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tv   Bloomberg Markets Balance of Power  Bloomberg  July 22, 2019 12:00pm-1:00pm EDT

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on the brief today, kevin cirilli from the white house on president trump's meeting with the pakistani prime minister. bill faeries on the escalating tension with iran and shawn donnan on goodwill gestures between china. and the united states. kevin, tell us what the agenda is between the president and prime minister con on the other hand. -- prime minister kahn on the other hand. kevin afghanistan. -- kevin: afghanistan. it comes at a time in which afghani peace talks are trending in a positive direction as the u.s. now feels comfortable, at least more comfortable with how the taliban has been reacting an operating within afghanistan. .his is a very delicate matter administration officials also suggesting the president will raise the issue of the
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imprisonment of the doctor who worked with the cia in pakistan to help locate osama bin laden. that doctor has been imprisoned and that has report -- that is reportedly set to come up between president trump and the prime minister. david: we will be coming back to the white house as things develop in the conversations between the president and the prime minister. we want to go to bill and talk about iran. the tensions do not seem to diminish over the weekend. bill: not at all. theresa may's national security cabinet is meeting to talk about ways to deal with the situation of the british oil tanker seized by iranian officials. a comes amid a scaling up of tensions between the u.s. and iran over the recent attacks on oil cargo ships, the downing of the american drone, and the u.s. charged it down and iranian drone that was getting too close
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to one of it ships. a week ago we were talking about a potential breakthrough in relations as both sides seem to be seeking a way toward negotiations. now are we are in the opposite situation where it seems every day brings new escalation. david: we have troops in saudi arabia for the first time in a long time. now we have iran saying and arrested people they allege were cia spies. the united states denies that. what is the off ramp for the united states? what is the plan from our side? bill: every day there is a new development that raises the tensions. the offramp would be a couple days of no new activity and let some of the diplomats behind the scenes try to work out something. right now the most likely avenue is the u.k. statement, when they come out of this meeting, this is obviously theresa may's last couple days is prime minister. she would probably like to help
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get this on a track towards resolution before a new prime minister takes office. it will be difficult for her to try to pull it off in one or does go days. david: they've ruled out military options as i understand it. now is go to shawn donnan in washington. we had some indications of a little but of falling between united -- of thawing between united states and china. talk about the meeting today with tech companies. expectingare executives of intel, qualcomm, and other suppliers of huawei to meet about how they might resume sales to huawei. this is one of the things president trump offered to the chinese as a way to get talks restarted on a broader trade agreement back when he met with xi jinping in osaka about three weeks ago. that is an important meeting going on this afternoon. at the same time, we are
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starting to see goodwill gestures brewing in china, where we have seen soybean buyers meeting with officials on friday and over the weekend, some top the chinese may resume agricultural purchases in the coming days. all of this is setting the stage for face-to-face meetings. there is a high possibility that robert lighthizer and even mnuchin will get on a plane and fly to beijing in the coming days, all in the hopes of getting these talks back on track. david: as you have told us, this is talking about talking. a long way to go before you get the deal done. at the same time, a rather unusual story about huawei having business in north korea. does that read against this in any way? pretty explosive story from the washington post saying huawei had helped build north korea's 3g network and had done so secretly and had set out to hide its work in north korea.
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that gets at the heart of the suspicions in washington about huawei and its relationship with rogue regimes. there is a case brewing against huawei in relation to iran sanctions, but it is not clear from the washington post story that huawei broke any u.s. laws. we do not know that they were selling any restricted u.s. technology to the north koreans. in the current environment in washington, that will not help their case. david: i should say. thanks to shawn donnan reporting from washington. coming up, it is the last week before the congress august research, -- august recess, with the debt ceiling still to be resolved. libby cantrill of pimco is here. that is next and this is bloomberg. ♪
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david: this is "balance of power" on bloomberg television. i'm david westin. we turn to mark crumpton. mark: congress and the white house are closing in on a debt ceiling in budget deal but the house leaves this week for the summer break. the trump administration still wants $150 in long-term spending cuts as part of a permanent deal . in puerto rico, hundreds of thousands of people are taking to the streets to protest the governor. the governor is refusing to quit but says he will not seek reelection. he is under fire after the leak of an obscenity filled online chat he had with allies and on -- and federal construction charges have been leveled against his administration. the u.k. chancellor of the exchequer philip hammond says he will quit wednesday and forced
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becomes the next prime minister. johnson is favored to succeed theresa may. he has insisted members of his government support a no deal brexit with necessary. if necessary. hammond spoke to the bbc. >> i cannot accept the idea of leaving with no deal on october 31. both candidates said they want to get a deal and i will support them as long as they are genuinely pursuing a deal. mark: johnson says he still wants a deal with the european union but is prepared to leave without one. the supreme court honor john paul stevens in a ceremony today. his body is lying in repose in the courts great hall, where the public can pay respects. stevens died last week at the age of 99. he will be buried in a private ceremony tomorrow at arlington national cemetery. global news 24 hours a day, on air and @tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. i am mark crumpton.
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this is bloomberg. david? david: nancy pelosi and treasury toretary steven mnuchin top -- keep talking about a deal to raise the debt ceiling, with bloomberg reporting congress and the white house are on the brink of an agreement. reports of an agreement last week proved premature. we welcome libby cantrill, head of public policy of pimco. welcome back. what do we know? will they get this done? libby: there's a lot of political appetite to get something done before the congressional reset starts -- before the congressional recess starts. this deal would not only extend the debt limit for two years, it would avoid these jacksonian sequester cuts of $130 billion worth of cuts. -- draconian sequester cuts. a nice fiscal boost going into the election year. david: if we get our checkbook,
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we can agree on things. --uestion was put in place look at of discipline will we get in terms of spending? libby: you are right. was theet sequester aftermath of the budget control act in 2011 to avoid the debt ceiling brouhaha. david: the theory was we would never trigger it because it was so high. libby: what we have found in practice is that congress does not like spending cuts. they have moved almost every year to avoid the sequester. it happened this year the cuts would be bigger and more draconian coming into an election year, so we knew congress would be lows to have this -- would be loathe to have this happen. not surprising that we're seeing them work to avoid it. what is surprising is this is in advance of the deadline, which congress never does. the deadline is not until the fall, so it is nice to see from
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a market perspective that they are moving forward. david: what role does mick mulvaney plan this? he was the original deficit hawk. where is he? libby: we understand he does make an appearance at these negotiations. these negotiations, from the white house perspective, our realized by secretary mnuchin. he has interest in seeing a resolution because of the debt limit. we understand mulvaney has not been sidelined, but is not playing as interval the role in the negotiations. david: speaking of secretary mnuchin, there are reports you may be heading back over to china with lighthizer for further talks. what you make of reports that each side may be trying to give the other something and shiny -- and china may be considering -- we are considering huawei modifications. libby: there are incremental gestures of goodwill. the chinese promised these
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purchases would begin after the g20 summit. we have not seen that. the fact they are moving forward is an indication that may these talks can restart again. how we are talking to clients about this at tim: is that -- at are no signs of the structural issues that led to the breakdown of talks in may have been addressed. while they might be talking, i'm not sure we were the market should expect a breakthrough anytime soon. david: if this goes on for a long time, to what extent does it affect real-world economies? people start making record plans about investment and supply chains and things like that. libby: the president hasn't caps on being paid by the chinese but that is not necessarily true. consumers pay tariffs, producers pay tariffs. the economy has been resilient to the tariffs so far.
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companies are reorganizing their supply chains. that takes a while, but they are making moves to do that. does this at a bite to the economy? sure. from a direct perspective. the biggest expenses the indirect. the weighing on business confidence, on consumer confidence, and the market. david: you see capital investment trailing off. libby: a lot of ceos have indicated tariffs are one of the reasons that not necessarily invested their. david: let's talk about the dollar. the dollar has not weakened despite the fact that the fed has indicated it will be cutting , and i think that is because everyone is cutting as fast as we are. we have the ecb later this week and there is the anticipation and that they do not cut there is the signal will be will be cutting. president has indicated he does not like this one bit. at what point my the u.s. actually intervene on the dollar? libby: there is talk and we are
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getting questions from our clients. taking a step back, part of the dollar strength has to do with the strength of the u.s. economy. in some ways, from president's perspective, this is a good time , it is testament to some of the work in the economy, especially in the context of other countries slowing. will the u.s. government intervene in the fx market directly? i think there is a discussion going on in the white house. we will see if we see it. there is exchange stabilization fund of the treasury they can use directly to sell the dollar and by other currencies. you have to move inside to make any difference and they do not have the backing ability. the president has been very outspoken with the federal, including this morning, saying you need to cut rates. as they cut rates, it does not
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seem to be affecting the dollar. is it possible through the federal reserve to weaken the dollar or do they have to intervene? think a do not think we 25 basis point move will make that much difference. at the same time, direct currency intervention, in order to move a $4 trillion dollar currency market, you would have to move in terms of intervention. we do not think so. david: very sobering. thank you so much for being with us. libby cantrill, head of public policy at pimco. the democrats are trying to counter president trump's strong economy with the message of the rhone to rust belt voters. will the investment hurt trump's chances? with ouriscuss that political panel. this is bloomberg. ♪
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david: you are watching "balance of power."
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president trump said the economy has never been stronger and it is because of his policy. the democrats want to change that story as they lay the groundwork for 2020, pointing at things like the president promised to return jobs to youngstown, ohio. >> i said those jobs have left ohio. they are all coming back. they are all coming back. [applause] do not move. do not sell your house. david: only a few months after president trump's sweet -- speech, gm announced it will be closing its large facility near where the president made his promise. jim followed through on closing it down. ,e welcome david good free former deputy secretary to president clinton, and in new york, amy, for me chairman of
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the nevada state republican party. amy, welcome, david, welcome back. at that speech, amy, to what extent are you concerned the present made a lot of promises that may come home to roost. i do not believe they are coming home to roost. we cannot control everything but he made promises he intended to keep. he has kept many so far. it happens. you have certain businesses that will make the decision whether the president says to go one way or another direction. the economy is doing extremely well overall and the president on aromise on deregulation lot of the burdensome regulation the obama administration had put into place. that is helping jobs. i'm feeling confident we are moving in the right direction. the economy is in quite good shape, particularly when you look at employment. there is a time,
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bloomberg report that says the democrats will be going to rust belt states, including nevada, not a rust belt state, but going around to appeal to people like those in lordstown. can the democrats overcome the perception of a strong economy? david: the president has kept a lot of promises, and the problem he has is that the places he promised are not having that impact. i was born and raised in wisconsin. one of the three important states in the great lakes area that the president must win if wants to win reelection. wisconsin booted its governor governor in terms of the center. it has been a different temperature in the state politically because despite the fact that they were told that the jobs were coming back, despite the fact that the state committed billions of dollars to foxconn to build a plant, none
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of that has materialized. it hurts back home when people think they have been promised something and they have been betrayed. i do not believe the overall national figures the present is touting speak to the troubles people are having in washington, michigan, pennsylvania, on wages and health care costs and some of the pocket issues they were willing to bet on. politically. him david: amy, i believe you are surrounded. i am from michigan. essential for the president to have pennsylvania, michigan, wisconsin. amy: he did very well when he was elected in those areas. he just lost nevada by two points. he made good headway against
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hillary clinton. as far as making sure he follows through on the rest of his , he focused heavily on the hard-working blue-collar theycans and i believe still feel confident and he will carry that base. david: give us an insight on your home state. we can to focus on the upper midwest. let's talk about the west. i noted the democrats are going to nevada. you know hillary clinton did win the state. the last time i think latino voters kicked it over. was the president's appeal for latino voters in nevada? amy: you have to look at it as what is important to every voter. i think it is the same across the board. you have people working hard to put food on the table. you want to make sure they have a good job. these are all things we're seeing come into play in a positive way for this administration. we have the lowest unemployment
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numbers in 50 years. we have the lowest unemployment on record for minorities. then, that is going to play happily in nevada. the president is not taking nevada for granted. he lost by only does go points. we are talking about the economy and about pocketbook issues. a lot of the democratic candidates are not talking about that. we are talking about things like breaking up facebook and breaking up google. is that something before going to vote on in wisconsin? they will vote for somebody because they want to break up a big tech company? david g.: it is not. ,f you look at amy klobuchar she puts the issues of antitrust in a broader context. if you look at what is going on across the economy in health care, energy, transportation, food, every section is dominated by four or five terms in those having a bad prices.
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it is having a bad effect on wages. there is something going on in our economy. by the way, president has been aggressive on antitrust, by and large. he has been selective, but the head of the antitrust division has been very good about enforcing antitrust laws. where think the president falls down is he does try to pick on specific industries without looking at pharmaceuticals or energy. that is a mistake. he should be resistant. the voters care about jobs and affordable living. david: they also care about health care. i want to get one last one to amy. the president says he will come up with a plan after the election. can you get away with that? doesn't he have to have a plan in 2020? .my: they are working on a plan
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i believe their idea on weighting is because they have a democrat run congress that is obstructing him at every turn. they have to say what they would do if they can control it. suppose they won congress? amy: we have a rough idea. i know republicans would like more transparency, more competition, and we would like to eliminate the in search mandate. there's a very stark. david: thanks much to our panel. david goodfriend and in new york , the former chairman of the nevada state republican party. coming up, we'll talk with carl ichan about why he is upset with occidental. from new york, this is bloomberg. ♪ we're the slowskys.
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we like drip coffee, layovers- -and waiting on hold. what we don't like is relying on fancy technology for help. snail mail! we were invited to a y2k party... uh, didn't that happen, like, 20 years ago? oh, look, karolyn, we've got a mathematician on our hands!
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check it out! now you can schedule a callback or reschedule an appointment, even on nights and weekends. today's xfinity service. simple. easy. awesome. i'd rather not. >> welcome back, this is bloomberg. i'm erik schatzker. a conversation with carl icahn, the legendary activist investor. we have him by phone.
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have written a letter to occidental petroleum shareholders concerning its proposed acquisition of anadarko. dealre unhappy about this for a number of reasons. tell me first, what do you object to most strongly? fact thatject to the they did a transformational that really put the company at risk, and did not go to the board members for a vote. they skirted the board members vote. it's interesting, they always ago, in a few months the future, it would go to shareholders, keep the balance sheet current. they say that in the letter. not only did they violate that pledge but they ran to warren buffett to borrow money so that
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they could only issue 19%. i could interrupt, this is what i'm driving at. are you most upset about the lack of a shareholder vote, or more upset perhaps about the terms in which the financing is being given by warren buffett. or are you objecting to the price of anadarko? shat is it that most upset you? carl: all three. i object to the fact that this , andaction is a huge price that it could be an existential threat, if handled wrongly. may feelany has shown
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they are not accountable to anyone. this has been the fact for quite a while. they have a board that seem to what he does, and this is a perfect example of it. sets thehis almost stage for a watershed event as far as corporate governance goes. if you let corporate governance become a travesty more and more in this country, which i think , ihas become to some extent think it's very dangerous for the future of the country. carl, theou know, occidental side of the equation would say we had to go to mr. buffett or somewhere else to get that $10 billion because anadarko was insisting on 75% cash. do you reject that argument?
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say in your letter, you know somebody else who would i provide the same amount of finance and. who is that? carl: i am not going to go into that one. when you do --l, admits she has little experience in m&a, so you wonder why she should be the ceo to do this. millions in m&a and no experience. if they really wanted this company and they really thought it was good, they could have gone several weeks earlier, maybe a month earlier. chevron wasew that talking to anadarko. she could have come in and put a , and then before definitive documents were done with chevron, before the deal
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was done, i think the company and anadarko would have to listen to her. then she would not have to panic the last minute and spend annexed or billion for buffett, and an extra billion for breakup fees. $2.2 billion that was thrown away. worse, andetter or in your case that is worse, that is now tantamount to change in history. what could have happened several months ago does not really matter right now. what are your chances of victory here? board, you are suing the company. what realistically can you achieve? carl: let's go through that. i think we can achieve something important. if we get on the board -- and you know my record. go back 20, 30 years.
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we have been very constructive of most the companies we have been in. i can show you figures that we have made close to a trillion dollars for shareholders. that we just come in and are a pain, we don't do anything. you need somebody like us, a voice on that board, to keep these people honest. the board has done a deal that i think is ridiculous. you could say the deal is done, so what. kid is like saying, your hit somebody in a car, so what, they did it already. you have to have some sort of semblance. panice this was a move because they were afraid of being taken over. i don't know. even if that's not true, you need people on the board, we think four of them, that can go
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a voice of reason if they want to do another crazy m&a deal. erik: what is the likelihood of them doing, in your words, a crazy m&a deal, while digesting anadarko? --l: if oil goes down chevron could afford to see it go down, oxy cannot. if that happens, there could be another deal done, there could be selling. there could be a number of things that they do which would be extremely detrimental. what they did here in this program shows they have no knowledge of what they are doing in that area. something has to be done in this company. erik: i understand what you are saying, but something needs to be done -- there is a black and
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white option here by anadarko are not. is there a third way? carl: they are going to buy anadarko. that is over with. we are not going to stop the anadarko deal. is thet we want to stop fact that i believe there could be i time where they get panicked again. this shows they shouldn't be running the ship. the ship almost went into the rocks. call it whatever you want. ais board just rubberstamped deal that made absolutely no sense. even if they wanted to buy it. even if you say, they should buy it, it's a good idea, they could have saved $2.2 billion and probably more. if they thought anadarko was so great, they could have tried it three months ago. they say they tried to do it.
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we just did caesar's. everybody said nobody would buy it. we got there and prove it could be bought. here it is a little different. they say, anadarko would not do it. but that is not the way it works. if you put in a better bid -- and this is something that i am expert in, they could have done it in a lot of different ways. you don't want to do it again. you don't want these guys running the show completely. you need a voice of reason. i'm going to ask you to stay on the line because i have a few more questions, but for the moment, i want to go back to my colleagues. carl icahn objecting to the purchase of anadarko, but as you heard him say, we are not going to stop the deal. he wants to put people on the board in the future. ok, many thanks to erik
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schatzker for that interview. let's get a check on first word news with mark crumpton. republicans are promising tough questioning for robert mueller this week. the house judiciary committee his question mueller on report in russian interference in the 2016 presidential election. mueller has said he does not intend to speak beyond the findings of the report during the hearings. national security advisor john bolton is in japan talking with officials about a u.s. led military coalition to safeguard shipping in the strait of hormuz. japanese prime minister shinzo abe says he wants to learn more about washington's intentions before deciding if or how japan can cooperate, hinting that he is not planning to join the effort immediately. says it hashran arrested 17 people accused of being part of a cia trained spy network, and a number have been sentenced to death.
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the announcement came three days after iranian forces seized a british tanker in the strait of hormuz. the british government is meeting today to figure out their next move. european ministers are meeting in paris, trying to agree on how to deal with migrants crossing the mediterranean sea. officials say many are being blocked out of ports by italy and multi-, dragged back unwillingly to libya and used as pawns and little standoffs. italy's interior minister skipped the meeting one day after tweeting his disagreement with letting france and germany determined the block's refugee policy while nations like italy are on the front line. global news 24 hours a day, on-air, and @tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. i'm mark crumpton. this is bloomberg. david: thanks so much, mark. president trump is tweeting
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again today about how important it is for the fed to cut rates. we speak to president obama's chief economist jason furman. that is next. this is bloomberg. ♪
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david: you are watching "balance of power." i'm david westin. president trump tweeted again this morning that "our country payhe lucy being forced to much higher interest rates only because of a very misguided federal reserve." someone who is responsible for advising president obama on the economy. jason furman what was chair of economic advisers. he is now at the harvard kennedy school. he comes to us today from boston. i really want to start out with your take on the relationship
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between the fed on the one hand, the strength of the economy on the other hand. is the fed holding us back? jason: no. our economy has been growing about potential faster than the sustainable rate of growth has beenecause the fed accommodated over the past several years. interest rates are higher here than many of the major economies, but that is because our economy is stronger, inflation rate has been higher, so you would expect interest rates to be higher as well. same time, as we have heard from chair powell, they are concerned about the future. a lot of uncertainty, global uncertainty, having to do with trade. i will put up a chart that shows where things are price right now. in july, one or two before the end of the year. is that responding appropriately
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to what you're seeing in the market in terms of data? jason: there are a lot of reasonable people calling for a even if two basis points at the next meeting. to me, i would rather see the fed be data dependent. even if two basis points at the next meeting. since the last meeting, the data has been really good. output has come in above expectations. inflation has come in below expectations. i don't know, after keeping rates the same for the last six months, you can justify a cut at the next meeting. that being said, perfectly respectable people would argue that, and it looks like that is what the fed will do. in thatome data coming is troublesome, like manufacturing. should we be worried about the pmi's? jason: manufacturing is weak right now, about 10% of our economy. monetary policy should be based on the economy as a whole.
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legitimately, you can talk about slowing in the rest of the world. that's been true for the last eight years. you have the euro crisis, a slowdown in china. one of the things that chair powell talked about taking insurance against is the debt limit. that may about to be resolved for two years, as long as we have resulted for in our history. that may not be something we need insurance against. always something to worry about. to me, i don't see a hollande more now than at any point in the last eight years. david: president trump says the economy is in great shape that could be better if the fed would just cooperate. coin, other side of the we have senator warren who has a different view of the economy. she says i see a lot to worry about. manufacturing in recession, a precarious economy built on household and corporate debt, a number of serious shocks on the horizon that could cause our economies foundation to crumble.
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do you disagree with her? jason: there could certainly be a recession in the near future. she is right, we need to prepare for that. in that blog post, she makes some good recommendations. let's not do you run a trade policy by tweet but instead work with our allies. some of the problems she identifies like household debt. relative to income, household debt has been stable. debt service is very low, so that is not a part of the economy i particularly worried about right now. david: let's turn to 2020. president trump clear he will embrace the economy, saying he has done a great job with employment, gets credit for that. what is the proper response to that? jason: the biggest weakness in the economy is a real wage growth. has pickede growth up a little bit, but actually fallen back the same time
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inflation has firmed up. i think talking about what you can do to raise wages. two parts to that, faster productivity growth, and second, make sure more of that growth is shared. i would love to see a message that talks about boats have -- habs of that equation. stronger growth and ensure more of that growth is shared. you have two variables, the number of people working and the capital investment made. do democrats really have a plan for increasing capital investment? that is what president trump trump said he was doing with the corporate tax cuts. i have not heard a plan for increased capital investment from the democrats come in terms of private investment. public investment is important, infrastructure and education is important to our economy. i would love to hear more talk about a progrowth business tax
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reform that would take steps like expensing, expand the r&d tax credit, close some of the loopholes, some of which we opened up in 2017. that could raise revenue and increase the incentive or businesses to invest. david: you mentioned distribution. you are familiar with this. getting less and less equal when it comes to income and wealth in this country. over the last 10, 12 years. is there anything the democrats can propose on that that is not simply increasing taxes? jason: you want to change market incomes to the degree you can, expanding the momentum wage, increasing the bargaining power of workers. those are things that would help right away. over the longer term, education is the surest thing you can do. preschool is woefully deficient in this country.
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expanding opportunities for more to go to college at the other end of the eight spectrum is another place we could do that. even with those stats, i don't think we would do enough. i do think taxes have a role to play, but only a role, not the only role. any number ofe democratic candidates come to you asking for advice. what do you tell them? jason: talking about the strength of the overall economy in an optimistic way, what we can do to make it stronger, is an important part of an economic strategy and an economic message. trade would be a good example. don't be completely negative about trade because it brings a lot of benefits. talk about what we are going to do working with our allies to enforce the rules that were written in many cases to level the playing field and help benefit the united states. david: does that answer sounds a
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little bit like the answer of an expert? or wisconsinhio was pivotal in the president's victory. what do you say to that worker who has lost their job, not getting paid as much as they should, worried about losing their job? is in whatxpertise the right policies are and i leave it to others to figure out how to phrase that. manufacturingto parts of the country, you want to help people today but you also want to give them a vision of what their children are going to do in the future. i think both halves of that are important. a lot of today is running the strongest economy that you can, making investments in infrastructure that will create , while steps like education are about the future. you need the present, future.
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if you neglect either of them you are in trouble. david: let's talk about the past and present. looking at bank earnings, one thing that was indicated is the consumer is holding up. not so much on the corporate side, institutional side. is the consumer a trailing indicator and actually business investment a leading indicator? should we be worried about where that is taking the economy? jason: business investment in general contributes a disproportionate amount to economic cycles, so we should always have our eyes on that. that has been one of the disappointments. the tax cut was supposed to unleash business investment. it unleashed a fiscal stimulus that has manifested itself in a lot of ways including stronger consumer spending, but has not created a foundation for stronger and more sustainable business investment. that has me worried about the cycle but also about productivity. david: thank you so much, jason.
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jason furman, coming to us from harvard kennedy school. live from new york, this is bloomberg. ♪
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theet's get a check on markets. gains for the major averages in the u.s. the s&p, nasdaq, and the dow higher. the tech heavy nasdaq outperforming, up .7%, being helped by the chip sector. really helping out the stocks in the tech sector, let's take a look at a chart of micron. upgraded at goldman sachs to a buy from a neutral. four days up in a row since then. the reasoning behind the upgrade, improving chip memory trends. that is helping some of the other chipmakers. their relativeof to the major averages, up 1.2%.
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applied materials, lancer research also upgraded. upgraded to a near street high of two dollar. breaking news on should, blackstone is weighing selling a worth $8.8 stake billion, 58% of the units outstanding. those shares are popping higher. david: thank you so much. coming up, tape playback from president trump. he says it is not getting easy with iran.
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mark: i'm mark crumpton with bloomberg first word news. the u.s. government is expanding immigration officers to be able
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to support them without appearing before judges. the homeland security department today's have fast-track deportations will apply to anyone in the country illegally less than two years. they say the move will allow it to more efficiently pursue large numbers of people in the country illegally and probably remove them. turkey, home to the largest refugee population in the world, is taking steps to limit the number of syrian migrants in istanbul. officials have ordered syrian refugees initially registered in other cities to return their by august 20 or face forcible transfer. more than 3.6 million syrians have fled to turkey since the civil war began in 2011. the u.k. may already be in a technical recession, according to the national institute of economic and social research. in a gloomy set of new forecasts, the think tank

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