WEBVTT - Titanic Sub Races Against Time; Deutsche Bank CEO Interview 0:00:01.200 --> 0:00:04.560 From the Bloomberg Interactive Burgers Studios. This is Bloomberg day 0:00:04.559 --> 0:00:06.760 Break for Thursday, June twenty second. 0:00:06.840 --> 0:00:09.680 Coming up today, Cruz race to find the missing sub 0:00:09.760 --> 0:00:12.119 near the Titanic before the air runs out. 0:00:12.240 --> 0:00:15.400 The US and India strengthened military and economic ties. 0:00:15.440 --> 0:00:18.560 Rates in focus, as Jay Powell appears before Congress again, 0:00:18.600 --> 0:00:20.759 and the Bank of England makes a policy decision. 0:00:20.760 --> 0:00:23.240 I mean bring you an exclusive interview with the CEO 0:00:23.440 --> 0:00:24.120 of Deutsche Bank. 0:00:24.239 --> 0:00:27.680 New York Mayor Adams announces new guidelines after lithium ion 0:00:27.760 --> 0:00:30.800 battery fires. Plus a New York City board votes for 0:00:31.040 --> 0:00:35.040 increases in rent stabilized apartments. I'm Michael Barr. More ahead, I'm. 0:00:34.920 --> 0:00:37.200 John Stas, Sharon Swarts, the Yankees at three home runs 0:00:37.200 --> 0:00:39.640 in a widower Seattle, the Mets lost in Houston. The 0:00:39.800 --> 0:00:42.159 NBA Draft takes place tonight in Brooklyn. 0:00:43.720 --> 0:00:47.120 That's all straight ahead on Bloomberg day Break, the Business 0:00:47.159 --> 0:00:49.599 news you need to starn your day in just one 0:00:49.720 --> 0:00:54.200 fifteen minute podcast each morning on Apples, Spotify, the Bloomberg 0:00:54.240 --> 0:00:56.920 Business app and everywhere you get your podcasts. 0:01:00.000 --> 0:01:01.680 Good morning, I'm Nathan Hager. 0:01:01.600 --> 0:01:04.840 And I'm Karen Moscow. Here are the stories we're following today. 0:01:05.319 --> 0:01:07.280 First, we want to keep you updated on the search 0:01:07.319 --> 0:01:10.840 for that missing submersible near the Titanic. Crews from around 0:01:10.880 --> 0:01:14.280 the world are zeroing in on underwater noises detected over 0:01:14.319 --> 0:01:17.559 the past two days. Former Coast Guard Commandant Thad Allen 0:01:17.680 --> 0:01:20.360 says filtering out the signal from the noise is a 0:01:20.400 --> 0:01:20.960 tough task. 0:01:21.120 --> 0:01:23.240 There's animal life, there are other noises that are out there. 0:01:23.240 --> 0:01:24.240 There are ships operating in. 0:01:24.240 --> 0:01:26.840 The area, so the question is how to localize it 0:01:26.880 --> 0:01:28.360 and try and understand what it is. 0:01:28.480 --> 0:01:31.920 Former Coastguard Commandant Thad Allen says the situation is growing 0:01:31.920 --> 0:01:34.440 more desperate for the five people on board the titan 0:01:34.520 --> 0:01:37.640 The vessel left Sunday with about ninety six hours of air. 0:01:37.680 --> 0:01:39.880 At this point, they may have just a couple of 0:01:39.920 --> 0:01:40.600 hours left. 0:01:41.200 --> 0:01:44.280 Well, Nathan, we turn to geopolitics now. In an important 0:01:44.319 --> 0:01:47.720 moment in the US relationship with India, President Biden is 0:01:47.760 --> 0:01:51.680 hosting India's Prime Minister Narendra Modi for his first ever 0:01:51.880 --> 0:01:54.720 stayed visit to the White House. Senior US officials say 0:01:54.720 --> 0:01:56.960 the two leaders will announce a series of defense and 0:01:57.000 --> 0:02:00.760 commercial deals aimed at improving military and economic times. They'll 0:02:00.760 --> 0:02:03.880 also hold a brief adjoint news conference, a rare ty 0:02:04.040 --> 0:02:07.680 for the Indian leader, before Modi addresses Congress this afternoon. 0:02:07.920 --> 0:02:11.239 Meantime, in Florida, Karen, the federal government's case against Donald 0:02:11.280 --> 0:02:14.440 Trump is moving forward. Prosecutors are now turning over evidence 0:02:14.480 --> 0:02:17.680 to the former president's legal team. Amy Morris has details 0:02:17.680 --> 0:02:19.600 from our Bloomberg ninety nine to one newsroom. 0:02:19.639 --> 0:02:20.359 In Washington. 0:02:20.680 --> 0:02:23.040 Evidence is being handed over to the defense as both 0:02:23.080 --> 0:02:26.080 sides get ready for the August fourteenth trial date, including 0:02:26.120 --> 0:02:29.200 grand jury testimony of witnesses set to testify at trial, 0:02:29.440 --> 0:02:32.239 a twenty twenty one recording of the former president discussing 0:02:32.320 --> 0:02:36.040 having classified information, other public statements made by Trump, an 0:02:36.200 --> 0:02:39.280 FBI interview of Trump's personal aid and co defendant, and 0:02:39.360 --> 0:02:42.120 pictures of boxes of records at mar A Lago. Both 0:02:42.160 --> 0:02:44.920 sides are prevented from publicly sharing the evidence that's been 0:02:44.960 --> 0:02:47.880 turned over, and Trump's attorneys are working on getting security 0:02:47.880 --> 0:02:51.919 clearances to review any classified material. In Washington, I'm Amy Morris, 0:02:51.919 --> 0:02:52.800 Bloomberg Daybreak. 0:02:52.840 --> 0:02:55.359 All right, Amy, thank you well. Elsewhere in Washington, the 0:02:55.400 --> 0:02:58.720 House is voted to censor Adam Schiff. Flowmakers voted along 0:02:58.720 --> 0:03:01.880 party lines to center the care California Democrat over comments 0:03:01.919 --> 0:03:05.840 made during investigations at Donald Trump's ties to Russia. Schiff 0:03:05.960 --> 0:03:08.359 was defiant ahead of the vote, calling out House Speaker 0:03:08.400 --> 0:03:09.200 Kevin McCarthy. 0:03:09.400 --> 0:03:12.600 McCarthy would spend the nation's time on petty political payback, 0:03:13.040 --> 0:03:17.480 thinking he can censure or find Trump's opposition into submission, 0:03:18.160 --> 0:03:22.160 but I will not yield, not one inch. 0:03:22.480 --> 0:03:25.720 Adam Schiff becomes the twenty fifth House lawmaker to be censured. 0:03:25.800 --> 0:03:28.960 He was the lead prosecutor and former President Trump's first 0:03:28.960 --> 0:03:29.840 impeachment trial. 0:03:30.080 --> 0:03:33.280 Karen Let's turn from politics now to financial markets. Jay 0:03:33.320 --> 0:03:35.800 Powell is back in focus as the FED chair prepares 0:03:35.840 --> 0:03:39.160 for day two of congressional testimony. Yesterday, Powell told the 0:03:39.200 --> 0:03:42.320 House Financial Services Committee more interest rate hikes are on 0:03:42.360 --> 0:03:42.680 the way. 0:03:43.120 --> 0:03:46.480 Almost every single of the sixteen of the eighteen participants 0:03:46.520 --> 0:03:49.240 on the FMC wrote down that they do believe it'll 0:03:49.240 --> 0:03:52.200 be appropriate to raise rates, and a big majority believes 0:03:52.280 --> 0:03:54.720 razor rates twice this year, And you know, I think 0:03:54.760 --> 0:03:57.440 that's a pretty good guess of what will happen if 0:03:57.480 --> 0:03:59.440 the economy performs about is expected. 0:04:00.040 --> 0:04:02.640 Comments come after the FED pause drate hikes last week 0:04:02.680 --> 0:04:04.960 for the first time in fifteen months. 0:04:04.920 --> 0:04:07.720 Well, Nathan. Not all FED officials are on board for 0:04:07.800 --> 0:04:12.080 more rate increases. Atlanta Fed Bank President Raphael Bostick says 0:04:12.120 --> 0:04:14.920 he supports holding at the current level for the rest 0:04:14.920 --> 0:04:17.719 of this year. We get more from Bloomberg's Charlie Pellett. 0:04:18.160 --> 0:04:21.080 Bostick says it is prudent to give time for inflation 0:04:21.160 --> 0:04:25.200 to ease. In response to past moves. In an online commentary, 0:04:25.240 --> 0:04:28.760 Bostick said, quote, letting restrictive Polsey work for a while 0:04:29.160 --> 0:04:32.560 is prudent because the Polilsey has been truly restrictive for 0:04:32.680 --> 0:04:35.520 less than a year, and it takes time from monetary 0:04:35.560 --> 0:04:40.480 policy changes to meaningfully influence economic activity. In a later 0:04:40.600 --> 0:04:44.520 Yahoo Finance interview, Bostick said, quote, my baseline is that 0:04:44.600 --> 0:04:46.600 we should stay at this level for the rest of 0:04:46.640 --> 0:04:50.440 the year. In New York, Charlie Pellett Bloomberg Daybreak. 0:04:50.080 --> 0:04:52.720 Thank you, Charlie. Central banks are also in focus overseas 0:04:52.760 --> 0:04:55.160 this morning. The Bank of England is expected to raise 0:04:55.240 --> 0:04:57.600 rates again today, and we get the details from Bloomberg's 0:04:57.600 --> 0:04:58.680 Ew and Potts in London. 0:04:58.880 --> 0:05:01.120 Central banks for men to get boring this summer, but 0:05:01.200 --> 0:05:03.760 Britain's red hot inflation may force the Bank of England 0:05:03.800 --> 0:05:07.120 to press hard on the breaks. Today, economists and investors 0:05:07.120 --> 0:05:09.680 expect the Monetary Policy Committee to push ahead with another 0:05:09.760 --> 0:05:12.240 quarter point increase in the base rate to four point 0:05:12.360 --> 0:05:15.400 seventy five percent, what would be the thirteenth rise in 0:05:15.440 --> 0:05:18.880 the hiking cycle. But core inflation at a thirty one 0:05:19.000 --> 0:05:21.560 year high, it means money markets now placed a forty 0:05:21.640 --> 0:05:25.159 percent chance on a bigger half point increase. It's an 0:05:25.160 --> 0:05:27.760 anxious backdrop to a mortgage market which has already seen 0:05:27.839 --> 0:05:30.960 soaring rates this month in London. Immune pot's been Bakeday 0:05:30.960 --> 0:05:31.520 break all. 0:05:31.440 --> 0:05:32.039 Right you and thanks. 0:05:32.080 --> 0:05:34.279 So we have some other central bank decisions in Europe 0:05:34.320 --> 0:05:37.120 to tell you about this morning. Switzerland hiked rates by 0:05:37.200 --> 0:05:39.760 twenty five basis points and that amounts to the smallest 0:05:39.800 --> 0:05:43.440 increase since the SMB started tightening policy last year. And 0:05:43.560 --> 0:05:47.239 Norway when even further, hiking rates by fifty basis points, 0:05:47.520 --> 0:05:50.600 that's the largest increase since the central bank's current tightening cycle. 0:05:50.800 --> 0:05:53.440 Staying in Europe, Karen Deutsche Bank's CEO is out with 0:05:53.480 --> 0:05:57.200 an optimistic outlook. Christian Saving says he expects trading results 0:05:57.240 --> 0:05:59.440 to improve in the second half as clients navigate a 0:05:59.480 --> 0:06:03.560 complexity challenging economy. Speaking exclusively to Bloomberg, the Deutsche Bank 0:06:03.640 --> 0:06:06.359 CEO said, there are also challenges facing the business. 0:06:06.600 --> 0:06:10.360 With regard to the investment bank, we always said that 0:06:11.360 --> 0:06:14.520 we had a record year. We had an extraordinary strong 0:06:14.600 --> 0:06:16.600 year in the fit business in twenty twenty two. 0:06:17.240 --> 0:06:18.039 I still think that. 0:06:18.120 --> 0:06:20.679 Actually in Q one and Q two we have done well, 0:06:20.720 --> 0:06:24.200 but the overall market is a bit weaker than in 0:06:24.320 --> 0:06:25.720 the record year of twenty twenty two. 0:06:26.520 --> 0:06:29.200 And again that was Deutsche Bank CEO Christian Savings, speaking 0:06:29.240 --> 0:06:32.279 exclusively with Bloomberg. State tuned for more of that conversation 0:06:32.800 --> 0:06:39.720 coming up shortly, and for that look at other stories 0:06:39.760 --> 0:06:41.520 making news in New York and around the world. We 0:06:41.560 --> 0:06:44.000 are joined by Bloomberg's Michael barg Morning, Michael. 0:06:43.760 --> 0:06:46.719 Good morning Nathan. A deadly tornado hit a small town 0:06:46.800 --> 0:06:51.000 in northwest Texas last night, leaving significant damage in its wake. 0:06:51.520 --> 0:06:54.360 The mayor of Matadoras says at least three people had 0:06:54.360 --> 0:06:57.120 been killed in the storm, which also damaged and destroyed 0:06:57.120 --> 0:07:01.039 homes and businesses. The dangerous heat wave across the South 0:07:01.120 --> 0:07:04.400 is turned deadly. The US Postal Service confirmed a letter 0:07:04.440 --> 0:07:08.320 carrier in Dallas, Texas, died while delivering mail in the heat. 0:07:08.640 --> 0:07:12.600 Multiple cities are shattering all time heat records. South of Houston, 0:07:12.680 --> 0:07:15.960 crews are racing to repair roads that buckled under the heat. 0:07:16.280 --> 0:07:20.760 Texas Department of Transportation spokesman Danny Perez says workers' safety 0:07:20.800 --> 0:07:23.040 is being monitored closely, making. 0:07:22.800 --> 0:07:25.240 Sure they're staying hydrated, making sure that they're aware of 0:07:25.240 --> 0:07:28.480 the situation, making sure that they're not staying out longer 0:07:28.480 --> 0:07:29.040 than they need to. 0:07:29.520 --> 0:07:31.680 Near Corpus Christy, it felt like one hundred and twenty 0:07:31.760 --> 0:07:35.400 seven degrees tenets. In New York City's roughly one million 0:07:35.480 --> 0:07:39.600 rents stabilized apartments will face increases of three percent for 0:07:39.720 --> 0:07:43.640 one year leases. After a tense meeting filled with protesters, 0:07:44.000 --> 0:07:48.080 The city's rent Guidelines Board also voted yesterday for two 0:07:48.200 --> 0:07:52.160 year leases. Rents will increase two point seventy five percent 0:07:52.320 --> 0:07:55.520 in the first year and an additional three point two 0:07:55.560 --> 0:07:58.840 percent in the second year. The rents are expected to 0:07:58.880 --> 0:08:03.320 increase October first, another lithium ion battery fire in New York. 0:08:03.360 --> 0:08:05.840 At least two people were hurt in the blaze last 0:08:05.960 --> 0:08:09.720 night in Bensonhurst, Brooklyn. The fire that was quickly extinguished 0:08:09.840 --> 0:08:13.520 comes just hours after Mayor Eric Adams says that New 0:08:13.600 --> 0:08:16.560 York is taking action after four people were killed from 0:08:16.560 --> 0:08:19.600 a fire and an e bike repair shop in Manhattan. 0:08:19.760 --> 0:08:23.080 Earlier this week, Adams announced a new action plan to 0:08:23.160 --> 0:08:28.120 speed up investigations about potentially hazardous conditions involving lithium ion 0:08:28.160 --> 0:08:29.880 batteries and bike shops. 0:08:30.200 --> 0:08:33.400 We need real action not only on the state level, 0:08:33.480 --> 0:08:36.440 but on the federal level. They have been over one 0:08:36.480 --> 0:08:40.439 hundred and eight lithian ion related battery fires in this 0:08:40.600 --> 0:08:43.559 city this year alone. 0:08:43.679 --> 0:08:47.520 Mayor Adams also announced an outreach and education campaign aimed 0:08:47.559 --> 0:08:50.840 at shop owners about the dangers regarding the batteries. The 0:08:50.880 --> 0:08:53.360 New York State Legislature has passed a bill to protect 0:08:53.400 --> 0:08:57.079 abortion providers against being sued from states where the practice 0:08:57.120 --> 0:09:00.720 is banned. The bill would legally protect doctors, ensuring medical 0:09:00.760 --> 0:09:03.880 providers in the state will be able to provide telehealth 0:09:03.920 --> 0:09:06.120 services to patients who do not live in New York. 0:09:06.679 --> 0:09:09.240 Global News twenty four hours a day, powered by more 0:09:09.320 --> 0:09:12.240 than twenty seven hundred journalists and analysts in over one 0:09:12.320 --> 0:09:15.760 hundred and twenty countries. I'm Michael Barr. This is Bloomberg, Nathan. 0:09:15.920 --> 0:09:23.160 Thank you, Michael. Time now for the Bloomberg Sports Update. 0:09:23.200 --> 0:09:25.040 Good morning, John Stanshall, Good morning, Nathan. 0:09:25.080 --> 0:09:27.880 And Yankees, of course had some big name, high priced guys, 0:09:27.920 --> 0:09:30.000 they were not the ones that led them to victory 0:09:30.040 --> 0:09:33.000 at the stadium. Johnny Brido got the start up from 0:09:33.000 --> 0:09:34.559 the Miners. He pitched it to the sixth and he 0:09:34.600 --> 0:09:36.360 did not allow a run, gave up just two hits. 0:09:36.400 --> 0:09:38.960 Yanks had only five hits for three of them left 0:09:38.960 --> 0:09:39.400 the yards. 0:09:39.440 --> 0:09:41.080 The payoff. He's not running in the pitches. 0:09:41.120 --> 0:09:44.160 Swung on it ahead of the aditya right that falls high, 0:09:44.360 --> 0:09:49.880 that is far there, it is gone. It's a two 0:09:50.120 --> 0:09:55.240 run home run by the Yankee of ours, and that's Jake. 0:09:55.120 --> 0:09:58.520 BAUERFA and six home run for Bowers, Billy and mckinne. 0:09:58.520 --> 0:10:00.720 An other than left handed hitting out field just stuck 0:10:00.720 --> 0:10:03.400 from Scranton. Hit his second as many nights and later 0:10:03.480 --> 0:10:05.319 the tenth of the season for the rookie Anthony Volpa. 0:10:05.440 --> 0:10:07.520 Yankees beat the Mariners four to two and they go 0:10:07.559 --> 0:10:08.040 for the sweep. 0:10:08.080 --> 0:10:08.360 Tonight. 0:10:08.400 --> 0:10:11.320 The Mets lost in Houston ten to eight. This game 0:10:11.400 --> 0:10:13.760 is nine to six. Still in the fourth inning, Tyler 0:10:13.840 --> 0:10:17.400 McGill gave up five runs. Anthony Leoni followed got only 0:10:17.440 --> 0:10:19.960 four house gave up four more runs in defeat, twenty 0:10:19.960 --> 0:10:21.160 third home run for Pete a. 0:10:21.160 --> 0:10:22.520 Lonzo with the Mets have. 0:10:22.559 --> 0:10:25.679 Now lost thirteen to their last seventeen. Cincinnati has won 0:10:25.760 --> 0:10:28.280 all of its last eleven, the Reds longest winning streaking 0:10:28.640 --> 0:10:31.040 sixty six years, and the Giants won again. 0:10:31.080 --> 0:10:32.240 They've won their last ten. 0:10:32.679 --> 0:10:35.560 Big NBA trade just ahead of Tonight's draft. It takes 0:10:35.559 --> 0:10:38.120 place at the Barkley Center. Three team deal saw the 0:10:38.120 --> 0:10:41.880 Celtics acquire the ex Nick Kristaps Porzingis coming in from Washington. 0:10:41.880 --> 0:10:44.880 It cost them Marcus Smart, a Celtic for nine years 0:10:44.880 --> 0:10:47.000 two seasons ago, the NBA's top defensive player. 0:10:47.040 --> 0:10:48.199 He goes to Memphis. 0:10:48.400 --> 0:10:51.960 The draft will begin with San Antonio taking Victor Wembiniama, 0:10:52.000 --> 0:10:54.320 the French being on. The Nets have back to back 0:10:54.360 --> 0:10:56.800 picks in the first round, twenty first and twenty second. 0:10:57.160 --> 0:11:00.760 The Knicks have stockpiled picks in later years. Tonight, barn 0:11:00.800 --> 0:11:04.240 Atre the Knicks will not have a pick. John Stashedward 0:11:04.280 --> 0:11:05.440 Bloomberg sports. 0:11:07.400 --> 0:11:10.359 From coast to coast, from New York to San Francisco, 0:11:10.720 --> 0:11:15.400 Boston to Washington, DC, nationwide on Syrias exam. The Bloomberg 0:11:15.440 --> 0:11:19.600 business app in Bloomberg dot com. This is Bloomberg Daybreak. 0:11:20.760 --> 0:11:21.240 Good morning. 0:11:21.280 --> 0:11:24.840 I'm Nathan Hager. There's momentum in the business, so says 0:11:25.000 --> 0:11:28.360 Deutsche Bank CEO Christian Saving, and while he warns of 0:11:28.400 --> 0:11:31.439 a decline in trading revenue this quarter, he expects results 0:11:31.440 --> 0:11:34.320 to improve in the second half. Pointing to clients currently 0:11:34.400 --> 0:11:38.680 navigating a complex and challenging economy. Christian Savings sat down 0:11:38.720 --> 0:11:42.040 for an exclusive interview with Bloomberg's Guy Johnson. Let's listen 0:11:42.040 --> 0:11:43.000 into that conversation. 0:11:43.120 --> 0:11:49.480 Now, the macro uncertainty that has driven markets so much recently, 0:11:49.559 --> 0:11:51.920 do you get the feeling that that is beginning to received, 0:11:51.960 --> 0:11:55.280 Do you get the impression that you are increasingly on 0:11:55.360 --> 0:11:56.240 more solid ground. 0:11:57.200 --> 0:11:58.079 Well, first of all, I. 0:11:58.000 --> 0:12:00.960 Think we all have to admit that if you look 0:12:01.000 --> 0:12:03.480 what has happened over the last twelve to fifteen months 0:12:04.040 --> 0:12:09.320 in the macro. On the geopolitical side, I think economies 0:12:09.360 --> 0:12:13.280 have really shown how resilient they are. Because a year ago, 0:12:13.360 --> 0:12:17.000 a lot of people would have said there is a 0:12:17.120 --> 0:12:21.480 quite material session in Europe, in Germany, potentially also in 0:12:21.520 --> 0:12:24.360 the US, and if we now look back, I think 0:12:24.400 --> 0:12:28.760 we see that the answer we have given is actually 0:12:28.800 --> 0:12:32.000 showing that we fared quite well over the last twelve 0:12:32.000 --> 0:12:35.360 to fifteen months. Now, I think the situation remains complex. 0:12:38.600 --> 0:12:42.200 I do believe that with a very persistent inflation, interests 0:12:42.240 --> 0:12:43.400 will further go up. 0:12:43.400 --> 0:12:45.480 On both sides of the ocean. 0:12:46.000 --> 0:12:49.320 And I also do believe Guy that the interest will 0:12:49.360 --> 0:12:53.720 then stay a little bit longer elevated than potentially a 0:12:53.720 --> 0:12:57.760 lot of people think. And that means that I still 0:12:57.800 --> 0:13:01.760 believe that there is a and of a mild recession 0:13:02.200 --> 0:13:05.240 in the US at the end of twenty three early 0:13:05.320 --> 0:13:07.800 twenty four, as well as in Europe. You see that 0:13:08.080 --> 0:13:10.920 Germany is in a technical recession, has been in a 0:13:10.960 --> 0:13:17.280 technical recession. So I don't believe that we will see 0:13:17.400 --> 0:13:22.600 a material recession, but I do think that uncertainty still prevails, 0:13:22.679 --> 0:13:26.800 and hence we need to watch out. And the second 0:13:26.960 --> 0:13:30.839 half of twenty twenty three is for sure a half 0:13:30.920 --> 0:13:34.720 which is still complex and is still challenging. 0:13:35.160 --> 0:13:39.200 So does that mean that the Q two guidance that 0:13:39.240 --> 0:13:43.200 your CFO gave a few days back was just a 0:13:43.480 --> 0:13:46.120 was just a blip. He was talking about fixed income 0:13:46.520 --> 0:13:49.320 being down fifteen to twenty percent. You talk about the 0:13:49.360 --> 0:13:51.680 fact that the second half is going to see significant uncertainly, 0:13:51.760 --> 0:13:54.679 that's a good environment for fixed income. So therefore, was 0:13:54.720 --> 0:13:56.360 the Q two guidance just a blip? And do you 0:13:56.440 --> 0:13:59.520 still believe that the fullier numbers are going to be 0:13:59.520 --> 0:14:01.920 better than the numbers that James gave. 0:14:02.960 --> 0:14:05.040 Well, let's start with the Oval bank and there we 0:14:05.040 --> 0:14:08.480 see a good momentum. That is the strategy of Deutsche 0:14:08.520 --> 0:14:10.400 Bank that we says we need a more balanced bank. 0:14:10.440 --> 0:14:12.520 That was exactly what we wanted to achieve in twenty 0:14:12.640 --> 0:14:15.000 nineteen when we called out the transformation of Deutsche Bank. 0:14:15.520 --> 0:14:16.640 And we see the results. 0:14:16.679 --> 0:14:19.800 We have a very strong corporate bank, a very nice 0:14:20.080 --> 0:14:23.960 developing private bank, and therefore we can confirm our twenty 0:14:23.960 --> 0:14:26.240 eight to twenty nine billion of revenues for this year. 0:14:26.600 --> 0:14:29.520 We see the momentum. We see a Q two to 0:14:29.560 --> 0:14:32.240 be honest, Q two twenty twenty three from a revenue 0:14:32.240 --> 0:14:35.680 point of view, which is higher than Q two twenty 0:14:35.720 --> 0:14:39.400 twenty two. So overall, I would say this bank is 0:14:40.160 --> 0:14:44.160 faring well. The strategy is paying off. With regard to 0:14:44.520 --> 0:14:48.600 the investment bank, we always said that we had a 0:14:48.600 --> 0:14:51.720 record year, we had an extraordinary strong year in the 0:14:51.760 --> 0:14:53.440 fig business in twenty twenty two. 0:14:54.000 --> 0:14:55.600 I still think that actually in. 0:14:55.600 --> 0:14:57.600 Q one and Q two we have done well, but 0:14:57.640 --> 0:15:01.160 the overall market is a bit weaker than in the 0:15:01.200 --> 0:15:04.400 record year of twenty twenty two. But I do believe 0:15:04.560 --> 0:15:08.240 with some uncertainties, for instance the debt ceiling issue going 0:15:08.280 --> 0:15:13.000 away in the US, then with the still complex situation 0:15:13.080 --> 0:15:15.560 which is in front of US, I do believe that 0:15:17.840 --> 0:15:20.720 in Q three and Q four there is momentum in 0:15:20.760 --> 0:15:23.560 the business on the fix site. But for us, as 0:15:23.600 --> 0:15:26.240 a strategy of Deutsche Bank, it's important that we further 0:15:26.320 --> 0:15:29.120 balance out the investment bank. Over All, we have a 0:15:29.200 --> 0:15:32.120 very strong fake business, we have a very strong DCM business. 0:15:32.400 --> 0:15:35.000 What we really wanted to achieve is that also the 0:15:35.000 --> 0:15:38.040 O and A business is further strengthstened, and hence. 0:15:37.800 --> 0:15:39.360 We've put a lot of investments into that. 0:15:40.640 --> 0:15:42.720 So just to wrap this part of the conversation up, 0:15:44.720 --> 0:15:46.680 it is going to be it's going to be an 0:15:46.680 --> 0:15:49.040 operating environment for the fake business that is likely to 0:15:49.080 --> 0:15:53.200 be less good than next year than last year. Q 0:15:53.280 --> 0:15:55.560 two may or may not be a blip. You still 0:15:55.600 --> 0:15:57.600 see uncertainty in the second half of the year, which 0:15:57.640 --> 0:16:03.080 could provide opportunity. So on balance, the numbers are likely 0:16:03.160 --> 0:16:05.360 to be slightly better than the fifteen to twenty percent 0:16:05.400 --> 0:16:06.280 of the James guided too. 0:16:06.720 --> 0:16:11.000 That's what I would say for the coming months and weeks. Again, 0:16:11.120 --> 0:16:14.960 Q two was also a particular quarter given the situation 0:16:15.040 --> 0:16:17.560 also which we had in the US. We can already 0:16:17.600 --> 0:16:20.680 see also now in June on the most recent days, 0:16:20.720 --> 0:16:22.440 that there is a that there is. 0:16:22.440 --> 0:16:23.480 Momentum in the business. 0:16:23.520 --> 0:16:27.440 So I'm over all actually quite comfortable also with the 0:16:27.480 --> 0:16:31.280 Fig business. And again Q two was a particular quarter. 0:16:31.440 --> 0:16:34.400 I would say that the Fig business in Q three 0:16:34.480 --> 0:16:38.280 and Q four I think there was a slight recovery. 0:16:38.440 --> 0:16:39.960 You are very good at keeping secrets. 0:16:42.480 --> 0:16:45.640 Let's talk about the new Mist acquisition for those of 0:16:45.720 --> 0:16:48.720 us to follow the bank, it caught us all by surprise. 0:16:49.160 --> 0:16:51.200 I understand you've been working on it for quite some time, 0:16:51.280 --> 0:16:53.480 but it definitely caught us by surprise. 0:16:56.040 --> 0:16:58.480 Was the offer just too good to refuse? Was the 0:16:58.520 --> 0:17:00.760 price just too good to refuse? Where did it come from? 0:17:00.800 --> 0:17:03.200 Where did where did your decision to go in this. 0:17:03.120 --> 0:17:05.720 Direction the advisory business come from? 0:17:06.600 --> 0:17:10.840 Well, I just said it in my previous answer. You know, 0:17:10.920 --> 0:17:13.320 I'm a big believer and the whole management team of 0:17:13.320 --> 0:17:15.520 Deutsche Bank is a big believer that we need balanced 0:17:15.560 --> 0:17:18.159 business not only for the Oval bank. That was the 0:17:18.200 --> 0:17:21.240 reason why we did the transformation four years ago, stable 0:17:21.640 --> 0:17:25.359 well balanced set up with four businesses. In each of 0:17:25.400 --> 0:17:28.280 those business I again want to be balanced, and we 0:17:28.400 --> 0:17:32.040 have a very strong thick and DCM business. Where we 0:17:32.080 --> 0:17:35.439 wanted to further invest is in the o NA business. 0:17:35.600 --> 0:17:39.320 And you know, we looked at Numis for a long long. 0:17:39.160 --> 0:17:42.200 Time and yes we kept the secret quite well. 0:17:42.320 --> 0:17:46.840 And we think it's an optimal addition to our business 0:17:46.880 --> 0:17:50.280 mix and to our offerings in Europe and in particular 0:17:50.320 --> 0:17:52.960 in the UK. The UK is from a fee market pool, 0:17:53.960 --> 0:17:59.119 it's the most lucrative European market. We are adding one 0:17:59.240 --> 0:18:03.000 hundred and seven top corporate lines and it fits beautifully 0:18:03.040 --> 0:18:06.399 to our global house bank concept. Everybody is only thinking 0:18:06.400 --> 0:18:09.720 about the investment banking offering, and yes that's obviously something 0:18:09.760 --> 0:18:11.800 we are very much interested in and it fits to 0:18:11.920 --> 0:18:16.520 our existing positioning in the UK. But we have a 0:18:16.720 --> 0:18:19.720 really well functioning corporate bank. So we have one hundred 0:18:19.760 --> 0:18:23.480 and seventy additional clients with Numis now and we can 0:18:23.560 --> 0:18:27.400 offer our corporate banking products and at the same time 0:18:27.760 --> 0:18:29.480 we have a private bank where I think we. 0:18:29.440 --> 0:18:31.080 Can also do the one or the other things. 0:18:31.080 --> 0:18:35.560 So the over global housebank concept is fitting very well 0:18:35.560 --> 0:18:38.720 to Numis and therefore we looked at it very carefully. 0:18:38.760 --> 0:18:40.880 I'm very glad about the job Fabrizio and the. 0:18:40.800 --> 0:18:41.480 Team have done. 0:18:42.040 --> 0:18:44.479 And now we concluded this and now we need to 0:18:44.840 --> 0:18:45.800 make the final steps. 0:18:45.880 --> 0:18:47.840 Right. Are you keeping more secrets from me? 0:18:48.600 --> 0:18:51.240 Are there you talk about the other divisions and the 0:18:51.240 --> 0:18:54.800 fact that you want to have balance. Are there other 0:18:54.840 --> 0:18:58.240 deals in the offering? Even another great opportunity came along. 0:18:58.320 --> 0:19:01.720 Are you still interested or or is the dry powder gone? 0:19:01.920 --> 0:19:01.960 No? 0:19:02.080 --> 0:19:04.440 I would say, look, I think we are very careful 0:19:04.480 --> 0:19:09.440 and cautious planning team. But of course we always said 0:19:09.480 --> 0:19:14.199 that after restructuring and positioning this bank, we are up 0:19:14.240 --> 0:19:16.760 for growth and we always says we want to grow 0:19:16.880 --> 0:19:20.199 in more capital lighted products, which is for instance the 0:19:20.320 --> 0:19:22.919 o NA business in m and a business in the 0:19:22.960 --> 0:19:25.879 advisory business. But you have also seen that we have 0:19:26.000 --> 0:19:30.000 done senior hires again in corporate finance, but also in 0:19:30.040 --> 0:19:33.240 the Welsh management business. So we think that we can 0:19:33.280 --> 0:19:35.720 further balance out the business at some point in time 0:19:36.000 --> 0:19:40.040 over two three years. You know, we want to also 0:19:40.080 --> 0:19:42.879 and we need to plan for a situation that ANII 0:19:42.920 --> 0:19:45.600 is at some point in time again coming down, we 0:19:45.640 --> 0:19:48.439 need then additional income streams, and this bank is planning 0:19:48.440 --> 0:19:50.640 for that and is investing for that right now. 0:19:51.119 --> 0:19:53.880 And hence a I wouldn't. 0:19:53.560 --> 0:19:55.879 Tell you about secrets because you just said we are 0:19:55.880 --> 0:19:57.840 good at it at keeping it, but that there is 0:19:57.880 --> 0:20:02.359 a clear growth strategy in parts like wealth management, origination 0:20:02.440 --> 0:20:05.960 and advisory. Yes, we are focusing on that. And with 0:20:06.040 --> 0:20:07.720 the recent HighRes we've seen that. 0:20:08.040 --> 0:20:10.520 You talk about highers on the well side, though, do 0:20:10.840 --> 0:20:12.600 you see the growth there being organic? Do you see 0:20:12.640 --> 0:20:16.639 it being via acquisition of talent rather than acquisition of businesses? 0:20:17.680 --> 0:20:19.000 Well, it's it's it's both. 0:20:19.080 --> 0:20:22.000 But I do believe that we have now such a 0:20:22.119 --> 0:20:26.480 nice positioning and and such a nice structure that we 0:20:26.640 --> 0:20:29.560 really do believe that if you have a chance to 0:20:29.920 --> 0:20:35.240