ADVERTISERS TOO.
>> THE BEST THING TO HAPPEN TO
TWITTER WAS DONALD TRUMP.
MARIA: THE PRESIDENT SAID THIS,
HARLEY DAVIDSON STRUGGLED WITH
TARIFFS WITH THE E.U., CURRENTLY
PAYING 31%.
THEY HAD TO MOVE PRODUCTION
OVERSEAS TO TRY TO OFFSET SOME
OF THE TARIFFS THAT THEY'VE BEEN
HIT WITH, WHICH WILL RISE TO 66%
IN JUNE OF 2021.
HE'S TWEETING AT ME, BECAUSE WE
JUST DID THE STORY, SO UNFAIR TO
THE U.S.
WE WILL RECIPROCATE.
AND THE PRESIDENT HAS BEEN VERY
CLEAR IN TERMS OF USING TARIFF
AS LEVERAGE TO CHANGE THE
DYNAMIC, NOT JUST ON THE TRADE
SITUATION BUT CHANGE THE DYNAMIC
WITH CHINA AS WELL.
HAS THAT BEEN AN ISSUE IN THE
EARNINGS PERIOD SO FAR?
>> NO DOUBT.
THE BIGGEST RISK COMING INTO
2019 FOR TECH WAS CHINA.
AND NOW WHEN YOU LOOK AT WHAT'S
HAPPENING ON TRADE AND SOME OF
THE TEA LEAVES, ESPECIALLY FOR
FANG NAMES, ESPECIALLY FOR
APPLE, YOU LOOK AT SEMI NAMES,
THAT'S BEEN AN OVERHANG,
STARTING TO GET REMOVED FROM THE
NAMES.
THAT'S WHY YOU'RE STARTING TO
SEE STOCKS RERATED HIGHER.
WE NEED TO SEE DETAILS AS THE
TARIFFS AND TRADE DETAILS COME
OUT.
IT COMES DOWN TO I.P.
PROTECTION.
DAGEN: THE EUROPEAN TARIFFS ON
HARLEY DAVIDSON MOTORCYCLES WERE
IN RETALIATION TO U.S. ACTIONS
ON STEEL AND ALUMINUM IMPORTS.
THAT WAS RETALL YA
THAT WAS RETORL YA
THAT WAS RETORE YA
THAT WAS RETORE TALL TORI.
THAT WASN'T A FIRST MOVE.
THAT WAS A RESPONSE.
MAYBE WE CALL A TRUCE ON THE
TARIFFS, THAT WOULD HELP HARLEY
DAVIDSON HERE AND PREVENT THEM
FROM MOVING PRODUCTION OVERSEAS.
>> THEY ALREADY DID MOVE THINGS
OVERSEAS.
MARIA: ONE THING OUT OF THE
JAMIE DIMON INTERVIEW, HE SAID
THERE'S NO LAW THE ECONOMY CAN'T
KEEP GROWING AND DOING WELL FOR
THE NEXT SEVERAL YEARS, HE SEES
NO SIGNS OF RECESSION, THE ONE
THING THAT COULD CHANGE THINGS
IS THE TRADE SITUATION OR IF THE
DEAL WITH CHINA DOESN'T GO
THROUGH.
THE PRESIDENT HAS GOTTEN THE
CHINESE TO THE TABLE, HE'S
GOTTEN $11 BILLION OR SOMETHING
IN TERMS OF THE TREASURY COFFER.
I DON'T KNOW THAT HE NECESSARILY
WANTS TARIFFS IN PLACE ALL OVER
THE PLACE FOR AN UNLIMITED
AMOUNT OF TIME.
HE'S USING IT AS LEVERAGE AND
IT'S WORKING.
DAGEN: YOU ASKED HIM ABOUT THE
NEGOTIATIONS WITH EUROPE ON
AUTOMOBILE TARIFFS.
WE HAVE A 21% --
MARIA: THE CHICKEN TAX.
DAGEN: ON LIGHT TRUCKS.
IT'S BEEN IN PLACE SINCE THE
JOHNSON ADMINISTRATION.
IT'S CALLED THE CHICKEN TAX
BECAUSE WE GOT INTO A FIGHT OVER
POULTRY EXPORTS OUT OF THE
UNITED STATES INTO EUROPE.
IT'S BEEN IN PLACE -- HE LIKES
IT.
HE SAID ESSENTIALLY TO YOU THE
LAST TIME HE INTERVIEWED HIM, NO
ON ZERO TARIFF.
MARIA: HE DID SAY THAT.
I'M NOT EXPECTING THAT TO GO
AWAY.
THAT'S SIGNIFICANT MONEY.
HE SAID THAT HE'S GOING TO LOOK
AT EUROPE AFTER CHINA AND HE
SAYS THE EUROPEANS ARE WORSE TO
THE U.S. THAN THE CHINESE ARE.
WE DON'T KNOW IF THERE'S GOING
TO BE ANOTHER BIG FIGHT WITH
EUROPE AFTER HE GETS A DEAL DONE
WITH CHINA.
WE'LL SEE.
I THINK WALL STREET'S NERVOUS
ABOUT THAT.
DAGEN: THEY'RE NERVOUS ABOUT
GETTING THE USMCA RATIFIED AS
WELL.
YOU'RE STARTING TO SEE MORE AND
MORE STORIES ABOUT IT, MORE AND
MORE DISCUSSION ABOUT IT.
ULTIMATELY FALLS ON THE
SHOULDERS OF NANCY PELOSI AND
THE DEMOCRATS IN THE HOUSE TO
MOVE FIRST WITH THIS BUT THEY'VE
GOT TO GET A THAT --
MARIA: I'LL REPEAT WHAT DARRYL
ISSA SAID ON SUNDAY.
IT'S PERIL FOR THE DEMOCRATS IF
THEY DON'T RATIFY USMCA, A LOSS
OF AT LEAST 100,000 JOBS FROM
THE DEAL.
IT'S ON THEM, EITHER RATIFY THIS
AND GET MOVING -- THE PRESIDENT
SAID IF NOT USMCA, THEN IT'S
PRE-NAFTA.
DAGEN: YOU HAVE TO TAKE HIM ON
HIS WORD ON THAT.
>> WHEN YOU LOOK AT STOCKS, IF
YOU LOOK AT TRADE AND YOU LOOK
AT THE NEXT SORT OF STEPS HERE,
THAT'S THE ONE VARIABLE THAT I
THINK INVESTORS ARE TRYING TO
GET A GRASP OF.
I THINK YOU'LL SEE NEW HIGHS,
ESPECIALLY IN TECH, WITH SEMIS
AND APPLE AND SOME OTHER NAMES
WHERE THAT CONTINUES TO --
>> TARIFFS, THE WHOLE PROBLEM
WITH THIS IS IT IMPACTS MARGINS.
THAT'S WHAT INVESTORS WANT TO
KNOW, ARE MARGINS GOING TO
CONTRACT OR ARE THEY NOT.
WE'RE SEEING TOP LINE SALES COME
IN STRONGLY FOR A LOT OF
COMPANIES.
THAT WAS THE QUESTION MARK, YOU
NEED THE TOP LINE TO GET THE
MARGINS TO AT LEAST STAY AT THE
HIGH LEVELS THAT THEY'RE AT.
OPERATING EXPENSES ARE
INCREASING, ESPECIALLY AT THE
TECH COMPANIES.
WHAT DO YOU EXPECT TO SEE?
AMAZON SAID WE'RE GOING TO
INCREASE EXPENSES.
HOW IS THAT GOING TO IMPACT THE
TECH SPHERE.
>> RIGHT NOW IT'S A GOLDILOCKS
SCENARIO FOR TECH EARNINGS.
YOU'RE SEEING MORE AND MORE
INVESTMENTS, WHAT THE EFFECT IS
ON THE BOTTOM LINE, ESPECIALLY
SOCIAL MEDIA, THEY'RE CONTINUING
TO RAMP UP INVESTMENTS, YOU SEE
THAT ON FACEBOOK FRONT AND
CENTER.
THAT'S GOING TO BE THE FOCUS AS
WE GO THROUGH THE WHITE KNUCKLE
PERIOD WITH SOME OF THESE NAMES.
DAGEN: I WANT THE DEMOCRATIC
CANDIDATES MORE AND MORE AS THEY
CAMPAIGN TO GET ASKED ABOUT WHAT
THEY WOULD DO WITH ALL THESE
TARIFFS THAT'S ARE ON THE BOOKS.
MARIA: I'M ASKING ALL DEMOCRATS
THAT COME ON, ARE YOU GOING TO
HE VOTE FOR USMCA.
A NUMBER HAVE SAID NOT IN THE
CURRENT FORM.
I DON'T THINK IT'S BECAUSE
THERE'S ANYTHING WRONG WITH IT
BUT THEY DON'T WANT THE