Jeremy corbyn. In his showed the labour party is on the front foot. Viviana butlers emergence showed how much power has shifted to the socialist wing. Gunmen ambushed a convoy leastorting workers, at 38 people were killed in the assault. They say it is the deadliest islamist militant attack there. It comes when gulf producers are pouring money into the region. Global news 24 hours a day on air and at tictoc on twitter, powered by 2700 journalists and analysts in 120 countries, this is bloomberg. Vonnie live, im vonnie quinn. By ourre joined bloomberg audiences. Theie one step forward in trade talks, the u. S. And china agreeing to rollback tariffs on each other if they come to a phase one deal. Canadasesting in financial health. We will speak with torontos mayor. The future of the pharma industry, we are live from the year ahead summit with the president and ceo of cvs health, that conversation, coming up. Amanda lets get a quick check on the major averages. We do get some positive news in all tariffs would be rolled back in the event of a deal being signed. Some analysts adjusting, good news on trade has been priced into these markets. Hardly a barnburner relative to how positive that would be for individual businesses. ,ooking at the internals energy is showing broader leadership for the s p 500. Tech going along for the ride. Inside the market, brookings agencies travel firm, expedia getting hammered today. Take a look at the 10 year yield. Higheracking back ever around the world, some going from negative to breakeven or positive. In the case of the u. S. 10 year tracking back towards 2 . Vonnie i am looking at oil. We have some breaking news first on aramco. It seems that saudi arabia is negotiating major commitments woulditizens, you anticipate saudi arabia will look for we are reporting it is negotiating with the likes of of a major stake in Credit Suisse group. Aramco has been looking for family thatfrom the is in charge of disturbing hyundai vehicles in the kingdom. Turning to rich local families for a stake in aramco. Up 2. 1 reversed all of yesterdays declines. U. S. China those trade headlines, lets bring in. Arah mcgovern mcgregor is this about who controls the narrative . Have had known there might been a rollback on some tariffs, it seems like china is insisting that they are agreeing. Sarah it is true. Did come fromnt china earlier today. We did have a u. S. Official confirming there is talk of rolling back the tariff. There are a lot of ifs. It is a significant comment to make. A lot of people were asking, what will trying to get out of any phase one deal . We know what the u. S. Wants and what they are demanding. Chinas number one demand of course is for these tariffs to be rolled back. The existing ones could be repealed. It would be pretty significant and suggest the fact that this is what will potentially keep china at the table to wrap up these talks. We are kind of on hooks for when can they sign, where will they sign . Youre seeing a strange reaction that suggest either it is priced in or there is still a fair amount of uncertainty about whether this all comes to pass. Sarah absolutely. The trade war has been a roller coaster for the last 1. 5 years. It has been a little bit of wait and see. That is what the market is reflecting today. While this does seem to be a step forward, there is a glimmer of hope. Who knows what tomorrow will bring. There is a sense of hurry up and lets get this deal signed. Yesterdays news that the signing ceremony might be delayed to december makes everyone a little bit nervous. The longer it takes, there is a little less momentum. We are just waiting to see. Dont know if there is a venue that will be palpable to both sides. We getdoes roll out and a signing in december, will we be starting at square one at that point . Because we rollback some tariffs that had been put on. Administrationp obviously trump has used tariffs to try to get countries including china most notably to the negotiating table. Really the expectation is that even if tariffs are rollback, some or all, the administration will use those as part of an enforcement mechanism. If china doesnt live up to his its commitments, the administration would hold those tariffs again, putting them back in place is an option. As much as a deal might use some uncertainty, i think there will be some nervousness when people look if china follows in the fashion u. S. Wants and if the tariffs stay off those goods. To have you with us. Thanks. Another trade deal. Both sides of the border anxiously awaiting the passing of president trumps new nafta deal. Inked. Ill that be o nancy hellos he struck an optimistic tone. We are working on the u. S. Canada trade agreement. We dont have the assurances we need or the enforcement. Some disappointment but one of the big disappointments is if you dont have enforcement , you could end the conversation. You dont have enforcement. I think we can come to a place on this. You know better about the importance of the deal than the big city mayors on both sides of the border. Is ino mayor john tory new york today. Getting that relationship back on solid ground and on the rails that we once had it, you are back there pitching toronto. What is the feeling . Is it any different than it has been in the past . Is there any chill on investment between those new york investors and canada . Mayor tory i dont think so. There is a general consensus that the deal will be ratified. The relationship is good. What there is is a powerful magnet. We will mention that over and over again. They know our great system of Public Education is pumping out even more people. To the country, to supplement what is already acknowledged to be one of the biggest and deepest tech and Life Sciences talent pools in north america. Think people here are ready to do business and so are we. Trade deal is important. One of the things we pitch toronto is we are partners in the transpacific partnership, the european trade agreement, and the north agreement north American Free trade agreement. It gives us unique Market Access to just about everywhere. Amanda in terms of how your city is running in your budget, one of the big factors has been the provincial budget. Ontario was incidentally down there pitching bond investors. There,e bit has changed are you optimistic that there is more for the city and that budget . Mayor tory in order to build the infrastructure is no different than the u. S. , we cannot do it alone. The u. S. Has a much longer history in federal participation. We have a recent federal history of that. We need the over levels of government, provincial and federal participating in building transit and affordable housing. I am optimistic as a provincial government that it is now realizing that it is not the best way. It will strengthen the economy and support people that need an extra boost to get into the workforce and be a part of this boom that is taking place. The moderation of their approach is something we could welcome. Vonnie you are meeting with 14 companies in new york city, building on your 2017 visit. Could you tell us how the reception has been . Mayor tory companies that are usually established and often bent in places like new york and london area usually tech focused in one way or another. That hadch application to do with another one called meeting place. A concept that has meeting Spaces Available to multinational and start up companies. In many cases they already have an established office in london. Perhaps in new york. There isying look, another place with a huge business opportunity. Is theforget toronto secondlargest Financial Center behind new york. In north america. We are the fourth largest city in north america. Talent have a wealth of in Machine Learning ai which can help them with r d. In many cases the new yorkbased and European Union based companies will have the r d center in toronto. Vonnie how has the patch changed from 2017 with the companies you have met since then . How many have invested . Mayor tory many. We have the Fastest Growing tech center in north america. In fact greater than some of the centers put together. It is largely because we have a huge Public University system that is pumping out very smart graduates who were previously being recruited to Silicon Valley to realize there is a much bigger opportunity at home in toronto. That talent pool is available to start of companies and also to global multinationals and to other companies that may have not ventured further. We are being able to take full advantage of those opportunities. We have the Critical Mass of Financial Services and we are ready to receive them. Amanda there is pros and cons about attracting some of these big tech to your city. Hq, alphabet sidewalk undertaking a development in toronto. You worry about some of the downside . Seems like there is a small talent pool that is very competitive to inviting big players into the market. Mayor tory it is plentiful in number and it is growing. 16 postsecondary institutions in the toronto area alone. They are putting out all kinds of graduates who can fill these jobs. We have talent that has been in Silicon Valley in new york that is coming home because the opportunity is increasing. Offeringdo is go crazy incentives. Amazon is one that made the finals. We didnt offer any extra incentive money. We have cost advantage, huge job pool, Health Care System that will save you money. We will not offer you a lot of cash. We certainly made it to the finals. In the case of Google Alphabet sidewalk, we came with them where we said look, we would be thrilled to have you. It would be a feather in our cap. Receive a going to list of things you want and say yes, we will do what is in the public interest. That is so far, so good. How do you avoid some of the problems we have seen in places like Silicon Valley . We experience that now. The 80,000 people coming to toronto every year. We have a big push on using city land to increase the supply of rental housing and we will just have to increase the supply. We have more cranes than anywhere else in north america is evidence that we are building a lot of things to accommodate the people that are coming, both investors and residents and we will keep doing that. Vonnie thank you for joining us. Coming up, a conversation with. Vs ceo larry barlow this is bloomberg. This is bloomberg markets. Are taking you to the year ahead summit well underway in new york today. Terminal subscribers can run the function on your terminal. Lou armstrong is speaking with cvs Health President larry mer lo. Lets listen in. Tomatoes feel better for our country, i think it would be my first response. Recognizing that as a company we are doing a lot of things in that area as well as other things to help people on the path to better health. There are so much more that needs to be done. I dont know that one person can themselves. You have an insurer attached to you right now in addition to 10,000 brickandmortar pharmacies. Feeling that is probably your answer to my question. What are the other components of that if you are starting from scratch. Would you have every piece of that there or are there things there that you feel like need to be integrated to the meaningful Health Care System to provide the best possible care to deal with some of the things you talk about . The assets we have assembled, there is a lot that we can do that has not been done in a Health Care Space. As we look at the challenges associated with health care today, we would say that there is three imperatives that are overarching strategy. Need to make health care local, meet people where they are, or for many of us in the palm of our hand now. Our Health Care System has become way too complicated. Many describe it as a maze of complexity. There is the opportunity to make it simpler and easier. That is one of our imperatives. Our northstar is helping people achieve their best health. In doing so, reduce Overall Health care costs. As you look at the growing incidence of chronic disease today, two thirds of our country has one or more. Diabetes, hypertension, cardiovascular, asthma. You could pick up a variety of studies, chronic disease accounts for 70 80 of all health care costs. People are not following the plans that would help them achieve their best health. We are saying we could close that gap. You all do that. Those are problems, i have been covering the Health Care Space for 15 years. I was on capitol hill when everyone was debating obamacare. You heard a lot of those same things making sure people are getting care. Where are you positioned in order to address those things in other people are not . Some of this gets back to the fact that we are in 10,000 communities across the country. U. S. About 70 of the population lives within three miles of a cvs. We are a trusted brand. The role of the Nurse Practitioner or pharmacist is a very trusted professional that knows their customer, knows their family. As you think about the role of the insurer, there is a tremendous amount of information that is present about the members they are serving. What is the next best Health Action for each of those individuals . You are in good shape, yours next might be preventative in nature. Amnext best action may be i not taking my medication as prescribed, i need to do something different. Withe in conversation bloombergs true armstrong. You can catch the entire conversation and more on the bloomberg go, it is the year ahead summit. In theup, escalation streaming wars. Just a few days until disney plus goes live. Will they offer any hints on what to expect . That is next. This is bloomberg. Vonnie disney up three quarters of a percent right now. The Disney Plus Streaming Service rolling out tuesday. Our u. S. Media analyst. What we learned about the streaming Service Today . The earnings really is more of a scheid show sideshow this quarter. It is all about the disney plus service. Disney has laid out some longterm goals in terms of expectations. Are reallyestors going to be investing at whether they can get any early reads on what they were seeing in the demands in the marketplace. Somewhathis might be of a challenging quarter for disney, especially as Media Networks group. Geetha we did see a fairly bumpy quarter from them last quarter. A lot of that really came from the fox assets. You will see some of that spillover again this quarter as well. They have guided to about a 10 decline in the operating income. You have the streaming investments, that is almost 900 million. Vonnie will theme parks carry the day again . Geetha they were a little bit of a mess last quarter. Attendance was a little bit softer than expected. They had opened their newest attraction, the star wars galaxies edging california. Attendance was a little bit lighter than expected. They opened the same attraction in florida as well. Ill be itching to see our attendance held up in the theme parks division. We see good things from film thanks to the lion king . Geetha absolutely. It was up 75 . We think film is on a roll. Theda one to watch after bell. Thank you for that. We appreciate it. A quick reminder you can catch all the interviews that appear on Bloomberg Television on your terminal with the function tv. From toronto in new york, this is bloomberg. Lets get straight to the first word. The u. S. Confirming phase one of its trade deal with china would include a rollback on tariffs. Beijing already says the two countries agree to a phased rollback of tariffs on each others goods. Those duties now apply to the majority of chinese exports to the u. S. Lawyers for john bolton say the exnational security advisor wont go before u. S. House impeachment committees without a court order. Bloomberg has learned democrats are unwilling to litigate the issue. Why . Because it would take too long. Today on capitol hill, as part of the provice president pences special advisor for europe is giving closeddoor testimony. Iran says last week it blocked a u. N. Inspector from a nuclear positiveuse she tested for suspected traces of explosives. The allegation coming as iran ramps up its uranium enrichment program. The International AtomicEnergy Agency says iran is acting unlawfully. The u. N. Nuclear watchdog calls the islamic republics actions a provocation. The iaea has detected evidence of potential undeclared Nuclear Material in iran. Iran has no plausible explan