that is kevin johnson, the ceo of starbucks. vonnie: david, thank you.id westin is the host of bloomberg "balance of power." david will be hosting special coverage of the iowa caucuses starting to :00 p.m. eastern on monday, february 3, live from des moines. tuesday, we are carrying president trump's state of the union address at 9:00 p.m. eastern. this is bloomberg. ♪ ♪ guy: from london, i'm guy johnson. vonnie: from new york, i'm vonnie quinn. this is "bloomberg markets." it's time for our weekly muni moment segment. taylor riggs has more from san francisco on how the fed might impact muni. taylor: joining me is crisper brigati,is christopher head of municipals at advisors asset management. we talk a lot about negative rates overseas and the impact that's had on the u.s. treasury. what impact, if any, does that have on demand for u.s. munis? christopher: it's a relative value play. it offsets our domestic corporate data as well, so it is a better alternative than negative debt overseas. it makes sense for investors to be in this space. is any ofat pres

comps of 6%, back a few years, thought that was not possible let's bring in starbucks kevin johnson onfrom seattle kevin, there is a key line in your conference call, you would have taken numbers up if it were not for the obvious. so could you walk us through what could have been and what was? >> well, jim, good morning you know, we just came off of one of the strongest holiday quarters in the history of starbucks. and if you look at what we delivered in the last quarter, certainly a 5% growth in same store sales globally, led by our u.s., u.s. grew 6%, comp with 3% growth in customer cases, in traffic, china grew 3% in same store comparable last quarter with 1% growth in traffic. so, you know, our retail business is really firing on all cylinders. we grew net new stores by 6% channels business grew by 5% we have one of the strongest holiday quarters in the history of the company you know, customer confidence, customer connection scores at an all time high. beverage innovation accounted for 5 points of that 6 point comp growth in the u.s. and we grew our digital active rewards members

ceo kevin johnson told us how starbucks is dealing with the virus. he coronavirus is something that everyone in the market is having to navigate. a very dynamic situation. you know, it certainly is one that we have been focused on a couple of priorities. first is to focus on the health and well-being of our starbucks partners. our relationship with local health officials and the government to help support them as they contain the virus. now, if you think about it to chinese new year, we typically have a number of our stores closed anyway. these are stores oftentimes in office buildings where there's nobody working. those stores have been closed. then if you look at things like the hubai province where the city of wuhan, the entire province is under a lot of restrictions. all the stores there are closed. then we work, with landlords and governments might ask us to close certain stores near hospitals or universities or tourist locations. and so, we're being very thoughtful about how we do that. we have close more than half of our stores at this point. i

ceo kevin johnson -- tell us how they are grappling with the outbreak. bloomberg. ♪ yousef: starbucks is feeling the impact of the coronavirus. shares fell 2% after the company says they are closing outlets in china will materially affects results. ceo kevin johnson tells us how they are dealing with the coronavirus. >> the coronavirus is something everyone is having to navigate. it is a dynamic situation. it certainly is one that we have been focused on a couple of priorities. first is to focus on the health and well-being of our starbucks partners. and second, then our relationship with local health officials and the government to help support them as they contain the virus. now, if you think about it, to chinese new year's, we typically have a number of our stores closed anyway. these are stores oftentimes in office buildings where for chinese new year there is nobody working. those stores have been closed. but then if you look at the hubai province the city of wuhan, the entire provinces under restrictions all the stores are closed. we work, on occas

. >> booger: and stills just abuses number 29, kevin johnson. dropping back in the pocket and just an easy outroute there. he turned 29 around. look at the poise. of deshaun watson. big conversion there. >> joe: now they're marching here past midfield, trying to get fairbairn a shot. hyde taken ahead for three, four yard there is. >> joe: we know the struggles in the postseason for the texans and coach bill o'brien well aware, he's been talking about what it takes and the messaging to the team this week. four of the last five years they've won the afc south, but getting past and over these tough wild card games -- >> booger: you got give them a lot of credit for the second-half adjustments today. they were dead. he and watson made the adjustments. their team came back and fought really, really hard. >> joe: second and six here. watson, pressure off the edge. watson survives it and then checks down to jones. jones inside the 40, inside 30. in the 20, to the 10 yard line. taiwan jones! deshaun watson, magical. 34 yards. >> booger: and the buffalo

if it were to come under pressure, all things are reconsidered. >>> don't miss kevin johnson on cnbcw. >>> we've got a market flash on match group. >> the ceo is stepping down, according to a report in the "wall street journal." and mandy ginsburg will step down to focus on her health. the article details that this of course of match group's full spin-off. shares down a bit around 2%. >>> tech stock rallies back find out whether tech is back on track. >>> and dan niles will react to apple earnings, they are due out in about tens. you can always watch or listen to us live on the gob on the cnbc app "closing bell" is back in a few minutes. - at southern new hampshire university, we believe in education built for all people. - [woman] snhu was the best experience of my life. - [man] without snhu, i wouldn't be the leader i am today. - [woman] i graduated high school 19 years ago. i still finished. - [man] in the military, you feel that sense of accomplishment. that's what snhu is. - you will march from this arena and say to the world.. i did it. - [woman] you did it. i love you. - [grad

shery: starbucks ceo kevin johnson speaking with david westin.st word headlines. >> china is racing to contain the virus and putting work continues round -- around-the-clock in will him. -- in wuhan. beijing has ordered extra medical supplies to help the medical flight. -- one seniore u.s. official has been fired. labor marketg the is strong and the economy continues to grow. it says consumption remains only moderate and investments and exports are week. -- are weak. the european union has followed britain and stopped short of banning huawei from 5g. the u.s. lobbied hard for well way to be blocked from -- for a while way to be blocked from the next generation network. beijing had hinted at repercussions if huawei was kept out of the 5g rollout. the indicted associate of president trump's lawyer says he knows the president was aware of pressure on ukraine because of quote, i was working directly for him. the legal team argued trump cannot be impeached for taking actions that were motivated by a risk to boost his election chances. the white house

listen to ceo kevin johnson on the call >> our immediate focus is on two key priorities in china.caring for the health and well being of partners and customers in our stores. second, playing a constructive role in supporting local health officials and government leaders as they work to contain the coronavirus. that said, we remain optimistic and committed to the long-term growth potential in china. a market we have been in more than 0 years. >> and you won't want to miss starbucks ceo kevin johnson live tomorrow morning on for a first on cnbc interview on sfauk squawk on the street china very important to them, their second home market they say. >> huge market and a huge interview on cnbc tomorrow thank you kate so tim seymour can you own a stock where she effectively said we don't know what's going to happen in our second largest market and for how long? >> i understand how dangerous that can sound but the answer is yes. and we're not talking about a secular problem with the company. not talking about a structural problem with the company we are talking about a short-term cyclica

kevin johnson said he's going to back it up now, i think there is another ten points ahead that's what i think about starbucks. thank you to the terrific cards today. when we are down in washington today, i like starbucks. [ buzzer ] >> no, i am not done i am going to take tom from colorado >> i got one, too. [ buzzer ] >> i am too chill to deal with this clown >> tom, are you there? is that it >> yeah, i am here >> hey tom >> hi, are you there cramer? >> yeah, more than ever. >> hey, booyah, how are you doing? >> good. >> so intelsat, do you think this company is going to bounce back so far i am still going the work, let's put it that way. there is more work to be done. you will see it later on in a show in the near future. lightning round. >> the lightning round is sponsored by td ameritrade ♪ ♪ because it's tailored to you! ...take the personal assessment and get matched with a proven weight loss plan. find out which customized plan can make losing weight easier for you! myww join today with the ww triple play! >>> sometimes simple questions has simple answers why is stock at a reco

about half its stores in china and is adjusting operating hours in the fastest growing market kevin johnsonn a live interview at 9:30 eastern time let's look at futures. we had been indicated higher most of the morning. we'll see if we can pull through that opening bell. indicated higher by about 98 points more than 11, nasdaq higher by more than 40 points. investors monitor the latest on the coronavirus and will keep a close watch on jay powell and the fed today. the central bank is said to wrap the first policy meeting of the year going to our guest from morgan stanley. a busy day and news cycle. >> fed day >> we think we know what the fed will do. what should we be looking for? >> i think tgs eait is easy to t they won't make a move investors are concerned about the draw down of the fed's balance sheet. then they were concerned when they started adding back that it would step again here we are again wondering when we would stop the purchases. anymore detail from chairman powell will be helpful there anything that a lays these fears and we'll draw down purchasing gradually and not just pu

kevin johnson, i saw him recently and talked about straws, going on about straws.ee with him you have to think about your business much more what are ways of doing business that have more min mam impact on the planet this is a crisis and we're pretending it's not. >> remarkable to hear chief executives >> i think about 2020 and beyond >> good to see you talk to you soon >> chief executive, carrie lam, from davos hey, saved you a seat. this round's on me. hey, can you spot me? come on in. find your place today, with silversneakers. included in most medicare advantage plans. enroll today by calling the number on your screen or visit getsilversneakers.com ♪ ♪ ♪ ♪ >>> our own jeff is sitting down with hong kong leader chief executive carrie lam and join us with highlights. >> reporter: hi. in the last 24 hours we have seen a credit rating downfall in hong kong. we have the biggest delegation from the chinese territory we have seen in the last 20 years from hong kong, primarily with a message to talk about the resilience of the tariff trade and we have seen fresh protes

kevin johnson, the ceo weighing in on the statement about the coronavirus. they are taking a long-term view, which is interesting given china is a big growth opportunity. we are looking at starbucks trading a little how you're in the after hours. we will keep you posted on any further headlines, and were waking for -- waiting for results on andy and apple. md and apple. a investors who are watching apple after the bell have to sift through a lot of different data points. mark gurman joins us from los angeles. gone are the days where we fixate on the number of iphones and the average selling price, isn't that right? mark: that's right, and here are the days we focus on revenues for products other than the iphone. there has been a sea change in how we look at the company, for sure. >> can you tell us about what the big risk factors are? what can derail the love for apple that the market has? mark: the risk factors are basically down to the supply chain, and that doesn't seem like a really big deal to the company. anything there is to say about apple is about h

. >> kevin johnson continues to do a good job the stock is a good example of the stock that's down tent's kind of the opportunities that i'm seeing. many stocks are down dramatically from their highs and people are going for those and i think that does matter i think that there's opportunity in starbucks i think there's opportunity in nike i think nike can go higher kevin johnson comes in, a technologist, replaces howard schultz. mark parker goes out, right, john donahoe, personal consumerization. who would know more? >> donahoe knows his way around that stuff, and service is an important part of what they have done or what they did, what he did there. >> i like that >> although he wasn't in the job, how many years was he at service couple years >> some people say not long enough you hear that? some people. >> some people >> well, i'll tell you, i can't wait to see what mcdermott does in service now mcdermott is big think he's big think you ever go to any of his events >> i don't know that i have. >> that's where i saw billy joel, wanted a selfie with me? how do you like that >> yes, b

result and then -- the head of commerce said things regarding it being slowing and we spoke to kevin johnson at the air force academy, he said the stock's gained $10 coronavirus, if you're barricaded in your house you won't be going out for a triple venti anytime soon how pad things are from boeing or how good. we don't know. we'll get it from the horse's mouth. david calhoun's first earnings call as ceo. i care about the cash flow one thing to say they'll stand by -- another thing to have the cash flow to back up the dividend i want to hear what happens in terms of borrowing if things don't go as planned with 737 max. most importantly, boeing got late day good news that the faa may have approved the max to fly sooner than expected, a story that turned around the stock and also the entire market it is very encouraging to hear that the faa is pleased with anything boeing does we hear from general electric too, and a bunch of analysts are warming up to this one obviously it's got some problems with long-term care and an ailing power business. let's say under control. they have 737 max business

drones these are all features here that have become more and more prevalent over the years kevin johnson was on stage here. he was talking about how starbucks artificial intelligence program, deep brew, is helping sort of take away some of these tasks from bar wrist ba barristas so humans can start reconnecting in stores it's artificial intelligence helping us connect with humans, human to human that's the world we live in. >> speaking of human beings, you spoke with one yesterday the kohl's ceo she said she was disappointed with the holiday quarter with you thing that undershot it, lululemon. that stock is up 4% now. what went right for lulu, what went wrong for kohl's? >> shares of lululemon have been higher by 90% over the last year maybe they would be higher if they didn't have such a run. what is lulu doing right basically everything they reaffirmed their earnings forecast and revenue forecast, comparable sales they think will be stronger than previously expected and jpmorgan's matt boss says if history is any guide, the last five years when lululemon preannounced in january, they a

technology makes perfect sense to me that john donahoe of service now formerly is the new ceo just like kevin johnsonormerly of juniper networks now runs starbucks. i think it can go higher even though up 36.7%. eighth, procter & gamble is back the kingpin has figured out how to become a more accountable company while taking back share in emerging markets. most important by bolstering its organic growth, project tcter r and it's got even more upside, i think. don't forget they've been flattering for years and just started to play catch-up and, remember, the dollar has been down for nine straight weeks fantastic for an international powerhouse like procter & gamble nine, disney last year the mouse announced a cheap new "on the money" streong service. over the past couple months seen the results, they're incredible. tloes days people are paying more for entertainment and disney is the last of the pure plays -- last of the senior growth entertainment pure plays. scarcity is a wonderful thing in the stock market hey, everybody i talked to on vacation has got the -- has bought the package including people

lisa siu at 9:00, and kevin johnson at 9:30 reacting to their stocks after their > ilings report.rley davidson and more -- we are back in two minutes. memory support brand. you can find it in the vitamin aisle in stores everywhere. prevagen. healthier brain. better life. every time it takes care of something for us, we celebrate. how often does that... got it. servicenow -the smarter way to workflow. >>> all right. we are answering your questions now. first up, joe on paypal. joe, tell me what you're going to do with paypal. will in washington, d.c. says, do you add a position? >> i would hold the current position that you have i have a position obviously. i'm going to maintain that on a pullback, i think i would add. i also would, if this stock breaks out and we get incredibly strong earnings, i think i would add to that, as well the thing to keep in mind with paypal, they have done such a great job on total payment volume increasing 60% year on year, and think about the competition. competition continues to be introduced, whether it's libra, facebook messenger, apple pay, and th

she co-stars alongside dwayne johnson and kevin hart in "jumanji: the next level." >> hello, everyone. it's very exciting. >> jimmy: how's life? >> life is very exciting right now. "jumanji" has just come out. and it's the number one movie. >> jimmy: the number one movie. it's like you only do humongous movies. like you've really been in these huge, usually when you're just starting out kind of, it's the opposite. you do indy stuff, but you're doing billion dollar projects. >> everything is very big and franchise-y, but i feel great to be involved in things people care about. >> jimmy: snacks on the set and all the stuff you want on a movie. >> that is one of the perks for sure. carrot sticks, all the fun stuff. yum. >> jimmy: do they really put carrot sticks? are they the kind that come from the super market where they're grown as carrot sticks? they were never even a carrot? >> i think that's exactly what they are, very depressing. >> jimmy: so it must be fun to do these big movies, though, where you're fighting and. >> yeah. >> jimmy: you worked with dwayne johns

. >>> also wednesday kevin johnson will be joining "squawk on the street" to discuss earnings.o tune in. >>> we have a hour hour left stocks lower across the globe as fears over the coronavirus take shape. oil prices are dipping as well investors look for safety. gold been the yen tick higher, and we're in the midst of the busiest week of earnings season. we'll talk to whirlpool's ceo as soon as the numbers that hit the only safe spot right now is the utilities. that's a traditional safe haven. >> still in the red, though, just >>> time to get a cnbc news update with sue herera >> here's what's happening at this hour, everyone. a team of 20 investigators are now combing the hilly terrain where a hell icopter carrying ke bryant and his daughter, plus seven other passengers >>> eight vms have been recovered in a fire on the tennessee river. >>> thousands of teachers left their classroom to march for a fund our future rally. the teachers are moping to put pressure on lawmakers for pay raises and mower funding public schools in richmond were closed after they couldn't find enough s

as kevin said one of boris johnson's big things trade talks. d one of borisjohnson's big things is he is determined to get this trade deal, and some in the us have been explicitly linking britain plasma cooperation or not over huawei to what they might be willing to give us. what they might be willing to give us. staying with the matters in china, of course there has been ongoing concern about what has been going on in wuhan, and a number of countries looks like they are looking at bringing their own nationals outcome of the uk not quite yet. not quite yet. the telegraph have the story of two week quarantine for wuhan rivals.|j telegraph have the story of two week quarantine for wuhan rivals. i think we are heading in that direction. matt hancock the health secretary today saying they would basically be put in quarantine for two weeks to make sure they are clear of the virus. so far no one, touch wood, has been found to be carrying the virus in this country. i think all the health indications seem to be it isa the health indications seem to be i

experience and frankly the way that retailers are run this morning we heard from starbucks ceo kevin johnsoneo as well as mastercard you can't really move forward to the future until you fix the fundamentals of what's wrong now. i spoke with kohl's ceo michelle goss here is what she said about holiday sales. >> i'm very confident around where we're going. you know, we did not meet expectations for the holiday time period. certainly didn't meet my expectations women's is 30% of our business it's 70% private brands. if we hit some speed bumps there it has a major impact on the company. we have our arms around it >> reporter: there's a lot going on in retail ahead of the icr presentations we're getting a number of specialty retailers that are preannouncing results lululemon is one of the names that had been called out by analysts as an early winner and it does appear that was the case for holiday. the company basically now upping their forecast for earnings, for revenue, as well as comparable sales, now expecting them to be in the mid to high teens that was above the original low double digit f

the past week as the company is coping with coronavirus in china don't miss the interview with kevin johnsonw morning at 9:30, 10:30 eastern time. "squawk on the street" continues after a short break. this round's on me. hey, can you spot me? come on in. find your place today, with silversneakers. included in most medicare advantage plans. enroll today by calling the number on your screen or visit getsilversneakers.com - when i see obstacles, i create opportunities. (soft music) - when i see adversity, i find a way. - when i hear never, i say now. - [announcer] southern new hampshire university is education made to fit your goals with over 200 degree programs, flexible class schedules, and some of the lowest online tuition rates in the nation. (cheering) - so when i face barriers, i can break through. - [announcer] breakthrough at snhu.edu. man: can i find an investment firm that has a truly long-term view? it begins by being privately owned. with more than 85 years of experience over multiple market cycles. with portfolio managers who are encouraged to do what's right over what's popular. f

kevin johnson on "mad money" when the stock got to 83, he was at the u.s.orce academy, said he was backing up the truck. i think he'll do the same. i don't think he's going to be as impacted as people think. he's a believer and it will matter tremendously. david, i want to ask you, at what point will an activist say i to have code >> it's an interesting question on fedex i made the rounds on that. it's certainly been on any number of activist's radars but what's the plan? so you try to force fred smith out in some fashion or say okay the board has to undertake a search what is the real plan there that you could see implementing a number of things or getting in a board fight to implement certain ideas at fedex that would reverse the slide in those shares and yeah, we take a look short term but longer term, please, that's where the story is >> how about this? have you noticed spent a fortune at u.p.s. and i think he's gotten ahead >> activists are typically in a stock for a long time, a very long period of time. they need a plan you can win with >> the staff

kevin johnson from starbucks is a good guy.raws out of the coffee cups because i think there is better we can do. tom: ups, started out driving a brown truck. that is america. francine: what is your number one piece of advice for politicians? is it the same as chief executives? they need to change. have the power to change regulators. richard: government has a huge trust advantage over business on sustainability and gig economy. work with business. don't try to over regulate by yourself. you have to be like a seesaw on the program -- on the playground. somebody.w francine: we will be fine. richard, thank you so much. richard edelman. coming up, german defense minister is encouraging germany to spend cash more quickly. an exclusive interview next. this is bloomberg. ♪ francine: you are watching bloomberg surveillance. amazon has gone back to court over the pentagon cloud contract . the company asking the judge to prevent microsoft from working off contract. trumpwsuit claims donald dislike of amazon ceo played a role in microsof

we will have much more in a conversation with kevin johnson of starbucks.ll dive into some of the core themes of mr. powell. is there evidence a central bank can reflate an economy? alan: they can left asset inflation and have been doing it well since the mid-1980's. goods inflation is harder to lift. if that is what you are alluding to, they will have a hard time. ,om: service sector inflation you say there has been a global disinflation. this china crisis as we look at copper as a proxy further puts the pressure on goods, doesn't it? alan: it does. it is disinflationary. depending on how bond markets respond, it will be moderately disinflationary or extremely disinflationary. as long as the markets think the bond markets are working and easing for central banks, it could provide a buffer for asset prices. if bond markets are not responding appropriately, asset prices will drop and be vulnerable. our bond markets working? given the price levels we are seeing. alan: i think they are. we are seeing the remnants of the 10-year gilts going from 3.5% to 1.5%. t

. >> when the stock was at 81, i met with kevin johnson, ceo, out at the air force academy he said what's the stock doing at 81? i'm backing up the truck i warned him when you use the phrase backing up the truck, you better be right. well, he was that thing was at 99 i'm sure china sales for nike and starbucks are going to be as good as they are for apple china is buying our stuff, but it's, i think, really a case where the party is not going to come down on you if you buy our stuff. >> although people still looking at luckin, jim it's a nice analog for things we're talking about. you want china to buy our stuff but they're busy growing their own internally grown companies like coffee. >> luckin doesn't start serving coffee until 9:00 a.m. to me i thought they missed key hours. but i think china has its own strategy for when it drinks coffee. >> well, it's a tea market, as we all know, right >> every time there's a starbucks conference call, i'm always shocked by those per capita coffee consumption numbers because they are so incredibly low, which does point to the overall opportunity, wh

>> this is like kevin johnson moving over to starbucks, succeeding howard schultz.ht now. there's no way that you can do personalization like nike wants to do without someone who really understands both the cone sumer, consumer, ebay and the enterprise which is service now. the combination nike pulls away from under armour and adidas it was a great move by parker. >> jim, thank you. we will see you in a few minutes and look forward to everything you've got coming up from out there today. >> can't wait. >>> a great line-up of guests from the jpmorgan health care conference all day on cnbc, including the ceos of cvs, glaxosmithkline, and zowetaso on "mad money" tonight. stay tuned quk x"ilbeig bk. you should be mad your neighbor always wants to hang out. and you should be mad your smart fridge is unnecessarily complicated. make ice. making ice. but you're not mad because you have e*trade which isn't complicated. their tools make trading quicker and simpler so you can take on the markets with confidence. don't get mad get e*trade and start trading commission free today

we heard that from kevin johnson of starbucks this morning, we heard it from microsoft yesterday, we ceos of these companies are finding solutions or solutions that are being delivered to retailers and they are being successful. but not everyone can succeed. that's just the way it is. stuart: i take it you are happy now because this week, we signed the china trade deal phase one, some tariffs will either go away or not be raised. you were complaining about it a lot but those tariffs never hurt the economy. >> i saw the article that ran this morning, the analysis that said there was only impact around the margins. in the near term, the studies we have done indicated there were probably 45 billion, 50 billion of costs passed along to consumers. the other thing that you talk about -- stuart: that's not much in a $22 trillion economy. that ain't much. >> well, that's the argument, i guess. the other thing you talk about a lot is business investment. we know business investment lagged relative to the consumption by consumers. that was because of the uncertainty that existed in the market.

kevin cirilli at the white house. rafael.urn to therese a big meeting between boris johnson and the head of european commission. what do we know? se: urszula line has come to london. termsoke in conciliatory about a new u.k./european partnership. she understood comments, values, and experience. the bottom line was a simple one. if you want the best deal, you need more time and more greater alignment on the issues boris johnson says the u.k. wants to diverge on. everything from taxation to standards for goods. this is where the main point of difference is between the u.k. and the european union as they headed to trade talks. david: a lot of people are saying the prime minister cannot have it both ways he cannot meet the deadline at the end of the year and get everything he wants. if he has to give up one, do we have any indication which he is willing to give up? therese: he has been clear he is sticking to the deadline. he says voters expect this to be done. is being urged to start trade talks with the u.s. as a way to nudge things on the european side. he is also a pragmatist. there is some indication that when

not like unlike what magic johnson or lebron james is doing now, kevin durant is doing now, which ishis position as an incredibly high-paid and famous athlete and turning that into something where he had an investment arm, he had a production company. i mean, he had won an oscar. there was immense potential there to sort of live a second life where he could simultaneously create a real business and also sort of advance the causes that he cared about. >> so, there is still a fund. >> there is. there's about a dozen employees. >> a dozen employees as part of this fund. there's investments that they have made in a number of businesses, including, by the way, dell technologies that business is connected to another business, stieble, is that right >> right there's a fund itself, brian stieble, about nine or ten employees. they've made a number of investments, legal investments, legalzoom, minted, honest company. they focus on telecom and gaming they've been making a ton of investments for several years now. >> also, a stake in epic, the maker of "fortress". >> there were a few gaming inve

on the brief today, kevin cirilli from the white house on president trump's reaction to the iranian missile attack. rafael onn, therese boris johnson'scult meeting with european commission head and carlos ghosn's extraordinary press conference. let's go to the white house. president address the nation saying as far as he can tell iran is standing down. mp: iran appears to be standing down, which is a good thing for all parties concerned and a very good thing for the world. no american or iraqi lives were lost. david: we will turn to kevin cirilli, who is at the white house. you were there. what is the attitude within the white house? do they feel the president has come out better? kevin: de-escalating the

johnson. this is the european close on "bloomberg markets." a key vote at out -- a key vote about to take place on usmca on the senate floor. let's go to his kevinkevin: the senate is expected to vote on usmca. we are here with the republican rep is in think south dakota, a key member of the usmca team. how is this going to impact your state specifically? say that if itto was canadian wheat, they would pay a premium for it. . if it was not, they would not pay the same premium price for the same quality of wheat. for producers in south dakota, both spring wheat and winter wheat producers, this gives them the opportunity to compete with canadian producers, long time coming. this is worth jobs in south dakota. we will be able to now trade with canada and mexico, and it is the first in a series of trade agreements we want to get done. the china deal, phase one, was done yesterday. that was a marvelous opportunity for us. that, along with this here, we think it is going to really change the markets for our commodities for our farmers and ranchers. kevin: in terms of trade policy in the past 24 hours, it has been a monumental day as it relates to chin

johnson writing to nicola sturgeon that he will not agree to the transfer of power of scottish parliament. tom: we are not crushed right now with international relations and politics -- do not tell kevinoos is with us from credit suisse and we will talk about foreign-exchange. you dip the litmus paper in, what is it saying about the world economy? shahab: it is improving and volatility is low and asset markets are said to rise further. giving fairly positive signals. tom: is your dollar call weak dollar? shahab: we are one of the few out there that see ongoing dollar resilience. tom: there is a huge issue. is itre a weak dollar or symmetrically that everything else is strong because we are recovering? shahab: those calling for a weak dollar tend to point to the idea that the fed could still cut rates further, but others will benefit from improving the global framework. is, inth of the matter the u.k., the market is still trying to price in the possibility of a rate cut in australia, the market is still looking for rate cuts. the idea that it is only the u.s. cutting rates this year is something that in my view is a misunderstanding. and gives the dollar and an it ultimately has among