tv Bloomberg Markets The Trump Economy Bloomberg August 23, 2017 1:00pm-2:00pm EDT
following at this hour. president donald trump threatens to bring the u.s. government to the brink of a shutdown if needed to convince congress into funding the border wall. we look at the growing divide in the gop. paul ryan speaks this hour from oregon on the need for tax reform. we will bring you his remarks live. follow the money. that'secial counsel -- special counsel robert mueller's strategy. we will take you to the tactics being used. ♪ julie: president donald trump is dialing up the pressure on lawmakers to deliver his agenda. resumely last night in a a, he would build the border wall, even if it leads to dire
consequences. >> we have to close down our government, we are building that wall. let me be very clear the democrats in congress who oppose the border wall and stand in the way of border security. america'stting all of safety at risk. julie: here with more is keefe -- chief washington correspondent kerry's really and a washington reporter who are both in washington. classic trump is back. commentsly concerning about building that mexican border wall. how seriously should we be taking him? margaret: this comes against the context of summer break for what -- for lawbreakers -- for lawmakers just winding up and that having to deal with a lot of substantive issues and their midterms. real concern on
the part of lawmakers as well as officials in the white house, but a uncertainty about how much this was a real threat. julie: kevin, your thoughts here? it was classic trump and i'm not sure classic trump went anywhere. we all remember the response from charlottesville. i think that the bottom line is that this type of speech is going to play well where i grew up but not help him win any favors in congress. they've got a big legislative to do list. passe government funding bill and i'm not sure that republicans and house speaker , whether or not they are going to be able to get on board. investors know this, main street knows this, that the president
might want to blame democrats for there to be a wallop funded and the government funding bill, but really it is the war between the ultraconservatives and the moderate republicans that has stood in his way, not only on health care, but also on tax reform. julie: he lumped both in there. just moments before his art of speaking, we had that new york times article suggesting the level of tension we have seen out of the open between senate majority leader mitch mcconnell and president trump, just how much of an impact is that kind of level of tension going to have on connecting the kind of policy kevin was talking about? margaret: it is a great question and may not have much impact in the end. if senate and house lawmakers are able to work effectively with the vice president, which has been a productive path so far and the white house staff,
including john kelly, but where the rubber does meet the road is in this question of how much of a political fight inside the republican party president trump actually wants to have. there are some people the president talks to thinks it is a good idea and say have primary fights and force primary elections and others who think that is not the most productive path and could actually imperil all republicans. the president has to do some tackle this, here himself -- do some calculus, himself. seemsaders, the path clear, to continue working through productive paths like the new chief of staff. the wildcard is the president. julie: kevin, whose responsibility is it to fix this? is it mitch mcconnell responsibility to say i have to pull everybody together or is it president trump to offer some
kind of all of branch -- olive branch? kevin: it is not just senate majority leader mitch mcconnell who is not spoken -- speaking to house majority, leader paul ryan has also not speak -- spoken to him. they are all giving each other the silent treatment. it does start with the president, just like in the business, it would start at the ceo level. president trump has been criticized within the republican asty, all for not being hands-on as previous administrations have been. that said, i spoke to the treasury department and a spokesman says steven mnuchin is definitely trying to correct course from the mistakes made on health care, on tax reform. you start to get in between the lines little bit and you will notice that the agency heads as well as the department heads and
cabinet level officials are speaking a very different tone on policy than the president himself. you saw this last night in phoenix, when president trump threatened once again to withdraw from nafta. no one is talking about the united states withdrawing from nafta. those negotiations are still expected to wrap up in the early half of next year. julie: fiery comments from president trump, suggesting he would rather cancel this then renegotiate. we go back to the idea that he is playing to his base once again. the other thing i want to bring up is the comments he made about charlottesville. but was he trying to achieve by rehashing the events of charlottesville and his response? it was an edited version. is, it created a lot of concern about the comments he made. margaret: it seems to bother him immensely that his handling of
the charlottesville tragedy and those initial hours, you heard his words spoke for themselves. it gets under his skin to know that his reaction was read as being racially insensitive or throwing bait to white supremacist elements in society. his instinct is to go back over to explain in more favorable terms what he was trying to do while leaving out some of those key passages were the ones -- key passages that were the ones that got him in the hot water. in one sense, it is to tell folks blame the media, they are the ones who are trying to revise history. if you read it in the broader sense, it is raising a number of questions on capitol hill and inside the white house about whether he is able to let this go and move on.
this is not been a particularly unifying or proud moment for the republican party or this white house. there are a lot of folks who want the president to succeed or at least stop shooting himself in the foot. julie: kevin, i can see you nodding. kevin: the charlottesville response was that for the country. a bigoted intolerant speech has to be announced across the board. it is why you saw top republicans distancing themselves from it and frankly, it is why senator susan collins said she cannot even guarantee the president trump will be the republican nominee in 2020. julie: he certainly feels he is being misjudged and the public -- and the gop just wants to talk about tax. get a check on where markets stand with abigail doolittle.
we are looking at small the clients for the major averages on the session. the dow, the s&p and the nasdaq are all lower by about 1%. this follows a big rally or we have been seeing some up and down trading -- where we have been seeing some up-and-down trading. investors still trying to digest those comments from president trump. this is the story on the month. this is a monthly chart of the dow. it has been moving up and down, over all about flat. we are seeing lower highs. that is bearish and may suggest there could be more bearish action ahead. if we hop into the bloomberg, the dow is a bit of a anomaly. nasdaq and the s&p 500, represented in yellow, on pace for their biggest monthly decline of the year since last
october, going all the way back here. the dow in blue, must -- much lower to climb. weakness in both tech and biotech. rounding it out with a black eye on the day for small cap, look at la-z-boy. down 19% after the company missed first-quarter fiscal quarter sales and earnings estimates. the fifth consecutive lackluster quarter in a row. thank you, so much. coming up, more insight on the outlook for president donald trump 60 agenda from larry sabato, from the university of virginia. ♪
julie: this is bloomberg markets: the trump economy. let's get a check on the "first word news" with mark crumpton. mark: the stock market has done well since trump got elected, but his top investors, not so much. the s&p 500 is up almost 15%. the president's three wealthiest combineds are worth a $72 billion. the president's emergency management director is pushing for an overhaul of disaster relief. the fema chief tells bloomberg that states, cities and homeowners should bear moral the cost. he says taxpayers should be on the hook for homes that keep
flooding. german chancellor angela merkel says she understands the support in the united states for the america first attitude that help get president trump elected, but says she believes it will only hurt the country in the end. speaking at a forum organized by a german newspaper, chancellor merkel said many in the u.s. say globalization as a situation where one country profits at the expense of others but she -- but she says her view is one where everyone can win. russian president vladimir putin met with a vatican official. values what he calls a trustful and constructive dialogue with the vatican. the meeting follows his talk yesterday with russian foreign minister sergey lavrov, urging russia to use its close ties in venezuela to ease the ties -- to ease tensions there.
global news 24 hours a day in over 120 countries. this is bloomberg. trump let's turn to the agenda following his rally in phoenix, last night. larry sabato, director of the center of politics at the university of virginia, tweeting president trump cannot admit error, brides incessantly and his cult cheers -- rags insist -- brags incessantly and his cult cheers.- his now fromns us charlottesville. i appreciate this is a sensitive and emotive subject considering where you are from. i just wonder what you made of his comments. the crowd was laughing up his words. do you think he made a mistake in rehashing ground where
charlottesville is concerned? margaret: yes -- larry: yes. remember that he could read the telephone book and they would scream and applaud. these are the top people who believe anything he says and will disregard whatever facts exist to contradict whatever he said and he did misrepresent so many different things in that rant of his. as forest charlottesville is concerned, of course we are sensitive about what happened. donald trump cannot leave well enough alone. he just keeps digging when you are supposed to stop digging if you are in a whole. he can't leave it alone because he knows it is a major problem. he knows he created it for toself and he is determined blame it on somebody else and last night, it was the news media and his adoring fans bought it and applauded and will continue to do so. julie: what can donald trump possibly do that will make these
people go we take exception to what he has done? larry: that is a great question. i'm not sure. i think for the real core of the trump backers, he can do absolutely nothing. he could ask them to do anything, go anywhere and they would follow. however, he got 46% of the vote. his core is somewhere between 30 and 35%. not all of them are cult members, but they are his core. what about that additional 11% that voted for him? they were republicans by embarrassed him -- embarrassed by him but did not much like him. they voted for him because they did not want hillary clinton to become president. those are the people who are peeling off. julie: he also mentioned the wall, last night. it is clearly a sensitive subject. he says if we have to close down the government, we are building
that wall. how seriously should we take him? larry: a lot of it was playing to the audience. how many times has he said no and these on x or y next day he compromises. this is a president who changes his mind frequently and does not acknowledge changing his mind. knows, what are the odds he will insist on this? i find it hard to believe he will shut down the government or permit the government to shut down as he does not get the money he wants because i don't think he is going to get it. if you -- if he is seen as the cause of the government shutting down, i think he will pay at least a bigger price as the congress will. julie: what about congress? what about rumors of the tensions we have seen with president donald trump between mitch mcconnell as well? how do they fix their
relationship and how do you think that -- impacts their ability to enact policy like tax reform? larry: it is a business relationship and this one is fraying. i like to say in the beginning, it was a decent arranged marriage and now we are starting to see rocky miss, but they are not yet at the attorney handling the divorce. they are not at the office, yet. it can come by together. mitch mcconnell is a committed conservative from kentucky. he has supported many of the things trump ran on. he is going to continue to work toward that agenda because it is a conservative agenda. he does not like -- he is not have to like donald trump -- he does not have to like donald trump. he does not have to spend free time with donald trump, but he does have to work on his agenda. i don't know how seriously to
take this. the leadership in congress has been willing to criticize trump, mainly privately, occasionally publicly but then they go right back and vote for whatever he wants. julie: larry, great to get your insight. larry sabato, director of the center for politics at the university of virginia. up next, we are waiting for comments from paul ryan in oregon. this is bloomberg. ♪
clearly is, in being a global company and making money by selling goods and services overseas, they can bring those profits back into this country and reinvest it in jobs and manufacturing in america for many reasons but chief among them because of our tax code. we have $3 trillion of american profits arced oversees the cannot come back because of our tax laws. we have to get these tax rates down. the average tax rate on countries in the world is 2.5%. when we are taxing american businesses 35%, that makes us very uncompetitive. if we get our tax rates down on all of our businesses, then we can be far more globally competitive and we can make it make more sense to keep our companies based in america. that means headquarter stay here. when headquarters stay here, the attachment to the community stays here.
the boys and girls club gets more funding. united way and local churches and charities get more community support like you do in portland. there are lots of reasons why we want to make sure that american companies stay in america but we want them to be able to make things here and export them all around the world. one of the things we all sought to do is create incentives for businesses to expand more plant and equipment. you spend $10 billion a year on capital equipment building these factories. do you spend $12.7 million a year on r&d. important think it is that more of that occurs in this country so that we can make things here and export them all around the world. that is what we are trying to achieve when we talk about tax reform. under the thing is fairness. as people and families and workers, we don't really have a
system that is fair. one of the reasons is it is we do leak obligated. you can sit next to your next-door neighbor, have the same income and pager medically different taxes because of all the different loopholes and carveouts in the tax code upwant to clean this thing to make it simple and fair. condense all these redundant loopholes. get rid of a lot of these bizarre special -- special interest carveouts and lower people's tax rates. the philosophy in the tax code in washington today is send your money to washington and limit -- if we approve, we will that you get some of it back. it is actually kind of condescending. we want to clean this up, simplify it so you can fill out your taxes on a postcard. you don't have to hire an accountant to do your taxes. how many of you sort of dread april 15 because you don't really know what to expect?
this should not be a dreaded thing. the should be something where you know what is going to happen and it is simple and predictable and fair. for families, workers and businesses, that is going to be important. the last part i would say is this. we have not had growth in this economy near what we used to have since before this great last recession in 2008. in the old days, like 10 years ago, our trend growth rate was 3% plus. we have an growing between 1% and 2% in this economy. much.oes not sound like it is massive. it is in or miss. -- it is enormous. if we can get our economy growing at 3% plus, that means
workers have more take-home pay. that means we have a higher standard of limit -- of living. that means we are creating more jobs. that means there is more confidence in our economy. build more, do more. that means the next disruptive technology that is right around the corner, maybe in someone's garage is more likely to occur and get funded. that is why we want to have faster economic growth. what it does is it raises wages and increases take-home pay. all, it gets our economy growing and healthier. we think that in order to have a healthier economy, where people can have good paying jobs where we can keep businesses in america and make more things. where people up and down can have good paying jobs, we have to have tax reform. that is one of the biggest achievements we are hoping to achieve, this year.
we are confident because it is high time. everybody agrees. it has been since 1986 since we reform this. it is a -- reformed this. it is a junker. the rest of the world has caught up and surpassed us. it is high time we fix this. i really believe companies like intel and others will be really wired for even more impressive growth. that is what is exciting. you turn on the tv and it is not a pretty sight has there are so many things happening that are frustrating. so many exciting moments where is it -- whether it is foreign-policy challenges or the acrimony we have in politics. if we can get some of the basics and fix these structural problems that most of us agree need to be fixed, we can rebuild confidence in our country and economy. that is what we are trying to achieve.
myself and greg walden who represent the other part of oregon -- represents the other part of oregon. you are very lucky to have greg walden. he is chairman of the commerce committee, in charge of a lot of the laws that affect companies like intel. this is the committee in charge of laws that affect things like autonomous vehicles and the feature of commerce -- future of commerce. you are fortunate to have such an effective, well-known member of congress at the cutting edge of writing these technology laws. i come from a different committee, the ways and means committee, in charge of tax laws. achieveare trying to here is getting the american economy primed for the 21st century, to make laws the make sure we can get out of the way and allow entrepreneurs and technology leaders to flourish
and survive. when we do that, we believe this is going to create a momentum and upward mobility for everybody. julie: that was house was houser paul ryan speaking to intel on tax policy. you can watch the rest of these comments on tv . system needs to have greater fairness. clean up some of those loopholes that are out there as well. let's get some insight from laura davidson. no real surprises from paul ryan. u.s. tax system does not have the level of fairness for individuals. also corporate tax rates are too high. what's more likely. that they can achieve tax cuts on the corporate side or the personal side? what lawmakers really want to
do is cut the corporate rate. agreement that you have to cut the rate to be competitive. if you're going to cut tax rates for businesses you have to politically do the same for individuals. it looks like one will go along with the other. that's a bigger challenge because you have to offset tax cuts and raise more revenue. if you want them to be a permanent part of the tax code for the long run. talk to me about the major philosophical questions you raised in terms of what do they do if they want to keep the deficit neutral? >> they have to come up with ways -- they have to get rid of different deductions and credits in the current tax code. tax plan we are expecting from the white house and leaders in congress that should come out in the next couple of weeks. are serious about tax reform they will have the things that we are going to get rid of. the tax revisions we are going to eliminate.
rights less of a left and democrat republican moderate conservative issue but more of a parochial one. if you are in a district or state that has lots of oil and gas, the credits are different that you care about than if you have retail or insurers. we got a political report suggesting that if we look ahead there is broad consensus on what to do about tax policy. the political environment and wonder whether it's going to be conducive to get something done particularly in light of what the legislative agenda has to achieve in the coming months. how likely is it that we see tax reform? >> we will definitely see a tax bill. whether it does everything paul ryan was talking about is another question.
about aans are talking tax cut and calling it a down payment on tax reform. rates are set to expire in five or 10 years. if they look at what they're doing in terms of thingste, one of the that was written is reducing the tax on overseas profits from 30% to 25%. how do you pull out money in order to fund that? 700 billion dollars of existing corporate texted options and credits that are available even initially if you wipe those out. is there an offset available? to get the kind of revenue they need they will have to tap some of the really big tax provisions. the r&d credit. is offder adjustment taxe the table. they will be nickel and dime and all sorts of provisions. you will see lobbyists representing different
we really needng this credit or our business model doesn't work. every single industry is saying they can't possibly lose their tax benefit. about the temporary versus the permanent nature of tax cuts? steve mnuchin said some kind of substandard tos permanent. that is better than nothing at all. how do they balance between the temporary and the permanent and between corporate and personal. for voters the difference is critical. they would make the temporary tax cuts for the voters. the question is what republicans have to decide is how much economic growth to they want from this. there is agreement from economists across the spectrum the temporary tax cuts don't generate a lot of economic growth. they are very popular politically. to get the 3% you really need something permanent and you need
to do something drastic which means you have to get the revenue from other loopholes or special provisions in the tax code. julia: corporate investment is more determinant on a tax cut you are given that actually remains rather than a temporary tax cut. there is a sensitivity greater than just putting some extra pounds in the consumers pocket. for the buck comes on the corporate side more than the personal. >> businesses are really worried they may cut the rate. companies are in many cases paying a lower effective rate already. but theycut the rate won't be paying a lower rate than actual terms. let's kick off with some headlines. here's mark crumpton. interior minister says some of the men suspected in last week's deadly attacks in
barcelona visited the paris area two days beforehand. , he saidin madrid officials are working to determine why the suspects were in paris and what they did while they were there. a top human body on racial discrimination has taken the unusual step of calling on the united states to reject racist hate speech and crimes following the violence in charlottesville, virginia. without referring specifically to trump, the committee for the elimination of racial discrimination pointed to the failure of the highest political level to unequivocally reject racist violent events in the u.s.. is visitinganyahu russia to voice concerns about iran expanding its foothold in syria. he said after the meeting that vladimir putin that most of the conversation was about iran's
attempt to base itself in syria and areas where islamic state is defeated and leaving. moscow has retained friendly ties with israel and established military context to prevent incidents in syria. the french president emmanuel macron today pushed for a tighter european union rule to protect workers in france and other prosperous countries in western europe from cheaper ther stemming from so-called posted workers. austria havee and the exact same views on this issue. global news 24 hours a day powered by more than 2700 journalists and analysts in over 120 countries. i'm mark crumpton. this is bloomberg. look: coming up a closer at the investigation into ties between russia and president donald trump's campaign and how special counsel robert mueller
julia: this is bloomberg markets: the trump economy. i'm julia chatterley. stocks to the lowest level yet. here to discuss with happening is oliver renick. in a.sessions >> finally some decent news for snapchat investors. this doesn't have much to do with donald trumps america. adopt snapchat as his go to social media
instead of twitter. this is kind of a double-edged sword. on the one hand we've got some decent -- kept the target price the same. one of the few investors on the streets thing to buy the stock. they are saying there's going to continue to be adoption. there is still room to grow in terms of looking at the visitor ship on snapchat. continue to drive through the market. especially getting people to watch the vertical videos. , cameras started weren't ready for it. people are now adopting that more. if snapchat the number of millennial's who use it, they will try to drive revenue by getting people to watch shows and various things that pop up when you are using snapchat. julia: the basic problem is facebook keeps adopting their
technology. the argument would be they do it better. why are they gaining market share? is it because their video offering is better? what's the deal? this is a good intro to answer your question. this is from bloomberg intelligence. snapchatata looking at unique visitors. this is in the millions. keeps climbing higher. how high that can go is when you get the discussion on plateau. this has been the big issue for snapchat. the encroachment of facebook and its instagram product. i am a snapchat user. you already have the instagram base that's already there. the early adoption of the vertical video and the implementation of the advertising and shows within snapchat is still where a lot of people are banking on some
revenue. if they can get people to stay watching those and get those avenue -- advertising revenues. julia: this is about extending the amount of time that people stick within the video. we can continue to get longer time with viewers. >> that's got to be a big part of it. you can almost think about it anecdotally. you will not get that much exposure to where the advertisers are. some people putting out some slightly bullish sentiment for the stock. at a low lastt week post earnings. >> that's the price target. it's not where people wanted it to be for the ipo. >> great to have you on, oliver renick.
let's get one of the most read stories on the bloomberg. using the classic prosecution playbook in his investigation of president donald trump's campaign. joining us now is the writer of that story who covers the justice department for bloomberg news. tell us more. what playbook are we using. it sounds like investigating mobsters back in the day. we tried to step back a little bit and say what do we know about the investigation so far. there is so much that we don't know. begin to see certain activity. seek documents are witnesses or even do a raid like they did on paul manafort's home. the tactics are the building blocks of techniques that have been used for years to go after complex and build
financial investigations. he is following the money. turning small. trying to find people who will flip. mapping out who is who and who did what. are basically looking for tax evaders, people committing conspiracy. that might flip, provide evidence for hire of issues. correct. mueller's mandate is to investigate whether trump or any of his associates colluded with russia to interfere in the election. is a complex issue matter in terms of how do you find out whether there was actually collusion. mueller at least in the early stages has been investigating for about three months. on what are more traditional type of criminal activities. tax evasion, money laundering,
bribery, obstruction of justice. by doing that he is able to try to put pressure on the subjects of the investigation in order to about whatormation was happening inside the trump campaign or during the transition or even the early days of the administration. in terms of what they know. julia: we are told time and time mayn, any matters that arise from the investigation was kind of the parameters. you can drive a bus through it in terms of what robert mueller can investigate. what are the red lines for donald trump? at which point to his lawyers go , this does not comply with the rules of the road as far as where this investigation can go. >> what they have told me is that if mueller begins to look at trump's tax records or they begin to look at the history of trump's financial dealings or those of his family members
that's going to cross a red line. by all accounts mueller has blown through that line already. he is already looking at the financial dealings. people i have talked to say he has to do that in order to have the understanding of what trump might have been -- where he might be vulnerable to the russian government or where his associates might have relationships with the russian government. their money came from. what kind of transactions they entered into. mueller needs to understand all of this in order to find out if there was collusion. julia: why haven't president trump's lawyers responded? does that suggest some level of innocence? told me thater
they don't actually see evidence of mueller going after trump's tax records or his past financial dealings. team just might not be aware of what he is actually doing because there is activity that he can do through subpoenas going to banks and going to other institutions and going abroad and finding witnesses abroad that they don't even need to go to trump's legal team. they don't have the full insight into what mueller is doing. we will come back to this. covering the justice department for bloomberg news. we look at how president donald trump's sons are aiming to take his ritzy hotel brand from uptown to down market. from new york, this is bloomberg. ♪
julia: i'm julia chatterley. showing you images of the white house. beautiful sunny day. after president donald trump the elected he pledged he would make no new business deals. his sons carry on at the trump organization and they're always looking for ways to take the ritzy hotel brand down market. daniel ferrera joins us now. tell us what the trumps are doing in the mississippi delta. >> i think they did this during the campaign. they have introduced two new hotel brands. one is a four star brand called scion and a three-star brand called the american idea. they have partnered with hotel entrepreneurs in the mississippi
delta. it's a complex mix of business interests for the family and the brand itself and what that represents and difficulties for the presidency. >> it gets more complicated. julia: whose money is on the line? >> their partners are putting up all the money. the trump organization contributes is primarily the name and additionally some expertise in how to do it. it's in the process the trump organization convinces the brothers that their $8 million hotel should in fact be a $20 million hotel. julia: the power of the brand. if they can make it work. i was listing things that i represent him. ofhaps a toned down version donald trump himself. a dealmaker.
perhaps a debatable judge of character. am i allowed to say that? >> that seems to be true. all indications are that both of the trump sons are more toned down. good people to work with, good people to be with. there is an anecdotal story about someone being very impressed that donald jr. took home a dog bag from a posh restaurant. that might be the sort of thing their father would do. everything they know about business they learned at their father's side and they operate in much the same way. if all about licensing and exploiting the brand. making the brand available to other people for a price. including people who maybe aren't deserving. julia: to the dominican republic. they said in court had blatantly ripped them off. had a licensing
relationship with a pair of brothers in the dominican republic to have a very ambitious building project. the brothers of sold $350 million worth of loss to people for something called trump estates. there was nothing there. the trumps were among many people who sued for fraud. there were settlements at the details of which are unknown and now they are back in business with these very people. julia: we were just talking about the robert mueller investigation and looking at debatable characters and using them against donald trump. do you think based on your work for this article that actually thatps these are people have their eye on the prize in terms of the business deal and due diligence of who they are working for. maybe ask questions later. >> that seems to be true in business. i'm not sure there's any
connection to mueller. when they open themselves up to concerning issues going forward. >> there seems to be a pattern of saying yes to opportunities and later if at all looking at who exactly they have gotten into business with. julia: what do we know about mar-a-lago? the trump brand is very valuable in some places and in some manners. less so in other places. the trump hotel is going forward in mississippi but it's not going forward elsewhere. mar-a-lago is finding itself in the middle of a rash of cancellations of events. there is a significant economic cost. julia: debate between the presidency and the brand and
what the presidency is doing for that brand. it's quite interesting. great article. i definitely recommend you read it. great to chat to you. president trump will be speaking at the national convention of the american legion in reno cap on -- reno, nevada. will be talking about that in the next hour on bloomberg markets. we will be talking about what's the divided gop. how will they enact tax reform. you can catch all of our interviews on bloomberg's function tv . from new york this is bloomberg. ♪
♪ julie: we are live at bloomberg world headquarters in new york. here are the top stories we are covering on the bloomberg and around the world. congress is on the receiving end of the president's latest threats. he is hinting at a veto that could shut down the government unless lawmakers include funding for a border wall. manager is going beyond calls to reduce risk-taking. u.s. equities could at be -- be at the end of their bull run. lowe's is losing out to rival home depot. it failed to reap the benefits of the home remodeling boom. u.s. markets close in two hours. let's check on stocks with taylor riggs. we