there s between 1.2 and $1.7 trillion of end quotes of excess savings in the economy, most of that was direct transfers of cash from the united states government. what this has caused is employers have increased wages materially. last on the year over year basis wages are up 5.1%, on the shorter period over 6% and on the month-to-month basis 7%. now, they have not those wages have not kept up with inflation and so americans have taken a pay cut but the federal reserve is focusing in on the acceleration of wage increases. this will cause them to continue to increase rates. so what could happen next year is the worst of all worlds which is americans consume or spend or burn off their excess savings
jobs. job numbers have been good. the most exciting news is we see wages beginning to go up. this is something we haven t seen in a couple of decades. if you look at it from an inflation-adjusted basis wages have been flat and expenses have gone up dramatically. it is what we were hoping for. a combination of getting rid of regulations and fixing a broken tax system that encouraged jobs and investments going overseas is beginning to make a big difference across the country for workers. jon: john roberts has had some inklings of what is coming tonight to expect a bright and optimistic speech and also says the president is going to slip in some things that people do not expect. i suppose you are one of those who might be surprised. any idea what the president might be hinting at there? talking about the economy is important. the next step in the economy in