He is saying the argument from the white house is there needs to be an incentive for businesses to keep employees on their payroll and not furlough workers. Those incentives will help protect the economy in the long run. Moreemocrats are saying investment is needed immediately into local governments and cities throughout the country in order to prevent furloughs. It is more than just a price tag. Dug in onoth sides ideological points ive not seen in covering these fights over the past several years. Guy it seems like david it seems like there may be it is hard to argue compassion when youre cutting people off from their supplemental unemployment. What is the word on timing . Nancy pelosi had her heroes at two and a half months ago. What did they figure out in that time . Kevin yesterday i spoke with at least one Administration Official who told me they are fully prepared to utilize executive orders as it relates to evictions, as it relates to financial Unemployment Benefits, and on student loans. They are hopeful that should the president have to utilize the use of executive action, that as a result of that, it would allow secretary mnuchin and Speaker Pelosi to continue to negotiate into the long term. I would note, based on my reporting and in conversations with democrats and republicans, this is by no means the fourth quarter, this is by no means the last economic fight theyll be having between now and november 3. It is not just infrastructure stimulus the president wants to have before election day, it will also impact big pharmaceutical companies. Headlines on the vaccine continue to intensify how the vaccine is paid for is still a fight republicans and democrats have not had. If there is any indication of what we are experiencing now, it could be even more contentious. David we have a long way to go before november. Many thanks to kevin cirilli. Now we want to turn to the jobs numbers we got up earlier today we found out we added about 1,763,000 jobs, more than have been expected. We stopped long way to go. To take us through the significant of those figures we welcome simona mocuta. Thank you for being with us. Give us your take. It seems like halffull, halfempty. Toterthanexpected, nothing sneeze at, but at the same time we are still really in the whole. Simona we are, indeed. Your right to say it is glass halffull and halfempty. This particular month was betterthanexpected and we were positive to consensus. We became close to our main expectations. We have only retraced 40 of the job losses we incurred earlier this year. It is a long way to the finish line and the challenge is not that you have a long way to go, but we are not lecture whether we can go forward or whether the next month will show a decline given the cases and some partial pullback on reopening efforts. Point, one of the concerns economists had going as we did start to see coronavirus coming back as we went into early july. To these numbers give us any reassurance we did not see the numbers worse than they turned out to be . Simona there is some reassurance. I have looked at them, and the first thing i tried to see was what happened with services employment. That is the area that is most vulnerable to the possibility of retracing some of the positive steps. You see gains. We have also seen a decline in the average work week, and i think that is where you are starting to see impact from the pullback in activity, because ufacturing powers manufacturing hours it seems to meet manufacturing is more immune from concerns about covid and they are still poised to do well. Not so muchworry, the companies will lay workers off again, but they will cut back hours and that will impact income and will ultimately impact consumption. David we have been focused on services. They got hit the hardest. At the same time, we are adding restaurant workers and things like that at the same time. In manufacturing, we only added 26,000 jobs. Simona that is true, but when you look at magnitude of earlier losses and how much you have recouped out of those losses and leisure and hospitality, you are still only halfway down that road. Manufacturing has recouped more than that. Nobody is back to where we were. Manufacturing is still doing better. It is interesting to me employment is lowered to come back, but the workers that are working or working longer hours and doing more overtime and that is assigned the demand for labor that sector exist and therefore encouraging signs for what will happen in future months in manufacturing employment. And construction as well. David is there anyway to get a sense of how much of the job gains we saw in july it was because of the fiscal stimulus expressing its way through the economy, both the Payroll Protection Program as well as ,he individual grants of 1200 has that all been spent or do we see any of it in july . Simona it is hard to dissect the strength of how much of this is due to stimulus, how much of this is due to the natural reopening of the economy. There is no doubt in my mind all the support the government has provided the business sector is helping. It is interesting, and i think it is the next few weeks we are also going to see what happens to initial claims now that, at least temporarily, the Supplemental Benefits have expired. Whether that will cause an increase in people rejoining the labor voice. It is tricky. , but difficult to separate directionally hugely positive and supportive. Those programs have definitely helped. Guy you have any read david you have any read at all on what happens to employment if we do not get a new fiscal package. They do not seem close to the finish line . Simona to my mind, that speaks its about what happens will slow future gains, and when you look at the numbers and you see there are still over 9 Million People who declared themselves on temporary furloughs and temporarily unemployed, if you do not get additional fiscal stimulus, an increasing portion of those will be proven wrong in the sense it will turn out to be not temporary, but permanently unemployed. The jobs they had will no longer be there for them to go back to. There is no question. We need additional stimulus is an incredible amount of money thrown at this crisis. When you think in terms of how make trillions of dollars, it is a scary thought. It is absolutely necessary. Take use us david below the numbers in terms of demographics. What about male and female employment . Africanamerican male Unemployment Rate is up over 14 and they do not seem to be coming back as fast as white and other ethnic. Simona it will take a bit of time to settle these things. , which iswe do know relative to manufacturing and construction, which are probably better positioned for substantial of recovery through this covid crisis, those sectors overrepresented man, where services, which are hardest hit, retail, education, health care, all of these areas have a disproportionate representation of females. In that sense, it is not great for these groups we know for a fact do not make quite a dollar to dollar earnings equivalent. Discrepancy that probably heightens inequality issues that have been in the background for a long time. It is too early to know exactly to what extent. That is why it when we talk about our view for the next few months, we talk about this concept of a real rate recovery, and a sense that yes the couple of rounds we have run so far on the strength of fiscal and monetary stimulus in the economy reopening, we run those well, but we still run the risk of failure if ultimately the next six months we do not get a medical solution. You do need that, is increasingly critical. David thank you so much. Appreciate you being with us. That is simona mocuta, state street Global Advisors senior economist. Talk top, i will get to u. S. Labor secretary Eugene Scalia about the jobless numbers coming up here, we will talk to x. Rtin mucci of payche ons is balance of power Bloomberg Television and radio. David this is balance of power on Bloomberg Television and radio. We turn to Mark Crumpton for bloomberg first word news. Mark National EconomicCouncil Director larry kudlow tells bloomberg President Trump will exercise his executive powers if congress not agree on a new stimulus deal. Details onprovide whether the president will provide a deadline as talks continue to stall. The talks are rather stalemated. There was a better tone earlier this week. Through last evening, there has not been any breakthroughs. That is unfortunate. Mark meanwhile, nancy pelosi and Chuck Schumer invited white house negotiators to continue talks towards a deal. Secretary Steven Mnuchin confirms he will meet with them shortly. The United States is placing sanctions on 11 chinese officials and allies in hong , for including carrie lam their part in curtailing freedom in the former british colony. The 11 will have any property and assets in the u. S. Frozen, but it is not clear whether at the whether any of the sanctioned officials be affected financially. President trump threatened actions since chinese officials imposed a sweeping new National Security law in hong kong. The British Government sent 465 million to help businesses in Northern Ireland to deal with the reds tape the red tape called by brexit. Protects the u. K. Says it will help Northern Ireland firms handle customs declaration and other paperwork involved in importing goods. Global news 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. Crumpton. This is bloomberg. David . David u. S. Payrolls numbers are always important, but they are also always a bit out of date by the time we get them. For a view of where we are right now in realtime, we welcome martin mucci, ceo of paychex, the secondlargest Payroll Processing company in the country. Welcome back to bloomberg. On the front lines, you are doing it day. Where is the country in terms of jobs . Martin you have been covering it. I think this was a pretty good news thing today. It was betterthanexpected, adding almost 1. 8 million. We still have a hole today couto. When you think about small and midsized businesses we still have a whole to dig out of. What is the next paycheck Protection Program going to be like, they need more flexibility for how they use the funds and how they pay back the funds and they need certainty they will get those. They are struggling with that. When you look across the country, what we have seen is the south and the west are down, as you would expect with more closures, but the south is still the strongest, driven by construction. In thetrong, both commercial and residential side. New singlefamily home sales are up 14 over last year. That is still coming on strong. What about the Services Side . It is thought that got hit hard by the pandemic. Is the Payroll Protection Program abridged to somewhere and when will the economy be able to pick this up so we do not have to keep pumping money out of washington . Martin the leisure and and hospitality, we saw a pretty good pickup. It is very uneven. They are the ones most uncertain when you think about it, and there are some seasonal positives that are helping as well. Other services, those discretionary services, we saw that pickup in july for small and midsize businesses. These are discretionary services. That is good news there is demand bringing back people pent up and waiting for haircuts and things like that they wanted to get out and get done. That is a good news type of thing. The other uncertainty is supply chain. You may have noticed some Small Businesses that are contractors building decks or selling appliances or fixing bikes, there is a difficulty in that this shutdown in march and april and the factories caused supply chain a squeeze on them. They cannot get new things to sell. There are backups for a lot ofs kinds ofs, bikes, all things people are using. That is providing more uncertainty for small and midsize businesses. David you mentioned something very important, the extent to which the coronavirus uptick in the Southern States and upper midwest states is affecting the Employment Situation from what you said, it sounds like even though we saw the uptick and former closings in texas and florida, it did not affect jobs as far as you could tell . Martin not as bad. Certainly the south and the west down the most month over month from a job growth perspective. The south is still the strongest. They have the lowest minimum wage, they have the most construction. Florida is the number one state in the states we measure from job growth, even though it has dropped. It is a head of state in job growth. We will have to see what happens. There are positive things. The guest before me mentioned people are working longer hours. What we saw our businesses spending suspending services. Half of those have come back on our processing payroll. They are processing 25 fewer employees. Those employees that are there are working longer hours, up almost 9 on an annualized basis. That means there is demand. That is a positive. The other positive is brandnew businesses are up in double digits, up well over 10 . That is a good sign new businesses are finding opportunities in the pandemic. ,avid even as we are speaking we have nancy pelosi and Chuck Schumer giving a News Conference on capitol hill about the status of the stimulus bill. This is in advance of reported meeting the speaker is supposed to have with secretary mnuchin at 1 00 eastern time today as we keep trying to move forward that stimulus bill. We will keep everyone apprised of how that develops. Come back to your clients. How badly to the need that fourth round of stimulus . It is hanging in the balance in washington. Martin it is. It is very important to them. Wasfirst ppp loan processed a great room for them to hold onto and be able to get through this. They do need something. As i mentioned, they need more loan flexibility. They need to be able to use the funds in different ways, not just covering payroll but to cover other things, rent and so forth. They need to know they will have it. That is giving them the certainty to get back in business, particularly restaurants, right now they are not sure whether to stay closed or open up. They the certainty they will have the funds and flexibility and will be able to pay their employees. That is important. David let me push my luck. It was not that long ago you and i would talk you said you were seeing shortages. Other any shortages in employees you are seeing . Still bottlenecks . Martin it is interesting. We do here is some businesses reopen, they are finding it hard to get employees. Whether that is the Unemployment Benefits, we cannot quite tell. It is difficult in some areas of the country to be able to find people to get back to handle the demand they have. We will have to watch the Unemployment Benefits closely. That may be having an impact on hiring back people. David always a pleasure to have you with us, took early on jobs day. That is martin mucci, paychex ceo. Later today, do not miss my interview with dr. Fauci, collector of the director of the institute of allergy and infectious diseases. That is coming up at 7 00 new york time. Ons is balance of power Bloomberg Television and radio. David this is balance of power on Bloomberg Television and radio. As we speak, we have senator schumer speaking at that News Conference on capitol hill. Reports that meeting with senator schumer and nancy pelosi as well as the chief of staff of the white house and secretary mnuchin will happen at 1 30 rather than 1 00. It has been a busy week in the markets with gold and the dollar particularly moving. Also a lot of earnings coming out and we now the problem with chinese tech with the president of the United States. Here is scarlet fu to make some sense of all of this. I hope you can. Scarlet definitely not your typical friday afternoon in august. We have the strongerthanexpected jobs report. At the start of the week there was a focus on gold and how it is relentlessly moving higher and the dollar moving lower. The jobless report came out and lifted the dollar because it was better than expected. That meant gold and oil prices sold off. Gold is firmer 2. 6 , but coming off of its best level, gold higher for the ninth straight week. The dollar little changed after it got a boost. The 10 year yield little changed, although at one point it fell to 50 basis points. In the last 12 hours we have seen political tensions way on companies more internationally focused. The russell 2000 outperformed the s p by a significant margin. Faang stocks are weaker and what is getting hit are chinese stocks listed in the u. S. After President Trump signed his executive order banning tiktok and wechat in 45 days. Alibaba is the biggest company, tencent is the secondbiggest. After its decline in hong kong it wiped out 34 billion in market cap. President trumps order giving a helping hand to social Media Companies like facebook and snap good not usually facebook and snap. Not usually the best of relationships with the president. David there is a lot of tech that is not social media. What about the others, getting hit as well . Scarlet there was the point tech bans can be reversed. Increasingly, it feels like tech is the market. What i find interesting is the timing. President trump is ramping up his action against china before the election, but also against the backdrop of betterthanexpected jobs and resilient job market. David coming up next, representative french hill from arkansas. This is bloomberg. David this is balance of power on Bloomberg Television and radio. Im david westin. Earlier today, white house senior economic adviser larry kudlow spoke with bloomberg about negotiations over a fourth round of stimulus. It sounds like they have a long way to go. Does not act,ress if there is no deal and right now it doesnt look great then the president will take his own actions. The solution here is to come to a progrowth, pragmatic compromise. Thus far, that has been elusive. President , whohe is a great leader, who makes good on his promises, will exercise his leadership and all of his executive authorities. You can take that to the bank. The one thing you did not say is what you would do with executive powers on state aid. I have spoken to new york state. They say if they dont get to aid, austerity begins immediately. You are an economist. You know that the federal government is the only one right now that can account for that. States do not have that option. You also know that if they dont get the aid, austerity start immediately. So we have to understand, what is the federal strategy when state level austerity kicks in because we cannot find an agreement on state aid . Sayou know, it is hard to that the cares bill and other bills in the last four months is austerity. 3. 5 trillion of fiscal assistance in many forms. The Federal Reserve has put out over 7 trillion through the money supply and are lending facilities. This is not austerity. David that was larry kudlow. We have heard from the white house. Lets hear about what the stimulus talks look like from the point of view of congress. We will come french hill of arkansas who serves on the Financial Services committee. Before we get to the new stimulus, lets talk about what has come before. Cochair of acting commission that looks into that, and i think you had meetings today on it. What are you learning in the first rounds of stimulus that may inform the next one . Oversight had an commission, our bipartisan oversight cares commission met to look at what congress has done with the socalled main Street Lending program which is now up and running. Capital is flowing to businesses through that. However, we think it should have gotten started faster and should be more flexible for businesses suffering temporary distress because of the coronavirus. David is the lesson you learned from that, on the one hand, the fed is being dilatory, or is it bestthe fed is not the place to deal with this, that we need a new ppp to help main street here . French i support the bill that marco rubio proposed, as well as moving over of the loan program for the sba. Both would help our businesses small and mediumsized. The main Street Program is geared toward a nonpublic company, a company larger than the ppp Small Business area. Right now those terms are very conventional, they look like a normal bank loan, and i dont think they meet the needs of certain distressed sectors like hospitality or retail. David give us a sense of the negotiations. Both sides say they are far apart. Is this a part of the negotiating, or are we getting ideology here . We need practical, Bipartisan Solutions and we need to check ideology at the door. We were fairly constructive, narrowing the list of the dates they are having about this aid. E i think they should come to terms on an extension of ppp, flexibility for our state and local governments to spend the money. Only 20 of the money has been sent out from the cares act. Lets get an agreement on Family Support through the Economic Impact payments that President Trump wants, and lets get a decision on an unemployment benefit that does not deter people from going back to work as our economy reopens. David how close are you . French if you believe the news cycle today, we are not close. But if people are still posturing and negotiating, i have faith that the house leadership and our administration will come together and take a decision that is right for the American People. David does that promise or a threat of executive order from the president help or hurt the negotiations . French i dont think it hurts the negotiations. President trump, larry kudlow, and secretary mnuchin are doing things to advance economic reopening and funding for the american to get on with getting our economy open in getting back to a growth path. Lines are there any red on the republican side, any on the democratic side, or is everyone negotiating in good faith . I believe the negotiations, particularly by mitch mcconnell, have been in good faith to find a majority in the senate. When you do that, you are being practical. I dont think he is there yet, or he would have put them bill on the floor of the senate. There are still negotiations going on. A lot of those senators. Want to get out in front of the administration. On behalf of the taxpayers and American People, we need to get this done soon so that we can have families feel relief, have the funding that we need to get this economy open. David you have spent some time in washington, arkansas, but including in the treasury. You know how washington works. Long . Es it take so let me argue a bit for the other side. Democrats had a bill in the house to and a half months ago, and republicans said they wanted to wait and see how it works. Have you learned anything about how you came out . French nancy pelosi moved a bill that was just a progressive wish list. Much, too broad, too many trillions of dollars with no assessment of what we have spent. Only 20 of the money that we gave our governors and mayors in the cares act has been spent. Therefore, waiting to assess what those gaps are is a smart decision, we have done that. Now we are negotiating to take this final step, things that we need to do to kill the virus and get our economy back open. We need to focus on just those things that we absolutely must do for either the health and safety of the American People or to aid our economic recovery. ,avid you mentioned a 22 which struck me, talking about the money that has been disbursed to the states so far. Why . French i will not speak for every governor, but governor hutchinson feels like there is not the flexibility that he needs to get that money into state and local governments, to use it in a way that is most flexible. Lets broaden the list of things that that money can be used for in terms of killing the virus, getting our economys open, and lets open the date beyond 2020, which is what the cares act required. Senator grassley has made those suggestions in the senate bill, and that is why i think we are heading in the right direction. David americans across the country are watching this closely, it affects them in their personal lives. What do we not understand . You are on the inside of the process. What do we not understand about this process, and what needs to be done . French we are in a political year, and nancy pelosi is the leader of the opposition against President Trump. Anything that President Trump for. , she is not she needs to put that aside and focus on bipartisan support that reinforces the Public Health needs we have in this country, and the final steps we need to take to get our economy open. She needs to check the politics at the door, get a bipartisan bill that can get 60 votes in the senate, and lets get the relief to the American People. That is congressman french hill of arkansas, member of the house Financial Services committee. Even as we were talking with him, we had the picture of the speaker of the house speaking, saying that there are differences on testing and tracing, as well as critical to princes on food insecurity. A lot of ground to cover here in a short amount of time. This is bloomberg. David this is balance of power on Bloomberg Television and radio. Im david westin. All week long weve been bringing you a series of stories about returning to school this fall, the challenges and opportunities. We conclude our series with books students will be using, physical and digital. Chegg provides both of those, as well as online tutoring and other services for high school and college students. Ceo danme chegg rosensweig. How is this your different from other years because of the pandemic . What are you seeing in terms of patterns as people order books . Dan great question. We are seeing a lot of confusion, changing of plans, a lot of hopes and wishes that are being dashed. They basically break into three categories, schools that have any knowledge that they will go exclusively online for another semester. You see that in the California College system. You also see schools try to do a hybrid, trying to limit the number of people that come to either the campus or actually within classrooms. So you can be on campus but maybe not in the classroom. The third is schools that are stubbornly saying it will be almost exclusively in person. I fear that they will end up shutting down early. We do see schools breaking into two camps. Starting earlier than they normally do. We have seen a great summer for chegg, and we are continuing to see that in terms of book ordering. Say they will generally send people home around thanksgiving time, give two months in the winter before they start again. Then schools are waiting until the last minute, pushing their start dates because they are hoping to open. If you are a student, it is confusing, there is anxiety. There is just confusion. It would be better if they made a decision and stuck with it. Would be tocision go online. They were able to go online last semester. It is not ideal, but better than people getting sick. David none of us knows what will happen but it seems a safe bet that there will be a fair amount of virtual learning. Does that affect the use of texts . Does it affect the demand for your products . Dan the only thing that it would affect negatively is not likely to happen, which is fewer students taking classes. The physical location of where they take it does not negatively affect our business. In fact, it has actually improved it, because they cannot use other resources to get access to these things. Happening, students that were expected to travel to a school, if not going physically, they are taking the class online. Seeing peopleo taking Classes Online from a Community College or Regional School because they are better prepared to teach online, and they are cheaper. End up taking these classes, taking it for less, being better prepared, and transferring the credit. We are seeing a lot of movement by a lot of savvy students, but not a reduction. Honestly, there is no way to take a gap year. Normally you would travel or get an internship. Decision ishe best to take as many online classes as they can, get as many credits completed as they can, and do them as inexpensively as they can. David is the coronavirus directly affecting your business . Are people more reluctant to get more physical textbooks because they are worried it will not be clean . Are you having concerns with your supply chain . We sellrent textbooks, used textbooks, and we do digital textbooks. Digital is about 12 of our business. That is up 40 over the past few years. From the business perspective, we dont see any reluctance to get the physical textbook, but from a business standpoint normally, we send them to college campuses, and then they can send them back. Now that we are sending them to homes, we have lowered the price of used textbooks, so they can just own them and dont have to worry about shipping back. But we have seen earlier ordering them before, but no reluctance on the half of students. No one has used the books since last may, so they have been sitting in a warehouse, they have been cleaned. Does our work, so they are used to seeing those things. We have just seen higher demand. You, younce we have are a member of the tech community, in my mind. You were the chief operating officer for yahoo at one point. What do you make about what is happening with tiktok, wechat, perhaps approaching a tech cold war with china . Been a cold war, i think this is a bit of a hot war. If you are an american tech company, its been determined that you cannot succeed in china. That has been difficult. Companies have tried. There has been no success with google, ebay, paypal. They have made the decision that and Media Companies will not succeed. They have allowed apple because they have a company bigger there than the United States, so it affects their employment if they dont let apple or nike stay. These things are considered as much Chinese Companies as American Companies, which is not true, but that is the perception. No one knows for sure if the Chinese Government is spying through these things, but nobody would be surprised if they are. The second thing is that we know the Chinese Government and their affiliates, like the russian government, have been trying to hack into American Companies to steal code. Something had to happen. Is this the right way . Not likely, im not sure why this is happening now, but we need to take on the Chinese Government, tech transfers, why they can raise capital in the u. S. But American Companies cannot raise capital there. It is a fair discussion to be had. We can debate whether it is the right time to do it, but that is politics. David really a pleasure to have you on, dan rosensweig. Tonight, we will speak to larry summers. And up next on balance of power, my conversation with cadillac president Steve Carlisle. This is balance of power on Bloomberg Television and radio. David this is balance of power on Bloomberg Television and radio. Im david westin. Made its, cadillac muchanticipated announcement of its entry into the electric vehicle market. And is aled lyriq crossover suv, the first in a series of steps to convert much evs. s fleet over to yo i spoke to Company PresidentSteve Carlisle about this big step for the company. About it. Are excited as much as the product and having the sole technology, ecosystem to support sales and ownership. You highlighted our most recent announcement, so building out that charging infrastructure. We would like to have that substantially in place by the time we launch this car. Not only that, but being in a , if you to facilitate wanted to install a charger at your home, we make that as easy as possible as well. That is what people want to do. People want a piece of mind that if they need to charge on the road, they can do that. So we need to do that. But what people really want to do is have the convenience of charging at home. David what about geographic markets . This would be in north america. What about china . China is important to automakers, and specifically to gm and cadillac. Steve any electric vehicle that we do is available wherever we have a cadillac brand presence and distribution around the world. To your point, that certainly includes him a and foremost, china. All of these products we are doing with the globe in mind, china in particular. David everyone has been looking forward to the announcement and the release of this new cadillac. Give us a sense of the product forward. Oing how often will we have a new vehicle coming out from cadillac or gm that is all electric . Steve we like to say with our internal combustion portfolio, if you want the clock back three or four years, we have a new product every six months or so until we turn over the entire portfolio. We did that. Our intention with cadillac is to do that again, this time with electric. We will kick that off in 2022. Over two or three years, fill out a showroom of electric vehicles so that we have the best possible market coverage in electric. At the same time, we will be coexisting with internal combustion. We will have to see how that transition takes hold, but that is what we are setting ourselves up for. David where will the lyriq be made . Steve we are not in a position to disclose that yet. That will come in due course. We are a little outside of the window to discuss that. David will it take fewer people internalle than an combustion vehicle . Steve hard to say, there are fewer parts, so that is possible. I dont have that at my fingertips. David a different sort of styling approach. Are we going to see that replicated throughout the entire cadillac line . Steve for sure. Every time we do a generational turn like this, its an opportunity to come with new design language, brand vocabulary. Our designers could not be more excited with having new degrees of freedom to do something fresh and new, but then also consistent with the Rich Heritage of cadillac, going back to the early parts of the last century. David gm was ahead of itself in the bolt, on the cutting edge. By all accounts, it did not make money for gm, you did it for other reasons, learn about ev technology. Can you give us any sense and when you project the lyriq will make money for the company . As early as possible in the lifecycle. , we ramp up ines terms of numbers, coverage of the product line, but our goal clearly is to be profitable as early as possible in the lifecycle. David that was part of my interview with Steve Carlisle. Coming up in the second hour of balance of power, we are speaking to Eugene Scalia about those jobs numbers coming out today. Better than expected but still a long way to go. This is balance of power on Bloomberg Television and radio. F power on Bloomberg Television and radio. Jonathan from new york city, for our viewers worldwide, bloomberg your dead real yield starts right now. Payroll growth topping estimates. Tensions ramping up between the u. S. And china. We begin with the big issue. Will a positive jobs report knock d. C. Off course . We are making progress. The labor market continues to heal. Look at the overall levels. The range of expectations is greater than anything. It is very uncertain. Stilt 12. 9 Million People out of work. 30 Million People with on a planet benefits. The big issue is that the press level of spending in the economy