DID WITH THE PEOPLE.
BECAUSE THEN, YOU KNOW --
NEIL: THAT'S FINE.
I DON'T WANT TO JUMP ON YOU
THERE BUT WE ARE GETTING
TENTATIVE REPORTS OF THE U.S.
AND CHINA HAVE, IN FACT, REACHED
A PARTIAL AGREEMENT THAT WOULD
BROKER A TRUCE TO THE TRADE WAR,
A BROADER DEAL THAT COULD BE
FOLLOWED UP BY PRESIDENT DONALD
TRUMP AND XI JINPING OF CHINA,
AND SIGNED LATER THIS YEAR.
WE DON'T KNOW ABOUT A LOT OF THE
DETAILS.
BUT RIGHT NOW, THE MARKET IS
MOVING FAST ON THIS.
WE WERE UP ABOUT 350 POINTS, NOW
WE ARE UP ABOUT CLOSE TO 400.
WE DON'T KNOW THE DETAILS BUT AS
YOU WERE REMINDING ME, THE
MARKET WANTS SOMETHING RESOLVED
ONE WAY OR THE OTHER, BECAUSE
EVEN A LOUSY DEAL IS BR THA
EVEN A LOUSY DEAL IS BETTHA
EVEN A LOUSY DEAL IS BETTEA
EVEN A LOUSY DEAL IS BETTER THAN
NO DEAL, RIGHT?
>> I CAN'T WAIT TO SEE WHAT THE
LIST INCLUDES.
IT'S NOT GOING TO BE A FULL
COMPREHENSIVE RIGHT NOW, I DON'T
THINK, ALTHOUGH THIS IS HUGE
NEWS.
I JUST CAN'T WAIT TO SEE
DETAILS.
I WAS NOT EXPECTING IT.
NEIL: IT INCLUDES THAT ASPECT
WHERE IT'S GOING TO SAY THE
CHINESE ARE NO LONGER PARTNERS
WITH AMERICAN FIRMS AND WATCHING
THEM AND COPYING FROM THEM,
STEALING FROM THEM IN THE
FUTURE.
THAT COULD BE SIGNIFICANT.
>> IT'S SIGNIFICANT AND LOOK, IT
WOULD BE GREAT TO A FULL DEAL
BUT IF THIS IS LIKE OBAMACARE
REPEAL, REMEMBER THE SKINNY
REPEAL, REPEAL PART OF IT, IF
THIS IS A SKINNY DEAL WITH A
BIGGER DEAL DOWN THE ROAD, IF
THIS CALMS THINGS DOWN, WE DON'T
SEE IMPORT TAXES GOING UP, THIS
IS THE BIGGEST QUESTION MARK IN
THE ECONOMY, IF THIS CAN BE
CLEARED UP I THINK THE MARKETS
GO UP, UP AND AWAY.
NEIL: THE MARKET HAS BEEN
WAITING FOR IT FOR A LONG TIME
SO IT'S INTERESTING TO SEE ON
THE FACT THAT IT IS FACT,
WHETHER EVEN THE TREASURY
SECRETARY RAISES THAT LATER ON.
WE DON'T KNOW.
BUT IT WOULD PROVIDE SOME
CLOSURE FOR MARKETS THAT JUST
WANTED CERTAINTY, RIGHT?
>> OR A BIG SIGH OF RELIEF FOR
TODAY.
THINKING ABOUT THIS FOR SO LONG,
ALL RIGHT, LET'S GET THROUGH THE
WEEKEND, THEN WE'LL THINK, ON
MONDAY WE WILL START TO THINK
ABOUT THE NEXT STEP IN ALL THIS
BECAUSE THERE OBVIOUSLY WILL BE
A NEXT STEP.
THE WAY THEY PHRASE IT AND TALK
ABOUT IT I THINK WILL BE
INTERESTING BECAUSE TO THE POINT
EVERYBODY HAS BEEN TALKING
ABOUT, IF YOU WANT TO GET SAY,
FOR EXAMPLE, GETTING RID OF THE
FORCED JOINT VENTURES, HOW ARE
YOU DOING THAT.
AND HOW IS THAT BEING HANDLED
FROM THE CHINESE POINT OF VIEW
BECAUSE IT'S BEEN ALMOST
OBSESSIVE FROM CHINA'S POINT OF
VIEW TO COME THROUGH THIS
NEGOTIATION WITHOUT MAKING
CHANGES TO, AS THEY SEE IT,
THEIR NATIONAL SOVEREIGNTY OR WE
WOULD DESCRIBE IT THE LAWS OF
THEIR COUNTRY.
IF THEY CAN WRITE THIS IN AS A
NEW REGULATION AND IT BECOMES
THE BLUEPRINT FOR A WIDER DEAL
NEXT YEAR, THAT'S A REALLY GOOD
SIGN FROM THE AMERICAN SIDE THAT
WE CAN GET WHAT WE WANT WITHOUT
HAVING TO HAVE CHINA MAKE AN
ACTUAL CHANGE TO THEIR LAW.
THAT'S THE LAST THING THEY WANT
TO DO.
BUT THEY WILL BEND ON CERTAIN
ISSUES.
MAYBE WE ARE SEEING THAT TODAY.
NEIL: WE DON'T KNOW THE DETAILS
OF THIS.
MORE AND MORE SERVICES ARE NOW
REPORTING A TENTATIVE DEAL HAS
BEEN REACHED BETWEEN THE UNITED
STATES AND CHINA, A PARTIAL
TRADE DEAL THAT WE HAVE BEEN
TALKING ABOUT.
NOT NECESSARILY THE SWEEPING ONE
THAT CALLS FOR VERY MAJOR
STRUCTURAL REFORMS IN CHINA, HOW
THEY GO ABOUT THEIR BUSINESS,
WHAT THEY REQUIRE WHEN IT COMES
TO INTELLECTUAL PROPERTY AND ALL
THE OTHER STUFF THAT A LOT OF
U.S. BUSINESSES WILL COMPLAIN IS
A RIGGED SYSTEM THAT IF YOU WANT
TO DO BUSINESS THERE, YOU HAVE
TO SORT OF SURRENDER VIRTUALLY
YOUR COMPANY BOOKS TO THE XHIEN
NIEC
CHINESE TO MAKE SURE YOU CAN DO
BUSINESS THERE.
WE ARE WAITING FOR DEVELOPMENTS
INCLUDING THE TREASURY SECRETARY
OF THE UNITED STATES WHO WILL
HAVE A BRIEFING A LITTLE BIT,
THE TREASURY SECRETARY STEVE
MNUCHIN.
WE WERE TOLD IT MIGHT NOT HAVE
TO DO WITH THIS.
NOW MAYBE IT DOES HAVE TO DO
WITH THIS.
MAYBE IT HAS TO DO WITH
SANCTIONS ON TURKEY, GIVEN ITS
PRETTY AGGRESSIVE OFFENSIVE WITH
NORTHERN SYRIA.
SO MUCH WE DON'T KNOW.
THIS MUCH WE DO.
STOCKS HAVE PICKED UP ABOUT 60
POINTS ON THE DOW.
THE DOW NOW OVER -- IT HAD BEEN
UP OVER 500 A LITTLE BIT
EARLIER, 27 OF THE DOW 30 ISSUES
ARE UP.
TECHNOLOGY STOCKS ARE MOVING UP
SMARTLY.
APPLE IS UP ABOUT 2%.
AMAZON, MORE THAN A PERCENT.
NETFLIX, 2.5%.
GOOGLE, CLOSE TO 2%.
MICROSOFT AND FACEBOOK, UP 1%
AND 3% RESPECTIVELY.
THEY ARE AMONG THOSE THOUGHT TO
BE INSTANT BENEFICIARIES FROM
ANY SORT OF TRADE SETTLEMENT
HERE.
WE WILL STAY WITH THIS, KEEP
MONITORING THIS AND THE IMPACT
OF THIS.
ONE OF THE THINGS THAT COMES TO
MIND IS, ALL THE DETAILS, BUT AS
YOU REMIND ME, IT'S ALL IN
WHETHER THE TWO SIDES CAN THEN
GREASE THE SKIDS AND GET
SOMETHING MORE SUBSTANTIVE DOWN
THE ROAD.
THE MARKETS MIGHT NOT NEED THAT
RIGHT AWAY OR EVEN SIGNIFICANTLY
DOWN THE ROAD BECAUSE THEY CAN
TAKE THEIR SWEET TIME BECAUSE
THIS IS THE BIG ENCHILADA.
I'M SURE TO BE INCLUDED IN THIS,
MORE DETAILS ON MORE
AGRICULTURAL PURCHASES AND THE
REST.
>> ABSOLUTELY.
THE SOYBEANS WILL COME BACK IN.
YOU KNOW, THIS IS EXCITING.
I THINK BUSINESSES, U.S.
BUSINESSES HAVE REALLY WANTED
STABILITY ESPECIALLY FOR FUTURE
INVESTMENT.
THIS IS GOING TO BE JUST A
WELCOME BREATH OF FRESH AIR.
I DON'T WANT TO BE POOH-POOHING
ANYTHING.
A WORD OF CAUTION, BECAUSE WE
GOT THE DEAL IN MAY --
NEIL: YOU ARE ABSOLUTELY RIGHT.
>> AFTER 15 MONTHS OF THIS
BACK-AND-FORTH, WE NEED
SOMETHING HERE AND LET'S HOPE
THAT'S WORKED INTO THIS WHOLE
SITUATION.
NEIL: IF YOU TALK ECONOMIC
HISTORY, RONALD REAGAN, YOU
KNOW, TRUST BUT VERIFY.
WE WANT TO TRUST, THAT THE
CHINESE WILL STICK TO WHATEVER
THEY ARE AGREEING TO, BUT THAT
WE CAN PROVE IT.
IN OTHER WORDS, WE WILL HAVE A
METRIC, YOU SAID YOU WOULD BUY
MORE SOYBEANS, HOW MANY MORE.
YOU SAID YOU WOULD BUY MORE
AMERICAN WHEAT, BARLEY, THAT RT
SO O
SORT OF THING, ET CETERA.
>> WE OBVIOUSLY WANT DETAILS, WE
WANT THINGS WE ARE ABLE TO
VERIFY, BUT I CALL THIS THE BIG
WANTON, IF YOU WILL.
WE HAVE ALL BEEN WAITING FOR
SOMETHING TO HAPPEN ON THIS
AFTER TWO YEARS OF THIS GOING ON
AND ON.
EVEN IF IT'S A PARTIAL DEAL THAT
GETS US MOVING FORWARD, THAT'S A
BIG, BIG, BIG PLUS.
AGAIN, THIS IS PROBABLY THE
BIGGEST ASPECT OF UNCERTAINTY IN
THE ECONOMY.
WE GET SOME CERTAINTY ON THIS,
THE ECONOMY REALLY CHARGES
FORWARD.
NEIL: YOU MIGHT HAVE NOTED THE
PRESIDENT SOMETIMES TIPS HIS
HAND.
WE ALWAYS GET THAT FEELING
BEFORE A REPORT COMES OUT, HE
KNOWS WHAT THE NEXT DAY'S JOB
REPORT IS GOING TO BE.
HE DID INTIMATE YESTERDAY HE
SEES GOOD THINGS, HE FOLLOWED UP
ON THAT TODAY.
SO I THINK YOU SAID THIS BEFORE,
THERE'S A SENSE THAT, YOU KNOW,
MAYBE THE Is WERE CLOSE TO BEING
DOTTED, THE Ts CROSSED ALREADY
AND THEY WERE FORMALIZING IT.
TOO EARLY TO TELL.
WHAT DO YOU THINK?
>> I WOULD SAY THE WAY THE JOINT
VENTURE REQUIREMENT WAS
ELIMINATED, I THINK IT'S A GOOD
SIGN.
JUST READING THROUGH THE WAY
THEY DID IT IN THE PRESS
CONFERENCE, CHINA SAID THEY WERE
GOING TO GET RID OF THIS JOINT
VENTURE REQUIREMENT, BUT WE ARE
GOING TO HAVE OUR REGULATORY
AGENCY, CHINA IS THE SECURITIES
REGULATORY COMMISSION, TAKE BACK
WHAT HAD BEEN ESSENTIALLY A
REGULATION THAT WAS PUT IN
PLACE.
AGAIN, AS I WAS SAYING, THAT
ALLOWS THEM TO SAY THAT WE JUST
KIND OF -- IT SOUNDS LIKE A
SMALL THING BUT IT'S REALLY AT
THE HEART OF WHAT THEY HAVE BEEN
NEGOTIATING FOR A YEAR AND A
HALF, WE CAN MAKE A SMALL CHANGE
IN OUR REGULATIONS OR RULES
WITHOUT HAVING TO MAKE A BIG
CHANGE THAT AFFECTS OUR
SOVEREIGNTY OR CHANGES THE LAWS
OF OUR LAND AND GO THROUGH THE
POLITBURO AND THE REST OF IT.
THE WAY THEY ARE ANNOUNCING AND
STRUCTURING THIS, PROBABLY
HOPEFULLY FROM THE POINT OF VIEW
OF PEOPLE WHO WANT TO SEE A
DEAL, WOULD BE A BLUEPRINT TO
GET SOMETHING LARGER DOWN THE
LINE.
ASSUMING THAT THIS ISN'T
SOMETHING LARGE.
ASSUMING THIS IS JUST THE FIRST
STEP IN A PROCESS.
WHICH I THINK MOST PEOPLE THINK
IT IS.
NEIL: ALL RIGHT.
YOU ARE WATCHING THE BRIEFING
ROOM AT THE WHITE HOUSE RIGHT
NOW.
NOT TOO UTILIZED THESE DAYS.
IT WILL BE UTILIZED TODAY.
THE TREASURY SECRETARY EXPECTED
TO UPDATE REPORTERS ON WHAT WE
DON'T KNOW FOR SURE.
IT MIGHT BE REPORTS THAT THE
UNITED STATES AND CHINA HAVE
COME TO A PARTIAL TRADE
AGREEMENT, WHAT HAS OFTENTIMES
BEEN REPORTED TO BE A TRUCE, NOT
SO MUCH A TRADE DEAL, BUT JUST
THE HOSTILITIES ARE BEING SWEPT
ASIDE AS THE CHINESE MAKE GOOD
ON THE COMMITMENT TO BUY MORE
AGRICULTURAL ITEMS AND WE