tv Bloomberg Markets Balance of Power Bloomberg February 3, 2020 12:00pm-2:00pm EST
worldwide, i am david westin. welcome to "balance of power" or the world of politics meets the world of business. we are in iowa to cover the caucuses starting in a few hours. it is a sunny day. mid 30's, perhaps good for voter turnout. we'll bring you very special coverage with a special political team of rick davis, who has covered more than one presidential campaign, and jeanne zaino, political science professor. good to have you. rick, give us the horse race. rick: this is the first outing and it is about who comes in first and who gets it ticket to new hampshire. expectations are ripe, sanders has a big organization. he better come in first because everyone thinks he is going to. big organization and passion behind him. will that help the democrats
pick the right candidate in november? democrats said they had to knock on a lot of doors. if he does not meet or exceed expectations, that would be a huge story. we expect him to come in first. the real question is second through fourth. joe biden is hoping for a second place. there is a lot of energy behind elizabeth warren and mayor pete and even amy klobuchar. david: who has the most to lose? it is joe biden. rick: it is the one person you did not mention. it is joe biden, who has a long track record dating back 35 years running in iowa and two previous presidential campaigns. he has a lot to lose. he was the presumptive front when he entered the latest, even though bernie has had a lot of activity. if he does not come in as second or third, he will be seen as written out of theipt.
david: you talk to some of the biden campaign people, they say we always have south carolina. it is the response to what rick just said. is that in indication of they are doubtful of how they will come out in the first couple? jeanne: they are either doubtful or lowering expectations. money is his big problem if he does not do well. south carolina voters are pragmatic. they may cms someone i wouldn't do not want to choose and they may look -- they may see him as iowans i once do not -- do not want to choose. david: rick davis and jeanne zaino be with us throughout the day and the evening. let's give you explanation of what caucuses are and how they work. >> the iowa caucuses are the first presidential contest on the calendar and they are much different than the traditional primary. democrats operate there's like this. caucuses will take place in all precincts, as
well as 99 satellite locations. once gathered, caucus-goers will select their choice of president splitting into groups. a candidate needs at least 15% of the room to remain viable, otherwise their supporters are released and opened to suggest -- to select another candidate. --cinct captains will lose will use all manners of persuasion to get additional support. then the state party counts how many state delegates each candidate has one at each caucus location. the i would democratic party will report the results from all rounds of voting, but the key numbers are the state delegate equivalents. david: for more on what to expect, we are joined by chief washington correspondent kevin cirilli. he has been out here for some time. right now he is across town in des moines. give us an update. kevin: i was speaking with
staffers on pete buttigieg's campaign who are incredibly optimistic about the momentum there hoping to seize coming out of the iowa caucus. here is why. they are optimistic joe biden's campaign would not have a strong showing here and if that becomes the case, they would seek to contrast themselves with the biden campaign as the centrist alternative to joe biden. however, bernie sanders, a lot riding on this. a lot of high expectations that he wins this caucus and then headed to new hampshire, where he is even more dominant. the bottom line, and this is what i would be watching for, especially as the results come in, 15%, that is the viability threshold. in a caucus, for the lower tier candidate, elizabeth warren, andrew yang, if they do not hit 15% in the caucus, their voters have to decide where they are to go next. poll numbers, the
second option becomes incredibly important. for yang, it is less likely to be bernie sanders and more likely to be food buttigieg. that could have significant impacts. david: thank you so much to kevin cirilli reporting from des moines. much more from him throughout the day. right now is time to figure out what is going on in markets. we go to abigail doolittle in new york. abigial: lots of action in the markets. coronavirus fears. waiting for earnings, and around the democratic caucuses in des moines, iowa. taking a look at the s&p 500 and the dow, we see solid gains, but off the highs. a high of more than 1%, headed to the best day since october. this after last week, to august on the fears the
coronavirus could impact global economic growth. now the question being to what degree. suggesting there could be a strong degree of impact and it may continue to impact us. take a look at the commodity complex. this has been an area of weakness since the breakout of the coronavirus. the bloomberg commodity index down 1%. --de oil down 2.3 or percent down 2.4%, flirting with a $50 a barrel mark. there was a bloomberg sweep over the weekend saying the china demand for oil is dropping 20% on the coronavirus fears. china overall is the world's largest user of natural resources. that is hitting the commodity complex. not just today, but over the last two weeks. as we look at a comparative chart, we are going to see both are down. the s&p 500 down 2%. look at the commodity complex,
down more than 6.5%. not on oil weakness but also copper. two thirds of the chinese economy is shut down. copper being used less. a hot area to watch and terms of a market barometer for the reaction by markets took coronavirus fears. commodities, what the commodities do seems likely that stocks could follow. today a little bit of a rebound for stocks. commodities remain week. david? david: we will keep an eye on the commodities. also in new york is ritika gupta with first word news. ritika: house managers are urging the senate to remove president trump from office. the impeachment trial convened to hear closing arguments, with the house managers and trump's defense each getting two hours. after that, the senate floor will be open for members to explain which way they plan to vote. the final decision is scheduled for 4:00 wednesday, when
president trump almost certain to be acquitted. the coronavirus outbreak is having an effect on u.s.-china trade. bloomberg has learned chinese officials hope the u.s. will agree to some flexibility in their phase one trade deal. the agreement is supposed to take effect in the middle of this month, but there is a provision the two countries will consult if an unforeseen event delays either from complying. china has promised to buy an extra $77 billion of u.s. goods in the first year. the british government plans to announce new rules for convicted terrorists. that is after an islamic militant who recently released from prison stabbed two people in south london. it was the second such attack in three months. government who effectively stop the early release of extreme ends and also double tariffs. minister says the protests against his governments laws are political divergence to
distract voters ahead of next week's state election in delhi. thousands of students have taken to the street to protest the law. it six to grant citizenship to illegal immigrants of all faiths from pakistan, bangladesh, and afghanistan except muslims. global news 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i am ritika gupta. this is bloomberg. david? david: coming up, he is considered a rising star in iowa caucuses. he is the state auditor here. power" onalance of bloomberg television and radio. ♪
david: this is "balance of power" on glimmer television and radio. i am david westin and des moines, iowa. we are back with rick davis and jeanne zaino. we are now joined by rob sand, the iowa state auditor elected in 2018 and the only nonincumbent democrat to win statewide that year. congratulations. great to have you here. when democrats want to win in iowa, they asked you how to do it. what you tell people? rob: first i tell them, i did not have a primary. [laughter] you should discount everything i have to say. i was focused on winning the general. that, we -- beyond it talk about the lack of racial diversity in iowa, but we still
have minority communities. they are still an important part of the makeup of the state and the makeup of the democratic party. even though people tend to think wanight be a stereotypical io and that i grew up in a small town in my first job was catching chickens, you can find the same kinds of voters you have an every other part of the country, and if you're not looking for them you're going to be missing out. catchinglways thought chickens and getting vote was basically the same thing. you are the last statewide elected official who came out of the democratic party recently. let's talk about the general election and skip right over the caucus. let's think about the future. iowa has been about a ground state for the last two presidential cycles. we heard from the democratic party that candidates will spend 44 weeks in these early primary states and only five weeks in the battleground states. maybe iowa will be both.
what is your prediction for the general election? rob: it does not matter who the democratic party nominates. iowa will be a battleground. people look at the fact that trump won by 9.5 and think that is a big margin. obama won by a similar margin in 2008. we have been the first day for a while. , all the republican presidential wannabes were coming to iowa and badmouthing hillary clinton because she was the presumptive nominee. in 2016, they were all coming to iowa badmouthing hillary clinton. there is a four year period where local media in iowa was talking about republicans hitting hillary clinton. maybe it was not as widespread as it was in the rest of the country, which i think made iowans more reticent to support her. jeanne: we have been hearing about electability. is that the number one issue on
democrats mine? we are still hours away. there is a high level of undecided. is that all about electability and making sure iowa chooses the person who will go on to be the nominee? rob: a lot of it is. there are two pieces. behavioral science says there's a paradox of choice. if you have two tubes of toothpaste, you pick one. if you have 10, you do not know what to do. in 2016 it was easy. now there's a lot of options and it is harder to choose. electability is important, but the other piece is there a lot of systemic structure around ideology as encompassing all of electability. there a peace that comes down to authenticity, that comes down to character, that comes down to personality. it is harder to measure and you cannot look at -- it is easier to look at someone's policy statements and say their ideology that it is to characterize the other pieces.
the electability conversation in reality is much more complex than we normally talk about. david: let me cut through that and have a different take. iowans going to go to the caucuses and say we have a socialist? we tend to think of iowa as not a radical state. rob: bernie says he is a democratic-socialist. there is a distinction. there is the big picture. you can run as a monarchist and if you get elected president, you are still not the king. we know we have a system of checks and balances in our country. one of the things bernie sanders talks about a lot that resonates with people is how broken the system is. he is not new to it. he has been saying it his whole life. in that sense, while people might not be excited of someone who does not support capitalism -- i would consider myself capitalist, at the same time, there are other things he does talk about that resonate with people.
rick: let me ask you this. having a broken system is one thing. being opposed to capitalism versus supporting socialism another. we know i'll what is a mainstream state -- we know iowa is a mainstream state regardless of what we see turnout in the caucus. you are representation of that. you're coming from a mainstream economic point of view. as is the state going to embrace someone who actively campaigns with socialist economic policies? in a general election? rob: it is hard to say. the last iowa poll -- the latest iowa poll i saw had sanders performing not as well as most of the candidates. i think the democratic-socialist label is a piece of that. look at who he is running against. we have someone who he is againh originally, they have ss,
but one of them has always been saying that. andother is relatively new has nearly started one or two. nearly is the key term. thank goodness. this is the bigger point. everybody when they vote understands that if you want to change or economic system or our social safety net you have to pass laws to do that. on the other hand, foreign policy is the most single unchecked area of a president. if you're someone who does not want an unpredictable person in the white house, then you might think i do not like either of these choices. here is one that is not going to start wars. in the meantime he will be checked and changing the legislature through the legislative bodies. david: important point. thanks to rob sand, iowa state auditor. still ahead, we talk about the coronavirus. that outbreak taking a toll on china's growth in 2020.
david: from des moines, iowa, this is "balance of power" on bloomberg television and radio. i am david westin. the prone a virus has been spreading. 17,000 cases claiming more than 300 lives. chinese officials are considering lowering their 2020 growth target and are seeking flexibility in the phase one trade deal with united states. joining us live from hong kong is yvonne man. what is the latest? yvonne: china is asking for some kind of leeway and it comes to the phase one deal. i guess it is understandable given the fact they did come up with ambitious pledges of 200 billion dollars of purchases of
u.s. goods within two years, even before the virus broke out. there were a lot of questions on whether china could have the capacity to fulfill those promises as well. under the phase one trade deal, there is a bit of a paragraph that mentions the u.s. and china will consult in the event a natural disaster or unforeseeable event delays either from complying. we are not sure if there has been such consultations. the u.s. would be thinking about this as well, given the fact larry kudlow did mention these are two separate issues. a humanitarian issue and a trade issue. that does not give the u.s. any type of leeway. the u.s. also assisting beijing in their efforts to fight the outbreak. that would be a big development. david: thank you so much for reporting from hong kong throughout this crisis. baucus,ill turn to max former u.s. ambassador to china. i caught up with him and asked
about the ongoing concerns surrounding the coronavirus and how china's response to the virus differs from when sars hit 16 years ago. >> china is much more open about the coronavirus that was about the sars virus not many years ago. it is also an opportunity for china. if china can show it is taking care of their problem, they get it under control, that will raise china's stature as a country that is at the forefront of finding a way to deal with the vicious problem. it is a big problem. out,han where this broke they're going around to different apartments and finding dead people, people who were unable to go to the hospital and were turned away because -- they go back to their apartments. there are about 14,000 cases today. over 300 people died in china.
there also reports of deaths debts and other countries. this is serious. the government knows it is serious, and president xi also knows he is under the gun. the people of china and the people around the world, especially the people in china look at him. will he handle this well? is he going to be our guide? david: if the nature of the regime made it difficult in the early stages, perhaps the disease got a foothold because they did not have the bottom up reporting you described. have they turned around on that subject? the united states has offered help. are the chinese accepting the help the world is offering to fix this? max: there a lot of companies in china going out of their way to give hundreds of millions of dollars in terms of masks and medical equipment to help the chinese government solve the problem. i am unaware of efforts by the united states government or
others, but i do know within china a lot of wealthy people, i talked to one dose code days ago. -- i talked to one dose code days ago. -- i talked to one two days ago. there is an insufficient supply of masks. i give them credit for recognizing the problem now. perhaps they could've recognized it earlier. at least they do now. myid: that was part of conversation with former ambassador to china and former senator from montana, max baucus. here becauses out he endorsed joe biden in the compass coming up tonight, saying he thinks that is right way for the democratic party to go. we talk to him about china and he said the next few days will be critical to figure out whether this continues to expand or whether it trails off. in addition to max baucus, the former ambassador to china, i also caught up with democratic presidential candidate tom steyer and asked him what he
thinks about the state of play in iowa and beyond. we asked him what he be willing to endorse other candidates if he did not get the nomination? could he support them? he said the most important thing for him is to defeat donald trump. tom steyer backed impeachment several times of the president of the united states. we would love you to stay with bloomberg for complete coverage of the iowa caucus. we will bring you special coverage tonight at 10:00 eastern. that is live from des moines. tomorrow we have president trump delivering his date of the union address. we'll be back to new york to bring you live coverage on bloomberg television and radio starting at 9:00 eastern. this is bloomberg. ♪
measures to contain the spread of the deadly coronavirus. lot more ofl see a its checkpoints with china beginning tuesday. the move comes after medical workers in hong kong began a strike aimed at forcing the closure of the border. the number of cases of the disease in china have soared past 17,000. more than 360 have died. the brexit battle between the u.k. in the european union resumes today. boris johnson clashed with the chief negotiator michel barnier during talks. johnson rejected that and said the u.k. will thrive, even if negotiations fail. after arab states expressed support for president trump's middle east peace plan, representatives from the same countries and other muslim nations are rejecting the plan
is biased. the saudi arabian prince says they support negotiations but the rights of palestinians must be protected. he spoke at a gathering. turkey is trying to keep a deadly crash with syrian forces from drawing and russia. six people were killed and seven wounded today in idlib. government forces there backed by the russian air force are trying to defeat one-time al qaeda affiliates and turkey backed rebels. president erdogan is urging russia to stay out of the fray. global news 24 hours a day, on-air, and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. this is bloomberg. back in iowa for
those caucuses being held later on today and tonight. aboute with tom steyer his opponents and whether he would be willing to support any of them if he did not get the nomination. tom: the first thing i said on the debate stage is everyone here is better than donald trump. i want to be the candidate because i believe i can be donald trump, taken down on what he says he is good at, the economy. as someone who built his business from scratch, i can reveal him as a fraud and failure that he is as a businessperson and as a steward of the american economy. if it is not me, i will support any democrat, without question. david: including bernie sanders or elizabeth warren? tom: without question. we have to beat mr. trump in the fall. tot means you have to appeal a diverse group of americans. countrya very diverse
and we have a very diverse democratic party. whoever will be the nominee has to appeal to that diverse group of americans and bring them to the polls. the early primary states, that is something i can do. nevada, south carolina, i am doing really well. today, ofendorsement, the iowa nebraska head of the naacp. donaldare going to beat trump, you have to beat him on the economy and you have to have a diverse group of americans to say this is a failed experiment. it's imperative that we turn the page on mr. trump and his whole band of republicans. part of my was interview with tom steyer. we will play more of that in the next hour. in the meantime, we are joined jean -- de jean.
tell us about your party. we are all focused on this today, the democratic party in the state of iowa. why are so many people undecided? >> i think a large part of that is we have so many different candidates that are out there pushing people's values. folks are trying to determine whether or not those candidates are going to have their best interests in the long run. undecidedsa group of last night and they were all intention of all of them, as many of them i talked to, is to caucus, it's just a matter of who it will be. people atre are four the top with maybe amy klobuchar at number five. some perceived as more moderate, joe biden, pete buttigieg. likeple more progressive elizabeth warren, bernie sanders. decideple
whether they want to go moderate or progressive? progressive part of it definitely gives people to advocate, gets them excited. and when people are making your decisions, it is economic value they are trying to connect with. at our economy being broken, some would say it is working for folks, but when we see black women getting paid $.51 on the dollar, we know the economy is not working. right here in paul county, african-americans get paid $33,000 a year. everyone else, $63,000 a year. the economy is not working. people want to see what candidate is going to impact their bottom line. the same time as we look at iowa, it is not rest oftative of the the country, a fairly caucasian state.
two people in the majority feel strongly about the inequities you are describing? deidre: what i'm finding to run the state is people are keying into this idea of disparities being real. i was just at an event this past week talking about the 1619 project. folks were very outright in their opinion. not of them said i was taught this in school, i didn't understand the impacts of slavery, how it can show up in modern times, how our economy is a reflection of those prehistoric values that were never intended for african-americans. in that small group of people, about 200 folks, predominantly white individuals. it was an open discussion about coming to terms with what the implications of slavery have done to us, what our economy has done, and the unintended
consequences and impact on african-americans and minorities. when the democrats go to caucus, how important it will it be to them to be donald trump, as opposed to somebody resonating, liking their ideas? deidre: i'm a little contrary to the idea that donald trump is our enemy. our party has done a great job helping people understand how much of a stumbling block that president is for us as a country. but needless to say, i honestly believe donald is not our enemy. he is just a stumbling block. 2016, our party chair says we had over 200,000 democrats. they typically vote in presidential races, but they did not vote. we saw the small margins in iowa, pennsylvania, michigan. by 70,000inton lost
votes. we see a result that says we have a woman who won the popular vote, a man won the electoral prize, and took home the but the reason we got there is that didn'tany engage in the process. the democratic party was not dead. people were still engaged. i think we are heading into an upward trajectory. i would not say that undecided voters aren't indicator of apathy. but apathy is our greatest enemy. david: we are speaking with deidre dejear. a prominent member of the democratic party out here in iowa. donald trump took the state by nine points or so. out?s going to come you say it is not a question of switching votes him about rather
, getting people to come out. 2.6%,nemployment is better than the national average, who is going to say i'm really upset? deidre: case in point, we are talking about disparities. 2.25,oyment rate is about but for african-americans, it's about 14%. you look at our farmers who are dealing with a great deal of uncertainty that was stimulated by our president. people are not happy. the numbers don't necessarily tell the story. i think the votes are going to tell the story. the idea that we need to overcome our challenges through using our voice, the ballot box, has become more of a solution over time. david: you were involved in kamala harris' campaign. are you still undecided? deidre: i am planning on making a decision just as soon as i get off of here. i have an idea of who i would
like to support. i don't wantthing, who i'm supporting to be someone's reason. i want people's reason to turn out to the ballot box to be your means most toat them. david: you are knowledgeable in politics, without a doubt. you are open to being persuaded from what you hear? deidre: yes. even when i caucused for barack obama, i walked in not as an obama supporter. i walked into the caucus supporting a candidate who didn't end up being viable. student,, as a college focusing for the first time ever, had no idea what it was, but was excited about it. it was through that process that i was able to become a supporter because they were passionate people in the room fine for support and believed in their candidate. that is the nature of the caucus experience.
it is unlike a primary election where it is just a private ballot. it's about you talking to your fellow neighbor, exchanging values, interests, and then come to terms with those. david: thank you for coming in sharing your views with us. deidre dejear, a former candidate for the iowa secretary of state. tomorrow, president trump delivers his state of the union address. we will have live coverage starting at 9:00 a.m. eastern time. this is "balance of power" on bloomberg television and radio. ♪
david: this is "balance of power" on bloomberg television and radio. i'm david westin. we are joined once again by rick davis and the jeanne zaino. in addition, we also have jerry crawford, a democratic strategist and attorney, a longtime staple of iowa politics. us alongside genies a note and rick davis. interesting thing i just learned about you, you are here for the first caucus. jerry: it is hard to address that up. it means you are really old. it also means you have seen just about everything. you have a sense of how things might play out as you move through the process. pleasure ofhe chairman seven presidential campaigns in iowa, and you want to give the best advice possible to the people you are helping. it is useful that way, too.
rick: i want to take advantage of that sage knowledge you have stored up over those 45 years of iowa politics. we see some new polling activity around today. we didn't get the benefit of the des moines register poll saturday night, but some of that shows buttigieg and sanders in a dead heat, both increasing their viability. time, joe biden and elizabeth warren going down in the polls. jerry: but not by a lot. it is still margin of error stuff. here is what i would say. the most startling thing about today's poll, which is done by former governor bill patty judge, jeff link, the most surprising thing was that buttigieg was on top in today's poll. be some surprises
tonight. somebody will do better than expected. that buttigieg is discounted, but he is not expected to win. somebody, inevitably, will do worse than expected. i would argue bernie sanders has the most at stake. he needs to win tonight. he has everything going his way. and then the vice president. has to have a credible finish to get to new hampshire. it depends on the margins. if he is in fourth place but he is within four, that's fine. if he is in second place and trails by eight, that's not fine. it depends on the margins. jeanne: we keep hearing this is such an unusual year, including the weather, which has been balmy, the impeachment trial. is this unusual for somebody who's been through so many of
these, what is going on? jerry: it is amazing that we have so many people that are legitimate contenders. let's not forget we started out with 26 candidates. i had trouble keeping track. what is very usual that people tend to overlook, every four years, people think they have discovered something new called electability. that has been the most important thing since i've been involved, which is forever. about half of iowa doesn't know for sure what they are going to do tonight when they go into that caucus. it is because they are trying so hard to get this right, figure out who can beat the current president. jeanne: with these new rule changes, so many undecided, is there a possibility that we see
not committed? uncommitted. a numberalked to of people who are going to booker or cory michael bennet, so they can still preserve the right to move. uncommitted, a wise observation, that could be a viable group. since been a long time uncommitted has jumped up, but in the early days of the caucuses, won. rick: you mentioned this survey earlier. 51% made up their mind, but that means almost half haven't. is that unusual at this late stage? jerry: a little higher than we've seen in the past. i think it's because they are trying to sort out who can win this thing in the general election. as you go through our
candidates, each has challenges. they have all acknowledged that. that creates a decision in the minds of the voters. the day,the end of somebody needs to win iowa and the general election. which candidate is in the best position to do that? jerry: among the current candidates -- and we have not talked about bloomberg, who gets closer to becoming a threat. not in the first four states, but absolutely. here is what you have to watch out for. model, his stock skyrockets. others simply don't have the resources. rick: the winner of the february contest could be the one guy that is not in it? jerry: that's correct. just to remind you, michael bloomberg is the owner of bloomberg lp, the parent of bloomberg news. much more on the caucuses with
david: this is "balance of power" on bloomberg television and radio. i'm david westin. we are joined once again by jerry crawford, as well as our crack political team, jeanne zaino and rick davis. i heard that pete buttigieg is really pushing the west. jerry: he has,is his strongest s suburban women. that could be very important in polk county. at 2000 crowd right last night right before the super bowl. that is a big crowd for super eve.night, on caucus
i also haven't been able to figure out who will prevail in cedar rapids, the second largest community in our state. if buttigieg is doing well there as well in this late-breaking boat, as this also just, that's a big deal. used one of the things we to always say on the mccain campaign, ignore the polls, believe your eyes. the polls are all over the place, a lot of tight positioning among the top four or five. what are your eyes seeing? you see that intensity on buttigieg, but how about sanders? some of the stories is that he is putting on a show. jerry: i think sanders will win tonight. not necessarily who i am for, but i think it will happen. it will be a big loss for him not to win tonight. any caucus state leans left. he has been running here for
four years. he has a built on, unlimited financial resources. let me say this about bernie sanders. for all the other campaigns, they have to have a really effective organization to get their people to the caucuses tonight. you need an effective organization to keep bernie sanders people away from the caucuses. they are zealous on his behalf. rick: you don't think that because they are young they will not show up? jerry: absolutely not. i think it is the opposite. you look in 2016, you look at somebody like ted cruz who wins in iowa digitally. we always talk about ira as a retail state. is it moving as we talk about these young folks who are so energized, into where you could have a great digital game and win in iowa? everybody expected you to
say that the year ago because they all have good digital games. in terms of believing your eyes, last night was an interesting situation. there was a joe biden and buttigieg event within one hour of each other. i talked to somebody who said everyone arriving in one event was taking on their stickers coming from another event. why are they doing that? 50% are undecided. they are trying to make up their mind and decide who can we put on the ballot that can get the job done? david: do all of these changes mean that we will have an earlier evening? jerry: we will have an earlier evening. of course, the ultimate story will be told by the delegate equivalencies. we will have raw vote total before that that will give us a good sense. david: a treat to have you with us, jerry crawford. he has been there all the way back to 1972 and the first
i'm david westin. this is "balance of power" on bloomberg television and radio. what a world of politics meets the world of business. we are at the marriott in downtown des moines where in a feud hours, downtown iowans will kickoff the first contest in the 2020 presidential elections. as democrats search for their candidate, joining us now is kevin cirilli also in downtown des moines. what do you have witfor us? takeawaysouple of big tonight. and secure victory? if he's able to do that, that will inject a lot of momentum into his campaign. what does this all mean for former vice president joe biden? can he pull off an upset? is he also able to continue to move forward and finish in second place? lastly, who is going to take the
third spot? buttigieg?pete he has been talking not about impeachment but the economy, the gig economy. listen to what he said last night at a rally. >> we will be facing an economy that is profoundly reshape by the emergence of technology, the role of gig work, things that we barely understood a few years ago. that is why we have to make sure we deliver an economy that values work over wealth, and protects workers, whether you are a gig worker, contractor, or employee. kevin: the stakes are high for buttigieg, high for amy klobuchar and elizabeth warren as well. they have to be human to justify that their campaign has the cash and momentum heading into the next caucus states. david: does bernie sanders have
something at risk because the expectations are so high for him right now? kevin: you and i were talking about this morning. yes, he does. he is leading the latest polls. virtually every local newspaper is covering this as bernie to lose.race should anything other than a first-place finish happen, that would be a disappointment for his campaign. that said, he is well-positioned with infrastructure in new hampshire, as well as a lot of small dollar donations. he will be able to continue onward. from and expectations game, he is expected to win this. you so much, kevin cirilli. he will be with us throughout the afternoon and evening. joining me for more on the iowa caucuses is jean hessburg, former director of the iowa democratic party. still with me are our contributors jeanne zaino and
rick davis. jean, great to have you here. you know the democratic party in the state. what are we looking for? jean: well, a large turnout. just the sheer number of candidates means large turnouts, but the organizational efforts that the iowa democratic party has put into it is a large turnout. satellite caucuses, large turnout. everything the democratic party has done so far means large turnout. and the excitement, looking at the antitrust sentiment among democrats, all of that pushes to large turnout. i wanted to ask about the change in rules. this is the first time you are not going to have an ongoing swirl of activity, two votes basically. how will that reform the caucuses today?
it should lessen the confusion in the room with first-round viability. if you are viable, you stay in that group. there are not multiple rounds of viability, only two. those people that are viable are locked into that first round and can no longer move. it is less jockeying around in the room this time. there is not as much confusion. that will really affect those caucus sites with hundreds and hundreds of people in them. lastnk that was hard to do caucus cycle. that is what i mean about expecting a large turnouts. that will help in that effort. it will also shorten the length of the caucuses. those that said, it may take too long, this will shorten it considerably. two rounds of viability. ier. will be shorter, zipp
in 1984,ou first voted your son is in college voting this year. in terms of turnout with these young people, which is so important to a bernie sanders, are you expecting a large turnout? they don't always turnout as their older counterparts. we have two room number, caucuses particularly in a higher what. everything we do is about building the iowa democratic party, looking toward the november election. it is important to make the caucus apparatus attractive to shortening the length, making the rules easier to understand. having candidates that attract younger voters. i wouldn't just say bernie sanders, but all the candidates we have have brought excitement to the younger vote. lose youngere do
voters in the november election, so hopefully that excitement will continue. david: take us inside these precinct captains. we know what the positions are of the candidates. is it really going to come down to who is most likely to beat donald trump in november? jean: i think so. i'm a precinct captain. my husband and i are at a satellite location tonight. twoare asking, i think, questions. undecided voters, are they going to be looking at a electability? whates sound like that is undecided voters are looking at. rick: iowa has historically been a battleground state in the general election. candidates have spent more time per capita in this state than they will in any other state. the question is, will iowa become competitive for
democrats, especially if they nominate somebody like bernie sanders? jean: iowa historically has always been competitive for democrats. if you look at the november mirrorss, iowa's votes what democrats received electorally in november. whether we elect a democrat or not is the question. should bewa competitive, if we play our cards right, if we do what we are supposed to do in the caucuses. it will increase the strength of the democratic party and voter turnout. jeanne: what is the number one issue on democrats mines this year? the economy is really strong, you have a lot of farmers, what is the issue, looked ability? jean: i think so. who can beat donald trump. number two is being unified.
whoever wins, this whole process, let's unify in the end and get behind that person so we can beat donald trump. david: you say it is a battleground state, iowa went for donald trump by nine points last time. why is it going to change? jean: we have to. we have competitive senate races, we have to change. i'm always optimistic at the democratic party. we don't have to stay red. we haven't always been read. i like to think of it as purple. david: thank you so much to jean hessburg. rick davis and jeanne zaino will be staying with us. in the meantime, let's get a check on the markets. i understand we have a massive rally going on with tesla. that's an accurate description. itses of tesla up 16%, on
best day since 2013. the stock is trading at $750 a share. there are two parts to this. panasonic makes batteries for tesla, and they turned a profitable quarter because tesla has been ramping up production. you also had an analyst raising his price target to $808. we are not far from that right now. i want to remind you, the sorage price target is $467, the stock has run incredibly far so far just in 2020, up almost 90%. since october, more than 200%. it's been incredible run. tesla is helping to lift the nasdaq 100 today. if we take a look at the major equity indices, even though last week was really painful, you have stocks rebounding today with the s&p 500 higher by 9%.
however, we are off the highs of the session. the worst performer in the s&p 500 today is the energy sector. now at its lowest since december of 2018. that has to do with the kleins we are seeing in oil. the wti falling below $50 a barrel at one point. in the past 20 days, since the recent highs, it is down by 20%. also, the coronavirus has knocked off chinese oil consumption by about 20%, so that has things moving lower today. david: thank you so much. coming up, we will be talking to fred hochberg, former chairman of the u.s. export import bank. this is "balance of power" on bloomberg television and radio. ♪
david: this is "balance of power" on bloomberg television and radio. i'm david westin. moines, iowa for the caucuses being held today. fred hochberg is the former chairman of the u.s. export import bank. he also has a great book out called "trade is not a four letter word." you researched some of your book here in iowa. ,> it's an important state partly because it adopts agricultural exports and a lot of farm industrial equipment. it looks at commodities and manufacturing goods. david: how badly wasn't hurt by
the trade conflict with china? >> the ag community was badly hurt. a lot of soybeans ended up running in silos. phase onethis agreement will not fix, we have lost those customers. whether they want to put all of their soybeans in one basket and sell to china when it is such a volatile situation with our president, whether they will take that chance again, i don't know. one of the things people struggled with was how patient the farmers were. now that phase one is through, we will see how much is implemented. do you have a sense that people have forgiven him? with him,le staying they felt, he's a smart guy, he's a billionaire, which is one reason why we have not seen his tax returns. he wants to make sure that that perception hasn't changed. he must be doing it for good
economic reasons. i think a lot of them did stick with him. i was surprised. some of them have to sell off land, could not meet bank loans, and yet, they were sticking with the president. that was remarkable. have a lot of big promises on every culture and other things, like machinery. now we have a coronavirus. we don't know how bad that goes. there are reports that china may come back and say phase one will take us longer. any sense on the likelihood of the effect on global trade from this coronavirus? one thing the coronavirus points out is we are all interlinked on trade, health, the environment. the idea of the u.s. going alone, we can make our own trade rules, we don't have to follow the rules on the environment and trade, the coronavirus says that doesn't work anymore.
we are much too interconnected as a global economy to try and pull out and walk away. to what extent are farmers conscious about the climate as well? obviously,d things, farmers need to pay attention to the climate. fred: when they would survey farmers, 80% would say the weather patterns have changed my farming. then the next question would be, what about climate change? they say, no, it's not an issue. i think climate change became such a toxic word, became associated with too much progressive and too partisan. of course, they know that the weather is changing and it's changing their farming patterns, but they don't want to say climate change. david: do you have a sense of what the issues are on caucus-goers minds? what will tell them one way or another? fred: it is hard to find a local
citizen right now. it is all media. [laughter] who callebody themselves a political tourist in town. my sense, having been here many years, they want a solid plan that can be implemented. they don't want just a lot of great ideas and rhetoric. can someone actually change things and make my life better? the democrats as a whole, i think, will do that. david: democrats historically have not been big traders. if anything, they've been the protectionists. are there any candidates that to your mind makes a lot of sense? fred: i think both pete buttigieg and joe biden are much more leading into trade, realizing we cannot cut off from the rest of the world. for certain, bernie sanders is at the extreme.
is what ruined this country, destroyed jobs, destroyed income, the middle class. i think that is extreme, and is not true. it is simply not true. the same time, manufacturing and other jobs have been lost. neither party has done a strong job figuring out what to do about that. it may not be to shut trade down, that if not that, what? fred: i talk about some of this in my book. we have to look at something called lifelong readiness. we have to make it clear to people -- not like my parents, where you got one job for 30 years, a 30-your mortgage, at the end you retired and you lived rent-free. that fantasy is over. we have not had a frank conversation with americans about that. they know that is not the case but we have not level with them. david: do you hear that from
candidates, is that on the agenda? about howve not heard we are going to prepare ourselves. trade is a small part of it. the bigger part of it will be artificial intelligence, automation, which has had a bigger impact than trade. automation is across the entire country, no geographic, industry bounds. it will be far more far-reaching. lose: so you are going to good paying jobs, period? fred: we are going to get other good jobs. the entertainment business, movies, television, cable has created a lot of good jobs, high paying jobs, and union jobs. we just have to change our view. it is not just going to be a lunch pail and a factory.
we do so many things well in the 21st century. people realize that, and that is what we need to capitalize on. david: great to catch up with you, fred hochberg, chairman of the u.s. export import bank. still ahead, chasing the youth vote. part of my conversation with tanner halloran. why he says iowa is an exciting state for young voters. this is "balance of power" on bloomberg television and radio. ♪
david: this is "balance of power" on bloomberg television and radio. i'm david westin. iowa for des moines, the caucuses coming up in a few hours. democratic candidates are sounding the alarm to get the voters out tonight. we turn to one democrat who is trying to get the youth vote. halloran,th tanner
the iowa democratic party second vice chair, about their effort to keep young voters involved beyond tonight. >> in general, organizing has really changed to create this , of making sure the youth come back, rather than -- we want you to caucus and then we are not going to talk to you. that is the way we are approaching this. it's very different, so we see the youth coming out to vote in november. why is the iowa process so complicated? tanner: [laughter] we are going to need more time. joking. the democratic party want to make this the most democratic process we can, so that everyone is heard. it does look different from other processes, but our process allows that everyone is heard, from young to old, different demographics, sex, age, race. we want to make sure people's
voices are heard. david: you are involved in youth engagement. one of the issues about i what is, as wonderful as the state is, it's not the most diverse state in the union. when you look at the general election, you have a much more diverse electorate. can it be a proper indicator of who the candidate for the president should be? tanner:have heard -- we have heard these challenges to the caucuses for a while now. one thing we can point to, everyone can have their voice heard in iowa. buy media space so that you can reach every demographic. within the democratic party, we have the far-left, the moderates, everyone's voices are heard. , getting ates democratic representation there.
david: you said you have committed to increasing the engagement of the youth. you are part of the democratic party. do you see the same thing going on on the other side of the aisle? our youth republicans more engaged? separate institutions, parties, so i don't want to speak to what they are doing. i'm not as knowledgeable. i do think both parties are starting to realize that the old guard is going out and the new guard is coming in. definitely wanting to engage youth, to win elections in the future. david: you are a college student . what are you seeing on the campus right now with people motivating to act on either side? of youth are engaged, paying attention. a lot of my peers are excited about the caucus tomorrow. campus, 75% of students are out of state, and a
lot of them are changing their voter registration process so they can take part. a lot are paying attention, going to events. ultimately, we will see them come out in november as well. david: that was tanner halleran. iowa, for complete coverage ofalso today,. will talk to kevin cirilli. s "balance of power" on bloomberg television and radio. ♪ sometimes your small screen is your big screen.
and with the xfinity stream app, which is free with your service, you can take a spin through on demand shows, or stream live tv. download your dvr'd shows and movies on the fly. even record from right where you are. whether you're travelling around the country or around the house, keep what you watch with you. download the xfinity stream app and watch all the shows you love. david: from des moines, iowa, this is "balance of power" on bloomberg television and radio. i'm david westin. it is time for first word news with ritika gupta.
adding more than $100 per share. it is the fifth day of gains for the carmaker. panasonic said its business making batteries for the carmaker turned profitable. another boost came from analysts who raise the price target to $808. managers are earning the senate to remove president trump from office. managers and trump's defense each getting two hours. after that, the senate floor will be open for members to explain which way they plan to vote. the final decision is scheduled for 4:00 wednesday, when president trump is almost certain to be acquitted. bernie sanders seen as the likely winner of the first test to democratic presidential contenders. the iowa caucuses are tonight and a new poll has him winning with 28%, with the joe biden at 21%.
one-time front-runner elizabeth warren is in a virtual tie for third at 14%. the coronavirus outbreak has got china rethinking its growth plans. beijing is reevaluating whether the target for growth should be lowered. it's part of a broader review on how the government's plans will deadly virus. the the number of cases of the disease in china has gone past 17,000. more than 360 people have died. outside of china, the philippines has reported its first death. mike pompeo want some assurances from the television. speaking today, he said he needs evidence that the taliban can and will reduce violence come in before signing a deal that would lead to afghanistan peace talks. it would also mean a withdrawal of american troops within the country. global news 24 hours a day, on-air, and on quicktake by
bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i'm ritika gupta. this is bloomberg. thehe iowa caucuses are first residential contest on the calendar, and there are much different than a traditional primary. immigrants operate there's like this. caucuses will take place in all precincts, plus 99 satellite locations. caucus-goers will select their choice of president by splitting into groups. the candidate needs at least 15% of the room to remain viable. otherwise, their supporters are released in open to select another candidate. will use allains matters of persuasion to win additional support. from there, the second and final count is taken. then the state party calculate how many each candidate has won
at each caucus location. for the first time, the iowa democratic party will report the results from all rounds of voting, but the key numbers are the state delegate equivalents. david: we continue our coverage of the iowa caucuses with dennis gold ford, professor of political science at drake university. now alongside rick davis and jeanne zaino. it is a media event. we just heard a basic explanation of how it works. why are we doing this? dennis: iowa has always had caucuses since statehood. originally, it didn't have to do with presidential politics. presidential politics got piggybacked onto local iowa politics. i would say, it is jimmy
carter's fault. it is purely an historical accident that the caucuses have taken on the role that they have. nobody rationally said iowa is the state that we should start in. jeanne: we hear a lot of criticism in terms of the issue of inclusivity, the demographics of iowa. as a fellow political scientist an, how do you iow respond to that criticism? dennis: i'm often asked, are the people of iowa excited t for the caucuses coming up? two out of 10 i was bothered to participate in the caucus. the big year was the obama year in 2008, when two in five showed up. but the caucuses are not a primary election, not a general election, not run by the state election machinery. it's basically the business
meetings of the democratic and republican parties. there is no election or voting window. show up at 7:00 on a monday night, hoping the babysitter sit, up, the kids are not you don't have a flat tire, and there is no blizzard. rick: what is the future of the iowa caucus? certainly from a practitioners point of view, a primary would be perfectly nice here in the frigid state of iowa in the middle of winter in the middle of election season. we have seen some changes the cycle. whensomebody like bernie in the caucus and potentially go on to become the nominee drive a lot of democrats to say maybe we shouldn't hold it this way? dennis: there are some concerns in that regard. sanders is not officially a democrat, has chosen not to remain a democrat. i have always said i would is not first because of it's
important. iowa is important because it's first. whoever goes first in a serial nomination process has extra impact. delegatespledged matter to the nomination when there are just under 4000 delegates to that convention, the democrats have bigger problems than the complexity of the iowa caucuses. is it isers about iowa simply an indicator to the rest of the country of what real party activists, not a polling sample, not people that a journalist may interview, what they think based on their interest, concern, and knowledge about politics, what they think about their menu of possible nominees for the party. your book is fabulous. what do you think the media traditionally gets wrong about the iowa caucus? if you could correct one thing about the coverage, what would it be? dennis: the focus on the
delegates. the delegates are not enough to matter. what every candidate runs up against in iowa, expectations. every candidate has the same opponent, expectations. the key thing is that you do better or worse than expected. ors time around, it sanders biden were finish first or second, that's important, but that is the kind of dog bites man story. if amy klobuchar is in a distant fifth and shows up in second or third, that is a man bites dog story. sudden, attention turns to her. david: no matter how we got here, hasn't done a pretty good job? on average, hasn't picked out the strongest or one of the strongest candidates? dennis: it all depends on what you mean by a good job. there are two good fx of the
caucus, even if they were not part of the initial attention. they offer candidates a chance to try themselves as a message, candidate. it is like building a racecar, forceg it out on the is, they candidates to talk tooters as real human beings, not as campaign props for photo ops. journalists are not supposed to become the story. there's a limit to the point where you can press a candidate on a particular question. that doesn't apply to voters. in various venues, people can say, what do you think about that? as long as journalists think iowa is important, candidates will think it's important. as long as candidates think i would is important, journalists will. rick: when you look at the amount of time a candidate spends in iowa, per capita, a small state, compared to the
rest of the country, iowans are getting a good look. is i was really the state that brings out the best national issues, the right demographics? capsulebit of a time compared to the rest of the country is concerned. did,s: in my book, what i i pointed to this issue, though, it is not demographically representative of the country. that is not unimportant. ask,e same time, if you what do i and democrats think is the most important, what are the right positions, and then ask the same questions to republicans. they track pretty well nationwide. demographic that dimension to iowa? certainly not. david: many thanks to professor goldford. coming up, more from my conversation with tom steyer.
david: from des moines, iowa, this is "balance of power" on bloomberg television and radio. i'm david westin. question the economic numbers under president trump are strong. traditionally, that means the incumbent will get another turn. so how do democrats counter that? i spoke to tom steyer. time: that is why i want to be the nominee. what you are saying is actually not true. if it istrong economy growing but all the additional income goes to the richest individuals and corporations?
you are saying we have low unemployment. people cannot afford to live on the wages that this economy produces. people are having to hold down two or three jobs. if you look at what is really going on in the united states of america, this president gave the biggest tax cut in history to the richest americans and biggest corporations. we have a progressive tax structure. rich people pay a lower percentage of their income than working people. that is unjust. the biggest corporations have an average tax rate of 11%. that is a crazy low number. who is a president running an economy for the people at mar-a-lago and them working americans are getting absolutely left behind. he said in his second term he will balance the budget that he blew up with his tax cut for rich people by going after entitlements, namely health care spending. this is a guy who's been terrible for america. david: let's take all of that
and say it's true. tom: it is true. david: do the democrats have a communication problem right now? a lot of people give donald trump credit for the economy. with all the campaigning going on, i'm not sure the american people are hearing what you are saying. tom: that is why i want to be the candidate. mr. trump is running on the economy. he says it every day. two nights ago he was in des moines and he said if i don't win, your farms are going to go to hell. he doesn't have to have any logic behind it. he's actually been terrible for farmers. the trade war, waivers for refineries in terms of biofuel. he has been terrible for iowa farmers. david: that was part of my conversation with tom steyer, campaigning out here in iowa for the caucuses. we are back with rick davis, zaino, and we are
also joined here by robert griffin. what can you tell us about the extent to which pocketbook issues will drive voters? robert: historical context is necessary. we have data that says the economy matters when it comes to how people vote. what we've seen in the last two there is acles, growing disconnect between people's sentiments about the economy and how wwell people are proving it. bad,ization has gotten so people are just not making a decision based on this. even more than that, their perception of how the economy is doing is based on their partisanship. the: that sounds like polarization is driving up our people's attitudes toward the economy. how can you look at that and say in public opinion polls, as
steyer, trumptom is actually getting a lion's share of the public support on the economy. you can have people support him on the economy but that doesn't mean that that is driving their vote. look at his approval numbers overall. thanve had a con me less 5% unemployment, wages are growing, but his approval rating cannot break the high 30's, low 40's numbers. david: if it is not the economy, what is it? in the midterm election, it appeared to be health care. that is closely related to people's financial situations. 2012,: if we look at 2016, one of the growing movers of people's opinion is their attitude about social issues. attitudes becoming increasingly correlated with people's
opinions overall. those are things that are core to people's identity and their understanding of the world. if you have daylight between how they feel about the economy and these other things, a bit closer to the heart, the evidence appears to be the economy has become a bit less important. jeanne: i'm sure you saw this in your study, but how much has to do with the fact that when the economy is strong, he will have the option of looking at other issues? unemployment is the percent, lower than that in iowa, so we have the option of looking at other issues. how much of that would change if the economy was not doing so well, and people could say we are going to think about it economy more as we vote. how much do you control for the good economic numbers out there? robert: in the past, we have seen good numbers, but it is lined up with good presidential approval. does this mean the economy has no effect? it doesn't mean it has no effect, but it is probably less
if we had we round-the-clock looking 20 years ago. if there was a recession today, trump's numbers would not take, but family would not have taken a hit as we have seen in the past. ande are lower ceilings higher floors to american presidential approval. people's attitudes are a bit more locked in. millennials in the voting population, the largest single group of a generation of voters coming through in modern history. how do you see them affecting this dynamic, not so much on the polarization -- they inherit that --but on the economic issues in particular? robert: what we've seen in the past, as generations get older, they become more conservative. i'm getting married, buying a house, having a 401(k). theissue is the recession late a lot of these events for millennials. this is a generation that so far
has not grown more conservative as it's gotten older. it is getting bigger and bigger by the year. pressurese economic are not having the same influence as they did in previous generations. david: do facts not matter as much? when you say people's perception of the economy is influenced by their partisanship -- those things are factual. is it really a diminution of the importance of fact? robert: there is something to that. the analogy of like to use is hurricane partisanship. everything is being caught up in the sway of people's identity. everything is being seen through that lens. it doesn't mean that facts are it does mean, compared to the expectations we d inhe package, stier says he will take the economy as his number one issue. isn't he barking up the wrong
tree? robert: it may will be. to the extent that the democrats have a strong platform to run on, the economy is doing well. you are going to run on trump's strength? it will be interesting to see if trump can stick to that. focus on been able to issues where he's been doing the best. many thanks to robert griffin. rick davis and jeanne zaino will stick with us for some final thoughts before the caucus. we will have special coverage of tonight's result starting at 10:00 eastern time on bloomberg television and radio. trump willresident deliver his state of the union address. we will have live coverage of that, as well as the democratic response, starting at 9:00 eastern time. this is "balance of power" on bloomberg television and radio. ♪
television and radio audiences worldwide, i'm david westin. joining us now for final thoughts is tyler pager. also with us are rick davis, who managed john mccain's presidential campaign, and jeanne zaino. bernie sanders seems to be the story right now at least among the media. that on theeing ground, when you talk to democratic operatives across the state. caucusbernie sanders' to win. if he does that, he is the standardbearer of the race and enters new hampshire with even more momentum than he did when he trounced hillary clinton there. rick: how much pressure does that put on some do like elizabeth warren? tyler: it depends on the delegate margin. not many here at lake, but if he takes a big lead, that sends a message. iowa is not so much about
delegates but there is an momentum. it could really be a one-two punch for bernie sanders. jeanne: what is joe budden looking to do, just to get out of here, new hampshire and then get to south carolina? is not aw hampshire strong point for him either. elizabeth warren and bernie sanders will be duking it out. to survive and advance, reassure his donors and voting base that once the states open up and you get into nevada, south carolina, that is where he needs to win in order to continue. rick: the one person we have not talked about in the top tier is pete buttigieg. he has had a great crowd, great organization. where does he have to come out on top? top 3, 2. effortslaced all of his
in this state. david: does he have more flexibility here? there are not quite the same expectations. if bernie sanders does not win, it would be a big disappointment. tyler: pete buttigieg wants to be the leading moderate. and prove that electability narrative. that is one of the things that has stopped him. 38 years old, only been the mayor of south bend, indiana. is amy klobuchar going to have a difficult decision tonight? he is the one who is a neighboring senator. tyler: if she comes in the top four, that would be a big win for her. her going to new hampshire, she got endorsed by the largest newspaper there. she does need to have a good night here. rick: the last minnesotan who ran in iowa was tim pollan t, he
basically killed his candidacy when he didn't come in the top tier. amy can survive that? tyler: i think so because of the expectations. finish,d have a strong visited all 99 counties, the only candidate to do that. it's a difficult path regardless. david: 99 counties. that will tell you something. our thanks to tyler pager, as well as contributors rick davis and jeanne zaino. stay tuned for special coverage of tonight's results starting at 10:00 eastern time on uber tv and radio. this is bloomberg. ♪
guaranteed acquittal. it was sealed on friday when senators voted down a democrat a call to hear witnesses. now the coronavirus outbreak is having an impact on trade. chinese officials hope the u.s. will agree to some flexibility in their phase one trade deal. it is supposed to take effect in the middle of this month, but there is a provision -- the two countries will consult if there are delays. china has promised to purchase an extra $77 billion of u.s. goods in the first year. authorities in london say man who stabbed two people before being shot by police had been in prison for terror related crimes. officers had been following the man before the attack. the prime minister plans to introduce measures in the wake of the stabbings that would change the way that people convicted of terror offenses are handled after leaving prison. and the super