♪ mark: donald trump has shaken up and expanded his senior staff with three months until election day. , oneominee added to names dr viewers and wa almost every tv watcher across the fruited plain. that is kelly m conway, promoted to the position of campaign

manager. kelly m conway had to say about the news on fox news this morning. home stretch and we need to beef up the senior level roles so that we are dividing and conquering. i think what he does not like his people telling him what to do, what to say. listen, i imagine her saying i know the country does not like to make, and that is not our dilemma. trump, he is still his own best messenger. asple still see him authentic. mark: she is being joined by stephen bannon. he has worked as a goldman sachs banker, a hollywood investor, and navy officer, and until

recently the head of the conservative news website breitbart. he is leaving breitbart to become trump campaign ceo. paul manafort will stay on in his current position. campaign manager who paul manafort ousted was corey lewandowski. what does he think of the latest developments? >> he wants to win. this is a clear indication of that. if you look at what they built at right part, it is a win at all cost. persons whenxt and it comes to message development. she also brings a sense of cal mness. seniorngs that leadership on the plane. top ofo they join the the trump campaign.

why is he making these changes and what does it mean? he's continuing the same behavior and expecting a different outcome. to where hego back started, which is the outsider, which is the flamethrower. plays had to post-primary republican party, and he sees it is not working and is doubling down. also lent outsider, revolutionary, throw flames, us versus the establishment, that is trump's message. he is doubling down on trump being trump. mark: paul manafort is not for an establishment message. he is for a message of change, revolutionary change, and kelly m conway, though she supports the chain message -- change message, but she has reworked

that work for the rnc, nose leading members of congress. i don't know how much this marginalizes paul manafort. chairman.l the everyone i spoke with says he still has a big role in the campaign. they are woefully understaffed. who have two senior people have trump's trying to deal with decisions. if kelly and conway gets on the plane were trump, goes to events, and keeps them focus, i don't care what the downside is, that improves his chances of winning. >> both of them have the same tone as trump. we were showing a clip of trump showing a speech -- giving a speech yesterday, commenting on how uncomfortable he looks. we had kelly on the other day. she knows how to pivot and a second. she is tough, aggressive, and i

disagree with everything he stands for, but he is an animal. mark: i think what donald trump wanted was people around him who could say stuff to him. i think he has taken a risk once again bringing someone he knows, but not knows at the fingertip level. he trusts kelly and conway. sure she has been on any winning presidential campaigns, but she has worked in politics for a long time and understands the trump product. thehat scares me is that possible future commander and chief, he needs a certain person next to him on the plane. he is our president. i want to be certain the wheels will not go off. barack obama or george bush needed somebody by their side. ran anill clinton

anti-establishment campaign, and yet democrats were loyal to him because they said this guy can win and has the message of change we believe in. this change could help trump do that. i'm not saying it is a brand-new day that changes the whole race, but this gives them to people he has confidence in who are in sync with message. >> hours before the world found out about donald trump's non-pivot pivot, he gave a speech that took sharp aim at washington elite and embraced his outsider credentials that helped them get this far. >> i am not part of the corrupt system. in fact, the corrupt system is trying to stop me. the leadership clash in washington dc, of which hillary clinton has been a member for 30 years, has abandoned the people of this country. when we talk about the insider, who are we talking about? the comfortable

politicians looking out for their own interests. it is the lobbyists who know how to insert that perfect loophole into every single bill and get richer and richer and richer at your expense. the insiders also include the media executives, anchors, and journalists in washington, los angeles, and new york city who are part of the same failed wants nothing to change. to change.wanted the media donor political complex that has bled this country dry has to be replaced with a new government of, by, and for the people. >> let's assume kelly and is on the plane every day and can keep him on message. >> it is unfortunate that the personnel changes are getting attention on the same day as the speech.

people to over interpret my words and i somehow think donald trump is the front runner now or even in the battleground states, but that message is a message that democrats have been worried he would get onto. it is about change, but lumping in all the biggest average rent forces and saying, people, if you're happy with the way things are, vote for hillary clinton. if you don't like take media, big business, vote for me. >> i want to talk about the psychology and hypocrisy. what he is doing is repackaging the muslim ban and the wall to a more socially acceptable thing. you find a large enough group of people who are not happy, and instead of blaming a muslim or you blame politicians, media, hedge funds, city of new york, city of washington, city of los angeles, and beyoncé.

that is the psychology. the hypocrisy is today's front page of the new york times has a story about donald trump was taking who as he shareholder money and they were going downhill, he was taking money out, he got a $25 million tax deal with chris christie, a new yorker, a billionaire working with wall street, the politicians, he is at the epicenter. mark: you had republicans make that case, and you are right, the clinton people would turn on a dime on how they are going after trump. if he gets traction on i am the outsider, you will see them say you had lobbyists in washington. you are the poster board for government using your money to leverage to get benefits from government. toin, that message compared what he has been talking about -- >> i think it is too transparent. people, suburban, and

women, i think it's very -- at a minimum he consolidates republican base and may get some democrats with that message. we will see with breitbart if he consolidates republicans. mark: when we come back, we will learn more about the new executive at the donald trump campaign after these words from our sponsors. ♪

♪ as we said, at the center of the latest trump campaign shuffle is the former breitbart executive, steve bannon. brokering and entertainment deal several years

fromhe got the wrote these a little hurt show called seinfeld. we jumped at the chance to combine seinfeld and this presidential campaign, two pillars of our lives to this day. our team did a deep guide into archives to find clips that help us answer the question, who is steve bannon? >> if you want to get inside the mind of steve bannon, take a two tourrough breitbart.com -- through breitbart.com. it is heated, aggressive, paranoid. far right news source that often pedals conspiracy theories. >> i am saying that the spirit could not have come from behind. there had to have been a second spitter. >> he is just as ceo.

he has run several companies in the past. what does he do? >> he imports. >> just imports, not exports. >> he is an importer, exporter, ok? >> how did he get this job? >> we will find out what he brings to the party. >> here. here is your cake. see ya. >> see ya. mark: he is the cofounder of a nonprofit called the government accountability institute, which otherded amongst projects, clinton cash. he has been an unabashed populist and a critic of the republican leadership, including mitch mcconnell and paul ryan, who he accuses of selling out the american people. reign, breitbart has

trolled the house speaker regularly in the run up to his primary fight, including having a fence around his home while ryan has refused to endorse auto trump's proposal for a wall on the mexican border. and while he is new to electoral politics, he's no stranger to combat. don't believe there is a functional conservative party in this country. we don't think the republican party is that. we tend to look at this imperial haveof washington, they two groups or two parties that represent the insiders commercial party, and that is a collection of insider deals, insider transactions, and a budding aristocracy that has made this the wealthiest city in the country. news katie turne will join us in a bit.

he reassured them that he is not interested in turning this campaign into trump versus the establishment. a message that trump takes up, running against republicans and republic of, how will that play? .> he will shoot from both ends i do believe you take on too much, you get squashed. on thet he is taking media, wall street, beyoncé, now the republican party. , at some point, it's steam rolls over you. it's one thing to be the flamethrower and dropping turds on everything. if you trying to get a majority vote in this country, go back to two conventions, i said america would decide who we are, the america we are per trade as by the republicans or democrats.

i think this makes for good television, but i do not think it will work. mark: the only chance to trump combat isserious to go against all these forces. he has to do it with others telling the republican establishment that it is a bit of an act, but also true. there are areas where paul ryan would say the republican party is messed up. donald trump needs to build a big coalition for change, and that has to include democrats, independents, and angry republicans. that 15% of bernie sanders boaters that has not gone to hillary clinton -- mark: how about those that may not vote at all or be drawn to clinton on other issues. i think that messages saying both parties in washington have messed up. you don't hear hillary say the democratic party is messed up.

>> you go back to these reagan democrats, i don't see the message resonating with them. , more on trump campaign changes. watch us streaming on your phone, tablet, bloomberg.com, apple tv, and amazon fire streaming tv. -- ♪

♪ here to talk about the latest lineup for the trump campaign is gary bauer. tell us why. >> it is a home run. i know kelly and conway and

steve bannon very well. think these are two individuals that are bright and have shown they operate very well in american politics, and they both share the vision that donald trump has about mainstream america being left behind and building a new coalition of working-class people that have a bigger role in the republican party so i think these personnel announcements today, after a week that was pretty done good, three major speeches, raising a lot of issues that are important , some issues that no republican has been willing to do, but i think the campaign is headed in the right direction. trump'su can see that behind, right? i want to make sure we agree on that. >> if you look at the overall

behind,e is definitely but i disagree with the margins. mark: i get what she does and her theory. expand the need to number of voters he is currently appealing to. breitbartomeone from help him expand his appeal to more voters? >> i think the one thing that him areeds around people that agree with the basic vision. the republican party has been pictured as a country club party much more interested in wall street and main street. the narrativeof is wrong, but it is a narrative the left has been using for a long time, and it has worked, so when a guy comes along and a populist age like donald trump says to people who feel

the american dream is dead and says republicans unhappy about what the party has failed to do, particularly in the past decade, that is a helpful message and the right time for the message. he has everyone in the world telling him that he has to drop it, it's wrong, it doesn't work, but to have two bright people like kelly and conway and steve bannon say you are on the right track, let us help you express and get theytively kind of political traction you need to get. >> you mention to people. part of my concern for them is -- i'm looking at the virginia polls where he is down by 14 points, and one of the reason is that clinton has been there since april. game -- that is when it kicks in. put two more cheese on top of the indians out there,

you're not going to fix the problem. doclearly they have a lot to at the grassroots level. they are running against the clock and will have to step all those things up. you just mentioned the virginia poll. let me comment on it quickly. it is a 14 point lead, i thousand people polled, only 800 registered to vote. ,hen they polled likely voters the lead shrinks to seven or eight. when i asked them about four candidates on the ticket, which there will be in virginia, the lead goes to six or seven, a very manageable happen in the middle of august for the donald trump campaign to deal with. ,f you listen to the narrative you think we might as well call the election off. i think the election will be closer than people think, and he is giving signals in this last week and with these appointments that he is prepared to make this

very competitive. paul ryan and mitch mcconnell have stood in the way of donald trump -- changes donald trump once to see? to say. >> i think paul ryan and mitch mcconnell have had a different focus. i think republicans generally tend to talk about businesses instead of employees. they tend to talk about entrepreneurs, i am all for entrepreneurs, and so is donald trump, but most people will not work for themselves. they will work for somebody. the republican party far too often looks like a party that reminds them of their bosses instead of the people they work next to yesterday. i think ronald reagan got that. that's why a lot of blue-collar workers went with him. ishink what donald trump

doing is consistent with the reagan vision of what the republican party should be, and given the populist times we are living in and at times we are living in as far as the threat from radical islam, that he is the candidate that i think mitch mcconnell and paul ryan could learn a lot from, and he could teach him things they are more adept at. only people getting tax breaks in his economic plan, the rich, nothing for the middle to 15% for35% down businesses, so tell me how that sings with the idea of the little guy? disagree with your analysis of that tax plan. first of all, there are significant savings for people making up to $100,000. tax liability for people making $35,000 and below.

he did something i suspect my friends at the wall street journal hated, which was a major increase in the tax credit you can get for child care expenses. i remember when ronald reagan did something similar, the wall street journal wrote editorial after editorial against it, but donald trump understands there are different ways to invest in america. you can invest in stocks, or you can look that investments that parents make when they are raising their kids, and that's what he tried to do by putting that provision in, so it is a better middle-class approach than what hillary clinton is talking about. >> we appreciate it. thank you for coming. ♪

avtk"0 >> you might be one of them, actually, because i understand where you are coming from, pretty much.

knowdy who thinks they where you totally come from, they are making a big mistake. mark: that was donald trump in may. donald trump staffers come and go. the national correspondent for bloomberg businessweek called him the most dangerous political operative and the donald trump campaign has been touting that. katie, you have a piece of on the site with some of your colleagues. donald trump said he makes decisions with his head and his gut and instinct here it was this decision to bring into new people something that was rational and thoughtful, or more gut instinct? >> i want to say it's more gut decision for donald trump your you've you look at the polls, he has been down.

sources within the campaign telling us he has been deeply unhappy now for some time. now he's realizing that embracing his own instincts is the way to go. they feel very strongly it's the way that he ran during the primaries, beating out those 16 candidates was the right way to go, trusting his gut, going out there in shooting from the hip and making headlines every and to apologize. ,he past couple of months they've tried to traditional eyes and professionalize the campaign. chafe seen donald trump at that, trying to be conciliatory with the republican party. he had to read from notes the other day when he was forced to endorse paul ryan and john mccain and kelly ayotte. that did not seem like a comfortable moment for him and now bringing on kelly and conway, who's been a longtime friend and advisor and helped him in looking into a potential

run for governor in new york. and bannon, bringing those two on is a real indication that donald trump is going to be going back to just doing it his way and not listening to anyone who is telling him to change. josh, everyone should read your piece on bannon. pretty provocative and sometimes more than that, but he also has been very sophisticated as your piece made clear, in taking opposition research and getting it to the mainstream media. talk about bannon as a strategist who understands the political ecosystem. >> he's an interesting guy. he has a diagnosis of why conservatives fail to stop bill clinton. the diagnosis is they went too far, they sort of jumped over the cliff, pursuing all these rumors about been soft -- vince

foster's murder and what have you. his view basically is that taxable,linton is a but only if you focus on facts and things that matter. bannon was the head of the nonprofit that put out the clinton cashbook last year, detailing all the financial transactions between various foreign entities in the clinton foundation, which wound up on the -- as a front-page new york times story. what you saw was the strategy play out where bannon understands that if you can dig up real facts about clinton, it will drive down her honesty and trustworthiness numbers. you present those two investigative reporters and if there is news there, they will publish it in the mainstream media, and that is what happened last year. bantu linnieed riefenstahl -- compared bannon. breitbart said that.

bannon also being a filmmaker who did a documentary on sarah palin. >> were there any early seeds of this that you saw over the last few days where there was a surprise? those inside the campaign heard rumblings but the staff did not find out about this change until this morning, i am told. the rumblings we heard from behind the scenes were that things were not going well between donald trump and paul manafort, that there was real tension there, that trump was unhappy that metaphor was not as involved as he wanted him to be and maybe unhappy that he wasn't around trump tower on the weekends and instead at his home. there has been talk of whether men of four wall or be pushed out now for quite some time. it's important to know that metaphor has not been officially pushed out. roundtables at the

here at trump tower. i'm told by everybody that he's going to be staying on. a diluting of his influence come it's more indication that he will be talking to folks in washington and on that hill where he has been effective and letting kelly and conway travel with trauma. and bannon will influence what is going on here in new york. mark: what is his demeanor like? he's had so many different jobs that you would not necessarily associate together. what is he like? >> he's a true washington character. he is a wild man with a lunatic charisma. very aggressive, you can see why donald trump likes him. aggressive, antiestablishment. right bar was the outfit that really helped push out house speaker john boehner and has been as critical of his

successor paul ryan as they were of john boehner. he is absolutely anti-washington establishment and is going to foster those impulses in donald trump, which i think donald trump really wants, someone in his year telling him to do those sorts of things. i think that is why bannon was brought in. mark: what do you think of the phrase lunatic charisma? >> think that's an interesting phrase. >> to people stop you on the street and try to feed you? how has life changed? >> i don't even know how to answer that. [laughter] katie is tracking at all outside trump tower. washington, you should read his great piece if you want to understand bannon. next will talk about how the

clinton campaign has responded to all these rumors about her health. you can now listen to us on the radio at bloomberg 99.1 fm. we will be right back. ♪

>> welcome back. rejoined by patrick griffin, republican media strategist and consultant. answer coming in. obviously a big day, big shakeup , new message from donald trump, a repackaging of the muslim ban. let's break it down, what do you think about it?

quick something has to happen. we were in a place where this was a death spiral. donald trump is going where he is most comfortable. news, he's gone for the nuanced touch of steve bennett who comes from the breitbart world. you're going to love the final 80 days or so of this campaign. >> you got a bunch of animals coming in here. these guys are serious, that play dirty, they play hard. clinton camp the woke up this morning and liked that news. , would say it's alarming because he comes from a publication that is using languages anti-muslim,

anti-women's issues. i think this is something they will certainly be talking about and addressing. i agree with your earlier reporting, donald trump is probably sitting around wondering why whatever it took for him to get through the primary isn't working now. my sense is that this is a doubling down of everything he did in the primary and i think we will see more of it. i think is going to be more hateful and more bigoted, and that is not who we are in this country. asking about the clinton campaign decision last night after weeks of republican spreading rumors about her health, putting out a pretty long statement, hitting back at trump and trying to make the case that there's nothing wrong with her health. what is the logic of responding to something like that? doesn't it just give it more coverage and more currency? >> i think it is a little sexist. i would love to know the

comparison between donald trump terms ofry clinton in campaign monologue. she has worked incredibly hard across the country. i've never seen anybody work as hard as she does. to talk about someone's health the way the republicans are, not only is it dismissive of her as a candidate but i think it is sexism there as well. at times it seems your party is looking to win the race on benghazi, etc. is that useful or is it distracting from the winning message? i'm not sure the kentucky fried chicken diet says much about longevity. republicans should be talking about hillary clinton and defining the campaign for what she is. she is a terrible candidate. she is a retread from the past. democrats are not known for

that. democrats are about what is next. it seems that donald trump should be talking about the economy, hillary clinton's failures at the state department, he should be defining the race in terms of this. if you want someone to break furniture in washington, that's what i'm going to do. >> i would push back certainly on the retread issue. the democratic party has been progressive for at least a generation, which is what brought me into the party. we elected the first african-american president and we are about to elect the first woman president of the united states. that is not a retread in my mind. wenot sit on our haunches, still have to work really hard in this campaign but if you start to look at some of the polls and some of the separation you are seeing, i think they progressive messaging, paid family leave, those are things

important to america today. it is not a retread. to me this is still a new and fresh campaign. >> hillary clinton has been in washington longer than the monument. you going to have a certain amount of people in each party who won't come out and vote in this thing. there's about 4% of the electorate that could still have their mind changed. my point is only that hillary else,n, were she someone she would be even further ahead of donald trump. >> i would argue exactly that point, she has been able to grow her base of support. i think his support has been hemorrhaging. litmusne of my favorite test questions, do you trust donald trump controlling nuclear weapons, yes or no? [laughter]

friend?phone a did hillary clinton live up to her responsibilities as secretary of state under the freedom of information act? >> yes, she did. mark: explain how she did that. quite she turned over all the e-mails that were required. mark: if i thought of freedom of information request they would not have been able to respond fully. like she did hand over what she was required to hand over. mark: she created a system after the fact, sent e-mails and the fbi found many e-mails that she failed to turn over that would have been responsive -- would have been included as part of government records. if they wanted to put that information out there -- i think she has.

>> this litmus test is the election. mark: a few memos versus n ukes? >> exactly. that answer pushes people over there. >> we have to take a break. ♪

mark: it may seem odd to say this but there was a time when opinion shows did not saturate the airwaves. john mclaughlin, the host whose group change the way politics is

talked about on television. shows were often formal, very serious, often scripted or rehearsed. when the mclaughlin group came on air, suddenly political writers had a place for their sharp elbows and they could wrestle with the issues of the day, often zest fully. the mclaughlin group is a very coveted platform. a reliable place with fresh faces. ♪ one, a poor white los angeles police officer charged in the videotaped beating of rodney king found not guilty this week by jury of 12. let me say one other thing. for heaven sakes, why didn't those reporters in the helicopter go down and help that guy who was being killed, an innocent victim on the street?

that may be great reporting, but inhumane.ainly >> how you stop a helicopter in the middle of the street? >> there was not a lot of traffic there. they could have saved that life. >> the klansman is a good candidate. [laughter] >> when all the cameras came down there, he said he apologized for wearing that uniform. he talked about taxes, he talked about crime. they made the guy a martyr. >> he wanted to play it smart, yes or no. what do you say? the answer is, he was smart. clinton was questioned at the governor's mansion this weekend. he's trying to pick who should be his running mate and who should be dropped on the list right away. >> it is ironic.

that workwo guys professionally with black americans through big part of their career. through theoing roof because he played for the knicks. there's a great irony to that. buchanan, arms, and chris matthews there. they did rotate a few people. a big part of it was, people you saw pretty much every week on a rotating basis who are willing to talk the way you talk in a bar or at a dinner or newsroom. and that was a revelation. a we talked about how this is precursor to everything in political news today. you notice there was tremendous conflict, but it wasn't angry. you got a sense they liked each other. i don't know if tv has gotten it right today. we have a lot of yelling today. that was incredibly animated but

you got a sense they like each other. mark: he saw occasionally a little bit of a wink and a laugh. hungrats and republicans out more together and there was far less polarization and partisanship. but that level of speed and acknowledging the fourth wall, politicsledging dirty and the ironies of politics, that just did not exist on television before that. they so stood out, you try to explain this to young people. the broadcast shows where the sunday morning shows that were straightforward. that show stood out as something that everyone in washington watched and talked about. >> for those of us who watched the mclaughlin group in its entirety, we look forward to something new at the conclusion of each episode, called simply predictions.

>> next candidate to have real senate confirmation, larry eagleburger. >> within weeks, delaware will fororize public flogging drunk driving. >> governor quinn of arkansas had a week primary showing. >> the nation is beginning to sour on globalization and will decline toward neil isolationism, but narrowly miss it. >> it brought a little espn sportscenter quality. it could be fun. and it brought characters. of thes the introduction political news critic. mark: nobody turned off

mclaughlin group before it ended because you had to watch predictions. week they all worried if they had a great addiction. the other thing about that segment was, it was all competitive. and remember, there was no internet. i can go on my twitter feed right now and read 1000 predictions. >> any predictions for the next few weeks? i predict corey lewandowski will continue to say things that will be fascinating. we might get some surprises after labor day. program has gone down and will go down in tv in journalism history. i'm glad we got to revisit it a little bit more tonight. we will be right back. ♪

mark: some stuff we didn't get to today, hillary clinton met with tom mccartney privately today and donald trump had his first national security briefing as the republican nominee. head to bloomberg politics.com right now and see what investors had to say about donald trump in our new bloomberg politics poll. , theg up on bloomberg west so-called godfather of the internet. back,tomorrow, we will be sayonara. ♪

avtk"0

>> i'm mark crumpton. you're watching "bloomberg west." clinton campaigned in cleveland ohio today. one of the topics, gun control. reassure gun owners

that if she becomes president, the second amendment will not come under attack. >> i'm not at all advocating any program that would in any way take peoples guns away. here's what i'm advocating. i want to help use they alive so that nobody who shouldn't have a gun in the first place gets one in hertz you or other people. mark: she also dismissed the shakeup and donald trump's campaign, saying that he has shown us who he is. donald trump received his first national intelligence briefing. the associated press reports the briefing took place in a secure room in an fbi office here in new york city. trump said that over the past 10 years, u.s. intelligence services have made, in his words , such bad decisions, it has been catastrophic. the international boxing association in real has