you know, if you look at these shoes, chances are the hides came from america. so when you actually break down the value of our import, you see hidden inside the numbers is u.s. value. the united states tends to add value at discreet parts of the global chain. raw materials and finished goods and a smile those goods get sucked into china where they're assembled and often reexported to us where we then support jobs on the other end to support transportation, retail, et cetera. you start to measure all of the jobs in the supply chain. you start to see that of every dollar we import in mexican goods, at least 40 cents is going to u.s. firms that make the ingredients that went into the goods that do not get measured in the gross trade balance. and when you look at chinese import you see that at least 50 cents if not more goes to u.s. companies for the inputs and also the firms that get these products to market. so that a dollar worth of goods that we import, in fact, a large share of that goes to supporting u.s. jobs. now, the whole basis of the trade imbalance argum

, taking the other side of it. >> if you look at a chart, if you look at chartu could see the moment that bomber stepped down you could see it it's visible >> took the words out of my mouth. >> from space. with that, you're not really getting that reaction, oh, thank god he's gone, new blood the guy taking over has been there for three decades, coming in from ge health care so, there's not a lot of enthusiasm that much is going to change they did a huge overall in term of moving headquarters to boston, but there's still this feeling of look, it's an inbred management team, they've been there before and there's a lot of sacred cows until that changes,en i don't expect a lot of momentum >> i have not owned the stock for a long time. the reason i bought it this morning was a couple of weeks aerg, i felt bad i was on here talking b about immelt and some of the struggles they've had. the right reasons are we need to change, even if josh says inbred, even if that's the case, i think changes will occur at ge at a much faster pace than they have been and all the mistake

whatever you look at, one day it is something, the other is 50. that is the -- just as flat. says i don't buy the reflation story anymore. what is it saying to you? michael: markets are coming around to the view we have had. the fed is going to keep pushing the front end up, and the long end is pricing in the slower growth. i think that is coming through on the treasury curve. i would argue there is more room to run. typically in past cycles, i have a chart of 230 spreads going back decades. typically that goes to zero. when the fed is done hiking, let's say they get to 2.5%, you will see yields around that level across the whole curve. jonathan: that 2.30, you think we can get flat? michael: if they keep tightening. if they insist on hitting that 3% long-term dot they have. i think that is too much. kathleen: i think they are definitely pricing in weakness. i think there is good demand in the economy. i think it is a misread. i think the weakness is just short-term. jonathan: bob michele. bob: i think it is more about flows than expectations on the economy or the fed. i thin

opposites of these two, it's that i'm a fuzzy or you're a techie or one of the other because if you look within these programs and in the social sciences for example you've got software that you have to master these days, big data and data sets . you're engaging with independent variables and in these deterrents you're working with game theory and things like that so the fuzzy subjects are not uniformly fuzzy and you go to the techie side and you look at mechanical engineering these days and you've got the advent of design thinking which is basically user psychology. there's a lot about user experience design and sort of know your customer, customer experience interviews which are kind of sociological or anthropological in how they work. and then feeling that these terms you realize actually we are all a bit of both and it's about the consolation of these two things. and the sort of secondary part of the book which refers to how the liberal arts rule the digital world, this paints that digital arts is been to some degree earned at the bottom. in silicon valley for example, it might be as

now let me give you a look at the chart behind me. the u.s. fund, the biggest exchange traded fund food prices with nearly $270 million last week. you can see that over there on the right of your screen, circled in yellow. a stark contrast to the nearly four cents drop in wti. first --lowing for the fourth straight day, trading at its lowest price in almost two weeks, with silver falling to $17 ounce, all ahead of this week's fed meeting. scarlet? to anticipate there. let's turn to the rally in u.s. steelmakers. u.s. steel dynamics soaring over the past few days of next that trump is about to step up measures to block cheap imports. joining us with the latest, joe. joe, president trump saying that they are going to have major legislation to announce very soon. vintage trump in terms of the kinds of things he saying, but what do we know in terms of timeline? what can we surmise? joe: the guess is that it is typically like a 200 70 day process. there have only been 26 of these ever. it's not that typical. and he wanted it sped up. within a 50meth

at -- where you look.: you are not adequately compensated no matter where you look. it's tough in high yield. jonathan: let's use car rental companies as an example, michael. they have a capacity issue. a lot of people are looking at their company as problems. there is problems in these companies that have debt. what is your thought on what happened there? certainly these cracks we are seeing on the credit side. auto companies themselves have finance arms, we are seeing auto sales and auto production roll over, you are seeing problems in auto rentals. retail, lodging sector is being hit by technological change and potential exit supply, fundamental cracks. then you have evaluation problem. i third of the ball -- bonds are under spread. guest: i think everybody is being greedy on the high yield market. the spread of 360 races points with the fault rate coming down, we have the accident in energy. the fault rates only got 24%. ofare headed to 1% i the end the year. 360 basis points compensate you. i would li

. >> when you look at how many people we brought back into the workforce and you look at the u6 numberthe fact that it's down since inauguration day, we're clearly bringing people back in the job force. that said we want to continue to grow the job force and the president has talked about that. that's why we're so focused on tax reform and infrastructure. we believe we have to create a better and better job market in the united states. >> for more on the number, the market reaction, we are joined by jp morgan's chief strategist. david, i'll start with you. on a weak number like this across the board, is it a blip, speed bump in the trajectory or a signal of a bigger, more worrisome trend? >> the good news is that it's tight as a drum. the bad news is that it's as tight as a drum. i think there's more to it than just a blip. you look att auto sales. it looks like it will be the weakest since 2014. we were expecting a liftoff in growth. it looks like that's not happening. 1.5% growth in the second quarter. the economy is slowing a bit and it's a little unnerving to see the stock market d

you look at the valuation, everybody talks about the bubbles and everything else. is not a bubble >> all right so, big question, are we buying pete's pitch >> are you familiar with that? do you know who that is? >> it is cool but he said go west young man, morgan stanley said a 120 price target. giddy up. >> if you have to look at buy wheat if it's a trend not a trade so you give eight couple days it's a buy they're up 32% it's up 32%. >> it's up 32% it could be home year data. >> i breathe a bit. >> you tell me. >> i'm with you. >> i'm a buyer >> wait. >> you said. >> interesting pete, there is high heat to a. rod. it would have been interesting >> i can bring it. >> all right the big question is did pete make you want to head to western tgital. goo cnbc's "fast money". we will reveal that after the break. [vo] when it comes to investing, looking from a fresh perspective can make all the difference. it can provide what we call an unlock: a realization that often reveals a better path forward. at wells fargo, it's our expertise in finding this kind of insight that

if you look at the short end of the curve, it is much too flat. ink, especially in the 2018 sector, there is maybe only one or maybe 1.5 priced in. looking at two or three hikes in 2018. inin terms of volatility treasuries, we have seen remarkable trends over the last couple of months. we put this on the bloomberg. two key lines here. the treasury yield has your index moving up in blue there. this is the lowest level in four years. there isthat complacency out there and the traders could get caught off guard. do you agree with that? >> i completely agree with that. if you look at that chart for the past few years, there is a strong spike in volatility. there is a lot of people on the market that are trying to gain money in such a lowball environment. what they do is sell volatility. when they continue to sell volatility, they are short volatility. it doesn't take a lot for the markets to move and volatility to spike higher. all these people have to flush out of their editions. that's what causes these spikes in volatility. i think it could be a dan

if you look back. to the '90s and well before that the syntax that you have to master it to be a techie was really as close to the metal. it was highly complex. have you gotten for there and further and further away. more objections away is moving towards natural language processing. i think it is the ultimate level. the things actually worked well. they were able to command access they are the ability to ask the question. not the ability to have the data. i think they will go all the way back in with that. if we want an answer we will ask a machine. if we want to question well had to ask a smart human. those are some of the things that i think as a become more democratized even when they are building these tools. they have 25 million plus people learning to code through these online dashboards. you actually follow directions and you put code into this. it is a company. the political science major with a couple of shout outs. if they're looking at hiring the top people. and people come out of the progra

you look at paris, what was supposed to be achieved there, it was very little. it was criticized by the environmental left. james hansen. a nasa scientist called it a fake and a fraud. >> why can't the president say whether or not he believes in manmade climate change? you speak for the president. do you know what the president believes? >> frankly, george, i think the whole question is an effort to get it off the point of whether paris is good for the country or not. the president has indicated the climate changes. >> it depends on whether climate change is manmade. >> but george, george, what matters is what you do about it. what matters when you look at paris, china and india didn't take any steps while this country did. the environmental left has a very short memory. when paris was executed by the country, they criticized the agreement. said it didn't hold china and india accountable. and at the same time, we were we re deucing our co2 footprint substantially. >> i want to move on. very simply, do you -- do you know if president trump still believes that cli

scarlet: thank you for having me. let's look at markets. , a bit of a comeback when they were down. the 10 year changed direction. andnow have prices lower yields higher as a result. crude has moved higher permit not extending yesterday's selloff which sent it to a bear market. and as crude goes, the dollar has moved. it is lower by 0.01%. it is holding near the recent high. over to abigail doolittle looking at some of the big movers. abigail? abigail: good morning. we have some big movers and the premarket. ca, the old computer associates, of 12%. ca isis considering -- considering a deal of valve to take ca private -- a deal that would take ca private. well go could very through. if it does, it would be the largest leveraged buyout since dell went private. we have a earnings winner. lennox is higher by 9% in premarket after it beat top and bottom line estimates and analysts say subscriptions grew i-19 percent, the best in three years. lots of price targets on adobe, shares higher by 4% on a beaten raised quarter and better than unplowedout

megan: you are looking at the administration, what grade would you give it? so far? ook, i would not give it a grade yet. [laughter] tom: i wouldn't. if you look at metrics, if there a health bill, tax bill, no. we have put a lot of chips and of things and are doing a great job, but it's too early to bring the report card in. i would give an 'a' for what they intended to do was to come in and turn things upside down. you can't live with status quo. i would take a sabbatical from the grades. look at it in a year as we approach the midterm and give him a chance. it is too early to evaluate it. megan: at yale, the only 'a' you need is the a in chaos. thank you very much. ♪ ♪ jonathan: i am jonathan ferro. it's a 30 minutes dedicated to fixed income. this is "bloomberg real yield." ♪ jonathan: coming up, another political shot in the u.k. prime minister may's conservative party loses this majority. the ecb is going nowhere fast. president draghi paints a picture of a better economy. and contingent convertibles are put to the test into spain. a european bank fails.

snap, you look at tesla, and some of these companies it is not so much what the investors are lookingbout the expectations were growth. if you get to some of those highly valued stocks and have a question in the market and what it does to those valuations -- we will look at the light of competency and say look, we need to take some off the bed of the top line. if you look at these sector-based semiconductor stocks, these are the ones that have been really lacking, like symantec, anb, some of those today were on the downside. all aboutnecessarily valuation. i think a lot of it has been the systematic investing and the low momentum, if you will, that picked up in the past six months or so since the trump trade stopped. it was the trump trade that gave way to momentum trade. sold off.d of got perhaps it is the quantity as well comic of these are companies -- as well, because these companies are looking at their sector models. emily: where do you think they are heading later this year? james: i think it is good to zoom out and look at the broader trend. if you do that, you will see that t

looking for. it is more about expectations for growth. highly valued stocks. if yousure in the market, whether or not it is due to valuations, some investors will look at this lineup and say, i need to take some off the top. if you look at sector-based, some semiconductor stocks have been really lagging. , some were semantic on the downside. it is not necessarily all about valuations. pickis the momentum that up in the past six months or so since the trump trade stop. that gave momentum. a lot of these companies are mixed up. perhaps it is quantitative, as well. they fit into these factor models, for sure. emily: james, where do you see the tech market specifically heading later this year? james: in times like this where you have a little selloff, it is time to zoom out and look at the broader trend. if you do that, you can see growth is quite the same. some of the core fundamental technology is just getting started. deep learningbout and artificial intelligence, we have been having a lot of media on that. but that core technology is just maturing. that is generating

first of all, the first year of any administration -- if you look what happened to president reagan, esident clinton, president obama, just finding the electrical outlets are difficult. this president coming from business -- the campaign, transition, governing. governing is complicated. all of you have a p&l and a balance sheet. in my doing an ok job? we have metrics. washington, the mantra is lay claim to victory after it is won. great politicians say i'm not setting the agenda. the agenda is established by 660,000 bureaucrats. that calibration of that agenda will find its own level. if you want to be a great politician, claim victory after it's already won. no one knows who is responsible and not responsible. this president who, by the way, is not in the best situation he has ever had. if you look at it from his point of view, he had celebrityship and power and money. he already had international cadre of people. he knew how to get things done, but he managed by chaos. his management style was, i have so many things to get through. rather than look at a couple coffee, a cappuccino,

if you are a ceo, a cfo, you're looking at the debt markets. you have access to debt. you're able to fund acquisitions. you're able to go to the dept markets, raise the capital, do buybacks. >> that's beneficial to earnings. >> what's going to crack first? >> nobody knows the answer to when it cracks first. >> i'm going to suggest it's likely to be stocks. >> that's great, but the reality is the professional successful investor and trader is the one that when they crack, recognized the crack and doesn't buy one on the -- >> can cost you years and years of upside. >> you're both right on that, but there's also one other thing i'm surprised we haven't brought up here, in terms of an explanation for this disconnect between bond yields and stock prices. there's no inflation. period, stop. i don't care, up 2.5%. that ain't it. until there is wage inflation, you frankly may not see higher interest rate. >> whatever happeneded to the reflation trade that everybody was talking about? >> it's all gone into stocks. it's stock flation. >> i like that. job openings, record high. >

you may not choose to look at it, but you -- you should. ignorance of the law is not a defense anywhere. i don't know why it should be in the regulatory context. but putting that aside, they took the title to the property in their own names post regulation. mr. groen: yes, they did. this is a normal american family who understands when you buy property and you have a deed and it's zoned for residential use in a subdivision, you get to use it. and you get to pass it on to your kids. justice sotomayor: but you get to use everything you own with -- subject to regulatory requirements. mr. groen: that's right. justice sotomayor: i buy a piece of property 10 years ago or 20 years ago, and i didn't know i had to put a sprinkler system in. today, if you want to do any kind of renovation, you got to put one in. mr. groen: but -- alderson reporting company justice sotomayor: there's lots of regulations that you didn't buy expecting -- mr. groen: that's right. justice sotomayor: -- but they do affect you. mr. groen: but the murrs bought two separate p

rishaad: how does he view it though when you look at it through his eyes, moon? >> the weight moon and other koreans look at it is just looking at the trade surplus is not looking at the whole picture. you need to look at the amount of investment koreans have made into the u.s., and that is at a gone upso it has considerably since the trade deal took effect. they could point to samsung electronics announcing they are investing in a factory in south carolina, over $300 million, will create 950 new jobs, those are the sorts of deals that the korean say look, this shows the free-trade deal is working. haidi: what are the chances of moon being successful and persuasive? his chances of keeping trade off the agenda completely are probably not great given the forrtance that trade plays president trump and his supporters. it is likely that they will be discussing it. they were not be up to just talk about north korea, i think. haidi: leaving it there, but certainly a highly anticipated visit and huge challenge in particular for the new south korean leader. coming up, is t

>> oh, you have to look at everything. ht of what the director said in his testimony, you've got to analyze it. so, the short answer is you gather all the facts, you assess all the facts it looks as if it is going to be, george, a he said versus a he said situation but, yeah, you have t everything. >> he said/he said. do you think james comey would lie under oath? >> i'm not going to say anyone is lying. people have different recollections of the very same conversation. the key, though, is what even if the president said what the director said he said, does that, in fact, consty statute either obstruction of justice or another crime? and i don't think it's even close at this stage. we shall see. there is a requirement of corrupt intent. moreover the word hope, even though it was taken by the director as a directive was not acted upon by the director as if he had been given an order. >> can i stop you there -- >> also say this, george -- the director -- >> doesn't the fact that the president kicked everyone else out of the r

megan: you are looking at the administration, with great would you give it? so far? k, i would not give it a grade yet. if you look at metrics, if there a health bill, tax bill, no. we have put a lot of chips and of things and are doing a great job, but it's too early to bring the report card in. i would give an 'a'for what they intended to do was to come in and turn things upside down. you can't live with status quo. i would take a sabbatical from the grades. look at it in a year as we approach the midterm and give him a chance. it is too early to evaluate it. megan: at yale, the only 'a' you need -- thank you very much. [applause] ♪ narrator: our world today is wealthier than ever. but not everyone shares in this wealth. today's young business leaders are challenging this, changing the way we think about money, its power and its purpose. this is a new generation. this is the new philanthropy. ♪

jonathan: you said the signal is they are not going to do, look at to zen 30's, but you are saying maybehey are going to fast. michael: we are still short the project. they still have this 2% dot. it looks like they are adamant to rate hikes. some of these more dovish members are getting cold feet. you look at the surprise index, that is rolling over heart. bob: at what point do they get cold feet? not a three quarters of a percent. maybe a year from now. michael: we should all hope they get to about one and a half to 2%. kathleen: my question is what are they tightening for? they seem to be tightening as a result of the labor market. what nobody is talking about is inflation. they don't think it exists. every day that goes by, we get more and more risk of inflation heating up. bob: they are tightening to normalize. surely a minus one -1.5% real rate is nowhere near normal. get to something that looks normal or at least neutral. then see what happens. she talked about the term premium, and she said it is the foreign money coming into the u.s. market. jonathan: let's talk about the global

>> jimmy: you look great. you don't look good. you anything? >> anything. >> jimmy: i am really dazzled by you in a number of ways. >> you're lying. >> jimmy: no, i'm not lying. you have no idea how much i watch your movies like a lunatic over and over and over again. i mean, really, like a crazy person. but when i look at you and you're so well put together and this like outfit that you put on. i mean, when i'm not -- a guy hands me clothes and he tells me what to wear. when i'm left to my own devices i don't know what to do. i have no idea what to wear. and i'm not joking at all. and your houses. i've seen the photographs in the magazines. i read that book that you put out. >> yeah. >> jimmy: you have so much style. is that something that you've always -- you were born with or is it something that someone taught you or both of those things? >> i think for me i've always been visually. when i was a kid my dad was an engineer. he was a civil engineer. so we used to go to the -- you know, the open houses, the model homes in orange

if you look at the tpp, the trans—pacific partnership, where america withdrew. ific free trade area. that is the china led deal. so in many ways, with one wrote one belt, the big links that china wants with europe and central asia, in many ways, donald trump is serving the world to the chinese on a silver plate. -- one belt, one road. some might cool this the america first challenge, this sort of pulling out of the climate change deal, the more protectionist trade position that donald trump is adopting. —— call. there are still differences between the eu and china. is there enough that unites them 7 the eu and china. is there enough that unites them? selectively, they will work together. and on some of these very important multilateral issues like climate change, which has been hardfought and negotiator. it started in kyoto and negotiator. it started in kyoto and went all over the world. finally, in paris, there was an accord. that is how we know they can selectively work together. because they have common interests. it is not just the countries, they have common

if you look over the next four to five years at investors coming in today with money, you want to buy. you want to buy a little bit today, buy a little bit next week, buy a little bit the next week these are the big changes. this is where the growth is in our society. my portfolio has averaged 20 to 25%, weighted average growth against the top line what's the economy growing on a nominal basis, #%, 5%, at best that's where the growth is happening. that's where we invest >> mike, let's go to one risk. going back to a third of the conversation, not so much presidents or regulation, but legislative and judicial bodies that might look at some of the bigger companies like an amazon, which seems to be taking over the world, right and saying, hey, there's a m monopolistic issue. it does raise the specter of, as these companies become so large, do they just get crosshairs all over them, not from presidents, but from judicial bodies that can levee fines and/or maybe cause them to break up >> i won't say it's not a risk investing in any stock has a risk these are risks. but if you look at what'

megan: you are looking at the administration, what grade would you give it? a to f, so far? ook, i would not give it a grade yet. if you look at metrics, if there a health bill, tax bill, no. where are we on foreign policy? we have put a lot of chips and and things and are doing a great job, but it's too early to bring the report card in. i would give an 'a'for what they intended to do was to come in and turn things upside down. you can't live with status quo. so i would take a bbatic om therades. i'd say, let's look at it in a year as we approach the midterm and give him a chance. it is too early to evaluate it. megan: it reminds me of that old saying at yale, the only 'a' you need -- thank you very much. ♪ ♪ announcer: "brilliant ideas," powered by hyundai motors. >> ♪ i-d-e-a, ideas ♪ ♪ narrator: times square, new york, this giant projection is the work of artist pipilotti rist, part of an important exhibition about to open at a new museum in the city. >> you have the feeling the video wanted to break out, extremely visceral, physical.

luigi, when you look at g-20, you really have basically different regions and have a map , something countries that make up the g-20, that want different things. it seems the u.s. and the u.k. are more and more isolated and emergent markets what more trade but also germany is leading europe into more globalization. luigi: yes. i think there is definitely this change in which china is a leade r in the fight for global trade. so, we're not expected several years ago. and germany clearly has both a strong interest in free trade. they are the biggest exporter. and they are picking up the leadership of the free world in the fight to maintain free trade around the world. so, think this is going to be a. celebration for angela merkel. she is playing at home. she is playing on her strong points. and most countries will follow. i think the question is what president trump is going to do. i think much of the anti-trade rhetoric was a rhetoric for the election. i don't think he means what he says but we will see. francine: do you think he means what he says? depending on the communiquÉ, will it

, you look at these names and you see them just skyrocketing. it's not just the chips and technology names. humana. some other areas, there's some strength and as you're saying, it's not necessarily the pessimism within there. it's a lot of the commentary that we're hearing and i think a lot of people wanting to be right! what i find befuddling is that bio tech still hasn't gotten that real bid. what about the large cap? it's just not catching on. i would have expected to have a move by now. particularly with the rest of health care moving you know quite a bit. it's still up on the year. >> anthem's up 30%. unh is up whatever, 14%. >> big cap. >> you get record highs. >> but look at thermo fisher and some of the others. they've done really well, too. the bio techs and pharma has held back. i think that's because of what's going to come out of the white house. he can tweet and bring those stocks down, which he has. some of the other things, those are the suppliers or ancillary around big pharma. >> they mentioned risks to their view, which are fa

is i'd probably take a flir out on macy's getting time for a lot of these names. >> i think when you look at some of these names, you have to see who really is amazon proof at this point this time that's really what this comes down to. most of these names when you look at the dprxrt, most are go to be affected by what's going on with amazon and how unbelievable they run. big box name, a different story. everybody b's been all over this costco story this is going to hurt them i disagree have i bought costco yet in because i think there's enough pleasure. >> you're still long the expreerns that draws people into the store. >> i think partenkirchen of it the other part, the private label. >> going out on saturday why is that? they offer gasoline at a cheaper price. that's one more excuse and then people go into the store the membership idea is well. >> it's a different client for the most part. and both buy iing and that's why it seems like some of these big box types, the home depots of the world have more. >> you can both buy on amazon prime. >> you can, but do you want to >> yeah. so i do

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you look at hiring data. are you seeing when you look at the degree to which companies are going out looking for people? andrew: hiring was up a little bit as we came into april. more tapping of the rates in the near term. multiple people do not buy into the trump salesmanship that exalted run overnight and money will come out of the keynesian bucket. companiesncture, were savvy. 2% gdp does not move the dial. joe: a programming note for wednesday. tom keenes and scarlet fu's kickoff special coverage a lot happier eastern .ith a full lineup of guests next, hourming up exclusive conversation with london mayor sadiq khan. he spoke about keeping innovation growing in the u.k. capital as well as his relationship with president trump. from new york, this is bloomberg. ♪ scarlet: "what did you miss?" last week elected in the u.k. opens a new front in the battle over brexit. theresa may's senior ministers are promoting is exit. determine to force a clean break. here is mayor sadiq khan talking about his plans for th

when you look at commercial real estate in america today, what do you see? i would start out at a high level and say, generally speaking, and i say generally because real estate is such a large and diversified asset class, that statement statement you make has an exception, but we think the markets peaked in 2016, likely the first half of 2016, and pricing. we think the markets have transitioned into a period of pricing discovery, usually the precursor to the next correction. erik:we think the markets have transitioned what do you mean by pressing discovery? hase: that a big ask developed in the marketplace. you see it most profoundly in transaction volumes. in 2017, they are way off levels from 2016. in particular, you have seen a foreign activity. activity by foreign buyers. that is very important to watch. foreign buyers are such a large driver of pricing and volume in this last recovery. there is aar that lot of dry powder. we know that pension funds are directing more -- allocating more of their assets to real investments, like real estate, for example,

how you can get the look, we will tell you secret that is involved with getting it. we will set up a nail studio here. i'm excited. we will see how it looks. >> your nails look fantastic. i don't know how we can throw some shattered on there. >> shatter them up. >> trending. >> you get your nails done, men do it. >> i bite my fingernails as best i can so i don't ever have to get them done. >> my goodness. >> people are like he came back after all we put you through. >> my wife said are you sure you want to do it. i love it there. it has been great. super excited. can't wait to see what the summer has in store. >> we are looking at when you were on for a week. >> so many fun things. this week you will be subbing for mike in the 9:00 o'clock hour. >> terrible, he quit, mike. >> oh, don't even start that. >> don't start any rumors. >> mike said anytime he goes on vacation people think he quits. mike did in the quit. don't come at me on twitter. i'm in the trying to take his job, making sure the couch doesn't fall that way. >> well, we have fun with you here. >> it was a

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thank you for joining us. let's look at the u.k. in you have written a book about how to create growth companies in a no growth world. certainly metro bank has been a fast-growing company. what is no doubt that not growing fast right now is the u.k. economy. we have seen slowdown in terms of gdp as inflation rises. with the economy slowing this year, can you maintain your rapid growth while keeping similar levels of profitability? >> yes we can. our profitability is growing up each quarter and our growth rates are strong. this is a company designed to take market share from the big five banks. it is a disruptor model, changing the way people and businesses view there. while there may be a little slow down in the u.k. market, the becauseor us is so big there is so much market share to take. nejra: you said before you are actively chasing 100% of market share in every area. turning consumers into fans. one thing i want to ask you about his lending. depositsbeen getting in the southeast, but you have not been able to get the same pace

if you look at the earnings revisions for this year, they're going up if you looked in 2000, or if youk in the -- the 2000 run in the market, i think the earnings -- the '90s run, if you look from 1990 and through to the end of the 2000, you have a 150% move in earnings, the market was up 400% the market through 2008 to the present day, earnings are up 120% and the market only 240%. >> goodness me only 240%. p >> despite a host of economic and geopolitical news, your words, investor complacency remains deep seated and widespread complacency. >> that's sort of on the vix but that's more a reflection of the liquidity issue. them trying to find homes. the big issue is bonds versus equities given where bonds trades, talking about potentially higher rates this year. do you wanted to be in a bond giving you a negative yield? the earnings yield on equities is still 5%, 6% as opposed to ten-year yields now just over 2% i know i'm an equities guy but i know where i would put my money. >> you talk to fixed income guys, they say i can't talk equities really that's goat t to be a reason for buying

david: was he capitalist for the sale when you look at why this is happening? is -- catalyst for the sale? was it his interest? >> it's hard to say. if you're going to be an advisor in the white house you need to divest your interest. there was some discussion on whether or not she needed to work and put it in a blind trust. this is a debate maybe we should have about mark figures right now. -- more figures in d.c. right now. it's hard for you not to make decisions based on -- what what is going on in the blind trust if you know what it is. i think there was definitely an impetus for -- the sale was him going to washington. it was also a good time. if you look at the deal for entities for moshe, this is a fantastic deal for him. also how muchnder this is looking at the industry, seeing where the writing is going. these things aren't super profitable, losing assets. wondering if they just sold at a high. >> thank you very much. coming up in just a little bit, we will talk about china specific fish with the international affairs of u.s. commerce. this is bloomberg

when you look at valuation, these technology stocks, how about a western digital? it's single digits. >> i agree with what you are saying. what you are saying is on the supply side economic theory of tech stocks. we think they are growing into these sectors. microsoft is executed. no question. it's a stock i own. to say the value here is a tough -- >> i still think it's value. i think you have to understand at what value? are you looking at it on the present value of the way everybody is looking at it or ahead. you always want to look at the market ahead, learn from behind and look ahead. >> so i do think the untils are the pivot point here, because we have bond yield at the bottom of the channel, there is spring in those. i would look at the regional banks, kre. think of the other side, if you talk multinationals, they're apple. you get higher yield, you likely will get a higher dollar. >> that can be a storm tracker 2000 on some of these bicker tech stocks, that's why i want to look external to the u.s. >> coming up, the worst day in three months, the traders are

and what research you look into to look at that today. ngs are looking at things correctly? drew: i think there is a lot of mis-measurement. areas is they productivity story. when people talk about productivity means structural he week, they are saying interest rates are permanently lower. the evidence and the psycho productivity, it is clear we are on the low end of the cyclical cycle productivity rather than a change in the structural dynamics. thisvery quickly, within is the idea of where gdp will be. we have secretary larry summers andsecretary steve mnuchin, talking to percent gdp, what did secretary summers get wrong? drew: he is missing that productivity is moving out of the tiny fraction sector into the service sector. that is not something we have seen. most economists believe the majority of the improvement comes from manufacturing and now it is coming from the service sector or toward the service sector. francine: i met you need to go for radio, tom. , when you look at your ideal portfolio, what is your best investment? drew: do

you on that train? >> snapchat will be selling. lookingahead of the corner. >> i think you sell. >> leaving on that. >> you made the therapeutics. it's breaking out. >> thanks, for watching. see you back here at 5:00 tomorrow, "fast money" starts right now. >>> my mission is simple, to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere, and i promise to help you find it. "mad money" starts now. >>> hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. i'm just trying to make you some money. my job is not just to entertain but to educate and teach. so call me at 1-800-743-cnbc or tweet me @jimcramer. you need to stay focused here! you may think this market

i said you look very nice today. you look very summery. i walked into the elevator and she walked out of the building. >> and i think i saw her tweet that that was really bizarre, don. >> you made my point better than i would. what's wrong with saying? >> i will tell you. i will tell you what is wrong wit. it is context. don you are not in a public setting. you were not representing the united states of america on the phone with another leader of a nation. you were not the commander in chief. you were not in a room full of professional journalists, men and women. and you were not calling out just that one woman and telling her she had a pretty smile and saying that because she had a pretty smile, she probably covered the prime minister in a positive way. it is completely offensive, you guys. period. >> i think the sooutrage is so overblown. she said it was bizarre. she didn't say she was offended or disgusted by it. she said it was bizarre. as a journalist going into the oval office, i'm sure he had one idea what this engagement or this ebb

you look at me 52nd you are already pregnant. >> okay. >> i'm about to warn you, girl >> look away, girl not ready. >> i will be protect. >> yes. have you seen tupac film. >> i'm looking forward to it. >> we will discuss it when we come back. >> okay. >> all eyes on me. tupac is my boy. >> yes. >> me, him, and omar epps, omar epps, all three of us went to the performing arts high school. me, omar epps and pack we were really, close and difficult above the rim with pack and omar did juice with pock. would i go hang out with them. >> were you with him the night i die. >> /saw him the night he died. you know that looked like a real calm ride. but there is a lot with you. i don't think i will do this we took a cab you were almost in the car with him. >> well, not almost. he didn't really invite us in. that was wish full thinking. i look at you and say i hope she loves me but i know you don't but i hope he gives me a ride but he didn't. and i'm glad he didn't because that cab ride, we got there. >> yeah, yeah. >> so, you have not seen the movie but do you think it goodies they are doing a bio

you think you look at high beta chip names, i don't think you need to go there right now. >> do you agreehat caused the fed and the balance sheet? >> i look at these as a carryover. in general, you are right. a lot of these indexes, you look at the top five sort of wings in that there are all these megacap, microsofting google in there i think we do get a little of a pullback i caution you, i would not be short tech here by any stretch of the imagination when i take chips off the table, absolutely >> what if you wanted to buy technology right now are there any now that have reached the level that could be interesting? >> i i n shindividualia on monday, today is wednesday in full frankness on friday i thought -- listen, you might be right. >> you have to get over it, people. >> the stock went from 94 to 160 and it's pulled back a little bit. so to answer your question, yes, saw to trade the bond to answer your original question, i think it's more a rotation than anything else? you say you got to get over, what do you want >> i actually -- >> i got one >> all right i'm listening. >> i think

you look off the two right. look at instructor. >> roll it again. >> we are rolling right now. >> she's a little off, she will get it together. >> one second from the right. >> yes, here she goes. >> she's got it. >> she's mouthing word, she's doing to the left and nod and do this and talking herself through moves and whatever it is, roll to the right, left, point it and down. >> what i want to know is did beyonce practice or help blue ivy practice these moves? were they in the studio, okay baby, do this, two, three, four. >> i would think so. >> but you say they were in the audience. >> tmz said they talked to a lot of parents that were there because would you know beyonce and jay-z, body guard, they said they were in the in the audience. they could be backstage, off to the side because they didn't want to cause a commotion because it was about blue ivy and girls and in the them. >> takes me back to the dance recitals, jessica, jill. >> did you bring flower. >> my parents would bring me flowers and when i was y

you can also look at this in a different way. so what you do here is we look at just the average score on the zero to ten scale. i said people can give a numb fwer between zero and ten, zero is bad and ten is very good, and we blake it down by who they vote for in the election and you see among the trump voters there's a bit of slippage. on zero to ten scale, about three-quarters of a point on average the support has gone down. and then for the clinton voters there's really no change, no change that's worth talking about. among other voters maybe a little more and then among [ inaudible ] there's a little less. so all together my [ inaudible ] would be there's not thatch change. there's another way to look at that because we also asked people if the election were today who would you vote for, and what you find is that the vast majority of the trump voters say they would vote for him again. and as a matter of fact -- so, by the way, you may have noticed that jill sometimes couldn't read the slide. the reason is we're actually looki

you can look at obama's track record for his eight years in office in terms of homeownership rates or income or inemployment. some cases you say a betterment. in other cases, nothing changed. in other cases you say racial inequalities grow. it's a very mixed bag. i don't think we saw the types of gains that people pursued strategies expected to be. that's the point i wanted to get in the book. the obama presidency was really the apex of a strategy that has been in place for a half century now. maybe it's time to reevaluate that strategy given the track record. host: we'll continue with our conversation to your calls for our guest jason riley. we will start with maalik in arlington, texas. you're on with jason riley. caller: i like to say i agree with ten percent what you have to say. where i digress where you speak of expansion of immigrant groups that came to the united states. european and others who came to united states had access to capital as well as free land and subsidized housing and mortgages. that black people weren't allowed to receive due to fact this they were black. als

you look at our reforms. you have a lower rate that is easier to comply with that drives growth. you look at the things that move the capital offshore and what that to work and our economy, two point $5 trillion offshore, a huge percentage of that comes back to the united states even if those companies that own the cash do not put it to work right not -- theyill collect taxes they will not collect now. it will help row the rest of the economy. we want to hear your thoughts and questions and comments. phone lines are open. -- host: kenneth is up first, republican in south carolina. go ahead. we saw i am pretty sure this movie before, reaganomics. it did not work then and it will not work now. you don't give tax breaks to people who don't need them. rich people do not need tax breaks. they need tax more. it is fiscally irresponsible to do with this man is talking about. what would you propose as a republican in south carolina? higher the man first, then we will discuss the tax break with you. until that happens, you are just hoping he will do something for you. time and time again,