Royce. The engine maker loses 4. 6 billion pounds in 2016 as a bribery fine and weaker sterling hurt the bottom line. Turmoil at toshiba. The chairman announces his resignation as a delayed Earnings Release sends the stock down 8 in tokyo. Apology not accepted. National security adviser Michael Flynn resigns after apologizing to Vice President mike pence for misleading him on russian relations in a significant blow to Donald Trumps administration. Good morning. Welcome to street signs. It is valentines day, if you cant tell from the show of red on set today. Lets get you up to speed on this holiday with some data out of italy on gdp for the Fourth Quarter growth figures. Looking at a preliminary reading on the quarter of an increase for 0. 2 . That is in line with the reuters forecast on an annual figure, looking at an uptake of 1. 1 . This is in line with the previous growth rate of 1 . Glancing at our European Equity markets, we are slightly mixed at the moment. I would call these relatively flat markets, with the ftse mib and cac 40 pulling higher. And the xetra dax and the ftse 100 just a bit lower. Janet yellen gives her semiannual testimony today and tomorrow with a lot of people looking to see whether or not she will steer the fed towards three or two hikes this year. Maybe just a bit of hanging on ahead of that. It is her first testimony since the republicans had control of both houses on the hill. Interesting to see whether she remarks on additional comments from trump in terms of tax stimulus. Right here in europe we are keeping an eye on big earnings movers. Credit suisse among them. Shares getting a boost despite reporting mixed results including Fourth Quarter losses that came in larger than expected. Pretax profits topped analyst expectations boosted by a Strong Quarter in the Investment Banking and Capital Markets group. Lets get out to carolyn who joins us from zurich. You have been speaking to the ceo, taking a closer look at results what do you think has encouraged investors this morning . Weve got the fact that the equity ratio fell to 11. 6 . The forecast was closer to 11. 1 as a result of that massive charge in relation to the department of justice settlement in relation to the rnbs that we saw late last year. Capital did hold up a bit better than expected. Some other analysts pointing out that we saw the pretax better as a result of the International Wealth management business, which performed better than many people forecast. And same goes for the swiss business. There were some negative takeaways. Of course youve got the net loss for the full year. You have the net loss for the Fourth Quarter as a result of that settlement. However this was one of the biggest litigation risks for Credit Suisse, that has now been removed. Theres relief about that. On top of that, we have net new money outflows, thats something to worry about. That said, we are seeing more declined activity across the board. It may be the trump effect, thats something that ubs was talking about two, three weeks ago when we spoke to their coo it seems like momentum at Credit Suisse has been positive. Advisory is extremely strong. We have done 60 projections, in many lines we have done more than q1 last year. Global market also is very strong in revenues. Let me emphasize, when the Global Market is working with 20 less capital than before. A lot of numbers we see out there, people dont always remember to take into account the Global Market from prior year was 20 bigger than it is now. Q4 revenues up 7 . Global markets are good. We are up 100 in january in credit. So considering that we also dropped because run rate is 16 lower in december, 16 compared to december 15, it is a good position to be in. Tidjane you are always guarded when asked about the outlook for the next year. I guess it would be wrong to extrapolate what were seeing the First Quarter to the rest of the year, but how do you feel about 2017 given that you have had a strong start to the year . Its always the toughest question you ask me, my inclination would be to be prudent. We had a good january, thats all i can say. We had a good january. We had a good january. I hope the rest will be similar we dont see any indication to the contrary, but one has to be humble in the markets. A lot of Geopolitical Uncertainty and things on the horizon that could turn negative. Cautiously optimistic. Cautiously optimistic, thats the note from tidjane thiam, the ceo of Credit Suisse. Plenty of uncertainties out there for Credit Suisse. Despite that, Credit Suisse says it is on track to continue with plans to ipo, partially ipo the swiss business even though theyre looking at different opportunities and scenarios for that business. There had been speculation that Institutional Investors had not been quite as high, and cost cutting continues,6,500 more job also have to go in 2017. Carolin, thank you. Is everybody in the valentines mood in zurich . Were trying to get into the mood here. Not quite yet. I guess zurich is not the most exciting of all places to celebrate valentines day. At least not at 10 00 in the morning. I hear you on that one. Carolin, it is nice to see you. Well talk again soon. It is nice to celebrate love. Positivity. Depends. Actelion posted annual revenues of 2. 4 billion swiss francs. The Earnings Release comes after the u. S. Pharma giant Johnson Johnson agreed to buy actelion for 30 billion last month. Randstad Beat Estimates in the Fourth Quarter, helped by the acquisition of monster worldwide. Randstad hiked the dividend to 1. 89 euros per share. The ceo and cfo of aryzta is to step down. The company is considering a sale of assets to improve its balance sheet. The stock lost over 60 of its value since march of 015. We want to hear from you. Get in touch, because we have about 50 minutes left. Get your questions in nice and early, tell us if you are celebrating valentines day, what you think about the Bank Earnings with Credit Suisse. What is the most romantic thing anybody did to you on valentines day. I dont show and tell. I can say this, it was many, many, many years ago. The first year of college, somebody cut out a heart from the biology books that we had at university. Wow. They cut out a heart, a real picture of it, actual picture, cut out the picture of the heart, put it on a homemade piece of paper, and made a card and said you make me throb with emotions, Something Like that. Which i thought was very creative. Very clever. Wonder what happened to the book, if he had to pay back the fine. Dont know. You can share your stories, tell us what youre looking out for in the markets today. We expect janet yellen to speak later. Let us hear from you. The show handle is streetsignseurope cnstreet sign signs, and im nancycnbc. And im louisabojesen. Manuel macrons party chief slams the media for attacking the president ial candidates. Well get the latest on the elections in a couple of minutes. And well talk fx in a bit. Well see you in a second. In your case literally and turn it into medical discoveries, diagnostic breakthroughs. Proof that black holes collapse into one singularity. I dont know what that is. But yes. Innovation runs on supercomputers. And supercomputers run on intel. You are super smart. And super busy. Ooh ufo false alarm, eyelash good morning. Welcome back to street signs. Lets bring you up to speed with one of the top movers in the asian session. Shares of toshiba tumbling after the company said it was not ready to release Third Quarter earnings. Less than an hour ago, it announced its chairman would step down. Pauline has more from singapore. Good morning. Good morning, nancy. This was the big story here in asia today. We have gotten new headlines out as well, because toshiba, even though they delayed the Earnings Release and they say its because the auditors have not the results. The aircraft enginemaker saw underlying profit before tax fall nearly 50 . The board said it carefully reviewed the dividend but did not raise it due to the cash demands on the company. Investors are not looking this news. They were expecting a loss in the neighborhood of 4 billion pounds, but this still disappointed investors. Off 3. 9 the shares are. Bilfinger posted a sharp decline in its adjusted cash flow and output volume for the last full year. Bilfinger is planning to reinstate the dividend as it targets positive Free Cash Flow by 2018. And hidalberg cement missing expectations with Fourth Quarter earnings, reporting a fall in revenue because of bad weather in germany and north america and weakness in the indonesian business. The german cement company saying it will focus on synergies from acquisitions. Now annette ta is in frankfurt and has been following these stories more. Good to see you, annette. Happy valentines day. Happy valentines day to you guys as well. Let me get you up to speed on what happened with the shares. Bilfinger shares are one of the biggest movers to the upside here as people are surprised to the upside when it comes to the outlook that this floor of one euro as a dividend Going Forward is really surprising everybody. That is why shares are positive. On the downside, heidelberg cement was hit by a bad couquar and citing bad weather, but they cant control their costs. Going forward, they plan on raising prices. Thats also adding to the cost pressure overall here in the industry. So their plan is to raise prices in the big market but also focus on cutting costs a little bit more. So, overall, it is surprisingly that they are saying that north america was also a bad market for them. Parts of germany because of the weather, of course. Going forward their ceo is positive. For 2017 this year, they expect to benefit from a revival of grow growth, Infrastructure Projects in the states. One of the c eseos was saying t are planning on benefiting from the big wall that donald trump is planning on building between mexico and the United States. Back to you. Annette, thank you very much. Any big plans for tonight . Not really. I have to say, my better half is away, so im on my own with the baby. Well, that can be romantic, too, in another kind of way. Okay. Annette, good to see you. Thank you for that. Lets move on and talk about italy. That matteo renzi has triggered a fresh leadership contest after stepping down as leader of the democratic party. He said his leadership has come to an end and he hopes the party will survive. Renzi is expected to launch a fresh bid for the role of Prime Minister in the next election. Angela merckers party has hit out at election rival Martin Schulz after floating the idea of euro bonds to attack the debt crisis. The cdus gem secretary, Peter Talbert said schulz wanted to mutualize debt. Schulz said in 2012 that euro bonds was a theoretical debate. In france, manuel macrons party chief told French Television that the president ial favorite is being targeted by russian today and sputnik through the spread of fake news. They says in a bid to help pro russian rivals, Marine Le Pen francois fillon. He added that the americans saw it but it came too late. Russia today denied that it was spreading false news saying the allegations were unfounded. Very happy to have Valentin Marin with us. Good morning. Welcome. Good morning. How worried are you about the european elections that we face, especially the French Election and how much potential downside do you think the euro could feel on the back of this . Theres still some to be priced in in terms of risks from here. If anything, the euro is trading more supported than compared to, say, peripheral bond yield spreads. So we think further down sides towards 1. 04 and 1. 03 is likely against the dollar as the euro prices in concerns. You would think investors would focus on that as we move on to the dutch election midmarch and the french president ial elections. Its still an evolving story, but the risks for euro dollar are on the down side from here. What do i do . Go short the euro ahead of the elections or hold out thinking we might not see a le pen victory and see a bounce given that some may be priced in . We think you short euro at the moment against the dollar and the euro yen is another interesting hedge going against the election. I describe it as a hedge but the central case is that le pen wont win. Th that could increase especially investors are advised to have a cautious approach down the road. Euro yen is attractive since the markets are short yen which makes long positions in the currency attractive. So put spreads look attractive in the case of euro yen at the moment. Whafr what are the risks to the upside then for the euro . Inflation data picking up, we could get a more hawkish ecb than markets are pricing in, and if we do clear some of these Political Risks, if the risk scenarios do not pan out, we could see the euro go higher, is that a possibility even given the path of the dollar now . You argue that the reason the euro is trading, and the wider spread in the eurozone bond markets relative to germany is that the eurozone data is coming in strong. Inflation is recovering, sentiment is at multiyear highs, and growth data is at the highest in several years. So from that point of view, you would see that the Political Risk is the one key down side risk for the euro. If that risk doesnt play out, as feared as expected by us, Political Risk will not play out really in the sense that Mainstream Party also remain in power, then the supportive fundamentals will play a greater role, we think in particular in the case of the euro the improving fundamentals will allow the ecb to discuss taper in september or later this year which makes us constructive on the euro across the board. Euro dollar we expect to recover despite on the whole we expect the dollar to extend gains against other currencies. Because you do have the fundamentals, but at some point the ecb must be concerned about divergence between monetary policy. We could hear janet yellen today point to a march fed rate hike is that a possibility . It is a possibility. Markets are looking at that. They are attaching 30 chance of a rate hike in march. Fact is however that if janet yellen were to sick to her constructive assessment, economy operating at close to full potential, inflation recovering, the fact that the fed is expected to hike a few times, two or three times later in the year, that could leave the markets potentially leaning too much on the dovish side given that the markets are pricing in two hikes this year from that point of view, i wouldnt exclude the whole price later today which could play out as another dollar positive on the day. Are you doing anything special for your loved one tonight . Of course. Shes not watching, right . Were not giving away a secret. I can show her the video. There you go. I know. I know. These are the kinds of things that definitely its sort of a big occasion, so why is it a big occasion . It means a lot. Thats lovely. It is valentines day. So i can think you like this once a year. The disclaimer is this is all in fun. We know youre married. Were not looking to cause any harm to your wife. Thank you very much for coming in. Thank you. We need to head into a quick break. Check out World Markets live, its our blog that runs throughout the european trading day. You can find us at twit nancyc or louisabojesen. Good morning. Welcome back to street signs. Im nancy hungerford. Im louisa bojesen. Your headlines this morning. Credit suisse feeling the love on valentines day. Shares rally as pretax profits beat expectations while the bank outlines more restructuring measures. We said we would generate 4. 2 billion of prospect, weve done 1. 9, thats 45 . So in oneyear weve bon 45 of the program. Now Going Forward it will slow down. But we will keep the target. A record loss for rolls royce. The engine maker loses 4. 6 billion pounds in 2016 as a bribery fine and weaker sterling hurt the bottom line. Turmoil at toshiba. The chairman announces his resignation as a delayed Earnings Release sends the stock down 8 in tokyo. Apology not accepted. National security adviser Michael Flynn resigns after apologizing to Vice President mike pence for misleading him on russian relations in a significant blow to Donald Trumps administration. Hi everybody. Welcome back here on this valentines day. Were getting some inflation data hitting our wires from the uk. Looking at the uk january cpi rising to 1. 8 . That is a little bit weaker than anticipated. The expected figure had been 1. 9 . But still not too ignore that year on year 1. 8 , the highest year on year rate since june of 2014. Looking at the month on month rate, it dropped by a half p percent month on month. Excluding energy, food, tobacco, minus 1. 6 year on year. A bit light compared to expected polls out there. Upward pressure is offset by clothing and footwear prices. Theyre looking at