bnp paribas, we have been a pioneer in sustainable finance. today we lead the rankings in terms of loans, and terms of bonds, and we recently were one of the first banks to structure a sustainable rebuilding initiative. i think it is a trend that is going to be reinforcing itself over the weeks and months. and esg is actually taking more and more visibility on the social side. you've seen covid-19 rescue bonds becoming much more of a factor here. are on board long transactions in europe, and are ,ery committed to institutional and banks getting into this. jonathan: we are lucky to have you on the program with us this morning. thank you, jean-yves fillion, u.s. bnp paribas ceo. the s&p still positive, up 22. we advance about 0.7%. tom: the bonds show the same thing, a risk on feel. but what happened yesterday? it was pretty good, pretty sprightly, and then it evaporates. we were going on in search of news to determine the new vector , and it is really indeterminate. jonathan: we've been told so many times over the last several months that polic

our guest host this morning from bnp paribas markets 360. the first word news flow, laura wright is in london hq. union's stimulus package is in danger of being delayed. germany says that is due to disagreements over how to ensure short funds are not misappropriated. the 1.8 trillion euro budget is designed to combat the steepest recession in the bloc's history. prospects of a deal with the u.k.. the prime minister says the obstacles are not insurmountable and not agreeing to an ideal -- to a deal would be an enormous failure. is a good chance we will get a trade deal before the end of the year. even if we don't, there is a lot of work to do in terms of implementing the international trade deal that facilitated the u.k. leaving the eu. >> a wildfire of california's wine country forcing the evacuation of an entire resort town. scorched miles. 70,000 people have been forced to leave the area. local fire chief warned residents to plan ahead in case more evacuations are ordered. global news, 24 hours a day, on air and at quicktake by bloomberg,

what are the team at bnp paribas doing ahead of this election? daniel: the first point is that our perspective is, to some degree, irrespective of the outcome that should be positive for risk assets and supported for equities and credit. we really don't see a scenario other than a contested election, but even that will be limited in time if we go back to what did happen in 2000. you had the decision after five weeks. markets continued to selloff, but by the end of the year, they had re-based. if we have any kind of upset this time, there will be a decision. we will have a president. at that point, we do think the outlook for the economy overall is positive. you are recovering from a recession. the unappointed rate is going to continue to fall on the margin. the news is going to get better, and that is really what equity markets focus on. lisa: can you square your more positive outlook for markets and the economy with the layoffs that jon was laying off, 30,000 expected from the airline industry, 28,000 that disney? is this all priced in? daniel:

bnp paribas asset management is rethinking the affinity with the carry trade, cutting positions in em currencies as vol picks up. raffaele bertoni is with gulf investment corporation. bnp paribas, maybe i am being ungracious to them. -- the carryng by nearly 3%.ck they don't want this vol going into the election. this comes down to the unwind of the carry trade. do you believe the best of the carry trade has been done and we should reset after the election? disagree in the sense that i think there is still a view in some part of the credit market that we continue riskierr credit to assets at the moment. regarding emerging markets, obviously we had a nice performance of the carry trade, in particular on the currency side, and it makes sense at this the electionnto and the volatility that we can see on the dollar to reduce the exposure, but generally speaking, credit and risky assets represent the best option at the moment. in particular, in my view, high-yield is the asset class where we should be focused. high-yield,rms of can i push you insect oriole -- in sectorial? we've seen the v

william de vijlder at bnp paribas. i want to mention the m&a space. ntt has offered ¥3900 a share docamo and its board is in favor of ntt's buyout offer. ofhare price yesterday ¥2700, a substantial premium. ntt is going to paper do -- pay for docomo. coming up, the first presidential debate takes place tonight in the great state of ohio. next, we discussed the market risks in the lead up to the election with our guest william de vijlder. this is bloomberg. ♪ anna: 22 minutes past 7:00 in london and european futures look fairly flat, really, nothing in it. european equity markets made stunning gains yesterday, the dax up more than 3% yesterday. stateside, the first of three socially distanced debates between donald trump and joe biden takes place today in ohio. tens of millions of americans will get a close-up look at the republican and democratic candidates hoping to win the presidential election. let's analyze the market risks investors should be aware of as we head toward november 3 with our guest, william de vijlder, chief economist at b.n.p. p

bnp paribas i is so european percent book. europe would basically kill francine for citigroup's performance. franciene: i don't know whether this goes back to negative rates are another tax rebate, or just another business model because what they do in finance, there is high finance on wall street, it is widely different from what the european banks do. >> yes, but they often have, the domestic markets to fall back on that the europeans do not have. i am talking about the consumer market, which is a very commission rich and fee rich market. franciene: thank you so much. elisa martinuzzi. up next, simon hoare. northern ireland committee chair. this is bloomberg. ♪ ♪ franciene: -- persuadedffany has the judge to -- it's a lawsuit for canceling its $16 billion buyout. -- u.s. luxury jewelers says jewelry maker says the french giant is relying on a faulty legal pretext to back out of the deal. fortile -- the trial is set 2021. lvmh says it is confident. unicredit is conducting an internal analysis to assess the pros and cons,

mark howard, bnp paribas, always informative on macro strategy, in the 7:00 hour. timothy o'brien in our next hour. this is bloomberg. good morning. ♪ ritika: this is "bloomberg surveillance." -- will by the u.s. operations for $1.1 billion in cash and stocks. that will make the ohio-based steely the biggest producer in north america. cleveland clift expects the sale cliffst that cleveland expects the sale to boost sales. bank, aky at deutsche takeover in january 1. he has a reputation for making tough cuts and his main task is inoversee a turnaround commerzbank that could eliminate 10,000 jobs. of therchasing a portion macro company's business. severus capital acquired remington into thousand seven. the firearms and ammunition giant accumulated all most $8 billion in debt. that is your latest bloomberg business flash. thank you so much. this is what the market is focusing on. a lot of the focus is on the reality that is continuing in europe, but banks are meeting gains in europe. a lot of what will dictate the markets is not only christine lagarde speaking to pa

may be focused on investment in private and can, which is why you need less people than pnb -- then bnp paribas or barclays in the u.k., but if it were to go ahead it would be huge news and would take many by surprise. tom: the speculation here about a combination across european countries and the distinction there within european countries would be something as well. a bunch of other murders today. i don't know where to begin. are you out on tiktok, francine? francine: i feel like i should. i'm on everything else, but i feel like i am too old to be on tiktok. that will change tonight, for pure research purposes. up allr team have been night writing the soap opera. i want to make clear, this is not a deal, and we have been very good about positioning it in some form of partnership or restructuring. the mystery here is an immense. but we were is, speaking to some of our editors in asia, and with this partnership, as you say, it could be an elegant way of using the chinese site -- of fusing the chinese side and the u.s. side, and that would lead to good relations going ahead. tom: i was o

alix: bnp said that pension funds could have to adjust their end of quarter equities i about $70 billion to sell u.s. stocks. how does gold react when things like that happen? sam: we saw a little bit -- mike: we saw a little bit and some of the divergent strength of copper. it is good for gold. at some point, when the market figures out they might get underperformance in the stock market, that all should go towards gold. alix: so where is positioning? it is also the end of the quarter were gold headed to break out, so how does that affect traders? mike: managed money net position's are quite positive in gold. crude oil is a bit too high, but positioning is fine. right now it is just normal profit-taking end of the quarter stuff. it is now only up 20%. the s&p is unchanged, so if you were allocated gold this year, you have been doing much better. alix: maybe treasury volatility is not really moving. where is gold in that area? mike: right now, it is a little bit of profit taking. if we do get this new president biden, that means more debt to gdp, more qe, probably a correction in the sto

names like bnp paribas dragging at lower. rising case count likely to put pressure economically on europe. that is going to feed back into the banking sector. by 0.4%.s up aro-dollar now trading with $1.16 handle. we are down by 0.4%. alix: as you were talking about travel restrictions and lockdown light, european leaders grappling with how to bring the virus under control. hospitalizations are climbing following a surgeon cases. there are concerns about madrid being overwhelmed at a hospital level. joining us is maria tadeo from brussels. walk us through what we might see over the next 48 hours. maria: that's right. there isn't a single approach here from every european country -- from every european government. every country is doing this differently. france had a record 16,000 cases. of course, that is much higher than a neighboring country like italy or germany, which the french government keeps repeating that they don't want to go for a national lockdown. they believe the restrictions on a local, targeted measure will se