1 00:00:00,600 --> 00:00:04,520 Speaker 1: Line from the Trump in the summit, what are the 2 00:00:04,519 --> 00:00:07,840 Speaker 1: political reality The President is increasingly frustrated. I want to 3 00:00:07,840 --> 00:00:10,400 Speaker 1: try to cut through the noise politically. This is devastating 4 00:00:10,600 --> 00:00:16,759 Speaker 1: sounds the influencers the inside. It is no secret that 5 00:00:16,800 --> 00:00:19,400 Speaker 1: I care a lot about the consumers. There are real 6 00:00:19,520 --> 00:00:22,800 Speaker 1: questions about big tech. We still have more leverage teams 7 00:00:22,840 --> 00:00:24,560 Speaker 1: with the terraffs. I think we could do with a 8 00:00:24,560 --> 00:00:27,800 Speaker 1: little less drama from the White House. Is Sound on 9 00:00:28,040 --> 00:00:34,400 Speaker 1: with Kevin Zer really on Bloomberg Radio, Good Evening, Washington 10 00:00:34,600 --> 00:00:38,680 Speaker 1: and America and Kevin Cirelli, Bloomberg News Chief Washington correspondent. 11 00:00:38,800 --> 00:00:43,080 Speaker 1: I'm broadcasting live from Hannoi, Vietnam, on top of the 12 00:00:43,200 --> 00:00:47,040 Speaker 1: roof of the Classy Poe I'm sorry, the Oh Gallery, 13 00:00:47,159 --> 00:00:52,519 Speaker 1: classy hotel overlooking downtown Hannoy. We've been having special coverage 14 00:00:52,600 --> 00:00:56,680 Speaker 1: all week here in Vietnam with our reporters as we've 15 00:00:56,680 --> 00:01:00,320 Speaker 1: covered the second summit that has now concluded. It and 16 00:01:00,400 --> 00:01:03,280 Speaker 1: not the way that President Trump had hoped with North 17 00:01:03,360 --> 00:01:08,119 Speaker 1: Korea leader Kim Jong n no deal, but it really 18 00:01:08,160 --> 00:01:11,880 Speaker 1: depends on why and who to believe, and we're going 19 00:01:11,920 --> 00:01:15,679 Speaker 1: to unpack all of it today. We've got Mike Shepherd, 20 00:01:15,680 --> 00:01:19,320 Speaker 1: Bloomberg News Washington Managing Editor. He's in our Washington bureau. 21 00:01:19,520 --> 00:01:22,399 Speaker 1: We also have Olivia Enios on the telephone line. She 22 00:01:22,520 --> 00:01:25,880 Speaker 1: is policy analyst for Asian Studies Center UH and the 23 00:01:26,080 --> 00:01:29,800 Speaker 1: Davis Institute for National Security and Foreign Policy at the 24 00:01:29,880 --> 00:01:33,440 Speaker 1: Heritage Foundation. Coming up, a by Stoddard will join us, 25 00:01:33,440 --> 00:01:37,600 Speaker 1: as will Senator Ben Carton, a Democrat from Maryland and 26 00:01:37,640 --> 00:01:41,880 Speaker 1: a member of the Senate Foreign Relations Committee. But Mike Shepherd, 27 00:01:41,880 --> 00:01:46,119 Speaker 1: Bloomberg News Washington man Managing Editor, let me begin with you, 28 00:01:46,240 --> 00:01:49,080 Speaker 1: because the events of the past twenty four hours have 29 00:01:49,200 --> 00:01:54,360 Speaker 1: been quite remarkable. President Trump saying at a press conference 30 00:01:54,360 --> 00:01:58,080 Speaker 1: at the j W. Marriott with accompanied by Secretary of 31 00:01:58,080 --> 00:02:00,880 Speaker 1: State Mike Pompeo, that he had to end the meeting 32 00:02:01,000 --> 00:02:05,000 Speaker 1: early with Kim Jong un because, according to President Trump, 33 00:02:05,360 --> 00:02:10,079 Speaker 1: the North Korean's demanded that all sanctions be lifted against 34 00:02:10,120 --> 00:02:14,440 Speaker 1: North Korea in exchange for d nuclearizing. Flash forward a 35 00:02:14,440 --> 00:02:18,560 Speaker 1: couple of hours later, when we get last minute word 36 00:02:19,080 --> 00:02:22,800 Speaker 1: that the North Koreans Foreign Minister and the Deputy Foreign 37 00:02:22,800 --> 00:02:24,760 Speaker 1: Minister they were going to have a little press conference 38 00:02:24,840 --> 00:02:28,720 Speaker 1: of their own while President Trump was aboard Air Force 39 00:02:28,800 --> 00:02:32,320 Speaker 1: one and Route back to the States. I go to 40 00:02:32,600 --> 00:02:36,800 Speaker 1: the Melia Hotel with a couple of other I would 41 00:02:36,800 --> 00:02:39,600 Speaker 1: say two dozen or so other international reporters, and we're 42 00:02:39,639 --> 00:02:42,280 Speaker 1: in the small conference room and all of a sudden, 43 00:02:42,280 --> 00:02:45,440 Speaker 1: the North Koreans come out. Foreign Minister read and and 44 00:02:45,520 --> 00:02:48,160 Speaker 1: they say, hey, wait a minute. They gave a much 45 00:02:48,240 --> 00:02:52,160 Speaker 1: different account, Mike Shepherd than what President Trump said, and 46 00:02:52,200 --> 00:02:54,480 Speaker 1: they said they only wanted a little bit of the 47 00:02:54,560 --> 00:02:59,720 Speaker 1: sanctions removed. So what gives, Well, Kevin, I think we 48 00:02:59,800 --> 00:03:03,160 Speaker 1: are going to see in the coming days exactly what 49 00:03:03,280 --> 00:03:06,919 Speaker 1: gives and who gave, and uh, we're gonna be hearing 50 00:03:07,000 --> 00:03:10,840 Speaker 1: two very different versions of events. And not to make 51 00:03:10,840 --> 00:03:13,200 Speaker 1: your head spin any longer, I know it's early in 52 00:03:13,200 --> 00:03:18,320 Speaker 1: the morning there in HALLINOI, but we do have a 53 00:03:18,440 --> 00:03:22,920 Speaker 1: headline out from the North Korean State News agency saying 54 00:03:22,960 --> 00:03:25,120 Speaker 1: that Kim Jong gun has vowed to meet again with 55 00:03:25,280 --> 00:03:29,160 Speaker 1: President Donald Trump. And this comes just hours after hearing 56 00:03:29,200 --> 00:03:32,560 Speaker 1: from some of his top diplomats that well, maybe, uh, 57 00:03:32,800 --> 00:03:35,520 Speaker 1: the the leader of North Korea has lost the will 58 00:03:35,560 --> 00:03:38,920 Speaker 1: to meet President Trump and to carry out a deal. 59 00:03:39,040 --> 00:03:41,560 Speaker 1: So it sounds like North Korea itself is trying to 60 00:03:41,560 --> 00:03:44,800 Speaker 1: come to terms with what happened. The summit didn't end 61 00:03:45,040 --> 00:03:48,800 Speaker 1: in a fashion that either side really envisioned. Donald Trump 62 00:03:48,920 --> 00:03:51,040 Speaker 1: really thought that they might be able to pull off 63 00:03:51,120 --> 00:03:54,640 Speaker 1: some sort of deal or a meaningful interim step toward 64 00:03:54,720 --> 00:03:57,960 Speaker 1: a long term deal to rid the Korean Peninsula and 65 00:03:58,120 --> 00:04:03,040 Speaker 1: especially the government png Yang of nuclear weapons. Uh. Instead, Uh, 66 00:04:03,400 --> 00:04:08,360 Speaker 1: the meeting ended early. It was called off two hours early. Uh. 67 00:04:08,440 --> 00:04:11,200 Speaker 1: They canceled a lunch that the two leaders were supposed 68 00:04:11,200 --> 00:04:14,800 Speaker 1: to have um and ensured President and the joint signing Agreement. 69 00:04:14,800 --> 00:04:16,359 Speaker 1: I mean that's what was That was supposed to be 70 00:04:16,400 --> 00:04:19,280 Speaker 1: one of the policy angles of this. But we were 71 00:04:19,279 --> 00:04:21,080 Speaker 1: gonna get to see some type of you know, the 72 00:04:21,160 --> 00:04:24,560 Speaker 1: rumor was a declaray formal declaration of the ending of 73 00:04:24,600 --> 00:04:27,800 Speaker 1: the Korean War. Mike Shepherds Bomberg News Washington Managing editor. 74 00:04:27,880 --> 00:04:30,600 Speaker 1: He's with me for the hour. I want to play 75 00:04:30,760 --> 00:04:33,640 Speaker 1: now what President Trump had to say at that press 76 00:04:33,640 --> 00:04:38,240 Speaker 1: conference here in Hanoi before he departed back to Washington. 77 00:04:38,320 --> 00:04:40,960 Speaker 1: Here's President Trump. You'll have to be prepared to walk 78 00:04:41,720 --> 00:04:44,440 Speaker 1: and uh, you know, there was a potential we could 79 00:04:44,440 --> 00:04:46,520 Speaker 1: have signed something today. I could have a hundred percent 80 00:04:46,600 --> 00:04:50,080 Speaker 1: signed something today. We actually had papers ready to be signed, 81 00:04:50,120 --> 00:04:53,520 Speaker 1: but it just wasn't appropriate. I want to do it right. 82 00:04:54,360 --> 00:04:57,359 Speaker 1: That was President Trump speaking earlier at a press conference 83 00:04:57,360 --> 00:05:02,320 Speaker 1: at the JW. Marriott Uh in Hannoy, Vietnam, explaining why 84 00:05:02,400 --> 00:05:06,159 Speaker 1: he decided not to ultimately have a deal. He was 85 00:05:06,200 --> 00:05:10,440 Speaker 1: facing scrutiny in the policy world, in the nuclear policy world, 86 00:05:11,160 --> 00:05:14,640 Speaker 1: about maybe giving too soon, or giving too much, or 87 00:05:14,839 --> 00:05:18,720 Speaker 1: or you know, not defining the nuclearization. So it was 88 00:05:18,800 --> 00:05:22,920 Speaker 1: interesting to hear and about the ninety minutes after that 89 00:05:22,960 --> 00:05:27,400 Speaker 1: press conference, Senate Minority Leader Chuck Schumer, Democrat from New York, 90 00:05:27,440 --> 00:05:30,279 Speaker 1: take to the Senate floor and to say that President 91 00:05:30,320 --> 00:05:33,080 Speaker 1: Trump made the right call in walking away and not 92 00:05:33,200 --> 00:05:37,360 Speaker 1: just doing a photo op. Olivia Enios is uh a uh. 93 00:05:37,880 --> 00:05:41,080 Speaker 1: She is a policy analyst for Asian Studies Center at 94 00:05:41,120 --> 00:05:44,400 Speaker 1: the Davis Institute for National Security and Foreign Policy at 95 00:05:44,400 --> 00:05:48,560 Speaker 1: the Heritage Foundation. She's here in Vietnam, and she joins 96 00:05:48,640 --> 00:05:51,040 Speaker 1: us on the telephone. Olivia, what do you make of 97 00:05:51,120 --> 00:05:55,280 Speaker 1: the various geopolitical back and forth from President Trump and 98 00:05:55,360 --> 00:06:03,720 Speaker 1: Kim Jongan? That true, Kintonnin is making a request for 99 00:06:04,200 --> 00:06:09,920 Speaker 1: full removable of sanctions in exchange for incomplete denuclarization. This 100 00:06:10,120 --> 00:06:14,440 Speaker 1: would have done an entirely untenable deal, and I think 101 00:06:14,480 --> 00:06:16,920 Speaker 1: that it was very wise for the president to walk 102 00:06:16,960 --> 00:06:21,000 Speaker 1: away from something like this. I think, frankly, any president 103 00:06:21,080 --> 00:06:25,400 Speaker 1: over the last several generations would have walked away from 104 00:06:25,440 --> 00:06:30,599 Speaker 1: this because there's a recognition that not only only dealing 105 00:06:30,680 --> 00:06:35,000 Speaker 1: in diplomacy, but will also dearly in the law. And 106 00:06:35,240 --> 00:06:40,360 Speaker 1: US sanctions law and UN sanctions requirements actually call for 107 00:06:40,480 --> 00:06:45,159 Speaker 1: completely verifiable, irreversible dismantlement of North grades nuclear program. And 108 00:06:45,240 --> 00:06:48,360 Speaker 1: thankly it's even more complex than that. Yes, and then 109 00:06:48,400 --> 00:06:51,880 Speaker 1: sanctions law also require North Korea to make improvements on 110 00:06:52,000 --> 00:06:57,120 Speaker 1: human life related issues, on money launting issues. Your create 111 00:06:57,200 --> 00:07:00,280 Speaker 1: designated a state sponsor of care. Now, all of these 112 00:07:00,320 --> 00:07:04,800 Speaker 1: different fasts that made it so that you're never going 113 00:07:05,000 --> 00:07:09,360 Speaker 1: to see a fully level of US. You invent it, 114 00:07:09,480 --> 00:07:13,360 Speaker 1: don't create any nuclear I Olivia and yours is at 115 00:07:13,400 --> 00:07:17,480 Speaker 1: the Heritage Foundation. She's been here in Hannoi all week. 116 00:07:17,560 --> 00:07:20,840 Speaker 1: Mike Shepherd is Bloomberg News Washington managing editor. Mike, I 117 00:07:20,880 --> 00:07:24,600 Speaker 1: gotta be candid here. I mean, it was quite remarkable 118 00:07:24,640 --> 00:07:30,280 Speaker 1: and unpredictable, really truly, to have Kim Jong UN's top 119 00:07:30,480 --> 00:07:33,800 Speaker 1: brass have a press conference. I mean that was not 120 00:07:33,920 --> 00:07:38,320 Speaker 1: what anyone was anticipating. And just the contrast between all 121 00:07:38,360 --> 00:07:40,920 Speaker 1: of the organization. I mean, you know, I'll be blunt. 122 00:07:41,200 --> 00:07:45,160 Speaker 1: We were critical of the administration in the media, myself included, 123 00:07:45,280 --> 00:07:49,280 Speaker 1: for not being as organized here in Hanoi as they 124 00:07:49,320 --> 00:07:52,520 Speaker 1: were in Singapore eight months ago during that first summit. 125 00:07:52,920 --> 00:07:56,360 Speaker 1: But you can't even compare the structure surrounding the White 126 00:07:56,400 --> 00:07:59,560 Speaker 1: House and that press conference that was thrown together by 127 00:07:59,560 --> 00:08:03,120 Speaker 1: the North Rans. I mean we were literally like sardines, 128 00:08:03,440 --> 00:08:05,640 Speaker 1: like two dozen of us, and and the and the 129 00:08:05,760 --> 00:08:10,200 Speaker 1: Melia Hotel lobby as North Korean officials were like ushering 130 00:08:10,320 --> 00:08:14,360 Speaker 1: us through taking pictures of our press badges. Uh. It 131 00:08:14,400 --> 00:08:17,280 Speaker 1: was truly interesting. Mike. I want to play for you 132 00:08:17,480 --> 00:08:21,840 Speaker 1: a clip from the Foreign Minister Reh via translator, because 133 00:08:21,880 --> 00:08:25,840 Speaker 1: the Foreign Minister spoke and then a translator translated in English. 134 00:08:25,880 --> 00:08:28,480 Speaker 1: At this press conference that was like just after midnight 135 00:08:28,560 --> 00:08:31,880 Speaker 1: local take a listen would be proposed. Was not the 136 00:08:31,960 --> 00:08:38,000 Speaker 1: removal of all sections, but the removal So, Mike, I mean, 137 00:08:38,360 --> 00:08:42,960 Speaker 1: who do you believe, Well, that's the great question, Kevin, 138 00:08:43,000 --> 00:08:45,240 Speaker 1: as we said at the top, and I think that 139 00:08:45,760 --> 00:08:50,000 Speaker 1: this all traces back to how hastily the summit was 140 00:08:50,040 --> 00:08:52,960 Speaker 1: put together. And the fact that you know, the President 141 00:08:53,040 --> 00:08:55,240 Speaker 1: does like to do a lot of things on the fly. 142 00:08:55,520 --> 00:08:57,440 Speaker 1: He is not afraid to walk away from a deal 143 00:08:57,760 --> 00:09:00,880 Speaker 1: is quote maybe the quote of the it. Well, sometimes 144 00:09:00,880 --> 00:09:03,520 Speaker 1: you have to walk away. But they didn't put a 145 00:09:03,600 --> 00:09:06,440 Speaker 1: lot of groundwork into this. There wasn't a lot of 146 00:09:06,480 --> 00:09:11,120 Speaker 1: preparation by UH the Special Envoy Stephen Biegan and even 147 00:09:11,240 --> 00:09:15,400 Speaker 1: Secretary of State Michael Pompeio to have a deal that 148 00:09:15,520 --> 00:09:18,040 Speaker 1: was ready and kind of locked in and pre baked. 149 00:09:18,120 --> 00:09:20,520 Speaker 1: And we talked to a number of analysts and experts 150 00:09:20,559 --> 00:09:23,079 Speaker 1: in this area who say that usually for a something 151 00:09:23,160 --> 00:09:26,000 Speaker 1: like this, the cake is not only baked, it has 152 00:09:26,280 --> 00:09:30,880 Speaker 1: icing on it, and it's decorated, it's ready. And but 153 00:09:31,000 --> 00:09:33,760 Speaker 1: in this case, they were really putting it together, the 154 00:09:33,840 --> 00:09:36,640 Speaker 1: two leaders with some of their top aids, on the fly, 155 00:09:37,040 --> 00:09:40,280 Speaker 1: and when it came down to it, they broke on 156 00:09:40,400 --> 00:09:43,640 Speaker 1: issues that had been there for months and months and months, 157 00:09:43,760 --> 00:09:46,920 Speaker 1: and it was that North Korea wanted much more in 158 00:09:46,960 --> 00:09:50,880 Speaker 1: the way of sanctions relief then the US really could 159 00:09:51,000 --> 00:09:54,480 Speaker 1: provide as a As Olivia noted earlier, Mike Shepherd, Bloomberg 160 00:09:54,559 --> 00:09:58,280 Speaker 1: News Washington Managing editor, really putting into context for us 161 00:09:58,840 --> 00:10:04,600 Speaker 1: here just how different this denuclearization summit was. I mean 162 00:10:04,800 --> 00:10:08,360 Speaker 1: it almost felt like a like a camp. I don't 163 00:10:08,360 --> 00:10:11,000 Speaker 1: want to say a campaign rally, but it almost felt 164 00:10:11,000 --> 00:10:13,200 Speaker 1: like a political debate of sorts. I mean it was 165 00:10:13,280 --> 00:10:18,959 Speaker 1: not at all when I compare the trip that President 166 00:10:19,000 --> 00:10:22,720 Speaker 1: Trump took on his first international trip, how structured that was, 167 00:10:22,760 --> 00:10:26,720 Speaker 1: how the international community had a roll out the essentially 168 00:10:26,760 --> 00:10:31,040 Speaker 1: the red carpet, even in more progressive governments, I mean 169 00:10:31,080 --> 00:10:35,040 Speaker 1: there was. It was so much more different than what 170 00:10:35,120 --> 00:10:39,680 Speaker 1: we covered and our teams covered, uh, Mike here in 171 00:10:39,760 --> 00:10:43,400 Speaker 1: the past, uh week, Senator Ben Cardon is going to 172 00:10:43,559 --> 00:10:45,719 Speaker 1: join us coming up. He's a Democrat from Maryland and 173 00:10:45,720 --> 00:10:49,680 Speaker 1: a member of the Senate Foreign Relations Committee. Also joining 174 00:10:49,760 --> 00:10:51,439 Speaker 1: us later on in the show is A. B. Stoddard. 175 00:10:51,480 --> 00:10:55,319 Speaker 1: She's associate editor and columnists at Real Clear Politics. I'm like, 176 00:10:55,400 --> 00:10:57,560 Speaker 1: you're gonna stick with us to help guide us through 177 00:10:57,600 --> 00:11:00,680 Speaker 1: all of this because President Trump has his work cut 178 00:11:00,679 --> 00:11:03,720 Speaker 1: out for him now with the domestic issues back home. 179 00:11:03,800 --> 00:11:06,800 Speaker 1: I mean this was also a week where uh, he 180 00:11:07,360 --> 00:11:10,040 Speaker 1: had to vote against his border wall. Of course, Michael 181 00:11:10,080 --> 00:11:14,320 Speaker 1: Cohen's testimony a lot of questions surrounding and swirling the 182 00:11:14,320 --> 00:11:20,120 Speaker 1: President as he uh as he touches down back in Washington, 183 00:11:20,280 --> 00:11:23,360 Speaker 1: d C. Remember, folks, download the sound on podcast on 184 00:11:23,400 --> 00:11:25,959 Speaker 1: Apple iTunes, at Bloomberg dot com or by downloading the 185 00:11:25,960 --> 00:11:28,800 Speaker 1: Bloomberg Business app. Check us out on radio dot com 186 00:11:28,880 --> 00:11:32,560 Speaker 1: and I Heart Radio. Coming up, we've got Senator Ben Carton, 187 00:11:32,640 --> 00:11:35,840 Speaker 1: Democrat from Maryland. I'm Kevin SURRELLI you're listening to sound On. 188 00:11:36,280 --> 00:11:44,920 Speaker 1: This is Bloomberg. I'm Doug Chrisner at Bloomberg World Headquarters 189 00:11:44,920 --> 00:11:47,120 Speaker 1: in New York at seventeen past the hour. Let's get 190 00:11:47,160 --> 00:11:49,800 Speaker 1: you caught up on market action after the bell. News 191 00:11:49,880 --> 00:11:53,360 Speaker 1: from Tesla the company is finally putting a standard version 192 00:11:53,400 --> 00:11:56,560 Speaker 1: of the Model three sedan on the market. It'll cost 193 00:11:56,600 --> 00:12:00,200 Speaker 1: about thirty five grand and ni at least initially. This 194 00:12:00,280 --> 00:12:03,960 Speaker 1: is nearly three years after CEO Elon Musk began taking 195 00:12:04,080 --> 00:12:07,160 Speaker 1: orders for the sedan. Now, the base Model three will 196 00:12:07,160 --> 00:12:09,640 Speaker 1: have a range of about two hundred twenty miles top 197 00:12:09,679 --> 00:12:13,480 Speaker 1: speed of a hundred thirty miles per hour. Shares were 198 00:12:13,559 --> 00:12:16,319 Speaker 1: hired by one and a half percent during the regular session. 199 00:12:16,640 --> 00:12:20,520 Speaker 1: Stock has been halted in late u S trading. Tesla 200 00:12:20,600 --> 00:12:26,280 Speaker 1: also saying it's going to shift worldwide sales to online only. Well. 201 00:12:26,360 --> 00:12:28,480 Speaker 1: During the equity session, we were knocked around by a 202 00:12:28,480 --> 00:12:31,520 Speaker 1: couple of concerns, chief among them the abrupt end to 203 00:12:31,600 --> 00:12:34,080 Speaker 1: the US North Korea summit. Will get back to that 204 00:12:34,160 --> 00:12:37,520 Speaker 1: conversation in a moment. Overnight, and sold A COSPY was 205 00:12:37,600 --> 00:12:41,160 Speaker 1: down about one point eight percent. In terms of US 206 00:12:41,240 --> 00:12:44,200 Speaker 1: China trade, we are told American officials are preparing a 207 00:12:44,320 --> 00:12:48,960 Speaker 1: final agreement that Presidents Trump and She could sign within weeks. 208 00:12:49,520 --> 00:12:52,280 Speaker 1: Uh positive news on trade to side. Overnight, we had 209 00:12:52,760 --> 00:12:56,160 Speaker 1: disappointing p m I manufacturing data from China. In the 210 00:12:56,280 --> 00:12:59,600 Speaker 1: U S the GDP report was above estimates. The American 211 00:12:59,600 --> 00:13:03,040 Speaker 1: economy me expanding at a two point six percent annualized 212 00:13:03,120 --> 00:13:06,760 Speaker 1: rate in Q four. GAP is going to separate into 213 00:13:06,800 --> 00:13:10,800 Speaker 1: two independent publicly traded companies. Old Navy will be spun 214 00:13:10,840 --> 00:13:14,080 Speaker 1: off to a standalone unit yet to be named. As 215 00:13:14,120 --> 00:13:17,560 Speaker 1: part of this restructuring, company is gonna slash the store 216 00:13:17,679 --> 00:13:21,600 Speaker 1: count for GAP by about two hundred thirty locations, and 217 00:13:21,679 --> 00:13:25,040 Speaker 1: that those code closures will erase about six twenty five 218 00:13:25,040 --> 00:13:30,520 Speaker 1: million in sales. GAP nearly higher in late trading at 219 00:13:30,559 --> 00:13:32,120 Speaker 1: the end of the day, the Dow the SNP and 220 00:13:32,120 --> 00:13:34,959 Speaker 1: the NASDAC each lower by about three tenths of one percent. 221 00:13:35,320 --> 00:13:38,160 Speaker 1: Let's get back to Hanoi, Vietnam and a special edition 222 00:13:38,200 --> 00:13:43,240 Speaker 1: of Sound On with Kevin CURRELLI. Welcome back. I'm Kevin Sirelli, 223 00:13:43,280 --> 00:13:48,160 Speaker 1: Bloomberg News Chief Washington correspondent for Bloomberg Television and Bloomberg Radio, 224 00:13:48,280 --> 00:13:53,640 Speaker 1: broadcasting from downtown Hanoi, Vietnam. A top of the old 225 00:13:53,679 --> 00:13:59,599 Speaker 1: gallery classy hotel overlooking the central Lake here in central Hannoi, 226 00:13:59,600 --> 00:14:03,560 Speaker 1: where UH President Trump has already departed. But the events 227 00:14:03,880 --> 00:14:07,520 Speaker 1: of the past week or has been really remarkable as 228 00:14:07,559 --> 00:14:13,080 Speaker 1: this the d nuclearization deal between President Trump and UH 229 00:14:13,160 --> 00:14:16,480 Speaker 1: North Korea leader Kim Jong Une fell apart, but the 230 00:14:16,480 --> 00:14:20,080 Speaker 1: the geopolitics on full display. We had a pressor from 231 00:14:20,400 --> 00:14:23,640 Speaker 1: President Trump accompanied by Secretary of State Pompeo. He was 232 00:14:23,680 --> 00:14:28,400 Speaker 1: saying that he said the North Koreans wanted all of 233 00:14:28,440 --> 00:14:32,080 Speaker 1: their sanctions lifted in exchange for D nuclearization. And then 234 00:14:32,080 --> 00:14:35,440 Speaker 1: a couple of hours later, Kim Jong un dispatched his 235 00:14:35,560 --> 00:14:38,800 Speaker 1: top foreign minister and deputy foreign minister and they had 236 00:14:38,800 --> 00:14:44,120 Speaker 1: a very rare, smaller, haphazardly thrown together press conference of 237 00:14:44,160 --> 00:14:48,000 Speaker 1: their own. UH and they told members of the media 238 00:14:48,560 --> 00:14:53,520 Speaker 1: myself included through a translator speaking in Korean, that they 239 00:14:53,600 --> 00:14:57,080 Speaker 1: only wanted some of their sanctions lifted. They were getting 240 00:14:57,080 --> 00:14:59,280 Speaker 1: this press conference while President Trump was just about to 241 00:14:59,360 --> 00:15:03,120 Speaker 1: land back in Washington, d C. We were talking earlier 242 00:15:03,120 --> 00:15:05,160 Speaker 1: and we will be continuing to talk with Mike Shephard. 243 00:15:05,240 --> 00:15:08,920 Speaker 1: He is Bloomberg News Washington managing editor, but joining us 244 00:15:08,920 --> 00:15:12,800 Speaker 1: now on the telephone. Uh is a very special guest, 245 00:15:12,800 --> 00:15:16,280 Speaker 1: a friend of the program. Senator Ben Carton, he's in Washington, 246 00:15:16,360 --> 00:15:19,760 Speaker 1: d C. A Democrat from Maryland, also a member of 247 00:15:19,800 --> 00:15:24,360 Speaker 1: the Senate Foreign Relations Committee. Mr Senator, thank you for 248 00:15:24,520 --> 00:15:29,840 Speaker 1: joining us. Your take on the fallout from Hanoi, well, 249 00:15:29,920 --> 00:15:32,240 Speaker 1: Kevin Pursus is good to be with you. I don't 250 00:15:32,280 --> 00:15:35,120 Speaker 1: think any of us are very surprised with the outcome. 251 00:15:35,840 --> 00:15:40,040 Speaker 1: It's very disappointing. We've now had two summits between the 252 00:15:40,080 --> 00:15:43,320 Speaker 1: President the United States and Kim Jong Doon, and yet 253 00:15:43,360 --> 00:15:45,840 Speaker 1: we have yet to have a real commitment to de 254 00:15:46,000 --> 00:15:49,680 Speaker 1: nuclearize the Korean peninsula, which was the purpose for the summit. 255 00:15:50,280 --> 00:15:53,440 Speaker 1: The North Koreans have not given us a declaration of 256 00:15:53,480 --> 00:15:56,800 Speaker 1: their nuclear program. When we take a look at what 257 00:15:57,040 --> 00:16:01,000 Speaker 1: they were looking at doing which was to stop enrichment 258 00:16:01,160 --> 00:16:04,960 Speaker 1: at one facility, which has been well understood. There's still 259 00:16:04,960 --> 00:16:08,800 Speaker 1: other undeclared facilities that are doing enrichment in exchange for 260 00:16:09,080 --> 00:16:12,840 Speaker 1: sanction relief, whether it's total sanction relief for partial sanction relief. 261 00:16:13,440 --> 00:16:15,560 Speaker 1: That's not where we should be. We were not even 262 00:16:15,600 --> 00:16:18,200 Speaker 1: the right playing field. The playing field should have been 263 00:16:18,240 --> 00:16:21,440 Speaker 1: a full declaration of North Korea of its nuclear programs, 264 00:16:21,680 --> 00:16:25,040 Speaker 1: an opportunity for international inspection, and the game plan to 265 00:16:25,160 --> 00:16:29,280 Speaker 1: ultimately eliminate their nuclear weapon program and get to that, 266 00:16:30,000 --> 00:16:33,760 Speaker 1: Senator and and and the tone from both in the 267 00:16:33,800 --> 00:16:35,680 Speaker 1: press conferences. When I when I was at the JW. 268 00:16:35,800 --> 00:16:38,280 Speaker 1: Marriott in Illinois and I was listening to President Trump, 269 00:16:38,560 --> 00:16:41,560 Speaker 1: he really went out of his way to to say, look, 270 00:16:41,600 --> 00:16:44,280 Speaker 1: this is a pause. There's no next step that's scheduled. 271 00:16:44,320 --> 00:16:47,280 Speaker 1: But Kim Jong said he's not going to continue with 272 00:16:47,280 --> 00:16:51,040 Speaker 1: with missile launches. Uh. And we're just almost taking a breather. 273 00:16:51,120 --> 00:16:54,120 Speaker 1: I'm paraphrasing. Flash forward like a couple of hours later, 274 00:16:54,160 --> 00:16:57,600 Speaker 1: just after midnight here local time, and the North Koreans 275 00:16:57,920 --> 00:17:02,040 Speaker 1: they essentially said they believe that Kim jongoon believes that 276 00:17:02,160 --> 00:17:05,440 Speaker 1: the president might have missed his chance to get a deal. 277 00:17:05,600 --> 00:17:09,840 Speaker 1: So are we safer as a result of the second 278 00:17:09,880 --> 00:17:15,199 Speaker 1: summit here in Hanoi? Or should Americans be worried? I 279 00:17:15,200 --> 00:17:17,879 Speaker 1: don't believe we're safer. I think it's always good that 280 00:17:18,520 --> 00:17:21,800 Speaker 1: leaders talk. So I think the fact that the President 281 00:17:21,800 --> 00:17:25,280 Speaker 1: and Kim Jongoon now have a relationship, I think that's positive. 282 00:17:25,800 --> 00:17:29,800 Speaker 1: But having said that, North Korea is extremely dangerous. You 283 00:17:29,880 --> 00:17:33,399 Speaker 1: have UH, they have nuclear weapons, they're continuing to enrich, 284 00:17:33,880 --> 00:17:36,320 Speaker 1: they have the worst human rights record of any country 285 00:17:36,320 --> 00:17:39,560 Speaker 1: in the world. They do interfere in other countries. We 286 00:17:39,640 --> 00:17:42,359 Speaker 1: have made virtually no progress in regards to any of 287 00:17:42,400 --> 00:17:47,520 Speaker 1: those issues that should concern us as to the misuse 288 00:17:47,600 --> 00:17:50,840 Speaker 1: of nuclear power. So I think that's still very much 289 00:17:51,520 --> 00:17:54,240 Speaker 1: a risk factor for not only the United States, but 290 00:17:54,400 --> 00:17:57,600 Speaker 1: more particularly for the countries of that region. Senator Bankard In, 291 00:17:57,720 --> 00:18:00,320 Speaker 1: a Democrat from Maryland joining us also a member of 292 00:18:00,359 --> 00:18:03,520 Speaker 1: the Senate Form Relations Committee. You mentioned the horrific human 293 00:18:03,600 --> 00:18:07,359 Speaker 1: rights abuses, and of course Outo warm Beer uh and UH, 294 00:18:08,160 --> 00:18:10,879 Speaker 1: myself and actually Hollie Jackson at NBC, we were in 295 00:18:10,920 --> 00:18:13,720 Speaker 1: the room with the North Koreans. We asked them point 296 00:18:13,760 --> 00:18:17,040 Speaker 1: blank UH, and they about their human rights abuse record. 297 00:18:17,119 --> 00:18:19,640 Speaker 1: They totally dodged the question. I know you've got to run, Senator. 298 00:18:19,640 --> 00:18:22,600 Speaker 1: We've got about less than a minute, uh coming up 299 00:18:22,640 --> 00:18:24,800 Speaker 1: for a commercial, so quickly, what's going on with this 300 00:18:24,880 --> 00:18:27,800 Speaker 1: declaration of a national emergency? Senate's going to take up 301 00:18:27,960 --> 00:18:30,440 Speaker 1: a five partisan bill that just events out of the House. 302 00:18:30,480 --> 00:18:34,080 Speaker 1: Now we've got less than a minute. Well, my expectation 303 00:18:34,119 --> 00:18:36,720 Speaker 1: as we may very well pass that because the President 304 00:18:36,800 --> 00:18:41,040 Speaker 1: clearly abused his powers under the emergency declaration. Whether we'll 305 00:18:41,040 --> 00:18:43,560 Speaker 1: have the support of the sustain of the over right 306 00:18:43,600 --> 00:18:47,080 Speaker 1: of veto I doubt, but clearly the president abused his power. 307 00:18:47,160 --> 00:18:49,520 Speaker 1: I'm seeing I'm glad to see some Republicans start and 308 00:18:49,560 --> 00:18:52,800 Speaker 1: step forward and saying they're going to support the resolution. Alright, 309 00:18:52,840 --> 00:18:56,719 Speaker 1: Senator Ben Cardon, thank you. We know you're busy. Appreciate 310 00:18:56,800 --> 00:19:00,240 Speaker 1: you coming on the program. Remember you can doubt load 311 00:19:00,280 --> 00:19:03,200 Speaker 1: the sound on podcast on iTunes, at Bloomberg dot com 312 00:19:03,320 --> 00:19:06,480 Speaker 1: or by downloading the Bloomberg Business app. You can also 313 00:19:06,520 --> 00:19:10,399 Speaker 1: find us on Radio dot com and on I Heart Radio. 314 00:19:10,760 --> 00:19:13,760 Speaker 1: Mike Shephard is still with us from Bloomberg. Baby Stadter 315 00:19:13,880 --> 00:19:17,159 Speaker 1: joins the program. I'm Kevin, Sirillian Hanoi. You're listening to 316 00:19:17,280 --> 00:19:31,679 Speaker 1: sound on. This is Bloomberg. You're listening to sound On 317 00:19:31,960 --> 00:19:35,879 Speaker 1: with Kevin Zeili live from the Trump Kim nuclear summit 318 00:19:35,960 --> 00:19:40,640 Speaker 1: in Hanoi on Bloomberg Radio. Welcome back. I'm Kevin Sirelli, 319 00:19:40,680 --> 00:19:44,400 Speaker 1: Bloomberg Cheet Washington, correspondent for Bloomberg Television of Bloomberg Radio. 320 00:19:44,680 --> 00:19:49,520 Speaker 1: I'm sitting atop of a rooftop hotel, Hotel UH in 321 00:19:49,680 --> 00:19:57,520 Speaker 1: downtown Hanoi, the Oh Gallery, classy hotel, overlooking Lake Hunting Cheam. Uh. 322 00:19:57,800 --> 00:20:01,600 Speaker 1: It's beautiful, folks in central Hannoi. It's uh, it's still 323 00:20:01,640 --> 00:20:06,040 Speaker 1: pre dn Uh. This lake has like this red illuminated footbridge. 324 00:20:06,040 --> 00:20:10,959 Speaker 1: It's a historic, historic lake, the history of Vietnam, just 325 00:20:11,119 --> 00:20:14,160 Speaker 1: in the last fifty years. I mean, it's it's all 326 00:20:14,240 --> 00:20:18,000 Speaker 1: over uh the city. And and thank you to all 327 00:20:18,080 --> 00:20:22,400 Speaker 1: of the local support staff from the United States as 328 00:20:22,400 --> 00:20:25,639 Speaker 1: well as from the embassy here. UH from the United 329 00:20:25,680 --> 00:20:27,359 Speaker 1: States as well as all the locals here who have 330 00:20:27,400 --> 00:20:32,080 Speaker 1: truly made covering this for our team and our colleagues 331 00:20:32,560 --> 00:20:35,960 Speaker 1: truly a privilege. But it was not the outcome that 332 00:20:36,000 --> 00:20:38,840 Speaker 1: President Trump had hoped for. The events of the last 333 00:20:38,840 --> 00:20:42,560 Speaker 1: twenty four hours as we've been discussing with Senator bank Cardon, 334 00:20:42,560 --> 00:20:44,280 Speaker 1: who joined us in the last block on the Foreign 335 00:20:44,280 --> 00:20:48,200 Speaker 1: Relations Committee. Not what the United States from a policy 336 00:20:48,280 --> 00:20:52,800 Speaker 1: standpoint envisioned and definitely not what President Trump envisioned from 337 00:20:52,800 --> 00:20:58,120 Speaker 1: a political standpoint as well. Uh, Mike Shepherd, Bloomberg News 338 00:20:58,200 --> 00:21:01,280 Speaker 1: Washington Managing editor. He's holding down the fort in our 339 00:21:01,320 --> 00:21:06,000 Speaker 1: Washington bureau along with my good pal Abe Stoddard, Associate 340 00:21:06,080 --> 00:21:10,640 Speaker 1: editor and columnists a real clear politics. And first of all, 341 00:21:10,880 --> 00:21:12,080 Speaker 1: you know, I feel like you guys are having all 342 00:21:12,080 --> 00:21:14,119 Speaker 1: the phone without me about on the other side of 343 00:21:14,160 --> 00:21:16,520 Speaker 1: the world. Thank you so much for joining us, Abe, 344 00:21:16,640 --> 00:21:20,760 Speaker 1: But Abe, describe the moment now that President Trump wakes 345 00:21:20,880 --> 00:21:23,800 Speaker 1: up or I guess it is going to bed because 346 00:21:23,840 --> 00:21:27,479 Speaker 1: of the time difference in Washington, d C. Given the 347 00:21:27,520 --> 00:21:32,080 Speaker 1: events of the past twelve hours. Well, Kevin, the important 348 00:21:32,119 --> 00:21:34,520 Speaker 1: thing is that he didn't lift the sanctions. And I 349 00:21:34,560 --> 00:21:37,240 Speaker 1: think that, Um, I'm not the first person that you've 350 00:21:37,680 --> 00:21:41,920 Speaker 1: spoken with today whom understands just how relieved people who 351 00:21:42,040 --> 00:21:46,600 Speaker 1: the career you know, the Korea experts, UM, the policy experts, 352 00:21:46,640 --> 00:21:50,959 Speaker 1: the intelligence officials who understood all along. Um that in 353 00:21:51,040 --> 00:21:55,520 Speaker 1: a in in the zeal to make a deal to 354 00:21:55,720 --> 00:21:59,040 Speaker 1: change the subject to not look like he failed to 355 00:21:59,240 --> 00:22:01,320 Speaker 1: make something of the second summit when the first summit 356 00:22:01,400 --> 00:22:04,520 Speaker 1: was pretty much a joke. We got the remains, we 357 00:22:04,600 --> 00:22:08,280 Speaker 1: hope they are the remains of our servicemen and women. Um. 358 00:22:08,280 --> 00:22:12,159 Speaker 1: But that but there was no nuclearization. Um. Summits are 359 00:22:12,200 --> 00:22:14,520 Speaker 1: a win for Kim. We know that a second summit 360 00:22:14,560 --> 00:22:17,639 Speaker 1: even more than the first. Um. He is no longer 361 00:22:17,680 --> 00:22:22,199 Speaker 1: a pariah. Uh So the idea of of Trump cutting 362 00:22:22,200 --> 00:22:26,440 Speaker 1: a bad deal was was really UM. I think everyone 363 00:22:26,480 --> 00:22:28,600 Speaker 1: assumed that there was a high probability of that. So 364 00:22:29,040 --> 00:22:31,480 Speaker 1: I'm so relieved he didn't lift the sanctions. The experts 365 00:22:31,520 --> 00:22:33,240 Speaker 1: are so relieved he didn't lift the sanctions. It was 366 00:22:33,280 --> 00:22:37,400 Speaker 1: the right thing to do, to walk away. UM. And UM, 367 00:22:37,440 --> 00:22:41,480 Speaker 1: you know, he doesn't do protocol, he doesn't do processes, 368 00:22:41,560 --> 00:22:45,040 Speaker 1: He doesn't do his homework. He goes from his gut 369 00:22:45,119 --> 00:22:48,800 Speaker 1: and he goes. UM. He doesn't plan ahead. And when 370 00:22:48,840 --> 00:22:53,720 Speaker 1: the intelligence officials told him repeatedly, CIA Director has Ball 371 00:22:53,880 --> 00:22:57,320 Speaker 1: d n I coats everybody over and over again that 372 00:22:57,400 --> 00:23:00,640 Speaker 1: this man was not going to do nuclearise. I'm sure Pompeo, 373 00:23:01,000 --> 00:23:03,440 Speaker 1: the Secretary of State, tried to tell him. Um, he 374 00:23:03,480 --> 00:23:06,440 Speaker 1: refused to deal with that. And you know these summits, Kevin, 375 00:23:06,440 --> 00:23:08,840 Speaker 1: are always decided in advance. You don't go wing it. 376 00:23:09,240 --> 00:23:11,719 Speaker 1: You were they were at the concessions, right. And the 377 00:23:11,720 --> 00:23:13,520 Speaker 1: thing is, the Koreans figured out a long time ago 378 00:23:13,520 --> 00:23:15,520 Speaker 1: to the North Koreans that they only wanted to deal 379 00:23:15,520 --> 00:23:17,919 Speaker 1: with Trump, that the North Korean staff wouldn't deal with 380 00:23:17,920 --> 00:23:20,840 Speaker 1: our staff. And so that was a bad signal. You 381 00:23:20,880 --> 00:23:23,919 Speaker 1: make so many great points, Abe Soldered, associate editor and 382 00:23:23,960 --> 00:23:26,320 Speaker 1: columnists at Real Clear Politics. I want to come back 383 00:23:26,359 --> 00:23:28,600 Speaker 1: to the notion of the zeal to make a deal 384 00:23:28,960 --> 00:23:31,240 Speaker 1: has a nice ring to it. But but on the 385 00:23:31,280 --> 00:23:33,240 Speaker 1: issue of the intelligence community. I mean, when I was 386 00:23:33,280 --> 00:23:36,200 Speaker 1: at the J. W. Marriott watching President Trump a company 387 00:23:36,240 --> 00:23:38,920 Speaker 1: by Secretary of State Mike Pompeo in the room at 388 00:23:38,960 --> 00:23:41,960 Speaker 1: this press conference, he was at point blank about the 389 00:23:42,000 --> 00:23:47,560 Speaker 1: intelligence communities reports that the North Koreans were continuing to 390 00:23:47,680 --> 00:23:51,600 Speaker 1: develop their nuclear ambitions even in the past eight months, 391 00:23:51,920 --> 00:23:54,600 Speaker 1: even though they aren't missile testing, that they were still, 392 00:23:54,640 --> 00:23:58,679 Speaker 1: according to intel reports, bolstering their their credentials. And the 393 00:23:58,720 --> 00:24:03,680 Speaker 1: President didn't definitively say one way or the other whether 394 00:24:03,760 --> 00:24:05,840 Speaker 1: or not he believed those Intel reports, but then in 395 00:24:05,840 --> 00:24:08,399 Speaker 1: the next breath said that he confronted Kim Jong un 396 00:24:08,600 --> 00:24:12,879 Speaker 1: about additional nuclear sights in North Korea based upon US intel. 397 00:24:12,960 --> 00:24:18,640 Speaker 1: It was confusing. It was difficult to understand precisely which 398 00:24:19,040 --> 00:24:23,000 Speaker 1: aspects of the insul world the President UH was was 399 00:24:23,160 --> 00:24:25,680 Speaker 1: agreeing with the zeal to make a deal. I want 400 00:24:25,680 --> 00:24:28,280 Speaker 1: to come back to that, and Mike Shepard, Bloomberg News 401 00:24:28,320 --> 00:24:30,840 Speaker 1: Washington Managing editor, I want to get your take because 402 00:24:31,000 --> 00:24:34,399 Speaker 1: Jonathan Carl of ABC asked the President in the pressor 403 00:24:34,840 --> 00:24:39,520 Speaker 1: about something that is brewing back home Michael Cohen UH, 404 00:24:39,560 --> 00:24:41,639 Speaker 1: and the President couldn't escape it, not even all the 405 00:24:41,680 --> 00:24:44,040 Speaker 1: way around the world here in Hannoi. Take a listen 406 00:24:44,040 --> 00:24:47,120 Speaker 1: to his response about Michael Cohen having it during this 407 00:24:47,240 --> 00:24:51,200 Speaker 1: very important summit. Is sort of incredible. And he lied 408 00:24:51,240 --> 00:24:54,840 Speaker 1: a lot, but it was very interesting because he didn't 409 00:24:54,840 --> 00:24:57,320 Speaker 1: lie about one thing. He said, no collusion with the 410 00:24:57,400 --> 00:25:02,280 Speaker 1: Russian hoax. My you know, I mean, the reporting out 411 00:25:02,320 --> 00:25:04,360 Speaker 1: of out of our team in d C on this 412 00:25:04,400 --> 00:25:07,400 Speaker 1: has just been impeccable. I mean, just the legal risk 413 00:25:07,440 --> 00:25:12,080 Speaker 1: now potentially that that the President finds himself and we've 414 00:25:12,119 --> 00:25:13,879 Speaker 1: got less than two minutes until we have a hard break. 415 00:25:13,920 --> 00:25:17,640 Speaker 1: But is the president right? Was that? Did Michael Cohen 416 00:25:17,680 --> 00:25:21,040 Speaker 1: say no collusion? Well, he didn't say no collusion. He 417 00:25:21,119 --> 00:25:25,560 Speaker 1: said that he didn't see anything that looked like collusion. Um, 418 00:25:25,600 --> 00:25:29,200 Speaker 1: but he also left open the question. Well, I am 419 00:25:29,240 --> 00:25:35,600 Speaker 1: not sure. I think his his exact wording was something like, UM, well, 420 00:25:35,640 --> 00:25:37,960 Speaker 1: I have my suspicions, but he had nothing to back 421 00:25:38,000 --> 00:25:41,720 Speaker 1: it up. But the things that Michael Cohen said, the 422 00:25:42,080 --> 00:25:45,320 Speaker 1: hearing that we're damaging to the president had nothing to 423 00:25:45,359 --> 00:25:48,000 Speaker 1: do with Russia. They had to do with the Trump 424 00:25:48,080 --> 00:25:52,520 Speaker 1: organization's finances. UH. Specifically that Trump may have inflated or 425 00:25:52,640 --> 00:25:56,680 Speaker 1: deflated the state of the company's books when seeking loans 426 00:25:56,760 --> 00:26:01,520 Speaker 1: and insurance discounts and tax uh and tax breaks UH, 427 00:26:01,760 --> 00:26:04,520 Speaker 1: so that he would present a different picture of the 428 00:26:04,560 --> 00:26:09,000 Speaker 1: company's health depending on who the counterparty was. And that's 429 00:26:09,160 --> 00:26:13,119 Speaker 1: that could be illegal. And you know that that's a 430 00:26:13,200 --> 00:26:17,440 Speaker 1: very serious allegation. There was another allegation, of course, we're 431 00:26:17,480 --> 00:26:21,080 Speaker 1: all aware of the uh, the hush money payment to 432 00:26:21,440 --> 00:26:24,679 Speaker 1: an adult film star that Michael Cohen had made, and 433 00:26:24,760 --> 00:26:29,479 Speaker 1: that as president, Cohen said that Trump personally repaid Cohen 434 00:26:29,640 --> 00:26:33,760 Speaker 1: for that, and that was another explosive moment again not 435 00:26:33,880 --> 00:26:36,760 Speaker 1: connected to Russia, and we're gonna get into all of 436 00:26:36,800 --> 00:26:39,240 Speaker 1: that coming up. All Star panel stays they're having all 437 00:26:39,240 --> 00:26:41,880 Speaker 1: the fun without me. Back in the Washington Bureau. Mike 438 00:26:41,920 --> 00:26:46,120 Speaker 1: Shepherd of Bloomberg News, Managing Editor, Washington Bureau, ab Starddard 439 00:26:46,160 --> 00:26:50,920 Speaker 1: of Real Clear Politics. I'm Kevin, sirlely in Hannoi overlooking 440 00:26:51,200 --> 00:26:54,480 Speaker 1: a pre dawn Hannoy. Check us out on iTunes, Bloomberg 441 00:26:54,520 --> 00:26:56,760 Speaker 1: dot com, the Bloomberg Business app, Radio dot com, and 442 00:26:56,840 --> 00:27:00,639 Speaker 1: I Heeart. You're listening to sound on Kevin's really at Annoy. 443 00:27:01,080 --> 00:27:19,480 Speaker 1: This is Bloomberg. I'm Doug Prisoner in New York, forty 444 00:27:19,560 --> 00:27:21,919 Speaker 1: five past the hour. Now let's get you caught up 445 00:27:21,920 --> 00:27:24,520 Speaker 1: on this hours top business stories and the markets. This 446 00:27:24,600 --> 00:27:27,600 Speaker 1: update is brought to you by with Them, a forward thinking, 447 00:27:27,640 --> 00:27:32,000 Speaker 1: technology driven advisory and accounting firm helping clients to be 448 00:27:32,160 --> 00:27:35,679 Speaker 1: in a position of strength in today's modern business landscape. 449 00:27:35,720 --> 00:27:38,280 Speaker 1: You can visit with Him dot com to learn more. 450 00:27:39,600 --> 00:27:42,560 Speaker 1: Equities were knocked around by several concerns, not the least 451 00:27:42,560 --> 00:27:45,480 Speaker 1: of which the abrupt end the US North Korea Summit. 452 00:27:45,520 --> 00:27:47,960 Speaker 1: Will be talking about that in greater detail on this 453 00:27:48,040 --> 00:27:51,679 Speaker 1: special edition of Sound On with Kevin Surreally Now. In 454 00:27:51,760 --> 00:27:54,800 Speaker 1: terms of US China trade, were told American officials are 455 00:27:54,840 --> 00:27:58,400 Speaker 1: preparing a final deal that President's Trump and she could 456 00:27:58,440 --> 00:28:01,440 Speaker 1: sign in weeks. We all so had some weak Chinese 457 00:28:01,600 --> 00:28:04,680 Speaker 1: manufacturing p m I overnight, but maybe that was offset 458 00:28:04,720 --> 00:28:07,720 Speaker 1: by the U S GDP report coming in above estimates. 459 00:28:07,920 --> 00:28:10,439 Speaker 1: The American economy grew at at two point six percent 460 00:28:10,480 --> 00:28:14,200 Speaker 1: annualized rate in Q four. Terms of the equity market, 461 00:28:14,200 --> 00:28:16,920 Speaker 1: the Dow, the SNP, and the NASTAC each week er 462 00:28:16,960 --> 00:28:20,160 Speaker 1: by about three tenths of one percent. Tesla is finally 463 00:28:20,280 --> 00:28:23,000 Speaker 1: putting a new standard version of the Model three sedan 464 00:28:23,080 --> 00:28:26,200 Speaker 1: on the market. It will begin at thirty five thousand dollars. 465 00:28:26,200 --> 00:28:29,040 Speaker 1: This is nearly three years after the CEO, Elon Musk, 466 00:28:29,160 --> 00:28:33,760 Speaker 1: began taking orders for the Model three. The base model 467 00:28:34,080 --> 00:28:36,520 Speaker 1: will have a range of two hundred twenty miles, top 468 00:28:36,560 --> 00:28:39,800 Speaker 1: speed of a hundred thirty miles per hour, and Tesla 469 00:28:39,840 --> 00:28:44,000 Speaker 1: also said it's going to be shifting worldwide sales online only. 470 00:28:44,440 --> 00:28:48,360 Speaker 1: Stock remains halted in late New York trading, shares in 471 00:28:48,520 --> 00:28:52,080 Speaker 1: gap higher by about in the late U S session 472 00:28:52,440 --> 00:28:55,600 Speaker 1: this onward. The company is going to separate into two independent, 473 00:28:55,680 --> 00:28:59,400 Speaker 1: publicly traded companies. Old Navy will be spun off into 474 00:28:59,440 --> 00:29:02,160 Speaker 1: a stand and a loan unit yet to be named. 475 00:29:02,440 --> 00:29:04,680 Speaker 1: US Tenure Treasury last quoted in New York in the 476 00:29:04,760 --> 00:29:08,760 Speaker 1: yield of two point seven one w t I crude 477 00:29:08,760 --> 00:29:12,840 Speaker 1: oil settling fifty seven two. That's markets. Let's get back 478 00:29:12,840 --> 00:29:15,560 Speaker 1: to Hanoi, Vietnam and a special edition of Sound On 479 00:29:15,960 --> 00:29:21,000 Speaker 1: with Kevin Cirelli. Welcome back, folks on. Kevin Cirelli, Bloomberg's 480 00:29:21,040 --> 00:29:24,840 Speaker 1: chief Washington correspondent for Bloomberg Television and Bloomberg Radio and 481 00:29:24,960 --> 00:29:30,800 Speaker 1: broadcasting live from Hannoi, Vietnam. UH. Now the conclusion of 482 00:29:30,880 --> 00:29:34,960 Speaker 1: the second summit between the US and North Korea. UH, 483 00:29:35,000 --> 00:29:38,160 Speaker 1: the no deal no deal and and the reasons why, Well, 484 00:29:38,280 --> 00:29:41,800 Speaker 1: it really depends which country you ask. President Trump said 485 00:29:41,840 --> 00:29:44,400 Speaker 1: that the North Koreans were asking for a total lifting 486 00:29:44,440 --> 00:29:47,200 Speaker 1: of sanctions. The North Koreans are saying no, they only 487 00:29:47,240 --> 00:29:50,840 Speaker 1: wanted some an exchange, of course, for d nuclearization. President 488 00:29:50,840 --> 00:29:53,600 Speaker 1: Trump is back state side. I'm still hanging out on 489 00:29:53,640 --> 00:29:56,120 Speaker 1: the other side of the world. But also back state 490 00:29:56,240 --> 00:30:01,080 Speaker 1: side is the indefatigable Mike Shepard. He is Bloomberg News 491 00:30:01,120 --> 00:30:05,200 Speaker 1: Washington's managing editor. I I hear through the grapevine that 492 00:30:05,280 --> 00:30:08,840 Speaker 1: Mike Shepherd hasn't slept a wink of this week either, 493 00:30:09,720 --> 00:30:13,680 Speaker 1: like myself and also accompanying Mike and our and our 494 00:30:14,000 --> 00:30:17,200 Speaker 1: DC bureau is a good friend of mine. UH Aby Stoddard, 495 00:30:17,240 --> 00:30:21,320 Speaker 1: associate editor and columnists at Real Clear Politics, UH and 496 00:30:21,600 --> 00:30:26,680 Speaker 1: another indefatigable voice in Washington D See, Mike, I want 497 00:30:26,680 --> 00:30:31,760 Speaker 1: to start with you because even just just in terms 498 00:30:31,840 --> 00:30:35,920 Speaker 1: of how fast this news cycle moved this week because 499 00:30:35,960 --> 00:30:39,440 Speaker 1: we were discussing the developments of Michael Cohen. We're obviously 500 00:30:39,440 --> 00:30:43,240 Speaker 1: talking about the Geniu clarization, but don't forget that it 501 00:30:43,320 --> 00:30:46,200 Speaker 1: was like fed Chair Powell was on the hill this week. 502 00:30:46,640 --> 00:30:50,760 Speaker 1: You had Bob lightheis trade go ahead. Well, I was 503 00:30:50,800 --> 00:30:53,720 Speaker 1: gonna say, Mike. We started the week Monday with Mike 504 00:30:53,800 --> 00:30:59,760 Speaker 1: Kent's inn in Colombia to talk venezuela with regional partners. 505 00:31:00,040 --> 00:31:04,000 Speaker 1: The day before or two days before, UH, Sunday and Saturday, UH, 506 00:31:04,240 --> 00:31:06,920 Speaker 1: the U S and China were hashing out trade negotiations. 507 00:31:07,000 --> 00:31:09,960 Speaker 1: And don't forget about Jared Kushner and and that too, 508 00:31:10,520 --> 00:31:13,440 Speaker 1: Jared Kushners traveling abroad. Maybe I mean it was an 509 00:31:13,440 --> 00:31:16,000 Speaker 1: international week. No, what what do you think? What under 510 00:31:16,000 --> 00:31:19,840 Speaker 1: the radar? Oh my gosh, I mean Kevin, First of all, 511 00:31:19,880 --> 00:31:23,400 Speaker 1: I wanted to remark earlier that, UM, I hope the 512 00:31:23,440 --> 00:31:25,400 Speaker 1: listeners appreciate the fact that I know that you haven't 513 00:31:25,400 --> 00:31:30,000 Speaker 1: slept and you're really remaining incredibly perky, and I'm quite impressed. Um, 514 00:31:30,040 --> 00:31:32,560 Speaker 1: there's so much that. I mean, there was some background 515 00:31:32,640 --> 00:31:36,320 Speaker 1: check legislation that passed the House is by partisan really 516 00:31:36,360 --> 00:31:41,080 Speaker 1: remarkable event. Um, there's a scoop out today as Jared 517 00:31:41,160 --> 00:31:45,200 Speaker 1: Kushner is not only has met with Mohammed bin Salman 518 00:31:45,520 --> 00:31:49,520 Speaker 1: this week, right while um, while his father in law 519 00:31:49,680 --> 00:31:52,360 Speaker 1: was meeting with another murderous dictator and saying that he 520 00:31:52,400 --> 00:31:57,280 Speaker 1: wasn't involved with the UM the death of Otto warm Beer. Um, 521 00:31:57,320 --> 00:32:01,000 Speaker 1: but we uh, we have the bb Natan Yahoo knew 522 00:32:01,040 --> 00:32:03,400 Speaker 1: is amazing. At the same time, and then we have 523 00:32:03,520 --> 00:32:05,880 Speaker 1: this late breaking literally I think as I got here 524 00:32:06,640 --> 00:32:10,040 Speaker 1: story about the fact that, um, we have heard from 525 00:32:10,120 --> 00:32:13,120 Speaker 1: John Kelly. I guess but John Kelly, the general who 526 00:32:13,160 --> 00:32:15,160 Speaker 1: was chief of staff at the White House, was so 527 00:32:15,240 --> 00:32:17,840 Speaker 1: upset that he was forced by President Trump to provide 528 00:32:17,840 --> 00:32:21,160 Speaker 1: a security clearance over his strenuous objections and those of 529 00:32:21,320 --> 00:32:25,959 Speaker 1: other people, UM involved, the experts involved, UH providing security 530 00:32:25,960 --> 00:32:30,400 Speaker 1: clearance to Jared Kushner, UM and UM. This has made 531 00:32:30,400 --> 00:32:34,560 Speaker 1: it into the New York Times this afternoon. So a 532 00:32:34,560 --> 00:32:36,720 Speaker 1: lot of focus UM here at home and on the 533 00:32:36,760 --> 00:32:41,000 Speaker 1: world stage on UM Trump land blank and you'll miss it, 534 00:32:41,000 --> 00:32:44,200 Speaker 1: Aby started of real clear politics. Mike Shephard of Bloomberg 535 00:32:44,240 --> 00:32:46,280 Speaker 1: holding down the fort for us back in d C. 536 00:32:46,520 --> 00:32:49,560 Speaker 1: I'm Kevin Surli here in Hannoy blank and you'll miss it, Mike, 537 00:32:49,680 --> 00:32:52,040 Speaker 1: I mean and and you know I will say this. 538 00:32:52,680 --> 00:32:55,320 Speaker 1: You know, you guys know I'm not one. I'm a reporter. 539 00:32:55,400 --> 00:32:58,800 Speaker 1: I'm not abundant. I just want to report. It was 540 00:32:59,000 --> 00:33:06,000 Speaker 1: surreal to be in a room no bigger than a 541 00:33:06,080 --> 00:33:10,680 Speaker 1: small hotel conference room with their accounted about fifty seats 542 00:33:10,680 --> 00:33:14,120 Speaker 1: in this hotel, the Malia it's called. Watched every minute 543 00:33:14,120 --> 00:33:17,480 Speaker 1: of it on the video feedback here. I could see you, 544 00:33:17,520 --> 00:33:19,440 Speaker 1: and I could see our other reporters in the room. 545 00:33:19,520 --> 00:33:22,880 Speaker 1: It was tiny. It was very tight, and it was tiny. 546 00:33:23,120 --> 00:33:25,400 Speaker 1: And you don't expect I mean and and and a 547 00:33:25,520 --> 00:33:27,480 Speaker 1: B and and this is I'll in the plane here 548 00:33:27,520 --> 00:33:31,880 Speaker 1: because but Abe mentioned Otto Warmbrier and that he was 549 00:33:31,880 --> 00:33:34,400 Speaker 1: an American college student who was imprisoned in North Korea 550 00:33:34,440 --> 00:33:39,720 Speaker 1: in Tien after being falsely wrongfully convicted. And to just 551 00:33:40,240 --> 00:33:44,760 Speaker 1: be in that room with Hallie Jackson and as an 552 00:33:44,800 --> 00:33:48,400 Speaker 1: American journalist, you know, a member of the Bloomberg team, uh, 553 00:33:48,440 --> 00:33:52,520 Speaker 1: and an American journalist, and to just see so brazenly 554 00:33:53,320 --> 00:33:58,960 Speaker 1: them dodge questions on their human rights. I mean, Mike, 555 00:33:59,080 --> 00:34:02,160 Speaker 1: it was. It was something that I will not be 556 00:34:02,280 --> 00:34:05,080 Speaker 1: able to forget. Well, human rights did come up a 557 00:34:05,120 --> 00:34:08,799 Speaker 1: couple of times, uh, when Kim Jong Lund took some 558 00:34:08,920 --> 00:34:12,800 Speaker 1: shouted questions from the wire pool, one of the questions 559 00:34:12,840 --> 00:34:15,600 Speaker 1: was on human rights. He took the other questions, he 560 00:34:15,640 --> 00:34:18,839 Speaker 1: did not touch the human rights question. And then when 561 00:34:18,880 --> 00:34:22,799 Speaker 1: President Trump himself was asked about Otto warrant Beer, he 562 00:34:23,320 --> 00:34:26,160 Speaker 1: said that he takes Kim Jong Lun at his word. 563 00:34:26,520 --> 00:34:29,359 Speaker 1: That has no role in the torture of warrm Beer. 564 00:34:29,800 --> 00:34:31,680 Speaker 1: And that is around a lot of criticism here and 565 00:34:31,719 --> 00:34:34,520 Speaker 1: concerned that, you know, human rights are now taking a 566 00:34:34,560 --> 00:34:38,120 Speaker 1: back seat and Trump's foreign policy maybe coming here. I 567 00:34:38,239 --> 00:34:42,919 Speaker 1: might I am not a reporter, I am a I'm 568 00:34:42,920 --> 00:34:46,520 Speaker 1: a columnist, and I expressed my opinion UM. Human rights 569 00:34:46,520 --> 00:34:49,320 Speaker 1: has never been on the Trump agenda. UM, it's not 570 00:34:49,440 --> 00:34:51,839 Speaker 1: going to the back seat. It has never ever been 571 00:34:52,280 --> 00:34:55,319 Speaker 1: on his national security and foreign policy agenda. He's made 572 00:34:55,360 --> 00:34:58,759 Speaker 1: that very clear from day one. UM. But it was 573 00:34:58,760 --> 00:35:03,920 Speaker 1: still gratuitous and and and extra uh upsetting for the 574 00:35:03,960 --> 00:35:07,960 Speaker 1: president who invited Otto warm Beer's parents to the State 575 00:35:07,960 --> 00:35:11,200 Speaker 1: of Union two years ago to when he called out 576 00:35:11,840 --> 00:35:16,080 Speaker 1: UM the brutality of the North Korean regime with them there, 577 00:35:16,120 --> 00:35:20,200 Speaker 1: they've suffered so much, And the idea that, like his 578 00:35:20,280 --> 00:35:24,400 Speaker 1: acceptance of the story of the death of Jamal Kashochi 579 00:35:24,560 --> 00:35:30,840 Speaker 1: in Istanbul, Um, like the denouncement of the findings of 580 00:35:30,880 --> 00:35:34,200 Speaker 1: his own intelligence community about the attack on Russia in 581 00:35:34,239 --> 00:35:38,280 Speaker 1: our election, he stood there and sided with UM somebody 582 00:35:38,280 --> 00:35:44,000 Speaker 1: else over UM, over our our shared values, our freedoms, 583 00:35:44,080 --> 00:35:46,680 Speaker 1: our respect for human rights, and the fact that this 584 00:35:46,800 --> 00:35:51,759 Speaker 1: kid was murdered, and so UM. It was roundly rebuked 585 00:35:52,120 --> 00:35:55,120 Speaker 1: the top of the morning I saw by Senator Rick Santorum, 586 00:35:55,200 --> 00:35:58,480 Speaker 1: former senator, And there have been some interesting statements to 587 00:35:58,480 --> 00:36:00,879 Speaker 1: come out, one from Nicki Haley. You know, they've come 588 00:36:00,920 --> 00:36:04,480 Speaker 1: around just sort of stick up for our values and 589 00:36:04,520 --> 00:36:09,799 Speaker 1: our our prioritization of human rights and the warm Beer family. Uh. 590 00:36:09,840 --> 00:36:13,680 Speaker 1: Senator Rob Portman Nikki Halls mentioned, but um, this was 591 00:36:13,719 --> 00:36:17,560 Speaker 1: so upsetting today to so many people. UM, and it 592 00:36:17,680 --> 00:36:19,480 Speaker 1: might have it must have been something to to to 593 00:36:19,560 --> 00:36:22,799 Speaker 1: hear it in person, ab stardered of real clear politics. 594 00:36:23,000 --> 00:36:26,239 Speaker 1: Mike Shepard of Bloomberg News, managing editor of our DC bureau. 595 00:36:26,280 --> 00:36:31,200 Speaker 1: I'm Kevin surreally broadcasting from Hannoy. It's pre dawn here, uh, 596 00:36:31,239 --> 00:36:35,640 Speaker 1: in a country that has really just welcomed the Washington 597 00:36:35,680 --> 00:36:39,799 Speaker 1: Press Corps, the international press community as well, uh, and 598 00:36:40,080 --> 00:36:44,120 Speaker 1: completely turned its relationship around, uh, with with the U 599 00:36:44,280 --> 00:36:48,640 Speaker 1: S the history of this country all over. Uh. You know, 600 00:36:48,680 --> 00:36:51,840 Speaker 1: I was fortunate enough to be able to visit where Senator, 601 00:36:52,160 --> 00:36:54,719 Speaker 1: the late Senator John McCain was imprisoned. I mean that 602 00:36:54,800 --> 00:36:57,160 Speaker 1: in and of itself is it's just been a remarkable, 603 00:36:57,480 --> 00:37:01,400 Speaker 1: remarkable week. And so to he are it from the 604 00:37:01,400 --> 00:37:04,680 Speaker 1: North Koreans and that press conference and how that was organized, 605 00:37:04,680 --> 00:37:09,200 Speaker 1: and to just contrast that with with what we saw 606 00:37:09,280 --> 00:37:12,080 Speaker 1: from from the White House really a stark contrast no 607 00:37:12,080 --> 00:37:15,760 Speaker 1: matter which side of the aisle you come down on. Okay, 608 00:37:15,840 --> 00:37:18,520 Speaker 1: we've got about two minutes left, so help me keep 609 00:37:18,560 --> 00:37:21,040 Speaker 1: it quick. So I don't get in trouble for missing 610 00:37:21,040 --> 00:37:23,840 Speaker 1: the break, but what do you have on your radar 611 00:37:24,320 --> 00:37:27,279 Speaker 1: for the next three days as we head into the 612 00:37:27,320 --> 00:37:30,400 Speaker 1: Sunday shows a b Well, I'm really fascinated by the 613 00:37:30,400 --> 00:37:32,879 Speaker 1: emergency declaration and just this is one of the worst 614 00:37:32,960 --> 00:37:35,399 Speaker 1: jamps that President Trump has put his party into date 615 00:37:35,880 --> 00:37:39,480 Speaker 1: after a um debacle of a shutdown that they are 616 00:37:39,520 --> 00:37:44,440 Speaker 1: still reeling from, they don't wanna uphold this emergency declaration. 617 00:37:44,840 --> 00:37:48,480 Speaker 1: And so you saw Lamar Alexander today, retiring senator from Tennessee, 618 00:37:48,840 --> 00:37:52,160 Speaker 1: go to the floor to propose that he reconsider This 619 00:37:52,280 --> 00:37:54,560 Speaker 1: is a very interesting sign to me, Kevin about the 620 00:37:54,560 --> 00:37:56,719 Speaker 1: defections he could be seeing if he doesn't find a 621 00:37:56,760 --> 00:37:58,640 Speaker 1: way to wiggle out of it. It is true the 622 00:37:59,640 --> 00:38:03,359 Speaker 1: law is so badly designed, the statute is so too 623 00:38:03,400 --> 00:38:06,719 Speaker 1: broad that this might survive constitutional challenge in the Supreme Court. 624 00:38:06,800 --> 00:38:09,239 Speaker 1: And therefore conservatives told me on the House side they 625 00:38:09,239 --> 00:38:11,880 Speaker 1: could vote with the President shielded by the fact that 626 00:38:11,920 --> 00:38:14,759 Speaker 1: the law is so inadequate and ineffective. So yes, you 627 00:38:14,800 --> 00:38:16,880 Speaker 1: could get through this by backing Trump. But as a 628 00:38:16,920 --> 00:38:20,279 Speaker 1: party of small government and protectors of the Constitution, they're 629 00:38:20,280 --> 00:38:21,960 Speaker 1: feeling a great bit of pain and they don't want 630 00:38:22,000 --> 00:38:23,839 Speaker 1: to vote for it. All right, So that's we got 631 00:38:23,840 --> 00:38:26,120 Speaker 1: thirty seconds left. Like what are you looking for? Okay, Well, 632 00:38:26,160 --> 00:38:29,000 Speaker 1: what I am looking at is our a scoopum earlier today, 633 00:38:29,280 --> 00:38:33,760 Speaker 1: Um yeah, the U s Trade officials preparing a final 634 00:38:33,960 --> 00:38:36,640 Speaker 1: version of a deal with China. Uh. There's some trade 635 00:38:36,680 --> 00:38:40,760 Speaker 1: hawks that were expressing continued concern about proceeding with caution 636 00:38:40,880 --> 00:38:43,680 Speaker 1: on this, but the president is made clear he would 637 00:38:43,760 --> 00:38:46,839 Speaker 1: like to get something done and sign something, perhaps with 638 00:38:46,960 --> 00:38:50,400 Speaker 1: him paying in a few weeks, perhaps even at Mara Lago. 639 00:38:51,040 --> 00:38:55,279 Speaker 1: Just push well again, and this goes back to what 640 00:38:55,360 --> 00:38:57,960 Speaker 1: we heard ab saved before, the zeal for a deal 641 00:38:58,080 --> 00:39:00,200 Speaker 1: and the you know, this push to get something being 642 00:39:00,239 --> 00:39:04,360 Speaker 1: done and um will who will prevail in the rush 643 00:39:04,400 --> 00:39:07,080 Speaker 1: to do it? And and actually for China, are there 644 00:39:07,120 --> 00:39:10,080 Speaker 1: any lessons in the experience of North Korea? Just now? 645 00:39:10,600 --> 00:39:12,440 Speaker 1: I like it, the zeal for a deal. Thank you 646 00:39:12,480 --> 00:39:14,960 Speaker 1: to Mike Shetberd, my colleague and friend, and A. B. 647 00:39:15,080 --> 00:39:18,960 Speaker 1: Stoddard as well. Appreciate that very much. You can download 648 00:39:19,000 --> 00:39:21,440 Speaker 1: the sound on podcast on iTunes at Bloomberg dot com 649 00:39:21,520 --> 00:39:24,319 Speaker 1: or the Bloomberg Business staff, or radio or I Heart 650 00:39:24,400 --> 00:39:27,480 Speaker 1: Radio I'm Kevin and Hanoi. You're listening to sound on 651 00:39:27,719 --> 00:39:28,880 Speaker 1: This is Bloomberg