We are under 30 minutes away from the end of the monday session. Stocks are rising shrugging off the news out of germany today that Coalition Talks have collapsed. Investors overlooking that. They think the German Economy will continue to perform. On euro was lower by. 6 news of the collapse of talks in asian trading. It then rose by the fifth of 1 . Other options include a minority government option gauges pointing to a longlasting effect of the german news. We are seeing yields declined today. Commodities and cdf. Crude hit a record and futures highs in theyear last couple of weeks. Hedge funds are pulling back with the sense that the rally has reached its limit. Middle east tensions taking a uncertainty looming over saudi arabias choice to extend opec production cuts. Just below 540,000 contracts in the weekend of november. The swissuro enabling bank to exceed its target for growth in new money for the first 10 months of the year. 17 ts under management rose at 393 billion swiss francs at the end of october. Net inflows exceed 17 into mediumterm growth target. Shares of by 2. 5 today. Chief executive turning to recruitment to expand the asset base. Hiring relationship managers worldwide. Is one of the big gains. Rising the most on record after nouncing its plan to reduce debt. Raising cash by disposing of assets such as phone towers. The phone and cable giant is trying to sooth investor concerns. Stock has plunged 50 since november 2 when it predicted fullyear earnings at the lower end of the previous forecast due to delays in costcutting efforts in france. Shares of by 4. 9 today. I didnt even realize i had a preview earlier. We are seeing all three major averages trade higher and getting a little bit of momentum as we had further into the session. Its not enough to put u. S. Stocks that new records. We are still below those levels. Take a look at the bloomberg for the groups that are on the move today. Telecoms in the top spots. 5 percent. Materials and industrials also strengthening today. The exception is health care. They have had a rocky go of it recently. Within health care we are watching drug distributors in particular. Morgan stanley analysts continuing to talk about the amazon affect and repercussions today. Analysts rating that drug distributors are the most at the theme we have been talking about. Amazons entry of some kind into the Health Care Market. Stanley analysts saying that Cardinal Health would be most exposed to amazon disruption for its medical supply distribution unit. Those shares are down. Express are also taking a hit. There are other areas of the Health Care Market that also could be threatened. Tools and diagnostic companies. Henry schein. Patterson. Other diagnostics and Tools Companies trading lower. Energy shares are lower today. Crude oil prices have taken a leg lower. Analysts at blackrock are saying that even if we get an extension of cuts it will be difficult for oil to sustain its recent gains. Chief brexits negotiators used the clearest language yet on banks. The legal consequence of brexit is that the u. K. Financial Service Providers lose their eu passport. This passport allows them to offer the services to market of 500 Million Consumers and 22 million businesses. David merritt is here. After he has been a bit of a Charm Offensive in the city. Hes making it pretty clear and simple. A bit of a slap down for david davis. They are talking about this bespoke trade deal after brexit where Financial Services are going to be included. Listening to the chief negotiator for the eu just now you can hear him. He is saying thats not going to happen. Lately it is not possible. Britain is leaving the single market. Verysa may has made that clear and with that goes the passporting rights for banks. Mark we all thought that ireland wasnt an issue that it clearly is. He was pretty firm on what we need to do. A specific solution is needed. Pointing the finger clearly at davis. He said the people who wanted brexit need to come up with the idea for this. There needs to be some bespoke solution for Northern Ireland. Mrs. Mays government is being propped up by a strongly unionist irish party. They will not tolerate any sort of deal that puts it a border between Northern Ireland and arrest of the u. K. And the rest of the u. K. Vonnie what about money . It certainly greased the wheels in Northern Ireland when theresa may handed a bunch of money to the north. What about an increase offer from britain . We are waiting for that. We are hearing reports that the cabinet is meeting to try and get some sort of consensus on a raised offer. The chancellor went on to the bbc yesterday. He said theres going to be an increased financial offer that is going to unblock the talks. We know that theresa mays cabinet is divided on this issue and its a pretty toxic issue in terms of Public Perception of how much we should be paying and the numbers are pretty eyepopping as well. Maybe the British Government is going to concede a little bit or whate methodology they actually agree is owed in the future. Its going to be a balancing act. Can they reveal just about enough to allow talks to continue to trade or are we going to get to the summit meeting in three weeks with talks in deadlock . Vonnie what about the fact that Angela Merkel didnt hit a slamdunk when it came to negotiations are self . Does that put pressure on either side . It clearly is bad news for the British Government. Angela merkel, the collapse of her Coalition Talks adds another layer of uncertainty into the soul process. Britain has been dealing with Angela Merkel for 12 years. She has been a bit of an ally for mrs. May. Angela merkel made some comments talksher optimism for the come really coming to her aid and britain does not want to see a change of administration in germany when the clock is ticking down so fast to the brexit day itself. Now ow united is the is the cabinet right now . There are figures who dont want to put more money on the table. Absolutely. Could gonson said they whistle if they want us to write a bigger checks. He has obviously had his own hises with his job so maybe voice is quieter around the cabinet table this afternoon. We will try and find out. Some of the more heavily brexit members of the cabinet have been coming out with words of support. There is a sense of everybody falling into line. We have the chancellor preparing for his budget on wednesday. Philip hammond is on the other from johnson. Nce he would like a close relationship with europe. We will see how that pans out. Mark david merritt, London Bureau chief. Breaking news. In transe saw a spike canada shares. Back down to. 5 higher. For thee won approval final part of the keystone xl pipeline. They have now ruled and approved and that removes one of the last remaining hurdles to the pipeline project. Transcanada higher by. 5 after nebraska regulators have approved the last section of the Transcanada Pipeline build. Heres courtney donohoe. The president is urging Political Parties to reconsider their positions after Coalition Talks broke down. Angela merkel said she will stay on as acting chancellor. A dispute over immigration led the Free Democratic party to walk out of the deal. Hold anotherave to election. In saudi arabia authorities estimate they may be able to recover up to 100 billion in settlements with suspects arrested. A billionaire prince was among those detained. One official says heymans are based on the amount authorities believe suspects have amassed illegally. The mass murder and cult leader Charles Manson has died. His followers killed actress sharon tate and six others in los angeles. He had hoped it would lead to a race war. He died at 83. The u. S. Opioid crisis is far costlier than originally thought. The Economic Impact of the crisis is expected to exceed half 1 trillion. Global news 24 hours a day powered by more than 2700 journalists and analysts in over 120 countries. Im courtney donohoe. This is bloomberg. Vonnie we have more on the transng news about canada. The keystone xl pipeline in nebraska. Shares trading higher following nebraska decision that the company can go ahead with the longdelayed last portion of the Keystone Xl Crude Oil pipeline. Three commissioners ruled in favor and that removes one of the last hurdles to transcanadas construction of the 8 billion 1100 mile pipeline. This is bloomberg. Vonnie transcanada has one nebraska solution to build its keystone xo oil pipeline across the state. The 8 billion project has been on the books since 2008. Three commissioners voted yes. We are joined by tina davis. The stock up 1. 4 . There was a little bit of uncertainty as to whether this would go ahead or not. Gone toommission had the trouble of trying to circumvent at one point and that was ruled unconstitutional which has been it has why it has been dragging along. This clears a major state hurdle. Now of course we will see all the lawsuits come in. Vonnie didnt President Trumps election make it more likely that nebraska would vote yes or are they separate . State commission has five members. It was a three to two vote. Four republicans, one democrat. They are all state elected. They arent appointed by someone. The issues are separate. It was interesting to see when President Trump his decision on he had the ceot of transcanada in the office with him and he was very excitedly asking him when he was going to be putting shoveled in the ground and the response was i still they to talk to nebraska about that. We will see a link of responses. Vonnie what happens next . Now they have permission. Can they start sticking shovels in the ground . They can start doing the work they need to do. It might end up being a lot like Dakota Access or you get 90 of it built and then it is subject to court injunctions. I suspect they are quite eager to get working. This is probably still a twoyear construction process. Transcanada up 1. 3 . Thank you, tina davis. We will continue to keep you updated throughout the day. Globallyidend payouts on track to set a record in 2017. We will talk about whats driving the trend with jane shoemake. This is bloomberg. Mark im mark barton with the european close 10 minutes away. Vonnie im vonnie quinn. Qualcomm investors are open to a broadcom deal but at a higher price. Also happening, marvin l technology has agreed to buy cavium for around 6 billion. Tos bring in ed hammond discuss all of this. A little bit of a frenzy in the semi space even if one is much smaller than the other. Talk to us about qualcomm and broadcom and whether the 10 premium will get given. This is a deal that is eclipsing everything else. The offer as it stands values qualcomm at about 105 alien dollars. The shareholders we spoke to theythe weekend have said think probably another 10 more a share would be enough. You are seeing a deal somewhere in the region of mid 80 a share value on qualcomm. It has some room to bump. The first offer is unlikely to be their best and final. The chief executive at broadcom is not someone who goes kind of crazy and is ill disciplined when it comes to pricing. Bumped fromhas ever his opening salvo is about 6. 8 which would get you close to 80 but not in the mid80s. That would be enough to get us to sign off on a deal. Vonnie what about marvin l and marvel and cavium . It is a significant deal. Why far the biggest deal they would have ever done. This is a really interesting deal. Something that you would see as being fairly typical across industries. It is sort of old worlds semiconductors. Most of their products are used in hard drives. It is sort of buying modernization through acquisition. Much more attractive. You are seeing reflected in shares this morning despite it being a fairly full price and actually in the last hour some the analysts have come up and upgraded saying this would really change the direction of the company and give it a completely different growth profile. Mark at t time warner, how likely is a deal looking right now . Its the milliondollar question. Obviously they are at odds with the department of justice. Now . Potentially the department of justice is going to come out this week to block the merger. The real thing everyone is trying to find out is are the party still talking. It seemed like last week they but iopped go shooting think its an interesting one because its not actually in either sides best interest to take this to court. Obviously at t and time warner feel they would have a good case but it would hold up their deal substantially. They hoped to get this closed in november. Obviously this is going to be something that runs into next year. Theres a good argument to say that Neither Party would like to see this go to court. Mark thank you, ed hammond. Uber buying 24,000 suvs from volvo. Trying to ext 90s department autonomous driving. Company owned by a chinese firm. Nate lanxon is here. The first thing i ask is why volvo . But i think their cars are generally known to be quite reliable and quite safe. One of the biggest concerns people generally have with the idea of an Autonomous Vehicle is are they safe. Tores probably an aspect that that makes it quite appealing. Mark what sort of tests are taking place . Themey have been testing in pittsburgh and a couple of other places in the u. S. And essentially what happens is they are kitted out with lasers and cameras and gps so they can drive around on their own. They have had a backup person just in case something goes wrong. Those tests have proved that he positive. Bad they had about a hundred of those initial trials. Thats what they are doing. Vonnie those suvs are 47,000 apiece. Did uber have to buy these particular brand of vehicles . Could it have gone somewhere else . Im sure they had offers. One of the things thats quite notable about this is the vehicles are not small. They are not the tiny car that you see in a lot of the media. Theyre quite big and part of the reason is these devices these cars need a lot of devices in them. Then you a lot of radar and camera raise and sensors and things. Thats probably why they have gone for a larger vehicle and why theyre more expensive. Vonnie uber would be the one to install all of the self driving equipment. It would be the company that would be on the line for any accidentacklash or that might happen. Onyou are sort of hitting one of the interesting aspects to the whole Autonomous Vehicle space. What happens when something goes wrong. Who is to blame. Is it the manufacture of the car, the developer of the software powering the car. Thats one of the Big Questions we are going to have to see answered before the public is likely to trust these things at all. Mark when are we going to see Driverless Cars . I reckon you will see a lot of them within the next three years. Mark we are approaching the close. Check out european stocks. We are up for the second day in three. This is bloomberg. Is this a phone . Or a little internet machine . It makes you wonder shouldnt we get our phones and internet from the same company . Thats why Xfinity Mobile comes with your internet. You get up to 5 lines of talk and text at no extra cost. So all you pay for is data. See how much you can save. Choose by the gig or unlimited. Xfinity mobile. A new kind of network designed to save you money. Call, visit, or go to xfinitymobile. Com. Mark live from london and new york, this is the european close. Punishing the monday session higher. Rising for the second day in three. It has fallen for eight of the last 10 days. Resources health care leading stocks high. Investors shrugging off the news out of germany that Coalition Talks have collapsed. This red circled area was the Asian Session when the euro fell by. 6 . The question is what happens next. Will there be a minority government, will further elections be called. The market says if they arent the euro could fall to the bottom of that 115 120 range which it has been in recently. After the u. K. Private hospital operator spurred a deal that would have valued the target company at 1. 27 billion pounds. The decision was announced days after the South African Company indicated the slump in its own stock since the transaction was announced would be a factor in determining its futures shares. 14 sinceed almost the initial offer. Spire down by 8 today. This chart, poor productivity has long been the bane of the u. K. With output per worker. Far below the g7 average and success of predictions for a recovery since the financial crisis failing to materialize. Britains exits from the eu could be the catalyst that triggers an improvement. Firms now have access to an almost unlimited supply of labor from the u. K. , tougher immigration rules will force a change in behavior. 1998 to 2007 was productivity levels and these are the projections from the bank of england. Thoughtyou might have it might be a quiet week with congress in recess for the week and thanksgiving on thursday. We were talking about the strong yen earlier on. Today down by. 3 versus the u. S. Dollar. This is interesting because after Angela Merkel and have a slam dunk when it came to negotiations we saw the 10 year 2. 3 percent. Wn to this was not like this when i left last week. There was a 10 basis point move in that yield curve in the last week. I believe we have breaking news on the german chancellor. Mark Angela Merkel is not planning a german minority government. That is one option ruled out. Other elections could be an option as well. She says her options do include holding a new election in germany. Her goal remains forming a stable german government. Talks collapsed over the weekend. Party talks over immigration was the big stumbling block. She is commenting on a television interview. I really dont like the idea of a minority government. She says she is ready to continue with chancellor as a caretaker. Stability is very important. Its fascinating that she has ruled out the possibility of his minority government but she does say she is open to another grand coalition. We will see how these talks continue and where she goes from here. Have another european leader saying, lets take it to the polls again. Lets take it to the ballot box. She says she would rather have another election then form a minority government with a party that clearly doesnt agree with her on certain issues. You have to wonder, did it work for other leaders when they called snap elections . Not so sure. Mark germany looking less stable host the weekend. Janice henderson, investors out with a new study that tracks global dividends. It finds that Dividend Payments in the first quarter, its a record level payout. Joining us now, jane shoemake. Investment director of global equities. Third quarter, it looks like its going to be a while. Whats going on . I think we have just seen very supportive Economic Growth feeding into corporate earnings and that has been very supportive of dividends and we have had them increasing across all regions. The synchronized upswing we are seeing across the Global Economy is evident in dividend payout. Absolutely. Corporate earnings have been double digit after many years where they have been constantly downgraded. Very supportive corporate earnings environment. I think thats all feeding into better dividends. Mark what stood out for me was the u. K. Putting in the strongest performance. Postbrexitbound due to currency issues . The other key contributor was the mining sector. We saw that in the u. K. And australia. Tripled their payment and Angela Merkel came back six months earlier than we anticipated. Strong mining results and dividend results have helped. Vonnie we were talking about this earlier. Go to japan because dividends are even double what you get in europe in japan. Why not japan . Japan is quite a low yielding market. Theres good growth in japan. Indeed its not a high yielding market. Its one to look for the future. At the moment we are Getting Better yields out of some of the more developed markets. Vonnie are there Certain Industries that are more attractive to you than others . We like it europe. We have a lot of our portfolios based in our european stocks. Valuations look attractive particularly relative to the u. S. And dividend yields are over 3 . An attractive level for us as income investors. Within the european markets in particular we like some of the financials and specifically some of the banks as they try to rebuild their balance sheets, get Better Capital levels within their balance sheet. Thats allowing them to start to pay better dividends. Mark every sector in the u. S. Seeing higher payouts. Which are the largest . The banks are very important sector. We had some cuts but thats coming back. I think within banks we saw some of the payout from bank of America Citigroup particularly worthy of note. Other banks like jpmorgan and wells fargo already have restored dividends to what a decent level. Growth is less obvious. Mark one of my favorite steps of the day. North american dividends dominating the fourth quarter, counting for four dollars in every 10 paid globally. Lets talk about asia. Asiapacific excluding japan. Theres a bit of seasonality going on. Its a very important time for china in particular with regard to payment. Its one of the more important corridors. Less important for japan and europe where we see much smaller Dividend Payments over the quarter. Vonnie explained to us a little bit about how much you would want to allocate to the different regions. We are looking for the valuation support and where the dividends are. Important for us is that we have a dividend and it is sustainable and able to grow. The Free Cash Flow does very much a focus. We like europe but we do have some japanese exposure. We have a little bit in emerging markets. We tend to play emerging markets through develop market listings. Vonnie what about fixed income . There might be some value other places. I am not a fixed income expert. It obviously as rates possibly start to rise the difference between the dividend yields available and the Interest Rates around the bond market is going to narrow. 3. 5 , 4 we are finding plenty of stocks with very attractive dividend yields and they can actually grow and you can get Capital Appreciation in the stock market. Mark how much is the thirdquarter figure boosted by special dividend . Growth came from special dividend. China mobile played paid a very large. A hong kong Utility Company paid a couple of billion. Specials. E some we dont rely on those. Underline growth was still 8 . Very strong on an underlying level. Mark jane shoemake, investment director of Global Equity income at Janice Henderson investors. Vonnie lets check in on the first word news. Heres courtney donohoe. In zimbabwe lawmakers are set to begin impeachment proceedings against longtime president robert mugabe. He failed to announce his highly anticipated resignation. Tookweek military leaders control of zimbabwe and the ruling party fired him in order to them to step down. A second one has accused al franken of touching her inappropriately. The woman told cnn the incident took lays at the Minnesota State fair almost two years after franken was elected to the senate. Franken says he doesnt remember, it feels badly that the woman feels disrespected. Is warning that republicans will have a rude awakening on the tax bill. He says the prioritizing corporations and the wealthy over ordinary americans. It is taken nine years. Elections andal multiple lawsuits and protest. Today transcanada one nebraskas permission to build the Keystone Oil Pipeline all across the state. That was one of the hurdles to the construction. The decision is expected to be challenged in court. Global news 24 hours a day powered by more than 2700 journalists and analysts in over 120 countries. Im courtney donohoe. This is bloomberg. Vonnie coming up, the kushners get by with a little help from their friends. Who helped finance kushners 146 Million Dollar real estate deal in new jersey. The latest on that bloomberg exclusive, next. This is bloomberg. Mark live from london and new york, im mark barton. Vonnie im vonnie quinn. This is the european close on bloomberg markets. Biggest movers on the stoxx 600 today, ill tease. Best a since august. The company has plans to raise cash through a share sale. Julie . Bigail lets back up this is of course the internet and Cable Telecom giant over in europe. Most of their business in france followed by israel. Much of their business acquired through acquisitions. More than a dozen over the last few years. More than 52 billion in debt. Of the 5 of the capital structure. Weeks ago they put up a horrible quarter. They got into the low end. Lots of worries today. Saying theyre not going to offer equity means there wont be dilution to current shareholders. Considering profits have been a little bit weak that is a relief to investors. They cleared up some the mystery around insider sales. Management has given investors more confidence. We have shares absolutely popping higher. Ink clearly the company is the turnaround mode. What does it need to the . Do . They sounds as though really need to return to basics. If you take a look at their Revenue Breakdown most of it as the fixed services or internet and cable. The next biggest part is telecom. There is a 2 other. That is media and it sounds as though the company would like to be both a telecom and media giant. If they return to focusing on cable apparently they have had some connectivity issues in france. Providing superior service, winning back customers could help with the big revenue decline they have in seeing. Always focus on the core business seems to be a strong strategy for Many Companies and perhaps if they focus on their conductivity they will return to better revenue picture. Vonnie abigail doolittle, thank you for our stock of the hour. An outstanding opportunity. Thats how the Kushner Family describes their repurchase of the 146 million complex with more than 1000 units located in central new jersey. Boastinge kushners about the deal they failed to mention that most of the money came from outsiders. Today we learned in a bloomberg exclusive that the kushners got some help from israels largest asset manager. Joining us now the reporter who broke this story bloombergs caleb melby. A different set of israeli backers. The family has a lot of business ties and philanthropy ties in israel. This is the first time they have worked with israels largest asset manager. They came together to put together this apartment deal that the kushners heralded in a press release. Talked a lot about this happened in early september. What they didnt tell us was most of the money came in the form of a preferred equity this company and an unnamed investor. Vonnie why might this be an indication that they are shifting back to their roots . All of their deals through 2017, they backed out of brooklyn. They sold a stake in an office there. They also sold some apartments in queens. Meanwhile they also bought another partner out of a portfolio of maryland apartments in the baltimore area. Vonnie some breaking news out of the administration. President trump is designating north korea a state sponsor of terror. This just happened moments ago. President trump will designate north korea a state sponsor of terror and treasury will announce large sanctions on north korea. This is according to the president. The president saying the largery will announce sanctions on north korea. North korea must stop supporting its terrorism according to President Trump. We had been anticipating this would happen. The president back from his asia trip last week. A good time is guess now is going to be it. Its thanksgiving week. The pressure is off to keep making progress on tax reform for the moment because the senate has said it wont take up tax reform again until after the thanksgiving break. We know the president was. Olding a Cabinet Meeting the president saying the u. S. Will designate north korea a state sponsor of terror. Also saying hes looking very strongly that the welfare reform. The big headline is the designation of north korea a state sponsor of terror. Push for both sides to enter into some sort of negotiations and every time there is hope that might come about we see an escalation of war of words between trump and the north Korean Leader. This one would assume would only ratchet up the rhetoric between the two sides. Just on the tax issue, trump hopes the senate will pass the tax overhaul. There are many hurdles before thats achievable. Vonnie we are keeping an eye on Market Reaction to this announcement. There may or may not be some kind of retaliation. Some likely there will be kind of response from the north Korean Leader who has taken to tweeting himself. The news is that the u. S. Will designate north korea a state sponsor of terrorism. We want to know how things react fewet wise until another hours go by. We are seeing the korean won declined by about. 25 . This is bloomberg. Vonnie lets get back to that breaking news. Cabinet meeting a few moments ago ended with the president saying he was going to be designating north korea a state sponsor of terror. We were anticipating that this might be the case but this is confirmation that he is indeed going to actually announce this. He said tomorrow the Treasury Department will announce additional sanctions, a very large one against north korea. Cabinet meeting north korean regime must cease all support for International Terrorism. It is almost 2 00 a. M. In seoul. We have not seen a reaction from the north Korean Leader yet. Lets get some perspective from bill fairies. Bill ferris. Is this the first time north korea has been on this list . They will be the fourth nation on this list after cuba was removed couple years ago. The thing to keep in mind is that north korea is already probably the most isolated nation on the planet. It does have extensive trade ties with china but by and large it is restricted from trade with most nations. The Un Security Council has passed fresh rounds of sanctions this year. Obviously President Donald Trump just got back from a 10 day trip to asia in which he was really trying to rally support to isolate north korea even further. Its not entirely clear how many new avenues of finance this really cuts off for north korea. I think from the u. S. Perspective it probably does add a little heft to their argument when they meet with the other countries that still do some trade or allow north korean workers in their countries. Mark given chinas relationship with north korea you wonder what the reaction might be from china. Certainly. The president promising some sort of big sanctions or big announcement on this makes you wonder if they have made any progress at all in convincing china to cut off some more of the oil flow. They controlled the key oil pipeline supply and energy to north korea. Little surprised if some sort of agreement on that and it came after trump left asia. Thats the big card out there the u. S. Has long been looking for. Vonnie i guess its not a huge coincidence this is happening in a week where we are not going to see much out of washington. Onh houses of congress recess. The present it has breathing message across. He has threatened this many times. We anticipate a real response from the korean regime . We will certainly get some sort of overthetop rhetorical response. I dont think in terms of is any tensions this more significant than some of the other moves we have seen this year. I think they will be upset. I think they will put out a statement here it are they going to move troops or do some kind coulditary maneuver, they always launch another missile or do another test. I dont know that thats going to be on a scale beyond what we have seen this year. Mark where are we when it comes to the u. S. s approach to north korea . Rex tillerson was admonished for wasting his time with trumps words in seeking negotiations. Back channels, is there an eagerness to meet between the two sides . Is the rhetoric of best reflection of the relationship between the two nations . When you talk to the u. S. Back channel the is generally something they use only to talk about detained u. S. Citizens who remain in north korea. They say its not really for working a route to the negotiating table. Vonnie were going to listen to the president. Respecting our country again, believe me. We brought back more than 300 billion worth of deals which could reach well over a trillion dollars within a very near future. That means jobs for the United States at a very high level. With theust come up best Job Performance in over 17 years. This is a lot more jobs. We think the number is going to actually get a lot better. It will also put a lot of people who have not been able to find jobs back to work because they are not registered right now. They will be registered in a positive sense. Japanese Car Companies will be opening up an expanding their plants in our country. Withrked very closely on that. Ister abe we are renegotiating our bad trade deal with south korea and we have started talking about bilateral trade with many countries in asia and most importantly we have made clear to all countries that we cannot continue to be treated unfairly when it comes to trade any longer. Its not fair to our companies and its not fair to our workers. Last year we lost over 800 billion on trade deals. With other countries. Deficit of almost 800 billion with other countries. Thats not going to be happening. Thats changing. I explained that to them from the standpoint of asia. They understand it. Every one of them understand it. One of the primary goals of our trip was to pursue the denuclearization of the korean peninsula. Byant to begin this morning that weabout the fact will be instituting a very critical step and that will start right now. Today the United States is designated north korea as a state sponsor of terrorism. It shouldve happened a long time ago. It shouldve happened years ago. In addition to threatening the nuclear devastation, north korea has repeatedly supported acts of International Terrorism including assassinations on foreign soil. As we take this action today our thoughts turned to auto warm beer, wonderful young man. And the countless others so brutally affected by the north korean oppression. This designation will impose further sanctions and penalties on north korea and related persons and supports our maximum Pressure Campaign to isolate the murderous regime that youve all been reading about and in some cases writing about. Tomorrow the Treasury Department will be announcing an additional sanctions and a very large one on north korea and this will be going on for the next two weeks. It will be the highest level of sanctions by the time its finished over a twoweek period. The north korean regime must be lawful. It must end its unlawful Nuclear BallisticMissile Development and sees all support for International Terrorism which it is not doing. Today cabinet discussions will also focus on crucial domestic policy issues. I want to congratulate the house a representatives for passing vital and historic tax cut last week and im very hopeful. The senate will do the same very soon. We are going to give the American People a huge tax cut for christmas. Hopefully that will be a great big beautiful christmas present. With the democrats giving us no votes for tax cuts for purely political reasons, obstructionists, it will be up to the republicans to come through for america. I think they will, i hope they will. Its up to the senate and if they approve it the house and we will come up with a bill that is spectacular for growth and spectacular for the people of this country. Our tax plan will bring urgent relief to hardworking families, will reduce rates at the amount of income tax at the rate of zero, expand the Child Tax Credit for import, and simplify taxes as most families will be able to file on a single sheet of paper. We will restore americas Competitive Edge so we can bring back our jobs. We want to bring our jobs back to our country. We were decimated over the last 40 years. We want to bring our jobs back to the United States. We will go from being one of the highest taxed nations in the