tv Whatd You Miss Bloomberg December 6, 2018 4:00pm-5:00pm EST
strong and people continue to look at the opportunity they may see. clearly, the uncertainty, geopolitical uncertainty shouted the market and will produce -- in the next couple of days. scarlet: we hear the closing bell ringing. that is it for today. you have the nasdaq closing in the dream -- screen. -- green. the dow was off by 784 points 91.now down only joe: this might be one of the biggest point comebacks ever. caroline: and it seems to have started to come off when europe closed. move sincebiggest all the way back to the 2016 original brexit shock, but the minute europe closes, we edged our way higher. there are potential talks in wall street journal of the fed being more dovish. maybe the hope that the fed will listen to the market.
although, we all know that the fed is data dependent. scarlet: we do have data tomorrow. joe: we do. the jobs report. scarlet: that little thing. joe: i guess i'll pay attention. caroline: and the fed themselves. scarlet: probably not good essay too much but everyone will be he probablytion -- won't be saying too much but everyone will be paying attention. taylor: it's all about the chipmakers for me. the nasdaq turns green and the broader -- and the broader tech sector up, but the chipmakers are still down. you see a broad divergence within tech focusing on the chip maker because the rest of -- a rest of the huawei cfo.
he wally supplies were off as much as 45% on tuesday trying to make a rebound today. said the arrest could be a much bigger deal than even a ban on zte for some of the suppliers. we are all waiting to see how this develops and pay concerns. abigail: so much volatility on the day. pointsdaq 100 down two 5%, closing up 6/10 of 1%. reversal on the close. the question is, was it the capitulation bottom that slow down here. we take a look at the chart of the mesic 100, we have not seen capitulation. we can take a look at what that might look like back in 2016. -- 2015. the regular vix did go to 50
there and the buyers getting flush out. when we take a look at what is happening now, we have fixed declining a little bit around a range of 20. this range may suggest we could see the vix go back down into the range, maybe offer the bulls a relief. considering we have these higher lows of the vick overall, this suggests there could be up capitulation bottom -- could be a capitulation bottom ahead. perhaps is not today. volatility breeds volatility. romaine: it still was not a good day for banks. ,uesday we had the good selloff and that was on the same day we got those two inversions on parts of the yield curve. squeezes-flop, this profits for banks, particularly the smaller regional ones. the bank index fell about 5.5% on tuesday and fell again today. it managed to call back from
lots of the losses it had earlier in the session, but one of the biggest decliners is stb financial. that has been on a slide for quite some time. a lot of this is very specific to the company itself. they had their first investor day in seven years, and a lot of comments coming out senate around weaker growth and deposits as well as elevated client fund distribution. a lot of analysts coming out saying this did not sound good. investors sort of reevaluating where this bank goes. involved in heavily a lot of that financial activity that goes on in silicon valley. about 80% above its assets are in commercial loans. scarlet? scarlet: thank you so much to our markets reporters. from bring in omar again san francisco. we were just talking about the minor detail of the jobs report.
i want to get from you how you think this might change the game here for the federal reserve. what would qualify as a good jobs report for the fed, for investors? omar: i think any number close to what they are expecting. anything close to the 200 day fed thewill give the comfort to continue its path. i think what is more important is the wage growth number. i think the wage growth number is what jerome powell mentioned in the last speech being the driver going neutral for the fed. more than the numbers will be whether or not the fed continues with more dovish discussion which could give a hint to the market of what they come into next year. there's no question the december -- decisionposition is being made. the job report tomorrow could be the catalyst that will tell us more on what the path may be for
the fed. scarlet: it's not the jobs report anymore, it is the average hourly earnings report. joe: you are right. we talk about the fed because the fed has a dual mandate. full employment and price stability. there still does not seem to be any signs of real inflationary problems in the economy. when you look out at the economy, do you see some sort of inflationary trend that the fed needs to stamp out? omar: i think the inflation numbers that the fed are looking at, coming from the wage growth being reviewed, i think the biggest component for the fed continues to be looking at the andth of the job market they will not be disappointed with the numbers. it's more about wage growth and all of the trends they see. there is no indication inflation will be anything they have to be concerned about. what the fed is looking is to
continue to give themselves more flexibility so they don't have to be cryptic. inflation so far, it does not look like it will be an issue. fed that is it the arrives the market to the rescue ? there were reports of the fed might get dovish. will that offset the concerns that are geopolitical at the moment? omar: i don't think the fed is is critical to the market as there discussions about deceleration in the impact of the trade war. i think the geopolitical jitters people have are still going to drive the markets for the next few days and weeks. i think we have a fed that could support it, and it was well said before, one of the mandates for the fed is the financial instability. the fed will intervene to the extent they can to maintain that instability, but i don't think the market is looking at the fed
as it used to be. a lot of the issues related to what the impact of trade discussions will be into the global economic growth. now isthis so important because we are going to the economic cycle of deceleration. whether it is europe or asia that is weaker than the u.s., there comes a time when the economy is decelerating and trade tariffs or more screwdriver sessions in different regions. --t is why joe: we saw attack outperform some of these momentum stocks. moving in.t what is that say about investor positioning? have these concentrations whether it is speculators, traders of different sizes, in some of these momentum stocks,
is that flattening out of it? omar: i think there are two components to it. there is always bargain hunters and people that understand these -- for someave individual names. that is a little more problematic bargain-hunting but they are trying to find for those opportunities. the long-term rotation that i have seen is consistent with where the economy is going, which is we are starting to go from a market with your momentum ,t the beginning of the year the faang stocks were driving most of the market performance, to our rotation toward defense of growth. that defensive is still in the growth arena but moving toward higher quality of earnings, little more defensive, not quite completely defensive, but overall, they are seeing more rotation towards a deceleration of the u.s. economy people expect into next year. as you can see, health care
sector will probably do well. some consumer discretionary might do well. not as much as the technology. technology is related to the over extension of the seller. omar, joining us from san francisco, thank you for your perspective. let's get perspective from google that reported earnings. this is a beat for the third quarter. on the revenue and bottom line. clear thequite reported number for the third quarter is the correct one versus the consensus estimate. $.71 eps for the third quarter may not compare to $.69. the outlook as well, we are looking for some negative. i don't see it in the outlook because the third-quarter eps of 164 to 167, the midpoint pretty much matches the estimate of 165. be --
caroline: they wanted them to go up above and beyond the guidance across every metric and maybe they are not living up to expectations in that way. anticipation being built into this holiday season on how much the consumer will help with the economic perspective. scarlet: that is a great point. we will keep you posted on whether we find out on the 71 eps -- 70 once a dps read. -- $.71 eps for the read. and for the for me closing bell. romaine bostick will be stepping in. this is bloomberg. ♪ in. this is bloomberg. ♪
caroline: live from bloomberg world headquarters in new york, i'm caroline hyde. romaine: i'm romaine bostick. joe: and i'm joe weisenthal. caroline: u.s. stocks bouncing back off of lows. the nasdaq closed in the green. joe: the question is "what'd you miss?" caroline: shockwaves from the huawei arrest. trade relations between the u.s. and china hang in the balance. no deal in vienna over and it talks with other production cuts to the first time in nearly five years. biggest yields saw the drop since may over growing confidence that the fed will stop raising rates. romaine: the big news of the day is huawei's cfo arrested in canada on saturday. president trump was meeting with xi jinping.
president trump saying earlier he was unaware the arrest was made at that time. for more, let's bring in shery ahn and an analyst with bloomberg intelligence. housing -- how important is its arrest with regards to the relationship between the u.s. and china, particularly trump and xi jinping? >> if you look at the timeline of what had happened, it looks as almost as if it is part of the u.s. china trade war. if you look at the tweets coming out, it seems as if the chinese cfo is being used as a bargaining chip as part of the u.s.-china trade war. shery, give us a sense of how this will play in china. this is so significant at a company that is one of the true industrial, technological champions. shery: first of all, i love the timing of this arrest.
december 1, right when president trump and president xi jinping are having dinner. to me, what was interesting was after all of the successful talks, china did not confirm that until later. the fact is, they confirmed it and said they have very good -- had very good talks and they will implement the items they agreed upon. i don't want to be too pessimistic because this means the chinese knew this was going on in the background, but they are agreeing to have trade talks. , i think that is the key issue. how would plays out in china. this will bring social pressure to the forefront. the story is playing into social media in china. people are talking about this and this is not looking good. if you are taking this huawei arrest and the chinese are doing this is a bargaining tool. does it also forced the narrative that china wants to come -- become more independent from your supplies?
now we have the likes of huawei potentially saved by trump, however, it must have been china is looking to sever ties independently of the u.s.. woo: i think that is top of my for china. if you look at the huawei announcement that they still want to work with u.s. suppliers. it shows they don't have the infrastructure nor technology to keep up with what the u.s. suppliers have right now. reliancestill a hefty on u.s. chipmakers today. romaine: i want to break in here and we are getting earnings reports from broadcom. their fourth-quarter adjusted net revenue coming in at about 5.4 and have billion dollars. we are seeing their earnings coming in above estimates at $5.85 per share on the continuing operating basis. broadcom was one of these companies that got caught up in huawei concerns early this year
when they were trying to buy qualcomm. to important is huawei china's ambition and should that be something the u.s. needs to be worried about? as anf you look at huawei international technology player, they are the number two smartphone provider, number one infrastructure provider. so there are number of things coming in from a secular perspective. if you look at five g networks coming on board, it is a transitional opportunity. this could potentially slow huawei as part of the five g networks -- 5g networks. this could hamper some of the5g smartphones in the long-term. shery: we think of tencent and alibaba as star players out of the chinese economy, but as woo jin said, this is the number
two provider in the world. this is a source of national despiter the chinese the fact that we don't have the superstars at the forefront of the company. own in terms of huawei's business, what are the most exciting areas? we know they have been buffeted in all different directions. what is working for them? i am a networking analyst, so the networking business side, especially as they make the transition from 4g to 5g. where huawei made their stamp was the3g to 4g transition. and how they were able to get market share was through price. 5g, they were able to catch up from the technology perspective they willpe is potentially broaden their footprint out of outside of china -- footprint outside of china.
the smartphone business, that is very exciting for a couple of reasons. if you look at the premium smartphone market, they are going to and neck with not only samsung but taking away market share from apple. -- take a look at the premium market, they saw the type of provider and they are looking for the low tier smartphones and trying to penetrate to the low-end smartphone to be the largest smartphone provider. there are long-term ambitions from the smartphone side. caroline: i want to pick up on shery ahn's expertise on how prominent huawei is. -- the is well known billionaire is well known in china by the chinese government. shery: rights. his daughter arrested in canada.
what concerns me about this issue is what a thorn this will be in future trade talks. anytime you have issues between the u.s. and china, this will stick out. as we have heard from sources that the extradition of wenzhou ming could take over a year. this will continue to play out in the news. anytime you get any positive trade talks between the two countries we will have wenzhou ming in canada waiting for her extradition which could take over a year. chinese we had a national waiting to be extradited from canada because of conspiring on military hacking. that took over a year and only after he consented to coming to the u.s.. this could really play out for the long-term. caroline: interesting that the u.s. national security operators are in line with what the white
joe: let's talk about some of the factors behind today's selloff. peter's chief strategist at the quad group and joins us now. what happened? peter: nothing. s&p's were down 50 basis points. what's the big deal? it is very interesting. we bottomed at 1130 when you're closed -- 11:30 when europe closed.
the thing about to bear markets is that they really make you feel good about losing money. the company goes i was down all of this money but now i only him down this much. little losses over time accumulate and that is what has been going on. there are four bank stocks, tesla, netflix, and amazon that are up on the year. you have the seesaw and they are holding it up. when you look at the many rebound we got, does it look to you like that is something to last? some companies were participating in this rally to make a case that we should not be worried. peter: first of all, my right to change my mind on that is when i put my tongue back in my mouth because it has been volatile. you have some of the december seasonality and we think it has been an inverse cycle. you make a low in october and
rally into the first quarter. what we are seeing is we saw the high and we think you might be selling off into the first quarter. the pointis low marks for the next few weeks, it is possible. on a technical basis, people -- the the nasdaq divergence with the nasdaq on the way down led to that rally 10 days ago. this is a divergence on the upside. my antenna is that we don't follow through to the upside and we will look to sell the rally. caroline: when it comes to visa and mastercard, it is interesting that the lululemon numbers come out and they had an impressive market. what is the data telling you in terms of the rebuilt to the holiday season and mass spending their? -- there? peter: the data is mixed and the markets are mixed. we think the economy is slowing and people are looking for some
sort of olive branch from the fed. like they have this magical ability to push the lever on a $20 trillion economy. let's be realistic. it is not just stocks. every asset class has done poorly this year. what that is saying is that there is a mismatch in policy. until we want to fix that policy, which does not seem like we will do that, we will have these bumpy roads. whether we accelerate to the downside, we look at kew levels and try not to anticipate. levelsvel for us -- q and try not to anticipate. that level for us, if it goes below that, we will be more concerned. lost anticipating stuff happening rather than waiting for to happen. caroline: all right peter borish of quad group, thank you.
mark: i am mark crumpton with bloomberg's first word news. u.s. senators are considering multiple pieces of legislation to formally rebuke saudi arabia for the slaying of jamal khashoggi. bob corker says senators are looking at moving three measures, a resolution to condemn the crown prince for the murder, a bill to suspend arms a sales to the kingdom, and the resolution to call the trump administration to pull back u.s. helping yemen. lindsey graham says of friends don't act like this. >> we tolerate bad behavior, that is part of politics at ally. but this is an
if you want to integrate your economy in two hours, there is a price to pay. don't chop someone up. that is not too much to ask. mark: sherman corker added he has "zero respect for the saudi ambassador to the u.s." with the senator accused of lying to him. the casket of george herbert walker bush is in texas where he will be buried during a private service on the grounds of his presidential library. leftumber 4141 train during like train earlier today. it's two and a half -- and a half hour journey will take it through five small towns. spokesmanated press's said the train is part of the official planning of mr. bush's death for years. ecuador's president has increased pressure on julian
saying britain has provided sufficient guarantees that the wikileaks founder won't be extradited to face the death penalty the broad. president said i'm not pleased with mr. massages president -- presence -- mr. assange's presence. we believe six years is long enough time for a person to be incarcerated in an embassy. minister saysime she may let parliament decide whether to trigger the controversial northern ireland backstop. the prime minister is shrugging off suggestions that the government may delay a vote on her brexit deal to avoid stating defeat. the former prime minister tells bloomberg he is optimistic that all issues will be settled with
the u.k. as it leaves the european union in march. >> i think the chances of a no deal are small. it is really what has happened in the past few days. parliament has taken charge of this process. there was a defeat for the government the other night which means parliament now has the right to go through all of the different options on brexit. mark: blair also says he thinks it is unlikely the general election will be called if may's deal is defeated. global news, 24 hours a day on air and on tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am mark crumpton. this is bloomberg. global news, 24 hours a day on air and on tictoc on twitter, caroline: another make it or break it moment for the market. here is more insight is the managing director at bank of
america merrill lynch. michelle, let's will be good news? numbers do the the you think? we get something similar to what we have been seeing lately it will be a bit of a relief. 200,000 or so in jobs growth if thes the expectation, unemployment rate holds a 3.7%, we creep up. even if we miss from that's a little bit, with say 175 or 150,000 for jobs, that is acceptable. if we get below 150,000 with the unemployment rate picks up, given the sentiment in the markets right now, given how down beat investors are, they will be concerned. especially since initial jobs are picking up. there are a lot of people searching for how things can go wrong. if the data allows them to fulfill that expectation, they will take notice. joe: when you look at the
economy, do you see an economy in danger of overheating so much that the fed needs to hike in december and multiple hikes in 2019? michelle: i don't think the economy is in danger of overheating, per se. if you look at the inflation data, it is subdued. think about what they are dual mandated for, full employment and price stability, for full employment, they are well below numbers. the labor market is tight. you can look at anecdotes in terms of labor shortages. it suggests labor costs are rising in price pressures are building. there is a key question on whether wage growth will translate into price pressure. that seems to be a loose transmission on a flat phillips curve. nonetheless, from the fed's point of view, all policy prescription is to continue to-a data dependent environment. it's clear they are not
committing in advance to a passive higher rates, but if the data allows them, they will not tire. romaine: in a data -- nudge higher. romaine: in a data dependent economy, we are not really seeing the type of wage gains you would think would a company that. what exactly is the fed looking for? michelle: generally speaking, i think the data has been some stubble -- substantial. we are going to see what tomorrow shows, but we have 3.1 percent wage growth which is an upward to directory. view,he fed's point of they are doing just fine. the output gap is closed, they conducted policy in a cautious way so far. they are now at the lower end of the neutral range.
i think the intention is to hike further. they are trying to be very careful given they are aware they can be starting to enter a restrictive policies on. they don't want to push the economy into recession. they want to underpin a growth. -- underpin growth. caroline: do you think they care about gyration whatsoever? michelle: i think they care because it is the transmission of policy. when the fed hikes, financial conditions tighten and one of the ways that happened is through stock market moves, interest rate moves, etc. they will be following markets closely in that respect. theonly to market transmission of policy, it is an input into their decision for policy. what financial conditions they are moving for exogenous regions , they are to -- reasons, they are spoke to take signal from that and saying is the market showing trade concerns are
changing business decisions which can filter into the economy. they be we need to be careful about that on how much more we bring operates. caroline: lots for the investors to stew want. michelle, great to have you in person. said thenews, tesla plan paying march note holders in cash. we're hearing interestingly from peter borish saying this is one of the stocks outperforming on the year. not much after hours, but how much of this is a move for you overall, running? romaine: it's a good sign --romain? romaine: it's a good sign that they have cash. joe: it is pretty remarkable that in this downdraft, when financial conditions are tightening, when people are so concerned about cars, tesla is
in some other world. i've never seen a stock that i can remember that seemed to pay no mind at all to the rest of the market. romaine: we are living in a historic time. caroline: coming up, he does not like oil much because he's going electric, but oil prices take a on the decision of how much the cartel will take off of the market. ♪
romaine: quite a dangerous markets today. we closed off the lows but the selloff did rattle markets worldwide. let's bring in bloomberg fx strategist -- a bloomberg fx strategist. a big part of this had to do with the compensate we got out of kaplan, bostick, williams. how dependent is this market on the fed? >> people are trying to walk back the fed hike rate expectations, but this has been going on all week. for whatever reason, markets grabbed this today. it was a tale of two bank sessions. the first part of the day -- two sessions. the first part of the day was talking back some of the xi- trump talks from dinner. old news. the fed walked into story, moral news. we have been back and forth all
day based on information we already know. joe: how are people positioned report of the jobs tomorrow and how could you see the jobs report changing the narrative? vincent: i don't think the jobs report will. we hit -- get all excited about these reports and this is a conversation is that he is really excited about it and i'm not -- a conversation i have with my colleague and he is really excited about it and i am not. there would have to be something way offkilter either higher or much lower to change expectations. we will look at average hourly earnings which is pretty much in line. we're getting real earnings increases, but the jobs report on a whole, i do not think they will change the story. caroline: is the market way offkilter when it is starting to look at the overnight index swap pointing to 60% now that the probability of rate hike in december. vincent: i think traders are
focusing on what is happening in equities. not on the u.s. data aware the fed is looking to -- looking. if you look at traders walking back the fed hike expectations, the fed will not react to what the market is doing. they see this as normal volatility. if the data is positive, the fed will go with the hike in december. 2019, we will see. romaine: talk about the current market. that did not get walked back the way equities would have walked back. we saw activity in the yen and the pound as well. vincent: but they relatively behaved. ¥1000 is at 10 year lows. story.is the brexit the euro trade is better up in 114 and then the italian prime minister walked back budget cuts. all of it is a little idiots are -- 80 craddock -- idiosyncratic.
we're not concerned about huawei , she-trump -- xi-trump. joe: thank you very much. opec is still debating how much they should remove from world markets. they ended today without a deal for the first time in nearly five years. russia is refusing to commit to a big output curve. negotiations continue tomorrow, but there is little confidence a deal will be reached. here with the latest is bloomberg's managing editor for energy and commodity. how wild is it they will not get a deal or that they might not get to deal? >> we are so impatient. in theeague point out 1970's, there were opec meetings that lasted for weeks. as you pointed out, -- joe: those were real meetings. >> that's before people had to worry about twitter.
as you pointed out, this is several days of meetings despite the warm welcome we had between the saudi crown prince and bella tamir putin -- and vladimir putin. they're not exactly seeing i die on what the cuts should be. primessian minister went to talk to britain. romaine: this comes at a meeting when the time is a net exporter for oil for the first time in how many decades? tina: i will include all of the asterixs. it is a unique number but not crude oil. is oil products. that is a weekly number. the data going back before the 90's is monthly. i know we get a lot of semantics and folks who say you are oversimplifying it, but it is a remarkable number. it shows -- he does not show the u.s. does not meet international markets anymore because what we produce is the lighter form of oil. most of our refineries were
changed that they could handle have your oil. no one thought the shale exposure was coming so everyone got ready for saudi oil or wherever they thought the oil was coming. joe made the joke -- joe: is still my question-- still my question. tina: i don't think anything is off the table with president trump. opec orhe did not like the cartel. there is legislation in congress to declare them an antitrust violation. i don't think that is highly likely, but nothing is off the table with this administration. caroline: what do you expect to be on the table tomorrow in terms of what production cuts will come back, what it means for the market? tina: i think the market has gone into this expecting it to be a theater and expecting to around one million barrels
taken off of the table. today, when we had the saudi oil minister on saying they be there won't be a deal or maybe one million is all they will see, oil prices went down 5%. the markets are kind of treading water and there is a for some form of cut going forward. opec could move forward on its own. what the saudis are doing, they are in a difficult place because they were pressured by the u.s. not to do cuts. they are facing their own pressure to keep the price above a certain level for budget reasons. romaine: how much of an impact is one million going to have when the saudis on their own ramped up over one million barrels a day? tina: one million takes us back to where we were in june. in june, the price was better. we talking close to $70. it is not a huge number, but you see how narrowly the supply margins are operating. one million could cause a 5% way and discussion.
joe: two-year treasury yields tumbling today signaling traders are growing confident the fed will hit the pause button on rates. our next guest says the bond market is having their crucial -- most crucial pricing yet. let's bring in brian chappatta. in the steepening today curve. it is all because of the long and which speaks to a belief that for the first time, the fed might change of their plan. brian: for the first time in a while, there is not a huge flattening in the market.
the two-year treasury yields were going haywire as were a lot of the other short interest products. there has been record problems. changebeen an incredible about-face of where the fed is going. you're going from three rate hikes next year which is what the fed prices and themselves, and now we are not going to price in one. that has been a complete turn of events. romaine: what do you make of going from one extreme to another? i feel like we are now at a stage were no one is really believing the fed will go anywhere. what trapped is that set up if the fed does continue? brian: traders are saying this is the trading markets right now. buyer beware. whatever you do, you have to be careful because there is no easy answer right now. to your point, we have gone to an extreme. the fed to say we are data dependent but if the data comes in fine over the next couple months, maybe they will go in march or june again.
vanguard says they will go in march and june and stop. a lot of options on the table. caroline: the number tomorrow matches more or less you have a trading environment? brian: i think it is a pretty big deal. if there is a big myth, maybe the december hike will be questioned as it has been today. the question is looking ahead to next year, how much is it writes to price in -- right to price in. joe: stepping back, you say this is a crucial repricing. did something happen fundamentally? the language change? -- did the language change? brian: there were some reports that came in late in the trading session that might have moved markets but it was public information. not a whole lot has changed other than stock market was down, came back with the bond market. i think there was a big drop in only seeing when there is a risk off tone or something has
fundamentally switched. the other thing that was interesting about the mood today, we have seen significant blockage coming in. this was not your mind pop speculators -- investors speculating. brian: you came in and saw this record volume search so it is not just the little bit of money coming in and taking a bet that is outlandish. this is a lot of people filling these gaps. it was quite remarkable to see and happened early on and lasted through the day. caroline: it seems back on a little bit. does that help soothe any issues or concerns that we were getting way too close to inversion on the 2/10? -- 210? stephen to thet
fact that the fed has a lot of wriggle room -- wiggle room. -- steepened to the fact that the fed has gotten a lot of wiggle room. joe: is this a global story that people are buying bonds again? brian: yeah. if you look at the 10 year german yield, it was at 23 basis points today. it is the lowest it has been this year. we ask ourselves, are we back in this environment of lower for longer. what has changed? we will get the latest hits with the nfp and the fed later this month. caroline: bind takata -- brian chappatta, great to get your expertise. the numbers for the third-quarter gdp from the euro area is coming up. joe: and something called the u.s. jobs report out at 8:30 a.m. romaine: joe's watching that and i will be watching u.s. consumer sentiment for december coming out at attend the clock a.m. eastern. joe: that is all -- caroline: that is all for "what'd you miss?" romaine: "bloomberg technology"
emily: i'm emily chang in san francisco and this is "bloomberg next hour," and the top silicon valley executives meet with trump trade team at the white house. will text concerns about trade tensions and ip protection be heard? we are live from washington. plus, a story full of international intrigue. ceo arrested -- cfo arrested.