Of course, two days before the floor vote, if we get there. Could the dont get stuck in committee today . Josh we will find out if the tax bill will move forward in the senate. There are two key senators that are uncommitted to the bill. Either one of whom could stall the bill if theyve dont vote in favor. The most important is senator ron johnson of wisconsin, who has a lot of concerns about the passthrough rate. Johnson himself was the owner of the passthrough business. He says if he is not satisfied with the changes that Mitch Mcconnell is going to make, he will not vote for the bill. The problem is, if mcconnell were to offer more generous pass benefits, it may have the effect of increasing the deficit, which may recognize the vote of tennessee senator bob corker, who is yet to be committed because he has concerns about the deficit. It is not clear whether Mitch Mcconnell will be empty square the circle by 2 30. David lets bring in our colleagues from washington. Pur, ron johnson is a no right now. The president wants to work something out. Are they going to work something out on that pass through sahil they are trying to work on it, especially when he is not seen as an expendable senator. There are plenty who are pushing for some kind of backstop, some kind of backup trigger that impose higherlly taxes or some kind of mechanism to recover a lost revenue of these Economic Growth projections. Corker said these assumptions are basically made up, his words. He wants to make sure that congress sticks to their word and does not love the deficit. It is a harder circle to square at the end of all of this, when all of these concerns are so fundamental to the bill. Your way out tweak of it, and it is hard to do that and not alienate those that want the biggest tax cuts. Shery it is hard to argue for these tax cuts when you dont have a clear eye of what the effect would be. We have a survey from the university of chicago asking kind of higher growth would be the result of tax reform. Most economists disagree with the fact that tax reform could lead to higher growth. A lot of people actually think the Economic Impact is ready uncertain. Strongly disagree that this will actually to growth in a decade. How much more does this complicate matters for these senators trying to push tax reform forward . It matters. It. Public has absorbed most analyses show the growth is significantly less than the growth of Republican Leaders are claiming, including President Trump. That is one concern. There is also a concern about the makeup of the bill. Areany of the benefits skewed to corporations and the wealthy. That creates a political problem that is worrisome if you are a swing state senator like ron johnson, or somebody who knows you will have to face voters 12 months from now and dont necessarily want to vote in favor of something that is so generous to the wealthy and will eventually raise taxes on middleclass people. It towards the multi may be a problem for senators, but what about the problem of not getting anything done . Ais president came in with Republican House and senate, said we would do repeal of the health care bill, did not get it done. We have not heard about infrastructure and. Do they have an option of failure here . Sahil that is driving their effort. Their ability to go home christmas not completely empty handed, able to tell their constituents they did something major in their first year. About a decade of controlling the house, white house, and the senate. It would be devastating to finish the year without a significant legislative achievement. The other peas of this is republican donors in particular are eager to get this done. They strongly support this bill on the merits, even if it is unpopular politically. This is something that a number of republican legislators have been open about. The money will dry up if we dont get this through. Shery are we headed for another Government Shutdown right now . Sahil it doesnt look good at the moment. We had this extraordinary spectacle of Democratic Leaders canceling a meeting with the president , after the president attacked them on twitter this morning, saying he does not expect a deal. His is an intriguing dynamic republicans control washington. It is their responsibility to keep the governmentfunded but they need democrats to vote to do it. If the Government Shutdown december 8, we will see where it goes. The important thing to know is the party that runs the show usually takes the blame for that sort of thing. David will they shut down the government after all, josh . Joshua im not sure trump understands how many cards democrats hold in this situation. Chuck schumer in nancy pelosi realize a Government Shutdown would probably worse for republicans and their tax reform plan than for democrats. Shery they need 60 votes for their spending bill. Thank you, josh green. Kapur, on capitol hill. David lets get a check on where the markets stand with julie hyman. Julie i will start outside the u. S. Looking at the pound versus the euro, this after the telegraph reported an agreement in principle between the u. K. Antie. U. Ahead of brexit, before the formal talks next week. You see the leg up sharply in the euro, the pound against the euro, excuse me. Directionally, the movement will continue. For the u. S. , records for the major averages. At least on a closing basis. The dow and the s p. Extended gains after we heard testimony from jay powell. Moreng about not doing regulation of the banks, for example. That gave a leg up to financials in particular. Look at the big banks and where they are trading. An extension of gains. Already higher. Pretty dramatic extension of gains following those comments. Jpmorgan, citigroup. Powell talking about the conditions pointing toward an increase in rates in december. Take a look at the bloomberg. We have been watching whats going on with rates. We have also seen in versus the s p 500. Divergence where stocks have been rising and rising, even as we have this spread between the 2 and 10 continue to come in. We have seen that before, antorically, but if there is version, it could be a different story. We continue to monitor the yield curve. Also watching whats happening in the oil market. Oil itself is down and we have been watching Oil Companies rise. That is after Royal Dutch Shell said it would pay its dividend in cash for the first time in ao years, assigned that sign that the oil industry in general is putting the price will find it. Exxon mobil, chevron, Conoco Phillips getting caught up in that. Final check on advertising companies. Bloomberg wpp said on you could have a difficult year for marketing spending, but investors should look beyond that youd longerterm outlook is strong. , it soundsnnounced like ford is extending its contract with the company. Sherry, david . Shery coming up, Jerome Powell under scrutiny from lawmakers during his confirmation hearings. We will bring you the most important takeaways. This is bloomberg. Shery this is Bloomberg Markets balance of power. Im shery ahn. David im david westin. Now lets get to the first word news with mark crumpton. It appears President Trump and Senate Republicans have picked up a key vote in their attempt to pass tax form legislation. Lisa murkowski says she is likely to support the bill. The gop is trying to hold onto all 50 votes in the senate with the democratic minority in the chamber likely in opposition to the measure. Mitch mcconnell says the republican tax bill is good for Small Business owners. During a press conference with Small Business representatives, he said he hopes the legislation clears the senate this week. We are excited about this opportunity, its been 30 years since the tax code was dont want in such a comprehensive way. Code and inform that make america more competitive. We dont want to leave Small Businesses behind. Mark Small Business administrator Linda Mcmahon says Small Business owners tell her that taxes are choking their businesses. Challengers to the Trump Administration travel glad are urging the Supreme Court to reject the administrations plea to be allowed to fully enforce the ban. Federal courts have prevented the administration from banning people from chad, iran, libya, somalia, syria, and yemen who can claim a bona fide relationship with someone inside the United States. Opponents to the band filed papers today. Africa, wrench president Emmanuel Macron tied at Stronger Economic development, culture, and education across the nation. He addressed students in burkina faso for nearly two hours today and met with the countrys president at length. President macron also called for a crackdown on Human Smuggling Networks between africa and europe. In ireland, the Prime Minister has averted the threat of a new election. His deputy Prime Minister has resigned. She faced noconfidence vote in parliament over her handling of a whistleblower controversy that could have brought down her government and forced an election next month. Global news 24 hours a day powered by more than 2700 journalists and analysts in over 120 countries. Im mark crumpton. This is bloomberg. Shery Jerome Powell in the spotlight today for his confirmation hearing. Are no bigre surprises, although he did hint about next month rate decision. For raisinghe case Interest Rates at the next meeting is coming together. Insightets get more from michael mckee, our International Economics and policy correspondent, and christopher condon, joining us from washington. Mike, we got more clarity on normalization of policy. More rate hikes on the cards. Call it a confirmation hearing for a reason, he confirmed what the markets were expect in. A rate hike in december, as he put it. With the growth figures he offered, two point 5 this year, the same next year, and his forecast that inflation would come back to the target eventually, you could read into that that he is on board with the general feeling that the fed will do several rate increases in 2018. David sound like there were not too many surprises coming out of this. What about the Balance Sheet . He gave some numbers about where he thought they would fall. Have we heard those numbers before . Chris we have. He has been on record talking about those numbers before. He was careful not to get into it in any more detail in terms of what the numbers reveal about the ongoing policy that the fed will take into the coming years about how it manages shortterm rates, they didnt press him on that. He left it as a very vague area that they will target, ultimately, for the size of the Balance Sheet. Powell seemed to agree with the janet yellen when it came to monetary policy, right now and next year. What happens to inflation . Are his views, that they are transitory . He did not reveal much. He kind of looked at both sides of the letter. He looked at the transitory argument that janet yellen has hit hard, the idea that Things Holding down inflation in 2017 will pass, and inflation will rise up. He did not disagree with that but also left open the idea that some other structural persistent forces might also be in play. Ultimately, he said they will have to wait to see what the data tells them. He is not really taking a side in that debate quite yet. David he did talk about regulation. He says there are no banks too big to fail, should have better resolution of authority. He also said Community Banks we should let go, and we can reduce it. He said most of that before. The idea of giving Community Bank some regulatory relief is popular. It is sort of widespread among regulators, including Jerome Powell. Perhaps one of the more influential aspects of this is going to be a decision he will make, the fed will make along with other regulators, on whether or not to change the schedule for stress testing the banks. That got a lot of questioning, particularly from Sherrod Brown of ohio. A proposal to doubt that back a little bit, maybe make it every other year, give thanks more information about what will be in the tests, and exempt Community Banks from that. Suggested the Community Bank part of that may happen but did not want to commit on the rest of it, saying stress tests are still important to their regime. Shery he was pressed about what tax cuts would do to the economy and how the fed would respond. Ake he answered that quite bit and tried hard not to take a position. The only time he addressed it specifically was when he was added 2. 2ou trillion to the deficit, what would that do to the economy . 2. 2 trillion is about the static estimate or these tax cuts. He said it would be bad because it would add to the debt and raise Interest Rates, and that would crowd out private investment. So without taking a stand on this particular bill, he suggested maybe not the best idea. Shery michael mckee, thank you. Our International Economics and policy correspondent. Update you on that story we are keeping our eyes on. Reporting the u. K. And eu reached an agreement on the brexit divorce will. The british pound shooting up, up. 3 . Before the news, it was losing ground, about a quarter percent. We are hearing from the telegraph the terms were agreed at a meeting in brussels last week and now they have a brexit divorce bill in the works ahead of the meeting next week. Ahead, Valerie Jarrett went from inside the beltway to silicon valley. The former adviser to president obama now sits on the board of lyft, and says its culture of inclusion set them apart. This is bloomberg. Shery this is Bloomberg Markets balance of power. Im shery ahn. David im david westin. Her position as Senior Advisor to president obama, Valerie Jarrett has taken on several new roles, at the obama foundation, but most therestingly is her role as First Independent director and second woman on the board of ridesharingi service. She joined me this morning to talk about what led her to lyft. Valerie what attracted me was their mission, to improve the quality of lives of people they serve through providing the best. Ransportation possible i chair the board of the Chicago Transit Authority for eight years, so i know about how transportation fits into the fabric of our urban environment and can improve it. There are core values, the way they run their business will make peoples lives better. The people starting at the top, leadership, set a tone of a culture that is inclusive and reflect my values. David maybe the answer to my question is the culture but uber has a head start on you, they are big and successful. What is your comparative advantage . Valerie a lot of it is the way our customers, making sure safety is first, but also taking care of our drivers. In the first month of the year, i rode lyft all the time and asked why even they said we are treated well, we are paid well, we can set our own hours. That spoke volumes for the company. It took them for years to reach 100 million customers. That is a pretty big number. Now, in the last three months, that is what weve done. They are growing exponentially. They went from the beginning of this year serving 54 of the american people, now 90 have access. Record,ook at the track the values, the leaders of the company, the way they deliver their service, im very pleased. Been the brand has associated with women, that they have had a significant role within lyft. 40 of your drivers are female . Valerie i dont know if it is that high, but it is growing. I do an experiment every day. Row, do i have women, and i asked them, do you feel safe . The company has gone to Great Lengths to make sure the customers and the drivers are safe. When i worked in the white i saw i visited lyft, their senior management, their diversity, the fact that they had women in key roles with major responsibilities. I think they cut against the grain of the tech reputation that is not as inclusive as it should be. They do it because they think they can provide Better Service that way. David you had a lot to do with the role of women in the workplace at the white house. A lot has happened in recent months. Most of us could not anticipate. It is just horrific, the stories coming out of not just as this one on capitol hill now of men really behaving extremely badly, assaulting in the workplace. What did you make of that, did you expect this . Valerie first of all, i dont think that behavior is recent. I think what we see now is a spotlight. The best antiseptic is transparency. Thanks to extort an early brave women and men coming forward, we are beginning to see what has been going on. That creates an opportunity for change. My recommendation is in every boardroom across the country, members are saying to senior here tohat are we doing create a culture not just in a handbook on a shelf, but a culture that does not tolerate any form of <