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tv   Bloomberg Markets Balance of Power  Bloomberg  February 5, 2019 12:00pm-1:00pm EST

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cirilli from capitol hill, tonight's state of the union address. from london, we get more on theresa may's continued quest for a brexit deal. and back to washington on the steak dinner last night where the president entertained jay powell. kevin, what should we look forward to tonight? kevin: the wall. i've spoken with officials who say the president will deliver an uplifting speech. but then i spoke with democratic staffers, who anticipate the president will just deliver a rio dress of -- re-address of the same policies he has been proposing, specifically around the border. now, on the republican standpoint, i spoke with the louisiana senator richard shelby earlier today. the presidencys
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is this as an opportunity to build consensus in water to over another government shutdown. i spoke in the hallway briefly with mitt romney, a republican from utah, who is optimistic about the speech, but says will be listening closely. the president will not just talk about the government shutdown, but also on trade policy as well as foreign policy. look to see how democrats react, particularly on issues of trade, as well as drug prescription policies, to see if there might be any middle ground or common ground moving forward to get some sort of policies done ahead of the divided next few months. david: there are various issues, like infrastructure, in which there might be common ground, but if the wall is front and center is there any hope of reaching across the aisle. tohe leads with, we have have a wall, what will happen? kevin: if you look at the past 35 days, the clock is not on
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lawmakers' side or president trump's side. the window of opportunity to get a major type of policy through is incredibly small and it is getting smaller by the day. m.c.a., itue of u.s. still needs to be ratified. there are some areas where the president has been able to get consensus, look no further they in venezuela, where in its ability says she supports the president's decision. david: this is a tale of two people, those people are the president of the u.s. and speaker of the house, who will be sitting right behind president trump. kevin: yes, and quite frankly you will have, we can laugh about it, but we will all be watching in real-time the reactions of speaker pelosi, who has proven herself to be strategic in how she has been able to negotiate through the
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start down, as well as -- shut down, as well as how she has regained the gavel in the house. she will be sitting next to mike pence. look for how democrats, ahead of the 2020 cycle, will be jockeying for reactions of their own. stacey abrams, a democrat who did not win her gubernatorial race, she will be delivering the response following that. but then i would anticipate we will hear from senator sanders,, lot harris, and the like -- kamala harris, and the like. david: it will be very interesting to watch. thank you. kevin will be with us tonight from capitol hill for our coverage coming up this evening at 8:30 p.m. now, we will talk about the steak dinner at the white house last night. what doing no about what happened? >> we know what the fed has told us. jay powell and the vice chair
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for monetary policy went ahead and had a meeting with president trump and steve mnuchin last night. we did not hear about this from the white house, we got a readout from the federal reserve. and essentially said the meeting happened, it lasted about an hour and a half, and we know that they talked about the message that jay powell has tried to hammer home for awhile, the federal reserve is independent, that it sets policy trying to maximize employment in stabilize inflation around 2%, and it is not care what pennsylvania avenue thinks about that. it is doing its own thing and trying to serve the economy, not serving the president. david: it is important to know that it was not just the two of them, the secretary of the treasury was there, the vice chair there as well. but at this point, from what jay powell has said recently about the fed and where it is, do
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these men differ in their outlooks? it seems like the chairman has already moved toward the president. >> that is an interesting question. consistently, they have had a very much seen the u.s. economy as a strong one, something that is consistently bringing out solid job numbers, and where we do not see inflation taking off. i would say they have not been in disagreement over the economy itself, but they have been in disagreement over the direction for interest rates. until january the fed has been on a pretty clear path toward higher interest rates. it now looks like they are taking a pause. i think the real question now is whether that pause is a soft, or whether it is something that will last a couple of quarters before the fed resumes hiking rates. we look at more clarity on that, i think, through the first half of the year, by do not even think the fed knows the answer
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to that question yet. david: thank you. now to london to hear from emma ross thomas, where we have theresa may doing what she has been doing for a long time, trying to sell that plan. emma: theresa may has been to northern ireland, and her language on what she is trying to achieve with a renegotiation of the brexit deal was more nuanced than it has been. the u.k. parliament rejected her brexit deal and in a subsequent vote told heard to go back to brussels and renegotiate the most toxic part of the deal, the irish border backstop. so mp's in the conservative party, from both wings of the brexit spectrum, have been talking about how to fix this or rewrite the backstop. but theresa may said todayk that she is simply seeking legally binding changes.
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that sets the bar lower than a a lot of the hardline pro-brexit members of her party. so she will go to brussels on thursday. she will meet with the leaders there. and if you want the ability narrative of perhaps bits of wiggle room emerging, you could probably say that -- the irish prime minister came out and said in the last couple minutes that there is a sense of urgency on the european union side, a keenness to avoid the no deal scenario, so theresa may will go back to brussels to get some kind of legally binding document that makes her a deal easier to sell in the u.k. dup, herat about the coalition partner in northern ireland, they are saying there should be no backstop at all? emma: there is a little wiggle room there. arlene foster has said, we will not blink. but she this morning was saying,
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on the one hand and she said yes, the backstop has to go, but when she was pushed about does it have to be a complete scrapping of the backstop, or can there be some kind of document to make them feel better, she said she would not get into semantics. so, over the last fate is there have been public comments where you can read them either way, depending on w are seeking, but must get theresa may - them back on board. the backstop is toxic for the dup, but also for other mp's. david: maybe a little wiggle room. we will find out. thank you. now a check on the markets. emma: we are looking at green across the screen for u.s. equities, ahead of the state of the union tonight. but i should mention that we are off the highs. the s&p 500 had advanced to
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almost touches 200 day moving average earlier in the session, and it has not touched that since december. then we saw the market retreat. financials were leading the way, and the 10 year yield then fell below 2.7%. if the s&p 500 does hold on to gains today, we will see a advance for the fifth consecutive day. and this would actually be the second five-day winning streak just this year, you have to go back to september of last year for the last five-day winning streak before that. so looking at the data across the last five days, look at the movers, these are posting good gains. we have booking holdings rising 2.2%, tripadvisor rising near 5%, this after bookings got an upgrade from deutsche bank ahead of their earnings data this month. upgrading it to a buy, saying it
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has seen growth. and bookings holdings are going to gain from that. and i want to update you on the race for the most valuable company. changing of the board again. there has been change at the top. the white line is apple. it is edging out microsoft $8.23 look at how things have changed since apple hit the $1 trillion market level back in august. and it has all the going downwards, now a much tighter race. david: the bar has been lowered. now at number one. emma: changing back and forth a lot. david: commit, what do republicans want to hear from the president tonight? we will talk with matt gaetz of florida, who will talk about trade, the border wall and more. that is coming up next. this is bloomberg.
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david: this is "balance of power." i'm david westin. we turn to mark crumpton now for first word news. mark: the president's enough grow committee is reviewing a subpoena for documents from federal prosecutors in new york, but his spokesperson says the intention is to cooperate. the group raised a record $107 million to celebrate the inauguration. donors and foreign contributions have drawn scrutiny. and the virginia governor is holding on to his office, despite growing calls for his resignation. nearly all of the democratic establishment has turned against him in after a race as photo
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from his medical school yearbook surfaced last week. the republican house speaker says they are hoping he steps down. the picture show somebody in blackface next to another person in a ku klux klan robe. the governor denies that is him in the photo. in paris, a fire earlier today in an apartment building killed at least 10 people and injured 31. residents climbed out of their windows to escape. police suspect arson and they have arrested a female resident said to have a history of psychiatric problems. venezuela's nicolas maduro has an offer for the u.s., if you want to bring humanitarian aid into the country, lift economic sanctions. he blames american imposed sanctions for shortages of food and medicine that existed long before, says he will block the delivery of aid into the country. the shipments are being
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orchestrated by juan guaido, who is challenging nicolas maduro for the head of the nation. 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'm mark crumpton. this is bloomberg. david: thank you. the president has pursued his agenda of reform in trade relations around the world, and some members of congress, including chuck grassley, think some of the trade powers should be scaled back. >> we give the president some authority to negotiate, but quite frankly in the 74 legislation, in the 1963 legislation, we delegated too much authority. and i am for curbing some of that authority. david: but republican congressman matt gaetz thinks that congress needs to go the other way and add to the
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president's powers to control trade. matt gaetz is joining us from capitol hill. thank you. rep. gaetz: i know that senator chuck grassley is worried about his farmers, we all want the same thing, access to markets. the question is, can we get that access, or whether we create a broader scope of authority for the president that would create a determined environment, whether other countries would be less likely to impose tariffs and give those farmers more access to nations around the world. david: explain what the legislation that you support would do. rep. gaetz: ima sponsor of the reciprocal trade act, which would give the president the authority to impose any tariff on another country, if that country imposes that tariff on us. india has a 50% tariff on american motorcycles, we would then have the opportunity to impose that same tariff at the
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president's discussion. again, the -- discussion. again, the goal is to have a freer trading environment, but if other countries knew that our president could go to their level of a tariff, they would be less likely to discriminate against u.s. goods. david: woudld you favor going te other way, if another country has lower tariffs, would you favor marine are tariffs? -- favor lowering tariffs? rep. gaetz: i would support that, offering the caret in circumstances, and i think those would go hand in hand. david: what about the constitution? it already gives authority to the congress when it comes to trading relations, has congress given up a lot of that? rep. gaetz: i think the congress can impose benchmarks. we would not want to give the president the authority to impose higher tariffs than another country imposes on us. we need regular dialogue and back and forth.
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we need the folks engaged in the administration to figure really brief the congress -- to brief the congress. i think that we are in an environment where the u.s. has largely been taken advantage of in trade. we view trade not as a way to build of the american worker, but as a way to help other countries and often that has been at the expense of the forgotten men and women in this country that work hard and w ant to have their products treated fairly. david: to give us a sense of what you are looking for on this hawkst of trade, trade are worried of the president might get wobbly on china, they may be backing off and he should be more aggressive -- is that your attitude? rep. gaetz: i have no concern that the president will be anything but tough on china, he understands the china, and for the first time in the post-world war ii era you have a president understanding the fusion between
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economic and military interests in our relationship with china. as for what we expect for the state of the union, this is the kickoff to the 2020 campaign. the president has the ability his coalition by exciting the base on immigration and border security, and at the same time appeal to those rust belt states like ohio, pennsylvania, wisconsin -- this election will be won or lost in the rust belt, that is why trade is an important policy to emphasize tonight. david: you mentioned border security. the wall whatever it consists of, explain what you think about that subject, and are some of your republican colleagues backing off of the president's position? rep. gaetz: he will point out the hypocrisy with members of the democratic congress, who have in the past supported barriers and fencing and walls. but now they choose not to do so largely because it is viewed as
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a political win for the president. i think the president will call for unity on immigration, but the tools you will use it will be this specific examples of votes and positions democratic members have taken that are inconsistent with the views currently held, and i think that will create some momentum. i also expect the president to lay the predicate for the utilization of emergency powers, if that becomes necessary. i do not think he will invoke those powers tonight, but i think he will make the case for their use if the conference committee is unable to produce a work product. david: do you think you have an idea where they make a public is on the subject, because a poll came out saying the americans are not willing to shut down the government over this wall, is that what you think the american people are at? rep. gaetz: the last shut down, it really paved the way for action, even if it is executive action following the state of the union, because you are right, the mcafee will do not
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want a shutdown. i think they would view the president's use of executive authority preferable to another shutdown, and that might be the only way out of this. give the president a win on the wall, and move forward addressing trade and other issues i think will be central to the 2020 campaign. david: we always benefit from you being with us and we appreciate it. congressman matt gaetz of florida. tune in tonight starting at 8:30 p.m., i will be joined by margaret talev. as well as other strategists, including steve mcmahon. from new york, this is bloomberg. ♪
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david: this is "balance of power" on bloomberg television. i'm david westin. ralph lauren is our stock of
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our, shares doing well with a better-than-expected earnings report. >> the earnings report committee exceeded expectations in almost every single area, comparable sales, the key metrics up 4%. take a look at the bloomberg. i will show you how their sales have been doing over the past 10 or 12 courses. they have broken a string of declines. they broke it a little bit in the last quarter, but currently they came in at 4% higher, and that was double the expectation of 2%. e-commerce grew into they talk about returning to this style that ralph lauren used to be known for. that seems to be playing well in the european market and here. headlineare developing grabbing products, most recently a jacket that references the apollo mission. it would've kept you warm in the
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polar vortex, recently. and they haven't just discounting -- addressed discounting. in asia, they came in below expectations of its export 2%. -- of 6.2%. david: china trade will be an issue tonight in the state of the union. and when we talk about retailers, china really does affect them. >> you have the slowdown affecting them. and with luxury retailers, tiffany, which came out with their holiday sales, they seem to be holding up well in china. and they have seen growth in domestic spending in china, as perhaps chinese tourists spend less here in the u.s. but there are concerns about a slowdown. and retailers will be watching the state of the union for any indication on what is happening
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with the trade war, because if tariffs are extended, it is the retailers that will be caught in the net. david: do we have a sense of how exposed ralph lauren is the china? >> it is an area of growth for them, including not just china, but also south korea, hong kong. but i think of the same way that a lot of luxury companies see this as the future, that is the same for ralph lauren. david: thank you so much, emma will be joining us tonight as well starting at 8:30 p.m. he reigned for president, howard next.s here, this is bloomberg. ♪ president, howard dean is here, next. this is bloomberg. ♪
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david: this is "balance of power" on bloomberg television. i'm david westin. first word news now with mark crumpton. mark: the house judiciary committee says it is prepared to
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issue a subpoena to matthew whitaker if he tries to avoid answering questions under oath. he is expected to appear before the panel on friday, to discuss special counsel robert mueller's investigation. he took charge of the justice department in november after president trump fired jeff sessions. mr. trump has since picked william barr to serve as attorney general. the british prime minister is insisting that she wants to keep the most contentious part of the brexit plan for avoiding a hard border with ireland. she said today that she will not push people to accept an exit deal with the european union that does not include a guarantee for keeping the irish border open for goods and trade. >> i can only get a deal through parliament is legal changes are made to the backstop. and that is why the u.k. government and the majority of mps from across the house of commons supported the amendment
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from grady last week. it reaffirms our desire to leave with a deal and our commitment to no hard border between northern ireland and ireland. mark: the prime minister's comments were aimed at reassuring the local audience in northern ireland, but she is in danger of alienating politicians whose support she needs. iran says european nations have not responded to offers to sell them crude oil, despite having u.s. waivers. the u.s. started ramping up sanctions after president trump with the drew from the 2015 nuclear accord with world powers last year. oil experts are a key source of revenue for iran, the waivers were intended to give countries more time to comply with the sanctions. in boston, police estimate that one million new england patriots fans are jamming the streets to celebrate their team. duck boats are carrying the players, coaches and their families through the city.
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their win against the los angeles rams is the sixth win for the patriots dynasty. 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'm mark crumpton. this is bloomberg. david? david: thanks. dr. howard dean served as governor of vermont and ran for president in 2004. he pioneered the use of online fundraising. he is now an adviser at a law firm and comes to us from washington. good to have you. talk about the state of the union, not as a republican, but as a democrat, what should the democrats be listening for? anything the president could say that they agree with? howard: you never know what you will get, it all depends whether he stays on script or not, but there is a lot of interest in infrastructure. we have fallen not just behind
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china, but behind europe in infrastructure, so that would be something, if he was serious about it, that might get applause. and it was certainly good work on the democratic side. david: is it something we can afford to pay for? howard: we will have to, because if we do not, that is the $1.7em -- we had this trillion tax cut, but infrastructure is much more important. bad infrastructure will hurt the economy more than tax cuts going lower. david: president trump was elected as a populist, really appealing to the masses. as we go into 2020, we have quite a few candidates on the democratic side who seem to be racing to get as populist as possible, we have a tax on the wealthy, we have bernie sanders coming out with a restriction on stock buybacks, are the democrats in danger of swinging too far to the other side of the
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pendulum? howard: we do not know yet. this will all get sorted out. remember, democratic voters are to the left of where the average american voter is, just as republicans are to the right. we have got 11 maybe 15 or 18 candidates in the race. what is really going on in the democratic party is a generational takeover, that is the most interesting thing to me. most of the people who were elected came from our core base, young people, people of color and women, that is who got elected to congress and you will see more of that. these people are motivated to get out and their vision looks nothing like donald trump's vision of the world, especially on issues of immigration, climate change and health care. that is the real contest. i suspect whoever we nominate, who i hope will be somebody under 50, is going to talk a lot about those issues, but was talk about the issues in a language
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of the american people can understand. david: elizabeth warren with the wealth tax proposal, she spoke to what she thought people sought and why they were ready to have greater taxes on the wealthy. take a listen. >> i talk about this with people across this country and they get it. they get how the rules are rigged right now to help the wealthy and the well-connected and are they are ready for change. david: it is interesting the way that she put that, it was not tax so we can invest in infrastructure, she says the rules are rigged. that anger about what has happened, do you get a sense of that? howard: that is true. that manyinteresting trump voters feel that way and they voted for donald trump, who is a billionaire. this is ironic to be saying this on bloomberg, which is a
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business network, but the truth is capitalism does not work unless it works for everybody. it has gotten to a point where capitalism needs to work for everybody and be readjusted. it is not working for young people who have student loans, it is not working for people in the heart of the country, so whether they vote right or left they are expressing what elizabeth warren put her finger on. david: we have leaders in finance come on, we had blair of from this morning, who said it is not right, we have to adjust the issue of income inequality. but can you do that it still have america be competitive on the world stage? howard: sure. europe does not work this way. does work this way it has a huge problem, but their problem really is they have an authoritarian government that is not really market responsive. franco was a vote in my view he saved capitalism. he was hated by my grandparents
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and other people in the republicans fear, but he saved -- sphere, but he saved capitalism. we do not need to get rid of capitalism, we need to make it work for everybody. david: you have run for president, you oversaw two national campaigns, it looks right now, as you suggested, that we will have a lot of candidates on the democratic side. , howo you manage that do you have debates and make sure that you get the best candidate coming out of that process? howard: you cannot make sure that you have the best candidate, that is up to the voters, but you can have a process that looks more organized. both parties learn from each other. when we do well, they copy. and we will now do debates differently. we will not divide them up by where people sit in the polls and that kind of stuff.
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we have learned from the experience in 2016, where the dnc took a position on a candidate, which should never be allowed. david: do debates really help us figure out the best candidate, it is not just the at her? -- theater? howard: it is not going to be just theater. you will have some well-known candidates, and he will have a lot of young candidates. nobody knows much about them. when you get on the stage and do say thing and it is your demeanor as much as what you say, that has a big effect on people. david: governor, thank you for your time. former vermont governor howard dean coming to us from washington. coming up, we will talk with the former senate majority leader about how republican senators can play a role in avoiding another government shutdown. this is bloomberg. ♪
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david: you are watching "balance of power." i'm david westin. trent lott represented mississippi for 20 years, first as a congressman, then a senator, including as the senate majority leader. he joins us today from washington. thank you for being with us. sen. lott: glad to be with you. i'm part of a global law firm. david: when i practiced law in washington it was not squire. thank you for correcting me. let's talk about the state of the union coming up, particularly from the republican side, if you are a senator there, what are you listening for? sen. lott: this will be probably the 50th state of the union i
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will observe, 35 of them i attended, but one time i was the designated survivor, so i was at a remote site during the session . i would suggest that it may be 40 minutes or less. he also needs to show a little humbleness, i know that is very hard. i think they would like for him to focus on not just the one subject, border security, but talk about the common good. talk about where bipartisanship might work, infrastructure, which has already been discussed. there are concerns on how to deal with prescription drugs. he needs to talk about an agenda that could bring about unity, that is a hope, but hard to achieve. david: i remember you are working with tom daschle, and you got some things done, but talk about 40 security for a
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minute. that will loom large. is it your estimation the republican senate well back him on another government shutdown? there are reports that some are saying they do not want to do that again. sen. lott: i am sure they will not want to do them again. i had to deal with about 10 of them over the years, always a dumb idea. that is not a solution. i am sure that the public and the would like an alternative to be worked out. it is easy to get done. i hope you will talk about, we have a caravan at the border and we need more british security, so let's use -- more border security, so let's use technology. and if you do not like the word wall, let's say no concrete wall. but he has a lot of other things to talk about, including what we would do on trade and how is he doing with china. i think he will talk about that. i think they are looking for a
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very statesmanlike presentation, hopefully. this is one of the great moments in the history of our country. many times a year do you have the president, the supreme court, the joint chiefs, all together. they need to showed a quorum and dignity. -- decorum and dignity. that begins with the president. i have been there and i get embarrassed when we act like a bunch of kids, one side jumps up and applauses, the other side sits on their hands. that is not appropriate. i hope the president will give them a reason to say yes, this was a positive speech. i hope the house and senate will act like men and women of dignity, not schoolkids. david: the reason that you are there that long and you are successful, was because you could count of the votes and figure out where you could come up with a deal that would work. we have immigration, trade, infrastructure, drug policy, as you look at the list, do see one
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where you think, i think i could get a deal to get something done if i was back there? sen. lott: it would be easy in many respects. i it is importantt the president and the speaker calm down the rhetoric a little bit. this group is very capable. they know the numbers. it is very simple how they could work it out. one, go ahead and take a positive step on the dreamers. it is going to be done, it should be done in a sensible way. it does not mean amnesty, it means a legal path to the coming legal. then address the debt ceiling. and with border security, they should split it up. four years. for divide it up, give the president a chance to say, yes, we will
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have border security. maybe not a concrete wall, but in multiple ways, and we will do so much each year. he can say here is my $5.6 billion, and the democrats can say we will give $2.8 billion, and next time decide where it can go. that could be a deal that would be acceptable for everybody and good for the country. david: i want to ask about something, i do not think it has changed, that is you have a prominent leader who has something way back in their past that is brought back up and it affects their ability to serve -- i'm talking about the democratic governor of virginia. there is an incident about this photo in a yearbook, and now democrats are asking for him to resign. a lot of people have had experiences like that, you even had your own. at what point is there a statute of limitations? do you think enough time has
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passed, or do you say that issue, appearing in blackface, it is so important there is no statute of limitations? sen. lott: you are right, very few of us have a life of total purity. you may have done something when you were a teenager, something you said or did in college. it seems like now there is an atmosphere of destruction. i do not know the details of what is going on in virginia an i would notd presume to make a suggestion, but i feel like the cha" atmosphere is totally out of control on both sides of the aisle. "beife's favorite song is humble and nice" and we have lost that ability. one reason we were able to get things done during the clinton years was because i had people like tom daschle that i could
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talk honestly with and not try to characterize him or members of his caucus. there was an atmosphere of bipartisanship and try to get something done for the country. political, life purity does not exist, but you need to get something done. david: as we watch of the speech person beyond his shoulder will be nancy pelosi. they have had some back and forth already, is it possible for them to do some business together? they are tough negotiators, that is clear. sen. lott: we have not seen it yet, but i thought that maybe they could.the president likes to make a deal. chuck schumer, you would think two new york city folks could talk. i know nancy pelosi and i worked in the house years ago with her. it takes a lot of give and take, and so far no everybody has been
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sticking to their lines and no wall, or yes i will have a wall or nothing. the answer is, i pleaded with ronald reagan in 1987, after we passed the immigration bill, please, we are not securing the border. we need to do more, modern technology, whatever. he did not do enough and his successors have never done enough. we have a problem, so let sit down -- let's sit down and come to an agreement. david: thank you for your time. tune in tonight at 8:30 p.m., we will be joined by margaret talev and a republican strategist, john berry vendor and steve mcmahon. as we go to break, take a listen to what some investors are saying about the state of the union. >> this comes against the backdrop of the shutdown, all the emphasis on the southern border, i think it will be -- he
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will reemphasize that, make the case that his administration is successful. >> i think what is said about china, any positive comment will be interpreted that in march we will have a deal, even if it does not have much in it it will be a deal. >> we will be looking for signs he is doing a victory lap on trade ahead of what is likely to be a summit at the end of this month with xi. similarly, that he is not starting in another round to the shutdown. it would be great to see something on infrastructure, but i think we have all given obama. -- given up on that. ♪
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david: this is "balance of power" on bloomberg television. i'm david westin. president trump will deliver the state of the union tonight and we will look forward to what he says, but the atmosphere in the we take a look at guests
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as well. it is interesting to see who will be the guests, the republicans and democrats from the house of representatives and of the senate. he has already said it will not be as long as last year, that went on for quite a while, although it will be on the same order. soon afterwards we will hear a democratic response. not sure where that will come from, but it will come from stacey abrams of georgia. we will take a look at where the markets are at the moment. we are in the green. up for that percent on the dow jones. /100 of a person on the s&p. we we will see exactly what the president has to say on various subjects. it will be of great interest to
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various countries, such as on trade with china, as to whether there will be another government shutdown, and things like will there be a drug price restrictions. that is something the president has talked about. and alex azar has already made progress on that. and infrastructure, the possibility of further fiscal to most. anna look of is a preview of what exactly we can see in the hall tonight. welcome. anna: thank you. david: what do we expect to see, who will be the guests? anna: there are very interesting guests. every member has tried to make a statement with the guests and they are inviting. steve king, a republican, inviting diamond of diamond and soak, a african-americann comedy duo. and you have senator rick scott, a congress senator from florida
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inviting the father of a girl who was killed in the parkland shooting. highlighted by who people are choosing to invite as their guests. cortez of new york inviting one of the women that approached senator flake in an elevator and called on him to change his vote last year in the brett kavanaugh hearing. david: do we have a sense of who will be sitting with the first lady? anna: she invited joshua trump, who has been bullied because of his last name. her campaign has been her "be best" campaign, so she is highlighting things that for theiro through identity or other element of their personality. david: we will hear a response from the democrats by stacey abrams who ran for governor of georgia. i do not know where she will be doing the response from, do we know what she is likely to say?
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anna: she will likely highlight differences between the democratic party and the president's message. he is expected to strike a bipartisan tone and there will be examples of when the president has not followed through on promises. there will be other responses. bernie sanders will give a response. and have a our best era, the -- and the attorney general from california will give his response in spanish. david: thank you. sign up for the balance of power newsletter at please join us tonight at 8:30 p.m. for special coverage of the state of the union. live from new york, this is bloomberg. ♪
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mark: as i'm mark crumpton with bloomberg's first word news. president trump is expected to call for unity into the state of the union address. he is likely to face skepticism. democrats a little evidence that
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the president is willing to compromise especially on border security. he has hinted he make make news did that could be anything from a national emergency declaration on the southern border to the date for summits with the leaders of china and north korea. turkey is criticizing the u.s. over delays in setting up a buffer zone in syria. in ankara, president erdogan a said in washington without help with its promise to help cleanse the reason of terrorists, turkey will do it alone. president erdogan and president trump about establishing a safe zone east of the euphrates river. sayzo abe and angela merkel they both want to prevent a no deal brexit that could rattle their economies. the leaders met in tokyo. abe also told michael that germany and japan was bringing greater role on the global stage when the u.k. leaves the european union.


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