Speaker 1: This is Bloomberg surveillance. If we got just a little
Speaker 1: better than the worst productivity performance of any post war recovery,
Speaker 1: that could make a big difference. I'm not convinced that
Speaker 1: we're measuring GDP right. It doesn't feel like a two
Speaker 1: percent world to me. It feels like a three percent world.
Speaker 1: Fed his hemd us In, the dictates of the Phillips
Speaker 1: curve model are simply that this business cycle will not
Speaker 1: be allowed to accelerate. Bloomberg Surveillance your link to the
Speaker 1: world of economics, finance, and investment on Bloomberg Radio. Good
Speaker 1: morning everyone, Michael McKee and Tim Keen worldwide Bloomberg Surveillance.
Speaker 1: We welcome all of you Bloomberg Radio Plus and of
Speaker 1: course out on Bloomberg dot Com on our radio stations
Speaker 1: Bloomberg two Boston, Bloomberg eleven three. Oh here in eighty degree, Mike,
Speaker 1: do we get the eighty degrees today? Eighty degree? I
Speaker 1: could say they're they're calling for about seventy five, and
Speaker 1: usually they underplay that a little. So we'll see lunch
Speaker 1: outside class outside today, Class out. I like that class
Speaker 1: outside today. Remember that you've got nothing done. That's what
Speaker 1: that was the whole point. But they class us. I
Speaker 1: know they did never did that. At Yale University UM
Speaker 1: and Bloomberg FM Washington, Good morning in Baltimore, and of
Speaker 1: course early morning to you and San Francisco. Serious and
Speaker 1: XM across this nation. Bloomberg surveillance this morning brought to
Speaker 1: my cone Resnick Accounting Tax Advisory. It can be hard
Speaker 1: to navigate through economic uncertainty. Your business needs industry insight
Speaker 1: and transformative advice to drive it forward. Find out why
Speaker 1: at cone Resnick dot com. He is from Xavier High School.
Speaker 1: This is a few years back. He's the vice chairman
Speaker 1: of the Bank of Cypress. Is that true? Wilbert Ross
Speaker 1: joins us right now, there's that any in former radio
Speaker 1: DJ as well? What does the vice chairman of the
Speaker 1: Bank of Cypress do? Well, it was like a lady
Speaker 1: d in waiting for the chairman. Yeah, were the board meetings?
Speaker 1: I mean we all have a stereo. Well, first of all,
Speaker 1: I would suggest of Americans can't find Cypress on a map.
Speaker 1: That's a different story. But after the crisis on a
Speaker 1: Saturday morning X number of years ago, explained to us
Speaker 1: how you go into Cyprus and what you do is
Speaker 1: a vice chairman. Well, first we went into Cyprus because
Speaker 1: we felt that the concern about the economy was being
Speaker 1: very much overdone. UH. Cypriot economy is based on tourism
Speaker 1: and based on being a corporate headquarters for companies wanting
Speaker 1: a low tax jurisdiction. We think those two have been
Speaker 1: during characteristics to them. And our general theory is that
Speaker 1: if you own a big bank in a small country,
Speaker 1: you really have bought a warrant on the affairs of
Speaker 1: that country. So it starts with deciding do we believe
Speaker 1: the Cypriot economy would recover, And indeed it has. It's
Speaker 1: had positive GDP growth and I think as it exists,
Speaker 1: the program that now will be after Ireland, the big
Speaker 1: poster boy for the economic turnaround in Europe. Let me
Speaker 1: um go to the intersection of politics and money here.
Speaker 1: We were talking earlier about the exit polls UH in
Speaker 1: Michigan and Mississippi showing enormous numbers of people who voted
Speaker 1: in the Republican primary, suggesting they think the economy is
Speaker 1: in terrible shape and they're very worried about it. From
Speaker 1: where you sit, how is the economy? Well, I think
Speaker 1: the people who were worried about it, have a right
Speaker 1: to be worried because the economy has not been very
Speaker 1: evenly distributed, and the people left behind have been really
Speaker 1: more or less the middle class and or middle class people.
Speaker 1: And if you look at the Trump phenomenon, and you
Speaker 1: look at the Sanders phenomenon, that's a lot of where
Speaker 1: they're drawing their support from. That segment of the economy
Speaker 1: really has not recovered, if anything, has lost some ground,
Speaker 1: and they're angry about it, What about in the segment
Speaker 1: of the economy you occupy And I don't just mean
Speaker 1: you personally. Obviously your businesses do well, but the people
Speaker 1: you talk to, the businesses you deal with, are they investing,
Speaker 1: are they seeing profits? Are they optimistic about the future. Well,
Speaker 1: I think everybody is concerned about geopolitics, not just in
Speaker 1: the US. I can't remember a time where there's been
Speaker 1: more extremism, more polarization, and just about every big country around,
Speaker 1: every big democratic society around the world. You look at Germany,
Speaker 1: you look at Spain having trouble forming a government, you
Speaker 1: look at it, the you look, you look, you look,
Speaker 1: you look at the US. With these phenomena we have
Speaker 1: in the primaries, it's a very strange time globally, How
Speaker 1: does your Republican party establishment regroup and move forward? Is
Speaker 1: this a one off or is this a new calculus
Speaker 1: for Lincoln's party? Well? I think the establishment is a
Speaker 1: self appointed designation and I don't know there's any officialdom
Speaker 1: that says this is the establishment. This is not um.
Speaker 1: And I do think, as I said earlier, that it
Speaker 1: was very unfortunate that Mitt Romney went so far as
Speaker 1: to say he would not vote for Trump if Trump
Speaker 1: were the nominee. I think if you believe in the
Speaker 1: two party system, as I do, the leadership of the
Speaker 1: party who's elected the guy who gets to be the
Speaker 1: nominee should expect that the party will coalesce around him,
Speaker 1: and it shouldn't be well, well, only coalesce if it's
Speaker 1: somebody we'd liked anyway, that's not a party that that's individuality.
Speaker 1: But what was wrong with Romney's analysis of Trump? Was
Speaker 1: there anything in there that was inaccurate? Oh, he's entitled
Speaker 1: to his views, and I think for him to say
Speaker 1: he would personally prefer another candidate, fine, everybody should be
Speaker 1: able to do that. I think where he went too
Speaker 1: far was saying who would not vote for the party's nominee.
Speaker 1: You don't see how you can be a party loyalist,
Speaker 1: especially a party establishment figure, and say, but I will
Speaker 1: go against the will of the party. But you see
Speaker 1: Donald Trump running a campaign based on racism, based on
Speaker 1: appealing to the worst in society, with an economic plan
Speaker 1: that no economist thinks makes any sense to the extent
Speaker 1: he even has a plan, Uh, why would you vote
Speaker 1: for him? Is there is there nothing that could be
Speaker 1: beyond the pale in a Kennedy? No, it isn't. That
Speaker 1: isn't the question beyond the pale. I think if you
Speaker 1: wish to be the leader of a party, party loyalty
Speaker 1: has to factor into it. Parties are not meant to
Speaker 1: be a thing that comes and goes. I haven't liked
Speaker 1: all of the nominees that the Republican Party has put
Speaker 1: forward in in my senatorial races and congressional races, even
Speaker 1: in presidential But I think either you believe in the
Speaker 1: two party system or you don't. And if you believe
Speaker 1: in If you don't believe in the two party system,
Speaker 1: that's fine, then you ought to be for fragmentation, not
Speaker 1: say I'm a leader of a party, but I'm only
Speaker 1: going to be a leader. If everybody else agrees with me,
Speaker 1: then the numbers I saw yesterday independent nationally listed as Republicans,
Speaker 1: we've become independent America. How do the parties attract and
Speaker 1: retain those voters? Well, I think it is fact that
Speaker 1: most people who now call themselves independents used to call
Speaker 1: themselves Republicans and got fed up with the goings on
Speaker 1: in the party. So I think to some degree what's
Speaker 1: happening now is some of those people are climbing back.
Speaker 1: I think a lot of the Tea Party people came
Speaker 1: out of the Republican Party mainstream. So I think you
Speaker 1: have now the issue does the Republican Party need a redefinition?
Speaker 1: And this is a critical distinction the Tea Party crew.
Speaker 1: Maybe they are comfortable with Senator Cruz as a general statement,
Speaker 1: can they maybe can they move over? And can those
Speaker 1: conservatives be comfortable with Mr Trump, who's got some very
Speaker 1: different policies. Well that's that's obviously a big, very big question, um,
Speaker 1: and it'll be answered pretty soon. UM. I think it
Speaker 1: was very interesting to see the variety of jurisdictions in
Speaker 1: which Trump has won. Uh, the evangelicals in South Carolina
Speaker 1: going all the way to auto workers in Michigan. That
Speaker 1: covers a pretty wide range of American population other than
Speaker 1: the fact that he says he's a Republican. Now, why
Speaker 1: would you vote for Donald Trump? What is it that
Speaker 1: he could do for America? Well, I think he is
Speaker 1: a leader, um and I think he's had very good
Speaker 1: people hired in the past. People forget that when his
Speaker 1: casinos went through the bankruptcies. Who was his chief financial officer,
Speaker 1: Steve Bollenbach. What did Steve go on to do become
Speaker 1: CEO of Hilton Hotels, did a very good job with
Speaker 1: that and sold it for a great, huge fortune. So
Speaker 1: he's had a history of having good people, and to me,
Speaker 1: any kind of leadership is a function of having good
Speaker 1: people in support of the number one person. But my
Speaker 1: point is not so much to endorse Trump as to say,
Speaker 1: either you have party that are coherent and stay together.
Speaker 1: If the mass of the party nominates the candidates, they
Speaker 1: should stick with it. Will Ross, Thank you so much,
Speaker 1: w Ross and company with the comments on his Republican Party.
Speaker 1: Mr Ross significant supporter of Governor Romney last time around.
Speaker 1: Futures up ten, DALBT Futures up eighty two, Bright Fruit
Speaker 1: forty dollars forty cents of barrel up sixty three cents.
Speaker 1: Time now to check in with Michael R and get
Speaker 1: the latest world end news national headlines like Mike Tom,
Speaker 1: thank you very much. Republican presidential candidate Donald Trump says
Speaker 1: there is a need for the party to unite around him.
Speaker 1: Trump maintains though it would be premature to start toning
Speaker 1: down to his aggressive campaign style, especially in the face
Speaker 1: of what he calls vicious attacks from his rivals. Trump
Speaker 1: won contests in Michigan, Mississippi, and Hawaii. Ted Cruz won
Speaker 1: Idaho's primary yesterday. Bertie Sanders secured a narrow upset in
Speaker 1: Michigan's primary. However, Hillary Clinton took Mississippi and now has
Speaker 1: more than half of the delegates needed to secure the
Speaker 1: Democratic presidential nomination. The two will meet for a debate
Speaker 1: again tonight. French unions have slowed rail traffic around the
Speaker 1: country with strikes. It is in protest of proposals by
Speaker 1: President Francois Olan's government essentially would in the nation's thirty
Speaker 1: five hour work week. Global news twenty four hours a day,
Speaker 1: powered by our twenty four hundred journalists and more than
Speaker 1: a hundred fifty news bureaus from around the world. Michael
Speaker 1: bar to Michael, thank you so much. Michael McKee, Tom
Speaker 1: King on economics, finance, investment, an international relation. This is
Speaker 1: Bloomberg surveillance. Bloomberg surveillance is brought to you by a
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