charles evans, thank you for having me to check out the fed. we thank you so much.ending it back to bloomberg world headquarters. kathleen hays reporting from chicago, an interview with charles evans talking about hikes being plausible. we have to keep looking at netflix. billion,e is a 4.9 below where analysts were expecting. negative free cash flow. ahead read from new york, this is bloomberg. amazon prime video is now on xfinity x1. so when you say words like... show me best of prime video into this... you'll see awesome stuff like this. discover prime originals like the emmy-winning the marvelous mrs. maisel... tom clancy's jack ryan... and the man in the high castle. all in the same place as your live tv. its all included with your amazon prime membership. that's how xfinity makes tv... simple. easy. awesome. >> bloomberg's first world news, transportation security administration officials say the rate of airport stringers desk screeners calling in sick is higher than normal it down from last weekend. a test could be facing friday of its ability to process crow

. >> yes, precisely and his election against charles evans hughes was so close that charles evans hughesent to bed thinking he was president and waking up -- woken up to find out no, california went a different way but i wondered if you -- >> can i -- it's a great point. >> i wondered what you're -- >> go ahead and finish. >> i wonder what your thoughts were if charles evans hughes if he had been elected president how the course of world war i would have been different. >> hard to speculate, he was close to theodore roosevelt who hated woodrow wilson but the one thing to be aware, i'm so glad that you brought up 1916 woodrow wilson whom i think is vastly overrated, he was a horrible racist, he was not a man of his time, his two predecessors were far more progressive on civil rights, this is someone who gave comfort to racist in this country, showed birth of nation celebrating celebrating the ku kluz klan in the white house. the other thing that wilson campaigned in 1916 like the caller is saying, you know, would have keptous out of war and he will do the same. he knew that we were going

chicago fed president charles evans is the u.s. central bank can easily take a patient stance toward rate increases. evans, who is a voting member, says the fed is in a good place as the u.s. central bank assesses the economic outlook amid turmoil in financial markets and muted inflation. >> we are at a good point for pausing. let's look at the lay of the land. i'm not worried about inflation getting out of hand. the inflation data is softer than i was expecting. andgoing to be cautious take care to make sure inflation is going to continue up and perhaps about 2%. >> audi officials have been indicted for their role am a chronic to defraud customers and regulators by rigging engines with illegal software to pass emissions tests. the indictment comes weeks after the company posted its first annual u.s. sales drop since 2009. vw says it is cooperating with u.s. authorities. a top north korean official is likely to meet president trump in washington later this week. overrt of negotiations north korea's nuclear program and amid speculat

the chicago fed president charles evans says the u.s. can easily take a patient stance for further rate increases, speaking in an interview with bloomberg television. this, a voting member year, said the fed is in a good place for pausing as the central bank assesses economic outlook amid muted inflation. >> we are at a good point for pausing. i'm not worried about inflation getting out of hand. if anything, the inflation data has been softer than i was expecting and i would say i am going to be cautious and take more care to make sure inflation will continue up and above 2%. four audi officials have been indicted in the u.s. for their role in a conspiracy to defraud customers and regulators vibrating engines with illegal software to pass omissions test. the indictments coming week after the company posted its first annual sales drop since 2009. parent company vw says it is cooperating with u.s. authorities. a top north korean official is likely to meet president trump in washington later this week. he is in the u.s. capital as part of n

note, a quick programming coming up later, charles evans, ceo, 4:00serve bank p.m.york and 9:00 p.m. in londonderry from toronto and new york, this is bloomberg. ♪ i'm all about my bed. this mattress is dangerously comfortable. when i get in, i literally say ahh. meet the leesa mattress. a better place to sleep. this bed hugs my body. i'm now a morning person. the leesa mattress is designed to provide strong support, relieve pressure and optimize airflow to keep you cool. hello bed of my dreams. order online. we'll build it, box it and ship it to your door for you to enjoy. sleep on it for up to one hundred nights and love it or you'll get a full refund. returns are free and easy. i love my leesa. today is going to be great! find out why so many people love the leesa mattress, then try it in your own home. order now and save big. for a limited time, get $150 off - and free shipping too. just go to buyleesa.com today. you need this bed. the president's former lawyer margaret cohen is admitting he read online polls before the 2016 election in mr. trump's favor. he rec

charles evans shares exclusive insight. >> i don't think there is any hurry.lso wouldn't want to make a mistake. it is all straight ahead on loomberg best. >> hello and welcome. this is bloomberg best. let's start with the day by day look at the top headlines. a big week for u.s. bank earnings began with quarterly results from citigroup on monday. citigroup of course kicking off a week of big bank earnings. the company was saying on the analyst call that the trading environment has improved a little bit. some of the concern was the headline number and the revenue was off 21%. remember citigroup and the other major five banks lost $200 billion in equity value in the last three months of last year. they sold off quite a little bit. there is a little bit of room to rise after that. another good thing about citigroup is that loans came in at a pretty good place which signals a pretty healthy environment. the c.f.o. mentioned there would not be real troubles until end of this year should trade continue to weigh on economic growth. john a.: missed big. wells fargo s

charles evans. >> the economy is doing well.w a lot of strength in the december employment report, 312,000 jobs created. you are exactly right. i went in thinking that 2018 -- we are about 75 basis points from being at a setting that is just a little bit restrictive. it is almost neutral, but just a little bit restrictive. that is sort of the setting that , with my outlook for a good economy, i would say we could sit at that rate for quite a while until we see the economy decelerate to trend, inflation hang around 2%, the unemployment rate still continuing to the good. timing is not a big deal, because even if we were to increase rates in june, you have increases in september. i do not have any increases slated for 2020. if it happens in 2019, if it with all the20, uncertainty with some other things going on, europe softening a bit, i think we are actually well positioned to sort of assess how the data are coming in, whether or not our business contacts see things proceeding and little differently than the national data, and we

yesterday in an exclusive interview with chicago fed president charles evans, kathleen hays asked ifentral bank had enough data to make up its mind. with all of the uncertainty with all the things going on europe's offering -- europe softening event, we are in a position to assess how the data are coming in, whether or not our business contacts see things proceeding a little differently than the national data. and we can respond properly. i think we can easily be patient. let's bring in bloomberg's senior economist. he says that but then we get some private data like today from the university of michigan confidence number which is a big disappointment not in negative territory but definitely down substantially from the previous month, that must be giving the fed a little pause. cautious would be very about sentiment data. we saw that in the past during the debt ceiling debacles and other governments crisis is. filter into really consumer spending data. you can see movement in sentiments, they flow with the news flow, but then nothing really happens to the real economy. this drop in s

charles evans says the fed can be patient, even as the vice up -- and we will speak with the cofounder of europe's largest active investor. what opportunities does he see in 2019? good morning for everyone in europe and in the u.s., if you are watching from asia, breaking news out of sweden after its longest political impasse for the country in its history, sweden finally has a government. the parliament in stockholm voted to let the social to let l democrats become prime minister. at the same time keeping the democrats away from levels -- we can see the euro against getting breaking news out of the reports. economic slowdown for now. we want to find out whether there is a difference on the slowdown doing prices is on a supply issue. that could be one of the first indicators. crude oil at $52. later we will be speaking to neil atkinson the head of the oil industry markets. in the meantime, this is the markets are doing. theresa may has decided not to come to that level and is facing a political impasse. i do not know what her plan b will look like. we will get a softer brexit. question

rishaad: chicago fed president charles evans there.s and future remps. -- reference. ♪ >> welcome back. let's get a check of your markets now. we'll start with a broader look across these equity markets australia. it is a good day. singapore up. kospi up .5%. have a look at u.s. and u.k. futures. hong kong going into its lunch break soon. shaping up to be nice. a decent session here. back above some key averages here, moving averages. coming out of malaysia, the finance minister as it pertains to the scandal. you know how they say sorry is the hardest word. not really. is harder 7.5 billion r. rishaad: we did have an apology coming from the c.e.o. during the conference call the other day. coming out and apologizing and saying they had of course had some interim problems with all of that. ok. currency-wise, it has been about the pound all week. the day we didn't have this vote on theresa may's plans, there was one verment investment bank that said don't trade sterling. it is going to be all over the place. we're getting to a point where

kathleen hays joined charles evans about a rate caused and what happens next. asked him about china, is he concerned about growth? >> he is focused on china, saying, yes, china is slowing down, one of many concerns from he sees the economy being softer and maybe the trade war is part of that, trading on uncertainty. he added this to many other factors. he is still relatively positive about the u.s. economy but the trade war, a slowdown in china, concerns about financial conditions on what they are doing. they have been better lately. even so, the china question is important to him and other fed members. >> he is worried about global growth. markets have ruled out rate hikes entirely this year. as he ruled that out? >> i do not think so, he made it pretty clear that he is still confident growth is still above trend this year, payrolls are still strong, unemployment is low. he spoke on inflation as something maybe softer he thought it would be going into the end of last year. another reason the fed should be patient. he did say this two rate hike we , that rate d

this morning, fed speak with the atlanta fed. 9:00 a.m., charles evans from the chicago fed. the mckee will interview fed president's morning. auction $24 will billion in 10-year note's. hopefully they do better than the auction of the three-year notes. this afternoon, fed minutes from its december meetings. right now, bloomberg first take with lisa abramowicz and marty schenker. we are not talking china talks. they are over. the chinese government said they were serious. there will be a statement. we don't know what happened. >> i will say bloomberg reported a story that is important. president trump once a deal to juice the u.s. equity markets. s that when there are optimistic stines -- signs, stocks rally. this is important, because if trump and the fed are held hostage to stocks and i bet on stocks because they will be trying to make policies to get stocks going again. david: what struck me about that report is this is not trump style. i don't care at all. i am not hostage to anything. this is weakening his bargaining position. >> potentially, it is. no one is talking abo

coming up, charles evans joints bloomberg for an exclusive interview. that is at 4:00.loomberg. ♪ >> they buy the gold in the biggest deal in mining history. u.s. chill versus opec. opec production's falls a two-year low as u.s. production hits another record. the showdown continues. pg&e heads toward bankruptcy. the implication for clean energy contracts. ♪ >> i'm alix steel to welcome to "bloomberg commodities edge." 30 minutes focus on the trading behind the hearts -- the

kailey: still ahead as we review the week, an exclusive conversation with chicago then-president charles evans. plus, cisco ceo chuck robbins gives a view from the tech industry on the u.s. trade war with china. and the chinese government begins to take bolder steps to shore up a sagging economy. developmentnal reform commission, they say they will be outlining measures to support the auto industry. ♪ kailey: this is "bloomberg best." tour continue our global of the week's top business stories in china, where downbeat trade data provided the latest indication of an economic slowdown. inchinese trade slumped december, underlining the impact of the trade war and an economic slowdown. the numbers are the worst since 2016, with both exports and imports falling from the year-earlier. what did the numbers tell us? are think the key takeaways amountowing domestic coupled with slowing global demand is hurting the export sector. do not expect this to turn around anytime soon. member this is just the latest software eating on china's economy -- soft reading on china's economy after slumps in retail sale

and with his role with that institutional comparative of the court and who was most admired was charles evans hughes and i think this chief justice knows that if the court veers a hard right and does it quickly and they will do it at some point to have five members of the court that are very conservative unless he drops off to broker a compromise. and then there will be a democratic president in both houses of congress. if the court is viewed as a wacky right and if they are not treated fairly then there will be a push to talk about term limits that is all with the constitutional amendment and that will not happen. but what would make a huge difference right away is if you pack the court if you add justices on the court's. in the last president who try that was fdr who famously lost in the court packing plan. the number of justices of the supreme court has changed ten times over the course of our history and almost every one has been added or subtracted. and there is no reason on god's good earth that could not happen now. >> so what should we read into that the chief justice a judge in calif

he mostf justice admired was charles evans hughes. i think this chief justice knows understand that if the court veers very hard right , if it doesquickly it at all, and it will do it quickly at some point, assuming that you have five members of the court who are very conservative, unless he drops off or is able to broker some sort of compromise. if he is not, at some point in the future, there will be a democratic president and both houses of congress controlled by the democrats. and when that happens, if the court is viewed by the public as right and other people think they are not being treated fairly, there will be a push. all the talk about term limits and all that, you can forget about it. those all require a constitutional amendment, and they will not happen. if it did, it would not make a huge difference right away. what would make a huge difference right away is if you pack the court, if you add justices to the number of justices on the court. the last president who tried famously lostwho in his court packing plan. but the nu

charles evans, said we need three more hikes. he didn't give a date. that sent the market down. rosengren, we'll take a wait-and-see approach. this course of different opinions and ideas the market is having a tough time grappling with this are we hearing too much from too many fed officials? >> i think so. it is understandable why fed officials want to speak out, why media wants to cover it, why market watchers pay attention to their every word. ultimately the markets, minutes, votes, tell us much more. when we hear from the fed chairman this week that will tell us more information. every comment from every official is not something that should send the market into a frenzy. let's be honest, stock market psychological entity. every day, the news of the government shutdown, china relations news about economic picture at home an approved. these things impact the market. fed officials ought to be careful with their words ultimately. charles: danielle, do you agree with jon, that jay powell is not playing ball with the white house but may be sympathetic and understand, may be more

the fed's charles evans, just says he still expects three rate hikes this year. t sent the market to the lower ground there. mr. evans, he did it. we're up 30 points on the dow. more "varney" after this. ♪ ♪ (vo) here's a question. was it necessary to create a luxury car more teched out than silicon valley? with a cockpit fit for aspaceship. hang on. radar that senses things the human eye can't. busted. and the ability to make a thousand decisions before you even make one. was all this, really necessary? what do you think? ♪ i am a techie dad.n. i believe the best technology should feel effortless. like magic. at comcast, it's my job to develop, apps and tools that simplify your experience. my name is mike, i'm in product development at comcast. we're working to make things simple, easy and awesome. stuart: how about this? cigarette smoking, tobacco smoking has hit all-time low in the united states. joining us alex coleman, zoo yo of tilt, they own cannabis and pot, marijuana businesses. alex, welcome to the show. >> thanks for having me. stuart: is this good news

evans,up, charles federal bank president will be york.4:00 p.m. ♪ ♪ this is bloomberg "surveillance." apple will cut back on hiring after selling fewer iphones than expected. tim cook making the disclosure to employees earlier this month. he said a hiring freeze was not the right spots. some apple units will continue to add employees. apple's main chipmaker forecasting quarterly revenue lower than expected. taiwan semiconductor's verdict growth is the -- predict growth is the worst in decades. they are counting on high performance computing to drive future growth. aluminum is about to get cheaper. consumers ared by expected to continue to decline. up more supply. democrats trying to keep the sanctions in place but that failed. francine: thank you so much. as trading slumped revenue slumped 20% as volatility reduced activity. prefer to -- would joining us now is bloomberg finance reporter. when you look at societe generale, should we worry? >> all of the banks are struggling in terms of trading revenues. generale one not be the only one this quarte

i see little need to engage in restricted monetary policy and push the fed rate above neutral charles evansi feel we have a good capacity to wait and carefully take stock of the upcoming data and other developments rosengren says i believe we can wait for greater clarity before adjusting policy james bullard said the fed is boardering on going too far and possibly tipping into reception if rates go higher bottom line, will we get any rate hikes this year >> i think so but i do not think they are imminent by any means if we are right on the economy and we have a growth moderation but not a growth recession inflation around the 2% target if the markets settle down they will be able to edge rates higher they are not going to be able to get above the 3% rate. but i think they are skewed towards the additional rate hikes from here. >> summing things up, what is your gdp forecast for the year and the biggest swing factor to make it go higher or low >> yeah. that is how the fed looks at the world. 2.1% growth forecast for 2019. 2018 is shaping up to look like the 3.2% that is growth moderation and

one more comment, by the way you've seen charles evans and james bullard at chicago and st.re fairly dovish, and we'll see how they can impact the committee. >> richard fisher, good to check in with you. >> thank you. >> thank you, sara appreciate it. >> always good to come back and for the. former president of the dallas fed. obviously, we have lost quite a bit of ground here dow up 34 points, s&p has gone red, after we got that inventory number and oil prices came in, as well. shooting for a fourth day in a row, up. but that's now at risk we're back in a minute >>> investors cautiously optimistic about progress being made on a china trade deal >>> three new-age tech stocks are quietly breaking out find out what they are and if you should buy them on tradingnation.cnbc.com more "squawk on the street" is coming up. >>> let's get to the cme group in chicago rick santelli has the santelli exchange rick >> good morning! well, everybody, of course, has been very excited that the equity markets aren't as volatile especially the bulls but i look at it from a bit of a different per

evan any. chance because justice is about. truth detectives start. hello there and glad to have you with us for these new edition of record africa brought to you by charles to be quite a safe and amongst all stories today we will meet a young girl in cameroon who produces homemade so i will also learn about an hour but he takes micro plastics in close by takes a military we're coming to you from lagos nigeria and i'm joined by my wonderful colleague from leisha in south africa hello felicia hi and see that's right i'm finished and it's me and as always i'll take our presenting eco africa from johannesburg here are a few more of the topics on today's program. we'll see how d.n.a. tests on crops can help farmers in east africa for. learn about a modern way salmon mining precious metals in germany. and hear about efforts to save the last white rhinos in uganda. she's only nineteen but she's already established her own small startup rafael where one produces natural soap encounter in capital yone day she uses a recipe handed down from her grandmother but her business model is definitely contemporary she's also got it products online and is already looking in

charles schwab, i like it. >> thank you everybody else thanks you as well "power lunch" starts now >> thank you, scott. i'm kelly evansevan a new year, the same old fears the major averages off their worst year since the 2008 crisis investors are still looking for a bottom we have concerns about the global economy fueling today's action china's manufacturing shrinking for first time in a year and a half the ripple effects and what it means for trade talks. that's straight ahead. and the government shutdown is in its 12 day now. president trump is set to hold a bipartisan meeting of congressional leaders to hammer out a deal that's in just a

charles schwab, i like it. >> thank you everybody else thanks you as well "power lunch" starts now >> thank you, scott. i'm kelly evans. hi, evan a new year, the same old fears the major averages off their worst year since the 2008 crisis investors are still looking for a bottom we have concerns about the global economy fueling today's action china's manufacturing shrinking for first time in a year and a half the ripple effects and what it means for trade talks. that's straight ahead. and the government shutdown is in its 12 day now. president trump is set to hold a bipartisan meeting of congressional leaders to hammer out a deal that's in just a couple of hours' time. we're already getting some headlines from the president we'll be live at the white house with the very latest and tesla is taking a big hit today. delivery numbers missing the mark and the company cutting prices we have the road ahead for the electric automaker coming up "power lunch" starts right now >>> and it does indeed, kelly. welcome to "power lunch. i'm tyler mathisen welcome to the new year. the volatility continues in this new year 20 19. the d