and david o'sullivan is the e.u. ambassador to the united states he was part of those negotiations at the white house and he is in washington this evening we thank you so much for joining us david. thank you very much my pleasure i'd like to begin by asking you about something you previously said you mentioned that we have moved in your assessment from what could have been a negative feedback loop to a positive feedback loop when it comes to trade why is that. well because i think prior to the meeting yesterday of the very good understanding reached between president juncker and president trump we were in a situation where the united states had imposed tariffs on steel another medium exports from the european union on fairly you know if you we had then reacted by imposing rebalancing tariffs on exports from the united states that we were in a situation where the united states was threatening potentially to put. it legal tariffs on the cars and call parts which would have required us in turn to retaliate and this could

alix: david o'sullivan, thank you for your time and good luck.echnology investors looking for microsoft results after the bell today. revenue estimates at $29.22 billion. it will be about the broader effect that microsoft is off by 3/10 of 1% after hitting a record high earlier this week. joining us from his office is john the 15th, the managing director for equity research, with an underperform rating on microsoft. you are the most bearish. us, as is still with well. why so glum on microsoft? what are you looking for this quarter? >> for the quarter, we are not glum. we believe there is risk in microsoft stock that is not accounted for in the stock, but for this quarter we think that you should see a pretty good quarter, especially because you just saw the numbers come out, the pc shipments, which grew for the first time in six years. the microsoft windows business, historically it has tracked closely to pc shipments, and it has actually outperformed in the last 2.5 years, but prior to that it did track really closely. yout outperforms again, co

ready to impose retaliatory measures >>> absurd and lacking legitimacy, those were the words of david o'sullivanng hearing on proposed tariffs yesterday. the commerce department opened up its section 232 investigation for comment. he told senators the proposed national security grounds were not justified. phil lebeau has more >> reporter: with auto sales running close to a record high, and assembly plants building new vehicles at a healthy clip, the industry is worried president trump may follow through on threats to slap a 20% or 25% tariff on auto imports at a hearing in washington, industry leaders warned the administration not to do it. their concern, tariffs could drive up the cost of new vehicles by almost $6,900 according to a new study that could cause sales to drop by as much as 2 million vehicles and lead to 750,000 jobs being cut. right now just 56% of the models sold in the u.s. are built in the u.s., but the trump administration says that number should be higher and instituting tariffs could be one way to make that happen. >> so as the president has repeatedly said, the trade war id

david: thanks so much. we are about one hour now from the u.s. jobs report, and economists expect 195,000 jobs added in june. the unemployment rate probably stated 3.8%. still with us is jim o'sullivangh frequency economics, ranked the most accurate nonfarm payrolls forecaster on the street. do not lose your record here, jim. also joining us is vince cinderellaji. explain why you think it will be 200-5000. >> that has been the trend. of coarse, there is a lot of volatility for months to month. could be higher, could be lower. i do not see anything in the related numbers, look jobless claims, to suggest the trend has changed. despite the worries about tariffs, the message is it remains strong. david: i have a chart here checking on the planet rates. really low -- tracking unemployment rates. really low. how long can this go? >> it is limited. i expect that number to slow over time, but it probably needs to slow a lot to stop the downtrend in the unemployment rate. aen at the high 100's to 150 month, the unemployment rate will fall. it will have to get to listen 100,000 a month probably. unemployment will continue to fall, bottom line. julia: what about wages? up in seeing a pick wage