Johnson forced onto the defensive as the debate turns its attention to the National Health service. Manus a very good morning to you. Definedl about the jgb the gravitational pull to the downside. Waiting on at zero, the option results to come through. Much biggera question about the stock of negative debt. Will that diminish 20. Good morning. Nejra good morning. That is a great question. It seems to be driven about what is going on globally. The prospect on the optimism of some sort of resolution to china trade. Something the move to the upside is going to be limited because where we are now is going to pull the japanese buyers back into the market. Manus absolutely. Lets look at the jgb performance. You have the 234 billion dollars stimulus coming into the market from the japanese government. Level way growth above what the market had anticipated. For the firstero time since march. Blackrock. I like a bit of dr. Copper. You know what i saw . I cant tie that together with a sub 6 grow
Needs more bases the route the Indo Pacific Region because of what he called chinas significant technological advancements. Meantime, china says the Iran Nuclear Deal is irreplaceable and says the agreement is the only way to resolve issues with the countrys nuclear program. The Chinese Foreign ministry blamed the United States or the tensions with iran. Last year, the u. S. Pulled out of that deal and we imposed sanctions. Reimposed sanctions. Global news 24 hours a day, onair, and tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. Im Mark Crumpton. This is bloomberg. Vonnie it is 1 00 p. M. In new york, 6 00 in london, and 1 00 a. M. In hong kong. Welcome to bloomberg markets. From bloomberg World Headquarters in new york, here are the top stores on the bloomberg and around the world we are following. Retail therapy. Retailers post broad gains, flexing the muscle of the american consumer. Can a strength continue to drive Economic Growth . Inv
Sonali welcome to bloomberg markets. Lets look at the markets quickly. We have a lot of red on the screen. We have the s p 500 now down about one half of 1 . The nasdaq 100 is seeing bigger can kleins. The russell 2000 even more than that. Its now down about 1. 5 on the day, quickening its losses and thats on the back of higher yields. The twoyear yield just flying higher. Its above 4. 67 on the day. Thats a three basis point move. You have to remember how far weve come. We will dive into the Economic Data we had this morning that is driving the yields higher. Michael mckee joins us now to bring us up mike mike to date. This is a nerd indicator. Business inventories are just out at the moment. Its not a really good number. 0. 0 after a 0. 3 increase the month before. That is down from 0. 4 . It suggests the u. S. Is not building inventories as much as people might have thought. There was a feeling that because gdp has shown inventories declining for the last months that we would see fa
Moving averages. This months worst performer on the dow. Plus activism in the restaurant sector. Outback steakhouses Parent Company down sharply. Lets begin with the markets extending this weeks losses, not a lot going right, and today, mike, a lot of it surrounds china and worries about not just growth but the debt burden as well. You wouldnt say its a new factor bits been on the list o worries. You have one of these situations where once you have this pretty sharp break in momentum to the upside, several weeks ago, some breakdowns in the longer term trend, some concerns about, you know, valuation that were always there that are being exacerbated and why has the yield become unanchored, treasury yields, and even global yields . All that stuff in the mix and then you have the related concern of, oh, what might what stress points might we see emerge out of that . All thats in the mix. I do think, also, yesterday, with the yields making those new kind of 15year highs, you started to see
Housing, in urban affairs will come to order. The days after the run on Silicon Valley bank, when it was close by the california banking regulators and taken over by the fdic many in washington, new york, in california asked, how did this bank and Signature Bank, soon after, failed so spectacularly . Was it the regulators falling down on the job . Was it new technology . The first social media fueled bank ran . How on earth could this happen . In ohio, the, no one is surprised by the hubris of coastal Bank Executives. The old adage has become cliche because it is so often true. The simplest explanation is best. It is first and foremost the bankers fault that the banks crashed. We know that federal and state banking officials repeatedly told managers and directors of your banks where there were problems, big problems the kind of problems you cant ignore. The tiny you have to start fixing right away. Bank executives did not listen. That is a well documented fact Silicon Valley banking si