. ♪ live from bloomberg world headquarters in new york and london, on vonnie quinn. mark: i am mike-- mark barton. this is bloomberg. on the globalg economy and the future of banking. bloombergs francine lacqua is there. pleased to bevery joined by valdis dombrovskis, thank you for joining us. i find the moon quite strange and washington, d.c. better thane expected, and then you walk around the core doors and people tell you they are concerned about the trump administration, they are concerned about french elections, they are concerned about geopolitics. what is the main concern you see? com. dombrovskis: first of all, in economic forecast, we also fallingworld economy is despite those risks. to grow by 1.8% growth this year and next. economic slowdown in china was not quite as dramatic as feared. inre are number of reports the world economy, and there are number of risks. in europe, we are facing tensions and conflicts in our neighborhood. east orll be the middle there iseighborhoods, a number of geopolitical factors which still need to be dealt with. francine: for growth to take h

the bloomberg dollar index, down 0.3%. comments from vice president mike pence beating into that trade. finally, brent and nymex, both under pressure. nymex at $52.72 a barrel. this is bloomberg. francine: welcome to this bloomberg surveillance special. we will be in washington on april 21 when finance ministers and central bankers from the imf need for the annual meetings of the world bank. the event comes at a time of rising political uncertainty, a busy election schedule in europe and risks from the perfectionism. ahead of the event, i sent him for conversations -- i sat down with conversations for the imf managing director. i asked her about the concerns regarding protectionism. >> protectionism is clearly a threat. and one if it was to be realized would really be a break on growth, on productivity, would be a break on investments. that botheing innovation and trade are conducive to productivity. productivity is the engine for growth. as part of the risks we see, protectionism is one. the political uncertainty we see around the world, particularly in t

mike covers the white house for bloomberg news and joins us from washington.means that this seems to be aimed squarely at some of the outsourcing companies. >> indeed, one of the administration officials who specifically this named three outsourcing companies he thought would be hardest hit by this. the whole idea is to shift the h-1b visas away from the lower toll less well-paid jobs, jobs that really are high skill and that you couldn't find an american worker. caroline: it seems the white house is asking for the help from certain agencies for their ideas of how they can make this more targeted. reporter: yes. this executive order really doesn't order them to do anything. all it does is start a process that any large organization we have thisch is, goal, what are good ways to achieve this? this will probably take months, probably not until next year before you see any impact on this. caroline: what about the h-1b in terms of how much the executive can drive forward changes, or how much still we are seeing the white house held to account by congress? they are

this is bloomberg. ♪ >> talking tough in tokyo. u.s. vice president mikedeeply committed to security. the fight for france. 1/3 of voters are still undecided. asders are taking no chances they wait for the answers in the election. plus, as donald trump congratulates erdogan on his victory, the turkish leader insists the vote was democratic. and regulators pushing banks for their brexit contingency. th

bloomberg. francine: thank you. the u.s. vice president mike america is deeply committed to the country's security. their heightened tensions with regards to the north korean nuclear program. abe have just begun a news conference in tokyo. aso talking at the moment, and then we get onto the vice president very shortly. let's bring in the chief currency strategist. thank you both for joining us. tim, let me start off with you. are the markets right to be less nervous than they were one week ago? it seems tensions are not going anywhere? >> there is a geopolitical concern. yet, the markets sail merrily higher. interestingly, the bond market continues to move ahead, driven by momentum and now by commodities being softer. the stock market is amazingly robust. francine: is that central banks? >> i think so. that is what we think. >> absolutely. we live in a world where that search for yield becomes so extreme that unless you are under a major risk, people are forced to continue to push the money out into whatever investment they could find. i do thi

mike mayo. still ahead, no border adjustment tax according to white house officials. details next. ♪ live from bloomberg headquarters, i'm vonnie quinn. this is bloomberg markets. a quick check on u.s. stocks. picking up a little steam here. the dow up 49 points. nasdaq 500 of in the above the 6000 mark in holding a 10th of 1%. >> small gains for the major averages you just outlined. let take a look at stocks outperforming and under performing. twitter and when resorts. -- wynn resorts. they gave a week shocking price outlook. one reason stocks may be relatively changed. let's take a look at some of the companies that have the biggest tax rates to the government and taxes -- and taxes. taxes. thesethe election, bt -- bte 561. we see the election, those in a bigtperforming way. a failure around the health care plan a concern that maybe the tax plan would be passed quickly. thank you for that. have house officials released some details of president trump's tax plan. it will have 10 bracket -- three percent, 25%,re and 10%. corporations, trump want to/215% in four innings -- foreign earnings to 10%. this,

bloomberg real yield." ♪ ♪ david: your last name is krzyzewski. mike: it took me a while to learn how to pronounce it.three years, you had a losing record. mike: a lot of people were calling for my firing. david: you won the national championship. mike: i said we were going to win. i don't know if i believe that, but we ended up winning one of the greatest games in the history of college basketball. david: last year, you won your third gold medal. mike: toave thguys with medals around their next and the national anthem being played, there is nothing better than that. david: what are the most important lessons of leadership? mike: at west point, i learned that failure was never a destination. >> would you fix your tie, please? david: well, pe

. ♪ haidi: we are getting some lines crossing the bloomberg from the vice president of the u.s. mike continues his asia again on north korea, strong rhetoric coming through, saying there are responses available to the u.s. when it comes to how it deals with north korea, and saying the era of strategic patience when it comes to north korea is over, saying the world would do best not to test president trump's result, saying the u.s. will protect maritime laws, including in the south china sea. certainly some strong words coming through, saying the era of strategic patience on north korea is over and the world should not tested trump's result when it comes to dealing with this. we will bring you more on that story as details emerge. coming up, bill dates speaks exclusively to bloomberg about the impact president trump's policy will have on health care. this is bloomberg. ♪ haidi: this is "bloomberg markets: asia." i am haidi lun in sydney. rishaad: i am rishaad salamat in hong kong. the latest business flash airlines, malaysia airlines the first carrier to sign up for space-based tracki

japane our bloomberg macro editor, james with us. vice president mikeoing to japan later this month. are we expecting these sensitive issues to be on the agenda? reporter: yes. the u.s. treasury will bring out the list later this month, and mike pence will be here after that. obviously, the question on whether the u.s. thinks japan is manipulating currency to get a better deal on trade will be one of the things in that discussion. , a lotanese government of bureaucrats say that the listing of japan, especially with the account on the currently -- currency watchlist, is unfair. japan's current account surplus is due to its large investments overseas. it has built factories in the u.s., the u.k., and other places. the income from those investments has benefited japan's current accounts, whereas someplace like germany, where their surpluses from exports. is from exports. japan is probably going to push back against that designation putting them on the watchlist, and you will probably see that discussion happening when mike pence comes later this month. hai

the head of the disclosures which were first reported by mike sort of edge, then by eli lake of bloombergith others, including adam housley in los angeles and yours truly contribute in, president trump was on twitter sunday morning. "the real story turns out to be surveillance and leaking. find daily curse." our panel will do that right here right now. guy benson, a.b. stoddard, mollie hemingway. senior editor at "the federalist" and syndicated columnist charles krauthammer. mollie, should we be surprised to find susan rice at the center of the story? >> ever since devin nunes talked about the unmasking, i would assumed it would be lower level. this is not a minor flunky. already a pretty serious allegation, now something much bigger. >> it's important to remind their viewers, as i often do, i did two weeks ago, that although people want to confuse the two. unmasking is not leaking. unmasking is not wiretapping. it is not surveillance and while devin nunes lied about this, president trump lied about it, susan rice lied about it. this revelation could be anything from a scandal to a crime.

bloomberg. ♪ ♪ alix: mike wilson of morgan stanley is still with us. $2700 call. give us the over under on financial rates. >> technology is still there, because earnings continue to be strong. --re is such breath in that in that sector, that he continues to be strong. the other is energy and infrastructure. there is the global synchronous recovery that we think will focus back on that after first quarter innings. -- fourth-quarter earnings. as i mentioned earlier, a lot of the excitement around tax reform, and a small caps that election,ed off the those have come back down. deregulation should help them proportionately. and you expect progress on tax -- we do expect progress on tax reform in the second half of the year. tax rate happens do you still like small caps? >> we do. at this point, we do not think enough is being baked in for tax or form. -- tax reform. that are concerned about is back tax and interest deductibility. i think those two could do a lot of damage. i would be more concerned if we had those two stipulations in a tax reform with a l

bloomberg markets: asia." ♪ haidi: trade talks and tensions. mike pence goes to japan on part two of his trip to asia.ishaad: regional stocks extending gains. new york has the biggest gains in six weeks. haidi: fidelity and guarantee approach.it was seen as unlikely to win regulatory approval. rishaad: the u.s. could default in the markets and not paying attention. the u.s. vice president is heading to japan. meeting with the deputy prime minister later on the agenda. north korea and nuclear ambitions. geopolitical tensions are roiling markets of late. we have a lot of pressure on beijing from washington at the moment. some of it is apparently working. the u.s. is getting encouraging signs that china is going to act to pressure kim jong-un's regime to dismantle their nuclear weapons program, and that we have mike pence also warning pyongyang that they should not really dispute the resolve of his boss. politics is the alpha today in equity trading. data as well. haidi: that's right. i find it a little be will during we are seeing this section in the u.s. overnight, blend clearly geopolitics is still th

mike judge and alex, the executive producers of hbo's "silicon valley." "bloomberghnology" will be making a cameo in the upcoming season. catch the debut sunday, april 23. the ceo of london's first rentech unicorn says he would not have chosen -- finn tech -- fin-tech unicorn says he would not have chosen the country if he was founding the company today. the reason? brexit. cited the uncertainty of leaving the european union as damaging to the business. october. he told us in >> now the whole accor system in london is worried about what is going to happen -- the whole ecosystem in london is worried about what is going to happen. being in limbo is the worst. we are worried about talent. can we keep on hiring people from abroad? what's going to happen to regulations and passporting? caroline: fascinating. coming up, could seoul be the next silicon valley? we will take a deeper look into the comp -- country's tech landscape. this is bloomberg. ♪ caroline: now to a bloomberg scoop. amazon considered a takeover of whole foods last fall, but did not pursue the deal. accor

bloomberg first word news. taylor riggs has that. >> u.s. vice president mikeresent -- mike pence delivered another warning to north korea. the era of strategic patience, is over. while all options are on the is workingpresident closely with japan, south korea, and all of our allies in the for a peaceful resolution and the nuclear station of the korean administration. a military strike -- a military strike is still possible but they would like to have side-by-side negotiations. >> chancellor told lawmakers that he can "confidently predicted that there will be another u.k. budget after the election on june 8." this comes after an announcement on theresa may calling for an early general election. tax returns are due in the u.s. today and do so is any money that you oh uncle sam or 26. the internal revenue service has processed over 100 million returns from individuals and 80% have qualified for refunds. $2851, upe refund is $51 from last year. in number of people audited 2016 dropped in the sixth straight year to one million. i'm taylor riggs, this is bloomberg.

mike: we meaningfully underweight the securities . think about those benchmarks, the bloombergas a significant proportion of it. we will have a significant underweight position there. we will also underweight are duration of portfolios. we have around the year under the benchmark in our positioning and portfolios. will bet that longer-term rates rise more than short-term rates. alix: we will be zero bound for 40% of the time going forward. that is a total shift and how investors deal with stuff. to 3%hat mean we will get on the 10 year and maybe not 5-6% again because you have to deal with lower bound? mike: we think we are going to move back to a more normalized rate policy out of the fed, which means positive real rates in terms of central-bank policy. if you look at the odds of a staying at 3%, we think short-term rates can go up from there. thee have inflation and 2.5% area, we are likely to see short-term rates higher than that. in general, not a big believer in kind of the lower for longer, given what's going on in terms andhe economy and inflation the change in rhetoric

mike flynn was gone from there six weeks ago. why they think this will clear it up for everyone. jennifer jacobs from bloomberg news.nks for being here. congratulations on this scoop. >> thanks, rachel. >> correct me if i am wrong, this order was posted in the federal registry yesterday, no press release, no announcement. is that true? how did you find out about it if that's how it came out. >> some of my sources in the administration reached out to me about 11:15 this morning just to flag me, flag this situation to let me know what was going on. it is a big deal to have this happen. it is less of a struggle of power demotion than power shift. mcmaster has more authority over more national security. what they were saying is, you know, and other sources telling me this was very much planned. we were talking about what was the reason steve bannon was in this key high power position in the first place. this gave us a little more insight today. the reason was i think some in the inner circle, trump's inner circle thought mike flynn was a little bit shaky, maybe a little bit flaky during the transition, before inaugurati

bloomberg subscribers only. ahead, defusing the tension. help mike pence is reacting in seoul, south korea. the data from china. this is bloomberg. ♪ back.d: we are this is bloomberg markets: asia. haidi: a quick check of the latest business headlines. apple's partner forecasted sales below estimate as they are within next iphone. it is expected that sales will be around $7 billion. the taiwanese company faces rising competition in android devices along with the strong tiring dollar. josh taiwan dollar. -- taiwan dollar. rishaad: sharp may reenter the personal computer business. the company president says they may also return to other technology equipment centers. the company withdrew from personal computers in 2010 but heir apparent -- but there parent -- haidi: apple has won approval to test self driving car software on public roads. will useays they software in existing vehicles. they are attempting to take on google and tesla to focus on underlying technology. rishaad: china's first-quarter gdp growth coming in ahead of estimates. we were looking for 6.8%. retail sales and industrial pro