and, i talked to lloyd blankfein this week about big picture topics.nto the details of goldman's trading troubles. >> the expectation is that we will do better, because historically, we have, and we really haven't. alix: this is bloomberg. ♪ ♪ alix: this is bloomberg best, i'm alix steel. the dow keeps hitting new heights, breaking 22,000 for the first time on wednesday. but how long will double run bullll the wilbull run -- run continue? we talk to professor jeremy and billionaire investor howard marks. marks preached caution in a conversation with erik schatzker. >> the time to sound the warning is when everybody is making a lot of money, it means that the market is going up and enthusiasm is incorporated in pricing and behavior. you cannot sound a warning after the thing has turned over and died, so, i think that we see a market in which there are lots of uncertainties, prospective returns are low, asset prices are high and people are engaging in risky behavior. that is the kind of climate in which we should take a hard look at what we're doing, and

jonathan: coming up, lloyd blankfein.t 34 markets -- minutes time is the markets open. bear in mind that apple makes up about 4.5% of that index and apple is kicking higher in the premarket. ♪ ♪ jonathan: apple searches to a record. the forecast of better-than-expected revenue for the quarter. sets the dow up for another all-time high as the stock market continues to shakeup in an effective congress. -- currencymarket market flees the optimism over euro. the euro climbs to a new 2017 high against the u.s. dollar. from new york city, good morning. you are watching bloomberg tv. i'm jonathan ferro alongside david westin. alix steel is in baltimore. what is alix steel doing in baltimore? alix: i'm doing some pretty cool things in baltimore. i miss you, but i will be , theng to lloyd blankfein ceo of goldman sachs, as well as mike bloomberg. the reason why is small business. for the first time ever, bloomberg philanthropy and goldman sachs will donate $10 million to goldman sachs's small businesses. it will help set them up t

blankfein told me what he thinks washington can deliver. lloyding about, the administration -- there are some things already getting done that you have to say, a bit of a change in sentiment, and attitude. i think that the way rules are implemented, the attitude of the new class of regulators that are coming in -- and again, we operate within the financial services, but we are big corporate advisors in mergers and acquisitions, so we get involved in every industry. every industry is regulated, and to tell you the truth, more highly regulated than they ever have been. so, almost an instantaneous thing, and in some cases, it does not need approval, in some cases it does, but it does not need legislation, and that is the way regulations are implemented. existing laws are implemented. and attitude towards it. i think we are already witnessing, in some of these industries, a change in sentiment. alix: we heard the office of the comptroller of the currency is starting a process on where people like you can comment on where you want to see rollbacks. ca

alix: and i ask lloyd blankfein how to fix its problem?> there are several reasons in retrospect that we can look at and say, gee, we may have messed up. alix: all of that ahead on "bloomberg best" ♪ ." ♪ alix: hello and welcome. i'm alix steel. this is "bloomberg best." your weekly review of the most important business news, analysis and interviews from bloomberg television around the world. the week again with a spotlight, once again, on the white house and a high-level shakeup in the trump administration. >> anthony scaramucci has been removed from his job as white house communications director just 10 days after he joined the team. president trump removed him from his post on the recommendation of his new chief of staff, john kelly. >> it is certainly high drama, but on general john kelly's first day on the job as chief of staff, he seems to have decided that a little bit of drama on the front end will save him a lot of drama on the backend. pretty swift and decisive decision, prompting the exit today at mr. scaramucci after an incredi

julia: lloyd blankfein earlier on bloomberg.loomberg business flash, companies reporting earnings after the bell. losing money, but was a smaller loss than anticipated. models s and x will rise, and expects to produce 1500 model threes. aig beat estimates, although commercial underwriting worsen. the new ceo said the company remains "vocus "focused." this is bloomberg. ♪ i willn't miss this boot be watching the boe tomorrow announcing its rate decision at 7:00 am eastern tomorrow with a press briefing to follow. is it super thursday tomorrow? julia: don't miss this. u.s. and german factory goods. joe: >> you are watching "bloomberg technology." president trump endorsed new legislation today that would reduce illegal immigration to the u.s. it would also evaluating fisa applications based on merit with a preference for people of higher education and job skills. would represent a dramatic overhaul of the u.s. immigration system. president trump has signed a russian sanctions bill that congress forwarded to him, but he added a stat

lloyd blankfein telling bloomberg what changes the bank plans to make.ws, results at the road after the bell today. investors will be keeping and i on the revved up production schedule and we will bring you the numbers. with have got a check on markets with julie hyman. back. yes, i am all three major averages perk up a little bit. the s&p 500 down as was the nasdaq. both clawed their way back to dow holds above 22,000. the s&p 500 earlier today touched a record of closing basis. we will see what happens in the last hour or so of trading. we continue to see them push or pull and have a big effect. we have got apple of course, the biggest influence today. after the second quarter revenue forecast, sent shares higher, you have got the maker of gene sequencing equipment, alumina, saying in its earnings report that it shipped 80 of its flagship devices last quarter, 30 more than estimated. the company raised its forecast. on the foot side, you have got drug distribution company cardinal health short of estimates. continuing, other companies out with its numb

and, i talked to lloyd blankfein picturek about big topics.ot into the details of goldman's trading troubles. >> the expectations is that we will do better, because historically we have, that we really haven't. >> this is bloomberg. ♪ who knew that phones would start doing everything? entertaining us, getting us back on track and finding us dates. phones really have changed. so why hasn't the way we pay for them? introducing xfinity mobile. you only pay for data and can easily switch between pay per gig and unlimited. no one else lets you do that. see how much you can save when you choose by the gig or unlimited. call or go to xfinitymobile.com. xfinity mobile. it's a new kind of network, designed to save you money. ♪ >> this is bloomberg best, i'm alix steel. the dow keeps hitting new heights, breaking 22,000 for the first time on wednesday. >> but how long will double run continue #we talked to professor jeremy siegel and bill or where -- billionaire investor howard marks. marx, reached caution in a conversation with erik schatzker. >> the t

goldman sachs ceo lloyd blankfein says he's not worried about the banks trading roles, even after goldmanosted its worst is cap since he took over. in an interview with bloomberg, blankfein discuss the future of the fixed income business and regulatory sentiments with alix steel in baltimore. it imposed aruled little bit of a state of mind test. , but theyke positions wanted to damp down speculation. but the line between speculation, which as a word seems easily we should back off of, and market making, i.e. facilitating other people's trading, taking the other side of what your client wants to do, is also a risk-taking principal activity, and the line between the two is very blurry and indistinct. but what the volcker rule says in effect, if you're taking positions, points of view, in anticipation or in connection with a specific client operation, that's good. if you're doing it away from that specific, it's not good. if you're a market makers sitting in the desk, it's very hard to know where that distinction is. is areally makes a market million people all at the same time, buying and s

lloyd blankfein tweeted he wished the moon wasn't the only thing casting a shadow across the country got through one we'll get through the other. the reaction is clear from the thought from other banks, it's a big surprise that lloyd blankfein is so clearly coming out. he's personal about his opinions and tweets it's not tweets about his company. there's about 20 they've bon >> each one has been personalized nothing to do with goldman sachs. >>> taylor swift ended her social media blackout and sent the internet in a frenzy, po posting a cryptic 10-second clip of a snake or rep pile moving back and forth this after swift wiped out her social media accounts on friday. they went to black, fueling speculation that she may be ready to release a new album one can only hope. i hope she comes back over to the country side >> there's something "game of thrones" about this. >> i thought maybe she would drop the album during the eclipse. to eclipse the eclipse >> that would be clever, but that would be hard to do >> nothing she does is losing. >> would have eclipsed my heart. >>> beyonce and ja

lloyd blankfein also tweeting. business leaders coming up with reaction.e did get the president saying that racism is evil and those that cause violence in its name including the kkk, neo-nazis, white supremacists. will we hear from leaders of those groups, those from the so-called alt-right today? they had applauded the president for not condemning them until now. over the weekend, i had conversations with republican aides and officials kevin: over the weekend, i had conversations with republicans. the alt-right feels -- they have tried to distance themselves from these alt-right groups. that is one of the many reasons this was so problematic for the president to wait so long to denounce these hate groups. of course, his supporters will try to make the case that this is something he said in his original comments. quite frankly, republicans within his own party, upper echelon republicans and conservatives, denouncing his response or lack thereof to charlottesville. this is a candidate who ran on the notion that he would unite country,ry, heal the and quite

fine, -- lloyd lang lloyd blankfein, the worst of his reign.p with him and we will be catching up with the ceo of rio tinto, a decent performance for them and a buyback. the resilience of china the story of the last quarter, the steel mills in full turn helping out the profits and a big mine is on the planet. -- miners on the planet. delivered in air presser on monday on the impact of a hard brexit on the in the -- airline industry. they said the prospect of brexit disruption is more and more likely. guy johnson is there with the ceo. guy: michael, you met with the minister this morning. what can you tell us felt that meeting? michael: we stressed the need for an agreement. we have to have an agreement by september 2018, just 12 months away. he currently accepts if the u.k. leaves the european union we will leave opens guys, so the dutch open skies, so the -- open skies. we have french and german moving againstly an agreement or offering an agreement that is so undesirable it would break up the ownership rules. they are trying to disrupt flight

that was lloyd blankfein. that was back in june. well, back in june his firm, went basically propped up nicolas maduro's regime in venezuela going out there and buying all this debt. steve cortes, bgc partner. he said at the time, it was wrong and they shouldn't do it. i'm here with adam johnson, who is the founder and author of bullseye brief. he agreed they shouldn't have done it. well now, there will be sanctions on venezuela, steve cortes, i guess goldman sachs and others will not be able to do this again? >> look, i really agree with you. i've been very critical of goldman and lloyd blankfein for them being so critical of the president. tweeting the other day allusion to the eclipse there is shadow over america regarding donald trump. venezuela, we have to recognize this absolute human tragedy happening to once proud and wealthy country. i would warn american liberals who want to creep towards socialism, that is the end unfor unfortunately, the road it perdition what we're seeing in venezuela. goldman needs venezuela to recover

is it regulation like lloyd blankfein was talking about? is a growth?antage point as a small business owner who survived the recession and still kept it all together, as an trumpeters we tend to be -- entrepreneurs we tend to be really scrappy. we always seem to find a way to make things work for us. i keep my eyes on regulations like the african growth opportunity act that was put in place by president bush about 10 years ago. how that impacts my business is that because i import shea butter which i sourced from women around co-ops in ghana and nigeria, it allows me to bring in my raw materials without tariffs. i'm hoping that washington keeps that mandate in place because it helps small businesses like mine. >> another thing we talk about is how tight is the labor market and what's going on with unit labor costs and businesses. from your perspective on the labor costs is like? >> attracting the right talent is always a challenge. one of the takeaways from this program is creating a vision statement for my company that actually draws people to my busin

david: that was lloyd blankfein, the chairman and ceo of goldman sachs.xt, is there anyway tax reform could happen in this calendar year? i will ask senator tom carper, next. ♪ david: welcome back to bloomberg markets: the trump economy. i'm david gura. let's get to tax reform. mitch mcconnell addressed the issue on the senate floor saying the american people deserve a tax system that works for them. >> this won't be an easy process but the people we represent our depending on us for help. now's the time to deliver tax reform and i look forward to working with my colleagues. david: what is your sense of how singularly focused senate republicans are in particular on getting something done when it comes to tax reform? mitch mcconnell wants to make very clear that he's .ocused on a tax overhaul during his press conference yesterday he made it clear the senate would not be focused on health care vote before the august recess. the buzzword now is pivot. leadership want to make clear that the gop is singularly focused on the tax overhaul. david: what are his co

mark: the goldman sachs chief executive lloyd blankfein there.topic of regulation in the banks, uncertainty is something standard chartered cited as a recent not to reinstate -- reason not to reinstate dividends today. catch my ex interview on the european close, 11:00 a.m. new york time. this is bloomberg. ♪ vonnie: it's noon in new york, five clock p.m. in london and midnight in hong kong. welcome to "bloomberg markets." i'm vonnie quinn. from bloomberg world headquarters in new york, here's a top stories on the bloomberg and around the world that we are following. today's apple surge recently took the dow past 22,000 for the first time. we take a deeper look at the sector trends fueling that milestone. the goldman sachs ceo has told bloomberg he knows how to fix the company's fixed income business. more on why he's not panicking this hour. plus, president trump commenting this morning hundred reducing unskilled immigrants coming into the u.s. we will have the latest, including insight from senator marco rubio on why he has received for a harde

. >> this week, i had the opportunity to sit down with goldman sachs chairman and ceo lloyd blankfeinman's lackluster performance lately has worried investors over the last couple of quarters. i asked him to address those oncerns. >> how can something not be wrong with it after the last two quarters? >> well, we did not make as much money, so that was wrong, that first of all, we are diversified business group, and everyone performed so well that we actually did well as a firm. our return on equity has doubled, six months had double-digit r.o.e., that being said, we did not perform very well. sik is a risk business, that we don't always perform well n. that being said, some people performing in the same environment are better than us, and we are on the balls of our feet, and we are concerned about it. in my 35 years of doing this, there have been periods, a lot longer than this one, where we underperformed only to outperform. it has been very news worthy, not because we have been a chronic underperformer. we have been a chronic out-performer. we know what we have to do and we are doin

rishaad: for more on what is going on in the banking industry , lloyd blankfein brushing off fixed incomeess and not panicking because it is working on changing its mix of products and client base. >> we tend to be overly weighted to a client base, a terrific client base we will never abandon, but disproportionally evolved to trading clients who trade with hedge funds and other things. again, we are an investment bank. the more corporate banks have more business with corporate's than others. that is something we should have fixed. it getld not have let that disproportionate, but it did and we will fix it. rishaad: generally we are seeing declines. part of the reason is we may well have had a record for the has not followed through because part of that lift up was down to apple. factored into the session yesterday in this part of the world. we are looking at the hang seng, just under half an hour trading gone, and there we go, was at two-year highs. we will be talking about the qatar with doha banks group chief executive. ♪ ♪ >> from our studios in new york city, this is "charlie rose." ch

remains the case or if the president decided to two go in different direction. >> eamon javers, lloyd blankfein have a wicked sense of humor, month or two ago, it was infrastructure week. the president had all these problems blankfein was in china, comes back, lands, said, just landed back in the states, how's infrastructure week going? it's clear it had not gone well. >> reporter: he's the master of the subtweet among other things. >> you're the master of much eamon javers guy works literally 4:30 a.m. to midnight every single day. eamon javers all right. let's trade this, guys i mean, is there a way to trade this >> i know. tonight specifically, no,s w the way to trade this, though, since president-elect trump went after lockheed martin for the f-35 cost overruns, what have you, is to be in the defense sector. regardless of whether or not he talks about defense, increased defense spending, defense stocks specifically lockheed martin is where you want to be. >> it's interesting, guy has been totally right on these names and to me, those valuations, again, defy gravity. i mean, you're out of pl

eastern, goldman sachs ceo lloyd blankfein, i will be speaking to him.. ♪ emma: penetrometer with the bloomberg business flash. money lined up to buy charter communications according to people familiar with the matter. it is merging with the struggling u.s. provider sprint. alix: this is one of my favorite stories so far the w of the week. softbank has as much a $65 billion in financing to potentially by charter. how much debt with that pile on the balance sheet? jonathan: how much debt is already on that balance sheet? david: a lot. they are pretty levered up already. they would be taking on $64 billion in debt that charter has on its balance sheet. jonathan: i do wonder if there's a certain guy over at softbank that likes being connected in the news. i just wonder whether these deals are out there just to get people talking about the prospect of big deals. because this is massive. when you think about how they're going to fund it, there's huge debt on either side. where's the money coming from? david: at the same time, he's got a lot of pressure becaus

were going to act more quickly so you saw in addition to his resignation, you saw people like lloyd blankfein of goldman sachs putting out statements saying they were going to denounce the intolerant groups, white supremacists and the kkk that the president had been reluctant to. they have their eyes on a broader constituency than the presidents seem to this weekend, though he did step in today under pressure and make that t. >> you know, he was around -- the president was roundly criticized by both parties over the weekend. what does that tell us about the state of the republican party in particular? >> reporter: sue, donald trump executed a hostile takeover of the republican party last year. he beat a bunch of republican figures. he won the nomination. he got elected. members have been tolerating him, republican elected officials, because they share many os policy goals. but the longer we get into the year, the more trouble with the special counsel investigation, the more difficulty with the agenda on things like health care, the more people are deciding not to submerge their personal feeli

coming up, you do not want to miss it -- lloyd blankfein will be live from baltimore to discuss the first business initiatives. quick peek at what happens in europe today, european markets ended the day like this. first day of gains in four, starting august on a bright mark. "bloomberg markets" continues. this is bloomberg. ♪ ♪ what should i watch? show me sports. it's so fluffy! look at that fluffy unicorn! he's so fluffy i'm gonna die! your voice is awesome. the x1 voice remote. xfinity. the future of awesome. vonnie: i'm vonnie quinn. welcome to "bloomberg markets." ♪ from bloomberg world headquarters in new york, here are that have stories on the bloomberg and around the world that we are following. the former fed chairman alan greenspan says he will worry about a stock market bubble, the actual bubble is in the bond markets. more on his warnings this hour. under armour a-shares getting stopped in trading today after causing its annual sales forecast amid sluggish north america results. how well the ceo falls investor concerns. plus, u.s. carmakers under pressure after general motors,

lloyd blankfeins' brushing off concerns about the fixed income business.king because it is working on changing its next up products and clients. >> we tended to be overly weighted in our business to a client race, a terrific client face we will never abandon, but disproportionally involved in trading clients who trade a lot, hedge funds and other things here to again, we are in investment bank. the corporate banks have much more business with corporate send others. that is something we should fix. we should not have let it get that disproportionate, but we did, so we will fix it. hsbc says the possibilities are in the us and china has the government opens up the economy despite speed bumps between beijing and washington. the potential for two-way trade and investment continues to expand. the relationship between businesses in the u.s. and china character rises one of optimism. so if i take our own numbers over the past year, first half versus first half last year, we , soup 33% for our clients both directions. chinese companies into the u.s., u.s. companie

why some like lloyd blankfein supported cutting taxes now back president trump.is bloomberg. ♪ julia: this is "bloomberg markets: the trump economy." i'm julia chatterley. trump'sresident election, ceos of the thighs biggest u.s. banks joined a campaign called fix the debt which supported higher taxes if necessary. now some of the same ceos are cheering for the president's proposed tax cuts. max abelson writes about it in the new issue of business week. max joins us here in new york. back with us in washington is tim pawlenty, former governor of minnesota, former presidential candidate. here -- swerve here. was we willebt, it raise taxes if necessary but as long as they are deficit neutral. max: it is not that the ceos no matterfix the debt what happens. they had their ideas of how to do it. the difference right now is that trump as an outline of what he wants to do with tax cuts, it has to do with cutting personal taxes, corporate taxes, and then getting rid of the alternate minimum tax, estate tax. even conservative estimate say it will cost of future lien doll

another pun here during that eclipse the ceo of goldman sachs threw some shade at president trump lloyd blankfeinweeted he wished the moon wasn't the only thing casting a shadow across the country. we got through one we'll get through the other. >>> a new way forward in afghanistan. we'll bring you the details of his announcement on afghanistan after this break >>> welcome back to "street signs. spanish police so the and killed the man they say drove the van that killed 13 people last week. police tracked him to a rural area outside the city and shot him after he raised what appeared to ab explosive sgle. t >>> in finland two suspects are being held with terrorist intent the main suspect is a moroccan international. >>> divers have begun searching the flooded compartments of the "uss john s. mccain" for ten sailors still missing. there was no indication of intent in the collision. they say investigators into the cause of the crash will examine every possibility. >>> in a blow to warren buffett's burke slir hathaway, sempra energy announced it will buy oncor. paul singer's elliott management sough

lloyd blankfein a few weeks ago spoke about that we are not hysterical but we are focused on turningnd. the commodities element seems to be echoing a broader push within the fixed income business to court new corporate customers. goldman has always been more focused on the asset managers, the hedge funds. getting corporations on board and taking a pause from all the cutting they have done over the past years. vonnie: any idea how much money they will put into this unit in how much they hope they will have to play with question mark is there a limit? >> to our knowledge, they have not gotten specific. certainly, this will be a major push. there is a lot of room for this revenue to grow. based on our reporting, the unit was barely positive less quarter. vonnie: are they planning on hiring? why wouldn't they by commodity hedge funders? >> that could be the way they add talent but at the scale they are looking at, they are looking to hire. annie: great story and exclusive, thank you. editorur, contribute in bill cohen tells us what he thinks gary cohn should resign his position in the wh

lloyd blankfein will be with us live.atch all of our interviews on the bloomberg including that one with howard marks. tv . you can also find breaking news there and charts as well. this is bloomberg. ♪ . . scarlet: julia: it is 2 p.m. in new york, 11 a.m. in san francisco and 11 p.m. in london. i'm scarlet fu. i'm julia chatterley. welcome to bloomberg markets. scarlet: we are live at bloomberg world headquarters in new york. here are the top stories we're covering from around the world and on the bloomberg. the job -- the dow jones industrial average turning within reach of 22,000. stocks being pushed higher on the latest wave of corporate earnings. the world's biggest futures operator reporting record profits. the chairman and ceo of cme group gives us insight on the group's strategy ahead. in washington, lawmakers are trying to find their footing on tax or firm -- tax reform. they are setting up what one of them calls an aggressive timetable. u.s. markets are closing in two hours. let's get a check on where stocks

lloyd blankfein wishes it wasn't the only shadow across the country.et just the's latest in a series of suggestions that perhaps the investor community is quickly losing patience with the trump administration, and the lack of progress made when it comes to policy reform. his tweet taking federal aim at the president overnight. we also had commentary from ray dalio, the head of bridgewater, the world's largest hedge fund, saying he's quite concerned about levels of risk. ray dalio in the past few weeks said investors should put 10% of their money and save havens like gold and the yen. we are looking at perhaps the opportunity to turn a new page for the president. he is just about to step out on stage, about to deliver an address to the nation here in arlington, virginia. , hinted at by james mattis over the weekend to announce perhaps the adding of troops to afghanistan. we will listen into what the president has to say. pres. trump: vice president pence, secretary of state tillerson, members of the cabinet general dunford,, deputy secretary shannon, an

marketplace in baltimore just outside a restaurant owned by one of the program's graduates we have ceo lloyd blankfeinmberg and the owner of scrub nail boutique, jasmine simms who is graduating from the xram toda program today. congratulations. >> thank you. >> lloyd, we've been fortunate enough to go to many of these events with you and see -- >> love the program. >> -- the impact that this program is having. talk about what you're finding after doing this for several years, how is this program taking root in communities and really helping people start their own small businesses. >> well, thanks a lot, joe. we've been doing this in, for about seven years now. we're up to 14 cities, and we also have a national program that brings people together in classes where we are operating in communities that choose small dedicated programs, but where we've done this we've found entrepreneurs who are in business, have done kind of well, and need to break out to the next level, and that's kind of a sweet spot, where we can get real job growth and we can just take people who committed, proven, have the ambition, h

he stayed by lloyd blankfein's side for decades. nobody thinks of him as an economics master.lthough it's worth pointing out, kaplan, another goldman sachs guy at the federal reserve , if i remember correctly, he was an investment banker. it is not like he was an economist. i guess one has to be open-minded, but as journalists, we have to point out the potential clash. the phrase we use in the story is a bulldog leading a bunch of eggheads. you have to be aware of that. steve bannonicking to join goldman sachs. bloombergtory on the in the latest edition of bloomberg businessweek. gary cohn will be a guest himself tomorrow after we get the jobs numbers. trying tod, china stabilize its relationship with the u.s. as the trump administration threatens to investigate potential intellectual property violations. this is bloomberg. ♪ david: welcome back to "bloomberg markets: the trump economy." i'm david gura. i want to correct a mistake we made earlier. oil trader andy hall is said to be closing his main hedge fund at capital management after big losses in the first half of the year

be sure to tune in tomorrow morning as goldman sachs ceo lloyd blankfein joins us at 8:30 a.m.e. don't miss that interview. also, take a look inside our bloomberg at tv . you can see everything that you missed, including functionality right there. this is bloomberg. ♪ we check our phones 85 times a day. so it only made sense to create a network that keeps up. introducing xfinity mobile. it combines america's largest, most reliable 4g lte with the most wifi hotspots nationwide. saving you money wherever you check your phone. yeah, even there. see how much you can save when you choose by the gig or unlimited. call, or go to xfinitymobile.com. xfinity mobile. it's a new kind of network designed to save you money. david: is 1:00 in washington and 6:00 in london in hong kong. i'm david gura. welcome to "bloomberg markets: the trump economy." on his first day on the job, john kelly made sure who is in charge. will the former marine general be able to control the president himself the ech? senate democrats sign a bill for a potential tax overhaul. newly sectioned venezuelan presid

david: is it the mission of falling short on the part of lloyd blankfein? looks like they may have cut them in the wrong place and it really hurt our shareholders. >> you are seeing some admission they haven't performed the way you would expect goldman to. they have fallen short even relative to their competitors and a lot of the banks are much smaller in commodities now. ofy aren't seeing the type revenue declines that goldman has seen this year. on naturalbad trades gas. chris harvey of wells fargo also here with us. the catalyst for the banks was supposed to be deregulation and improvement in the economy. where are we with those catalysts? we are embarking on a return of capital and we think that's a great opportunity. dividend and buybacks is very attractive. we are looking at on average 6% to 7%. we haven't even talked about eps growth or price appreciation. , the openinging up bell right here on bloomberg daybreak. futures a little bit soft. the opening bell up next. ♪ ♪ track your pack. set a curfew, or two. make dinner-time device free. [ music stop

. ♪ joe: you are looking at a tweet from goldman sachs ceo lloyd blankfein.says, which the moon was not the only thing casting a shadow across the country. we got through one. we will get to the other. what is he talking about? he does not say. maybe he is talking about the fed rate hike. we don't know. you basically stunned us into speechlessness. it is pretty clear. it is time to get you caught up on the bloomberg business flash, a look at some of the biggest is the stories in the news. activist investor bill ackman is calling adp "insular" after the his threejected nominees, including himself, for the board of directors. ackman said he could double the stock price by 2021. adp said the move would not improve the board, and will nominate its 10 existing directors for reelection later this year. u.s. homes are using more russian lumber, following tariffs from canada. the u.s. set duties on canadian imports of up to 24% in april, and an additional 7.7% in june. this has increased materials costs for home builders. russian imports are 42% higher so for this ye

we are not talking about that. >> only fair to bring that up, lloyd blankfein would say, in 2012, we is healthier. i would point out that five years ago they were warning about problems that they said were long-term. those long-term problems, if you believe them then come exist today. although they still talk about spending, back then, they said they would be willing to they more in taxes to solve this. someone literally asked mr. blankfein, if you had to pay 5% more and he said, who would be non-patriotic to not a more. -- the pland trump he and steve mnuchin and gary cohn said, personal taxes and corporate taxes will be cut. and the alternative minimum tax or estate tax, those common one version of the plan will be gone. jonathan: 2012 was different in the united states and in europe with a debt crisis. the points you are making, the long-term points that have kind of gone missing and corporate united states, corporate america , still in the republican party. >> that is a fair point. there are some republicans who worry about the deficit. i have to say that, what just happened this

. >> we have gotten twitter commentary from uni lever's ceo, lloyd blankfein tweeting earlier.tay with us you've sad across the table from mr. frazier on numerous occasions, looked him square in the face. >> yeah. >> i'm wondering sort of what your thoughts are as we see ken frazier step out and be the first to not only speak out but to walk out. >> it's interesting looking at it from two perspectives, ken frazier the person and also has the ceo of a major pharmaceutical company this industrial has not been stepping out on the front lines, at least in terms of the political conversation in terms of climate change, in terms of immigration, when we've seen other industries do it the pharmaceutical industry perhaps for fear of this talk of drug prices hasn't stepped out since the election, ken frazier has been pretty careful with his words. he is a litigator, an attorney by training. he has always sort of stayed on message in terms of what the pharmaceutical industry is looking for to work with the president about. but he does have a past of working on social justice. he zan rated

we stay lloyd blankfein.oapple shares are open at a record high after the company gave a revenue forecast that highlighted demand for the iphone ahead of the launch of its new models. revenue will be $49 billion to $52 billion beating analyst forecasts. hong chan joins us on kong. apple signaling a strong quarter, there have been concerns about what the looming iphone would do to current demand, doesn't bode well for the upcoming iphone? edwin: i think yes. the market seems to like the forecast. concernss some of the period andded lull that is why receiver shares [inaudible] have an extended trading. manus: is there anything that you find disconcerting and anyway? we are back at $30 billion of cash, they really have gone all-out to reassure the market that things are on track. anything disconcerting you? edwin: a couple things. cannot discount completely the effect of the delay and everything that was worrying was the chinese set of numbers which were again a very weak and you remember this is off a comparati

. >> bill before we let you go, lloyd blankfein tweeted in the last 30 minutes or so.ed against itself can't stand and then he says isolate those that try to separate us. no equivalence with those that bring us together. it's obviously a sub tweet of sorts. he's not referring to what happened over the weekend or what happened this morning but do you believe that that true is widely held in american business and is it held by people now serving the white house that have come from goldman and other companies? >> i can't speak for the people in the white house today they certainly would when they had that position. absolutely good for lloyd that's stepping up how can anyone support a group of neo-nazis after what they did to the jewish people this is intolerable and i agree, this has no place in america and i think we have to isolate people these people do not stand for american values that everyone is created equal so we all have to take a stand against it and even without the violence and now with the violence that just accentuates. we cannot split our country. >> bill

. >> i spoke to lloyd blankfein last week. they were beaten out by morgan's hanley.> we did not perform well. we don't always perform well. us.r people are better than we are on the balls of our feet. we are concerned about it. we have underperformed. we know what we have to do. us. an execution for mike: i think that what is remarkable, we haven't heard ceo say that. i don't remember when they said toy are underperforming. have not and in this position often. the two thirds is not training. they are lending more. market good bailout goldman sachs. income --d on fixed research. that is the best for six years in a row. that's one of the reasons why i am here. i can use this research. on tuesday, the volatility will increase i one third. pieces, food in you want to own it? that would be goldman sachs. they need to get the job done. they've done it even with revenues. they buy back 1/5 of their shares. up,evenues don't pick david: they are technical reasons why commodities may not come back. alix: lloyd is talking more cyclical. david: exactly. mike: one thing goldman s

. -- i spoke to lloyd blankfein. tom: thank you so much. radio as well. let's do single best chart. this is the yen. here we go to corroded. this is the weaker yen. iit didn't happen. we have a little bit of a rebound. here we are again, migrating away from it. up withy shows international relations. that can really cold into japan as well. >> the yen is a safe haven currency. it's been coming down. i consider that to be a great clinical miracle. when he came in, somehow the yen want from -- dollar went from etienne to ¥100. the first part of that was done i him. he got some gravy going from 100 to 120 because crude oil prices collapsed. that's kind of it. maybe he should've declared three. we had three years of inflation over there. now it has come back down. tom: let's go back to the chart. up we go. about?eed a new to the need to the structure japan for the new normal, which is not a political theory? chris: it depends on what is the nature of deflation. mean a weaks it economy? you would have to say no. of we have 15 years of mild defla

-- is a wonderful go is gary cohn like a william martin, or is he a hard-nosed executive like lloyd blankfeinbut there is precedence for politicized fed, and i think may be a competent fed official, there will be the optics of this is trump's man at the fed will maintain a low interest rate environment to support the administration's policies, and that was the question marks around little independence. come backel, let me to you. i am being told of the payroll is probably not that important to the fed, maybe a little bit important, but it is one of the things the markets will rush off as well. michael: i am in agreement. calmthey are utterly waiting for the numbers. if that is the case, why is nobody doing anything this morning? michael: the nonfarm payroll has been really volatile relative to expectations all year long, and the reason is clear -- you got a mismatch between these concepts that the applicants have the skill sets required by the jobs being offered, and that means a ,longer hiring process and it comes in surges. market has to back off, really trying to use a month-to-month chang

the white house had no comment for lloyd blankfein. no word on whether that was intend for the president or gary cohn there's the tweet. was he sending a shot across the bow? i don't know er gary cohn signaled he will stay following last week >> ben white making the point this morning in "morning money" that perhaps janet yellen stays. do you think that's -- what chance >> that's possible the president is very wary of any aides who take on outside significance we saw gary cohn last week be couched as the person who if he left, the markets would crash. does the president recent sa gary cohn has that influence or perceived influence in the markets is an open question. the president also good at determining what his aides want most in the world. sometimes if that aid is not in favor, he will deny certain things in thiscatio case gary cohn seeo want to be fed chair >> that was not unanimous. we had mark grant on yesterday who rolled his eyes. that was a yale management professor. so, you know -- >> about the market crashing -- >> ludicrous

. >>> welcome back to "squawk box" this morning goldman sachs ceo lloyd blankfein -- you got me now - me. >> you said it originally. >> i didn't even know -- >> got it in my ear as an ear worm, lloyd speaking on msnbc's "morning joe" in the last hour -- >> did i really say that >> you did new york city michael bloomberg to talk about edge cage and small business blankfein weighed in on the u.s. economy and the low interest rate environment >> we're here at a time of full employment situation now, i'd say it's pretty good i'd say the political environment is very bad, and when you're dealing with the economy, it's not -- it's not just science you're dealing also with sentiments >> blankfein as we discussed, tax reform and the country, you have to make sure that whatever we do to distribute wealth doesn't interfere with the country's ability to generate wealth that was a point he made several times. that's mr. blankfein >> blankfein i didn't even realize i said it. >> the congressman -- blankenstein, you know, exactly. they know it's -- >> what you missed was when we came back from comm

david: you talked to lloyd blankfein about that. where you said we have to address this.'t know how. david: he didn't tell you how. bankrate, you of have underwriting and advisory fees because advisory fees are where bank of america, really strong because of m&a, and we have seen a lot of issuance in the market as well but underwriting is very strong. david: the bonuses are strong. in this new world, that is good money for a bank. you don't need reserves to get advisory fees. you don't have to have your own capital at risk. that is just on money. rivalrieske for some around the office. it does not make for good relations when the guy next to you is making a lot more than you are. alix: but do you know? market, we are seeing movers in the retail space. s off by 3% despite the fact that the company came in 3% lightly better in terms of earnings. it beat estimates for its second-quarter and also sales came in stronger. yet the stock is down. dillards had a disappointing quarter, stock down by almost acting percent and macy's, on the surface, it didn't look terrible, down 2.5

maybe he thinks the market is price sir, i didn't think much of lloyd blankfein's oblique sarcasm and twitter. you have so much space to say something clever. this guy has different priorities, right? he run as big company, a big diverse company. let's be honest, whatever you think about the president, there were inflammatory marks with regard to the white nationalist demonstration. you can't run a big company, a lot of new york employees and not speak out about that. stuart: jack hough thank you very much indeed. president trump in arizona, a big rally to his base. he march according to speculation sheriff joe arpaio. andy biggs is with us. he says that would be a great idea. parodontax, the toothpaste that helps prevent bleeding gums. if you spit blood when you brush or floss you may have gum problems and could be on the journey to much worse. help stop the journey of gum disease. try parodontax toothpaste. ♪ stuart: breaking news on the coalition involving the uss mccain. navy officials say, a cyberattack played quote, no role in the accident. they're clarifying the situation. >>>

you would never see president obama meet with jamie dimon and lloyd blankfein to figure out what to do-frank obviously. so i don't know -- does it look good to meet with corporate ceos about cutting corporate taxes? that doesn't help with the average person. >> no, but you can talk about ways to do it correctly, ways to do it without spoiling the job creation. >> demagogue. >> but to walk in blindly into some of this stuff seems a little ridiculous. >> certainly with the border adjustment tax, the ceos had some things to say about that part of tax reform. >> he's actually right we'll talk more about this. >> steve, thank you very much. for more on this story, let's bring in another voice mary ulbein is from texas university's school of business. mary, steve just set this up saying that the ceos need to have a voice, they should be consulted. but so far we haven't seen a president who tends to go back to people who have burned him in the past do you think that this is a splitting of the ceo community with the trump administration? >> i think we're in a very interesting times and the old