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tv   Bloomberg Markets Balance of Power  Bloomberg  February 15, 2019 12:00pm-1:00pm EST

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welcome to "balance of power," where the world of politics meets the world of business. on the brief today, kevin cirilli on the president moving forward on the wall. from brussels, on the snap spanish elections. and matt miller is reporting from the munich security conference. we start at the white house. we heard from the president, and it turns out that we have a national emergency. kevin: yes, the president declaring that national emergency, this receiving pushback from those on capitol hill. he is hoping to get a billion getars worth of funding -- $8 billion worth of funding. this as he signs a bill to keep the government open. but he has set up a legal battle, saying, bring it on. he is prepared to take this to the supreme court. republicans on capitol hill are nervous about the presidents -- the standard he is heading in
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declaring this national emergency, and the constitutional argument many of raise about whether or not the president should be able to do this. there is some chatter behind the scenes about filing something like a measure that would force a vote from republicans in the senate to -- and the house -- to see whether or not they fully support this. that could be a tricky situation. by mike minogue government shutdown. -- bottom line, no government shutdown. david: now, we will go to brussels. we have an election coming up in spain. explain it. maria: it is another election, the third in listing four years. the second prime minister has shown -- has been shown the door. and the timing of it is strange because it is clashing with easter break. many people like to go on vacation at that time in a is also one month before european
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elections. spain is a little bit different when it comes to elections. this is one that will be about national unity, who can maintain the national unity in the face of the catalonian challenge. david: what is the sentiment among the spanish people on the question of national unity? catalunya was trying to secede from the country, so is there a strong up swelling of a motion saying we need to be one nation, or other saying they need to have independent status? wantedthe prime minister to take a softer approach to butge in dialogue fo, for the rest of the country, i have never seen spain so divided. it is very emotional for people. some are arguing that we have to make sure that we are tough on them to show them a lesson. at the same time, there is a
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court case going on in spain now and the democratically elected politicians can be sent to prison for 30 years. and this is what the spaniards will be voting on, not the euro or the economy, but unity. david: i guess we 10 more on april 28. thank you. and now we will go to munich. matt miller is over there. great to have you. i heard you reporting earlier today that the largest contingent ever from the u.s. is there, what is the agenda? matt: we are expecting the largest contingent from congress and the administration at the security conference, since these started in 1969. the main push from the u.s. is to get germany to spend more money, and get the other nato members in europe to spend more money toward the fence. i -- toward defense. i spent time with the german
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minister of defense talking about that and she said she wants to get to that target of 2% of their gdp. they are moving toward it and have made decent ground since wales. we also spoke about huawei, a huge issue here. the germans are concerned about using chinese technology in their communications network, but they feel like they have to on the corporate side. she said the military does not use chinese equipment in their network, for the very reason they are concerned about spying. so it will be interesting to see if they share those concerns with companies here that run the cellular networks. david: we should not be surprised germany is at the center of this, but there is also an issue with a natural gas pipeline. is that on the agenda as well? matt: absolutely. the concerns have abated a bit on the u.s. side. i spoke earlier in the week with
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the deputy secretary of state about that. and he is less concerned now there is a new agreement from the european union. they will not be allowed to have the owner of the gas, the russians come also operate the -- the russians come also operate the pipeline. if they can separate ownership for the transmission, that could be less of an issue for the u.s., but still germany fails itself -- feels itself conflicted. they are concerned about what has happened in crimea and more recently in ukraine, but on the other hand they needed this gas. and they need to buy it from the russians. they see no other choice because of their energy needs. and a third issue, do not forget, iran. the iranian foreign minister is here and the germans are trying to put a package together to allow people to work around u.s. sanctions and do business with iran. that will certainly be an issue that mike pence will talk about
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when he arrives tonight. david: that is matt miller reporting from munich. now, we are going back to give us a really. we talked about -- kevin cirilli. talked about the president declaring a national emergency. this is what he had to say. pres. trump: i will be declaring a national emergency. and it has been signed many times before by other presidents, from 1977 or so, when the president was given this power. there was not a problem. he signs it and nobody cares bid david: the president -- cares. david: the present went out of his way to say this is nothing new. is he feeling defensive because of what you may face on the hill and in the courts? kevin: exactly, the worst-case scenario would be a joint resolution coming from the house, and then forcing a vote in the senate to truly set up
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where precisely the republicans stand on the issue of whether or not they agree with the president's assertion of declaring a national emergency. already, we heard from senator marco rubio, a republican, hillcrest back against that. i have spoken with other staffers, two republican members, who really are frustrated the president is forcing the issue of immigration through the lens of constitutionality. should it get to the president, he would veto that resolution and we would have a situation thee the congress -- where congress would have to override the veto. that is maybe the worst political scenario for president trump. and then there is also a legal fight. david: indeed, thank you. kevin reporting from the white house. now agent of the markets. emma: we are looking at u.s. equities rising across the board. and you can see the dow jones up
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1.3%, the s&p 500 up almost 8/10 of a percent. and we have some positive news on the u.s.-china trade talks, also around consumer sentiment. the declines yesterday, the retail sales, they took the market down, but today we have consumer sentiment rebounding from a two-year low. and that is taking the market up again today. and a closer look at the s&p 500. as i said, rising about 8/10 of 1% and every sector in the gray, being led by energy and financials. this is a chart of the 50 day moving average. s&p 500 is the blue line. you can see it above the yellow line, that is the 50 day moving average. and it is more than 5% above the 50 day moving average. and that is the most it has been higher in more than one year. and now a look at the movers.
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we have companies moving today on the filings that have come out, including j.p. morgan and essential energy all rising, this after warren buffett took stakes in those. jpmorgan is of the most in six weeks, highest since december. and this is a canadian oil producer, shares their highest since november. producers havel been going through a turbulent patch, so this is seen as a vote of confidence. and warren buffett sold out of 2016,estment he had in remember? and we also have earnings. let's switch of the board. nvidia rising 2.6%, forecasting better than expected sales this year. investors cheering a nice rebound in demand. and this is rising a percent.
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canopy growth rising 3.2%. that is beating estimates and analystss ay they are well-positioned -- say they are well-positioned in the huge cannabis market. david: coming up, trade negotiators on their way back to washington with the president of china telling them to keep up the good work. will tell you what that meanswe with the head of public policy research at barclays. that is coming up next. from new york, this is bloomberg. ♪
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david: this is "balance of power" on "bloomberg television." i'm david westin. first word news now. mark: president trump said he is declaring a national emergency on the u.s. southern border in
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order to him walk money to build a border wall. this will allow him to bypass congress, to spend a total of $8 billion on the wall. the president said he knows that there will be legal challenges filed. pres. trump: i expect to be sued. i shouldn't be, very rarely do you get sued when you declare a national emergency. and what are we using it for? we will get rid of drugs, and gangs, and people. it is an invasion. mark: nancy pelosi and chuck schumer called the emergency declaration, "an unlawful declaration over a crisis that is not exist." theresa may has two weeks to salvage a brexit deal. a vote yesterday stripped her of a mandate to demand changes to the irish border backstop. we have learned that the brexit secretary will meet with the eu's chief negotiator in
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brussels on monday for further talks. north korean leader kim jong-un is ready to accept the dismantling of a high profile nuclear plant, according to a south korean presidential advisor. the announcement suggests a point of compromise in upcoming talks between a president trump and kim jong-un. a summit will be february 27. the indian prime minister has vowed revenge for the deadliest terror attack under his administration. he says his security forces can decide how to respond to an assault in kashmir that killed 37 military personnel. he is under pressure to approve a military response against pakistan after a group there claimed responsibility. 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: thank you.
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negotiationsade are coming back to washington and the president said they are making progress. as he put it, "whatever that means." pres. trump: we have had a negotiation going on for two days. it is going extremely well, who knows what that means, because it only matters if we get it done. we are a lot closer to having a real trade deal. david: we are welcoming now shawn golhar, head of public policy research at barclays. good to have you. is he right, are we closer to a deal? shawn: we put out a note on this yesterday. i think what we will see is a short-term deal, how do we lower the deficit, maybe lower some taxes, but maybe the thornier issues on ip theft, i think that will remain elusive. david: take the first one.
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they get a short deal deal -- short-term deal on trade, how much of the deficit could that take care of? shawn: i know there has been talk about a buying spree from beijing that could eliminate it over six years. our team is skeptical of that. it would cause a lot of other problems. but i think you'll see increased exports from key industries in the u.s. and i think that the beijing leadership knows they can do these things to win favor in washington. david: what about the intellectual property transfer, that is harder, but at the same time it is critical to a lot of industries. shawn: absolutely, this is an enormous issue for the military and industries. an executive order was put out and then an influential report was put out talking about leadership and i.a. and continuing american dominance. it is about enforcement, how do you enforce it and what do you do about ip theft?
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how do you get american businesses on board? will it extend to partner countries, like canada and mexico, and will we work together with europe confronting china? i do not see this be resolved in the coming months. david: we spoke with somebody you know from the council of foreign relations yesterday, she emphasized the difficulty for robert lighthizer to get enforcement strained out. this is what she said. >> the issue is of enforcement and verification. china passes lots of laws and a sign a lot of agreements, but then we find the follow-through in many instances is not terribly good. that is something else of that will prove very difficult to negotiate. david: some people suggest that the difficulty with enforcement means the president might just leave the tariffs in place, put it at 10%, keep it there as a warning to the chinese.
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is that possible? shawn: that is a fair path. but given my from the chinese perspective, they have had a long-term planning, the 2049 realize the chinese dream. and we talk about made in china 2025, ambitions for 2030 with a.i., so they need to deliver on growth. we have showed this graph where we have the middle income group. they need to keep on a constant rate of growth where they are along with taiwan and south korea. they do not want to fall into the trap of other countries, where they cannot deliver growth for their citizens. david: at this in time we have soybean farmers that are hurting and we have tried to pay the money to make it up for them. if we keep the tariffs in place, won't there be a redesign of where the chinese get their soybeans from, for example, brazil? shawn: that long-term thinking is worrying people in washington. that you could see movement in
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some of these global goods. david: talk about structural change, which is something we also talked about, especially with governance, corporate governance over there. any hope for that? shawn: you could see changes in the short-term, in this deal expected in the next couple months, but i do not think you will see large changes. if you go back to like the let intohen china was the wto, the hope was it would bring china into the global economy, the idea about consensus was a way to bring china into the fold. but we need to reevaluate that. the current administration is doing that, but the concern is how do you break that code without all of these joint ventures. david: we have china's ppi numbers, they were soft, i think it is fair to say that.
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how much pressure does this put on president xi as a practical thing to come to terms with? is in the administration a strong position of putting pressure on chinese leadership to deliver this. and from the beijing side, they understand this and they want to cut a deal, that is why we think you will see a short-term deal in place. david: give us a timeline. we understand that the negotiators are coming back to talk next week. we have a deadline of march 1, that could be extended. but what should we realistically expect? shawn: march 1 is a soft deadline. we think that could go on for a couple months. both sides want to get a deal, they want to have a solution to this, so i think it could go on for may be 60 or 90 days in order to cut a deal. and i saw the news about president xi and other negotiators coming to the u.s. to finalize this. david: i do not know if you had a chance to see what the president said this morning, but
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one thing he said was, the democrats will never like any deal i get, so i will do something that has never been done, i will invite mitch mcconnell and nancy pelosi to come in and negotiate. has this ever been done before? shawn: the white house and congress have negotiated on trade for decades, so that is nothing new. i think this is election politics with 2020 around the corner. but more important leave for investors, it is, let's see some concrete solutions on trade, not just on the deficit and exports, but let's find a solution on ip and technology. david: which will take some time. shawn: absolutely. david: thank you. still ahead, u.s.-china trade negotiations are continuing, but some companies are feeling the effects right now. our stock of the hour is deere
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and it is in the crosshairs. that is next on bloomberg. ♪
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david: you are watching "balance of power." i'm david westin. deere is the stock of the hour, shares falling more than 2% and the company is in the crosshairs of a global trade war. it was not very pretty. this broke just before we made air this morning. emma: they met expectations on sales, but a big miss on the bottom line. and the third-quarter earnings fell short of estimates by $.20. and they are obviously hit on two fronts, higher input costs with steel. and customers are not buying, pausing there buying a mid uncertainty. david: about the margin, we know that there are tariff problems, trade war problems affecting deere, but to what effect are
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their margins squeezed? emma: it is interesting, the cfo talked about this. i have a chart that shows the margins coming down. and they have reduced their margin forecast for the year, saying it will be 12%, and it is down to the farmers not spending. they are still spending on small products that having euro margin, but it is the -- narrow margin, but it is really the bigger products, like the big tractors, they are not spending on those and those have higher margins. so that is putting the squeeze on them, according to the cfo. david: ok, so was the street disappointed or surprised, because we had cat numbers earlier that were not good? emma: that is interesting. take a look at the bloomberg again, i have another good chart which shows the caterpillar share price, the white line.
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and kailey: is the blue line -- and deere is the blue line. the expectation was deere was going to do better, so the extent of this miss has a surprise to wall street. david: fascinating. up next, we will talk walls, trade and what it takes to get amazon to move to your city with our political roundtable. that is coming up next. live from new york, this is bloomberg. ♪ i'm a veteran
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my name is antonio and i'm a technician at comcast. we're working to make things simple, easy and awesome. david: this is "balance of power" on "bloomberg television." now first word news. mark: legal experts say it may not be easy for the president to get funds for the border wall,
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despite the declaration of a national emergency. opponents are lining up to block the plan. landowners and local governments adjacent to the planned wall could also sue over the seizure of their land. and the attorney general's of new mexico and california have promised to sue if the president uses emergency powers for the wall. trump has his first republican challenger in the 2020 primaries, william weld announced today that he has created a presidential exploratory committee. he said that president trump's priorities are skewed towards promoting himself and causing " -- and is "too unstable for the job." and the irish prime minister told the german chancellor his government will not accept a no deal brexit border. bloomberg has learned angela merkel requested a phone call on the issue last month, so she could better understand his stance. she was concerned about
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undercutting negotiating positions on the backstop, which is designed to keep the border in visible. nicolaszuelan president maduro told the associated press his government has held talks with the u.s. envoy. he also predicted he would survive the global campaign to force his resignation. he hopes to meet president trump soon to resolve the crisis, triggered by america's recognition of juan guaido as the rightful leader in venezuela. 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, mark. week full of political drama coming to an end, with the president declaring a national emergency to free up funds for the wall at the border. we are welcoming our political roundtable, including a senior advisor in new york, and the
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reverend joe watkins in philadelphia -- no, not in philadelphia. joe, let's go to you. talk about what the president had to say today. he said i am signing this declaration of emergency, and said it has been done a lot of times. because hedefensive, will get a lot of blowback. joe: he knows he will get blowback, there will be different groups who may sue him. but ultimately i think he will end up winning. if these cases go to the supreme court, he has a better than 50-50 chance of winning and getting what he wants. politically, his base feels like he has held firm on his kind of primary campaign platform issue, which is building the wall. so from the standpoint of his base, this speaks to them and they are pleased to hear him
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say this today. politically? he won he has gotten his way, it appears. >> i disagree with reverend joe. let's be clear, he was doing this for his base. and the reverend is right about that, but look at what the base said since he declare this emergency. lter saying-- ann cou there is never going to be a wall. they understand that this will be tied up in the courts. there will be a number of legal challenges. there will not be a wall into the president will look much weaker than he did already. and he was looking pretty weak already paidit is a -- already. it is bad for the president. republicans are not happy. certainly, the democrats are not happy. not sure how he wins in this stance. david: looking at the legitimate
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issue of the border, kevin cirilli earlier in the program reported that there is a movement on capitol hill for a joint resolution condemning the president for invoking the national emergency. if that happens, doesn't that hurt the president? that the president is standing firm on his call to build a wall. and americans, traditionally, have a short memory when it comes to politics. they may be angry at the moment, but in the long term going into 2020, when the president talks about what he has done, he will say i fulfilled every campaign promisei made and we are still waiting on the wall, but i have held firm and i called for a national emergency to fund it. so he will say i am able to tick off all the things i said i would do and that will make it a real challenge for people to
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decide to not elect him again. david: another subject, something near and your to us in new york city, amazon decided they will not move their second headquarters here. it has brought a political issues, certainly with the state, but even nationally. we spoke with a newly minted republican senator from indiana, yesterday. this is what he said about what this says about new york and about business. >> only in a place like new york, maybe i could throw in california, wehere they turn away somebody like amazon wanted to come and do business. i do not see how they can justify doing something like that when they are trying to call themselves business friendly. i know they are try to change their image but this might set them back. ortez we had miss declaring victory, saying it is wonderful that we took down jeff bezos, but will this hurt
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democrats. because of what senator braun said, not being progrowth. >> you talk to the governor and he is not happy with what happened, so it is not reflective of all democrats, but it does show a problem in the democratic party, which is there is a lot of diverse opinions. it also shows a change in mindset amongst the american public. we see this with clients all the time, as it pertains the big tech companies. when amazon rolled out the search, it was like "the bachelor," show us who wants of the rose. and all of a sudden they land in new york. when they did this it was 2017, but now come to 2019 with all this frustration with big tech, it is a change environment. that is an issue for the u.s. as a whole and we are all contending with it. david: that is big tech, but does it extend the big corporations?
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marco rubio tweeted yesterday about changing tax laws, because incentives have actually gone to big corporations, not the individuals. will both sides be rushing for the point of view, which says we are not for a big corporations, in 2020? joe: i think that republicans will still support the notion that business is good for americans. and clearly, i do not know of a single big city mayor in any state that would not be happy to have a corporate giant, or tech giant, come to build headquarters in their city. and they would be delighted to offer them incentives to come. so their loss will be somebody else's gain, because lots of people would love to have amazon billowed in their city or state. -- build in their city or state. david: democrats are all over this thing, so what went wrong?
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>> they were caught flat-footed on the amount of resistance. there are changes in the democratic party. but i think that amazon was also caught off guard. i think when they started down this road, they did not for see what was happening in terms of resistance in new york. and for them to go into this without hiring anybody from new york to speak on their behalf. you do not into politics in new york without understanding the environment, and the issues brought up by the opposition are real -- the gentrification, the cost of living here, there is not a big appetite for getting jeff bezos $3 billion in incentives. do not have to pick and choosew e, we can do a better job how we tax companies overall. david: and didn't somebody say all politics is local? this is definitely local politics. thank yo. u. coming up, my way. president trump takes his fight
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to the courts, setting up a constitutional showdown. we without border security and legal challenges with jeh johnson. that is coming up next. this is bloomberg. ♪
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david: this is "balance of power." i'm david westin. politics has played a large role in the debate of the funding of the government, it is easy to forget it is about border security, something democrats and republicans say they are
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committed to improving. jeh johnson was the man ultimately responsible for that security when he served under president barack obama, he is law ofartner in a fice. we had aged woman under you -- had man who was under you who said that there was a plan to do security at the border. what is the plan? mr. johnson: there is so much misinformation about border security, that you have to go back to the basics and the facts. illegal migration is a fraction of what it used to be. the high was fiscal year 2000, 1.6 million apprehensions on the southern border. and later, it has been frigid thousand or 400,000 -- has been about 300,000 or 400,000, thanks
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to investments we have made over the last 18 years, with more surveillance, more roads, more drones and aircraft, more border security agents, and more wall and fence in the places where it makes sense to have those across the terrain of the southern border. meanwhile, even though illegal migration is a fraction of what it was, the demographic has changed. no longer is a single adults, it is women and children from el salvador and honduras, presenting challenges to the system. when you have families coming across the border, 20,000 or 30,000 a month -- you ask any expert on border security, what do we need? they will tell you a mixture of things, more surveillance, more aircraft, more mobile surveillance, more aerial surveillance, and additional fortification of walls. david: if you look at the plan,
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the outlines of the plan, the outlines of the appropriators, it includes those components. it has physical barriers, humanitarian assistance, electronics, is that a sensible plan? mr. johnson: the big thing i am pleased i saw in the bill is an investment in eradicating the poverty and violence in those essential american countries. a lesson learned on my watch was that as long as you fail to address the underlying factors of migration, we will continue to see this problem, no matter how much we invest in border security in our country. so, we started down this road couple years ago with an investment in central america and i am pleased the congress recognizes the need to continue to do that. we have to address those factors. david: we heard from the
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president this morning and he said, ok, i am signing the bill, that is $1.375 billion for the border part. but i am also signing this order declaring a national emergency. a i understand it, he wanted $5.7 billion, he got $1.4 billion, so now he will take $8 billion. what is happening next? mr. johnson: it is significant that on a bipartisan basis, this is what comes out in their negotiations, $1.375 billion for border security. that includes the republican-controlled senate, as well as the democrat controlled house led by speaker nancy pelosi. the additional funding the president wants comes from a mixture of things, including the declaration of a national emergency, whereby he will take money away from various military construction projects and put it
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toward building a wall. that in my judgment is a very risky and perhaps even dangerous standard, because congress guards how the department of defense spends money for military construction. there is a separate subcommittee of the appropriations committee dedicated to the oversight of how we spend what we call milcon. to take money out of that account and put it toward something else by an executive action is going to be controversial. david: explain that, for those who do not understand the military budget, because you where the general counsel in the department of defense and you know the area better than i do. in the news conference, the president said that the military budget is so big that taking a few billion dollars will not make a difference. why do we need that money for military construction? mr. johnson: first of all, every nickel of the defense budget is
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allocated someplace. there is always a sponsor for every dollar of defense spending. so, if you take $2 billion away from some important military construction project, which goes directly to supporting our military, to supporting national defense, there will be questions raised. and what i used to tell lawyers at the department of defense, if we invoke a specific authority in a very aggressive way, congress will change the law and it will not be there next year. david: the president volunteered what he thought would happen. he said i will get sued. the governor of california saying he will sue him. this is what he had to say about the results of that. pres. trump: the order is signed. and i will sign the final papers as soon as i get into the oval office. and we will have a national
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emergency. and we will then be sued. and they will sue us, even though it shouldn't be there. and we will possibly get a bad ruling. and then another bad ruling. and it will end up in the supreme court, and hopefully we will get a fair shake and we will win in the supreme court, just like the ban. mr. johnson: not exactly optimistic. david: putting aside his distaste for the ninth circuit court, he says ultimately the supreme court will uphold this, is he right? mr. johnson: that is a good question. traditionally, the courts have given the executive branch, the president and secretary of homeland security, a model deference in making these sorts of executive calls about national security and what is necessary for national security, but what we have seen in this administration, when the courts perceive overreach they tend to
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get involved and they want to right write the ship -- the ship so there is proper separation of powers. we saw that with the travel ban and other things that have happened in this administration, so that is why the president is pessimistic about his chances in the courts. david: what about congress? people on capitol hill, not just a mcgrath, but also republicans -- just democrats, but also republicans who are upset about this, so look at congress do to curtail this? mr. johnson: they could rewrite, amend, or revoke the national declaration altogether. because the president is intruding on a prerogative. congress appropriates the money and the executive spends the money. the executive does not get to second-guess congress about how the money should be spent. david: ok, thank you so much.
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great to have you. that is the former secretary of homeland security, jeh johnson. the nba all-star technology summit is underway exploring the unique innovations in sports, media and technology. jason kelly and carol massar spoke with grant hill earlier. grant: in atlanta, where most of our customers are fans and millennials, how do you talk to that target audience? we recently went through an arena renovation and one thing we notice was that, you know, with technology the millennials are engaged, very much about digital currency. that is there a thing. whereas before maybe you would go on your mobile device and a check scores during the game, now you are so much into uploading your experience. that is what millennials -- i do that sometimes, too -- but that
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is how we live now. that is how technology has disrupted our industry in sports. inincreasing the bandwidth our arena to accommodate that so it can be a pleasurable experience, that is one of many examples i think we have tried to introduce in terms of providing and speaking to and creating a wonderful experience. at the end of the day, we are trying to get people off of their phones, out of their homes and into our building. what can we do to attract those types of customers? carol: and when you're at a game, you do not want people looking down, you want them to engage in the game, so you are looking for a balance. grant: it is balance. you could say this at any nba arena. i also broadcast games, so when the game is not going on and you have a timeout, there is music,
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kids on the court. it is constantly keeping you engaged, which is important. at you also recognize th want to share with your entire network. so you will be on instagram, snapchat, you will be talking with all your friends, whether it is 20 or 20,000. so we have to adapt and accommodate. jason: another group that has embraced technology are the nba players. you have these mega brands, maybe bigger than in any other sport. it feels like owners and players have enabled that. maybe with a little bit of a gimlet eye toward we do not know how this will go, so had you think about players, social media and these brands they are building using tech? grant: i think that as a league it starts with adam silver. the technology summit, this has
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been his baby for 20 years and it has grown and evolved. first of all, the leak itself and how it markets its players, you can see our faces. it is more about the individual, more so than the team. so lebron james or chris paul or james harden -- you feel like you know them. michael jordan come along before the technology boom, he was well known and recognized all over the world. so this only magnifies that and the league has embraced technology in order to grow the business. so to have the players understand that they can speak directly to an audience. it also encourages them and help them speak out on things, like social injustices, and we have seen that. carol: what is the balance? you have an amazing platform for
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your players and owners and viewers, so when you think about social activism and all the things going on, whether it is political or in the world at large, what is your responsibility as an owner? grant: you want to be informed as an owner. you want to be authentic. i work with our managing partner, and it there have been things that have happened in society during the course of our ownership and one thing that we discussed, it is ok. speak from the heart. i also want to make sure that you are informed and educated. the great thing about technology, unlike 25 years ago, now you have access to information. so when i played in detroit, if something happened in cleveland, i may not be aware of it. but now you can find out, you have the ability to really learn and form an opinion. so whether you are a player or owner, i want to be responsible.
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i have done that. i'm on social media and i have spoken out. you can go on my page and see how i feel about everything. but there is a balance, because we also understand we have customers who do not agree with that, so you want to because mis-hit of that and aware of that. but through it all -- so you want to be aware of that. it allhink that through you can have different sides of the aisle who may not
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everything, but they will come to a game and support and cheer and the totally invested in 19. and when you -- in that team. and when you win, that is magical. it can bring people together. jason: what has changed today since you were a player? grant: one of the big things, there is such an emphasis on rest and recovery. on -- that is not the biggest thing, but i had a lot of injuries throughout my career. david: that was grant hill. bloombergn tune in to businessweek every day on bloomberg radio. decatidi roaring -- roaring into north america. we speak with them on their first flagship dealership. from new york, this is bloomberg. ♪
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jonathan: "real yield." from new york city, bloomberg "real yield" starts right now. coming up, trade talks wrapping up in beijing. president xi hailing great progress. looking to stabilize further signs of slowing growth. chinese credit surgeries. struggling to get a read on the u.s. economy. small cracks begin to emerge. we begin with a big issue, struggling to get a clear read on the u.s. economy. >> i wouldn't take too much based on one data point. >> it

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