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Speaker 1: This is Bloomberg Daybreak here for this Monday, the third

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Speaker 1: of April in London. Coming up today, Crude Measures OPAC

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Speaker 1: makes a shock production card of one million barrels a day.

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Speaker 1: Ubs swings the AXE reports say the Swiss lender is

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Speaker 1: to cut up to thirty percent of its workforce after

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Speaker 1: absorbing credit suits. The coming storm. Donald Trump to face

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Speaker 1: criminal chargers in a Manhattan course, banking crisis lessons, the

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Speaker 1: BOE cybercrime warning and grappling a deal for pro wrestling.

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Speaker 1: Those other stories we're looking at in today's papers, and

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Speaker 1: I'm Leanne Geron's plus less bound for your megabuck. London's

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Speaker 1: wealthiest are getting frustrated with high property prices. That's all

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Speaker 1: straight ahead on Bloomberg Daybreak Europe on DAB Digital Radio

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Speaker 1: London Bloomberg eleven three o, New York Bloomberg ninety nine one, Washington, DC,

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Speaker 1: Bloomberg one oh six one, Boston, Bloomberg nine sixty, San

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Speaker 1: Francisco cyrus XM Channel one nineteen and around the world

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Speaker 1: on Bloomberg Radio, dot Com and var the Bloomberg Business

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Speaker 1: At good Morning. I'm Stephen Carroll and I'm Caroline Hedger.

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Speaker 1: Here are the stories that we're following today. OPEC plus

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Speaker 1: as an answer production cart of one point one million

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Speaker 1: barrels per day. Oil futures have jumped on the surprise move,

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Speaker 1: as all fourteen analysts pulled last week by Bloomberg had

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Speaker 1: predicted no change. Veda CBA, director of Mining and Energy

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Speaker 1: Commodities Research, says the recent financial turmoil was a factor.

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Speaker 1: I think they were really quite concerned when oil prices

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Speaker 1: fell following the banking crisis, because think prices at seventy three.

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Speaker 1: I think that was really where they started to think,

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Speaker 1: what can we do about this? And I think it

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Speaker 1: was really led by the biggest OPIC plus members, and

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Speaker 1: I think Sarbi Maybia really was the one pivotal in

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Speaker 1: terms of deciding this, because we had reports as late

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Speaker 1: as as last Friday where they weren't expecting any changes

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Speaker 1: to OPIC plus guidance. Amongst the op opic plus, as

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Speaker 1: a Victor points out, the Saudi Arabia led the oil

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Speaker 1: cartel's move by pledging a five hundred thousand barrel a

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Speaker 1: day reduction in supply. The White House says the OPEC

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Speaker 1: plus decision was ill advised. Now UBS will reportedly cut

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Speaker 1: twenty to thirty percent of its staff after completing its

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Speaker 1: takeover of Credit Suiss. A Swiss newspaper says the move

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Speaker 1: could effect eleven thousand workers in Switzerland and another twenty

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Speaker 1: five thousand more worldwide. In a separate development, Swiss prosecutors

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Speaker 1: say that they've opened an investigation into the deal. They

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Speaker 1: want to identify possible crimes leading up to the Credit

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Speaker 1: Swiss collapse. Donald Trump plans to plead not guilty when

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Speaker 1: he faces criminal charges in New York later. He'll be

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Speaker 1: the first former US president to face such accusations when

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Speaker 1: he appears in court over hush money payments made to

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Speaker 1: Stormy Daniels. Trump's defense lawyer, Joe Takapina, has told CNN

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Speaker 1: the case's political persecution. He's gearing up for a battle.

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Speaker 1: You know, this is something that obviously we believe is

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Speaker 1: a political persecution, and I think people on both sides

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Speaker 1: of the I'll believe that that's a complete abuse of power.

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Speaker 1: He's a tough guy, George, as you know, and he's

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Speaker 1: someone who's going to be ready for this fight. We're

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Speaker 1: ready for this fight, and I look forward to moving

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Speaker 1: this thing along as quickly as possible to exonerate him.

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Speaker 1: We're way too early to start deciding what motions we're

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Speaker 1: going to file or not file, and we do need

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Speaker 1: to see the indictment and get to work. I mean, look,

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Speaker 1: Tuesday's just the beginning. That's Donald Trump's defans lawyer Joe

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Speaker 1: Tagawna speaking their city authorities in New York are planning

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Speaker 1: to close key streets as part of a security measure

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Speaker 1: ahead of the hearing. In Top Corporate News, Tesla's deliveries

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Speaker 1: hit a record, but fell short of Elon Musk's goal

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Speaker 1: of fifty percent annual growth. The electric vehicle company delivered

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Speaker 1: almost four hundred and twenty three thousand cars worldwide last quarter,

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Speaker 1: beating analysts expectations. Bluebo's Global business managing editor Mma O'Brien

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Speaker 1: has more, they've been cutting prices in a lot of

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Speaker 1: locations to really try and rectify what they saw in

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Speaker 1: the fourth quarter, which was definitely disappointing numbers. They have

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Speaker 1: returned to growth in the first quarter, reaching a record.

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Speaker 1: As you say, though the word on the street is

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Speaker 1: not as sort of clearly positive as that number might betray.

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Speaker 1: So that was O'Brien. Blimbey's Global business managing editor, Well,

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Speaker 1: Tesla doesn't break out sales by region, but the US

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Speaker 1: and China are its largest markets. Finland's Prime Minister of

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Speaker 1: Santa Marion has lost a close parliamentary election to a

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Speaker 1: pro business opposition book Group. The official figures show that

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Speaker 1: Marin's Social Democrats fell to third place behind the far

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Speaker 1: right Finn's Party, while the National Coalition won the most seats.

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Speaker 1: Here's National Coalition leader but Terry Orbo, declaring victory, I

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Speaker 1: think that finished. People won't change. They won't change, and

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Speaker 1: now I will start negotiations, open negotiations with all parties.

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Speaker 1: And I have one crucial issue and in this economy,

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Speaker 1: we have to fix our economy. We have to do

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Speaker 1: reforms to boost our economy of growth. An Abitaria repos

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Speaker 1: is on track to become the next Prime Minister of Finland,

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Speaker 1: but we'll have to find a coalition partner first. Under

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Speaker 1: the previous government, Finland's public debt had jumped by about

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Speaker 1: forty billion euros to around one hundred and ninety five

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Speaker 1: billion last year. Okay, those are a few of our

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Speaker 1: top stories. And for you this morning, Stephen, you're just

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Speaker 1: back from a trip. How much would you spend on

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Speaker 1: a hotel stay? It depends where and what a level

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Speaker 1: of luxury you're offering me, Carlin Hecker, absolutely well. Bloomberg's

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Speaker 1: m Life survey asked four hundred and sixty five Terminal

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Speaker 1: customers about this, and I just thought it was really

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Speaker 1: interesting because apparently five hundred dollars is it? That is

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Speaker 1: where sixty nine percent of people said that they would

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Speaker 1: spend money or would have basically their maximum costs for

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Speaker 1: one night in a hotel, which I mean, it's still

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Speaker 1: pretty pretty good going. I think it's still stick that

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Speaker 1: in the luxury camp, but basically is revenge travel done.

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Speaker 1: And I think those kind of luxury travelers are getting

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Speaker 1: bit fed up with higher prices. Well, meanwhile, those same

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Speaker 1: wealthy individuals aren't willing to let their homes in London

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Speaker 1: go without the right price tag for them. As piece

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Speaker 1: in the Ternel this morning from our colleague Damian Shepherd,

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Speaker 1: looking at how wealthy London homebuyers are demanding discounts on

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Speaker 1: luxury properties but they're not finding many takers. No, like

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Speaker 1: Savills has said that the gap between you know, what

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Speaker 1: buyers want in a kind of tough market. I mean, yes,

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Speaker 1: the UK's avoided recession, but it's still pretty gloomy, high

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Speaker 1: interest rates and so on, and actually what the sellers

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Speaker 1: of prime Central London are prepared to do, it seems

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Speaker 1: to be getting wider and wider. So yeah, that's a

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Speaker 1: really nice piece on the terminot this morning. Well, let's

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Speaker 1: turn back to the main news that is moving markets

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Speaker 1: this morning, and that supply surprise. Rather oil supply from

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Speaker 1: OPEC plus one point one million barrels a day starting

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Speaker 1: from next month. That'll grow to one point six million

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Speaker 1: from July when Russia also takes part in this reduction

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Speaker 1: in the supply. It's a new risk for the global

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Speaker 1: economy or the futures staring as much as eight percent

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Speaker 1: WTI and Brent trading about five percent how higher this hour.

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Speaker 1: Let's speak to our oil markets reporter Alex Loangley from

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Speaker 1: More on this story. Alex, great to have you with us. So,

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Speaker 1: Saudi Arabia and Russia big participants in this. They're both

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Speaker 1: pledging to cadd half a million barrels. But that even

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Speaker 1: as late as Friday we were hearing from PLUS delegates

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Speaker 1: that there would be no change. How big a surprise

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Speaker 1: is this. I think it's clearly wrong for s a

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Speaker 1: lot of people in the market, both on the analysts

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Speaker 1: side and the trading side. And there's a few things

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Speaker 1: to keep in mind here. In perhaps some of the

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Speaker 1: earlier days of Prince Abdelazi's role as Saldi Energy Minister,

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Speaker 1: one of his more famous quotes was that he wanted

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Speaker 1: people who were shorten the oil market to be ouching, like, hell,

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Speaker 1: we've had a pretty long period of volatility in the

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Speaker 1: oil market, but not that frequent periods where or not

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Speaker 1: many frequent periods are i should say, where people have

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Speaker 1: been betting against oil. And then the last few weeks

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Speaker 1: we finally started to see that come back with kind

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Speaker 1: of fear of bank contagion and wider concerns about a

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Speaker 1: global slowdown. And if you look at the positions for

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Speaker 1: shorts in the oil market, they're about the highest they

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Speaker 1: were since Prince Abdelaziz first made those comments. So I

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Speaker 1: think this is a reminder that he wants to sort

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Speaker 1: of steer people away from betting against crude. And also

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Speaker 1: it's also a reminder of the economic conditions we find

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Speaker 1: ourselves in. This is Saudi Arabia and it's OPEC allies

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Speaker 1: protecting against the risk of lower prices from any slowdown

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Speaker 1: in global growth and falsifying the market around eighty dollars

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Speaker 1: of a hour alex. This is having a widespread impact

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Speaker 1: though across asset classes. How much does this add to

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Speaker 1: global inflationary pressures? Potentially hugely, I mean much. We will

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Speaker 1: still depend on the path for prices for the coming

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Speaker 1: weeks and for the rest of the year. I mean,

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Speaker 1: if we do get that big global slowdown then and

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Speaker 1: we get a really meaningful deceleration in demand. Obviously some

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Speaker 1: of the price impact is tempered. But if you just

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Speaker 1: look at prices this morning, right, we've got headline crude

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Speaker 1: prices up eight percent of the highest for the day,

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Speaker 1: but but US gasoline futures were also up the best

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Speaker 1: part of five percent this morning, So even overnight, you're

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Speaker 1: seeing a huge increase in potentially in retail fuel prices

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Speaker 1: once that filters through to the rack prices and say

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Speaker 1: the US for example. So clearly there's a huge inflationary

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Speaker 1: impact that could potentially come from this, But I think

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Speaker 1: in terms of the meaningful part of that and how

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Speaker 1: long it will last, the jury is still out, and

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Speaker 1: we need to see how the demand equation plays out

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Speaker 1: as global growth sort of sets its course over the

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Speaker 1: next few weeks and months. Yeah, because I mean we've

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Speaker 1: already had changes to the crude oil forecast prices from

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Speaker 1: some of the big names, Goulben, for example, raising their

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Speaker 1: forecast in ninety five dollars for this year. The overall

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Speaker 1: analysts forecast is eighty dollars for the year. WTI of

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Speaker 1: course now already reaching that. Just under that at the moment.

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Speaker 1: What sort of you know, one of the factors we

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Speaker 1: need to watch for when it comes to the trajectory

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Speaker 1: for prices from here. Well, I think a lot of

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Speaker 1: these are also key motivations behind the decision. I mean,

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Speaker 1: generally speaking, there's in a consensus view that the oil

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Speaker 1: market's looking pretty bullish in the second half of the year.

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Speaker 1: But I think over the last few weeks the oil

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Speaker 1: bears have started to talk a little bit more loudly

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Speaker 1: about the reasons that might not be the case. The

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Speaker 1: IA has got a huge demand uptick from the first

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Speaker 1: to the final quarter of this year. They've got a

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Speaker 1: big drop in Russian output, which hasn't really shown any

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Speaker 1: signs of happening, or any meaningful signs of happening in

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Speaker 1: the way people thought it would since since sanctions have

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Speaker 1: taken effect. So I think the trajectory for demand and

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Speaker 1: that's obviously inextricably linked with both China's reopening and the

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Speaker 1: path of the global economy and the trajectory of Russian

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Speaker 1: output as sanctions kind of continue to bite over that

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Speaker 1: period will be the key things that they're determine, whether

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Speaker 1: that whether the inventory draw that's expected over the next

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Speaker 1: few months comes to fruition. And I think again these

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Speaker 1: cuts really a designed to underscore that that bullish second

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Speaker 1: half of the year isn't put at risk by a

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Speaker 1: weaker global economy. Okay, Alex, thank you so much for

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Speaker 1: being with us. Really interesting breakdown then of what the

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Speaker 1: Opeque plus cup means to the world our oil markets

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Speaker 1: reporter Alex Longley. Coming up next, we'll be looking at

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Speaker 1: banking crisis lessons, the boees, cybercrime warning and grappling a

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Speaker 1: deal for pro wrestling. Now the paper review on blue

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Speaker 1: birdday Break Europe. The news you need to know from

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Speaker 1: today's papers. Mostly Garins joins us with more details The

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Speaker 1: Financial Times, how's the story The UK needs to learn

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Speaker 1: its own lessons from the banking crisis. This, of course

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Speaker 1: from one of the leader writers at the FT Yes indeed, Caroline.

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Speaker 1: So this is from Martin Wolf. It's an opinion article

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Speaker 1: and like you said, he's a chief economics commentator for

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Speaker 1: the Ft and this is what he's saying on UK

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Speaker 1: financial regulation. He also says banks are the Achilles Heel

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Speaker 1: of the market economy. Now, he outlines eight obvious lessons

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Speaker 1: the UK needs to learn from this mini crisis that

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Speaker 1: we've seen in the banks in recent months, and he

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Speaker 1: says that we need to learn these lessons. And the

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Speaker 1: first obvious lesson he points to is he says the

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Speaker 1: events of recent weeks have reminded us that the UK

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Speaker 1: is an open financial entrepos and as vulnerable to regulatory

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Speaker 1: failures elsewhere in the world. Martin Wolf also says the

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Speaker 1: boees Andrew Bailey said it was helpful that the UK

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Speaker 1: arm of SBV was a ring fence subsidiary, not a branch,

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Speaker 1: allowing the UK to resolve it quickly and independently. And

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Speaker 1: he calls the second obvious lesson disturbing, saying the story

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Speaker 1: credit suite basically shows that policymakers might actually find it

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Speaker 1: hard Caroline, to impose an orderly resolution on politically sensitive institutions,

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Speaker 1: even when a pan exists, and he says the pressure

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Speaker 1: of deregulation is really gaining ground here in the UK.

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Speaker 1: But he's saying this, well, cry says, should make deregulation

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Speaker 1: less appeally. Yeah, I mean who was pointing to the

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Speaker 1: last eighteen months or two years, I think of the

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Speaker 1: Conservative government. But I mean, given the crisis of SVB,

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Speaker 1: that that talk has surely got to go you on

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Speaker 1: the back burner. But what he's also saying, Caroline is

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Speaker 1: that basically in the US in twenty nineteen there was

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Speaker 1: deregulation of smaller banks which did contribute to this recent crisis,

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Speaker 1: and that was a real powerful example to rethink regulation

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Speaker 1: when it comes to banks and deregulation, and that's so

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Speaker 1: they can protect you know what's coming next, interesting piece

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Speaker 1: there from Martin Wolf. Let's go to the Telegraph nextly,

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Speaker 1: and it says the Bank of England demands cyber crackdown

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Speaker 1: after Russia linked attacks. Yes, indeed, Stephen so Threadneedle Street

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Speaker 1: is ordering lenders to bolster defenses and that's against Russian

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Speaker 1: linked hackers. Sarah Breeden, the head of financial stability at

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Speaker 1: the bank, has issued this warning and that comes after

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Speaker 1: you know, we reported on Royal Mail and The Guardian

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Speaker 1: and that was them falling victim to ransomware gangs, and

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Speaker 1: you know, things were really disrupted during that time. In

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Speaker 1: a letter to executives, Missus Breeden gave companies a deadline

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Speaker 1: of March twenty twenty five to get their systems and

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Speaker 1: emergency response plans in shape in case anything like this

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Speaker 1: happens now. A survey last year of one hundred and

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Speaker 1: thirty global financial institutions found nearly three quarters had experience

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Speaker 1: at least one ransomware attack over the past year. But

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Speaker 1: the Telegraph does make a point that I think is

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Speaker 1: quite important. Sarah Breedon did not specifically identify Russian links

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Speaker 1: groups as a potential threat. However, researchers are warning that

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Speaker 1: the deterioration of relations between Moscow and the world in

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Speaker 1: many ways has significantly increased the risks that we are

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Speaker 1: seeing when it comes to ransomware gangs. Yeah, although it's

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Speaker 1: kind of easy depend it all on Russia, isn't it.

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Speaker 1: I mean, the ransomware gangs we know are often not

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Speaker 1: always stay linked. They can be kind of independent and

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Speaker 1: looking for a cash win, I suppose, and just last

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Speaker 1: your slightly more well is this a lighter note. To

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Speaker 1: the Wall Street Journal, WWE nears sale to UFC's Endeavor Group.

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Speaker 1: The headline, yes, that is the headline. So Endeavor Group

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Speaker 1: is the parent company of UFC and it's said to

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Speaker 1: be nearing this deal to acquire WWE. And this is

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Speaker 1: according to the Wall Street Journal. But Bloomberg did really

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Speaker 1: great reporting on the story, and I just want to

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Speaker 1: tell you it's actually the fifth red story on the terminal,

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Speaker 1: So if you want to have a look at it,

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Speaker 1: go ahead. It's gaining loads of traction. And Bloomberg reported

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Speaker 1: back in February that WWE's executive chairman was looking to

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Speaker 1: get a nine billion dollar amount for the company. It's

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Speaker 1: absolutely huge. But one thing we have to remember is

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Speaker 1: this as not just sport. It's sport and entertainment, and

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Speaker 1: thousands and thousands of people go to things like wrestling

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Speaker 1: isn't real. Well, when I found that out, I was

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Speaker 1: very emotional because I felt like it was real. But

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Speaker 1: WrestleMania honestly attracts just thousands of fans. I can't tell

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Speaker 1: you how popular it is. So here we go, guys,

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Speaker 1: this could be a big deal for sport. And like

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Speaker 1: I said, according to sources the entertainment conglomerate could announce

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Speaker 1: this deal as soon as today, so this could be

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Speaker 1: imminent and for everyone listening, wrestling fans, it's partne real.

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Speaker 1: This is Bloomberg Daybreak Europe. You're morning brief on the

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Speaker 1: stories making news from London to Wall Street and beyond.

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Speaker 1: listen live each morning on London Dab Radio, the Bloomberg

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Speaker 1: station is also available on your Amazon Alexa devices. Just

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Speaker 1: say Alexa played Bloomberg eleven thirty. I'm Caroline Hitka and

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Speaker 1: I'm Stephen Carroll. Join us again tomorrow morning for all

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