♪ >> announcer: this "nightly business report" with bill griffeth and sue herera. >> i thinkn some ways it's beer to wait until after the electiona. with ch president trump hints at a china trade deal delay until after the presidential election. rattling investors and sending stocks lower. >> going broke. as many as one in five small private colleges isacg financial stress. creating a new kind of college debt crisis. giving tuesday, why manys americanre cutting back on charitable contributions. those stories and more tonight t"on "nightly business repor tuesday, december 3rd. and we do bid you good evening, everybody and wepg. if wall street seemed quiet reemt well it's waking up. stocks fell sharply again today. this time after presidentrump

suggested that there could be a delay in a u.s.-china trade deal. there were also reports the white house could move forward with the new tariffs on chinese goods that are schedul to take effect on the 15th. that created concerns about the fragile global economic recovery and pushed stocks lower again day with the dow down 280 points at the close. it had been down for 450 at one point. the nasdaq dropped by 47. the s&p slid by 20. the president made the comments during the nato meeting wheree also threatened levies on france and took aim at french president macron for comments that macron made that wereritical of the nato alliance. hadley gamble in london for us tonight. >> reporr: day one of u.s. president trump's visit to the united kingdom and also explosive compensates on

u.s.-china trade royaling markets across the united states say suggesting the trade deal could happen after the 2020 >> i have no deadline it' w. no better to wftt until the election, you want to know the truth. i think in some ways it's better to wait until after the electio with china. >> president trump not stopping there,ressing the tit-for-tat directly between french president emmanuel mack rnlnd turkey's president recep erdogan. >> that is ave , vy nasty statement to 28 crewing them 28 countries. i think that you know you have a very high unemplment rate in france. france is not doi well economically at all. they're starting to tax other people's products. so therefore we are going to tax them. that's taking place right now. and technology we'reng d the juans and everything else st>>in aunited kingdom. ahead of a collegial evening

billed by the queen as a opportunity forrs to meet and decide theuture of e nato alliance. hadley gamble at buckingham palace. >> not only did president trump exchange barbs with the french president but the trump administration proposed levies billion-dollar in french 00 impochs. kayla taus has more from washington. >> reporter: as president trump and french president mac discussed nato turkey and isis new tariffs prepared by the u.s. hitting back for the 3% tax on large u.s. tech giants. ump saying the french shouldn't havehe right. >> the american companies the tech companies they're not my favorite people because they're t exactly for me. bau but that's okay they're american companie t we wan talk american companies. >> trump left the door open to work out a deal with france

before the taxes on french luxury goods goes for a effec in january. but it's a window to larger trade troubles between u.s. and europe where talks stalled and bargaining chips are true efew. this is the second round of tariffs hitting france in two months after the subsidies of airbus subsidies. and before the chinese goods tafrps could be hit if that phase one deal doesn't come to fruition. tresident trump said it might night pop adminion officials have been loathe to late theed trade war on multiple friends. bufrufrp wants wins and results to show american voters. to get those he turnp the pressure on advsaries and allies of thenid states. for nightly business reporyl tausche in washington. >> what happens to the global delayed after the presidential election next year.

joining us l is davidb wits is the the. and bill a chief economist. bill you feel the atesident's ent was more about saber of some kind.egotiati tactic let me ask you this. tw important is a bilateral deal between u.s. and china to a the global economy? >> it's impornt because these are the largest economies on the face of the earth. we need to have trade settled in away that shaping the trade patterns for the 21s century. and the access to these markets are critical. face t and 3 o deal is going to be to determine and marketl propert access. those are the things we wait for. but we have to get threw phase one together there and the simple stuff out of the way. president trump is set to delay that because strategicly he wants to appeal to the base to show he is a tough negotiator. andlso in some sense he is trying to soften the chinese side to get morhe on face two

and three issues. m> david, how do you see it it especially f the wall street perspective in we obvioly saw a vehement reactio from wall street, especially in the early part of the trading session. >> so i mean, i would he can echo a lot of what bill i said. ink there is the aspect of the administration trying to maintainhe voter base and maintain support with the presidential election less than a year away. from a market perspective i've be saying the past couple of weeks it felt the stock market was getting a bit o ahead itself, pricing in the trade deal we didn't have anyactsou . and so what this is to me is really just more of a consolidation rather than the beginning of a collapse. i think the adminisation undersnds it's very important for the economy to be expanding for unemployment to be low when thelection rolls around next november. i think this is probably a bit of aroause a market standpoint but not the end of the cycle. >> david, do you think that ae ph 1 has already been priced into this market at this point

>> absolutely. i think that equities contrary to what the m bondket was telling us a few months back fts equities have taken it as face value and said now ty're goi to do a deal. >> how patient do you think wall street will be waiting for the phase 1 to be completed? >> that's the key. i thinknvestors are more wiing to be patient when the fundamentals areun supportive. rtunately the fundamentals are rooking a b flimsy. earnings growt looks like it's slowing. pace of economic growth should slow next . i inhis alngctr y for thes a administration to no upset the apple cart by going too far on pulling bn the deal with china. >> bill, would you agree with that and the fac that we are seeing -- a little bit of deterioration in some sectors of the market? d also the economy? >> i would warrant that it's not the quantity of growth but the quality o growth. yes we are slowing down to below 2% growth. but if we were able to get growth supported by investment spendi b that would be thet way to boost productivity,

increase real wages and ensure that workers are getting the eykind of m theneed to sustain the consumption tha ha ind the economic expansion the longest since world war ii history. but the fact that investment slowed down not because of trade uncertainty. but the slowdown in europe and cha has diminished any hope to tr to want to expand cap x because the global economy isn't there to supply the demand to nv support realtment spending. i think firms are now waiting for europe and china to really show signs of growth. >> very quickly, bill, who has more to gain from a deal, mcor the u.s.? >> i think it's pretty even but i think china on balance would gain more because they have much more manufacturing bas dependent on trade. >> davide leib wits with jpmorgan bill lee with the ut milliken inst >> time to look at upgrades and downgrades. from buy at citi.d to neutral pr

citing net knicks lack of srprising leverage and s the stock isover valued. the price target $325. the stock fell 1% to 306.16. boston beer was upgraded to buy from neutral at ubs. the analyst expects double-digit sales and earnings i growth 20 and 2021. the price tthget is $440. stock rose more than 2.5% to 383.91. >> fischer given an yoegt wave are weight rating in new coverage at piper jaffray. the company saying the company is well positioned after turbulent ythrs. price target now $230. but despite the overweightng rahe stock fell to 198.82 today. lets. androku price target raised to the call roku the winning aggregator of tv and films. the firm has a buy rating on it. stock rose 6% a after the big decline yesterday.

now at 144.63. >> still ahead, the other college debt crisis. small private liberal arts colleges, a staple of american kaemia for centuries are an endangeredpecies. i'm scott cohen in hiram, ohio where one school thinks it has the key to survival. we'll have thetory coming up "nightly business rep ♪ ♪ ♪ a transition of power at googtarledeenr larry page and sergei brinn stepping down frol

in alphabet. page was alphabeteo while brinn was president both taking atep back. surnd pichai taking on of add the role of c alphabet as well. shares rose a fraction on the news in extended hours trading. >> as expected cybermonday online sales hit the record of $9.4 bilon up nearly 20 frers last year. bought more and purchased r pricier items. and nearly a third of the day total came late in the day betwn 10:00 p.m and 2:00 a.m. eastern time. >> well the pig three auto makers no longer report monthly auto sales but we g the numbers from foreign car companies. toyota said the a norrican division has ht best november ever with sales raising more than 9%. honda sales rose 11% thanks to demand for sport utility vehicles and trucks. but nissan saw sales drop about

16%. >> this is a crucial week for with prices up more than 20% so opectel are meeting on of the thursday to talk about ways to push prices even higher. as a result they're widely expected to either maintainr increase current production cuts. here is brian suivan. >> reporter: opec meets on thursday in vienna, austria. this meeting may be one of the most important in years. for three big reasons it's the first meeting with abudi 's new energy minister, prince abdud aand his bin salman. half brother to the crown prince, replace be the former energy minister with af member the royal family shows how importt opec's choices have become. equally important to the kingdom, the long awaited ipo of aramco, pricing on thursday, the day of opec meeting begins, its performance should add another layer o drama to the peegt. and finally can opec move prices

tihigher? prod cuts were extended but oil hasn't budged stuck in the mid-50s. bad f news u.s. oil producers and investors who have all but given up on energy stocksvy spookedly hebt loads and a the biggest move down is down 25since the july meeting with other stocks down more. there are concerns about t flood of oil related priceptcies next year if don't move higher. many companies can't make money at current prices. opec nations wan higher prices especially saudi arabia which has social kofs to pay for. but they also likely know that higher prices couldeep the shale boom going and the world over.ywood o opec often considered a four legal world in american circles may be the group that has the power to rescue the debt laiden american oilpa ces. for nightly business report, brian sullivan. a merger made of steel.

that's where we begin tonight's market focus. iron oredu pellet pr cleveland cliffs is buying ak steals makinglectrical steel and electrical products. the price tag $1.0 billion expected to close the deal i the first hast half year. cleveland shares fell 7%. and ak rose 4% to 301. a dentist therapeutic agreed to bought by japanese pharmaceutical company for $3 billion, a premium more than 100% for the u.s. based gene company. sharps doubled today. amazon is using 5g technology to help base businesses download data from the cloud faster. at avalanche it partner was verizon to incorpora the service called wave length helping to transfer data at ast right. verizon up a fraction to 60.14

and amazon shed a fraction. >> lands end an unexpected increase and rice in kprabls store sales. inve did like the results, sending lands end up about 21 to 14.24. california regulators are blamingg& for failing to inspect and maintain transmission lines causing last year'sed so-caampfire, the ledleyest in the state's history. the finding part of a newly released report. pg&e already alogized for the role its equipment played in the tragedy. shares rose neay 8.5% to 8.52. and master card saidha its board authorized a new $8 billion share buyback and kras raised the quarterly dividend by 21% and the stock rose in initial after hoursrading as a result tonight. it's crunch time for millions of high school senrs

and parents. this is college application season. and this yeare there is m to st about than just getting in. a rash of colleges are shutting down. particularly small liberal arts schools. scott cohen reports how families can protect themselves and how one school in ohiit trying to buck that trend. ♪ at hiram college outside 1,000 with about stupts they knew small liberal vogue.hools weren't in their solution, change the dechgs of liberal arts. >> we looked at the critic ll lump, the graduation requirements, looked at technology. centuryd at the 21st skill set and mindset students need to demonstrate to employers. gone are stodgy old majors like a history and religion, in more career oriented majors like criminal justice and management. >> they do a good job of preparing you your career

but also in life. >> the president at the college says the changes include recing faculty by 20 peppers. convince lend tors refinance in put the school on sol itd financial footing but others scho have a more difficult time. >> it's the school's debt crisis. moody's says oneve in firivate colleges is under fdamental financial stress. many won't survive. >> demographics are changing. fewer students graduating high school. those tha do are looki for career-oriented college. whenll is said and done in 201915 small private colleges haveowhut three times the rate a decade ago and could be the new>>norma. t's here to stay. i think we see the heuer education sector as an in ari of time of real transformation in terms of how studentslearn, where they

learn. >> and some schools are closing with little warning. like mount ida college in massachuses last year. >> i didn't get the degree. i didn't get the diploma. i >> cheated. xperts say before deciding where to go to college students and parents should be asking not just about financial aid but also about the school's >> is the kohl able to pay debts? is thege col in good relationship with its bank? is the head of the college f healthg a clean bill from creditors. >>? it could be the difference between get floog college and being able to finish the degree there. for "nightly business report" scott cohen hiram, ohio. u>> coming donations dry up, why fewer americans are giving to charitable causes. ♪ ♪ ♪

a new navy ship is aut to be iachrid, a symbol of the modernization efforts and the money that it costs. here is morgan brennan. >> reporter: once divered to theavy it will be a floating city. ca o accommodating more than 4600 personnel and 75 aircraft. ednuclear power and weighing in at nearly 100,000 tons. >> the aircraft carrier kennedy is t second in the class of the gerald r. ford aircraf carriers. we actually had the first cut of steel in 2011, laid the keel in 2015 and since that time literallyfhousands ship builders have brought skill and their integrityet to the ship to where she is right now. the ship today is about 67% complete. >> the uss john f. kennedy is a

$13 billion aircraft carrier built here at hunting ton inkles newport shiprd a division overseen by jennifer boykin. krissening this. the huntington inkles is the prime contractor and the they are saying they are taking advantage of indloge teching to make the ship more lethal and drive down costs expected to save the navy $4 billion-dollar over the 50-year lifespan. >> we are moving from the ford which was the first of the class into production. what that means is the first ship is -- as the lead ship it's not just a production ut. it's also a prototype where you test out your design, testing out your training plans and labor plans and your supchy ns and doing all of those things. now on the kennedyve we've been able to move past the

protest of type phase. >> theor uss has been fiercely scrutinized due to delays and cost overru but they say man hours o the kennedy are down 1 versus the first in class ship translating to savings. >> the carrier is th last aircraft carrier that will be built with traprtional blood sure drawings. the carry following the kennedy, the uss enterprise is the first aircraft carrier going to be built digitally. am>> and the progr is one ample of the impact entire defense mujt andce a p push onto modernize the militaryave ehaving at ship ard hiring 10,000 workers in three years. huntington inkle is longside genera dynamics build bng fa aact virginia class submarine with a $22 billion contract awarded last night the g rgest in ship build history. >> since there is overlap between the submarines and saircraft carri in supply chain it goes well with the

two-aircraft carrier contract we got at the beginning of the year. pushing our backlog up to $50 >> for "nightly business report," morgan brennan at the exchange stock >> finally tonight, the u.s. ranks at the most generous country in the world aording to the world givin index which asked more than 1 million people whether they helped stranger recently.d to a charity t charitable giving here in the u.s. is on the decline. so on this giving tuesday w asked robert franke to take acl e giftiabl ng down more $50 billion as of theatest irs filings that is the largest decline since the great recession. charitable gifting totaled $103 billion in 2018 according to the recent irsin fil down by $57 billion for about a third from 2017. now the likely reason, the tax cuts and jobs act. the new tax law doubled the

standard deduction to $24,000 if you candidate take that deduction you can't itemize deductions or take a did he ducks for charity. the number of american itemize attention led to a lower number taking the charitable deduction. about 37 million used to itemize now it's about 16 million. without the tax benefit many americans either fop give less. the final numbers will be out in december as and the numbers could rice and since high income certainers still itemize any o still give t charity and could make up a large share of chitable giving but non-profs and manyoliticians are scrambling ways to bring back the taxredibilityives king americans more charitable. republican congressman mark walker introduce add bill allowing taxpayers to take a deduction even if they don't itemize. similar bills introduced by

congress people from both parties. buhout a tax break, givg likely to remain flat or continue to decline. for ltni i'm robert anke. >> before we go with, another look at theday's final numbers on wall street. the dow fell 280 ints. the nasdaq dropped 47 and the s&p 500 slid 20. ds n herera thanks for joining us. and we want to remind y this is the time your public television station seeks your support. >> i'm bill griffeth. thank you very much for that pport. see you tomorrow. ♪ ♪ ♪

narrator: funding for this presentation is made possible by... man: bab language learning app that teaches real life conversations and uses s recognition technology. daily 10 to 15 minute lessons are voiced by native speakers and they are at babel. b-a-b-b-e-l.com. narrator: funding was also provided by... the freeman foundation. by judy and peter blum-kovler foundation. pursuing solutions for america's neglected needs. and by contributions to this pbs station from viewers like you, thank you. woman: and now, bbc world news