Among many lawmakers to update the legal parameters to update their operations. Mathis and tillerson told the panel three months ago 2000 law gave the authority ample authority to fight terrorist groups. Periodual enrollment wednesday comes with new measures by the Trump Administration to scale back house law. The administration is slashing advertising for counselors. And lowering consumer costs expecting to push premiums higher. France president Emmanuel Macron has signed a counterterrorism law that places the state of emergency first imposed in november 2015. The bill, which takes effect migrants Law EnforcementAdditional Authority to conduct searches and close religious facilities. It has been extended six times. 24 hours per day powered by 2700 analysts in more than 120 countries. Live from bloombergs headquarters in new york, im julia chatterley. From the30 minutes close of trading here in the United States with the s p 500 index retreating. Corporate tax could occur over the space of several years. Former Trump Campaign manager Paul Manafort and rick gates under arrest after both pleading to not guilty to several counts of Money Laundering and conspiracy. Forcing the white house to play. Efense a different headline out of washington weighing on u. S. Stocks today. Republican lawmakers expects a gradual fiveyear phase in Corporate Tax rates. Proposed tax bill finds no favor with homebuilders while other trade groups lead in opposing the tax overhaul bill. Jerry howard explains. President trumps former Campaign ManagerPaul Manafort partnerbusiness appeared completing not guilty to. Brought by special counsel robert mueller. George papadopoulos, the for policy advisor to the Trump Campaign pleaded guilty weeks ago and has been cooperating with the probes. As go to Kevin Cirilli with outside the courthouse for the very latest. A backdrop as we look into and consider Paul Manaforts lawyers saying this has nothing to do with the campaign whatsoever. Was a brief Statement Given by Paul Manafort to president candidate donald trump. President trump tweeting out earlier today that there was no collusion. Says theyabee sanders believe there was no evidence of collusion found in the indictment. But this 31 page indictment suggests the investigation continued well into President Trumps first few months in to office. The white house also trying to distance themselves from that. There is no question mr. Men have aand mr. Gates did side with the administration. I spoke with one former white thought it was inside the west wing at least several times this year alone. The secretary expects the investigation to wrap up shortly. I put the question draghi to senator collins. Within the wall Street Community from people like rick gates. Gates from his business. The investigation on capitol hill is going on. Forsent of silicon the last president election cycle. With more insights, against men afford debt against men afford, we are joined by a partner. He is also a Deputy Assistant to attorney general, where he managed the government cases involving regulatory, commercial, constitutional and National Security matters. How important is it in your mind at the 31 pages in this actually mentioned . A think it is significant. Theres no question that mueller is raised on debtor. Can look into possible collusion of the Trump Campaign and the russian. Is nothing in this indictment that links the russians. Significance is we have it gives the special counsel leverage over these witnesses. Men afford engage these defendants who are under immense pressure to cut a deal, tell the special counsel what they know in exchange for leniency or a reduced sentence. . Ould that apply in this case the president can pardon people anytime at any point. That said there are significant political constraints. In this case of the president were to pardon the individuals today before any of the evidence i think there would be a political price to pay. I would prevent the state attorney general from this conduct. You mentioned from the indictment of minnesota, it doesnt have any thing to do with any collusion and i would establish some leverage. George papadopoulos does speak more issue more closely to the issues. A possible collusion with russia during the campaign. When you look at that indictment and the fact that he has already pled guilty, what do you see their . Thats a very intriguing document. Document does at some level provide a connection between people who are helping with the campaign and the russians, which the men afford indictment does not do. It also shows that this individual has reached an agreement with mueller. He may have entered this guilty plea in exchange for giving molar more information. So exactly what that information does, only time will tell. Is it safe to assume mueller was willing to cut a deal with him . Does it imply something substantial that it is something substantial he has . I wouldnt imply it is something substantial he has. I certainly think it raises that possibility but it would be premature to say that this guy holds all the keys to the secret. Does appear that he was an unpaid adviser. The Trump Campaign wasnt as formally organized a structure. I think its going to take a lot more evidence to provide a link. Collusion or the money trail . These guys are being hauled in as leverage for further information here. Does the president have to be concerned about the fact that this probe is following the money . Think the white house needs to be concerned any time. He creates hydraulic force to give these people other the government. It could hurt the white house in other ways. It is interesting that mueller was not able to cut a deal in men afford. We dont know whether that means men afford one on hold the line and cooperate. Great point. What would you say to members of the administration . The top priority is to be scrupulously honest and forthcoming. I would say that. He was in charge of collusion. He was in charge of giving false statement and federal officials. Incumbent toly make sure you are truthful. Thats the best approach on the white house. The longer it is drawn on, the longer you get into issues of false statements or perjury. You need to get this thing wrapped up so the nation as a whole can move on. Former Deputy Assistant of attorney general and partner at gibson. Thank you. Games drama and parlor could be coming to an end. For u. S. Central bankers, what to expect for the new leadership from new york. This is bloomberg. Harlan games over the federal reserve, the white house has confirmed the next fed chair will be announced thursday, wrapping up a busy week for u. S. Essential bankers. The jumpy continues toward with bloomberg reporting earlier that he is a favorite for the post. With the prospect of another rate hike and new leadership, what can investors expect from the central bank . We are joined by seth carpenter, chief u. S. Economist. You know them well. J is a great governor on the board right now. It comes back to the point that no matter who was appointed they have no choice but to continue a janet yellen has become. It seems like anybody who is appointed fed chair is going to take the job seriously. J powell is going to become chair and they are looking at the economy. They are looking at how the economy is done. They have choice and judgment to make. What about the event of some sort of extraordinary crisis. The financial crisis in 2008. Ben bernanke, whose life work was studying the great depression. Janet yellen spent much of her time and career looking at the abor market, which was student to the post priced economy. How well is he equipped to deal with that . J is a lawyer by trade and spending a lot of time in the private sector. He also spent time working in the treasury department. When he showed up at the fed he spent a lot of time consciously working with the staff, working with colleagues to become very on monetarye policy. I feel like he has become extraordinary wells extraordinarily well suited. Talking about tax reform in the headlines we have today, a potentially seeing tax cuts here from the gop over a fiveyear period. It makes it cheaper in the shortterm to agree to, what do you make of that . I think that is right. Push off the time when witnesses have to pay less in taxes. The economy is at or very close to full employment. I think it is a dubious claim to suggest the economy needs this massive fiscal stimulus at this point. The administration has been billing this as a major stimulus something that is going to lead a 3 growth. You are skeptical of reform and tax reform. Tax reform has very low probability of happening. Cutting taxes in one place and raising taxes somewhere else in or to make it. We dont see it happening given the political environment, and even getting a large tax cut on the order of 1. 5 trillion. Seems like its going to require low accounting for the incentive. They spent a lot of political capital, a lot of time and resources. If they ares if they are unsuccessful in the end, what of a putting off the . I think what the republicans would point to rest their legislative agenda is tax reform right now and tax cuts. It also Infrastructure Spending that was talked about by the administration. Because of the way congress has been so divided and had to take one issue at a time, we are seeing the serial approach. Is a bigou see Sticking Point on tax reform . Is at the state and local deductions . Where are they going to lose the votes . There you see some members of the house who are republicans. Republicans and states have very high income. Their constituents are going to get hurt. When you think of tax reform they know it and will resisted. Ery fiercely great to chat with you. Chief u. S. Economist at ubs. Up next, mattel is on a roll a coaster. The toymaker up north than the most in a year. Heading for a breakup or a takeover . We will discuss. This is bloomberg. A look at the biggest business stories and news right now. Centurylink to buy level 3 communications to the federal Communications Commission approved a 34 billion cash and stock deal, which would create a single competitor to at t in the Business Internet market. Goldman sachs chief executive officer Lloyd Blankfein says they are still thinking of the u. K. Off this. Tweeting todays tweet follows his post, great meeting in frankfurt. Is tapping the bond market. The late king of rock n rolls home graceland was to borrow 88 million in the market wednesday. The majority owner of Elvis Presleys enterprises plans to transform this land from a place to visits to a vacation destination. Thats the Bloomberg Business flash. Our stock of the hour is toymaker mattel. Shares up double jewel up double digits. Emma chandra is here. What is driving the turnaround here . This was an awful corridor. The come basis pens its dividends. Share price plunging, the chart we will show you there. Now it is back up today. Rick deskbeen new there has been talk there has been talk that mattel would take over investor should start looking at mattel from a sale of the company perspective. He went on to say mattel assets could be worth much more in a sale or a breakup. That say mattel isnt right for buying. But they are a possible target that sent the stairs sent the shares storing sent the shares soaring today. They have a few brands that are less popular than they used to be. Last week we were discussing barbie and how she needs to be rehabilitated. They are producing too many products. Thats another thing that is analyst mentioned today and others have mentioned in the past. They have too many toys and most of them are underperforming. We saw that in the results. We saw barbie, hot wheels, fisherprice, and American Girl drop in terms of revenue. The other day drop aside, this has been terrible in recent years, this was a stock near 15 per share. Now under 16. Drop in the bucket that shows how the sales have declined. That. Uarters before they fell last quarter. What the ceo is trying to do is turn the company around. She only said 2017 would be the third turnaround year. They also lost disney princesses and toys r us. I cant believe you talked about barbie without me. Thank you so much. The market closes next. A down day for stocks. U. S. Stocks retreating from record smallcap stocks, bearing will bet that tax cuts phased in over a period of five years. Im julia chatterley. Im scarlet fu. And im joe weisenthal. Welcome you to our closing bell coverage. Every weekday. Market minutes. Modest declines for big cap names. At the nasdaq, the index has barely changed. You can see one third of 1 for the dow and the s p. The russell 2000 worth mentioning. Since august, off by 1. 1 . Are going to talk about sensitivity to the tax news. Some of it may be showing up in the small cap. Plenty of telco names to keep us occupied. One of the worst performers of the s p 500, off by 1. 5 as a group. This is after bloomberg had reported with other out its that softbank stocks emerged, tmobile has had a serious snag and that whole deal is now thrown into jeopardy after months of talk. They were just getting ready to unveil a deal shortly after they reported earnings. It looks like that is not happening as it stands. Shares following by 6 , the drugmaker filing a regulatory brands can see dunkin up by almost 8 . According to david tarantino, you cant rule up the possibility duncan could be a target for jb holdings as an acquisition, because it will be a strong fit with jbs philosophy. It has been era, krispy kreme, it is known for cutting costs substantially. That possibility lifting the stock by a percent. Lets take a look at the startingt bond markets with rate solidly across the board. Perhaps some of those headlines phasing in that a Corporate Tax cut was to happen, causing people to reduce their estimate. Also interesting comments from secretary mnuchin about lack of. Emand for an ultralong sounds like thats not going to happen. Below 2. 73 . We did see them fall before i cannot. Interesting chat interesting action in china. Now that that is over, a little bit of market volatility. Five years at the 3. 7 . Dont even need to go into all the risk events, data, Central Banks as well. Assume relative trade. A 25 basis point. Whether it is good to be a one and done case, it is going to be interesting here. A quick look as far as what is going on. A risky holding just above the zero line. Interesting to see the spanish equity market. A data point for the eurodollar. Taking a look at oil, continuing to gain. Futures taking up a little bit. We talk about a global synchronized they want to buy more money. Lets look at a onemonth chart here to get some perspective. We talk about this range. A lot of bullish story suddenly demand part of it. Suddenly oil having a nice little run of 7 . A quick mention. Third quarter earnings be the highest estimate out there. Shares are up right 2 . Sees organic revenue rising about 1 as well. . 57 beating the consensus estimates by three cents. The package food company a beat here and raised forecast. A busy week ahead with the bank trios with the treo the bank treo decisions. And trumps asia trip. How big of a deal is all this . Global macro strategist, we had a down day today. Are we reading too much into this . Potential deferrals impact the smallcap stock. This is probably the right one. Big picture, you look at this weekend there is so much going on. Does it matter . It matters you have a position. Potential if you have a large marginal newshe flows against you, you would have been more inclined to cover. Stocks, bonds and currency for month. Into tomorrows clothes. That could be a cause of a little shortterm pain and has no signal, no longterm signal. A little thorn in the side. The mentality wins out . In equities, i think so. That. Ard to say the mentality a strong and equity. Pretty substantial move over the last few weeks hitting nicely above 2. 4 . They are short. At least the speculative community is short. If we look at Interest Rates features in the United States from very shortterm three months eurodollar contracts all the way out to the ultra bond, if we were to assume a parallel shift in the yield curve for every one basis point the yield byve moves the loss moves 94 million. You ask and we provide. Lossis is the prompt and who trades Interest Rates to one basis point move. Positive means lower yields on the money. Negative means higher yields in the money. About 94int it is billion per basis point. And across the eurodollar curve, a couple of euros out we have a similar move. Thats talking serious money. Yard your out the couple of days. The National Association of home built ceos, opposing the tax overhaul efforts. This is bloomberg. Lets get to first word news this afternoon. The attorney for President Trumps former Campaign ManagerPaul Manafort address airport short time ago about his indictment. Well saw today that President Donald Trump was correct, there is no evidence that mr. Mann afford or the Trump Campaign colluded with the russian government. Matt forte and his business ciated a federal court in washington is changing hisfrom policy. He announced in a august memo that he intended to reverse calls on a 2016 policy that allows choose to serve openly as transgendered individuals. A u. S. District judge ruled today that transgender members of the military were likely to win their lawsuits from revert from reversing calls. Ira