As Trump settles in, U.S. Bank's Davis suggests optimism and readiness

With the country working through the raw feelings of the presidential transition, one of Minnesota's top executives said businesses should approach it the way athletes start a new game.

"The anticipation is high, the possibilities are endless and the nerves are also relatively accentuated by the fact that you're not sure what's going to happen," Richard Davis, the chief executive of U.S. Bancorp, said in a speech hosted by the Economic Club of Minnesota Wednesday.

"We're in a position with a new administration, five days old, with a new game afoot where the rules aren't exactly clear and when now is the time to respond quickly and pivot," he added.

He encouraged businesses and investors to be optimistic, in part because, stretching the sports metaphor like taffy, he said the teams that begin a game believing they're going to win usually do. As well, he said President Trump has made it clear that he's going to work on the economy by making things better for business.

"The idea we want to have more jobs here, more growth, get GDP growth from 1 percent-2 percent back up to 3 percent-4 percent, that's remarkable," Davis said, adding it doesn't matter Trump hasn't proved it can happen. "The belief that it's possible completely changes the early stage of the game."

He noted that the nation's economic fundamentals are strong, with wages starting to rise and unemployment back at pre-recession levels. And in a meeting with reporters after the speech, Davis said all the people who have met with Trump, at Trump Tower during the transition and in the White House this week, have spoken positively about their interaction with him.

For the moment, he says Trump's declaration that he will fix health care and lower taxes removes uncertainty in business, particularly for owners of small businesses. "Now, he hasn't proved it, so let's not be naive," Davis said. "But he has said it. Nobody even said it before. If the uncertainty comes to be true, and the cost is lower for health care and taxes are lower [for businesses], they're going to undoubtedly start investing."

Commercial real estate in the Twin Cities is solid, he said, and tends not to swing to extremes as some other regions do. "We're this nice steady economy that kind of manages itself thoughtfully and, through prudent economic budgeting, we don't find ourselves out sitting on a cliff," he said.

Davis also credited Minnesota's vibrant network of community activists and organizations, some of which have criticized him and U.S. Bank. He noted the protests, rallies and marches during the Trump transition have clarified what Americans are most worried about. "You can't speak to the future of any economy without understanding what the social issues are," Davis said.

Minnesota political, civic and business leaders have a strong record of performance to maintain, he also said.

"But let it not get in the way of letting change happen," Davis said. "The most thriving communities celebrate change and know it is part of the future."