35 Burst results for "J Powell"
AP News Radio
Fed Walks Tightrope Between Inflation, Bank Turmoil---but for How Long?
"But that has raised a key rate by a quarter point despite bank turmoil. I'm Lisa dwyer. The Federal Reserve extended its yearlong fight against high inflation by raising its key interest rate by a quarter point despite concerns that higher borrowing rates could worsen the turmoil that has gripped the banking system. That chair Jerome Powell sought to reassure Americans that it is safe to leave money in their banks. Our banking system is sound and resilient with strong capital and liquidity. The fed chair also underscored that the Central Bank remains focused on fighting high inflation, which could require additional rate hikes. The process of getting inflation back down to 2% has a long way to go and is likely to be bumpy. Yet he also signaled that the fed might not need to impose many more increases if more banks were to reduce their lending to
CoinDesk Podcast Network
Bitcoin Briefly Tops $28,000 for the First Time in 9 Months
"Wendy, can you start us off with some Bitcoin talk? Yes, we actually closed above $25,200 support and flipped it into resistance. And I'm excited. And the current crypto cap, including Bitcoin, is currently at about $1.13 trillion. So yay. And of course, open interest in Bitcoin futures hits yearly high of $12 billion, which makes sense because we have some positive price action. So the dollar value locked in the number of open Bitcoin future contracts is on the rise. Coin glass data shows a nominal value of open interest has reached a yearly high of 12 billion. And that's a 7% gain this month, which again makes sense. Positive price action. Increase in open interest means new money is flowing into the market, but doesn't reveal whether traders are positioning for gains or losses. For that, you can actually check there's a liquidation website you can check, forget what the name of it is offhand, but it'll show you who is getting wrecked. But anyway, for Bitcoin, new money seems to be getting in on gains considering the funding rate or the cost of holding bullish long, very short positions is flipped into green after spending most of the early parts of the Asia trading day in the red. And positive funding rates usually indicate a bullish trend as long as positions compensate short positions. I know that is a mouthful, but I'm excited about Bitcoin prices. Everybody else excited is Bitcoin going to a $1 million. What's going on? Will I see you smiling here? I just love the trade action here this morning. And Bitcoin might go to a $1 million one day. We'll talk about that later. There are some interesting notes for this morning, so Bitcoin is at its highest level in the last 9 months. The highest trading volume since FTX collapsed and the highest D.C. eth ratio since July of 2022.
Mike Gallagher Podcast
Trish Regan: Silicon Valley Bank 'Drank the Kool-Aid' by Biden Admin
"That said, in this particular case, you had a group of people that I suspect drank the Kool-Aid that the Biden administration was force feeding. They lived in their little lane with all their very woke Friends, and they heard from Janet Yellen head of our Treasury Department and they heard from Jerome Powell, head of the Federal Reserve, who used to work for Janet Yellen, and they heard from Joe Biden that inflation was just transitory. It was all going to be fine, and the fed was going to engineer this soft landing. And so they didn't have to worry about interest rates going up. I mean, I'm telling you, Mike, and I've been, I've actually hosted your show, occasionally. If anybody had listened then, or if they listened to my podcast, I mean, I have been pounding the table on this since August of 2020, saying you can't put this much money in the system. What is the Federal Reserve thinking? And what did Joe Biden do? He came in first thing he did was he issued a third stimulus check and then came through with 1.2 billion trillion forgiving dollars worth of infrastructure, which we know wasn't really infrastructure and went to actually probably a lot of those companies at SVD with their green energy ideas. It's unbelievable how many mistakes were made and it's really kind of a form of malpractice if you ask me, especially on the fed's front. But they poured all this money in, and somehow the people that were running the portfolio and trying to assess risk at this Silicon Valley bank never thought that you might get inflation never felt like they should hedge their treasury portfolio because they might not be worth as much when inflation kicked in. That's mind boggling. The government created this problem, but I'd also say, in fairness, the government did what it had to do in the 11th hour.
The Trish Regan Show
Can the Fed Manage This Economic Crisis?
"Some point, as I've been warning about for now what? Two years with all of you, I hope you've been listening clearly the folks over at Silicon Valley bank were not listening to this podcast. If they had, they would have known that inflation would be here, and that you would have higher rates. And that there would be consequences associated with that. While they weren't listening, they just drank the Kool-Aid all their friends there, like Powell and yelling and Biden, you know, this was a lot of people with group think that thought somehow the fed would be able to manage this. Come on, I'm looking wound inflation. I have predicted double digit inflation, which we did see on the producer price index, but at one point we were up at 9.6% on consumer prices. That is a lot. I mean, people are hurting because wages have not gone up the way the price on everything else has. Everything's gotten more expensive and as I've explained before, once a staff, once this stuff starts to take root, it's very, very hard to stop. The train is left the station, so to speak. So inflation is here, we got the number yesterday showing consumer prices up 6% from where they were last year. So we've got problems. The fed has to fix this, but when they try and fix it, look what unfolds. And so now they're frightened. Can they fix inflation while simultaneously avoiding a massive bank failure of epic proportions that could have a disastrous effect on the economy for years to come. This is why they did what they did on Sunday Night because had they not believe me. None of us would have been able to get any of our money out of the bank. It actually would have been really, really bad. But could it still get bad? I mean, these are the questions that were sort of debating right now. It feels as though the system has been at least temporarily nationalized.
AP News Radio
US inflation eases but stays high, putting Fed in tough spot
"Inflation eased a bit from January to February, but is still high. The government reports consumer prices went up 0.4% last month, slightly less than January's rise, but so called core prices were up from January. The Federal Reserve pays particular attention to those prices as an inflation gauge, and the report puts the fed in a tough spot. Prices are rising much faster than it wants, and chair Jerome Powell suggested last week the Central Bank might boost its benchmark interest rate a substantial half point next week, but some economists now predict the fed will suspend its yearlong streak of boosting rates and instead focus on boosting confidence in the financial system after
AP News Radio
US inflation eases but stays high, putting Fed in tough spot
"Inflation eased a bit from January to February, but is still high. The government reports consumer prices went up 0.4% last month, slightly less than January's rise, but so called core prices were up from January. The Federal Reserve pays particular attention to those prices as an inflation gauge, and the report puts the fed in a tough spot. Prices are rising much faster than it wants, and chair Jerome Powell suggested last week the Central Bank might boost its benchmark interest rate a substantial half point next week, but some economists now predict the fed will suspend its yearlong streak of boosting rates and instead focus on boosting confidence in the financial system after
The Dan Bongino Show
Peter Schiff: The Fed Cannot Fight Inflation
"Peter you've only been warning about this like forever And I think the worst part about this entire thing and these God awful decisions made at this bank is now that this bank is failed Silicon Valley bank They're going to be allowed to post this collateral the same bonds that are acting as financial losers due to the hike in interest rates that the fed imposed upon us because of the inflation they cause So it's like how wait how can Biden seriously claim this isn't a bailout If they were losing money they wouldn't have needed a bailout and there wouldn't have been a liquidity crisis So you can't have it both ways And where do they think the money is coming from The man in the moon I mean the money the government has to get the money from somewhere There's no such thing as a free lunch Apparently Biden never got that memo But I've been saying this from the beginning I said it on your show that the fed could not fight inflation because raising interest rates sign up to fight inflation I said would cause a financial crisis I mean these other fools that are in the mainstream media that are supposedly experts including the ones that are sitting on the Federal Reserve FOMC they were saying that the fed could raise interest rates and not even cause the recession They were talking about a soft landing Everything is fine I was saying not only will they cause a recession they will cause a financial crisis not just a recession a complete disaster and that is exactly what happened But Powell just last week told Congress oh yeah we could Jack rates up another 50 basis points next week And everything is fine The economy is super strong The economy is a disaster And the banking system is a House of Cards
CryptoGlobe
USDC Regains Its Peg After U.S. Treasury Department Says Depositers of SVB Will Be Made Whole
"11 p.m. Sunday March 12th, 2023. USD C regains its peg after US Treasury Department says depositors of SVB will be made whole. On Sunday March 12th, the crypto market had a great to reason to cheer after U.S. Secretary of the Treasury Janet L Yellen, Federal Reserve board chair Jerome H Powell, and FDIC chairman Martin J Greenberg released a hugely important joint statement. As you probably already know, on Friday March 10th, Silicon Valley bank, SVB was.
The Trish Regan Show
People May Rethink Their Ties to Smaller Banks
"I still think there is some danger as we go into this week that a lot of people are going to rethink anything they may have in a regional smaller bank that's not subject to the same kind of scrutiny as the big guys. So any small business or medium sized business that's banking with one of these regionals may say, wait a second. I don't want to go through this headache. Let me just pull my money out and put it into chase or Bank of America or Wells Fargo or one of the big guys. And I'll be more secure. We've kind of had this two tiered banking system, if you think about it, right? In a way, with the big guys being subject to all these liquidity restrictions, et cetera, all these stress tests ever since 2008, and then the regulation changing for the little ones in hopes that they had a chance to one day become one of the big ones, and yet now I think a lot of that is going to get rethought. Because of what we just saw and what we're about to see. Anyway, it's all kind of frustrating because you look at it and you say, the reason the reason this bank was in some of the trouble it was in was because the tech sector went wild. And why did the tech sector go wild and then have that bust? Because the Federal Reserve printed too much money. Joe Biden and the Democrats gave out too much money. There has been so much money in the system so much inflation that it created an environment that was ripe for these kinds of crises. I said this all along and you know, sometimes you just don't even know you can't anticipate what it's going to be. We've been thinking maybe a systemic crisis of some sort. Maybe they were making bad loans. In this case, they weren't even making bad loans. They were just treasuries. I mean, they were bad loans in the sense that they were treasuries that were trading at a lower level because they were only paying about one and a half percent interest rate and now on a two year you can get nearly 5%. So that was too bad for them and they didn't properly allocate for the risk period that they were entering. Nor did they probably even understand the inflationary period that we were going into. They're not listening to this podcast. And they were drinking the Kool-Aid with Janet Yellen and Joe Biden and Jerome Powell trying to say, oh, it's all just transitory. Don't worry, don't worry. Well, they didn't worry, and then they got caught in this really bad situation.
CoinDesk Podcast Network
Silicon Valley Bank Shut Down by State Regulators
"We just got news right before the show that the California department of financial protection and innovation shut down some common valley bank and then appointed the FDIC as a receiver. And now we have a proper bank failure in 2023. Ensured deposits will be fully accessible by Monday, they say. And then at TSC is going to try to make uninsured depositors as whole as possible. This is the 18th largest bank or was 18 largest bank in the U.S.. This is the largest bank failure since the Great Recession. Man, I love entropy. Zach, and he takes on this? Yeah, bank runs are crazy, all this is nuts. This is not so we're seeing this unfold in real time. You know, I think it's not just Peter Thiel, right? We saw pantera. We saw a bunch of other VC firms say, hey, portfolio companies, you might want to get your money out of Silicon Valley bank, go like real quick. Well, this was all unfolding Thursday night. So that may have been sort of the death knell, but it's certainly not what I think caused it. At its root, you know, you saw sort of Arthur Hayes tweeting. I think it was yesterday saying that, you know, Jay Powell, Jerome Powell, has broken the U.S. banking system. I guess arguably by curtailing sort of bond buying, right? So you have some of these macroeconomic ripples that are unfolding across. The banking sector is not just crypto in this instance. I think silver gate was rightly capturing headlines. We saw a little bit of grave dancing from the likes of Elizabeth Warren and other lawmakers who were long wary and skeptical of silver Gates involvement with crypto. Silicon Valley that's less of the story here. I think it's more tech startups rather than crypto startups. They certainly served a few crypto startups, but by and large, we're talking about one of the preeminent banks that we're serving an emerging class of web two startups in California and beyond. So yeah, pretty wild to see this really unfold against the backdrop of what had been some otherwise positive signs in the economy that were announced even earlier this morning.
AP News Radio
U.S. Employers Add a Solid 311,000 Jobs
"American employers kept hiring last month. They added 311,000 jobs in February after a stunning half million in January, the two months show hiring has surged this year after easing late last year. That's bad news from the Federal Reserve's perspective. PNC Financial Services groups Gus faucher says the fed remains under pressure to keep aggressively boosting interest rates to slow the economy and job growth since a strong jobs market typically leads to businesses raising pay and then prices fueling inflation. While President Biden's hailing the jobs report. It means our economic plan is working. Fed chair Jerome Powell told Congress this week, the Central Bank would likely ratchet up rate hikes this month if
AP News Radio
US adds a robust 311,000 jobs despite Fed's rate hikes
"The economy added a robust 311,000 jobs last month, a clear sign, the jobs market remains healthy, adding pressure on the Federal Reserve to keep aggressively boosting interest rates. After December's bombshell report of a half million jobs added, the market kept churning. The unemployment rate rose to 3.6% from a 5 decade low 3.4% as more Americans started looking for work without all finding it. The jobs gained is about three times higher than the fed would like to see as it fights stubbornly high inflation. It's the first of several reports in coming days chair Jerome Powell told Congress this week, the Central Bank will analyze before deciding on the next interest rate boost. We have not made any decision about the march meeting, though he did say the fed would boost the size of its rate hikes if the data keeps showing a robust economy and high inflation. Some economists predict a substantial half point increase in the fed's key rate, double last month's hike. Sagar Meghani, Washington.
AP News Radio
Is inflation still surging? Jobs report will provide clues
"The February jobs report comes out this morning and a strengthening economy and new hires may not be good news for everyone. Fed chair Jerome Powell has made it clear that the Federal Reserve would increase the size of its rate hikes if evidence continues to point to a robust economy, and persistently high inflation, and economists believe that would mean a substantial half point increase in its key short term interest rate at the fed's next meeting in two weeks rather than a quarter point hike as it did in its meeting in February, a month ago the government dropped a bombshell jobs report that showed employers adding a half million jobs in January that was twice the December gain. Today's jobs report will show whether the January numbers were a one time blip or some sign of a strengthening economy. John a water Washington
The Breakdown
Jerome Powell Brings the Dog and Pony Show to DC
"Today we are using the occasion of fed chair Jerome Powell, semi annual report to the Senate about the state of monetary policy to check in with where things are in the macro realm. It's been an interesting few months where there has been so much crypto specific chaos that has been easy to lose sight of the fact that we are all ultimately in a risk sector that is caught up in the larger macro machinations. Now, the last time Powell testified before Congress was in June of last year. Annualized inflation was at its peak above 9%, a 40 year high, and the fed was just three meetings into what would become the fastest tightening cycle on record. The fed discount rate was at 1.75 percent, and the previous week at the June FOMC meeting, Powell had delivered the first in a string of four gigantic 75 basis point raises. Each of those represented the largest rate hike increment seen since 1994. The tone in Congress at that time was incredulous. Democrats were concerned that accelerated rate hikes would tip the economy into a sharp recession with massive unemployment. Republicans for their part took the opportunity to excoriate the fed chair for moving too slowly when inflation had begun to get out of control in late 2021. Both sides of the aisle were openly doubtful that the fed had the tools to tame inflation. Since then, inflation has come down dramatically, clocking in at 6.4% for January, and recording 7 straight months of reductions at headline inflation. The fed has taken rates all the way up to 4.75%, and forecasts that they are not yet considering an end to this hiking cycle. Now when it comes to this particular conversation on the hill right out of the gate, it was a political endeavor. Not that you'd ever really expect that it wouldn't be. Still, the talking points around inflation have clearly become more crystallized on each side of the aisle in the last year since Powell spoke to the Senate. This really showed right from the opening statements. sharad Brown, a Democrat, introduced the hearing with a long kind of weird rambling speech about increased corporate pricing power being the true driver of current inflation. He said quote, the broadening of inflation beyond commodity prices is more profit margin expansion than wage cost pressure. Brown raised concerns about the potential for fed policy to crush the working population with increased unemployment without actually addressing the root cause of inflation.
CoinDesk Podcast Network
Bitcoin Hovers Around $22K As Fed's Powell Softens Tone
"Let's go to Washington. Our friend Jay pal was out here on his day two of congressional testimony. Softening his stance a little bit, and Bitcoin responding in kind. Let's hear what he had to say a bit earlier today. We have not made any decision about the march meeting. We're not going to do that until we see the additional data, larger point, though, is that we're not on a preset path, and that we will be guided by the incoming data and evolving outlook. So there it is, the orange coin, which is meant to subvert the influence of federal governments everywhere, is responding accordingly and is north of 22,000. Yeah, that's what the orange point does these days. It responds to Jay Powell's comments about the state of the economy. So I'm going to ask this a will get historical here. What do you think about Bitcoin in the macroeconomic context, especially in the wake of these comments from Jerome Powell up on Capitol Hill? Yeah, I mean, history kind of repeated itself, right? We always seen that Bitcoin has been moving in line with any pronouncement from the Federal Reserve, and you might think that that's a recent trend, but it really isn't. So since 2010 or so, we've seen the Federal Reserve has been moving into quantitative easing. It paused doing that after the Great Recession and sort of just moved into like this 0% interest rate regime where anyone could sort of boot up a business because really cheap to get credit. There's a lot of tech startups that got hot, Bitcoin grew up in that environment. It got hot in the environment of tech stocks going to the moon. And then since 2020, when the fed moved into this very aggressive posturing due to the COVID pandemic and then the post recession fears. We've seen bitcoins be basically locked up with tech stocks also, right? So whenever the fed says we're going to raise interest rates, Bitcoin goes down. It did go down Monday, tech stocks also go down whenever the fed says they're going to pause and maybe not increase as much. We see things rally. And that's why a lot of people right now think that .2 thousand Bitcoin mark is a little bullish. Some people think it's a bear trap because the fed has sort of been saying that we're not going to raise much more. We're about 5%. It's time to pause. But then all of a sudden, the fed can pivot, right? And we have seen this right now of Jerome Powell. They said in the earlier comments, hey, we're going to go up. We're going to go up another 50 bps and have 25 bps. While he pitted it, and now he's saying, hey, we're actually probably going to increase and go even more. And that is catching a lot of these socks off track
AP News Radio
Powell says 'no decision' on the Fed's next move on rates
"The Federal Reserve's chief says the Central Bank has not yet settled on how much it will boost its key interest rate at a meeting this month. Yesterday, Jerome Powell sent stocks tumbling by telling a Senate panel. If a totality of the data were to indicate that faster tightening is warranted, we'd be prepared to increase the pace of rate hikes. This morning, he offered a caveat to a House committee. If. And I stressed that no decision has been made on this. Powell appears to be trying to knock down any assumption that the feds set for an aggressive rate hike based on recent data showing strong economic growth and still high inflation. He says there are several important reports coming and the fed will closely analyze them before meeting in two weeks. Sagar Meghani at The White House.
Mark Levin
John Kennedy Grills Jerome Powell During Senate Testimony
"Senator John Kenney is one of the greats We've tried to get him on my Sunday show but apparently he travels every time we're doing it He pumped into him on a plane and he couldn't have been nicer a huge fan I went to the house listen to this He's questioning the chairman of the fed Pow cut for a go You're raising interest rates You're raising interest rates to slow the economy Are you not Yes to cool the economy off And one of the ways you measure your success other than fluctuation in gross domestic product is the unemployment rate Is it not Yes one of the measures Okay So in effect I'm not being critical when you're slowing the economy You're trying to put people out of work That's your job Is it not Not really We're trying to sort of price stability No you're trying to raise money Not wages You're trying to raise the unemployment rate And there are a lot of I know you don't like the phrase So let me strike it You're trying to raise the unemployment rate aren't you No we're not trying to We're trying to realign supply and demand which could happen through a bunch of channels Yeah but in the end I'm going to employment is necessary because you're going to have a recession And you need a recession in order to cool down inflation And when you have a recession people lose their jobs and this is on the backs again Of those who have voted for awful lot of spending include 18 or 19 Republicans in the Senate
CoinDesk Podcast Network
Bitcoin Briefly Dips Below $22K on Powell's Inflation Comments
"Wendy's gonna start us off with a markets update, including some fed pronouncements, I believe, when do you take it away? I'm not excited to talk about the story. I liked my previous story, but I got this all day long. Because it makes me sad for the underdogs. Fed chair Powell says interest rates are likely to be higher than previously anticipated. He cited data earlier this year showing that inflation has reversed the declaration, it slowed at the end of last year, and that's because people, well, I don't think inflation has slowed down, but people are just aren't able to spend money. He warned of a tighter monetary policy head to slow a growing economy and said that the current trend shows the fed's inflation fighting job is not over. As far as Bitcoin price action goes, Bitcoin is kind of just holding on to about the $22,000 area. You'll see a little bit of spikes up on the lower time frames, et cetera and I think that we're going to see a lot of stagnation with Bitcoin or at least at crab sideways action because we are in a bear market number one. Number two, we had a bunch of really crazy rumors about different regulations coming out, et cetera. So this is something I think that we can anticipate for quite some time until we have some volatile news that really dramatically changes the market.
Bloomberg Radio New York
"j powell" Discussed on Bloomberg Radio New York
"Futures are little change this morning I had a comment from Jay Powell. The fed share takes questions at the economic club of Washington the afternoon, but Priya mizra head of global rates strategy at TD securities says it will be hard for investors to gauge fed policy from his remarks. I know there's a lot of focus on comments by chip power, but I think their data dependent and it's very hard for the market to get exactly where the end point is. We're going to have to watch the economy and inflation, our view is it's going to be sticky. And so you'll get a series of 25 hikes as the fed ends, but they don't end with the market was pricing in. Priya mizra, a TD securities said the fed could raise rates through June, stick with us for complete coverage of J Powell's comments today will bring them to you live on Bloomberg radio and television around 1230 p.m. eastern. On the earnings front this morning, Karen shares of BP are up nearly 6% after posting record profit in 2022. BP's boosting its dividend and will buy back an extra $2.7 billion in shares. Well, Nathan Credit Suisse is the laying bonus talks with employees, sources tell us directors are managing directors at Credit Suisse being told meetings on compensation set for today are being canceled. It's unclear exactly why Credit Suisse is pushing back conversations on bonuses. The bank is declining to comment. Well, turning to politics, Karen President Biden will be commenting on the State of the Union. Tonight, Nathan dean, senior policy analyst at Bloomberg intelligence says the president will discuss debt ceiling negotiations. This is a must pass piece of legislation. You may hear language from President Biden essentially saying we want to clean debt ceiling raise Speaker of the House, Kevin McCarthy is talking about how we need to cut. There's going to be some type of negotiation with the debt ceiling is important. Nathan dean with Bloomberg intelligence says House speaker Kevin McCarthy is also focusing on the debt ceiling. He made remarks last night at the capitol. Join us for live coverage of tonight's State of the Union on a special edition of Bloomberg's balance of power coverage begins 8 30 Wall Street time this evening on Bloomberg radio and television. While turning to geopolitics now, Nathan, The White House says it's looking forward to getting whatever data is recovered from the Chinese balloon that was downed in the Atlantic, former defense secretary Mark Esper says the president could have shot down the balloon sooner. My view was always that we should try and capture it first. When it first entered our airspace in the aleutian islands near Alaska or whatnot, I think that's where it should have been first shot down as then. And former defense secretary Mark Esper spoke with our Washington correspondent Joe Matthew
Bloomberg Radio New York
"j powell" Discussed on Bloomberg Radio New York
"It's coming up on 5 30 on Wall Street. Good morning. I'm Nathan Hager. And I'm Karen Moscow and we're just about four hours away from the open of U.S. trading. Let's get you up to date on the news you need to know what this shower, the sell off continues this morning. After the fed raised interest rates by another 50 basis points at the same time, chairman J Powell is dampening hopes for a pivot to lower rates any time soon. The inflation data received so far for October and November show a welcome reduction in the monthly pace of price increases. But it will take substantially more evidence to give confidence that inflation is on a sustained downward path Cure Powell said the fed will stay the course until the job is done. Stock snapped a two day win streak, Karen following those remarks from Jay Powell, Sylvia jablonsky, CEO of defiant CTF says for investors, fed chair knocked the wind out of their sails. The market I think was disappointed by the fed rhetoric because he talked a lot about moving that terminal rate up to 5.1%, but also downplaying the success that we're already seeing on the impacts of the work that they've done. Salvia jablonski with defiant CTF says she was more optimistic about a Santa Claus rally before Powell's news conference. Well, Nathan, we have more policy decisions on the way in Europe the Bank of England is expected to follow the fed with a half a point rate hike this morning, as is the European Central Bank, and in Switzerland, the Swiss national bank also raised its benchmark rate by 50 basis points. In Asia Karen, we were seeing some weak economic data, China's economy worsened last month. And that was before Beijing dropped. It's COVID zero policy. Retail sales in China contracted close to 6% over the past year, and industrial output missed estimates. But a corporate news now, Nathan, where we're talking Elon Musk yet again, the new Twitter owner is selling more shares of Tesla. And Bloomberg Steve rappaport joins us live with that story. Steve good morning. Good morning, Karen and Nathan. Elon Musk offloaded $3.5 billion in Tesla shares this week. His latest sell off to raise cash for Twitter, Tesla stock is down 55% this year as investors grow concerned about his purchase of the social media platform. The electric automaker's valuation dropping below $500 billion for the first time in more than two years. Tesla's troubles cost Musk more than money, he also lost his title as the richest person in the world, live in New York, I'm Steve rappaport, Bloomberg, daybreak. Yes, Steven Tesla shares her down another 2.8% in pre market trading this morning. Now a note on politics, senator Elizabeth Warren's announced a bipartisan bill aimed at cracking down on cryptocurrencies used in money laundering if the bill passes into law would require crypto exchanges to verify customers identities as other financial institutions do. And futures this morning are lower S&P futures down 44 points down 1.1% NASDAQ futures down one at a third percent on 161 points down futures down 8 tenths of a percent or 287 points and a ten year treasury down two 30 seconds. 3.48%. Straight ahead, your latest local headlines. Plus, a check of sports and this is Bloomberg. All right, thanks, Sharon. It's 5 31 on Wall Street. Amy Morris is here with those local headlines for New York and a look at what's going on around the world as well, Amy, good morning. Good morning, Nathan
The Eric Metaxas Show
"j powell" Discussed on The Eric Metaxas Show
"It. That was the Civil War we paid a huge price of 620,000 deaths. Forgive me, Scott, I'm afraid we're out of time. All this stuff is in the book rediscovering America. I recommend it highly Scott Powell. Thank you so much. Hey, thank you, Eric. We'll do it again. Happy Thanksgiving again and again and again. Okay, Alvin. The week, the weekend. We have some particularly exciting news. We do. We're going to save that for in a minute or two. Before we get to the exciting news, and I am almost shocked at this news. This is big news, folks. I think you're going to have some fun. Okay, I want to mention a couple of things. New traumatic told us that for the rest of this month only, that's November 2022. If you use the code Eric it's 35% off. I don't know why they chose to do that at the end of the month, but I would take advantage of it if you're interested. Nutrimetics dot com 35% off. Also want to repeat if you're interested in company Socrates in the city. I can only tell you, folks, it is Oz Guinness. He's the gold standard. You'll see when you're there. There's no one like him. If it weren't for Oz, I never would have started Socrates in the city. So this is a very special event December 6th here in New York City. We're looking forward to that. I'm traveling like crazy. I'm preaching in Atlanta at church of the apostles in Atlanta. This Sunday morning. You can find out everything at my website, which is Eric metaxas dot com. And I want to remind you before we tell you the big news, I want to remind you to sign up for my newsletter at Eric metaxas dot com and I want to remind you to support our sponsor Mike lindell by buying all of your Christmas gifts at my store dot com and my pillow dot com and use the code Eric to help support this radio program. There is all kinds of stuff there. You just have to go there and you'll see. But if you want to support a hero, someone that I now think of as a dear friend, kind, generous soul when you get to know him. My pillow dot com, my store dot com. And as we always say, the coffee is unbelievable. Oh, yeah. I can't believe how good it honestly. It's going to be mediocre. It's going to be fine. No. It's really good. It is. My store dot com, my coffee dot com. Okay, Alvin, the big news. Yes, the big news. Oh, I love that. This is hard to get my head around. Okay, where do we start? About a few months ago, we taped four episodes of a late night talk show, the talk show, starring Eric metaxas. That's me. It was, you know, next level. It was like The Tonight Show Carson Letterman. You know, it was like a big deal thing. We raised the money to tape four bona FIDE episodes, hour long episodes, which we did downstairs. We're upstairs here that he be in theater downstairs in the theater, which is a heavenly little theater. I mean, just like made for this kind of a thing. We taped the four shows. We had an array of stunning guests. The shows were edited and basically we're trying to figure out who is going to air it and how we're going to do that. But in the meantime, somebody thought, hey, now that these shows are edited, why don't we put them up at Salem now dot com? Yes. For free. Freeze. You understand? Free Salem now dot com. So I am really just a little thrilled and shocked to say that you can watch these episodes. These are pilot episodes. We tape them in August. But we thought, let's make them available. If you go to Salem now dot com and how do people find it there? Well, there's a search bar up there, put in Eric metaxas, put in Eric's name, Eric metaxas, two things will come up. The radio program, which is also at the Salem communications Salem news network. That's right. Okay, yeah, but we're not talking about that. We're talking about the talk show or the late night talk show. There's a great little logo up there. You're going to see it. You click on that, you get all four programs. I think it's free. I'm not positive. I hope it's not free. No, I'm serious, like, this cost us a zillion dollars to produce. But the guests are like, Danny Bonaduce of the partridge family, George Hamilton, Carol alt, Vincent pastore from The Sopranos. Ron Howard, John Cleese. Yeah. Oh my gosh. Yeah. And you're a top Carrot Top. I mean, look, you'll see a lot of Salem now. We had a great time. I just can't believe, well, there's the announcement. Thank you. Border battle, the new 6 part documentary series puts you on the front line of America's southern border and rise of the deadly drug fentanyl. The overdose death crisis in this country is directly linked to cartel jalisco new generation in the Sinaloa Cartel in their labs. Fentanyl is 50 times more powerful than heroin. Three grains of fentanyl would kill you. Tens of thousands of Americans have died. And our southern border is a drug cartel war zone. 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The Eric Metaxas Show
"j powell" Discussed on The Eric Metaxas Show
"He granted to raise his little head, he published you shine ragged penny tell me Eric, why is relief factor so successful at lowering or eliminating pain? I'm often asked that question, the owners of relief factor tell me they believe our bodies were designed to heal. That's right, designed to heal, and I agree with them. So the doctors who formulated relief factor for them selected the four best ingredients, yes, 100% drug free ingredients, each helps your body deal with inflammation. Each of the four ingredients deals with inflammation from a different metabolic pathway, and that right there approaching from four different angles may be why so many people find such wonderful relief. So if you've got back pain, shoulder neck hip knee or foot pain from exercise or just getting older, you should order the three week quick start discounted to only 1995 to see if it will work for you. It works for me. It has for about 70% of the half a million people who've tried it and have ordered more, go to relief factor dot com or call 800 for relief to find out about this offer, feel the difference. Welcome back, we're talking about Thanksgiving surprise. We're talking about Thanksgiving with the author of rediscovering America, Scott Powell. He's a fellow at the discovery institute in Seattle, and has written a wonderful book called rediscovering America from which he's written this article. You can find at the federalist called why Thanksgiving is as relevant today as it was for pilgrims for centuries ago. So what other reasons do you give Scott Powell for the relevance of this event that happened for centuries ago? Well, in terms of the qualities of character that the pilgrims had, I think, another important quality that we need to rediscover and strengthen is tolerance, these were very tolerant people, they got together with non believers. They lived together on a ship for over two, and then when they got to the new world, they found themselves. Making relationships with Indians that accepted them. Well, if they were when you say they were tolerance today, tolerance has become an unpleasant cliche, what we really mean, obviously, is that not that we allied our differences, but we respect those with whom we disagree. And that the pilgrims certainly respected those with whom they were traveling, who were not of their faith. And then the way they dealt with the local with the Native American tribes of that area, it is a model, really. It's an amazing, amazing story. Squanto, of course, is at the center of it, massasoit. But we see so little of that in the centuries ahead, of course, starting with the incredibly bloody king Philip's war. So it really, they really were a model of toleration. And I think it's important to say that that is a Christian virtue. In other words, you believe what you believe, but you also love those with whom you disagree and you treat them the way you would want to be treated. And the pilgrims did this and it's an amazing thing because we're always talking about the black marks in our book of these mistakes and these sins. They really were, they were exemplars of Christian love and charity, no question. And to illustrate that point, Eric, the pilgrim community, learned that massasoit had fallen ill that he was on his deathbed. In Edward Winslow, one of the senior elders who had experience with medicinal herbs and taking care of people when they were sick. And he was also, you know, he was also one of the spiritual leaders. He immediately decided that he was going to go the 40 miles to see if he could get to mass a soya before he died. 40 miles walking is generally at least two day trip. And that's if you don't get lost. Anyway, he did this before scooters were invented. No, actually, when you say 40 miles in those days, that's, yeah, that's kind of an amazing journey. And he decides really out of the goodness of his heart to pay a visit to massasoit. So please continue. So he gets there. He administers his herbs and his broth in praise over massasoit and remarkably massasoit recovers and he's almost fully recovered within a couple of days. And what he said was now I see the English man are my friends and love me, and I will never forget this. I don't know if the exact words, but they're in the they're in the book. So it was really quite remarkable that these very different people could have this relationship, not just the peace treaty, but the personal relations. And you know, Thanksgiving was amazing because this is after the first winner, right? It was the first harvest that it was a meager harvest. And they invited the Indians to join them by this time the pilgrims numbers have fallen slightly below 50, I believe, and they assume, well, they're not going to show up with more than 50 Indians, but they didn't specify. Well, anyway, over a hundred Indians show up to celebrate, Thanksgiving. But it's good that they did, because they brought food, you wouldn't believe. They had 5 deer that they had shot. They had foul that they had shot, they had all kinds of food enough to last three days. The first Thanksgiving was a three day festival. And this is before the Indians understood that veganism was morally superior. I got to tell you, when you think about this, this amicable celebration that they would bring food that they, there's a reason we celebrate this. This is an absolutely astonishing moment in our history. It's beautiful. It's amicable, and as you said, it lasted 50 years, this kind of relationship, this respectful relationship lasted 50 years. It is as anomalous as anything in our history, because as we know, things didn't go so well after this. It gets very complicated, very hostile. But it really was beautiful. You talk about the pilgrims, the Mayflower compact, which was their governing document touch on that, and then in the next segment I want to talk more about that. We've kind of gone out of sequence a little bit. But the Mavs are a compact, was drafted on the Mayflower off Cape Cod, went before they had even set foot on land. And they didn't know they knew that they were way off course, I mean, they didn't have even a term of Massachusetts. And the ship was, there was a lot of insolence and unrest. So the elders of the pilgrims decided, look, we've got a stay together. We're going into perhaps hostile land. We don't know what's ahead of us. So they drafted up this short document, the Mayflower compact that called for everyone being equal, everybody looking out for each other's back and that there would be a consent of everybody. So it was a wonderful document that was the government government by the consent of the.
The Eric Metaxas Show
"j powell" Discussed on The Eric Metaxas Show
"Yeah, now this is great. This is why we celebrate turkey day. And thank you for that, Eric. Exactly. So I think that I'm just going to such a wise guy. Just for that, I'm having ham. I'm having him. But I want to say that in our one today, I'm telling the squanto stories. Now, if you want to read that, if you have a copy of my book, I wrote a children's book on squanto. Actually, I wrote two children's books on squanto. The first one I wrote for rabbit ears. I wrote a lot of children's books for rabbit ears. But they kind of took the God part out of my telling of the story when I wrote it for rabbit ears. So it's an otherwise wonderful book. They made a beautiful video, but they kind of took the God part out a little bit. And I said, someday, I'm going to write a book where I put that back in because it's at the heart of the whole story. So I put it in a book called squanto in the miracle of Thanksgiving, published by Thomas Nelson, Tommy Nelson. But I also write about it in my book if you can keep it. Some of you already have a copy of if you can keep it. And I tell the story, it's an amazing story in the next segment or in one of these segments. I'm having a conversation with Chris Hines about what is the squanto story because it is a miracle from our history, an astonishing miracle from our history. And I remember when I was doing the research on this, I mean, this was literally, let's see. I did the original research on this. It must have been like 1991. And somebody said, oh, you're talking about the story about squanders for rabbit ears. And I remember maybe I repeat this when I talked to Chris about this because we recorded the conversation that I'm having with Chris heims, we did a few years ago. But I'll never forget doing the research and thinking, well, I'm going to go to the original documents. So there's an old pilgrim document called mort's relation, there is something by what William Bradford wrote. So I'm looking at these original documents and piecing together the story of squanto. And I remember when the lightbulb goes off, and I said, this is a miracle. Yeah. And the other children's books and stuff didn't really mention that. They act like it's some coincidence. Yeah. And when you understand what happened, you go, this is a flat out insane, miracle of God. There's no way around it. And it's at the very heart of the beginning of what became the United States of America. And what I was so astonished by, is this happened to me a number of times over the years in the research and my books when you get this moment. And you think, how is it possible that no one else has seen what an astonishing miracle this is. And when you call it a coincidence, or you just kind of relate it like, well, these things happen. It's like, no, no, no, no, no, no. This doesn't make human sense. This is crazy. And this allowed the pilgrims to survive and to stay there because of this miracle of squanto, and then by the way, folks, because the pilgrims stayed and didn't go home, suddenly you have others coming, and then you get the Massachusetts bay colony, and you get John winthrop talking about a shining city on a hill. And you get all of this stuff follows this miracle. So if you don't believe in miracles, I challenge you to familiarize yourself, and if you want things to this and this is our two, Scott Powell comes up next and he's talking about why Thanksgiving. So why are we even separated? That's right. So today we have I talked to Chris heims. I tell the squanto story and then we've got some other crazy stuff there in our two.
Bloomberg Radio New York
"j powell" Discussed on Bloomberg Radio New York
"Now Powell says it's got to go up. We don't know where it goes from there. So he's not telling anybody anything new here. They're likely to raise that rate to match. At least with the markets are saying, but that's the point they want people to focus on that. And that gives them maybe some flexibility to spread things out. They don't pause yet, he said that was clear. But they maybe come down so that they can get a little bit better read. The thing he said over and over again is that we've got a ways to go. And I think that's going to be the new watchword. I can make you and I know that every Central Bank and particularly major country central banks are haunted by how the Japanese got the rate call wrong a good 20 years ago, Justin wolfers wrote up on Twitter, the wonderful professor at Michigan about the asymmetry that was discussed today. Is this a J Powell who sang I'm not afraid to make the mistake the Japanese make? And if we overshoot and become too restrictive, we've got the confidence to turn around. Well, I think he's saying we're not going to make the mistake of ending too soon, which is more than just Japan. The ECB had that issue and of course United States Federal Reserve in the years before Paul Volcker under Arthur burns. So they've made that clear all along. They don't want to make that mistake. Now, the question is, as you and Michael gabin, we're talking about a few minutes ago when you get to a point where the unemployment rate starts to go up and you start to get the kind of political pressure that we've seen from democratic sub on Capitol Hill, do you feel maybe you need to back off a little bit and pulse try to thread the needle in saying
The Cryptoshow - blockchain, cryptocurrencies, Bitcoin and decentralization simply explained
"j powell" Discussed on The Cryptoshow - blockchain, cryptocurrencies, Bitcoin and decentralization simply explained
"All the companies, everyone was now for the very first time in my opinion, we are too pessimistic. And that's very, very interesting. Obviously, do you remember the markets tend to price in events that they are expecting to happen as if they had happened? This is key. This is really, really key to understand. So if tomorrow, J Powell comes out, talks about 75 basis points, and then is a little less pushy about, hey, we're going to need to get rates up again in the other meetings. The market may really rally. If on the other hand, though, he's going to be super hawkish, we may see a little bit of a dip down, but it may not be so bad. It may be that we're going to see 75 basis points market dumps, two or 3% first, because markets panic, then they realize, hey, this is priced in actually, and actually it wasn't so bad, Jay Powell is actually quite optimistic because remember, it's an entire speech, right? So the market is going to be super, super, super kind of emotional around this time. And so they try to deduct anything out of this. So we may see 3% down, 3% up in the same kind of training session. So you have to be super, super cautious. There is to me a strong chance at the moment that we are seeing a nice year and set up. And I want to give you another point here. Let's talk about so inflation numbers. We had covered this, obviously we're going to see it's only 9 days. But we had mentioned a couple of times that inflation actually has a very high chance of actually coming down maybe even becoming deflationary by the end of the year, beginning of next year. And I mean, let's see, we see the October numbers. And if this inflation number now comes down, this is an I think that's a strong chance for that. This can be a very strong kind of indicator for some rally. But the other thing I really want to point out here, because that was the third event, but the second event is going to happen next week. And that's going to be midterm elections.
The Cryptoshow - blockchain, cryptocurrencies, Bitcoin and decentralization simply explained
"j powell" Discussed on The Cryptoshow - blockchain, cryptocurrencies, Bitcoin and decentralization simply explained
"At the same time, short term liquidity. Second thing real estate market, even though prices are disastrous in a real estate, I think at the moment the fed does not, so much care about this. Obviously, inflation numbers, we're going to cover those also unemployment numbers, unemployment numbers start to weaken. So all of those things actually may signal and let's see what J Powell comes out with tomorrow. That these very bearish future kind of hike. So kind of keep this in mind. So basically at the moment, the market would be pricing in, let's say, 3.75 percent, another at least half percent in December, maybe even another 0.75% in December. Actually, that's a key thing. 95% of participants are expecting or 90% of participants expect more than half a percent rate hike in December. And then if we go to the end January beginning of February, same thing again. So here as a case, let's say we had 4.25. So that means they are expecting another at least 0.25% hike in February. So that is absolutely crucial. And looking at all this, there may be a strong chance that the market is way too. Careful right now, way too hawkish right now. Maybe that the fed comes out and says, yeah, look, we really want to get that soft lending. We do see some issues in the liquidity in the short term bond markets. Obviously, J pal will never come out and say that they will see issues, but they you have to read between the lines. And that's going to be up for interpretation. That's why in my opinion, we're going to see this massive volatility tomorrow and then in the days after, because obviously we don't know what did he really mean. It's going to be a speech and we don't see the exact details. It's also going to be interesting to see how unanimously it's going to be something like disapproved. Are there fed officials who maybe don't see it as unanimous and they see it, hey, no, no, actually, we should have done less. So we should have done more. And that signaling is going to be so essential because obviously if we discussed this last time, this could be the last rate hike that we actually see in this kind of cycle. And there's a few people who believe this. And if this is kind of the signaling, markets will rally massively, especially into the yearend. Obviously, I think at the moment the question really is, what would have to signaling be for it to be really bearish? Because I do think markets are generally really bearish at the moment. They have priced in the majority of the negativity. The majority, not everything, the majority. And so that's going to be a really, really key question. I'm not sure if the fed can actually do something tomorrow other than a really unexpected 1% rate hike, but I don't think so. Or an unexpected super bearish statement where J powers like, hey look, 0.75 today and we're probably going to do another 0.75 in December and it's probably going to be a 0.5 end of January beginning of February. Very unlikely, but I am not sure the fed can actually do much in order to really tank the markets more. So again, if I have to do a binary bet here, just I wouldn't have any probability. So again, I don't think it's as binary. I think it's more of a 65, 70% kind of chance. But if it's pure binary, actually do think we're going to see markets rallying by the end of the week.
Bloomberg Radio New York
"j powell" Discussed on Bloomberg Radio New York
"Where markets are starting to trade. Let's get over to Hong Kong with all the latest action and Bloomberg's frying Curtis Bryan. Yes, Julie at the yield on the two year treasury up to 4.09%. That's one of the standout movers as a result of the fed meeting. We're just getting China futures start to trade. Down about a half a percent in Singapore and a couple of markets opening up the Taiwan Tai X is down 1.3% and in Singapore, the straits times index is moving down about a third of a percent. So that's the general movement right across the region earlier U.S. stocks were whipped around a bit by the many headlines that came out of the fed rate decision. Chair Powell did say at one point that at some point a pause in the fed's hiking of interest rates would be in order and the S&P rallied then 1.3%. But pretty much all throughout his question and answer period, he kept coming back to vowing that the fed would crush inflation. The main message was that officials were strongly resolved to bring inflation back to the 2% goal. Now it's a long ways away from that. So how do you get there from here? You have to keep pressing to the upside on interest rates. And so that's what we're seeing. We're seeing the reaction to that. The yield, again, on the two year at 4.09%, the ten year also moving up, it had moved lower earlier. It's right now at 3.55%, and WTI $82 and 54 cents a barrel for one barrel of WTI crude. So that is a quick check in the market. It's two and a half minutes past the hour dug to you. All right, Brian, thanks, well, the fed did deliver its third straight 75 basis point rate hike. Fed funds rate moving up. J Powell said ongoing increases will be appropriate. We are moving our policy stance purposefully to a level that will be sufficiently restrictive to return inflation to 2%. So that 2% target, right? Well Powell did say the fed is going to keep fighting inflation until the job is done. Here is Powell's former vice chair Richard clarida. The plausible best case scenario is by the end of the year inflation is running below three. And I think it'll take some good policy and some good luck to get there, but there's obviously risk that inflation is more inertial than that. And then it takes longer. No, Clara went on to say the fed is clearly dealing with a fog of uncertainty. That was created in large part by the pandemic shock and then the robust reopening traditional model certainly aren't helping the fed that's according to clarita. You know, currently the fed is forecasting a fed funds rate of around 4.4% by the end of the year. Now that would imply another 7, a 125 basis points in tightening over the next two, fed meetings. Well, the CEO of Citigroup Jane Fraser says the bank would likely reduce its presence in China if the country invades Taiwan before taking any steps Fraser said city would first consult with the U.S. government for guidance. Heroes Fraser speaking earlier today at a congressional hearing in Washington. It's highly likely that we would have a materially reduced presence if any at all in the country. The businesses were left up to you. You would pull out probably. It's a reduced message. It's a hypothetical question, but it is highly likely that we would have a reduced presence. Jane Fraser, as we mentioned, is the CEO of Citigroup at the end of 2021 city had $27.3 billion worth of exposure to China, including loans and investment securities. Let's take a look now at global news headlines we're at about 5 minutes past the hour right now. Lots going on first, the Justice Department has won its appeal to investigate those classified documents
Squawk Pod
"j powell" Discussed on Squawk Pod
"Please. Hi, I'm CNBC producer Cameron Costa. Today on squawk pod fed chair J Powell live at Jackson hole. Higher interest rates will bring down inflation, they will also bring some pain to households and businesses. Recapping that huge headline and how the Biden administration is helping, or maybe hurting the inflation reduction effort, with former chairman of president Obama's council of economic advisers, Jason Furman. When you give a worker a raise, if they're not getting more productive, you can't afford that raise without raising prices. So this to me says more price pressures ahead a harder job for the fed. Upgrades for the metaverse think nice furniture and facial expressions. And the lipstick indicator. We're getting dolled up recession inflation be damned. CNBC's Courtney Reagan. You know, consumers may be pretty cranky when they're filling up their cars and their grocery carts because of inflation, but they're looking their best while they're doing it. Plus, it's that time of year. The U.S. open is back in New York, United States tennis association CEO Lou sher. We didn't see the international fans last year in the way that we're seeing them come back this year, which is great for the event, also great for New York City. It's Friday, August 26th, and squawk pod begins right now. That Becky bye in three, two, one, feel free. Good morning, everybody. Welcome to squawk box here on CNBC. We are live from the NASDAQ market site in Times Square. I'm Becky quick, along with Joe kernan, Andrew is off today. What's happening today, the fed speak coming out of Jackson hole specifically from J pal. Markets will be focused on that. It's a Friday, so maybe not surprised to see a bit of a pullback at this point. Yeah, we're close. Yesterday. Really accelerated into the close to be. To pick up knew what was happening today. Right. That's why we're covering mister market is logical and thinks things. We would rational, but it's like yesterday yay, everything's here and today, oh no, the fed's going to be speaking. It is going to be speaking. It's August. And so I guess it's somewhat thinly traded, but maybe it was some short covering going into the closest as you would think people might be. I mean, this is not going to be great news that we hear from him that we got to keep going and going and going. Look for the week, the markets are down, even with the gains that we saw yesterday. So maybe that tells you some of this was baked in. Alas, maybe not completely priced in. After fed chair Jay Powell spoke from Jackson hole in Wyoming, stocks fell a little bit. Inflation is running well above 2%, while the lower inflation readings for July are certainly welcome, a single month's improvement falls far short of what the committee will need to see before we are confident that inflation is moving down. July's increase in the target range was the second, 75 basis point increase in as many meetings. And I said then that another unusually large increase could be appropriate at our next meeting. He only spoke for about 8 minutes, but his message could not have been clearer. In an effort to reduce inflation, the fed will continue to raise rates, even if it comes with an economic slowdown. While higher interest rates slower growth and softer labor market conditions will bring down inflation, they will also bring some pain to households and businesses. These are the unfortunate costs of reducing inflation. But a failure to restore price stability would mean far greater pain. What the markets really wanted to know though is how much the fed will be raising rates. 50 basis points, 75. We won't know until the next FOMC meeting in mid September. William Sonoma is jumping into the virtual world. The company's CEO telling Jim Cramer on mad money last night that the home retailer is collaborating with video game company Roblox. West elm is going to be the first home furnishings retailer to provide and be a partner with provide furniture, digital furniture, and be a partner with Roblox. Roblox, of course, has especially popular among kids and consumer brands including Nike and Gucci have recently announced tie ups with the company to introduce their brands to younger audiences. William Sonoma says sales of west elm branded digital products will generate revenue for the company and Joe, I can think of another advantage, too. In the virtual world, you actually get your furniture when you order it. I've been waiting months to get my kitchen chairs from Williamson. A lot of advantages. There's a lot of advantages. Can you program what happens in the virtual world? In terms of how people react to you? Yeah. This girl is going to like me when I get into it. Can you do that? Well, not if you're dealing with real people. I guess if you deal with AI, sure. You need to help me with that. Joe, you're the best. Yeah, exactly. Zuckerberg was saying and I feel bad for Mark a little bit. He seems very comfortable in the metal world. Doesn't he? Does he not like this world so much? If you've grown up behind the screen, you know, working through the screens and the terminal. One of Jim Cramer's
Marketplace with Kai Ryssdal
"j powell" Discussed on Marketplace with Kai Ryssdal
"The spot will note on the way out today. If you know me, and if you know this show at all, then you know what's coming next. I need you to roll with me on this last one. We've got a little game we play on the show. It's called what is Jay Powell thinking in 5 words or less? And I ask our Friday afternoon panelists when we have a big monetary policy topic come up. I say, okay, what is J Paul thinking in 5 words or less? And I would not be able to forgive myself if sitting across from J Powell, I don't ask Jay Powell, what J Powell is thinking in 5 words or less. I should tell you I did this with Obama and he blew it and he went on for like a minute. So no pressure. 5 words or less. So I'm going to go with, I'm going to go with what I really am thinking is get inflation back under control. Oh man. Boom. J Paul, thanks for your time. I appreciate it. Thanks, Scott. Good to see you. All right, we gotta go. No moment of economic context today because I gotta tell you the whole show. Has been economic context today. We'll owe you one, I guess. A mirabeau, John Buckley, yvette Stein, John Gordon Ricard died at the Parker made a feature and Stephanie Sikh are the marketplace editing staff. I'm Kahn risal, we will see you tomorrow, everybody. This is 8 p.m.. Are you looking for ideas to make your life better right now without spending a lot of time energy or money? Listen to happier with Gretchen Rubin, a weekly podcast hosted by two sisters. I'm Gretchen Rubin, the number one bestselling author of the happiness project. And I'm Elizabeth Kraft, to Hollywood showrunner. Each week we discuss how we can become happier, healthier, more productive, and more creative with fresh insights and practical solutions such as follow the one minute rule, choose the one word theme for the year or design your summer. Listen to and follow happier everywhere you get your podcasts..
Marketplace with Kai Ryssdal
"j powell" Discussed on Marketplace with Kai Ryssdal
"To do. Let me start with your most recent press conference. At the beginning, you went out of your way. I think it's fair to say to speak directly to the American people. You actually use those words. Do you think you're getting through to the American people? Well, I hope we are. So, you know, most of the people who listen to the press conference and follow our communications very carefully are market participants or economists, fed watchers of various kinds. And I thought it was important to try to speak directly to the public that we serve and tell them that we understand that inflation is very painful, that the fed is accountable to get inflation down to 2% and that we are we have the tools and we have the strong desire to get inflation under control and we'll do that. I don't doubt that they take you at your word that you want to get this under control and that price stability and fed speak is critical to this entire economy. I wonder what you say though to the person who, as you, tighten up on interest rates and slow the economy down, right, which is the plan. What do you say to the person who's going to lose his or her job or maybe not see the pay? Pay raise, that they ordinarily would get. So you can see that inflation is just way too high here in the United States. And by the way, the same all over the world, really the global economy is all around the world have been hit by a series of inflationary shocks and pretty much I just came back from a set of meetings with central bankers from around the world and we're all facing the same kind of issues and the public are facing the same kinds of issues. This year though, worse here, to be clear, right? Some places were some places better. We're facing different challenges, but then again, our economy is more fully recovered. They may be just behind us in time. But what would I say to that person? So I would say that we fully understand and appreciate how painful inflation is and that we have the tools and the resolve to get it down to 2% and that we're going to do that. I will also say that the process of getting inflation down to 2% will also include some pain. But ultimately, the most painful thing would be if we were to fail to deal with it and inflation were to get entrenched in the economy at high levels and we know what that's like and that's just people losing the value of their paycheck to high inflation and ultimately we'd have to go through a much deeper downturn. And so we really need to avoid that. What keeps you up more at night, the prospect of inflation sticking around or the idea that you're going to cause a recession. Well, look, I think it's a very challenging environment. To make monetary policy and we certainly are goal, of course, is to get inflation back down to 2% without having the economy go into recession or put it this way with the labor market remaining fairly strong. That's what we're trying to achieve. I think the one thing we really can not do is to fail to restore price stability though. Nothing in the economy works. The economy doesn't work for anybody without price stability. We went through periods in our history where inflation was quite high. This was back in the 70s, and I was old enough to remember. I'm old enough to remember that very well. And we really, we can't fail to restore price stability. How much do you think it matters just on that idea of the 1970s? How much do you think it matters that there are generations of people in this economy who have known nothing, but 2% inflation or less for like 50 years now? So I think and that's why this is scary as hell, right? Well, look, I guess I would say it this way. It's a good thing that we haven't had high inflation, really in 40 years. It's a great thing. The 70s and the 80s, it's very unpleasant phenomenon, and people are now for the first time many people, as you point out, are young enough that they haven't experienced it. And now they're seeing what it is. And it's unfortunate. I wish they weren't. I wish that all of this hadn't happened and we still had 2% inflation. And we need to get back to 2% inflation. That's the main thing. The main lesson is we must do whatever what we need to do to get inflation back to 2%. And we have the tools to do that and we will. So you've said you're going to do whatever you need to do. At that last meeting, you specifically took a 75 basis point increase in the federal funds rate that is to say three quarters of a percentage point. You took it off the table. Why? Well, actually, what I said was that we were that the committee had effectively considering, right? I said we weren't actively considering that. But I said what we were actively considering, and this is just a factual recitation of what happened at the meeting was a 50 basis point increase. That's a half a percentage point increase the first one in more than 20 years. And that we thought that if the economy performs about as expected that it would be appropriate for there to be additional 50 basis point increases at the next two meetings. So, but I would just say, we haven't a series of expectations about the economy. If things come in better than we expect, then we're prepared to do less. If they come in worse than we expect, then we're prepared to do more. Let me be clear. 75 basis points is prepared to do more. What you've seen is you've seen this committee adapt to the incoming data and the evolving outlook. And that's what we'll continue to do. You also talked about a pathway. He said it's going to be challenging to get to this mythical soft landing. What does that pathway look like? So a soft landing is really just getting back to 2% inflation while keeping the labor market strong. And it's quite challenging to accomplish that right now for a couple of reasons. One is just that unemployment is very, very low the labor market is extremely tight and inflation is very high. So it will be challenging. It won't be easy. No one here thinks that it will be easy. Nonetheless, we think there are pathways as you mentioned. For us to get there. And really what that means is just as we raise rates, we so the problem, what causes inflation is that demand and supply are out of whack. There's too much demand. For example, in the labor market, there's more demand for workers than there are people to take the jobs right now by a substantial margin. And because of that, wages are moving up at levels that are unsustainably high and not consistent with low inflation. And so what we need to do is we get need to get demand down, give supply a chance to recover and get those two aligned. So how might we do that? Right now in the labor market, there are two job openings for every unemployed person that's historically high level. So in principle, and I'm not saying this will be easy to do. In principle, you could moderate demand, reduce demand to the point where job openings move down substantially and the labor market gets much closer to being in balance. And that would affect wages would still be moving up at healthy levels. It wouldn't have to go down, but ultimately they would be at levels that would be consistent with 2% inflation. So here comes the pokey and the eye question. Did you blow it? And being late and failing to recognize that inflation was going to stick around. So the way I'd put it was this, we were if you go back to the economy of February of 2020 right before the pandemic, three and a half percent unemployment inflation right on target below 2% and the economy is growing at a couple percent. It's a really nice place. Since then, we've been hit with the first pandemic in a hundred years. Global pandemic and then a very, very strong response both from fiscal authorities and from us. Followed by the outbreak of inflation, followed by the war in Ukraine, followed by now the big shutdowns all over China. So we've really been hit by a series of global really inflation inflationary shocks. And so all around the world, you're seeing economies that are struggling with high inflation. Many, many countries around the world are having the highest inflation they've had in 40 years and struggling with the exact same things we are. So there's a lot of commonality. There are some differences. But I have said, and I will say, again, that, you know, if you had perfect hindsight, you'd go back and probably would have been better for us to have raised rates a little sooner. I'm not sure how much difference it would have made, but we have to make decisions in real time based on what we know then. And we did the best we could. Now, we are, we see the picture clearly, and we're determined to use our tools to get us back to price stability. You've said, not just in your last meeting, but many a time. That the fed's tools are blunt instruments, trying to finesse a really difficult problem. Which gets me to this. One of the things we talked about the last time I was here and it was in the context of president Trump and him piling on you, actually. And you said, you know, you control the controllable. And you do what you can do. I wonder now if you are left with really only being able to through your blunt monetary policy tools, control the controllable. You can't control supply in this economy. You can't control fiscal policy, right? I wonder how frustrated you are. I wouldn't put it as frustrated. I'm really honored to be able to play this role. And I just, I guess I would say it this way. We can what we can control is demand. We can't really affect supply with our policies. And supply is a big part of the story here. But more than that, there are huge events, geopolitical events going on around the world. That are going to play a very important role in the economy in the next year or so. So the question whether we can execute a soft landing or not, it may actually depend on factors that we don't control. But we should control the controllable. And what we control is there's a job to do on demand. Demand is out of whack with supply, as I mentioned in the labor market, there's more demand than there are people to satisfy that demand. And we can address that directly and we will by trying to moderate demand in a way that lets the labor market get back in balance and help inflation get back to 2%. One of the questions on my list that I did not manage to get to with J Powell is he really upset that a little air is coming out of the stock market because more did today we'll have the details when we do the numbers also below the fold..
Bloomberg Radio New York
"j powell" Discussed on Bloomberg Radio New York
"You every 15 minutes on Bloomberg radio Asian stocks are edging higher although since the opening of the Hong Kong market we've come down just a little bit just barely positive at the moment the ASX 200 is up about two tenths of 1% That's even after the reserve bank of Australia surprise markets to an extent yesterday with a quarter percentage point hike in Goldman is calling for a lot more coming over the next several months a series of 25 basis point hikes from August to December to take the cash rate up 2.6% by the end of the year Let's take a look at a few other markets in Taiwan the tye X is up about a half a percent We're flat in Singapore Trading in Tokyo or in China today due to holidays Dolly yen is at one 30 11 so really not too much action there Even with China closed we have trading in the offshore currency And it strengthened a fair bit today about a quarter of a percent 6 63 18 against the greenback Gold is going nowhere It's just edging lower by about four tenths of a percent WTI is higher $103 in 19 cents up about three quarters of 1% Again from the fed we're expecting a 50 basis point high can also some details about how they will reduce their balance sheet at the fed And also well let's see what J Powell has to say about inflation whether he's more hawkish than we thought or maybe less And that's a check of markets Here's head back to the headline news All right thank you very much Brian Shanghai lockdown has delayed stubborn community COVID spread there Shanghai reporting out almost 5000 new local COVID cases for Tuesday Meanwhile Beijing is deploying an increasingly hardcore.
Bloomberg Radio New York
"j powell" Discussed on Bloomberg Radio New York
"Paul Bloomberg world headquarters I'm Charlie cut up the down the S&P knows stack all advancing a sell off in treasuries as deepening on fed chair J Powell signals the Central Bank will take more aggressive measures to tame inflation S&P 500 Index up now by 1% putting the benchmark index on track to recover half its losses from a sell off that began in January bond yields meanwhile continue their ascent as short dated treasuries hurdle toward their worst quarterly performance in almost four decades These gains coming as traders are bracing for high volatility until there's more certainty about fed policy inflation and the war in Ukraine Ten year yield right now 2.37% two year yield 2.16% Equities higher across the board were holding close to the highs of the day right now with the S&P up 46 up by 1% the Dow up 249 of 7 pence and NASDAQ is up 240 a gain of 1.7% Again that ten year yield 2.37% spot gold is down 7 tenths 1923 the ounce Bitcoin rallying three and a half percent 42,571 right now on Bitcoin and West Texas intermediate crude down three tenths of 1% one 1178 a barrel on WTI Recapping stocks higher S&P up now by 1% Adobe will be reporting after the close of trading I'm Charlie palette That is a Bloomberg business flash Thank you so much Charlie.
Bloomberg Radio New York
"j powell" Discussed on Bloomberg Radio New York
"Closely following the fed chair Jay Powell's remarks before the national association of business economics There I got it right down in Washington D.C. as he continues to speak down there talking about what they need to do to really move quickly to address the problem of inflation that he admits now is a big problem We want to come back now to create a Gupta who covers all of our markets for us and we've talked about equity if we talk about bonds Let's talk about foreign exchange a little bit Yeah well what's interesting to me here is that as you start to see yields rise you're going to naturally see a bump in the dollar as well That is simple Interest rate differentials that you're going into But something that isn't getting I think enough attention perhaps It's the amount of pretty substantial gains you're seeing in commodity currency specifically in emerging markets So currencies like the Brazilian real for example they are going to be getting a huge bid because a lot of these commodity exporting countries they are suddenly in demand So you do see the Brazilian real become this extreme kind of Beacon of strength for anyone wanting that EM exposure if you don't want to go through the commodities market which we know a lot of people are pulling out of just given the volatility You've seen open interest for example in crude and other metals just kind of collapse especially with the onset of the invasion A lot of those monies a lot of those flows are actually going into FX because you can do more that you don't necessarily have to pull out of some of these positions And it's pretty clear that this commodity demand whether you're an aluminum producer and oil producer a food producer for example that's not going anywhere anytime soon So for a lot of EM countries or EM investors the Brazilian real the Mexican peso this kind of where they're parking some of their money It's going to take a lot of economies as well as they need to fill some of the gaps left behind in commodities Thank you so much Really great job today covering the markets repeatedly for us throughout the hour I'm going to check out the balance of power newsletter on the terminal and online In the meantime we're going to have a second hour of balance of power over on radio We'll do more and coverage of the remarks of chair J Powell down at the NAB and Washington will also get back to Russia Ukraine And this is balance of power on Bloomberg television and on radio This is a Bloomberg Facebook leads the industry and stopping bad actors online That's because they've invested $13 billion in teams and.
Bloomberg Radio New York
"j powell" Discussed on Bloomberg Radio New York
"What this path they have laid out clearly acknowledges that because here's the dot plots the new dots the new interest rate forecast for this year and two more We already had one 25 basis point hike 6 more this year That's a total of 7 taking the key rate to 1.9% but 7 of 16 if you look at the dots closely see the rate getting above 2% this year So they clearly see some 50 basis point rate hikes man That's in fact Jim bullard dissented just on that And you talk about 75 basis point hikes in the next two minutes That's easy You just need one 50 and one 25 and J Powell opened the door to this more or less at the press conference today Let's listen Every meeting is alive meeting And we're going to be looking at evolving conditions and if we do conclude that it would be appropriate to move more quickly to remove accommodation then we'll do so I can't be perfectly specific about it but that's certainly a possibility as we go through the year Here's what struck a lot of economists and people who saw what the fed did and watched the press conference Okay they updated the economic forecast right So here's what they're looking at They're going to see inflation at 4.3% this year and get it done at 2.7 next year But look at that Okay GDP growth they say oh they call me a slow little but it'll still be above trend But look at unemployment it barely budges and economists say look how are they going to get inflation down Magic Because to get inflation down don't you have to slow demand Don't you have to slow things down more than this According to this no they won't have to J pile said labor markets are tight There's a lot of people who are on the sidelines There's more job openings than there are people who are without jobs He's got that optimistic view and apparently the consensus on the fed does too but that's something people are already questioning How do you get it down if you don't slow it And that's the risk of recession Yeah that's the hard landing soft landing on what slowed down are they prepared to tolerate narrative isn't it So worried about recession And he talks about the strength of this economy I think the equity poison girls leaned into that but the bonds nah they're not on the trade Can I just make a lot of equity investors mad at me Well the bond market is always smarter than the equity market The bond guys are so skeptical The stock guys are so optimistic and they were so ready I think you talk about fear trained agreed They were ready for someone to tell them Don't worry about it We can find inflation We won't cause a recession But look at this This is something the more economist.
CNN Political Briefing
"j powell" Discussed on CNN Political Briefing
"Here's what you need to know in politics for Monday, November 22nd. Stability over shake up. Joe Biden nominates Jerome Powell for another term as chair of the Federal Reserve. It was the last big decision sitting on Joe Biden's desk in the Oval Office before the Thanksgiving break and the president made it clear today that he is intending to renominate Jay Powell, the head of the Federal Reserve to serve for another four years. Now this comes as the president also made clear, he is going to nominate fed governor Lyle brainard to serve as vice chair. Now she was a top contender basically the only other contender other than renominating Powell for the top job at the fed. And it's an important insight into Joe Biden's thinking about the economy right now, because J Powell, who Donald Trump nominated as chair of the Federal Reserve back in 2018, is a Republican, and what you see in Biden's thinking here is twofold. One, it's an endorsement, obviously of the job Powell's been doing. Steering the country through a massive economic downturn due to the pandemic. So it is a boost of confidence from Biden in Powell's leadership at the fed, but it is also telling that Biden thinks Powell is the right person to continue to steer the economy forward because the economic challenges that the country's facing now are actually quite different from what they were when the pandemic hit. I mean, Powell was sort of dovish in his approach and made sure that interest rates remained low. That is a very different economic scenario than the issue of inflation that the country is facing now, that requires perhaps a different approach from the fed chair and so Biden renominating him indicates that he thinks Powell is not just a one trick pony, but that he is up for varying challenges in the economy. When Biden made his announcement today at The White House, he stressed the notion of how important it is for a president's pick of fed chair to get broad bipartisan support in the Senate. And that is why he said picking a Republican. He believes is the right move. At this moment, both of both enormous potential and enormous uncertainty for our economy, we need stability and independence at the Federal Reserve. Jay is proven the independence that I value in the fed chair. I believe having fed leadership with a broad bipartisan support is important. Especially now in such a politically divided nation. For Powell's part, when he spoke today at the event of The White House, he made clear to the American people he understands the pain that inflation causes in daily life. The unprecedented reopening of the economy, along with the continuing effects of the pandemic led to supply and demand imbalances, bottlenecks and a burst of inflation. We know that high inflation takes a toll on families, especially those less able to meet the higher costs of essentials, like food, housing and transportation. It will use our tools both to support the economy and a strong labor market and to prevent higher inflation from becoming entrenched. And of course, politics is involved in everything and there are two political notes here about Biden's renomination of Powell that are worth including here. One, Biden's also drawing a sharp contrast with Trump because Trump did not renominate Janet Yellen, who was appointed by Obama. And president Trump sort of discontinued that tradition of looking for a bipartisan kind of solution to the fed chair. In fact, Janet Yellen, who now serves as treasury secretary, was Powell's immediate predecessor, she weighed in on Biden's decision on CNBC earlier today. I'm very pleased with this choice. And they are consummate professionals, support and independent fed are completely committed to the feds through a mandate of maximum employment and price stability and I believe they'll have broad support among Congress in the public. And the other political note worth mentioning here is Biden's willingness to pick a fight with his more liberal base. This is a pick that is not at all popular in sort of the left wing of the Democratic Party, Elizabeth Warren immediately came out with a statement in opposition to Powell, she does support brainerd as the vice chair and said she will vote to confirm her into that role as a part of Powell's team, but will oppose Powell's renomination. We also know that Sheldon whitehouse and Jeff merkley two other democratic senators already on the record saying they're going to vote against Powell, but here's the key. He's getting accolades and support from some key Democrats, sherrod Brown, Democrat of Ohio, chair of the banking committee on board and says he will vote to confirm. So it is not a widespread sentiment in the Democratic Party to oppose Powell, but it is a popular position to be against him in sort of the Elizabeth Warren, AOC wing of the party, and Joe Biden was willing to fight that fight by announcing his decision to renominate him today. There is no issue that is going to be more significant to Democrats chances at the ballot box next November and in 2024 when Joe Biden's up for reelection, then the economic recovery post COVID. And so this was an enormous decision on the president's part because it puts somebody in the driver's seat here on that very issue, and now Joe Biden's got a hope. It was the right call. That's it for today's political briefing..