Sound On: Biden Heads to Asia, Keene Heads to Davos (Podcast)

unlike any we've seen Thomas. It's no different Joe than the Plumber's Convention in Las Vegas. Bloomberg Sound On with Joe Matthew on Bloomberg Radio. Joe Biden visits Asia for the first time as president. Welcome to the fastest hour in politics as we follow the trip to South Korea and Japan, all with an eye on China. The pivot to Asia is actually happening, and we'll talk about it with Anna Ashton of the Asia Society Policy Institute. Can

Congress get anything done from now to November? The chip back, maybe COVID funding. We'll discuss in our Friday Reporters round Table with Bloomberg's mckinnery and Jack Fitzpatrick, and later the elite descending on Davos this weekend, among them Bloomberg's own Tom Keane, who joins us later for a special conversation

about a most unusual World Economic Forum this year. President Biden kicked off his trip to Asia today South Korea, where he met with that country's new president, spoke at a Samsung computer chip plants, actually the company's biggest foundry, which will be replicated in Texas under a previously announced deal.

So this was all put together with the reason President Biden spoke to the growing need for semiconductors here he is this is an auspicious start to my visit because it's emblematic of the future cooperation innovation that our nation's can and must build together. Semiconductor's power our economies and enable our modern lives, from our automobiles to our smartphones, to medical diagnostical equipment. And reminding us the President has well multiple audiences on this trip. As always, he talked

about the jobs your he is in Asia. He talked about the jobs that Samsung is bringing to the US. We'll create three thousand new high tech jobs in Texas and add to add to twenty thousand jobs Samsung already supports in the United States of America, and he spoke with support from the company itself. It was a big show. They had the stage set up, the big backdrop. Lee J Young is the vice chairman of Samsung. Listen. Over a quarter century ago, Samsung became the first international company

to make semi conductors in the United States. We highly value our friendship and look forward to continuing our spatial relationship. Okay, the special relationship. The president's trip will continue through Tuesday. It's got a formal visit to Japan, meetings the leaders of the Quad. This is important. Actually while he's in Tokyo, big meeting of the Quad. Right US, Japan, Australia, India added to the conversation, So what's the point of all

of this? Well, war rages in Ukraine were joined to try to answer that question by Anna Ashton, Senior Fellow for Trade, Investment and Innovation at the Agia Society Policy Institute. Thank you for being with us, Anna, I want to talk to you about the elephant in the room here, a country the President is not visiting on this trip, and a country that's going to be watching this trip very closely, of course, that's China. Does Beijing see this

as a threat? Well, I think certainly the statements out of Beijing UH in the last week to indicate that that they view this as UM at least antagonistic, if not a threat, and UH with good reason, you know, because the Quad is basically an alliance with a mutual interest encountering UH some of China's policies, So UH to have Biden in the region, visiting its neighbors and talking

about issues that are contrary to China's interests UM. Yes, that's kind of the point of it though, right the reason this whole pivot to Asia was too to face the threat from China. But it's a very complicated relationship. China is not only threatening us, they're also partnering with us on an economic level. I realize a good deal of that has been undone. UH. So you know, what's the what's the unspoken conversation that's happening. What's the actual

message we're trying to send? Well, you know, I think we're trying to send several messages. I think we're trying to to sort of recoup our losses in terms of UM perceptions of US. Globally as being interested in engaging with the world and leading the world. So this, like Biden's efforts in Europe, is partly about reinvigorating our partnerships in the region and showing that we're still there. It's also about showing that we can be in two theaters

at once. With Ukraine taking up so much of our attention, it's important to remind the end of Pacific region that we consider ourselves part of that region and we want to UH to be partnering to I guess boost the kinds of practices and standards that we believe are the right practices and standards in the twenty first century. To what extent is the apparent expansion of NATO informing China's

view of all of this. You know, your president she and Beijing watching what's happening in Europe here, it's like, whoa US rising? This is not the last administration. They're adding Finland and Sweden. Now, this guy's on his way to meet with the quad. UH kind of in our backyard here is that the concern that this is going to be a sort of a growing presence that the United States will have in that part of the world. Well, you know, a few years ago, I wouldn't have said

that that would be top of mind for China. But China has a certainly backed Vladimir Putin's concerns about the spread of NATO, and there has been lots of analysis in the United States about whether or not the Russian invasion of Ukraine is a model for success or failure for for China and Taiwan. Um. You know, I do think that part of the point of being in the region and shoring up our security relationships is to deter any interest on China's part in and possibly moving on Taiwan.

Whether or not it's likely as a separate question, but but I don't think that it's likely that that China is about to move on Taiwan though, so I don't think that that's that's an imminent thing. Sure, the other regional threat is North Korea, and they're talking about apparently a nuke test this weekend. Do you think that happens and is this just a lonely man making noise here or is this, you know, a real threat to the United States, a military threat the US has to be

concerned about. I guess the reality is that we are in the middle of UH an enormous geopolitical power shift. UM. The center of global economic activity is rapidly shifting to Asia. China is rising as an economic and military power and has different ideas in many respects about what the rules of the road should be. In international relations, the United States is trying to reassert its interests and shore up

relationships that can support those interests. And you know, we have countries like North Korea and Russia that are testing in the waters. Do you are you concerned about it? Thor? I guess you know? Is it? Is it all bluster? Because so far, of course, that's all we've ever seen UH and and things have changed a bit since Donald Trump was dancing around the d m Z with Kim Jong. I mean, I'm not a North Korea expert, I have to I have to admit, but I my inclination is

to believe that it's it's primarily bluster. However, you know, when we have instability and and UH a land war in Europe, UM, we have to take these sorts of things little bit more seriously. And Ashton, let's talk policy for a minute. Remembering that President Trump pulled out of the Trans Pacific Partnership, a twelve nation partnership negotiated by

President Barack Obama. Joe Biden's expected to win veil. I guess what they're calling the Indo Pacific Economic Framework this weekend, which is also being called a watered down version of the Trans Pacific Partnership. Is there any point to this or is this, you know, kind of a chance to

sign some papers and pose for a picture. Certainly, UH, as part of our pivot to ASA, we have been emphasizing that we want to have stronger security and political relationships with various countries in the region, but we have been a little bit slow to talk about the importance of economic relationships. And there are numerous developing economies in the region that would really like to have stronger economic

relationships with the United States. But what they're envisioning is greater market access reduced to tear us those sorts of things, and that's not really part of what we're expecting to hear unveiled when President Biden announces the end of Pacific

Economic Framework. Spending time with Anna Ashton, Senior Fellow for Trade, Investment and Innovation at the Asia Society Policy Institute, as President Biden continues the travel through Asia China watching of course, Anna, as we've already discussed, but I'd like to ask you about Russia as well. In China's relationship with Russia, there is word that China is going to buy Russian oil. For instance, it was a it was a screamer headline

on the terminal earlier today. That's a pretty bold move based on the conversations that Joe Biden himself has had with President she. Well, you know, China imports an awful lot of energy from Russia, and UH, and and Europeans do too. I think, UH, we have yet to roll out and embargo on energy that involves secondary sanctions against countries that are importing energy from Russia. So they're non they're not necessarily consequences that will follow immediately from China

join us. But it does underscore the point that China is not the only country that relies on Russia for

a variety of things. So does India as part of the Quad, and that is um a challenge for Biden as he tries to um make sure that we are aligned with our major partners across the world and making sure that the sanctions are effective all very important elements here that that you're pointing out in it is do you do you, however, see the lines kind of being drawn between you know, this allied China, Russia and the Western World or is that oversimplifying it them? For now?

I think it's oversimplifying it. I don't think that's what the United States really wants or what China really wants. It's certainly not in the world's best interest if we're going to try to address common challenges like climate change, pandemics, food and security resulting impart from from the invasion of Ukraine. Um, but you know, it is a risk as as the power balance shifts. What's the statement is to speak? The mission statement? Uh from the Quad meeting? How important is

that going to be next week? I think that partly depends on whether or not Australia participates. But you know what, I think they've got elections this weekend right exactly, especially they have elections, and depending on how that turns out, we mayry not have somebody there. Exactly what is it going to be an aggressively written statement? Is there is you know you already pointed out that that this is

an important group here. What's the message to China. You know, I don't expect it to be h overtly and extremely aggressive visa of each China, but I do want to point out that Anthony Lincoln was supposed to give his his speech on China policy last week and that is coming soon. So I and Ashton many thanks for your insights. The Asia Society Policy Institute will be following the President for you on Bloomberg across the weekend and in the next week coming up, we turned to Capitol Hill and

our Friday Reporter round Up. This is Bloomberg, This is Bloomberg, So nong with Joe Matthew on Bloomberg Radio. Thanks for sharing part of your Friday with us on Bloomberg Radio. With a special nod to our listeners on satellite radio. Thanks for being the year. It's time for our Reporters Round Up with Bloomberg National Politics reporter E mckinnery and Bloomberg Government's Jack Fitzpatrick. No stranger to this program. Welcome

to both of you. Thanks for having us. So it's it's not many weeks we have something to show for lawmakers being in town in Washington, but the Senate at last cleared the Ukraine funding bill. The House move legislation on baby formula and domestic terrorism. Jack, I'm gonna start with you. A lot of people are asking is that it? And I know we've asked this before. Can Congress do

anything else between now in November? Knowing that they've still not come together on something you're writing about, which is COVID funding, not to mention that China competes bill. What do you think? Yeah, I I don't think that's it. From the accomplishments of Congress between now in the midterms, they've got really high priority issues. The Chips bill, the

China Competitiveness Bill is a major priority. It's a huge conference committee between the House and Senate with more than a hundred members, and they're still seemingly sort of in the spitballing phase of how much do we want to get into tax policy? So it's not right at the finish line, but it clearly is a priority. Uh. There is interest in the issue of the f d A. Do they make changes at the FDA to follow up on this baby formula shortage that's a new issue too,

giving them more money. Yes, well, that that conversation is happening too. But there's a lot of interest in actual accountability. Uh. And of course they have to fund the government, and anytime they do that, that is a vehicle so they can attach things to it. So they've got more legislating to do for sure. Funding lost. That one is so stalled. It is really something. It's stalled over the Title forty two immigration issue. UH. I think maybe out of desperation,

there's a little bit of talk among Democrats. Gary Peters has brought this up that if they can't figure out a Title forty two deal on that pandemic policy that let them expel people from the border faster, maybe they could do a border security spending measure that would probably not win over Republicans because some of the resources they need to spend on are because of the end of Title forty two anyway, So Republicans really are just saying we should bring this back for now or come up

with something, and that has just latched itself onto the COVID bill and it's it's very very stalled right now. But what's the national appetite for this, not just here in Washington but nationally When the White Houses is ringing the alarm to say we're running out of tests, we're gonna be running out of therapeutics, and we are now, we're beyond many of the deadlines that Jen Psaki laid out when she was still Press secretary. The President said

we needed twenty two billion dollars. They cut it in half. That still can't move. Does this ever see the light of day or we're gonna find ourselves with a surge in in the fall and winter in the White House being blamed from there not being enough therapeutics. I mean, if you look at it, there's arguments that it's a sturge right now. Um, yeah, a third of Americans right now, the um CBC staid yesterday, I live in an area where they should be wearing masks based on the COVID risk.

I think that, like Jacket said, we'll see if it gets through Congress. We'll see if it gets passed. But I think that people there is a lot of a great need for it. Does it seem like a set up? Though? This is like you know, Lucy with the football, You can see how this is going to play out. But that's the other thing is that, like you know, they have to show between now and November that they're doing stuff and that they're like trying to accomplish things even

if it doesn't actually happen. How much of that is executive order though versus legislation. Well, they are running out of money though, and so they're gonna need action from Congress on COVID. At least these are right sources, especially for the international stuff. There is bipartisan agreement that there should be some uh international vaccine in a that kind of thing. Uh. And again you know that's why I

mentioned they'll need to fund the government. So this is way too slow for the White House's taste, but they could have an annual funding conversation. If this supplemental Immediate bill just never happens, They've got to do something. Uh. The issue is they have been very very slow. Yeah, they sure have. And I we just remember, oh Macron and in the the amount of blame that the White House carried for not having enough rapid tests available. Emma,

you remember all this. It's like you can just see it happening again. Yeah, and Ron Klain just um you know, said yesterday they're already sending out more tests to people. You can request them. But they're really trying to get

ahead of the curve on the China competes bill. It's not lost on me that Gina Romando, the Commerce Secretary, has really been the face of this story, helping to push this along, at least publicly, is representing the administration at the Davos conference, which will strangely have no snow this year. Um, where does that stand? We've been talking about it for a year, Jack, and my god, you put a hundred people in a room. How does anyone

decide any thing? Yeah, well, that's the main challenge. You know, every time I ask lawmakers about this bill. It clearly is a priority. That's probably the one main thing that they are working on that there seems to be some confidence they really could get something done on that's not sort of annual government funding or annual defense policy. Um. But this was one of those measures where the House did its thing, the Senate did its thing. Now they've

got to meld them together. And like I mentioned before, if you're still having the conversation about well do we want to get into tax policy, if the answer to that is yes, there's a lot of work left to do. It's a very wide ranging bill, and they want to give everybody the chance to sort of do their legislating on it. But I mean, nobody's talking about that bill

falling apart. At least, it's just moving quite slow. But it was something that we needed a year ago, or at least we were told, Emma, is this Does this resonate nationally? Two people vote? I mean, my goodness, they can't even name the bill, for crying out loud, How do how do lawmakers get that support from constant at you in on something so esoteric? Yeah, I think that that's that's a big that's a big question here and especially the answer. Yeah, And I think you know, if

you look at um, people can't even name. If you look at polls, people can't name what's in the infrastructure bill. Are what you know, the Biden administration has already passed, whereas Congress that's gotten through, so especially stuff like this that has to do with China and trade, it won't

move the Mark and Jack will stay with us. As we turn to the campaign trail coming up ahead of next Tuesday's primaries, voting in three states, including Georgia big one for Donald Trump and by the way, they still haven't called the race in Pennsylvania. Write the Republican primary for Senate Dr Roz David McCormick still within a thousand points or something days later. I wonder if that's done

by the next set of primaries. We'll have more with Jack and Emma straight ahead on the fastest hour in politics. I'm Joe Matthew in Washington, Happy Friday. This is Bloomberg broadcasting live from our nation's capital, Bloomberg nine one to New York, Bloomberg eleven Frio to Boston, Bloomberg one oh six one to San Francisco, Bloomberg nine sixty to the country, Serious x M General one nine and around the globe

of Bloomberg Business app and Bloomberg Radio dot Com. This is Bloomberg Sound On with Joe Matthew and the primaries keep coming. Busy month. Voting next Tuesday in Alabama, Arkansas and Georgia will get you ready next with Bloomberg's and mckinnery and Jack Fitzpatrick. They've still not decided the big primary from this week, the Republican Senate primary in Pennsylvania, but we're already gearing up for another important Tuesday. Here

is the focus shift to Georgia. We want to dig into some of these races with our panel, Bloomberg National politics reporter and mckinnery and Bloomberg Government's Jack Fitzpatrick spending time with us today the Friday edition of Sound On. It's great to have both of you here, and a lot of us have been watching the Trump effect on the primaries, and I think we can agree the big his test of Trump's influence would be in Georgia simply because of the history there election. Uh, it's not looking

good for Trump in the gubernatorial primary. Is there any chance, based on your reporting, that David Purdue beats incumbent Governor Brian Camp. Something would really have to happen, Like if you're looking at the polls of the Fox News just had a pull out yesterday that showed Brian Camp, incumbent, up thirty two points over Perdue. So produced doing pretty poorly in this election. And like you had said, Trump

has done decently well so far off his endorsements. Um, but until this Georgia race, a lot of the people he has endorsed e there have you know, not have a strong candidate against them, you know, or really haven't had that competitive of a race. But now you're looking at Georgia governor where David Perdue versus Brian Camp. Perdue is in this race, you know, because of Trump support. And then you're looking at secretary state where you have

Rafflisberger and Jouggy Hi. Yeah, I'm gonna ask you about that when in terms of the governor's race, though, to see a spread like that is it's pretty unusual considering the name recognition that they both enjoy. Does that say more about Brian Camp's job as governor or more about Donald Trump's lack of influence in Georgia? I think it's you could argue about um. I think that clearly the voters, Republican voters have liked what Kemp has done and his

job record supersedes Trump's opinion. I guess Jack, when it comes down to it is Trump winning no matter who wins, because we're all talking about him anyway. We are talking about him. But you know, when you look at him getting involved in a secretary of state's race, when you hear what he had to say about the Pennsylvania race where he, you know, moment oz had a point one percent declare victory, Now that that's a concern for him

if he were to run for president again. Clearly, by getting involved in the Secretary of States race and trying to go after Brad Ravensburger. Uh, it's a priority for Trump to have some level of loyalty in the electoral process. So there are concerned besides publicity. I would add, by the way, with David Perdue, if you're going to kind of delegate, your my, your your Trump's guy in this race,

Perdue had a bit of a scandal. He kind of got up with the the Stock Act trading trading issues in which led to him helped lead to him leaving the Senate. So, I mean, this may be a case in which Trump just didn't really pick the right horse to sort of be his proxy in Georgia. Emma, I learned from you that Mike Pence gonna be campaigning for Brian Kemp. Is this now a proxy of Trump versus Pence?

I mean definitely. Um, you look at it and you think about and Pence's ambitions, and you know, Pence until this race really hasn't been that vocally against Trump or gone out you know, against some of this is a pretty significance. Yeah, talk to me about the Secretary of State race here, Emma, because this was Jack brought it up.

This is maybe the most closely watched, maybe the most important contest to sort of play out the impact that we're talking about here, and to see a congressman Jody Heist kind of stepped down to run for this seat. But is that unprecedented? Well, you know, it's the big question. It'll be a test of kind of candidate who is a traditional Republican hits all the boxes. You know, Brad Raefinsberger be slammed and lose his seat based off of you know, Donald Trump's opinion of him and you know,

him not doing enough for the election. Um. But it is it's very interesting to see again Raefinsburger, who aside from this has been well liked in Georgia, be facing this from Joddy Heiss a u s represent that you ever heard of a congressman. It's not typically a step up to is this just creavor Trump Nation that would seem to be part of it. It is a statewide office.

If you have ambitions in the future, you know, going from the House to a statewide office, who knows, but you know, it's it's definitely unusual to see somebody go from the House to something like Secretary of c he's not running for governor or even you know, the second in charge lieutenant governor position. It's it's much more low

profile than your usual statewide camp. But I'll also add just after and all of the you know, all of the attention that was paid to the Secretary of State race, it's you know, people are paying more attention and get more ink than if they ran for re election. Is that your point? That's kind of incredible to think about before we wrap this conversation, and just looking backward for a second in Pennsylvania, Emma, do you have a sense

of how long this is going to take? Um I just checked right before I got on here, and they're about a thousand votes between them and they're still counting. UMZ is that thirty one percent McCormick one or thirty one point one percent? So oz is up point one percent. And then after that, once they do finally finish counting the votes, it'll go into an automatic recount. So then we're going to have to do this all unless it's a miracle. Right That's that's within half a percent, is

that right? Half of triggers the recount. So we're gonna recount Jack, and you're gonna be talking about this weeks from now. It can take a while, as as Emma was saying, they have to finish the vote count and then they recount. It would take a really significant surge to go from a point one percent lead to a point five percent lead. So that's it seems to be where they're going. You know, when you see a roughly thousand vote difference between two candidates, it would also have

to be fairly significant to reverse that. It's not you know, point one percent in a little tiny race where there's a matter of a few dozen votes. But it can definitely take time, and it maybe prove a little frustrating to Trump, who you know, we kind of jumped the gun and saying let's let's call it early. Yeah, And well, Trump has said that he is has expressed frustration um with os not just blowing out the race, and which again goes back to his endorsements. And you know, going

into the Georgia primaries, what will that look like. I've got a lot to learn. This is going to be interesting next week. And mckennry, Jack Fitzpatrick, many thanks for the insights. You guys, have a great weekend. You to thank you and there's one all find you about in Arkansas that should get a lot of attention next week. The Republican gubernatorial to replace Asa Hutchinson, who might run

for president. Sarah Huckabee Sanders, remember President Trump's Press secretary, Mike Huckabee's daughter in the primary running against Francis Doc. They call him Doc Washburn, a former radio talk show host. Does that mean I could run for governor? There's a more crowded field on the Democratic side. It's a five way race. We'll let you know what happens. But Georgia, as we just discussed with Emma and Jack, will be the one that drives the headlines. Will see if we

have any late calls. Of course, you can count on Bloomberg News right here on the radio or on your terminal for a full readout on what happens. So it's onto Davos next. They're fueling up the Gulf streams all around the world. I know it's sunny and here in Washington at least in the nineties today, but yeah, we're doing the World Economic Forum. Leave the skis at home and we're joined next by a special guest on his way after this to Davos. Bloomberg's own Tom Keene makes

his debut on sound On. Stay here, this is Bloomberg. You're listening to Bloomberg. You Sound On with Joe Matthew on Bloomberg Radio. Now we round the band on the fastest hour in politics. Thank you for joining us Sun Joe Matthew in Washington with something special now on the Friday edition of Sound On. If you haven't heard this big weekend for finance and politics. Yes, it's time to

go back to Davos. There's only one man who can bring this home for us, the Dean of Davos himself, Bloomberg's own Tom Keene, of course, the co host of bloom Burke Surveillance up very early in the morning and he's with us now and his debut appearance on sound On. Tom, Thanks for staying up with us, Joe, wonderful to be with you. It's uh that time of year, except it's not January. Well yeah, so it's time to gas up the surveillance Gulf Stream, as you say, which may actually

cost less than flying coach this year. But this is gonna be a Davos unlike any we've seen. Tom for starters, no snow strangely, no skiing, no Russian oligarchs, and a backdrop this year that is bleak economically and politically, Tom, why is this even happening? A couple of ideas. I actually looked up with the Gulf stream costs here jet fuel through the roof, and it's just to get it up. I'm not taking the golf stream folks. We say good morning to Swiss Air to get me over to a

Switzerland that will be shell shock. This is, of course the great independent state, the warriors front and center. Joe and what I would say is so so important is the world economic for him this time or round is more on the page with the zeitgeist than I've seen them in twenty years. How they understand the war. The war is front center. They're doing all the other themes, the risks, global warming, all the rest of it. But

Klaus Schwab. Dr. Schwab has said, the war matters. You know, I want to get to the real stuff with you. I cover politics. We have you say a G seven right, and you've got the big family photo. You've got a lot of posturing, a lot of mission statements. But it's the bi lats, it's the bilateral conversations that you don't get to be in the room for this. The the actual in your case, the deal making is that part still intact. There's two parts to the deal making of

the elite and Dabos. One of them, which I think has been way under reported, is it's no different, Joe than the Plumber's Convention in Las Vegas, where yeah, there's a lot of partying, but people are there to do a lot a lot of business. The corporate officers that go, including our our leadership at Bloomberg, work NonStop seeing people that they see once a year. It is exactly like the plumbers convention in Las Vegas. How much of it is spontaneous, it's very planned because people are on very

short schedules. One of the great things about Davos in the modern calendar is the casual European four day five day conference. For many people have squeezed into a forty eight hours in and out. That's sort of the back story. The front story to your point is there is a zeitgeist. Not traditionally on a Monday start, I would say by Wednesday morning, it's completely changed into what really matters to people,

and that happens year after year after year. But this May meeting is so different and so trun created that I'm not really sure how that's going to play out. Secretary Gina Romando or Commerce Secretary will be representing the administration. I know you're gonna be talking with her next week. Tom. What what kind of an aura does the United States have, particularly the administration walking into this meeting loaded question It's like the Boston Red Sox and the year where they're

actually competent versus what's going on? We don't have to worry about that. It is so so changed and changeable over the years. Of course, everyone remembers the excitement of Donald Trump coming and what was he going to say? And all that, and and without being political, it was a clumsy moment. When President she spoke in Davos in two thousand seventeen, it was shocking. The quiet that descended on the valley, like a four or five mile valley. You could feel the silence. Is he spoke in the

elites hope that things would work out. Take a memo, Joe, it didn't work out for the US. It's so ever changing. I will never forget years ago with the Bush administration, everyone was there, but Laura and George and I'm there with Rob Portman retiring now as a Senator from Ohio, and I don't know what under Secretary was or whatever, but I'm literally sitting at the counter with Rob Portman over eggs and potatoes, trying to stuff in some food late at night. I mean, you know, it's those kind

of moments. And then that changes to now where the US doesn't really want to project here, so they send along uh Mr Romando of Rhode Island to be the face of the administration. This, of course, as the administration carries out an important trip to Asia, and the connection is China. It's always about the elephant in the room. And the elephant in the room is China, their growth, their percentage of global growth. Joe, I would suggest a great theme there will be what is China like after lockdown?

And we could you know, we do that every day in surveillance. We debate with people about when will the lockdown and etcetera, etcetera. But I think a great theme will be what will China be like and the Pacific Rim and Asia be like after lockdown. All this said, we're talking a lot about the political undercurrents here, Tom, how about the economic undercurrents and the markets themselves? The last time we saw everything go down, You're showing up

in Davos with people licking their wounds. Tom, that's happened before in any of flavors and tampas at Jack's Hole. Are we there? Yeah, I guess we're there this time. But Joe, I've been talking about this this week across Bloomberg surveillance. Joe, you can hear it and see it's uh, five days a week. I'm yeah, I'm a fan. Well, I didn't know if you're where we were run that early. You're only sliding in at ten a yet there a couple of couple of mornings. I've been there for that yet.

Oh that's good. But but Joe, the big thing here not spoken is the decline in the bond market the financial media. And I'm as guilty of this as anyone is. Equity driven. There's all sorts of reasons for that. We don't need to go We're trying. That was that was the invention. But it's stock market, stock market, stock market,

stock market. And the unspoken are the losses taken in the fixed income market worldwide, certainly within the United States is measured by the Bloomberg set of Bloomberg Total return indices. And I'm sorry. The bond market, tobaccle is the great unspoken in DeVos. You have a gut checker. You allowed to tell me that on where the heck this market is. You talk to the smartest people in the business every day. They sat me down. It was like it was like

it wasn't the First Born identity movie. It was sort of like Number three movie where they took the chip out of my hip and they said, they said, listen, you can't give an opinion. And as John Farrell will tell you, I give my opinion like five times an hour. Well that's why we love you though. And I just you know, my god, somebody's gonna start calling the bottom here. I've Mr Gollen this morning on your program. It's not

a pretty bullish to me. At some point this is gonna end and it's gonna feel right, maybe a little better. John Gobb who's been a bullock credit Suite and reaffirmed that this morning, made very clear there are ways to work out of this. Where the Fed blinks to fed adjust, let me go to the bond space. Michael Collins at p JIM and then over to the wonderful Tony Roth at Wilmington's Trust, both talking about the asymmetries of the price decline in bonds. They could get worse, bonds could

go down in price, higher in yield. But both of them, in their own way, we're saying the potential payoff from being optimistic here is far greater than the potential losses. Tony Roth suggesting growth, big tech, microsoftie like and Mr Collins at p JIM suggesting they're really studying grabbed the coupon at whatever credit in bonds. It may go down, you may lose money, but the upside, to use his language, is double digit bond potential. Now that's not me talking,

them talking, But Joe, you will twist us around. I'll do my best. Actually, Tom Keane, you're walking us into the weekend here on Bloomberg sound On. Just have to know is there an official adult beverage for Davos. That's a loaded question. It's sort of a movable force as it's it's basically I go, well, what what are you pouring? Or you know, I'll have what you're having. Fine, that works. It will not be a Moscow mule to you this year, No Moscow mules. Will you watch the Red Sox from overseas?

This is a problematic issue. John Farrow has me stealed to watch a clan which I wouldn't know if they hit me over the head, you'd be stunned. How hard it is to watch American sports in Europe. That something real chore. Tom Keene, get home safe. Thank you so much for your debut appearance on Bloomberg Sound On. Would you do this again? I'll talk to my people, they'll talk to your people. We figured out the great Tom Keane.

Everybody finally on the big broad cast. Almost a year it took to get Tom Keene, of course, the co host of Bloomberg Surveillance. As you heard Tom mentioned, it's weekday mornings. God, they do start early six a m. Wall Street time. If you get up on a Tuesday, you might even see me talking to Tom. He's a kidder. Travel safe, sir. We're actually we've got a massive contingency going to Davos, and you can expect special coverage on surveillance right here on Bloomberg Radio. As we move into

next week, We're gonna have special coverage as well. It's gonna be a really important week next week President Biden's trip of course to Asia. Will be following the President as he makes his way from South Korea to Japan. And we've got this massive primary day. Well I shouldn't say massive compared to last week. There were five states, of course, but massive and significance because of one state.

If you heard our conversation with Emma and Jack, Georgia votes the Trump brand on the line, and we'll have a lot of stuff to talk about coming into going out of that. I'm Mary the a P by the way, Associated Press calling during this broadcast while I was just talking to Tom that the Os McCormick race the Pennsylvania Republican primary likely go into a recount. But of course if you listen to this broadcast you knew that already. Have a great weekend, and thanks to everybody for jumping in.

Tom Keen, em mckinry, Jack Fitzpatrick and Anna Ashton on the Fastest Hour in Politics. Will update the markets next after another roller coaster, and I'll meet you back here on Monday on sound On. I'm Joe Matthew and Washington. This is Bloomberg