today at a white house meeting with executives from american steal companies. canada, whatmp: they have done to our dairy farm workers, is a disgrace. it's a disgrace. i have spent time with some of the farmers in wisconsin. rules, regulations, different things have changed. and newers in wisconsin york state are being put out of business. our dairy farmers. mark: canadian prime minister justin trudeau gave his first response to president trump today with an exclusive interview with john micklethwait. he said canada is not the problem for u.s. dairy producers and will stick with the system of protectionist dairy quotas. president trump has just greeted italy's prime minister at the white house. the meeting inss italy next month. the g-7 nations have urged

russia to pressure the syrian government to and the six year civil war. they blame syrian president bashir al-assad's military for releasing chemical attack killed more than 80 people, including children. iranian state tv says the clerical body charged with vetting candidates has disqualify former hard-line -- ahent up within a job madinejad. he shocked the country by registering last week. they previously urged him not to run. calling for a foreign investigation into the deaths of eight people during venezuela's antigovernment protest from the past few weeks. two young adults and the national guard member died during wednesday's protest. the opposition has accused resident maduro of creating a dictatorship.

everyone needs to act within the rule of law and human rights, they say. global news 24 hours a day powered by more than 2600 journalists and in over 120 countries. i'm mark crumpton. this is bloomberg. ♪ carla: live from bloomberg world headquarters in new york. joe: we are 30 minutes from the close of trade here in the u.s.. u.s. stocks extending gains in the dollar all better racing losses. you the question is, what'd miss? julie: president trump meeting with the attire prime minister at the white house and we will bring you those are marked live when they happen. and we will bring you part of an extensive interview with bank of japan governor. he says the boj will be

continuing with an accommodative monetary policy. and we will hear from prime minister of canada justin trudeau who defended dairy subsidies even after we just heard president trump double americanhe vow to help farmers. where the look at major averages stand. abigail doolittle is standing by. averages inhave the rally mode. all on pace for their best day since march 1. we see the down the nasdaq up about 1%. all on pace for the first weekly gain in three weeks. and the dow transport up 1.7%. a really bullish day for stocks. one stock helping the dow transport along with the s&p 500 and the nasdaq. csi, the railroad company rallying in a big way. they beat first-quarter estimates.

and investors are very positive about the ceo hunter harrison's turnaround. addition, they announced a stock buyback and an increase of dividend. a top boost for the dow, s&p 500, and the nasdaq after morgan stanley said the path is clear for the super cycle we have been hearing so much about. pace for the middle of march. facebook up more than 1% on pace for yet another record close making new record highs. it will not be too surprising to see the haven assets selling off. the fear gauge down 5.6%. not a lot of fear out there. the 10 year yield up two basis points for a second day in a row. and gold is trying to flip higher, but had been lower most of the day. the yen is trading lower against the dollar.

let's hop to the bloomberg and take a look at the yen in a different time period. it is up 7% and on pace for the best year since 2010. us the smart early investors are going toward haven even though stocks have that in record highs. g #btv 7713. in 2007, the yen had a great year of 6% as the s&p 500 put an all-time record highs. then we had the big financial crisis and the stock market crash as the yen sibley traded higher. i form to pay attention to the fact that the yen on the year is higher. perhaps a haven on what could be ahead for stocks, joe and julie. joe: bank of japan governor that the global economy showing signs of strength but geopolitical risk in places like north korea, the middle east, and africa persist.

he sat down with an excuse of interview with francine lacqua this morning. she asked if he is worried the geopolitical risks will he to a stronger yen and attacked the boj's policy particularly in regard to inflation. a: this is a very difficult issue. .ertainly in the past whenever we had geopolitical risks rising. the policy a little more difficult. but i don't know. on rareove, depending factors. not just geopolitical risks, but some other kind of development. i can't say anything about exchange rates at the moment.

i don't know. francine: if the yen goes higher from here, does it hurt your inflation forecast? kuroda: as we know, the inflation forecast is based on exchange rates that don't move much. depreciates, then the inflation rate could rise. and if the yen appreciates, inflation rates could decline. but i can say our inflation forecast is based on continuous improvement in the labor market. continuous improvement --

[indiscernible] growth, the economy is in potential growth rates. prices will drive. so i agree that it could affect inflation rates in the short run, but basically we see that inflation rates will gradually go up. reflecting improved -- [indiscernible] francine: you have done more than any other central bank governor. it you have gone outside the toolbox with everything you can. are you confident you can achieve 2%? 100%, there's no doubt? even if the yen goes higher? forecast, in the sense that we would be here to present the target around fiscal

2018. based on the assumption that the exchange rate would not move. so that exchange rates appreciate and the timing could be delayed. depreciated, the timing could be earlier than otherwise thought. the trend is [indiscernible] francine: would it be fair to say at the moment, it is eased? kuroda: i think we would maintain the very accommodative monetary policy. by the way, under the current , fixing the interest

rate at -0.1%, and the interest control.nd 1%, this is it could become even more accommodative or exponentially -- [indiscernible] if the inflation rate or inflation expectations rise, ratesven nominal interest are fixed. the interest rate would go down, making monetary policy even more accommodative. what have someol kind of impact on the economy and the prices. that was part of francine

lacqua's exclusive interview with bake of japan -- bank of japan governor kuroda. she covers the effect for bloomberg news. it seems that the message is pretty clear. right? cannot be more grateful. thank you. perhaps the first central banker to be as clear as to what their policy is. you don't have central bank governors talking against each other. it's very clear the policy will stay accommodative and they will just stay this way until inflation reaches 2%. the dollar is the world's reserve currency, people buy it in a safe haven. and when things get really tense, they by the yen. how much of an issue or problem is that for kuroda and the economy overall? we never seem to run out of reasons to buy a safe haven.

>> it is not as big a problem as the governor said. it did not drastically change. the reality the central bankers need to look at and they are not as much in control of inflation as we think. it's a financial picture. the currency can move 10%. that will not change the picture that much. what is the proper level for the yen given the geopolitical -- >> we're close to the 12 month moving average. roughly 100 32 113.

unless something ridiculous happens in a geopolitical range. joe: g #btv 1547. the one your average right in the middle. >> the upper green line will show the nearest range, the lower red line. within the upper green and lower next few for the months barring catastrophe. joe: the boj is in no inclination to change. nonetheless, this is a big global story.

it will theoretically reversed. what are the signals we are getting from currency markets. the process about how traders view the eventual reversal? >> it is a really good question. when you look at the fed and unwinding part of the balance sheet, maybe you go, we are going to take it down to $2 trillion. $2 trillion of paper and supply hitting the market no matter how gradually it comes -- if you're a fixed trader, you know it's coming. you don't want to stand in the way of that. if the market can absorb that and say, ok. i don't think it will be as quiet as the reaction the markets are looking at right now. joe: we will definitely have you back on. reporter -- president trump and italy's prime minister to hold a news conference shortly. we will bring you those remarks live.

and here we have a shot from the white house. nobody is at the shot yet where the press conference will be held. and you are looking at pictures of paris where a number of police cars are after a shooting. wrench police have confirmed the death of a police officer in that shooting. french police are telling people to stay away in the wake of that shooting. thes about 9:45 p.m. in evening in paris. we are bringing more developments as they happen. the french police have responded to shots fired in central paris. near the champs elysee. this is bloomberg. ♪

joe: and we are looking there at a shot of the white house.

president trump will be speaking alongside italy's prime minister paolo gentilloni. we will be bringing those are as soon as weive have them. a look at some of the biggest business stories in the news right now. torontoarning -- the property market is in a bubble that will end up inflicting pain on banks that were financed -- that financed the growth. survive a 50% drop in housing prices. a tax on foreign buyers and expanded rent-controlled help curb foreign real estate prices. warren buffett's berkshire hathaway unloading all of his wells fargo shares to support the reelection of the bank's board. an assistant also says devotedre -- berkshire and thethe holdings

billionaire has unloaded personal shares. advisors iss urged investors to oppose the reelection of 12 of 15 directors. ofugging off the loss costco, the biggest credit card issuer lead the dow jones higher today after reporting strong first-quarter revenue. costco parted ways with amex last year, sparking the worst slump since the financial crisis. amex launched an aggressive marketing campaign and sweeter rewards to keep customers and push spending. and that is your bloomberg business flash. oute: more headlines coming from the situation in paris weather has been a shooting. the ap is reporting that the attacker in the shooting and one police officer had both been killed. previously, the police had it confirmed one officer had been killed. now the associated press says the attacker has also been killed in this shooting.

we're still trying to gather more details about whether anyone else was injured in this shooting. french police are telling to stay away from this area. you're looking at pictures of the champs. this comes ahead of the first round of the elections this weekend which we have been talking so much about. and one of the central issues within that election is terrorism. should say we don't know if this is a terrorist attack as of has been a very central part of that race. joe: three days out from that first round of the french election, a very close race and there is no question that security issues have played prominently in this election. and really french political life for ryle -- for a while. the attacker said to be dead in the shooting. one police officer shot and

killed as well. we do not know anything further. couple more details about exactly what happened even if we don't know the motive behind this. officer has been killed. another has been wounded. the associated press is reporting that as well. a paris police spokeswoman spoke to ap and said that the attacker targeted police guarding the area protecting the roosevelt subway station. it is one of the main tourist attractions within paris. the zulily even at this time of night, it was a relatively busy area when this attack took place. you can see the long lines. we will continue to monitor this story for any headlines. julie: we will be right back with anymore we have and awaiting the press conference with president trump and italian prime minister paolo genitiloni.

this is bloomberg. ♪

joe: we are moments away from a joint news conference between president trump and italian prime minister paolo gentiloni. bloomberg executive editor fred gordon in the washington bureau. betweenhat is the topic trump and the italian prime minister? kevin: trade and national security. we are expecting to hear from president trump and the italian prime minister. they will touch on a series of things we have heard. it most notably trade, the upcoming g-7 summit, and national security. what we have seen coming from the white house is a reassurance of nato allies in europe. the united states is continuing to stand behind the nato counterpart. it seems that it is

likely that they will be much closer on security than on trade, right? getting these headlines from paris that there has been a shooting and we don't know the motivation behind it. we do not know if it is terrorism. one would imagine that this would spark further conversation between the two. constantlyas been having to deal with these sort of lone wolf attacks. we don't know if that is what happened in paris but it's on .veryone's mind in europe everyone with a car, truck, gun, or knife can cause a lot of chaos. be one point of tension between trump and the italian prime minister. nato. trump has been on again off again. he's been firm on getting the nations to pay up. italy is far short of the 2% required to be a nato member. 2% of the federal budget is

supposed to go to nato. i'm sure the italian did not much like hearing that. at: this has nothing to do the upcoming press conference but people are curious what is going on with health care and if there will be another vote here in what are you hearing in terms of the timing of that on the obamacare replacement appeal? >> if you ask the white house, there will be a vote next week when congress is back. mostly trying to avert a government shutdown when funding runs out on friday. congress says there is no vote scheduled and isn't sure what the white house is talking about. much like the last time they try to get together on obama care, which failed miserably, we could be headed for another crack here. we're seeing the presidents of the respective nations. we will hear from them now. trump: prime minister gentiloni. welcome. a great honor.

thank you. you inonderful to have our wonderful people's house known as the white house. and so many great italian friends are with us today. renew,revenue, -- always, the ties of history that link together the american and the italian people's. its roots totraces the timeless contributions of italy to civilization and human progress. so true. stretching all the way back to ancient rome. through the ages, your country has been a beacon of artistic and scientific achievement. that continues today. from venice to florence, to verdi to have her body -- pavarotti.

a good friend of mine. nations nations -- two have become close partners and very vital allies. mr. prime minister, i am thrilled you are here today to discuss. we can make this great relationship even more productive in the years to come. when the economy is one of america's largest trading partners. a lot of people don't know that. we both seek a trading relationship that is balanced, reciprocal -- i love the word reciprocal. too manye don't have reciprocal trading partnerships. i will tell you that. but we will very soon. and fair. benefiting both of our countries. we will work together to achieve that outcome. italy is also a key partner in the fight against terrorism. italy is now the second largest contributor of troops to the

conflicts in iraq and .fghanistan i would also like to thank you, prime minister, on your leadership seeking stabilization in libya. and for your crucial efforts to deny isis a foothold in the mediterranean. it you've fought hard. we are grateful for your role in the anti-isis campaign. all nations must condemn this barbaric enemy and support the effort to achieve its total and complete distraction -- destruction. more than 30,000 american service members, families, and personnel stationed across your country. fore reaffirm our support historic institutions, we must also affirm the requirement that everyone must pay their full and fair share for the cost of defense.

together, we can address many pressing challenges. including two that greatly affect both of our countries. those of large-scale migration. joe: the we want to bring get market close now. bc stocks solidly in the green, around 176ing up points. of course, we are in the middle of a press conference with president trump and a time minister. we will take you right back to that. mr. trump: so they can help to rebuild their own nations. finally, i want to say how much i look forward to visiting sicily for the g7 as we seek to foster cooperation not only in matters of security but also science, commerce, health, and technology. our two countries have shared interest and values, and we can toh make great contributions

the other. mr. prime minister, i, again, want to thank you for being with us and being our true friend. a spectacular place. i know it well. i love the people of italy. million times living in the united states. people are originally from italy. have manyeat honor to of them as my friends. thank you for being here. thank you, mr. president. thank you for hosting us here. it is an honor to be here at the white house today. i will now switch to italian. .> as the president reminded us

a signiendship is also of the 18 million anti-americans who have such an important role in this country. this friendship is witnessed also by the fact that italy is for americanoice students who study abroad. we are very proud of this. this confirms the importance that united states gives to the cultural dimension of our country. as the president himself just said. this friendship is based on a common commitment against terrorism. is a commitment activeh we are both very

in iraq and afghanistan. , think that the stabilization after the military defeat that aesh.pect of des we know that the action against terrorism must take place in our individual countries. in europe, with the social and cultural commitment by cooperating with islamic communities. italy contributes to peace and stability in the mediterranean believe thehere i u.s. has a choice to react to the use of chemical weapons by aashar al-assad, and we are -- negotiated solution is more

necessary than ever. we discussed this in our meeting where we need to work against the division of the country in order to stabilize it. decisive task if we want to manage the migratory flows without giving up on our values and our humanitarian principles. contrast the horrible andfic of people clandestine refugees. italy is convinced of its strategic commitments in favor of trans-atlantic relationships. spoken about, commitments and nato -- in nato and the goals that right in 2014 andy commitment on military expenses, and the contribution that each country must make towards collective security. we are proud of our contributions. is a country in

dialogue. we are proud that we succeeded in keeping open the doors. evengue can be useful vis-a-vis russia, without obviously giving up our unity, principles, and without giving up our strength and values. trump that president we have confidence, even though this is a difficult moment, and we know it is difficult now. we have confidence in the future of the european union and certainly in the importance of the relationship between the united states and italy. these are the two pillars that the transatlantic relationship is based on. peace andrt of

freedom in the world. we are going through a difficult time, but i have confidence that the european union will continue to be a positive response to this. we are expecting and i look forward to the president's visit to the summit. i trust that this will be the opportunity to show him the they of our leaders of principles of the free economy of the planet. right now, we really do need this unity. once again, thank you mr. president. mr. trump: thank you very much. i appreciate it. we will take a few questions. john roberts, please. i hope you will forgive me for asking a three-part question. it has been a while. just in the last few minutes, i believe it was wild -- while you

were meeting with the prime minister, there was a shooting in downtown paris, being described as a potential terrorist attack. i wonder if you have anything on that. further than that, two of the difficult spots you are dealing with now, north korea and iran, do you believe that leader of north korea is mentally unstable? is he a man that can be reasoned with? on iran, do you have reason to suspect they are cheating on the jcpoa? prime minister, your controversial into nato is slightly less than 2%, what you commit to ensure beating 2% -- contravening 2% going for? -- contributing to percent

going forward? mr. trump: first of all, i love the question you asked the prime minister. i will be asking him the same ink. my condolences to the people of france. a terrible thing. it looks like another terrorist attack. what can you say. it never ends. we have to be strong and vigilant. i have been saying it for a long time. as far as north korea is concerned, we are in very good shape. we are building a military rapidly, a lot of things have happened over the last short period of time. i have been here for approximately 91 days great we are doing a lot of work, in a good position, we will see what happens. i cannot answer your question on stability. i hope the answer is a positive one, not a negative one. hopefully that will be something .hat gets taken care of i have great respect for the

president of china. as you know, we had a great summit in florida and palm beach and got to know each other. i can safe from my standpoint, i like him very much, respect him very much. i can say all the pundits out there have never seen china work like they are working right now. manycoalitions have said other things have happened. some unusual moves have been made over the last few hours. i really have confidence that the president will try very hard. we do not know whether or not they are able to do that, but i have absolute confidence that he will be trying very, very hard. we have beenasons talking about trade deals and all of the different things, but we are slowing up a bit. i said, you would make a much better deal on trade if you get rid of the menace or do

something about the menace of north korea. we will see what happens. as far as iran is concerned, i think they are doing a anmendous disservice to agreement that was signed. a terrible agreement. it should not have been signed or negotiated the way it had been negotiated. i'm all for agreements, but that was a bad one. as bad as i have ever seen negotiated. they're not living up to the spirit of the agreement. i can tell you that. we are analyzing a very, very carefully and will have something to say about it in the not so distant future. iran has not lived up to the spirit of the agreement. they have to do that. they have to do that. we will see what happens. thank you very much. thank you, mr. president. allow me to join

president trump's words on what happened in paris. ofese words of: did -- condolences and closeness to the french people. this is a very delicate time for them, just a few days before the elections. the commitment has been made. it was made during the nato summit. we are used to respecting our commitments. we know this will be a gradual process. it has already begun. that it really has certain limitations when it comes to its budget. despite these limitations, our commitment for comment dissent is clear. as i said earlier, i'm very proud, not only of the progress commitment financial , but also proud of the contribution that we give to the

security of the alliance. about iraq and afghanistan, but we can also talk about the baltic sea or the balkans. in all of these areas, you will see the presence of italian forces within the alliance. we are proud of that. >> first, for you, prime i want toentiloni, ask you, we saw a new type of policy on the international scene, very different than what we had in the past. one of the last important operations carried out at president trump was in syria with the bombing following the use of chemical weapons by the assad regime. i want to ask you, does it

really think or conceive insibly to take action syria? first of all, about the european union, you have said in the past that brexit was a great thing and you think that other countries will follow. you know that a tally -- italy inan important player integration. do you believe that a strong europe is important for the united states, also looking forward at the french election? the second question is you look forward to the g7. i want to know if you are also toking forward, if possible, meet others in the visit? , we immediately

assessed the operation that was ordered by president trump. we decided this is a motivated response to the use of chemical weapons. we added that it is up to everyone to consider negotiation as the route through which we hopefully can put an end to this germanic war and come to peace. involvednot directly in military operations in syria. aspects.n marginal it is not our plan to change this attitude. mr. trump: yes. a strong europe is very, very important to me, as president of the united states. opinion, andn my my very strong opinion,

important for the united states. we want to see it. we will help it to be strong. it is very much to everyone's advantage. i very much look forward to meeting the pope. fabian of "the hill." mr. president. some people on capitol hill believe you can get one of two things next week. a vote on health care or a vote on a government funding bill. my question is which one is more important for you to have. a vote on health care or a vote on a bill to keep the government open. mr. prime minister, and what to get your thoughts on a referendum in turkey that occurred last week here you spoke about democratic values in the european continent. are you concerned with the results of the turkish referendum. is that something that you discussed with president trump? mr. trump: i want to get both. are you shocked to hear that?

we are doing very well on health care, we will see what happens. this is a great bill, a great plan, and this will be great health care. this is evolving. there was never a give up. it was reported that there was a give up. there was no give up. remember, it took obamacare 17 months. i have really been negotiating this for two months, maybe even less than that because we had 30 days where we did a lot of other things. the first 30 days. this has really been two months. this is a continuation. the plan gets better and better and better. it has gotten really good. a lot of people are liking it a lot. of doing good chance get soon. i would like to say next week. i believe we will get it. whether it is next week or shortly thereafter. as far as keeping the government open, i think we want to keep the government open, don't you agree? i think we will get both. the turkish

referendum is a fact that we must take note of. any debates that can take place about how the vote took place. i believe that the european leadership has taken note of the vote. the consequences will depend a great deal on how the turkish government and president erdogan especially will take into account almost half of the population, expression of a different opinion. will there be an inclusive approach or confrontation in this part of turkey? this will be very important.

for us in the european union, the other thing that will be is the respect of certain fundamental principles. of the alliance in turkey and italy contributed withe turkish defense military assets. we believe, among other countries, there should be a cooperation. we trust that this cooperation will have, among its ofsequences, the solution the case concerning the blogger who has been detained in turkey. >> prime minister gentiloni, you have focused a lot on italian

leadership and american leadership in order to stabilize libya. what do expect exactly from washington? especially, i'm asking you, what is necessary in this relationship of cooperation with russia? donald trump, do you see a role in your and missed ration in helping stabilizing libya? do you agree that stabilizing libya means combating terrorism and isis? mr. trump: -- p.m. gentiloni: america has played a very key role. to remember, consolidation of an important basis of terrorism. were were operations that

from the u.s. against daesh which were successful. now, the commitment must be political. in the cooperation between the u.s., italy, and other key partners in the region, the goal is to broaden the tripolis for government, which is mechanized by the international community, but which must count on a broader consensus. i believe that one clear goal should be that we need the region, and we need countries like egypt and tunisia that are close to libya, we need a stable and unified libya. makeided country would

stability worse. role is very critical. p.m. gentiloni: i do not seek -- mr. trump: i do not see a role in libya. i think the united states has enough rules. we have roles everywhere. i do see a role in getting rid of isis. doing our job with respect to isis. it has not been done anywhere near the numbers we are producing right now. effective force we have. we have no choice. a horrible thing to say. we are effectively ridding the world of isis. i see that as a primary role. that is something that we will do, whether in iraq were libya or anywhere else. att role will come to an end a certain point. we will be able to go back home

and be built our country, which is what i want to do. thank you all very much. i appreciate it. thank you. we have just been listening to president trump along with a tiny prime minister paolo gentiloni during a press conference, taking questions from reporters. a lot of those questions focusing on security. not only of the two nations, but around the globe. this is especially poignant unconsidered but is unfolding in paris. a french policeman has been killed in a shooting in paris, on the famous avenue there that is a center of tourism in that city. you can still see there, a lot of police activity on the avenue. another policeman was wounded in that shooting. the interior ministry spokesman speaking on french television saying it is too early to say what is behind this. clearly police were a target. president trump saying meanwhile

in this press conference he believes it is likely terrorism. we do not know exactly what was behind this, as of yet. are hearing a little bit of political reaction to the shooting in france. is only threes days before the first round of the french election there. manuelal macron -- em ,acron, one of the leading for candidates, commenting on this saying the terrorist threat is likely to be injured for years to come. this has been a very big topic of the french election. i should also mention, the president of france and prime minister will be meeting as well about this ongoing situation. we will bring you to velvets as we get them as well. joe: now for more be action on the just concluded press conference, i want to bring in bloomberg's kevin cirilli and

craig gordon at the d.c. bureau. kevin, you were in the room there at the white house. what is your big take away from what they announced? kevin: we just heard from president trump that he is expected to somehow be able to work with the italians on dealing with isis. we also of course heard a preview of the conversation they will be walking into now. that is of course on trade agreements. president trump also offering his condolences regarding that shooting saying it appears to be terrorism. he also said he looks forward to, when he goes to this upcoming g-7 summit, he would potentially go visit the pope. again, a broader series of conversations with foreign governments to discuss security. was asked president about iran. i was struck by his response on that.

he said iran is not living up to the spirit of the deal. this just days after the state department said iran is in compliance with the deal. had we scare these two reactions? keyword that the president used was the spirit of the agreement. essentially every night is, congress requires the president to come to them and say if iran is holding up their part of the deal. president trump looked at what iran was doing and could not find any outward violation so it certified compliance, by don't think president trump was happy with that so he used the word, spirit of the agreement to say, legally day are within the lines of the agreement, but doing other things that are outside of the agreement. i feel like trump was saying, i could not get them on the agreement, per se, but i'm not happy how they are acting.

we will have to look hard at whether we put more sanctions on iran. joe: the president was also asked about certain aspects of the domestic policy agenda, including health care. was there anything new that changed the story on that front? kevin: yes, a source i spoke caucus the house freedom in the house of representatives saying they will be meeting monday night and they would anticipate to get some type of update with whether or not they trump- president describing this as a shock. he did not say whether or not he anticipates a breakthrough ahead of the 120 day marker. however, there is no question that this demonstration would like to see a huge campaign promise of the republicans

somehow come to fruition. they are also facing an april 28 deadline in which lawmakers will have to pass some sort of partial spending bill in order to avoid a partial government shutdown. next week, a very busy week. president trump hoping for the with health care as well as keeping the government open. julie: doesn't amount to more than hope? is there a realistic chance that both get done next week? >> i think you heard the president of the united states say not really. there is an obamacare compromise bill that he is hopeful about but you also heard him say, we will not shut the government down. in mys his way of saying, mind, let's get the government shutdown think out of the weight. that would give them more time to do and obamacare replacement bill. congress is not good at walking and chewing gum at the same

time, let's be honest. the idea that you can do two major pieces of legislation like that is unthinkable. i think the obamacare thing is definitely percolating as kevin just said, a meeting on monday. they need to do something by friday or else the government shuts down. joe: finally and want to ask you, the president was asked about the developing situation in paris. there is not much information there. what does it tell you about his style? he was inclined to say this looks like terrorism. kevin: of course. something thatis is ongoing. he offered his condolences and said there will be more happening in terms of that. that situation is still unfolding. joe: thank you very much. that was kevin cirilli in a very crowded east room in the white house and craig gordon from our

washington bureau. julie: we did just get another headline regarding the shooting in central paris that and usually we learned had left the attacker and one police officer dead. now we are getting a headline that a second police officer has been killed in the attack. inre was a policeman critical condition. this appears to be that police officer who has now died. toll now, two police officers and the attacker. i want to bring in our reporter from paris, who joins us on the phone now. what are we learning about the shooting and the circumstances surrounding it? >> [indiscernible]

this is lending towards a terrorism act. joe: could you repeat the last bit, it was a little hard to understand. what do we understand now or have information about theoretical or possible motivation? >> at the moment, what we can say is the french authorities just said their opening an antiterrorism investigation. that this is terror related. we also have the french prime minister who is with president hollande. julie: of course, be have been talking about the timing of this attack, just a few days before the first round of the french president election. one of the main topics of the election, one of the main debates, has been around security. how will this affect that? >> interestingly, just as it was

happening, the candidates were interviewed on a different channel on national television. they were doing 15 minute interviews. [indiscernible] candidates who want to keep immigrants, lock them out, all convicted foreigners to be sent home. showed emotional solidarity .ith the police officers she will play that for the next couple of days before the elections on sunday.

runner in this first round was the first to react on life -- live tv. each candidate had to show an object that they liked. as you mention, and we have been discussing, this comes with just a few days before the election. candidates are making their closing pages to the electorate. .ou mentioned marine le pen what is the mood, even prior to this incident? who has the momentum in the french election right now? >> the momentum is still with on macron,e, emmanuel gainey in the past two days in the opinion polls. at 22%.e pen is second

there he closely behind, you have two outsiders. the person who used to be the .avorite just months ago and another candidate gaining momentum over the past days. basically we have for candidates who could potentially pass the first run on sunday. julie: all right. caroline reporting for us on the phone with her husband a shooting at the shelters the say champes delysse.

macron saying one of the jobs of the french president is security. he is also talking about security at -- about syria, saying a u.s. strike on syria would be better with allies. he also said a u.s. syria strike should have been a multilateral move. again, these comments coming on french television ahead of the big first-round election in france this weekend. let's not turn back to the markets here in the united states where we saw u.s. markets close near the highs of the session. we started to get these headlines out of france shortly after the close. the u.s. stock market and global markets have been interestingly sort of not totally immune. certainly stoic in the face of this. joe: one of the big stories of the year has been the degree of

resilience to a lot of headline risk. it confounded a lot of traders and investors, why don't these various things that seem to be the people don't like, but very little negative reaction to them. what did really well today was measures of folly to the, which creeped up a little bit julie:. earnings are continuing in the u.s. as well. as expected, relatively strong earnings growth. i want to mention that we have been getting numbers from visa. visa, following on the heels of american express yesterday, bracing the forecast for the year. revenue for this fiscal year will be at the high-end of the range that it provided earlier. the company pointed to robust

growth and payment volume as well as profit transactions. that is what ceo al kelly is saying is behind the better than estimated results. joe: another stop doing well after hours. we have been following all of these developing stories. the white house earnings, market rally, the situation in paris. we will be back with more. this is bloomberg. ♪

julie: i am julie hyman. "what did you miss" markets responding to upcoming elections in france and the rest of the year -- rest of europe. let's take a deep dive into the bloomberg. we have been talking about these elections, of course. as of yet, there has not been

much market anticipation. it is starting to kick off a bit. if you look at volatility in europe and the u.s. for that matter, interestingly enough it has picked up the most for the u.k., but that may have to do with the theresa may vote. joe: the u.k. one came out of nowhere. more: that might account for the spike we see there. you see a little bit of a pickup in the stocks, the blue line. volatility in the s&p, the yellow line. on a relative basis, it has picked up but picked up from a very low level. be, byoes not seem to these measures, very much concern. has gapped that it higher in europe than in the u.s. with these particular measures, not really. joe: not where you would expect

it to be given the headline risk and i think a lot of people have lost a lot of money betting it would jump on some of this stuff and it doesn't. i want to talk about venezuela, the news out today that gm had ized. plant there se this is a chart that says it all. venezuelan monthly car sales going back 20 years. you can see the peak in 2007. since 2007, car sales in venezuela are down 99.4% from the peak. last month, just 293 car sales. not 293,000. just literally 293. a really big protests going on, of course. hyperinflation. the miseries and of the economy is well known. if you want to look at one chart that almost says it all, and i

know that is a cliche, but this one kind of does. car sales down over 99% from the peak does kind of say it all in terms of the degree by which the economy is being wiped out. of course, companies being wiped out. julie: we have been talking about the protests going on in the streets amidst the economic turmoil. "what did you miss" john nichols hosted a conversation with justin trudeau at the art gallery of toronto earlier. the state of trade relations between the u.s. and canada. mr. judo any incoming -- mr. trudeau: we did a really

good job of highlighting how many good middle-class jobs on both sides of the border, but particular in the united states depend on the free trade with canada. the argument that we have made about trade being good for everyone, about amplifying success on either side of the border. the auto plant being a good example of that. unlike a relationship just about anyone else in the world between two countries. a lot of that is based on mutual y beneficial trade policies. tax neverder happening, do you agree with that? : i will not make any

predictions about what will happen on the u.s. side. i know we have made a good case of adding regulation to a part crisscrossing six times, the amount of bureaucratic tape, the amount of impediments to jobs on either side would be really problematic. i don't think people who are promoting that border tax within the american congress have fully thought through some of the consequences. >> do think this is an area where trump has overreached? : i think the issue facing president trump is that he made a promise to do things that were good for the middle class and that he was going to help people that felt they were not part of the economic success of their country, and killing jobs because of sickening -- th

ickening borders between canada and the u.s. is something that mr. trump is not interested in. >> let's talk about tpp. you have not spoken out on that, which sits oddly with your gender the pro-free trade stands. is that something you think could be developed without america? mr. trudeau: we are in favor of trade deals, progressive trade deals. when i came to office, a deal was in big trouble. it was basically stalled. a whole bunch of significant parties in and across europe had .ecided it was a bad thing we had to go back to the drawing board, a little bit, and make it slightly more progressive. make tweaks to it that would reassure people there was still a capacity to protect workers, protect the environment, protect labor rights, health benefits, those kinds of things.

so, we are always looking for good trade deals for canada. as we move forward in what seems to be a post tpp world, we are very much interested in growing our relationships with asia, looking at -- >> but not through tpp itself? i know there have been conversations about whether that would be a tpp minus the u.s., we are happy to be engaged in these discussions because we know trade will benefit canadians and our partners. >> can i ask you a little bit about trump, what have you learned about him so far? mr. trudeau: i have learned that he listens. unlike manyle bit politicians. that might be enough to leave that sentence there.

as politicians, we are very much trained to say something and stick with it, whereas, he has shown that if he says one thing and then actually hears good counterarguments or reasons to shift his position, he will take a different position, if it is a better one, if the arguments when him over. there is a challenge in that for electors, but also an opportunity in that for people who engage with him to try to a beneficialve outcome. >> do you think in a strange way he has helped you to find yourself more clearly? mr. trudeau: i think i can speak -- all -- americans -- canadians -- in the room, a canadian is simply not an american is an easy shortcut.

canadians do not approve. >> do you look around the world, you have trump taking a somewhat .rotectionist stance on things you increasingly look like the last liberal, in some ways. you are liberal in the anglo-saxon way of being pro-free trade, but socially liberal. that, at the moment, is not a popular place to be. mr. trudeau: i think the canadians have understood that openness to the world, respecting each other's rights, looking at ways to work together rather than antagonize each other has made us successful. julie: that was bloomberg editor in chief john nichols with canadian prime minister justin trudeau. this is bloomberg. ♪

joe: "what'd you miss?" almost 20 years ago, an economist was awarded a nobel prize for "contributions to welfare economics." they are now a professor at harvard where he focuses on development economics and inequality, something that has become central to political debate here in the u.s., the u.k., europe, and around the world. bloomberg daybreak: europe is standing by with the professor now. david gura is standing by with the professor now. >> the way your economic work has been used in the french president shall campaign -- is your criticism there the way it is being used? i saw myself as being quoted union andnti-european

unity. i think european unity is extremely important now for europe and the world. i have been very critical of the european common currency, the euro. i think might opposition to the has been translated into being and site european -- anti-european union. that, i'm not. when you look at the election in france, is there commonality, connective tissue between the conversation about inequality and populism there and what we saw in the u.s. and has seen in the u.k. as well? is, in that there is the next rotation of people who feel they have not gotten a good deal at all.

of marine leiew pen, extensively, and her campaign. commonality.inly a these people don't want, i pen as theire le president. on the other hand, she has said she is the only hope they have. a subsidiary is connected with it. macron seems likely to win, possibly with le pen as number two. there is often mr. -- also mr. conservativey

candidate. if he comes up and the contest is between fillon and marine le lon almostfil certainly wins. that would be the other scenario, given the fact that he is not, in my opinion, a good candidate. i hope that macron makes it. >> i looked at the imf growth outlook this week. a huge risk is protectionism. do you think that we will not be seeing multilateral deals any longer? we have moved past the multilateral deals? >> i think we have all learned

that we do not make production on that kind of thing for a few years ahead. i hope very much and i expect it multilateralhat deals will return. there are several countries across the world, i think china that.hat -- wants i think we will return to that. i think these are dissenting voices. after all, trump got a minority of votes in this country. i think marine le pen would not get more than a relatively small minority. i think that is the kind of danger that we have right now. i call it a danger because, i think, to lose a multilateral trade agreement is a big loss. >> i want to ask you about demonetization. you have been very vocal about

it in india. i want to understand your opposition to it. to it on principle or the means on which it was implemented. i read a criticism and it was that it was not implemented fully or well. is your criticism on principle or execution? >> i think both. is moreken committed, he wrote a book on demonetization. be currencies declared to illegal -- ken wanted it to be done over a year. this is everything this way of going about it. fightingy the idea of corruption. only about 6% or 7% of the black money is in cash. in order to be successful, you are 6% or 7% successful, which is not a good thing.

in general they have not been very successful. it is very disruptive for the economy. it also has the effect of making people lose confidence in the government. what they are supposed to be -- are is, in the hands you ready to make sacrifice for the country? this requires sacrifice. everyone said, yes, we would like sacrifice. it turned out to be an economic disaster. >> thank you very much. nobel prize winner and professor at harvard university. this is bloomberg. ♪

julie: this is bloomberg. we have one update on the french shooting in paris.

alisa: i'm alisa parenti, and you are watching "bloomberg technology." paris police say at least one officer is dead and another wounded after an attack in the elyseely say -- champs

shopping district. the attacker was reportedly also killed. the attack comes three days before the first round of france's presidential election. president trump welcomed the italian prime minister to the white house today. they also held a joint news conference at the white house. the president also says he wants congress to pass legislation scaling back obamacare and a spending bill to keep the u.s. government running next week. president trump and congressional republicans are still at odds over obamacare. that is after last month's plan vote was scrapped. the trump administration expect a houseboat next week, but -- house vote next week, but revised language is still an issue. jason chaffetz said yesterday he is weighing his options and might depart congress early. he said he would not run for