"We've got 95 per cent occupancy and after all this stuff comes down we're going to have 110 per cent occupancy".
"Don't worry about a thing", Trump said.
Unprompted, Trump then offered this assessment: "Eddie, I have to tell you, you've become extremely famous".
Donald Trump has told Guam's Governor North Korea's threat to launch a missile strike near the remote Pacific island will boost tourism, while assuring the politician the U.S. stands behind the territory "1,000 per cent".
"And your tourism, I can say this, your tourism is going to go up like tenfold with the expenditure of no money, so I congratulate you", Trump can be heard saying over the phone. "All over the world they're talking about Guam and they're talking about you", the clip, about 45 seconds long, showed the President as saying.
Mr Calvo agrees: "It's paradise. And if anything happens to Guam, there's going to be big, big trouble in North Korea".
"Good Morning, my dear people of Guam", began the governor.
Dow Jones witnesses worst drop since May amid geopolitical tensions
Offsetting the declines was a 0.4 percent gain by the materials group, which includes gold producers. Trump said that further threats would be met with " fire and fury like the world has never seen ".
Guam's governor Eddie Calvo said there was no heightened threat but the government had issued a preparedness fact sheet, which covered what to do before, during and after a nuclear attack.
It suggests having an emergency plan and supply kit and a list of potential concrete structures near home, work and school to serve as fallout shelters.
A video shared by Guam's Office of Civil Defence captured a phone call between Guam's Governor Eddie Baza Calvo and the USA president. "Even though it might be an empty threat, we do need to think about it as a possibility", said a 23-year-old student in Guam. It just looks like a handsome place.
God Bless the people of Guam and God Bless the United States of America.
The president called the U.S. military "incredible, "rock solid" and "the best in the world by a factor of five".
After the tourism discussion, the two talked more about North Korea and how to deal with someone like Kim Jong Un and about partisan rancor and obstructionism in Washington, D.C.
Mr. Trump plans to meet Mr. Xi later this year in what the White House called "a very historic event".