cohn didn't do that. cohn said i want head of these meetings. national economic policy will be set largely by gary cohn. there is rumor going around there is another separate cabinet post, council of economic advises kudlow was going to get. that is no longer cabinet post because of gary cohn. he nixed that as cabinet post, further consolidating his power. neil: kevin brady, the house ways and means chief, neil, we're looking at big sweeping tax cuts. marry it with corporate tax reform. we'll get it done this year. if it gets done before the

gary cohn.the nec, national economic council, this sounds like gobble did can book but it means a lot, it is running the show within terms of economic policy inside the white house. he is main policy advisor in the white house. from what we understand even surpasses steve mnuchin recently confirmed treasury secretary. liz: what? >> here is why. mnuchin as treasury secretary is part of the national economic council you should know. in the past treasury secretaries have asked to be somewhat independent or run the meeting at the national economic council, not the chair of the nec. that ain't happening here. this is cohen's, cohn's game. he is running the meetings. he is the chair of that thing. he is running it all. so, if you think about it, the main point man on economic policy right now is not the treasury secretary. it's, it is not the council of economic advisors which used to be a cabinet position and is no longer thanks to gary cohn. it is gary cohn. he is basically complete ad pretty signif

gary cohn said we need a healthy banking system. liz: the banks are like in a mini ice age. it was stranding the rust belt 2,000 guys and investors. gary: that means they are hoarding the cash. they are buying treasuries. to me it's a joke. these are the two guys who aloud this to happen. then when the mole thing crashed, these guys came to rescue like the fired firemen lighting the fire then coming to put it out. that's how i veufd this act that locked up not just the banks. but people learning and understanding investments that could be to their advantage because they need to be sold products. people need to be compensated properly for that. gary: can you explain to the viewers, what does it mean if this rule that was supposed to go into effect in april. a lot of the industry lobbied against it. what does it mean to the average investor. >> 2eu9 frees up financial investors to do what they were doing and hopefully best for their clients. financial advisors need to do the right thing for the consumers. but it went past that. you have got to bite lowest key product. this wil

gary cohn, is he the most powerful economic member of trump's administration, and cohn has been meetingjamie dimon. >> absolutely. gary cohn former number two at goldman sachs, now deeply involved in the administration on a day-to-day operating level this terms of economic policy. he is right now the most influential voice. they don't have a lot of the other people in place. even steven mnuchin when he comes in, assuming he was approved by the senate, that's somebody who doesn't have a lot of washington experience either. so cohn and mnuchin are both people outsiders to the political system, outsiders to the white house and the department of treasury. it will take them some time to figure out where all the levers of power actually are in those buildings, because it's not necessarily obvious. the political system is not like the financial system in terms of the way wall street works. if you're running operations inside the white house, it's not like being the number two at goldman sachs, where you tell people what to do and they do it. white houses don't work that way. >> eamon, thank yo

not the red hunting roy cohn that most historians know, but the later roy cohn. the man whom did the most to inspire and instruct and construct the donald. now, at you can see last, 30 years after his death, america has made way for roy cohn's greatest creation, donald trump. perhaps tony kushner will have a write a new scene or maybe new act to "angels in america." maybe even a whole new play. after honing his skills in viciousness as to mccarthy's right hand man and golden boy, roy cohn is credited and him can -- n capable -- incapable the clients included the mafia bosses like john gotti and others. as well as the catholic archdiocese of new york and the new york yankees. [laughter] it was only natural for the young trump to seek out roy cohen to do battle against the nixon justice department who was suing him and his father over racial discrimination. after two years of litigation, andtrumps had to settle donald was awestruck by his take no prisoners style and roy cohn took to donald as a handsome and suggestible acolyte. in his red leather booths at the anyo

vonnie: we heard gary cohn talk about that a bit ago with david westin. coming up, more breaking news from the white house will -- or breaking news from the white house. this is bloomberg. ♪ i am live from london, mark barton. european close just about 15 minutes away. vonnie: from new york, i'm vonnie quinn. , just a fews moments ago at the trump white house, opposing further sanctions on iran. the treasury sing their entities and people are affected that the sanctions are critical to combat iran's activity. with the oil moving. here is a legal doolittle. abigail: we take a look at an intraday chart, we see the spike higher on the announcement of the sanctions against iran and the missile test. k, ontory is on the wee pace for the weekly gain in's 2017 -- on pace for the biggest weekly gain in 2017. will it last? we have michael lynch saying this is "a knee-jerk reaction." whenever there are headlines that have to do the persian gulf, you will see a response in the markets. it will be interesting to see how this plays out. as for iran's oil production an

i wonder if that is where gary cohn wants to go given his lineage.heard him say is that he thinks these global universal banks are part of the strength of america and we want to unleash them to a healthy economy. lisa: i think the key word here is global and the federal reserve received a letter earlier the week basically telling them not to participate international -- in international meetings and only -- in order to review global without the sign-up of president trump's team. you think this signals a lack of willingness on behalf of u.s. regulators to work globally to make sure the global financial system is safer? jim: we have 20 financial institutions in the world, in japan, china, europe, and the united states that are enormous as a trade in many markets with each other. they have a norm us interconnectedness and if regulatory regime applicable today's -- to these banks is different country to country, the way they trade and interact with each other will be less efficient. u.s. regulation has to have an regulatorswhat other are doing as to not

gary cohn is going to join us live.ake a look at the premarket as we chew on the jobs number, the president's meeting, all the earnings, amazon, chipotle, gopro and more. back in a minute. ar ig mipehour. ousands my. math on dl ed youbresunders, akbias information evev >>> live shot of washington, d.c. we've seen mary barra of gm arrive along with jack welch formerly of general electric who will be in the meeting today. meanwhile, snapchat's parent company snap inc. officially filing for its ipo. company's s1 last night ahead of a sale that could happen in march. reportedly seeking valuation between $20 billion and $25 billion looking to raise $3 billion. company's debut could be the largest since alibaba's more than two years ago. will be the biggest social media ipo since twitter. we learned a lot last night abo about spiigel, perhaps continuing losses for a while. >> i think their growth comes at a considerable expense. i think they're paying a lot for their growth. snapchat growth slowed 82% after instagram stories,

david: we are joined by gary cohn, formally president and now chairman. thank you so much for being here. it gary: thank you for having me. david: we just have the jobs numbers out. number of jobs, but the weight growth was not great. we heard from the president that he is concerned about the quality of jobs. theave heard that one of things you really want to do is use trade policy to make sure we have high-paying jobs on this continent still. our u.s. focused on the question of losing jobs to technology? gary: we are very concerned about wage inflation and wage growth. and we think it is an area we do need to attack in the united states. we have been trying to great inflation and the united states for the better part of eight years and wage inflation is one of the categories. we are worried about are better paying jobs going overseas. we had been talking about that quite a bit in the white house over the last two weeks. when we talk to our different ceo groups whether it is from manufacturing, automobile, pharmacy -- undoubtedly, the first issue that com

cohn?nobody who voted for trump voted for this border adjustment tax or the worst way of installing a vat in the united states. it's a half-baked idea that could probably only come out of a committee somewhere. trump and mr. cohn, mr. mnuchin all during the campaign and afterwards suggested a 15% corporate tax rate. that's where the corporate tax rate should be put today. border adjustment tax or manipulators can be put in place at a later date. house their ip in ireland or move their offshore to get that down. this border adjustment tax hammers the consumption part of the economy. and the export part of the economy is not that material. this whole notion that dollar is going to go up is completely, completely -- just no evidence that that's going to happen. it's a dangerous plan. hopefully it dies and we can get the corporate tax rate down. >> michael, pick up on the border adjustment tax if you want or maybe a reaction to the fed speak earlier this week and whether you see rising interest

a trump-cohn financial rewrite.this coming out before a treasury secretary has been nominated and i think gary cohn clearly has a lot of influence particularly on this topic. >> what do you think is going to happen with the judiciary rule? >> i mean, it's not confirmed that yet because wevent got a new labor secretary confirm itted in place but very clear guidance and that's pretty much going to be dropped. >> my pick is from cnbc.com. president trump's major asian breakthrough. you know in the asia pacific region we've been quite concerned for america to become more isolationist and to the extent that he doesn't necessarily want to get involved with regional skirmishes anymore. you know what, we're not going to bail you out. you're on your own. whereas the u.s. in the past has played sheriff in the region. this article in cnbc.com was basically saying on a visit to tokyo in seoul, the defense secretary made a breakthrough. it's hard to get tokyo and seoul to sit down because of past grievances with second world war

gary cohn needs some things moving.teve mnuchin can help him do that especially on the tax bill. >> thank you, john. john harwood in washington as we await mnuchin's confirmation. 15 minutes until the close. we could be looking at some record levels here. >> our next guest says investors should dive back into the small cap pool but proceed with caution. we'll state his case next. we have a question about your brokerage fees. fees? what did you have in mind? i don't know. $6.95 per trade? uhhh- and i was wondering if your brokerage offers some sort of guarantee? guarantee? where we can get our fees and commissions back if we're not happy. so can you offer me what schwab is offering? what's with all the questions? ask your broker if they're offering $6.95 online equity trades and a satisfaction guarantee. if you don't like their answer, ask again at schwab. >>> welcome back. as promised t-mobile ceo john legere announcing new additions to the wireless provider unlimited data plan in response to verizon's plan. legere twee

coming up, gary cohn joining us to discuss the payroll report.the move, this is bloomberg. ♪ ♪ jon: from new york city, this is bloomberg. i'm jonathan ferro. let's get you up to speed. upside surprise at 227. tomployment did take higher 4.8%. it is that softer way to figure at 2.5% against the forecast of 2.7%. the fed has a whole lot more work to do still. david: it is like the goldilocks report. muchages did not go up too , so the fed is not likely to raise as fast. gainsyou saw steady wage and growth moderate. is this a change and we have to recalibrate our expectations? jon: first question for gary cohn? -- are they doing doing as much on technology? jon: looking for to that conversation with gary cohn at the top of the hour on bloomberg. that wraps it up for "bloomberg daybreak." what a session. futures of over 100 on the dow. up by 0.55%. s&p 500 positive. 26 minutes into the session. the risk/rally looks like this -- yield down by two basis points. much in line with where we started the year despite that massive consensus in the market. a

usrlet: what can you tell about the dynamic between steve mnuchin and gary cohn?man sachs together for years. do we know how they work with each other, whether they have kept in touch while mnuchin has been waiting to be confirmed? >> mnuchin has been in some of the meetings going on in the white house. he was in florida with the team when trump was meeting with his japanese counterpart. so he is not sitting and waiting and twiddling his thumbs. he is working out of an office, it's not the secretary's office, but there are a lot of strong figures in, on the economic policy team. it remains to be seen how they actually work together. once mnuchin is officially the secretary, it will be interesting to see what statements come out from treasury on dodd-frank and tax reform, and what statements come out of the white house with gary cohn leading. job,when he takes the assuming he gets voted in, which nobody doubts, what will be at the top of the agenda, besides dodd-frank? what else in the tax policy does treasury need to deal with? has been a lot of talk from trump an

maybe gary cohn will be the next jim baker, i don't know.ll you none of this matters. within six months you will know. >> if you look back at prior periods during this market phase we were fixated on things like the chinese currency, on the price of crude oil, on european debt spreads. we were focused on these individual things that seemed to matter above everything else for a short period of time. that's where we are with the tax reform. the headline risk is there. i don't think it's the explanation. >> it gets to this 3%. i saw steve mnuchin walking back 3. now it's 3% the end of 2018. in trump's debates, we should have gone from 4 1/2%. >> you can't get the corporate profits without gdp growth and you can't get gdp growth without immigration. if you look at gdp our productivity numbers are looking okay. you need more people. the problem is we don't have enough people to be going into the work force. you're not going to hit the number. >> i think we saw him writing in the journal about the fertility rate is down to 0.4%. >> the one thing t

i do not sense any tension at all between steve mnuchin and gary cohn. to get your response as well. steve mnuchin does not have a whole lot of experience in washington. what do we know about how he would navigate washington? saleha: it's hard to say. you'll must wonder if there was someone from congress to join the treasury to help navigate that complicated relationship because he does need congresses help to push through trump's ambitious domestic economic agenda. he did have jeb hensarling and kevin mccarthy in his confirmation hearing, flanking him by his side when he delivered his testimony. it sounds like they are off to a good start, but the work is not really started yet. david: thanks to you. leha is kevin cirilli and sa moshin. we will bring you president trump and prime minister trudeau's press conference live at 2:00 p.m. washington time. this is bloomberg. ♪ david: this is "bloomberg markets." we are focusing on politics and policy during president trump's first 100 days in office. was take a quick check now the markets. was take a quick che

my pick is in the financial times titled gary cohn is embarrassing goldman sachs.title which i don't agree with, albeit the content of the article does make some valid points. basically saying he's been too close to the president and very clearly close to the president and clearly driving this call for deregulation, which is tough for wall street to be associated with. he writes mr. cohn honestly believes in regulatory reform and was the most senior economic figure in place before mr. mnuchin's confirmation, that only reinforces goldman's presence. his sin is tactlessness, not corruption. unlike mr. rubin, he is relentless, restless and happiest at the front. his point is that when those executive orders on financial deregulation have been signed, gary cohn has been standing by the president. he did a whole series of interviews straight afterwards on that same day. and this is bad for wall street to be closely associated in terms of financial policy moving forward from other people i talked to on wall street in terms of in banking areas, they are worried that it's

anna: gary cohn, there. great to have the on the program. there are many trump themes to pick up on. let's look at the banking sector first. gary cohn, just talking about how banks have not been lending enough because of dodd frank. manus pulled up this chart on the bloomberg, commercial loans climbing. the loan volumes reaching record highs after the crisis. what do you see in the u.s.? how much sense does this make to you? >> the assumption is that whatever will are place dodd -- whatever will replace dodd frank will make it easier. the real problem since lehman was there was too much debt. that took time for that to be eradicated. households strengthened their balance sheets. banks have been held back by a flatter yield curve, lower volume demand. although things are now changing. balance sheets are strong so household can leverage again. the yield curve is steepening and it improves demand for loans. so, whether or not the changes to dodd frank make a meaningful difference, we won't really know because i guess loan volumes will pick up n

the white house said quote there's no daylight between gary cohn and the president.poke with a congressional aide this afternoon about these mixed messages. he said there's no panic coming from house speaker paul ryan's office just yet and no comprehensive tax reform is going to be tough to pull off. this aide pointed out key trump adviser steve bannon and steven miller support beauforder adjustment. it comes down the president to make this call. the number of republican senators raising concerns about border adjustment is growing. susan collins of maine is the latest one i saw. trump is supposed to weigh in with his phenomenal tax plan within the next week or so but speaking behalf joint session of congress on tuesday and maybe we'll get some clues there. >> phenomenal. thank you very much. we bring you those reports. we talked about it all day today because of the spike that you saw in the retail etf, the xrt when those comments -- you saw the spike there. at that point the etf was up by 2.25%. what is an investor supposed to do when you get these contrasting headl

vonnie: is ryan and competition in gary cohn and ryne is trying to get on a tax plan that gary cohn hasnt idea about? anna: house speaker has also with gary cohn, but they need this border adjustment element of the tax plan, which is very controversial, in order to pay for the tax cuts. a lot of people are on board with the tax cuts, but it has to be legislatively neutral. to do that, you the border element. vonnie: steve mnuchin says he has concerns about the border adjustment tax. is there potential for the tax 20% bute as high as something a lot lower like 5% or 3%? anna: 20% would be the new corporate rate under paul ryan's tax plan. we've not heard about details on what could be given in a compromise. 20% is not an arbitrary rate. it would be the new corporate rate. paul ryan says they will work meanse ways and committee to work out the transition to make it less scary for some of the companies and groups that have come out in opposition to this plan. vonnie: that is the corporate income tax we are talking about their. that is an editor in bloomberg news reporting from capitol hill

tracy: that was former goldman oo, turned economic council member gary cohn.is talk about how deregulatory push is likely to affect the markets. john paul, let's stay with a dodd-frank story for a second. we have seen investors sour little bit on trump trades, the idea he was going to be able to introduce fiscal stimulus and promote business interests by rolling back regulation. now that we have this executive order that came out on friday, are we going to see those animal spirits and optimism return? >> great question. i know he likes to think he cannot work with congress to push his agenda through. in some of the cases, that's true. in the case of dodd-frank and financial regulation, i think he is going to have to work with lawmakers. i'm not entirely sure he will get the support to push this through. through. i think really for the market outlook, you can put as many charts as you want on the screen, but the most important image in my mind is trump's twitter feed. that is what is moving markets now, and it's really economic fundamentals. tracy: can i just s

look at him, gary cohn, two smart business guys. this democrat is for dodd-frank saying i like this. liz: gary cohn is democrat and steve mnuchin stave money to hillary clinton. he was interesting brought on to the trump administration, trump campaign, scraping bottom of the barrel to run out of money. he turned it around. >> i was with steven and you in vegas at the salt conference. liz: that's right. he just joined. he put his mind to it. figured out how to raise money. he was able to give that new life to that campaign. >> it is actually not surprising when you see what president trump is doing with gary cohn at nec and mnuchin at treasury secretary. he is very big on business. a little different than what obama did. he looked at larry summers and geithner. it was a time you needed dodd-frank regulation. more regulation than policy i do think they're making a mistake not having a cea, council of economic advisors as cabinet member. i think you need that economics background in there as well. liz: he has the economics of the box o

is gary cohn the real power player there?d a lot of influence in the early weeks, or is it someone else altogether like mr. bannon? >> that's what we assume looking from the outside. they're both talented. it's interested, though, in the way we have this dialectect down here, normally you have an army of economists. so much of the dialogue and narrative is driven by economic arguments. here's a president who has not yesterday decided whether he wants to refill the council of economic advisers. we are getting off to a bit of a late start. there's been loyalty tests for the levels below, the cabinet secretary. it's a bit of a slow start. democrats are trying to slow things down. i think it is mnuchin and certainly is gary cohn, they're very competent. you have a republican congress that has done so much of the work. they're on to 2.0. it's a credible tax plan, but base broadening tax reform, if you have to stay revenue neutral, it's a very, very tough hurdle. we went through that in 1986. very, very difficult. that's on top of

the cohn is representing more establishment views. radical anti-trade views. so the idea that this is a big deal. joe: the other thing that has happened, all the financials have been rallying. he is known for his work on regulatory reform and dodd-frank . scarlet: that gives president trump another fed vacancy to fill. joe: another opportunity to make his mark. -- the more opportunity for him to put people on the fed, the more bank investors like that news. scarlet: a lot of the concern among democrats or anyone who is watching how the president proceeds with these plans is whether gary cohn does this with the perspective of wall street in mind or the broader economy. they can't help but think that. a concernhas been with many of the people in this administration. many of them very rich tied to corporate america which is not necessarily a bad thing in and of itself. that is where their experiences. there's a lot of automatic suspicion that whatever they do, whatever they are going to do is learn to be informed by their prior career. s

gary cohn said it again today. first thing they're going to go after. why?ome of it is because fewer people with insurance means that acadia will have fewer customers. more importantly, acadia has been a big beneficiary from what's called the mental health parody rule which is a provision that requires insurance companies to cover mental illnesses the same way they cover physical ones. if congress gets rid of that, this is going to really hurt a acad acadia's numbers. while the stock has come down in recent months, i think it's still way too risky because of this problem. acadia health care is exactly the kind of thing you don't want to own in this new environment with this new president. next up on january 26th, bob in ohio asked me about ilg. i said i got to do some homework. it's one of the companies created by the breakup of iac interactive. what's it do? ilg is a time share play. it's mostly vacation rentals and exchanges with some vacation ownership business. they own the exclusive global license to the hyatt. viewers now i'm a big fan of this industry

now he says he likes it again, back to the gary cohn issue. overall, as we look at what's going on, we have to turn to the democrats. democrats have a real horse race to run the democratic national party and the committee, and you had one of them, jamie harrison, the chairman of south carolina dropping out of the race for dnc's chair, and in doing so, he endorsed former labor secretary tom perez and not keith ellison the minnesota congressman who's been somewhat controversial. who wins this battle? are you hearing anything inside the beltway? >> well, this is going to be a horse race tomorrow in atlanta. the going bet is that ellison is right there and that he could pull this off. the fire in the democratic party is on the left. it is on the elizabeth warren-bernie sanders side of the party, and i think that the party is still trying find itself. it is a party in the wilderness of sorts. as the leadership is no longer, obviously, in the house, the senate, the white house, and they are going to have to find a message that identifies especially

we heard from gary cohn about the details.e agree ,ith the likes of steve mnuchin but maybe the treasury sounds like from his testimony there may be some agreement there. likes to characterize himself as a regional banker. anytime anyone refers to messick goldman sachs partner, he says i'm a reasonable banker. from that perspective when it comes to dodd-frank and a lot of the community banks wanting a savior out there, he may be the right person. it remains to be seen how well they can work together. cohn, who comes from a markets background. thinkingoming from his experience. people pulling in different directions and you wonder what it is like when they are all in a room. >> the history of the director national economic council -- when you look at people who held that in the past, these are people who have very large public roles. cohn hopeshat gary to make after mnuchin is confirmed? >> it sounds like it is going to be a strong role. he was a pretty strong director. now we have rubin, who maybe wasn't quite as strong, but w

revisiting the rules are going to be steve mnuchin, the treasury secretary, and white house adviser gary cohn, and they are both former top executives at goldman sachs. that sure sounds like you're aiming at wall street, not main street. >> well, but -- and, you know, i understand that, and we're proud to have both of those men involved in this administration to bring their expertise. but, look, the reality is that you can talk to small business owners across this country, and since the passage of dodd-frank, frankly, we've seen the availability of loans in banks across the country begin to dry up for small businesses, simply the cost of compliance for smaller loans is too heavy in the wake of dodd-frank. that's what we're hearing from main street -- chris: right. >> and what you saw the president do this week is begin to roll back those regulations, use common sense and really unleash the kind of resources that are going to make it possible to see small business america and all of business america grow and create jobs. chris: the president -- [laughter] in another action this week nominated

gary cohn is leading the president's national economic council.erg television they can get a lot done with or without support from congress. bit ofe can do quite a what we need to do. obviously, we will work with congress. i met with jeff and his committee members to talk about what we can do at the house. the house wants to be active and helpful as well in what we do with financial service regulation. house, thegave's the senate. they are equally interested and reforming the regulatory processes as well. we can do quite a bit without them, but the more help we get from congress, the better off we will be in making this job creation vehicle more effective. talking about regulation in every industry group, automobile manufacturers were talking about what they have to do with the epa and other regulators, manufacturers were talking about different regulatory groups, so we won't need help from the house and the senate if were going to give them help from the white house. wide panoply of regulations, but let's stick with dodd-frank. let's be specific.

cohn didn't do that. cohn said i want head of these meetings.ational economic policy will be set largely by gary cohn. there is rumor going around there is another separate cabinet post, council of economic advises kudlow was going to get. that is no longer cabinet post because of gary cohn. he nixed that as cabinet post, further consolidating his power. neil: kevin brady, the house ways and means chief, neil, we're looking at big sweeping tax cuts. marry it with corporate tax reform. we'll get it done this year. if it gets done before the summer, it would be retroactive. pushed into the fall, a point of approval. >> right it will be simple majority and it will get done. i think that is a big reason why wall street has never looked back. >> yeah. i mean no doubt. that they are banking on significant corporate tax reform, particularly corporate tax reform. but some individuals and individual tax reform and regulatory reform. here is the one fly in that ointment. if you have a dysfunctional white house where stuff gets bottled up because there are

we also heard from gary cohn who, of course, wall street viewers will know is the former number two at goldman sachs, economic adviser here at the white house. he talked about some of the goals for today's meeting and what was on the agenda. here is what he has to say. >> first thing hurting business growth is regulatory policy. the second thing hurting business growth is tax policy. and the third thing hurting business growth is our infrastructure. we have to attack those three things. ironically, that is our agenda. >> so, wide ranging agenda here at the white house today. everything from immigration to taxes, to health care. all of that being discussed here at the white house today. and we're just going to move out of the way here. there is a smallish motorcade emerging from the white house. but a big agenda here at white house. we'll see if we can talk to some of the remaining executives who are still in here, tyler. back to you. >> eamon, thank you very much. >>> headlines out of the white house press briefing today. let's check in with john harwood. john? >> tyler, sean spicer ca

scarlet: that was gary cohn speaking with david westin.so much information being noise, what is the best indicator to filter out the noise and determine where the market is going? we will talk to a bloomberg strategist who has the answer. this is bloomberg. ♪ joe: "what'd you miss?" the most important stock market signal heading south? --'s bring in a strategy strategist. u the holyng to bring in grail of indicators about where the market is going. what is this chart? , markett context signals and cycles are driven by fundamental signals. every day we are inundated by facts, figures, news, most of that is noise. for there playing bigger picture, you won an indicator you can anchor on that will get you an accurate forecast. this is my favor one i have used for years, which is the real earnings yield of the s&p 500. may be a little remedial demonstration here. scarlet: please. >> i like to think of stocks on the stock market in the same way i think of lawns, how much am i paying for the yield i am getting. or a bond, it is a coupon plus capi

gary cohn cannot do your job, right?nomists bring is a level of knowledge, and they bring an pleasingon less about the president and more about telling the truth. any president benefits from that. tom: president obama would agree with the phrase that we just heard. kevin, thank you for your continued effort. kevin joining us every 18 minutes on "bloomberg surveillance." we will continue with dr. fuhrman. coming up, my conversation with vice chairman of the fed, stanley fischer. particularly, after the lift in inflation we saw yesterday. from washington, from london -- this is bloomberg. ♪ ♪ guy: you are watching "bloomberg surveillance." european equity softened. this is the picture at the moment. nestle down on the bank of its numbers. the inflation number engulfed. the ecb reveals its accounts and minutes today. the attention to what they say. here is the bloomberg business flash. taylor: the world's largest food company is predicting slower growth this year. nestle expects they will drag 2.4%. the company has been hur

regulations, just a while ago, you were talking about it the president chief economic adviser gary cohnisten here. >> all banks have been -- big banks, small banks medium seized all banks have been under such regulatory scrutiny where they have been forced to literally build capital and build capital instead of lending capital into their clients, and allowing their clients to grow their of businesses. >> that is one of two things that if president will be doing today because he also signed a memorandum that will temporary halt the fiduciary role obama administration put in place dealing with client assess management, that labor department now oversees it will go a 90 day halt on that program if not enough 10:00 this morning the president sits down with basically the whose who the strategic for um you heard gary cohn mention in that interew about 30 some of the biggest names, here huddled inside the west wing with the president back to you. maria: interestingly the president is listening to them not necessarily just financials right elon musk going to be there,ing you've got from gm goin

gary cohn says we're going to help the banks, the banks have been in a terrible mess.t sound to me, it's technical, but this is a revolution. >> it's huge. and the gary cohn interview in the journal today and-- >> and this morning. >> and dead serious about it. some they can do administratively, the way the law was written the fiduciary rule you mentioned was an entirely unilatel action and they can reverse it in that way, but eventually they'll need legislation if they entirely undo it. this is part of a two-week tsunami of action that's going to continue rolling forward. stuart: good word, tsunami of action. i get the impression it's kind of rolling over the left. what are they going to do. the man keeps coming up with stuff. >> for the one, they can't stop them, two, they've lost their mind and they can't think rationally. three, the party is in crisis, they don't know which way to turn. they didn't expect to lose and they're having a big internal debate how to find their footing. so-- >> if you watch. >> troubles on that. stuart: watch the media, read the newspaper

you look what gary cohn is saying and what the reality is. the republican congress previously never put a dodd-frank reform bill on president obama's desk. the other thing to remember which we haven't talked about is some of these things in the senate are going to require 60 votes. some things can to be done by reconciliation. i'm no expert. all i know is it took a lot of time and a lot of complexity to write these rules and get them into place. my guess it takes as much to get them out. >> steve, thanks. >> reporter: sure. >>> steve liesman. these than 30 minutes to go. dow is hanging on to a loss of 30. s&p negative by six. j.j. cunningham joys us to tell us what investors bought and sold in january. >>> one big cap disney ceo robert iger may be stick ago round the magic kingdom a bit longer. a look at his past, present and maybe future coming up. what'sheue 'stithnga skm irit?hr e vapitasteath tt . nl >>> welcome back. a gentle selloff on wall street dow dropping 26. 20,045. russell 2000 lagging again down 1% dropping 11 points today. >> l

. >> gary cohn. this person hated cohn when he was at goldman. >> it's time to be more cautious because obamacare repeal does not bode well for reaching a quick agreement on tax reform or infrastructure funding and reinforces goldman's view that fiscal boost. number two, polarizing as ever. number three, the president is likely to follow through on campaign promises of trade and immigration, some of which could be disruptive for markets and the economy. >> i always felt it was 2018. analyst reports, you got to look through the valley of 2017 for what's out there in 2018. this is not as a negative piece as i thought as just saying, listen, the guy comes in and he is really breaking a lot of eggs. and there's an oml lomlette dow there somewhere. >> the market has already made the fritatta, right? >> now it's time to make a pizza bomb. >> time to figure out if you have the things to make it all work. >> look, i admit that when i look at the border tax, it's like, wow! that is just -- if they can get tha

gary cohn. we are really happy. just paid $200 million in tax in order to take this job, by the way. [laughter] which is very unlike gary. he is great. and he will be criticized by the media because he's getting paid $197,000. i will say, he really wanted that money, which he gave up. i think he gave up. did you give that up? i think so. it was one of those things. i want to thank -- wilbur has been fantastic. i have known wilbur for so long. he's a great guy, great negotiator. a very fair negotiator. he will be doing things that the deals we have with other countries that are unbelievably bad. we don't have any good deals. i'm trying to find a country where we actually have a surplus of trade. everything is a deficit. with mexico we have $70 billion in trade deficits. it is unsustainable. we will not let it happen. can't let it happen. we'll have a good relationship with mexico, i hope. if we don't, we don't. but we can't let that happen. $70 billion in trade deficits. that doesn't include the drugs that pour acros

jonathan cohn and from forbes. obik roy. you've seen them before. let me start with you, ovik.id john boehner call it a kingsley gaffe, accidentally speaking the truth. >> he has every reason to say what he said. we've had no agreement among republicans as to how they'd replace obamacare. republicans are united on what they're against but divided on what they're for. some republicans say we really want to repeal obamacare and go home. that's it. others, like myself, say we embrace the coverage goals of it but believe it can be done through another process. and people in the middle want to duck and avovoid the noisy town halls and try to get reelected and support measures in between. the president will have to exhibit leadership. he needs to lay down the law and say congress, send me something that covers as many people as the aca or i'll veto it. then they'll have marching orders and can put something together. >> you're finding yourself -- you're used to arguing in the defensive posture. you're now in the offensive posture. if you're democrats and you watch all of this, there

i was introduced to president trump by his attorney, roy cohn. i was trying to put together is a white campaign for reagan. i needed a finance committee, on.orders, telephone and so cohn arranged an appointment for me. donald likes politics away he likes sports, he follows it carefully. i said, mr. trump, i'm roger stone. he said, please call me donald. the day after he was inaugurated said, mr. president, congratulations. he said, please call me donald. host: you met him when he said,n his early 30's. how has he changed since then? roger: he's calmer, and he has a great deal more experience straight i want him to run for president as early as 1988, more earnestly in 2000, and certainly in 2012. but in retrospect, 2016 was the right time, the perfect storm. host: when do you think he first started thinking about that? there's a clip with mike wallace in the mid-1980's. he was sure whether going for the presidential look or not. one suspects may be a little bit. you first met him in the late 1970's trade wendy you think he first started thinking a

question to do the treasury secretary steven mnuchin earlier today and he told me that people like gary cohn will be taken the lead on appealing key parts of the affordable care act or obamacare, as of course the congress will where the budget score office to score just how throw policy proposal will weigh in on that. then when you get into terms of tax reform issues, they're hoping to pass some tax reform plan before congress enters into the august recess. the from a direct standpoint on financial policy such as repealing key parts of the 2010 dodd frank legislation act. that they will wait for until after tax reform. all of this is being worked out now, vonnie. amongst republicans, one of the key divisive issues within the republican caucus right now is the border adjustment tax. that is where the ceos differ. people like boeing are positive of paul ryan's plan to raise revenue to allow for other tax cuts. then you talk to retailers like walmart and walgreens who are here -- were here last week and they are against income as are other republicans who are opposed to speaker ryan on that. ma

is trump's cabinet is stacked with people who come out of the financial services institutions like cohn coming from goldman sachs in a lot of the advisors he has come from jpmorgan and other banks that will benefit greatly from this so is it ultimately looking out for the people as he is claiming? >> jon: dodd-frank regulations were designed to rain and abuses at banks, kristen, and given what wells fargo was doing recently, you can see why some of that might be warranted. but the big complaint from the community is that it was the sort of mom and pop banks, the small community banks all over the country, farm country, smaltown, small small cities, those are the ones who are really being crushed by the regulations of dodd-frank. >> this is all about unintended consequences. you can be someone who wants to see financial regulation really protect consumers and put forward laws you think will achieve that but they wind up having these unintended consequences where you are hurting small banks or in the case of this regulation that says you have to -- if you are a financial advisor come you

the head of president trump's national economic council gary cohn takes aim at dodd-frank. two has joined the conversation over deregulation that the administration waits to see its new treasury secretary. gary cohn says the trump administration will attack all aspects of dodd-frank as it works towards jobs growth. >> we want to get the banks working again. we want thanks to be back in the lending business. what we think dodd-frank has done is that it has stopped banks from vending to small and medium-sized businesses. it has stopped banks from lending to entrepreneurs. furtherran carried out missile tests on saturday after the u.s. impose new sanctions on individuals and companies. a commander of the revolutionary guard told state media that a range of land to land missiles were successfully test fire the country's north. global news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 countries. this is bloomberg. rishaad: we are looking at takata shares. were set to plunge by the day the limit at one point. the japaneseor, airbag maker looki