Move is the 1st of its kind since its 2008 financial crisis and the scary part is the fed still doesnt know what caused the spike so lets take a step back and really understand what the repo market is its essentially a short term borrowing market where banks and institutions lend to one another banks exchanging billions of dollars every day and overnight lending in order to maintain their reserve ratios now this borrowing isnt free you have to put up collateral usually in the form of treasuries or other tear one securities so under normal circumstances the repo market runs smoothly the rate is steady around 2 percent and the entire system is dependent on trust trust that the borrower can pay you back plus interest its a great way for commercial banks to make money now what happened here was when the rates suddenly spite we dont actually know what happened yet because we havent seen a spike like that since 2008 and in 2008 when the rate suddenly shot up indicating that there was a risk
Water cannons for the first time. We are live on the ground in the 12th week of protests. Welcome back to bloomberg surveillance. I am matt miller here. Good monday morning. I am here for francine lacqua. Lets go to live picks of the g7 meeting. Somedent macron is getting statements giving some statements to the press. Lets listen in. He is probably the best informed. A few words about libya as we agreed yesterday. At the conclusion yesterday afternoon. Ok. Thank you. Matt all right. We are getting a little bit. Macron saying they are going to bring up the subject of libya. It will be at really interesting when they discuss the subject of iran, as well as trade. Weve gotten so much from trump earlier in the press conference with egypts president elsisi. We have some very disappointing german economic news. Just breaking, the phone Business Climate number came out at 94. 3. The survey was for an expectation of 95. 1 so a big miss there. A big miss on the expectations and on the Current
First half. Is ticking asck london and brussels plan new talks. They can still block a new deal divorce. Kathleen breaking news on south korea Industrial Production. I was talking about whether or not the bank of korea might cut their key rate and a couple of hours. The pricing jump, up 2. 6 . Up more than forecast at 0. 5 . That is what was expected. In terms of the monthly number, lets move on to the yearoveryear number. Up 0. 6 . A big improvement over 2. 9 . That has been revised a little bit higher, 2. 6. Very good news for south korean Industrial Production, closely linked to manufacturing, closely linked to the trade war. We will get more details on that and get more on that later. Beijing for ato look at the asian markets. There has been a lot of volatility this month but it looks like on the last day, we are seeing cautious optimism. More green across the board. For the nikkei. Positive numbers out of korea so that will help bolster when the markets open, up almost 1 . 5 thise
Misses expectations. Casp casp the ceo the tariffs are entering into the game. It will be a loselose for companies and regions. Best in a decades. Zurich hales a strong first half and strikes a bull iish tone on the outlook. The ceo says cost cuts have begun to pay off the change in portfolios in Property Casualty and we continue to shape our life portfolio to be neutral to the Financial Market situation and to provide risk coverages to our customers. A warm welcome to street signs. It is thursday, it does feel like friday after some of the market gyrations weve had over the last 24 hours. Yesterday was a tumultuous day across the board, across all different asset classes. Lets talk about some of the u. S. Equities price action the biggest comeback for the year across wall street. At one point dow was about 2 weaker, almost 600 points lower on the day it spent the rest of the session clawing back up slightly ending in the red yesterday below the flat line. S p and nasdaq did manage to
Good morning to you. Morning clouds, evening clouds, mild afternoons. For most, is going be great. It will be a little cool on the coast for the Fireworks Show tonight, San Francisco and berkeley at risk of having low clouds and fog. First things first, the numbers outside right now under partly cloudy, partly sunny conditions, San Francisco 54 degrees, santa rosa 56, low 60s in oakland, livermore and san jose havent changed a whole lot. The winds are onshore and will remain on shore along the coastline. Some of the cloud cover there along the coast has works its way across the bay. Lets look at areas, partly cloudy skies run santa rosa towards napa, vallejo, i80, that stretch between vallejo and fairfield, you can find cloud cover, to the east bay, we have the shore covered through richmond through fremont. And over towards the east bay, 586 at the interchange, we have cloud cover, pleasanton looks like theres a little cloud cover and it is just south of san ramon. The wins on short f