1
00:00:02,279 --> 00:00:05,680
Speaker 1: Global business news twenty four hours a day. If Bloomberg

2
00:00:05,720 --> 00:00:08,800
Speaker 1: dot com the radio plus Mobile act and on your radio,

3
00:00:09,080 --> 00:00:12,960
Speaker 1: this is a Bloomberg Business flash and I'm Karen Moscow.

4
00:00:13,039 --> 00:00:15,680
Speaker 1: Socks rising around the world as base metals clawed back

5
00:00:15,760 --> 00:00:19,440
Speaker 1: some of Monday's losses, the enz declining in Brazil's real advancing.

6
00:00:19,440 --> 00:00:22,360
Speaker 1: We checked the markets every fifteen minutes throughout the trading day.

7
00:00:22,360 --> 00:00:25,640
Speaker 1: On Bloomberg SNP even A future is up about eight points,

8
00:00:25,680 --> 00:00:28,680
Speaker 1: Dow EVENI futures up sixty eight NASDAC EVENI futures up

9
00:00:28,680 --> 00:00:32,000
Speaker 1: eleven the decks in Germany's up half percent ten year

10
00:00:32,000 --> 00:00:35,280
Speaker 1: treasury little change yield one point seven five percent yield

11
00:00:35,320 --> 00:00:38,320
Speaker 1: on the two year point seven one percent. Nimex screw

12
00:00:38,360 --> 00:00:40,400
Speaker 1: doing all up eight tenths per cent or thirty six

13
00:00:40,479 --> 00:00:43,280
Speaker 1: cents to forty three eighty of arrol comex school on

14
00:00:43,360 --> 00:00:45,200
Speaker 1: a tenth of a per cent or a dollar twenty

15
00:00:45,320 --> 00:00:48,160
Speaker 1: to twelve or sixty five forty an ounce the euro

16
00:00:48,280 --> 00:00:50,680
Speaker 1: at other thirteen seventy six the n one oh nine

17
00:00:50,720 --> 00:00:54,120
Speaker 1: point oh nine. Allergan posting first quarter earnings at beat

18
00:00:54,120 --> 00:00:57,120
Speaker 1: ANILOS estimates in the first financial report since it's one

19
00:00:57,320 --> 00:01:01,200
Speaker 1: dred sixty billion dollar proposed takeover by five Eizer collapsed

20
00:01:01,200 --> 00:01:03,680
Speaker 1: in early April. It also said it will buy back

21
00:01:03,680 --> 00:01:06,240
Speaker 1: as much as ten billion dollars in stock. Its shares

22
00:01:06,520 --> 00:01:09,560
Speaker 1: are at one eight percent this morning, gap down more

23
00:01:09,560 --> 00:01:12,640
Speaker 1: than ten percent after reporting the same store sales fell

24
00:01:12,880 --> 00:01:16,280
Speaker 1: in April, and Dean Foods, the largest US process are,

25
00:01:16,400 --> 00:01:20,000
Speaker 1: posted better than expected first quarter profit after cost decline

26
00:01:20,000 --> 00:01:23,240
Speaker 1: in the company's dairy Pure brand gain market share. And

27
00:01:23,280 --> 00:01:26,480
Speaker 1: that's a Bloomberg business flash, Tom and my Karen, thanks

28
00:01:26,480 --> 00:01:29,000
Speaker 1: so much. Up twelve, up three, now up eight are

29
00:01:29,040 --> 00:01:34,200
Speaker 1: the SMP futures. It is on Wall Street. The following

30
00:01:34,319 --> 00:01:38,280
Speaker 1: is from Bloomberg View. Opinions and commentary from Bloomberg columnists.

31
00:01:38,560 --> 00:01:42,160
Speaker 1: I'm justin Fox, a columnist from Bloomberg View. These days,

32
00:01:42,319 --> 00:01:45,200
Speaker 1: food and beverage makers are under pressure from critics who

33
00:01:45,280 --> 00:01:48,280
Speaker 1: say they're sugar and salt laden products are a public

34
00:01:48,320 --> 00:01:52,200
Speaker 1: health disaster. It's a potentially existential threat for these companies,

35
00:01:52,480 --> 00:01:55,840
Speaker 1: and it has been fascinating to watch them craft survival strategies.

36
00:01:56,000 --> 00:01:58,760
Speaker 1: It has also been fascinating to watch their executives handle

37
00:01:58,800 --> 00:02:01,600
Speaker 1: the question of it if any of their products they

38
00:02:01,600 --> 00:02:05,400
Speaker 1: actually eat. Warren Buffett, a big Coca Cola shareholder, is

39
00:02:05,480 --> 00:02:08,640
Speaker 1: known for consuming large quantities of the company's products. The

40
00:02:08,639 --> 00:02:11,560
Speaker 1: man drinks five cans of coke and cherry coca day

41
00:02:11,880 --> 00:02:14,920
Speaker 1: and brags about it. Younger corporate executives, though, tend to

42
00:02:14,919 --> 00:02:18,440
Speaker 1: be more focused on fitness and health than Nestley. Executive

43
00:02:18,520 --> 00:02:21,160
Speaker 1: quoted in the current issue of Bloomberg Business Week, said

44
00:02:21,160 --> 00:02:24,480
Speaker 1: he nibbles on Nestlie dark chocolate, but only on weekends.

45
00:02:24,560 --> 00:02:28,280
Speaker 1: PepsiCo's in Grenois once said that she drinks full strength Pepsi,

46
00:02:28,600 --> 00:02:31,400
Speaker 1: but that nobody else on the company's executive floor does.

47
00:02:31,639 --> 00:02:34,440
Speaker 1: The CEO of General Mills said he eats low sugar

48
00:02:34,680 --> 00:02:39,160
Speaker 1: whole grain cheerios to keep his cholesterol down. The CEO

49
00:02:39,160 --> 00:02:41,920
Speaker 1: of rival Kellogg, on the other hand, said he gobbles

50
00:02:41,960 --> 00:02:45,320
Speaker 1: honey smacks, which are fifty six percent sugar, every night.

51
00:02:45,480 --> 00:02:48,200
Speaker 1: I don't know if that should reassure Kellogg shareholders or

52
00:02:48,240 --> 00:02:51,520
Speaker 1: scare them. I'm justin Fox, a columnist for Bloomberg View.

53
00:02:51,880 --> 00:02:55,040
Speaker 1: For more Bloomberg opinion and commentary, please go to Bloomberg

54
00:02:55,120 --> 00:02:58,160
Speaker 1: View dot com or view go on the Bloomberg terminal.

55
00:02:58,440 --> 00:03:02,320
Speaker 1: This has been Bloomberg You Bloomberg commentaries can be heard

56
00:03:02,320 --> 00:03:06,680
Speaker 1: hourly weekdays on Bloomberg Radio. Greg Hiah has a really

57
00:03:06,680 --> 00:03:09,920
Speaker 1: tough job Tom. He is, of course, the political analyst

58
00:03:10,000 --> 00:03:14,359
Speaker 1: chief global strategist at Horizon Investments, and in that job

59
00:03:14,440 --> 00:03:18,120
Speaker 1: he has to figure out what the presidential candidates proposals

60
00:03:18,240 --> 00:03:22,720
Speaker 1: mean for the economy and for investors. And Greg, when

61
00:03:22,720 --> 00:03:27,520
Speaker 1: you look at some of the proposals out there and

62
00:03:27,560 --> 00:03:29,640
Speaker 1: then some of the things that the candidates are saying,

63
00:03:29,680 --> 00:03:32,000
Speaker 1: it must be really hard to try to figure out

64
00:03:32,320 --> 00:03:35,200
Speaker 1: when especially when you have candidates like Donald Trump who

65
00:03:35,280 --> 00:03:38,480
Speaker 1: changes his mind about what he's suggesting every five minutes.

66
00:03:39,120 --> 00:03:41,640
Speaker 1: Sometimes I think I should take Gramma means just for

67
00:03:41,680 --> 00:03:45,160
Speaker 1: the motion sickness that all of this gives me. Good

68
00:03:45,160 --> 00:03:48,320
Speaker 1: morning guys. You know, to me, the most astonishing story

69
00:03:48,360 --> 00:03:51,240
Speaker 1: of all right now is that in so many respects,

70
00:03:51,320 --> 00:03:56,320
Speaker 1: Trump is looking like a cansium uh stimulating, raising taxes

71
00:03:56,320 --> 00:04:00,720
Speaker 1: on the rich, spending more money, talking about national how insurance.

72
00:04:01,280 --> 00:04:03,920
Speaker 1: It's extraordinary to try to figure just where he is

73
00:04:03,960 --> 00:04:07,160
Speaker 1: on the spectrum. Well, he came out last week and

74
00:04:07,240 --> 00:04:11,520
Speaker 1: suggested the US could renegotiate its debts, which gave a

75
00:04:11,560 --> 00:04:13,480
Speaker 1: heart attack to everybody on Wall Street and then he

76
00:04:13,520 --> 00:04:16,160
Speaker 1: came out this week and said, oh, I never said that,

77
00:04:16,480 --> 00:04:18,120
Speaker 1: And then when it was pointed out that he did,

78
00:04:18,200 --> 00:04:21,280
Speaker 1: he said, Okay, well I didn't mean it. Yeah, I

79
00:04:21,360 --> 00:04:23,520
Speaker 1: mean I did a piece a couple of days ago

80
00:04:23,640 --> 00:04:26,920
Speaker 1: about how everywhere you look that that's a big theme now,

81
00:04:27,000 --> 00:04:31,760
Speaker 1: restructuring debt. All the standard supporters want, the kids want

82
00:04:31,920 --> 00:04:35,840
Speaker 1: their college debts forgiven or restructured. You've got Puerto Rico,

83
00:04:35,960 --> 00:04:39,599
Speaker 1: You've got the tasters have funds, You've got Chicago, you've

84
00:04:39,600 --> 00:04:42,960
Speaker 1: got Illinois. Everywhere you look, everybody wants to get their

85
00:04:43,000 --> 00:04:49,160
Speaker 1: debt restructured. I want to get my debt restructed too. Yeah,

86
00:04:49,200 --> 00:04:52,040
Speaker 1: I'll go that, Greg. Your last number of notes have

87
00:04:52,200 --> 00:04:56,560
Speaker 1: been just on fire, the sweat of it in the

88
00:04:56,800 --> 00:04:59,760
Speaker 1: not anger. I want to make clear Mr Valier tries

89
00:04:59,839 --> 00:05:03,039
Speaker 1: not to give an angle, but just the shock in

90
00:05:03,200 --> 00:05:07,040
Speaker 1: awe of your analysis of the Grand Old Party. Where

91
00:05:07,040 --> 00:05:10,880
Speaker 1: will the party be in one year? What's your best guess? Well,

92
00:05:10,880 --> 00:05:13,480
Speaker 1: it's a tough one to handicap, but I would guess

93
00:05:13,720 --> 00:05:17,000
Speaker 1: first of all to that they'll try to put a

94
00:05:17,000 --> 00:05:20,960
Speaker 1: good faith on the meeting on Thursday. There'll be peace maybe,

95
00:05:20,960 --> 00:05:24,920
Speaker 1: And I love an understanding but there'll be some understanding.

96
00:05:24,960 --> 00:05:27,600
Speaker 1: I think that they have to band together because they

97
00:05:27,600 --> 00:05:30,200
Speaker 1: want to save the House and Senate from a tobacco

98
00:05:30,360 --> 00:05:33,080
Speaker 1: from a huge losses. So I think they'll try to

99
00:05:33,680 --> 00:05:36,479
Speaker 1: put on a good show in Cleveland. I think they'll

100
00:05:36,520 --> 00:05:40,760
Speaker 1: try to show that they're unified. But it's awfully hard

101
00:05:40,800 --> 00:05:44,200
Speaker 1: to see Trump winning this election. Well go ahead, Well,

102
00:05:44,320 --> 00:05:46,600
Speaker 1: could there be more than one Republican Party by the

103
00:05:46,720 --> 00:05:49,120
Speaker 1: end of this year? I don't see it. I think

104
00:05:49,120 --> 00:05:51,400
Speaker 1: that story is overrated. I don't think there's going to

105
00:05:51,440 --> 00:05:53,400
Speaker 1: be a third party because I don't see I don't

106
00:05:53,400 --> 00:05:56,120
Speaker 1: see a person who could have a third party. There's

107
00:05:56,120 --> 00:06:00,880
Speaker 1: an obscure senator from Nebraska and some other names floating around. No,

108
00:06:01,080 --> 00:06:03,800
Speaker 1: I think there's they're stuck with him. And by the way,

109
00:06:03,839 --> 00:06:06,080
Speaker 1: I should point out there are new polls out this

110
00:06:06,120 --> 00:06:11,040
Speaker 1: morning showing that Trump is not that far behind Hillary nationwide.

111
00:06:11,120 --> 00:06:15,400
Speaker 1: I saw the Cleveland playing dealer. Yeah yeah, so in

112
00:06:15,520 --> 00:06:19,480
Speaker 1: some key states like Pennsylvania, if you believe cornepiac Um,

113
00:06:19,800 --> 00:06:22,599
Speaker 1: it's close. Okay, Okay, rust Belt. Let's cut to the

114
00:06:22,680 --> 00:06:25,000
Speaker 1: chase that there have been eight articles in the last

115
00:06:25,320 --> 00:06:27,720
Speaker 1: four eight hours on rust belt. Is the rust Belt

116
00:06:27,720 --> 00:06:32,279
Speaker 1: analysis any different than four, eight or twelve years ago. Well,

117
00:06:32,400 --> 00:06:36,320
Speaker 1: probably for this reason, the deep, deep antipathy toward free trade.

118
00:06:36,920 --> 00:06:39,880
Speaker 1: Hillary lost Michigan. No one saw that one coming. And

119
00:06:39,960 --> 00:06:42,680
Speaker 1: I think she lost Michigan because of her support for

120
00:06:42,760 --> 00:06:46,240
Speaker 1: free trade. So that makes the equation a little trickier.

121
00:06:47,160 --> 00:06:49,400
Speaker 1: That's interesting, Mike. I mean the secretary hasn't just come

122
00:06:49,400 --> 00:06:52,000
Speaker 1: out and say it can be delayed. I mean, I

123
00:06:52,000 --> 00:06:54,680
Speaker 1: guess that's what you do. Yeah, Well, it's gonna be

124
00:06:54,760 --> 00:06:56,800
Speaker 1: interesting to see how this all breaks down once we

125
00:06:56,880 --> 00:06:59,919
Speaker 1: get past the noise of the campaign and the Democrat

126
00:07:00,040 --> 00:07:05,600
Speaker 1: comin actual nominee. But Greg, the uh the polls at

127
00:07:05,600 --> 00:07:11,560
Speaker 1: this point don't capture necessarily the full panoply of emotions

128
00:07:11,600 --> 00:07:14,960
Speaker 1: about this race. Well, I think that's right, and I

129
00:07:14,960 --> 00:07:17,320
Speaker 1: think there's a lot more to come. A key issue

130
00:07:17,400 --> 00:07:20,680
Speaker 1: here is will Trump toned down the bomb bast I'm

131
00:07:20,720 --> 00:07:23,920
Speaker 1: sure he's going to get uh an earful in Washington

132
00:07:23,960 --> 00:07:26,600
Speaker 1: on Thursday if he can, If he can resist the

133
00:07:26,640 --> 00:07:29,400
Speaker 1: attacks on women, which I think have heard him badly,

134
00:07:29,760 --> 00:07:32,840
Speaker 1: maybe this race does tighten up. But right now he's

135
00:07:32,840 --> 00:07:36,200
Speaker 1: still the under Help me, Greg, and you're so good

136
00:07:36,200 --> 00:07:39,840
Speaker 1: at this with your new Hampshire heritage. Mr Ryan of Wisconsin,

137
00:07:39,920 --> 00:07:43,240
Speaker 1: the first congressional district. I believe he happens to be

138
00:07:43,320 --> 00:07:48,440
Speaker 1: Speaker of the House. He has an August primary, which

139
00:07:48,600 --> 00:07:53,120
Speaker 1: I find remarkable in itself is basically, are we basically

140
00:07:53,160 --> 00:07:58,840
Speaker 1: getting a Speaker of the House strategy completely overwhelmed by

141
00:07:58,920 --> 00:08:04,480
Speaker 1: his primary realities. I don't think Trump would agree to

142
00:08:04,520 --> 00:08:06,440
Speaker 1: a strategy of trying to take him out. You know,

143
00:08:06,480 --> 00:08:10,800
Speaker 1: Sarah Palin has suggested it. I think that Ryan certainly

144
00:08:10,840 --> 00:08:13,960
Speaker 1: is mindful of what happened to Eric Canter two years ago,

145
00:08:14,000 --> 00:08:16,400
Speaker 1: and I don't think Ryan's going to get caught by surprise.

146
00:08:16,760 --> 00:08:21,120
Speaker 1: Here's that question. Other than certain cable TV networks that

147
00:08:21,400 --> 00:08:23,920
Speaker 1: love to fill time with people who say incendiary things,

148
00:08:23,960 --> 00:08:26,760
Speaker 1: does anybody care what Sarah Palin says anymore? I mean,

149
00:08:26,800 --> 00:08:31,280
Speaker 1: does she have any following? Good question? I don't know.

150
00:08:31,440 --> 00:08:34,120
Speaker 1: That's that's a really good point. I think often when

151
00:08:34,160 --> 00:08:38,520
Speaker 1: she says things, they're a contraindicator. They don't carry much weight. So, Mike,

152
00:08:38,600 --> 00:08:42,040
Speaker 1: somebody's good observation, and this is critical. Mr Trump has

153
00:08:42,040 --> 00:08:46,440
Speaker 1: a legitimate following. The fact is he's accomplished a lot

154
00:08:46,600 --> 00:08:50,960
Speaker 1: given the tone and who he is, and everybody's outrage, etcetera, etcetera.

155
00:08:51,559 --> 00:08:55,920
Speaker 1: Does he grow that following or does he walk away

156
00:08:55,960 --> 00:08:58,880
Speaker 1: from it and find a new public? Where does that

157
00:08:58,960 --> 00:09:01,960
Speaker 1: tilt right now? Well, that's why Ryan is so important.

158
00:09:02,040 --> 00:09:04,080
Speaker 1: If he wants to grow that following, he's got to

159
00:09:04,080 --> 00:09:07,960
Speaker 1: get the establishment behind him. And the problem is I

160
00:09:08,000 --> 00:09:10,400
Speaker 1: think the key issue here is that people like Ryan

161
00:09:10,600 --> 00:09:13,160
Speaker 1: are opposed to Trump, not because of his bombast, but

162
00:09:13,200 --> 00:09:16,600
Speaker 1: because he's not a true conservative. I think he's got

163
00:09:16,600 --> 00:09:19,560
Speaker 1: to convince Ryan and the establishment that he's really one

164
00:09:19,600 --> 00:09:22,199
Speaker 1: of them. Is he? I mean, you know you re

165
00:09:22,320 --> 00:09:25,000
Speaker 1: tell better than any of us do. No, he's not.

166
00:09:25,320 --> 00:09:28,040
Speaker 1: He's not one on issue after issue. He's a dove

167
00:09:28,400 --> 00:09:32,200
Speaker 1: on foreign policy, he's a moderate on social policy. He

168
00:09:32,280 --> 00:09:35,640
Speaker 1: sounds like Bernie Sanders on on Wall Street and the banks,

169
00:09:36,120 --> 00:09:39,880
Speaker 1: and he's a big spender. He is not one of them. Well,

170
00:09:40,320 --> 00:09:43,960
Speaker 1: then then what happens Thursday? Because Trump says he will

171
00:09:44,080 --> 00:09:47,920
Speaker 1: change his views and Ryan can't change his views or

172
00:09:48,080 --> 00:09:52,199
Speaker 1: he has no credibility. Well, this is politics. People's views

173
00:09:52,240 --> 00:09:57,080
Speaker 1: are constantly evolving, So I would say it's just out

174
00:09:57,080 --> 00:10:01,079
Speaker 1: of necessity. They may come together and put a decent

175
00:10:01,080 --> 00:10:03,840
Speaker 1: face on it. Frankly, I'd be surprised if it broke

176
00:10:03,920 --> 00:10:07,000
Speaker 1: up in acrimony. I think they'll try to make it

177
00:10:07,040 --> 00:10:10,800
Speaker 1: sound as if they're coming closer together. How does Secretary

178
00:10:10,840 --> 00:10:15,160
Speaker 1: Clinton respond to this? Probably not not a lot. I mean,

179
00:10:15,160 --> 00:10:17,440
Speaker 1: she'd have to respond to some of the sexual stuff

180
00:10:17,440 --> 00:10:20,760
Speaker 1: that Trumps has thrown at her. But I think what's

181
00:10:20,800 --> 00:10:23,760
Speaker 1: the old adage of her enemy is self destructing and

182
00:10:23,920 --> 00:10:26,720
Speaker 1: don't do anything, just stand by and watch it happen.

183
00:10:27,040 --> 00:10:29,040
Speaker 1: So I don't think she's going to get too involved

184
00:10:29,080 --> 00:10:31,600
Speaker 1: in their internal fights. We will come back with Mr

185
00:10:31,760 --> 00:10:34,640
Speaker 1: Valier and consider, as he mentioned earlier, or maybe it

186
00:10:34,679 --> 00:10:38,040
Speaker 1: was Michael that mentioned it the Senate, we may even

187
00:10:38,080 --> 00:10:41,880
Speaker 1: have to consider the house is well, it's getting interesting.

188
00:10:41,920 --> 00:10:45,160
Speaker 1: I mean it is May. We are miles from Cleveland

189
00:10:45,760 --> 00:10:48,560
Speaker 1: in Philadelphia, for that matter, and there were even more

190
00:10:48,600 --> 00:10:52,280
Speaker 1: miles from November something like that or something like that.

191
00:10:53,400 --> 00:10:55,199
Speaker 1: Did I did I tell you Mike that I love

192
00:10:55,280 --> 00:11:00,920
Speaker 1: Justin Fox's Bloomberg view on junk food? Just so you know,

193
00:11:01,040 --> 00:11:05,760
Speaker 1: folks nibble. We nibble at fruit loops, just that we

194
00:11:05,880 --> 00:11:11,120
Speaker 1: nibble if foot loops. Here at Bloomberg's surveillance, four am,

195
00:11:11,480 --> 00:11:14,600
Speaker 1: twenty two hundred nibble if fruit loops