Isaac there is not much agreement we have down here, but that is undeniably top of the list. What we have seen over the past few weeks is both parties coalescing around the idea it is necessary and in the vital when it comesest to my policy with china. It is not just here. It is also our partners around the globe. I think the eu has been more serious around this matter. We have had some developments in terms of Congress Passing limited sanctions and china responding. Note thatrtant to thus far the backandforth between china and the United States has been measured, proportional, and largely symbolic. My call is we will continue to have these back and forths and a degree in headline volatility, but there is no reason to believe leaders on either side of the pacific want to see a massive unwind of their relationship in the near term and theyre battling with issues domestically. There hasyou say, been backandforth in the last day. There is also been backandforth between joe biden and President Trump over economic plans. Joe biden does not seem to be a big fan of china. I wonder in the new election we are having this fall, if everyone will stand up for free trade. Another point of apparent agreement is neither side seems to be saying lets have free trade. Isaac do your point, former Vice President joe biden came out with what was dubbed a Unity Task Force document last week and offered his first economic overview. Me is thereiking to are two main points. Though the even former Vice President agrees with President Trump regarding with china there was harsh language in these documents regarding the relationship with china. It seems the only difference is tactically. Joe biden appears to want to push china multilaterally with our trading partners, and President Trump has shown a willingness to go it alone on that front. More broadly, this is something that would be set back almost mindnumbing to think about both Major Party Candidates for the presidency of the United States are supporting, significantly, manufacturing onshore. This is a big shift and to me this is the most important component of this election. One way or the other, we are going to see how this u. S. Congress and the white house can bring manufacturing back. The visions are similar in that they are both full of economic nationalism. There are differences. There are also differences on things like taxation. It is clear that joe biden would want more taxation. He might have more leeway to get that done if the senate goes democrat. Some ofden go as far as the leftwing of his party would want him to . Isaac just a few months ago the Trump White House thought they would be running with an economic tailwind at their backs and campaigning against a modernday shake of our che guevera. What you have is the economic fallout from the coronavirus and a far more centrist candidate than the white house expected. Joe biden, through this Unity Task Force, has moved to the left. Plethora offf a areas where his new policy position is slightly more progressive than his original campaign status. By and large, he rejected the big ticket items like medicare for all, like the Green New Deal , like legalization of Recreational Cannabis and a national fracking band. It seems they did everything they could to assuage the progressive wing as much as possible without spooking centrist and moderate voters. David that is november. In july we have issues about keeping the economy going and whether we will hit some sort of uplift with respect to Unemployment Insurance. Where does that stand. Is this a matter of if it gets done or when and who will get the credit for getting something done this month . Isaac lets start with the high level. I am as confident as you can be about anything in this Political Climate there will be a phase four deal of over 1 trillion and fiscal support signed into law by early august. We have miles yet to go and i think you know there will be a fair amount of political posturing and kabuki theater between here and the bill signing, but i am confident it will get done. Both parties are incredibly incentivized to secure certain items that matter to them. Democrats want to and local funding as well as an extension of the supplemental Unemployment Insurance payment. Republicans want business Liability Protection and repurpose think of the ppp funds. There is something that brings everyone to the table. We will get a deal done. I am as confident as can be. As for credit, i think both will take credit. Ultimately it is positive for President Trump because any market positive news and developments benefit the economy. David no question about it, although he has a lot of problems he will have to overcome with the coronavirus and the economy if it keeps going the way it is right now. Always a pleasure to have you with us. That is isaac boltansky, director of policy research at compass point. Our colleague Francine Lacqua is holding a webinar with francine bailey, the governor of the frank of the bank of england along with John Williams about libor and other subjects. A lot of work the industry on conventions and cash credit adjustments as well as standardized stocks. That work is fairly advanced and we should be in a position through the working group to publish those papers in relatively short timeframe. Thank you. I have another question. What regulatory tools and approaches are being considered for those portfolios which cannot be transitioned by the end of 2021 . It consideration of higher capital charges, providing strict product guidelines, those are the two. Governor bailey . Supervisorsley our are now in close touch with the Banking Sector to ensure each institutions planning and executing the transition. Is to narrowis down the legacy through those actions. ,hat involves concrete actions but also a program of information and education. , you have the aim of education and supervision supporting the industry, we have been in the line what will we do with the absolutely your dues of a legacy where people say i cannot do this because it has been structured in such a way that the key was thrown away when the contract was locked up. Legislation, the if the u. K. Legislation works in it. K. Context, we cannot say will not work in every part of the world. It is not designed for that. Do not think this is the magic solution and you can sit tight and wait for it to come along. Does anybody else want to come in . Governor, how likely do you think the boe can make the libor nonrepresentative announcement at the end of 2020, and does the sta and boe prefer to make announcements of different currency liabilities at different times . Governor bailey. The sta will make that judgment when they for governor bailey the sta will make that judgment when they believe it is appropriate. T is still relatively new it sets out the criteria that should be used. I think it is wise not to put a date on it. David a live webinar being conducted with andrew bailey, governor of the bank of england, as well as John Williams, president of the new york fed. You can continue to listen to this on live. On your bloomberg terminal. We will catch up with the head of the New York Hospital center on the coronavirus. Ons is balance of power Bloomberg Television and radio. David this is balance of power on Bloomberg Television and radio. It is time for first word news. We go to mark crumpton. Mark a new poll shows joe biden with a fivepoint lead over President Trump in texas. According to the Dallas Morning News and the university of texas at tyler, biden a hold of 46 to 41 lead among registered voters. Hold said they disapproved of mr. Trumps performance. China is imposing shanks and imposing sanctions against ted cruz and marco rubio over legislation intended to punish beijing purge treatment of ethnic minorities in the countrys far west. Other u. S. Officials were also named. The move is symbolic. Last week u. S. Sanctioned a top member of chinas Ruling Communist Party and three other officials over alleged human rights abuses. If you are black in america, the coronavirus is more likely to kill you, and the disparity has gotten worse as cases have surged across the country. Bloomberg news found in counties where the majority of residents are black, the death rate has climbed to 3. 5 times the national average, up from three time several months ago. In places with more than 100 deaths, blacks have made up 23 of them. That is twice their share of the population. In pro football, Washington Team will no longer be known as the redskins. It is dropping the team after coming under pressure from sponsors and retailers. Washingtons principal owner and coach are working to come up with a new name and logo. It is a big reversal for snyder, who has said in the past the name will never change while he owned the team. The timing of this suggests the power of the current debate over racism in america. 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 mark crumpton. David . David thank you so much to mark crumpton. We will turn to the coronavirus. Europe has made great progress in fighting the coronavirus. No deaths reported on sunday, the first time that has happened since the crisis began. Other states are on the front lines and we dock we welcome dr. Steven corwin, ceo of the new york president of the New York Presbyterian Hospital. Thank you so much for being with us. Explain what has happened. New york is doing well. Other states are not. Where does the difference come from . Dr. Corwin we had our peak in the march and april timeframe and then struggled at that point and have come down substantially. Now we are seeing the wave move across the country. Others not as severely affected are now getting severely affected. Some of that is premature reopening, some illconceived reopenings like bars, a lot of indoor dining, and some of that is the Natural History of what this virus is going to do. We are not complacent at all in new york. We realize this could rebound on us in tragic ways. We are extremely nervous and disheartened by what is happening in the rest of the country. David we do not wish ill on any state, goodness knows, as a country, but i have seen others say the mistake is you cannot keep people shut in until the curve flattens. You have to bring it down. It that right . Dr. Corwin you want to see with a lot of testing you are testing at a rate of anywhere other 3 or 4 , 1 positivity. Once you start seeing positivity with widespread testing in the 10 plus percent range, we can range,ges now in the 25 you have widespread you cannot Contact Trace under those circumstances and you cannot avoid the spread of the virus. That is the problem. You cannot quell it. We may have flattened some and some of the other states, but not sufficiently. In the absence of a widespread testing regime, you get into a circumstance where you get Community Spread and all bets are off. David what about the testing system in the country . 10 ,seen rates well over which seems to be the magic number to make sure we are doing what we need to do. We see those long lines and places. I have heard there are problems because of a delay in the results. If it takes you a week to get the results back, you cannot Contact Trace. Dr. Corwin i think you have a couple of different problems. The first is unless you have a low number of infections, you cannot appropriately at lee Contact Trace. If youre getting 1000 cases per day, you cannot Contact Trace. Problem two is you cannot wait three days to get a test result back and we are now seeing concerns some of the test being outsourced. Testingd problem with is although we have tested a lot more than we did early on, we still are not testing frequently enough or adequately enough in all of our states. Of problemstion hampers our ability to curtail this virus. David given what is going on in other states like florida, arizona, california, and texas, is it inevitable we will have a spike in the new york area . We talked with the governor of new jersey last week and he said one of the things he had not anticipated was the problems in other states and people coming back into his state. Dr. Corwin we have already anticipated we would get a second wave. We started out the pandemic with 450 icu beds. Our baseline now will be over 600. We have to presume it will come back. Until we have a vaccine or an treatment or a combination, we are living with this virus. We do not have herd immunity, we are far from herd immunity, and you are in a situation where opening verses infections. The more you open, the higher the risk of inflation of infections. It does not matter what zip code you are in. It will hurt you. David talk about the treatment. The vaccine we all are hoping for comes when it comes. We have heard there all there are treatments like remdesivir. Is there a danger communicating to the populace you do not have to worry so much because we are better at the treatment. Dr. Corwin there is a big danger. We do not have an effective treatment. Remdesivir has some effect. Steroids come in later stages of the disease may confer survival benefits. Improvements in the way we do supportive care, but let me give you a stark statistic. 20our pandemic experience, percent of patients hospitalized die. That is an enormous number of debts. In our most advanced heart 10 eries, we have a 5 to mortality. 20 mortality in a disease where you get hospitalized is nothing to sneeze at. We also have to recognize that as a society, we have to prevent harm from happening to others. Im very mindful of the fact people want to have their liberty, but you should not have the liberty to infect somebody else. We have to wear masks. There is no question about it. We have to discipline ourselves to do that. There may be activities we just cannot do, like hanging around in bars and things of that nature. He may have less of a mortality if youre in your 20s and 30s and still die from this, no question about it. David he may not be able to hang around bars. Can you send your kids to school . Are there states in which we could do that . Dr. Corwin it will be very tricky. First we want to get your rate in the Community Way down, which a lot of our states do not have, particularly texas. The second is you want to be able to protect your teachers and you want to be able to be able protect your kids. There is so much we do not know about this disease. People said the warm weather comes it will go again. Hope is not a strategy. You can hope it will go away, but it has not gone away. There is a lot we do not know. We now know there are asymptomatic and presymptomatic spreaders. Kids can get sick, but kids can also spread it. We also have to be concerned about our teachers. There is a lot that goes into this. A hybrid model with less kids in class, a lot is disinfection, wearing masks, being able to Contact Trace is critical, and as i said before, you cannot Contact Trace if you have 10 or 11 or 12,000 infections every day in a state. It is not possible. David this may be outside of your camp, but how do you balance the Health Effects of children staying at home. There are some risks there as well, particularly in an urban setting. Dr. Corwin it is tough, and it is beyond my ken. We struggled mightily in new york about closing the new York City School system. You want children to be educated. Many children rely on the School System for food, food stability. Number three, parents who have to work who cannot take off for work rely on the School System for their children to be able to go to it. It is a very difficult decision. What i would say is until the virus is low enough in the community, it is hard to contemplate opening schools in any substantive way. David really appreciate you being with us. That is dr. Steven corwin, president and ceo of the New York Presbyterian Hospital center. Now we go to the stock of the hour which will remain on the subject of coronavirus. It is pfizer because they have two candidates for a vaccine. We go to scarlet fu for a report. Scarlet pfizer is the best performer in the dow industrials on that Covid Vaccine hope. Its german partner is seeing its adr search as well to a four month high. When you talk about the two oftreatments those treatments have gotten fast track designation. Priority status they stomp lemonade it data from their phase i one and phase two studies. Both of these use messenger Rna Technology to mimic the virus. The phasefree three vaccine trials are set to start later this month with 30,000 patients. And biontech did get money last month for research and r d as part of the white house warp speed program. We know theres a lot of competition to find a vaccine. In terms of Market Opportunities for that vaccine, i was looking at research from Bloomberg Intelligence to look at what a accessible vaccine wo