so i think a step in that direction, the ustr announced yesterday the federal register, which is thatwill start alleviating or excluding some tariffs. we are going to get some materials reforms to the u.s. trade relationship with the eu on steel and aluminum tariffs, and they will alleviate some of their reciprocal ones, and eventually some movement on the china front. there's a long way to go, and it will take years to sort out of this for sure. jonathan: we could talk to you for years. you know that. great to catch up. henrietta treyz of veda partners. good morning. on radio, on tv, for our audience worldwide, futures up 1%. this is bloomberg. ♪ jonathan: what are you calling this, tom, a male top -- a melt up? tom: a drawdown after a melt up. jonathan: all of this following the biggest one-day reversal on the s&p 500 going back to february. we were deeply negative at the start of the session. helped out by what is happening in washington, but also by this in the energy market. we have that verbal intervention from president putin. that verbal intervention from secretary granholm in

what is unclear, melissa, is how exactly ustr is going to respond to that. of the deal, if oe of the parties is not in compliance, that will open it for additional tariffs taken by the other party. the ambassador has been calling for consultations with beijing directly and with allies over that it will be a critical speech to watch especially as we near the end that have first two-year period,china will need to make good on those purchases and now we know the administration will say officially in the most forceful way yet, it has not, melissa. >> kayla, thank you. kayla tausche in washington for us >>> up next, bringing a beat-up old favorite back into play, it's just like riding a bike we'll beig bk. rhtac there's software. and then there's industrial grade software, forged from decades of industrial experience and insights. meet honeywell forge. analytical software that connects assets and people to deliver a cybersecure record of your entire operation. so that everyone, in your boardroom and beyond, speaks the same language. honeywell forge. industrial gr

>> i want to take you back to something central to thatted a strigs and ustr, which is the deep senseresponsibility that this team has to well-being of americans, american workers, and our entire economy so in terms of setting out the parameters for our trade policy with respect to china, the goal is not to inflame the relationship or to inflame trade tensions the goal is to be very clear-eyed and very clear in our communication to make as successful as possible our attempts to effectively realign this relationship in the interests of the american economy. >> the administration has had a policy that it will not raise taxes on americans making less than $400,000. do you think the tariffs indirectly go against that pledge >> no. >> not at all? >> no. >> one of our other pillars of your policy as announced today is revisit the phase one agreement and discuss with your chinese counterpart exactly where china is falling short and maybe where it has met some of its goals. i want to talk about the purchases specifically because the deal calls for china to purchase $253 billion of goods in th

what is unclear, melissa, is how exactly ustr is going to respond to that.f the deal, if one of the parties is found to be out of compliance with the deal, that would open up for additional tariffs or additional actions taken by the other party. we know that the ambassador has been calling for consultations with beijing directly and with allies over that it will be a critical speech to watch especially as we near the end of that first two-year period, where china will need to make good on those purchases and now we know the administration will say officially in the most forceful way yet, it has not melissa. >> kayla, thank you. kayla tausche in washington for us >>> up next, bringing a beat-up old favorite back into play, it's just like riding a bike we'll be right back. when traders tell us how to make thinkorswim even better, we listen. like jack. he wanted a streamlined version he could access anywhere, no download necessary. and kim. she wanted to execute a pre-set trade strategy in seconds. so we gave 'em thinkorswim web. because platforms this innovati

we are working actively with the ustr and other agencies and the government to use the tools to holdna and other accountable. we look forward to continuing to consult if there is no additional authorities that we need. we highlighted in the sanctions review crypto currencies have required us to look at ways that try to deal with potential sanctions. how often have are they used to avoid sanctions? >> we recently put out a report last week highlighting the use of crypto currencies and ran somewhere to the tune of several hundred million to the crypto currencies we recognize a number of actors that seek to impact of the national security are using crypto currencies to get around the sanctions regime's in terms of a quantifiable number we know is more than several hundred million and our goal has got to be to identify those where it exists. from your perspective do you think that it should be a regulated market in a way that is similar to our conventional monetary system? >> from my perspective i think one of the things we've benefited from a great deal is the innovation that has helped

we are working actively with the ustr and other agencies within the government to use our tools to holdna and others accountable. we look forward to continuing to consult with you if there are additional authorities we need. senator tester: from a standpoint of crypto currency, has that changed how the treasury department deals with sanctions? secretary adeyemo: senator, as we highlighted in the sanctions review, crypto currencies has required us to look at way that is we can try to deal with potential sanctions evasions, and we have rye highlighted this by taking certain actions with regard to crypto actors using their -- using this means of payment for things like ransomware. it will require us to invest more in different parts of our work force going forward. and improving our technology infrastructure. senator tester: how often are you seeing crypto currencies being used to avoid sanctions? secretary adeyemo: we recently put out a report just last week highlighting the use of crypto currencies in ransomware to the tune of several hundred million dollars of collections through crypto

the programs are merely ill ustrative are trying to give the -- the likely costs closer to $4 trilliondollars. >> i think they are being kind. i think it is worse than that. this legislation is far more expensive. the intent is for all these programs to be permanent. the scope has been scaled back only slightly. worse, the details aren't very good. these are poorly-drafted programs with bad incentives. childcare subsidies are a nightmare. tax proposals don't make any sense. i think the "wall street journal" is on to something in terms of the scope and the size but i think they are being too kind about the content. >> bill: also this from yesterday, growth in the last quarter was only 2%. slowest that we've seen in a year's time. austan, that's where you start to smell the fish yet again. go. >> well, i disagree with doug's take. i think reducing the cost of healthcare is important. reducing the cost of childcare are important. these issues that it raises in the polls remains very popular. the details remain very popular with the american people. >> bill: do they? the polling shows from

it's being exported to china for goods that are made there and then shipped back here >> you saw the ustrn our air yesterday. the cost of shipping a 40 foot container from shanghai to l.a. has finally ticked down. >> yeah? >> yeah. a couple hundred bucks down from 12,400 to 12,100. >> when you see some of these companies taking action and, like, costco in getting their own, that's the beginning of a movement where you're not captive. what do you think is the key export from asia >> key export from asia, everything that is under $5. >> the lantern bug. >> the lantern bug >> you have to step on them if you see them that's our only way to deal with them is to step on them. it's kind of an inefficient way. >> the ash borer hasn't been good i think that came from asia too. >> i lost so many trees to the ash borer. >> lost every ash tree in the northeast. >> cost a fortune to take them down you can still save them -- >> you can spend a fortune to try to save them baseball bats used to be made of ash. >> i don't know how we got there. you took us there. you were the one who decided -- >> 9:35, t

and ustr catherine ty met with her singaporean counterpart and they expressed an intent to work togethern digital trade. i would be interested in hearing from both of you, how we can advance work with japan, with singapore, to set rules and standards for the digital economy that is serve as a model for the region, a model for the world, and help provide a more attractive alternative to digital authoritarianism. >> you want to go first? >> sure. thank you so much for that question. i think as i said, since 2003, we have enjoyed an incredible free trade agreement with singapore. and the $90 billion that, you know, is passing between our borders is a critical component to the economic success of really the region and of both countries. i think as the world moves digital, i think it's going to be incredibly important for me if i'm confirmed to make sure that singapore understands this, making sure we're involved in these discussions, make sure as japan and other countries in the indo-pacific region start to develop these agreements, that the united states is right there front and center. >>