Bloomberg, United States, China discussed on Bloomberg Best
Still let's check the markets and some of today's top business stories. I'm Charlie Pellett down Monday's shares retreated. As investors sought details of a possible trade deal between the White House in China. Ross Kosta riches portfolio manager with the BlackRock global allocation team, we're trimming a bit. This has been extraordinarily rally seen the vix index. Go down non weeks in a row, we've seen you a sequiturs rally twenty percents off the bottom, and we haven't really seen much of a change in the underlying economic situation, the economy still decelerating, so we're taking the opportunity turmeric we holding bring it down a bit and Gerson distant fouled is co head of fixed income at alliance Bernstein, we think the growth picture the US is still pretty good despite what's going on. You know, global we focus so much on on tariffs and trade what we remain relatively close academy. Almost seventy percent of our economy is consumption and with unemployment is low as it is. There's no reason to go into recession. The US construction spending slowed in twenty eighteen ham with more. Here's Bloomberg's Vinny. Del Jude is it's the smallest increase in seven years. The value of construction put in place rose four point one percent in two thousand eighteen or one point three trillion dollars higher borrowing costs glut of apartments restrained. Residential construction factory construction was also down for December alone spending declined for the first time in three months down chewed ice. Bloomberg radio after the bell. We heard from Salesforce dot com. Shares are trading lower by roughly three percent, its fourth-quarter earnings per share and revenue did come in better than expected. But it is guiding lower for the first quarter of the Dow the s&p NASDAQ all lower today s and p downtown of drop of four tenths of one percent. Dow Industrial's down two hundred six down eight tenths of one percent. Nasdaq down seventeen a decline of two tenths of one percent. I'm Charlie Pellett. That's a Bloomberg business flash. Bloomberg best with that backstage. Stor continues. Markets are responding today to reports that the US and China, maybe near a trade deal. Bloomberg's Alix steel and David Westin spoke with Daniel Morris, BNP parabas asset management, senior investment strategist. And Adam Posen Peterson institute for international economics, president they discuss the possibility of a trade deal between China and the US and what it may mean for the US economy. I'll start with you. We're basically China will reduce tariffs on various farm products. Chemicals autos. They'll take away some foreign ownership restrictions with respect to some auto ventures things like that you've been a critic of how President Trump has been proceeding here that got this deal. Would it be a good thing? United states. It'd be better than having the ongoing terrorists intentions, David. If it can be sustained Washington has become a very China hawkish place. So I don't think this deal is going to satisfy anyone politically economically. It will have sacrificed several billion dollars in a lot of disruption in the US and a lot of missed investment for very little yield. So yeah, I think it's still a bad idea. Was just for a moment that the actual trade in goods issue. What if there's progress on intellectual property, and perhaps technology transfer is that a more fundamental change for the better? You're absolutely right. David that's much more fundamental issue. The tariffs are relatively small potatoes are small beans, and pork even though they heard people the intellectual property is the core issue. But it's not something that I think people are looking at properly and not the Trump administration on the one hand companies Molitor multinationals transfer parts of technology all the time to all kinds of countries. That's part of how business gets done. That's part of how development happens that's part of how markets grow. So it's in their own interest to do that. But Secondly, if you.