tv Mornings With Maria Bartiromo FOX Business January 25, 2018 6:00am-9:00am EST
morning. >> thanks for having me. lauren: thank you are watching "fbn:am" this morning. let's send it over to mornings with her react, live from davos. >> live from davos, switzerland at the world economic forum, maria bartiromo at this special edition of "mornings with maria." maria: good thursday morning, everybody. live from davos, maria bartiromo thursday, june the 25th. top story 6:00 a.m. on the east coast could america first arrived abroad. president trump touching down in davos a few minutes ago to share his business to world leaders. >> i'm going to davos to get people to invest in the united states. coming to the united states, plenty of money. i don't think they have to go
because they're coming. toyota in so many others coming into the united states and all that needs to raise money for people. lower taxes than what it really means is jobs. maria: the president says the u.s. is the best place for global investors are treasury secretary stephen mnuchin's comments that the dollar touching a three-year low. others low. i'll be saying to the secretary to talk about that coming up this morning i met a few minutes. coming clean, algae says washing machines are about to get marks and then responds to deep new tariffs announced by the trump administration earlier in the week. i'll discuss that with wilbur ross moments away. dow jones industrial average getting a new all-time high yesterday. s&p 500 and nasdaq lower after declining technologies., but not the dow continues in uncharted
territory. features look like this on the mixed performance yesterday looking among the intent of the dow industrials up another 40 points this morning. s&p 500 announced back also higher. major indices ahead of the ecb meeting of results from mario trotsky up five points for the cac at 500 points in the dax lower. we will bring you the ecb comments as soon as we get the tape. markets in the rat on a weaker dollar take a look at the dollar went down. international currencies another to see the shanghai composite coming nikkei average in hang seng lower. airlines taken flat on wall street. american, southwest, jetblue reported earnings "after the bell" along with caterpillar, good window into the global economy. we'll bring you those numbers as soon as they hit the wires are lots of earnings to tell you about. america on the world stage. president trump earing davos
this morning with his america first agenda to first agenda but the slew of world leaders in the world economic forum tomorrow. commerce secretary wilbur ross. great to see you. thank you for joining us. what is the reaction to you a few days? are you getting a positive reaction from their international counterparts? you might absolutely. surprisingly, a growing recognition that the world trade system needs to be fixed. i had a big panel discussion yesterday including the head of the dead btl and i asked them a simple question because there are claiming they were protectionist. they said they need the country that is less protectionist than we are. they had no answer. they ultimately agreed that there are things that need to be fixed. there are abuses. the pto needs to change some of its ways. the first time i've seen over
recognition of that. turning to some of the things he will talk about with nafta, what was done was a local habitation for corporate america to say i'm going to build -- but it became the template for all deals. >> 18 if you go way back into ancient history after world war ii, it was deliberate u.s. policy to help these countries recover from the ravages of the war. in those days we had a trade surplus is. facts, we have done into the 1970s so they could afford it. so there is a conscious policy of encouraging the people and help in the next to us. i might have been a good policy at the time, but concessions appropriate to make to germany and china in the 1940s are no longer relevant in so the mistake was not the time of the.
turning to what he said markets are what you may or may not do regarding nafta. >> for some reason, the media has totally blown out of proportion, but more importantly, business hates uncertainty. you can adjust the good news come of avenues. uncertainty is scary to people. maria: part of the issue, one of the lead stories in the journal from secretary rice is lg telling retailers to raise prices and washers and dryers after the administration said there was a terrorist on washing machine and solar panels. we see a response. >> at the natural risk bonds. anytime you correct people dumping things that illegitimately low prices there will be an effect on price. that's a normal thing. unless you feel that americans have a god-given right to dump purchases at the expense of jobs makes no sense. i don't blame them for putting in some sort of a price
increase. more importantly, lg and samsung have begun building huge greasy or. one in tennessee, one in south carolina. that is what the trump trade policies are really all about. maria: that's a really good point actually. are we now going to see washing machines from overseas higher price than u.s.? is it now an easy sell to buy americans? >> i don't think it will be a higher price, but it doesn't have to be. it only has to be a fair price. no reason we should accept product before. no reason now. the better news is i went to the opera needs about five juries. huge amount of plants growing up in one of them has dirty started shipping from the america. but they also did very intelligently to prepare for this, they both pride and a lot
of parts before the action was taken. they both brought in quite a lot of washing machine but for the action was taken, so they were preparing themselves. this is hardly a shock to anybody. payment is delayed, the president choreographed as during the campaign. he was fair trade. >> this is not a sneak attack. this is another normal programming dvd. >> we're looking at a aluminum and steel. should we expect terrorist fair? >> as you know, submitting the 232 reports on aluminum and steel, steel first amendment live another week or so ago. he has about 90 days left in during that period he will consider what to do. maria: you obviously have been in the front row seat of the issue as a private businessman your career. instead they dumping going on and steel? they make incredible.
in fact, i have a chart that shows time zones from 2000 to the present. increases in world capacity, increases in chinese capacity and superimposed on that is a little box each time china said they would do something about cutting capacity. the only thing that didn't change as the ascendancy of their amount of capacity. maria: i start with james spurling recently and he said when you put tariffs on these kinds of things to me you're not just attacking a jet. you are going to basically say germany. a number of companies in europe where buying these products run. is that the case? maria: it all depends. we have proposed a variety of actions they could take in either case. he will select from among the
virtues that different. train to what is the impact of this amount that? have you seen an impact in terms of market? >> in the 232 is? >> are washing machines i think is a good thing. it's an important thing. we cannot allow our companies to be destroyed by unfair competition. it is a level playing field and they can make a better product in a cheaper product, find they should win. they shouldn't win because they are subsidized in dumping. train to what can you tell us about commerce. in the minute we lost a dear colleague, stephen mnuchin to talk about his comments on the dollar and where we are in terms of economic growth. for% growth in the u.s. how would you characterize the survey, said numerous pending point? >> one of the best things for consumers than it is her something approaching 2 million american workers to the thousand dollar bonuses in january
specifically because of the tax bill. who would ever have thought that what happened? that's high velocity money because that's incremental money from the middle income bracket, very hyper penned the two spend in there for the money will come right in to the economy. maria: i think there is a pushback on the left saying some of this stuff is going to happen anyway. this is going to come to the u.s. again. payments are not talking about the money being repatriated. i'm talking about 2 million americans getting an extra thousand dollars, specifically identified by their employers due to the attacks led by at&t and hundreds of companies have fallen into line doing it. who has ever acted anything like that? >> today asked them to do that?
>> no, this is a totally voluntary thing. we were confident because of a report in the economic advisers. we were confident it would result in higher pay. we didn't realize it would be instantaneous. maria: was pretty extraordinary. you said there's always be trade wars are the difference now, u.s. troops are now coming to the rampart. we suggest in the u.s. engaging in a trade work? >> what i meant is every time someone violates trade rules, that to me is not the war. david steele is an act of war, dumping alumina, anything. forcing technology transfer from the same thing. that's what i had in mind. in terms of the conventional definition, we drop terrace, next guy kind of race to the bottom. that is, we are talking about, and nor do i think there's
anything. >> the u.s. is doing much better than we've seen in a number of years in processing synchronized global growth. europe is being talked about a lot. macron, president of friends is doing better. >> europe is doing better fire. the king of spain the other edict is very bullish about what is going on even with the little insurrection in catalonia. there's a good feeling that it's partly because the u.s. is doing so well. we really are so the engine that drives the world. i was with liam fox, the u.k. and in the air yesterday that we were talking about how they were attacked into the forthcoming brexit. they have now adopted a system would've been used in commerce, namely putting commercial people in the embassies around the world and in fact in locations he on the embassy in the region.
not foreign ministry people, but commerce people because they're going to start a big marketing campaign to try to boost their ex-words. things are changing. there's a sense i'm getting a constructive change in world trade. i think they know we are not going to be anymore. train to its interest in to its interesting the imf raised expectations for growth, but not the u.k. it's interesting to see the u.k. be the underperformer in europe. >> had a pretty good quarter of the last quarter and when you consider the uncertainties related to brag that, the performance there is pretty good including their export performances. train to let me ask you about the next couple weeks. you will be engaged in these nafta talks. when would you expect clarity in terms of what this deal looks
like? >> they will have some outcomes from the montréal talks going on right now and then there's another run scheduled a few weeks later. i think those two will begin to get to the serious issues. the issues dealt with so far has been mostly ones that are important in a sense, but not make or break issues. without getting to the important ones have not the right sequence. you want to start with easy things, build a sense of momentum and 92 the tough things. train to the most important issue is the u.s. is a deficit of mexico. >> right. not just the fact of the deficit. it is by its very devastated. the worst part of it is a lot of the imports worth getting in from mexico have a very high asian content because the rules of origin were not very affect does to put together in the original nafta.
so it is a silly trade agreement that encourages goods from outside. maria: really interesting. secretary rice cabal that take a short break and then be joined by secretary stephen mnuchin. i'll be back in a second. (horn honking) alright! alright! we've all got places to go! we've all got places to go! washington crossing the delaware turnpike? surprising. what's not surprising? how much money sean saved by switching to geico. big man with a horn. fifteen minutes could save you fifteen percent or more. a trip back to the dthe doctor's office, mean just for a shot. but why go back there, when you can stay home with neulasta onpro? strong chemo can put you at risk of serious infection. neulasta helps reduce infection risk by boosting your white blood cell count, which strengthens your immune system. in a key study,
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thank you for joining us. we appreciate it very much. i was watching a panel you were on in davos and you have questions about the dollar. were you surprised to get all this focus in question hammered about premier, said a weaker dollar is better for trade? >> i'm a bit surprised because my comments had been completely consistent but for whatever reason they've been amplified in the last two days. that could be clear on my viewing us as the dollar is one of the most liquid trading markets in the world. it's a reserve currency because people have confidence in the dollar and safety of the dollar. where the dollar is in the short-term is not a concern of ours. in the long term, the will strengthen the long-term as a result of the u.s. economy, but where it is in the short-term is not a concern of ours. my comment was just stating a fact which in this short-term a lower dollar is hope old to our
trade imbalance and has certain benefits. it was really a statement of fact. we support free currencies. other people intervene in currency is printed treasury puts out a currency report where we have issues with other people with currency interventions. the market will reflect whether currencies are whether you look at it over the last hour, last day, week, india's. maria: in past administrations for treasury secretary was always worried about saying anything about the dollar. you were honest and basically said what is obvious that a weaker dollar is good for trade. in the past, treasury secretary say we believe in a strong dollar policy even if action didn't support that. >> that is the case and the reason it's created news, with a
number of years, the treasury secretary has just commented on strong dollar, strong dollar, strong dollar. where it is in the short-term is not a concern of ours. >> to worry as the economic voice in the dollar dropping to a three-year low. we changed the stamp of being honest? they took part of what i said and amplified part of what i said and that's why the market. it was incredibly balanced. it was consistent with what i said over the last year and it wasn't news. if my full transcript had been looked at, perhaps they wouldn't have had the same impact. again, the markets will be where the markets will be.
both were excited about in the reason we are here is to solve the economic story. we've got a great story. tax reform, tax cut. we are on the basis of 3% or higher gdp sustained growth. the president's number one object is. we see number 2.5 million workers have a special bonuses of a thousand dollars or higher. higher wages. this is what the president is focused on during the campaign. the average worker in the u.s. senate nowhere in the last eight years and didn't participate. this is all about american jobs, growth for american roots and the reason we had the largest allocation is to say to the world, we are open for business, very attractive for business income and invest in the u.s. had the good u.s. economy is great for the rest of the world. maria: i was speaking for people from europe. >> we talk here from the
european company is putting more into the usb is >> initially putting money into europe and now they think the tax policy is much more charges. better than you expected. apple bringing back hundreds of billions of dollars accompanies weather at at&t, put on the road, jpmorgan, on the banks of manufacturing. people investing tens of billions of dollars of the u.s. in giving workers raises. we couldn't be happier with the response and as secretary said, the message here is a lot of people are now talking about shifting operations back into the u.s. and it's an exciting story we are looking forward for the president to be here. maria: which is why you see the jobs conversation take flight.
it's interesting because it's really getting hard to deny the impact of the tax plan in the mainstream media is trying hard on the left is trying hard to come out with some reasons for this drink the way from your tax plan in your palace he is because the policies have clearly been focused on economic growth. companies getting bonuses as well as conversation about 4% growth. i want you to listen to a sound bite from a question to gary question to gary cohn, your colleague in washington that he was slated by the president and you all were coming to davos here to listen to this. >> we just had a litany of businesses to get back from here. is it unfair to give the president -- they are to have that money in their coffers. they would've not turned turned up this otherwise? train to the point of the left
is going to say they will all have this anyway. >> they have no alternative but to make up fiction, but eventually fax overcome fiction and i think the fellow who just got the thousand dollar check doesn't care what the left wing media says in the person who gets the tax cut and the next withholding, he or she is also not going to care what the left wing media says. maria: it's also coming from the other side. >> as you know, when they're talking about 3% gdp, everybody lined up and said we were crazy that the economy could grow at higher rates than 2% given the size of the economy where we were. now we are at 3% gdp unworried sustained gdp at 3% or higher and this is about creating american jobs and that's what this is all about.
train to the state of the union is next week and we've got now a whole host of ways to look at over the last year. what should we expect the state of the union next week? is it largely economic policies? >> we are looking forward to the state of the union and not reduce kill the president beach, but the president coming here is going to talk about free and fair trade, reciprocal trade in america's open for business. maria: secretary ross, secretary macron, thank you for joining us. president trump has arrived and davos. we'll bring you a preview and another big day of corporate earnings. one of the big names to report its caterpillar. numbers could be strong and an indicator of global economic growth. we will have the numbers when they come out. back in a moment. with fidelity's real-time analytics,
cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group - how the world advances. ♪ >> here again is maria bartiromo with the special edition of mornings with maria live from davos, switzerland at the world economic forum. maria: welcome back, everybody, good thursday morning, i'm maria bartiromo, live from davos, january 25th, top stories right now 6:30 a.m. on the east coast. president trump has arrived in davos amid booming u.s. economy.
i spoke with treasury secretary steven mnuchin a few minutes ago about the trip. >> this is all about american jobs, growth for american workers and the reason why we have the largest delegation here we've ever had is to say to the world, we are open for business, we are attractive to business and come invest in the u.s. and a good u.s. economy is great for the rest of the world. maria: we are watching currencies this morning, secretary mnuchin's comments basically saying that a weaker dollar is good for trade, that weight on the greenback yesterday, fell to 3-year low. here is the situation this morning with the dollar down against major currencies, one of the top issues for the president is trade, lg is responding to the president's tariffs, will be raising prices following decision, i spoke with commerce secretary wilmer ross about the move and what he expects of
other commodities, aluminum and steel. >> we kind of allow the companies can be destroyed by unfair competition. it's a level playing field and they can make a better product and a cheaper product, then they should win, they shouldn't win because they are subsidizing and dumping. maria: stocks hit yet odd report high yesterday, a new high when i will the nasdaq and sibile marcellus dropped as they declined in technology stock, led those indices. as you see the market was up 41 points on the dow, s&p and nasdaq weaker. futures this morning show a rally. we are expecting the market to open higher when it opens about three hours, dow industrial is up. nasdaq up 30 points, that would be further record territory for both. in europe this morning, take a look at indices as we await the european central bank decision and comments from ecb president mario mario droghi.
and the dax index is flat down just one point. in asia markets mostly on the red. our top story this half an hour, cracking the code to stronger cybersecurity. the issue at the forefront of economic forum in davos. last year we saw equifax data breach and intel is fixing data flaw with chuirt chips, google launched a business to sell cybersecurity software. the new unit from the parent company will use machine learn to go detect threats quicker than ever. to talk more about future of cybersecurity, ceo of sap. thank you so much for joining us. >> thank you. >> sap has been in forefront in terms of cyber and and security, and the cloud, how are things going? >> really good.
that's to help the world run better and improve people's lives, technology is playing a very special role in doing it, every ceo here is talking about this consumer-driven growth revolution. how do i get to my consumer and get it in the form that they want and how do i use data as ultimate tool to understand where my market is going and how to serve the market better and sap like no other company is serving those needs. maria: yeah, what should we be looking at in terms of cyber, the attacks, one of the biggest concerns for business leaders, i feel like corporate america, it's unlimited spend, they have to pretend, what is s.a. p and whether or not the united states has its hands on it? >> every company has to manage it. we have been fortunate. for more than 40 years we have
been running the largest enterprise system. we have sophisticated security, of course, our cloud is the most secure. i think the big thing is prevention. you know, most companies fall into the traps by just not preventing and doing the small things right, once you find the problem and you do detect it, you obviously have to react, the key to the whole thing is to prevent it in the first place based upon the chip issue that you mentioned, we like all of the large significant companies are working on this in realtime with the producers of the chips but so far so good. maria: bill, how would you characterize things, i know that you're reporting earnings, i know that you're not going to be specific, we are talking about 4% growth in the u.s., we are talking about 2% of growth in europe, how did things feel for you as german company first? >> there isn't a ceo here in da
-- davos and on monday i was with president macron in france and france is also lowering taxes an making it easier to do business. a really good feeling about growth and investing in markets and really the ultimate sentiment here is just doing it right, so grow and run your company well and do it with the purpose and don't leave people behind because there's a lot of people that need to be trained, retooled, hired and we need to give them opportunities. i was very interested in with prime minister motti, so there's lots of young people that we need to initiate in the economy
and workforce and that's what we have focused on, really getting the energy of the young people and the hiring and the retention of our people so our company continues to prosper. i think that's been a real difference-maker. maria: are you poised to invest more in the u.s., more in france as a result of lower tax rates? >> i wouldn't say our investment thesis is being based upon taxes candidly but it is based to grow markets and want to be friendly to business and help business be successful, so we don't really respond to tax rate in our strategy but we are absolutely encouraged by leaders that want to be hyperfriendly to business. >> bill, what's the risk, at some point we are going to be talking about inflation, we are going to be talking about higher wages in tight labor market, you know, it's been a lot of optimism here, i get worried that there's almost come pla sanky because everyone is so bullish about things, what do you worry about and what are the
risks? >> the number one issue is always come plank say, you're absolutely right, you can't look down, you to keep looking up and this consumer today is moving real fast. we do it in every industry and geography so the fingerprint has to be really big, what i make sure about is the product is perfect, it's so successful and make sure we have the best team because the best team wins. i actually think this is the area where people even more so than technology will take over as the most important asset because we have increased 50,000 jobs in the last eight years and i've hired immensely young people and we have gotten the company younger by one year
every year and what that's done taking more tenured people and even make them more loyal because it's a cross-section of knowledge sharing and inspired thousands and thousands of people. we want to keep going. if we can keep the people, focus on a great product and unbelievable customer experience, there's nothing that can stop sap. maria: even though machine learning is supposed to take people's job? >> this is wild. the machine is there to help the human, the work with the human, to make them better, i gave a speech in miami for the mba, my great friend adam silver asked me to talk to his team and i was introduced, told me the story about sandra sánchez and sandra sánchez put out auction to buy sack meanto kings ticket and they are responding to e-mail, she's aggressive, she keeps giving me offers and officer and now she's calling me.
they called up sacramento kings with sandra sánchez, there wasn't a sandra sánchez that worked there. she was a bot. look at the beauty of this, the human experience is gating a great offer. the people are doing the more important work, right, the quality work and the economy moves forward. we are going to have more jobs because of -- maria: good to see you, bill, ceo of sap. much more live from davos. companies opening books, biotechs earnings report after announcing acquisition but juneau therapeutics, we will bring you the numbers once they come out. stay right here.
>> welcome back to another special presentation for fox business. women's set is open. caroline, course to claim her maiden grand slam title. the dane fired 7 aces and 40 winners. she will face after romanian came in absolute thriller taken out angelique. saving two match points on her way to breath-taking victory.
and don't forget tennis challenge live coverage from melbourne continues thursday at 10:00 p.m. eastern. maria: all right, welcome back, live from world economic forum in davos, switzerland. we are waiting on central bank to get decision on interest rates, strong open for broader averages in the u.s. joining me to talk about market and economy, scott, scott, good to see you. >> great to see you, maria. maria: atmosphere is pretty bullish. has you a little worried? >> yeah, clearly the tax cuts are helping the economy a lot, you know, people are rerating stocks, believing that earn lción go up dramatically, there's every reason in the world to be optimistic and that has me nervous. maria: why are you nervous about that? >> i've been to davos before a
number of times and i remember being here two years ago and oil price were almost $25 a barrel at that point, credit had exploded and everybody was saying we were going into a recession and, of course, if you bought then it would have been a fantastic return. i think the euphoria is, you know, getting the momentum of the market ahead of where it should be at this point. it's hard to argue that the market shouldn't be higher but at the same time markets don't move in straight lines, maybe a time to think about changing your tact and lightening on risk. one of the things we have been doing is moving to purchasing options with volatility being so low, for instance, you can buy one year call-option on s&p 500 for 5%. if you believe that the trump
tax cut will lead to increases and earnings that we expect you probably have another 15 to 20% of upside in the market, so, it's a pretty low-cost way to capture the upside while not leaving yourself vulnerable to something that could be a shock. maria: you're talking 15 to 20%. >> in the next year. maria: 15 to 20% that is good. >> all you have to do is look at effect of tax cut and see how it impacts after-tax earnings and we see earnings probably 1.60. if you go baccalaureate to multiple on the market back in early november when we really didn't we were going to get tax reform and you applied that same multiple to a 1.60, you're 10 to 20% up from here. maria: consensus earnings would be but when you add tax benefits another 12%.
>> amazing. maria: fantastic. >> honestly, i think people are not fact oring -- factoring what the commerce secretary was talking about which is the bonuses and the wage increases that are coming through the pipeline, i think it's going to add even more momentum. maria: how worried are you about moving the dollar, steven mnuchin making those comments yesterday, that's what every treasury believes anyway, it's not like he told us anything it was a surprise, they never did anything to actually show a strong dollar. >> i think the dollar will go where the dollar goes, but i think the key is to keep the confidence in the dollar as a store of value, it's very important in terms of having our capital flows. we need forward capital. maria: exactly. if you're talking about 4% economic growth and you're talking about all the money coming to the u.s., you would think the dollar goes up. >> it's funny you talk about that, in 2004-2006 while the
federal reserve was raising rates an the stock market was going onto new highs, the dollar declined and so it could be that part of the magic here to the economic expansion and earnings growth is the continued depreciation of the dollar, the key is not to let it turn into a slide, that's what occurred back in 1987. when the federal reserve was raising rates as the stock market went onto new highs, we were up 30-odd percent in october of '87 and the dollar started collapsing abas the dollar collapsed, people lost confidence in the u.s. markets and we suddenly had a stock market crash on our hands and i think that's the risk. maria: when do you show worry about higher wages, maybe fed blowing it with too many increases? you said that's potential or possible in '18, when duh you start worrying about what throws us off of the track? >> look, i'm already worried. i like the option strategy.
you know, i would like to see some more indication like deterioration of breath in the market, you know, some signs that wage inflation is actually picking up. it's been really stagnant but, you know, we need to get wage inflation up to around 4% year over year before i would get really concerned, we are currently 2 and a half percent. i tell you 4% is coming. maria: it's coming, right? this year? >> probably this year. maria: what about europe, interesting to see europe is doing well. are you investing in europe? >> yes, we have money allocate today europe, we like europe, probably more interesting emerging markets, places like brazil, chile, these places are catching a strong bid and, of course, if things are as good here as we expect them to be and the dollar is weak, historically that's been the formula for emerging markets to do very well. maria: you have $300 billion --
>> almost. maria: to allocate. are there industries that are poised to do better or are you investing in others -- >> we really like insurance companies. one of the issues you face here how quickly can your profits get competed away. when you get a tax cut like that, you know, if you're mcdonalds, for instance, you might consider lowering the price of sandwiches to be competitor to arby's, earnings have pretty insulated for the next five to ten years, they'll be a mark-up in those firms, a good mark-up for banks, bank of america looks very interesting. that's the place where you see real value. maria: great point that you make. the roll bag in regs has not had
setback, all you see is running agencies but the rollback is significant. >> things that make no sense at all like the restriction on repo, this is allow-risk business and they are at capacity because the -- the soup of regulation restricted them from investing in businesses that are pretty safe. maria: donald trump rolled back lots of those regs, good to see you. coming on, taking on the giants, alibaba taking on the giants, the online company president is here in davos, stay with us.
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maria: welcome back, business is competitive but the battle for consume e dollars is heating up in a big way, alibaba and amazon dominating online retailing, growing 40% a year, joining me right now is the international president winston chang of jd.com. 40% you're growing? >> one thing that i have to correct, we are the laggerst retail in china because of unique model. we are not the second largest. maria: i'm sorry about that. >> we buy the inventory, great management system, about 34 days in terms of inventory term. we are using big data to manage
inventory and working with brand and retailers to really effectively make their manufacturing process even more effective. maria: this is one way to go at what has been the giant, amazon, which is trying to get into every industry. >> yes, the retail industry is very broad, we touch every single consumer product's company out there and can help the brands in terms of marketing perspective all the way to showing data to how to best target the customers. maria: tell me what you're seeing in terms of commerce today. we have been hearing a lot of optimism in terms of u.s. and europe, tell me about china? >> we are still seeing amazing growth in china, 200 still going at 40% as you iterated earlier. we still continue to see chinese consumers income continue to rise, as they rise, they want to buy more foreign products, we are engaging more with foreign
brands to help them into china. maria: what's your take of what we saw out of administration including tariffs on washing machines and solar panels and we could see it on steel and aluminum, that will make things more expensive? >> yeah, we generally import businesses inside china but global sales is also business for us but not as big in terms of export business but chinese brands are getting stronger and we want to help chinese brands explore into the international market as well. maria: and how do you do that? let me ask you first about china, the last growth numbers 6.9% in terms of gdp, but the regulatory environment is what people question, i mean, if the government puts in certain, you know, regulations that could change the game completely, so do you worry about that? >> i think we still see very strong demand. the chinese economy continues to be very strong and growing at 6.9%, we still see tremendous opportunities. maria: what are people buying, what are sort to have big drivers of commerce?
>> we are seeing everything. we have a broad category in terms of selection. our user base is half in terms of female and male. we have a strong effort to get into the apparel space, one space that we are slightly later in terms of development but we are getting very stronger in. we have made invest to far fetch last year and then we also made investment into vip a few weeks ago, it was announced, apparel is very important industry for us. maria: are you seeing wages to go up? are you seeing a tight labor situation? >> we are not seeing tight laborer but competitive for certain sectors, as we push into technology and china is pushing into ia and other areas. technology talent is definitely in demand. maria: winston, great to see you, winston chang. we will be right back. >> thank you.
>> live from davos, switzerland at the world economic forum, here is maria bartiromo with the special edition of mornings with maria. maria: welcome back, good thursday morning, everybody, thank you so much for joining us. i'm maria bartiromo, and it is thursday january 25th, top stories right now 7:00 a.m. on the east coast. america first arrives abroad. president trump touching down here in davos switzerland to sell economic message to world leaders and why the u.s. is good for investors. the dollar recovered slightly
after treasury secretary steven mnuchin voiced support for the weaker greenback. i asked him about that stance last hour. >> in recent times, you know, going back for a number of years, the treasury secretary has just kind of commented on strong dollar, strong dollar, strong dollar, and again, my perspective is there's a free market, where it is in the short-term is not a concern of ours. maria: and, of course, it is at a three-year low right now, more from my interview with secretary mnuchin and commerce secretary wilber ross and their tax on tax coming up. another record high for the markets, the dow hit another all-time yesterday while s&p and nasdaq were down fractionally as technology stocks led that decline as you can see the nasdaq was down two-thirds of a percent. futures this morning showing a rally at the start of trading, we are expecting dow jones industrial continue momentum, the nasdaq right now up 30 points, about half a percent.
in europe this morning we are watching markets cautious ahead of ecb. the cac quarante in paris is up half a point but the dax is flat to lower. investors are waiting on decision of central bank just diewr due an hour from now, we will bring you now and mario droghi commentary. the worst performer japan down better than 1%. attack on our heros, tragedy in california, a police officer in detroit has been critically wounded. the latest on his condition coming up. earn negotiation the spotlight again, airline earnings all reporting before opening bell. caterpillar a great window into the global economy, we will bring you those numbers as soon as they hit the wire throughout the morning. plus, get rich without trying, the staggering amount in bitcoin
rapper 50 cent had in his wallet. joining us transportation secretary elaine chao, bill gates, my special guest this morning. comanaging founder of sky bridge capital anthony scaramucci. you don't want to miss a moment of it so do stay with us. jam-packed show this morning and we kick it off with this top story, not america but not america alone, that's president trump's message, he has arrived in d -- davos. he hinted last night at what to expect from this trip. >> the economy is doing very well, i'm going to davos to get them to bring back a lot of
money. i made the statement that if we didn't do the regulation cutting which i think is actually -- maybe more important than even the tax cuts, but the regulations i think much different situation but our people are very happy. maria: but could president trump face some resistance from globalist who is are putting america first. joining me right now at the world economic forum is ing ceo ralph, thank you so much for being with us. your expectations for president trump? >> it's a good sign that he's coming, right, he clearly has a policy that is -- it's more focused on u.s. first, clearly, that's the name of it and you see a divide in the world where you have the eu, exuk, china and the u.s., and the fact that he
makes effort to come over to explain policy and how it can actually be good for the world, i think it's a good sign. maria: let me ask you, we have been talking about positives in the u.s., positives in europe, you are one of the leaders in terms of digital banking, what are you seeing from that standpoint in europe in. >> well, you see people moving to digital banking really quickly. we get high approval rates also, then the average people so you see digital banking is now embraced and that's why you see strong growth, we keep growing between 1 and 2 million customers aier and our balance sheet keeps growing on the backs of that. it's basically the model of whatever, you know, digital retailer can do but then to banking. maria: what about lending, what can you tell us about that, that coinciding with optimism?
>> yes, what you see happening, not only in europe but across the world, you see lending picking up. we are growing balance sheet anywhere -- we are focusing on 3 to 4% but for last couple of years we have been growing 5 to 6%. also this year we expect something like that. the most important thing that you see lending being well spread across the different industries and sectors but also in households you see mortgages picking up, consumer lending picking up. that's all in support of the economy, what you see is consumer confidence is the highest since 2001 and -- and the index is higher since 1997. maria: wow. >> the economy is really going on all cylinder and you see parallel growth in asia, europe and the u.s., and that's unique. we should really -- really kind of embrace it and work with it. maria: does it surprise you that even though we have so many positives, you have capital
market business is just okay, not great, you know, you look at fixed income trading and then you have some lending pockets that are not so great like lower feico scores? >> clearly we should still be cautious if it comes to leveraging up businesses, countries or households too much, we should learn from the crisis and not forget about that. that's the real important component. on the capital market side, on the issuing side there's a good business, on the trading side, the whole thing, markets are all going in one direction and the markets numb and not just going into one direction. that's why on the trading side, there's not a lot of money to be made at this moment. maria: yeah, there isn't. what's your take on brexit, when you look across europe, have you finalized plans in terms of what you're going to do in terms of london being a hub when we don't have really certainty and clarity on what's happening with
brexit? >> yeah, this is a real issue for all of us, not only banks before businesses in europe in the continent as well as in the u.s. they have a hard stance against each other. the only way to prepare for this is to expect the worst and prepare for the worst and hope for the best. maria: how do you do that? >> you mix scenarios that make you ready to, you know, to get through it. if the -- if there is not a trade agreement between europe and the uk and now real real playing field there, a lot of experts will be hurt, banking and banking activities will have to be moved on to the continent and nobody wants that, but you have to prepare for it, so you do back-up lines and you make
backup plans. maria: so you have been doing that? you have to do that. >> on both sides they want to do that and in the end this will not be a destabilization of the financial system and with that having a real impact on the economy. maria: real quick, given that you are a leader in digital banking, what's your take on bitcoin? >> well, bitcoin and block chain. bitcoin, i don't understand the underlying drivers, block chain, we are excerpting -- experimenting with it. we cut back in time from 24 days to 3 days, fully digital now and actually i think we can cut frit 3 days to 1 day, you can make it safer and faster and -- and more
efficient so cheaper as well. maria: because of blockchain? >> exactly, only because of blockchain. that's what we have been doing. we have done it and i really believe in that and that will bring efficiency to global trade as well. maria: ralph, we will be watching, we so appreciate it, ralph, ceo of ing, coming up silicon valley's reaction to president trump's new tax plan, microsoft cofounder bill gates will weigh in on the legislation's impact on the technology community. that's straight ahead, alexa patriots to eagles. ai assistant believes who will win the super bowl, you have to hear this in a minute. you know what they say about the early bird...
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maria: welcome back, now this a pair of police shootings overnight, one officer is dead and another critically injured. cheryl casone is in new york with the headlines, cheryl. cheryl: that's right, maria, the first shooting in colorado near denver, chasing a suspect in assault case shot and killed. massive underway for suspects, residents urged to stay inside and away from doors and windows, dozen of mourners lining the
streets with blue lives matter flags. he leaves behind a wife and family. meanwhile in detroit a police officer is fighting for his life right now after being shot in the head. the suspect firing on unidentified officer who is sitting in police car, the man also accused of assault arrested after an hour's long standoff with police. well, the security exchange commission is investigating general electric accounting practices this coming after ge conducted internal review of ge capital insurance portfolio and decided to take a 6 billion after tax charge. right now though shares of ge are down about 45% from a year ago, more trouble for ge, maria. earning season is rolling on, three more dow components are reporting quarterly results today, caterpillar and 3m due out before the bell this
morning, caterpillar earnings per share expected to more than double from a year ago and analysts looking for sharp gaining for 3m and intel which reports after the bell today. as far as the stock, cat catpillar71%, 3m shares up 40%. i was just showing by the way. we will also hear from starbucks, earnings expect to increase nearly 10% from last year, starbucks stock is up more than 3% from a year ago. and then finally, maria, you're going like this one, rapper 50 cent can add a few more coins to his name, bitcoins actually. ♪ >> this is the hardest -- cheryl: get this chris jackson made a fortunate discovery, $8 million worth of bitcoins he
had stashed years ago and completely forgot about. this went down in 2014. 50 cent let fractions of bitcoin, at the time bitcoin was only $262, there's today's contract, 11,000 and change. 50 cent with the humble brag on instagram and twitter said this, quote, not bad for a kid from the south side, i am so proud of me. he may like 400 grand at the time, maria. [laughter] cheryl: there he is. maria: that is funny. we have to get dagen's reaction on that one. i mean, look, dagen, the price has skyrocketed so i get it, he forgot, i guess. dagen: not a humble brag, just to brag. i call him curtis jackson, i interviewed him. i do not call him 50 cent. ly point out in terms of financial no how, he did have to file for chapter 11 bankruptcy protection back in 2015, the case was discharged about a year ago after he paid $22 million in
debt. so, again, much is always made of his financial but he has gotten into financial issues in the past. maria: would you rather be lucky or smart? dagen: smart. all day long. [laughter] dagen: beauty might fade but idiocy is forever. >> cheryl: i will take the 8 million, maria. maria: there you go. we will take a break. technology companies are impacted by the new legislation. that's next, and then southwest quarterly earnings take flight with the beating revenues and estimates, we break down the numbers coming up back in a minute right here.
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>> we have it is -- tax reform x cuts done last year, we couldn't be more committed about that. that's american jobs and growth for american workers, we have the largest delegation than we've ever had is to say to the business, we are open for business, attractive for business and come invest in the u.s. and a good u.s. economy is great for the rest of the world. maria: treasury secretary steven mnuchin here in davos, one sector reacting positively to the plan, the technology community. i was able to talk with microsoft cofounder bill gates on what he thinks of reform and battle of daca and bill gates
foundation was not sold on impact on tax plan, listen to this. >> it's incredibly positive story in that from the year 2000 till now we cut debts by 60%, so it was about a million and now less than a half million. it's not a thing that private sector would choose to invest in so through grants we go through the private-sector companies whether they are small biotech and new insecticides from the drug companies, new drugs, new vaccines and, you know, it's purely that the government money and, you know, we want to cut childhood death half again, 10 million a year, 5 million now, by 2030 we want to be at the low 2 and a half million, but unless you are serious about malaria, you will never get there because that's a half million right now. maria: has technology played a
role here? >> technology is very important because the software that lets us understand how to invent new drugs and lets us model what's going on with the mosquitoes, how hard to get eradication, we have very sophisticated software models that are being used and then we use cell phones to track where the cases get that gps location, so it would be very tough to do this without modern digital technology. maria: bill, i was reading an article and this was written literally about 15 years ago where you predicted how the world would change in the next 15 years, everything you said is happening today, whether it'd be we are going to be ordering goods and having them delivered and online and we are going to be talking with each other, can you talk to us about the importance of ai and how lit change the economy? >> well, it's simply better software and so, you know, seeing one place that it's super
exciting is that when you have excusers that can see, then looking say on a reform, worker is not wearing a helmet, is there a spill somewhere, in the high-value environments whether it's operating room or a jail or a factory, courthouse, you'll be able to transcribe everything that's being said and you'll be able to see things if they're safety violations, even a construction site and so you'll be far more efficient using resources, far more aware of what's going on and it's very cheap now because computers can see and hear as well as humans can. maria: your foundation has also focused on jobs where we don't see many jobs and i want to ask you about that in relation to ai, people are worried in terms of ai machine-learning taking over for humans? >> well, certainly we can look
forward to the idea that vacations will be longer at some point, if we can actually produce twice as much as we make today with less labor, you know, the purpose of humanity is not just to, you know, sit behind counter and sell things. you know, more free time is not a terrible thing, it's not a case of shortage, now, the government in terms of adjusting and having safety net that works so people can get retrained it would be changes because the rate of change will be faster in the next 20 years than it's been before. this is a problem of excess where you can make everything and so can you redirect people to help the elderly to reduce class size, to help out kids with special needs, you'll have the resources because you'll just be so much more productive. maria: let me get your take on the most recent policy, tax cuts, do you think this was a good idea? >> well, every country has very
complicated tax codes. have to say did it serve whatever you want to do about equity, and i won't say score high on that, long-term affordability. so as a percentage of gdp it wasn't gigantic, we had strong business environment going into it, so i don't see it as a huge plus or huge minus, when you step back and look at what we are focused on which is helping the world's poorest. maria: when you look at something taking money back from overseas, wouldn't that be something that encourage large companies like technology, like a microsoft to take money back? >> well, our money is always been accessible. apple issues bonds, microsoft issues bonds, apple buys microsoft bonds. the money really wasn't like sitting in some far away place, you know, companies decide to
invest based on the pnl structure and not just at pure asset structure, so, you know, fine, but it doesn't really change which projects are starting, how many engineers are employing anything like that. maria: i've got to get your take on the employment situation right now because there's this whole debate about daca, brad smith from microsoft, president, we had him earlier, he wrote a letter to president trump, we need to protect the dreamers in terms of daca, when you see what's happening with machine learning, you see where the unemployment situation is, it's almost full employment, we need immigrants to come in, isn't that right, how would you characterize the need for work today? >> well, we built the country on immigrants. we are a very lucky country where lots of highly energetic and talented people want to come to the country, exactly what the policies should be is complicated. people were young when they came
here, they have spent most of their life in america, you know, they want to contribute, i certainly believe that we should all want them to stay and contribute so i'm hopeful that the dreamers can be put -- you still have a lot of immigrants where you want to clarify what they should get, we could get the dreamers and look at immigration more broadly. maria: let me end where i began, malaria and foundation, has it been an easy sell for you, i know it's largely coming from governments, do people understand the importance of the issue, do they understand that we are not where not where we need to be in terms of eradicating? >> polio, their parents or grandparents remember that fdr was paralyzed by polio and that people in the 50's were really afraid of it, hiv, of course,
the u.s. had hiv epidemic and still has a challenge with that. so those are easier, malaria hasn't been in the u.s. for a long time. our best case is where people actually have an opportunity to go to africa to see how much progress is being made, so whether it's politicians or scientists, encouraging them to get out there and see the great progress. maria: my thanks to bill gates joining us this morning. we will take a break. when we come back, improving america's roads and bridges, transportation secretary elaine chao weighs on the agenda alexa taking sides, what pick of the team to win the super boll coming up next. ♪ ♪
i am maria bartiromo. your top stories right now. 7:30 a.m. on the east coast. president trump arrives in davos. he makes good on a promise to make america first. about the reaction from companies on this historic tax overhaul. the response that we've seen in the short time of them bringing back hundreds of millions of dollars. all the banks in manufacturing. people now investing tens of millions of dollars in the u.s. and giving workers raises. this is what this is all about. we are looking at a response. it is raising prices.
steep new tariffs on imports. there is a sense a very constructive change in world trade. were actually sectors anymore. as a they take another record yesterday. the s&p and the nasdaq well lower on a declining technical stock. the dollar keeps sliding. up a new high. the momentum continues. it's expected to open up about 90.2 hours. it's also higher. half a% higher this morning. in europe this morning different story. more of a cautious tone. the ft 100 is up about ten points.
in asia overnight markets closed mostly in the red on the weaker dollar with the exception of korea down better than 1%. airline earnings airline earnings taking flight on wall street. along with caterpillar we will bring you those numbers. american airlines just hit the wires. the numbers beat the expectations. earnings and revenue were above estimate. who's going to win the super bowl. she's making a big call for a big game. who does she think will take will take home the lombardi trophy. president trump arrives just about an hour ago he is joined by several key cabinet members. the president is talking about a $1.7 trillion investment in infrastructure that is a lot more than the $1 trillion that we had anticipated i spoke to
elaine about that. it's been good to cost much more than we expected. we began with the begin with the future of self driving cars. i'm concerned about the safety of our transportation system the aging infrastructure and also preparing our country to face the future. in the transformative nature of technology is very exciting but also cautions us about safety security accessibility and also privacy. we are now seeing self driving cars at a stage to level and we are beginning to see an increase pilot program and how we can increase automated driving systems to make them safer to help and teach them how to drive in urban areas
these are important transformational changes that are impacting the sector. i think it will come not as fast as some people would say but sooner than many of us expect. in terms of why we are looking at the automated driving systems. 94 percent of accidents occur because of human error. we can reduce the human error and we can increase safety on our roads. the second issue is assess ability. we look at the elderly and also people with disabilities. if they're able to access automated driving systems and self driving cars they will reclaim their freedom so in terms of their quality of life it is wonderful. >> what about error when it comes to technology.
how do we know were not to get into one of these self driving cars. that is what the security comes in. as you mentioned anyway that the computer system is compromised the net prevents a very large issue not only on our roads potentially in terms of security each one of the cars will become a weapon. we need to address legitimate issues about safety concerns privacy concerns security concerns as well. on a government level what you see getting accomplished in terms of self driving cars. as a partnership between private and public in terms of creating this new industry. we as regulators have a very important role in fostering
this new emerging technology. my role is to ensure that government acts responsibly. and that means to promote the creativity and innovation which gave rise to this technology into make sure that it remains a part of who we are as americans because the innovation and the creativity is very much our preeminent advantage we need to make sure that those issues that we just mentioned about security about safety are also addressed. in fact we had put out on january 10 for request for information. we are not the fountain of all wisdom. we've asked them to give us their view on what is happening -- hampering the creativity and new ideas in the sector we've also put out
a new guideline a vision for safety 2.0 in which we have voluntary guidelines to the states that are also proceeding with regulating on their own and i'm afraid there may be a patchwork of state regulations on automated driving systems. we want to make sure that were in partnership with the states that were sharing best practices and that we are all regulating or pursuing the common goals of preserving innovation while protecting safety in a responsible way. whether it be the rulemaking or the regulation. thirteen years just to approve a bridge that has been enough already. i was just in alaska and i actually gave approval to build a bridge and the
approval was 35 years in the making. the hoover dam was built in four years. so we have to do something with the permitting process and that is another very important initiative that we are taking throughout the whole government. and when would you expect that to come to completion. it will be part of the infrastructure proposal the state of the union would be january 30. the infrastructure proposal will finally come out. there has been disagreement about how to pay for we are thinking about a trillion dollars and overall spending $200 billion in direct government funding minimum and the west -- rest would be
public private partnership. some receipts don't allow the private sector from participating in the building up public infrastructure. and yet there among the greatest sources of financing for public infrastructure we are working with the states to remove some of the barriers there and also with the new infrastructure proposal so this will be the next big priority out of this administration. i don't know how you deal with some of these disagreements. we just saw the government shutdown. you got the government to open again. how hard was that by the way. the majority never wanted to close of the government. it was a minority. on the very narrow issue which the president has already says needs to be addressed by the congress before the midyear. the issue about that will be
addressed. that was part of the reassurance. when all is said and done just yesterday he said forget about the deal on the wall. i'm hoping our infrastructure that will give us a chance to be bipartisan. we want the infrastructure built to be a bipartisan effort there is great disagreement as to how to fund it they are saying that will put $200 billion of the $1 trillion but the private sector come in because there's a lot of money in the private sector and the democrats are saying they want 100% financing of the $1 trillion which obviously would be an incredible deficit spending proposal and it would create some havoc with the private
markets. i think private companies can participate and in we should allow them to participate because there are many private pension funds that are looking for long-term investments. they want investment that will not walk away and certainly a road or bridge would not walk away. we will be watching the cost of the infrastructure plan. helped him to fix his flat so he could get home safely. my dad says our insurance doesn't have that. don't worry - i know what a lug wrench is, dad. is this a lug wrench? maybe? you can leave worry behind when liberty stands with you™.
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a new fox news poll shows that 40% of those polled that the trumpet ministration has made the economy better. we are here with larry singh. it's been so great to have you join us. congratulations. much of it have to do with the market. the markets were extraordinary worldwide. you can say about $620 billion was a market appreciation that was new money coming in because people want to be investing in stocks as they see the stock markets going up. some organizations need to have an asset allocation model and as they go up they rebalance it's very dynamic but i would say looking backwards we saw flows in the
alternative space. we have large flows in our multi- asset area. sixty-seven products added a billion dollars last year. thirteen countries added a billion dollars. it was broad-based in global. do you see them putting money into areas where they feel the tax benefits are there. do you feel like people are changing their investment plans based on what we are seen seeing in that tax bracket. it's my hope that they start recognizing that it was bad to be in cash. we have a 3x increase in our infrastructure market. there is more money is sitting in the sideline than we've ever seen at this moment. in france as you named they have a specific problem in the
finance minister are trying to invest. they don't invest over the long run. imagine the world economy if people were managing their savings to meet their long-term obligations. retirement, so they have money properly placed in the needs and the duration of the assets meaning if you are have a retirement that's a 40 year obligation. he invested over the long horizon. how much more economic vitality would we have seen worldwide. the chinese our saving 45 percent of their disposable income. there is not a safety net there. but chinese policy has now impacted those. they're now preparing to help those it was a worldwide
phenomenon in the united states and the the biggest phenomenon is the under savings. and what's really concerning me we have the strongest economy that we've had in 12 or 14 years we have huge wealth creation and the equity markets but we don't have a large broad participation. in equity markets. and so this is something i'm very focused on its ironic everything feels good and yet the anger is still around and you see it worldwide i believe there is just a fear of the future whether it's from technology if indeed we do have driverless trucks. what they should be doing is investing in a broad portfolio
that i think this is one of the real problems. one of the things i discussed throughout dallas is we need to focus on a financial literacy. more of the population understanding their needs as we moved away from the defined benefit plans. we have not given them the tools to properly navigate that. in the united states and worldwide. we believe we can use technology to help financial literacy. you really want to be long-term in equities. larger than the balance sheets
and entire governments. you had been using your powerful positions to encourage companies to do the right thing. encourage the financial literacy. how can you really move the needle on that? everything is incremental. and i think we will be responsible for any major change but i believe we need to change the dialogue. as a larger shareholder of many companies in the world and in case most of those assets are in our index products those products even if we hated the company i cannot sell those assets. in an index we have to own those companies and so therefore we owned a lot of companies and a lot of good companies. and we believe more money is moving into the index over the next five years. as a result there is a deeper and deeper responsibility to focus on the long-term.
what we are trying to tell ceos and chairmen more and more a people's money is going into index. that is a good thing for you because of long-term money that is interested in investing in you. to manage your company for the long-term. there is no question i'm a public ceo. some of my investors are short-term. they've done very well. and so my corporate letter this year it was talking about focusing on the long-term identify what your long-term strategy is. and then i made a broader statement that i said companies need to have a purpose when employees understand the purpose it
becomes a cultural carrier. when you have a strong community of employees generally companies you better. if your clients connect with that purpose they will do more business with you. which is very optimistic. there was a little bit more pessimism. we are pretty bullish on what it will due to the economy over several years. if we were growing at two and half we would not be some
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banks manage interest rate changes and airlines hedge fuel costs. all so they can manage their risks and move forward. it's simply a matter of following the signs. they all lead here. cme group - how the world advances. >> live from davos switzerland at it the world economic forum here is maria bartiromo with at the special edition of "mornings with maria." >> good thursday morning. welcome back i am maria bartiromo. it is thursday, january 25 we are live from davos in beautiful swiss alps top stories 8:00 a.m. east coast america first arrived abroad president trump touching down mere in davos, switzerland, about an hour ago, to sale his economic message to business world leaders kooebt making headlines ahead of his big
speech, this morning, i spoke with commerce secretary wilbur ross about stiff triariffs. >> every time someone violates trade rules that to me being a of war -- dumping steel act of war did you meaning aluminum an act of war dumping anything what i had in mind in terms of conventional definition we drop tariffs the next guy does kind of race to the bottom that is not when we're talking about nor do i think there is any chance of that happening. maria: more from my interview with wilbur ross treasury secretary steven mnuchin coming up another day another record dow jones industrial average all-time high the s&p and nasdaq dropped the momentum continues check outs dow industrials expected to open up big this morning, up 75 points, quarter of a percent higher the nasdaq up a
half of a percent this morning, that is 36 points higher, we are expecting a strong open from u.s. market, in europe ecb left interest rates unchanged we have got the headlines from ecb, mario draghi about to a speak to the press about what he is going to do with stimulus the markets are reacting positively to ecb leaving rates where they are cac quarante in tarris up a third of a percent ft 100 up a fraction redaction index positive by a fraction in asia overnight markets closed mostly in red on weaker dollar tactically here, as you see, markets lower japan the worst performer nikkei average down better than 1%, liberty hits ice video bald eagles take a break from flying for down the miss inside earnings to focus on wall street caterpillar american airlines 4 quarter numbers be the expectations cattle pillar up 3% that is a dow component will help market, in terms of of the dow
american airlines higher by a third of a percent southwest up one and a third, percent, jetblue is down a, from a, in 3m shares up 3%, all that coming up this morning, first our top story this hour, america on world stage, president trump is hear in davos this morning with his america first agenda, he set to meet with slew of world leaders address world economic forum tomorrow i statistic down with mnuchin and ross going to bring some joining me founder former comanaging partner skybridge capital anthony scaramucci great to see you. >> great to be here. >> thank you so much for joining us. >> i love the set, love everything about it shout-out to larry fink i didn't wear his jacket very impressed. >> not that cold but certainly has a lot of snow, i want to ask you about the messaging that year hearing out of this administration, i want you to take a listen to steven mnuchin and wilbur ross what they had to say a few minutes ago. >> the president also said
look we're looking at aluminum we are looking at steel should we expect tariffs there. >> i submitted 232 reports on aluminum, and on steel. steel first, and then aluminum a week or so ago he has about 90 days left and during that period he will consider what to do. >> you obviously have been in the front row seat of this issue, in terms of steel, agency private businessman your career, is there dumping going on in steel? >> incredible. incredible amount. >> yesterday you said there have always been trade wars, that the difference now u.s. troops are now coming to the ramparts were you suggesting u.s. is engaging in to some when a of a trade war or just the way people look at it. >> -- what i meant was this every time someone violates trade rules that to me is act of war. dumping steel is act of war dumping aluminum an act of war dumping anything, forcing
technology transfers same thing that is what i had in mind. but in terms of of the conventional definition name bee we drop tariffs next guy next guy kind of race to the bottom that is not what we're talking about nor do i think there is any chance of that happening. maria: you are engaged in nafta talks. >> right. maria: when would you expect clarity in terms of what new nafta deal looks like. >> well, i think you are going to probably have some outcomes from monitor trtréal talks goin audio round scheduled a few weeks later, i think those two will begin to get to the series issues. the issues that have been dealt with so far have been mostly ones that are important in a sense but not make-or-break issues. we are getting to the important ones, and that is the rights sequence start with easy things build into momentum, and then get to the tough things toward the end
end. maria: were you surprised to get all this focus in question? about your comments, that a weaker dollar is good for trade. >> again, i am is a about it surprised my comments dollar had been completely consistent with what i said over the last year, but for whatever reason, they have been amplified, the last two days, so let me be clear on my view on this is the dollar, is one of the most liquid trading markets in the world. it is the reserve currency, people have confidence in the dollar, and the safety of the dollar, where the dollar is in the short term, is not a concern of ours. in the long term do i believe the dollar will strengthen in long term, as a result of the u.s. economy the growth the economy everything else but where it is short term is not a concern of ours. and my comment was just stating the fact which in short term, a o lower dollar is helpful to or trade
counterbalanc imbalance a statement of fact we support free occurrences other people intervene i think you know treasury put outs you currency report we have issues with other people emhave currency intervention so market will reflect the where currency are again when you look at it over last hour last day last week, three years five years, it moves. maria: yeah, but i guess in past administrations the treasured secretary was also a worried about saying anything about dollar you were honest you basically said what is obvious that a weaker dollar is good for trade. but you know in the past, a lot of interestsry secretaries way we believe in strong dollar policy even if actions didn't support that. >> i think that is the case, and i think, i think part of the reason that this is created a lot of news is because in recent times, not all times but in recent times you know, going back for a -- a number of ulteriors, tof year secretary commends on strong dollar strong dollar strong
burglar they perspective there is a free market where where it is short at or about the time is not as a concern of hours. >> seem from europe said they were change strategy in terms of investing. >> every ceo we talked to here from yyou european company is putting more in u.s.. >> initially into europe now shifting to u.s. they think the tax policy is much more about attractive. >> absolutely. >> so better than you expected -- >> i will tell you the response from companies we thought this was going to be fabulous turned out to be amazing the response that we have seen in a short period of time of apple bringing back, you know hundreds of billions of dollars, of companies whether at&t, bofa you go down road jpmorgan all banks manufacturing people now investing tens of bloof billion u.s. giving raises what it is all about we couldn't be happier with response as secretary ross said the research we hear a lot of people talking about shifting
their operations back into the u.s. maria: all right treasury secretary mnuchin commerce secretary wilbur ross i am with anthony scaramucci this morning what did you think about messaging mnuchin caught a lot of federal law being for commen -- a lot of flak for comments. >> i think he did a good job explaining what he meant broadly what you are hearing from them that is for about 25 years, the watch on trade meaning the guardsmen on our economy were very lax, let companies dump steel do things like that manipulate currency, they let countries take advantage of the quota system as related to trade into united states we didn't do a lot to regulate that clamp down on it, it did have in their opinion in my opinion as well certainly president trump's opinion deleterious acting an middle class lowe
middle class related to he disposable income three things reforming tax he had to to make it better for corporations to put ebb doefbl income in hands of lower class middle class families number two saying notice of to everybody in davos switzerland we are okay with free trade okay with symmetrical trade no longer okay with asymmetrical trade goods and services flow into united states freely our stuff embargoed in other places what secretary ross is talking about dumping of stuff. last point i think the president message is going to be about an america first strategy, is phenomenal for the world 23 china is saudi arabia of manufacturing united states has been the saudi arabia of consumerism if we can get aggregate did he manned up in in middle class lower middle class, that will unleash -- it had will unleash legendary growth for the world
i think the message president has. >> you have to believe tax plan signed into law, actually did unleash spirits already there is a long-term impact. >> very interesting about 50 years from now a presidential historian will write that he had a teddy roosevelt moment where teddy roosevelt with robber barons in first part of the 20th century said knock it off, start paying your workers more, flush the money through the market system not through nonsense like socialism over governmental regulation, but flush the money down to workers, there is a paradox you become more rich you become more successful, it is really a teddy roosevelt strategy more than andrew jackson strategy in my opinion. >> you make a really good point let me ask you about state of union next week president has good story in terms of legislation on taxes, what do you think he should focus on we are waiting on what next policy is we are assuming infrastructure, but then you've got daca situation in terms of dreamers. >> yes, so i think that is really what it is going to be i think going to restate what
happened over the year, i think he has a lot of stuff topin hat on for that got to address daca situation, i think he will do something unpresentable next three to six months -- unpredictable -- negotiate with democrats find common ground with them nonsense they pulled on him 55 minute press conference senator durbin said what he said is a bunch of nonsense at the end of the day, guys as many get in a room together, there is common ground cut deal favorable for markets about favorable for you business put at ease negative rhetoric throne at president frankly unto you understood. >> breaking news right now home depot providing 1,000 dollar cash bonuses to hourly workers. that is -- >> a situation right now, here being left out of the situation, they got to get out there, so they can get the positive press, and think about what the bully pulpit
does through moral suasion the policy that he can drive an agenda that is really good for american people, and long term, will be very good for the world. >> let me ask you about markets you obviously have been he ben markets guy a long time watched upset and ups and downs, 7 1/2 trillion dollars new value again markets don't go up in a straight line do you expect markets continuing to record territory in '18. >> anybody at this, this is 30th year observing markets knows can't go up straight line knows there will be more volatility, that is why i caution people at home to have a rationale practicing asset lotion plan some in market some bonds and cash as whating on in market because forecasting future earnings growth forecasting better profits for companies remember you take taxes down from i guess they were 35 -- >> 40% look at local as well. >> exactly.
>> 21 huge deal. >> a little bit of tightening better technology in your company, you are probably going to drop 40 to 50% more profitability down to bottom line, so the market going up 7 1/2 trillion dollars is in line with what the predicting to happen i am he okay with market here one measurement i think professionals use price relative to overall gdp if it goes over 200%, then that is in red lighted zone people have to be careful not there yet i do think we are going to have surprisingly good year this year, just because of what is happening in taxes in united states. >> they are looking at 23% earnings growths for s&p 500 in 2018. >> those companies will use some of that profitability to apply back stock you know, as you shrink the denominator in that situation more powerful on epi.ss. >> we leave it eps. >> always a pressure fwooed to see you -- >> i should have took jacket off. >> more macho larry fink was more macho than me today i am
about upset about it. >> you are macho we know you are, anthony scaramucci. >> brooklyn girl now really good pm. >> macho we will be right back, stay with us. good luck out there, captain! thanks! but i don't need luck, i have skills... i don't have my keys. (on intercom) all hands. we are looking for the captain's keys again. they are on a silver carabiner. oh, this is bad. as long as people misplace their keys, you can count on geico saving folks money. fifteen minutes could save you fifteen percent or more on car insurance.
as you he mentioned, hourly workerers in united states going to will get cash bonus up to 1,000 dollars, the company also saying yes this will have impact on fourth quarter earnings, many, of course, telling us a hit to the earnings, but comes at fiscal 2017 fourth quarter numbers for home depot, there is the stock premarket up more than a quarter of a pooercent. >> target, the launching same day a could delivery service in florida using target acquired for 550 million dollars grocery deliver company more than six million in florida access to products from target delivered by ship target up 20% from a year ago. all right, speaking of amazon if you thought amazon alexa was going to stay quiet for the super bowl it is clear she is taking sides.
>> who is going to win the sprurl i am going with the algae epgs on this one a relentless defense momentum riding off underdog statues. >> les, eagles -- ea-g-l-e-s. >> pulling for underdog, all over social media people having kind of a kick about it, amazon shares up 62%, over the last year, we shall see and speaking of the eagles check this out, bald eagles can fly as high as 10,000 feet they decided to save energy let ice take them down mississippi river a nature lover captured video in illinois last month just put on facebook gone viral no word on eagles final destination but have a nice swim maria. . headlines. >> i love that video, that is so beautiful. actually. yeah, thank you for that
cheryl dagen reaction to that we have a lot to talk about do we talk home depot another company added to list of 1,000 dollar checks or eagles? dagen: let's talk about wildlife and appreciating the beauty of nature, to any eagles fans thinking about tackling a horse remember that, that will make me root for the patriots, something i would never thought i would say. >> dagen i know that you are you saw the op-ed this morning in the journal, really criticizing mnuchin calling out dietary saying it is better to be weak for trade what is your take >> i have i have it in front of me tar irrevereniftariffs, t greenback bad surprising upsetting from an administration that has tone so much to juice economy growing fast evident pays 12 years executing taxes tax reforms for businesses
individuals getting out of the way of business cutting regulation this drives up prices for americans from imported goods would raise interest rates in a nation to up our eyeballs in debt, not good. maria: we already saw lg raise prices talk about that coming up next big break and back in a minute. we use our phones and computers the same way these days.
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great to see you thanks for being here. >> you have to be feeling good about where markets are, you are obviously investor are you fully invested pretty fully invest where we have choice yeah. >> do you think going to continue. >> i think so i could get boring zuk in groove on this u.s. equities remain buy o dips i reason i say even though gone up a long way since election, that he rises is fully justified by changes in corporate taxes, if we see decent growth next two or at least yooshgs equity ought to be able to go higher i thought of the analogy 1999 internet bubble we are in 98 not 99 ratings not that high fundamentals really pretty good. so that we had another investor on earlier said he is expecting a 15 to 20% gain in stocks in 2018. >> it could happen. my expectation is probably more like 10, i think 80%
chances it could be 20% easily may be 20% probability one of these negative tails risks goes wrong, oil supplies from gulf, may be somewhere in the world, all those things are possible, not expected, and it is very you don't invest for a 20% probability. the 80% probability is resession 3 years out still pretty good growth. >> you are is what -- >> just under 450 billion. >> 450 billion dollars allocating that where? what sectors areas do you think are poised to move higher. >> i continue to like u.s. equities particularly small and midcap domestic earnings dmechg u.s. economy things we are hearing will get boost remember we talk a lot about the day-to-day a little bit, really interesting, but the united states has got most productive most innovative
private sector in the world, that is the main draw on capital, so i expect that to continue to be the case. i actually in contrast for european equities the strength may happen because of a generally good liquidity tone in market but i think the growth for the long term less sustainable. >> we should point out that the ecb left interest rates unchanged today, and european economy seems back to growth. >> yes. maria: you are saying sell on strength there, buy the dips in u.s., technology for a second this is something you have been focused on recently you are seeing more and per money managers buy technology in terms of tech companies so that they could organize data, that they can mine data tell me about that. >> we've been, in the data science business quite a long time, it is to us it is an adjunct to traditional research not a substitute for it, and we've got long term pretty successful track records, for those -- the --
steady use steady use of fundamental research, coupled with some very sophisticated data analysis we have so far done that mainly by organic growth but i wouldn't rule out an acquisition, too i don't think we need an acquisition, because we are pretty leading edge in data analysis. >> data is incredible, the more data you can gather mine will tell you more about your customers, more about what they really want. >> using machine learning artificial intelligence, this is one of the biggest topics at this conference, as businesspeople talk, is how they can strategically use data science artificial intelligence, and that is something i think will continue to be an important driver, probably more than mostly people think technology is quite inflationariry keeps costs down makes you able to do more with money that is pretty good but it does to inflation looks deflationary in economic eating. >> speaking of inflation do
you worry at some point we are talking about higher wages inflation for all the right reasons, by the way, because economy is growing, but would that be the catalyst to take this market off track. >> it could in theory be i am not very worried about that. in a sense, if it was going to happen easily would have happened already, you know. on the tailor rule we ought to have had bit of facing already we really haven't had it i think that is the key, about technology is keeping inflation from coming in of a ta fast might happen but probably slow. great to see the show you that enjoy davos. maria: we appreciate, jim joining us there take a break whether we come back president trump arrived in davos with america first message what to expect head of the president's speech, at world economic forum tomorrow we will talk about that, and future of artificial intelligence, we've got more on that, the ceo of accenture north america on how technology is boosting
switzerland at the world economic forum. maria: good thursday morning. thanks for joining us. i'm maria bartiromo. it is thursday, january 25 your top stories right now, 8:32 east coast president trump arrived in davos amid a booming u.s. economy the commander in chief taking the world economic forum by storm, as he makes good on the promise to make america first, he is with a big presence with cabinet i spoke with treasury secretary mnuchin earlier this morning. >> this is all about american jobs, growth for american workers, the reason why we have largest delegation here we have ever had, is to say to the world we are open for business, we are very attractive for business, and come invest in the u.s. in a good u.s. economy is great for the rest of the world. maria: this comes as yet another american company rewarding employees we learned home depot will give hourly u.s. workers 1,000 dollars cash bonus due to historic tax overhaul, joining a long list
of other companies to do the same, that is key talking point for the president in definitives along with trade, now we are seeing response, this morning, lg says it is going to be raising prices following commander in chief decision is to slap a step tariffs on imports solar panels washing machines i spoke with customers secretary ross got reaction. >> things are changing, there is a sense i am gettinged a very strconstructive change in world trade i think they know we are not going to be suckers nightmare. >> another day record for stock prices dow new all-time high s&p 500, nasdaq lower, on a decline in technology, this morning we've got momentum, on buy side futures what we are expecting from the markets in about an hour, at the open we are at highs of the morning right now the dow jones industrial average stet to open up better than 100 points that is one half of one percent markets looking at this tax plan as having long legs in terms of of the impact, s&p 500 higher 8 and 1/2 a third of a percent
the nasdaq higher by 45 points right now, two-thirds of of ans hire weekly jobless claims 233,000 better than expected this is driving markets this morning, in europe, european central bank lowest -- left rates unchanged high of the morning ft 100 up a quarter of a percent 14 points higher cac quarante up a half of a percent, 26 points higher the dax income tax in germany up a fraction, 23 points higher, on the dax income tax in yairnt markets closed mostly in red, on a that weaker dollar the dollar, at a 3-year low, on the comments from treasury secretary mnuchin saying a weak dollar good for u.s. trade earnings, that is also powering markets this moshth cal pillar are american airlines names out both above expectations caterpillar dow component up 4% that is one of the reasons markets are higher this morning, caterpillar, strong in heavy volume, top story this half an hour, machining fir-- america first,
not alone to heads of state at world economic forum in switzerland blake burman in too fast with the very latest on president's agenda good morning to you. reporter: good morning to you as well commerce secretary ross treasury secretary mnuchin clarifying comments on very program i got a bit of play in davos yesterday the commerce secretary ross saying yesterday that trade wars are happening every day, socially that u.s. troops are gearing up, ross saying this morning he does not feel there is going to be a race to the bottom, and that his comments yesterday are recognition that others are engaging in trade abuses. >> what i meant was this, every time someone violates trade rules that to me is an act of war. dumping steal an act of war dumping aluminum is an act of war dumping anything, forcing technology transfers same thing that is what i had in mind. >> he moved dollar to downside saying a weaker dollar is is
good for u.s. as it relates to trade, he said this morning, that what he said yesterday was just a recognition of reality. >> my comment was just stating the fact, which in short term, a lower dollar is helpful to trade imbalance has certain benefits a statement of fact. >> president trump is here in davos now, mnuchin saying that they feel that the administration has a really good story to tell while they are here 3% gdp tax cuts the companies, all across the country that are giving bonuses, on down the line the president will make his speech here in davos tomorrow, by the way, of this huge delegation that is here, in davos, that does not include the chief of staff kelly. he stayed in u.s. to deal with daca and immigration issues. >> we should point out blake that it is true that past administrations always said we believe in strong dollar yet never did anything about it really, really wanted a weaker
dollar. >> mnuchin saying hey, what i said it is just reality. you know, he testified earlier this year saying we want a stronger dollar i believe in stronger dollar but day just said this is this is -- where things stand. >> exactly blake burman here with us in davos, future is now. and so is the chance to invest, accenture business invest in a.i. technology human machine learning collaboration they could look to revenue by 38%, in employment levels 10% by 2022 joining me here at forum in switzerland is the ceo of accenture north america, julie, great to see you. >> great to see you -- >> those are big numbers. >> they really are, pretty excited, as you think about the growth the companies have right in fronts of them. >> tell us about that, because there is a lot of debate about this. that people feel like we'll, if you have got machine learning going to replace the jobs for that humans have worried about machine learning. >> we really see that it is
not about jobs, it is about skills, if you look in u.s. today 6 million unemployed 6 million jobs that are open. the mismatch between skills and so what we really see the promise is not the focus on jobs, but how can human beings and machines work together, better to drive that growth. and our research shows that if you make the investment, you not only get 38% growth, but a 10% net increase in jobs our viewers want to know what does all this mean for me? tell me what your research says about the skill sets that are required to thrive in this new normal? because we don't want to just go into future not understanding what we need, somebody made comment earlier what is a truck driver know about you know, a.i. what does what does a steel worker know about this what are skill sets our viewers need to understand. >> i think long term from educational basis computer science is going to be like comlish -- english and math
based on being digital, today we are seeing jobs for example, lots of our clients are creating their alexa for every company they want their own personalities, and having to hire people we call these no collar jobs to train what is that personality going to be like that becomes the brand right and different from an old line company to a tech company, that is one example, we see jobs that are going to be created to train, machines, probably more importantly is the growth that condition be opened up by actual redesigning, business models business processes to create more jobs, but the key is are companies and governments going do collaborate to skill people and up skill them? right. >> i feel every industry is using a.i. every industry from financial services, to faction fashion retail what is big opportunities in ainside big
opportunity is giving shumz super powers do things much faster i am a breast cancer capital i love the capital of harvard pathologist looked at doctors reading pathology machines separately 96% accuracy humans 92, together 99.5% you can replicate that it can solve world problems, feeding hungry presignatures agriculture resigning how you do maintenance, safety, the cases endless however we need to think about implications on jobs. >> yeah, you know we are innee ad saudi arabia a couple months ago in riyadh met sofia robot first citizenship now modelling incredible uk based stylist manager celebrating 100th issue with sofia on cover is this 2 norm? i am not sure how you i feel about sofia. >> we see norm being the two
together. right, another style example is great, where they have got artificial intelligence finding fashion human designers i leave you with one important fact as leaders in davos one of the issues we have to decide and we are talking about is how do we make sure that everyone is benefiting right now only 3% of the executives we are serving going to significantly increase investment in up skilling people so we've got to make sure that the economic growth that we are still optimistic about, right, that we as leaders, are working together, to make sure it is inclusive. >> important point you make education is really critical in this new norm good to see you. thank you so much, coming up president trump has arrived in davos with america first message, stuart varney will weigh in next, then american airlines releasing fourth quarter earnings booth earnings revenue sometime thes we break down the numbers, back in a moment. show pictures
president trump just arriving in davos, for meetings. as you can see arriving here at main congress center wi entourage to make a speech tomorrow 2 pm local time will meet with prime minister of the u.s. soon he has a number of bilateral meetings on calendar first which includes the prime minister of uuchtk theresa may ahead of brexit negotiations hoping to make a deal on trade between u.s. and uk we bring any details from that again this is pictures into nice room a moment ago the president has now arrived and the main congress hall here world economic forum. >> major airlines reporting
this morning in terminates of 4 detonator earnings nicole petallides on floor of the no, new york with details as we await another strong opening nicole. >> that is right as we see president trump arriving there in davos the first -- he can once again out to market public records because we are looking over 100 points this morning, lets break down airlines american airlines southwest, and jetblue this morning, the premarket southwest is best of the bunch up 2 1/2% american airlines despite a beat they did top sales, 8. %, ahead of the curve there on the sales numbers, 10.6 billion they have operating costs higher labor costs fuel costs also beefing up with paying pilots flight attendants united dropped 11% yesterday a look at jetblue mixed results earnings we did see earnings fall short revenue beat southwest got lift from increased travel, that is why
you are seeing southwest really seeing best of the bun today as profit top more than tripled, stocks up 1/2% up in last 52 weeks up about 52% this airline really is shining back to you. maria: all right. thank you so much, president trump, is bringing his america first economic message to davos speaking in 24 hours from now, tonight, he is going to a dinner with you the head of the world economic forum with with host of ceos global ceos, let's get with stuart varney right now "varney & company" has thoughts on that, good morning to you stu. >> good morning, maria. i think the europeans are scared to death that our much lower business profit tax rate is going to success all the investment money or a lot of it out of europe, and into america. i caught emmanuel macron the french president i caught him saying just i think this morning your time, i caught him saying look, we don't want to have a race to the bottom.
he was referring to tax rates he is very worried that as america drops top corporate tax rate way down there to low 20% level, that is going to bring in a whole bunch of money from other countries, taking advantage of a much lower profit tax rate. i think they are scared about the flow of money wrong they know what to do about it case they are in no position to lower taxes, they should, but they won't. i think they are scared, the money flow that this president is creating. >> you know what stu already happening your finger on important point, because i was speaking to some investors in europe and they said they had an investment strategy to invest in europe, but after tax legacy passed, now law, they have shifted their strategy so you are already seeing it, stu you are seeing money come into u.s. as a result of that. isn't it interesting to hear the president of france talk about middle class, talk about tax rates he needs an attractive, very much what you are hearing in u.s.
because it had a real impact. >> the presence is laying down the law saying this is how you do it. you want growth. you want prosperity this is how you do it. of you not done a very good job you guys over there, you have not been successful, watch us we're doing it right i think that beginning to pay attention, because they have to. maria: for sure i know you have a lot more 10 minutes we will see you then. >> sure will. maria: very varney & company top of the hours after "mornings with maria" join stuart as he kicks off next 10 minutes first new technology the of uptaik cofounder will join me talk about his company innovation happening there stay with us back in a moment live from davos, switzerland. ♪ ♪ oh ain't no -- ain't no wide enough, to keep me -- ♪
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maria: welcome back breaking news president trump arriving in davos for meetings here moments ago, he will meet shortly with british proim theresa may walking with the a contingency along with mr. trump from. s anticipation about the president's arrival here, he is now in main congress hall, as you can see walking greeting people, we are waiting to see his speech when occurs tomorrow, at 2:00 pm local time, and we are all expecting it to include comments about america tax reform plan how it creating an attractive place to invest in u.s. hoping to lure european companies asian companies to
pour money into u.s. talking with klaus schwab his wife behind him the president greeted with a big group of delegates here at world economic forum. meanwhile, there is this move over google airbnb one technology company joining world economic forum list of technology pie owners, that is uptake rental secured 117 million dollars in venture funding more than two billion dollars valuation joining me right now the ceo of uptake cofounder brad keywell great to see you thanks so much for joining us what is happening in davos tell how relates to i couldn't be taik. >> davos is about making the world a better place that is the theme that i am observing experiencing, and what i am hearing around technology is that it is time for technology to address problems of consequence, not just problems of convenience. especially at industrial perspective there is a need for technology to unleash more productivity, more reliability
and fundamentally more safety so really, there is the opportunity today that didn't exist before for technology software to be a factor in making the world truly a better place. >> how do you do that uptake is taking information data from machines and trying to apply it to do just that tell us what uptake does. >> correct, we believe in world that works that works at best that always works so what we're doing for example in the world of solar -- of wind turbines, is using software to help berkshire hathaway energy make sure tur booinz generate maximum capacity of output what that looks like real materials a sense of magnitude if all the turbines were on might have had with software like uptake you have would have additional energy to power all houses in chicago without building more turbines, more productivity more reliability fundamentally a better world. >> your customer largely corporate? >> our customers are major
companies in currently 8 industries, locomotives, aviation manufacturing one is energy oil and gas. >> because they need to see that data and mine that data or you are mining that to be put to justice. >> way i say it there are never been endings on a body, and we get signals from nerve endings in industrying they are sensors what industry needs is a brain to take data from sensors to convert that into insight the insight makes the front lines of industry better and smarter and makes us a more productive and reliable world. >> we will watch the developments thanks so much for joining us. >> so pressure it brad keywell joining is of uptake we will be right back. 2 pneumococcal pneumonia is a potentially serious bacterial lung disease that in severe cases can lead to hospitalization. it may hit quickly, without warning, . .
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you'll get clear, actionable alerts about potential investment opportunities in real time. fidelity. open an account today. maria: thanks for joining us, everybody, let's get right to stuart, varney & company. stuart: i am going to use yesterday's script to start the show. here we go. stocks are going up again, yes, they are. and wait till you see the waves that our president is making both at home and abroad. good morning, everyone, he's arrived. and the world knows it. president trump landed in switzerland on air force one, switch today marine one and flew to davos, secretary treasury had ruffled the markets and commerce secretary poked the chinese on trade within hours of arrival meeting with world leaders, theresa may, netanyahu, the president has transformed a