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Projections for 2021 are also being revised down. And, where it all began. China has lifted travel in wuhan, ending 11 weeks of a lockdown that disrupted the lives of millions of people. Shery happening right now, President Trump speaking at the white house, talk about how he is handling the virus outbreak, saying he will ask congress for an additional 250 billion. Take a listen. Pres. Trump it was a big, important thing. We are looking to have far fewer deaths than originally thought. I think we are heading in that direction, but it is too early to talk about it. I really dont want to talk about it now. Doingk that people are an incredible job. The doctors, the nurses, the firefighters, the police. All medical people, the bravery they are displaying is just incredible. Every citizen should take nd selflessness and all the courage and compassion of our people. The people that are working, and construction workers going into hospitals, knowing nothing about this problem other than it is dangerous. They go in there to rebuild the sections of hospitals. You have people in really big trouble right next door. They know nothing about it. All they know is they are going to get it done. They are going to fix that wing so they have more people. Thats incredible. This is a National Spirit that won our independence and explored the horizons of space. This is what we are doing. This is all new territory. It unlocked the miracles of science. I wish you could have heard the calls i had yesterday with these Great Companies that come up and thees to diseases success they have had over the last 15 years is really amazing. So, i just want to thank all of them. They are working very hard. They are working with the u. K. Right now and the u. K. Doctors, hopefully helping with their great Prime Minister. Se people are really tremendous signs of success are staring us in the face. I think we are going to have something great in terms of vaccines and Everything Else they are doing. Just really helping us, helping the people of our country, and helping ultimately the people of the world. I want to thank all of you for being here. I will take some questions and then i will give it over to the Vice President and they will go into great detail into what we are doing and all of the successful supplies and medical equipment we are getting. All of the ventilators. We can go over it in more detail if you would like. We are building thousands and thousands of ventilators. They are very high quality. I said you have to go for quality and these are Quality Companies doing it. Because there is a big difference between a good ventilator and a not so good ventilator, we have seen that. Big difference. We are going top of the. Secretarying navy submitted his resignation today, modly. Why did that become necessary and what role did you have in it . Pres. Trump i had no role in it. I didnt know him but i heard he was a very good man. The whole thing was very unfortunate. The captain should not have written a letter. He didnt have to be ernest hemingway. He made a mistake, but he had a bad day. I hate seeing bad things happen. He shouldnt be writing letters. You are the captain of a great ship and you should not be writing letters and sending them to many people, and then it gets out to the media. Did they getis how it out to the media . A lot about things happened there. I had heard, because he didnt want to cause any disturbance notour country he would have had to resign. I dont know him. I didnt speak to him, but he that problem. D a really many ways, that was very unselfish thing for him to do. What should happen now to commander crozier . Pres. Trump they are going to look at that. I think the secretary of defense, as you know, mark esper is very capable. I think he is looking at that right now. They are going to take it under regular navy channels to see what they want to do. But, he made a mistake but he should not have done that. Your secretary probably should not have said quite what he said. He should not have had to resign but he felt it would be better for the country. I think it will end it quickly. So, a couple on the economic front. Today50 billion added will be added to the Small Business loan program. 600 billion in total. Do you think that figure is enough . Pres. Trump we are going to figure it out. When you see hundreds of thousands applications they are for 3000, 7,000, some for a couple of million. They are for different varying amounts of money. Theres a limit on the top. There is really no limit on the bottom as to what it might be. But, it is really popular. It is hundreds of thousands of applications. What i like is it keeps these companies together, these little companies, just like we will help the airlines and the big companies. We will help the little companies. The banks, nobody is equipped to do with thing like that, but the banks are equipped. Big banks, small banks, community banks. Theyre processing the loans. They will be able to watch it and make sure it is done properly. Potentially reopening the economy in the upcoming week. You mentioned the other day about a potential Economic Task force. Can you give us an update . Pres. Trump we want to open up. We want to get it open soon. That is why i think maybe we are getting to the very top of the curve. I spoke with governor cuomo. He seems to think he is getting close. I think a lot of people think that a lot of places are getting close. We want to start heading to the downside. This is going to be a very difficult week. This week will be a very difficult week because that is the most difficult week when you are at that top position. We will see what happens. What can the federal government do . Pres. Trump the federal government has done a lot and will do a lot. I think with the stimulus, we can be even beyond what we are going to do infrastructure which would not have gotten approved before and now people are looking to do it. The beauty is we are paying zero interest or very close to zero interest. In some cases, we are paying zero, no interest charge. The dollar is very strong and people are investing in the dollar. The fact that we have a strong currency we have the currency. Our currency is everything. Other companies, other countries want to be in our currency. So we are getting all of the investment wanting to come into the dollar. The dollar is the strength. We have a strong dollar. Other currencies are going down. Way down in some cases. You look at other countries i wont mention them but other countries are going down 22 , 25 , 20 . It is very hard for them. It makes it much more difficult. Our currency is relatively overger than it ever was the last few years relative to other countries. It is always relative to other countries but our currency is very strong. Therefore, people want to invest if we do a bond issue to do infrastructure, Everyone Wants a piece of that issue, even at zero interest. Yes, please . Have you seen these memos that reportedly Peter Navarro wrote back in january . When did you see them and how do these memos square with what you often said that nobody could have predicted it . Pres. Trump i didnt see him but i heard he wrote to memos talking about pandemic. I didnt see him, i didnt look for him either. That was about the same time i felt we should do it. That was about the same time i closed it down. I asked him about it in little while ago, because i read something about the memo. I didnt see it. I didnt ask him to show it to me. He said, yes, i talked about the possibility of a pandemic. Nobody said it was going to happen, but there is a possibility. People wouldnt talk about it. But, it was right about the time i closed it down. Interestingly, the World Health Organization was not in favor of us closing it down. If we didnt close it down, we would have lost hundreds of thousands more lives. So at the time when Peter Navarro did circulate those memos, you are still downplaying the threat of coronavirus in the u. S. You are saying things like i think it is a problem that is going to go away. You said within a couple of days, the cases will be down to zero. Pres. Trump the cases really did not build up for a while. You have to understand, im a cheerleader for this country. I dont want to create havoc and shock and Everything Else. Ultimately, when i was saying that, im also closing it down. By beasley was concerned about it because i closed out i obviously was concerned about it because i closed down the country to china which was heavily infected. I closed down europe. That is a big move, closing it down from china, to europe and then eventually to the u. K. Im not going to go out and start screaming this could happen, this could happen. I think asident president has to be a cheerleader for their country, but at the same time i am cheerleading, im also closing down a very highly infected place, specifically the location in china that had the problems. And, we are closing it down, but we closed it down to all of china. Then, we closed it down to all of europe. Those were big moves. A quick followup you learned about the memo today . Pres. Trump i read about it may be a day ago, two days ago. D if you among your staff or Peter Navarro himself should have told you about the memo . Pres. Trump it was a recommendation, a feeling he had. I think he told certain people. I didnt see it, but i closed it down. I dont remember it being discussed. Most people felt they should not close it down, that we should not close down to china but i felt we had to do it. That was almost the exact same time as the memo. If you have read the memo at the time, how would that have changed the steps you took . Pres. Trump i basically did what the memo said and the memo was pretty good memo from the standpoint that he talked i guess, i didnt see it. You said the u. S. Could lose trillions of dollars and millions of lives. Pres. Trump not going to lose millions of lives, but you will lose plenty of money. I could not have done it any better because it was about the same time a closed it down to china. So you maintain confidence in him . Pres. Trump of course. He wrote a memo and he was right. I have not seen the memo. I will see later on after this. It didnt matter whether or not i saw it because i acted on my own. I guess i had the same instinct as peter. Peter is a smart guy, a good guy and he has done a wonderful job. He wrote a memo and i guess he spoke to various people about it. Ultimately, i did with the memo said just about the time the memo came out. I closed it down. I took a lot of heat. The World Health Organization was very much against they didnt like it. They put out statements about it. In all fairness to joe biden, he called me xenophobic. Like, i dont like china. I like china. The Chinese People are phenomenal people. So, i was called xenophobic, i was called racist. How could i do a thing like this . Since then, joe said that he was wrong and he said i was right, but i closed it down. I was called names by some of the morning show hosts who dont have a clue what they are talking about. They are not smart people. I was called all sorts of names when i closed it down to china. Now they try to hide that, the tape of them saying terrible things. But that was a great decision. If i didnt do it, didnt do that, we would have had hundreds of thousands more people dying. Yeah, please . You talk a lot about the w. H. O. , i was wondering, dr. Fauci earlier pres. Trump he respects the who and that is good. He has worked with them for a long time. But they did give us some pretty bad playcalling. Given lots of countries in the world, the coronavirus testing that has been central pres. Trump i can only say with regard to us, they are taking a lot of heat because they didnt want the borders closed. They called it wrong. They called the really called, i would say every aspect of it wrong. [indiscernible] pres. Trump take a look. Go through stepbystep. They said there is no big deal, no big problem. Ultimately, when i closed it down, that actually said i made a mistake in closing it down. It turned out to be right, but at the time they did that. We are going to take a look at it. We funded it. They seem to be i said recently in social media, i said they seem to be very china centric. That is a nice way of saying it. They seem to be very china centric. They are always on the side of china. We fund it. I want to look into it. Yes . Quick followup on that. Is it time to freeze funding to the w. H. O. During a pandemic . Pres. Trump i am not saying i am going to do it, but i will look at it. No, i didnt. We will investigate it, we are going to look at it. We will look at ending funding, yeah. You know what . They called it wrong. If you look back over the years even, they are very much everything seems to be very biased towards china. That is not right. You talked about africanamericans having been disproportionately affected by the coronavirus. Any federalon agencies, Public Places doing tests, and private companies doing tests to collect that data on the race of the people being tested and the race of the people being treated . Pres. Trump we are seeing tremendous evidence that africanamericans are affected at a far greater percentage number than other citizens of our country, because we are dealing with our country. Now were looking at it from a worldwide standpoint. Is looking at it very strongly but these numbers are starting to come up. They are pretty obvious. Would you like to talk about that for a second . Dr. Birx one of the things we are going to be doing without medicare data is to look at the analysis. We will look at related type illnesses going forward. We now have a code for coronavirus so we can actually shery you are watching a press conference at the white house. President talking about a strong dollar and talking about funding to the who, saying that the u. S. Is being hit hard by the coronavirus pandemic. Joining us now from washington is the president of the Peterson Institute for international economics, adam cosin. Great to have you with us as we continue to listen to the president. Let me start with what he said earlier on the who. That he is looking into ending funding for the who, not that he is going to do it, but he is looking into that. How does that bode for international ordination, whether that is health, monetary policy, and how important is this to navigate the pandemic . Adam its obviously a very bad idea. This president , for whatever decision he makes, has two habits that are not illustrated on the threat by the w. H. O. First, he tends to fire Truth Tellers whether they be organizations or individuals. He likes a scapegoat, especially if they are not part of his immediate organization. And second, he likes to threaten organizations and assume that, you know, it is all about winning this particular game, this particular round which tends to backfire when you are any repeated game. In a repeated game. Anyway, i think it is harmful. Publichealth cooperation is probably the single most useful kind of cooperation we can have internationally, especially now. Shery what do you make of the president s stimulus package so far . He is saying he is going to ask for an additional 250 billion for relief loans to congress. This moneynt is that is dispersed properly and efficiently . Adam i think we have to give credit to the president , specifically secretary mnuchin for working initially well with both parties of congress. And, writing a stimulus package that has the right intent, which is to make it feasible as much as possible during lockdown to make it so as many Small Businesses as possible can get financing and get through the crisis. This is essentially a bridge loan for parts of the economy. State and local government as well. Because this is nobodys fault, its a disruption and we have to try to bridge people until the economy reopens. I think additional money for Small Businesses is probably one of the Better Things you can do if you want to add onto the package. I have to say it is a congressional, administration joint effort that i would give a b to. The amount of oversight was cut down. Although the president to cut that down. It was generally the right thing. Adding to it, i think it would be more important in human terms to go for support for state governments, snpa, medicaremedicaid, even Small Business right now because that is the human need. The issue with Small Businesses, the inability i am not blaming anyone. W. Hing sba, like he bashes h. O. It is incredibly difficult for the sba and the fed and the treasury to scale up hundreds fold their loans giving for what they always did at the sba, the Small Business administration. The small is not the main issue. I wish we were not wasting money on airlines and other big businesses that have assets. But, human needs and state, local government financing would be the best place to add money right now. Difficult is it to determine economically what the right thing is to do in terms of this being such a fairly unprecedented shock to the Global Economy . Is there a risk with the demand stimulus we see will result in an inflationary environment on the other end of this . Adam there is a risk in the sense that there is a risk that possibly the son wont come up in the morning tomorrow, but in the sense we can never prove anything absolutely certainly. But, it is an exceedingly small risk. No, i think the message to take is that even though this is unprecedented shock, this is a shock where 95 of all economists from both left and right have largely agreed on the diagnosis and response. Whether it is ken and glenn hubbard, Larry Summers and jason furman on the left. You can talk about this in other countries as well. We have all come together and said basically the same thing. You are not going to overdo it. Dont worry about overdoing it. Whatever you think is enough is probably not going to be enough. Worry about the bill later and try to get it out as quickly as possible to the Small Business sector, mostly for keeping Unemployed People tied to their jobs and able to pay their bills and to bridge loans, as i said. No, this is a place where i think the economic prescription is pretty straightforward. All this gibberish about are we trading off too much by doing a lockdown as many people have said rightly, all you are going to do is sacrifice more if you pull up the lockdown prematurely. Haidi i question whether that is a moral kind of choice that anyone can be making. Adam, always great to have you. We will have to leave it there. President of the Peterson Institute for international economics, adam posen. Plenty more on daybreak australia. This is bloomberg. Haidi we will get the latest on the coronavirus. But u. K. Has suffered its worst day so far with its highest rise in fatalities as the Prime Minister Boris Johnson remains in intensive care. Deaths rose by 786, taking the overall toll above 6000. Rishaad is on the line with the latest. What do we know . S, some better news elsewhere lets start up with the positives here. According to the briefing taking place by the government chief scientific advisor, there is an acceleration in the number of new cases and it is possible according to him that the infection curve is starting to slide. The trend will not be clear for another week. All of this with the background as Prime Minister Boris Johnson is still in the Critical Care unit. Johnson remaining in stable condition, receiving oxygen treatment and has not been diagnosed with pneumonia get or put on a ventilator. With casesl struggle in the u. K. Set to increase in the next few days. Despite all the optimism i discussed. E Prime Minister needing to get a grip, coordinating the pandemic response, strategy for defeating the virus. It has been criticized. Excepting they dont have enough to test people for infections. Shery japan declaring a state of emergency, which is not necessarily a lockdown. What does it mean for the economy . Rishaad absolutely. Talking about half of the economy in shutdown as it were. Prime minister shinzo abe warned hospitals reaching capacity and the country was making plans to house the mightily sick in unused facilities, which has been delayed until next year. A one month emergency starting off as of yesterday and ending on may 6, or there about, golden week. Shery rishaad, thank you very much. We will continue coverage of the covid19 fallout with robert gallo who joins us in the next hour. This is bloomberg. Im Karina Mitchell with the first word headlines. The coronavirus marches on even as some nations report and apparent slowing of cases. New york state reported its deadliest case yet, with 81,000 deaths. The white house Economic Advisor larry is striking an optimistic note, telling politico that the u. S. Economy may be able to reopen in the next month or so. He says plans are already underway for the post virus world. Meanwhile, china is lifting travel restrictions in wuhan, the city where the coronavirus initially emerged. The city has been in lockdown for 11 weeks with millions of people cap at home. Trains from other cities have resume services to wuhan and the move comes after china announced no new daily virus deaths for the first time. Final travel curbs in wuhan will be finally lifted later wednesday. Fewest newted its virus infection since march 13 as the government considers easing some Movement Restrictions in the coming weeks. Just over 3000 new cases recorded in the last 24 hours, compared with 3500 a day earlier. Food and Health Care Businesses may reopened by the middle of the month and social restrictions could be eased if the number of cases continues to slow. Meanwhile, the Airline Industry is calling for a global set of virus related Health Measures for when travel resumes to avoid the chaos seen after the 9 11 shutdown. Warning against burdening carriers with red tape to guard against any flareup in virus cases. The group says it excepts the need for safety, but operating conditions must be coordinated to ensure a smooth return to airline travel. Global news 20 for hours a day on air and on quick take by bloomberg, powered by more than 2700 journalists and analysts. Im Karina Mitchell. This is bloomberg. Haidi . Haidi thank you. Bank of australia signaling it is repaired to pull back its programs should Economic Conditions improve. Paul allen has the story. Is it a bit early to turn the conversation to tightening already . Right. We are going to try to get to paul allen very soon, but for now, lets get a quick check of the markets right now. We are seeing u. S. Futures under pressure with wti gaining 2. 7 . This after oil plunged to the weakest level since the start of the month. Theres a lot of skepticism that producers will be able to strike a deal on thursday. Upsets the demand loss from this coronavirus outbreak. We do have the opecplus talks for thursday, not to mention the g20 meeting of Energy Ministers set for friday. It is quite unclear whether or not the United States will implement a mandatory Production Cut as well. We have seen the eia numbers today, they already cut the Oil Production forecast for this year by more than one Million Barrels a day. 2021 outputthe estimates by more than 1. 5 Million Barrels. We have seen a little bit of a volatile trading throughout the session. We have seen the s p 500 gained as much as 3. 5 at one point. If we had stated that pace of gain, the index would have entered a bull market, rising over 20 from its march 23 low. However, we saw pressure towards the end of the session and we ended the session slightly down. As you can see, the pressure continuing with u. S. Futures now down almost half a percent. We had seen utilities, staples weighing on the index. Haidi. Haidi yes, shery. In terms of what we are setting up in asia as well, it is looking like we are going to follow the u. S. In giving back those earlier gains. Seeing downside when it comes to trading. Aussie futures building on yesterday. Lets get back to the rba because it may be surprising for ofe the narrative potentially preparing to talk about winding back its qe program should Economic Conditions improve. Lets get back to paul allen in sydney. There have been some voices saying around the world, you might see a situation where there is a Positive Side to the economic recovery and all this stimulus may not be necessary. Is it too soon to be talking about whether the rba can start tightening soon . Paul yeah, look, i think that is definitely the hope. Maybe this is more of an indicator that the rba is the place right now it is not particular want to be. This is the line in the statement if conditions continue to improve, it is likely that smaller and less frequent purchases of government bonds will be required. Here is what we heard so far. 30 billion of federal and state bonds. The rba is pleased with how that has gone. It has noted success on keeping the yield on three year government bonds around its target. A 90 billion target is up and running. That is on monday too. The broader question is how do you take back all that stimulus when the time comes . Looking into this yesterday, there has been tightening in australia for almost 10 years. November 2010 since the last time the cash rate went up so it seems like a bit of a parallel universe. The difficulty unwinding back to stimulus. This is especially with the rba saying a very large Economic Contraction will eventually get the gdp numbers. Not to mention next weeks jobs numbers which are likely to be confronting as well. Shery much of what happens with the economy depends on what happens to the virus operate. Is there any cause for some cautious optimism in australia with the Coronavirus Infections . Paul the news is reasonably encouraging on that front. Currently, just under. 6000 cases in australia 5919. 48 deaths. That compares very well to other countries. We have a chief medical officer saying australia is on a life raft, other countries like the u. S. And italy are still sitting in the water. Speaking of the water, the ruby princess which is linked to 681 cases the cruise ship that docked here march 19 from sydney. Inextricably, 3000 passengers with no checks despite illness is on board. There is an investigation. The Emergency Parliament will meet today with a minimum number billionto pass the 30 wage keep her job subsidy. The social distancing measures remain in place. Paul allen in sydney. Coming up, we get more on the u. S. Stimulus plan. David mcintosh tells us why he is against further spending. This is bloomberg. Haidi blackstone boss Steve Schwarzman says cc the coronavirus pandemic wiping 5 trillion from the u. S. Economy, as businesses across the country strain under the pressure of lockdown. Still, it may present opportunities for the company as it looks to deploy 150 billion in dry powder. He tells us how that he things the disruption will be. We havent extorted everything going on have an extraordinary thing going on. It is the first time i know of historically that we basically ask businesses to suspend their activities, pretty much. There are some companies that are still functioning, but most places where you leave your place of business, they dont function as well. Sorte basically creating of a huge disruption in the business community. Gdp in the United States, Gross National product, of somewhere around 21 trillion. We are probably going to miss 5 trillion of it. This is massive and it washes throughout society, whether it is governments that will lose tax revenue, the inability to pay people and provide services. And, this is happening almost in a mandated way. Fortunately, it will be temporary, but it is putting stress on every business organization. Doesnt matter whether it is walt disney or macys. And, all are looking to find theirays of dealing with current debt loads, paying their people, trying to keep people on. It is going to result in a lot of disruption and unemployment, as you see. Fortunately, it will be temporary because the government has stepped in, in a really huge way. Starting out with roughly 2 trillion of stimulus going to people. So, if they are unemployed, they can have higher incomes than they ever would have expected in an unemployed situation. Loans going out to companies, encouraging them to hire people. Forgiving those loans for Smaller Companies if they do. The government has also done a remarkable job with the federal reserve, where they are providing liquidity and they are true to multiply that trillion dollars 2 trillion with more loans. There will be more stimulus. I estimate another 1 trillion to 1. 5 trillion. What this is meant to do is bridge this giant economy in the United States, the largest in the world, to get to the point where we could all go back to work physically. Again. So, all companies are under some strain, unless they are providing food or doing certain other unique services. I want to pivot off of that in terms of what companies are doing. There seems to have been a push by some private equity firms to get access to some of that bailout money for Small Businesses. Theyou on the camp of yeah, business is really neat support despite the fact we are private equity . Steve there are a few Different Levels of these programs. I dont really know what the criteria for any of those programs are going to be. The programs to the larger companies, which are going to run through the fed with a lot of leverage, and a lot of Smaller Companies. It is up to the government to basically lay out the terms. Were not lobbying the government for loans for small companies. If they want us to do that and make that available, we will look at some things. But basically, we assume for the most part, weve got to solve our own problems. Blackstone chairman and ceo Steve Schwarzman. Hong kong businesses will be offering a relief package of more than 30 billion hong kong dollars, this is according to the south China Morning post. This a portion of the 30 billion package to be unveiled today will be used to cover salaries of workers at risk of losing their jobs. Here in the u. S. , President Trump and House Speaker nancy pelosi also have both been talking about the next round of stimulus. One group that will want to say what is and what is not in the process, the Advocacy Group has been vocal about the first 2 trillion program. David mcintosh is president of the club and joins us on the line. Great to have you with us. We have already heard from the president speaking today that hes asking congress for an additional 250 billion for relief loans. Already the costliest relief package in u. S. History, swelling the deficit, adding to the national debt. What do you make of the recent measures . David yes. Basically, we put out a paper as they were working on this in congress that first, they should do no harm. Some of the components of it have actually impeded the effort to secure jobs and keep employment. The mandate for paid leave, for example. In this last bill, there was 350 billion that was essentially wasted on stimulus, where it was just transfer payments to individuals and doesnt really add to any Economic Growth component so now they are finding they dont have enough in the loan program to Small Businesses. That is why they are going back and asking for more. What we think they should do is focus on the next phase, being reopening the economy. Because until that happens, all we are really doing is financing a bridge. Its not creating Economic Growth or productivity. In fact, we are seeing continued declines in that while the government keeps it shut down. I think the president and the Congress Need to lead in calling upon the medical officials to quickly use the data that they have been acquiring. They learn new things virtually every day. And show us how we can have a phase in to restore the economy. Im told there are now tests that will tell whether someone has immunities to the virus. Those people can go back to work. They can go back to socializing and going to restaurants. There is ways of identifying the most vulnerable populations. We can make sure they are quarantined and start to do it in a smart way to protect peoples health. But rather than keep for an extended period of time this long shutdown of the economy, have phase four be start to reopen it. Shery you mentioned direct payments to individuals. President trump today saying he supports hers payroll tax cuts. We have seen those tax packages in the past, especially those big ones going to corporations and they have not really resulted anything else than stock buybacks, not triggering wage increases that the government wanted to see. David i would disagree with the. Shery should there be new tax packages . David i think the Corporate Tax cut did result in dramatic wage increases in the u. S. , but i think the key there is to look at the tax situation where groups of employers were not included in the last one. That is particularly the Small Businesses that are organized reduce their taxes down to the 20 level we did for the c corporations. But that into place once the economy is reopened. If you do it now, it would not help anybody because they are not making any income, right . You need to time that type of tax stimulus from when the economy is back up and running. David, is there any point about talking about reopening of the economy before we have a widespread, Affordable Community test that can be applied very widely across the entire population . Because a lot of similar arguments have said theres lots of targeted ways to shut down parts of the economy without completely crippling it. Singapore and hong kong and sweden we have also seen those places are struggling with third and second waves of infection and have had to go to the full lockdown. David i think the key determinant there will be how flat they have been able to flatten the curve on infections. The virus will spread ultimately throughout the societies, but what we need to do is make sure our Health Resources can treat the people who have the worst and most severe reactions to it. Nobody is ever saying we can prevent it from ultimately spreading to everybody. Calculatey there is how much you can reopen versus how flat youve got your curve for treatment on the health care. Our previous guest, adam posen, whether there is an ideal playbook for economic stimulus and economic response to a hedemic shutdown and actually set a lot of people are mostly in agreement in terms of global policymakers. The general rule of thumb seems to be do what you think is too much and it probably wont be enough. Time is of the essence and there is a need to support the vulnerable that are out of jobs, businesses that are falling over at the moment. The response we are getting even if it seems not certainly economically feasible in the long term is still the right response . David i think what the governments have done certainly here in the United States is try to target this relief to the most vulnerable. The people who are suddenly strapped with no income and are used to living basically monthtomonth. And that has been the right approach. But i think the next really difficult policy question is going to be, that is not a sustainable policy for any society or the longterm. How do we transition back to a healthy economy that really takes care of people by letting them go back to work, letting them reengage in their lives . Haidi thank you so much for joining us. David mcintosh, president of the club for growth. Plenty more to come on daybreak australia. This is bloomberg. Haidi the unprecedented capital with the Coronavirus Response drains the economy. Works, what are the opportunities we are talking about here . Today, we heard that Goldman Sachs was trying to raise a 10 billion fund. It is really interesting because it is a fun they are trying to raise in the market we have seen. It is not just Goldman Sachs. A lot of the other investment firms are trying to raise a lot of money because they see in investing opportunity, an opportunity to finance companies. They are desperate for cash bid it is an opportunity unlike anything we have seen in more than a decade, going back to the previous financial crisis. You have a virus stricken economy across the world right now where a lot of the distressed companies, you have to wonder if they will be able to survive. Even the number of Healthy Companies are in peril. A lot of investors including Goldman Sachs are trying to figure out if they raise cash right now, if they can provide financing opportunities that helps these Companies Get a bridge to get them past the economic downturn. That is where they see the opportunity. That is why Goldman Sachs has drawn up the plan to raise funds. Goldman is unique on wall street. Unlike any of its peers, it has a huge investing business and it has been raising a number of funds where it would look to deploy client capital. This is one of the plans they had for a while, but they see the opportunity in the now. Shery and what form will be the will they be channeling their cash . Sridhar in this fund in particular, it is probably the private credit group and special Situations Group. The special Situations Group is uniquely goldman. It has a huge history inside the firm. It has been hugely successful by wagering funds on Balance Sheets on a number of investments. That is the first time this group will be playing with client capital with outside client money. The way they are targeting the funds they are looking to raise about 10 billion. If they hit that target, they are hoping to write checks that can be a few hundred Million Dollars or even more. The goal would be to find companies that are good, that have a viable business and are only struggling right now because of the situation we have in the broader economy. Their plan is to find the right place in the capital structure in most cases, it sounds like they will look to find debtlike instruments which is higher up in the structure, which in most cases is likely to give you a decent amount of return. Dont forget, a lot of the Good Companies have seen the value of their debt, the yield on their bonds go up significantly. The hope is when the market normalizes, when the economy normalizes, you will see those prices come back to us. In the interim, anyone who is providing capital is likely to make good returns. Shery finance reporter joining us from new york. Lets get a quick check of the latest business flash headlines. Two independent directors of we work are suing softbank for abandoning a bailout deal. Bought shares from the former ceo adam neumann but dropped the idea in midmarch, saying certain conditions have not been met. The closing deadline for the sale past last week. Jack dorsey is devoting 1 billion of his stake in square, the firm he cofounded, to help Fund Coronavirus relief efforts. He says money will go to universal based income. Dorsey also founded twitter and is worth around 4 billion according to the bloomberg billionaire index. It represents about a quarter of his fortune. Hong kongs richest man and nissan have increased their stake in the Family Businesses for the first time in two weeks. They have been topping up their holdings. It began in midmarch after both companies had been hit from the antibeijing protest in hong kong and the fallout from the coronavirus. Coming up in the next hour, an exclusive interview with the nissan coo on how the company is tackling the coronavirus fallout. This is bloomberg. Welcome to bloomberg daybreak asia. Im shery ahn in new york. Haidi we are counting down to asias major market open. Our top stories this hour the coronavirus marches on with the u. K. In new york reporting the deadliest days yet. However the plans are underway to open reopen the u. S. Economy in a few weeks. Automakers are reeling from the pandemic as demand plummets

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