Points. Russell, the underperformers. Lets dive deeper into the action with our reporters. What were you watching . Abigail small moves for stocks, record highs, bigger moves for bonds. The 10 year yield down five basis points, the biggest move down, the biggest rally for treasuries. Lets into the context of a paul. By he said if the 10 year yield breaches the downtrend in yellow, that he would turn bearish. Could see the 10 year yield go up to 2. 15 . Mike in the Corporate Bond market, all eyes have been on this monster offering from add ve to purchase its to fund its purchase of allergan. It is the fourth biggest deal of all time. The biggest. Of the deer of the year the biggest of the year. If you look at the spread of investmentgrade bond, fell to a 20 month low of 104 basis points yesterday. That is according to the Bloomberg Barclays u. S. Aggregate corporate index. This obviously bodes well for what the bond market is really gearing up for. And that is what could be the biggest lbo of all time, a buyout of walgreens boots alliance. Taylor im taking a look at the defensive sectors. If you look at a chart im showing in my terminal, it was in defensive. It is health care over utilities. They are looking at the forward p e ratio on projected earnings. In a report, they are noting the forward pe has dropped as much of thebelow the ratio s p 500 utilities index during october. That discount is the biggest on record. If you are getting defensive, ubs saying do health care over utilities. Thank you. E still with us, Gina Martins Adams and alec young. The bond market. The treasury buying we saw today. Will that be sustained . Alec what we are noticing is that large has been leading small and defensive leading cyclical as yields have been coming down. Since yields have bottomed, small has been outperforming and cyclicals are finally starting to best defense values. A lot of equity rotation is keying on the treasury market. We have not been able to get much above 190, 195. We had a couple of tries at it. I think your chart showed interesting resistance above that. This 2 area is going to be interesting to watch. In order to get upside, i would think you would need some upside move break and bond yields, would seem logical. Scarlet how careful are you looking at what is going on in credit . I think about how much monster demand there was. Gina it is one of the keys to a continued equity market rally. We look at credit spreads carefully. Historically, you have seen significant widening, especially in high yield. 100 basist a good points, 125 basis points before the equity market peaks. You want to watch i carefully. Intriguingly, there is a late cycle confirmation. Credits bet credit spreads have been widening made a back 15. Any highyield spreads have stayed a very tight. But are also incrementally widening. I think you want to watch it carefully. It is not the only signal we watch from the bond market. We watch rates, the yield curve strip spread. Credit spreads are supportive. Investors are very willing to fund credits. It is a pretty big support. Romaine i want to go back to something. We have the data oprah for outperform and we saw it up or forming on the day. You mentioned that rotation. The russell 2000, small caps in general, they have a big hole to climb out of. They havent come close to recapturing their highs. Why am i supposed to believe in 2900 on the dow if we still have a russell 2000 i can barely hold 1500 . Alec the earnings dynamic has been healthier than they have in small. The technical pictures as you point out are separate. One thing we are watching is this treasury yield. When yields are going up and there is a reflation trade, belief in a trade deal, small has been leading. Today, we had a pullback in yields. We have seen a little bit of a pullback in risk over the last couple days on smallcap. Smallcap would be included in that. I think there is room for optimism on small getting its back, if you believe that we are seeing a trough and Global Growth and good news to come on trade. Caroline talking about big cap earnings, getting numbers out of cisco. The first court it looks good in terms of revenues. 32 point 30. 2 billion. Their forwardlooking guidance, their secondquarter revenues slump 3 to 5 . The estimate was. Growth for 2 . They see 75 to . 77 in their earningspershare. The estimate was . 79. Scarlet im looking at shares of netapp, the computer storage company. Moving in both directions after reporting secondquarter net revenue coming shy of estimates. The Second Quarter adjusted beating estimates by more than . 10. 109 versus the estimate of 94. The outlook beating the consensus estimate. It sees thirdquarter adjusted of 122. The average analyst estimate is 117. The midpoint of that range is 118. One penny better than what analysts had a been looking for. A wide range of outlook. It sees 8 10 down a percent, excuse me. It previously had seen a drop of 5 to 10 . Romaine i know we are waiting for trump and erdogan to come on. Before he gets on, we have not talked about the dollar. I will start with you, gina. Caroline we will have to pause because President Trump and president erdogan are taking the stage. Pres. Trump thank you very much. Please. Begin by welcoming the first lady with us today, and the first lady of turkey. Thank you very much for being here. Its a great honor to have you. We had a wonderful and very productive meeting. Before we start, i would like to erdogan forent releasing detainee the in detention in different forms of detention. I appreciate that very much. I was a very nice tribute. He will be coming back at some point in the nottoodistant future. For thevery good News United States and also very good news for turkey. Is a great nato ally as everyone knows and a Strategic Partner of the United States, and around the world. Our economic relationship has tremendous potential. And continues to expand and grow. It is essential to ensuring a future of peace and prosperity. And promise for our citizens. Over the course of the day, president erdogan and i had a frank and productive conversation on a range of important topics. Among those topics we discussed was the situation in syria. Last month, i sent Vice President pence, secretary of state pompeo was with us, National Security advisor obrien, thank you, to meet with president erdogan in the hopes of ending all of the hostilities, the negotiations were very successful. And the United States and turkey achieved a tremendous amount on that day. I think we are working toward getting it better and better. It is a complicated situation going on for hundreds of years. Today, the ceasefire continues to hold and i want to thank the president for his partnership and cooperation as we work to build a more stable and peaceful and prosperous middle east. Have assured each other that turkey will continue to uphold what it is supposed to uphold. Im a big fan of the president , to tell you that. And i know that the ceasefire, while complicated, is more is moving forward and moving forward at a very rapid clip. There is a a lot of people that want to see that work after so many decades in so many centuries, you might say. The United States and turkey are workin extensively on other security issues. Turkey has the secondlargest armed forces in nato after the u. S. They are a very strong second, i might add. Im pleased turkey has been steadily increasing its defense spending and is close to the 2 of gdp range, unlike many of the other countries. At this moment, they are eight out of the 28 countries that are current in terms of their obligation financially. Turkey has made a vital contribution to natos Resolute Support mission in afghanistan, and its partnership was important to our distraction of the isis caliphate. Outly, when we took albaghdadi, and take him out we did, turkey knew that we were going over certain areas, they were very helpful and we appreciate that very much. Good for both countries. We really appreciate it. We are grateful to president erdogan and the citizens of kurt of turkey for their cooperation in the constant struggle against terrorism. He fights it like we do. Key to our collaboration is our trade defense and military equipment program. American Foreign Military sales to turkey total many billions of dollars and turkey supplies Component Parts to Many American defense programs. They make parts of the frame as an example for the f35. Acquisition of sophisticated Russian Military equipment such as the as 400 creates a very serious challenge for us. We are talking about it constantly. We talked about it today. We are talking about it in the future. Hopefully we will be able to resolve that situation. We have asked our secretary of state and minister of Foreign Affairs and our respective National Security advisers to immediately work on resolving the as 400 issue. We have also recently agreed to work toward a 100 billion twoway trade agreement. Secretary ross is here, and i think we have made tremendous progress in that. We have a lot of trade with turkey but he could be many times larger and turkey would like to see that and it would also be good for the United States. We intend to bring it up to 100 billion. That would be four times what it is right now. Our goal is to expand commerce between the United States and turkey, reduce our trade deficit and ensure a truly fair and reciprocal relationship. We are, for those of you that have any interest, we discussed it today also, our trade agreement with china is moving along very rapidly. We will see what happens. But it is moving along rapidly. China wants to make a deal, that i can tell you. One of my chief priorities as president has been removing the brick the barriers to american trade and investment and ending the illicit practices that harm our workers. We encourage turkey to further open its markets. They are doing that. They are doing that. Americangoods and services, our markets are goat are open, turkey is opening up their markets and they are rapidly. P mr. President , as we have seen in recent weeks, the u. S. Turkish alliance can be a powerful force for security and stability. Not only in the middle east, but beyond. I look forward to working with you, and to your representatives, i want to thank you for being here. I have gotten to become very familiar with all of you. I really appreciate it. You are doing a fantastic job for the people of turkey. I look forward to continuing to ground, harness common purpose, and to advance the vital interest of our people, and the abiding friendship between our nations. We have a great relationship both personally and with the great country of turkey. We look forward to moving forward and making it a bigger and better relationships are thank you very much. [applause] pres. Erdogan [speaking a foreign language] translator mr. President , my , i would like to on behalf of myself and my nation. First and foremost, i would like to thank my dear friend President Trump and the first lady of the United States, for being such a great hosts today. With we have managed to discuss all the issues on our agenda with mr. President and all throughout the day. The discussions were very sincere. We need toe that further profound our cooperation and turkishamerican relations should be erected upon a strong and healthy foundation. I think we should remain resolved in order to open a new chapter in our relations which is in full compliance with our deeply rooted alliance. We have reciprocally stated our will to fight terrorist organizations imposing a clear and present danger upon our National Security. We have especially underlined the significance of fighting against isis in a sustained device fashion especially in the aftermath of the demise of albaghdadi. We have detained several prisoners trying to flee the prisons in syria and come to turkey. And we have more than 200 terrorists who have been incarcerated. Peace wasperation, initiated october the ninth, turkey took another step forward in fighting terrorism in a very resolute fashion. Our country with this operation, blew a very Significant Impact upon the separatist agenda of terrorist organizations such as pkk and ypg in syria. In order to further strengthen syria, weation in believe we have gained a significant momentum with our october 17 agreement, memorandum. In order to harness this memorandum, the pkk and ypg are attacking our soldiers and the civilians in a provocative fashion. In the last 24 hours, more than 19 attacks and shots took place. At the beginning of this month, a bomb was placed in an outdoor market and as a result of the explosion, 13 lives were lost. Despite all of these developments, in order to settle the conflict in syria in a sustained fashion, we are reiterating our commitment to our memorandum, our agreement with the United States. Some circles are some pathetic toward these terrorist organizations and are feeling upset, they are deeply disturbed, and they are using this information in order to cloud at understanding of the Public Opinion and the perception with the gain and goal of harming our relations. Some historical developments and allegations have been used in order to dynamite our reciprocal and bilateral relations, especially in the house of representatives. Some of the resolutions that were passed on october 29 serve to this very purpose and hurt the turkish nation and they have the potential of casting a deep shadow over our bilateral relations. I share this information with mr. President. The decisionmakers in an incident that took place 104 years ago should not be politicians but historians. We have nothing to hide. We have full selfesteem in that regard. I do stay very clearly that we are historically on the side of dialogue debate. We have voiced our proposals to party to open the archives reciprocally and establish a history commission. Believe the senate will take the United States out of this which happened as a result of the house of representatives. Turkey in the u. S. Stands sidebyside into in order to fully eradicate and bring peace and stability to syria once and for all. For this purpose, we should keep on working together. Turkey remains, or it should be, the most reliable partner of the United States in this region to achieve these targets. We are the only nato ally as them in a has fought very resolved fashion. So far, we have detained fighters and we have sent them back to their countries of origin. And we have spent entry 277,000 individuals who are considered to be affiliated with a terrorist organization. Right now in our prisons, a total of 1206 members are incarcerated, coming from 40 different countries. Quite recently detained 280 seven individuals including women and children who have fled ypgprisons that pkk and wishes to control. Our country is being showcased this terroristd organization caused 304 civilians to die against which we are going to keep on fighting. It is very important to understand that the foreign fighters should be accepted by the countrys of origin. And we have the same understanding with President Trump in order to convince the countrys of origin to do this. Distinguished ladies and gentlemen, we have a borderline with syria and when the war broke out nine years ago, we were the ones at the forefront impacted heavily and maybe the most. We have 3,000,006 hundred 50,000 Syrian Refugees and a total of more than 4 million refugees. We have spent about 40 billion, even beyond that, for these refugees in our country. So far, europe only sent 3 billion euros despite a higher pledge. Through our ngos. Similarly, we are providing sustained humanitarian aid to 3 Million People living on the syrian territory. Summit, iat the g20 launched an appeal to establish a safe zone in syria. Because of the delay, hundreds tens of thousands of civilian lives were lost. This problem cannot continue forever and ever. Previously with our operation olive branch, we have managed to of terrorist presence. And i agree with the proposals of the president. It is very important to realize our goals. I think the operations, and through these operations, we have managed to free some syrians. And thanks to the operation peace spring, we have secured many villages. In the rightful settlers are going back. We have shared our projects with President Trump and our several plans for the safe zone, and with the support of the United Nations and international community, we can repatriate many more Syrian Refugees in the northern part of syria. We are talking about an area 444 kilometers in length and 33 kilometers in depth. One Million People can be repatriated. One million more individuals can be rep had treated. A total of 2 million refugees can be repatriated. Ladies and gentlemen, as you know, the terrorist organization attempted to destroy the Constitutional Order of turkey with a failed coup attempt. A terrorist Organization Behind this failed coup. They have killed 251 individuals, harming 2193 citizens and they have even dared to bomb our parliament airborne. We have once again accentuated our expectations visavis with our friends at the u. S. Administration to once and for all eradicate such a presence here. And we have also discussed with President Trump how to achieve the 100 billion dollar trade volume threshold as soon as possible. We believe we should not confuse political instance with commerce related aspirations. And our secretaries of commerce are currently heavily invested in achieving the 100 billion threshold. We hope and pray that we will shy away from certain measures which will make it much more challenging for us to reach these targets. We have also quite naturally discussed our deep reservations in the field of defense industry. Primarily that as 400 system and the f35 program, we can only serve the hurdle that we experience through dialogue. My dear friend, previously stated back in the g20 meeting, the injustice orchestrated against turkey in terms of the opposition of patriot muscles. We have clearly stated to President Trump on thes about under suitable circumstances, we could acquire patriot missiles as well. As turkey, we are ready and committed to sustain a constructive dialogue with the United States congress. And this is my idea that i have shared with President Trump as well. With these thoughts in mind, i hope and pray that our deliberations throughout the day with President Trump will yield the most results appeared i would like to thank President Trump for their kind invitation and being such gracious hosts all throughout the day on behalf of me in the delegation, i would like to thank you. [applause] pres. Trump thank you very much, mr. President. I called up the senate. I asked a couple of our senators and we really ended up with five and others wanting to come and we will keep them apprised, but some of them joined us. They happen to be here. Ted cruz, thank you very much. Lindsey graham, thank you. And rick scott, thank you, very much. Joni is here, joni ernst someplace. These are people that want to see peace in the middle east. I thought it would be appropriate for them to come over. They met with the president and we had a lot of very frank discussions. Subject,ith a very big a complex subject that has been going on for centuries in many cases. We are making a lot of progress. Tremendous progress in the middle east. A couple of questions, go ahead. Thank you, mr. President. I would like to start out getting your general reaction today to the hearings on the hill. Do you feel democrats made their case and how did you feel about the republicans performance . Pres. Trump are you talking about the witchhunt, is that what you are talking about . I hear it as a joke. I have not watched for one minute because i have been with the president which is more important as far as im concerned. This is a sham and should not be allowed. It was a situation that was caused by people that should not have allowed it to happen. I want to find out who is the whistleblower because the whistleblower gave a lot a very Incorrect Information including my call with the president of ukraine, which was a perfect call and highly appropriate. And he wrote something that was much different than the fact. I want to find out why the ig, why would he have presented that . I want all he had to do was check the call itself and he would have seen it. I will be releasing on thursday a second call which actually was the first of the two. He will make a determination as to what you think there. I have heard the report, they have said it is all thirdhand information. Nothing direct at all. Cant be direct because i never said it. All they have to do is look very, very simply at the transcript. If you read the transcript, this was analyzed by great lawyers. This was analyzed by greg jared, by mark levan, was analyzed by everybody. They said this statement that i i made withole call the president of ukraine was a perfect one. That this country gets put through that, that we have to waste this gentlemans time by thinking about it, talking about it, i would much rather focus on peace in the middle east. I hear that it is a hoax and it is being played as a hoax. Thats what i hear. You will have to tell me. Go ahead. On syria and peace in the middle east, president erdogan talked about repatriating Syrian Refugees back to their homeland. Have you had those discussions with european leaders since there are so many pres. Trump i think frankly europe should be paying for this to a large extent. As of this moment, turkey has been paying for most of it. I think the president was saying today, they have spent over 40 billion on the cost of that. 40 billion. How much . 40 . Thats what i said. Whatever. Theyve spent a lot. [laughter] was 40ump i heard it billion, how much is that, 40 billion, correct . I have her that number from others. Thats a lot. Europe has contributed about 3 billion and a lot of these people would go throughout be ae, i mean, it would devastating situation for europe because he has 4 Million People. He has a lot of courage too that they are helping and taking care of. I have spoken to europe about it. I think they should help us with isis because many of them left france and germany and u. K. , different countries. These countries should help us because if they ever did get released which we will not be doing, but if they did get released, they want to go back to france and germany and u. K. And all of those other countries that are not helping us. I gave them the option, would you like to have them back . Intelligently they said no thank you. But that is not right and it is not fair. I can tell you all that turkey captured, when some escaped during the conflict, when they had the heavy and i think i know how they happened to escape, but doesnt matter, because turkey captured everybody that escaped plus an additional group. When we took over, when i became president , isis was rampant all over the middle east, and as of about a month ago, i think we can say that we have now 100 of the caliphate, and they will always try and grow, but they havent been able to do that, and what we did last week with baghdadi, who is the absolute founder, leader, set them back. Twolso got his numbe sites on his number three. Reporter i have a question for president erdogan. With what you are calling a realignment on the border, a lot of christians in that region are feeling vulnerable. They are not feeling safe any longer. Can you guarantee that the turkish government will also protect christians in that region . Pres. Erdogan thank you. Contrary, christian area we ares an especially sensitive about, and we have certain different plans. Whether it be the ones remaining on the side of syria whose aries have been destroyed, whose churches have been destroyed, will see their sanctuaries revived, and their churches will be reconstructed so they can start praying there again, and these are the plans we are making there for them. As i said before, the christian ones who arehe living on our side of the border have no problems whatsoever, but the ones remaining on the side of the syrian territory will see worshiping practices restored and revived in a special manner. They are receiving health care. They are receiving humanitarian aid in every aspect possible. Thank you. Pres. Trump thank you very much. Would you like to pick somebody . A friendly person from turkey, please. Only friendly reporters. There arent many of them around. Thank you. Reporter you inherited the burden of obamas flawed foreign and allowing the pkk [indiscernible] however, you also invited the ringleader to the white house, and he is responsible for attacks in turkey which caused the death of 164 soldiers and 48 civilians. Meeting, which would be very offensive and hurtful for the turkish public. Thank you. Pres. Trump we had a very good talk recently. We are working very closely together and we are also working closely together with your great president , and a lot of things are happening, and very positive developments are happening. A lot of that is definition. What is your definition of the various groups within the kurds . You have various groups and some like them and some dont. But i think weve gained a tremendous amount of momentum and strength and knowledge over the last short period of time. We will see what happens. But i will say that the relationship with president erdogan and turkey has been outstanding. With a major country tremendous military. They are one of our big purchasers of military equipment. They have the finest equipment in the world, which the United States makes. Turkey understood that a long time ago. I think a tremendous amount of progress is being made. Thank you very much. You can ask the president a question now. You sure you are a reporter . You dont work for turkey with that question . [laughter] mr. President , we are not getting the best of news out of the United States, and the office targeting turkey is expensively invested in their daily works, but i can see certain traces that the government is ready to understand more. My question is, how do you perceive the situation and the american approach in that regard . Can we expect anything further . Pres. Erdogan yes, thank you. During this current visit, we are going to submit, as we already have, a great deal of documents and evidence. It is a terrorist organization and he is the ringleader of this terrorist organization. They have killed 251 people in turkey. They tried to undertake a coup against the state. More than 2000 people have been injured and the ringleader is living on an area of 400 acres in the United States, running his network all around the globe. And this is something unacceptable. Visit, as ive said before, we have introduced an additional array of documents. We will submit them to the relevant authorities, and in light of these documents, i think they will appreciate the situation. Sure they will do the same for us. Reporter thank you, mr. President. There was one moment where ambassador bill taylor recounted ide ofersation that an a his overheard after the phone call with us a landscape, with zelensky, and he heard you how are things proceeding with the investigations . Back thatepeated ukraine was prepared to do everything you wanted to do. Is that correct . Pres. Trump i know nothing about that. First time ive heard it. He did speak to me for a brief moment and i said no quid pro quo under any circumstances and that is true. Ive never heard this. In any event, it is more secondhand information. Reporter do you recall pres. Trump i dont recall, not at all. Not even a little bit. I guess sondland has stayed with his testimony that there was no quid pro quo. Pure and simple. Reporter and president erdogan, President Trump sent you a letter urging you not to launch a military action into northern syria. He said, dont be a fool. You ignored that letter and launched a military action into northern syria. Can you explain why you ignored the president s warning . Pres. Erdogan well, this letter was represented to mr. President and ive also, aderlined the fact that terrorist should not be considered as an interlocutory by a country such as the United States. This individual has been instrumental in the killings of hundreds of civilians and he is sonrson labeled as like a for the terrorist leader who is currently incarcerated in turkey. So a person like this should not be welcomed by a country such as the United States. Person wasly, this welcomed by a country such as russia. So it is difficult for me to understand this when we are trying to fight terrorism on a global scale. If we are going to sustain our fight against terrorism, we need to be much more sensitive than we currently are. It happens to us today and it will happen to somebody else tomorrow is a saying in our language. We have also provided ourrmation to interlocutorys in the white house, including mr. President , and ive also submitted a document pointing out that this individual is a terrorist. And as ive said before, ive shared them with mr. President , and we gave back the letter that we have received. Reporter thank you very much, mr. President , for all you have done for curtis stand curtis stand. Pres. Trump thank you very much. I appreciate that. Orter my question is, [indiscernible] and as a question for president able why you are not [indiscernible] think they will be your friends in the future . Thank you very much. Pres. Trump thank you very much. Weve had a great relationship with the kurds and we fought with them very successfully against isis. We had great generals and we had great equipment and it certainly helped a lot, but we were very successful, and we captured, as i said before, 100 i was going to, when we were at 97 , i was going to say, that sounds pretty high to me, and i was thinking about stopping it then, and a lot of people said, please go to 100, and very quickly, very rapidly, the military got to 100. But we have a great relationship with the kurds. We are with them now. We get along with them. By the way, i think the president , he may have some factions within the kurds, but i think the president has a great relationship with the kurds. Many kurds live in turkey and they are happy and taken care of, including health care, we were talking about it before, including health care and education. Our relationship with the kurds has been a very good one. Thank you. Pres. Erdogan first, we have to make a distinction between two things. We have no problems with the kurds. We have problems with terrorist organizations. Some terrorists coming out of , which are offshoots of the terrorist organization pkk. Just as we have no problems with our brothers and sisters in the northern parts of iraq, and we have no problems with similarly our brothers and sisters in the northern parts of syria, during the times when aside was not recognizing kurdish presence, i told him that he needs to give these individuals passports and that he was making a mistake. Secondly, theres something really important i want you to know. Thanlitical party has more 50 mps of kurdish ethnicity in the turkish parliament. We dont have problems with the kurds. We have problems with the terrorists. Whoever they are, whoever they might be, we have to make a distinction here. We are just fighting terrorists. Because the terrorists dont have an ethnicity. They dont have a nationality. They dont have a flag. If they are a terrorist, that is a terrorist. If you dont fight back, then tomorrow you will have to pay a very hefty price. Pres. Trump thank you. Reporter when did you last meet with Rudy Giuliani . Caroline and there ends the discussion between President Trump and turkish president erdogan. We are currently seeing some of the headlines passing through. Theres some talk on china. Trump says chinas trade deal is moving along rapidly. He says he will release another ukrainian call. That will come as soon as tomorrow. Yet more fodder for the impeachment hearings. Should be paying for Syrian Refugees. Trump claiming he things erdogan has a great relationship with the kurds and they have a great relationship, the u. S. Does, with the kurds. Some interesting conversation being brought from this. What do you take away from this . Those russianof missiles. You can see trump sort of pushback on that. This has been a bone of contention, that turkey went through with that purchase. Toogan said, we would like buy some missiles if congress would let us do that, but because of sanctions and other things, that can happen. You can tell that the two sides werent on the same page. We also have some breaking news. A lot of headlines came out, including we work coming out with some numbers. It had a Third Quarter net loss billionently 1. 25 versus a loss of 497 million a year ago. Read what their revenue was . I will save you. It was 934 million. And a net loss for the Third Quarter of 1. 25 billion. They are briefing bondholders. Obviously, you are talking about adding Something Like 5. 5 billion in debt as part of that deal. Caroline and you wonder why the ipo didnt go ahead. Thelet and that is why company is under a lot of pressure to cut costs. Romaine other big news with bhp, the mining company. Mike henry, hes going to become the new ceo of bhp, so the current ceo, hes going to retire at the end of the year effective on january 1. Mike henry is going to take over. This is one of the Largest Mining Companies in the world. Caroline more breaking news, but lets return to President Trumps press conference with president erdogan. Takeaway forkey you . Romaine talking about some tension being visible . I think one of the highlights or one of the biggest points is the two leaders obviously couldnt reach any kind of agreement about turkeys decision to purchase the missiledefense system from russia, and their expulsion from the u. S. Led f35 program. That was something i think president erdogan and President Trump were hoping to resolve. They only had one day to do it. But their conclusion that they need to keep working on it shows that we are still at an impasse and the u. S. Says it will go forward with plans to expel turkey from this f35 program that theyve been so deeply involved in. Romaine bill, what was actually the point of this visit . Specifically from the u. S. Side. I sort of understand why erdogan would want to come here. Why was trump taking this meeting . I think perhaps the u. S. Believe they could convince erdogan in person in some facetoface diplomacy to not buy this Russian Defense system. There also looked to be a little bit of diplomacy or outreach by erdogan and turkey with some u. S. Senators, republican senators, who have been hawkish about the u. S. Relationship with turkey. Why this meeting had to take this week. When you listen to that entire press conference, it is hard to find something the two leaders had a breakthrough on. Scarlet very good point. What was the fact that President Trump and president erdogan seemed to have a friendly personal relationship contrast that with the relationship between the u. S. And turkey when it comes to government relations. This is another classic case where President Trump and president erdogan have some personal rapport, but it doesnt translate more broadly. When you look at even Senior Administration officials, people like mike pompeo, the pentagon, they are very much opposed to closer ties with turkey if it means having to live with russian missiledefense in a nato ally. Peoplere very few president erdogan and meet with in washington outside of the white house. They are frankly kind of a toxic brand in both republican and democratic circles now. Pres. Trump all caroline all this is intertwined with a controversial meeting between erdogan and trump as controversy remains on capitol hill as the first day of impeachment hearings got underway. How do you think that interlocked with what is happening . President trump was asked about the impeachment hearings today. He said he didnt really have time to watch them, but he did repeat a few talking points weve seen from the Republican National committee. He views a lot of the witness testimony as hearsay by people who really werent involved at the highest levels of policymaking. It was obviously a little bit of a distraction. I think people were wondering whether there might be a big announcement today between President Trump and president erdogan that might take away from the hearings on capitol hill, but that doesnt seem to have happened. Romaine what are we expecting next with regard to the impeachment hearings . Everyone is going to spin away for the next 24 hours on who comes out of this with the advantage, but on friday theres another big hearing with marie yovanovitch, the former ambassador to ukraine who was called back to washington in may unexpectedly. There as the lone witness on friday. And then the Intelligence Committee has said there is a full slate of witnesses over three days next week. Scarlet and the format of the impeachment hearings has been of interest. Outsourced,s, not but had a lawyer on their side ask the question, as did the republicans. The president seems to have issue with that. This is something you have seen in previous highprofile congressional hearings. But much of the opening remarks from the republican and democratic side were taken by counsel to the staff. I think we will see more of that going forward. Romaine our thanks to bloombergs bill faries giving us an update from washington. Time for smart charts with abigail doolittle. This week, you are taking a look at stocks. Abigail absolutely. Thank you so much. ,oining me is david keller chief market strategist. Congratulations on that new position. Lets look at your s p 500 chart. When im looking at the chart of the s p, im looking at the higher highs, lower lows. Weve broken above resistance. That 3000 level was significant. That is encouraging. Two things that i think are potential shorts. The rsi is overbought. That has happened a number of times. That happened in april. Happened again in the summer. End of the world type of thing. It suggests we are extended. What concerns me is the s p stocks that are above their 50 day moving average. Every time the s p has gone above the 50 day, less and less stocks are doing the same thing. It could be some of the defensive stuff breaking down. But less and less stocks have been recovering every time the s p goes to new highs. It could be a case of a cautious tone. Ive been puzzled by the smallcap space. It has been having such a hard time getting to where it is. Chart wehe s p 500 were looking at. S p, looking at the thinking about the midcap and smallcap index, a lot of critiques people had is, as the s p has gone higher, the concern has been, have small and midcaps been participating, and the good news is, if you think about the 50 day and the timelines and other measures of overall performance, i think small caps are holding up ok. I think we will be in a longterm position. Abigail david keller, thank you so much for joining us. And from new york, this is bloomberg. Scarlet cisco shares are falling in afterhours trade. China sales were down 31 last quarter, continuing the decline. Romaine Bloomberg Technology is next in the u. S. Scarlet have a great night. This is bloomberg. Taylor im taylor riggs intent and cisco, in for emily chang. Francisco, in for emily chang. This is Bloomberg Technology. We will get details on disney plus. Plus, teslas global reach. It gets the nod from beijing to start mass production in its china factory. This as tesla announces it is