♪ up on bloomberg best from of the stories that shaped the weekend business around the world. the federal reserve begins. >> this gradual process had been underway for more than two years. it should continue to serve the economy well. of tickingwledgment crucial steps forward. immediate megamerger. watching tim faces -- washington faces yet another shutdown. facebal scandal leaves

book with fewer friends. the u.s. gets even tougher on trade and tariffs. the rest of the world has plenty to say in response. we must absolutely avoid trade wars. wrecks i think it is a matter of keeping one's head on this. it's a question about the u.s. place in the world. mark: we include some of the conversation with the saudi prince. his attention captured the world's attention and now he is getting back to business. we are we are open. mark: it is all straight ahead on bloomberg best. ♪ mark: hello and welcome. this is bloomberg best. your weekly review of the most important business news,

analysis, and interviews from bloomberg television around the world. the week began with turmoil in the tech sector as they spoke found itself at the center of a gathering storm. ♪ facebook under fire. government officials in the u.s. and europe are demanding answers from the social media giant after reports of cambric use privateelped information from facebook foe piles of 50 million people without their consent. the news has consent facebook shares down more than 5%. >> it goes to the issue at facebook and other social media companies about data integrity. where's the data reside? who has access to it and who can repurpose that data? >> they are now starting to realize this thing is becoming a pattern. this is a regular problem facebook is having. i would argue it is because of

billiards of systems design that are endemic to the way facebook has been allowed to evolve. if it is true, then the stock probably should drop because we are going to see more such problems in the future. i willbook's latest lack touch of a regulatory avalanche. facebook is the epicenter of the selling. this is a big risk for them. it is hard to quantify at the moment. analysts are being cautious and not overreacting to the spirit you have got to wonder what stock investors are seeing that they don't. agreed on ayou have large part that will agree to the withdrawal of the united kingdom. the deal on what the u.k. calls implementation. was a decisive step. >> a deal was struck today.

it should give us confidence of a good deal for the united kingdom and the european union is closer than ever before. >> there are two main things here that have been agreed. the first is on this transition. from brexit day, which is a years time to the end of 2020, nothing will change in terms of trade agreements. companies, people can move freely. the second thing is that they have mostly a great for terms of the exit. for things like the bill, the settlement, citizens rights and the third issue is around the northern irish border. that is the one we still don't have a full answer. they have changed the wording to satisfy both caps. ♪ facebook is falling further. this amid reports that the ftc is investigating whether or not 2011ompany violated a

personal consent decree. if found guilty, the ftc has the power to find a spoke thousands of dollars a day per violation. >> in 2011 they said the ftc had to give you the opportunity to give express informed consent if they were going to share their information with third parties. the fcc came out with a statement not commenting or confirming whether they are investigating, but they said they do take data privacy issues very seriously. ♪ >> world financial leaders just wrapped up their annual summit in buenos aires. addressed policy makers last hour saying the u.s. is not afraid of a trade war. tell us more about what he said in the pushback from attendees? >> we know there was a lot of pushback because the attendees all told us that they did not sign on to the administrations trade agenda. the idea that turning inward would hurt the global economy.

in his closing press conference, the treasury secretary said the u.s. would go it alone because it is a trading nation that should be treated fairly. the administration is going to ensure that. that was the message they heard last year and they heard it again this year. if they have to act alone they will act alone. >> all eyes are on the new fed chair as jay powell makes his debut. will the central bank open the door to for bright hikes in 2018? point mood and the fed gets more hawkish. and onebetween 1.5 point 75%. the dot clock.is one. move away from for rate hikes. the median moves up to 2.9%. 20, two more.

-- in 2020, two more. >> today's decision is another step in the process of gradually scaling back monetary policy accommodation as the economic expansion continues. this gradual process has been underway for more than two years. it has served and should continue to serve the economy well. >> this is a much more hawkish fed. this is the fed that is acknowledging the improvement in the economy and thereby signaling a slightly faster pace is warranted. it is not a change of temperament, just a change of acknowledgment of underlying economic conditions. ♪ >> facebook ceo mark zuckerberg breaking his silence over the scandal. promising to audit the data. also being more transparent. >> zuckerberg came out and said

facebook will do more to examine how much information these third-party app developers have. they're going to do a broad audit to figure out if the largest platforms if there were other outliers or issues that they should be aware of. any app that violates them will be blocked. they're saying this is a good first step. others are saying it is too little too late. ♪ >> bank of england will stay on hold with markets looking for a hike in may. bank of england rates staying pat. there was some dissension. 7-2 to keep interest rates unchanged. a risk andsm being market reaction is what you would expect. big jump in sterling. >> may is bigger on to the table that was before. you can see it in the early reaction. it is the brexit comments that

are interesting. we have moved over the last few days to a more stable footing. as a small move, but talk of transition and it agreement being made just may be starts to reduce the brexit risk a little bit for the british economy. the bank signals this is one of the major factors it is watching it will make it easier to hike interest rates. that is what we're looking at and why we are seeing the reaction we have got. ♪ taking hist trump is boldest step get to level the economic playing field with china. ordering sweeping tariffs on chinese goods and moves that could escalate trade relations between the world's biggest economies. section 301oing a trait action. it could be $60 billion. >> there will be tariffs on chinese made goods. there are 1300 targets. they're giving industry time to comment on which once they think

should be applied. electronics, robotics, biofarma, railroads or real goods are in the mix. tumbling the most in six weeks. 724 point deficit. uncertainty.te what we have had from the administration so far, the ustr has issued a communique saying the tariffs will be 25%. on what, we don't know. there is an uncertainty about which industries will get shellacked with large tariffs. it is an issue of cell first, figure out the details later. >> what response are we expecting from the chinese? >> i expect there will be a response. it will be a measured response. these are very thoughtful and serious people. they know the president is being very thoughtful and very serious.

i don't think anybody is just going to have a knee-jerk reaction to any of this. ♪ >> china has hit back at president trump's term saying it will be pushed out. the ministry saying it is imposing response. how measured do think this response is? >> they haven't taken the gloves off yet have a? is an attempt by china to push back. obviously they're trying to strike a balance between showing the u.s. they carry a big stick, but also not wanting to inflame tensions. >> we don't want to have a trade war with anybody. if a trade war is forced on us, we will have to fight back. ♪ >> european leaders responding to the news that they secured a temporary exemption from steel and aluminum tariffs. have they responded? >> some responded with fairly diplomatic mind which.

exemption.he others, using more colorful language saying he doesn't want to negotiation with a gun to his head. if there was going to be a trade conversation between the u.s. and the eu, how is it not going to fall foul of rules? a government shutdown is potentially back on the agenda for washington. the federal government runs out of money tonight. president trump is threatening to beat of the spending bill passed by congress earlier this morning. citing immigration among other reasons. that the drama has been taken care of over the last couple of days. they thought they have the president support, but as this president does he surprised everyone with a tweet saying he is considering a veto of the spending bill which would shut down the government. i said to congress i will never sign another bill like this again. i'm calling on congress to give

me a line-item veto for all government spending bills. thesenate must end filibuster rule and get down to work. ♪ mark: still ahead as we review the week, an exclusive conversation with saudi prince who is back hunting for deals following the kingdoms corruption crackdown. of world leaders respond to the threat of a trade were and up next, or of the weeks top business headlines. profits rolling in for china's tencent, but costs are piling up. >> they are paying for a lot of content. videos or music to challenge alibaba. mark: this is bloomberg. ♪

♪ mark: this is bloomberg. global tour to the of the business stories. ♪ >> china has named its first new central bank governor in 15 years. .he deputy will take over this is a continuity choice. >> it is. he is been a deputy governor for a decade. guess worked for that. he's been there since 1997. an interesting time to take over because the pboc is in a stronger position as an institution. it has powers now to change and right regulations. in many ways, it has lost some of its clout because it will now have to report to the chief economic advisor who speaks

directly to the president. less autonomy than the central bank had previously. ♪ >> telecom titans, taking washington. ceos from at&t and time warner in a court defending their $109 billion deal. the doj has sued to block this merger. each side gave opening statements. tell us what we need to know. started, what they claim is that as a result of this merger, the 90 million allcribers to pay-tv will face an increase in cost. they say that time warner is among the most important content in at&t'sut there and hands it will be a weapon to harm the incumbent cable and distributors.ite at&t also put on their opening statement. they had 45 minutes. they basically see the world very differently than the doj.

they think the doj is looking at things the way it might have been in the 90's. they also take issue with the economic analysis done by the experts.

improper. if the correct inputs are used, what it actually shows is a descent decrease per month for subscribers. >> a driverless car. >> the greater phoenix area. the vehicle was in autonomous mode. as a reminder, over does employee safety drivers. there were drivers heading there behind the wheel. not controlling the car when it is in self driving mode. sometimes it does engage and probably what happened is that the car did not see the pedestrian or software did not detected in time. this is the first known fatality. this will likely for a regulatory backlash. >> it looks like this is what is prompting the investment from the access today.

the fact that they went up to 5.2% seems to get a clear message. you know what that is? >> i wouldn't say that. branson has been said that. we look forward to hearing his thoughts. any major stir organism that has a position besides keenly interested in what the bank is doing. we look forward to articulating our vision and seeing what shareholders have to say. ♪ >> it was another blowout from chinese tech company tencent. this time it came with a warning. that is not the whole story is it? >> it is not. is the same story as mobile gaming and pc gaming revenue and profit. the problem is on the revenue costs are starting to soar. they are paying for a lot of content. whether it is deals or music.

investing heavily in new areas to challenge alibaba. they want to challenge and they want revenue from advertising. they're going into traditional retail and cloud computing. they are building up their payment system. it will be an interesting forward progress for this company, which has been one of the best performers on the stock exchange. stocks have doubled over the past year. ♪ >> president donald trump has taken a hawkish turn. he's creating an inner circle the champions some of the polities he derided on the campaign trail. >> there has been a muted response from some of the republicans. they said john bolton would never make it through confirmation, but we are seeing democrats speak out and say he would be a danger to national policy because he is hawkish and

he has supported war in the past. everyone is waiting and wishing to see whether or not he will bring that hawk type background into the white house and bring the president toward a more aggressive foreign-policy going forward. >> he made some comments last night on fox news where he sort of tried to scale back his hawkish rhetoric and said i am there to serve the president and to help execute his asian. bloomberg wrote a story last said it will be donald trump who will decide these things. it is clear he does believe he is going to be the best foreign-policy person in the government. ♪

♪ mark: welcome back to bloomberg

best. this week, saudi arabia's prince spoke exclusively to bloomberg. in his first interview since being released from detention, after a crackdown on alleged corruption in the kingdom. the billionaire chairman is now in the hunt for new deals. he told erik schatzker about some of the plans his business is working on. ♪ betweeningdom now is one to $2 billion of debt. we do have some cash in holding, but we are now looking for the second piece. last year we did a few big deals. this year, although the market overvalued,t saying but prices are not where we want them to be. i think we are on the verge of getting the one to $2 billion

financing facilities. >> so you are thinking about a deal of what size? >> we are willing to do any deal between 1 billion and $2 billion. >> in what industry? >> we are a holding company for we are open. we are open. >> i have heard that you are working with goldman sachs. >> yes. i think mr. blankfein personally for his support in the previous deal. billion to buy a stake in the saudi french bank. right now we are working through them and others also to find and locate others for the kingdom's holding. nationally or internationally. >> would you consider ever restructuring kingdom holding to make it easier for people outside saudi arabia to understand? andng the domestic projects the domestic real estate and

turning it into a reach? you are not only an astute reporter but an astute businessman. that is what our ceo is doing. deepare read investing local part of saudi kingdom holding. real estate, the tower, and all of our holdings. it is ongoing. we have an ongoing discussion about that particular discussion. ♪ mark: you can find much more interview ate bloomberg.com. coming up on bloomberg best, conversations on trade and tariffs. insight from leader in policy and government. as well as ceo carlos bristow. >> we hope that doesn't take the energy out of what we see out

there today. mark: this is bloomberg. ♪ >> mom you called?

oh hi sweetie, i just want to show you something. xfinity mobile: find my phone. [ phone rings ] look at you. this tech stuff is easy. [ whirring sound ] you want a cookie? it's a drone! i know. find your phone easily with the xfinity voice remote. one more way comcast is working to fit into your life, not the other way around.

♪ certain pointat a the market will reach a balancing points and there's to the t assessments as timing of that. we believe the ultimate goal, he balancing of the market, we'll consider gradual withdrawal or exit from the deal. all the ly, is that parties to this agreement are committed to achieving the goal rebalancing, and after that further actions to be considered and taken. you see the market rebalancing? >> there are different assessments on that. e monitor the situation closely, and we believe that it may start to happen starting with the third or fourth quarter. again, it's hard to predict

now.hing right mark: that was russian energy novak r alexander confirming a commitment to stay an deal with o.p.e.c., in exclusive interview with ann-marie. turning to a dominant feed of week. trade wars. former financial leader shared their views. caught up with everal at the g20 summit in buenos aires. >> nobody wants to enter into a rade war or - everybody is looking at the way to bridge the find common terms - ommon communique especially on trade. we are in a delicate moment. need to prepare possible response to american measures,

nd the eu is preparing for that, obviously. but we think the best is to avoid. don't believe in trade wars. avoid trade utely wars. he climate hear is polite climate, wh we are trying to -- and we are trying to work in the common world. trying to, but are you finding common ground with the trump administration? that's not been easy, measures at the announced. that. ot agree with my commission, colleague, the trade, will be tomorrow and the day after in think ton, because we that this sunday be applied to he eu, we happy to find solutions to dialogue. the way to logue is

deal with d. steel andal uminion is global -- aluminion should be sold lobally, the best way is to find a way with global dialogue, and have response to this global of overcapacity, which s not between the us and the eu, obviously. >> the common understanding is war. wins a trade we need to avoid questions that behind the usual dial ebbing ticks. china, thes, europe, big players around will look at and avoid taking steps undermining the system. > we understand the deputy secretary has been trying to turn the conversation towards and its trading practices, without success, is that correct? we have been discussing as a, the us measures, and

europeans we speak with one voice. we want to find a solution issues with the us and china. michael: is there a solution in. always a solution, many solutions. the question is which one outcome, and best over which time. there are many colleagues, and i there is a lot to gain in liberalization of services, is not open to global competition. room elephant in the obviously are the u.s. steel and australia has s, an exemption. are you that it could deal to a trade war. > australia has an arrangement with the united states in this area. we have a free trade arrangement the united states. there's not tariffs on the

products coming into australia. surprisingly we have a reciprocal arrangement. no we welcome that with strings attached. that's a good outcome for australia. t's a products of how we do business. we are an open trade nation. that's how it's reflected. it's a matter of keeping one's head and make sure there's not spillover effects damaging. hat is concerning more for the wider community. we need to make sure that we keep cool heads in the room. us is preparing to launch ariffs against china for intellectual property theft. hina is your most important trading partner. where does that leave australia? >> maintaining dialogue with all ensuring that we are focused on australia nterests ultimately, there are clearly issues between the major players in making sure that ustralia doesn't become collateral damage in any of

these things, and we can good path for the australian economy and our population. >> china has done many things, rightfully are pressured on. capacity is with the market. and steel they need to hear this message rom the other steel producing nations. the us should be driving the to where it deals with better outcomes. craft : how should you tariffs, should you want to target china given the come plesty now? >> -- complexity now? violating the tariffs international agreements are legitimate. f there's dumping going on, having countervailing measures is a legitimate response. a global tariff on steel

is not a target approach. the idea that there was a nature a tariff eason to put on canadian steel doesn't make assistance. who is the biggest question. it's a question about the us place in the world. to worry aboutve the world saying hold on, the united states may not be doing business. we had an alliance system with asia, where we could rely on us being the protectors rule of law. i worry that policies that our world has a the bigger consequence than whether tit for iation in the tat companies that do business the world are concerned about protectionist trends. kelly sat with an interview with carlos. abn. executive of and asked how us tariffs on

to his lay through business. >> let me talk about the consumers, we think that if - if this or that approach is better the consumers, that's what i can see out there. we put tariffs on aluminum in the us. example. 10% an aluminum at the current prices. more ill represent 2-3% pricing for the consumer. when you think about it, is more than inflation. business,nk about our like many businesses up there has an inflation pressure on the cross structure. that leads to inflation in there. 1.5-2% inflation in the us on aluminum fees. it will be a burden for consumers. gain, we are trying to do what is best for the consumers, and

some things are not necessarily them.for >> how do you model that? you make strategic decisions now. see mode. a wait and as the world continues to grow. major market in the world are having good economic growth. we hope that the tariff or that sort doesn't take the energy out of what we today. there

♪ mark: you are watching "bloomberg best", let's return round up of the top news stories. in a busy week for global business. a landslide that surprised

presidenters russia's re-election. cruised: vladimir putin to a land slide victory to win. confrontation with the west. what is the first item on his agenda. certainly the spat with the west. he came out with a landslide last night. it was a referendum on his rule. got the vote there. and this situation with the est, actually his campaign manager said boosted the result. last night we heard from talking about this. saying it's nonsense to imagine ahead ssia would do this of a presidential election and the world cup. of his agenda. this heightened tensions with as he takes on six

years. the europeans with a flat tax. the eu commissioner on economics financial fairs said he's hoping to impose an interim tax end of the year, when is it law, and who will it hit? a point when it becomes law. it's a tax measure in order for to become law. there are companies. here are interim measures, including ireland, the great source of foreign investment will be hit if it becomes law. we are at the halfway stage, the o.e.c.d. is trying to come up with a global solution. coming up with measures to fill the gap at the moment. for a clearing a hurdle 66 billion takeover the e.u. the green light with the

deal. agricultural technologies and other areas to be assessed. from us bin approve regulators. this. bayer achieve what does it do or have to do. package to sell a billion. ut $7 the idea is to bolsters a player, when they merge. that answers regulators concerns competitional, that is less when one company essentially exists the market. concerning news for apple suppliers. is designing and producing their own screens, according to people familiar. they are seeking is the latest example of apple ringing the design of key components in house. > they are doing small-scale manufacturing for the first time

at a facility in california. term. tely, in the long it's likely that they will work ith another manufacturing partner like today. to produce these in hundreds of a year. of quantities >> apple's business model on the network of suppliers. iphones, ipods. all sorts of things like that. hi-hi ly on samsung and and other companies, but they distinguish products from the other products on the factor. when they came up with the 10. e they had to get the technology from samsung. micro-l.e.d.ing at if they get it to work and get up. production they'd be able to distinguish from other further products on the. noto op in theef

oval office 2000 trump, there a strong relation emphasised between the nations. is like of the meet is brent went en the over he came about with a $350 billion order. correct. this is a two part meeting. saudis are looking for more nvestment more than committed last year, it comes at a time where some lawmakers have about the saudis purchasing a missile defense system from russia. there's an urgency on behalf of the united states and saudis to forward with these deals, and the saudi conference meet with political us eaders, and business leaders, including folk in the tech industry. obviously there's a wide

pectrum of entertainment, infrastructure, mining, oil and gas. technology, and a lot of the tment banking, and sector. >> markets have been pricing and by the ke is gated libor. take a look at the libor, is this ance 2008ment technical phenomenon, and what oes it mean for the real economy. difference between ta three month libor. >> unlike 2008 where libor was canary in the coal mines, this is technical. treasury department is issuing treasury bills to fund the deficit and tax refund and fans iation from the tax with dollars treasury are leavi.

because of that the price of london. during the banking hours has gone up. >> the question is are we in a where we have to look at this as a higher level or the curve. coming down. how sustainable is the rise? we are e forward now - pricing for libor to come down by year end. it's a et thinks short-term phenomena. the risk is that it is not. can have a dramatic knock on periodif sustained for a of time. musk's ed approved elon 2.6 billion pay package. he car-maker voted in favor of a 10 figure award of stock options. f musk planned to turn tesla into one of the world's biggest companies is successful. up with more than 50 billion. of as a significant amount

wealth tied up with tesla, why this might k innocent vice them more. >> this is a question everyone other. ing each when the package was announced january. it's an expensive way to show be eholders that elon will around. he's not going anywhere. fully focused on tesla for the des a roadmap company going forward. utlining ambitious goals deutsche bank's reconstructing plans are under way. raised aroundnder $1.4 billion euro from the dws price management. price is 6.4 billion euros, are you satisfied with how the share going, price didn't fall out of bed. it was a think it's -

difficult pricing exercise as, you know, last week it's been volatile. but given the way the outcome of - position, i think it was i'm satisfied, very happy. it's in line with the issue price. day. good very happy with the outcome. outcome of, you know, one year of hard work from all teams. very happy with the way we are today. ♪ 36 million ffering shares at $21 apiece above the of eted range giving a cap $8.2 billion. >> i want to know from the the growth go es from here. i heard him address employees at nasdaq saying they are

ooking forward to the next 10 years. investors want to know where ill growth get revved up from here. and with the stock pricing, the volatility didn't play into demand. closely to see if trades above 2021. pete peterson, the cofounder of phones has died. he rainmaker with global connections was known with his fight over the control of lehman brothers. 91.he was >> he was a towering figure of wall treet and beyond street. a c.e.o. at 37. secretary for commerce for at the time they abandoned the gold standard. andoes into lehman brothers gets in a power struggle.

out onand schwartzman go their own, pulling $400,000, and a powerful stone, and enduring name on wall street today. mention pt fact that then e goes on from that and cree gents a voice for economic fiscal responsibility. he creates a foundation and is a ong-time chairman of council foreign relations. it's amazing when you think of his career.th

♪ data,'s talk about german investor confidence at its lowest level since 2016. concern arising that the world said biggest economy could be war. the trade the index of investor

expectations falling to 5.1 in march. 17.8 - quite a big drop there. there are about 30,000 functions on the bloomberg. our joy showing you favourite on bloomberg television. a function you'll find useful. quickgo, leaving you to the takes where you can get important context and timely insights. here is a quick take from this week. >> it's impossible to ignore merica's opioid epidemic any more. numbers are staggering. half a million americans are heroin. use it's more than tripped between 2010 and 2014. deaths from all opioids, including heroin are approaching the number of deaths. did we get here? here is the situation. grim connection between opioid pain-killer

addiction and heroin addiction. '90s, doctors prescribed oxycontin, perko debt and others for pain. numbers of open void prescriptions filled in 1992, million. million. t rose to 217 as the numbers skyrocketed. made it overnment harder to obtain. eroin from mexico was cheeper and more readily available. he result is four or five new heroin users missed the prescriptions. argument. s the president donald trump appointed him tossion that advised addiction. void >> it's a national emergency. time, spent a lot of

effort and money. on rump said he focused cutting off the supply of drugs recommended. on the health care bills that trump supported would have. laws, tate has enacted including targetting doctors and overprescribe pills. tate and federal governments make them more readily available. credited with 26,000 opioids in 1926 and 2015. dvocates worry that it could leave those who truly need suffering.h mark: that was one of the quick takes. you can find them at with all the latest business news and day. is 24 hours a that will be all for "bloomberg

thank you for watching. i'm mark barton, this is bloomberg. ♪ mom, dad, can we talk?

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i'm mark crumpton, you are watching "bloomberg technology". finding national security, donald trump reluctantly trained a 1.3 spending bill to avert a shutdown.t >> while we are very disappointed in the trillion, no one more than me, because the number is so large. it will start coming down. we had no choice but to fund our military. mark: the president is not happy it the measure because doesn't include protection for dreamer immigrants or provide wall. for the boarder