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Forceful terms. He believes no democrat should take this issue on. He believes it would be playing into President Trump hands. There are other issues at play. The second point is trade policy with senator Elizabeth Warren now leading the pack. Will she come under fire for her economic plan, especially as a relates to global politics. Finally, on the issue of global politics, it was a busy week last week with the president s decision to withdraw troops from syria. How will the different candidates, a Record Number of candidates, how will they set themselves apart for how they would act as commander in chief . David a Record Number of candidates. 12 people on the stage. Is it about the lead three . You did not mention Bernie Sanders. People may be looking at him to see how strong he is. Is the first debate following the heart attack. He will no doubt continue to try to make his case. He has someone who is it consistently he is in it for the long haul. Sawhe last debate what you was biden and sanders getting in a backandforth and Elizabeth Warren staying out of the fray. Will she be able to do that . That is a big unknown, or will other candidates start to take ron directly. A lot of pressure on the lower tier candidates and newer candidates like tom steyer, pressure on them to have a breakout moment and to give reason for their campaigns to continue. David thank you so much. Looking forward to your coverage all through the evening in ohio. Right now lets go to london and emma chandra. Yesterday it did not look good for brexit, now they are making warm noises. Where are we . Emma e. U. In u. K. Negotiators are said to be close to a deal. They are hoping to have a deal in principle by the end of today. That would be midnight brussels time, the aim of that being it could then be sent to eu leaders to review all of the the head of the eu leader summit at the end of the week. According to a number of people close to the matter reported by our Bloomberg News colleagues, there does seem to be significant moves towards making a deal. That is where we have seen significant moves in the currency market. The pound breaking through its 200 day moving average, at one point hitting a fivemonth high, currently trading at a four month high and rising to 1. 28 against the dollar, something we have not seen for a number of months. Ae also seeing options huge demand and options, those who insure against pound volatility suggesting a number of things could go either way. Sources speaking to our colleagues in Bloomberg News saying theres nothing concrete yet. David nothing is concrete in brexit. We have known that for three years. If Prime Minister johnson does what he said he would do, if he gets it done, it would have to come down to the backstop. Where do they break through . Who is giving what . Emma we are hearing the u. K. Has expected some customs checks will have to take place between Northern Ireland and great britain, so between two parts of the u. K. That would suggest some kind of customs check in the irish sea. This does present a problem because the dup, who supported the conservative party in the u. K. Parliament, has said all along they would not accept some form of customs check between Northern Ireland and the rest of great britain. While a deal may be agreed in principle for the European Union , Boris Johnson at his government still have to sell that to their supporters in parliament and to the wider u. K. Parliament as well. A deal could be struck with the eu, but it still needs to have the approval of the u. K. Parliament. The u. K. Parliament to set to have a special saturday set special saturday session. It has not had one of those since the falkland war in the 1980s. They could be asked to approve a deal if a deal has been made with the eu. There is the possibility the u. K. Parliament could reject that deal, as they have done throughout the as they have done in the past. We have a lollapalooza of bank news. Four banks reporting within an hour. Sonali is the day of the haves and the havenots. You have jp morgan outshining everybody. Investment banking, trading, net interest income, and a year where Interest Rates have been pressure. They are Holding Steady throughout the rest of the year. And are Holding Strong widening their leader for Goldman Sachs i the biggest margin in a year. David it was hard to find bad news. There is one red number up there. It is goldman. Sonali that is for sure. David what went wrong . Sonali you do not want to see goldman to the point on Investment Banking when Investment Banking is such a big part of their business. They ended last year as number one. Now you are seeing the rest of the year get rockier and they are losing money in that business, at least compared to what analysts were expecting they would make. Never a good sign. When your biggest competitor outshine today. David thank you for joining us. We have had all that going on around the world. Lets find out what it has done to the markets. We turned to abigail doolittle. Abigial banks are a piece of it. We have a rally on our hands for stocks in the u. S. , and for once we are not talking about u. S. China trade. The banks are doing well, that sector up 1 . The real winner on the day is health care, up 2 , the best day since january, and that has everything to do with united health. They put up a strong quarter. They boosted the forecast the third time this year and it looks like what investors really like, the premium paid out less than expected by a full percentage point. All of the Health Care Providers rallying on that. David making money counts. Abigial making money counts. People are watching that today. David at the same time we will have a democratic debate, and health care will be a big part of the debate. Abigial it will be interesting what the candidates say and what the stock reaction is. Another macro factor, emma chandra was talking about the possible brexit deal, we saw a reaction from u. S. Stocks taking another leg lower. For once investors seem to be looking toward that, seeing possible uncertainties lifted. David whatever reason, it is a rally, so we will take it. Withrned to Mark Crumpton bloomberg first word news. Mark Syrian Forces took control of a key town near the Turkish Border today. Pressure is mounting on turkey to end an offensive that has drawn u. S. And european sanctions and accusation of war crimes. Kurdish led forces who fought with u. S. Backing to defeat the Islamic State has been forced to turn to the syrian president for help, pulling back from a border area as Syrian Government troops marching. The eu is sounding a more optimistic tone about the chances of a brexit deal after the u. K. Sent revised proposals. Negotiators are trying to wrap up an agreement in time for eu leaders to rubberstamp it at their summit this week. The u. K. Proposal is shrouded in secrecy, but the focus is on the border between ireland and Northern Ireland. The son of democratic president ial candidate joe biden says his service on Ukrainian Gas Company board was a bad idea. Still, hunter biden says he did nothing improper. He spoke with abc news. I am a human. Did i make a mistake . Maybe, in the grand scheme of things. Did i make a mistake based on some unethical labs . Absolutely not. Mark President Trump has made discredited claims that when joe biden was Vice President , he helped end the investigation into the owner of that ukrainian company. A dozen democrats seeking their partys nomination to challenge President Trumps nomination are gathering in ohio for tonights debate. The three leading candidates are facing the most intense spotlight. Bernie sanders is hoping to convince voters he is up to the task after suffering a heart attack two weeks ago. Joe biden has been faced during has been facing allegations of wrongdoing overseas. Elizabeth warren is facing scrutiny over her biography. Global news 24 hours a day, on air and tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. I am Mark Crumpton. This is bloomberg. David . David thanks. Coming up, one of the big issues addressed by some Democratic Candidates for president is the possibility of a wealth tax. We talked with the professor who is advising senator warren and senator sanders on their plans. This is balance of power on Bloomberg Television and radio. David this is balance of power on Bloomberg Television and radio. I am david westin. The democratic debate tonight builds on positions candidates have taken an earlier debate. We welcome from washington, laura davidson. Welcome. To what extent do we expect Economic Issues to be front and Center Tonight . Laura so far in the debates they have been at relatively low level. We have seen skirmishes between candidates about whether their plans would raise taxes on the middle class, but tonight we could see discussion on the middle class. Bernie sanders came out with his plant, and it is a lot like Elizabeth Warrens, just bigger and larger and would tax more wealth. That is where you could start seeing warren and sanders differentiate themselves on how aggressively they would go after taxing the rich. David how do we expect of socalled moderate like former Vice President biden to respond . Laura biden has talked about Something Like attacks on wall street, when you look at his plan, his top rates on individuals, research showed it is 30 on the richest 400 americans. 60 , and warren is at Bernie Sanders is at 97 . There is a spread on where biden is in the other candidates. David thank you so much for reporting from washington. That is bloombergs laura davidson. There is countries have experimented with a wealth tax, and two leading president ial candidates are proposing the u. S. Adopt one. Professor Gabriel Zucman of uc berkeley and his colleague have laid out the rationale for such attacks in their new book, the triumph of injustice how the rich dodge taxes and how to make them pay. Welcome. Before we talk about the details of the wealth tax, explain what the problem is. What has changed . Certainly go back to the 1970s. Gabriel we know about the rise of income and wealth inequality. If you look at the 1 income share to a 10 in 1980, today 20 , a 50 percent income share has gone in the opposite direction, from 20 to 10 today. System new is the tax intended to reduce inequality with progressive taxation, whereas todays taxes is not progressive anymore. Taxes, at all all levels of government, federal, state, and local, average americans pay 20 of their income in taxes. It turns out that most income pay 25 to 30 of their income in taxes, expect the top 400 richest americans, who according to estimate pay only 23 . We now have a giant flat tax that becomes regressive at the top. David lets talk about what causes that. There has been a reduction in some of the marginal rates. It is not just income tax. It is also things like payroll taxes. It is sales taxes. Not progressive in the same sense. A fair amount of wealth is not from taxable events, it is from holding onto assets that appreciate. Gabriel you have two things going on. Tax rates of the wealthy have gone down and marginal income tax rates have gone down. Corporate tax rates have gone down. On top of that, very rich people take a lot of income Warren Buffett, for instance. His wealth is 80 billion. His income is 6 of 80 billion, about 5 billion. We know his taxable income is only 10 million. Fractiontax rate is a of his true economic income. In which want a world Warren Buffett has to sell its assets to pay his taxes . Part of the issue is im not getting tax off of that, it is not real income that is cash in my bank account. Gabriel it is a decision makes nothathaway or to pay dividends. This is a nice example. If you want to increase tax progressivity, you can do that through the income tax, but it would not be enough to make the very rich pay more taxes. For that, you need the wealth tax. David speaking with Gabriel Zucman of uc berkeley and he has written a book about the wealth tax. Lets talk about the purpose of a wealth tax. Is it to raise revenue . Some people say we need money for health care and infrastructure. Is that it, or is it to restore some of the more equality among wealth and income . Gabriel it is both. It is a big revenue raiser. If you look at the worn wealth create estimate it would 2. 6 trillion dollars in revenue over the next 10 years. The sanders wealth tax would collect even more, for trillion dollars. It is a lot of money. In the long run, the wealth tax also reduces wealth concentration. You see that clearly in the Bernie Sanders wealth tax. Rate for 8 wealth tax wealth above 10 billion. If you have 100 billion, especially essentially have to make 8 billion every year to the irs. It makes it much harder for multibillionaires to keep increasing their wealth. David one question is who gets to decide how to use the money . Would we rather have Warren Buffett decide what to use the money, because he is giving a lot away, or the federal government. There a lot of people in this country who have skepticism about giving trillions and trillions of dollars to the federal government. We are not sure they would spend it as well as Warren Buffett would. Gabriel people who care about democracy letting rich people decide how the money will be spent for their foundation, that is not democratic. That is their choice. It is not a democratic choice. It is better if it is democratically decided through votes and congress and Democratic Institutions of the country. David talking with professor Gabriel Zucman of uc berkeley school, an economist who has written a fascinating book about taxation. What about the danger that if you impose a wealth tax, it would cause capital flight. You might affect the growth of the economy overall . Gabriel the European Experience with well with wealth taxation is quite specific because European Countries do not try to tax their expatriates. If your french person and you moved to london, you stop paying taxes in france. That is not the case in the u. S. If youre a u. S. Citizen, no matter where you live in the world, you have to pay taxes to the u. S. The only other way to avoid u. S. Taxes is by renouncing u. S. Citizenship. In both the Bernie Sanders and Elizabeth Warren plan, you have cheap exit taxes. Taxne plan you have a 40 when you were announced citizenship if you are super wealthy. David you have a website that goes up today, taxjusticenow. Org. There is little thing called the u. S. Constitution that europe does not have. We had to pass a constitutional amendment to allow income tax. This does not allow for wealth tax, or do you suggest there would be enough Political Support to amend the constitution . Gabriel i look at history, and im optimistic because in the late 19th century, the early 20th century, the situation was similar to the current situation. The tax system was very unfair. There was a demand for progressive taxation. The Supreme Court in 1895 syed and income tax was unconstitutional, but in 1917 the 16th amendment was passed and the constitution was changed. But when youtime, look at history, you see change happens. You see things that seemed ,mpossible, like the income tax become reality and work well. David we have been speaking with Gabriel Zucman of uc berkeley, who finds himself at the center of the debate in ohio tonight. He is the author of the new book the triumph of injustice. Still ahead, unitedhealth is in the crosshairs in two ways with earnings out after the bell and a democratic debate certain to spend some time on health care. That is our stock of the hour, next. This is balance of power on Bloomberg Television and radio. David this is balance of power on Bloomberg Television and radio. I am david westin. Time for the stock of the hour. Unitedhealth is the best performing the s p 500, surging 7 after the company beat on earnings and the Third Quarter and raised its forecast. Kailey leinz is here to tell us about it. Kailey we have a healthy beat and raised. It is the third time in a row since it raised its forecast. Market good news for the is on costs. Specifically the medical loss ratio, which is the percentage of a premium paid out on claims. The higher that is, the more cuts into profitability. Quarter, 82. 4 this down from 83. 1 this quarter. Last quarter there were a lot of fears and the Second Quarter about that higher ratio because it can cut into profitability. Although it does not seem like a huge difference, it can equate to hundreds of millions of dollars. You are seeing a lot of optimism. That is not just good news for unitedhealth. On the back of this report, we are seeing a broadbased rally in the likes of anthem and peers. This index is on pace for its best day in many years. David that is good news. Is there anything unitedhealth can do to control that number or is it just like manna from heaven . Kailey it is a little bit of both. Claims did come in higher, but it does show some kind of control the company is having over being able to bring that down to such a degree between the second and Third Quarter. David Health Insurance companies have not done so well in recent years because of concerns for what the government might do. We have a debate coming up tonight kailey medicare for all. Any rhetoric we get could been a different day for the stocks tomorrow. It could eliminate private insurance. That is a big risk and has led the managedcare index to underperform health care probably if we look at her yeartodate period. Our analyst at Bloomberg Intelligence are noting that even though we had a strong quarter, shares for unitedhealth and its peers willing to remained right back range bound until we know what the pain of it will be for the democrats in 2020. David thank you so much for kailey leinz for that report on unitedhealth. Coming, google unrolling new products in manhattan. We talk to at senior Vice President for hardware. This is balance of power on Bloomberg Television and bloomberg radio. David from new york, this is balance of power on Bloomberg Television and radio. Im david westin. First word news, we go to Mark Crumpton. Mark house impeachment investigators are spending their inquiry. Thoughte asked russell to testify next week about the withholding of military assistance to ukraine and any cover upefforts to those actions. The house is investigating whether President Trump ordered to pressure ukraine to investigate joe biden and his son hunter. Its a sign of how far apart the u. S. And china are on trade despite that handshake deal. Beijing will struggle to buy 50 billion worth of u. S. Farm goods on this and remove retaliatory tariffs on American Made products, and that will not happen unless President Trump removes tariffs on chinese products. Least 85 people have been killed and 400 wounded in Election Related Violence in afghanistan. The United Nations says the attacks are coming mainly from the taliban. Afghans voted last month despite the militant threats and violence. Polling was marred by widespread misconduct and accusations of fraud. The u. N. Says more than a third of the civilian casualties were children. Melted scaffolding on top of the fire ravaged notredame cathedral will be removed in the coming weeks to allow restoration work to begin next year. Ans been six months since april 15 fire gutted the medieval paris structure which was under renovation at the time. The twisted metal remained in place after the fire as engineers try to determine whether removing it would weaken the structure further. Global news 24 hours a day, onair, and tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. Im Mark Crumpton. This is bloomberg. You, mark. K google has announced a range of new products in manhattan today from a new pixel book laptop to new headphones, to a new pixel phone. Test take us through it all is rick osterloh, senior hardware engineer for google. I dont want to make you pick among your children, but tell us about the highlights here. Rick [laughter] thanks for having me, david. Of products a lot today, a new pixel phone, the buds, something that goes into your year that gives you great access to the google system and great stereo headphones. We also have two Home Products ini and nest, nest m wifi. This brings together a system which recall and get computing. Ambient computing. We also talked a lot today about how we are trying to design responsibly, focused on sustainability in our design work. We will invest in sustainable and renewable energy. We are focused on privacy and security to, so that was the roundup of what we announced. A lot going on, we are excited about it. David a fair number of people making smartphones now, but tell us how you can gain market share in this area with your pixel 4 particularly . I think we are focused on trying to build the best possible google experience, so we bring the latest innovations that the companies are working on to our users. Great withlways been camera, and that is where some of our latest research can come to light. We have the awesome photography experience that we added today with a great zoom experience and some other tricks we are doing with machine learning. We also have a new Google Assistant running on these devices, the speech models running on the device is really fast, has a new ui that is simple to use. We think this is going to bring help to our users, and people will like it. Hopefully we get some good traction with it. David how much are you going to repeat on price with your competitors . Atk pixel 4 will start 799, so that is in the range of most flagship phones. We also offered a new range of products that has the great photography experience and access to the google system at a lower price point, 399. We think that portfolio appeals to people looking for a great affordable phone, as well as a premium flagship phone. Talk about that google ecosystem. Working with this nest phenomenon which i think you have cut back on. What we are doing is migrating all of our developers to the Google Assistant developer program. That is so that we have one standard interface and how you interact with Google Services for the assistant. Android, the fundamental system that our phones are built off of has been open since its conception. That is one of the key characteristics. A greatpeople can build product line off of android, and its been successful. David there is talk about a possible acquisition of fitbit. Are you able to buy right now . We dont comment on any sort of speculation on acquisition, so im afraid i cannot comment. David but you are not out of the business of looking at them . Rick we are always looking at strategic options, so that will continue to be a part of our strategy. David talk about privacy. As we move into the internet of things, and certainly, i have an increasing number of connections at my house, there are concerns about privacy and whether we can really trust our data. Customeru reassure a that it is not being used for purposes they would not want it as we mentioned, privacy is at the center of everything we are doing. The company has made some important announcements about how we give users options to manage their privacy. Google has always want to make sure that users are in control and they have clear transparency with what is going on with their data. Now you can go to your account and see what is happening with activity, youtube, location history, easy settings to delete automatically, you can turn off any collection. Users are in control. With products in the home, this is even more important because these are products that are in your day to day life. We want to take special care with users information. On offlly offer simple bonds to make it simple to use and see. Lights to make you know when it is recording. We also added a great capability of the google assisted by asking to delete data. Very focused on engineer great privacy and Security Solutions for our users, and i will be an enormous focus for us. Apple that and google think this can be handled by the private sector, or are you encouraging government regulation . E others in the regulation industry are saying we need some regulation. Are open to a collaborative approach to developing regulation that helps consumers and clarifies the rules of the road. It is hard for us to be responsible about how data and information is treated, so we are open to working with governments to get to the right solution for society and our users. David we appreciate you taking time on this busy day. Thank you so much, rick osterloh. We have some new headlines across the terminal. Berkshire hathaway is seeking remission from the fed to potentially increase its stake in bank of america to more than 10 . Anything over 10 will often trigger a regulatory review. Bank of america is now higher by 3 . This is something that people have been speculating about. It appears they are asking permission to go over 10 . U. S. Pullback in syria has created a power vacuum and let russia as the dominant power broker in the region. We speak with former defense secretary carter about what ash carter about what the u. S. s next move should be. This is balance of power on Bloomberg Television and radio. And radio. David this is balance of power on Bloomberg Television and radio. Im david westin. Ash carter has spent his career in and around the pentagon serving as the number three and number two official at the Defense Department before becoming the secretary of the Defense Department under president obama. He has written about his experience in a new book. Now he is director of the Belford Center at the Harvard Kennedy of school. We welcome him back for todays conversation in chief. Here withoute you asking about turkey, syria. What do you make of what is happening . Ash cast your mind back to 2015 and remember how it all started. There were americans getting all raised up on the internet because of the isis, running over people in the streets, shooting people. In syria, they were targeting us , they were targeting our officials, citizens, me and my family. I had just become secretary of defense. Companies were scared. They had attacked paris and other cities. That was isis. They needed to be destroyed. We needed to destroy them in iraq and syria. Qqa wasthe city of ra what they called the capital city of the caliphate. I thought we needed to destroy this enemy. American public came around to the idea that we need to defend ourselves. , webest way of doing that could have gone in and done it ourselves. The best way was to do the town to town fighting because that is not our comparative advantage. Themuld bring down to help , the great cyclone of the american military, our intelligence, our firepower, our logistics, advising. But we need to find that army that was willing to fight against isis. We found them, they were the syrian kurds. Americans dont even know who they are. Explain their role in fighting against the Islamic State. Ash first of all, there are several different kinds of kurds. They live in northeastern syria and were not all that interested in fighting assad. Wanted to get these isis foreigners out of northern syria. We wanted to do the same thing, so we teamed up with them. They were good fighters. By the time i left office in early 2017, the war was won militarily. What that meant was, isis didnt , they were so busy surviving, they could not plot against our own people. That we had victory and sustained for about two years. Currents abandon the im certain isis will rebound. Not all those people are dead, some are detained, others are still running down the euphrates. David reports are some of those detainees have escaped. I have heard that same thing ash i have heard that same thing and it is inevitable. We will have to defend ourselves, but next time nobody will help us. David we have to include turkey with this. There is not a pleasant history and turkey. Kurds president erdogan said we need to go into syria to protect ourselves what he calls the terrorists. Does he have a point . Remember, we have to do what we have to do to defend ourselves. What i told the turks, i told erdogan, i know you dont like is working with the kurds in syria but we have to defend our people. We will do everything we can to make sure they dont turn against you, and we will help you as a good nato ally, but the now, they talk about creating a safe zone in northern turkey. Zone, youlare a safe better be prepared to defend it. The first thing the bad guys are going to do when you declare a safe zone is show that it is not safe. We will see if the turks can defend this save zone save zone. In the geopolitical game, where the turks, the iranians, the russians, the syrian regime, that is not as important to us as it is defending ourselves against the isis terrorists. Game, our toolal was the syrian kurds, our card in that game was our friendship with the kurds. Abandoned them. Xplicit david reading from your book, i found too many in the government too cowed that would align more closely with russia. I consider such threats hollow. The more we waffled, the worse the threat became. Is that the way that you would be playing it with turkey right now . I always said to erdogan and the turks, i dont think you have an alternative. You say you are going to work with russia. We are your best friend, nato is your best friend. You are not going to buy equipment that is as good as what you will get from us. You can talk about flirting, but i dont believe it. Lets get real and see where our interests side and work together. We are willing to work with your military when you are protecting your own people and your own sovereignty, you are a member of nato, and we did that, but we will not go on other inventors that you, erdogan, having your mind. It is like everywhere else in the middle east, david, people are you going to do to fix the middle east . Fixing the middle east is not the american job. I am going to protect my people and my interests. We are talking with ash carter, former secretary of defense. Reports today are that syria, bashar alassad, has formed an alliance with the kurds against the turks, and troops are moving into the area perhaps with russian support. It would be deeply ironic if the winner in all of this was bashar alassad. Ash yes, and when we were working with the syrian kurds, the good thing about them is they were willing to fight isis with us and were not going to try to deal with other aspects of the syrian civil war. That is why they were an ideal partner. Now that we have apparently abandoned them i dont understand that, but that is apparently what we have done they are looking for somebody else. They have the turks coming after them, so they partner up with assad. I would prefer that we would have continued our relationship with them, and that they were relying on us as their partner. Remember, we had troops there, troops were at risk there but we were not doing most of the fighting, they were doing the fighting that was important. David you were there when you first made the relationship with the kurds. Address something, the kurds always understood this would be a shortterm deal. We would be with them for a time, but once we defeated Islamic State, we would be out of there. Is that true . Ash i think that was basically right in the following sense. We would not help them establish a kurdish state. We wanted to work with them to defeat isis. That is not the same as saying that we would walk away. Isis is not finally defeated. Sis will bounce back in syria , we will not have any money to fight with us. That is my principal concern. We were never going to help. Those statements we made, including that i made to the in those days was, we are not going to help you link up with kurds in syria, turkey, declare an independent state, and start a new basket of problems in the region. That is not the same as saying we will fight with you until raqqa is taken but not until isis is completely defeated. David as far as you know, for the syrian kurds moving in a direction that you told them not to do . Is that what is pressing president erdogan right now . He is feeling threatened in that respect. Certainly in my time, and i believe this has been true under President Trumps administration, we had a lot of leverage over them, and we continue to enforce the rules. We are working with you, only in so far as northeastern syria is concerned, defeating isis. At cooperation with you ends that boundary. They respected that, we respected that. It is very transactional like that. I did the same thing all the time. I would be on the phone with somebody and say, knock it off, or we will stop working with you. Theve to do that throughout counter isis campaign because they have their own ideas, they want to cut their own deals. As part of the job of being the american secretary of defense is making sure everybody does what they need to do for us, because what we need to do is protect our own people. David appreciate your perspective. Ash carter, former secretary of defense. This is balance of power on Bloomberg Television and radio. David this is balance of power on Bloomberg Television and radio. Im david westin. News broke this morning that gm Ceo Mary Barra has joined directly in a talks with the uaw to settle the strike against her company, raising speculation that things could be moving toward a resolution. We welcome our Detroit Bureau chief david wells. What do we know about what is happening with mary barra and the uaw . This morning with her Bargaining Team and a top leaders from the uaw, there until about 11 30. No word on what is coming out of it, but all the indications that im getting is they are moving closer to a deal. They made progress over the a lot of arms being exchanged, lots of blame for dragging feet, dragging negotiations, but they may progress on key issues like how to treat temporary workers. One open piece was investments. Maybe they have a deal there. These things can always trip up at the last minute but it seems like they are making progress. There are reports that gm could be losing 100 million a day. Interesting to me, the uaw workers may be on the same side of the deal in that they have profitsharing, and they could be losing money themselves. Thats right, they would lose about 2000 in profit sharing, 4000 overall in wages. They know they are making a sacrifice when they go to the bigger lines. As the strike wears on, you start to weigh whether staying out longer is really worth it. They will make that assessment when they see a tentative agreement. Gettingthings they are enough for them to ratify a deal in go back, or do they think it is worth taking bigger hits to their pay and bonus, to get even more out of the deal. David what do the workers want the most . Would say right now it is job security. They have those unallocated plants. Places like orange town, ohio probably will not come back. They want to see new products being put into those plants. That is what they want in terms of job security. The old job security promises they know are not worth anything or are not doable. If they get vehicles to build, that is great. They know they will get a decent raise, signing bonus, probably 9,000 per worker just to ratify the deal. The economics will probably be there, but they want security. David we will stay tuned. Thank you. Balance of power continues on radio. This is balance of power on Bloomberg Television and radio. From the couldnt be prouders to the wait did we just winners. Everyone uses their phone differently. Thats why Xfinity Mobile lets you design your own data. Now you can share it between lines. Mix with unlimited, and switch it up at anytime so you only pay for what you need. Its a different kind of Wireless Network designed to save you money. Save up to 400 a year on your wireless bill. Plus get 250 back when you buy an eligible phone. Call, click, or visit a store today. Im lisa abramowicz. Welcome to money undercover. We take you inside the world of private debt, equity, and real estate. Lets get straight to the burning issues in private markets, survival of the fittest. Investor firms are to adapt in the face of lower yields. Looking at the fallout of storied unicorns that could end in being donkeys

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