Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: This is the.
Speaker 3: BlueBag DAYVIQRE podcast. Good morning, It's Tuesday, the thirtieth of June.
Speaker 3: I'm Caroline Hepke in London and I'm.
Speaker 4: Stephen Caroline Brussels. Coming up today. An explosive device seriously
Speaker 4: injures three people in Monaco, as the suspected attacker flees
Speaker 4: to France.
Speaker 3: The ECB president Christine Legard tounts the EU's growing ability
Speaker 3: to resist global economic upheaval.
Speaker 4: Plus what's happening with the world's most popular messaging app.
Speaker 4: Why three billion people will soon be able to connect
Speaker 4: to each other without revealing their phone number.
Speaker 3: Let's start with the roundup of our top stories.
Speaker 4: A man hunters underway in France after three people, including
Speaker 4: a teenager, were injured in an explosion at an apartment
Speaker 4: building in Monaco. French media reporting that one of Ukraine's
Speaker 4: richest oligarchs, Vadim Ermolaev, is among the wounded. Monico's Minister
Speaker 4: of States described the incident, which took place at around
Speaker 4: nine pm local time, as a deliberate explosion. Jehaues Spinelli,
Speaker 4: mayor of the neighboring French town, Bosslet, explained more about
Speaker 4: what happened.
Speaker 5: Visibly, an explosive device was placed in front of the
Speaker 5: entrance of a building, injuring several people. One person fled
Speaker 5: running to the town of Boslet. We have been able
Speaker 5: to follow him with a camera in the town of Boslet.
Speaker 5: We have immediately informed the French National Police, who are
Speaker 5: working in collaboration with the municipal police of Bosslet and
Speaker 5: obviously with security of the Principality of Monaco.
Speaker 4: As Bosele is mayor. Speaking there, Monico's public prosecutor Stefan
Speaker 4: Cibo said a suspect had left a bag or package
Speaker 4: in the building's lobby before leaving.
Speaker 3: Europe is becoming less vulnerable to external shocks, according to
Speaker 3: the European Central Bank President Christine Lagarde. Speaking at the
Speaker 3: ECB's annual retreat in Cintra, the central Bank chief said
Speaker 3: that stronger banking and fiscal regulations, as well as investments
Speaker 3: in low carbon energy, have paid off for the whole region.
Speaker 1: The euro Area has also whether the largest US tariff
Speaker 1: increase in almost a century, as well as what the
Speaker 1: International Energy Agency has called the largest oil supply disruption
Speaker 1: in history that didn't go without a significant cost. It
Speaker 1: has been substantial, but the economy has not been derailed.
Speaker 3: Christine Legald's comments came after the ECB raised interest rates
Speaker 3: just weeks ago in a bid to contain price pressures
Speaker 3: triggered by the Iran War. While all prices have retreated
Speaker 3: since the hike, policymakers, including Isabelle Schnabel, argue that boring
Speaker 3: costs will probably still need to rise further.
Speaker 4: The European Union and China have set in October deadline
Speaker 4: to make progress on a series of trade disputes. As
Speaker 4: part of the effort, the two economic powers have agreed
Speaker 4: to establish a joint platform to monitor trade flows and
Speaker 4: identify any sudden surges. Speaking after meeting China's Commerce minister
Speaker 4: in Brussels, EU Trade Commissioner Maracheftovich said both sides would
Speaker 4: work together to resolve their issues.
Speaker 6: Today's discussion were intensive, focused and constructive. My objective from
Speaker 6: the outset has been clear to begin balancing the trade
Speaker 6: relationship between the European Union and China. The gap is widening,
Speaker 6: the China's export to the EUKE rising, while our market
Speaker 6: share in China keeps shrinking.
Speaker 4: Marschaftovich faces an uphill battle that EU is trade deaf
Speaker 4: sit with China reached three hundred and sixty billion euros
Speaker 4: last year, with every member state running a deficit.
Speaker 3: The UK is hoping AI and drone investment will help
Speaker 3: transform its aging military. Prime Minister Kistarma is that to
Speaker 3: publish a heavily delayed defense investment plan later today. He
Speaker 3: met NATO's Secretary General Margutta yesterday and highlighted the importance
Speaker 3: of the military alliance so once.
Speaker 7: Again into the UK, into LATO and beyond that to
Speaker 7: the more European into the boar board for the future
Speaker 7: of proser single most successful military lass as.
Speaker 8: Well as are known.
Speaker 3: However, Starmer's plan has been criticized for being underfunded, abow
Speaker 3: that triggered the resignation of Defense Secretary John Healey. The
Speaker 3: Labor government has vowed to raise defense bending to two
Speaker 3: point six percent of GDP next year and three and
Speaker 3: a half percent by twenty thirty five, but has not
Speaker 3: set out the path between the two targets.
Speaker 4: Iran is dialing up its rhetoric about controlling the Strait
Speaker 4: of horror moves ahead of new talks with the United States.
Speaker 4: Bloomberg's midleast correspondent to beer Abu Omar says it's clear
Speaker 4: Tehran's greater control of the strategic waterway.
Speaker 2: We've heard from several officials in Iran saying that once
Speaker 2: the sixty day period is over, we're going to start
Speaker 2: seeing tolls or fees starting to get charged to shipowners
Speaker 2: in the strait of her moves, and so Iron's position
Speaker 2: continues to be solidified through official seeing that whether or
Speaker 2: without the help, they will continue to bring up the
Speaker 2: topic of.
Speaker 4: TOLLINGA birabem Our ads that Aran's stance puts more pressure
Speaker 4: on its talks with the US, later to happen in
Speaker 4: Katar later today. Countries around the world are concerned that
Speaker 4: any toll would add to already high energy prices.
Speaker 3: WhatsApp is select the messaging services three billion global users
Speaker 3: select a username for their account. B begs You and
Speaker 3: Potts has more on the changes.
Speaker 9: From this week. WhatsApp users can reserve a unique username.
Speaker 9: It's a change designed to increase privacy by letting people
Speaker 9: connect without having to share their phone number. The feature
Speaker 9: resembles similar ID systems offered by rival messaging apps, including Signal,
Speaker 9: With the usernames becoming operational later this year. To avoid
Speaker 9: impersonation and scams, Whatsapple set aside existing Facebook and Instagram
Speaker 9: usernames for their owners during the reservation period. In London,
Speaker 9: I'm Unepots, Bloomberg Radio.
Speaker 4: Two more European teams are out of the World Cup
Speaker 4: after losing in the round of thirty two on penalties.
Speaker 4: Germany fell to Paraguay, who've declared today a national holiday
Speaker 4: after pulling off the tournament's biggest upset so far, eliminating
Speaker 4: the four time champions in a shootout. Here's the moment
Speaker 4: Fans in the South American country celebrated. The result was
Speaker 4: reaction from Paraguay's capital ascension there. Earlier this morning, Morocco
Speaker 4: defeated the Netherlands after their match went to spot kicks,
Speaker 4: eventually tryumphing three to two. The team is now set
Speaker 4: to face Canada in the round of sixteen.
Speaker 3: Okay, good stuff of football. All right, let's think about
Speaker 3: the markets this morning? Well, I mean, we as excited
Speaker 3: about global equities, maybe on trap for their best quarter
Speaker 3: in almost six years. Asian stocks have seen a second
Speaker 3: quarter boom. Just look at the COSPI up seventy one
Speaker 3: percent this quarter. MSCI Asia Pacific index this morning continues
Speaker 3: to rally up by one point four percent. You see
Speaker 3: gains for the CSI three hundred and the tie EGGX
Speaker 3: These Xetra tacts in Germany, though underperforming the stock six
Speaker 3: hundred this month, which is one a notable point in
Speaker 3: terms of European stock futures. This morning, we're currently up
Speaker 3: by six almost seven tenths of one percent. There was
Speaker 3: also a tech rally in the US on War Street yesterday.
Speaker 3: The Japanese yet hits a four decade low. That's got
Speaker 3: a lot of speculation about further intervention. Rencrewed futures down
Speaker 3: one percent ahead of these expected possible US Iran talks.
Speaker 3: Tenure treasury years not doing much this morning four point
Speaker 3: three seven percent, and gold prices so gold slipping just
Speaker 3: below four thousand dollars down seven tens of one percent
Speaker 3: this morning. Remember we do have French, German, Italian CPI,
Speaker 3: so inflation data all to come later and nine point
Speaker 3: fifteen pm UK time tonight it will be earnings out
Speaker 3: from Nike. Those are the markets.
Speaker 4: Well, in a moment, we'll bring you more on that
Speaker 4: explosion in Monaco, plus what to expect from the ucv's
Speaker 4: forum in Centro and Portugal. But first of the story
Speaker 4: that has caught her eye this morning, and the etiquette
Speaker 4: of using AI note takers during video calls. Isilapawsko been
Speaker 4: writing about this for Bloomberg Business Week, and those little
Speaker 4: blank squares that can appear in zoom calls, the note
Speaker 4: taking bots that are lurking plenty of legal issues around
Speaker 4: who's listening to meetings and who has access to that
Speaker 4: material afterwards, He's actually focusing on the interpersonal dilemmas that
Speaker 4: they can create between those who are very pro AI
Speaker 4: and those who are perhaps more skeptical. She describes it
Speaker 4: as a new layer of fisient and a times outrage
Speaker 4: in workplace interactions. So people complain that people are skipping
Speaker 4: meetings and sending note takers AI note takers in their place.
Speaker 4: But there's also this problem that the note takers pick
Speaker 4: up the small talk, the casual gossip, perhaps the jokes
Speaker 4: that fill down time and meetings. Do we want this
Speaker 4: to be recorded? I don't think so.
Speaker 3: I have an image of Rita Skeita, you know, watching
Speaker 3: over me scribbling everything down. I don't love that idea,
Speaker 3: but mind you, on the other hand, we got used
Speaker 3: to CCTV. People were kind of worried about the privacy
Speaker 3: implications of that, But this does feel different in terms
Speaker 3: of scale, doesn't it. The other thing that I think
Speaker 3: about with this issue is ideas, you know, giving your
Speaker 3: ideas away to all of those note takers, and what
Speaker 3: is done with all of those notes afterwards, where do
Speaker 3: they go and how are they interpreted? I think that's
Speaker 3: very very difficult issue that's going to have to be tackled.
Speaker 4: I just think there's the question of tone. I mean,
Speaker 4: the things that you would never down in an email,
Speaker 4: that you might casually say, which are part of you know,
Speaker 4: regular human interaction at work. Not necessarily sure, I want
Speaker 4: to have those that are taken to by anoetaker anyway,
Speaker 4: very interesting people put a link to us in our
Speaker 4: podcast show notes. Well, let's bring you more details now
Speaker 4: of that explosion in Monaco which injured three people. French
Speaker 4: media reporting the victims, where the Ukrainian oligarch the dem
Speaker 4: ermaelev and his family are reported to at Bio has
Speaker 4: more on this story too of what do we know
Speaker 4: about what happened?
Speaker 8: Well, there are limited details so far, but we do
Speaker 8: know that three people, including a teenager were wounded on
Speaker 8: Monday in an explosion at a residential building in Monaco
Speaker 8: that took place around nine pm local time. Authorities have
Speaker 8: described it as a deliberate attack at this point, and
Speaker 8: we've heard from the mayor of the neighboring French town,
Speaker 8: which is Bosolet. He's explained that there was an explosive
Speaker 8: device placed in front of the entrance of the building
Speaker 8: and that's what injured several people. He's also said that
Speaker 8: one person fled the scene and actually ran to Bosaly.
Speaker 8: We've also heard from Monaco Minister of State who's confirmed
Speaker 8: that the suspect crossed the border into France on foot
Speaker 8: and then was able to be identified via video surveillance
Speaker 8: in Monaco and also in Bosolet. So now currently the
Speaker 8: investigation is ongoing. We know that the French National Police
Speaker 8: are working in collaboration with both the municipal police of
Speaker 8: Bosolet and also security of the Principality of Monaco. In
Speaker 8: terms of the victim, as you mentioned, French media are
Speaker 8: reporting that one of Ukraine's richest oligarchs, which is Verdim
Speaker 8: I Ermalayev, is among the wounded. And it's worth mentioning
Speaker 8: as well that Ukrainian media outlet Ukraine's Skapravda have said
Speaker 8: that he was targeted by Ukrainian sanctions in twenty twenty
Speaker 8: three for ties to Russia. That's really all we know
Speaker 8: in terms of specific details so far.
Speaker 3: Violent incidents like this are very rare in Monaco. What's
Speaker 3: been the reaction from authorities.
Speaker 8: That's true, Caroline, Monaco is a tiny area. It's actually
Speaker 8: less than one square mile of land. They do have
Speaker 8: very low crime rates, a very high degree of CCTV
Speaker 8: usage as well. But it is worth considering that Monaco
Speaker 8: is on the Financial Action Task Force and the EU
Speaker 8: Gray List in terms of areas that are deemed insufficiently
Speaker 8: vigilant about dirty money, so it's at high risk when
Speaker 8: it comes to anti money laundering and counter terrorist financing efforts.
Speaker 8: We've seen the Principality Titan laws around this, trying to
Speaker 8: show that, trying to show authorities that it can take
Speaker 8: meaningful enforcement action when it comes to that. But nevertheless,
Speaker 8: this is very unusual for Monaco, and we've already heard
Speaker 8: from the leader, Prince Albert the Second. He's called this
Speaker 8: an odious act and said that all the country's services
Speaker 8: are mobilized to ensure security. So at the moment the
Speaker 8: investigation is ongoing. It's selectly. We might have more details
Speaker 8: in the coming hours.
Speaker 4: Okay to out a bio. Thank you very much, Stay
Speaker 4: with us. Were from Bloomberg Daybreak. Europe coming up after this.
Speaker 3: Now, the ECB president says that Europe is becoming less
Speaker 3: vulnerable to outside shocks thanks to stronger regulation and more
Speaker 3: investment into renewable energy. Christine Leagard was speaking at the
Speaker 3: opening of the European Central Banks Annual Retreat in Portugal,
Speaker 3: and our editor at large Francis Lackward joins us now
Speaker 3: from CenTra for more. Good to speak to you, Francine.
Speaker 3: Christine Leguard was quite good morning. She was quite hopeful
Speaker 3: in her opening address. What did you think? There are
Speaker 3: plenty of challenges that central bankers are going to be
Speaker 3: discussing there, So what did you take away from what
Speaker 3: she said?
Speaker 10: So it was an interesting speech, and as always, it's
Speaker 10: really nice being in CenTra because you have central banks
Speaker 10: from really around the world trying to get to know
Speaker 10: each other. If you're new or eleven new central bankers
Speaker 10: you know worldwide that are here in CenTra. Also, Kevin
Speaker 10: wats So the speech yesterday was really maybe a little
Speaker 10: bit more hopeful than if it was in a press conference.
Speaker 10: But Christine Leguard did not really shy away from also
Speaker 10: really framing the big questions, which is they've decided not
Speaker 10: to do forward guidance or not looking at forward guidance
Speaker 10: because of the big uncertainty. So it's the energy shock
Speaker 10: that really changed the trajectory for all these central banks
Speaker 10: in the last seven to eight months, and she really
Speaker 10: laid it out as we're not one hundred percent sure
Speaker 10: what will come and because of the uncertainty, we don't
Speaker 10: want to give forward guidance. But it's also very clear
Speaker 10: that she really focused on the strength of the European economy.
Speaker 10: She talked about financial stability and the fact that Europe
Speaker 10: is getting more resilience to economic shocks, but that was
Speaker 10: less interest rates and more on financial stability. So it
Speaker 10: was an interesting speech. And then halfway through you had
Speaker 10: Kevin Warris, who's really kind of the star of the
Speaker 10: show this week because it's the first time since he
Speaker 10: was appointed by President Trump that he gets to mingle
Speaker 10: with other cent bankers and it's his first really big
Speaker 10: trip abroad.
Speaker 4: Now, Frian, you're going to be speaking to all the
Speaker 4: key people there at center. Tell us about some of
Speaker 4: the conversations that you're looking forward to.
Speaker 10: Well, I'm looking forward to students speaking to the Chief
Speaker 10: e Congress of the VCB, Philip Plane. I think it
Speaker 10: will be an interview. We're all try and understand where
Speaker 10: he sees the next hike. If you look at markets,
Speaker 10: they are expecting the ECB to hike one more at
Speaker 10: one more time this year. And you know, it'd be
Speaker 10: great if he gave us a clue. I don't know
Speaker 10: if you will, but it'd be great if he gave
Speaker 10: us a clue on whether this would be in July
Speaker 10: or September. Now, if you think about the problematic at hand,
Speaker 10: so you're close to you know there there's not a
Speaker 10: piece deal between the US and Iran. You're close to
Speaker 10: a resolution, which means that you could see oil prices
Speaker 10: fall even further. But at the same time, because the
Speaker 10: energy prices went through such volatility in the last three
Speaker 10: four months, you also see second round effect. So it'd
Speaker 10: be really interesting to see how he places it, whether
Speaker 10: it means that they really have to preempt Madame Legand
Speaker 10: said something in her speech which then got a lot
Speaker 10: of central bankers talking is that the hike they did
Speaker 10: in June was not an insurance policy. Right then, she
Speaker 10: looked at the data with her committee and they decided
Speaker 10: that it was best to hike there. And so she
Speaker 10: really pushed back against this idea that it's an insurance hike,
Speaker 10: you know, if something were to happen more for oil
Speaker 10: prices going higher. So I'll try and push them on
Speaker 10: that as well.
Speaker 4: Thanks for listening to Bloomberg Daybreak Europe.
Speaker 3: If you're enjoying the podcast, give us a follow, leave
Speaker 3: a rating, all review, and maybe send it to that
Speaker 3: one friend or colleague who's always trying to keep up
Speaker 3: with the news.
Speaker 4: And if one podcast today isn't enough for you, you
Speaker 4: can also listen to us live every weekday from six
Speaker 4: am in London on DAB Radio, on tune in and
Speaker 4: on the Bloomberg Business app, or
Speaker 3: If you've got a smart speaker near by, just say
Speaker 3: play Bloomberg Radio