tv Bloomberg Markets Balance of Power Bloomberg November 21, 2017 1:00pm-2:00pm EST
washington. welcome to bloomberg markets: balance of power. sherry: curator top stories at this hour, a risky case for the justice department, the u.s. lawsuit to stop at&t and time warner has sparked accusations they are pursuing a case it is bound to lose. plus, we speak with house ways and means subcommittee member representative jim and ac on the latest -- jim renacci see. and the sec chief proposes a rollback of net neutrality rules. what this means for consumers and internet consumer providers. ♪ kevin: the justice department filed a lawsuit to block the at&t takeover of time warner, sparking accusations of meddling from the trunk administration. -- trump administration.
with breakingt news that cost the terminal, president trump spoke via telephone with the vladimir putin, what is the latest? oliver: vladimir putin just met with the president of syria, so that is what he has on his mind when he wanted to talk about. they wanted to talk about how to get a diplomatic solution to the ongoing war in syria with mass casualties. obviously, president putin is in line with the president of syria. president trump fired missiles into syria as he does not like what they're doing, but they are hoping their relationship can read to some kind of diplomatic option. they also talked about ukraine, iran and afghanistan, according to the white house, but that is the top topic they were focused on. andry: president putin president trump in the sidelines
of that summit in vienna. let's turn to that at&t and time warner deal. it is pretty rare when it does not involve direct competitors, why are we seeing this now? >> if>> you ask critics, they will tell you they believe that interference politically by the trump white house is the reason the justice department has taken a strong hand on this particular case. during the campaign, president trump said he did not expect to approve its, this merger and deal the between at&t and time warner because he did not want ofmuch power in the hands one media company and he also had gone out on a tear against cnn, saying that cnn is big news and many people believe it is the president's way of trying to pick a fight here. kevin: i remember when president trump are said he had concerns about over concentration of media power. that is a populist argument. senator warren and bernie
sanders made the case for years. i hear what at&t and time warner are saying in court, but the doj antitrust division's separate. the president has the power, but my point is is the fake news argument really intact and what is going on in the antitrust division? toluse: that is the question worked out by the courts. even if the president has had no say and had no meddling in this tw sion, his words and eets are often used against him, like with the sanctuary cities recently, so it doesn't necessarily matter as much as the president may not have specifically ordered this lawsuit that his words could be used against them. the antitrust folks at doj also have an argument to make. it is not normally republican argument, but in cases where you are looking for sort of a more wantist doj, they do not
to much power in the hands of one company and that is the argument you can expect. sherry: at this moment at the white house, we are set to get president trump at any moment now pardoning turkeys. this is a thanksgiving week and this ceremony dates back to the 1940's. we will show you what happens to wish bone and drumstick nasdaq -- as that gets going. kevin: the president tweeted out the poll, which turkey should be pardoned? who knows? you never know what the president means with this twitter. let's turn it back to what is going on with the president and vladimir putin because i'm interested in the talk in about how that is impacting foreign policy, particularly when it comes to syria because the pressure on republicans and democrats not to stay away from russia with any interaction with russians is so strong.
what is your take from your excellent reporting on that dynamic in terms of how the president can keep one line of communication open with russians but be aggressive in the pro-russian ukrainian factions? toluse: when you look at what the white house put out in sort whatshort readout about the president talked about, they did not talk about russian meddling in the u.s. election. that is an issue the president does not want to keep talking about. he says he believes that president putin believed to do not meddle and they want to move on from that, so they discussed issues like syria, the ukraine. kevin: we have breaking news, i hate to cut you off, but the president of the united states is pardoning the turkeys. president trump: welcome to the white house, a very special place. on behalf of melania, barron, and the term family, we want to wish you a happy and blessed things getting. and i hear that beautiful turkey.
we are here today to continue a wonderful american tradition. today, in the spirit of thanksgiving, i will grant a presidential pardon to a turkey. [laughter] i especiallymp: pleased that we are joined for this great occasion by carl wittenberg, chairman of the national turkey federation, along with his wife, charlene, and sons nate and why it at --wyatt. it was 70 years ago that the national turkey federation first resented the national thanks giving turkey to president harry truman, who, i might add, did not grant a pardon. he refused. kie.as a tough could -- coo today, i am going to be a much nicer president. melania and i have had the pleasure of welcoming special visitors to the great white house. we have posted dozens of
incredible world leaders, members of congress, and along the way, a few strange birds. but we have yet to receive any visitors quite like our magnificent guest of honor today, drumstick. hi, drumstick. rumsick -- drumstick will be very happy.i am pleased to report, unlike millions of other turkeys, drumstick has a bright future ahead of him. on theck was raised turkey farm in douglas county, in minnesota, with the help of five young women from the chapter, who are here with us today. great work. where are they? please stand. great job you have done. [applause] trump: that is great.
thank you. upon being pardoned, drumstick and his friend wishbone, will live out their days at cobblers rest -- gobbler's rest. it is on the campus of virginia tech, tremendous school. they are, they will join tater two turkeys pardoned last year by president obama. i have been active in overturning a number of executive actions by my predecessor. i have been informed by the white house counsel's office cannot,er and tot's under any circumstances, be revoked, so we will not revoke them. so you can rest easy. i would also like to thank the national turkey federation for bringing along two other turkeys
inm another turkey farm orfield, pennsylvania, the great state of pennsylvania. we are donating these turkeys to martha's table, a fantastic charity in washington, d.c., which provides warm meals to people in need.they do a fantastic job . before we get to the pardon, i would like to take a moment to extend our heartfelt, special folks,, thanks, thanks, to the finest and bravest people in the entire world, are great men and women in uniform, the military, law-enforcement, first responders. these are incredible people, so thank you. always, and you know your loved ones, they are far away, and you spend so much time away. this thanksgiving, i wanted to be to know that we are forever
the incredible job and for the incredible sacrifices that you and your families make in defense of our nation, our freedom, and are truly great american flag. i would also like to express my thanks to the wonderful citizens of our country, the people who care for our communities, raise america's children, uphold our laws and values, and make this amazing land into our national home. as we gather together with their families on thanksgiving and give thanks for our many blessings, we are reminded of the national family to which we all belong as citizens of this incredible country. , as we give thanks for our cherished loved ones, let us also when you are bonds of trust, loyalty and affection between our fellow citizens as members of a proud, national
family of americans. now, i think drumstick, and wishbone would be very thankful if we would just get around to the pardoned. they say, enough talk, please, hardiness. i wanted -- pardon us. i want to thank everyone for being here today and wish everybody a very, very happy thanksgiving. very special people, a very special country. thank you very much. thank you. [applause] and you are watching president trump, accompanied by his son and first lady, pardoning the turkeys. a tradition. sherry: you know what? those turkeys are not just ordinary ones. we're talking about turkeys bred for years. they actually show what they call character, showmanship.
they are not afraid of being in public and that is why they are chosen. present trump: drumstick, you are hereby pardoned. [applause] sherry: there you go, drumstick. kevin: they live. one down, one to go. trump: thank you, very much, everybody. sherry: where is wishbone? kevin: there is some question sharing, but it looks like, according to the president, they are going to pardon these turkeys. there he is, thanking members of the 4h and they were some questions, to be honest, about whether they would lose because of that poll -- with live because of that poll on the president's twitter accounts, but turkey talk, turkey tom, they live. sherry: they are going with fellow turkeys, tater and tot
to virginia tech till about their lives. this is a shorter way for investors but that isn't deterring the u.s. stock market. again, record highs, such as julie hyman, who has the latest. julie: welcome to america, sherry. that is all i have to say, one of our odder traditions in the u.s. hope it is not too much culture shock. yes, indeed, major averages touching intraday records today. all three of them at one point during the session, the s&p 500 was about 2600 and technology, as you can guess by the nasdaq's outperformance, has been could you beating the most of the gains. there are areas of weakness we should highlight, especially going into the holiday shopping season. k today, in part by negative earnings by dsw and
signet. -- dsw, the shoe retailer, earnings per share missing by 15%. it did not sell as many cold-weather products as it had anticipated. we have seen a bit warmer than seasonal weather and signet down 5%, more than estimated, and it's all bombs as it started to outsource its credit processing. they are having criticisms because the company took too many hits because of financing many purchases, so it outsourced that, but the process has led to delays. though shares are down by 20% in today's session. the ripple effect on the department stores has been pretty dire.we were hearing from lindsey rupp , a retail reporter, on macy's. take a look at the bloomberg for department stores probably and the declines we have seen over the past year. we will see this holiday season
and david brings relief for the company's. certainly, as a group, it has been a tough road. we want to check on the progress of the nafta talks or lack thereof. businessed a mexican representative said there was progress on specific areas, including energy and e-commerce, but overall, it looks like not much progress being made. , we didheadlines cannot see the dollar take a leg down versus the mexican peso, similar versus the canadian dollar. and there are stocks to check on, as well, dependent on our neighbors to the north and south. you have turned higher. they were trading lower earlier, and so they have also turned around as we have seen that drop in the u.s. dollar. sherry: thank you. it is a quiet week in congress. it is in recess, but the senate finance committee released the tax in a section by section
summary of the republican tax bill. it will head to the senate floor for a vote as soon as next week. you will get the latest from jim , joining me here in new york. thank you for coming into the studio. there are so many differences between the house and senate tax plans now. given that short time period that congress has, will you be forced to compromise towards the senate tax bill or will there be a true conference? >> i believe there will be a true conference. there are a number of ratings i know people in the house like. we will have to work together, especially when it comes to permanency, especially when the rates start to read the house plan starts immediately january 1 and the senate faces in. i think those are some of the issues facing the house and senate. kevin: when you talk about the
phase-in for something like the lowering of the corporate tax rate, what signal are you sending to market the particulars because it looks like the senate version has , but what signal light descending to markets with the timetable? how should businesses plan? >> in the end, businesses have to look at this as happening as possible. that is where the key will be when we come together, how quickly we get the rate in place and how soon we get businesses to understand that not only do they have a lower tax rate but it is permanent.that has to be the key. we have to give individuals the opportunity to realize it is permanent and not something we will sunset later. sherry: not according to the senate plan. if you go to reconciliation, will it not be inevitable that they will have to sunset, especially the individual tax cuts? >> not based on house rules. we have done this and pretty
well scheduled out, so hopefully, we can keep that when we get through to the senate and burn road. we have worked hard to make sure we comply with it, as well. rules,with all of these folks are watching it from outside washington, how is this going to get done by the end of the year? if not, will it happen in january? for middle-class americans, can you guarantee that folks, when they get their taxes, they will see a lowering of their taxes? >> the goal is to get to january 1, so individuals can see that tax rate cut and it might change their withholdings. theink that is importance of white needs to be done january 1. sherry: wise the tax plan not popular right now? >> taxes a complicated. tax code.nd the
it becomes difficult for individuals because they hear and see so much on tv that they do not understand it. they hear it is tax cuts for the wealthy. sherry: can you get the election -- message across before elections next year? >> i'm hoping. they should be able to see these are tax cuts and it is designed to get tax cuts to middle income. that is the key. that was a push on the republican house plan. kevin: very quickly, when we talk about that plan to merge together, in particular, can there be an absolute guarantee, congressman, this is going to get done? yes or no? >> in the house, yes. the senate already has a problem. ain't released, you have seven members saying they are uncomfortable with it. i do not know how you can be uncomfortable with something you have not seen yet. kevin: good point. thank you. sherry: jim rennacci, thank you. right, still ahead,
♪ sherry: at&t ceo randall stephenson told u.s. regulators, see you in court. the department of justice announced a lawsuit to block their takeover of time warner yesterday. the hard-line antitrust approach has prompted speculation of political interference. we have more insight with bloomberg gadfly and a senior litigation analyst firm bloomberg intelligence. we saw time warner take the brunt from investors, but who should we be worried about if
the doj gets its way? >> honestly, i think it is at&t stock. time warner fell off a lot in the past few weeks because of the lawsuit because people are concerned they will not get if the doj successfully blocks the deal, but time warner is fine on its own. it will keep on going about what it does, which makes television shows for hbo, sports programming, so they are ok. really solid in business and we saw that with their last two earnings reports. at&t is up against losing piteous subscribers on their direct to the business, which has been challenging since they just bought that a few years ago. on top of that, they are trying to add more wireless customers, which is difficult because their competitors have cut plan prices so much.they are dependent on this deal for the strategy. on thei want to take up
point on how competitors are reacting because silicon valley is potentially going to be criticized as a result of this. mark cuban tweeted out silicon valley might lose because of this, what is your take? >> i do not know if this is a loss for silicon valley. we have given it the company's argument to some extent that they need to seal to better compete with those silicon valley companies. if they are not able to merge because the boj successful, that would be beneficial to silicon valley. is it normal to see government step in into these deals that risk competition or is this a tougher stance than expected? >> this is tougher than expected. there have been past vertical deals. this is not a deal with two companies that compete but a vertical deal, where they have
upstream and downstream to each other. we have seen concern for vertical deals in the past but generally, resolved through settlement called a consent order and in it, companies usually agree to behavioral conditions. we understand the parties are willing to do something like that here. the deviation is the fact that the department of justice is not willing to accept that and they want a structural change, selling a piece of the company to allow clearance. all ofin the politics of this, it is interesting because the president has tweeted about fake news, but there are democrats concerned, as well. what do you make of the populace talk on the left and right? >> i think their concerns are valid. we have never seen this level of concentration of power in the media landscape and it warrants a close look. there have been theories about how politics and trump are playing into this but honestly, if we look at the deal, at&t will have a lot of power over a
of contents,mount and i think the government should make sure this does not pricing and not restrict what is available to customers at the end of the day. with the deal, i do not think regulators could've predicted we would see something similar years later at the time there were not big mergers, but the behavioral remedies do not go far enough. i think they are trying to make sure this will be all right. kevin: we will have to live it there. jennifer rie for bloomberg intelligence and tara lachapelle, for bloomberg actually -- gadfly. thank you. sherry: can alabama turn blue? we will talk to the director of virginia center for politics. this is bloomberg. ♪
employment of charlie rose following reports that eight women claim that a television host made "unwanted sexual advances" toward them. he apologized for what he called inappropriate behavior. cbs is halting distribution of the charlie rose program and a bloomberg which has a distribution agreement with charlie rose, suspended the show from airing on bloomberg television and radio. french counterterrorism police have arrested three people in an investigation into the 2015 attacks on charlie hebdo magazine and a store in paris. the judicial officials said today that two men and a women -- and woman were put into custody as part of the investigation as to his supplied weapons to the attackers. the attack left 12 people dead. an era comes to an end in zimbabwe, robert mugabe has resigned under pressure after 37 years in power.
he was facing impeachment and the military to control the country last week. a member have his own party -- of his own party said that he was saying now. the brexit secretary david davis says that brexit talks in his words have been tough, but good progress has been made. he told the conference in london today that there is unfinished business. >> however, it has become clear in the negotiations that we must start talking about our relationship. the northern ireland border cannot be addressed without taking -- future partnership with the european union. a final resolution for financial settlement depends on it. mark: he added that both sides are aiming toward trying to achieve, but nothing is a great until everything is agreed. global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. i'm mark crumpton. this is bloomberg.
sherry: thank you. down south, things are starting to look blue. there is a time for our outlook to change, but a democrat is now a narrow favorite to win a special election in alabama for the senate. we are changing our rating of the december 2012 -- the joinedr 12 -- and we are now by the director of the center of politics at the university of virginia, larry sabato. great to have you. this coming from sexual misconduct allegations against roy moore. how likely is it that the gop , tryinger the deadline to get the tax bill before december 12? larry: good question. they may decide to do it about a
week ahead of time if they really believe that roy moore will lose. when republican in congress pointed it out that they cannot be sure that roy moore will vote for whatever they come up with, so they may be damned if they do and if they don't. kevin: thank you for coming on. i want your take on how this will impact other races. doug jones released an ad in which he is talking about the other republicans who have come out distancing themselves from roy moore. how is what is happening in alabama impacting other races? larry: fortunately for republicans in other states, this is a very special election in the middle of december, not long before the holidays. [laughter] i doubt it will last for very long, although i have to say, i think everybody is stunned by the degree in which people in a wide variety of fields are being
exposed as sexual harassers. this may last for a while, apart from politics, but having an effect on politics. as far as doug jones, they are riding a smart campaign. the only way a democrat could win an election in alabama in these days is to run away from the democratic party and present oneself as bipartisan, that is precisely what jones is doing and telling the national democrats to stay out. and any people they send have to be put under the command of the jones campaign itself. shery: i want to get back to one point you mentioned, sexual harassment cases have been flooding the country, how important will it play a role in next year's election? larry: this is one issue that may last, because we have had so many examples of it recently. to be honest, let's be frank, the incumbent president was
accused by more than a dozen women during the campaign. and those charges were never resolved. a lot of those women made credible allegations and the president said he was going to sue them after the election and we are still waiting. so while donald trump is in office, it will be an issue. and because of all these accusations in both parties, i suspect it will last. i do not know if you have seen thatatest quinnipiac poll was just released, but 60% of american women report they have been sexually harassed. it is a disturbing number and it is another reason why i think the issue will last. kevin: a deeply disturbing number and it transcends political parties. i want to turn to tax reform, a lot of people i've spoken with on the hill, the republican party says, look, if republicans cannot get tax reform done by thatry or early next year,
2018 will be difficult for them. that said, democrats are suggesting that even if republicans do it, it will also have a negative impact because the tax plan is so unpopular. you crunch the numbers better than anybody, so what are you reading into this tax reform? larry: here is what republicans ise, it is a dilemma, there sort of a lose-lose. if they pass the tax reform plan in either the house or senate, they will please a very important group, their donors. many of which are threatening, the big donors, they are threatening to cut off all money for republicans in 2018. but the particulars of the plans really are very controversial and arguably are damaging to the middle class. so either way, they will face a problem. they will face a problem with the electorate in general and or
with donors, so good luck. [laughter] kevin: when you put it like that. shery: tough spot and they are in. also, health care, a very important issue in the elections, and in the elections earlier this month. how will this impact those elections next year depending on whether or not the individual mandate is included? include theey abolition of the individual mandate in the tax reform bill, it hands democrats a great issue, even in places like ohio, which went for donald trump substantially, because so many people in the midwest, in the rust belt, have signed onto obamacare. again, i think it is a political problem for them and i would not be surprised if they did the provision -- ditch the provision. shery: larry sabato, thank you for joining us from
outperformance, up 10%. and it has to do with earnings. abigail: having their best day on a strong earnings report, they beat earnings by 19% and they also beat revenues, truly impressive the backlog, the tell-all future business. we have a great chart of the backlog, up $1 billion from the last quarter. you can see the full year, at $19.8 billion relative to 2016, $18.8 billion. that is a big deal, especially when you see them breaking the plateau. take a look at the revenue breakdown, you will see four segments of business, industrial, petrochemical, construction and aero technology, all of it important because more than 50% of the business comes from the public sector. they do very well with defense and aerospace. they made an acquisition of blue canopy, and cybersecurity
company, said it really helps in terms of the cell to the public -- sell to the public and to the government in efforts to fight terrorism. shery: 25% coming from construction, that would get a huge boost if we finally see the infrastructure -- abigail: i love how you say finally. no tax reform, perhaps it will come, but finally if the $1 trillion bill comes through it would help the company, more than 50% of their revenue coming from the public sector. in the bloomberg terminal, longer chart going back to the early 2000. you see the uptrend, but investors not quite sure what was going on. at the and near the election, we saw the gains not held and investors worrying maybe the one chilly dollar for structure not spending, but the company -- $1
notlion infrastructure spending, but the company is doing well in spite of that. it looks like valuation on a historic basis, it is slightly cheap. jacobs engineering might keep going higher. very interesting that this is part of the s&p 500 going above the first time. shery: and 2600 right now. abigail: ride on the dot. -- right on the dot. shery: thank you. the u.s. treasury set to announce new sanctions against north korea. president trump place to north korea back up to the list of state sponsors of terrorism. here to outline the u.s. strategy in the wake of increased tensions between the nations is representative beto o'rourke who is running against senator ted cruz for the senate race in texas. welcome to the program. first, let's talk about north
korea where we could get the announcement anytime now from the u.s. treasury. what are we expecting and will it make a difference? rep. o'rourke: i think that we owe it to ourselves and the u.s. servicemembers who we would send in a harm's way if there was a war, the do everything we can diplomatically through economic sanctions and to the new finding that north korea is a state sponsor of terrorism. whatever it does to hamper the government's ability to work with other countries in the world to ratchet up diplomatic and international pressure, to forestall a war and further nucleation -- nuclearization of the peninsula is worth trying. i am wishing this administration and secretary tillerson the best in their efforts. to resolveted 434-1 to find north korea a state sponsor of terrorism, so this country is unified in doing everything we can sort of war
right now to try to ensure that we have peace going forward. kevin: i think a lot of people are wondering what took so long for both parties in washington to label them a state-sponsored of terrorism, it seems pretty obvious outside of washington. the president spoke with vladimir putin and russia and china play a significant role in terms of addressing the threat of north korea. but are sanctions actually working? nikki haley was able to get russia and china on board to some extent, but are they actually working and at what point do we have to move beyond sanctions? rep. o'rourke: this is an incredibly tough, flow, frustrating process, but it beats the alternative. the body count, will not be measured in the hundreds or the thousands, the hundreds of thousands, potentially millions. we have to do everything possible to ensure that we resolve this peacefully and i think there are a number of options left, including
exercising our extraordinary power of convening those countries, including china, russia and some of those we do not have the best of relationships with, but who have a vested interest in making sure this is resolved peacefully. i want this country to do everything it can to try to achieve this peacefully. i think there is still time and room to do it. we also need a copper has of strategy and -- we also need a full strategy and the administration to related to the public, because it is unclear what now -- right now what we have done, and whether it is helping us to get to our ultimate goal, which is denuclearization of the peninsula and a peaceful resolution to the conflict between north korea and south korea, and preventing using u.s. military servicemembers whose lives would be on the line to resolve it. shery: is the president doing enough in pressuring china?
rep. o'rourke: i do not know. we have not achieved the goal yet. i like that we are engaged with china and we have at least dialogue right now. i love to see china play a leading role in for them to come to the decision that a nuclear north korea poses more of a threat to china's ambitions and goals, than a u.s. president -- presence on the peninsula. maybe there is room for the u.s. and china to talk about what conditions need to exist for china to take the lead. i think that is something we should be open to listening to. kevin: you are the political underdog in the race for the senate which many folks would argue is a red state against senator ted cruz, the republican obviously. we just had larry sabado on and he said down there you have a situation where doug jones is running away from the democratic party. i want to get your take, do you think of folks like senator
elizabeth warren or bernie sanders as the leaders of the democratic party, or are you trying to run a more centrist campaign? rep. o'rourke: i do not know what they are doing and not totally concerned by that, we are very focused on texas and traveling the state, being in every part of the state we want to serve and represent. the obvious places like dallas, san antonio, and often, but also we were just in abilene and 11, holding town meetings -- lubbock, holding town meetings and throwing out the old playbook. no special interests served, this is a campaign for the people of texas, given by those that i want to represent and serve and i think it is the only way to run and i think any success we have had so far is because of our faith in the people and what they have allowed us to do so far. even athat was polled the outset, 30% ted cruz, and
where we have outraised the incumbent senator, though we do not take pack money and he does -- pac money and he does. very encouraging times. texas still, a democrat -- a texas democrat has not one for years. how would you describe this? rep. o'rourke: we are one of the most gerrymandered state in the union and the courts four times this year have found that the state legislature has drawn people out of their congressional district, solely based on race and ethnicity. this campaign, the way that we are running it, direct and honest, connected with people we want to serve, is unlike anything we have seen in texas. the money, the polling, l reflects the opportunity and -- it al reflects -- all reflects opportunity and potential. kevin: look at pennsylvania, they went for donald trump. texas could go for a democrat.
♪ welcome back. this is "bloomberg markets: balance of power." i'm shery ahn. kevin: i'm kevin cirilli. the fcc chairman has announced his plans to overturn the obama era net neutrality rules, calling the measures "utility style regulations." that have depressed investments and it did hurt innovations.
so what does it mean for broadband companies and consumers? we are joined by todd shields who covers the fcc for bloomberg. what does it mean? todd: the rules are going away, the obama era rules will most certainly be wiped out with the vote on december 14 and then we will be in a new internet era. shery: that does not resolve the existing issues. we could see so many lawsuits following from this. todd: that is true. we will get a challenge from those unhappy with what the fcc is doing, that follows quite certainly, and we will have a hat era for broadband -- w will they do with new freedoms? they say that competition will ensure that they treat consumers fairly, but consumers could see restricted choices on the internet and rising prices as the broadband providers steer you from point-to-point on the web, nudging you with
preferences or favorable treatment for content or video that they own. kevin: it has been a fascinating today's in terms of the megamergers and big companies. the pickup on the point of the lobbyists and consultants in washington, they will likely be busy around this, but put this in perspective from a political lens because we have been looking at the populace stick ties of the republicans and democrats. how will this issue play in both political parties and how is impacting policy? todd: on a populist level, the volume is with the people upset with the change and they want the rules to stay. there are many people active around the internet issues and many people who have grown up with the internet, and they care a lot. i hear about it from friends and weily and most of the stuff do in washington you do not hear about it from friends and family. kevin: unless the president is tweeting. [laughter]
todd: true. so republicans are putting out a statement today in favor of what has been opposed, the fcc commissioner is a republican and a leading the majority. republicans are behind what he is doing, and democrats including nancy pelosi, say they are against it. shery: give us a sense of the process. the vote is on december 14, so what happened after that? todd: they will vote is over 14, people will either cry in their beer or celebrate in the streets. then windows open for litigation circuits to start and we are running off to the federal courts again, just like the last time in 2015 and the fcc's rules passed were upheld by an appeals court last year. this will be a crucial issue in the litigation. kevin: the legal saga will
seemingly never and. who knows -- end. thing is, maybe people will be talking about it around the thanksgiving table. thank you. shery: and we are not signing off. you can learn more online, get the latest on global politics in your inbox every day. coming up on bloomberg markets, we have the partner at jones day and the chairman of the global m&a practice weighing in on the biggest deals, including at&t and time warner. quick reminder, you can catch all of our interviews on the bloomberg with the function tv . you can see the turkeys getting pardoned. this is bloomberg. ♪ is this a phone?
scarlet: we are live from bloomberg world headquarters in new york. here are the top stories we are covering. at&t's bittersweet week, the sec proposing ending net neutrality rules, while the doj tries to block their takeover of time warner. the focus for amazon, we speak with an analyst that sees the tech drive doubling in value by next year. plus, angela merkel's message, she says she would rather hold new elections then lead a minority government. u.s. markets close in two hours. let's get a check of where the stocks are trading. julie: to the upside and records again for all three major averages, all intraday records at some point or another during the session, on track for the record closes as well.