Senior economic adviser to hsbc, will be joining us for the latest on what is happening with the vaccine from his perspective and also the employment story. But the biggest story is around the vaccine. That is where we should really start. Alix so lets do that, lets get the latest. The news overnight, russian president Vladimir Putin saying his country has registered a vaccine that will enable broad use of the shot while phase three continues. Phase three trials will start tomorrow. , joining us now is Kirill DmitrievRussian Direct Investment Fund ceo. Great to talk to you. This will help the Risk Appetite in the market. You havent started phase three trials. Can you give me some perspective on how many people have been vaccinated with this . Kirill the first two cases were 200 people. The vaccine platform has been tried for the last six years. From akes it different mini approaches used by other players, because it has been approved in russia six years ago. Vaccine and ebola have been tested on hundreds of people. It is a vaccine platform that has been tested extensively over the last few years. It uses safe adenovirus delivery platform. Other people follow what we have done. Half of our approach is used in china. Him a half of our approach is used by johnson johnson, but only russia has the delivery that makes it a Safe Delivery approach. Guy nevertheless, the World Health Organization has urged all axiom producers to make sure they carry out extensive phase three trials. Why have you decided you will not do that . Why have you decided to be different . Kirill the Russian Health ministry did and approval of all the processes and followed all of the russian regulations. Threely, we have phase trials in other countries including saudi arabia, philippines, maybe brazil. Thirdly, what differentiates us, as i told you, it is a proven platform tried for six years. When you do a trial of 30,000 or 40,000, people with unknown Technology Without studying the longterm effects of what is happening in the u. S. Right now, it is illusion all safety. What we offer is the platform. President putin mentioned, his daughter took the vaccine, myself, my wife, we were also vaccinated. We discussed the technology at the sputni vaccine. Com site. Information,sh publications on those. Some questions are basically focused on trying to tarnish the reputation of the russian vaccine. Alix well, there is damaging reputation of the vaccine, but you call it spread it. There is the idea that you call you call itke spreasputnik. There is the idea that you want to get it out there and get it out first. Vaccine readyng a to distribute before you do can be very challenging and very difficult. Tot is your response Something Like that . You move fast, you cut corners, there will be problems . Kirill it is a very uneducated comment by mr. Fauci. I respect him, but of course, russia tested this approach extensively and china did as well. The same debate with vaccines in the 1950s and 1960s. Criticized, one of us said, trust us. We love our children as much as you do. We use proprietary testing tools that allow us to measure very efficient antibodies the generated. Be testedly, it will of a nice couple of months. Mass vaccination in russia will october. It is a move to make sure our people are safe, our economy is back on track. You received more than one billion doses requested from 20 other countries. There is major momentum, and i think the world will see that russia really plays a huge role in fighting coronavirus, which is a joint struggle. Guy there has been a lot written about how russia has been moving at speed on this. To similar is your vaccine the oxford vaccine . Guy quite different. The oxford vaccine uses monkey adenovirus which has never been approved before. We use two human adenoviral factors which is very different. We chose it because it is just a slight flu virus that has been in humans for hundreds of thousands of years. Humans have not been infected with monkey adenovirus. They have been infected with the flu virus. We use adenoviral specter five and 26. Johnson and johnson uses 26. It is important we have two different factors because we believe two shots it is important that we have two different vectors. Because we believe two shots are needed. Alix lets play it out. Vaccination in october for russia. Many Drug Companies in western countries have been talking about issues with vials, getting glass vials. Ramping up mass production will have issues especially when it comes to logistics. Where is russia having problems with that . It is you are right, important to wrap things up we have invested in production in russia. We expect to produce around 10 million doses a month by december. We are also renting production ramping up production in other countries. We believe all together can produce around 500 million doses with the current capacity in other nations over the next 12 months. It is true, it takes 23 months to ramp up production. W started the process already in russia. Other countries we think we can complete this in november, december. Guy i have heard a lot today that the president s daughter has been vaccinated. Which daughter . Kirill i dont know for sure. I think it is a testament that lots of people in russia can trust the vaccine and they would not have taken this unless they really understood the science. I think once you understand the science and understand that prevent vaccine platform, then you will understand why we are moving so successfully. Russia may be lagging in some spheres, but vaccines have always been at the forefront of our success dating back 300 years ago, when russia get america. 0 years before catherine the great was the first to be vaccinated. We have a long history of vaccines in russia. Many scientists respect our institutes, that is really a firstround institute in doing vaccines best first world vaccines. Injury alix if you get one vaccination, you have to go back for a booster shot . Kirill you need a booster shot in 21 days. You need shots, because shotsdies you need two because antibodies decline quickly. The second shot is less effective if you only get one shot. Vectors. , two guy thank you very much, kirill directv, ceo of russian investment fund. Coming up, we will speak to stephen king. This is bloomberg. Guy from london, i am guy johnson with alix steel in new york. This is the european close. Of 220,000 jobs in the second quarter, the largest drop since 2009. Joining us now is stephen king, hsbc senior economic adviser. How much worse does it get . Stephen as i mentioned, the second part of this year, there a secondssibility of depression. In terms of the unemployment bubble, we are only at the beginnings. Find companies in many parts of the u. K. And other parts of the world will be letting people go. I think we are in the beginning of an unpleasant market story in the months ahead. Alix does just push off ending . He furlough conversation stephen it may well do so. In the uk, there is pressure. At the same time, if you are a finance ministry, you are a conscious part of these policies adding a lot to government debt. Continuously how they will pay for it, in terms of higher taxes, more public spending, it have to push it very hard from inflationary outcome. At this stage, the biggest single problem will be covid19 thatf, in the fact lockdowns of kind of dealt a fatal blow. Guy talking a fatal blows, we were just talking about the russian vaccine, how the russians seem optimistic that theres is going to work and will be distorted widely. Other vaccines are short to follow. How will that change your Economic Outlook if we were going to get a vaccine candidate and it would be distorted say in early 2021, how would that change your trajectory . Stephen this commission is key. Having a vaccine is one thing, making sure you can effectively inoculate billions of people is another thing altogether, it will be difficult. Having said that, many of the things we have been worried are, will people go back to restaurants and cinemas, will they go back to concerts . Start flying again . Those are the things that died away rapidly over these months and i think will begin to return. Having said that, there is still a little scarring. There are costs associated with the crisis that will not immediately go away. There is also the fact that companies and households are ending up with higher levels of debt than they would like. With higher levels of that, people will try to repay those debts rather than add to them further. So there will still be some costs out there different costs, perhaps than what were seeing currently that would cause financial constraint, rather than costs in terms of shortfalls or business consumer confidence. Alix no matter what, there are still going to be there is still going to be some tentativeness. Just because there is a vexing tomorrow doesnt mean we can all go out and start buying stuff the next day all governments will be increasing debt loads. Do we tax our way out of it . What will be the longterm it . Ring of the economy for stephen the truth is we have some lessons from history here. All the lessons come from wartime. The three big wars over the last 300 years or so that have really changed. First world the wars back in the 1800s. Than you have the first and Second World War of the 20 century. Government debt rises incredibly quickly, as it has done the last few months. But in the aftermath of these cases, after world war ii, you had rapid growth. The debt to income ratio comes down because income is going up quickly. That was the first flourishing of postwar globalization, which is probably rather in decline which is probably now in decline rather than increasing. In the napoleonic wars, there were some inflation elements. One of the interesting features of the napoleonic wars is that william the younger, who was Prime Minister in the uk in 1799, introduced income tax for the first time and it has stuck with us ever since. He introduced it partly because of the cost of fighting the war. Think of the war or the virus as being a kind of war and how taxes are going to take some of the heavy lifting in the years ahead. Probably not income tax come but perhaps wealth taxes of some kind or another, probably taxes on corporations as well. Guy why not monetize the debt . And if we are to see monetization of the debt, will that be inflationary . I was talking to someone earlier on. He is not convinced it will be because there is unlikely to be , likely to go with that as a result which he thinks, maybe monetization could be less painless. Than maybe some other people assume . Stephen one of the issues with monetization, it may be at a time when you still have lockdowns coming through. You may find people have got plenty of money in their bank account, whether they are willing to spend that money is another matter altogether. You may find the increased money supply is upset by a reduction of velocity. Nothing really happens in terms of the debt dynamics into the mediumterm. If you succeed in raising inflation, you have problems in the less than developed world. When you have an elderly population, the avenue populations with large amount of cash saved things for the large elderly populations with larger amount of cash saved things for rainy day. It may not be as easy as it 1970s,ve been in the when the very same boomers who were retiring were taking on mortgages and were happy to have inflation. What on a market basis, is we have seen in the market the last 48 hours like a dresser herself of what we will be looking towards dress will bel for what we looking towards the next few years . Is that the path of least resistance . Or do you think we will stay rangebound, where we have negative yields in the 10 year, persisting around negative 1 . Stephen i think yields will be low for quite a long period of time. Also the fact that with high levels of government debt, governments have no interest whatsoever in seeing yields rising further. As far as equity markets are concerned, they have had a pretty good time the last few level relative to th they reached in march. There may be downward pressure on earnings later this year, even though Interest Rates themselves are low. I think we are still in a very trajectory unless there is a vaccine that comes through quickly and can be used quickly. Otherwise, you are constantly facing the acidity of lockdown. With the uncertainty comes you are constantly facing the uncertainty of lockdown. [indiscernible] guy where is the dollar going . At the moment it is down. Does it continue . Stephen one of the reasons the dollar has struggled is partly associated with fiscal and monetary conditions in the u. S. There is also perhaps the sense that the u. S. Is no longer leading the world. It has raised questions as to the u. S. Leadership. The conversations going on currently are not helpful. It is also worth noting that one of the reasons the dollar dropped in the last few weeks is partly because the u. S. Has had a pretty unpleasant experience with covid19 relative to some of for example, asia and europe. To the extent of a bridge analogy the epidemiology itself is uncertain, it is just possible in the months ahead but you get the reverse. A for example, the number of infections begins to rise again in europe. Me, is not a forecast from i am simply saying that the epidemiology is uncertain. But if it is driving currency this becomes a random walk in the weeks and months ahead. Alix gold seeing its biggest drop since 2013. The like gold . Would you buy it . Is it worth anything . Stephen gold ultimately is worth only what it is worth 1970s during the big inflationary era, gold digging for the we will. Gold did incredibly well. There is no doubt it has done incredibly well over the last few months. People might say it was due in correction at some point. In terms of a longerterm forecast come it is not an area i tend to get into. Alix [laughs]. Guy mr. King, thank you very much indeed. Stephen king of hsbc. We ar appreciate it. This is bloomberg. Alix live from new york, i am alix steel, with guy johnson in london. The european close. Are bezos, jamie dimon, among 20 ceos will have pledged to hire 100,000 workers over the next decade. One of them talked to bloomberg about these kind of goals. No one has done something of this scale to date. While i agree with you that 100,000 jobs isnt going to be the answer to all the Economic Opportunities we have created, it is the first step at a really truly scale opportunity. D believe me, with the ceos on this council, we will be raising our mission as we begin to deliver on our commitment. Alix the jobs council includes the chairman of bloomberg l. P. , the Parent Company of bloomberg news. Guy, this has made a lot of headlines in the next 12 hours. The headline number is not that big, but it really comes down to education and job training to get people in the door and in a good position to move them up the chain. Guy and other time when clearly employment is at a premium in a city that has been hit hard, i think the message is clear, the corporate sector is on board. We are going to try and help, we are going to try and be good corporate citizens. Jimmied im on obviously has changed the way the Business Roundtable thinks, doesnt just talk about the profit perspective, he talks about business as being a part of society, and this is another example of that. When we come back, what is happening in European Equity trading today. We are seeing a rally. Equities trading higher. The dax is up over 2 , the cap by 2. 4 . Closes next best the cac the cac is up 2. 4 . This is bloomberg. Guy 30 seconds until the end of regular training. Lets take a look at what the story looks like this tuesday. It is turning out to be a much more interesting session that many would have anticipated. Vaccine optimism in the air, whether driven by the russians or something else, i do not know. It is present. Up 1. 6 inn stocks aggregate. Beaten up sectors are doing the best today. Some of the media stocks you would have thought would have benefited from people visiting venues again, some of the travel stocks, some of the car stocks trading strongly. Take a look at the grr, which will break down the sector story in europe, you can see that demonstrated quite clearly. Strongly,are doing but its a risk on five and terms of the mix we are seeing and the rotation we are getting for european markets. In terms of what it looks like from an individual market perspective, let me show you that. The ftse, the dax, the cac 40 all trading strongly. This is about the performance from london. The dax and the cac 40 up nicely. The cac 40 up 2. 4 . Lvmh a strong contender, driving that market. I will show you that stop in just a moment. What does i will show you that stock in just a moment. What does the opposite side look like . Gold trading off sharply. Higher. Ields the dollar trading software. Not down by much but a little bit the dollar trading softer. Not down by much but a little bit. ,n terms of individual names the wind turbine maker having a strong session, reinstating guidance. The big story has been the reversal we have seen in hello fresh. Producinge just eat numbers tomorrow. Today hello fresh strong in terms of what it told the market. This is up nearly 150 . The market looking at the vaccine story and deciding now would be an opportunity to take profits. I mentioned the outperformance from the cac 40. One stock up 3 , lvmh. The auto sectors had a strong day. Lets talk about what is happening there with scarlet fu. Scarlet credit for the auto sectors outperformance goes to a continued Sales Recovery in china. Suvs, sales of sedans, minivans, and multipurpose vehicles rose 8 in july. There had been a steady improvement until june, but the july figures reinsured investors the auto market may have reached an inflection point. All 13 auto related shares in the stoxx 600 finishing higher. This continues rotation we have been seeing, move out of growth and into value as Economic Data improves, not just in europe but in the u. S. Automakers in europe. Exposed to china. Volkswagen has called china its most important market. 40 of its cars are sold there. Volkswagen may 21 point 4 million passenger cars in china last year. 21. 4 million made passenger cars in china last year. We know recovery in china is key to an improved outlook for european economies which depend more on cyclical companies. That has to do with the weighting of the benchmark indexes. Europe does not have a lot of tech in its benchmark indexes. The Top Three Companies in the stoxx 600 are nestle and drugmakers. The top three in the u. S. Are apple, microsoft and amazon. Tech makes up 7 of the stoxx 600 versus 27 of the s p 500. Based on sector weight will need to see the traditional cyclical sectors do better for europe to keep outperforming. If you look at a chart that compares how europe does relative to the u. S. Versus how value does to growth, you would see there is a correlation. They move in tandem. At the end of the chart, there is a turnout. Is signseeded for that of a sustainable recovery in china. We are starting to get that. Therell be data at the end of the week when there is a data dump on retail sales and fixed asset investment. Alix thank you very much. Joining us is mike ryan, ubs Global Wealth management divisional vicechairman. What we are seeing today, which is rotation to value, rotation beaten up, definitely risk on, sell bonds, sell gold, his is a real rotation and is it sustainable or is it a buying opportunity . Mike you have to be careful not to take what is happening today at extended over the next three months. Part of what you are seeing today is good news on the progress being made on the vaccine. The progress on the vaccine is critically important because it allows economic normalization to continue. We have seen the economy come off the bottom we saw a reached in the first quarter, but the recovery will continue to depend that allow normalization of Economic Activity and allow progress on the commercial front were we start to see businesses getting back. If that continues, what you will see a some of the safe haven assets, the ones people have fled to on the expectations that growth would be permanently impaired, or expectations we would have to see much more policy support, some of that will come off those trades. How much . Much guy gold is at 2000. We were talking to a guest who said you could see a 20 drop in gold if you see a successful vaccine candidate. Mike a couple of things to remember about gold. It has many uses and many sources of demand. Lets keep in mind not only is this a safe haven asset, but it is a reflection our expectation is the fed will not move rates anytime soon. They expect to see a continued low inflation environment. As long as you have low Interest Rates, the opportunity for holding is low. Goalu get a 20 correction correction in gold, i would have to see a couple of things happen. Tremendous progress on the vaccine, and also Interest Rates going up it higher as well. Then what you start to see is returns from gold become more onerous. Those are the two things i would have to see before what expect that kind of impression. Alix what does a little higher on yields mean . This is a decent move. The biggest increase in more than two months. We are still in the 60s, but what does a meaningful move mean to you . Move means wegful have to see the yield curve higher and get expectations the policy is beginning to shift as well. Signaled to us by fed officials as well as central bankers is they will not move quickly in terms of shifting the policy mix. They saw what happened last time when they moved prematurely. Given the economic fallout we are seeing from covid19, and all the social restrictions put in place to deal with covid19, given the shocks we are still bank willur central be more cautious than it has been in the past in terms of raising rates. It is not about market rates beginning to move, but also the expectations that the policy shifts. Guy i have a whole bunch of things coming up i do not know how to price properly. Ive u. S. Election i still do not have my head around, we still do not know the vp candidate for the democratic party. I have a vaccine story that is hard to call. The science is tricky. I have a winter coming up that could exacerbate the vaccine problem. Do i buy volatility at this point . What happens in the autumn and everyone gets back from the beach and tries to figure out what goes next . Mike the things you just mentioned are things that are is not datadependent. We all know there is an election coming. We know the Economic Impact from covid will put us through a lot. We know we are coming up to the winter months where we will see not only covid19 related issues but also other winter related illnesses. None of these things will be terribly surprising, given i still expect to see an increase in volatility. Lets talk about the election. Elections are always events of uncertainty. More so this time around, because whenever you have a change of leadership markets look for potential issues about how new policies may be enacted. Given the fact the two parties means thearized policy path has never been more divergent. A potential shift in terms of leadership, notably in terms of the executive branch but the leadership of for the legislative branch would be a market i expect the uncertainty will trickle increasing volatility. Markets may be bracing for that now and we are starting to discount prospects for electoral outcomes, it is too early to see that reflected. A lot may happen between now and november. Alix no kidding. Mike ryan, thank you. Winter is coming . Are you a game of thrones person . Guy i have never watched it. It is on my list of things to do. Alix it is good. You would like it. Lets get a check on what is making headlines outside the business world. Ritika there is a roadblock in the capitol hill stops for a new virus stimulus package. It says Mitch Mcconnells insistence there be legal liability predictions, schools, and colleges. Mitch mcconnell says he will not let the bill passed without a temporary shield. Democrats say they will not accept the republican plan as it stands. Another escalation on trade tensions between the u. S. And china. The Trump Administration will order imports from hong kong to be labeled made in china. The actual Economic Impact may not be large. Most of hong kongs shipments to the u. S. Are exports from other places. The u. S. Is making the change after President Trump ended hong kongs special trade status with the u. S. In seattle a police chief has resigned after the city Council Voted to eliminate 100 officers and cut the departments budget. It is the latest move by local government to caplease funding in the wake of protests over Police Killings of black people. Are warns the cuts would jeopardize public safety. For the first time in 100 days, new zealand has reported its first global cases of the coronavirus. That prompted authorities to put the countrys Largest Video on lockdown to prevent another outbreak. The Prime Minister says new zealand has beaten the virus before it can do so again. 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. I am ritika gupta. This is bloomberg. Guy thanks very much, indeed. European stocks done for the day. A positive session. It finished on updraft for the ftse 100 and abused during the auction. We were up 1. 71 . A solid session on the dax and the cac 40. Luxury cars and luxury drivers to excuse the pun. We will carry on the coverage on digitale show on dab radio in the london area. This is bloomberg. Alix i am alix steel with guy johnson in london. We want to get to the race for the Coronavirus Vaccine. Earlier in the hour Kirill Dmitriev told us about russias covid19 vaccine and their solution there is an illusion of safety in the u. S. Usill what differentiates as it is a proven platform tried for six years. Do people with unknown Technology Without studying longterm effects like has happened in the u. S. Is an illusion of safety. President putin mentioned his daughter took the vaccine. Myself, my daughter, my parents, were also vaccinated. Alix the reaction in the market is fierce. Joining us for more is kamakshya trivedi. Thatad a recent note talked about how investors should consider the risk of a successful Coronavirus Vaccine as unsettling markets. Perfect timing to talk to you. Is this what we are seeing today . The unsettling of markets . Kamakshya i think it is the case markets need to be vaccineded, that a would be approved by the fda before the end of the year. You have a number of vaccines in the phase three trials, and given the progress that has been made already in the investment in this process, i think you are likely to see, potentially if you look at the smart consensus embodied by the good judgment project, there is a 40 chance of a successful vaccine being developed and distributed in 2021. If that happens, the point we made in our note is investors should be openminded about the possibility of a shift in leadership across global markets. That means higher equities, but it also means questioning the market assumptions about internally negative real rates, bond yields going down, for a long time even from the current low levels, and it means a rotation under the hood of the equity market. The kind of steeper curve supporting not just traditional cyclical stocks but also banks, and challenging the Tech Leadership that has been driving markets higher for much of the past month. For will you be positioning this now or would you wait . Kamakshya that is a good question. We are in the height of the summer months. This is august. Ahead of u. S. Labor day. We also have u. S. Schools reopening, across the world, not just in the u. S. That is likely to create a new source of interactions that could create an increase in covid19 incidents alongside the normal flu season. I do not think it is imminent that people should position for the shift in leadership straightaway, but i think we should be setting up for that. It could take a little bit of time, but it is not too early to start setting up for that sort of move that could be later in the year. It could be particularly sharp if that move also occurs alongside a potential change in u. S. Leadership or u. S. Rhetoric around things like trade policy and trade policy risk. This could also mean even for the dollar, which has been one consistent move, the weakening dollar, you could see a change in leadership away from the eurocentric dollar weakness you have seen so far towards more broader based dollar weakness that includes em as part of that. Maybe you do not want to turn the ship completely right here, right now ahead of labor day, but i think you want to start setting up for that shift. Alix im wondering how Corporate Credit fits into that thesis. Just yesterday we sought record low issuance for one companies in the highyield market. It feels like the Corporate Credit spreads have been removed from what is happening in other asset classes. How does that fit into it . Side,hya on the credit within thees favor segment, butb again i would be reluctant to read too much into what is going on in august because of the typical illiquiditys we get. Think about this is a broader move that is likely to take place over the coming months. The remember the is at 6. 9 right now. If biden wins, where does that go. You talk about that broadening out of dollar weakness. How much of that is china related . Kamakshya it is hard to see a big move weaker in the dollar without the cny participating at some point. Our premonth forecast for the dollar cny rate is 1. 75, because we expect the noise on u. S. China will remain elevated going into the election. If after that you see a change in leadership, or even if you do not see a change in leadership, but you see a change in tone in terms of trade policy so it is more predictable, even if it is not necessarily a big change in the actual outcome in terms of tariffs, i think you see a notable strengthening of the remember the the renminbi in that context. One has to put that alongside the fact that it is not just what is happening on the International Dimension of u. S. Trade policy. If you look at chinas fundamentals, it is having a strong recovery out of the covid19 shock, but equally youre are seeing a combination of policies which is fiscally expansionary, but on the monetary side and on the credit side, it is not accommodative as a lot of people expected. Chinese rates have been moving higher even as rates have been moving lower across the rest of the world. A combination of fiscal expansion and limited monetary accommodation argues for the stronger chinese currency, even based on its own domestic macro fundamentals. That pressure is there already. If you get change in tone on the credit side, i think that is the ingredient for a strong cny. That is something that might come later in the year rather than straightaway. Alix i do not want to let you go without talking about the issuance, the day lucian the u. S. 48 million the day lucian the deluge in the u. S. Did they entice a lot of buyers . What is happening . Kamakshya issuance has been extremely high across the credit markets. Not just in u. S. Corporate credit where issuance has been extremely high. You see the same phenomenon play out in em sovereign issuance as well. Largely focused on investment great issuance, but also increasingly in the highyield space. One of the things we have found in our research is highyield issuance stands to be much more responsive to the actual moves in markets to yields and prices. You could see this combination of credit markets trading strongly, but then also bringing about more highyield issuance as you go forward. Guy thank you very much for your time. We appreciate it. Kamakshya trivedi, appreciate your time. This is bloomberg. Guy what i came in on friday, somebody told me we would get divided bp pick. When i came in yesterday somebody told me we would get the joe biden vp pick. When i came in this morning someone told me we would get the joe biden vp pick. Alix i think we will get the pic tomorrow, based on literally nothing. It is a good point. I do not understand what he is waiting for. We know who is on the short list. In some instances, if it was not Kamala Harris that would be a big surprise for some in the market. The question becomes how important is the pick. Some say if you have susan rice that could open up a lot of doors to talking about Different Things that might not look so good, that people might have issues with, particularly those on the fence about voting for joe biden. At this point, lets just do it. The convention is next week. Guy the convention is coming up. There is a ticking clock. It needs to get decided. I guess you have to make a decision. The other question ive asked, this is a question increasingly being asked, is this person the next president of the United States bar one . Alix yes. Are they asking that over there . Guy the question people are asking is how important is this person . Are we looking at the next president ial candidate for the democratic party, and if so does the world need to start venting this person as well . Alix that is a different bag of chips. Vps do not count as much, but we will discuss, maybe tomorrow. That is it for us. Balance of power is next. This is bloomberg. You doing okay . Yeah. This moving thing never gets any easier. Well, xfinity makes moving super easy. I can transfer my internet and tv service in about a minute. Wow, that is easy. Almost as easy as having those guys help you move. We are those guys. Thats you . The truck adds 10 pounds. In the arms. Okay. Transfer your Service Online in a few easy steps. Now thats simple, easy, awesome. Transfer your service in minutes, making moving with xfinity a breeze. Visit xfinity. Com moving today. Puts its customers a wiin charge . Rier well, the good news gets shared. And it gets rated 1 for customer satisfaction. But dont just take our word for it. Take theirs. Its your wireless. Your rules. Only with xfinity mobile. Call, click or visit a store today. From bloomberg World Headquarters in new york to our tv and radio audiences worldwide , welcome to balance of power where the world of politics meets the world of business. Big news in washington, where donald trump says he is considering a Capital Gains tax cut, movie decided against last september after saying it would not do enough to help the middle class. We welcome Bloomberg Tax reporter laura davidson. I have heard about this tax cut before. Why is it coming back now . Laura trump has tapped into his president ial authority now that congress is at an impasse on all the coronavirus stimulus talks. We saw series of executive orders over the weekend, including one on payroll taxes. He has been talking with his advisers and coming up with other things he could do, the Capital Gains tax cut being one of them cured being one of them. He cannot cut the Capital Gains rate, but he can create a workaround so investors cannot pay