1 00:00:00,520 --> 00:00:03,320 Speaker 1: Why from our nations this budget thing is going to 2 00:00:03,400 --> 00:00:05,720 Speaker 1: do nothing with space force. I still think it's interesting 3 00:00:05,720 --> 00:00:09,040 Speaker 1: President Trump not playing his cards yet. Headlines Policy and 4 00:00:09,200 --> 00:00:13,560 Speaker 1: Politics colliding, sound on with Kevin's Relate the Insiders the 5 00:00:13,720 --> 00:00:17,560 Speaker 1: Influencers insides. I would rather see a congressional solution. It's 6 00:00:17,600 --> 00:00:20,560 Speaker 1: part of my DNA. The Senate map in looks a 7 00:00:20,560 --> 00:00:22,880 Speaker 1: lot different than it looked in. You really have a 8 00:00:22,920 --> 00:00:26,240 Speaker 1: divide within Team Trump. The president has to do exactly 9 00:00:26,239 --> 00:00:28,000 Speaker 1: what people seven here to do, which is to get 10 00:00:28,000 --> 00:00:31,760 Speaker 1: it done. He's sound on with Kevin's here relate on 11 00:00:31,880 --> 00:00:38,280 Speaker 1: Bloomberg one and one m h D two Boltimore. It's Friday, folks, 12 00:00:38,320 --> 00:00:42,479 Speaker 1: t G I f former Vice President Joe Biden. Well, 13 00:00:42,800 --> 00:00:46,280 Speaker 1: he's making jokes about touching in his first appearance since 14 00:00:46,360 --> 00:00:50,360 Speaker 1: women's complaints come forward. Should he be laughing this off 15 00:00:50,520 --> 00:00:53,800 Speaker 1: or not? Plus Job's Day, the latest on the jobs numbers, 16 00:00:53,800 --> 00:00:56,720 Speaker 1: and of course the latest on US China trade policy. 17 00:00:57,120 --> 00:01:01,120 Speaker 1: President Trump, he's not backing down again the Central Bank. 18 00:01:01,200 --> 00:01:05,320 Speaker 1: He's urging the Federal Reserve to open up monetary floodgates 19 00:01:05,360 --> 00:01:09,400 Speaker 1: to juice the economy. And here to walk through all 20 00:01:09,400 --> 00:01:12,840 Speaker 1: of the politics and policy with US David Livingston, his 21 00:01:12,959 --> 00:01:15,959 Speaker 1: first time on the program. He is a Deputy director 22 00:01:16,319 --> 00:01:20,200 Speaker 1: in the Atlantic Council's Global Energy Center. He also leads 23 00:01:20,240 --> 00:01:24,880 Speaker 1: the Council's work on climate and advanced Energy. Previously, he 24 00:01:24,959 --> 00:01:29,760 Speaker 1: was a fellow at the Carnegie Endowment for International Peace. 25 00:01:30,319 --> 00:01:35,920 Speaker 1: Uh and uh. He also earlier graduated from USC a USC. Guy, 26 00:01:35,959 --> 00:01:38,160 Speaker 1: But you weren't on the rowing team, well just for 27 00:01:38,240 --> 00:01:41,320 Speaker 1: one year, but pre photoshop, sorry that we had some technology. 28 00:01:41,360 --> 00:01:43,400 Speaker 1: You weren't on the rowing team. No, no, no, well 29 00:01:43,520 --> 00:01:45,200 Speaker 1: I was for one year, but I did all that 30 00:01:45,240 --> 00:01:49,760 Speaker 1: pre photoshop. Okay, congratulations, don't tell Lori Laughlin and Al 31 00:01:49,840 --> 00:01:52,680 Speaker 1: Weaver is a reporter now for The Hill Newspaper. First 32 00:01:52,680 --> 00:01:56,080 Speaker 1: time on the program since being on The Hill Newspaper newspaper. 33 00:01:56,360 --> 00:01:59,760 Speaker 1: Big big coup for the Hill to land out Weaver. 34 00:02:00,000 --> 00:02:01,840 Speaker 1: Thank you for coming on, buddy, Thank you too, kind 35 00:02:02,040 --> 00:02:04,400 Speaker 1: So did you hear? We're gonna get this later? But 36 00:02:04,600 --> 00:02:08,520 Speaker 1: former Vice President Joe Biden now is laughing off the 37 00:02:08,560 --> 00:02:13,639 Speaker 1: allegations of misconduct against him. He's been joking about this. 38 00:02:13,800 --> 00:02:17,880 Speaker 1: He had a speech at the International Brotherhood of Electrical 39 00:02:17,960 --> 00:02:23,440 Speaker 1: Workers Friday. UH and was speaking in Washington, d C. 40 00:02:24,160 --> 00:02:27,560 Speaker 1: To union workers, and he made two jokes, two jokes 41 00:02:28,000 --> 00:02:31,040 Speaker 1: about asking for permission to hug people. And this, of 42 00:02:31,080 --> 00:02:33,640 Speaker 1: course was his first appearance since the emergence of the 43 00:02:33,680 --> 00:02:37,680 Speaker 1: complaints from women. Yeah. Yeah, I think it's an opportunity. 44 00:02:38,200 --> 00:02:40,200 Speaker 1: He's looking at this, an opportunity for him to move 45 00:02:40,240 --> 00:02:42,800 Speaker 1: past this nightmarish nights in this new cycle. I mean, 46 00:02:42,880 --> 00:02:45,520 Speaker 1: this was just the ultimate drip, drip drip. I mean 47 00:02:45,520 --> 00:02:46,960 Speaker 1: you look at the past couple of years that have 48 00:02:47,000 --> 00:02:49,840 Speaker 1: been very few new cycles have lasted more than a 49 00:02:49,919 --> 00:02:52,160 Speaker 1: day or two, and this happened the last five or 50 00:02:52,200 --> 00:02:55,800 Speaker 1: six days, almost a full week. Um and Biden, you know, 51 00:02:55,840 --> 00:02:57,239 Speaker 1: he had the speech today and it was really a 52 00:02:57,320 --> 00:02:59,000 Speaker 1: chance for him to try to move past this. And 53 00:02:59,040 --> 00:03:00,520 Speaker 1: I think he's really trying to do that. I mean, 54 00:03:00,560 --> 00:03:03,600 Speaker 1: you saw his chat with on Twitter the other day. 55 00:03:03,639 --> 00:03:06,160 Speaker 1: He put the video up his speech today. It's it's 56 00:03:06,160 --> 00:03:08,480 Speaker 1: something he's trying to get as as he prepares the 57 00:03:08,560 --> 00:03:11,000 Speaker 1: launchest campaign. Probably in the next couple of weeks, we're 58 00:03:11,040 --> 00:03:15,960 Speaker 1: going to have much more on former Vice President Joe Biden, 59 00:03:16,040 --> 00:03:20,160 Speaker 1: and I will play for folks what precisely the joke was. 60 00:03:20,320 --> 00:03:24,600 Speaker 1: And the reaction has been mixed. Certain Democratic strategists say, hey, 61 00:03:24,760 --> 00:03:27,639 Speaker 1: he should be laughing about this. There's no criminal complaints, 62 00:03:27,720 --> 00:03:31,919 Speaker 1: no legal fault here. Others are saying absolutely not. This 63 00:03:31,960 --> 00:03:33,520 Speaker 1: is the me too era, and and this is he 64 00:03:33,520 --> 00:03:35,880 Speaker 1: can't be laughing about this. We're gonna come have much 65 00:03:35,920 --> 00:03:39,000 Speaker 1: more on former Vice President Joe Biden coming up and 66 00:03:39,040 --> 00:03:43,240 Speaker 1: the impacts that that could have on his potential likely 67 00:03:44,360 --> 00:03:48,200 Speaker 1: presidential campaign run. But the day kicked off with solid 68 00:03:48,280 --> 00:03:53,880 Speaker 1: jobs numbers, hundred and sixty nine thousand, thousand UH jobs 69 00:03:53,960 --> 00:03:59,880 Speaker 1: added to the US economy. The unemployment rate held steady 70 00:04:00,160 --> 00:04:04,400 Speaker 1: at three point eight percent. The President says he likes it, 71 00:04:04,440 --> 00:04:08,960 Speaker 1: but he also took the opportunity to ding the Central 72 00:04:09,040 --> 00:04:14,080 Speaker 1: Bank Chairman Jerome Powell, Herman Kane likely will e goo 73 00:04:14,680 --> 00:04:17,080 Speaker 1: uh you know, I mean it was It was interesting 74 00:04:17,120 --> 00:04:20,400 Speaker 1: because as this was happening, the President was taking off 75 00:04:20,440 --> 00:04:22,400 Speaker 1: to go to the border where he was going to 76 00:04:22,440 --> 00:04:26,080 Speaker 1: address and did address the US Mexico border. He dings 77 00:04:26,200 --> 00:04:30,360 Speaker 1: Chairman Powell, he gets solid jobs numbers and then threatens 78 00:04:30,400 --> 00:04:33,280 Speaker 1: to raise tariffs on on auto imports coming from Mexico. 79 00:04:33,320 --> 00:04:37,720 Speaker 1: But let's start jobs. David Livingston's solid day for jobs. Yeah, absolutely, 80 00:04:37,800 --> 00:04:40,159 Speaker 1: very solid day for jobs. I mean it's it's, uh, 81 00:04:40,520 --> 00:04:43,960 Speaker 1: the economy by all, by all objective metrics, is very 82 00:04:44,000 --> 00:04:46,600 Speaker 1: healthy right now. Um, and so it actually, you know, 83 00:04:46,760 --> 00:04:49,240 Speaker 1: it calls into question kind of the whether we should 84 00:04:49,240 --> 00:04:51,440 Speaker 1: be focusing on monetary policy right now or whether we 85 00:04:51,440 --> 00:04:53,600 Speaker 1: should be using this as an opportunity for more structural 86 00:04:53,720 --> 00:04:57,080 Speaker 1: forms that could put the economy uh in a direction 87 00:04:57,120 --> 00:04:59,640 Speaker 1: to sustain that growth over over a long time and 88 00:04:59,760 --> 00:05:02,039 Speaker 1: ride through whenever you know, we'll see the end of 89 00:05:02,040 --> 00:05:05,119 Speaker 1: this business cycle, right through that, and and lean into 90 00:05:05,240 --> 00:05:07,080 Speaker 1: the sort of industries we need to be leaning into 91 00:05:07,160 --> 00:05:08,919 Speaker 1: so that when we come out the other side, the 92 00:05:08,960 --> 00:05:11,520 Speaker 1: economy is just as strong. Again. A hundred and nineties 93 00:05:11,560 --> 00:05:15,920 Speaker 1: six thousand, hundred and nineties six thousand jobs were added 94 00:05:15,920 --> 00:05:19,279 Speaker 1: to the US economy at last month, according to the 95 00:05:19,320 --> 00:05:23,440 Speaker 1: Department of Labor, and again unemployment unchanged at three point 96 00:05:23,560 --> 00:05:28,240 Speaker 1: eight percent. If you dig a little deeper into the numbers, uh, 97 00:05:28,279 --> 00:05:34,520 Speaker 1: there was potentially some relief amongst concerns about a cooling economy, 98 00:05:34,560 --> 00:05:37,960 Speaker 1: which is why I was like stunned al that virtually 99 00:05:38,000 --> 00:05:41,040 Speaker 1: in real time, as we're dissecting and sorting through the 100 00:05:41,120 --> 00:05:45,320 Speaker 1: jobs numbers, we get these tweets from President Trump saying that, uh, 101 00:05:45,520 --> 00:05:47,400 Speaker 1: he's not going to close the border. He still might, 102 00:05:47,960 --> 00:05:50,400 Speaker 1: but he is threatening now not just to close down 103 00:05:50,800 --> 00:05:56,120 Speaker 1: parts of the border, but to raise tariffs by not 104 00:05:56,240 --> 00:06:00,560 Speaker 1: against the Chinese, but against Mexico autos. And I believe 105 00:06:00,600 --> 00:06:03,800 Speaker 1: we have a sound bite from President Trump earlier today 106 00:06:04,040 --> 00:06:08,760 Speaker 1: on specifically whether or not he changed his mind about 107 00:06:08,760 --> 00:06:11,520 Speaker 1: shutting the borders, but now he's threatening tariffs. Here's President 108 00:06:11,560 --> 00:06:16,120 Speaker 1: Trump earlier. I've never changed my mind at all. I 109 00:06:16,240 --> 00:06:18,560 Speaker 1: may shut it down at jump point, but I'd rather 110 00:06:18,640 --> 00:06:22,520 Speaker 1: do deref So Mexico, I have to say, has been 111 00:06:22,680 --> 00:06:25,919 Speaker 1: very very good. You know that over the last four days. 112 00:06:26,000 --> 00:06:29,280 Speaker 1: Is I talked about jutting down the BRDA. So there's 113 00:06:29,279 --> 00:06:31,680 Speaker 1: President Trump. Is he gonna shut down the border or 114 00:06:31,760 --> 00:06:33,840 Speaker 1: race here? I mean what it's it's hard to look 115 00:06:33,880 --> 00:06:36,120 Speaker 1: at this out and not see a change in policy. Well, 116 00:06:36,160 --> 00:06:37,719 Speaker 1: I think right now you have a lot of things moving, 117 00:06:37,839 --> 00:06:39,680 Speaker 1: a lot of there's a lot of moving pieces right 118 00:06:39,680 --> 00:06:42,520 Speaker 1: now with this, with this proposal, you have uh the U. S. 119 00:06:42,640 --> 00:06:44,720 Speaker 1: M c A, which he needs to get through Congress, 120 00:06:44,760 --> 00:06:46,800 Speaker 1: something he's really been talking about. But a lot of 121 00:06:46,839 --> 00:06:49,200 Speaker 1: members of Congress and Chuck Grassley and some of them 122 00:06:49,200 --> 00:06:51,320 Speaker 1: have been saying, you know, if you if you go 123 00:06:51,320 --> 00:06:53,520 Speaker 1: ahead and do something like this on Mexico or whatever 124 00:06:53,560 --> 00:06:55,920 Speaker 1: you do, this is really gonna imperil the U. S. 125 00:06:56,040 --> 00:06:57,640 Speaker 1: M c A and trying to get this past. So 126 00:06:58,000 --> 00:07:00,679 Speaker 1: that's one thing he's got to deal with, the border issue. 127 00:07:00,760 --> 00:07:02,599 Speaker 1: He you know, we just talked about the job's numbers, 128 00:07:02,600 --> 00:07:05,720 Speaker 1: and we just talked about the economic numbers. This that's 129 00:07:05,720 --> 00:07:08,760 Speaker 1: going on through this administration, and you've had the likes 130 00:07:08,760 --> 00:07:12,040 Speaker 1: of my son, Um, majority of Letch McConnell, Ted Cruz, 131 00:07:12,160 --> 00:07:15,280 Speaker 1: who was by you know, by no means uh. You know, 132 00:07:15,520 --> 00:07:17,120 Speaker 1: he's very strong on the board, he's very strong on 133 00:07:17,120 --> 00:07:19,200 Speaker 1: the border. He's very strong on the border. But it's 134 00:07:19,200 --> 00:07:20,640 Speaker 1: also in the things he says, this could be quick 135 00:07:20,720 --> 00:07:23,320 Speaker 1: catastrophic for the economy if you're gonna close on the border. 136 00:07:23,400 --> 00:07:25,440 Speaker 1: And the President's hearing this from more and more people, 137 00:07:25,960 --> 00:07:28,040 Speaker 1: and it remains me seeing if he's gonna listen to them. 138 00:07:28,280 --> 00:07:30,840 Speaker 1: It really does. I talked to Mark Meadows yesterday and 139 00:07:30,840 --> 00:07:32,920 Speaker 1: he basically said, well, the president, you know, everyone acts 140 00:07:32,960 --> 00:07:35,560 Speaker 1: like the President doesn't know what he's been talking about 141 00:07:35,600 --> 00:07:37,800 Speaker 1: here and then doesn't realize either side and he's like well, 142 00:07:37,840 --> 00:07:40,440 Speaker 1: he does realize the other side, so, um, I think 143 00:07:40,440 --> 00:07:41,840 Speaker 1: it's to jump off at this point what he ends 144 00:07:41,880 --> 00:07:44,200 Speaker 1: up doing. David, You're like, I can just see you've 145 00:07:44,200 --> 00:07:48,680 Speaker 1: got something to say, especially if you mean well, I 146 00:07:48,760 --> 00:07:50,720 Speaker 1: was thinking back. So I was looking at this today 147 00:07:50,720 --> 00:07:52,560 Speaker 1: and I thought it was really interesting. There was a 148 00:07:52,600 --> 00:07:55,320 Speaker 1: study apparently done by Accenture back in the final year 149 00:07:55,320 --> 00:07:57,600 Speaker 1: of the Bush administration that found that at the I 150 00:07:57,600 --> 00:07:59,920 Speaker 1: think it was the three or four busiest points event 151 00:08:00,040 --> 00:08:02,880 Speaker 1: three along the southern border of the United States, Um, 152 00:08:03,040 --> 00:08:05,760 Speaker 1: there were delays in excess of one hour, and the 153 00:08:05,840 --> 00:08:08,160 Speaker 1: study found I think that there was a cost of 154 00:08:08,200 --> 00:08:12,720 Speaker 1: a hundred sixteen thousand dollars for each minute of delay 155 00:08:12,760 --> 00:08:15,000 Speaker 1: of those sixty minutes plus a delay at the border. 156 00:08:15,040 --> 00:08:18,920 Speaker 1: So it just shows you kind of the mounting, uh 157 00:08:19,520 --> 00:08:21,400 Speaker 1: pile of costs that we would see if if he 158 00:08:21,720 --> 00:08:24,240 Speaker 1: actually did take these. I spent the entire week for 159 00:08:24,280 --> 00:08:29,960 Speaker 1: Bloomberg Television tracking Vice Premier of China meeting with Treasury 160 00:08:29,960 --> 00:08:35,080 Speaker 1: Secretary Manution and US Trade Representative Lightheiser, and then we 161 00:08:35,120 --> 00:08:37,520 Speaker 1: got this tweet Friday morning, and it's like Tom Kane 162 00:08:37,600 --> 00:08:42,959 Speaker 1: rip up the script because Trump's threatening tariffs against not 163 00:08:42,960 --> 00:08:46,760 Speaker 1: not Europe even, but against against Mexico much more. Coming 164 00:08:46,840 --> 00:08:49,400 Speaker 1: up with our panel. David Livingston putting on his trade 165 00:08:49,400 --> 00:08:52,520 Speaker 1: cap for US. He was ultimately in the Obama administration 166 00:08:52,559 --> 00:08:58,000 Speaker 1: the acting Assistant US Trade Representative for Congressional Affairs. That's 167 00:08:58,000 --> 00:09:01,839 Speaker 1: an official title. Well, I spent much of that is 168 00:09:01,880 --> 00:09:03,880 Speaker 1: just a director for Congressional Affairs. But I learned the 169 00:09:04,080 --> 00:09:06,559 Speaker 1: I learned, as many do, that if you stick around 170 00:09:06,559 --> 00:09:09,200 Speaker 1: to the bloody last hour of any administration, you walk 171 00:09:09,200 --> 00:09:12,400 Speaker 1: away with the fancy title. So bodis David Leto said, 172 00:09:12,440 --> 00:09:15,400 Speaker 1: first time on the program, we're talking trade, We're talking Biden. 173 00:09:15,720 --> 00:09:17,960 Speaker 1: What does it mean? He's laughing it off. And of 174 00:09:18,000 --> 00:09:20,559 Speaker 1: course Al Weaver here, Al, you've got a new newsletter 175 00:09:21,000 --> 00:09:23,960 Speaker 1: I do. It's The Morning Report, The Hill's morning newsletter, 176 00:09:23,960 --> 00:09:28,320 Speaker 1: and everyone subscribe. Al Weaver, national political reporter at the Hill, 177 00:09:28,360 --> 00:09:31,480 Speaker 1: and I'm Kevin Surreally. Download the sound on podcast on 178 00:09:31,520 --> 00:09:34,920 Speaker 1: Apple iTunes, at Bloomberg dot com, or by downloading the 179 00:09:34,920 --> 00:09:38,120 Speaker 1: Bloomberg Business app. You can find me as well as 180 00:09:38,160 --> 00:09:42,439 Speaker 1: my colleagues on radio dot com, I Heart Radio and Spotify. 181 00:09:42,679 --> 00:09:49,480 Speaker 1: You're listening to Bloomberg, You're listening to Sound On with 182 00:09:49,559 --> 00:09:53,760 Speaker 1: Kevin surreally on Bloomberg one and one oh five point 183 00:09:53,800 --> 00:09:58,360 Speaker 1: seven f M HD two Boltomolger. Our country is doing 184 00:09:58,480 --> 00:10:02,719 Speaker 1: unbelievably well economically. Most of you don't report that. It 185 00:10:02,800 --> 00:10:07,240 Speaker 1: doesn't doesn't sound good from your perspective, but the country 186 00:10:07,280 --> 00:10:11,520 Speaker 1: is doing really, really well. Mr President, we do report 187 00:10:11,800 --> 00:10:14,800 Speaker 1: the news, and I can tell you that earlier today, 188 00:10:14,840 --> 00:10:19,800 Speaker 1: folks payrolls rose a hundred and nineties six thousand, so 189 00:10:20,040 --> 00:10:23,000 Speaker 1: the US added a hundred and ninety six thousand jobs 190 00:10:23,040 --> 00:10:26,840 Speaker 1: to the economy according to the Labor Department. I'm Kevin Sirelli, 191 00:10:26,880 --> 00:10:31,320 Speaker 1: Bloomberg News Chief Washington correspondent for Bloomberg Television and Bloomberg Radio. 192 00:10:31,600 --> 00:10:36,320 Speaker 1: Unemployment rate unchanged at three point eight percent. The President 193 00:10:36,520 --> 00:10:40,240 Speaker 1: talking about the economy, and it has been a wid 194 00:10:41,040 --> 00:10:46,240 Speaker 1: roaring week with economic developments on the US China trade front. 195 00:10:47,000 --> 00:10:50,680 Speaker 1: As talks between President Trump and China Vice Premier Leija 196 00:10:51,200 --> 00:10:54,959 Speaker 1: have concluded, he stuck around the Chinese Vice premier to 197 00:10:55,080 --> 00:11:00,480 Speaker 1: continue meeting with some economic advisors for today. It looks 198 00:11:00,600 --> 00:11:03,920 Speaker 1: ultimately there could be a one off meeting between President 199 00:11:03,960 --> 00:11:09,000 Speaker 1: Trump and Chinese President shi Jingping sometime in the next 200 00:11:09,040 --> 00:11:12,200 Speaker 1: couple of weeks at the earliest, but the President also 201 00:11:13,080 --> 00:11:16,800 Speaker 1: earlier this morning down playing some expectations just a bit 202 00:11:17,360 --> 00:11:20,640 Speaker 1: in terms of saying whether or not the U. S. 203 00:11:20,679 --> 00:11:24,319 Speaker 1: And China Final Trade Agreement would be reached. He backed 204 00:11:24,320 --> 00:11:28,040 Speaker 1: off after sounding a bit more optimistic last night. Either way, 205 00:11:28,280 --> 00:11:31,439 Speaker 1: when President Trump and President she do come face to face, 206 00:11:31,960 --> 00:11:36,080 Speaker 1: the White House is strongly forecasting that it will be 207 00:11:36,440 --> 00:11:41,280 Speaker 1: a conclusive meeting and not a dramatic one or one 208 00:11:41,440 --> 00:11:45,360 Speaker 1: with uncertainty. Markets like that, and edged upwards on the 209 00:11:45,360 --> 00:11:47,560 Speaker 1: news here to walk us through all of the different 210 00:11:47,960 --> 00:11:51,440 Speaker 1: politics and policy. David Livingston, first time on the program. 211 00:11:51,480 --> 00:11:56,000 Speaker 1: He's the Deputy Director in the Atlantic Council's Global Energy Center. Previously, 212 00:11:56,840 --> 00:11:59,720 Speaker 1: he served in the U. S. Trade Representative Office in 213 00:11:59,720 --> 00:12:04,240 Speaker 1: the Bomba administration and ended as the acting Assistant US 214 00:12:04,320 --> 00:12:08,320 Speaker 1: Trade rep for Congressional Affairs. Al We've are a friend 215 00:12:08,320 --> 00:12:11,640 Speaker 1: of the program now at the Hill Newspaper, author of 216 00:12:11,880 --> 00:12:15,720 Speaker 1: the Hills Political tip sheet, The Morning Report, The Morning 217 00:12:15,760 --> 00:12:19,000 Speaker 1: Report you can't start your day without it, and Al 218 00:12:19,000 --> 00:12:22,800 Speaker 1: we were also a Philadelphia native. Uh So, I want 219 00:12:22,800 --> 00:12:25,920 Speaker 1: to continue with the economy that we were talking earlier about. 220 00:12:26,800 --> 00:12:34,120 Speaker 1: The President's threat, really, David, to increase auto terrorists. What 221 00:12:34,240 --> 00:12:37,880 Speaker 1: economic impact would that have. Earlier in the week, when 222 00:12:37,880 --> 00:12:39,800 Speaker 1: the President was threatening to shut down the border, we 223 00:12:40,200 --> 00:12:44,080 Speaker 1: talked about how manufacturers would be impacted by that, how 224 00:12:44,280 --> 00:12:47,160 Speaker 1: manufacturers are against that, the US Chamber commerces against that. 225 00:12:47,559 --> 00:12:54,520 Speaker 1: But what would auto tariff do to the economy. It 226 00:12:54,559 --> 00:12:56,559 Speaker 1: would be huge. You would also complicated. I think the 227 00:12:56,880 --> 00:12:58,559 Speaker 1: passage of U S m c A in a way, 228 00:12:58,559 --> 00:13:01,040 Speaker 1: because we've gotta we've gotta sigh letter in the U 229 00:13:01,080 --> 00:13:03,040 Speaker 1: S m c A agreement which was supposed to prevent 230 00:13:03,160 --> 00:13:06,120 Speaker 1: just this from taking place. Um. So it would be 231 00:13:06,200 --> 00:13:09,280 Speaker 1: extremely you know, deliterious to the U. S economy. Um. 232 00:13:09,440 --> 00:13:11,520 Speaker 1: And it's a it's a really blunt weapon to use 233 00:13:11,559 --> 00:13:14,040 Speaker 1: as well, right, so it's very difficult to kind of predict. 234 00:13:14,480 --> 00:13:17,520 Speaker 1: Um Uh, you know how you can insulate this, how 235 00:13:17,559 --> 00:13:20,080 Speaker 1: you can insulate the broader US economy from some of 236 00:13:20,080 --> 00:13:21,800 Speaker 1: the effects of this. And so I think it's it's 237 00:13:21,800 --> 00:13:25,559 Speaker 1: playing with fire a little bit, um And hopefully it's rhetoric, 238 00:13:25,720 --> 00:13:28,240 Speaker 1: just rhetoric. But you know, time will tell. I guess 239 00:13:28,240 --> 00:13:30,800 Speaker 1: and the trade story. I mean guy Johnson over in 240 00:13:30,800 --> 00:13:33,800 Speaker 1: our London bureau he told me earlier today he was like, 241 00:13:34,120 --> 00:13:36,679 Speaker 1: this is like the President's threats to Mexico. It's like 242 00:13:36,960 --> 00:13:41,640 Speaker 1: the US version of a hard Brexit. I was like, guy, 243 00:13:41,760 --> 00:13:44,199 Speaker 1: you know, that's actually a pretty good analogy. I mean, 244 00:13:44,240 --> 00:13:46,600 Speaker 1: here we are, our friends, our colleagues across the pond. 245 00:13:46,640 --> 00:13:52,560 Speaker 1: But al, I'm I'm really struck just to see the 246 00:13:52,640 --> 00:13:57,480 Speaker 1: economics of this. It really has become a three pronged 247 00:13:58,080 --> 00:14:01,480 Speaker 1: trade war. You've got US in China, US and Europe 248 00:14:01,760 --> 00:14:04,280 Speaker 1: and US and I mean, I'll say in Mexico, but 249 00:14:04,640 --> 00:14:07,240 Speaker 1: to some extent Canada. No, no disrespect to the Canadians, 250 00:14:07,280 --> 00:14:10,440 Speaker 1: but it's really between the US and Mexico Canada, wasn't it. 251 00:14:10,480 --> 00:14:13,480 Speaker 1: But yeah, right now it's but the But but my 252 00:14:13,600 --> 00:14:15,679 Speaker 1: question to you from the political angle is that he's 253 00:14:15,720 --> 00:14:18,520 Speaker 1: going after the same audience that former Vice President Joe 254 00:14:18,520 --> 00:14:22,320 Speaker 1: Biden addressed earlier today in Washington, which is union workers. No, 255 00:14:22,440 --> 00:14:24,800 Speaker 1: you're right about that. I mean the president, I mean, 256 00:14:24,800 --> 00:14:27,400 Speaker 1: you you mentioned Biden. That's the last couple of days 257 00:14:27,400 --> 00:14:29,520 Speaker 1: that's outside of you know, some of these other issues. 258 00:14:29,560 --> 00:14:31,520 Speaker 1: That's who he's been focusing on. I mean, you can 259 00:14:31,520 --> 00:14:33,560 Speaker 1: tell the White House has has him in there in 260 00:14:33,600 --> 00:14:36,600 Speaker 1: their in their cross and this is a working class message. 261 00:14:36,720 --> 00:14:39,120 Speaker 1: Yes exactly. I mean he's this is a message that 262 00:14:39,200 --> 00:14:41,080 Speaker 1: he's trying to appeal to the folks to help get 263 00:14:41,160 --> 00:14:43,120 Speaker 1: him get him elected in twenty sixteen. You have the 264 00:14:43,120 --> 00:14:46,000 Speaker 1: folks in Pennsylvania, the folks in Wisconsin, the folks in Michigan. 265 00:14:46,320 --> 00:14:47,840 Speaker 1: Those are the ones he's gonna have to go after 266 00:14:47,960 --> 00:14:49,560 Speaker 1: to get to win. I mean he's struggling in some 267 00:14:49,600 --> 00:14:51,600 Speaker 1: of those places right now. I mean that's the place 268 00:14:51,640 --> 00:14:53,720 Speaker 1: where what place if you Biden. The other day you 269 00:14:53,760 --> 00:14:55,480 Speaker 1: look at the news that he was out in Scranton 270 00:14:55,640 --> 00:14:59,280 Speaker 1: doing his his his promotional video or he's taping that 271 00:14:59,280 --> 00:15:01,040 Speaker 1: that's probably gonna up in the next two weeks when 272 00:15:01,040 --> 00:15:03,760 Speaker 1: he ends up announcing everything. Um yeah, I mean the 273 00:15:03,760 --> 00:15:05,680 Speaker 1: president he's underwater in some of those states and he 274 00:15:05,720 --> 00:15:08,600 Speaker 1: needs to rectify those if he's gonna win. And David Livingston, 275 00:15:08,640 --> 00:15:12,000 Speaker 1: I mean these states, Pennsylvania, it's ground zero for the 276 00:15:12,040 --> 00:15:17,320 Speaker 1: trade issues of China, of Mexico, of auto imports and 277 00:15:17,320 --> 00:15:20,360 Speaker 1: on tariffs and with regards to Europe. And so the 278 00:15:20,360 --> 00:15:22,280 Speaker 1: President and Scranton. I have to give a shout out 279 00:15:22,320 --> 00:15:25,560 Speaker 1: to my late grandmother, Mimi. She's also was a Scranton local. 280 00:15:26,080 --> 00:15:29,640 Speaker 1: But that but those are the towns scrant Pennsylvania, Youngstown, 281 00:15:29,640 --> 00:15:33,880 Speaker 1: Ohio where Congressman Tim Ryan, who another through his name 282 00:15:33,880 --> 00:15:36,800 Speaker 1: in the rank, he is running for president. I mean, 283 00:15:37,720 --> 00:15:40,960 Speaker 1: this is the the issue that that the White House 284 00:15:41,120 --> 00:15:46,880 Speaker 1: is banking on will carry them into a second term. Yeah. Absolutely. 285 00:15:46,960 --> 00:15:49,440 Speaker 1: And yet where we end up I think with with 286 00:15:49,600 --> 00:15:53,160 Speaker 1: for all the sound and fury with with U S. Mexico, 287 00:15:53,600 --> 00:15:55,960 Speaker 1: where we're ending up at is something which is just 288 00:15:56,040 --> 00:15:58,960 Speaker 1: kind of a modified version of what was in the 289 00:15:59,080 --> 00:16:02,440 Speaker 1: TPP agreement. Right, So we're going to get you know, 290 00:16:02,960 --> 00:16:06,440 Speaker 1: higher standards, were going to get new chapters on on 291 00:16:06,440 --> 00:16:09,520 Speaker 1: on you know, enhancing our work on services, on digital 292 00:16:09,560 --> 00:16:12,640 Speaker 1: and things like that. Um, we're gonna raise labor standards 293 00:16:12,640 --> 00:16:15,040 Speaker 1: in Mexico, and the you know, the grand total of 294 00:16:15,040 --> 00:16:17,040 Speaker 1: that will probably be less than the ultimate impact that 295 00:16:17,080 --> 00:16:18,960 Speaker 1: we were going to get with with TPP, which is 296 00:16:19,000 --> 00:16:21,680 Speaker 1: gonna be you know, income increases of a hundred fifty 297 00:16:21,680 --> 00:16:23,720 Speaker 1: billion a year aggregate in the US by the time 298 00:16:23,760 --> 00:16:26,120 Speaker 1: TPP was gonna be funny, I could nerd out over 299 00:16:26,240 --> 00:16:28,240 Speaker 1: TPP and the differences of U S, m C and 300 00:16:28,320 --> 00:16:30,640 Speaker 1: on all of that, but but take let's let's come 301 00:16:30,640 --> 00:16:32,760 Speaker 1: out for air from from the weeds for just a second, 302 00:16:33,040 --> 00:16:36,520 Speaker 1: take us behind the scenes, because what President Trump did 303 00:16:36,560 --> 00:16:40,760 Speaker 1: today is he sent a tweet that threatened to raise 304 00:16:40,880 --> 00:16:46,440 Speaker 1: tariffs to on autos coming from Mexico. Contrast that when 305 00:16:46,480 --> 00:16:51,160 Speaker 1: you were working in the US Trade Representative under Mr Frohman, Right, 306 00:16:51,520 --> 00:16:53,640 Speaker 1: So who I believe we're gonna interview next week. But 307 00:16:53,960 --> 00:16:57,320 Speaker 1: when you were in U S. T R. David Livingston, 308 00:16:57,560 --> 00:17:01,160 Speaker 1: what goes on in the meetings of of analyzing and 309 00:17:01,240 --> 00:17:06,399 Speaker 1: announcing a threat even to increase tarriffs versus what we 310 00:17:06,400 --> 00:17:09,200 Speaker 1: saw today, which was a tweet. Serious serious question. Well, 311 00:17:09,440 --> 00:17:11,320 Speaker 1: and and I'll give you a serious answer. I mean, 312 00:17:11,320 --> 00:17:14,000 Speaker 1: the serious answer is I didn't have that much experience 313 00:17:14,040 --> 00:17:17,320 Speaker 1: with that because I think that ambassador, ambassador froman was 314 00:17:17,440 --> 00:17:20,880 Speaker 1: you know, mostly in the business of of trying to, uh, 315 00:17:20,960 --> 00:17:25,359 Speaker 1: quietly but firmly, behind the scenes, negotiate a lowering of 316 00:17:25,440 --> 00:17:28,400 Speaker 1: terrorists and in things like uh, you know, in things 317 00:17:28,400 --> 00:17:30,840 Speaker 1: like TPP in the in the attempts at at the 318 00:17:30,840 --> 00:17:33,840 Speaker 1: Trans Atlantic Trade Investment Partnership t TIP. So a lot 319 00:17:33,880 --> 00:17:36,080 Speaker 1: of what we were doing was, you know, very much 320 00:17:36,119 --> 00:17:39,719 Speaker 1: behind the scenes work and trying to understand your trade 321 00:17:39,800 --> 00:17:44,040 Speaker 1: partners needs, trying to understand their domestic politics and then 322 00:17:44,080 --> 00:17:46,399 Speaker 1: trying to understand the nature of the markets that you 323 00:17:46,440 --> 00:17:48,520 Speaker 1: were trying to open up and find a win win. 324 00:17:49,920 --> 00:17:52,880 Speaker 1: You know what's going on behind the scenes in USTR's 325 00:17:52,960 --> 00:17:54,840 Speaker 1: probably there are a lot of people that are that 326 00:17:54,920 --> 00:17:58,080 Speaker 1: are you know, that are uh surprised as we are 327 00:17:58,119 --> 00:18:00,320 Speaker 1: by the president's tweets and that the president's weets are 328 00:18:00,320 --> 00:18:04,640 Speaker 1: guiding trade policy rather than Ambassador Lightheiser. But these meetings, 329 00:18:04,680 --> 00:18:07,280 Speaker 1: I mean when we say the figure of speech behind 330 00:18:07,320 --> 00:18:10,320 Speaker 1: the scenes, these are actually meetings that are taking place 331 00:18:10,720 --> 00:18:14,400 Speaker 1: inside of the White House on conference calls with global counterparts, 332 00:18:14,560 --> 00:18:19,119 Speaker 1: right and so, and not just in real time. And 333 00:18:19,119 --> 00:18:22,200 Speaker 1: and look, this is just a contrast. This is truly 334 00:18:22,200 --> 00:18:24,400 Speaker 1: a study in contrast. When you have the president, for example, 335 00:18:24,480 --> 00:18:28,439 Speaker 1: airing his differences with his qus trade representatives at a 336 00:18:28,440 --> 00:18:30,320 Speaker 1: photo op in front of reporters like you did the 337 00:18:30,320 --> 00:18:36,840 Speaker 1: other week, this is a different way to conduct foreign policy, absolutely, 338 00:18:36,920 --> 00:18:40,119 Speaker 1: and it's a different way of linking trade policy with 339 00:18:40,160 --> 00:18:43,320 Speaker 1: foreign policy, which we haven't seen previously. We're not talking 340 00:18:43,359 --> 00:18:47,560 Speaker 1: about threatening auto tariffs on Mexico in the context of 341 00:18:47,600 --> 00:18:49,800 Speaker 1: trying to get a better trade deal with Mexico, right, 342 00:18:50,040 --> 00:18:54,640 Speaker 1: We're talking about this strange contamination of trade policy as 343 00:18:54,720 --> 00:18:58,200 Speaker 1: to spill over from the president's desires on migration, which 344 00:18:58,240 --> 00:19:00,600 Speaker 1: you know, seems to be kind of a a moving 345 00:19:00,640 --> 00:19:02,280 Speaker 1: goal line from day to day in terms of what 346 00:19:02,320 --> 00:19:04,119 Speaker 1: he wants to see from our southern neighbor and the 347 00:19:04,200 --> 00:19:06,040 Speaker 1: And the funny thing about this whole thing is is 348 00:19:06,080 --> 00:19:08,800 Speaker 1: these the two issues where if you're ever going to 349 00:19:08,880 --> 00:19:10,920 Speaker 1: say this two issues of the president is is pretty 350 00:19:11,000 --> 00:19:12,959 Speaker 1: dead set. You're gonna talk about training, you gonna talk 351 00:19:13,000 --> 00:19:15,639 Speaker 1: on immigration. And it's funny because they're too emerging right 352 00:19:15,640 --> 00:19:17,840 Speaker 1: now and they really haven't met in the first couple 353 00:19:17,880 --> 00:19:19,919 Speaker 1: of years. Um. And you look at what happened, I 354 00:19:19,920 --> 00:19:21,520 Speaker 1: mean the immigration. He's been talking about this for the 355 00:19:21,600 --> 00:19:23,800 Speaker 1: last couple of weeks while closing the border, about what 356 00:19:23,800 --> 00:19:25,800 Speaker 1: he's gonna do with Mexico. You see him at the 357 00:19:25,800 --> 00:19:29,440 Speaker 1: border today, and finally it collides with his other favorite topic. 358 00:19:29,520 --> 00:19:31,719 Speaker 1: It's really kind of fascinating. Yeah, it is. It is 359 00:19:31,760 --> 00:19:34,600 Speaker 1: the wall and tariffs collide, all right. Coming up much 360 00:19:34,640 --> 00:19:38,719 Speaker 1: more on the impacts of trade policy on the presidential cycle, 361 00:19:38,840 --> 00:19:42,440 Speaker 1: we focus on the Central Bank as well, the President 362 00:19:42,760 --> 00:19:47,680 Speaker 1: continuing his criticisms against uh the Fed chairman J Powell, 363 00:19:48,000 --> 00:19:51,840 Speaker 1: Panel stays Al Weaver, national political reporter at The Hill Newspaper, 364 00:19:51,880 --> 00:19:56,280 Speaker 1: and David Livingston, Deputy Director of Climate and Advanced Energy 365 00:19:56,359 --> 00:20:00,679 Speaker 1: at the Atlantic Council, previously at the US tr in 366 00:20:00,720 --> 00:20:04,560 Speaker 1: the Obama administration. I'm Kevin SURREALI download the Sound On 367 00:20:04,720 --> 00:20:08,560 Speaker 1: podcast on Apple iTunes, at Bloomberg dot com, or by 368 00:20:08,560 --> 00:20:11,199 Speaker 1: downloading the Bloomberg Business app. You can also find us 369 00:20:11,240 --> 00:20:15,359 Speaker 1: on Radio dot com, I Heart Radio and Spotify. You're 370 00:20:15,400 --> 00:20:23,000 Speaker 1: listening to Bloomberg. You're listening to Sound On with Kevin 371 00:20:23,080 --> 00:20:27,359 Speaker 1: Surreally on Bloomberg and one oh five point seven f 372 00:20:27,480 --> 00:20:31,119 Speaker 1: M h D two Boltemore looking at the eel curve 373 00:20:31,480 --> 00:20:36,520 Speaker 1: and other market based measures. I think on their time, 374 00:20:36,680 --> 00:20:39,280 Speaker 1: the FET is independent. M I emphasize at the that 375 00:20:39,440 --> 00:20:42,720 Speaker 1: is independent, but the President is said, and I concur 376 00:20:43,280 --> 00:20:47,040 Speaker 1: that I think that we could do at some point 377 00:20:47,320 --> 00:20:50,879 Speaker 1: with some reductions in the FETs target rate. That was 378 00:20:50,960 --> 00:20:54,840 Speaker 1: Larry Cudlow speaking to my colleague earlier today on Bloomberg Television, 379 00:20:54,920 --> 00:20:59,680 Speaker 1: Jonathan faroh Uh and really echoing what President Trump had 380 00:20:59,720 --> 00:21:02,159 Speaker 1: to say a in terms of the pressure that the 381 00:21:02,200 --> 00:21:06,080 Speaker 1: administration is putting on the Central Bank, and it's spilling 382 00:21:06,160 --> 00:21:09,399 Speaker 1: out into nominees for the FED Board. Stephen Moore, of 383 00:21:09,440 --> 00:21:13,240 Speaker 1: the previous Lee of the Heritage Foundation. He authored the 384 00:21:13,240 --> 00:21:18,160 Speaker 1: book Trump and Nomics. Uh really, it was a glowing 385 00:21:18,840 --> 00:21:20,879 Speaker 1: critique and not even a critique. It was a glowing 386 00:21:20,960 --> 00:21:25,400 Speaker 1: endorsement of President Trump's economic policies. And now Herman Kine, 387 00:21:25,960 --> 00:21:29,080 Speaker 1: Herman Caine, formerly of the Kansas City Fed and of 388 00:21:29,119 --> 00:21:34,840 Speaker 1: course obviously of Republican conservative political punditry fame, he has 389 00:21:34,880 --> 00:21:38,000 Speaker 1: now been also nominated to the FED Board. It's gonna 390 00:21:38,040 --> 00:21:43,760 Speaker 1: be fascinating to see how those two individuals shake up 391 00:21:44,359 --> 00:21:48,880 Speaker 1: the politics and and the policy of what had largely 392 00:21:48,920 --> 00:21:51,399 Speaker 1: been dare I say it, for all intents and purposes, 393 00:21:51,520 --> 00:21:56,919 Speaker 1: pretty boring institution in terms of how the mainstream media 394 00:21:56,960 --> 00:22:00,000 Speaker 1: would would would focus on it. David Livingston is depth 395 00:22:00,119 --> 00:22:03,639 Speaker 1: D Director of Climate and Advanced Energy at the Atlantic Council. 396 00:22:03,680 --> 00:22:06,520 Speaker 1: He previously served in the Obama administration in the US 397 00:22:06,920 --> 00:22:11,160 Speaker 1: Trade Representatives Office. Al Weaver is a national political reporter 398 00:22:11,320 --> 00:22:14,320 Speaker 1: at The Hill. Al you were, you were? You were 399 00:22:14,400 --> 00:22:18,720 Speaker 1: emotive when I was discussing Stephen Moore and Herman Kaine 400 00:22:19,440 --> 00:22:21,760 Speaker 1: nominees to the FED Board, and quite honestly, I don't 401 00:22:21,800 --> 00:22:24,320 Speaker 1: think most people would know what the Fedboard even is. 402 00:22:24,480 --> 00:22:26,840 Speaker 1: But people know who Herman Kane is. People know he 403 00:22:26,920 --> 00:22:29,160 Speaker 1: is that people know Stephen Moore is, and and it's 404 00:22:29,200 --> 00:22:31,240 Speaker 1: it's really just interesting to watch the President go out 405 00:22:31,280 --> 00:22:36,359 Speaker 1: and tap these these major supporters of his at this point, 406 00:22:36,359 --> 00:22:39,000 Speaker 1: I mean, these these people have been out there stumping 407 00:22:39,000 --> 00:22:41,480 Speaker 1: for him for years. At this point. Is that rare. 408 00:22:41,560 --> 00:22:43,040 Speaker 1: I mean, you don't get a job in a White 409 00:22:43,080 --> 00:22:45,960 Speaker 1: House unless you support the true, but the true. But 410 00:22:46,000 --> 00:22:48,240 Speaker 1: it's also people in the Republican Party that they've never 411 00:22:48,359 --> 00:22:51,480 Speaker 1: exactly been supporting lately. I mean Herman Kine, especially sorting 412 00:22:51,560 --> 00:22:53,640 Speaker 1: more a little bit less though, because he's a heritage guy. 413 00:22:53,680 --> 00:22:56,000 Speaker 1: He was on he was Wall Street journal or a 414 00:22:56,080 --> 00:22:59,080 Speaker 1: writer for a long time. Um, but Herman Kine is 415 00:22:59,080 --> 00:23:01,360 Speaker 1: an odd one. Not many people saw that one coming. 416 00:23:01,359 --> 00:23:03,119 Speaker 1: I think that's where it comes from. Also, I mean, 417 00:23:03,200 --> 00:23:05,399 Speaker 1: let's not forget I mean, the President's appointed others to 418 00:23:05,480 --> 00:23:07,760 Speaker 1: the to the board so far that just haven't garnered 419 00:23:07,760 --> 00:23:11,199 Speaker 1: this sort of kind of Usually the Fedboard jobs are 420 00:23:11,280 --> 00:23:13,720 Speaker 1: kind of like I mean, respectfully to everyone in the FED. 421 00:23:13,760 --> 00:23:17,040 Speaker 1: I mean, it's not something that is it should be boring. 422 00:23:17,480 --> 00:23:20,520 Speaker 1: It should be it should be boring, and anything in 423 00:23:20,600 --> 00:23:23,880 Speaker 1: monetary policy is boring. Well, you're in the right job 424 00:23:23,880 --> 00:23:26,040 Speaker 1: working for Bloomberg then, and I would tend to agree 425 00:23:26,040 --> 00:23:27,639 Speaker 1: with you. But but the but the you know, the 426 00:23:27,680 --> 00:23:29,919 Speaker 1: point here is what will be really interesting to see, right, 427 00:23:30,000 --> 00:23:32,480 Speaker 1: is you have someone who's been an active and vocal 428 00:23:32,480 --> 00:23:35,840 Speaker 1: supporter of a gold standard because they're worried about runaway inflation. 429 00:23:35,920 --> 00:23:38,679 Speaker 1: You have, right, exactly, You've had someone else who's not 430 00:23:38,720 --> 00:23:40,760 Speaker 1: necessarily on the side of a gold standard, but who's 431 00:23:41,119 --> 00:23:45,240 Speaker 1: um who's spoken positively about a broader basket of commodities 432 00:23:45,560 --> 00:23:47,760 Speaker 1: that the doltar can see the more literally said on 433 00:23:47,840 --> 00:23:50,760 Speaker 1: the record that he thinks Chair Powell should be fired. 434 00:23:51,640 --> 00:23:53,640 Speaker 1: I mean, that's pretty so here, here's what I would 435 00:23:53,640 --> 00:23:55,119 Speaker 1: say in terms, it's gonna be a fun first day 436 00:23:55,119 --> 00:23:57,160 Speaker 1: at work, right, Well, if they can get confirmed and 437 00:23:57,160 --> 00:23:59,400 Speaker 1: and and truly, I mean, you look at the politics 438 00:23:59,400 --> 00:24:02,880 Speaker 1: and Senator Romney, Republican from Utah, forecasting earlier this week 439 00:24:02,920 --> 00:24:06,719 Speaker 1: that there would be difficulty for someone like Herman Kane. 440 00:24:07,119 --> 00:24:12,040 Speaker 1: But truly with these names, I mean, what do you say, 441 00:24:12,160 --> 00:24:16,440 Speaker 1: David Livingston too? I mean to those who say, okay, 442 00:24:16,480 --> 00:24:18,399 Speaker 1: well they have a point of view. Everyone on the 443 00:24:18,480 --> 00:24:21,560 Speaker 1: various FED boards have had have different points of views. 444 00:24:21,560 --> 00:24:25,360 Speaker 1: There are much more progressive FED presidents, Fed board members, Uh, 445 00:24:25,359 --> 00:24:28,000 Speaker 1: there are more conservative ones. These are just you know, 446 00:24:28,119 --> 00:24:31,679 Speaker 1: these are just more nationally known. It's true and and 447 00:24:31,720 --> 00:24:34,719 Speaker 1: in fact it's it's also true that there's it's not 448 00:24:34,880 --> 00:24:37,520 Speaker 1: knew that that there can be tension between your Federal 449 00:24:37,600 --> 00:24:39,280 Speaker 1: Reserve Board and the president, and that there can be 450 00:24:39,280 --> 00:24:42,000 Speaker 1: political pressures attention not to interrupt your r a tension 451 00:24:42,040 --> 00:24:44,320 Speaker 1: amongst the FED Board. I mean, look back at the 452 00:24:44,320 --> 00:24:48,120 Speaker 1: O eight collapse. Absolutely, go and go even further back, 453 00:24:48,119 --> 00:24:51,919 Speaker 1: go back to you know, Truman presidency, Mariner Eccles pressure 454 00:24:52,000 --> 00:24:54,200 Speaker 1: during the Korean War to you know, to have looser 455 00:24:54,200 --> 00:24:57,760 Speaker 1: monetary policy. Just got really historical. Wow on a Friday, 456 00:24:57,800 --> 00:25:00,360 Speaker 1: I feel like a history lesson from David Livingston and wow, 457 00:25:00,480 --> 00:25:02,119 Speaker 1: now we were shaking his set. He's like, how did 458 00:25:02,160 --> 00:25:04,960 Speaker 1: I even get out of the NATS stadium? Where did 459 00:25:04,960 --> 00:25:07,280 Speaker 1: that come from? But let's stay there because I also 460 00:25:07,359 --> 00:25:11,480 Speaker 1: covered your old boss when Larry Summers got his FED 461 00:25:11,520 --> 00:25:16,600 Speaker 1: shair tanked torpedoed by Senator Elizabeth Warren and or because 462 00:25:16,640 --> 00:25:19,800 Speaker 1: he was too outspoken. I mean Larry Summers more outspoken 463 00:25:19,800 --> 00:25:22,840 Speaker 1: than Herman Kane. I mean, FED politics right now has 464 00:25:22,880 --> 00:25:27,119 Speaker 1: just totally been flipped upside down. What's critical though, right 465 00:25:27,280 --> 00:25:30,160 Speaker 1: is that you just have some sort of ideological constancy 466 00:25:30,240 --> 00:25:32,399 Speaker 1: or some sort of ideological framework in which you know 467 00:25:32,480 --> 00:25:34,840 Speaker 1: that these individuals are going to be operating for, you know, 468 00:25:34,920 --> 00:25:37,879 Speaker 1: for a for a functioning UH and healthy monetary policy 469 00:25:37,920 --> 00:25:39,920 Speaker 1: for the United States. And I think when you when 470 00:25:39,960 --> 00:25:41,719 Speaker 1: you have folks that on the one hand, or at 471 00:25:41,720 --> 00:25:44,280 Speaker 1: one moment, are very very focused on you know, a 472 00:25:44,280 --> 00:25:47,520 Speaker 1: gold standard or a commodity basket linked to the dollar, 473 00:25:47,640 --> 00:25:50,679 Speaker 1: and are worried about runaway inflation in an economy that 474 00:25:50,800 --> 00:25:53,720 Speaker 1: arguably had well I would say, demonstrably had much more 475 00:25:53,760 --> 00:25:57,080 Speaker 1: slack in the past than the economy has now. Um 476 00:25:57,160 --> 00:25:59,840 Speaker 1: and and now they're much more dubbish. It calls into 477 00:26:00,040 --> 00:26:01,639 Speaker 1: USh And I guess just what's going to be the 478 00:26:02,440 --> 00:26:05,520 Speaker 1: guiding framework, um that these individuals are going to operate with. 479 00:26:05,560 --> 00:26:07,600 Speaker 1: You know what I think at from a political standpoint, 480 00:26:08,520 --> 00:26:13,240 Speaker 1: I think that the president is setting up his political 481 00:26:13,520 --> 00:26:17,159 Speaker 1: army to blame the FED should there actually be a 482 00:26:17,200 --> 00:26:20,000 Speaker 1: recession on the horizon. Yeah, oh yeah, I mean it's 483 00:26:20,119 --> 00:26:23,440 Speaker 1: his relationship right now with Jerry Palace, is it's really 484 00:26:23,440 --> 00:26:25,560 Speaker 1: been on the public I mean Jerry Pali's next week, 485 00:26:25,560 --> 00:26:28,720 Speaker 1: he's speaking at the House Democratic Retreat. You know, I 486 00:26:28,760 --> 00:26:31,520 Speaker 1: mean it's at that point, you know, next week is 487 00:26:31,560 --> 00:26:33,439 Speaker 1: gonna be next week's gonna And he did a six 488 00:26:33,520 --> 00:26:35,879 Speaker 1: minutes in a much more on the on the well, 489 00:26:35,920 --> 00:26:37,800 Speaker 1: we're going to leave the tension there, but much more 490 00:26:37,840 --> 00:26:42,840 Speaker 1: on the tension in the Democratic primary, which is is 491 00:26:42,840 --> 00:26:44,960 Speaker 1: it a laughing matter? We're gonna We're gonna talk about it. 492 00:26:45,080 --> 00:26:48,640 Speaker 1: Former Vice President Joe Biden, joking about the rough week 493 00:26:49,040 --> 00:26:52,119 Speaker 1: that he's had in the media panel, stays, I'm Kevin 494 00:26:52,119 --> 00:26:56,040 Speaker 1: CEREALI download the Sound On podcast on Apple iTunes, at 495 00:26:56,040 --> 00:26:59,600 Speaker 1: Bloomberg dot com, or by downloading the Bloomberg Business app. 496 00:26:59,680 --> 00:27:02,359 Speaker 1: You can also find us on Radio dot com, I 497 00:27:02,520 --> 00:27:12,760 Speaker 1: Heart Radio and Spotify. You're listening to Bloomberg. This is 498 00:27:12,880 --> 00:27:17,399 Speaker 1: Sound On with kevins Relate on Bloomberg one and one, 499 00:27:18,200 --> 00:27:22,320 Speaker 1: seven m h D two, Baltimore. Happy Friday, folks on 500 00:27:22,480 --> 00:27:25,879 Speaker 1: Kevin cur Really, chief Washington correspondent for Bloomberg Television and 501 00:27:25,920 --> 00:27:29,720 Speaker 1: Bloomberg Radio. Busy week. We made It's a Friday, Hope 502 00:27:29,760 --> 00:27:32,520 Speaker 1: everybody has a great weekend. Roads are slick, make sure 503 00:27:32,560 --> 00:27:37,119 Speaker 1: you're driving carefully. Really, the big story in Washington today 504 00:27:37,280 --> 00:27:41,919 Speaker 1: was all about trade, whether it's the president's relationship with China. 505 00:27:42,080 --> 00:27:46,400 Speaker 1: He concluded talks with China Vice Premier Lejua uh this 506 00:27:46,400 --> 00:27:48,200 Speaker 1: this week, and then he headed down to the border 507 00:27:48,240 --> 00:27:54,000 Speaker 1: and threatened to raise tarriffs by on Mexican autos while 508 00:27:54,040 --> 00:27:56,480 Speaker 1: also still dangling that he could shut down parts of 509 00:27:56,480 --> 00:27:58,280 Speaker 1: the border as well. That we kind of backed off 510 00:27:58,320 --> 00:28:00,919 Speaker 1: on that. And then of course what's going on in 511 00:28:00,960 --> 00:28:05,320 Speaker 1: Europe and the President, you know, suggesting that tariffs might 512 00:28:05,400 --> 00:28:08,399 Speaker 1: be easing back. Maybe it's still a big maybe on China, 513 00:28:08,520 --> 00:28:12,359 Speaker 1: but raising tariffs on the Europeans. All of this plays 514 00:28:12,400 --> 00:28:17,600 Speaker 1: out internationally, and we've covered the international landsflape, international landscape, 515 00:28:18,040 --> 00:28:22,720 Speaker 1: but it also has crucial impacts on the presidential race 516 00:28:22,760 --> 00:28:28,080 Speaker 1: because in states like Pennsylvania, Michigan, Ohio, Ohio, Ohio, as 517 00:28:28,080 --> 00:28:33,320 Speaker 1: well as Wisconsin and other states, this is where the 518 00:28:33,440 --> 00:28:36,639 Speaker 1: trade impacts are truly being felt. That's why we're so 519 00:28:36,680 --> 00:28:38,400 Speaker 1: glad we have an all star panel with us for 520 00:28:38,440 --> 00:28:41,160 Speaker 1: the hour. Al Weaver is a national political reporter at 521 00:28:41,160 --> 00:28:44,760 Speaker 1: the Hill. David Livingston is Deputy Director for Climate and 522 00:28:44,800 --> 00:28:48,800 Speaker 1: Advanced Energy at the Atlantic Council. He previously served in 523 00:28:48,840 --> 00:28:53,680 Speaker 1: the Obama administration at the US Trade Representatives Office. So 524 00:28:54,720 --> 00:28:59,200 Speaker 1: this now put on our political cap for us because 525 00:29:00,280 --> 00:29:04,280 Speaker 1: the centrist candidate right now arguably in the Democratic field, 526 00:29:04,320 --> 00:29:08,480 Speaker 1: as former Vice President Joe Biden, he had a pretty 527 00:29:08,600 --> 00:29:12,640 Speaker 1: rough week, to put it mildly, as he was attacked 528 00:29:12,680 --> 00:29:16,280 Speaker 1: by even like Speaker of Alice Nancy Pelosi for his 529 00:29:16,360 --> 00:29:19,000 Speaker 1: relationship and his apology or like and it wasn't really 530 00:29:19,000 --> 00:29:25,680 Speaker 1: an apology for uh. He for for for relationships with 531 00:29:25,680 --> 00:29:28,280 Speaker 1: women in the sense of how he, you know, made 532 00:29:28,320 --> 00:29:32,360 Speaker 1: them feel, and interactions and exchanges with women dating back 533 00:29:32,360 --> 00:29:35,280 Speaker 1: to two thousand and nine. There's two incidentss that have 534 00:29:35,400 --> 00:29:40,000 Speaker 1: been discussed. So Joe Biden speaking in Washington, d c. 535 00:29:40,280 --> 00:29:46,080 Speaker 1: At the International Brotherhood of Electrical Workers earlier today, he 536 00:29:46,240 --> 00:29:49,600 Speaker 1: faces not just I don't really think he was playing 537 00:29:49,600 --> 00:29:52,240 Speaker 1: for the media. He was playing not even for the room. 538 00:29:52,280 --> 00:29:55,400 Speaker 1: He was playing for that crowd, for union workers. And 539 00:29:55,560 --> 00:30:00,600 Speaker 1: he did not apologize. He made the choice arace to 540 00:30:00,600 --> 00:30:06,400 Speaker 1: to make a joke of the UH scan. I don't 541 00:30:06,400 --> 00:30:08,160 Speaker 1: want to, I mean of of the reports that have 542 00:30:08,200 --> 00:30:09,840 Speaker 1: come out within the past week. I'm want to play 543 00:30:09,960 --> 00:30:13,640 Speaker 1: the joke that former Vice president Biden had to say. 544 00:30:13,720 --> 00:30:16,360 Speaker 1: Here's the former vice president. I just want you to 545 00:30:16,440 --> 00:30:24,600 Speaker 1: know I had permission to hug Lanny. You hear you 546 00:30:24,720 --> 00:30:26,680 Speaker 1: hear the laughter that I want to play this again. 547 00:30:26,760 --> 00:30:28,800 Speaker 1: Here's the former vice president. Take listen to the laughter 548 00:30:28,920 --> 00:30:31,720 Speaker 1: at the end of this serious I just want you 549 00:30:31,800 --> 00:30:40,840 Speaker 1: to know I had permission to hug Lanny all right out. 550 00:30:41,400 --> 00:30:44,880 Speaker 1: So I had some Democratic staffers texting me and saying 551 00:30:45,360 --> 00:30:49,160 Speaker 1: this was genius. He has nothing to be ashamed of. 552 00:30:49,400 --> 00:30:53,040 Speaker 1: He should keep going this route. He did nothing wrong. 553 00:30:53,440 --> 00:30:56,720 Speaker 1: He there is no literally, there's no legal filing. I 554 00:30:56,720 --> 00:31:00,840 Speaker 1: mean there's no court case. There's no misconduct being alleged. Uh. 555 00:31:00,920 --> 00:31:04,160 Speaker 1: And then there were others who were critical of it 556 00:31:04,200 --> 00:31:06,080 Speaker 1: and saying, why is he making a joke of this? 557 00:31:06,080 --> 00:31:09,160 Speaker 1: This is absolutely the wrong approach. You know, There's two 558 00:31:09,160 --> 00:31:11,280 Speaker 1: things that's really kind of striking to me here. One 559 00:31:11,400 --> 00:31:14,920 Speaker 1: is that I'm pretty sure the President Trump, if he 560 00:31:14,960 --> 00:31:17,480 Speaker 1: wants anything to happen, the one thing he wants happened 561 00:31:17,480 --> 00:31:19,160 Speaker 1: to more more than anything with this whole Biden thing, 562 00:31:19,200 --> 00:31:21,440 Speaker 1: is for him to apologize. And that's why that's part 563 00:31:21,440 --> 00:31:23,200 Speaker 1: of the reason why I don't think he wills because 564 00:31:23,280 --> 00:31:27,040 Speaker 1: it just plays into the president's hands. Number two, you 565 00:31:27,040 --> 00:31:30,080 Speaker 1: know the president, well, the president is always saying, you 566 00:31:30,080 --> 00:31:32,240 Speaker 1: know what, why would you apology? He hasn't apologized for 567 00:31:32,280 --> 00:31:34,880 Speaker 1: anything over the last fighting over the same voters right 568 00:31:34,920 --> 00:31:42,640 Speaker 1: now in Michigan, Ohio, Wisconsin and Pennsylvania. Yeah, I think 569 00:31:42,680 --> 00:31:44,760 Speaker 1: that And the other thing. You know, it's always funny. 570 00:31:44,760 --> 00:31:46,600 Speaker 1: We always go back last decade or so, and you 571 00:31:46,600 --> 00:31:49,760 Speaker 1: always talk about Republicans and how you know with that, 572 00:31:49,840 --> 00:31:51,280 Speaker 1: what happened with the Tea Party, what happened with the 573 00:31:51,320 --> 00:31:53,840 Speaker 1: Freedom Caucus, and what happens with right wing challengers in 574 00:31:53,960 --> 00:31:56,320 Speaker 1: various races. And we always talk about Republicans eating their 575 00:31:56,360 --> 00:31:58,520 Speaker 1: own And right now you're looking at Democrats kind of 576 00:31:58,560 --> 00:32:00,440 Speaker 1: doing this, and and of all people, you're doing with 577 00:32:00,520 --> 00:32:02,640 Speaker 1: Joe Biden, I mean, led by the you know a 578 00:32:02,640 --> 00:32:05,040 Speaker 1: lot of people are alleging that it's the Bernie folks 579 00:32:05,040 --> 00:32:06,640 Speaker 1: that are spreading this. You know, a couple of these 580 00:32:06,680 --> 00:32:10,560 Speaker 1: folks were Bernie support Bernie supporters. It's really kind of striking. 581 00:32:10,600 --> 00:32:12,480 Speaker 1: And you see the Democrats kind of going on doing this. 582 00:32:12,560 --> 00:32:14,600 Speaker 1: Of all people, job Lary Clinton did it to to 583 00:32:14,720 --> 00:32:17,240 Speaker 1: Bernie Sanders respect for never the whole Bernie Burrows thing 584 00:32:17,320 --> 00:32:21,320 Speaker 1: and the back of the So yeah, Democrats. I I 585 00:32:21,400 --> 00:32:24,880 Speaker 1: hear your point. Go ahead, Well I just want to say, Kevin, 586 00:32:24,920 --> 00:32:26,680 Speaker 1: I mean, so, why is there so much you know, 587 00:32:26,840 --> 00:32:29,160 Speaker 1: interest in Biden? I mean, number one, of course he 588 00:32:29,280 --> 00:32:31,280 Speaker 1: was the vice president, but number two, he's viewed as 589 00:32:31,320 --> 00:32:34,240 Speaker 1: one of the Democrats only candidates who has this appeal 590 00:32:34,320 --> 00:32:36,920 Speaker 1: to those seventy thousand voters you talked about, right, those 591 00:32:36,920 --> 00:32:40,000 Speaker 1: blue collar workers that that have been tossed between kind 592 00:32:40,040 --> 00:32:42,640 Speaker 1: of the Republican and the Democratic Party depending on the 593 00:32:42,640 --> 00:32:46,400 Speaker 1: election cycle you noted earlier, Tim Ryan represented Tim Ryan 594 00:32:46,440 --> 00:32:48,760 Speaker 1: getting into this race means now that you've got other options, 595 00:32:48,800 --> 00:32:51,880 Speaker 1: not just uh not just you know, former Vice President Biden. 596 00:32:52,160 --> 00:32:54,800 Speaker 1: And I think Ryan has a really interesting message. You know, 597 00:32:54,880 --> 00:32:58,800 Speaker 1: people people are looking for for solutions and real examples 598 00:32:58,800 --> 00:33:01,400 Speaker 1: of how this could work. He points to um, you know, 599 00:33:01,480 --> 00:33:06,240 Speaker 1: for example, the Lord's Town plant in in Ohio that's 600 00:33:06,280 --> 00:33:09,000 Speaker 1: in and he's got a real solution, he says, d 601 00:33:09,120 --> 00:33:11,760 Speaker 1: Oe Department of Energy has a program here that will 602 00:33:11,800 --> 00:33:14,320 Speaker 1: have that will help to revamp that plan and re 603 00:33:14,480 --> 00:33:17,120 Speaker 1: orient towards the sorts of advanced vehicles that people are 604 00:33:17,120 --> 00:33:19,600 Speaker 1: going to be purchasing, uh, you know, for decades and 605 00:33:19,680 --> 00:33:21,840 Speaker 1: years to come, the sorts of vehicles that can allow 606 00:33:21,880 --> 00:33:23,880 Speaker 1: the United States to compete with the China on the 607 00:33:23,920 --> 00:33:26,400 Speaker 1: global stage and the decades to come. And I think 608 00:33:26,440 --> 00:33:29,240 Speaker 1: that that's the kind of message that um that will 609 00:33:29,280 --> 00:33:32,640 Speaker 1: really help, you know, democrats like Tim Ryan stick out 610 00:33:32,640 --> 00:33:34,360 Speaker 1: in this race and we're gonna leave it there. We 611 00:33:34,400 --> 00:33:36,400 Speaker 1: should also know that he wrote a book, Tim Ryan, 612 00:33:36,480 --> 00:33:39,400 Speaker 1: Hell in America, How a simple practice can help us 613 00:33:39,440 --> 00:33:42,640 Speaker 1: recapture the American Spirit on yoga. That's a shout out 614 00:33:42,640 --> 00:33:45,960 Speaker 1: to you. Christine Rata, our executive producer, does it for me. 615 00:33:46,080 --> 00:33:49,640 Speaker 1: Have a great, great weekend, everybody. I'm Kevin Sirelli. You're 616 00:33:49,680 --> 00:33:50,600 Speaker 1: listening to Bloomberg.