let's bring in erik schatzker in davos. i am here with davide , $14, who runs algebras billion of assets under management. the hedge fund specializes in financials here and come just like josh friedman to this event as a contrarian. why? davide: i have been here for 10 years. this crowd is the biggest momentum trader that i have ever seen. basically, the share prices are down, they are bearish. the markets are bullish. erik: the trend followers. they the trend followers, multinationals, governments, the reality is too complex as to what will happen in the future. in my view, three or four years ago the consensus was european disintegration. greece and portugal were supposed to go bankrupt. today, the greek and portuguese bonds are inside the u.s. treasury. europe is the fastest economy in the world over the last two to three years. euro is one of the best currencies. as a result, i think that what you need to do here is to check the systemic consensus and be ready most of the time to do the opposite. why, not easy, but that

thanks to erik schatzker.will be back with another private equity tighten, david rubenstein, cochairman of the carlyle group. want to get a quick check on crude oil after oil inventories came out just a few minutes ago. over one million barrels. crude rising above $65 a barrel for the first time since december 2014. that is the 10th week now of a drawdown in inventory. rose salesventories by more than twice the survey, so pretty bullish signals for crude. a reminder, you can contact us a on twitter. you can watch tick-tock by bloomberg streaming live on twitter. here is one of today's highlights from davos. >> imf to campbell in davos, switzerland, here at the world economic forum meeting. tonight, gathering as they do every january to discuss the state of the world and what they see coming in the next year. the big subject obviously is donald trump, what his continued tenure in the white house means for the economy, and what geopolitical risks it presents. some here have been optimistic about what has been ha

erik schatzker is in davos with more. i am with maxim oreshkin, the russian economist minister. i would like to ask you about the relationship between oil prices, the deal russia has with saudi arabia and other opec producers, and the russian economy. one would think this deal, effectively on production which oil prices to $70 would be good for the russian economy? >> in the past three years, we made reforms which guarded the economy from all agility of oil prices so whether it is up or down, the impact on the oil prices in the economy is much lower compared to what we had. future come in the case on reforms of economic data will be textbook like the reforms in the united states in the early 1980's. erik: to insulate you from the oil price volatility? >> exactly. erik: if it remains at $70 for a barrel, will at some point begin to have more of a positive impact on russian economic growth? >> only through the mood, this year we will get big level of oil prices, the surplus for the first time in many years. something like 1

isa: thank you, erik schatzker. notartzman saying it does undermine the cds market and the ofy person upset is a couple hedge fund investors. interesting interviews from davos. let's get you caught up with the actions right now. one of the biggest leaders. ftse 100 up behind that. s&p futures dipping a bit on pretrade and nasdaq futures up just a touch before the market opens. the dollar was getting somewhat of a bit today and bitcoin actually falling yet again. at one point it fell below $10,000 the first time since early december. german ten-year and u.s. 10 year yields both dipping a bit with the central banks promising to always be there. that bloomberg dollar spot price getting a bid after some pretty steady weakening. jpmorgan came out with some news today saying they were going to be putting a lot of their money into their employees. $20 billion in investments over five years. they also said they are going to anst wages from $15 to $18 hour. we are seeing that wage pressure we have heard so much about. let's

david: erik schatzker is standing by with larry fink, blackrock chairman and ceo, and we have been eager to hear what larry fink has to say. erik: good to see you in dallas. larry: good to be here. erik: have you -- i would like to have you way in on the pace -- weigh in on the pace of the growth cycle. absent a shock, natural disaster or nuclear war, how quickly will be economy accelerate and how long do you think it can go on? let's start with the u.s. an extended to the global economy. larry: the u.s. economy has grown over the last few years. we estimate the tax reform, tax cut, and the budget is going to add at least 9/10 to the gdp in the next year, so we will see a u.s. economy growing at three and a quarter to three and a half. that is quite stimulus for the entire world. at the same time, what i hear in davos with the europeans, a year ago they were pessimistic about the future of europe, the eurozone, what will happen in france. the outcomes were all very favorable. you have now still a very aggressive central bank, so we are going to see a europe growing at least two and a hal

erik schatzker is there with a economic leader of the center of one major trade agreement and that is nafta. erik: i am here with ildefonso secretarythe economy for mexico and certainly in the middle of nafta negotiations. good to see you. let us begin with this question. what are your reactions to tariffs? trump's what prevails is that nafta is in place. the original nafta has a provision in place where american farmers can apply through third parties that they have to abide by the terms of the agreement. exports are not tremendous. we are .7% of the u.s. market. it was basically directed towards korea and china. i believe it is not the right message and i believe we have to review on which grounds we have to go about this position on tariffs. erik: do you expect it to be taken to the wto? sec. guajardo: we have lawyers doing analysis. the first thing i will do is have dinner with -- karen davos and the first thing i will do is talk to him about this and what the rationale of imposing these tariffs and including mexico in these measures. erik: one year into the trump presidency. talk

vonnie: thanks to bloomberg's erik schatzker. with more great interviews from that conference. mark: in our next stop, we will be joined by martin gilbert, chief executive of aberdeen standard investment. willoughby good enough to sustain? -- will it be good enough to sustain? this is bloomberg. ♪ ♪ mark: it is 11:00 a.m. in new york, 4:00 p.m. in london, and 12:00 midnight in hong kong. there is 30 minutes left of the trading day. from bloomberg's european headquarters, i'm mark barton. vonnie: and i'm vonnie quinn. this is "bloomberg marktes: european close." mark: these other stories we are are watching. we speak with gilbert. theresa may begins a major overhaul of her cabinet. she prepares for the next round of high-pressure brexit talks. have an exclusive interview on how the tax laws and changes

that was ray dally out, speaking with erik schatzker in , speaking with erik schatzker and davos.n crypto markets, bitcoin on the rise. the securities and exchange commission has warned investors about operator fraud. have already raised $450 million this month. last year the ipo outpaced the venture capital funding. retailers are so worried about fraudulent online purchases, many say that they are rejecting legitimate transactions out of fear they might be fake. 67% of researchers -- a retailers have online measures that are quick to cancel suspicious transactions. groups that also include banks and telecommunications companies , when included, raise the figure to 71%. that is your business flash update. lots of concerns over fraud out there, online. scarlet: not just online, but in businesses, with investigations going on. a quick reminder that you can catch all of our interviews on the bloomberg with the function tv . you can catch the latest charts and other functionality on there. this is bloomberg. this is bloomberg. ♪ ♪ ♪ julie: this is "bloomberg time for and it's opti

erik schatzker is there and joined -- joins now with the ceo of a global pharmaceutical company. erik: dave ricks, of eu -- of eli lilly and company, good to see you. the president is not talking about drug prices any longer, that the remains a great deal of interest in how drugs are priced and drug markets appeared to be getting increasingly competitive. how have the dynamics change? since last year -- changed since last year? dave: we have reigned in some of the most egregious actions. we did not see the headline grabbing my sister price increases last year. massiveine grabbing price increases last year. princess lily announced a program to discount for anyone who shows up at the counter by 40%. we need more of that kind of innovation because as you know, the insurance system is bearing less and less of the cost of medications and it is being shifted to consumers. we need to innovate and create new ways for people to afford medication at the counter, even if they have insurance. the final thing is new pricing on new innovation. last year, we saw tremendous new scientific breakth

we will have to come back to erik schatzker later on. direct you to tv on bloomberg to check out the interview. let's get the first word news with taylor riggs. competitiong ploy in the u.s. has matched its biggest 12 month gain since 2008 , the labor department says wages and benefits were up 2.6% thanks to higher pay any private sector. the increase shows employers are making more generous offers to compete for workers in a tight labor market. addedys u.s. companies 234,000 jobs in january, that beat the average adjustment from economists as the government has a monthly jobs report on friday. new data today highlights the challenges faced by the european central bank, inflation in the euro area slowed at the start of the year while consumer prices rose 1.3% in january. the ecb is trying to keep inflation close to its 2% target. the moon put on a cosmic show today, a red, blue moon super big and superbright, the first time in 35 years a blue moon has synced up with a supermoon and a total lunar eclipse. the east coast that most of

erik schatzker is back with one of the most powerful women in u.s. banking. ik: she is indeed one of the most powerful women in u.s. banking and she's anne finucane of bank of america, vice-chairman. anne: thank you for having me. vonnie made mention of the fact that we've had tax reform, the signature achievement on the economic front of president trump's first year in office. politics and policy are often important to a bank. going into year two of the trump presidency, what are bank of america's policy priorities? anne: we want to actualize what just happened. tax reform as opposed to some other things. the tax reform, we see huge opportunity there for our customers and companies. we want to see what we can do in that regard. secondly, we are certainly looking at and hope for infrastructure, some change around infrastructure. that is certainly needed in the u.s. what about as far as regulation is concerned? how perceptive are members of the administration? we've heard from secretary mnuchin. rollback --ulatory anne: it might go a little differently. i don't

earlier erik schatzker caught up with the brazil minister of finance.ted by asking about his fight to keep brazil's credit from getting downgraded and why it failed. agency has stated very clearly what the reasons are. erik: s&p. postponement of defaulting on social security and other measures and that's very clear. and more important from my vantage point is that they indicated what is going to be necessary for the upgrade and that is the faulting of social security which i think is going to happen now in february number one. 2003d that brazil grows in to 2018. that's a given. because brazil is already growing. third the results it remained to be seen. erik: we have been talking about pension reform for two years. what gives you confidence that this is going to happen in february and if it doesn't happen in february how much of a window do you have to get it done before it becomes a matter for the next president? >> and i at this point am networking with plan b or alternatives. erik: i don't believe that for a moment. you've always got a plan b. >> tha

erik schatzker. erik: the goldman sachs of crypto. what you think of goldman sachs, exciting or we will but regardless, do trading, principal investing, asset management. it will do advisory work which might sound like acquisitions but for the time being, it is not. it is more like project management and market research. all exclusively in the realm of crypto and blockchain. turn the firm into something with unrivaled power in this industry. what do you make of it all? >> it could be exciting. we have an umbrella upon which for the see trading financial bank. how is it different from the optimism, with the funds he would have and then quietly went away. how does it differ? >> the crip go was going to be part of the emerging bank. the hedge fund would sit inside the tacit unit. in december, it was now not an opportune time to start they had front one reason was a volatility in crypto. the other reason was potential for conflict. if the hedge fund were buying ether or bitcoin as an investment or a speculative investment trade if you wil

he spoke with erik schatzker in have a listen. u.s.'s you europe coming out of depression, japan steadily growing, or china's robust growth that seems to be continuing, india a strong. wherever you are looking, canada is strong. wherever you are looking in the world, underlying growth is robust. you have a sink and eyes upswing in economic performance -- synchronized upswing in economic performance. yet the tax cuts and potential -- you have the tax cuts and potential infrastructure plan in the u.s. there's a lot a push so markets are justified in pricing a lot of that in. the question is what happens to inflation? that's the big question. are people being complacent about whether inflation never rises? you have a very large portfolio of government bonds of .5% of your assets. on't that become a huge drag returns if inflation rears its head? in a bondsll be selloff and that portfolio will selloff. it will also have a knock on effect. the real estate portfolio we have, the infrastructure portfolio we have come in other parts of the port

he spoke to erik schatzker of the world economic forum annual meeting in davos.t is less about changing the pendulum, it is bringing it back to the middle. we are ellis, reasonable, strong capital and liquidity. we have so many rules in conflict with each other. we are spending a lot of money and, by the way, the prior administration and the fed but thatit was time, the u.s. level and global level, and we will do that, but we need to do it carefully. secretary mnuchin and craig phillips put out the roadmap for that. are people who have a different view of our industry. they will put it all down and say, here is the weight to do it. erik: so in the fine-tuning process, there are a number of things that can be tweaked. which ones matter the most to you? brian: for bank of america, it is all about capital. .etting it back to investors we can go to hundred billion dollars, $300 billion of loans before need more capital. even replacing loans still running off -- erik: we are talking about the surcharge, for example. brian: the process of getting capital out. you like

thank you erik schatzker.s is bloomberg. ♪ ♪ live from bloomberg world headquarters in new york, i'm vonnie quinn. shery: i'm shery ahn. this is "bloomberg markets." we are seeing u.s. stocks gaining ground and adding to all-time highs. the dow is up half -- .5%. industrials bouncing back from its first launch this year. the s&p 500 gaining 3/10 of 1% for six consecutive sessions. it is the highest since 1959. the nasdaq raising earlier. we are seeing the dollar continuing to rally for a third consecutive session. treasury yields were sent to the highest yield. a lot to do with the pboc because they scrapped the cyclical factor. the yuan down to the lowest in three months. that took a hit on emerging markets as well which is down a quarter of a percent when it comes to currencies. the japanese yen strengthening 4/10 of 1% after the boj cut bond purchases, adding to speculation they may be headed for the exit. time to get to the bloomberg first word news is afternoon. we are back with mark crumpton. mark: presi

public again with michael dell speaking about the benefits of running a private company with erik schatzker> as a privately controlled company, your time horizon is different. -- you reimagine your business and think about your business in years and decades. reconceptualize how you are investing at what the real priorities are. shery: we are joined by alex barinka in san francisco. give us background, why are they trying to do this after going private in 2013? >> you heard michael dell talking about investment priorities and getting through havelvo and buying emc, the added priority on top of just investing in the business of servicing the debt needed to keep the business running. dell got taken private at a value of about $25 billion and bought emc 12 years later for about $67 billion, a lot of debt needed to finance the company. as you look at the corporate structure of dell at the moment as a private company, not only are they sitting on about $46 billion in short and long-term debt, they have a good part of loans that are tied to liable work. more expensive to service. you have the cash

we want to go back to davos, where we are joined by erik schatzker. erik? erik: good to see you, good morning -- good afternoon, excuse me. on your way into davos, you published a linkedin post about what you called the market economy -- a vision for how maybe all or almost all goods and services are going to be bought and sold in the future. for those who have not read it, tell me more? >> when we looked at the way the markets work today and financial services, one of the great things about financial services is on an instantaneous basis, you have a buyer and a seller determining the right price for an instrument. erik: lots of buyers and sellers. adena: and there are a lot of folks who do that in the consumer world, but we are finding more and more industries and sectors looking at how can we create more of a price discovery mechanism for their goods and services? so it can be anything that can come up for auction or have continuous pricing -- like short-term insurance or add futures are outside of the space that could benefit from giving the supplier and

scarlet: that is erik schatzker speaking with mary callahan erdoes.ing up, as bitcoin falls, short-sellers increased bets against cryptocurrencies. this is bloomberg. ♪ scarlet: i am scarlet fu. what'd you miss? in the early days of 2018, it is clear the market trends in place -- like a volatility and markets moving in one direction. at some point that has to funny to. perhaps steven mnuchin's call for a weaker dollar marks a turning point. when this speaks, as it has recently, amy the data is eating economist -- beating economist'' estimates. today we have fourth-quarter gdp data that missed and new home sales that also fell short a get. the bottom panel is the monetary policy uncertainty index. it is holding at a new low since the bull market began. up just a little bit. 20 devices that these historically preceded a reversal. we know that the vix started the month at a record low of nine. getting close to 8, perhaps. well below the historical average of 19. remember those days? julie: vaguely. what might make investors pretty darn confident right no

erik schatzker sat down with mary erdoes. year foras a good margaret and almost forever -- markets.ill get this connection in stocks versus ball mark it's. -- markets -- versus bond markets. people want to put money with people who know how to get it to work. we have to be a net recipient of that. that is a great honor that clients give us those assets. i just think where you do it and how you do it, you have to be more particular. perhaps there was more luck and momentum last year in about everywhere you put the assets. erik: here is maybe where you are getting at, treasury yields are rising and more talk of inflation, our clients pulling back in six income? -- in fixed income? i do not think linux will pull out of fixed income in total -- clients will pull out of fixed income in total, among proration portfolio think about more go anywhere portfolios. that managers can go long and short and do not have to be bound by a particular duration of an index and that is where people say i still want the income and yields, this is the part of the portfolio i do not want come equity market

for more on how executives are tackling the looming threat let's go to erik schatzker at the jpmorgancare conference in san francisco. we are bringing you the biggest of ceos in health care from san francisco today. tim wentworth the ceo of express scripts is with me now. good morning. there is lots of talk in your business about amazon. , i want to talk about where your company fits is merging with an insurer. it's going to put a drugstore chain, a pharmacy benefit manager and ensure under one roof. how do you respond? >> we respond by doing exactly what we've been doing which is working with our health plans and clients to help them compete and provide the benefits to their constituents at the lowest cost and highest level of service. when we think about the culmination you just mentioned and you break it down it doesn't make care market better pbm to have a health plan in-house. we've got a hundred health plans we vertically integrate with today. it doesn't make them more formidable. it doesn't make cbs a better -- cvs a chain -- cbs better drugstore chain. our health plans could d

our editor at larges, erik schatzker and cory johnson.has had big moments at the box office thanks to smashes like spiderman and jumanji. the ceo says the company isn't stopping there. this is bloomberg. ♪ emily: fitbit wants to make sure your kids are healthy and active, and the device maker is said to be making a smart watch for kids. not known how the new devices will differ from existing fitbit products. research estimates that 30% of total smart watch shipments in 2021 will be devices aimed at children. while disney makes shockwaves in entertainment, sony isn't content to just sit back and watch. we spoke with sony's ceo earlier. he told us sony wants to be a buyer in the media consolidation wave. we asked who they might be targeting. >> it is premature to start naming names. the strategy right now is to make sure that we have a very strong operation first and foremost. as these discussions come up, we will enter into them. we idea is to make sure still have our own studio. emily: let's talk about the broader strategy. would that inv

erik schatzker, think -- think also discussed growth, the next move from the world's central bank. >> is growing between -- near -- is growing 2 /34 -- 2 3/4. the tax cut, the budget is going toeat -- add at least 9/10 the gdp. we will see the u.s. economy 1/2. from3 3/4- 3 at the same time, what i hear and davos, the europeans, a year ago and davos they were pessimistic about the future of europe, the eurozone, what will happen in france. outcomes are favorable, and you have now still an aggressive central bank. we are going to see a euro going at least 2.5% over the next 12 months, maybe higher. six you have china growing plus percent three no one wants to talk about japan, 30 years of slack. growing at one point 5%. you add up all the emerging, we are in a unique position of synchronized global growth. >> that can last for how long? >> that -- it will last at least for the next 12 months minus any political disruption. it could moderate because central bank's behavior will be changing. ecb has more difficult problem than actually the u.s.. estimate 3-4 tightening's over the next ye

jp morgan held its annual health care conference this week in san francisco and our erik schatzker wask to some of the top executives. let us go with eli lilly's ceo. he waited on the sensitive issue of drug pricing. >> we have done some work as an industry to try to help patients afford their medication at the counter. anyone that shows up at the counter, the price has been reduced by 40%. we need more of that kind of innovation. as you know, the insurance system is bearing less of the cost of medication and it is being shifted to the consumer. we need to innovate and create new ways for people to afford their medication at the outer. even if they have insurance, the prices are going up. the final thing is new pricing on new innovation. and we also need new pricing on new innovation. last year, we saw tremendous breakthroughs in science. gene therapy. it is expensive. how do we spread out the cost? how do we back value for those and make sure the health care system is paying for something that works? we need more work for experimentation. we have been slower than what i would have exp

nasdaq ceo adena friedman joined bloomberg, speaking to erik schatzker about the company working on cryptocurrencyes. take a listen. with: we have been working the industry and with a great partner to look at whether or not it's the right thing for us to do. and i think that we are still evaluating that. we have been talking with the industry to say, is this something -- we have two bitcoin futures out there. is there something different, a different construct? would that be of interest to you? would there be demand? if you're going to create a product, you want to know that people are going to use it and use it to differently than how it's being used today. we have to self-certify as a futures exchange for this. we would use our slices to do that, but we have to make sure, from a risk management protective, we are fully prepared -- risk management perspective, we are fully prepared. appealing,it seem, regardless what you think about crypto as a meeting -- medium of exchange or a stored value? adena: i think digital currencies and cryptocurrencies will have a role in the global economy. the questi

they spoke exquisitely with erik schatzker about the serbian stake. >> the stretch of the company is cated, and that come -- complicated, and that is hampering the business from driving. erik: you have called for a breakup of the company? >> yes, we think it is not the right thing for a company to combine and try to find synergies on one hand elevators, and reproduction, or building cement factories and making auto components. it is in this kind of fast moving world, where you have to be really good at what you do, if you create complexities, you are making it difficult for businesses to thrive. erik: silla complexity is a hindrance? one has to draw the conclusion it is depressing the stock value. some of the parts to improve market capital, what should it be worth? lars: it should be worth double. it is -- if the margin targets were met that they put four years ago up, the value would be 50 billion -- sorry, 50 euros per share, rather than 25. i think the important thing is it is breaking up the company in order to short-term the share price. this is making sure that thinking what ma

cigna's ceo is speaking with erik schatzker on u.s. health care policy. sticking with u.s.icy, president trump is planning to attend the world economic forum in dallas later this month, and according to a treasury official, he will descend his america first position. our next guest says it will be a make or break year for u.s. policy and maybe this will change things. michael zezas joins us now. what will come out of davos? lawmakers will go, he is not a davos man. he is the opposite. what will he tell people? michael: it is unclear exactly what he will say. to me, the bigger story is not the attention that douglas is putting on the trade issue, but what is actually happening in the next few weeks. there are some key deadlines coming up, and may be of his language in davos will speak to this directly. there are deadlines as to whether the administration will put tariffs on washing machines and solar panels. whether they will pursue tariffs on steel and aluminum, decisions around those points will tell whether this administration is serious. find out forill real if the count

vonnie: erik schatzker, wonderful reporting. fascinating deal.for the bloomberg business flash, look at some of the biggest business stories in news. reporting quarterly earnings that beat estimates, posting strong prescription sales. it raised the lower end of its fiscal year guidance. walgreens is in the midst of buying more than 1900 right aid locations for $4.4 billion. london was the one performing housing market last year. according to nationwide building society, london home values fell one half of 1% since 2017, the first full year drop since 2009. home prices nationally in the u.k. rose by 2.6%. disney will find out soon if the force has awakened in china. movietest "star wars" opens in china tomorrow. their last major market against "star wars," it has never had the same rabid following there is elsewhere. it has taken in more than a billion dollars at the box office globally. that is your latest bloomberg business flash. coming up, it is battle of the charts. can the commodity come back take on active management -- asset managers in 20

jamie dimon spoke to erik schatzker at the world economic forum about trade and the trump administrationgitimate issues by the administration that need to be resolved. we think they can be done, negotiated with a strategic framework. relations with china is more important than mexico. mexico is a wonderful neighbor. we have not had a war between mexico and the united states since 1848. american citizens forget how many wars china has had with russia, vietnam, over the same period of time. let's help that country. modernizing is a good thing for them to do. then focus on a strategic dialogue with china that gets to more reciprocity, more fairness. obligation, feel an a sense of responsibility to speak out about these issues in the hope you will change the president's mind? jamie: we actively get involved in policy issues around the world. we want to make sure people understand what the issues are. there are issues that are not solely decided by the president. he has the knowledge of that before he makes the decision. erik: on twitter? jamie: i don't tweet. i'm talking about detailed polic

jp morgan held its annual health care conference this week in san francisco, and our erik schatzker was some of the industry's top executives. let's go to eli lilly's ceo. he weighed in on the sensitive issue of drug pricing. >> we have done some work as an industry to try to help patients afford their medication at the pharmacy counter. we announced a program to discount medicines for anyone who shows up at the counter by 40%. if you are in a high deductible plan, a cash payer. we need more of that kind of innovation. as you know, the insurance system is bearing less of the cost of medication, and it is being shifted to the consumer. we need to innovate and create new ways for people to afford the medication at the counter. even if they have insurance, the prices are going up. the final thing is new pricing on new innovation. last year we saw tremendous new scientific breakthroughs. gene therapy. erik: it is expensive. >> it is expensive. you have development processes for a small group of people. how do we spread out the cost? how do we back value for those and make sure the health ca

our colleague erik schatzker did bring up the issue when he sat k,wn today with tom barrac investor innd a personal friend of president trump. he gave his own views of the russia investigation. mueller, there's nobody better. say whatever you want about this investigation, it wasn't mueller's idea to launch the investigation. but if you were to go choose an individual you could not find a better individual. princeton, marine corps, distinguished in everything he has done, 12 years and the fbi. so this man is not political, but he's doing his job and he's doing the mission that he has set out to do. i don't think, in spite of all the rhetoric you hear about the firing and the fbi witchhunt, it is what it is. >> do think the president has respect for the mueller investigation? >> absolutely. for sure. >> what if he does fire him? don't think its possibility. i honestly don't think its a possibility. the lawyers on both sides say there may be enough evidence in the public domain. forget for a moment about what bob mueller has compiled behind closed doors, to bring an obstruction charge. ,

bloomberg's erik schatzker sat , whowith mckesson's ceo says it was nonsense that the company willfullyke to think mckesson was amazon before amazon was cool. we have been automating the supply chain for pharmaceuticals for years. supplies our customers have a complete array of products to them online , at night, in the afternoon, or a walmart pharmacy. they are looking at what is available. they are placing orders. the next morning, 7:00 in the morning, 100% of the order shows up, usually delivered by one of our drivers. machine thatkable does a lot of the same things that amazon has been trying to do with consumers, interns -- in terms of automating the web presence. do thatat might amazon you could support or see a role in which mckesson might play some, but come some sort of a partner -- become some sort of a partner? john: we are in the dish of fusion business. it is difficult to see where that intersection could occur. surenk our job is to make we continue to expand the value proposition that we deliver to our customers. it includes data and analytics, and online presence. erik: t

rishaad: larry fink speaking with erik schatzker.p, we'll tell you beat earnings because of security clause. this is bloomberg. ♪ giving aintel is strong cell ballot for the year -- sale outbreak for the year. that forecast coming of the company posted fourth-quarter results, ahead of analyst expectations. our editor at large has the details. >> intel reported fourth-quarter results that the price of the market because they were really good, and good and important areas. -- good in important areas. operating profits of over $5 billion. gross margins, very important, up over 62%. those are all great. but will is really interesting -- but what was really interesting in the quarter was not the 2% decline in pc sales but the 5 billion plus they sold in data center chips. a 20% year-over-year growth. think about that. it is one of the highest margin businesses intel has, growing suddenly at a 20% clip on a year-over-year basis. it was a job dropping number on wall street. they seem to like bidding the stock up. it was interesting. -- what

satvat: that was ali speaking with erik schatzker at the jpmorgan health conference in san francisco.ernment orders, a refresh of theresa may's cabinet looking more like disarray with senior members refusing to follow the script. ,e are joined by nina schick rasmus global, director of dating and pulling. it has been fascinating to watch , those who were going to lose their jobs, ended up with your jobs as well, but how much did this mean where those in the main positions in the cabinet seemed to stay? nina: it matters a lot. the entire purpose of this reshuffle was trailed with theresa may could really show her power, show the government going into 2018. we have been dominated by brexit in this political sphere, but the government also had a domestic agenda. that did not go to plan. it was in complete shambles. there was a social media mess up where they announced somebody as the party chairman, where he wasn't. ministers were removed from her post, one person removed, was indeed sacked. that real purpose of the reshuffle to show that theresa may was strong in an charge, queue.id not

anna: there was erik schatzker speaking to jamie dimon. helicopters providing the backdrop.anus: it was not trump's helicopter, was it? today.rump is arriving he has been much talked about. andeard from jamie dimon other banking ceos, some defense of trump's policies to date. what is the mood like ahead of his arrival? has low -- haslinda: anticipation. a lot of leaders say they are anticipating. whether also wondering trump being trump will spring some surprise. he is the first u.s. president to make it to davos and more than 20 years. his presence has surprised many. if you're wondering what he is likely to say, i think his tweet overnight really tells us what he wants to do. he says, we will be heading to davos and we are going to tell the world how great america is doing. our economy is now going and with all i am doing it will only get better. our country is finally winning again. that really is the message. the economics team is in town. mnuchin and wilbur ross. we heard from mnuchin how a weaker dollar is great for the economy, great for the world and we heard from wi

he spoke to erik schatzker. >> here we are, financial markets are up three times since the financial crisis. the pool of money in cash worldwide has never been greater. it is a problem. in china, 45% and bank accounts. prime speak to the minister of france, 72% of french savings is in a bank account. >> can you imagine what would if we had better financial literacy, more people investing over the long run? the financial gains people would have in their 401(k)? i think that is one of the bigger crimes we don't talk about. that is one of the reasons i believe we have more momentum because of the money sitting around. a he thinks we are already in bear market for bonds and reminded everybody of the map. a 100 basis point move will equal the worst bond -- in 1981. we had how long will it take to get there? you are not sure you agree with that? >> i am just doing the math. i was a bond trader. it will take longer than people think. i am more concerned about a flattening yield curve. 30 basis points. the wall of money that is isting out there substantial. to get to a 360, you would have to

erik schatzker spoke with stephen schwarzman of lack stone.e began by asking steve what we should expect from president trump speech in davos on friday. >> i think he is basically economically focused. with theconsistent world economic forum and he has spent a lot of time in that area whichr it's on tax reform was successfully concluded and whether it's getting rid of regulations and other things to boost economic growth. so i don't know what's in the there but i would assume will be a bunch of time spent on those type of themes and the goodness that can happen when you get an economy growing at a much faster rate than we did for the previous eight years. blackstone is a global investor. you travel to globe almost incessantly. with that in mind is there a risk to the president and to the united states if he were to beat the america first drum too loudly? >> i think it has been pretty loud. i don't know that you could make it louder here. my sense is that wouldn't be exactly why you would come to davos. i think there must be like a more sophist

canada's biggest pension fund, speaking with our canadian bloomberg's erik schatzker. the u.s. the only world leader to make an appearance at davos after an extended. of absence. this forum marks the first time indianears that an prime minister has come to the event. india's indices are set for five straight days of records and gdp inforecast to grow by 6.6% the year, faster than china. prime minister modi is set to addressed davos -- address davos . haslinda amin mean is joined by a guest. he has been trying to do the same thing president xi jinping did for china last year. whether he will exceed to do that remains to be seen. he will be speaking in an hour and a half. in the meantime, its get perspective on india from the chairman of the state bank of india. it is good to have you with us. inflation is a big issue in india. oflation is above the target the rpi. you see interest rates rising faster than expected because of that? years.ation last three the whole policy of the bank of india has been about continuing inflation. we have been successful in that. we have seen pick u

we are heading straight to davos where erik schatzker is sitting down with steve schwarzman. davos be with steve schwarzman. good to see you. as the world knows the president will be here later this week. he is expected to arrive on thursday. he will be making some public remarks on friday. you are a friend and supporter of the president. what do you expect he will say and do while he is here? >> that's always a tough one for sure. you find him equally unpredictable. >> there is a certain unpredictable quality. i have heard they have been working on this speech for some time and the person working on it has done some very good speeches for the president. erik: who is that? >>

[laughter] scarlet: tpg co-ceo and cofounder jim coulter, speaking with erik schatzker in davos. for more on that theme, let's bring on jason kelly, bloomberg executive editor. he has covered this for quite some time. holderu hear about jim talking about this, when you hear about other people in that industry talking at davos, were there any themes that jumped out at you that the industry is struggling with right now? jason: i think what they are struggling with his finding deals in a market that seems to go up and up and up and up. obviously, private equity is about buying, but also selling. they need to get in at a point when they feel there is some value that only they see a way to extract, or even just secular .r company specific growth that seems to be harder and harder to come by. you see a lot of private equity firms selling rather than buying right now, given the valuations worth. scarlet: with eric started the conversation and said the mood seems euphoric, would you agree with that? that is not good news. jason: not good news for private equity. when you think about the

mark: erik schatzker there with antonia. o. coming up is the european close. no trading in the u.s.iday. the stoxx 600 is lower marginally as is the ftse. the dax has a small game. we're down for the second day in three after rising. the best run since november the third. this is bloomberg. ♪ ♪ 30 minutes after the trading day in europe today, from the european headquarters, i mark barton, this is "the european close" on bloomberg markets. ♪ mark: right here, the top stores where covering around the world. flush withuctions, government contracts goes belly up. how many spillover effects are there? what will it take to get a bear market going in bonds? janet henderson says the chances of a bear market on looking too likely. hitting the road to detroit for the annual auto show, inside the books with bayerische motoren werke ag. have a look at what is happening with european equities. 30 minutes away from the end of the session.

erik schatzker was skiing this afternoon.g forward to your financial panel tomorrow. you are speaking to jes staley. success last year. it is 300 people in the room. jeff stanley with us. ken rogoff with us last year. and richards will join us. richards were join us. it will be interesting. i sent you a story about the cases that could get regulators concerned about deleveraging. on friday, i have a good panel on monetary policy. will do a couple of hours before the president speaks and we will focus on what cheap money means for the markets and bankers mandates. let's get straight to first word news. more americans will feel the impact of that partial government shutdown today. many federal agencies will carry out work closing plans. bipartisan group of senators is looking at a plan to fund the government through february 8, including a promise to take up the bill to keep young, undocumented immigrants from being deported. the u.s. could send 1000 troops to afghanistan this spring. jim mattis has not signed off on the idea.

. -- he spoke to erik schatzker at the world economic forum. >> it is always like we are ready for deadlockve any issue on the table. with no affect to our sovereignty, are only agreement is applied to all. , from anher hand economic point of view, despite what has been said at the beginning, the qatar economy would collapse in a few days, the qatar economy in fact in .017 did better than expected the 2018 forecast is even better. economy andg up our we open up this destination for good and trade. we expected all of our contracts with even the blocked countries where there blocked everything it isatar, but flowing to the united arab emirates. erik: how much has the government had to spend to mitigate the effects of the blockade? ahmed: at the beginning of the blockade, we had to supply the market with consumer goods and food. we had to help the private sector to enter a new market. thing that took around two to three weeks max and then it was all the private sector. we opened new roads to make it feasible. we can import goods from all around the world, like turkey and central asia. erik: yo

we had an extended conversation -- he had an extended conversation with erik schatzker -- francine: ande me, i did not know that. i cannot keep track of all the different interviews we are doing. andinterview was on brexit tax reform. jes: i think there was a consensus around the major economies of the world that we needed to reregulate the financial markets, and do it in a way that we maintain parity across those markets, so that no institution could arbitrage one regulator against the other. i think a lot of good was done and a lot of important regulation was brought into the financial system over the last 10 years. i have consistently supported a more regulatory environment. now there is a new equation. it seems as if the u.s. is willing to be very much on the front foot in terms of making the u.s. market competitive. barclays business strategy is a transatlantic bank, so 40% of our revenues are generated in the united states, and all of a sudden the u.s. has become one of the lowest tax jurisdictions. that is a significant phenomenon we have to recognize. erik: the big u.s. banks we

erikore perspective, schatzker joins us from los angeles with the billionaire investor and longtime friend to president trump -- we all know him well. erik, thanks very much. i'm here with tom barrack, chairman of colony northstar come here in our spectacular los angeles bureau on this beautiful morning in the west coast. good morning to you. tom: good morning, erik. erik: this was the president opportunity to strike a tone different from the anger and frustration we have seen a history. how do you think he did? erik: i think you did a terrific job. the president in a bipartisan and mr. is never going to gain applause from all sections of any audience, but he did with everybody was hoping for. his cadence was smooth, his delivery was perfect, he was on ,cript, he was inclusive beautiful, touching, american stories. the focus of the policy issues was soft in tone. dreamers is a big issue for everybody. attacking that and in a sophisticated and compliant way was difficult. i think for the world watching and saying that we need to some emotional piece of this leader, they got that. vonnie: you have no the -- erik: you have no the president