Sterling in just a few minutes. And of course, the u. K. As well, where weve seen quite a volatile quite a lot of volatility. A little more than we expect it for labor turnover, 7. 2 6 7. 26on billiard million. Now for the extrusive interview. Kathleen i want to welcome our bloomberg audience for this interview with Robert Kaplan, president of the Federal Reserve bank of dallas. It is a windy, rainy day. Clyde you could make it over here. Interesting because you made it clear you are a voter next year. Lets put that on the table. Youve made it clear you are one of the 13 fomc members. You must be one of the dots that sees no rate cuts, no rate hikes unless something happens in 2020. What has to happen . Robert there has to be a Material Change in the outlook, either for better or worse. Ive already got baked into my outlook, we are going to have weak manufacturing next year, sluggish growth, pretty sluggish Business Investment, but with a strong consumer. There would have to be some Ma
Its weakness too. Alicia i want to point out the dollar has been moving lower the last eight weeks, telling you it is on its way down to a softening, making emerging markets actually kind of interesting. The fed has blasted it today. Romaine lets dive deeper into all the action right now with our markets reporters. Abigail, what are you watching . Abigail i have my eye on volatility once again. The vix and speculative vix sports. Might not have stocks moving much. But some who have been selling volatility this year are starting to change their mind. In white, speculative vix shorts. In blue is the fear index. When the whole theme that you was complacency, the vix shorts, superhigh. The beginning of 2018, the vix spiked at the beginning of the year as the trade war kicked off. Into the Fourth Quarter after climbing, the vix shorts came back off. This year vix shorts have been climbing all year as many investors and speculative investors have been selling. But right now it is starting to
Stories. We begin with ongoing protests in hong kong. President trump signed a bill backing protesters. This pump to china to threaten retaliation against the u. S. As it nears a phase one trade deal. The chinese spokesman saying u. S. Stopsuggest the sticking obstinately to its course or china will take resolute countermeasures. Where does this leave them in that phase one trade deal . Reporter it is very interesting because for several days, weve had the chutneys threatening nonspecific countermeasures, but there havent really got into any detail. The most weve had is the suggestion they might put a ban on those who drafted the bill from entering china or hong kong, which is a pretty lowkey response. The fact that we had several days of this without any suggestions without any specifics suggests beijing is grappling with how to handle this. It is clear the u. S. Once a trade deal done very soon. The chinese want a trade deal done as soon as possible. They dont want to bring in tensio
World, from vienna to london, frankfurt to washington come our bloomberg roses are on the ground with all the top stories. In vienna, opec is said to reduce its target as a rock promises to comply. Joining me for more is bloombergs annmarie hordern. But do we know so far . Annmarie good morning. What we know is theyve agreed at the opec allies meeting today to cut by the hundred thousand barrels a day, but the devil is in the details. Brent and wti are both lower. This cut is basically cosmetic. We are still waiting for more details because it just brings the figures on paper to what theyve been producing throughout the year. Some members, including saudi arabia, have been cutting well below their target. That was the message from ben salman thisfrom bin morning, and his first meeting is energy minister. He said further compliance is needed. Everyone in the room knew he was talking about, even though he didnt name and shame. The message was simple. Stop cheating. Alix indeed. Thank you
Lets dive in with reporters. Abigail, what are you watching . Term love your technical for trading today, meh for the s p 500. One that had been neutral for a long time. The rsi momentum indicator also stuck in a range. Surelybut slowly but started to turn bullish. A set of higher lows. On each dip im of the buyers had more conviction, stepped up. This congestion is broken to the upside. Anis expected we will see equal and opposite move toward the upside. Take a look at the rsi right below 70. Everyone gets cautious when it is around 70 but technicians do not mind that. It is when you have a series of lower highs that it gets bearish. Havesuggests we could record closing highs ahead. Mike obviously, the rotation from growth and value stocks into volume stocks, but there is one opportunity for value for volume hunters that hasnt gotten attention. The version of the s p 500. At 20. 5 times earnings. Trading at about 18. 3 times earnings. Since 2008. Fors a similar story forward earnings.