from reopening and fiscal stimulus will stay. >> you will get setback in equity markets because that is simply what we do. >> we have to take the move in the market seriously. >> people don't want to buy into the idea. >> this is "bloomberg surveillance" with tom keene, jonathan ferro, and lisa abramowicz. jon: it's all most the weekend. for our audience worldwide, good morning. this is bloomberg surveillance alongside tom keene. i'm jonathan ferro with romaine bostick this morning. it lisa abramowicz will be back monday. here is your price action, up on the s&p 500. tom keene, yields can rise as well as full. tom: they can. there is a huge set of research notes out, everyone publishing early off of the growth scare we have seen of last 48 hours. we will have a lot of different opinions on that. conrad in moments, but i am

looking at the bloomberg terminal, telling me this growth scare is on the edge of over. jon: yields of five basis points to 134. i think people are trying to work this out. i think many people believe we are at some kind of inflation point. morgan stanley believes that next level is not behind, it is in front of us. tom: the idea he says is real correction would be a buying opportunity. we have not had that. wilson stalking we need 10% or 15% down to be has buying opportunity. he shows optimism for equities out one to two years. jon: we are down .7%. on the week so far. romain, you know that means, the nasdaq slower and the s&p 500 is doing ok. romaine: the s&p 500 doing ok. we should point out the nasdaq is basically flat on the week. what really got hit where the cyclical stocks, some of the small-cap names, particularly in energy and materials space.

when you talk about the growth scare, you did see it in the realm, the question is whether people begin to reenter some of those here. you mentioned mike wilson, he talked a lot about this idea of maybe people got a little too far forward with that growth trade and giving up completely on cyclicals may be premature. jon: he's calling at the rolling correction. nasdaq futures down 23, down by about 0.15%. for the broader market on the s&p 500, up 11, advancing .25%. after eight straight days of yields falling on the u.s. tenure, yields are rising by four to five basis points to 1.3394. euro-dollar stronger by .1%. tom, later this hour, we have got to talk about the ecb fed-like strategy. for a lot of people, that was underwhelming. tom: i love the phrase fed lite. it had to be an american or anglo american feel to it yesterday. what i would look at is, on the

real yield, it is slammed. i use that word carefully. it is slammed from a negative what? 1.02%, up 10 full beats to -0.91%. a huge move as you go into your important program this afternoon. jon: never mind my program later. we have to push to next week's. -- next week. earnings data. july 13. tom: right. i put an article on twitter and it goes back to earnings to gdp, the heart of the matter is this boom economy, and the raging debate of how long it lasts. jon: let's turn to a senior economic advisor. conrad, set us up for next week. we have earnings. that will entertain the people in equities, then we have the cpi in america. conrad: yeah, a lot of important events next week, in addition to the cpi report which i think is

likely to show another pretty elevated reading, not as elevated as the prior two months but we will be looking at core inflation readings well above levels that would be consistent with what the fed has termed price stability, but we also have a lot of growth data as well. we have the retail sales report, industrial production, both reports will be dampened by a supply chain -- supply chain issues in the auto sector. the retail sector in particular shows us -- will show us the consumer is in good shape. -- shape, has a good amount of excess savings to be put to work. i think the underlying details of the retail sales report will be solid. then we have fed chair powell with his testimonies, and that will be a key as well. jon: what i look at -- tom: what i look at is the writing dequadros optimism. the heroism of your work has always been optimism about an america that will adapt. do we underestimate the growth of america?

conrad: i've heard a lot about the growth -- a lot of these growth scare stories because of what is happening with yields. i think if there is a fundamental story there, it is just rising uncertainty about how changes in the virus and variants might impact the economy, but i think, if we were to have another wave of infections, we have not seen that yet but i think there is concern about that because of the variants, they will be different this time around. we have better health measures to address it. if we look at the economy, we have come off last week with an increase of employment of 850,000 despite the ongoing supply constraints on the labor market. demand for labor is still there. consumers are in good shape. companies are in good shape with her balance sheets. i think there's a lot of reason to be optimistic. i think we are looking at a gdp gain this year in the neighborhood of 9%, sorry, this current quarter, the corridor --

the court of the just passed -- quarter that just passed. for the year, a gdp gain of about 7%. relative to the trend pre-covered, it will be close to summer, then we will have another year or two of the buck trend growth. i think that is something we should be encouraged about. tom: bill dudley publishing moments ago, channeling conrad dequadros on the labor mysteries of america. he calls it murky. i believe dr. dudley will be with us later. conrad, within the labor recovery, will we see wage inflation? joseph cohen over at goldman sachs was heated we would not. conrad: i think we will see further pickup in wages. we have already seen i think pretty significant increases in wages. if you look at the last three months, average earnings are up in annual rates. we are trying -- rate. we are trying to get away from

the wage data. if you look at the 5.9 increase in average earnings hourly is evidence there is tightness in the labor market not reflected in the unemployment rate. if we look at the jobs report that came out this week, we see high levels of job openings, high rates of quitting, all of that to me points to continued upper pressure on wages. on the others to that, we have inflation data which are rising at an even more rapid rate. if we get the consensus forecast cpi for the june cpi, that will point to a three month increase on a core cpi of 8.5%. the short run trends, even as the monthly increases are slowing down, we have these very elevated short run trends in inflation. romaine: that still raises the question of how much of that feeds into consumer spending here. we have seen several drops now

in those retail sales numbers, at least on a month-to-month basis whether you are looking at the control group, whether you x out autos or energy. the trend has been choppy. i wonder if you anticipate a pickup back in some of those retail sales numbers? romaine: one of the issues remains for the retail sales numbers is autos. that will be an issue next week where we know from the manufacturer's data that auto sales fell about 10%. that is not a demand issue. i think that is one of the keys when lookingat -- looking at the consumer. this is an absence of supply because it's a supply chain problem. on the retail side, the underlying details away from autos will be solid. we should also remember predominately here that the gap in consumer spending is on the services side. as the economy continues to reopen, we will probably see i think strong services spending in the coming months. supported by a labor market that is solid and supported by a consumer that has quite a bit of cash sitting in bank accounts.

jon: this mismatch currently developing a labor match, that's typically something that can be resolved from time. that is one perspective. another is that could cascade through the system and maybe it is not transitory at all. which side of that debate do you fall on? conrad: i am more on the larry inside. with transitory, what does that mean? a transitory period of elevated inflation, i think the fed should be in a good position to excuse that when we have had a period of low inflation. when you look at the last five years, pc inflation has averaged 2%. what prior myth are we trying to make up for now -- miss if you are trying to make up for now? there isn't one if you look forward five years. so we have these issues of the supply chain and you look at what is going on with shipping and look at shipping costs between shanghai and l.a., they

are up multiple times of where they were a year ago. those are still price effects, even as the fed is focusing on things like lumber coming down and used car prices boosting cpi. the -- there are other things like commodity prices in transportation costs, and labor costs that still have to feed into prices. i think that will be an area that will keep inflation elevated for some time. that is a key when we think of the fact that we don't have really much of the miss to make up for anymore. jon: good to hear from you, conrad. conrad dequadros, bream capital senior economic advisor. we will catch up with bill dudley and 45 minutes after that we catch up with mohammad and give you the two perspectives. tom: what's interesting to me as there are about five perspectives here on a hugely fluid dynamics. when i'm falling back on, i'm

looking at the correlations or lack thereof of equities bonds, currencies, commodities. i don't have currency moving this morning though stearns -- sterling is under a 1.38. oil is not giving me much, maybe midrange. if you go to the fixed income market and look at the dynamics, the growth scare is over. jon: yields are higher to 1.363. we talked about the relationship between this bond market and certain parts of the equity market still intact. romaine: and when you see these yields come back out, you have to keep in mind where we are and where we have come over the last couple weeks here. the growth scores scare might be over but some of the imbalances this market is trying to work through, it might take some time. jon: what kind of growth scare is over after a morning of high heels that have lasted about several hours, tk? we want to make that call? it 6:11 eastern time and we are up for basis points. tom: jon.

jon: maybe it is, i don't know. tom: is italy -- has italy one really 33 matches in a row? jon: yes. tom: that's like better than the padres. jon: we are doing well. we don't talk about the game too much. friends are pretending it's not happening. the s&p 500 up eight, advancing .2%. the nasdaq 100, futures down 40 with negative on treasury yields higher by four to five basis points at 1.3377. what a week next week we have for you. chairman powell testimony in d.c. and cpi data and earnings season kicks off. tom: major league baseball star. jon: lovely. this is bloomberg. ♪ >> with the first word news, i am ritika gupta. the biden administration will add reportedly at least 10 china entities to its economic black

list. that could come with china's alleged human rights abuses and high-tech surveillance in shing jang. china has pushed back firmly against the criticism and says the u.s. and its allies are bullies. pfizer plans to request u.s. emergency authorization for a third booster does have its covid vaccine after data showed it can sharply increase immune protection against the coronavirus. federal health officials signal they would take a cautious approach in potential booster shots. president biden reportedly will encourage that are all regulators to reinstate net to axios. he will sign an executive order that would also make it easier for consumers to comparison shop for internet service. net neutrality rules bar the blocking of slowing down or prioritizing web traffic. global news, 24 hours a day, on air and on "bloomberg quicktake," powered by more than 2700 journalists and analysts in over 120 countries. i am ritika gupta.

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pres. biden: our military mission in afghanistan will conclude on august 31.

the drought down -- the drawdown of proceedings in a secure and orderly way, prioritizing the safety of our troops. u.s. support for afghanistan will endure. we will continue to provide civilian and humanitarian assistance, including speaking out for the rights of women and girls. jon: the president of the united states, from new york city this morning, good morning alongside tom keene i'm jonathan ferro with romaine bostick counting you down to the open. that's about three hours away. good morning to you all, equity futures up positive, of nine to 10 points. positive .2%. set to take a bite out of a weekly loss. up to the bond market, yields are higher, and that has set the tone for today's price action the last couple weeks. yields higher are 133.94. euro-dollar -- 1.3394. euro-dollar is a little more positive, and .18 59 -- 1.1858.

tom: bill dudley is joining us later. i'm looking at futures up 10. right now, anne-marie with us from uber washington. of the interviews i've done -- bloomberg washington. of the interviews i've done on afghanistan and iraq, it is not so much buried in the news or headlines, but we are sliding away. what has been the capitol hill response to president biden saying, no, we will not ask how many years? >> for that press conference he gave yesterday came under a lot of pressure from the press answering these questions. i think many think his decision is firm, given how strongly he was refuting the press on why they were leaving. he will say is not inevitable the taliban will take over, but he did allude to the fact it is not going to be a country that is going to govern by just one.

right now, the u.s. backed afghanistan government only controls about 20% of the country. tom: i'm confused, who is against president biden here? are there democrats or republicans saying we need to stay fully committed or partially committed to this 20 year effort? >> the democrats are supporting it and a lot of republicans are as well, but they are doing so in a quieter fashion. really what the concerns are is not that the united states should continuously stay in afghanistan but the concerns are what happens if we leave. is there planned political handoff? is there going to be -- is it going to be a safe place? we already see afghanistan refugees fleeing the country. one of the key things to keep an eye on is if the turkish government is going to be able to maintain a strong control of the airport. if not, what happens there and the -- in the united states embassy in afghanistan. i think it is more from the

military part of washington asking these questions about what happens next and how to make sure as the united states leaves that they are leaving so in a fashion that, at the best way, we could support the afghan government. jon: let's stay on foreign policy a little bit, a separate situation from afghanistan. let sit to the middle east -- let's go to the middle east and sit there for a moment. what is the move from this administration? annimarie: this administration is keeping an eye on the middle east. we saw there is issues and discussions with russia in corridors with syria, also discussions about the iranian nuclear deal. at the moment, those talks are in purgatory. we are supposed to have a sixth discussion. the focus is less so on the middle east, less so on europe, and the focus is on china. you saw that overnight, reuters reporting it is taking aim at another 10 chinese entities due to human rights abuses. so of course the entire foreign

policy, they will look at every corner of the world. really the focus of this administration is tough on china. jon: this feels incremental. with the previous administration, they were heavily criticized with the moves but the sounds much bigger. what is the approach from this administration and how different is it? annimarie: i think the approach from this administration is to do so multilaterally. president donald trump, and what is so different from biden, is president donald trump took on china very much so as himself, as the own trump administration one-on-one against beijing. what we saw on the heels of the g7 then the nato summit with president biden was to try to get germany, united kingdom, france all on board in tackling and going up against china. romaine: and realistic on foreign policy, talk about iran and the idea here that the administration came in with the intent here to maybe revive that 2015 nuclear deal here.

a lot of reports here about the progress iran has made with purchasing uranium. and the idea that salvaging the deal now is a lot harder than maybe it looked a few months ago. annimarie: there's a number of items going into this iran nuclear negotiation that make it so much harder. one is you have a change of a regime, you have ebrahim raisi, a cleric coming in august, he sanctioned ash he is sanctioned by the united states. -- he is sanctioned by the united states. he has called the iranian nuclear deal moderate in terms of how much emphasis he wants on it. you also have your are having those special iaea monitoring committees being in the country right now. right now, they are supposed to have this in-depth detailed security of the iranian nuclear enrichment. right now, that is on hold and has not been extended. there are a number of factors going into if they have a sixth

round of discussion that will make it harder to clinch the deal. jon: did we get an opec deal in the end? [laughter] [laughter] that was the news at the start of the week then the week has grown older and older. >> there's no deal, there is still talks, but the fact of the matter is, and what is so different from last year is the market is in deficit right now. i don't think the market actually cares if there is no opec deal. they will start pumping at well. who cares, the world needs the oil. tom: did anne-marie come back with london with a british accent? i hear it. jon: what you hear? tom: i hear a british accent. annimarie: never. jon: i have lost my t's since i have been here. i now pronounce them as e's, which is apparently what you do over here. . tom: i still can't understand one out of five brits. [laughter] does she sound like the bbc or

like sky, i can figure it out. jon: i think she still has the long island twang. tom: she has -- she is one of the only on the team that has had tang besides me. jon: your bond market looks like this come up for basis points on 10. yesterday, we had a break at 125. we are north of 130 and 133.44 -- 1.344. and in tom keene's words, growth scare. tom: come on. i'm so upset at how apoplectic we get, down 1.7% whatever it was. jon: in equity markets, sure. we dipped about .7% on the index level but for the bond market, that is a real move. tom: the bond market is so distorted right now. it is in no textbook, we are making it up as we go. jon: we can talk to david kelly

about that, next, from jp asset management. 4320 five. this is like sesame street, isn't it? tom: it is. jon: this is bloomberg. ♪ ♪

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♪ jon: live from new york city. it is friday morning. crisis over, if there was a crisis according to tom keene. his line, not me. up 11 points this morning. nasdaq pulling back 2/10 of 1%. i think you can guess where the bond market is. this is your nominal yield. 1.3344 on a 30 year still sub 2%. heading north four basis point. this is the treasury curve. i will talk about that later. this is what i want to talk about now. germany. your german 10 year is -30 basis points.

we have this shift and nobody got excited about it and you wonder why. they have gone from an inflation of 2% to just 2%. the bank president comes out and says we will not seek and overshoot of inflation target. over at the ecb this is not flexible average inflation targeting because if it were, we have undershot the target for a decade plus in europe unlike the united states. that is not what is going to happen. what's going on? did they have any control over price stability? tom: it is politics. jon: do they have a credibility issue and can they do anything to get this german 10 year back into positive? tom: a long time ago it was

quite an honor to see the blueprints for the new building as they were building the edifice of the ecb. nothing has changed since they showed me those blueprints. it is a political exercise. it is monetary theory with the fiction of combined union and the answers are they may are are making it up as they . jon: they will remember the line mario draghi used to use, it needs to be loaned out to be higher in the future. we are pushing 10 years talking about that. that is your future now in germany. not looking so bright is it? tom: 20 years of benchmark. right now, david kelly with j.p. morgan asset management joins us. he moves away from investment and finance and his legit

expertise in economics to the human condition. he talks about the reality of his family after the storm after a horrific tornado. david, i love your note and the idea that we underestimate the human spirit out of some form of disaster like a pandemic. do we underestimate the global growth recovery? david: i think we do. i think we are so shellshocked by the pandemic that we are underestimating the impact of these vaccines and the world. we have the delta very yet that is scaring people and the the united states is scaring people, but the broad picture is over 75% of americans have immunity to covid-19. if you look on the coast, it is declining rapidly. we think the economy is coming back strongly and sometimes

people get deflected from that message but that is the broad picture. tom: the jp morgan view, this titanic equity boom. does that continue with this growth recovery? david: yes, i think it does for a while. there is still a huge amount of liquidity sloshing into the economy. i mentioned one of the remarkable aspects of the landscape is you turn on the fire hydrants of liquidity and nobody seems interested in turning them off. we have all this liquidity pouring into markets and you think about consumer prices as the prices are still being held by liquidity. i think prices can move higher. i worry about valuations, particularly the more expensive stuff. when rates rise you are going to have a problem but for the

moment the economic and monetary background is favorable. jon: you say eventually. let's get into that. we have gone more than 10 years i think now with ecb not raising interest rates. but japan has been a lot longer. do you think the federal reserve could get trapped? david: no, we have no fiscal caution whatsoever. the big problem in europe and japan is they have been doing half an aspirin worth of stimulus which never got anything going. keeping interest rates at this level does not stimulate anything. they have been permanently sedating the economy with anemic fiscal policy. in the united states it's different. i still think we are likely to get an infrastructure package passed through. we have a lot of money pouring into the economy. we will get the first checks on

the child tax credit coming in july for many families. as the unemployment benefits lapse i think you will see job growth. there is more economic momentum here in the united states. that will get us back to full employment. inflation will stay relatively high. the federal have to change its tune. jon: blackrock are looking abroad. would you maintain overweight to the rest of the world? david: not for a long-term investor. all of that and more is baked into the relative difference. international stocks look cheap relative to the u.s. and they have grown. right now we are booming but we will have to slow. the rest of the world, particularly europe, is gathering momentum.

despite what i said about policy i think economic reality is that u.s. stocks are probably a little expensive relative to international. tom: how much attention are you paying to the movements we have seen in the commodity space? romaine: that seems to be a good indicator of the growth story. the last 60 weeks we have seen tempering in the prices. david: there are some areas like lumber where prices are ridiculously high and come down again. but if you look at the overall industry they are flatlining than anything else. they are not exactly keeling over. i think the other part of the story that has not been present in other expansions the last 25 years is we have seen wage growth. the year over two year wage growth in the united states is the highest since 1983.

if you go before the pandemic, we have wage growth building. those things tell me we have moved into a new old normal wear inflation is above 2%. romaine: that is going to be a good thing? david: i think it probably is a good thing if it causes monetary power to get back to normal because they are doing a lot of damage to the long-term structure of capital markets by keeping these incredibly low rates around. they are feeding a lot of frenzies they should not be feeding. jon: next week will be fascinating. you're going at the situation where this market is talking about moving past peak everything and you will see commentary from companies talking about the things david is talking about. cost pressure, higher wages. tom: they will. one final question and i say this with great respect. i don't want to get you in trouble. can we see a coalesced tax

regime out of all these different countries as they speak in venice this weekend? you are on the irish watch. are you kidding me? we are going to have a combined tax regime? david: i think they will agree to something small. 15% global tax is not a huge ask. even the irish are 12.5%. not that far above. i think they will agree on something small but we need to think logically. the problem is not the corporate taxes are too low around the world. ultimately the corporation is a piece of paper. think about individuals and individual wealth rather than corporate taxation. jon: paint the picture. what do you think of the u.s. giving out some tax setting authority to have this multilateral agreement on something like this? david: i would like it in general.

i think that we need to work cooperatively in the world and this is one of the issues. jon: that seems to be the approach of this administration. david kelly of jp morgan. we did not linger on the earnings but jp morgan will kick things off tuesday morning i believe. we get cpi data. we will get commentary from the c suite that will be a different tone. tom: radically different and what is important is the tea leaves we have seen in the last two weeks looks forward to huge changes, a huge change in tone i should say. jon: every day to point -- data point. every single one speaks to the same thing, cost pressure, labor pressure.

i wonder what the c suite has to say on that. romaine: and it gets to the idea of whether you talk about this as the growth story or more is just growing pains. this economy is healthy but does need to work through the supply issues in every aspect. jon: we talk about the pandemic next with andrew pekosz with johns hopkins school of public health. i'm told maybe a pfizer booster shot against the delta very it is in the making is that right? tom: it is in the mix and we are waiting on younger children. will there be a vaccination below 12? the numbers are fascinating. 55% or more of 12 years and up vaccinated. that's a great number. jon: a lot to discuss. from new york city, good morning. equity futures up 15%. the yield is higher by four

basis points. that means the nasdaq 100 futures are just a little bit lighter. what we get is been. good morning to you all. this is bloomberg. ♪ >> the stalemate is around the election of a new president. president biden defended the u.s. military withdrawal from afghanistan. he argued the u.s. achieved its goal and should not seek to rebuild the country. the taliban has been making quick gains as american forces pullout but the president said

it is not inevitable the taliban will take over. a new british study says most young people face an extremely low risk of illness and death from covid and have no need. to shield from the virus. that backs up clinical reports. the u.s. is one of the few countries offering covid vaccines to children 12 and over. chinese aviation officials are open to conducting test flights out of the boeing 737 max. that would be a step toward lifting the grounding after two years. even if a test flight is made soon it could be months before it is removed. for now, cash is king in hong kong. 100 carat diamond was sold to an unknown buyer. they hope to the buyer would take somebody on the offer to

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travel restrictions as a way to keep a virus from spreading. we have many examples where that simply has happened despite restrictions. jon: that was the johns hopkins senior scholar from new york city. alongside tom keene i am jonathan ferro. romaine bostick dropping by to help with the price sections. 43.28 on the s&p 500. treasuries are lower, yields are higher for eight straight sessions. we settled down, settle in. tom: maybe not all the way back but nevertheless a constructive bond market with prices lower. we dive into the pandemic and get back to important biden headlines that have to do with all we do here at bloomberg. andrew pekosz with us of johns hopkins. thrilled we could join us --

thrilled he could join us this morning. the idea is that if i choose to be unvaccinated, how sick is sick when i get the delta variant? what is the level of sick we should expect? andrew: the data is rolling in now that the delta variant is causing disease primarily in unvaccinated populations and the disease it is showing seems to be a bit more severe than the disease we saw in similar age groups at the beginning of the pandemic. if you are unvaccinated, the risk from the delta variant is greater of infection and there will be a greater increase of severe disease from infection. there is nothing good about being unvaccinated when you think about the delta variant. tom: where are we on the vaccination process? i saw age over 12 vaccinated.

are you pleased? andrew: i would love to see these vaccination rights get much higher than they are right now. we reached a stage where many of the people who are vaccinated now are obviously protected from disease. we have not reached those levels that give us a population-based benefit. that is the herd immunity you hear about all the time. it doesn't mean the vaccine doesn't work against you individually, but vaccination at some level we get the added benefit that the virus is so difficult to circulate in the population because of vaccination that even the unvaccinated get the benefit from that. we are not close to that level and is a research scientist that is i would like to set as a standard vaccination goal. romaine: a lot of talk now about what the next step is for folks

who have been fully vaccinated. pfizer coming out yesterday and talking about the idea of a booster shot. the cdc saying, maybe not quite yet. where do we stand? andrew: all of the data so far from the u.s. looks like vaccination, particularly with the mrna vaccines, is protecting against delta variant. i like the fact pfizer has gone forward with the clinical trial to show what i booster will do. i think that is important data to have. i don't see it as an eminent thing in terms of guidance for the u.s. population, but this virus moves quickly. variants are emerging fast and i think the pfizer move is good in preparing for the future. if we get a variant more deadly than delta, a booster may be an important thing to consider and having pfizer complete the clinical trials for that is going to be a good term. jon: good to hear from you and

catch up. we have breaking we have to run to. andrew pekosz, johns hopkins school of public health. executive order on promoting competition in the american economy. it is pretty straightforward. for decades corporations consolidation has been accelerating in 75% of industries. it has led to reduction in competition and they have come out with 72 initiatives to tackle some of these issues in the labor market when it comes to corporate consolidation, prices, you name it. tom: this is an absolutely extraordinary document. i think even supporters of president biden will be surprised by the comprehensiveness of this. what this comes down to is the fear of not monopoly, but

monopsonee. the first line is consolidation lowers wages buy something on the order of 17%. jon: what are they trying to change? make it easier to change jobs and eliminating noncompete agreements and cumbersome licensing requirements that impede economic mobility. you remember the late alan krueger. he used to talk about how that was holding back wages. that is just one line. romaine: i don't think we can understate how broad-based this fact sheet is. a lot of people knew there was going to be more attention paid to some of the big tech companies but this is prescription drug companies, banking and consumer finance, airlines, agriculture companies. this is basically every major industry you can think of. the administration is laying out point by point what it says is a level of consolidation that is

harming not only consumers, but in some cases, the workers as well and making it very clear they are directing the doj, and ftc and other regulatory bodies that would deal with this type of stuff to target these industries and target them specifically. jon: enforce the antitrust laws and recognize that it allows them to challenge prior bad mergers. that is highlighted. the pastor administration had not previously challenged. take your pick. the airlines what refunds, make it easier for people to get them back. you wonder how many teeth this executive order has. tom: people have written about this. i think of glenn hubbard and paul krugman who have come to the same conclusion. the way to look at this and bargain fairly for wages, and this is off the desk of the

london school of economics, think of a rubber plantation in malaysia or in singapore. when you are out there getting the rubber, getting the material, who bargains for that wage? is the plantation owner or the people collecting the rubber? the answer is that plantation owner has a lot of power. what this document says is airlines have a lot of power, hospitals have a lot of power. jon: banks do and he goes through it one by one. coming up, we head down to washington, d.c. and catch up with annmarie hordern. we get you up to speed on what is going on live on tv and radio. to wrap things up in this hour let's run through the price section. equity futures drifting higher by 14. advancing the equity market is your treasury market heading the other way. treasuries lower, yields are higher to 1.3395.

the white house releasing an executive order on competition the american economy. full coverage on tv and radio next. from new york, this is bloomberg. ♪

♪ >> some type of a pullback just seems natural and normal. >> is inevitable that the boost from reopening and fiscal stimulus. . will stay >> you will get periods of setbacks to the markets because that is what they do. >> the market likes higher rates and people just don't want to buy into that idea. >> this is "bloomberg surveillance" with tom keene, jonathan ferro, and lisa abramowicz. jonathan: can we just have one quiet morning? from new york city for our audience worldwide, good morning. this is "bloomberg surveillance ," live on tv and radio. lisa abramowicz will be back with us on monday. romaine bostick with us this morning. it is a readout from the white house the gets your attention. an executive order on promoting competition in the american