the white house has elements on the korean peninsula including efforts to achieve full denuclearization of north korea. governorof england willing to extend his tenure to ensure a smooth brexiteer he says he discussed the matter with the chancellor and an will be made in due course. this expires next june. the top official of the yuan agency says saudi arabia and india stepped up their donations in recent months. says the nations provided $230 million in next are funny. they announced plans january 2/their contribution from $360 million to 6 million this year. the agents stills is the situation remains critical. in libya, more than 50 people including civilians have died during a week of fighting

between arms groups. in the capital city. they u.n.'s voice and the the migrants and libyans already displaced from years of unrest. it killed 10 130 others have been wounded. global news 24 hours a day on air and on tick tock on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. ♪ caroline: live, i'm caroline hyde. scarlet: i am scarlet fu. joe: i am joe weisenthal. carolyn: stocks lower and investors left with a few safe havens. joe: the question is what you miss? scarlet: brett kavanaugh is in the hot seat.

we will take a look at how his confirmation could impact business regulations. index tracking emerging-market currencies headed for the lowest those this year south africa leading the losses. what opportunities with this selloff create? round two of silicon valley senate hearings kickoff tomorrow. testify on russian election interference, we have gotinterfa review. carolyn: emerging-market sold us new today with south africa entering a recession or joining a recurrence the two are concealed -- argentina. for more, let's bring in the managing editor and managing founder, gavin, over the phone. gavin, are we in a state of contagious this at the moment? every single emerging-market engulfed in this today. >> i mean, we most certainly are in us date of intention, as much

as those investors that are still toughening out in emerging markets and there are still plenty of them in their, hitting markets, but there are, you know, countries that have withstood contagion, the spread that we have seen for harsh tina and turkey. some of those countries, cases somevietnam, romania, smaller frontier kinds of markets where you have not seen quite so much of the selloff we have seen in emerging markets. you define contagion as people throwing the baby out with the bath water, countries that do not necessarily deserve to get hammered, who are you putting in that category? who dumping industry

of it will he because they're trying to reduce exposure even if the fundamentals do not just -- justified? >> we have seen markets across the board following. have more stable economic situations, lower death, higher reserves, places i mentioned like vietnam or evenia, you name two era in the extreme danger zones we have talked about like argentina and turkey, they are also some securities getting crushed. looking at it rationally, it shouldn't be the case. exotics for example had a report today that looks at turkish bond bond yields and turkey, and argentina, well over 10%. some turkish bonds, some of the turkish bank bonds, you can double the yield again.

on stu next year, the yields are over 30 sent, yields to maturity, even though her into exotics, this should be amply positioned. there are other poorer known back by spain and other pretty solid day that has also the sky high-yield. there are places to be found where even within turn in argentina, you can find some value. in terms of other countries, some of the better performing markets this year have in places like mongolia in the aftermarket world. .atar both of those countries have serious calls before this year and for their own various assist

economic and political concerns, i have been the ones that have stood up this year that her. scarlet: we have a chart that highlights how the peso has weakened and argentinian dollar-denominated on cell phone right alongside of it. tracking the peso. the white line tracking from argentina. talking little about what is going on because a couple weeks ago, it was set argentina had known issues but that it was resolving them the right way unlike turkey. with the help of the imf. even with imf help, things have gone awry here at what does argentina or the imf need to do in their roach to set things right again #>> we will hear few hours between imf and argentina plus discussions. the problem is the normal medicine the imf would dole out and, a willing and

minister of the imf program happily put out is risk killing the patient's. risk killing chances of bringingn next year, those of the left back and stuffing out economic growth. are the reasons they need to think a lot more creatively on the imf side because if there is any feeling that the conclusion of the talks will be anti-populist or antigrowth, denmark is that would normally take that as a positive signal will act very negatively. a than the risk that we have very negativeon the imf side bee is any feeling that results comn the next few months and into the next year as his election here given us his of argentina in terms of the imf's very long troubled patients in the

contagion risk from argentina, much more so than we have seen so far, and we look just in latin america, brazil with its in mexico,oming up, still very untested. argentina and the imf need to come up with is something more and all that will he than the early release of more than the early release of funds. that is sort of the minimum that the market expects right now. what the market would rally on is the sense of the imus is going to double down on harsh tina, really back it to the hills. >> what about the contagion we are in south africa is the moment question mark yes it falls into a surprising it seems to have complete windows now. now looking even tougher as he takes the helm for south africa.

>> yes. south africa has taken a surprising turn. there are many watchers being moved back to a more conservative current policy, but the land issue just won't go away and south africa. being that to the floor with his policies, and we're seeing a lot of discomfort over the way that south africa could lurch again back to the kinds of struggle we have seen in the last few months. very strong on fighting corruption but less strong on the kinds of rule of law, the kinds of transparency, the kinds of land rights that most investors into the country would like to see in terms of, you

know, it is very well recognize that there needs to be land reform but investors want to see it in a very legal and rule of law kind of way. variousve talked about idiosyncratic issues facing countries and the things they could do to address them. on the macro picture, look at change this story? something in the fed should directory, about the trade war, something to do with china, what could they do to revisit as a whole and bring them confidence back into the trade? >> the trade war is what kicked it all off. if you think back a few months ago, this first started the year , and at to that concerns over fed hikes when you have got the -- the beginning of

what we saw in argentina and turkey were really the first to fall, the first dominoes in this because they are the most phone -- the beginning of or to really bring this back to base, what we got to see is some slow or from the strengh of the economy, the strength of the markets that we have seen in america's below, to the rest of the world. we right now have concerns about china's economy and concerns europe and africa in the emerging markets. trade war's are not helping that. if we were to see, particularly the u.s. and china, come to some kind of an agreement, that would send a positive signal. but just to put this in context my quirks or ak, closely with the prs group in new york, which looks at risk barometers for transparency international and indicators

often by the imf in fact. what you are seeing is a dramatic increase in risk. argentina moving from moderate risk into almost high-risk category. you wouldn't have expected this a couple of years ago. >> gavin, thank you. we should note that gavin used to cover emerging markets when he was here at bloomberg. worked with caroline in london. caroline: he hired me. shery ahn: -- scarlet: coming up, tesla gets a downgrade. the details behind that call next. this is bloomberg. ♪

>> a look at some the biggest business stories in the news right now. i got -- nike may see some backlash today over their advertising campaign. shares are down as nike is beginning a new ad campaign musk mostly associated with the protests. protest police brutality against afghan americans, he took the neal dunn the national anthem. the iconic just do it tag. down, the head of north that is your bloomberg business flash. now, continuing to decelerate today.

>> we are about tesla again. the couple of analysts out today. one of them is goldman sachs. coverageachs and it when it is reportedly hired as an advisor for elon musk now it is reinstating coverage. that is one of the things putting pressure on the stock. it says tesla will have a tough time reaching its production ramp margins and it will have a tough time maintaining free cash flow generation. that is a frequent refrain we have heard from those who are bears on the stock. that it just cannot live up to some promises it has made. so that is one thing. secondly, adam, who suspends his coverage and then reinstated similar reasons, he is talking about the company's ridesharing taxi business, a competitor to --

he says it is owing with $17.7 billion which sounds like a lot but he would -- he says that would he $90 per tesla share, less than half of where he puts the value of the business. i guess it is not that significant of a business. tesla mobility coming is talking about potential for that business. >> pretty remarkable how things and yet not at all for tesla in the last couple of weeks. julie, thank you for the stock of the hour. is bloomberg. -- this is bloomberg. ♪

scarlet: let's move on because it is time for the deep dive, scores at highlight some of the trends in the marketplace. a lack ofed on volatility in u.s. stocks. what happened in august? a new record for the s&p 500 here it feels like not much beyond that. august tends to be a volatile month. you saw the s&p 500 never move or than .8% on any given day, the calmest august i that measure since 19 since the seven. the top panel shows the move, the record high we made in the i will put up, it shows the lack of big moves in the s&p 500. surprising given the turmoil and the trade war and president trump are has feeling the

russian investigation before the midterms. the vix finished the month slightly above where it started. >> interesting this could accentuate the emerging markets time. i'm looking at south africa, really engulfed in this particular in certain today. iran is the worst performing emerging currency. this chart showing you guys a technical recession. two times of quarter on order analyze gdp deceleration falling . we see that in 2009, happiness a negative is 2009. we got a new president, meant to be getting a more steady shift. it seems to be flung to the side . soft consumer spending. these are among the weak spots at the moment. will see whether indeed we can start to see the country also go on a downward stretch in

terms of an ongoing recession. .> a broom move after the data let's talk about inequality. a very important topic. specifically the in equal distribution of wealth between jeff asus and the others out there. togethernt chart put by our team. $67 billion this year on his amazon holdings here pretty good. the other 499 billionaires combined in the bloomberg top 500 have only made about it or in dollars. can see the white line is just asus and the two line is the others in the index. very serious and growing inequality problem among the world's top cleaners and you see here, definitely

something to continue to keep an eye on. >> blue line is crying relative poverty to the white line. the have and have not. >> we need some sort of policy in the world to close the gap between jeff bezos and the other billionaires. >> poor amazon. automakers report u.s. sales data and most companies missed analyst>> poor amazon. let's go to estimate. david, bloomberg's detroit bureau chief. , definitely up having it out today, david. david cone and we have to be careful not to get too excited. surprisingly good month, everyone decided they would be down 4%. the other side of that is there are fleet sales, governments and that sort of thing up 15%. at retail, they were up 1%, still much better than expected but you are looking at a lot of

sales which can be profitable business and it is not the end of the world. it is not necessarily repeatable every month. what it tells you compared with other results is that the retail market for cars has gotten soft. it is weakening a bit. not terrible but it is still a profitable level of auto sales for everyone especially with a lot of sport utility is. softening up and getting a little tougher to make numbers every month. hand do nothe other officially report earnings but you reported the monthly sales nonetheless and they really got it due to a lack of incentive sales. talk about the pricing aspect of what is going on in cars and how aggressive these automakers have to be? frexit plays into just what does talking about. gm decided the inventories were pretty good and not too bloated.

they're ripping a production of the new model. they did not need to put a lot of money on the hood to move cars over the curve. and they paid for it. it tells you, if automakers are notdoing any good sales, putting a lot of money and incentives, or 0% discount financing seals, overall retail sales are down but you add in it keeps theff, market up to healthy levels. it is not that business but it tells you where the consumer is now. they have been buying a lot of cars for the last five or six years and are starting to slow down. joe: they don't seem to be slowing down and i have to imagine there aren't many of 35% year-over-year, a massive volume thing, what does that tell you? they defied the markets and away because sports cars in the past couple of years have gone down. baby boomers do not want to buy as many. when you have these that are

fresh, particularly sports cars, pretty well, the other thing going on with a benchmark it, you get some cells -- some sales there. a few ford mustangs have been, they get into a mustang and i have seen that happen a few times. it is pretty well, the other thing going still a good month e mustang. you cannot knock it. they did a very good job when he designed the car and did the job well. >> sedan sales are out an suv sales are in what is it mean for automakers pushing ahead for electric cars? off, they have got to be able to make something else in the factory. if they continue to fall, they have got to get the chains of the workers something else particularly the suv. in the market right now, you have something like the suv being the hottest thing out slowing,d sedans are

you know, this is government driven. not demand driven for electric cars except for tesla. everyone else having a tough time. >> there is tesla and everyone else. thank you so much. this is bloomberg. ♪ xfinity mobile is a new wireless network

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stocks started off a short trading week slightly lower with emerging markets continuing as the best seller. i'm caroline hyde. scarlet: i'm scarlet fu. joe: and i'm joe weisenthal. if you're tuning in live on twitter, welcome to the closing bell coverage every day from 4 p.m. to 5 p.m. eastern. scarlet: we begin with market minutes. u.s. stocks are starting on it on note -- on a down note. the s&p 500 losing on most 500, and the nasdaq losing a quarter of 1% even as amazon hit the $1 trillion market cap level. volume has picked up, when you look at average daily volume, it upup total -- it is double-digit percentages but feel slow. -- feels slow. joe: there was a lot of volume and a lot of stuff volume -- stuff with the m's. -- with e.m.'s. caroline: and we even had a very

busy labor day. atrlet: i wanted to look what is going on in the u.s. markets. three out of the 11 industry groups finished higher. let's take a look at some of the individual names here. we start with tesla down on the day. a couple of big analyst reinstated the ratings on the stock. goldman sachs reinstating they're so rating on the stock saying there is a potential for production deliveries driving cash flow but would likely not be sustained. we also saw nike off by vector of 3%. colin kaepernick now signed on for the ad campaign. perhaps this is a knee-jerk reaction to the signing given nike shares have performed extremely well over the past year. a mention here of a deal. transocean agreeing to buy a small arrival in a $2.9 billion deal with rates forecasted double in two years.

-- theyn't buy it 6.6% are down by 6.6%. jeff bezos, flying away with the title of fastest growth in billions over the last couple of months leaving the others in the dust. joe: let's take a look at the government to bond market. a lot of up arrows and lots of interesting stuff. despite the turmoil overseas, we saw rate edging higher in the u.s.. two year yield up to 2.65 and 10 year up to 2.89. ems are really interesting. trouble,tries get into their bond yields go higher unlike developed markets where it people by the state haven. 30 -- 30 year yields in south points and .22 basis indonesia to year yield jumping

54 basis points. caroline: yesterday i was working and keep an eye on what andannounced by argentina the fiscal moves have failed to support the currency and the dollar right is against the peso by 1.2%. it really feels like investors are snubbing the attempt. africanok at the south currency, a super selloff in the worst form in the emerging markets down some 3%. we see a surprising recession hit from the company. we are looking at the great dish pound off by a 10th of 1%. it's their fourth straight day of losses way down be the -- weighted down by the weakening of the construction. at the dollar strength today. we are up 4/10 of 1% and headed for a fourth straight game.

it's green against every single g10 counterpart helping by robust economic data and risk appetite. joe: on commodities, more red arrows. oil falling. a little bit under 1%. gold,haven there. when emerging markets -- gold, no safe haven there. ander is falling 2.6% silver is down 2.5%. no respite for any of those. those are today's of market minutes -- today's market minutes. caroline: let's bring in the chief investment officer of wells fargo private bank from chicago. eric, your take in terms of the market? the s&p 500 is very heady with record highs but the valuation is more sensible apart from companies like amazon. >> the markets are at these

all-time highs and valuations, not so due to earnings growth, are looking fairly reasonable. to your earlier comments with all that is going on in the rest of the world, looking outside our countries, you can find valuations more resourceful than here in the united states. joe: when you say there are valuations more reasonable, where most likely are you to find those. where in new york has the selling got to extreme? erik: i would not say we are there yet to read emerging markets -- yet. emerging markets for investors, if they are concerned about the u.s. markets in all-time highs and valuations, it is probably time to ensure the emerging markets exposure and international developed is at the very least not underweight and get ready for an overweight particularly with emerging markets, especially at the asian emerging markets. scarlet: it is it not time to

dip into the emerging markets? if you're looking for an entry points, you definitely do not want to be going into the u.s. at this point because things are looking fairly valued, not overly valued by some measures. erik: we do have a constructive you on the u.s.. many investors do have their full exposure there. the risk for investors is they havehead of themselves and too much u.s. exposure because the stocks are doing well. what investors are probably doing is that they don't have enough exposing -- enough and exposing markets. whatever their strategic waiting , they have to be at that and get ready for the opportunity to eighte -- over weight. joe: given the huge divergence between what we've seen over the last year, any waiting that someone would have said has probably gotten skewed and it

may be time to reevaluate. erik: that is exactly right. you can get that to your strategic weight by dollar cost averaging or dipping your telling. i have seen enough over the years and we always ask what is the catalyst. i rarely see a specific catalyst causing a market to turn around on a dime. find things generally, over time, gets less and less worse. they don't necessarily get better overnights, but less worse. that is where investors particularly are looking. caroline: the emerging markets are catching up falling knife read our their pockets of opportunity and if there are, where should money be going into -- knife. are there a merging market

pockets? where should money be going? erik: there are unique circumstances that are problematic. most are self-inflicted by various companies. what is particularly exciting is in parts of asia, southeast asia. look at indonesia and vietnam. however you define emerging markets if it is south korea, taiwan, a little west into india, there is great valuations in this part of the world. joe: let's talk about the u.s. we have had a pretty extraordinary run here. signere any, in your view, that it is coming to an end or is this long and strong? erik: i know i'm dating myself saying this, but is like -- it is like the old timex commercial, it takes a licking and keeps on ticking. it is incredible how resilient

this is an hour investors are confident and we share that whether it's looming brexit issues, yield inversion, you can come up with a long list quickly, but we still think there is room to grow. any of these things individually could potentially derail what has been the longest rally in the history of the u.s. capital markets. scarlet: absolutely. we are climbing a wall of worry here. what is the one thing that keeps you up at night? what is the one thing that could tip things south? erik: on the wall of worry, i take great comfort in that and i don't see euphoria or exuberance, but what keeps me up at night, this is not something hitting us tomorrow or next week, or next month, but at some point, the deficit and debt issue, we will have to pay the piper on that.

21 trillion dollars is equal to $65,000 per capita going up to the tune of about $3000 per year. we get to finance that at a pretty attractive interest rate it is essentially one big john norman's adjustable rate mortgage our country has just -- one big adjustable rate mortgage our country has. caroline: erik davidson, chief investor at wells fargo. thank you. on the links gary: went to protect national went to -- gary cohen to protect national security. that's next. this is bloomberg. ♪

>> i am jenna dagenhart.

kyl will fill the u.s. senate seat left over and -- left open by the death of john mccain. he is currently shepherding president trump's nomination of brett kavanaugh to the u.s. supreme court. kyle spoke at the arizona capitol today after his deployment was announced -- his them pointed -- appointment was announced. >> i'm taking this appointment because the passing of my dear friend. i'm also doing this because the governor asked for my help. >> the appointment will make it possible for him to vote for kavanaugh's nomination. when governor says kyle has only committed to surf to the end of the year, but he hopes kyle remains on the job longer. the epa's internal watchdog is criticizing the environmental reduction agency for sending --

environmental protection agency for sending round the clock security for scott pruitt. theyctor general said failed to document why he needed more than $3.5 million security spending and more than double that of his predecessor. report foundt -- lack of training personnel sonel slowedr -- personnel slowed the response to hurricane katrina -- maria. maria killed nearly 3000 people and damages are estimated at more than $100 billion. --sident rouhani sunny speaking to a group of oil officials on tuesday, honey said oil is on the front line of confrontation and resistance. the u.s. wants to reduce iran

oil exports to zero with renewed sanctions in november. global news, 24 hours a day on air and on tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am jenna dagenhart. this is bloomberg. caroline: "what'd you miss?" friday's deadline came and went without an affidavit. canada says they are still trying and negotiations are set to continue on wednesday. president trump took to twitter saying the deal was happening with or without them and warned congress not to interfere. our bloomberg trade reporter joins us with the latest. how much can we believe the trump actually push this deal through without canada? is it possible? >> that has been his threat all along. the big threat is just how possible that is. under the terms of nafta, the president can give six months notice of the u.s. withdraw if he wants to. a lot of people in congress

think he would not have the authority. we have heard from a top democrat senator looking after trade today and he makes a point that it is congress is right to withdraw over nafta. it is in their power, not the president's. ist we're looking at here more thunder and a lot of questions on how much power the president has. when they failed to come to an agreement, listening to christopher you and -- christoph freeland, -- crista freeland, there was a generally positive tone. is there a dual track situation going on here with the president has a lot of bluster and says a lot of things like we don't need canada, but the actual people in the room are doing their own thing and ignoring that. >> i think there is an element of that. it was just -- not just her

optimistic, we were hearing that from u.s. officials and the like. everyone was keen to spin the fact that this was not a collapse of talks, and that talks would resume this week. they are back in here tomorrow in washington and will be going ahead. what that moved it to was a fuzzy deadline you get in trade negotiations. friday was a deadline on one side of the equation, and that was with mexico. if you want them to sign the , then you need to send a notification to congress on friday. he leaves office -- the president leaves office december 1. that does not mean the canadians need to sign immediately. there's good language saying they will be part of the deal. the real next deadline is the end of this month when we get a requirement from congress that the administration will release the text of the deal.

this is the real deal. dakota ofthat kind of the negotiations. scarlet: and deadlines have come and gone and you just keep going. given the deal of the u.s. has agreed with principle to mexico, they have been clear that mexico wants canada to remain part of the trade partnership. is mexico doing any lobbying in the back that we do not know about here? shawn: i think they have been doing very public lobbying. saying they want canada to be a part of the deal. we don't get the sense they are in the negotiating room taking canada's side on issues, but negotiators, mexican negotiators, stayed in town all week waiting to be called in. they are clearly taking a great interest in this. one of the points to remember is it is not just mexico wanting canada in this deal, it is congress, the u.s. business

community, and what we learned on sunday is the u.s. labor afl-cio when the afi -- said he cannot support a deal including -- to exclude canada. trump thinks he has a lot of leverage and he certainly has the twitter leverage he likes to use, but at the same time, the canadians have a lot of friends. joe: let's talk about something else quickly. does the future of u.s. trade deals depend on what pieces of paper it left on trump's desk? shawn: [laughter] that is the wonderful tidbit we have learned. this is a great one for the history books. gary cohen, we have learned from the washington post which got a hold of bob woodward's new book later this month, the washington int reported gary cohen, 2017, just as the president was about to sign a notice to withdraw from nafta and from a korea u.s. trade deal, the pages

simply disappeared. the president did not notice. this is a funny anecdote from history and the important point is that donald trump has wanted to withdraw from nafta. that may come and play again very soon. scarlet: i'm sure it well. shawn donnan thank you so much. president trump's nominee for the supreme court put their the ringer. we had to capitol hill for an update on the first-day of brett kavanaugh's confirmation hearings. this is bloomberg. ♪

caroline: "what'd you miss?" a whole lot of listening for president trump's pick for the

supreme court. confirmation hearings began today for brett kavanaugh for the screen court. today was the opening statements but things got off to a fiery start. bloomberg's political reporter has been following the hearings in joins us. paint the picture of the turbulence kicking off this whole hearing at the beginning of the day. >> it was a highly contentious can bring -- contentious supreme court nomination. probably one of the most partisan battles we are likely to see for one of these confirmations in decades if not longer. the hearing started with protest and disruptions from people, opponents who want the senate to vote him down, some women outside of the room dressed in handmaids outfits. it definitely got off to a rough start. scarlet: democrats clearly opposed to brett kavanaugh nomination -- brett kavanaugh's nomination. are they opposed to the process

at this point or to the nominee himself? sahil: it is both. they have procedural objections which is the fact that 42,000 documents were released last night within hours of the first day of the hearing. they have ideological objections to him as well. they want to know where he theds on primarily issue of weight case. they want to know where -- wade casse. they want to know where he -- case. they want to know where he stands on various topics. democrats want to know if he casesold -- uphold because there is another case going to court on preconditioning -- pre-existing conditions. he also wants to -- they also

want to talk about power. to have an expansive view of executive power and a president should not be bogged down by legal issues and this president is. the democrats want to know where he stands on that. joe: it seems extremely unlikely anything could derail kavanaugh's ascension to the court. is there anything the democrats hope to gain, politically, with the upcoming election? soundbites, whatever that could motivate their voters in a couple of months. not appearcrats do to have the votes to stop the .ote theiricans have none of likely 51 members come to vote who are opposed. democrats need to unite and peel

off a couple of republicans right now. that looks unlikely. to your question, what democrats hope to do if they fail is do it in a way that energizes their base and communicate to their voters there is a lot to ask take -- a lot at stake and put the senate because if they do the consequences would be enormous. every nominee from a branch or judicial level would have to go to past chuck schumer's desk. scarlet: compare and contrast that democrats are running up against cabinet what they did with neil gorsuch's hearing. it has been a while, but i thist remember if it was vocal in terms of their stance and opposition. sahil: the gorsuch fight was certainly he did but nothing quite like this. democrats put up a filibuster and refused to allow a procedural vote and have the oppose- had the votes to

it. the big difference between these is that gorsuch was replacing justice scalia, who was seen about as equally as conservative as him. kennedy successor, if brett kavanaugh was confirmed, would be more conservative on issues like abortion and gay rights, death right -- death penalty, and move the court to the right along with solidifying a 5, 4 majority on an already conservative side on other things i gun rights. it is a lot more of a shift of supreme court if brett kavanaugh is confirmed. scarlet: thank you. up, it was mark zuckerberg and now it is time for the other tech executives to take their turn on capitol hill testifying tomorrow. we take a look at what to expect. this is bloomberg. ♪ this is bloomberg. ♪

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>> i am jenna dagenhart. let's get to the first word news. is warningouse bashar al-assad that if he chooses to use chemical weapons again the allies will respond swiftly and appropriately. the trump administration is monitoring the situation in the province. they say millions of innocent civilians are under threat of an attack from the government. president trump and the south korean president spoke today and agreed to meet later this month in new york at the general assembly. the white house says the two leaders discussed develops on the korean peninsula including efforts to achieve the full

denuclearization from north korea. the chicago mayor says he will not seek a third term in 2019. he said being mayor has been the job of a lifetime but is not a job for a lifetime. he did not give a sudden -- reason for the sudden change of heart. he has been running for months and raising a lot of money. the chicago tribune says he has already amassed more than $10 million to campaign for another four-year term. global news, 24 hours a day on air and on tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am jenna dagenhart. this is bloomberg. caroline: now, some update to the nafta negotiations coming from the prime minister of canada. that is justin trudeau saying you will not find a nafta that does not benefit canada. no nafta is better than a bad nafta than canada.

he's talking about how the nafta without chapter 19 would be bad for canada, and overall they will hold farm on the nafta dispute resolution. he is speaking in british columbia. the negotiation is set to take a pace on wednesday. scarlet: let's get a recap of today's market action. a lot of declines in u.s. stocks. bonding picked up after the resumption of trading polling it three day weekend, the end of summer, yet investors are taking a page out of the global patent as therelobal playbook are concerns over global trade but nothing to do about it. caroline: amazon did hit the $1 trillion market cap and "what'd you miss?" we are talking tech now. coo and the ceo -- twitter ceo is going to testify tomorrow and discussing their

efforts to prevent russian meddling in the midterm elections. more.t is with us for first of a -- first of all, no google at the table. >> that is the big scandal here. orther the alphabet co google, the company that produces 96% of the revenues for them are going. they said they would send their general counsel responsible for all of the political stop at google and the senators said no. were invited to testify on capitol hill, but no one is being subpoenaed. gerrit: congress could subpoena someone if they wanted to. the game of political chicken, has not gone that far. it looks like we have an empty chair because google does not want to go. joe: did they give a reason for why they declined even as the other top executives are going? gerrit: google said our clo does not get involved in the nitty-gritty of these things.

we want to send the people that deal with it, the lawyers, policy experts. this is an argument that they have been making on and off and facebook has sent mark zuckerberg and the stepped in their. -- in there. the first major hearings were at october of last year so this has been a rolling story. scarlet: and at that time, all of the company sent their legal representatives whose and a lot of time saying that is not really what we do or that is something we will need to look into. joe: is this going to be one of the hearings are the democrats ask about russian meddling and the republicans ask about shadow banning conservatives? gerrit: essentially. they can ask anything they want and usually each senator or congressperson comes in and asks the question and leaves again. joe: you are saying they do not listen to try to get an informed take on the stakes? gerrit: there was a lot of criticism on the zuckerberg

hearing that the senators did not know what they were talking about. i watched the entire thing and that was probably a little miss informed. they do know -- misinformed. they do know what they are talking about what they are also trying to score political points for their own purposes. caroline: will they go outside of the specificity on russian meddling? to see a little more asked? gerrit: there are two hearings. one is facebook and twitter, and one later in the day is just twitter focused on the legend conservative bias or shadow banning of conservatives on twitter. twitter, about an hour ago, put out a report they did and studied the tweets of every mental of congress -- member of congress and the state democratic congresspeople to not get projected in a bigger way on twitter than republicans do based on the data. they are already trying to counter the narrative from the conservative politicians.

how much can really be said at this open hearing given it will be broadcast and, a lot of time, the tech companies do not have the information the government have. is one issue that will probably come up tomorrow and hopefully does so we can learn more about it. we have reported there is disconnect between tech companies and government agencies. the agencies know a lot about the agents from other countries trying to meddle in u.s. affairs, and there is a sense that if they were able to share that data with facebook, google, twitter, maybe they will do a better job at keeping this off of the platforms. there is tension there that is something we will probably get to hear about. it is difficult to get some of this highly classified information in front of the public. caroline: is it too late to protect the 2018 midterm? gerrit: that is a major question. it's interesting that we are still asking the question.

it has been two years since the last election and it feels like we have been talking about this a lot. we have had multiple hearings in the companies have had to spend a lot of time on this. investors have asked, users have asked, and we do not have a clear picture on whether we will be able to stop the same meddling. scarlet: and the companies say the government should share more information and the government says the company should be doing more. caroline: gerrit de vynck, thank you for your insight. another story making headlines in technology, the race to 5g. china is looking at three wireless carriers to speed up the release of five g mobile. this is a huge deal in the industry. you already have the argument that for players is not enough

,nd a country such as the u.s. and now we have three players coming to china potentially. scarlet: it is pretty remarkable. we are looking at a chart on the bloomberg that shows the big three telecom players in china as caroline was referencing. china mobile, white china and telecom-- white china first. joe: i love how chinese mergers is thinking of combining them and now one company is making an offer. caroline: let's get to breaking news. cap a new -- kavanaugh has started. senatorset with 65 including almost every member of this committee. those meetings are sometimes referred to as courtesy calls. how term understates

personal our discussions have been. i've greatly enjoyed all 65 meetings. you, i'veto all of learned more about our country and the people you represent. every senator is devoted to public service and public good, and i think all of the senators for their time and thoughts. i think president for the honor of this nomination. as a judge and citizen i was impressed whether presidents careful attention to the nomination process and, by his thorough consideration of potential nominees. .'m grateful for his courtesy at the white house on the at -- on the night of the announcement, the president and mrs. trump were very gracious to my daughters, my wife, and my patience.

-- terracesairs that night. my daughter calls it her national debut on television. [laughter] as a nominee to the supreme court, i understand the responsibility of their. --responsibility i bear. some 30 years ago, anthony kennedy sat in the seat and he became one of the most consequential justices in american history. i served as his law clerk in 1993. to me, justice kennedy is a mentor, friend, and a hero. he fiercely defended the independence of the judiciary and was a champion of liberty. if you had to sum up justice kennedy's entire career in one

word, liberty. a legacy ofed liberty for ourselves and posterity. i'm here today with another of my heroes. my mom. this week, in september 1968, my mom was 26 and i was three. at that time, my mom started as a public school teacher at mckinley tech high school in washington dc. mckinley tech had an almost entirely african-american -- student body. i remember sitting in the back of my mom's classroom as she taught american history to a class of african-american teenagers.

her students were born before brown versus board of education or others. mom taught me, my the importance of equality for all americans. equal rights, equal dignity, and equal justice under law. my mom was a chair laser -- trail blazer. when i was 10 she became a prosecutor. i am an only child in my introduction to law came at our dinner table when she practiced her closing arguments on my dad and me. her trademark line was "use your , what rings true, what rings false." of the few women prosecutors at the time, she overcame barriers and was later appointed by democratic governors to serve as a maryland state trial judge. our federal and state trial judges serve on the front lines

of american justice. my mom taught me judges do not deal in abstract intervals, they decide for real cases, real people, in the real world. she taught me that good judges must also stand in the shoes of others. the chairman referred to me today as does kavanaugh -- today as judge kavanaugh, but to me, that title will always belong to my mom. for 12 years, i have been a judge for the d.c. circuit. i've written or than 300 opinions and handled more than 2000 cases. i have given it my all in every case. i am proud of that body of work, and i stand behind it. i tell people, don't read about my opinions, read the opinions. i've served with 17 other judges, each of them a colleague

a court now led by our superb chief judge. my philosophy is straightforward. a judge must be independent, must interpret the law, not make the law. a judge must interpret statutes as written. a judge must interpret the constitution as written, informed by history and tradition, and president. in deciding cases, a judge must always keep in mind what alexander hamilton said in 83, the rules of legal interpretation are rules of common sense. a good judge must be an umpire. a neutral and impartial arbiter facing no -- favoring no policy. as justice kennedy explained in texas versus johnson, one of his

greatest opinions, judges do not make decisions to reach a preferred result. judges make decisions because the law and the constitution, as we see them, compelled the results. over the past 12 years, i have ruled sometimes for the prosecution and sometimes for criminal defendants. sometimes for workers, and sometimes for businesses. sometimes for environmentalists, and sometimes for coal miners. in each case, i have followed the law. i do not decide cases based on personal or policy preferences. i'm not a pro plaintiff or pro-defendant judge. i'm not a pro prosecution or prodefense judge. i am a pro law judge. as justice kennedy showed us, a judge must the independent, not swayed by public pressure.

is theependent judiciary crown jewel of our constitutional republic. in our independent judiciary, the supreme court is the last line of defense for the separation of powers and for the rights and liberties guaranteed for the constitution -- by the constitution. must never,court never be viewed as a partisan institution. the justices on the supreme court do not sit on opposite sides of an aisle. they do not caucus in separate rooms. confirmed to the supreme court, i would be part of a team of nine, committed to deciding cases according to the constitution and laws of the united states. i would always strived to be a team player on the team of nine. throughout my life, i've tried to serve the common good in

keeping with my high school motto, men for others. i've spent my career in public service. i tutored at washington jesuit school, a tuition free for boys for low income families. at catholic charities, i serve meals to the homeless with my friend father john as lawyer john -- john esler. i tried to serve the least fortunate among us. i know i fall short at times, but i always want to do more and do better. past seven years, i've coached my doctors basketball teams. i love coaching. all of the girls i've coached are awesome. a special congratulations to the girls on this year's sixth grade .hampionship team

i love helping the girls grow into confident players. i know confidence on the basketball court translates to confidence in other aspects of life. title ix helps me girls and women sports equal. nightthat legacy every when i walk into my house as my doctors are getting back from across or basketball or hockey practice -- lacross or basketball or hockey practice. i know that those who teach the youth are most -- are among the most influential people in our country. with a kind word here and a hint of encouragement there, a word of discipline delivered in a spirit of love, teachers and coaches change lives. i think all of my teachers and

coaches who have gotten me to this point, and i thank all of the teachers and coaches throughout america. judge, i saw to train the next generation of lawyers and leaders. for 12 years, i have taught constitutional law to hundreds of students, primarily at harvard law school. i teach at the constitution separation -- that the separation of powers protects liberties. i'm grateful to all of my students. i've learned so much from them, and i'm especially grateful to the dean who first hired me, now justice elena kagan. one of the best parts of my job is that each year, hiring for recent law school graduates to service my law clerks -- serve as my law clerks for the year. i hire the best. they come from diverse backgrounds and points of view. a majority of my 48 law clerks have been women.

more than a quarter of my law clerks have been minorities, and i have had far more african-american law clerks than the percentage of african-american students in u.s. law schools. i am proud of all of my law clerks. i'm grateful for my friends. this past may i delivered the commencement address at catholic university law school. i grieve -- i gave graduates this advice, cherish or friends, look out for your friends, lift up your friends, love your friends. over the last eight weeks, i have been strengthened by the love of my friends and i think all of my friends -- thank all of my friends. i'm grateful to have my family behind me. my mom gets a lot of attention regularly, but a few words about my dad.

he has an unparalleled work ethic and a gift for making friends with people regardless of who they are or where they come from. my dad and i are both sports fans. me to was seven, he took a championship game two miles from here. upper deck, section 503, wrote rowugh, eight and nine -- three, seats eight and nine. 30, we weren i was at camden yards when tower can played his 2131st consecutive game and broke the seemingly unbreakable record. so many other games of my dad -- with my dad. a lifetime friendship forged over hot dogs and beer.

my doctors, margaret and liza, will be in and out of this hearing room over the next few days. they are strong girls, dedicated students come outstanding athletes. in the time since you last saw them at the white house ceremony on july 9, i'm pleased to report that margaret has gotten her turned 13. and has [laughter] margaret is this week's grow you will ever know. as for liza, i tell her every night that no one gives a better hug than liza kavanaugh. finally, i think my wife ashley. texan, astrong, west gradually -- graduate of the university of texas at austin. she is now the popular town manager of our local community. this is not exactly the summer she planned for the family, but

i'm grateful for her love and inspiration. ashley is a kind soul. she always sees the goodness and others. she has made me a better person and a better judge. i thank god every day for my family. mr. chairman, senator feinstein, members of the committee, i look forward to the rest of the hearing and answering your questions. i am an optimist. i live on the sunrise side of the mountain, not the sunset side of the mountain. i see the day that is coming, not the day that is gone. i am optimistic about the future of america. i am optimistic about the future of our independent judiciary. i reviewed the constitution -- revere the constitution.

if confirmed, i will keep an open mind in every case. i will do equal rights to the poor and rich. i will always strive to preserve the constitution of the united states and the american rule of law. thank you, mr. chairman. >> thank you judge kavanaugh. i have something i want to say to the committee, but before that, we have been approximately here for eight hours, we have had lot to hear and listen to today. i think it is noteworthy that no one has seriously questioned .our qualifications they have learned a lot about you being an exceptional teacher, coach, volunteer, dad in addition to being an exceptional judge. thank you very much for your statement.

questions for the record are due monday, september the 10th at noon. we will notice judge kavanaugh's market meeting for thursday, september 13. this timeline is consistent with what we are hearing -- consistent -- >> brett kavanaugh is the nominee being discussed at the moment. we're also talking and discussing their what they have learned from brett kavanaugh in after eight hours appearing's initial report from himself. we know he calls himself open-minded and calls himself an optimist. let's wrap up some of the highlights. joining us now is our political reporter on capitol hill and kevin's really on washington. but start with you, kevin. over the takeaways in terms of what he put across because clearly he was wanting to say he was neutral and impartial.

do you think that is something the democrats will be listening to? kevin: no. concluded a watch marathon day of proceedings of the opening round, so to speak, of judge kavanaugh. we're watching them depart from the hearing from now as he is flanked by his personal team and security. a hearing that was interrupted several times by protesters. in terms of the political optics, moments when this hearing began, one senator from california leading the charge of democrats on the committee and interrupting the chairman, the republican from iowa, urging the chairman to provide more time for the democrats to review the 40,000 pages worth of documents released hours before this hearing. policy, what we heard in judge kavanaugh's opening remarks is largely a reintroduction from the white house in the past. he has tried to position himself

as a center-right nomination. he also has the help of a high-profile republican including condoleezza rice who read his introduction as he tried to portray himself that way. this is someone who is largely been in line with the business community in terms of how he has ruled on a series of cases. but, how he response to questioning in the next 48 hours is going to be quite remarkable. onocrats will press him civil liberties issues, marriage equality, women's health issues, and beyond that. in particular, just to see how he would rule should some of the russia cases, some of these cases in the news flow, ultimately reach the supreme court. pointavanaugh is making a to talk about the women and other minorities for which he has worked with in the past. >> it was standard fare from judge kavanaugh. once nominees come before the senate, they talk about how they

will be fair and neutral and independent umpires. you heard him talk about how justices are not partisan sitting across the aisle from each other. he said he will be part of a team of nine. we have heard these things before. this is what good, successful, nominees and to do before they are confirmed. it tells us very little about where the judge would stand on the issues if he is confirmed to the supreme court. democrats will be asking where wade.nds on roe v. we would hear a lot of questions and questions about executive power. when he gets asked these questions, it will reveal a lot more. the past is president, expecting to dodge most of the things and say he will not prejudge a case. scarlet: that's right where i want to go to. what is the ginsburg rule and

how will it be applied in this case over the next few days? the ginsburg rule is to refuse to say how you would rule on a specific case coming before you at the supreme court. republicans highlighted they evoke this to point out it is unreasonable in their view for democrats to demand cap and all reveal his position on the issue of roe v. wade. the counter from the left is that roe v. wade is a past ruling not something coming specifically before him in the future. all they are asking of him is to say if it was correctly decided in the 1970's for when he came before him -- 1970's when it came before him. he may be the fifth vote to weaken or undue rubber survey -- to weaken roe v. wade. expect that to be a major theme in the next couple of days of questioning. thank you sahil kapur

and kevin cirilli. that's it for "what'd you miss?" it is now time for "bloomberg technology" starting right now. this is bloomberg. ♪ emily: i am emily chang in san francisco. this is "bloomberg technology." in the next hour, amazon joins the trillion dollar valuation club. how the giant welfare alongside apple. plus, tech testified. jack dorsey and sheryl sandberg face the bright lights of capitol hill. can they keep lawmakers at bay? should musk be worrying about an sec ban? some analysts say not so much. we di