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Weber and Stephen Schwartzman all on the program tonight. Connell mcshane is standing by with the headlines. Reporter President Trump is making a splash in davos, whetherland this week. The president using his speech friday morning to hail his first year achievements. President trump regulation is stealth taxation. In air today those days are over. We cut 22 burdensome regulations for every one new rule. Reporter the government placed tariffs on wash machines and solar panels. Also at davos, treasury secretary Steve Mnuchin sending the dollar to a 3year low when he told reporters a weak u. S. Dollar would be good for america in the short term. He later said the comments were taken out of context. Markets finishing in the green for the week. Jerome powell becoming the secretary of the federal reserve. President trump first nominated powell in early november. Maria i had the chance to speak with commerce secretary wilbur ross. He tells me his feedback from his International Counterparts has been largely positive. Surprisingly there is a growing recognition at the world trade system needs to be fixed. I had a big Panel Discuss yesterday including the head of the wto, head of cargo, and i asked them a simple question because they were all claiming we were protectionists. I said name me the country that is less protectionist than we are. They had no answer. And they ultimately agreed there are things that need to be fixed. There are abuses. Wto needs to change some of its ways. Its the first time i have seen overt recognition of that. Maria with regard to nafta it was a welcome invitation for Corporate America to say im going to build a factory in mexico then i will sell the products back to the u. S. But that payment template for all deals. After world war ii it was lib rat u. S. Policy to help these countries recover from the ravages of the war. In those days we had big trade you are plus. We had them into the 1970s. So as a conscious policy of helping them export to us. It might have been a good policy at the time. But concessions that were appropriate to make to germany and china in the 1940s are no longer relevant. So the mistake was not to time limit them. Maria why do you think markets are so nervous about what you may or may not do about nafta . I think the media have blown it out of proportion. But business hates uncertainty it can adjust to good or bad news. But uncertainty is scary to people. Maria one of the lead stories in the journal. Lg telling retailers it plans to raise prices on washers and dryers. We are seeing a response. Its a natural response. Any time you correct people dumping things at illegitimately low prices it will impact price. Thats a normal thing. But unless you feel americans have a god given right to dump purchases at the expense of jobs makes no sense. So i dont blame them for putting in some sort of a price increase. More importantly both lg and samsung have begun building huge factories here. One in tennessee and one in south carolina. Thats what the trump trade policies are really all about. Maria moments after those comments treasury secretary Steve Mnuchin joins me. He explained his comments about the dollar. My comments from the dollar had been consistent with what i said for the last year. But for quafer reason they have been am anyified in the last two days. The dollar is one of the mostly kid trading markets in the world. Its the reserve currency. People have confidence in the safety of the dollar. Where the dollar is in the short term is not a concern of ours. In the long term i believe the doll sash will strengthen as a result of the u. S. Economy and the growth of the economy. But where it is in the short term is not a concern of ours. In the short term a lower dollar is helpful to our strayed imbalance and has certain benefits it was a statement of fact. We support free currencies, other people intervene in currencies. The treasury puts out a currency report where we have issues with other people who have currency interventions. Whether you look at it the last hour, the last day, the last week, three years, five years, it moves. Maria in past administrations the treasury secretary was worried about saying anything about the dollar. You were honest and said what is obvious that a weaker dollar is good for trade. But in the past a lot of treasury secretaries would say we believe in a strong dollar policy even if their actions didnt support that. I think that is the case. In recent times, going back for a number of years, the treasury secretary has just kind of commented on strong doors, strong dollars. My person prospective is there is a free market, where it is in the short term is not a concern of ours. Maria do you worry as the leading Economic Voice in the country if not the world, are you going to change that stance of being so honest . Part of reason it moves markets is the press took part of what i said and amplified part of what i said. If you look at my full transcript from yesterday, it was incredibly balanced and consistent with what i said the last year and it wasnt news. I think this is one of those things if my full transcript had been looked at, perhaps it wouldnt have had the same impact. The markets will be where the markets will be. We are excited about and the reason why we are here is to solve the economic tell the economic story. We have a great story. We got thanks cuts done last year. We are on the basis of 3 or higher gdp sustained growth. This is the president s number one objective. We have seen 2. 5 mill workers get special bonuses of 1,000 or higher. Higher wages. This is what the president is focused on. The last 8 years the average worker went nowhere. This is all about american jobs, growth for american workers. And the reason why we have the largest delegation here we have ever had is to say to the world, we are open for business, we are attractive for business. Come invest for the u. S. Maria i was speaking with people from europe. They said they were changing their strategy in terms of investing. He ceo we talked to is putting more money into the u. S. Maria initially they were putting money into europe. But they are shifting to the u. S. Because they think the thanks policy is more attractive. We thought it would be fabulous. It turned out to be amazing. The response we have seen in a short period of time of apple bringing back hundreds of billions of dollars. Companies at t, b of a, jpmorgan, all the banks, people investing tens of billions of dollars in the u. S. And giving workers raises. So we couldnt be happier with the response. As secretary ross has said, the message is people are talking about shifting their operations back into the u. S. Its an exciting story. We are look forward to the president being here and the president s speech. Maria its interesting its getting hard to deny the impact of the tax plan. The Mainstream Media is trying hard and the left is trying hard to come up with some reasons for this away from your policies. Companies getting these bonused as well as the conversations about 4 growth. Listen to this sound bite a question to gary cohn. We just had a litany of businesses that are going to give back to the american people. Isnt it unfair to give the president credit for that . They already had that money in their coffers. Would they not have turned it loose otherwise . Maria the left is saying this was going to happen anyway. They have no alternative but to make up fiction. But the fella who just got a 1,000 economic does cant care what the leftwing media says. The person who gets a tax cut in the next withholding, he or she is not going to care what the leftwing media says. Maria nancy pelosi calls it crumbs. Last year when we were talking about 3 gdp. Everybody lined up and said we were crazy. That the economy couldnt grow at rates more than 2 . Now we are sat 3 gdp. Well be a sustained 3 or higher its called the thanks cuts and jobs act because this was about creating american jobs. Maria let me ask you to look ahead to the state of the union next week. We have a whole host of policies to look at. What should we expect from the state of the union next week . Will it be largely about economic policies . We are looking forward to the state of the union and i am not going to steal the president s speech. But the president coming here will talk about free and fair trade, reciprocal trade and america is open for business. Maria my special thanks to secretaries mnuchin and ross for joining me. Well hear more about those policies in the upcoming week when the president gives his state of the Union Address next tuesday. Announcer the market keeps soaring. So why is one bank hedging its bets. Ubss axle weber tells us. Finally. Hey ron theyre finally taking down that schwab billboard. Oh, not so fast, carl. Oh no. Schwab, again . Index investing for that low . Thats three times less than fidelity. And four times less than vanguard. Whats next, no minimums . No minimums. Schwab has lowered the cost of investing again. Introducing the lowest cost index funds in the industry with no minimums. I bet theyre calling about the schwab news. Schwab. A modern approach to wealth management. My names dustinhey, dustin. Grab a seat. Woman okay. Moderator nice to meet you. Have you ever had car trouble in a place like this . roaring of truck yes and it was like the worst experience of my life. Seven lanes of traffic and i was in the second lane. When i get into my car, i want to know that its going to get me from point a to point b. Well, then i have some good news. Chevy is the only brand to receive j. D. Power dependability awards for cars, trucks and suvs two years in a row. Woman wait laughing i definitely feel like im in a dependable vehicle right now. Woman 2 i want a chevy now. Woman 3 i know maria Global Markets on fire. The major averages hitting new highs again this week. But some are putting up the caution flag. I spoke with the chairman of ubs, axel weber. He is beginning to look at how long this run can last. We are expecting a half percent impact on growth this year and next year. And we are waiting for what the u. S. Will announce on infrastructure investment. That will be a key driver this year potentially. But the u. S. , current sentiment indicators are tracking roughly 1. 5 above the hard data. So the market is pricing in a lot of positive momentum. The imf is revising their growth forecast. So before these tax reforms and the current policy takes hold, its showing there is a lot of momentum down the road. I think well normalize the World Economy in a much safer place. I get worried there is so much consensus around that this year almost nothing can happen. The sentiment is so good, i start worries do we miss part of what might be risk. Maria there is a lot of optimism out there. Are people too optimistic . Volatility is at an alltime low. Comply season i is high in the market. We have been advising our clients to cover their bets. Have volatility so low and insurance being inexpensive doesnt mean you shouldnt buy insurance. We have been recommending it to clients. And i think there are some head winds well see this year. Geopolitical risks clearly still out there. The whole discussion here started by canada and mexico, now the president will come here about nafta and what the International Trade agreements are. In a world where global trade agreements has been the engine of growth. And the geopolitical risks. They more likely have increased over time. Nobody is putting the right price. People dont earn the return they should on some of the risk they have and i think it might correct. People are too come reply sent. When there are too complacent. I start worrying we are mission part of the picture. I we are missing part of the picture. People should expect this not to continue for a long, long period of time. Probably 2018 will be a great year. But beyond that people shouldnt lose track of the risk. Maria much more from wall street week when we come right back. Announcer she is one of the most of powerful women in the business ive gotta say, i love the new place. Oh thanks. Yeah, i took your advice and had geico help with renters insurance it was really easy. Easy. Thatd be nice. Phone for help with chairs, say chair. Phone for help with bookcases, say bookcase. Bookcase. I thought this was the dresser . Isnt that the bed . Phone im sorry, i didnt understand. Phone for help with chairs, say chair. Does this mean were not going out . Bookcase. See how easy renters insurance can be at geico. Com. Im a small business, but i have big dreams, and big plans. So how can i make the efforts of 8 employees, feel like 50 . How can i share new plans virtually . How can i download an efile . Virtual tours . Zipfile . Really big files . In seconds, not minutes. Just like that. Like everything. The answer is simple. Ill do what ive always done, dream more, dream faster, and above all, now, ill dream gig. Now more businesses, in more places, can afford to dream gig. Comcast, building americas largest gigspeed network. Can afford to dream gig. Retail. Under pressure like never before. And its connected technology thats moving companies forward fast. Ecommerce. Real time inventory. Virtual changing rooms. Thats why retailers rely on comcast business to deliver consistent Network Speed across multiple locations. Every corporate office, warehouse and store near or far covered. Leaving every competitor, threat and challenge outmaneuvered. Comcast business outmaneuver. Maria for the first time in its history the Economic Forum in davos had all women in charge. I think its a wonderful example. Women have so many different achievements. From the head of the imf to if the woman heading cern. Its a demonstration of the influence women have in this world. Bar require gives the a different flavor with women in charge. Maria a lot of optimism about the global economy. You just reported earnings for the fourth square. Revenue growth. What would you attribute that to. Talk to us about the broad environment. First, broad environment. You do see people investing around the world. You see them take on longer term issues they want temperature reposition themselves. I coined with a lot of clients the term the incumbent disrupter. I have something a lot of the world doesnt have. I own 80 of the worlds data. Only 20 is searchable. So this idea of an incumbent disrupter. Thats what i see around the world. A bank how they do Customer Service or a Car Rental Company that says im a great fleet manager and you need that with autonomous cars. But back to ours when you said the celebration. Im proud of the ibmers. This has been a real repositioning of the company and reinventing of the whole portfolio. 50 of the portfolio is now. You saw our cloud results, top 3, 17 billion. Grew 30 . Product services, 17 growth. They represent just shy under 50 of the company. So its powering and mir yoorg what customers are doing. Maria how do you make sure that growth keeps happening. We are a sh we are a high value company. We exist era to era, we keep reinventing. Its about acceleration and stable margins. So these new areas will continue to grow. Maria with the rollback in regulations what can you tell us in terms of that, what you are seeing in terms of books and order flow . What you see clients investing in now are longerterm projects. You see this sphwhrend between efficiency which every one continues to be focused on. But they are investing in Foundational Program for the future. The car companies. Everything they are doing is doing withathon plus connected doing it with an autonomous car. Its the Digital Infrastructure they are building, not just the physical infrastructure. Maria now we are talking about machine learning. We are the world leader in ai. Watson is what most of people think. We one jeopardy with we won jeopardy with watson. But which apply ai to business, its the business platform. Watson, you and i talked by the for healthcare. Thats where we started. We will have treated over 100,000 patients. India, china. If you think about it. India, one oncologist for 14, 16 people. They never had a chance to have that care. The elevators here. The interest nest things, predict when is this going to go bad. Financial services. You interviewed many of our Financial Services colleagues. A lot we can do. Jpmorgan chase. All the Financial Services solutions. Customer service. All using those technologies. You will see it like a silver thread i believe through every process in your company. Maria what are the downside risks. People worried that machines are going to take over their jobs . I think this an important Inflection Point in time for companies and for the Tech Industry and society at large. It is our job to steward in these new technologies and guide them safely into the world which will get to your point. Everything we just talked about what they can do. Everything you can any of. There is then the opportunity of our time and the issue of our time. It will go to jobs and skills. There are lots of studies, jobs dislocated, do you lose jobs. With every technology that happens. This one moves faster. I have been here talk about 100 will change. If 100 changes we have to prepair it worlds workers now. I have been talking about responsible stewardship of this next era. When you bring it into the world you tell people its purpose. Its here to help me do a better job. Announcer ai is here to stay. But what does it mean for human jobs . Microsoft could you founder bill gates talks with maria about gates talkhow do you win out at business . Stay at la quinta. Where were changing with stylish makeovers. Then at your next meeting, set your seat height to its maximum level. Bravo, tall meeting man. Start winning today. Book now at lq. Com you for four years. Start winning today. You named it brad

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