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tv   Bloomberg Markets Americas  Bloomberg  November 30, 2017 12:00pm-1:00pm EST

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shery: here are the top stories from the bloomberg that we are following. the pressure is on as senate republicans hustle for the votes to get the tax bill approved rama. of vote-o- john mccain is the latest to come out in support of the bill. diane black will join us live. what she has to say about the chances of passing tax reform. opec seals the deal. the oil cartel has agreed to extend production cuts until the end of 2018. russia is playing ball. let's get abigail doolittle with a check on the markets. a strong rebound from yesterday's mixed session. s&pail: we have the dow,
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500, and the nasdaq of higher. a big rally, the dow up five days in a row, the first time that has happened since the beginning of november. the best five-based rate for the dow since april. the bulls are out, even for the nasdaq. yesterday we had a mixed session. .he nasdaq yesterday down 1.3% there is follow through. investors are buying the dip. , up 6%.transfer the dow transport right now on pays for the best week since 2011. let's break this down with the airlines, american airlines, united, delta all trading sharply higher. behind this, a note from an analyst at ubs talking about the measure of revenue within the industry is likely to go up. there is strong seasonal demand. that could be a piece of what is happening with american
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airlines. an issue with a shortage of pilots for their airplanes and stronger than anticipated for demand. breaking down the s&p 500 rallied, all green. this is a great way to see what is happening sector-wise. all 11 sectors are trading sharply higher. energy had been higher, the best. financials up 1%. let's look at some of the energy winners. we are going to see that pioneer has sharply higher. some of the emt companies benefiting, even though we have oil down a little bit. right now on pays for its worst week since october as opec has, of course, agree to extend production cuts to the end of this year. not really helping oil. a little bit of uncertainty. the emt is trading higher. bitcoin, what a wild ride. at one point above 10,000, above
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11,000. from that to where we are now, down 20%. lots of bubble talk. not for the faint of heart, bitcoin. shery: thank you. in the scramble to 50 votes the republican tax bill is gaining ground. senator john mccain has said that he will support the bill which is on track for a final vote. legislation is headed into a -a-rama of amendments. we now have john mccain. senator susan collins is holding out. she said it would be difficult for her to support the bill. what are the issues? she has a host of issues. the obamacare individual mandate . she doesn't think that should be on the bill. she is pushing for the alexander
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murray plans to stabilize the markets and give certainty to the health care system going forward to you once that vote by the end of the year and is looking for those assurances. she is concerned it doesn't do enough for the middle class. she has filed amendments that would get rid of carried interest loopholes used by hedge fund managers to give more to the child tax credit. there are different issue she is working on. she could see the corporate tax rate go up. she would have another amendment for the state and local income tax deduction, an issue that the house came up with a compromise. the senate completely gets rid of that deduction. there could be a bringing the cobble together of a bunch of little things to get susan collins on board. she seems uncertain and is not committed one way or the other. vonnie: we heard that there is betweent in principle omey.ker and to
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does that mean it will be in the final bill? a foregonet conclusion that will be a trigger of raising taxes if economic growth is not met, but there is a strong likelihood it will be a. that is critical not only to get bob corker, but some of the other hawks. jeff flake of oklahoma. they have been pushing for this. we need to make sure that we are not going to be blowing up the deficit in a couple of years if the tax bill doesn't work out exactly like we are planning. shery: yes votes seemed so sir, but we are hearing that drilling the arctic national wildlife refuge could be a problem because of the bird rule. >> this keeps coming up and affects every aspect. it is moving through reconciliation. it cannot add to the deficit after 10 years and it has to relate directly to the budget. things that are specifically to
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taxes are ok, but if you play around in health care, drilling, natural resources, you could run into problems. this is another issue with the trigger. there making sure this does not run afoul. this is one of the issues why we saw delay on a boat yesterday and today. they're trying to get all of the pieces lined up. the worst thing that could happen is they get the bill ready, have 50 votes, and a parliamentarian says you can't do this. tax reporterberg from capitol hill. our thanks. shery: from the trump bump to the trump dump. it has continue to decline for the first three quarters of the year as the republican tax plan inches closer to law. affectedthe dollar be question mark our next guest tackles that in one of his latest policy briefs. bill klein is a senior fellow at the peterson institute for economics and joins us from
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washington. it is great to have you. we are seeing the dollar moving .2% even with the momentum on tax reform. why? bill: i think that the direction of the tax reform's impact should be to raise the dollar, but my calculation suggests it will be a smaller increase than one might think. as you point out, the dollar is almost 3% lower today than it was before the election last year. after the big surge to december last year, it has come down. the impact of the tax reform could be about to put us back to where we were last year at this time. it about interest rate differentials with other countries, or a symptom of a bigger u.s. political risk? bill: if you look at the interest-rate differential, that
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urge.ins the s the interest rate went from 1.8% to 2.6%, then came down in 2.0%.mber to in may the decline of the dollar from the december high tract the interest-rate. after may you had a widening gap that kept going down. i think that there was a political dysfunction risk. also a north korea risk. .onnie: right given all of the risks that are out there, how stable are we? not just the u.s. dollar, but how stable are currencies in general, including emerging-market currencies? bill: i think they are sort of study as she goes -- steady as she goes. the tax impact is -- there is a big debate about it.
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youtax policy center says are going to have this fiscal deficit. it is not going to close. it is going to be a little bit less than a percent of gdp. that would translate into, if that were the only effect, a 2% or 3% increase in the dollar. but there is a number of conservative economists that see larger growth affects and a huge import of capital to build new capital stock. if you do a back available, some ,- the back of the envelope some suggest an additional 3% deficit in the account which would mean a stronger dollar. there is some uncertainty. as for emerging-market exchange are seeing ise the gradual backing away from unusual monetary policy phase
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has made it possible you don't have sudden shocks. vonnie: you just mentioned a just korea bid -- you mentioned north korea earlier. it is interesting to see if the dollar is not behaving as a safe haven when it comes to provocations by north korea. why is that? bill: one way is that it is a stake surge. in. stakes are much greater this kind of the situation. i do not think it is your normal safe haven phenomenon. a source of concern. , seniorwilliam klein fellow at the peterson institute for economics. shery: mark crumpton has more. may should mind her own business according to
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donald trump. the prime minister is making it clear what she thought about the president read tweeting anti-muslim videos from far right group written first. prime minister may: the fact that we work together does not mean that we are afraid to say when we think that the united states has got it wrong and be clear with them. i am very clear that retweeting from britain first was the wrong thing to do. president trump tweeted that prime minister may needs to focus not on him but the threat posed by islamic terrorism. the white house is discussing whether to replace rex tillerson 2th mike pompeo according to white house officials. tillerson's relationship with president trump is strained. tillerson might be gone by the end of the year trump told advisers. nancy pelosi is calling on democratic congressman john conyers to resign over
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allegations of inappropriate behavior. posted calls the claims serious, disappointing, and very credible . conyers is 88. according to a house official he has been hospitalized in michigan due to stress. matt lauer is speaking out for the first time since being fired by abc news over allegations of inappropriate sexual behavior. in a statement, the former today show host says there is enough truth in the story to make him feel embarrassed and ashamed. he says to the people she heard he is truly sorry. he says some of what is being said is untrue. global news, 24 hours a day, powered by more than 2700 journalists and analysts in over 120 countries, i am mark crumpton. this is bloomberg. shery: goldman sachs ceo oblique blankfein is not getting on the bitcoin train. it doesn't feel like a currency. we will talk to marc chandler to
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get his take. this is bloomberg. ♪
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shery: this is bloomberg markets. i am shery ahn. vonnie: i am vonnie quinn. another turn in the bitcoin journey. the cryptocurrency has passed $11,000 per coin and plunged 20% in a span of a single session yesterday. lloyd blankfein pointed to the wild swings as the reason for his reluctance on bitcoin >> when he spoke to alix steel earlier. something that moves up and down 20% and a day doesn't feel like
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a currency. we will see. if it works out and gets more established and trades like a store value and doesn't move up and down 20%, and there is liquidity in it, we will get to it. vonnie: joining us now is marc chandler, brown brothers vp had ofenior currency. $9,000.tcoin's the median family income in the u.s. is 45,000 to 50,000 dollars. most americans are not participating in this. this is something that is from a for mostly wealthy people that have money to lose if they are wrong. shery: right now we are seeing trades being done in developing nations as well. how can you keep an eye on where the money is going from and to? the decentralized
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nature of cyber currencies, the volume number suggests a couple of centers in asia are big. they're putting a transaction cost, a commission fee here that slowed down. china makes up 20% of the market here in south korea and japan began regulating bitcoin. because it is more regulated, people feel safer. we see japan and most recently zimbabwe when they had their problems. shery: the military takeover. marc: some think in zimbabwe a flight to save haven. not to we tell investors go anywhere near this thing. does it bring up any interesting issues? marc: a lot of people on wall street think the government is part of the problem not the solution. bitcoin is about as unregulated a market as we can imagine. we can see what happens when there are no rules and referees.
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these things? the market is talking about today settlements on stocks. some of the cyber currencies, it could be a five or six days between the time you buy it and the time it is delivered. the kind of risk this is, who knows where it really ball too? is still seems very risky for individuals. vonnie: how much time are you spending on it? this week? marc: a be more because of the spike up people have fear of missing out. it is the big driver. why shouldn't i have a piece of this? vonnie: we were speaking to william clein. generallyrrencies are stable around the world. do believe there is a lot of stability in markets? marc: we know that volatility is relatively low across asset markets in general. this might be the calm before the storm. before the rate hikes by the federal reserve. the tax policies.
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we have an italian election next year. rising u.s. interest rates often coincide with emerging-market problems. it is calm now, but it might not be calm for long. shery: that is a different scenario. the environment where interest rates rising in the u.s. and emerging markets such as asia, asian growth was no where it is now a will it wreak the same havoc as it did in the past? marc: we look at the balance. the countries who borrow dollars, dollar loans, the financebanks -- the ministries, governments, or corporate's. at some point, that is going to squeeze them. they borrow dollars at cheap interest rates. right now it is being held together because 10 year bond yield is down 10 points 11 points this year. they haven't felt the pressure. there will be some countries that are more sensitive to the rising dollar. if we get a rise in long-term u.s. interest rates countries will be more sensitive. shery: the point is that the
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dollar motorized that much next year. where do you put the dollar next year and the year following that? marc: he was talking about the impact of the taxes. you did ask him about the interest-rate differential. i'm focusing on the interest-rate differential because foreign-exchange markets, five point $3 trillion a day. this week we have done enough currency turnover to pay for trade for a year. the countries that i begin to focus on his foot moves the capital markets. i see the decoupling of the dollar from interest rates. the change to the dollar this year is european politics. when macron was elected in france and merkel's challenges , trying to challenge now. macron's approval rating is going down as he engages in more structural reform. angela merkel is having a
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problem forming a government. problems in italy, and now ireland. did the dollar not strengthen when the fed raised twice already? i think they're trying to figure out what is the role of interest rates and what upset our general approach? the political angle aside. they will start at the tail end of the move. we could have one more push up from a technical momentum perspective. 120.90 in september. we might go up another cent or two. then we get the big development back to the dollar's favor. shery: two saw the sector rotation happening yesterday. it played into that. is this a trend where we see a selloff in one sector, but because you do not want to miss into otherve to buy sectors. then the market does not go
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anywhere? marc: that is the story with to emerging markets. people have been participating and buying dips here they have not seen money flow into the u.s. stock market this year. the issue is when do people relate the national portfolios? the european equities on an unhatched basis. fed,e: if we get a powell still in the direction of rules-based monetary policy, what happens to the dollar in that scenario? marc: stuck with the interest-rate differ in tro. i think that the fed will raise at least twice. the fed says three times. i think around the middle of the year when the ecb is debating about tapering further or ending the asset purchase program in september, the ecb balance sheet will shrink because people that borrow will begin paying the back early in the middle of next year without a penalty. i think the interest-rate
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differential moves in the u.s.'s favor. it pays to be long dollar against the euro. paying about 20 basis points a month to be long u.s. over europe. vonnie: marc chandler, brown brothers harriman head of currency strategy. marc: thank you. michael mckee has an exclusive interview with the cleveland fed president at 3:00 p.m. new york time. this is bloomberg. ♪
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>> this is bloomberg markets. shery: it is time for the bloomberg business flash. a look at the biggest business stories in the news right now. general motors plans on having a self driving ridesharing service on the road by 2019. this is according to slides posted on its website ahead of am -- an investor presentation.
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auto sales slow following seven years of gains. get ready for your smartphones to get even faster. verizon says it will launch 5g service in up to five u.s. markets next year. -- ratherys 5g users than copper or fiber cables to deliver faster internet. the first city to get it will be sacramento in the second half of the year. that is your business flash update. vonnie: coming up, we will be diane black, who serves as the house budget committee chairman. passing that tax bill and lots more. this is bloomberg. ♪
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beautiful picture of foggy midtown manhattan. life at bloomberg world headquarters in new york city. shery: this is bloomberg
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markets. let's get a quick check of the major averages. the dow is well past 24,000, another record high. the s&p 500 -- all sectors in green,en cover -- in the up 9/10 of 1%. the nasdaq is being led by apple and amazon. the s&p 500 bank stocks -- the rally over there, not yet over. we are seeing progress over tax reform in congress, that also played into the market. vonnie: we are getting headlines from the opec meeting. --crude is up, the foreign minister is confirming the nine-month extension, saying libya and nigeria are interested in the deal. this afternoon, here's mark crumpton. just discussing
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the senate republican tax bill. it has gotten a boost. john mccain has said he will go forward -- he will vote for it. no one has taken his support for granted. he shocked the political world last summer when he voted against an attempt to demolish obamacare. north korea is releasing pictures of its newest missile, which it claims could reach any target in the united states. the -- is the largest missile that the north has ever produced. that is significant because it would have to carry a fuel to reach the united states. pyongyang also claims it can carry a superheavy nuclear payload. -- demanding that the international community take decisive measures to resolve the causes of the mass exodus of muslims from myanmar. his recents broke silence over what the u.n. has declared to be a textbook case of ethnic cleansing. also said that world powers
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must provide help to the bangladeshi government to cope with the refugee crisis. good news for storm weary residents in the southern united states and caribbean. today officially marks the end of the hurricane season. one of the worst seasons ever, 17 storms, 10s -- of them hurricanes, rather. hundreds of billion dollars in damage. local news play for hours a day, powered by more than 2700 journalists and analysts in over 120 countries. i mark crumpton. -- i am mark crumpton. vonnie: the senate tax bill is headed for debate for the rest of this week after republican toders brought the measure the floor yesterday. the goal is to hold the final vote by the end of the week. to talk about the progress of the bill is republican congressman from tennessee, dan black. -- diane black.
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she joins us from capitol hill. we have been getting bits of news trickling in throughout the day. the latest is that senator mccain is a yes. does this get past today? >> i would love to have it passed today and go back to my district on the weekend and say, hooray, we are one step closer to getting tax relief for the american people. will come with huge homework afterwards, resolving differences between the house and senate hills. what do you expect to be the key sticking point? are severalhere sticking points. i want to, before i talk about you i think-- tell a good number of our pieces are close. we have been working on this tax reform now for seven years in the house of representatives. you know we have put out a draft copy of number of years ago. we are that far ahead of the
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senate. they are doing a lot of things that we are. one of those on the individual site is we have four brackets and they have seven. they think differently on corporate tax. ours is immediate and there is will be delayed one year, which we believe is not the right way to go. we want certainty, to see the economy boom. i was listening to the markets before i came on, to see what they are doing to respond to what we are doing in congress. we are excited. we will take the differences, their good points and our good points, and see which one is the best. that will be the bill at the end of the day. vonnie: how do you feel about a trigger mechanism being part of this? >> i'm not exactly as onboard as what the senate might be. i actually believe the better trigger mechanism is to cut spending. that is something i tried to do in my budget. we have the most conservative budget we did in 20 years.
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of that is changing the culture in washington, because that hasn't been done in a long time. i want to look at the spending side. i'm excited about what we can do about rallying the markets, rallying people to buy more products because they have more money. at the same time, you can't keep spending more than you bring in. i would like to see a trigger on the spending mechanism. vonnie: it seems like the trigger is a redline for the likes of senator corker and some colleagues. if that is the only way this tax reform gets done, will you go along with it? >> i think that is yet to be seen. i think that is why congress committees are so important. a number of measures will need to be negotiated, and this is one. shery: how committed is the house to keeping the state and local property tax the duction? -- tax the duction? -- tax deduction? >> we will try to find a way to
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make sure that they are not .njured in this measure we really looked at the middle income. to get the greatest tax relief. the $10,000 of limit was something that would help folks in the middle income, what we are really looking at. reading -- if this does pass the senate, i imagine there will be several things added in. the house may just accept the senate version to get this done quickly and have the legislative win for the alabama race he comes a problem. do you see that being a potential? you we will not accept the senate bill. there are too many differences. we feel that the work we have done is so good it merits an opportunity to blend the bills.
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we are going to insist upon going to conference again, taking the best of the bills and coming out with true tax relief. if you have to, will you vote yes on a final tax bill that drops the property tax deduction? >> i don't want to put myself in that position right now. this is one of those things that is so large, if you turn it on one side, you've affected things on the other side. we need to make sure that as we negotiate these bills, we come out with, at the end of the day, what we said we would do. to make sure we are giving the greatest tax relief bill to the middle income. you -- howant to ask likely is a government shutdown next week, and whether you would go along with the freedom caucus ? they say they will be continuing resolutions until the end of the year. us solved like to see this. we have done all of our
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appropriations bills. they have been sitting in the senate now for two months. it is up to the senate to take care of this measure. we have done our work. we want the senate to do theirs. it is ultimately important to fund our government in a way that is measured, which we have done here in the house. we have done our work again. we want the senate to do their work as well. military is probably the most affected by this. iser all, you hear what happening in north korea and other places around this world. safety and security is important for the citizens, but it is also important for our military to be safe with what they need. they are running out of the equipment they need to do what we asked them to do around the world. we want this to be done. we did our work, senate, do yours. vonnie: thanks to congressman diane black of tennessee. agreed toc ministers extend production costs.
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iraq's oil minister being the latest one to confirm this. will this deal be enough to keep oils momentum going? this is bloomberg. ♪
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shery: this is bloomberg markets. vonnie: let's get another quick check of the major markets. shery: we are seeing u.s. stocks surged to record highs. the dow is well past 24,000. we are seeing 28 stocks gaining, two falling. the banks continue to rally, goldman sachs in the lead. we have a lot of progress on tax reform, not to mention that the open meeting in vienna continues , and the oil extension deal cuts are being extended for
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another nine months. vonnie: speaking of this rally, the top performer in the s&p 500 is kroger, up 9.5%. shares soaring after a long quarter. abigail doolittle is here. this is the stock of the hour. -- kroger has and gotten busy. they put up a huge quarter, the earnings by 11%. if we hopped into the bloomberg, we can see that -- performance and why it matters. the company has been in a downturn, even ahead of the potential competition from amazon. we are seeing, many quarters ago, we had strong comp, and then declining. we are in the second game in a row. we see that this gain is better than the previous. investors say maybe they will do just fine against amazon.
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they had a strong quarter relative to business operations as well. the stock is down in a big way. i believe it is down more than 10% on the year. it is going to take some time for investors to regain confidence. some of this could be a squeeze as well. shery: who is the real competition for kroger? >> i would've thought it was a bloomberg-- intelligence says it is walmart, that they are competing for the same customer. we have a great chart to show where some competition is coming from, relative to both amazon and whole foods. -- in yellow, we have amazon.com distribution in green. we have whole foods -- look at that, kroger. , beyond the grocery business being so difficult, why amazon is not taking out kroger.
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it is walmart that is the true competition. from a stock perspective, valuations cheaper, there could be investors willing to fight and think the turnaround is on the way. shery: you know, i tried walmart online last night. you can tell they invested a lot in their e-commerce, it was really good. it was very easy to browse. abigail doolittle, thank you for that. opec has agreed to extend its oil production cuts to the end of next year, sending oil prices higher, according to delegates of the cartel meeting in vienna. they still need to get russia on board. ginang us to discuss is davis. we keep saying that oil is slightly higher, but it is still down. how much of the extension has already been priced into the markets? >> i think you are seeing very
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little movement. everyone that has followed closely has already been assuming what we would get is what we've gotten today, a nine-month extension of the current deal. they may change it and have it run from january to december next year, that what it means in practice is a nine-month extension. vonnie: the thing is, this is all conditional. if prices revisit us don't go our way -- and that would impact the markets differently. what happens with that? >> we don't know yet. we are waiting on the opec joint press conference. we are waiting for the saudi's and russians to tell us the fine details of what was agreed to. to see ife looking there is some kind of take out clause, some sort of agreement that would trigger renegotiation of this deal or rethinking. in. , that would be -- what is going
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to happen is there is already a june opec meeting scheduled. they will be looking at this meeting again in june regardless of the language of the agreement. shery: libya, nigeria, iraq. iraq's oil minister has confirmed the extension. what will happen to compliance? opec's problem has always been compliance. quote lasthat great year when a deal was reached with the former saudi oil minister saying it is great to reach this deal, but we cheat. have seen a remarkable compliance with disagreements so far. i think if you don't see huge swings in oil prices, you may see that continue. we will be seeing that continue. the other part that is interesting is getting nigeria and libya involved. not many people expected them to agree to any sort of cap. looks like they will be capping at their highest output this year. vonnie: you brought a great chart with you. u.s. that as u.s. oil
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now, opec'soes up, production is still down, but it is less down and it was. u.s. production keeps going up. what happens? is concernedn opec about what the u.s. does as oil prices rise. , approaching 60, most of u.s. shale will be looking at that wti price. we have seen an uptick in drilling rates as a response to that. we had it point out -- 9.5 barrels -- that will be of concern. the minister brought shale experts to see what they thought. there is a mixed message. vonnie: kind of ironic. >> they are interested.
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they won't give away the shore and let u.s. soak up all of the market share. for joining us. it is time for our latest bloomberg business flash, a look at some of the biggest stories in the news right now. mastercard will hire 470 people as it expands its technology help in new york city. the company plans on adding the new jobs by 2024, and will move to a new location in the flatiron district. it is part of mastercard's strategic push from debit and credit cards to gadgets. consumer spending cooled last month after the biggest increase since 2009. prices rose 3/10 of 1%. groups, .4%ncome for the second straight month. consumers are likely to drive economic growth this quarter. that is your latest bloomberg business flash update. another quicket
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check of major averages. u.s. markets continue to surge, the dow up more than 370 points. we are seeing the s&p 500 than 1%.ore if the s&p 500 holds at this level, it will be the ninth time this benchmark has moved 1% this year, including five up and four down. -- up .9%, the nasdaq. goldman sachs is leading the gains on the s&p 500. 28 stocks out of the dow jones is up, while two are down. coming up, it is a deal that could reshape the pharmacy and health insurance industries. shery: we will bring you the latest on cbs's $65 billion bid -- acquireat not not. aetna.cquire insurer
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vonnie: this is bloomberg markets. another quick check of the major averages. we are seeing record highs for u.s. stocks. shery: the dow announcing its best day of the year. -- as well aso relative00, with a strength index above 70. the dow is at around 80. the nasdaq being led by amazon and apple, up 8/10. -- gaining 28% year to date, surging .8% one today -- .8% today. vonnie: acquiring the health insurer aetna. according to a person familiar with the negotiations. it is a deal that could reshape the pharmacy and health insurance -- ,ack, both stocks are higher
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indicating this may be a good idea. >> you've seen investors in the last month or so, as these deals come into the news. cvs is stock is up, too. >> we have seen this sort of consolidation in the health industry, haven't we? >> there has been consolidation, and deals that have fallen apart because of antitrust. with this, we take one of the biggest health insurers in the u.s. and combine it with this huge pharmacy, drug distribution operation. really mash these companies together in an interesting way. it is a combination we have not seen before. vonnie: when we were talking about the at&t deal that got were talking about vertical integration. is that what this is? >> there is definitely some
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vertical integration. you will see people look at the at&t deal and ask what that means. theres a great question, will obviously be some degree of antitrust scrutiny. will this give cvs too much market power? shery: is there still a chance it could fall through? >> to be clear, these are just reports. it has not been formally announced, and certainly could still fall apart. vonnie: regulators are bound to be looking at this differently than they would have last year, given what we've seen for the other deal. what would it mean for consumers? is it guaranteed that there will be less consumer choice? >> i think that is an important point. for consumers, there may be a decrease in the cost of drugs, which would benefit consumers and employers who buy drugs, medicare. there will also be a decrease in choice. all this power concentrated in one place. shery: we are now hearing that
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amazon could get into the industry. >> that's right. amazon and what their ambitions might be in health care, and i think that as this deal has been discussed, amazon's potential role has been brought into the picture as well. theie: we don't know if repeal of the individual mandate is going to be in this tax bill. if it isn't, maybe congress will up obamacare again at some point. what would that mean for aetna and how would it color this deal? >> it has almost entirely quit the affordable care act at this point. they said we don't want to be selling these individual plans even the policy uncertainty, financial losses. so, they have gotten out of that market for next year. vonnie: we did see two big deals , anthem, cigna, and humana. does that make it less likely this would go ahead? >> the collapse of those deals
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raises that question about how much market power is too much. but we are in a new administration. were proposed by the obama administration, so we will have to see how the trump administration reacts. vonnie: thanks to zack tracer. shery: still ahead on bloomberg markets: balance of power, libby cantrill will be here live. to reform the u.s. tax code, and why investors should be mindful of some pitfalls. don't forget, you can always watch your interviews right back on tv . this is bloomberg. ♪
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>> it is 1:00 in washington, 6:00 in london, and 2:00 a.m. in hong kong. welcome to bloomberg markets, balance of power. we focus on the intersection of
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politics and the economy. shery: the pressure is on. senate republicans hustle for the votes to get the tax bill approved ahead of vote-a-rama. senator john mccain is the latest the come out in support of the bill. part of ourt exclusive interview with lloyd blankfein, goldman sachs chairman and ceo, and bloomberg founder and majority owner -- president trump for re-tweeting of far right political figure in britain. will this distract theresa may from delegate brexit negotiations? david: the markets are really moving. let's get a check on exactly where they stand. abigail: we are in full round

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