto things likely way they will raise money . Dividends . Raise capitals . Other ways . 10 and the second quarter, if they suppress the dividend and the provisions, the generation through profit is another 24. There is a gap of 24 basis points to climb back. They can do that by reducing assets may be too conservative. Assets of the smaller ones. How has management been bearing its head in the sand . Will extract their pound of flesh. What is the window for the fed . They all got help, quid pro quo. What we are seeing is there is a reverse of that. Should they have not seen this coming . Ande do not know the end outs. Clearly, the u. S. Authorities believe the press, they are criticizing bnp for being slow in the investigation and reaction. Andre seeing the process trying to redeem itself in the last few weeks. Quick is management response chris is management responsible for this . Big fines have been coming for a long time. Crews the big question is the chain of command, was a ware of this . Indicated, it plays out in switzerland. The management would be exposed. The question is complying and controls at a high level. It would be an impact, with that being said, bnp its a large bank. I do not think it will directly affect their business. Manes said the find has become so big its because management was not cooperating. There is another reason why it is pressure. Findk of concern about the or what ever the settlement is they could lose access to the u. S. Dollar payment. If they do that, how big of a problem is it . Payment system, the chips one. There are about 49 participants and bnp isnt one of them. Bnps share would be is it it is essential . Wouldis essential and delay the pace which should be readily online. If you try to go into traffic. And the issue where bnp central bank are concerned. That could do damage to bnps reputation with the Global Climate . Soma may redirect their payments to other businesses to other banks. It is ongoing about that situation. Thank you to jeanclaude lambert. We will take a break. Well be back in a couple of minutes. Welcome back. We arehave not noticed, the start of the world cup down in brazil. The biggest sporting event on the planet. We talked about how the design of this years football is so important. Arrow dynamics of basically is a study of flow around objects. Not in the business of developing soccer balls are any balls or testing them. We do you sports balls here especially in our lab for educational purposes. It is easy to get young people interested in our field. What we have is the wind tunnel which is basically a chamber through which air flows. When it comes to soccer balls, we are looking at the plight of the ball through the air. There is a layer that forms near the balls surface and the behavior which is the critical to the ball. Why aerodynamics is the structure of the outside of material, the rob this. That determines the aerodynamics of the ball. The outside of the material the rough finesse. It may change directions as a goes through the air. What has been done is that by using the fingers on it, it increases. What we are looking at is where does that smoke leave the ball and at what point along the surface and the location changes suddenly, that is the speed at which teh ball goes. I think the basic message is that, [indiscernible] is more like at traditional ball and it will be and they will be happier. Was just aght it ball. I thought it was just a ball. Amazing. Will take a short break and well be back in a couple of minutes. Polesome back to the live in london. An attack ad drudge airport has left 17 security personnel and 14 dead. Officials continued to search the airport. The taliban has claimed responsibility for this attack. The head of the European Commission has been dealt another blow. He is hosting leaders of germany, holland and the u. K. Today. David cameron has threatened to leave the eu if juncker is elected. Won hisl nadal has ninth french open. Slam titles. Nd he says this is the most important tournament of the year for him. A look now at how european markets are trading. They are on a bit of a winning streak as well. Weve got records over in the United States with the s p 500. Nine of the markets are currently shot across europe. Still feeling the warm breeze from the European Central bank. The centralshing banks hire. Saying many going overweight. Stocks driving higher. That appetite for risky assets also in the currencies. Exports growing 7 , the biggest trade surplus in china in five years. Imports, of course, on the downside. A little worried about domestic demand. But you pm demand and demand from hong kong and taiwan seem to be driving but european demand and demand from hong kong and taiwan seem to be driving exports higher. Bit of a selloff happening in the japanese yen. Lets look at the bond markets. It is all about that and ecb affecting as well. Spain, borrowing costs lower than the United States in the 10year. Currently at 2. 6 , a record low. A 2. 6 as states well, but it is slightly lower for spain. Again, a record low in terms of borrowing costs for italy. The ecb also pumping money into the smalltomediumsize under es means that there is enterprises means that there is still interest. In just 25 minutes, it is surveillance with tom keene. Tom, what can we look forward to today . Friday and report on especially after the calm on the ecb on thursday. We have the markets moving forward. About the dows 17,000 watch. The real loserd, in the United States is everyone taking over. They have an uberlike evaluation for connect zero. Uber in london is much cheaper than the black cabs but more expensive than the all caps. The ftse close to its highest level. The market headline economic sense of is the spanish 10year yield. What do you make of it . I would look at the yield movement as a dynamic of what is going on in europe. Weve got a stronger euro as well. It is a push back on demand for bonds at a place to put money. Alberto gullo from. Rbs has been very good on movement on the yields. We had him on early this morning on the pulse. Coming up, elon musk betting big on britain. Landlps the model s will the auto carmaker a foothold in the u. K. With the pic above a porsche and the stratus battery on the road, the tesla model s has been the king of green luxury cars. Already 25,000 on the streets of the u. S. So why are they tweaking with detection with perfection . Time ever, the Steering Wheel is on the right side of the car. Inside, all the bells and whistles you would expect to find. Full7inch display, a ipadsize vision of google maps going, tracking my energy consumption, and they projected rain. Voice control. It is a minor tweak for elon musk who is betting britain will be his top market in europe. Be oneu. K. Is likely to of our most significant markets, somewhere between 3, 4 or five, i would guess. If you order a car now, you would receive it in about four months. We are putting a lot of effort into supercharge infrastructure. We want england covered by the end of this year and all of the British Isles by the end of next year. So the infrastructure rollout is quite significant. We will be spending several tens of millions of dollars in the next year. It starts a 50,000 pounds. Musk went to london to turn over the keys to the first five owners. Among them, the bestselling author of 50 shades of grey. Oxes. Checks all the b musk hopes it will springboard tesla in other countries where people drives on the left side of the road. Charging the cars will still be a challenge without the infrastructure in place. Newwhile, in britain, these supercharger stations may prove to be the key for tesla to make major new inroads. I know you have driven one. It drives like a dream. They are fun to drive. Zero to 60 in 4. 6 seconds. Eminiem fornt play you. I tried it with a british accent. [laughter] energy, wes new will follow electric cars with [indiscernible] the phone. You put in one of the first charging stations for electric cars. Isnt it green is that weve now got elon musk saying that he sees the u. K. As important for him . Is it the more the merrier or doesnt not work like that . A few months ago, it did look like that. We reachedt out to tesla and said we have the infrastructure. We will show you what it is all about in britain and help you build them. More recently, that turned sour when tesla tried to go behind us and take those from us. The Tesla Supercharger Network will compete with network . Ys there are 10,000 electric cars already on the road in britain. Three different charging standards and all of our network will power all of those 14 models from five manufacturers. Works forcharger only tesla. We are happy to accommodate them. And terms of getting to critical mass, how far away are we . Are we entering a different phase where it will become competitive and that is why tesla has done what it has done . Or do you think we are still a ways away from getting to cripple mass and therefore we shouldnt