when i went to goldman sachs, it 1974. the firm had a couple of loss years. i was interested in working on financial issues and working with clients. vid: when you were a goldman, you but your -- you were not a person who bought your private plane or had a big house in the hamptons. hampto skiing, it is a place that is not where fancy people go. david: with climate change, is due to what, is it has occurred with human activity? it is well documented that it is largely caused by humankind. this is no anonymous risk for economic security or social stability. i see climate risk as the single biggest and most certain and formidable risk that mankind faces. the current administration has pulled us out of the paris accord. in the government who say we do not want to take climate change actions that some people like you are advocating, we want out of the paris accord, what constituency are they appealing to? who is the constituency saying let's not do something? yvonne: i i believe there are invested interest to have a different viewpoint than of average american. t

when i went to goldman sachs, it was 1974, the firm had had a couple of lost years. that i was interested at that time and really working on finance issues, working on clients, i was interesting and working. david: but you are not a person who bought their own private plane, you did not buy a big house in the hamptons. hank: we continue to live in the same house we built when i was making $36,000 a year. when i go skiing, it is that a little area called arapo basin, where it is not a place where fancy people go. david: climate change, is it your view that climate change as we have called that a current, is it due to human activity or what have occurred without human activity? hank: david, it has been well documented that it is largely caused by human conduct. this is an anonymous risk for our economic security, for our social stability. i see this climate risk as a single biggest and most certain and formidable risk that mankind faces. david: do you think the paris accord, which the current administration has pulled the u.s. out of, those people in the government say

as it applies to goldman sachs, this is not your grandfather's goldman sachs. this is more of a modern tech firm. two statistics on goldman sachs employees. one out of every goldman sachs employee is a technologist. 60% of goldman employees are under 30. this is not a baby boomer firm. this is more of a firm that is digital natives. now we see goldman sachs coming out with all these changes to accommodate the digital natives. at first, i was like, what are they doing? this seems like a bunch of platitudes, a bunch of lipservice. then i read dr. albright's book, and i was educated by that, and also followed up in conversations with dr. albright. fromlbright helped take me the 20th century to the 21st century when it comes to understanding culture and tech culture, and the modern culture of corporations. vonnie: there are parts of it the is specifically not classic tech culture. 60% under the age of 30, as mike said. dr. albright, how does your work apply to an investment bank? does this type of change need to happen across corporate america? is it harder for an

when i went to goldman sachs, it was 1974. the firm had a couple of loss years. i was interested in working on financial issues and working with clients. i was interested in markets. david: when you were at goldman, you were not a person who bought your own private plane. you were not a person who had a big house in the hamptons? hank: no, we continue to live in the same house we built when i was making $36,000 a year. when i go skiing, it is a place where not fancy people go. david: with climate change, is it your view, is it due to human activity or would it have occurred without human activity? hank: it is well documented that it is largely caused by human conduct. this poses an enormous risk for our economic security, for our social stability. i see climate risk as the single biggest and most certain and formidable risk that mankind faces. david: do you think the paris accord which the current administration has pulled the u.s. out of -- technically, we don't go out of it for another year. those people in the government say we don't want to take climate chang

when i went to goldman sachs, it was 1974. the firm had a couple of loss years. i was interested in working on financial issues and working with clients. i was interested in markets. david: when you were a goldman, you were not a person who bought your own private plane. you were not a person who had a big house in the hamptons? hank: no, we continue to live in the same house we built when i was making $36,000 a year. when i go skiing, it is a place where not fancy people go. david: with climate change, is it your view, is it due to what human activity or wouldn't it have occurred without human activity? hank: it is well documented that it is largely caused by human conduct. this poses an enormous risk for our economic security, for our social stability. i see climate risk as the single biggest and most certain and formidable risk that mankind faces. david: do you think the paris accord which the current administration has pulled the u.s. out of -- technically, we don't go out of it for another year. those people in the government say we don't want to take climat

when i went to goldman sachs, it was 1974. the firm had a couple of loss years. i was interested in working on financial issues and working with clients. i was interested in markets. david: when you were a goldman, you were not a person who bought your own private plane. you were not a person who had a big house in the hamptons? hank: no, we continue to live in the same house we built when i was making $36,000 a year. when i go skiing, it is a place where not fancy people go. david: with climate change, is it your view, is it due to human activity or wouldn't it have occurred without human activity? hank: it is well documented that it is largely caused by human conduct. this poses an enormous risk for our economic security, for our social stability. i see climate risk as the single biggest and most certain and formidable risk that mankind faces. david: do you think the paris accord which the current administration has pulled the u.s. out of -- technically, we don't go out of it for another year. those people in the government say we don't want to take climate cha

when i went to goldman sachs, it was 1974, the firm had had a couple of lost years. that i was interested at that time and really working on financial issues, working with clients, i was interesting and working. david: but when you were at goldman, you were not a person who bought their own private plane, you did not buy a big house in the hamptons. hank: we continue to live in the same house we built when i was making $36,000 a year. when i go skiing, it is at a little area called arapo basin, where it is not a place where fancy people go. david: climate change, is it your view that climate change as we have called that occurrence, is it due to human activity or what have occurred without human activity? hank: david, it has been well documented that it is largely caused by human conduct. this is an enormous risk for our economic security, for our social stability. i see this climate risk as a -- about single biggest and most certain and formidable risk that mankind faces. david: do you think the paris accord, which the current administration has pulled the u.s. out

when i went to goldman sachs, it was 1974. the firm had a couple of loss years. i was interested in working on financial issues and working with clients. i was interested in markets. david: when you were at goldman, you were not a person who bought your own private plane. you were not a person who had a big house in the hamptons? hank: no, we continue to live in the same house we built when i was making $36,000 a year. when i go skiing, it is a place where not fancy people go. david: with climate change, is it your view, is it due to human activity or would it have occurred without human activity? hank: david, it is well documented that it is largely caused by human conduct. this poses an enormous risk for our economic security, for our social stability. i see climate risk as the single biggest and most certain and formidable risk that mankind faces. david: do you think the paris accord which the current administration has pulled the u.s. out of -- technically, we don't go out of it for another year or so. those people in the government say we don't want to take

and dressed in that goldman sachs is reportedly in talks with the u.s. government to admit go to and pay a fine of $2000000000.00 for its part in the malaysian corrupt. scandal the malaysian state owned development fund known as one m d b was set up in 2009 to attract foreign investment but the u.s. justice department says most of the money was misappropriated by fund officials goldman sachs accused of ignoring warning signs in pursuit of its $600000000.00 fee according to the wall street journal an asian subsidiary of the bank could plead guilty to violating u.s. bribery laws in statement goldman sachs said resolution discussions are ongoing adding it would be irresponsible to speculate on an outcome well let's get more on this now we're joined by william black he's a former federal regulator and an associate professor of economics and law at the university of missouri kansas city and he's joining us live from minneapolis very good to have you with us on al jazeera so it looks like an agent subsidiary of goldman sachs might have to pay the 2 $1000000000

when i went to goldman sachs, it was 1974. the firm had a couple of loss years. i was interested in working on financial issues and working with clients. i was interested in markets. david: when you were at goldman, you were not a person who bought your own private plane. you were not a person who had a big house in the hamptons? hank: no, we continue to live in the same house we built when i was making $36,000 a year. when i go skiing, it is a place -- a little area called arapahoe , not an area where fancy people go. david: with climate change, is it your view, is it due to human activity or would it have occurred without human activity? hank: david, it is well documented that it is largely caused by human conduct. this poses an enormous risk for our economic security, for our social stability. i see this climate risk as the single biggest and most certain and formidable risk that mankind faces. david: do you think the paris accord, which the current administration has pulled the u.s. out of -- technically, we don't go out of it for another year or so. those pe

so far goldman sachs has blamed it all on rogue employees and said they would continue to fight this, but now they could admit guilt through one of their subsidiaries. we have seen these maneuvers by banks who don't want to have the parent company admit guilt, which could affect their business. the dow jones reporting they could set up an independent monitor to oversee compliance at goldman sachs. scarlet: i'm sure they would love that. it,erms of a reputational if only an asian subsidiary unit is admitting guilt, what does that mean for goldman sachs as a firm as a whole? >> we will have to see if this goes through, but so far the reputational hit has been huge. were talking about u.s. federal agencies, but singapore expanding their investigation into goldman sachs as well, not to mention malaysia has criminal charges against 17 current and former goldman sachs employees, not to mention this whole scandal gave a snapshot of what the backdoor dealings are and carry outre trying to these bond sales and how much goldman sachs ends up earning from these bond sales, and the inner picture

let's go to the goldman sachs looks at. business investment. linkedin, the trade war with a dearth of investment, and the future in terms of owning equities. abby: it is no secret that c apx was disappointing in 2019. it was negative and we think it will continue in 2020. when we talk to companies about why that is, many of them point to the uncertainty of the trade battle. we see this not just in the united states, by the way, but trade policy uncertainty is more dramatic in some other countries as well. what we basically see his companies are not sure about where they should be investing for their supply chains. so, they are sitting on their hands right now. that is not good for long-term economic growth. tom: i am going to predict in 2020, there will be a new study of what globalization means. for multinationals and the big companies we are comfortable buying right now in the u.s., what is the new globalization that abby joseph cohen sees? abby: it is one where there is a very significant impact from political forces in many countries. we're

remember, this is the new product that they're offering alongside goldman sachs. >> at the margins, it will do well and i think it has done well since the card has come out earlier this year. i have one, it's very convenient you can pay it right on the phone. it's pretty cool >> yeah w, i mean, i think if i gives you a break, why not >> thanks for watching "power lunch. >> and "closing bell" starts right now. >> welcome to the "closing be " bell." i'm morgan brennan in for sara eisen at the auto zone post. take a look at that stock. it's up 7% right now it's leading the s&p on a strong earnings and sales the broader market, meantime, treading water with 59 minutes left to go in this trading session. >> and i'm brian sullivan. wi wilfred frost will be along shortly. first off, you've got the u.s., mexico, and canada agreeing to a new trade deal the usmca making changes stocks bouncing around all session along on conflicting headlines about that december 15th deadline for china tariffs. will it sfwebe extended. and house democrats officially announcing articles of impeachment, two of the

back to bush, also goldman sachs. you go back to bill clinton, also goldman sachs. in a warren administration, would there be a former goldman sachs executive running the treasury department? >> nope. >> is that a pledge? >> absolutely. >> that's a litmus test. >> absolutely. let me tell you why. the problem we've got right now is a revolving door right now between wall street and washington that causes everybody to be on guess for, wait a minute, the next time this treasury secretary puts forward a proposal, is it because it really helps the economy, helps the american consumer, helps the american homeowner, or is it because it helps their former and possibly future employer? let's just do for one second the gary cohn example, another goldman sachs. >> sure. >> so trump appoints gary cohn, he leaves goldman sachs. gary cohn is going to have exactly one job, and that is to ramrod through a rewrite of the tax laws that will profoundly affect goldman sachs. so what does goldman sachs do as gary walks out the door? they hand him nearly a quarter of a billion dollars. i

in other business news, goldman sachs may be on the verge of being 1.5 — goldman sachs may be on the verge of being 1.5 - $2 goldman sachs may be on the verge of being 1.5 — $2 billion in penalties for misleading investors. it is in relation to a decades—old sale of $6.5 billion in bonds for the malaysian investment fund one mbd. the relation authorities are probing 17 current and former directors. a goldman sachs spokesperson told bloomberg news that the bank is cooperating with investigators. now, did you know that retailers are throwing items that haven't been sold? we're talking about everything from cosmetics, clothing, shoes and electronics. the french government is about to discuss what it calls a world first law that bans the destruction of those surplus goods. instead, producers, importers or distributors including online ones, would have to either reuse or donate them. let us take a look. in france alone, $700 million worth of unsold non—food items are thrown away or destroyed every year. the fashion industry in which the country is a world leader is notoriously waste

taylor: that was david solomon, goldman sachs chairman and c.e.o. now to the relationship between big banks and attack. the chairman of europe's largest the our intertwined but regulatory issues must be addressed. we had an exclusive interview in november. >> what is a bank? what is a bank? does a bank just take deposits and make loans? of course. but we do payments. we have always, and our strategy -- our strategy since i arrived is to be a responsible bank and grow loyal customers. loyal customers, if i ask you, eric, who is your bank? you can have one bank in your head even though you might have five accounts, am i correct? >> that's true. >> so you're like 99% of americans and most people on the planet. for that to be the case, i need to know and you that's based on data. so my question to you, why should data be regulated, i'm talking about europe, in a different way. if you're called a bank or if you're called something else? you as a customer should be able to ask me to share my data, but vice versa, also from other players, so i can give you

made a goldman sachs killing on this case. haslinda: it has said that you are waiting for a response from goldman. what was the query? >> we wanted to settle it outside of court if possible, but it seems that they are not willing to offer a reasonable sum of money. haslinda: for you, what is the reasonable sum? >> we went to get our 10% back, at least. haslinda: when will you take legal action? --.hat depends upon he will try to extradite things as much as possible. haslinda: how long are you willing to wait for you take legal action? >> we are very patient. [laughter] >> can't harry the court -- we can't hurry the court. that would mean interfering with the law. we can't do that. huge.is so it is another biggest financial fiasco, scandal, involving in the government in modern times. so i think morning to be done. they need to continue to exult. they are doing that. i am not review to all reports but i am being kept informed, partly, on what is being done. haslinda: you said before that investigations should be expanded to inc

i'm talking about the total amount, not just goldman sachs. goldman sachs took 10% commission, in addition to hefty interest rate of 6%. that is not usual for governments. governments normally get less than 3%. but this 10% extra that goes to goldman sachs means that we get 90% of the money raised, but we pay interest on 100%. that is what it means. i think goldman sachs made quite a huge killing on this case. haslinda? you have said you are waiting haslinda: you have said you are waiting for a response from goldman. what was the query? >> we wanted to settle it outside of court if possible, but it seems that they are not willing to offer a reasonable sum of money. haslinda: and for you, what is the reasonable sum? >> we went to get our 10% back, at least. haslinda: when will you take legal action? >> that depends upon the ag. he will try to extradite things as much as possible. haslinda: how long are you willing to wait for you take legal action? >> we are very patient. [laughter] >> we can't hurry the court. we can't say please expedite this

or singapore with relation to goldman sachs. nation, we will do what is right in malaysia's interests. >> does the latest development with regard to the u.s. front affect 17 goldman directors for malaysia? mr. thomas: it doesn't matter really if they settle with the u.s. it doesn't help them one bit and doesn't affect our prosecution of the case. >> when might malaysia see a deal? mr. thomas: so far as malaysia is concerned, it is public knowledge there have been talks, rounds of negotiations, but they have not gone anywhere. there is still a pacific ocean gulf between malaysia and goldman sachs. we are concerned the door to settlement is always open. they know where we are. they can come see us if they want to find us. we are proceeding with preparing the case for prosecution. as any trial lawyer will tell you, whether it is civil or criminal, you can settle on the first day of trial or in the middle of trial. as far as malaysia is concerned, it is conducted in -- we prepared for the trial and if there is settlement talks, we c

gulf is still a huge between malaysia and goldman sachs. us.they can come to see we are proceeding with preparing the case for prosecution. any trial lawyer will tell you that you can settle on the first day of the trial or in the middle of the trial. as far as malaysia is concerned, it is being conducted in parallel. we prepare for the trial. and the series -- and these various settlement talks. we can do that simultaneously. , how terms of a settlement much can malaysia expect? againstwas borrowing the guarantees and goldman sachs was structuring it back. malaysia's primary position is that we did not need those bonds. it did not serve malaysia's interests in 2012 and 2013 to have those bonds. we are not saddled with repainting those bonds -- with repaying those bonds. -- withle of malaysia interest, we are talking about the principle of 6.5 and interest. , malaysia's primary argument is you have to pay back the principal and the interest. settlement with goldman is one avenue. in the past, you said you have a strong case. what kind of le

, the idea of a client shouldn't need a pht of goldman, sachs to get the best investment. renewable power. which service, which product within which part of the firm is right for them as they want to transition working with power. this is top of mind, we have capabilities and expertise, can map to their needs >> john, this comes up so often in my work in the last year, i imagine next year coverage will have more about esg. what has happened that elevated it in terms of the consciousness broadly, changed the conversation where last night i had dinner with the ceo of a natural resources company that was talking about this very focus for their business as well why is it different than it was in the past? >> this is one of the things, i've mazing answer to document how it has grown, why it is grown is the interesting question the best answer we have is intersection of three interrelated trends. number one, demand people whose preferences matter in the real economy want this in a way that has teeth historically they talked about millennials wanting to invest differently. 28% of

jeff currie of goldman sachs, always a pleasure. coming up, we will talk about the appetite for sustainable impact investment in china. we will talk to priscilla lu and where she she's opportunity -- where she sees opportunity. interact for our charts on gtv . browse the features, check them out. gtv . this is bloomberg. ♪ viviana: you're watching "bloomberg daybreak." newtek font will reportedly fall short of its $108 billion target. according to the sunday telegraph, big bets has hurt the division bonds. the massive investment in wework triggering a multimillion dollar right down. the filled had to provide a $9.5 billion rescue package. hsbc interim ceo shaking things up. the bank's chief operating officer is retiring. there'll be a new chief risk officer, too. i am viviana hurtado. that is your bloomberg business flash. alix: time for the business of climate theory. we will look at sustainable investing in china. china is the world's largest polluter of co2 emissions but some say this creates an opportunity. has been in

non, : that was david sol goldman sachs chairman and c.e.o. the chairman of europe's largest bank says the two are superb twined but that regulatory researches must be addressed. we had an exclusive interview in november. >> what is a bank? does a bank just take dem sits and make loans? of course. but we do payments. we have always, and our strategy -- our strategy since i arrived is to be a responsible bank and grow loyal customers. loyal customers, if i ask you, eric, who is your bank? you can have one bank in your head even though you might have five accounts, am i correct? >> that's true. >> so you're like 99% of americans and most people on the planet. for that to be the case, i need to know and you that's based on data soft my question is why should data be regulated, i'm talking about europe, in a different way. if you're called a bank or if you're called something else? you as a customer shousk able to ask me to share my data but vice versa also from other players so i can give you a loan at 6:00 -- 6% instead of 7% soft i'm saying we

and goldman sachs was structuring that. as far as we are concerned, malaysia's position, malaysia's primary position is that we didn't need those bonds. malaysia'serve interest in 2012 and 2013 to have those bonds. instead, they were passed on us. we are now saddled with repaying the bonds. so there borrowing, people of malaysia, because of the guarantee, have to repay the bond. talkingerest, we are the principle of 6.5 and with interest, $8 billion or $9 billion. essentially malaysia's primary argument is, you have to pay back the principal and the interest. withe: the settlement goldman is one avenue. you said you had a strong case. what kind of leverage to you have to prosecute effectively? >> as far as we are concerned, we are preparing for trial. we are hoping to have the trial in the middle of next year. when i prepare a case for trial, , the burden ised on us. we are the prosecution. how goldman and their allies respond is not my concern. sophie: that was tommy thomas, attorney general of malaysia in his chambers. we

. >> goldman sachs sacks. >> and we'll explain why you shall too right now. time to risk less and make more "options action." >> risk less make more has a nice ring to it. lets get right it. as we know now the record rally rolls on the dow hitting another all-time high today while a tremendous year for the index a number of names sat out the rally. lets look at three walgreen's, pfizer and 3 m the only three components down in year but carter says one of the names is his dogs of the dow pick for you for next year at the plasma to tell us which it might be. >> dogs of the dow, put together in 1950s it's a dividend strategy, the thinking is a blue chip stock that's the worst perform ner the index by definition will have a high yield and that you get a little catch-up trade here in fact is the index of dogs of the dow relative to the dow back to 2001 a lot of -- well efficacy, blows away the dow itself. in any event, lets take a look at walgreen's. here is the spread there is the dog walgreen's, down 14% versus the market, the dow up 22. my thinking is that walg

. >> goldman sachs s. >> and we'll explain why you shall too right now. time to risk less and make more "options action." >> risk less make more has a nice ring to it. lets get right it. as we know now the record rally rolls on the dow hitting another all-time high today while a tremendous year for the index a number of names sat out the rally. lets look at three walgreen's, pfizer and 3 m the only three components down in year but carter says one of the names is his dogs of the dow pick for you for next year at the plasma to tell us which it might be. >> dogs of the dow, put together in 1950s it's a dividend strategy, the thinking is a blue chip stock that's the worst perform ner the index by definition will have a high yield and that you get a little catch-up trade here in fact is the index of dogs of the dow relative to the dow back to 2001 a lot of -- well efficacy, blows away the dow itself. in any event, lets take a look at walgreen's. here is the spread there is the dog walgreen's, down 14% versus the market, the dow up 22. my thinking is that walg

. >> goldman sachs. >> and we'll explain why you shall too right now. time to risk less and make more "options action." >> risk less make more has a nice ring to it. let's get right to it. as we know now the record rally rolls on the dow hitting another all-time high today while a tremendous year for the index, a number of names sat out the rally. let's look at three. walgreen's, pfizer and 3m the only three components down in year but carter says one of the names is his dogs of the dow pick for you for next year at the plasma to tell us which it might be. >> dogs of the dow, put together in 1950s it's a dividend strategy, the thinking is a blue chip stock that's the worst performer in the index by definition will have a high yield and that you get a little catch-up trade here in fact is the index of dogs of the dow relative to the dow back to 2001 a lot of -- well, efficacy, blows away the dow itself. in any event, let's take a look at walgreen's. here is the spread there is the dog walgreen's, down 14% versus the market, the dow up 22. my thinking is

sachs spokesperson told us... indonesia has become the latest asian country to have a deadly pick violence overstating farms across the region. -- pig- overstating farms across the region. —— pig. 30,000 pigs have died in a north sumatra. more than half of china's pig herd is expected to be wiped out by the disease. the anniversary of macau's handover and the president xijinping is attending a ceremony and is due to give a reward for its loyalty. the british drug maker, big pharma, making a play for asia with china and india being its two biggest target markets. at a time when both countries showing growth, the potential for the company... what we see in china is the extension of good healthcare programmes to much larger populations. we see government reaching out into more rural areas, more far government reaching out into more ruralareas, more faraway government reaching out into more rural areas, more far away from the major cities. that increases volumes and with that comes pricing of discussions that you

goldman sachs declining to comment. not -- there is the pacific ocean gulf between malaysia and goldman sachs. >> uber is facing a roadblock in germany. model isess anticompetitive business. that is your bloomberg business flash. anna: thank you so much. let's stick with the markets. standing bydern with big movers. with nmc i am starting down 3% after a tough week. it was on the shortlist target. sayingspond to the ft nmc is raising 200 million euros . that is why we are seeing the shares lower this morning. adidas down 0.4%. rose to a record yesterday, and even though they beat the street in aftermarket trading due to margins in inventories, 24%.enewi up is getting good news from the dutch government. garbage look so good? anna: interesting to see we get a negative rating on adidas. positive that can play for a rival negatively, in this case to the negative. annmarie: they said in the earnings report about the trade war and tariffs, and looking at what they will be reporting. ite was able to do that, but was not enoug

-- and goldman sachs. now you have bnp trying to take check --now you have a now you have deutsche trying to take shares away. michelle: everyone thought this was going to be that opportunity, but now the fact that deutsche is poaching from barclays means it is not as easy as they thought to take the share. jp morgan is one of the banks that has also said it is going to benefit from deutsche not being as strong in this area. they've been trying to be number three inequities after goldman and morgan stanley. sonali: they are saying the next stop is $1 trillion in businesses. alix: guys, thank you very much. in today's off the beaten street, this is what everyone is talking about. billionaire hedge fund manager riffing on his wealth while in the back of a new york taxi cap, and the driver was the so-called cabbie to the stars. >> on the highest ending person in the world of finance -- i'm the highest earning person in the world of finance. >> explain that to me. alix: and explain he did. last year, the bloom

viviana: goldman sachs declined to comment. global news 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i am viviana hurtado. this is bloomberg. francine: let's take a look at what you should be watching out for today. the chinese president is commemorating the city's 20th anniversary of the return to chinese rule. there is a call to diversify the economy. brexit takes center stage in the u.k. with the government introducing the withdrawal agreement bill to the house of commons. we will get gdp figures, expected to show growth. it makes people think of halloween. let's talk about the world's second-largest economy, china's economic growth. easing trade tensions is the prospect of lower bank borrowing costs are among the factors in the boost. chinese economy depend entirely on trade? hugh: i don't think it does. we have seen a shift since the financial crisis of china moving away from purely manufacturing and industrial driven economy more toward a c

if it cost of goldman sachs, good to see you -- david kostin of goleman sachs, good to see you. coming up, your desert island indicator. we will talk cable coming up. this is bloomberg. ♪ viviana: you're watching "bloomberg daybreak." ceocuts by deutsche bank's are paying off. for the next year, his main regulator reduced its capital burden. christian sewing rolling back years of aggressive expansion. it may ease concerns to pay for the overhaul. deutsche's will need to sell new shares. the british economy and expect at least agnate it for the first ime since 2009 -- economy unexpectedly stagnated for the first time since 2009. some of it is blamed on bad weather. that is your bloomberg business flash. alix: mark mccormack still with me. we already take the -- we already talked about the cable rate, but what is the trade? mark: i think you are long sterling for the next two days. i think that's the point where you can start fading it. there is momentum. positioning is neutral. ,terling is running really rich at about a 2%, 3% premium. what we are trying to do is reduce the tai

shery: goldman sachs is recruited by softbank to find funds for wework as part of a $5 billion rescue plan. first, a quick check of the markets. australia coming online. sophie, what are you seeing? sophie: after a three-day rise for sydney stocks, asx 200 open little change after the tepid session we saw on wall street. heads up on the corporate fund, i want to highlight bellamy australia said china might need acquisition so shares will be suspended today. bonds enough straily at a risk off. yields coming off the session low as the rba governor says gdp is in line with expectations, but contrived with weakness and consumption. folks saddled with high debt take longer to spend. the offshore yuan this morning trading around 7.0366. weight on chinese consumer prices and pbi later this morning. investors are setting the tea leaves going into december 15. with the latest developments around the u.s. deal, the mexican peso trading near a three week high with a move towards 19 if it is in the cards. paul: let's get some more on that u.s. mca deal. the next nafta. a: as we have been reportin

in the obama era you have goldman sachs running it. back to busch, goldman sachs. bill clinton -- >> no. >> is that a pledge? >> that was a litmus test. >> let me tell you why. the problem we've got now is a revolving door between wall street and washington that causes everybody to be on gas -- wait a second, the next time this treasury secretary puts forward a proposal, is it because it 4e7s the economy or is it because it helps their former and possibly future employer. let's just do for one second gary cohn. >> so trump appoints gary cohn. he leaves goldman sachs. he's going to ramrod through a rewrite of the town laws. what do they do as gary walks out of the door? they hand him nearly 1/4 of a million dollars. >> bribery? >> i think of it as a prebribe. >> yes. >> so gary then goes up and guess what he does, he writes a tax law and manages to benefit them and there's the gift at that keeps on saying. >> what you're saying makes such sense. what does it mean for the democratic party if this was also how obama wants it since water dwat. we have a fundamental pro

goldman sachs putting gold on a high. the justice department and other federal agencies discussing penalties. less then what some observers had been expecting. hsbc has begun shaking up top management ahead of the arrival of a new top executive. the retirement of their chief risk officer, mark moses. hsbc could focus more of its resources on asia-pacific. a better return on shareholder capital. take a look at milk. the surprise resignation of the ceo who leaves just after 18 months on the job. be leader onill and interim basis. >> we are looking at au optics which is rising in taipei. jumping the most we have seen on record. the most since 2000. this is after morgan stanley raised the stock to overweight on a rebound. saying a cyclical upturn last year well help a profit turnaround in the second quarter. you can see it has not been a great year for au optronics. when you look at analysts' recommendations, they are more neutral on this stock. thesen get a glimpse of stocks on your bloomberg terminal. plenty more ahead. thi

jan hatzius of goldman sachs. coming up, more on gamestop's potential support levels in today's technically speaking. this is bloomberg. ♪ alix: time for technically speaking. the big mover in the market is gamestop. what is the trade? gamestopes bought -- comp sales were down -- 20% in the premarket. here are your first levels. that is theis 531, october 31 low. second support at 505, that is 50% of the whole move. 531, thenort is you're looking at 505. alix: appreciated. that does it for me at bloomberg daybreak america's. ♪ here, it all starts with a simple... hello! hi! how can i help? a data plan for everyone. everyone? everyone. let's send to everyone! wifi up there? uhh. sure, why not? how'd he get out?! a camera might figure it out. that was easy! glad i could help. at xfinity, we're here to make life simple. easy. awesome. so come ask, shop, discover at your local xfinity store today. jonathan: from the city of london for our audience worldwide, the "countdown to the open" starts right now. ♪ jonath

titansoldman sachs policy on fossil fuel financing policyman sachs tightens on fossil fuel financing. "the needs of our clients will increasingly be defined by and society'sowth overall well-being will depend on it." if the president is acquitted, is that a failure? failure,at is not a at least in terms of our duty in the house. alix: representative nadler says trump "poses a threat to national security and democracy." in the markets, you are seeing some followthrough buying after european stocks had a record. the dow not participating as much, dragged down by going. the cable rate still climbing on that boris johnson victory from friday. a little bit of selling in the bond yields, up by two basis points on the long end. joining me for the hour is ed hammond, bloomberg deals reporter. happy monday to you. ed: merger monday, with two deals this morning. alix: i knew you would bring it. peugeot getting back with the french government over there. it's nice that we are this late in the year, this late in the m&a cycle, and still seeing prints. ink a phase one trade deal. buy moreeed to ag

we're going to start with goldman sachs. upgrades nike to buy from neutral and adding to its conviction buy list. calls the shoe maker a eunique asset with china as a key driver of growth and strong brand momentum in e key markets. goldman raising its price target, that represents an 18% upside from here let's turn to the lady from portland for the first comment here on that oregon company. >> i drive by nike when ever i go home in beaverton, oregon i think what's interesting about the stock, it's up about 23%, so this upgrade is coming late to the game, but goldman sachs' comments on china were interesting. earlier this year, we were talking about how this trade war and the potential rise in nationalism in china could result in the chinese preferring local brands over american ones, but clearly the analysts there don't think that's the case. >> it's funny that so many company, inclouding the one we're going to talk about next, they're worried about china and here's an analyst saying it's going to be china going to drive nik

goldman sachs is now involved. see vis issues that report on .ayhem in the repo market the findings are alarming and so is the timing. >> the fact this is coming in december is going to make people a little more nervous. >> this is bloomberg. ♪ >> this is "bloomberg best. let's continue our global tour of the week's top stories in europe where the new head of the european commission brought up an ambitious plan to combat the climate crisis. lien -- ursula leyen will present her deal including a timeline for various laws to be put forward between now and the end of her term. what do we expect? >> this could potentially be huge. we are talking about a green deal that could change the way many in europe operate. she has said she wants to make europe climate neutral by 2050. the goal is very neutral. the deadline is very tight, and we also know this could change many aspects of the european economy, the way carbon is priced, the way some of the taxation is being implemented, and she has also promised one trillion eur

turning to banks now, goldman sachs is providing a push for banking on middle-market companies. the wall street firm is -- has hired more than a dozen managing directors from competitors in the recent months. not admit they would to that. haveey can say that we hired from jp morgan and barclays. andorgan in particular, wells fargo, are two places where they also have big regional expertise. they are trying to do something they have done with very large deals, that is hire people that know the code -- no the companies well that they want to service and have deep relationships. romaine: this is still goldman sachs. they have a pretty well-known brand name a reputable one. why wasn't that enough to do this? goldman's revenue over the past few quarters has been somewhat volatile. that shows that this kind of strategy can help keep a lot of -- not to mention, a lot of the capital that we will see being deployed is private equity firms, not to mention smaller private equity firms that are big targets for goldman sachs. i think there is a lot of room to run in this industry overall. jp

and mess in the bank goldman sachs is reportedly and talks with. the u.s. justice department to pay a $2000000000.00 fine over a corruption scandal it would be the largest fine levied by the government against a bank since the mortgage crisis legal journalist molly. just lawyer is here now with more so welcome ali let's start off with why is this fine so large to begin with well basically the government is saying that that's how much billions were lost by a client at this particular company that goldman raise 6 and a half 1000000000 for this malaysian company one and b. is the abbreviation for the name but it's malaysia development b.h.p. and much of that the united states 30 say was stolen that 6 and a half 1000000000 was stolen by a malaysian government advisor as well as to goldman bankers and prosecutors say the bank ignored warning signs and this is part of the fee part of the price they've got to pay for not doing a better job paying attention and saying what was going on in the hen house a few well but they also said they were more interested in coll

and messman bank goldman sachs is reportedly and talks with the u.s. justice department to pay a $2000000000.00 fine over a car. scandal it would be the largest fine levied by the government against a bank since the mortgage crisis legal journalist molly. lawyer is here now with more so welcome ali let's start off with why is this fine so large to begin with well basically the government is saying that that's how much billions were lost by a client of this particular company that goldman raise 6 and a half 1000000000 for this malaysian company one and b. is the abbreviation for the name but it's malaysia development b.h.p. and much of that the united states 30 say was stolen that 6 and a half 1000000 lives stolen by a malaysian government advisor as well as to goldman bankers and prosecutors say the bank ignored warning signs and this is part of the fee part of the price they've got to pay for not doing a better job paying attention and saying what was going on in the hen house a few well but they also said they were more interested in collecting fees

and investment bank goldman sachs is reportedly in talks with the u.s. justice department to pay a $2000000000.00 fine over a corruption scandal it will be the largest by levied by the government against a bank since the mortgage crisis legal journalism to deal with matters lawyer is here now with more. so welcome ali let's start off with why is this fine so large to begin with well basically the government is saying that that's how much billions work lost by a client of this take it or company that goldman raised 6 and a half 1000000000 for this malaysian company one m.t.b. is the abbreviation for the name but it's malaysia development b.h.p. and much of that the united states already say was stolen that 6 and a half 1000000000 was stolen by a malaysian government advisor as well as 2 goldman bankers and prosecutors say the bank ignored warning signs and this is part of the feet part of the price they've got to pay for not doing a better job paying attention and saying what was going on in the henhouse if you will but they also said they were more inter

oppenheimer joins us in london from goldman sachs. will it be, as you suggest in your notes, or the question is, is this the season of year-end rallies or are we haunted by the ghosts of christmas past? what are you expecting for year end? think we need to put things in perspective. it has been a remarkably strong year for equities. most equity markets have had their strongest year in a decade and if you take equities and bonds together, the best year since the late 1990's. a lot of good news, we think, has been priced for next year and if you look at the rally in equities we have seen since late august and the leadership of more cyclical parts of the markets, that has priced in the source of inflection we are expecting so for now, it is more really about responding to data and developments on trade, as you said in your report. it seems like everyone expected phase one of a trade deal to get done and president into aas put this question. it wouldn't be surprising if that was something he said at a press conference and really does a de

grew revenues greater than expected and when you do that great things happen. >> what about goldman sachs, it's up, outperforming the market up 37% still down from the 2018 highs consensus has 10% earnings growth, 5% sales growth. trades one times book. why is this thing stuck in the mud? jpmorgan has highs and you have a bank that has head winds. >> needs to start growing again, right? >> look at trading for the decade >> yeah. >> trading for the big investment banks for the decade declined by 1/4 to 1/3 depending on your starting point capital markets revenues for the last five years, you know what they've grown? zero they have not grown. and in our forecast we don't want to assume a whole lot of growth having said all of that, we do think goldman sachs is better positioned with their new ceo, david solomon. we think they're going to put their legal issues with one mvp behind it. our estimates are above the street for the quarter and for next year and they're having their first investor day in their 150 year existence at the end of january a lot of things happening with goldman sachs. >

sonali:you would think banks jpn sachs are among the best performers in the job market. they have announced -- not announced job cuts yet, but will day? a lot of these banks are smaller to begin with. financial services is not as attractive to future job prospects, candidates as technology, for example. if you are in business school student looking at goldman, jpmorgan, morgan stanley, and you see the's these job cuts coming, do you want to go there? vonnie: it would play into your consideration, as would declining bonuses. a lot of this is happening in europe. do some european banks need to go away? seems like we never solved the banking crisis in germany. sonali: a lot of people blame it on the regulation. the reaction to prices was also different. these banks never really recovered. hsbc did add jobs, and now they are on the verge of cutting thousands. sonali: a lot of people blame it on the regulation. the reaction to prices was also should there be less banks? investors believe so. how would that happen? through consolidation. is that an easy answer? absolutely not.