This week, the repo rates, the liquidity crunch, so here is the overnight repo rate that we saw on monday really going skyhigh. But since then, it is lower. The fed has entered the market, 278 billion dollars injected by the fed in the repo operations, trying to stabilize this system. Luke, it was on the set with the, he brought is a good chart the other day, this is the volume on the s p 500 going back to late last year. We can see at the time of the volatility, huge volume, whether it was outright or protection against greater downturn. Then stabilizing for much of the year, august going higher. Earlier in the year it was low, suggesting investors were not worried about the repo rates going hi, but since then volume has come up a little bit. But it is still relatively muted. Taylor roku is getting crushed, down 20 . We saw the starting last tuesday when apple announced their streaming service. Shares fell 10 that day. Earlier this week my paying spoke announcing this week my face but
4. 0127. Todays auction, the 30 year treasury. We will follow that as soon as the headlines roll across. Bloomberg u. S. Dollar index down today. 1 . Oil coming down as well. 83. 14 per barrel. When it comes to the inflation data that we saw this morning, a blackrock representative gave us his take. Guest serious progress on inflation for now. That cannot be ignored. Take a step back and this is what we will need to deal with over the next few months, this will be a roller coaster. Matt chief u. S. Economist at t. Rowe price joins us now. What was your take on what looks like a pretty victorious number for the fed . Guest thank you for having me today. I would say there was a lot in this report that the fed and inflation forecasters will like. Two months in a row where inflation was behaving like used to before the pandemic. In particular, im encouraged by the progress we are seeing in core goods inflation. Deflationary momentum is continuing. It looks like it will be sustained. We sou
Earnings tumbled 26 for Carlyle Group you you have exits and new deals slumping. From new york, i am alix steel. Welcome, everyone, to Bloomberg Markets. From where we are now to where we were in 2011, when we had the s p downgrade, the u. S. Is completely different. Sitting in the chair now, looking at market reaction, you can feel the difference. Guy absolutely. The market is struggling. They are saying, we already knew this. But does that mean you can ignore it . Im not sure that you can completely ignore it. I think theres an underlying message here. There are three factors used here, in terms of the downgrade. One of them is clearly that the government is going to continue to spend. We will have bigger deficits, higher debt to gdp. I think that will have this Going Forward for higher Asset Classes. Is it real assets, things like commodities . I think that is something that will maybe percolate for a well. Alix in the budget deficit we do have, has that helped us since covid extend
Cable up by. 3 . Hit sofutures, tech got hard yesterday, we are getting a bit of that back. David oil traders around the world are heartbroken. You have thrown them over for going. It is all jonathans fault. Ok, parliament is debating President Trumps controversial tweet. The president was wrong to retweet antimuslim videos from a far right group, britain first. Earlier, the president tweeted that Prime Minister theresa mays focus should not be on him but on the threat posed by islamic terrorism. The synod is moving toward a final vote on the massive tax overhaul bill as early as today. Lawmakers voted along party lines to begin the debate. That doesnt necessarily signal that Republican Leaders have the authority votes they need. Theenate republicans passed tax bill, they still have to hammer out differences with the house version. Oil prices are edging higher hours after opec meets. The cartel and russia are ready to extend production curbs until the end of next year. The goal is to f
Decline in the open and s p in 18 best start in 30 years. Buffett on the market, succession planning at berkshire, stocks not richly valued and remains a buyer but not of bitcoin. Tech under fire a powerful gop senator demanding answers from apple good battery gate the s p is off to the best start since 87 and buffett says markets are not richly valued according to rates and what he told becky a few moments ago. What has happened in the market has been very sensible. Nobody thought we would have these kind of Interest Rates for a long time. Additionally you have the tax act which is a huge factor in valuation. Says the Interest Rates are the gravity to value and munger chiming in saying share prices are not crazy. Point blank tell you, this was becky quick, congratulations, unbelievable interview. You sit there and what you get are people who know more than anyone else alive and they are saying, look, theres some interesting things and lets not go crazy, just because Interest Rates go