it provides forces to the rok -u.s. command. u.s. forces-korea has no command over rok forces and it is an administrative order. on the korean side, you have the rok case of staff which controls the entire rok military. when decisions are made in conjunction with the minister and secretary of defense, they will provide forces, korean forces and u.s. forces to the u.s. forces combined forces command in order to raise the readiness level to be prepared to meet a threat. u.s. forces-korea provides forces. of u.s.ander forces-korea wears a fourth cap as a member of the military committee and he has a complex job. it is very confusing to all of us. those of you in korea know that the press talks about u.s. forces-korea. that has no role over rok military forces. it is the combined forces command and general brooks answers to the military committee. the military committee is made up of representatives of the national command and military authorities from both countries, -bothchairman chairman's, the secretary of defense and general brooks.

of course, the u.s. has its own issues. the u.s. will have a midterm election coming soon so politicians need to do something in order to win the election. wiinistration there are personnel changes. you know that better than i do. it turns out that the hardliners are now taking more important positions whereas the pro-trade officials either left voluntarily or involuntarily. so now let me focus on the factors for the process of trade imbalance between china and the u.s. if you look at the overall balance of payment that is one person desk -- that is 1.4% of the gdp from last year. on a bilateral basis china's trade surplus of the overall trade deficit. this is greater -- the largest partners combined. mexico is number two malaysia is number nine but all of these account for 44% of the u.s. trade deficit. politicians will definite pick up china to reduce the surplus against me. i think there are a number of factors behind the bilateral trade imbalances. also the u.s. overall trade imbalance. one is the role of llar. this shows that b

in the u.s. they believe, apparently, that the wto is an incursion on u.s. sovereignty and decides on biased ways against the u.s. they believe the u.s. is in some sense a sucker to china and others. now, there is a real issue here, as my colleague chad and others have written about, about china's market economy status, whether or not it should be granted that in the wto in fair terms. there are other issues at work. but in those areas where wto dispute settlement is applicable, china has obeyed almost all of the decisions against it, and notable exception is with regard to union pay and payment systems. but for the most part, has obeyed wto rulings. it is the most efficient and the most fair and the most legitimate way to deal with issues that are within the wto remit. it is in both the u.s. and china's interest to have that go forward. fourth, and this is perhaps the most important point. and chad will pick up on this. some current real disputes such as over technology transfer and intellectual

of course, the u.s. has his own issues. for example, the u.s. is going to have a midterm election coming soon. so politicians need to do something in order to win the election. within the administration, their personnel changes. so you know that better than i do. it turns out that the hardliners are now taking more important positions when they pro-trade officials either the left voluntarily or involuntarily. now let me focus on the factors. and that trade imbalance. if you look at the overall imbalance of payment china's surplus stood at 1.4 percent of the gdp from last year. however, on a bilateral basis, china's trade surplus against the u.s. account for 46 percent of the overall u.s. trade deficit. this is greater than the largest trade partners involved. like mexico number two, malaysia number nine, but all of this combined account for 44 percent of u.s. trade deficit. so politicians will deftly pick up china. you need to reduce your deficit, your surplus. i think there are a number of factors behind the bilateral trade imbalances. and also

the u.s. and iran, and the u.s. and its european allies. trump threatened other countries seeking to trade with iran, tweeting -- "anyone doing business with iran will not be doing business with the united states." iranian president hassan rouhani has condemned the sanctions as psychological warfare, saying last weeeek he would not begin negotiations until the sanctions are withdrawn. the first step would be for u.s. president donald trump to show he generally was to engage in negotiations to solve the problem. what is the meaning of negotiations when you impose sanctions at the same time? it is like someone pulling a knife to stab a rifle -- rival or enemy and arm while at the same time claim we should be talking and negotiating. the answer in such a case would be to say to remove the knife from the arm and put the knife away. amy: just last month, president trump said he would meet with iranian president hassan rouhani whenever rouhani wants, without preconditions. this is trump speaking at

on chinese goods coming to the u.s.. these u.s. imports to china include automobiles, soybeans, chemicals, and aircraft. trading underway in jakarta. at theis having a look general flavor. it is quiet, but at least positive. mind, we haven almost half of asia's markets caps off with china, hong kong, and taiwan on holiday. have it joining the fray, adding .9%. the move across the region is seeing the yen lose ground, eyeing the 1.07 handle against the dollar. japanese shares are 1.5% with health care and real estate leading gains in tokyo. in singapore, we're seeing sti rise nearly 2% to lead the region higher. could be a hint of what to expect when hong kong returns friday. as we count down to the policy decision next week, we are seeing banks gain ground in singapore. in malaysia, stocks are rising over 1% ahead of trade data do this afternoon. the trade surplus is forecast to have narrowed in january. we have cost up 1.3 percent, focusing on the auto space -- a mixed bag there after the march auto data came out. we do have expor

u.s. trade and investments in latin america. the panel was asked about the impact about the president's tariffs on u.s. trade partners including canada. this house foreign affairs subcommittee is about -- one hour and 20 minutes. >> acorn being present, a subcommittee will now be in order. i would like to recognize myself or opening statements. the western hemisphere possesses tremendous opportunities for further economic growth and u.s. business engagement. the united states already has significant economic interest in latin america and the caribbean's. it is the largest single source of foreign investment for many countries. we are also the top trading partner for most countries in the region and have free trade agreements with 11 countries and bilateral investment treaties in international investment agreements with 19 countries in the region. hedging in seeing the region from some countries that don't always play by the rules, which undermines u.s. economic interests. china has signifi

u.s. a sense of risk off but smaller declines relative to what we saw before. map, at this point, for sectors trading higher -- four sectors trading higher. just seven sectors lower now. industrial on bottom with companies, investors selling on the possibility of a trade war with energy and materials up top. even though the declines are relatively small, investors are going to be more defensively natured sectors. tech had been the worst sector earlier but one reason it is no longer the case, now apple is trading higher, 20% of their revenue does come from china. investors think this company will not be impacted at anytime soon. u.s. centric companies trading higher, including cbs that cvs, walgreens, kroger, most of the revenue comes from the u.s., most of the products sold not affected by a possible trade war. the technicals are still weak for the s&p 500. 4399, whicht g #btv you can access on gtv, a one-year chart of the s&p 500. uptrend last year where the buyers had the index above the

u.s. delegation heads to beijing in january. good morning, everyone. good afternoon if you are watching from asia. welcome to "bloomberg surveillance." i'm francine lacqua and london. there has been quite a lot of movement over the last couple days. euro-dollar. i'm also looking at the stoxx 600. they are pretty much flat, but they beginning significantly earlier on. if you look at the main movers, technology is gaining. we did have the rally that is phasing out when it comes to europe and asia. we did have american wti at $45.51. coming up, we are joined by the chief economist at img. will focus aations lot on what is happening in the markets, what will happen om 2019. then the chief economist at strata guess research partners joins us at 11:00 a.m. london time. let's get straight to the bloomberg first word news. , francine. a u.s. government delegation is reportedly traveling to beijing for trade talks the week of january 7. bloomberg sources, the deputy u.s. trade representative will l

the u.s. -- trade war. you can see how we closed the day. the dow down, the s&p down as well. the nasdaq down the worst in just one week. still seeing a bit of resiliency but still definitely down in the red here. in the monthighest because of these trade frictions. that also having an effect on what is happening with commodities. for example look limber commodity index is following -- falling. crude in the u.s. session both falling by five to 6%. you can see at least for wti catching up a little bit but brent crude falling just a little further. let's have a look at some of the impact there. the japanese yen this is how it has been weakening against the u.s. dollar. not much change to the euro versus the u.s. dollar. is chinese offshore yuan down the most sense devaluation back in 2015. the turkish lira continues to take a pounding as the u.s. dollars climbing to a record against the lira. trading in new zealand is just getting underway. off to a rocky start. aussie dollars are finding a sea

the u.s. in july as larry kudlow says that president trump is not solely responsible for rising tensions. >> don't blame trump blame the nations that have broken away from those conditions very important point all right? trump's trying to fix this broken system. >>> and the shares fall as the drink maker's flat dividends disappoints investors although cognac sales help. >>> warren buffett and jamie dimon are teaming up in a tv first, our u.s. colleagues will speak to the sage of omaha and jamie at 12:00 p.m >>> good morning, again. welcome to "street signs." we were just talking about the delayed open of the ftse 100 you can see it's just opening up behind me about 40 points higher, about 0.5% roughly we have got a bunch of stocks going -- so that's taking off about ten points from the overall composite. but as you can see, the ftse 100 is starting off on a firmer footing. let's switch and talk about the action in europe this morning. of course we did have a stronger session in asia as well sa

the u.s. went ahead and did what it said it would introducing its levies on chinese imports that china says it's already responded with a trade measures on american goods the u.s. levies affect hundreds of chinese products cars planes and hard drives to the tune of thirty four billion dollars another sixteen billion worth in the next couple weeks that amounts to fifty billion in all that while china matches those tariffs u.s. president donald trump has said he may really turn up the heating creasing those tariffs from fifty billion to five hundred billion dollars worth of chinese imports that's roughly the total amount of u.s. imports from china last year. that's police in adolescence and rita now they got to talk about this. let's start with the effect of today's tariffs i guess any effect the marginal correct me if i'm wrong yes that is correct it is their estimates are that if this is caps continue along these lines then. we expect about zero point two percent of g.d.p. to be hit in china a

u.s. is treading on dangerous territory, reflecting the ambassador saying we are not afraid of it either. let's look at future setting up going into the start of trading in the next u.s. session. we had quite the decline when it comes to u.s. stocks. interesting how well telegraphed these actions were. u.s. stocks getting pulled back to the worst of that january-february selloff. we are seeing pain across asia. msci asia-pacific off by 1.6%. looking ahead to the chinese markets, front and center. given theseg .ariffs may actually what are we seeing? market staring down the black friday. the spat could hurt the global economic recovery. we could see a drop of over 900 points with all sectors being dragged into the meyer. -- mire. singapore down 2% ahead of inflation data. japanese stocks may have fallen to an october low. 10 five since november 2016. that put a dampener on earnings guidance from japan. , some korean suppliers are expected to be impacted by these tariffs. let's pull up the b

and yet, u.s. diplomats, u.s. leaders in their talking points about these conferences, they repeatedly state that the u.s.t is well aware of the devastating impact of nuclear weapons. the u.s. knows that nuclear weapons have these effects, but just because the u.s. knows does not mean the other nations now as well. because this is such an important issue in international security, it serves the npt community, and the international diplomatic community for more of its participants to be better versed in these issues. second, nuclear weapon states could explicitly acknowledge that other states deserve a place at the table when it comes to discussing nuclear weapons. we know the nonnuclear weapon states won't have the same responsibility for negotiating reductions or early verification efforts but they do deserve to be present when it comes to discussing the role of nuclear weapons in the world. we know that nonnuclear weapon states have been affected by nuclear weapons. japan, australia, has extent, algeria, spain,

the u.s. market is exceedingly important for german car makers b.m.w. mercedes and v.w. although the market as a whole is shrinking the german share of it is growing that means jobs in the three u.s. plants the companies employ a total of over forty nine thousand workers in production and the supply industries they make a total of one point three million cars a year the u.s. side in the talks will certainly be interested in the company's investment plans interestingly enough the largest b.m.w. plant in the world is in spartanburg south carolina where the company's already invested nine billion dollars and a further eight hundred million dollars are planned by twenty twenty one those investments could be reduced if import tariffs were imposed on b.m.w. autos brussels is determined not to allow talks between german companies and the u.s. government to undermine e.u. u.s. trade negotiations. this is not about some kind of trade as you questions of trade are dealt with by the european commission o

the u.s. tariffs on china are still proposals, not in place yet. he underscores the door is open. i thought about the art of the deal -- is that what donald trump is up to? these trumpet tariffs, are they the art of the deal, or just bad deals? [laughter] could it be when you were talking about the economy? everyone is saying, it will not do much to the economy now, it is still small, but the dallas fed came out with a study on tariffs and what they will mean. let's see what they came up with, publishing it today. it will cut long-run gdp by 25 basis point. not much, but a full-blown trade war to cut u.s. gdp by 3.5%. they also conclude there is good in a full-blown trade war. they said the u.s. trade deficit would fall to zero. wow. i don't know if anyone would want to go through that to get there. in some extreme ways there may be some logic here. it sheds away from conventional wisdom that perhaps it will not dent the economy, it will impact confidence, if anything. good perspective, thank

it would be bad for u.s. consumers and bad for u.s. business the u.s. sells lots of airplanes to china and has the capacity to sell more. if the chinese stopped that, that would be disastrous for boeing and other aerospace manufacturers in the united states there's talk about apple you mentioned it in your preamble this morning. it's not good for apple because the chinese could stop the sale of apple phones in china, cha would be a disaster for the apple company. >> want to wrap it up with this. you made your fortune by thinking outside the box give viewers and listeners in the u.s. and around the world an out of the box idea right now that you got given everything that's going on we're focused on trade and everything give us an out of the box idea >> in 20 or 30 years time the average human life expect santi will be 110 or 120, and people will no longer be frail in old age, they'll be welderly instead of elderly that will change many markets and many things in the structure of our lives that's got to be great news for us all >> investing in aging. jim

u.s./china talks, the current ones, and, of course, we have the looming brexit deadline on the 29th of march. now it's december, in which we get to pause for a moment and look both ways. hanukkah just passed, but judging from all the christmas tree lights around arlington, i would say that the whole business of lights is interdenominational and so is reflection. i would like to reflect on three things with you. first, the global business dialogue. second, diplomacy. third is friends. gpd has been a going concern for 19 years now, it's amazing to me. it was founded in the belief that trade policy is important. put differently, if economic activity is the clay of trade policy, then conversation is the potters wheel in which it is shaped. and for us, nothing symbolizes conversation more than a hot drink and given its special history in trade, tea is particularly apt. so that's why our logo is a teapot. but you can't do things like this without a lot of help. i can't thank everyone today, but

the u.s. session, the dow is still down .4%, and we saw a decline in the s&p 500 again. interestingly, consumer staples selling off quite a bit over the course of the session. the nasdaq, after flirting with no change most of the day, slightly in the green. we see strength in large-cap technology. the dollar going sideways, but really maintaining its uptrend. if you take a look at the bloomberg, without a look at the u.s. currency along with the 10 year yield, not changing much on the day. reassertion seeing of the correlation between the two. that seems to have broken down once again as the dollar continues up and yields do not. they go sideways to down, yvonne. yvonne: you see these bouts of volatility. that plays at how out into asia. the set up so far looking mixed for asian stocks. a pretty ugly day yesterday. the benchmark drifting to the lowest on these trade tensions. new zealand down .3%. aussie futures pointing to decent gains. pretty muteds today. career really has been taking the b

the u.s. state department is urging turkey not to invade a friend in syria turkish forces are massing on the border in preparation for action against the kurdish why p.g. turkey considers the white b.g. a terrorist group but its fighters have been a key ally for the u.s. elsewhere in syria stepping back from antakya. the turkish army is steadily increasing its presence along this stretch of the syrian border president. has been threatening to attack the kurdish run area baffling for almost a week now there has been sporadic shelling. inside africa thousands marched on thursday in protest at turkey's aggression how the wealthy and that's the goal of this large demonstration is to send a message to the world and especially to turkey concerning the turkish threats we will not be a fright. but we came here to protest against the attacks on offering we will stand by offering an outreach to why. is one of three autonomy's kurdish enclaves controlled by the syrian kurdish p why do party and its armed

u.s. japan trade talks, which have reportedly been postponed from monday to tuesday. china also returning to the fray, haidi. this could see them pickup in value, but hong kong markets will be closed for a day off. a bit of a breather for the yuan monday after china canceled talks with the u.s., adding to concern around trade. south korean remains closed for the mid autumn festival. analysts are saying changes are likely cosmetic. haidi: thank you so much for that. let's get you the first word news with jessica summers in new york. jessica: thanks. china says the door for trade talks is always open, but negotiations with prior -- require mutual respect. beijing responded to the latest trump tariffs with its own on $60 billion in u.s. products. it also released an eight point -- papersing toer promising to protect core interests. president trump has been briefed on last week's inter-korea summit and said he expects a second meeting with kim jong-un soon. he met his south korean counterpart

i think we will see increasing fallout with respect to u.s. consumers, u.s. businesses, u.s. theses, and as stakeholders talk to congress and pressure is put on the administration, i would hope that both sides could take a deep breath, get back to the negotiating table. these issues do lend themselves to a negotiated solution, but let's all be clear. they're all going to be very difficult and long negotiations. they don't lend themselves to easy solutions. ramy: one thing, we don't really know what the end solution might be to this in terms of articulation from either side. wendy: correct, but i think it's incumbent upon the u.s. side to indicate its priorities and it's and games. is it looking for a significant reduction in the trade war? or is it more important to seek structural, long-term, lasting changes to the chinese market? or is it all about just lifting market access restrictions with respect to trade and investment? if it's all three, which is the most important? and how do you sequence all of this? but to put all of this on the table and say china knows what it ne

the u.s. is losing into a summer one the climate denying is precluding them from the dissipating in this new economy number one and number two the effects of the climate change the weather catastrophes the global you know migrants that are the result of it all this other problems are hurting the us economy on the other side of the trade so you've got a double bind. and we're back with dr matthew barra's a cia veteran analyst and a for our national intelligence council are discussing u.s. russian spat and other issues causing global concern i might say turkey a nato member waste currently attacking the syrian kurds who are here u.s. allies is washington going to do anything about this or is it going to throw the kurds to who are lying on aid under the bus i think. washing it is very concerned about turkey. where turkey is heading. so yes there afeard stew to it to warn turkey against its attacks but you know it is a nato member when there is an effort not to alienate for further turkey there's

if the u.s. is going to put all of the tariffs on, then china cannot just take it, because of their own position in the world, in asia, and saving face throughout the world. i think in terms of the length of this, that is where we have to take a hard look. i'm of the view that this is probably not going to be a trade war, but more like a trade skirmish. after one or 1.5 rounds of tariff escalations, there would be an exit ramp. governments can almost always find an excuse to get together and talk about something. there are many international meetings coming up that provide venues for discussion that could lead to a breakthrough on these things. we have to wait and see exactly where and how we find the exit ramp. yvonne: let's say we are down the road, and china is sitting down with the u.s. china has agreed to many things, especially when it comes to intellectual property, nothing changes. what do you think the u.s. will, or should be very specifically saying to china that we have to see this, an

the u.s. says it will impose a twenty five percent tariff on fifty billion dollars worth of imports from china but also restrict investment by chinese companies in the u.s. and limit exports of high tech goods to china earlier this month the two countries agreed to look at measures to cut china's trade surplus and a move that appeared to reduce the risk of a trade war between the world's two largest economies and the u.s. state department is planning changes to the visa system for chinese students and spot a president trying to tempt a crackdown on what he calls the theft of u.s. internet troll property official. expected to limit student visas to one year for chinese who plan to do graduate work in science or technology in florence louis has more from gen jang and easton junge soon province. china says it surprised at the latest announcement coming out from the trump administration and called on the us to implement this period of their most recent joint statement on china's commercial ministr

the u.s. asks turkey not to take military action in a kurdish controlled district in northern syria. about this and this is all to syria live from doha also coming up pope francis arrives in peru for the second leg of his tour of south america. a major storm blows through europe killing at least seven people and disrupting travel. and fashion in kenya imports of second time cold all out of favor. the u.s. state department is urging turkey not to invade african in syria turkish forces are massing on the border and are preparing action against the kurdish why p.g. considers the y.p. g a terrorist group but its fighters have been a key ally for the u.s. elsewhere in syria stephanie decker has more from. the turkish army is steadily increasing its presence along this stretch of the syrian border present one has been threatening to attack the kurdish run area baffling for almost a week now there has been sporadic shelling. inside africa and thousands marched on thursday in protest to turkey's aggre

the u.s. congress in particular but, of course, the justice department is very much involved with this as well. and then the second is that china has reached a point of pure competitor status in high-tech areas at his move into high-tech areas in a way that could dominate those areas, in a way that could jeopardize american economic dominance and economic leadership in the world and its national security. robert lighthizer has said in his 301 report, incidentally mr. light house or '07 25 footnotes to back up everything he says, was one of these -- streetlight hauser. he's one of these kind of people. as a professional i like that anyway, the upshot of this is that he says china's economic practices are an existential threat of the united states. we all know here that u.s. uses that language when talks with soviet union, nuclear weapons, posing an existential threat to the united states. this sense of urgency that china might dominate these areas and their close to doing it, argues that someth

just but u.s. policymakers would fear is make their foreign policy a lot more independent of the u.s. . so we are already moving in that direction just because of trump's anti a. multilateralism anti. you know j.c. pos all those issues but it would make the the europeans i think feel that they can set their own. policies without necessarily reference to the us why does it bother trying so much then why isn't he thrilled about the european r.b.a. we having that would surely take loads of american military shoulders and isn't that what he wanted in the first place for a lot of even trouble. foreign policy elite. and the sort of talk of a european army appears to them as a threat to nato. there was a whole argument in the one nine hundred ninety s. when the european union. and others began to talk about a foreign policy european foreign policy or free and defense policy and people in washington reacted very strongly because the worry is that. europeans would to get together without the us make some de

meanwhile u.s. security adviser john bolton has labeled iran the central banker of international terrorism this just days after the u.s. announced that it was pulling out of the nuclear deal and that it was reinstating sanctions on iran in any country's doing business with the country and iran has given the e.u. sixty days to reaffirm their commitment to that deal european governments are now scrambling to come up with a response. european firms operating in iran are feeling anxious about their future comments from u.s. national security adviser john bolton have so far struck an ominous tone is the united states going to sanction european companies that do business with iran i think the issue here is what the europeans are going to do if they're going to see that it's not in their interest to stay in the deal we're going to have to watch what the iranians do is the u.s. going to impose sanctions on european companies that continue to do business with iran i think it did give the answer you gave the

the u.s. justice department is confirming that attorney general jeff sessions was questioned by federal investigators looking into alleged russian meddling in the u.s. election the interview reportedly took place last week behind closed doors sessions is the first member of donald trump's cabinet known to have been interviewed in the inquiry which aims to establish whether the truck campaign colluded with russia sessions previously served as an advisor to the truck campaign he is known to have had multiple contacts with russian officials during that time. human rights activists here in germany are criticizing the government's decision to deport afghan refugees from dusseldorf airport tonight a plane carrying at least ten failed asylum seekers took off a short while ago activists say that saturday's bombing of kabul's intercontinental hotel shows that the country is not safe to send people back to that attack left twenty people dead one hundred fifty five afghans have been deported from germany

isis the u.s.. president, who wl go to moscow early next week, prprepared to turnrn his back on nato all embracing russia? could his tough talk and ununpredictable actions undermie the transatlantic partnership and the postwawar order overall? how united is nato? that is the topic this week on quadriga. it is a pleasure to welcome the senior associate for international security at germany's institute for international and security affairs. she says nato as only as strong as its members make it an open complex undermine its collective commitment. great to have christian, a security expert here who says u.s. president trump could sell out the alliance to vladimir putin. this call great fear among allies shows nato is eroding. and a foreign-policy expert for the african institute in berlin and the former state department official. he says nato focused for too long on threats from the east and south and failed to take seriously the threat from within. , youe start out by asking wrote before the summit t

the u.s. is following a different path on and and leading a more protectionist policy approach right now, there is still a chance that all those other countries that are united in the g7 and g20 and the member states of the wto will be able to carry on and stick to the global liberal international order. melinda: do you really think they will get to any topics at the summit besides trade? laura: i sure hope they will because there are really big crises like the ones in syria and eastern ukraine, other topics that are really relevant that we should be talking about. topics like equal rights s for womemen. ifif you look at the a agenda fr the g7, also climate change. these are really the topics we should be talking about rather than getting into those fights. the u.s. is giving its official justification for notsing these tariffs, unfair trading practices, actually, but national security by proceeding under what is a fairly obscure national law rather than under standard wto procedures. is the u

the withdrawal of u.s. troops from the country visit weaken the political parties that support the u.s. presence in iraq. there's also confusion about what the u.s. policy in the region is of the trump ordered the withdrawal of u.s. forces from syria some fear the pentagon may well build up forces in iraq as a contingency for any future action in syria or a potential war with iran. iraqi politicians from all sides are now calling for a vote that ends the u.s. presence in iraq the largest bloc on the souther is now their nationalists the us president donald trump's visit to iraq may well have given them enough i mean nation to be able to win a vote that ends all u.s. involvement in the country iran can al-jazeera baghdad around two hundred people seeking asylum in the u.s. spent some of christmas in a parking lot in texas after being sent there by immigration and customs enforcement officials in el paso city the group including women and children with hundreds of other.

the u.s. military force is you know the caller is sovereignty and this is what really has to be recognized by our viewers i mean russia is there by invitation by the legitimate syrian government as is iran in in the in the in this is the crux of the whole thing we have a president that appears to be appears to be at least asleep at the wheel he doesn't know what his generals are doing he doesn't understand the policy he makes himself feel good by giving them all the money that they want but you know in syria . it is ignored as a sovereign state yes it's really reported on and what it is reported on it's exactly as you say it seems as if the us has a right to be there and that the u.s. should be governing in damascus you know what is assad doing there when the americans should be there running the country and that's the position that's presented or israel or is it on whether it's m.s.n. b.c. or fox and saudi arabia and turkey i mean you let me if you want a topic that both of these networks agr

u.s. stocks edged lower ahead of the latest u.s. fed meeting and our next guest says the expected rate hike is priced in by now. joining us from naples, florida, is david kudla, founder and c.e.o. and chief investment strategist with mainstay capital management. great to see you again. this week's move is priced in and we're looking at another by december. maybe a couple more next year. i mean, this is a fed that wants to grow but how do things like tariffs play into the murkiness of the outlook? david: we know we have a rate hike later today. in asia or tomorrow for us here in the u.s. and a rate hike later this year. and we think that doesn't change based on tariffs. in the near term, we see a further escalation in tariffs and longer term that will affect u.s. growth certainly and we think growth in china and around the world. but for the longer range outlook for rate hikes, we're still looking at again, rate hikes at the end of this year. and we're forecasting three rate hikes for next year. we don't think that's priced in the ma

with the u.s. until recently was saying the relationship with the cause is transactional but right now after the sea of isis i think the talk is that is beginning to understand and well see them to be gullible in this sense the the u.s. is going to maintain a longer relationship with the kurds and i agree with joshua yes this is at the expense of turkey the that the us is slowly less concerned about losing turkey to russia which previously the state department and the u.s. has always been worried about but i think that concern is much less now than what it used to be especially with the one at the helm this may change from what i was really scared about what he said on a change of attitude so that you raise that i mean the u.s. was against the kurdistan the independence referendum and iraq and yet they seem to support this some that type of action if it ever way to get to that point in syria a real change in policy here isn't it it is it is and i think you're very right to bring up that comparison

president does because if the u.s. were to actually go all the way and terminate the deal and snap back the sanctions that would have a huge impact on the ability of european companies as things currently stand to do what is illegitimate within the e.u. laws to do business with iran so it does have a big impact on europe ok that was going to be my next question if the u.s. does pull out europe stay the course i mean you know can we not keep going without the u.s. the u.s. is isolating itself called rest of the world cario. certainly since president trumps even election back in november twenty sixth. given his position on the deal there has been work quietly happening behind the scenes of you know why or what are europe's options really if the u.s. does terminate its obligations under the nuclear agreement there are some thoughts put in place organizations like myself and i said you are levi's works we've been looking at different types of mechanisms whereby europe can have a contingency plan and that would really be ba

that is u.s. process against u.s. companies inning u.s. account holders that should about be an issue even that would come up in that situation and so having a conflict of law analysis apply doesn't make any sense. other than that i think that's the only one i can think of in this context. >> and i now let's only been a few days since the act has passed. just as you thinking through the practical kt implications, to what degree will these kind of factor you have been talking about sort of shape when you will use the process under the cloud act versus try to negotiate with the provider versus asking them to litigate? how are the factors going to figure in? >> we would serve process in the way we always have and that traditionally have always done with respect to crimes that we are investigating under violations of u.s. law. where things get interesting and this is the second half of the statute is the bilateral agreement we can negotiate. what we were hearing is was that there is this potential for a conflict of law where if they were to be

all u.s. aid on the continent will advance u.s. interests and help africa nations move toward self-reliance. our first priority, enhancing u.s. economic ties with the region, is not only essential to improving opportunities for american workers and businesses, but it's also vital to safe guarding the economic independence of african states and protecting u.s. national security interests. great power competitors, namely china and russia, are rapidly expanding their financial and political influence across africa. they are deliberately and aggressively targeting their investments in the region to gain a competitive advantage over the united states. from 2016 to 2017, china's foreign direct investment toward africa totaled $6.4 billion. over the past several years, china has devoted considerable state directed and state supported financing to projects in the region. and in the region. china uses bribes, opec agreements, and the strategic use of debt to hold states in africa captive to beijing's wishes and demands. its investment ventu

the u.s. says that it cannot accept asylum seekers at its border with mexico because it has no place to put the. united states says that it believes israel's accusations that iran lied to international observers about its nuclear program at a press conference in tel aviv benjamin netanyahu displayed what he called conclusive proof that the weapons program existed before twenty fifteen iran has rejected the accusations serious particle had reports. it was an inauspicious start a technical glitch with the audio meant a brief delay describing a highly sophisticated intelligence operation this was an innocent looking compound it looks like a dilapidated warehouse but from the inside israeli prime minister binyamin netanyahu says his intelligence agents tracked the paperwork from an iranian nuclear weapons program to this building and that they were able to take this. proudly displaying paperwork and disks he says were from iran according to his own visuals the program ended in two thousand and thr

. >>> u.s. president trump and the first lady are over the atlantic at this hour heading back to washington after an entful day after christmas. for the first time in his presidency, mr. trump visited a war zone. spending time with troops and military leaders in iraq. he defended pulling the military from syria and said the u.s. cannot continue to be the worlds policeman. and he told the troops he came to share the country's gratitude for what they do. >> the other reason i'm here today is to personally thank you. and every service member throughout this region. for the near elimination of the isis territorial. in iraq. and in syria. two years ago, when i became president, there were a very dominant group. they were very dominant. today they're not so dominant anymore. >> now president visiting troops in a war zone that's not new. in fact president bush 41, clinton, bush 43 and obama all did it. and even though vice president pence visited afghanistan last year, this is the first time for presid

mark: the u.s. is worried about deutsche bank's u.s. business according to a source familiar with the fdic. they put them on a list of banks was serious weaknesses. shares tumbling today hitting an all-time low. --oomberg's yen a yummy a finance manager. -- there were concerns about capital strength, the potential burden of u.s. fines. the news goes from bad to worse. >> it does seem to be a similar pattern to what we saw in september of 2016. they are on track for a closing record low. not an all-time record low. today's news reminds investors of the difficulty of expanding in the u.s.. that is a market they are retreating from. clearly being on those lists, which means special attention from u.s. regulators, does not make your business dealings in that country easier. controls, monitoring, capabilities, are the real concerns about control, risk, process? >> yes that has been an ongoing feature. we reported a couple months ago about a very large transfer that had happened. seemingly missing all these controls that should be in place to

the u.s. is one of the top nations when it comes to our offensive cybersecurity. a lot of times it is for the purpose of collecting intelligence. in otherls can be used ways. what we have seen is more aggressive action by countries like iran and north korea in destructive attacks. companies need to be realistic and realize they have to invest money and work with the government to get at this threat. alix: what would be of five will deterrent? m&a willutbound happen less, but what is the deterrent? >> deterrents are limited. we prosecute, bring charges, you sanctions. those have proven to be ineffective tools in the space. we have to fight fire with fire. it mean cyber and all elements of american power. if you want to break things in the united states, we will break things there. the trump administration cyber strategy is more aggressive. we will see if they put that to work. that tilrayyou for insight. coming up, 10-year yields above 3.2% for the first time since 2011. more on this is next. t

u.s. and russia trade threats at the un never a suspected chemical attack in duma donald trump puts military options on the table . hello i'm down in jordan this is al jazeera live from doha also coming up china's president promises a more even playing field for foreign firms as a trade war looms with the u.s. . a peace accord in perilous a former colombian rebel leader is arrested for alleged drug trafficking. malaysia's prime minister faces the strongest challenge yet to his grip on power as an election date is set. the u.s. president says he'll make a decision shortly on how to respond to a suspected chemical attack in syria donald trump says all options are on the table including military action a white house correspondent kimberly hellcat has more. u.s. president donald trump says he wants someone to pay for the suspected chemical attack in duma on monday he convened his cabinet to discuss it it was an atrocious attack it was horrible when you are studying that situation extremely clo

u.s. factory and they possible ford tire out the comments come as german car makers defend their u.s. interests at the white house will it be enough to see the u.s. president drop threatens tariffs against european carmakers. germany may have self driving subway cars but it's got a lot of catching up to do when it comes to artificial intelligence. this is your business update on how the home frame by lead glad you could join me chairman to conjoin folks fog and has announced that it is teaming up with the u.s. carmakers ford to build what it calls a global automotive alliance chief habit d.s. added that his group was also considering building a second car plant in the united states well you know it's meant to came off to a meeting between german car makers and trump in a bid to terrorists. the u.s. market is exceedingly important for german car makers b.m.w. mercedes and v.w. although the market as a whole is shrinking the german share of it is growing that means jobs in their three u.s. p

a lot of u.s. manufacturers and u.s. industries that are part of donald trump's constituencies that he is time to protect with these tariffs are getting caught up in this. they're losing their supply chain and not able to source key inputs. they will have the prices go up and the same is going to happen from china, to the extent that chinese users are sourcing from united states will have to look for other sources for their inputs. that is not going to help the u.s. exporters. appreciate your time with us. former deputy assistant secretary with the u.s. department of commerce. both time zones no doubt waiting for the clock to hit midnight. still ahead this hour, asia-pacific earnings are down in contrast with projec tions for the company. we will be unpacking that data. david: up next, we look at oil following the surprise increase. we look at the prospects next. this is bloomberg. ♪ haidi: let's head over to the oil patch where prices are at a low following an american stockpile at the same time saudi arabia lowering

think the u.s. dollar has further upside, ultimately because markets are underpricing the risk of federal reserve rate hikes. we think three more this year, market pricing, inflation -- that is right. we think despite a better inflation rate, the overall inflation is turning to pick up in a very fast way, especially if you look at inflation on a three-month annualized type of basis which gives you a better rated trend. wages is something investors it to keep an eye out for as well. with these things coming up and high commodity prices, we think the u.s. dollar is heading higher, and the u.s. treasury yields are heading higher as well. betty: speaking of treasury yields, i want to pull up this chart that shows you how much spreads are tightening in the treasury market between the five and the 30 as you continue to look here. the spread rapidly, over the last 12 months continues to tighten. at this rate it is likely to turn negative, invert by august or september, so does that signal a recession? spea

it increases the u.s. companies adopting that dual education system what do you what do you hearing from them. indeed these clusters or apprenticeship programs started on the initiative of the german companies but bit by bit now three years down the road more and more american companies japanese companies and other european companies are joining and sold by now in these programs that are certified by the german american chambers of commerce german companies are only fifty percent of the participating companies and as we also have seen in the sport we have seen before. it's the german companies who start the process and then it's actually the peers american companies japanese companies in the region who see what's happening who go there talk to the c.e.o.'s talk to the apprentice a little apprentice what they are actually learning and why it's a good idea and then they say ok this is actually a convincing model so they then join the program later on this is something we have seen not only in georgia but all

the u.s. customs and border protection commissioner says immigration authorities need more money for medical staff and more support for sheltering vulnerable children like philippe and check clean. now to some of the stories making news around the world russia has criticized an alleged israeli air strike in syria saying it endangered civilian air flights syria said it intercepted missiles on tuesday night independent observers say israel was targeting an arms depot used by iranian forces speaking at a military ceremony is israel's prime minister benjamin netanyahu did not mention the alleged airstrike but he said israel would never allow iran to establish a permanent military presence in syria. russian president vladimir putin says russia will begin to deploy a new hypersonic weapon next year this follows final tests of the new intercontinental off on guard system called a success he says the nuclear capable missile could fly it twenty times the speed of sound and maneuver up and down and they

the u.s. administration is asking for and what the palestinians see as being fit misc can the palestinian leadership have said that the us administration is actually using humanitarian aid as blackmail and that it's not going to force them to the negotiating table if we look at this case how do you see the u.s. cutting funding to agencies that are in charge of looking after palestinian refugees and the response to it i think there's a big difference we would we were talking about military of bitters coalition support fund which is more military aid for military to carry on it operations i think comparing it to humanitarian aid it's an absolutely different thing humanitarian aid goes to people to sustain themselves who have been you know where who live livelihood shelter food nutrition water all that access is denied to basically a matter of life and debt so what i'm not saying that they're the same what i think that we are doing and we can validate as hourly we're talking about the u.s. you kn