all eyes will be on jerome powell s speech tomorrow will be deliver on 10:00 a.m. eastern time. we ll be looking out at messaging. and inflation now in the u.s. is sitting around 2.2%. a year ago we were sitting at 8%. the messaging today needs to be a little more balanced in terms of where the fed is headed next, but a big event for anyone watching these markets. a major chip maker also posted second quarter results after the bell, and it didn t disappoint. can you tell us more about that? that is right. so nvidia who seem to be the sort of flag bearer for a.i. chip technology posted up what some analysts are calling incredible results. net income grew by 88% from just the first quarter to the second quarter. we re looking at ten fold revenue growth from just a year ago, so really, really very strong results not just for this
a row the u.s. bank, the central bank has increased rates. it s all part of the continuing effort to bring down stubbornly high inflation. the annual rate of inflation in the united states is slow to 6% last month the over year. but inflation remains three times higher than the fed desired target of 2%. the fed chairman, jerome powell s decision to raise rates was not without criticism, there s about this, elizabeth warren. my view on jay powell are well-known at this point. he has had two jobs. one is to deal with monetary policy, what is to deal with regulation. he has failed at bat. i don t think he should be chairman of the federal reserve. i ve said it as publicly as i know how to say. that s hoping to avoid a recent but there s still no clear consensus that that strategy is going to succeed. even analysts that the nation s top bank says that we could be headed for a recession. when executive edgy p morgan reportedly told his client that
this really is one of the most challenging decisions in jerome powell s career. and it could really go a long way towards shaping his his legacy. now goldman sachs thinks that the fed is going to do nothing here. keep interest rates steady, trying to survey the damage in the banking industry, and that s what sheila bair things should happen to. but look at this over on wall street investors are actually coalescing around the idea that the fed is going to raise interest rates at last check about 85% chance that the fed raises rates by a quarter of a basis point. just 15% chance right now of no rate hike. and given those odds, there is a danger here that if the fed doesn t act today, if it doesn t raise rates, they could end up kind of spooking wall street. a lot of investors would worry that the fed looks scared and that the fed maybe know something that they don t so if the fed raises rates today, that means that rates will be the highest level since 2007 on that
okay. let s ask, talk about inflation real quick here. 6% inflation right now the fed meeting on wednesday to decide whether or not to raise interest rates. do you think that they should raise interest rates like the european central bank did despite this? or do you think that they should put a pause given the financial instability of the banks? i would say no to raising rates. however, the problem is the markets and i m not talking just about stock markets i m talking about thes entire economies, hangs on jerome powell s every word and if it says pump brakes he s signaling that he know that the banking is system more at risk. so he ll probably go forward. but it s higher interest rates in the rapidly rising interest rates over the last year that contributed greatly to problem we re in right now. mitch what are you going to be looking at this week and do you think the worst is behind us once you see one cockroach you know the saying when there s one rock roach there s many.
what do you make of what we re going into this week? i had in the hat department once and i know exactly what you re talking about. i live in florida now so it is pall meadow bugs so i think we re going hear more and more stories and as you said at the top, community banks are civil vitalr small businesses that s where small business dos their banking so i m looking to see another story in the united states worst yet another story abroad and definitely hanging own every word from jerome powell. l bryan: all right mitch rochelle thank you for being here on this saturday thanks for your insight. you belt. see you soon. alicia: nine years after russian forces ceased crimea russian president vladimir putin makes surprise visit to the black sea peninsula this comes one day after the international criminal court issued an arrest warrant against putin for his alleged war crimes in ukraine sere