Day. Is an exciting i wore my champion ofll the the world series. I figured you would get some slack on that. Historical in so many ways. Know taxk when did you reform could be achieved in america for the first time in 31 years, my answer is always the same. November 8 when President Trump, you were elected president of the united states. When you put together, the great ideas on tax reform from inside and outside congress, i have seen many of you with us. Remarkable leadership and courage from the men and women senate, and the especially my colleagues in the house. , mr. E house and the senate willingness to go across, save the table with us, and on the phone with us, to for yourne, but leadership, you would not be with us today. Thank you so much. And let me finish by speaking directly to the American People. Onre are three days to put your calendar. The first is new years day. On new years, our country will have a new tax code for a new youre a of american prosperity. New years day. In february, look to your paychecks. Hard working americans will see the results of the hard work of this president and this congress to make tax reform possible. It will show in your paychecks. , this16, that hated day april 15 will be the last time you ever filed your taxes under your horrible broken tax code because you will have a new one. So it is a great day for our country and economy in the great day for america. Thank you, mr. President. President trump thank you. You did a fantastic job. Another man with us all away in a matter when i called, he was there or he would get back within minutes, kevin mccarthy. To the president and much you listenesident, to voices no one else was listening to. Elicit the parent fighting for their children. You know what . People, you heard them. We would not be standing here today if it were not for you. It does not matter if you are overseas fighting for america. So many people back here got your phone call fighting for tax reform. Is a big day for america. It is americas comeback. [applause] come february, check your check. That will be the pay raise of a vote for donald trump. The beginning of a next century america. Thank you and god bless. President trump i want to conclude by saying this will be a big day when people look back at our country. It is a whole different attitude, whole different way. I really want to end by looking back in thanking all of those whole standing behind me worked for years. This was the culmination of a few months work, but they have been working on getting it done, mitchell or paul or kevin or oren, they had worked on this for years and years. I just want to turn around and thank them all. There are very special people. Thank you very much, everybody. That ends the celebratory event at the white house. The south lawn at the white house. The president spoke following the passage by the house and the senate of the tax cut bill. It just now remains for him to sign into law. We heard from Mitch Mcconnell and paul ryan and we heard from orrin hatch and mike pence. Did i miss anyone . Scott, don young, two senators from alaska. This is as united as the gop gets and it was all fixated on President Trump himself. An extraordinarily successful year and exquisite residential leadership coming from paul ryan, the house speaker. Remarkable leadership and entrepreneur, president donald trump, a man of his words and a man of action. Huge compliments to the president and all the from all of the speakers. Kevin, this was nothing short of a lovefest. Absolutely nothing short of it. Senator tim scott from South Carolina said it was he who first mentioned 2018 midterm elections, taking it had on that this will be the push back. He started for at t, developments. Many of them Union Members and 1 billion in domestic investments. And then chairman orrin hatch sheer will on the behalf of the President Trump assuring in. It was not without any lastminute political hijinks. Just having to revote on legislation earlier today. This is a United Republican Party and sometimes a a defiant Republican Party pushing back against critics. Question, a Republican Party trying to Gain Momentum as they head into the next calendar year. He hopes it is just the beginning of his ability to pass his legislative priorities. Joe it was pretty striking how few of the speakers address taxpayers and how many of them were basically praising President Trump p or what do you make of the fact that that was the focus . This is a congress that had its differences with donald trump and he has taken to task to take cam for to task for other issues. Republicans get to have a coup by a moment. It is a bigot, schmidt. Polls suggest the public is not really sold on it yet. They came to washington and promised a big tax overhaul. We can debate the merits going , but it is a good day for donald trump. They can be happy donald trump is not taking aim at them and calling them by the first name and praising the job they are doing for a case. United,rats will be finding whatever they can in the tax overhaul to pay cap in the coming months. We are all to me is behind the president in ultimately united here. Absolutely right. The lawmakers here at the white house right now, many of them in the house of representatives are headed back to capitol hill were at 5 00 today, they will be at an historic meeting discussing how to avert a partial Government Shutdown by this week. A lot of the senators including republicans standing behind the president , including Mitch Mcconnell, house have differences particularly over reduction payments, saying they dismantled obamacare with the tax package. Now they have costsharing production payments. That is not good news for senator Susan Collins who really made a deal with Mitch Mcconnell to get on board. In january, a onemonth extension. They the bottom line trying to make sense of what it means, it is a big win for republicans reforming the tax plan. Democrats are united in their opposition against this as you look ahead to the midterm elections. Absolutely. The president is really punctuating the fact that this was the biggest in history in terms of a tax cut reform bill. We are looking at the numbers from the treasury department. If you look at the tax bill of 2012 in 2010 and 1981 on inflation adjusted basis, up to 220 billion, the others are much bigger. 210 alien dollars for 2018. 210 billion. The bush tax cuts were temporary and only expire for the upper rate. That does not get a lot of discussion but it is significant. Economic recovery tax act of 1981 takes toppling. The Current Administration takes is back in several places. 1. 2 , potentially. Lets bring in dan. It may not be the biggest tax cut in history. You can say it was legislative. In 1986, republicans controlled only one, and that was the senate. Get the bill through, that as to pass or the account here jim baker, dan, they got it done but they had to accommodate the other party significantly or it would not have got would not have gotten to the senate. If you just do it on a partyline, you can do that. That is what it has done here. You know have to sell this tax legislation. In 1986 because it was done on a partisan basis, it has by and from the opposition and to some extent, the public, which is not the case here. Alk about where we are you can argue about the extent of the booths, but it is a fiscal expansion. Typically the fiscal what fiscal rains pulled back, 4. 1 in the u. S. It is not 6 and not 7 . Was in a recession. This is happening in a completely different point in the cycle. Attention,got the still in a moderately expansive page. You talk about china, and it is still an expansive policy. With coalition talks, the spd is looking for tax cuts potentially at the price of joining merkel. It is not just the u. S. It is interesting globally. We want to thank our reporters standing by on the south line of the white house, gordon, thank you for your perspective. And dan, our bloomberg columnist. The International Rescue committee and former foreign secretary. Why there may be no alternative to a heart exit. That is next. This is bloomberg. Breaking news. The first secretary of state now, i think there is a story going on here. Allegations against him of misconduct. He is a deputy prime minister. Actually have an official deputy prime minister, allegations us for government, and they hear a time gain in the brexit negotiations. Accused of having pornography on the future and behaving female. Riately toward a we will bring them to you. Julia just mentioned, theresa may residing over negotiations within the british cabinet divided in brexit. The differences do not appear to be narrowing. Was it British Foreign secretary before he became the head of the international committee. He joins today to discuss why these kinds of negotiations are historically difficult. Two things are going on. There are two negotiations. Other negotiations are within party. Erning people who want to crash out of the party tomorrow and others veryre very concerned, concerned about the economic and social political consequences of brexit. That is causing a trauma in the u. K. And across europe. Can you tie this into the brexit vote and into the push back in germany, the recent austrian vote that had very rightwing members go to their leadership . There is no question the agration in europeback has been real factor. He takes the failure to ensure people in jordan and lebanon were properly cared for meant domain of them were taken care of in 2016. The british case is different in the main issue of the referendum , comingcoming outsideof to britain i. E. Within the european union. Both of them point to a single issue in my mind. It is an issue in the u. S. As well. An you get middleclass economy that, is 80 services where all industries are dying and new ones are not creating jobs in that kind of fashion as before. Toa pragmatic approach brexit, as you look at the labour party, is a little hard to find right now . On the brexit issue, labor is uber pragmatic. Are not able to persuade waivers. The leader of the labour party is seen as a dogmatist. Is, on the brexit issue, he was not a fan historically but he is being pragmatic. The danger is that all options narrow postbrexit. Spending options, the political options, and social options. It is an argument we lost in the referendum campaign. Is an inevitability but i will say one thing. Economics will be very challenging. Were losing living off Investment Decisions made. In 2018, we will live with the lack of them made after june 2016. That will color the decisions hat that have to be made about whether to go through or withdraw from the deal. It seems like the degree of disagreement is widening. That the cap between different positions, and within the u. K. Those who want to leave, i am wondering if that is accurate. What do you think could be done . I do not think the divide to, i am wondering if that is accurate. Is deepening but the decision is clear and that is making the futures britain has. The biggest challenge of the moment is the government has interpreted brexit in the most mild way. They want to pull out of the customs unit. They reported with a tragedy, betweenhave to choose links in the u. K. And links in the republic of ireland . You are seeing the consequences of the brexit decision come through and that is in order to keep the party together. Back to the top story, the president selling a big win at the white house. There. Ator was the only member of the senate to run a fortune 500 company. Great to have you on the show with us. Do you think today will be as a turning point for Voter Sentiment around the president and also unity in the gdp . This is a capsule on a very successful year of the administration. Worked ontrump regulations and we pulled back rules and regulations this year. Is releasing Energy Potential and we now have an historic tax tax bill which will make americans competitive again in business around the world. The tax bill is not very popular. What is your explanation . Even before the bill is finalized, he told people many points of disinformation. We have called that out. The tell tale is when americans go get the paycheck in february, they will see the impact of the bill. The best benefit to a person in america will be the person who gets a new job. They will begin to see the reality. The tell tale is when americans go get thewe will continue to th about what we just did. One of the biggest concerns american site in the polls is perhaps tax cuts benefit the wealthy companies. The president passes Economic Advisor is grappling as well. He is surprised that the tax plan is so unpopular at the moment. Something the administration will work on. He also said the white house was trying to strip the innovation in the tax code but was rebutted by congress, that those members a congress basically hit brick wall and would not let the white house through. What is your response to Congress Getting in the way of closing the tax loophole . Pointsbill like this has that will not satisfy everybody. I was on the president side on that one issue. That is also the energy and farming industry. Back to the first part, this can be corrected by a few simple facts. Fourian income family of is going to get a 60 tax cut in the bill. A 75 king mother will get tax cut making median income. The points will be proven as we get into the bill. Is a comprehensive bill that makes americas businesses competitive around the world. A lot of people woke up and realized america is back in business. I give the president and his administration the credit for that. He said he was thinking at t for their announcement, giving andit for the tax overhaul giving more than 200 thousand people a bonus. The skeptic might suggest in light of the tensions of getting the deal done, that it is an operative opportunistic move it what you make of it . That is a sinex field. It is a sign of confidence coming from the board. Will see many more examples of it. We have a 20 year high in the Business Community and Consumer Confidence at a 16 year high because they believe the president was listening to them in the election and is acting upon it. I believe the American People respond positively to that. Congratulations on success today. Thank you. We are looking at stocks and indexes that are we have modest declines, it has been unchanged all day. The republicans got their tax bill. They did. They first have to fund the government. Exactly. Trying to occupy them between now and friday at midnight. Here is when the democrats can put this is bloomberg. Cannot live without it. So if you cant live without it. Why arent you using this guy . It makes your wifi awesomely fast. No. Still nope. Now were talking it gets you wifi here, here, and here. It even lets you take a time out. No no yes yes, indeed. Amazing speed, coverage and control. All with an xfi gateway. Find your awesome, and change the way you wifi. [closing bell] u. S. Stocks closing lower, modestly lower, after the house and Senate Passed the tax bill. Scarlet im scarlet fu. Joe im joe weisenthal. If you are tuning in live, we want to welcome you to our coverage. Scarlet u. S. Stocks closing lower but we should make clear that they are still near record highs. This is perhaps the best joe example joe of buy on news. Its really modest. We did a little bit of it yesterday, but it feels like directionless late your holiday trading. 5 exactly scarlet exactly. Trading volume, lower than average. A lot of action in the bond market that we will get to shortly, but we want to highlight individual names here. The highestg to levels since october. Whats interesting is that it is praising congress and the president for its tax cut will saying that 200,000 workers will get a bonus to celebrate. The backdrop, here, of course, is that at t is trying to convince the department of justice to let it go ahead with its time warner acquisition. Perhaps the skeptics in the interpretation of this is that it is opportunistic. Joe thats a very cynical interpretation. Scarlet well, thats one way of looking at a record high for fedex shares, citing solid demand trends and a rebound from the june cyber attack edits tnt express unit. It is now on track for a record season of holiday deliveries as well. Blackberry at the highest levels of 20 15 with fullyear sales coming in at the highend of its forecast. Chipotle, take a look at that, down by 5 on, guess what . Another possible illness outbreak in los angeles. The burrito chain cant get away from this. Joe all right, lets take a look at the Government Bond you market. Look at that, shortterm rates with 10 year yields up to 2. 50. Yesterday we were talking about the biggest upward moves in about 12 weeks, continuing today. Putting this and perspective, if we look at a onemonth chart of the u. S. 10 year, you can really see that we were initially in tos range of 2. 3, 2. 39, back 2. 3, and then in those last few days a pretty solid move higher. If we go to germany, you might think is this about the tax bill . Maybe, but the story is international. Looking at german longterm rates, its the same story shooting higher in the last couple of days. The implication being that it is more the Global Optimism overgrowth, things looking pretty good. We are really seeing that it is not dramatic in the grand scheme of things. But by recent standards a meaningful selloff at the long end. Global bonds selloff means that for the most part the dollar is weaker as well but if you look at it versus the yen, starting there, its at a oneweek high. It has been steadily moving up over the last few days. At dollaryen is currently 100 1341. Overall it lost ground versus most of the g10 currencies, looking at the euro or the pound, certainly the bloomberg dollar index is down. The biggest loser among the major currencies that i saw was the crone. Looking for a reason, joe, there was nothing specific. It certainly under pressure. Traders said there was no evident flow, but the euro is at its strongest since december of 2008 and we have seen some weakness of late over