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Speaker 1: Bloomberg Audio Studios, podcasts, radio news.

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Speaker 2: This is the Big Big DAYBAC podcast. Good Morning, It's

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Speaker 2: find in the fifth of December. I'm Calaine hepkea in London.

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Speaker 3: And I'm Stephen Caroline Brussels. Coming up today after only

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Speaker 3: eight months in office, Germany's ruling coalition faces a crucial

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Speaker 3: vote that could trigger its demise.

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Speaker 2: Warner Brothers enters exclusive talks to sell Netflix its film

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Speaker 2: and TV studios, as well as HBO Max in what

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Speaker 2: could deliver up the ultimate box set deal.

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Speaker 3: Plus back on the Menu. Celebrity chef Jamie Oliver revives

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Speaker 3: his Italian restaurant chain six years after its highly publicized collapse.

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Speaker 4: Let's start with a roundup of our top stories.

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Speaker 3: Germany's ruling coalition faces a key vote today that could

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Speaker 3: threaten the country's political stability. A group of around eighteen

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Speaker 3: lawmakers from the Chancellor of Friedrich Martz's own party has

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Speaker 3: rebelled against the government's pension bill, which is due to

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Speaker 3: go to a final ballot at lunchtime today. With more,

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Speaker 3: here's Bloomberg's Crispet.

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Speaker 1: Although it's unclear how many of Mertz's own lawmakers will

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Speaker 1: reject the law, With a coalition majority of just twelve,

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Speaker 1: the German leader has a little margin for Erra. A

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Speaker 1: botched vote would highlight the Chancellor's lack of authority over

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Speaker 1: his own caucus and could inflict major damage on the

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Speaker 1: government's ability to pass legislation. It comes as the co

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Speaker 1: leader of his coalition partner, the SDP, hinted this week

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Speaker 1: that if the pension bill does not make it through,

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Speaker 1: it could spell the end of the coalition that could

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Speaker 1: potentially lead to a fresh national election at a time

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Speaker 1: when the far right Alternative for Germany Party is in

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Speaker 1: first place in some polls, buoyed by anxiety over the

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Speaker 1: stagnant economy. In London, Bloomberg Radio Chris.

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Speaker 2: Pitt Now, Russia's Vladimir Putin has arrived in India for

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Speaker 2: his first state visit since the Kremlins scale invasion of Ukraine.

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Speaker 2: The president was welcomed at the airport by Indian Prime

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Speaker 2: Minister or Render mod showcasing warming ties that have angered

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Speaker 2: the United States. Putin's trip comes after US President Donald

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Speaker 2: Trump imposed tariffs of fifty percent on Indian goods to

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Speaker 2: punish New Deli for its close connections with Moscow. Discussions

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Speaker 2: between the leaders during the two day visit are expected

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Speaker 2: to focus on trade and economic relations.

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Speaker 3: Warner Brothers Discovery has entered exclusive negotiations to sell its

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Speaker 3: film and TV studios and its HBOO Max streaming service

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Speaker 3: to Netflix. According to people familiar with the discussions, Netflix

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Speaker 3: is offering a five billion dollar breakup fee if regulators

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Speaker 3: don't approve the deal. A tie up between the world's

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Speaker 3: dominant paid streaming service and one of Hollywood's oldest and

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Speaker 3: most revered studios as the potential to bring seismic change

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Speaker 3: to the entertainment industry. Sources tell us that if talks

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Speaker 3: go well, a deal could be announced in the coming days.

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Speaker 2: Jane streets record results this year have been boosted by

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Speaker 2: its savvy bets on the AI boom. The US quantitative

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Speaker 2: trading giant lifted its third quarter trading revenue by about

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Speaker 2: eight hundred and thirty million dollars, with the surge of

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Speaker 2: Anthropic reported to make up the vast majority of those gains.

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Speaker 2: With more here's Bloomberg's freddie Fulston.

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Speaker 5: Jane Street's investments in Anthropic are beginning to pay off.

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Speaker 5: The AI firm's valuation has more than tripled since the

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Speaker 5: beginning of the year, increasing to one hundred and eighty

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Speaker 5: three billion dollars as of its latest funding round. Jane

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Speaker 5: Streets also benefited from investments in the cloud computing company

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Speaker 5: core Weave, in which it holds roughly seven percent of

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Speaker 5: outstanding shares. It's put the firm amongst the top Wall

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Speaker 5: Street performers in terms of trading revenue. Despite a recent

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Speaker 5: high profile dispute with India's regulator in London, freddie Fulston

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Speaker 5: Bloomberg Radio.

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Speaker 3: The Booker Prize winning author Salmon Rushti has warrant that

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Speaker 3: the banning of books in parts of the United States

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Speaker 3: is contributing to unexpected amounts of pressure on free expression

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Speaker 3: around the world. Speaking on the latest episode of Bloomberg's

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Speaker 3: The Michelle Hussein Show, the novelist said it's more important

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Speaker 3: than ever to protect the views we disagree with. Commenting

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Speaker 3: on the book Banns, he says he could never have

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Speaker 3: imagined the present culture of censorship in the US.

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Speaker 6: It's more important than just the fact that this or

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Speaker 6: that title that you happen to be fond of is banned.

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Speaker 6: It's a question of what would happen to a generation

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Speaker 6: of children if they grow up ignorant of the history

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Speaker 6: of the country. That's dangerous, dangerous, dangerous because it is

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Speaker 6: a very plural society, very diverse society. And if all

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Speaker 6: you hear is one version, which is the version of

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Speaker 6: the dominant race, then that's potentially very destabilizing.

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Speaker 3: Sam and Rushti there who added that according to the

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Speaker 3: advocacy group pen America, that are currently around twenty three

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Speaker 3: thousand active book bands in the US. The Department of

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Speaker 3: Education in the country has dismissed criticism of book bands

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Speaker 3: as a false narrative, defending what it sees as quote

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Speaker 3: common sense procedures by which to evaluate and remove age

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Speaker 3: inappropriate material.

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Speaker 2: Well, those are our top stories for you today. Looking

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Speaker 2: at the market, European stock futures pointing to a higher

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Speaker 2: open just about two tenths up at the moment after

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Speaker 2: stocks six hundred shares rose half of one percent of

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Speaker 2: the close on Thursday. US stock futures are also in

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Speaker 2: the green. It's been more mixed in Asia. The MSCI

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Speaker 2: Asia Pacific Index did drop as much as seven tenths

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Speaker 2: of one percent. It has made back that ground. We

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Speaker 2: get the FEDS preferred inflation gauge today, the personal consumption

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Speaker 2: Expenditures index. The dollar has been edging lower in Asia.

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Speaker 2: Ahead of that, Thursday saw a rise in US Treasury yelds.

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Speaker 2: The tenure yeard this morning is flat trating at four

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Speaker 2: point one percent. Sentiment though, does seem to still be

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Speaker 2: pretty fragile, even as we've seen global stocks rebound somewhat

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Speaker 2: in the past couple of weeks. But that's where we

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Speaker 2: are this Friday.

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Speaker 3: Well, in a moment, we will bring you more on

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Speaker 3: the lumin crisis facing Germany's government, plus why the chef

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Speaker 3: Jamie Oliver is reopening his high street restaurants in the UK,

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Speaker 3: but a different kind of story that we've been reading

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Speaker 3: this morning. The debate has been raging for some time

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Speaker 3: now over whether or not the stock market is in

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Speaker 3: a bubble after the massive grains we've seen in recent months,

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Speaker 3: driven by AI of course, as well so our Market's

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Speaker 3: columnst Jonathan Leven along with Taylor Tyson, have been distilling

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Speaker 3: the arguments into the form of a text thread. It's

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Speaker 3: very easy to go through some of the key arguments

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Speaker 3: in this area, and there are arguments. We've heard many

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Speaker 3: of them on our own programming as well, covering questions

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Speaker 3: like our valuations dangerously high? Is it nineteen ninety nine

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Speaker 3: all over again? Our meme stock investors something to worry

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Speaker 3: about conversation is the way its range is great, and

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Speaker 3: it's I have said much where the moto my phone

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Speaker 3: if you were to look through it now. There's a

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Speaker 3: few economic thinkers referenced as well. Joseph Junpreters the creative

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Speaker 3: destruction being the essential fact of capitalism gets dusted in

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Speaker 3: there at one point as well. But it's look, it's

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Speaker 3: a really good both digestible thread of all of the

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Speaker 3: key points in this argument too, with the key sort

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Speaker 3: of charts and facts that you need to understand where

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Speaker 3: things are in a market that has been pretty exceptional.

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Speaker 4: And listen, I had to chortal.

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Speaker 2: I mean, it's got the charts that I have seen

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Speaker 2: regularly used and abused by finance folk and others on

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Speaker 2: LinkedIn and Reddit and socials and everywhere else. But yes,

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Speaker 2: it is a really good kind of summary of the

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Speaker 2: fundamental arguments of why some people are concerned about where

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Speaker 2: we are in stock markets, and others are very dismissive

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Speaker 2: and say, actually, know, it's a new era. I like

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Speaker 2: the fact that it ends with the classic be fearful

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Speaker 2: when others are greedy. Quote, yeah, but actually, of course,

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Speaker 2: you know, you look at the three years in terms

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Speaker 2: of the kind of billmarkt how long it lasts. A

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Speaker 2: lot of people the naysayers kind of often called the

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Speaker 2: end of a bull run something like three years too early. So,

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Speaker 2: you know, others argue that you should stay in.

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Speaker 3: Long first to be like, oh no, that's it's over now. Anyway, Look,

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Speaker 3: it's all the fuel that you need to have an

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Speaker 3: argument about this over the festive dinner table this year.

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Speaker 3: If those are what the people in your family are

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Speaker 3: going to be talking about. You'll find the full story

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Speaker 3: on Bloomberg dot com. We'll put a link in our

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Speaker 3: podcast show notes as well.

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Speaker 2: Okay, let's thinking out more on the big political story

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Speaker 2: in Germany. So the ruling coalition led by Friedrich Merty

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Speaker 2: is facing a significant rebellion over a pension bill that's

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Speaker 2: due to go to a final vote in the Bundestag today.

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Speaker 2: Our Germany Deputy Bureau Chief Jenny Tier is with us

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Speaker 2: and now for more. Good morning Jenny. First of all,

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Speaker 2: why is this pension bill proving to be so controversial?

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Speaker 7: Good morning from Berlin. Yeah, this pension bill is really controversial.

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Speaker 7: Not from Mats's coalition partners, the Social Democrats, but from

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Speaker 7: his own party. So there is a young group of

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Speaker 7: Conservatives who are really unhappy about this. They feel like

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Speaker 7: this pension bill is not what it was agreed on

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Speaker 7: in the coalition contract. And yeah, they're really rallying for

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Speaker 7: Maths in his campaign this year, and they're really disappointed

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Speaker 7: about you know not and want to help him accountable

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Speaker 7: for his promises.

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Speaker 4: And yeah, so this is why, you know, a.

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Speaker 7: Lot of young conservatives said, Okay, now, now this is

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Speaker 7: something that's really important for us, but it's in rebeying

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Speaker 7: coming from his own party.

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Speaker 3: How significant are the numbers involved though, Does this kind

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Speaker 3: of reach the bar that it could actually topple the coalition?

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Speaker 7: Yeah, I mean the coalition is a majority of twelve

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Speaker 7: seats and there are eighteen of these young Conservatives, so

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Speaker 7: theoretically they could block this tension bill. But in a

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Speaker 7: kind of surprising term of events, the Left Party has

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Speaker 7: announced abstain from the votes. So that would mean that

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Speaker 7: it would be much easier for Man.

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Speaker 4: To secure this the majority for this bill.

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Speaker 7: But yeah, I mean, we still have to see it's

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Speaker 7: it's up in the air.

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Speaker 2: To be honest, what happens if the bill doesn't pass,

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Speaker 2: Does that look likely what happens then?

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Speaker 4: Yeah?

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Speaker 7: I mean if the bill doesn't pass, of course, this

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Speaker 7: would mean like a major disruption, like a huge, massive

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Speaker 7: crisis for the German government. I mean, if you take

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Speaker 7: a look at the polls, the far right party Alternative

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Speaker 7: or Germany is had in some polls, and I mean

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Speaker 7: Males doesn't want new election coming up. So I mean

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Speaker 7: this was this would be a catastrophe for Germany, I think.

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Speaker 7: But now with the kind of like poison support from

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Speaker 7: the Left party, it seems more likely that this bill

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Speaker 7: is going to pass. But still, I mean, if Manz

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Speaker 7: doesn't get a majority on its own leg from its

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Speaker 7: own coalition, it's definitely going to weep him, weaken him anyway.

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Speaker 7: So and he knows that, and in a speech he

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Speaker 7: gave yesterday evening he asked his parliamentarians to actually support

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Speaker 7: him so they get a majority on their own.

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Speaker 3: This certainly must be worrying for businesses though in Germany,

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Speaker 3: and for this was the perspective of the economy more broadly,

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Speaker 3: that the coalition that's only as we say, eight months

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Speaker 3: into its lifetime is already facing this massive test.

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Speaker 4: Yeah, definitely.

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Speaker 7: I mean in the beginning, it all looked pretty good

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Speaker 7: for the German economy because even before the government started,

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Speaker 7: Manz announced his special debt finance funds for military and

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Speaker 7: infrastructure with hundreds of billions of years, and it's just

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Speaker 7: acknowledged by the market, a lot of money coming into Germany.

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Speaker 4: You could see it on the ducks.

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Speaker 7: It was twenty percent up this year, but only two

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Speaker 7: percent since the government actually shout it in maybe and

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Speaker 7: now the pressure is definitely rising on Metsa's government, and

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Speaker 7: we are their business leaders actually say okay, we need

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Speaker 7: structural reforms. It's not enough. You promise a lot, now,

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Speaker 7: please deliver. And Germany is only supposed to grow. The

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Speaker 7: German commomy is only supposed to grow by one percent

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Speaker 7: this year, and I mean compared to other European economies,

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Speaker 7: that's definitely not enough. So there's a sort of impatient

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Speaker 7: in the business community.

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Speaker 2: Okay, Jenny, very interesting, Thank you so much for your

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Speaker 2: update and explaining to us the perils then for freedich

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Speaker 2: Mers and his coalition. Our Germany Deputy Bureau chief Jenny

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Speaker 2: Tear speaking to us today.

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Speaker 4: To stay Thus more from Bloomberg Day Bacube coming up

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Speaker 4: after this.

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Speaker 3: In the UK, the chef Jamie Oliver is reviving his

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Speaker 3: chain of Italian restaurants, six years after it collapsed into insolvency.

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Speaker 3: It's an investment in the high street at a difficult

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Speaker 3: time though for the restaurant industry. I reported Teaba Adebaio

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Speaker 3: has more on the story for us, So TEAA Jamie's

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Speaker 3: Italian coming back? What's different this time around?

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Speaker 4: Yeah, it's back.

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Speaker 8: But for a long time, Stephen, it seems like Jamie's

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Speaker 8: Italian has been something of a relic of an era

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Speaker 8: gone by, you might say, went into administration in twenty nineteen,

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Speaker 8: and of course it was built on Jamie Oliver's brand

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Speaker 8: as a TV chef, which he started in the nineties.

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Speaker 4: But that's all changed recently.

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Speaker 8: And I don't know if you've ever had to kill

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Speaker 8: time before a flight in Gatwick Airport, but that was

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Speaker 8: for a long time home to the last standing Jamie's Italian.

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Speaker 8: But that's all changing now it's coming back, maybe with

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Speaker 8: a bang, i'd say, to London's Leicester Square.

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Speaker 4: This time.

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Speaker 8: It is a franchise deal with Brava Hospitality Group, so

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Speaker 8: that's the team behind the PRESO Italian chain, which you

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Speaker 8: might know as well. And Jamie Oliver says he's learned

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Speaker 8: some lessons from the previous failure. Basically, he thinks that

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Speaker 8: the last time his restaurant business went too big, too soon,

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Speaker 8: so they opened sides that were perhaps larger than they

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Speaker 8: needed and that left them quite vulnerable to the decline

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Speaker 8: of the high street and what he's calling the uberzation

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Speaker 8: of food. So this time he's trying to combat that.

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Speaker 8: He's trying to perhaps appeal to a different market here.

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Speaker 8: He's offering things like loyalty programs to attract customers that

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Speaker 8: are looking for affordability, particularly at this time where there

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Speaker 8: are economic headwinds that are making things difficult for a

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Speaker 8: lot of consumers.

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Speaker 2: Yeah, I mean sometimes I see parallels, at least in

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Speaker 2: the location choices of Jamie Oliver's old restaurants with Guy

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Speaker 2: Fieri in the US. Anyway, I shall leave it there

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Speaker 2: in terms of the US references, but in terms of

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Speaker 2: what it means for restaurants in the UK, I mean,

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Speaker 2: high costs are very squeeze consumer wise. Homi Oliver then

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Speaker 2: tried to kind of re tread what is actually a

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Speaker 2: really difficult hospitality space now.

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Speaker 8: Yeah, you could definitely question the timing of this project

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Speaker 8: is a time of renewed pressure really for the industry

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Speaker 8: as a whole. We talked about those high costs that

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Speaker 8: consumers are facing. It means that they're eating out less,

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Speaker 8: it's going further down the sort of list of priorities

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Speaker 8: for a lot of families. And that's been coupled with

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Speaker 8: the fact that after last week's budget, of course many

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Speaker 8: restaurants are going to face soaring business rates next year.

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Speaker 8: They're also still dealing with some of the after effects

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Speaker 8: of the previous budget, so things like the higher minimum

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Speaker 8: wage and higher national insurance contributions. But Jamie himself has said,

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Speaker 8: you know this landscape is it's a bit of a

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Speaker 8: horror show actually, particularly for the mid market dining sector,

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Speaker 8: and he said that no restaurant at the moment is

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Speaker 8: really pleased with any of the recent government decisions. So

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Speaker 8: remains to be seen if Jamie's Italian make resurgence will

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Speaker 8: keep an eye up.

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Speaker 3: This is Bloomberg Daybreak Europe, your morning brief on the

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Speaker 3: stories making news from London to Wall Street and beyond.

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