tv Bloomberg Markets Trump First 100 Days Bloomberg April 19, 2017 1:00pm-2:01pm EDT
, donald trump passes first 100 days. house speaker paul ryan's best hope to avoid a government shutdown may be to ask his democratic counterpart nancy pelosi for help. dealmaking together within the republican party. of president donald trump moving forward in congress outside the u.s. bye of his views including partisanship in washington. later this hour, we will hear from the head of the national committee who says the republican party will need to keep his from anthem and the health care bill will take some time plus, her view on president trump's egg's achievements in his first 100 days in ofce. ♪
they say politics make strain that -- strange bedfellows. it may lie in his ability to make nice with a democratic counterpart, nancy pelosi. to talk about just how important bipartisanship is for reform efforts. >> i hope we can find bipartisanship in washington so we can have appropriate test reform. we need it. david: we're joined now from our bureau in washington. ?hat is the relationship like
>> the relationship is cordial and they get along but they are not friends. there are examples of them having worked together in the past, such as reaching a there has but so far, been very little overtures from paul ryan, especially to minority leader nancy pelosi. he will definitely need to work with her on the spending bill. avoiding a government shutdown. david: here we are to get this figured out before there is a government shutdown. said they do not want a government shutdown, as long as there are not any bills like trying toefund planned parentod, withdrawing shutdown's, insurance for low income people for other said theyocrats have
are definitely against, some republican conservatives want. , catereither avoid those the bills to democrats, or try to include some of his writers. >> has president trump said anything about where he stands on being a government shutdown? >> it appears the white house has been shut out of the process . it will be better for all sides for everyone involved if this feels worked out in congress because democrats can then say working with republican counterparts, not with a very controversial white house. definitely the leaders in the house of representatives and the senate that are taking the lead on this one. >> there are some risks if the house leader were to work more closely with the leader. this is something john boehner
did with nancy pelosi p remind us of the history between those leaders. >> they came up through their ranks of congress. they definitely have policy discusons as well. paul ryan is from a different generation and came up through the ranks of congress when next post it was already in leadership here they do not have the same kind of camaraderie nancy pelosi had with john boehner although speaker ride or will- speaker ryan -- it be a very different environment in congress with president trump and a different feeling in the republican party from what we had seen under the obama administration. party,in the republican more mainstream, are things
shaking out on those lines when it comes to the debate? handleday speaker ryan his business it has to be different. the spending bill will need democratic votes from the senate. a resolution in order to avoid and not need any democrat votes. that fact alone, you will have to reach out to some democrats in the senate. the bill will be more likely to appeal to democrats in the house dan to conservatives on the far right. david: last question just notting a bit, he does intend to seek reelection in 2018. >> it was a bit of a surprise. he has a few years left in his chairmanship of the oversight he made us this may
so less a little bit nervous we will see, what are the next steps for him. his sports jason chaffetz and -- and all of his endeavors. we will be following this next. you very much. let's get a check of where the markets stand this afternoon. julie hyman with the latest. julie: all three major averages started out a day higher, and then the dow turned lower largely because of ibm falling on a disappointing sales report and the s&p 500 little changed even as the nasdaq hangs a little by 1%. we have got airlines trading higher as well today. a rebound from rocky trading recently.
southwest,lta and there appeared to be a couple of factors here. one is a pullback in oil prices and the other is the airline says it is cutting back on flights because of the new the trumpet missed ration led to a drop in demand. let's talk about the oil part of this equation as well. today, 1.7%re down below $52,000 per barrel above 53. one of them was a gasoline inventory and especially declining. production is still going up. all trading lower along with oil prices. take a look at the bloomberg at inventories plus production picture here. we have got crude production in
brew -- in blue. they started to flatten out a little bit and decline a little bit from a very high level. production is still going higher. that combined with the idea that there is still no concrete news from opec on continuation of cuts means bad news for oil prices. david: thank you very much, julie hyman with that market update. coming up, here way lack rock chairman and ceo larry fink says donald trump's policies gain more traction in markets. this is bloomberg. ♪
bill gates says he is counting on donald trump's pragmatic side. >> he is pragmatic on a lotf things. it means talking to them and giving some background he might not of had to his past work, it is probably as important with him as with anyone. he wants to be a leader and have things accomplished. mr. gates indicated he is confident the president's cuts will not completely make it through congress. you taught republican, and jason chaffetz is returning to the private sector. in a facebook post today, the house oversight committee chairman said he will not run for a reelection or any office in 2018. elect to congress in 2008, he
said his decision was not based on either health or political concerns, adding he was confident he would have been reelected. mexico says the u.s. congress is delaying the start of talks on the north american free trade agreement, nafta. mexico is waiting for u.s. trade agreement to be in place. plus the senate has held up the confirmation of robert -- democrats say he needs a waiver because he worked with groups connect with china and brazil during his time as an attorney p or two russian bombers have flown within 100 miles of the alaskan coast. it is the first time since president trump took office that russian warplanes have come so close to the u.s. two fighter planes were scrambled to intercept monday night. russian planes broke off and returned and it has been almost two years since a similar incident.
powered by more than 2600 journalists and analysts in more than 120 countries. this is bloomberg. david: black rock chairman and today talkedrlier about an economic and regulatory agenda and what he thinks the markets need to see. >> just by changing the tone of regulation will ease some of the issues. many bankers are saying we don't want regulation. many bankers are saying we need to amend components of dodd-frank, components of the world. many of those things are valid and in any case, the u.s. was more constrained in other parts of the world and how we regulate banks. bankerssue many complained about, and there is a lot of consternation, is the qualitative analysis regulators give.
one qualitative approach could be different than another. i do not think anyone is worried about the quantitative analysis in terms of reporting and regulation. >> when you talk about regulation, there is what is written down on a piece of paper, and how they implemented. that is something the president has a lot more influence over. >> absolutely. that spurs real economic growth. not.obably i'm not a believer that regulation really inhibited loan growth. i believe bankers all wanted to if scores do believe were more relaxed, obviously you will have more growth, and the question is, with eight years of the cycle, is thathe time to bring down the scores? i don't believe we had a
reduction in economic activity because of regulation. think everybody, the leaders of banks and financial institutions, will continue to drive growth and i believe whether a demand for a loan or demand for mortgage, in most cases, they drove that demand. the let's be clear. scores did change so the homeowner who was may be able to that wastgage in 2007, an inappropriate loan in many cases and we don't want to go back to that. enoughyou are providing equity and if the appraisal is right, many mortgages are and we do not want to go back to those types of things.
what i am trying to suggest is i believe there would be a lot of savings. many of these institutions have hired a huge amount of lawyers and auditors and all of that. if there were a better atmosphere, as you said, and a better relationship with the regulators, that indeed will save money and maybe some of that money could go back to capital. we still talk about too big to fail. maybe that will drop but we will see how that all plays out. >> a number of contingencies concerning earnings growth, donald trump's like it should -- legislative agenda. if and maybe then, i want to know what you expect. u.s. companiesat are going to be able to extract enough earnings power out of the global growth? think the republican party wi be able to sort out differences and start to pass
legislation and not nd itself in what we witnessed with the obamacare repeal effort? >> i hope we can find bipartisanship in washington so we can have appropriate tax reform. we need it. i believe there is a need to be look at regulation. i hope that will happen. >> i want to thank the chairman and ceo of blackrock. here hoveringk around session lows. let's go to julie hyman for more. julie: capital forum, saying the federal trade commission is mulling a lawsuit involving rated. i was just looking at the history on the bloomberg. the acquisition was announced in october of 2015 and regulators have been mulling it over ever since.
they said once they acquired order to get regulatory approval, not only is rated down 5.5%, they tend to and down by about the same amount. walgreens is not seeing as much of a reaction. that is typical of the various news flows coming out of the deal. those shares are still hanging onto a gain of half of 1%. we have not yet confirmed the ret, but we are seeg stock reaction and we will bring any development on it if we get them. >> still ahead, while the fuss in the election, a narrow miss by democratic candidate is raising some red flags for the gop establishment. this is number. -- this is bloomberg. ♪
david: a democrat fell just short of capturing the house from a longtime conservative stronghold in georgia. just shy of 50% he needed to win outright. now face a lawn -- a runoff election in june. a lot of attention on this one election, bloomberg's congressional reporter is in washington. let me start with you. give us a sense of how close this was going into the election yesterday. >> the exposition was between , hepercent and 42%, and 48% obviously hoped to get 50 plus p or the 48% was a better showing than predicted. >> let me ask you about the national import of the race.
there was one election in kansas, and this one because of tom price leaving to head up the department of health and human services. the attention paid to this and the amount of money in this re. a staggering $8.3 million, it shows that democrats want a way to fight president trump. to sort of say, we are here. i think that all of these people are really drawing in donations from people and drawing in support from groups looking for someone to fund raise and back. thatll see a lot of through 2018.
has that manifested itself, all of the money pouring in? whatps some inundation but does that translate to in georgia? >> there are ads anywhere -- everywhere, money -- and typical sort of southern district. people often whereeverywhere describe themselves as being and fiscallyral conservative. it will be a race to watch going forward. >> what can you tell us watching the republican -- >> well, i think she has got a lot of name recognition, and i
believe the republicans will unify behind her. got to get his people out, 48% plus, she has got to get all of her supporters plus all the supporters and other candidates. i do think that died and will republicans will turn out but those who are more independent will be perhaps a little trickier. david: we saw the president weighing in on twitter principally. what is washington's involvement going to look at -- look like? if presentds on trump he wants to be active. we have seen him tweeting about these races a week before. one attack with that he technically does not live in the district and trump tweeted yesterday he just found that out
that shows you how involved he has been in the racist. other outside groups coalescing far as whats congressional republicans will do, they are looking at lunch is , to see how they are moving forward. we were talking about the prickling of georgia and the hopes many democrats had to make inroads in georgia the way they have not in recent history, does say anything about the democrat's long-term prospects in georgia? >> definitely. the demographics in georgia are changing. the prediction is by 2020, it will be a very different and a much easier ante for democrats to win
even smaller races such as the six districts, statewide, and nationally, you will see a very different landscape going forward. you.: thanks to both of we are looking ahead to the runoff election on june 20. next, the political risk heats up in europe. in france, four major presidential elections are in a dead heat. a snap election in early june, june the eighth. this is bloomberg. ♪
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david: let's look ahead to what's on the agenda later today in washington. house speaker paul ryan will speak in london on the relationship between the u.s. and great britain. the --trump will invite will greet the new england patriots of the white house and at 3:30 p.m., the president will meet with h.r. mcmaster. turning to european politics, it is down to the wire for the first round of presidential elections in france. in the u.k., lawmakers have voted in favor of prime minister theresa may's call for a national election on june 8. we talked about this earlier. >> we still don't understand what briggs it will mean for the u.k. constant dialogue with the theresa may administration and we asked what are our intentions and our intention is to stay and watch. david: let's bring in the
bloomberg executive editor for international politics. we have a chart looking at other cities throughout europe. seeing where the other jobs might be going. while we have government uncertainty, what are banks doing? is what larry fink is describing emblematic of the financial sector? yes, we are getting to a situation where we can see that for some banks, they are turning into having to do something pretty soon. we are getting to the point where we know for sure that the u.k. will leave the european union in two years time. snap election the changes the game to a certain extent. there will be hope among the bankers that teresa may will show her hand a little bit on
the kind of brexit she is pushing for. having said that, she was clear today after making that announcement yesterday that she is not boxed in on brexit. she will be a little bit vague because she wants to keep some wiggle room for herself. bankers are getting to the point where they will have to make some decisions. looking for clarity from theresa may, they will have a little bit longer. david: we heard the speech yesterday but did we learn anything new today? >> very little, what we learned today is she is a politician and famously keeps her cards close to her chest and her plan is to get rougan entirelecon campaign without giving too much away about the concrete details of what she will demand from the european union. her view going into this is that her leader so commanding that she does not need to put that much on the table.
she's going to try to write it out and hope this majority of 100 seats comes to her rather than her having to having to fight for it. debate thewill not opposition but what will the campaign look like? we will not have a big tv debate? true, probably for the first time in 50 years come this be the first election that they have fought on one issue and that issue will be europe and what kind of brexit are we looking for. on the one hand, you will have the conservative party, the right-wing of the conservative party, saying to vote for the conservatives and you'll get a hard brexit. then you have the labour party split down the middle in terms of what kind of.brexit liberal democrats thathave to figure out this is a huge opportunity for them. they will probably have another referendum. pro-romaine, they
will be putting up their view. the real opposition you could argue are the scottish nationalist. they will come out very hard and turn this into a referendum of scottish independence. it's going to be a massive theme in this campaign. france, it's about race-- it's a very close so how is this risk scenario? you have an extreme candidate from the right and an extreme one for the left. >> is very real. if last year taught us anything, if you have type polls, the mood of the western electorate, anything can happen. nchon's rise tends to make
you think it will burn itself out. last year taught us we have to take it very seriously. we could wake up monday morning and see that too will be facing each other for the run off and one will be president. david: what will happen in the intervening weeks between now and the u.k. election? in the u.s., you see candidates moving to the center nearing election day. is the same thing happening in france question mark >> there is a little bit lanchon, i don't think he ever thought he was in with a chance of getting into the second round until recently. you can see him tamping down some of his rhetoric on the european union. also on the euro. the question of leaving the euro has become a liability. towas a great soundbite rally the disaffected fringes at the beginning of election but
now that both of them have a chance in this race, you can see them distancing themselves just a little bit from the idea l thate penn would take france out of the euro. is a little bit of the fringe parties, little bit of a move to the center. of defined bysort the fact that they are extreme. that move is relatively small. david: i look at the polling data and i see there are many french voters undecided. how remarkable is that? >> it's pretty remarkable. some of the polls are saying the undecided are up to 40%. atneed to be careful looking these polls. we learned this the hard way many times over the last couple of years. campaigns tendency in to forget that polls are just polls. errorse subject to huge
and sampling issues. when you throw in the fact that you have up to 40% undecided, you really need to take he's polls and look at them carefully and look at them as more of a guideline than offering any firm prediction. with you,at to speak we appreciate it. let's get a check on bloomberg first word news. mark: thank you, president trump may meet the turkish president next month. a white house official says the administration is discussing the possibility of a face-to-face meeting between the two ahead of a nato summit. called the turkish president monday to congratulate him on his victory in a referendum on expanding presidential powers in turkey. the two also discussed developments in syria. the iran links to terrorism could scuttle the nuclear agreement. secretary of state rex tillerson certified that iran is complying
with a multinational deal to curb its nuclear program. in a letter to congress, he said iran remains a leading sponsor of terrorism and a review will whether suspending sanctions is vital to u.s. interests. in venezuela, opposition lawmakers are asking wall street banks to quit helping maduro. they say his government will try to stave off bankruptcy by promises into cash. they say by supporting debt swaps, leaders would be backing a government that is recognized as dictatorial. the super bowl champ new england patriots are at the white house meeting president trump in a ritual of sports champions being congratulated by the president. their visit is overshadowed by the news that their former teammate, aaron hernandez killed himself overnight in his prison cell. he was serving a life sentence for murder. his says he will conduct
his own investigation saying there were no conversations with hernandez that would've indicated anything like this was possible. last friday, he was acquitted of two other murders. he was 27 years old. news, 24 hours a day, powered by more than 2600 journalists and analysts in over 120 countries. this is bloomberg. david: coming up, we will hear from the head of the republican national committee for a view on president trump's biggest achievement in his first 100 days in office. this is bloomberg. ♪
the first hundred days of donald trump has focused on the economy. julie: we have more details on the story that appeared in the capital forum. the publication says the ftc, federal trade commission, is deposing company executives at rite aid and is seeking third parties to stop the rite aid acquisition by walgreen. we have not verified this. the capital form cited people familiar with what the ftc is doing. right aid immediately had a sharp drop but has since recovered somewhat. it's still down about 5%. of the walgreen attempt to get this done, right aid was going to sell some pharmacies to fred's. ,t has not really recovered shares are still down 6% and walgreens itself is starting to trend a little further down.
it is still hanging onto a gain of a quarter percent in we will continue to update you on this situation. elsewhere, we see strength within discretionary. department stores or higher today which is ironic because johnson redbook comes out with a weekly retail sales number. it came out with the numbers for the week ending april 15 and the sales were up 2.3%. it was the shift in easter holiday that shell -- that helped. department store sales were down and yet the stocks like macy's and kohl's are all trading higher and would to look at the retail landscape chart. it has to do with amazon. on the top of this chart, the yellow line is amazon. the s&p 500 is depicted in ,urple and the retailing index if you include amazon, is in blue. anyway you slice it, amazon has outperformed.
the bottom line is amazon share within the s&p 500 retail index accounts for 31%. that's why it is sometimes useful to exclude it when looking at performance even if you included, amazon has outpaced all of the performance we have seen from retail as a group. thank you very much. turning to the republican party's latest effort to push forward president trump's spoke witvin cerilli thrnchairman and he kicked things off with a question about presidents trump's victory back in novber. >> we thought early on when donald trump came, he created a movement. we knew the numbers were shifting his way. through the rnc and the data program so we were able to see that blue counties that were typically democratic voters were shifting red and i was able to put resources there and offices there.
we saw that was shifting. we were hoping to fly under the radar. we know the democrats did not have the ground game and they were not investing in michigan. >> underdog. >> hillary clinton figured it out at the end but it was too late. >> this was a bruising political campaign. the primary, the dynamics of the republican party, you come from a political family yourself, what was it like to get the call from then president-elect donald trump that you were going to take over the rnc? many people were surprised. >> i was honored when president trump endorsed me for this position. yanmeant a lot to have paul r have faith in may. coming to this level, it's thrilling. then you go we got a lot of work to do. >> what you have to do? >> we have to keep the momentum. ince understood we have to
focus on the mechanics of the election and we have to continue to do that. we have hit the ground running and i have been over 15,000 miles in 50 states engaging with grassroots and donors small too high of dollar donors. we have to have the resources so we can get on the ground early. >> it's been fascinating to watch president trump's political orbit, people like , ahael cohen and steve wynn year ago, that would have been far-fetched and now it seems there is more cohesion. wt is your meage dors when you walk out there? our message to donors as we have to keep the momentum. we cannot become complacent biggies we are heading into a midterm where already building a brett brown game. >> what are the stakes question mark >> we have the summit map or he of -- where we have 10 states where we have democratic incumbents and the rest are
indiana, michigan, ohio, pennsylvania and then you have north dakota and florida and and you have states we can be competitive in and really pick up seats in the senate. >> north dakota is interesting because senator heitkamp has proven to be one of the democrats in the upper chamber who was willing to work with the white house. is that a political risk? do you want to keep some democrats who are shown a willingness to work across the aisle? >> they vote a lot with her democratic majority and they would vote for chuck schumer as their democratic leaders of that's a nonstarter. they may seem to be working across the aisle but when it comes to leadership, they will always vote for that democratic leader. chuck schumer has shown he is only interested right now in obstructing anything the president wants to do to help the american people. >> we are coming up on the 100 day mark of president trump's first term in office. what has been his biggest achievement so far? >> i think he hit the ground running from the day he got
elected, focusing on bringing jobs back to the country and created a stellar cabinet. i think the signature achievement of the first 100 days has to behe nomination of neil rsuch to the supreme court. >> even with the deploying of the nuclear option? to have justice scalia be replaced with a jurist of this caliber and see the way he handled himself in the senate confirmation hearings and see him now on the bench. >> senator john mccain viewed the nuclear option as a mistake. theit was thereid rule, rule the democrats put in place that changes how we put jurist in place and it's unfortunate the democrats said that. biggesthas been the misstep or blemish or hardest part of the first 100 days question mark >> >> you'll learn you cannot get everything done at once. it will take time and republicans have a dialogue and we have a discussion and we have disagreements.
by the way, that will make for better legislation on the back end. we are transparent and go to where voters and ask what you want. we will end up with a better health care bill because of that conversation we are having not just within the party but with the voters. take note, democrats know the health care is failing and they are nowhere to be seen. they don't want to be part of this conversation. -- youhad a republican have a republican white house and house and senate and i heard all during the campaign that they were going to repeal and replace the affordable care act or obamacare. republicanssay to across the country like in michigan who are looking at washington and thinking we delivered. why can you fix obamacare? what is this function? >> we are not even 100 days in and it will take time. what you say to the voters is give us time because we know what's going on. it is collapsing and people are really hurting.
i saw it in my state when premiums are going up in double digits every year. when your deductibles are so high that your health care is something you are afraid of, this is something we have to fix. you have seen the president take his joint address to congress saying let's work across party lines, let's find solutions because people are hurting. it's unfortunate the democrats have chosen to basically go on strike. >> can republicans hold onto the on health care or tax reform or even financial policies question mark >> i have confidence that republicans will continue to work to get these things accomplished. we are going to have to show that we can keep our campaign promises going into 2018. there is no question that is something we will be held accountable for but we are working on it and the president is leading. republicans are having robust discussions. we know that people are hurting
and we will continue to put people above politics. >> what is your message to lawmakers who are about to come back on monday? they are heading into talk about these policies like health care. message to the lawmakers will be given to them from their voters. as they go back to their districts and hear their stories about how they are hurting, about how health care is something they expect us to work on and repeal and replace. they will need to get that done and continue to work with the president on that and tax reform and infrastructure which is a priority. that was the chairwoman of the republican party. bloomberg's michael mckee will interview dallas fed president robert kaplan from the dallas fed tomorrow so be sure to catch that interview at 730 eastern time. that is 7:30 a.m. tomorrow. this is bloomberg. ♪
david: this is bloomberg markets. donaldst 100 days of trump is the focus and house speaker paul ryan is scheduled to address a policy group this afternoon in london. he is expected to discuss the u.s. and u.k. play in promoting regional stability within what opportunities for trade and the importance of that relationship between the two countries. i want to bring in kevin cerilli. you had a great interview a moment ago but let me ask you the occasion of this trip. the delegation go on to other parts of europe so what do you expect him to say this afternoon in london? >> he will reconfirm his commitment to nato with the united states. course, this comes fresh after president trump met with the head of nato a couple of days ago and comes while vice
president mike pence is making his way through asia, speaking yesterday on a u.s. aircraft carrier outside japan, sending a signal to the north korean that north koreans should take note of the way president trump acted with that syrian missile attack as well as deploying the bomb in afghanistan. this i part of a much broader strategy. there are concerns of nato allies who heard rough campaign rhetoric that the u.s. was not going to perhaps be as accommodating to nato as previously thought and also send a signal to people in syria, north korea and afghanistan. david: matt thornberry is going on this trip and also jeff panzer lang -- jeb hensarling. >> yes, i just spoke with a source earlier in the chairman beenfice and there have
talk about brexit and with his bipartisan group of lawmakers from the speakers leading but note, there is a sanctioned role to be played in these conversations when you talk about terrorism. the house financial services committee is setting up a subcommittee a little more than a year ago, designed to take a look at terrorism financing. chairman answer lang has been involved in that and we did hear from president trump, the role of sanctions. usid: thank you for joining from washington as paul ryan prepares to speak in london. next, we go to london. this is bloomberg. ♪
what we have seen today is weakness in the dow jones with a bit of strength in the s&p 500. michellelet's get to at the federal reserve in washington. >> we heard from the federal reserve today across all 12 districts come economic activity increasing at a modest to moderate pace. one of the things we've focused on is wage growth. we are trying to see the response of businesses to tightening in the labor market. most markets finding difficulty -- having difficulty finding low skilled hiring.