Squawk Box Europe Express

China tries to get back to work amid the Coronavirus outbreak. Numerous major factories in China reopen, including plants belonging to BYD, Tesla, Daimler and Ford. The iPhone supplier Foxconn also gets the green light to restart work at a key plant but Apple and Alibaba opt to keep their facilities shut. The death toll from the virus surpasses 900, following its biggest daily increase yesterday, with more than 40,000 cases confirmed globally. Asian stock markets start the week in mild negative territory. In Germany, Daimler is reportedly planning on cutting up to 15,000 jobs which could save the luxury car and truck maker up to €1.4bn a year by 2022. And we are live in Dublin where the nationalist Sinn Féin party is poised to enter government after winning its highest ever number of first preference votes in the Irish general election.  

U.S. President Donald Trump reportedly goes ‘apoplectic’ during a phone call with UK Prime Minister Boris Johnson over his decision to choose Huawei for Britain’s 5G roll-out. This as the U.S. Attorney General William Barr urges the state to buy shares in Ericsson and Nokia to help create viable Western competitors. CNBC learns that Elliott Management has moved to acquire a $2.5bn stake in Softbank following Masayoshi Son’s WeWork misstep. Meanwhile, Chinese stocks look set to mark their worst week in nine months as the Coronavirus shows no signs of abating. The doctor credited with raising the alarm about the outbreak has died in Wuhan, as the overall death toll surpasses 600. The spread of Coronavirus is also being felt in the automotive sector with Fiat Chrysler warning it may shut down a European plant should Chinese factory closures affect its supply chain. And in corporate news, ride-hailing app Uber has said it hopes to turn profitable by Q4 2020 despite an expected loss of $1bn this year.

A Valentine’s Day surprise…Asian stocks rise on the back of an unexpected decision by Beijing to halve tariffs on nearly 2,000 U.S. goods on February 14th. But the spreading Coronavirus is weighing on companies around the world. Tesla says a delay in deliveries has reversed a six-day rally while Yum China has warned of Q1 losses. Nike, Disney and Qualcomm are also bracing for disruption to business. In energy news, oil prices are up with markets banking on a production cut from Opec and its allies as a technical meeting between the producer nations runs over into a fourth day. We also have earnings from French banking giant Société Générale, which drops a reference to a key profitability target, and we speak to the CFO of Dutch lender ING who warns of a challenging environment amid negative interest rates.

The Coronavirus claims another 65 victims, edging the death toll towards 500. Both Washington and London have announced new evacuation measures while at the WHO, a senior health official has slammed China’s early efforts to contain the outbreak despite director-general Tedros Ghebreyesus’s initial backing of Beijing’s response. Disney has lured 28m new subscribers, reportedly enticed by the Baby Yoda franchise but CEO Bob Iger tells CNBC the media and entertainment giant is also bracing for a $175m hit to its Chinese theme parks due to the spread Coronavirus. The outbreak is also potentially affecting Ford who’s shares plunge in after-hours trading as the car maker revises its guidance.

Hong Kong reports its first fatality linked to the coronavirus with the total death toll surpassing 420 and more than 20,000 cases confirmed globally. Chinese President Xi Jinping strikes a defiant tone, saying Beijing has launched a ‘people’s war of prevention’ against the outbreak and has threatened to punish anyone failing to perform their duties in combatting the virus. Asian equities claw back some of the steep losses Chinese mainland markets suffered yesterday, while oil also reverses following a brief dip by WTI below $50 per barrel. In the U.S., markets are on tenterhooks awaiting the delayed result of the Iowa caucuses, which have been thrown into disarray due to voting inconsistencies. And in corporate news, Alphabet stocks dip into the red after-hours on the back of poor Google ad sales and YouTube data despite the tech giant beating Q4 expectations. But Tesla shares soar by almost 20 per cent – the company’s biggest one-day gain in seven years – boosted by stellar numbers from battery partner Pana

Chinese stocks plunge on re-opening after the extended lunar new year holiday amid the outbreak of the novel coronavirus. More than $400bn of value are wiped off the mainland indices, despite efforts by the Chinese central bank to support markets by injecting liquidity and cutting rates. The death toll from the virus reaches 360 and the first fatality outside China is reported in the Philippines. Meanwhile in the UK, Prime Minister Boris Johnson is ready to set out his proposals for a trade deal with the EU, warning that Britain would not be aligning with Brussels regulations.

A new era for the UK… We are live in Westminster, Brussels and Dover in a special edition of Squawk Box on the day that Britain formally leaves the European Union. The government has planned celebrations throughout the day ahead of the 11pm departure time. The World Health Organisation declares the coronavirus a global health emergency as the outbreak claims its 200th victim and cases are confirmed in India and the Philippines. The organisation, however, stops short of recommending travel and trade restrictions with China, helping Wall Street finish January in the green, with European stocks set to follow suit. And in corporate news, Amazon shares surge after the online retail giant posts better-than-expected Q4 earnings, sending its market cap above $1 trillion in after-hours trading.

Assessing the cost…. Asian stock markets slump to a seven-week low as the coronavirus death toll rises to 170 and foreigners flee China. Economists sound the alarm over how the outbreak could impact China’s economy, with some saying GDP growth could slow to 5 per cent as a result. Facebook shares suffer, despite a Q4 earnings beat, as investors show concern over the social media giant’s soaring costs and narrowing margins. In Germany, Deutsche Bank reveals a worse-than-expected €5.3bn net loss for 2019 as the cost of the bank’s restructuring hits the bottom line. We hear from the CFO James Von Moltke. And in the U.S., the Federal Reserve says it is ‘appropriate’ to hold rates steady, but chairman Jerome Powell voices fears over the coronavirus’s effect on the Chinese economy in the medium term.

Correction territory… fears over the coronavirus drives the Hang Seng towards its worst month since August, following a global market sell-off after the Lunar New Year holiday. The death toll has now hit 140, with 1,500 new cases being confirmed yesterday alone, including in Germany and Sri Lanka. Chinese President Xi Jinping calls on his country to pull together in defeating the spread of the virus. In the U.S., Apple delivers a record quarter, beating profit and revenue forecasts. The tech giant says it is monitoring how the coronavirus may unfold. The effects of the outbreak, however, have already impacted LVMH. Despite posting record-breaking revenues for 2019, Q4 sales in Hong Kong have plunged by 40 per cent and the French luxury group has moved to shut its stores in the territory. We are also live in Madrid where Santander has reported record annual revenues and increased its dividend.

Contagion fears: The Dow logs its worst day since October and falls into negative territory for the year, while South Korea's KOSPI drops more than 3 per cent as the spread of the coronavirus grips global markets and the death toll reaches 100. Airline, travel and consumer stocks lead losses, while oil falls for a sixth day and the 10-year treasury yield drops to its lowest level in three months. In corporate news, Renault's board will reportedly meet today to name former Seat chief executive Luca de Meo its next CEO, as the French automaker struggles to rebuild its relationship with alliance partner Nissan. And in the U.K., British Prime Minister Boris Johnson promises a Huawei 'solution', as the National Security Council prepares to make a decision on the Chinese tech giant's part in Britain's 5G roll-out.

A grave situation… Chinese President Xi Jinping extends the Lunar New Year holiday in a bid to hinder the spread of the deadly coronavirus, as the death toll rises to 80, while a further 2,700 people are infected. Fears rattle global markets while investors pile into safe haven assets, with 13 countries confirming cases of the infectious disease worldwide. Hong Kong and Macau has banned the entry of visitors from China's Hubei province, where the virus originated. In Italy, Matteo Salvini’s Lega party is unable to unseat the PD in a close-fought local election in the historically leftist northern region of Emilia-Romagna. And in London, the government is close to granting Huawei a restricted role in launching Britain’s 5G network, despite pressure from the Trump administration to ban the Chinese tech giant from access to the UK market.

China on edge…the WHO has stopped short of declaring the coronavirus outbreak a global health emergency but Beijing identifies and locks down 10 entire cities as the death toll rises to 25. We are live at the close of the World Economic Forum where trade tensions between the U.S. and the EU remain front and centre but Germany’s finance minister, Olaf Scholz, tells CNBC that he is confident a deal can be agreed on free commerce and digital tax. Meanwhile, the euro falls to a seven-week low against the dollar following ECB President Christine Lagarde’s cautious outlook yesterday as she offered little insight about the central bank’s launch of its first strategy review in 17 years.  

The coronavirus remains among the top concerns as Squawk Box kicks off another day of coverage from the World Economic Forum. China imposes a travel ban on the city of Wuhan, as Beijing confirms nearly 600 cases and 17 deaths from the virus. However, the World Health Organisation holds off from declaring the outbreak a global health emergency. President Trump takes the fight to Davos. U.S. Treasury Secretary Steven Mnuchin tells CNBC on a panel moderated by Geoff Cutmore that he will impose tariffs on European car companies should the UK and Italy go ahead with plans to introduce a digital tax. UK Chancellor Sajid Javid is forced to confirm that Britain will indeed roll out the planned levy in the spring, while Italian Finance Minister Roberto Gualtieri tells Steve Sedgwick that the EU will be a tough negotiator but would use more conciliatory methods than the US. We also hear exclusively from the chairman of Chinese conglomerate Fosun International, Guo Guangchang, who says conflicts between Beijin

We kick off our second Squawk Box from Davos with the latest news on the outbreak of the Coronavirus. The World Health Organisation prepares to hold an emergency meeting as China confirms 440 cases and the first patient is diagnosed in the U.S. Fears of a pandemic are keeping markets on edge. We speak to the boss of pharma giant AstraZeneca to get his take on the mysterious pneumonia-like illness.Hong Kong Chief Executive Carrie Lam tells CNBC she is disappointed with yesterday’s Moody’s rating downgrade, defending her reaction to the unrest in the territory seen throughout 2019. But she adds that her resignation is not the answer.In the U.S., Boeing takes the wind out of the Dow with shares sinking on a fresh warning that the 737 Max will now not be back in the air before mid-2020.And, later today CNBC hosts a star-studded WEF panel discussing the 'Future of Financial Markets', featuring U.S. Treasury Secretary Steven Mnuchin, IMF Managing Director Kristalina Georgieva, UK Chancellor Sajid Javid and UBS Chai

A digital tax truce. We kick off our coverage of the World Economic Forum in Davos, as French President Emmanuel Macron and U.S. President Donald Trump reach an agreement to avoid a levy on big tech and retaliatory tariffs on French goods until the end of this year.But the forum braces for a showdown between President Trump and Greta Thunberg, as both the American leader and the 17-year-old climate activist prepare to take the stage at the World Economic Forum today.In Asia, equities turn negative amid heightened concerns over the spread of a virus in China that is being compared to the SARS outbreak of 2002-2003.Moody's cuts Hong Kong's credit rating, saying officials have no tangible plans to address the unrest in the territory.And we speak to the CEO of EY who tells us the U.S. economy is looking good, thanks to strength in the labour market, while the boss of Schneider Electric says sustainability is a mega-trend that will not hurt profits.

Davos descent… top business leaders and policy makers begin arriving in Davos, Switzerland, as Oxfam reports that the planet’s roughly 2,000 billionaires own more wealth than 60 per cent of the global population. We will be live at the 50th World Economic Forum all week, starting today at 1600 CET. In energy news, oil prices surge after a military blockade in Libya causes the closure of the country’s two biggest oil fields. In France, President Macron attempts to woo top Davos-bound executives and investors at the third ‘Choose France’ summit. While in the UK, Chancellor of the Exchequer Sajid Javid warns businesses they will not align with Brussels after Brexit, prompting criticism from manufacturers.

Taking its toll…China posts its weakest growth data in almost three decades, suggesting that the trade war with Washington is weighing heavily on the economy despite the 6.1% print for the full-year GDP coming in line with estimates. In the U.S., the Senate hears the charges against President Trump ahead of his impeachment trial as a government watchdog finds that the White House broke the law by withholding military aid to Ukraine. The S&P 500 hits a new record high, crossing the 3,300 mark for the first time, buoyed by robust bank earnings and data. And Google parent company Alphabet joins the trillion-dollar valuation club, only the fourth member in history, joining tech peers Amazon, Apple and Microsoft. We also hear from Microsoft CEO Satya Nadella who tells this channel his company is pledging to neutralise its carbon footprint within the next four years, investing up to $1bn in removal technology.

The biggest ever seen…President Trump hails the signing of Phase 1 of the trade agreement between Washington and Beijing but insists tariffs will remain in place until Phase 2 of the deal is completed. Vice-Premier Liu He says the deal is 'win-win' for both sides as well as on a global level and promises to increase foreign access to Chinese markets. In Russia, Prime Minister Dmitry Medvedev and the government resign following President Putin’s sweeping proposals to reform the constitution which could see his reign extended. We are also live in Riyadh where the Kingdom’s former head of intelligence, Prince Turki al-Faisal, tells CNBC exclusively that the Iranian regime is imploding.

Sign on the dotted line…Beijing and Washington are on the verge of inking Phase 1 of the trade deal but U.S. Treasury Secretary Steven Mnuchin insists that tariffs shall remain in place until China signs the second phase of the agreement. President Trump voices anger at Apple for refusing to work with U.S. authorities, helping to unlock its cell phones involved in criminal investigations. Meanwhile, earning season kicks off on Wall Street. Bond trading revenues have buoyed Citigroup and JPMorgan in the fourth-quarter, with the latter enjoying its most profitable year on record. And, the Obama-era Iran nuclear deal looks closer to unravelling as the E3 powers – the UK, France and Germany – trigger a formal dispute device in a bid to force Tehran to comply with the JCPOA. The move could lead to fresh UN sanctions. We also hear exclusively with BlackRock CEO Larry Fink who says climate change is the most serious challenge he has seen in four decades in finance.

Label lost…the offshore yuan surges to its highest level in half a year after the U.S. ceases calling Beijing a currency manipulator, just a day ahead of the expected signing of the Phase 1 trade deal in Washington. Asian shares rise to seven-month peaks on the positive sentiment generated, which has seen Chinese trade data post better-than-expected gains in December. In the U.S., the Nasdaq and S&P 500 are also in the green, reaching fresh record highs buoyed by tech stocks but it’s the big Wall Street banks in the spotlight at the start of earnings season. And in telecom news, U.S. officials voice their anger at UK ‘madness’ ahead of a key decision on whether to allow the Chinese tech giant Huawei access to Britain’s launch of 5G.