tv Bloomberg Markets Americas Bloomberg May 22, 2018 10:00am-11:00am EDT
vonnie: here are the top stories we are covering from the bloomberg and around the world. stocks may tentatively move higher again today after the tensions continue to subside. in washington, president trump meets with south korea's president in a couple hours. zuckerberg in the hot seat in europe. the facebook ceo is testifying before the european parliament on how the data of millions of users got in the hands of consulting firm cambridge analytical. jcpenney shares are plummeting after the ceo leads to take the top spot at lows. more over the next couple of hours we are 30 minutes into the trading day i was speaking of an julie hyman is here to get is up to speed.
are much more modest. that was little changed from an cap performer yesterday, the s&p .25%.e nasdaq up as we watch the situation between the u.s. and china -- as bonnie mentioned, developments they are from that china is going to cut the import taxed at , there are not many experts of cars from the united states to china. this could benefit european carmakers more. we are seeing u.s. automakers on the rise -- gm, ford, fiat being a, that when european-focused automaker that trades in the u.s., gaining in today's session. the ceo of jcpenney departing lowe's, he had been at home depot prior to that. 4.4%.ey shares down by he had led improvements at
jcpenney, although it is still struggling. lowe's is looking for a turnaround. those shares were up substantially earlier. ceo joined the last week. it may have been because of the timing shift of its friends and family sales event. we are also watching the homebuilders -- disappointment there from toll brothers, which reported earnings-per-share margins and orders that missed estimates. it is seen her costs for labor and materials and land and seeing the ripple effect across the other homebuilders. homebuilders have been weak recently. we have a look at the s&p 500 homebuilders index. with the moving averages approaching a circle death cross can where the longer-term moving average crosses above the shorter-term moving average come it is seen as a negative technical indicator, if you buy into that sort of thing. on the bottom we have the homebuilders versus the s&p 500.
it has been losing momentum and it is down about 10% on the absolute basis just since april 5. caroline? caroline: great transition from your buoyancy over to mine. a little bit tentative risk appetite going on here ahead of the close later. we are up about .4% on the stoxx 600, showing you what the individual industry groups are doing. we are up on the financials. banks are leading the charge today. keep an eye on autos as well. industrials up about half a percentage point. doing well on the news of hopefully lower tariffs going into china. i want to see what is happening during telecoms. is there going to be more m&a in france? will four potentially become three?
we're seeing healy at up more than 7 -- iliad up more than seven percentage points. the regulator in france's saying, maybe i'm more open to consolidation. particular owns the debt laden fsr in france. it is pushing higher. telecoms are doing very well in france. i also want to be seeing what is -- this is interesting stock. one of the key performers is a german start being eyed by elliott asset management. you know elliott is run by paul singer, the activist shareholder. they're building up a stake, not anyone that they have to disclose. but spiked higher today on the
back of the fact that they're looking to get rid of the check -- chief executive ceiling. for stabilityh management wants to see change. let's have a last look at what is happening in italy. eyes on italy, and i want to focus on what is happening in the debt market. we are seeing bond buying, closing down of the spread between italian vtb and german bunds. but it is coming down ever so slightly. there is hope that maybe the president of italy would weigh in and stop the parties focusing on the prime minister that they are eyeing up at the moment. could there be running back from the populist nature of italy? yet to see. vonnie: caroline connan on that note, global stocks benefiting from using trade tensions and boosting investor optimism.
let's bring in the global equity strategist at hsbc. we are seeing the s&p and the nasdaq up another quarter percent. the bull market resumes. >> i definitely think the risk or what has improved a lot. when we go back to where we were a few months ago, equity .olatility was too low equity valuations are the biggest we have seen since the tech bubble. were at peak levels right now. valuations have come down a lot. we are moderately constructive on equities. more upside than in places like europe. there is room for the markets to move higher. vonnie: you say your modestly constructive. .ultiples have come down that would bode well, especially for earnings continue to show signs of strength. ben: five missions are still the
risk. policies when tightening in the u.s. and the multiples traditionally come down about 10 percentage points. it remains the risk. the best insurance policy for that is to buy as much earnings growth as you possibly can. relativearnings growth to places we like less such as europe and japan, where there is no growth. caroline: i want to focus on that lack of growth over all, because i'm looking at a chart the moment -- chart at moment that shows how much earnings per share has recalibrated itself in the u.s. earnings-per-share estimates have really gone up to the tune of 8% since the beginning of the year. analysts recalibrating, thinking that we could see a push higher in the u.s. we are seeing the european forecast for growth dwindling behind the u.s. our companies outperforming on the earnings-per-share basis that much more than europe?
ben: yes, you saw 4% earnings growth in the first quarter. that is the gap. in the u.s., i think there is a lot more going on than just that. it is the only place in the world you are seeing a recovery. in europe, it is a bit of a trap. most depressed earnings and the world, so people want to believe it is going to be a big recovery, but it is really not coming. you are seeing the gdp slowdown leading the world. yields going higher. policy uncertainty -- you were talking about italy, it is still pretty high. this is a part of the world where the valuations are still high. i really struggle to see how you make money in europe from year. caroline: absolutely fascinating. his political risk the key hindrance in europe at the moment, or what can chief
executives can particularly those who are exporting outside of europe, really due to ensure that companies that you as a global equity strategist start to look at them in a different manner? ben: certainly things we like in europe. the export a lot to him you more business at the side of the market -- they export a lot, they do more business at the outside of the market. it will add two to three percentage points. that will still be the lowest earnings growth in the world. but we like emerging markets. a lot of european companies are big in emerging markets. that is one thing we like in europe. vonnie: talk to us about the other things you like. select financials like insurance, for example. out of favor like telecoms and staples. ben: energy has clearly done well, but the risk reward is interesting. they still have big dividend
yields. everything is telling you -- the market is telling you i don't believe that these prices are sustainable. we have $70 for this year, next year, and the year after. we are in an environment of fairly high energy prices and energy equities for catch up with that. on the defensive side, people should be running are more balanced sector portfolio. it is very procyclical at a time and leading pmi's indicators are rolling over a little bit. things are still pretty good, but we have seen the peak of growth momentum. i think you need to be running a bit more of a balanced portfolio and look at these unloved staples like telcos. vonnie: small caps in china, the u.s., and japan -- [indiscernible] ben: small caps has been a bit of a surprise. we have had this surprise global recovery for couple of years.
now dollar is strengthening a little bit and small-cap valuations are at a five-year low. forecasts are very interesting and good have a run. vonnie: ben, thank you for the update. global equity strategist at hsbc. let's check on "first word" news with taylor riggs. of ar: just as the threat trade war with the u.s. received, china has agreed to to point -- cut car import tariffs. they will be cut from 25% to 15%. that will help american automakers like ford and be a big boost to florida luxury automakers like bmw, because less of their production has moved to china. in all, president trump backed off from imposing tariffs on chinese goods because of white house disagreement over trade strategy. according to people briefed on the matter, the president also farminto pressure from state republicans. they were worried that the chinese plan to to retaliate against u.s. agricultural
exports. president trump also was concerned the trade data would hurt negotiations with north korea. facebook's mark zuckerberg testifies before european parliament today. according to prepared testimony, he will again take responsibility for privacy failure such as the data lead to cambridge analytica. global news 24 hours a day, on air and at tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am taylor riggs. this is bloomberg. caroline: taylor, thank you very much indeed. coming up, jcpenney shares have tumbled. the ceo has for the exit, leaving for home improvement retailer lowe's. this is bloomberg. ♪
caroline: lightbank from london, i'm caroline hyde. vonnie: from new york, i'm vonnie quinn. this is "bloomberg markets." time for the biggest is the stories in the news right now. activist investor elliott management is building a stake in a german engineering giant. they would like to replace the ceo. in 2011,took over shares have dropped 30%. a new ceo at lowe's, second-largest home-improvement naming former.s., jcpenney ceo marvin ellison to the job. he wouldnnounced retire earlier this year at lowe's. the chain under pressure to match the performance of home depot jason benner should -- jcpenney
shows are tumbling, in fact. ceo wille of the penney's topof executives. that is your bloomberg "business flash." let's get more on this executive shakeup in the retail industry. some of the tenure of marvin ellison -- is there something for lowe's to be excited about, given that shares of jcpenney dropped under his watch? >> while shares of jcpenney did struggle under his watch, he does come with extensive home-improvement background at home depot. the opportunity come in our view, is really the execution. could he improve execution at lowe's and narrow the gap it has with home depot? vonnie: yes, that will be a
fascinating thing to watch. led by ais going to be group of people. it is very dodgy, to say the least, for the 112,000 employees at jcpenney, particularly at a kohl'shen macy's and are surprising to the upside. poonam: i think it is a big distraction for jcpenney. when you look at how he has been led in the past 10 years from he 360letely to a company in a here, and then comes marvin ellison, who is adding big-ticket items to diversify the apparel space. both strategies are different, on the shakeup in terms of who will be next to lead jcpenney is a key question. we expect the company to stay status quo in terms of staying on the path. when it was a new ceo, what the strategy will be is going to be key to see if jcpenney can recover some of the lost share.
caroline: the issue is it has to be nimble, and it seems hard when you have four people at the helm. poonam: yes, absolutely. it is tough having one boss, and now you have four. vonnie: yeah, and taking over as chairman come what might he do? poonam: i don't know if you will change in strategy for the it would be too risky for the border chairman today for it from what was put in place. the focus will be on appliances, big-ticket home furniture, and continued strides to improve the apparel business from which under the leadership last year was subject to massive liquidation sales in october. caroline: let's focus attention on lowe's quickly. what is bloomberg intelligence focusing on? this is a company with activist investors.
will the new chief executive be able to drive what is necessary at lowe's? poonam: our view at bloomberg intelligence is it will be tough when you think about what was done at jcpenney. home depot is a big competitor to lowe's, and it is not an easy one. will they be able to bridge the gap? it is uncertain, in our view. caroline: we will see. stocks trading a little bit higher. great to get your insight on both jcpenney and lowe's today. still ahead, zuckerberg in the spotlight. theill preview facebook ceos testimony before parliament. this is bloomberg. ♪
i am vonnie quinn in new york. caroline: in london, i'm caroline hyde. facebook ceo mark zuckerberg faces another legislature today and it is in brussels. he testifies before the european parliament for over an hour today. he wants to tell them how cambridge analytica acquired the date of millions of citizens. let's bring in a bloomberg opinion columnist. this is going to be quite a different environment than what occurred in the united states. are we going to get tougher questioning? it is fewer people and perhaps deeper knowledge. >> there is fewer people, and also less time. heads of theey parties, not necessarily the specialist. from what i understand it will not be a hard deadline for each person. in the senate you have five minutes, the house of representatives you had four minutes. it is per person, which means it is very easy filibuster.
i think they won't be able to hold him slightly more to account, similar -- they will be able to hold him slightly more to come, similar to the house of commons. caroline: and the cto -- alex: that was the cto, not the ceo. even if they light a knockout blow, less likely to get headlines than zuckerberg. caroline: europeans are about to bring in significant legislation on friday. the general data protection in many ways started the chain reaction we saw from facebook in terms of changing privacy regulations. how have we seen it maneuver itself, and what will we see from zuckerberg? alex: in the u.s. we saw him concede that they do need regulation. the proof is in the pudding in the sense that it still has to be negotiated, how deregulation plays out in the u.s. -- how the regulation plays out in the u.s.
what is more at issue here is how it needs to be regulated. facebook and google are dominant when it comes to search and advertising. this is about the power of the individual and to retain their data, not the power that facebook has in addressing all of these individuals. vonnie: told these -- will these mep's with perhaps deeper knowledge -- i don't know that they do -- be able to get from zuckerberg how he will fight fake news in european campaigns? alex: i think it really depends what kind of conversations they had in advance. the mistake that was made particularly in the senate, there was a lot of grandstanding -- that is to be expected. but they went over the same rounds again and again and a lot of people prove they did not have the details of knowledge they needed. they make the headlines next day. that is what people don't want this time around. they want zuckerberg to be making the headlines from his
comments on the front page of every newspaper around the world this time tomorrow. one key thing they had to pick up on is that zuckerberg was able to conflate data and content. data is about you as an individual come how you are using things. content is what you personally give up. your face the closed, location, ,hat is -- your facebook post location, that sort of thing, that is content. in the house of commons they were able to show how they made money from data. you cannot get away with it this time around. vonnie: will they get him to admit who was responsible for the breaches cambridge analytica ? they i think at this stage are able to hide behind so much -- what we have seen in both equations and scenarios come in london and the u.s., he said, well, let's pick up on the details here. there are so many different layers of the way that data was shared. you giving data to cambridge analytica and to the researchers
-- there were able when asking us in a question step back and say, "i don't want to confuse here, i want to drill into the details." they have to phrase the questions very carefully. caroline: watch and wait. two hours and counting. alex webb, bloomberg opinion columnist will be covering it for us in a live blog on the bloomberg terminal. you can watch zuckerberg's testimony before the european using the function life go. in the next hour, we will be talking to a german mep who will question zuckerberg today. this is bloomberg. ♪
vonnie: that is some of the reporting by tictoc, streaming live on twitter. from bloomberg world headquarters in york, i'm vonnie quinn. caroline: live from european headquarters, i am caroline hyde. this is "bloomberg markets." let's check in with "first word" news now. taylor riggs has more. taylor: china is willing to compromise on trade, according to people family with the plan. it will cut the import duty on passenger cars from 25% to 15%. that could be seen as a
concession from beijing to presidential. it will be a boost to foreign luxury automakers such as bmw because less of their production has moved to china. there is a report that the u.s. and china has agreed to resolve the seven-year ban on a telecom maker zte buying american technology. according to "the wall street journal," the details are being worked out but they would involve changes to management at significant fines. secretary steve mnuchin mnuchin is speaking in the senate right now. he says the u.s. will enforce national security when it comes to zte. south korea is so confident there will be a summit between the u.s. and north korea. the national security adviser picks there is an undeniable 9% chance of kim jong-un -- there is a 99.9% chance of contentment meeting with president trump next month. bank of england governor mark carney has upgraded households
-- says households are worse off. issaid the economic output off of estimates from the brexit vote two years ago. global news 24 hours a day, on air and at tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am taylor riggs. this is bloomberg. vonnie: taylor, thank you. steven mnuchin is testifying right now on the hill on the 2019 budget, but lots of things are coming up, including the zte potential deal. a says the zte issue is commerce department enforcement issue. he is talking about stealing aluminum tariffs, saying that -- steel and aluminum terrace, saying they will remain in place. vote onrts the senate
the bills. you can watch all of that on the bloomberg at live go. gears andlet's switch because the city of life is the epicenter of the tech world. just this week, numerous tech events were underweight in paris, including bloomberg's very own "sooner than you think" conference. joining us is the chair of the supervisory board. wonderful to have you as always. france, paris is the epicenter of tech this week, but what about longer-term? can it be the epicenter going forward? >> the tech world is meeting in paris. we will start tomorrow with a very important meeting with president macron about tech for good, how technology can help ,eople to have a better life and from thursday to saturday, we will have the tech world
meeting in paris. get markecting to , 6000berg, satya nadella than 2000more investors, etc., etc. it is something which will be extremely important, and it shows that france is committed to being ready for technology, for startups, for entrepreneurship, and it is something which is rather new. expect all the planet to have their eyes looking at paris. caroline: what policies has president macron brought in to make it a better place for you start up and technology company? maurice: i think the first thing
is state of mind. --nging the opinion that being successful. in france it was not so good to be successful. success was not celebrated, to say the least. sometimes people were blamed because they were successful and making well. today it is interesting to see that president macron and the government as a whole are toouraging young people start up their own business and encouraging the venture capitalists to invest in france. caroline: president macron will meet, as you say, with some 40 technology leaders, including mark zuckerberg.
he wants to remind them of their responsibility. his technology taking its responsibility seriously enough at the moment? what changes need to be made? maurice: the reason he is organizing the meeting tomorrow from somely 17 ceos very important names that you have already mentioned, and important names in france -- the main reason is to see what the future will be and how technology, which is creating some fears -- you have a lot of whate hearing about artificial intelligence or technology can do to the job, the fact that it may not be able to succeed in the future or even to continue just to work, and there is three sessions which will be organized, breakout sessions. one led by ginni rometty about
education, what should be the education of the future. regarding the future of work, how should we be organizing work, and the continuous training of the people. you know that they are never left aside. last but not least, about equality, gender, and diversity. it is extremely important that this will be led by bill macdonald from sap. in a couple of hours mark zuckerberg will stand up in front of european parliament politicians to describe why the data of millions of europeans was put into the hands of cabbage analytical. there is a concern not just about ai, for the privacy of our data. you yourself will be speaking to
zuckerberg on stage on thursday. what will you ask him about the responsibility? be coveringwill lots of aspects, including what happened. i will very candidly open the floor with questions regarding what happened. i cannot tell you what will be the answers yet, but clearly it is a conversation which will not only cover what happened with but what analytica, he is doing for the future. i'm extremely confident, because i believe in this operation, there has been weaknesses technically. facebook is a little bit of a accomplice inthan this operation. , cambridge do know analytica has abused the confidence of facebook and has
taken assets and information future not have taken. by the way, something which is extremely important is that we new europeane of a regulation regarding data ,rotection from data privacy and the fact that you cannot use data without getting the approval of the content of the users and the owner of the information. this is probably a new era regarding data and the use of data in the future. era for paris as a chekov as well, potentially. y, wonderful to have you joining us. tomorrow i will be live in paris at that very conference. vonnie: looking forward to it,
caroline. already in the news today for the announcement that it is building a position in a german conglomerate, we are now hearing that paul singer's elliott management and mediapro, a spanish broadcaster, have discussed possibility of the u.s. hedge fund backing the producers investment in broadcast rights for soccer. that would be an interesting one, elliott management getting itself in spanish broadcasting rights for the premier league, essentially. in other news, we have steve mnuchin, treasury secretary, on the hill testifying about the 2019 budget. he is talking about a whole range of things, including the fact that the tariffs on steel and aluminum are going tuesday. areinum and steel tariffs going tuesday, and also the zte
when you think about blockchain, i think about it as technology, not cryptocurrency. there is discussion about cryptocurrency i will leave to another time for the blockchain as a technology can have applications in a friday bank of different financial -- variety of different financial services-type transactions. we have somewhere between 15 and 20 different projects going on. sometimes they are consortiums with other companies can sometimes investments we're making with -- erik: but it doesn't sound to me like it is a priority. tim: oh, no, it is a priority, but like a lot of changes in technology, it gets hyped a bit come that it will change all of our lives and it will happen tomorrow morning. that is generally not the way it works. but i think this technology can and should have applications in some areas, and we are starting to see that occurred now. when i don't appreciate his the
value of the technology, because what you are really doing is you and improvingosts security, and whether profit is in that i am not 100% sure. you point out, there is a distinction to be made between blockchain and crypto. can you imagine wells fargo transacting in cryptocurrencies the same way it does in a dollars or yen or euros? tim i could come if, if our customers wanted, and there was a system that allowed for appropriate checks and balances as to whether the underlying transactions were legitimate. that is what, from my perspective, is that they concern here. many of the transactions, not all of them, are done in cryptocurrency because they are not above board. so there is no way to satisfy the second requirement? higher customers asking for it
-- are your customers asking for it? no, i didn't read last week that there were a few cryptocurrency coveney's trying to initiate conversations with regulators to get licenses and the like. that would be fine for my perspective, because we have laws in this country, financial loss. we have got to be responsible , know your, aml customer requirements. we will not get involved in currency or transactions where we are not comfortable with those. has: what effect pro-business policies and the regulatory efforts of the trump administration had on your company so far? is thee biggest impact impact on the customers. we are seeing consumer customers -- not all of them, but many of them have more money to spend because their taxes are lower. raised wages -- erik: you raised your own wages.
tim: we increased base pay for the lowest papers to $50 our affecting -- $15 an hour. in addition to that we increase the base pay of the team members just about that, and that impacted another 40 to 50 -- i could be off just a little bit. what we're seeing is the consumers have a little bit more starting tond and see that manifest itself in terms of consumer spending in march and april. i think that is good. as it relates to commercial customers, it is more of a second derivative or it is going to take a little bit longer to see the impact. there is no question that the pace of companies moving outside workers,with their incorporating somewhere else can that has slowed down to a halt. we are seeing more foreign, non-us-headquartered companies make investments in the u.s. erik: i guess what i am trying
to discern is the tax cut aside, does it feel like it is a bit of time to do business? yes, it is full again, it is not taking gdp from 1.5% to 2% in which is the train we were on the last eight years, to five or six, but most economists, including the fed, say they think economic growth in this country will be somewhere between 3% and 4%. to three to.5 to 2 four is an improvement, from my perspective. that is what is driving the economy. vonnie: wells fargo ceo tim sloan in an exclusive interview with erik schatzker. more from capitol hill, where u.s. treasury secretary steven mnuchin is testifying before the senate appropriations committee about the agency's fiscal year 2019 budget, but saying all sorts of things.
joined by kevin cirilli, chief washington correspondent, live at the white house. kevin, i want to bring you up-to-date. some games andng it seems working have been on the commented that steel and aluminum tariffs are here to stay, at least for now. secretary mnuchin making comments about several different things, not just the 2019 budget. kevin: we haven't carefully -- we have been carefully monitoring the hearing on capitol hill were treasury secretary mnuchin said the increased tariffs on steel and aluminum imports will remain in place on china. he also has interesting things to say about the committee on foreign investment in the united states. tosays, "i would like highlight the ongoing collaboration between the administration and members to modernize the review process. we are working to protect technological advantages that are critical to national security while continuing to promote investment and economic
growth." case in point, the administration has been using the process on a host of issues pertaining to the trade back and forth most notably qualcomm. it comes at a time when did administration is facing a lot of questions on president trump's recent decision to lift trigger sections on chinese telecommunications from zte. secretary mnuchin was asked about that at the senate hearing and he said that president xi jinping of china had personally asked president trump to lift the trade restrictions and it was not a quid pro quo, but it was something that president trump looked at, considered, and decided to do. very quickly come i would know there is a bit of a divide on this, because the administration and secretary mnuchin and commerce secretary wilbur ross are in lockstep on getting trade restrictions against zte, particularly ahead of the june 12 leading in singapore with kim jong-un. there are many republicans as
well as democrats on capitol hill who are skeptical of that because of national security concerns. sonnie: let's give it's -- let' pivot to today's meeting at the white house. kevin: south korean president moon jae-in is scheduled to arrive at the white house in the next hour. obviously, north korea is definitely going to come up. this is as the administration is trying to lure north korea to denuclearize by giving them the potential of some type of investment from the u.s. and china-based infrastructure for some secondly, i would note that on trade, the south koreans have differences with this president in terms of his trade negotiation policies. a lot to keep our eyes on. we don't have planned public comments from president trump coming. as always with president trump, you just don't know. it feels like it could
be an important day. our thanks to kevin cirilli, chief washington correspondent. caroline: fascinating meeting in the u.s. meanwhile, let's shifted closer to home, the u.k. fischer says it is worried about the central bank losing independence. that is following comments from turkey's president to bloomberg. let's bring in our reporter in ankara. fitch is sounding the alarm. this is about the independence of the central bank. at what point will they waited to stop the freefall we see in the lira? isthe turkish central bank usually doing too little, too late. on the currency comes under attack, it is one of those episodes we are seeing right now. currency strategists and investors we are speaking with think that the central bank may force markets to hold an emergency meeting before the 7xt scheduled meeting on june
and hike interest rates substantially to put a floor on the currency. caroline: what is "substantially"? how could they go? >> it is hard to put a number on it. there are quite a few estimates going around. turkey'sred to official target of 5%. people we speak with think it is 200 to 400 basis points might be necessary to support the currency. caroline: it is down 12% this month. peso hasargentinian plunged more. what about the election coming up? this is where we spoke with erdogan, telling bloomberg that he feels that he needs to take more control potentially over monetary policy. what then? what does this spell? what are the estimates you are
hearing after that? onur: it is really important to note that none of this is taking place in a vacuum. erdoganaid to president as a distaste for increasing interest rates. he told bloomberg that he would like to see rates going lower come even though the inflation rate is much higher than the official target of the government. he has said that he would like to have a bigger role in setting interest rates if and once he wins the potential election on june 24. he has yet to suggest how he is going to go about it, but he made it clear that whatever form,s whatever shape or it is going to have a big influence on setting policy in turkey. caroline: meanwhile, this move is getting the stretch. thank you very much for putting
it all down. fascinating headline just crossing the bloomberg, caroline. an italian newspaper is that demaio might be back in the running for the premier spot. theaio may be back in running for the premier. it could make a big difference in italy. we want to let you know that there are stocks moving in the u.s. quite substantially today, including u.s. steel, after treasury secretary mnuchin said that the tariffs are two state. jcpenney and lowe's off their lows.
close on bloomberg markets. mark: here are the top stories we are covering. china shifting gears, cutting car tariffs to ease trade tensions with the u.s.. the big winner could be europe. elliott management said to be building a stake in thyssenkrupp aiming to out ditch chief executive officer. the south korean president has to the white house with plans for a unprecedented summit -- will plans for an unprecedented summit with north korea stay on track? day,s are rising, fifth six ties level since january the 20th. the european markets closed yesterday for the holiday. germany among them.